No. 1
Ontario
Eegiglature of Ontario
OFFICIAL REPORT — DAILY EDITION
Fourth Session of the Twenty-Ninth Legislature
Tuesday, March 5, 1974
Afternoon Session
Speaker: Honourable Allan Edward Renter
Clerk: Roderick Lewis, QC
THE QUEEN'S PRINTER
PARLIAMENT BUILDINGS, TORONTO
1974
10
Price per session, $10.00. Address, Clerk of the House, Parliament Bldgs., Toronto
CONTENTS
(Daily index of proceedings appears at back of this issue.)
LEGISLATIVE ASSEMBLY OF ONTARIO
Tuesday, March 5, 1974, being the first day of the fourth session of the 29th Parliament
of the Province of Ontario, for the despatch of business pursuant to a proclamation of the
Honourable W. Ross Macdonald, Lieutenant Governor of the Province.
The House met at 3 o'clock, p.m.
The Honourable the Lieutenant Governor,
having entered the House and being seated
upon the throne, was pleased to open the
session with the following gracious speech.
SPEECH FROM THE THRONE
Hon. W. Ross Macdonald (Lieutenant Gov-
ernor): Pray be seated.
Mr. Speaker and members of the legislative
assembly, on behalf of our Sovereign, I wel-
come you to the opening of the fourth session
of the 29th Parliament of Ontario.
As hon. members were reminded earlier
today, continued improvement in the prosper-
ity of our province was slowed to some extent
last year by inflation.
In 1974, the economy of Ontario, as with
most of the major economies of the world, is
faced with uncertainties of the real and poten-
tal impact of the energy situation. In my
government's view, however, the prospects
appear more favourable here than elsewhere.
Despite projections of slower economic
growth this year, combined with the con-
tinued rapid growth of the province's labour
force, it is still hoped that the level of em-
ployment achieved in 1973, which produced
a record of 149,000 new jobs, will be main-
tained.
[While my government will employ all
practical means at its disposal to alleviate the
causes and effects of inflation, nevertheless it
bears repeating that the problem can only
be dealt with in a national context, with all
governments co-operating.
[In recognition of the fact that science,
research and innovation play such an important
role in an advanced and diversified economy,
the government of Ontario will establish struc-
tures to develop and co-ordinate science policy,
both within our province and in co-operation
with the government of Canada and other
TxJESDAY, March 5, 1974
provinces. Strong emphasis will be placed on
the practical application of science to main-
tain our leadership in high-technology in-
dustry. This is a key component in my gov-
ernment's efforts to preserve our national
economic independence and to ensure that
maximum social benefits are achieved.
[A comprehensive programme to improve
essential services in remote areas of the prov-
ince will be introduced. This will include
an extension of the electrification process,
and improved telecommunications, especially
for emergency purposes.]
Improvements in telephone and communi-
cations systems in remote areas will benefit
the residents and provide a firmer base for
economic development. The co-operation of
the federal government and of industry will
be sought to develop reliable communications
systems for the north.
A feasibility and engineering study will be
undertaken for a road link to James Bay
through Moosonee. This will include an en-
vironmental impact study and full public
hearings.
Priority consideration will be given to the
supply of electric power to northern com-
munities. A power line to Moosonee will be
the first project in this undertaking.
Northern communities in unorganized terri-
tories will, through enabling legislation, have
the opportunity to establish local coromunity
councils. Fire protection, water, roads and
other such services wfll become the respon-
sibility of these community councils. Imple-
mentation of this plan will follow fuU con-
sultation with residents of commimities that
wish to participate.
[In recognition of the fact that the north,
with its great distances, requires a first-rate
highway system, high priority has been given
to rebuilding and widening Highway 17 be-
tween Sault Ste. Marie and Sudbury.
[Following the success of norOntair, four
more communities in northwestern Ontario
[Editor's Note: Copy within brackets was not read but is contained in the formal Throne Speech.]
ONTARIO LEGISLATURE
will receive air services in the first phase of
an expansion programme. In addition, funds
will be made available for improvements to
certain existing airports to bring them up to
the standard required for a regular scheduled
air service.
[The Ontario government is negotiating an
agreement to participate, through an appro-
priate agency, in the Polar Gas project to
Ijring natural gas from the Arctic Islands to
Ontario.
[Studies will be made regarding the estab-
lishment of a port facility in the James Bay
areas to bring potential supplies of gas, oil
and minerals from sources in the eastern
Arctic]
The proposals for energy management an-
nounced last June indicated my government's
long-term goals for the continued social, in-
dustrial and economic progress of this prov-
ince. Developments in the Middle East in
recent months have further underlined the
pressing need for a co-ordinated energy policy
for Canada, which the Ontario government
has been urging.
The government will shortly outline On-
tario's policy on the control and development
of uranium as a provincial and national
resource.
A general development agreement between
the federal government and the Ontario gov-
ernment has been signed. The agreement has
a duration of 10 years and is intended to
improve opportunities in those areas of On-
tario which are in need of special assistance
and to realize greater development potential.
The community of Cornwall is the first to
benefit from this agreement, and joint ex-
penditures of approximately $14 million will
be provided for such projects as the com-
pletion of servicing for an industrial park,
construction of a civic centre, and the de-
velopment of a tourist and recreational area.
[Tourist operations, small businesses and
service industries will benefit from improved
loan programmes and financial assistance from
the three provincial development corpora-
tions. Operators of small business establish-
ments will receive more help and advice in
solving management problems.
[The Ontario Council for the Arts will
undertake a programme through which prac-
tising artists in the creative and performing
arts may work in and with local communities.
Emphasis will be placed on visits to schools
in remote areas, and on programmes in public
libraries.
[A wide variety of extension programmes
will be offered at provincial cultural facilities.
The Art Gallery of Ontario will establish an
internship programme to prepare fine arts
students for art gallery careers, as well as
programmes to promote the visual arts
throughout the province.
[In response to the recommendations of
the Commission on Post-Secondary Education,
my government proposes to expand academic
and cultural opportimities in the open sector.
This will include the extension of educational
broadcast services within the province, along
with the development of new and innovative
educational support materials for school and
college students as well as for persons learn-
ing at home.]
You will be asked to consider legislation
concerning negotiations between the teaching
profession and school boards, as well as pro-
posals for the consolidation of all legislation
respecting elementary and secondary educa-
tion.
In keeping with my government's deter-
mination to introduce programmes on a
selective basis to meet those areas of greatest
need, an income support programme will be
proposed which will assist in achieving a
greater measure of security for Ontario's older
citizens and for the disabled.
A proposal will be made for a prescription
drug plan for our senior citizens.
Ontario's younger children are presently
served by kindergartens, daycare services of
approved agencies and special programmes
for the handicapped. My government will
continue to support these services and will
initiate a new programme of assistance for
co-operative daycare centres in low-income
areas. The use of school and other com-
munity facilities for child care will be en-
couraged, and accommodation and stafiing
regulations will be reviewed with the aim of
removing unnecessary impediments to the
creation of new services. Resources will be
made available to expand high-priority ser-
vices such as those for handicapped children,
children from low-income families and native
children.
Rehabilitation services will be strengthened
to provide assistance to a larger number of
physically and mentally disabled persons.
Special efforts will be made to encourage
local initiatives for community-based mental
retardation services, including new community
residences.
Amendments to the Health Insurance Act
will provide a formal review mechanism for
[Editor's Note: Copy within brackets was not read but is contained in the formal Throne Speech.]
MARCH 5, 1974 T
claims for services by non-medical practi-
tioners, paralleling the system now used for
claims by physicians.
The report of the health planning task
force, which has been chaired by Dr. Fraser
Mustard, has been received by my govern-
ment. During the course of this session, pro-
posals will be placed before you for further
development of a comprehensive health plan
for the people of Ontario.
My government will present proposals for
extensive new sports, fitness and recreation
programmes that will offer more opportu-
nities for the improved health and enjoyment
of the people of Ontario.
A health education programme will be
prepared providing information on such
health hazards as alcohol, tobacco and other
drugs, arid to encourage better use of our
public health care system. -
[You will be asked to approve a major
educational and enforcement programme de^
signed to reduce the highway accident toll
caused by irnpaired drivers. /
[With regard to the Ontario Law Reform
Commission's report on administration of the
courts, my government will proceed with a
planned' programrtie of implementation for
judicial areas and for the rotation of judges
and trial centres throughout those areas in
consultation with those affected.
[My ^gdvemment is reviewing legislative
and common law rul6s affecting the family as
an institution in such matters as occupational
and property rights in the home and laws
concerning children, ' .
[A legislative progranime will be introduced
ensuring that family law in Ontario reflects
today's social and economic realities. The ulti-
mate objective is a code of family law, with
special attention to the status of women and
for the provision of a legal framework that
will strengthen the family unit in our society.
Attention will also be given to citifying the
legal rights of married persons. "
[My government will create a new oflBce
for women Crpwn employees in order to im^
prove perspnn,el a^ministratiop ^^di hiring
practices.] ; ,' J,
My government intends to promote the
development of small community-based adult
residences in place of traditional correctional
institutions. These centres, will be used in the
rehabilitation of selected offenders prioi' to
their release and as residences for thos'e who
are working of studying under the temporary
absence programme. In northern areas of the
[Editoi^s Noteii Coisy within bniiekets was not read
province, centres will be located closer to
communities with potential employment op-
portunities.
A new system will be introduced to place
juveniles in training schools closer to their
own homes and to provide better integration
of group homes, probation, aftercare and in-
stitutional services.
Negotiations are under way for operation
and supervision by private business of an
industrial enterprise within a correctional
centre. This innovative experiment should
provide inmates with realistic employment
and training experience. The labour force
would consist of those serving short terms
under minimum cuistody, who would be paid
competitive wages. My government is confi-
dent that with the support and co-operation
of labour unions and industry, the concept
can play a worthwhile part in correctional
services in the years ahead.
My government will introduce legislation
with regard to consumer product warranties
and guarantees in order to provide bettei;
protection for consumers, new redress pro-
cedures and more flexible means of admin-
istration. Legislation vdll also be introduced
to protect the cojasumer from unfair and
unacceptable trade and business practices.
Hon. members, you will be asked to con-
sider provisions for the mandatory use of
automobile seat belts.
Legislation will be presented to establis}^
an inter-regional public transportation author-
ity for the Toronto area; My government be-
lieves tljis, legislation will maintain regional
autonorny -and .provide a model that may ]b^
adapted to, other areas of the province. '
i f-yon will [ be asked to approve legislation
which, will; require an, environmental assess-;
ment of major new deivelopment projects. .
A permarient advisory committee on solid
waste management; will be estabhshed in
order to achieves, closer consultation with mu-
nicipal governments?,, environmental groups
arid industry, whose co-operation is essential
to the solution of problems created by in-
creasing waste of energy and material re-
sources and the difficulties of waste disposal.
My government will also propose other
measures for the control and reduction of
litter and solid waste.
My government bdicves that positive steps
must be taken to conserve and improve our
visual environment. To this end, your views
will be sought with respect to placing limita-
tions and controls on outdoor advertising.
but is contajiied in the f onaaal Throne Speech.]
ONTARIO LEGISLATURE
For the second consecutive year, dwelling
starts in Ontario have exceeded 100,000 units,
a rate of construction which is consistent with
the government's overall objective of one
million new dwelling units in 10 years.
[To assist in this achievement, a wide range
of programmes and approaches in housing
development and community planning will
be proposed, including housing for Tower-
income earners. These programmes will be
implemented within the legislative framework
of a revised Planning Act, amendments to the
Condominium Act and die establishment of
a new building code for Ontario, and will
be characterized by a closer partnership with
other levels of government, the private sector
and citizens* groups.
[It is proposed to increase spending on the
construction of sewage and water treatment
facilities from $81 milhon in 1973 to $115
million this year. The funds will be used for
anti-pollution control and high quality water
soipply programmes and servicing needs for
new home construction.
[In cases where land is designated by the
government for necessary housing or is being
held by the private sector for future develop-
ment, the government will make proposals to
ensure continued agricultural production on
all suitable lands until they may be required
for other purposes.!
Twenty-three communities have been desig-
nated as neighbourhood improvement areas
eligible for federal-provincial assistance for
planning and improving physical and social
facilities. My government will urge the gov-
ernment of Canada to extend assistance for
commercial and industrial renewal.
The private sector, in consultation with
local and regional governments, will be en-
couraged to increase the supply of serviced
lots and to work toward stabilization of land
and housing prices. The government looks to
the private sector for even greater co-opera-
tion than in the past in the construction of
public housing, involvement with rent supple-
ment and integrated community housing pro-
grammes, the preferred lending programme
and condominium building, so that the hous-
ing needs of a large segment of the popula-
tion can be met within a moderate price
range.
A provincial home renewal programme will
be introduced with grants to homeowners and
municipalities for preserving and upgrading
the quality of existing housing in rural as
well as urban areas.
Cet automne, le Premier ministre de
rOntario sera I'hdte de la conference annuelle
des premiers ministres des provinces cana-
diennes. Cet evenement se produit a un
moment particulierement important de notre
histoire ou, en raison des difficultes qui nous
assaillent au Canada et des problemes de
portee internationale, un renouveau de coope-
ration et de comprehension entre les provinces
s'impose si nous voulons raflFermir notre nation
et rehausser notre sentiment national.
This autumn, the Premier of Ontario will
be host to the aimual conference of provin-
cial premiers. This comes at a particularly
important time in our history when challenges
facing us within Canada and problems of
world-wide significance will require a new
level of interprovincial co-operation and
understanding to strengthen our nation and
to maintain and enhance our sense of national
purpose.
May Divine Providence guide you in these
tasks and in the discharge of your respon-
sibilities.
Hon. members, I wish to take the oppor-
tunity on this occasion to state that it has
been my pleasure and privilege to have per-
formed this duty over the past five years. To
my successor, one of Ontario's most renowned
and distinguished citizens, may I express all
good wishes for her forthcoming term of
office.
God bless the Queen and Canada.
The Honourable the Lieutenant Governor
was then pleased to retire from the chamber.
Prayers.
Mr. Speaker: To prevent mistakes, I have
obtained a copy of His Honour's speech,
which I will now read.
Mr. R. F. Nixon (Leader of the Oppiosi-
tion): Mr. Speaker, on a point of order, if
you will permit me, sir; before we go ahead
with the usual dispensation I would draw
your attention and perhaps to the attention of
the Premier that according to the copies of
the speech made available there were certain
omissions in His Honour's speech. Perhaps
the collation has been faulty and it may be,
in fact, that not all of the government's pro-
granune has been presented. .
[Editor's Note: Copy within brackets was not read but is contained in the formal Throne Speech.]
MARCH 5, 1974
Hon. W. G. Davis (Premier): Mr. Speaker^i
I still think we could dispense with the
reading of the Throne Speech. I think there
were several matters that perhaps were caught
when the pages were being turned. The full
text of the Throne Speech will be made avail-
able. I really don't think there is any purpose
in rereading it.
Mr. Speaker, I should hasten to add that
doesn't mean the Throne Speech isn't worthy
of repetition on many occasions.
Mr. Speaker: It is agreed, then, that the
reading of the speech be dispensed with?
Some hon. members: Agreed.
Reading dispensed with.
; ' UNIVERSITY EXPROPRIATION
POWERS ACT
Hon. Mr. Welch moves first reading of bill
intituled. An Act to amend the University
Expropriation Powers Act.
Motion agreed to; first reading of the bill.
Hon. Mr. Davis moves that the speech of
the Honourable the Lieutenant Governor to
this House be taken into consideration on
Thursday next.
Motion agreed to.
Hon. Mr. Davis moves the adjournment of
the House.
Motion agreed to.
The House adjourned at 3.30 o'clock, p.m.
ONTARIO LEGISLATURE
^-i^ ^ ly ' ■' -' ^ ■' ' APPENDIX
ALPHABETICAL LIST OF MEMBERS OF THE
LEGISLATIVE ASSEMBLY OF ONTARIO
(117 members)
Fourth Session of the Twenty-Ninth Parliament
Speaker: Hon. Allan Edward Renter Clerk of the House: Roderick Lewis, Q.C.
Member Party Constituency
Allan, James N PC ...! : Haldimand-Norfolk
Apps, C. J. S :.;.:..;.; FC' ... Kingston and the Islands
Auld, Hqn. James A^ CvM- - V . ^ ^C Leeds
Bales, Dalton A PC York Mills
Beckett, Dick PC Brantford
Belanger, J. Albert PC Prescott and Russell
Bennett, Hon. Claude PC Ottawa South
Bernier, Hon. Leo PC Kenora
Birch, Hon. Margaret PC Scarborough East
Bounsall, Ted NDP Windsor West
Braithwaite, Leonard A L Etobicoke
Breithaupt, James R L Kitchener
Brunelle, Hon. Rene PC Cochrane North
Bullbrook, James E L Sarnia
Burr, Fred A NDP Sandwich-Riverside
Campbell, Margaret L St. George
Carruthers, Alex PC Durham
Carton, Gordon R PC Armourdale
Cassidy, Michael NDP Ottawa Centre
Clement, Hon. John T PC Niagara Falls
Davis, Hon. William G PC Peel North
Davison, Norm NDP Hamilton Centre
Deacon, Donald M L YorkCentre
Deans, Ian NDP Wentworth
Downer, Rev. A. W PC Dufferin-Simcoe
Drea, Frank PC Scarborough Centre
Dukszta, Dr. Jan NDP Parkdale
Dymond, Dr. Matthew B PC Ontario
Eaton, Robert G PC Middlesex South
Edighoffer, Hugh L Perth
Evans, D. Arthur PC Simcoe Centre
Ewen, Donald Wm PC Wentworth North
Ferrier, Rev. William NDP Cochrane South
Foulds, James F NDP Port Arthur
Gaunt, Murray L Huron-Bruce
Germa, Melville C NDP Sudbury
Gilbertson, Bernt PC Algoma
Gisbom, Reg NDP HamiltonEast
Givens, Philip G L York-Forest Hill
Good, Edward R L Waterloo North
Grossman, Hon. Allan PC St. Andrew-St. Patrick
Guindon, Hon. Fern PC Stormont
MARCH 5. 1974
Member Party Constituency
Haggerty, Ray L Welland South . ...^,
Hamilton, Maurice PC Renfrew North . f|,|
Handleman, Hon. Sidney B PC .., Carleton /., .;
Havrot, Edward M PC Timiskaining.,y ;.;f ,4
Henderson, Lome C PC Lambton • ,
Hodgson, R. Glen PC Victoria-Haliburton
Hodgson, William PC York North
Irvine, Hon. Donald R. PC Grenville-Dundas
Jessiman, James H PC ., -Fprt William ' f ,, /.
Johnston, Robert M PC St. Catharines '
Kennedy, R. Dougks PC Peel South
Kerr, Hon. George A PC Halton West
Lane, John PC Algoma-Manitoulin
Laughren, Floyd NDP Nickel Belt
Lawlor, Patrick D NDP Lakeshore
Lawrence, A. Bert R PC Carleton East *'*'^
Leluk, Nicholas G PC Humber '-' ^
Lewis, Stephen NDP Scarborou^ West '
MacBeth, John P PC York West
MacDonald, Donald C NDP York South
Maeck, Lome PC Parry Sound
Martel, Elie W NDP Sudbury East
Mcllveen, Charles E PC Oshawa
McKeough, Hon. W. Darey PC Chatham-Kent
McNeil, Ronald K PC Elgin
McNie, Hon. Jack PC Hamilton West
Meen, Hon. Arthur K. PC YorkEast
Miller, Hon. Frank S PC Muskoka
Morningstar, Ellis P PC Welland
Morrow, Donald H PC Ottawa West
Newman, Bernard L Windsor-Walkerville
Newman, Hon. William PC Ontario South
Nixon, George PC Dovercourt
Nixon, Robert F L Brant
Nuttall, Dr. W. J PC Frontenac-Addington
Parrott, Dr. Harry C PC Oxford
Paterson, Donald A L Essex South
Potter, M.D., Hon. Richard T PC Quinte
Reid, T. Patrick L-Lab Rainy River
Reilly, Leonard M PC Eglinton
Renwick, James A NDP Riverdale
Reuter, Hon. Allan E. PC Waterloo South
Rhodes, Hon. John R PC Sault Ste. Marie
Riddell, John L Huron
Rollins, Clarke T PC Hastings
Root, John PC Wellington-Dufferin
Rowe, Russell D PC Northumberland
Roy, Albert J L Ottawa East
Ruston, Richard F L Essex-Kent
Sargent, Edward L Grey-Bmce
Scrivener, Mrs. Margaret PC St. David
Shulman, Dr. Morton NDP High Park
10 ONTARIO LEGISLATURE
Member Party Constituency
Singer, Vernon M L Downsview
Smith, Gordon E PC Simcoe East
Smith, John R PC Hamilton Mountain
Smith, Richard S L Nipissing
Snow, Hon. James W. PC Halton East
Spence, John P L Kent
Stewart, Hon. Wm. A PC Middlesex North
Stokes, Jack E NDP Thunder Bay
Taylor, James A PC Prince Edward-Lennox
Timbrell, Hon. Dennis R PC Don Mills
Turner, John M PC Peterborough
Villeneuve, Osie F PC Glengarry
Walker, Gordon W PC London North
Wardle, Thomas A PC Beaches-Woodbine
Welch, Hon. Robert PC Lincoln
Wells, Hon. Thomas L PC Scarborough North
White, Hon. John PC London South
Winkler, Hon. Eric A. PC Grey South
Wiseman, Douglas J PC Lanark
Worton, Harry L Wellington South
Yakabuski, Paul J, PC Renfrew South
Yaremko, John PC Bellwoods
Young, Fred NDP Yorkview
MARCH 5, 1974 11
MEMBERS OF THE EXECUTIVE COUNCH.
Hon. William G. Davis Premier and President of the Council
Hon. Robert Welch Provincial Secretary for Justice and
Attorney General
Hon. Allan Grossman Provincial Secretary for Resources Development
Hon. William A. Stewart Minister of Agriculture and Food
Hon. James A. C. Auld Minister of Colleges and Universities
Hon. Rene Brunelle Minister of Community and Social Services
Hon. Thomas L. Wells Minister of Education
Hon. Fern Guindon ., Minister of Labour
Hon. John White Treasurer of Ontario, Minister of Economics
and Intergovernmental Affairs
Hon. George A. Kerr Solicitor General
Hon, Leo Bernier Minister of Natural Resources
Hon, Eric A. Winkler Chairman of the Management Board of Cabinet
Hon. James W. Snow Minister of Government Services
Hon. Richard T. Potter Minister of Correctional Services
Hon, John T, Clement Minister of Consumer and Commercial Relations
Hon. Jack McNie Minister without Portfolio
Hon. Margaret Birch Provincial Secretary for Social Development
Hon, Claude Bennett Minister of Industry and Tourism
Hon, W. Darcy McKeough Minister of Energy
Hon. Arthur K. Meen Minister of Revenue
Hon. William Newman Minister of the Environment
Hon. Sidney B. Handleman Minister of Housing
Hon. Frank S. Miller Minister of Health
Hon. John R. Rhodes Minister of Transportation and Communications
Hon. Donald R. Irvine Minister without Portfolio
Hon. Dennis R. Timbrell Minister without Portfolio '
PARLIAMENTARY ASSISTANTS
Mr. John R. Smith (Assistant to the Minister of Education)
Mr. Leonard M. Reilly ( Assistant to the Minister of Industry and Tourism )
Mr. Gordon W. Walker (Assistant to the Minister of Revenue)
Mr. Robert G. Eaton (Assistant to the Minister of Agriculture and Food)
Mr. Dick Beckett (Assistant to the Minister of Transportation and Communications)
12 ONTARIO LEGISLATURE
CONTENTS
Tuesday, March 5, 1974
Speech from the Throne, the Honourable the Lieutenant Governor 3
University Expropriation Powers Act, bill to amend, Mr. Welch, first reading 7
Motion to adjourn, Mr. Davis, agreed to 7
Appendix: Alphabetical list of the members of the Legislative Assembly of Ontario 8
No. 2
Ontario
Hegtslature of Ontario
debates
OFFICIAL REPORT — DAILY EDITION
Fourth Session of the Twenty-Ninth Legislature
Wednesday, March 6, 1974
Speaker: Honourable Allan Edward Reuter
Clerk: Roderick Lewis, QC
THE QUEEN'S PRINTER
PARLIAMENT BUILDINGS, TORONTO
1974
Price per session, $10.00. Address, Clerk of the House, Parliament Bldgs., Toronto
CONTENTS
(Daily index of proceedings appears at back of this issue.)
15
LEGISLATIVE ASSEMBLY OF ONTARIO
The House met at 2 o'clock, p.m.
Prayers.
Mr. Speaker: Statements by the ministry.
Oral questions.
The hon. Leader of the Opposition.
WITHDRAWAL OF TEACHERS'
SERVICES
Mr. R. F. Nixon (Leadter of the Opposition):
Thank you, Mr. Speaker.
In the absence of the Minister of Ed^uca-
tion (Mr. Wells), I wonder if the Premier
could report to the House the status on the
negotiations— the protracted negotiations— be-
tween the secondary school teachers and the
York county board?
Hon. W. G. Davis (Premier): Mr. Speaker,
the minister, I expect, will be here shortly
and could probably give to the House a more
detailed description, not as to the state of the
negotiations in any detail, but some of the
history of it and his own activities and that
of the ministry.
The parties are meeting— I believe they
reconvened at 10 o'clock this morning— at the
request of the minister, and I can only assume
that negotiations are going on at this precise
moment unless they are still having lunch;
and I expect the minister will be here very
shortly.
Mr. R. F. Nixon: He will be here?
Hon. Mr. Davis: I expect the minister will
be here very shortly.
Mr. A. J. Roy (Ottawa East): It took the
Premier a long time to answer that one.
ENVIRONMENTAL IMPACT OF
PUBLIC WORKS
Mr. R. F. Nixon: I was hoping the minis-
ter would be here. I would like to put another
question to the Premier arising out of a
section in the Speech from the Throne yes-
terday. Can he give the House the assurance
that the proposal in the speech calling for an
objective assessment of the environmental im-
Wednesday, March 6, 1974
pact of public works— and I presume private
development as well— will be used to, let's
say, either delay or change the government's
announced decisions on the Amprior dam and
also on the Hydro high tension corridor in
western Ontario, coming from Douglas Point
down into the Wingham area and then over
to Georgetown? Can the minister give the
House the undertaking that the concept en-
visaged in the speech, which I believe to be
an excellent one, will be used to have an
effect on these circumstances, which are about
to go forward unless a change in policy is
stated?
Hon. Mr. Davis: Mr. Speaker, I agree with
the Leader of the Opposition as to the excel-
lence of the concept.
Mr. R. F. Nixon: Only if the government is
prepared to use it.
Hon. Mr. Davis: It is one we are pioneer-
ing to a certain extent with this kind of pro-
posed review agency, Mr. Speaker. It think it
is fair to state that if there had been such
an agency a period of time ago, some of
these projects obviously would have been
referred to it. I certainly can't undertake to
the member for Brant that projects already
under way would be referred to any en-
vironmental review agency.
I would point out to him— and I can't be
too specific here— that a portion of the trans-
mission line as it relates to the corridbr re-
ferred to has been a matter of study by Dr.
Sol'andt.
Actually, I think one could say, Mr.
Speaker, that the decision'—
Mr. S. Lewis (Scarborough West): No, not
that one.
Hon. Mr. Davis: —perhaps not that line,
but a part of the connection there with the
500 kv line— to appoint Dr. Solandt to review
the 500 kv corridor from Nanticoke to Picker-
ing is in essence a form of review procediue.
As I said to the press two or three days ago,
it is our hope that we will have Dr. Solandt's
report veiy shortly. What will flow from that
—well, electricity ultimately— in terms of sug-
gested location, I can't tell the House at this
16
ONTARIO LEGISLATURE
moment; but I think really that is one indica-
tion of how this review agency could work.
The details of the legislation, and the
timing of it, Mr. Speaker, are matters of gov-
ernment policy. I would not want to say to
the member for Brant, as it relates to projects
already under way, that one can reverse the
situation and have them a subject of review.
There is no question in my mind that certain
future transmission corridors obviously would
be a matter that would be referred* to such a
review board.
Mr. R. F. Nixon: A supplementary for
clarification': Since the high tension line from
Douglas Point to Bradley Junction and
Georgetown is not under construction, and
since it has not been reviewed by Dr.
Solandt, does the Premier then mean, since
it is not under construction, it will be re-
viewed? And since Dr. Solandt has been
associated, let's say, with the Georgetown end
of it, will the Premier or his minister be ask-
ing him to review the alignment that is under
discussion, particularly since the farmers have
brought forward the information that the
present alignment is supposedly using 80 per
cent class 1 and 2 land and that an alternative
alignment, even proposed by Hydro itself,
uses about half that much class 1 and 2 farm
land?
Hon. Mr. Davis: Mr. Speaker, I think it's
the kind of thing that it would be perhaps
wise to refer to the proposed environmental
review board or whatever terminology is used.
As I say, there is one aspect of it, and that is
the connection with the 500 kv line some-
where in the area in Hal ton or Peel as it
crosses the escarpment. I think this part of it
has been a subject of some consideration, but
as for the balance of the transmission line
location or suggested location it might be
handled very properly by the review board.
This is really what we are endeavouring to
do. The only observation I make, Mr.
Speaker, in that the Solandt review covered
a good portion of the riding that I represent,
is that one of the things we must always re-
member is that, while there may be better
places for a transmission line, I am sure there
can always be improvements which will
satisfy people where the line was perhaps
intended to go initially. If it is moved, I am
somewhat reconciled to the problem that will
be created in the new alignment that is
suggested, wherever that may be. This is
one of the diflBculties that we face.
Mr. R. F. Nixon: Hopefully there is an
alternative that will not bring that problem
forward.
Mr. Lewis: There are.
Hon. Mr. Davis: But I can't find any way
to have that particular 500 kv line not cross
the county of Peel somewhere.
Mr. J. R. Breithaupt (Kitchener): It can't
be done.
Hon. Mr. Davis: And, unfortunately, I am
told it is too expensive to put imderground
across that great county too.
Mr. Lewis: Mr. Speaker, as a supple-
mentary, if I can, given the number of angry
and anxious meetings held by the farmers with
Ontario Hydro over the last several months
on the line from Douglas Point to George-
town, can the Premier give an undertaking,
rather than being vague, that the line v^dll
not be proceeded with nor will' Hydro con-
tinue to deal vmpredictably, as they have been
dealing with the farmers, on dollar amounts
and routes, until the government has made
an independent study— independent of Hydro
—or reviewed it all, so diat they can be
appeased in a way that is not now the case?
Hon. Mr. Davis: Mr. Speaker, I can't at
this stage, without some review of it and
until we see the legislation and know how
it's going to work, give that firm a commit-
ment. I think it is obvious that it is the land
of situation which the environmental review
board or agency, whatever term is used, is
anticipated to cover. But to say to the hon.
member at this point that I can give a firm
commitment, I can't do that at this moment.
Mr. M. Cassidy (Ottawa Centre): Supple-
mentary, Mr. Speaker-
Mr. R. F. Nixon: By way of further supple-
mentary, Mr. Speaker-
Mr. Cassidy: If I can turn to Amprior—
Mr. R. F. Nixon: Who are you recognizing,
Mr. Speaker?
Mr. Speaker: I think the hon. Leader of the
Opposition. Then I will come back to the
hon. member for Ottawa Centre.
Mr. R. F. Nixon: I would like to ask the
Premier, since the hearings of necessity under
the Expropriations Act are going on right
now, today, would he undertake to discuss the
matter with the Minister of Energy' (Mr.
McKeough) as a matter of some priority so
that if in fact an objective hearing is decided
upon, which is certainly urged by the farmers
concerned, that these hearings can be stood
down or stopped completely until an objec-
tive assessment is available?
MARCH 6, 1974
17
Hon. Mr. Davis: Mr. Speaker, that is cer-
tainly an undertaking I can give. I vdll dis-
cuss it with the Minister of Energy very
shortly.
Mr. Cassidy: Supplementary, Mr. Speaker,
if I can turn to Amprior. In view of the fact
that the environmental hearing board pro-
posed by the government will not be estab-
lished for some time, and in view of the fact
that about $10 million out of an $82-million
project has now been spent— maybe $7
million or $8 million-but $70 or $75 milhon
has yet to be spent, will the Premier agree
to an independent inquiry into that project
because of the valid points which have been
made to date about the erosion that may
occur behind the dam, about the economic
inadequacies of the project, and about the
loss and mistreatment of farmers whose land
has not yet been expropriated', but which will
be flooaed by work currently under con-
struction?
Hon. Mr. Davis: Mr. Speaker, I can't give
any such undertaking to have an inquiry
related to those matters. I can only say to
the hon. member that Ontario Hydro is aware
and the government is aware of potential
problems that may or may not arise, and
obviously they vdll take these into account.
But 1 must say to the hon. member, we do
not propose to have an inquiry in that sense
of the word as it relates to the Amprior
project.
Mr. E. J. Bounsall (Windsor West): Supple-
mentary, Mr. Speaker-
Mr. Cassidy: Supplementary, Mr. Speaker-
Mr. Speaker: One more supplementary. The
hon. member for Timiskaming would like a
supplementary.
Mr. BounsaU: Windsor West.
Mr. Speaker: Windsor West, I am sorry.
Mr. Lewis: The hon. member for Timis-
kaming, God forbid.
Mr. Bounsall: With reference to the orig-
inal question about the line across south-
western Ontario, regarding that portion of
in between Wingham junction and Kitchener,
would the Premier speak to Hydro vidth a
view to seeing that they purchase only
enough land required for the power that can
be transmitted along that corridor, which is
two lines, rather than the three-line width
which they are attempting to purchase?
Hon. Mr. Davis: Mr. Speaker, my under-
standing is that a route hasn't been selected.
so I can't give an}' commitment on this at
all. Quite obviously one can't do it.
Mr. Bounsall: But the Premier knows what
width they're trying to purchase.
Hon. Mr. Davis: But we don't know the
route.
Mr. Speaker: The hon. Leader of the Op-
position.
Interjection by hon. member.
WITHDRAWAL OF TEACHERS'
SERVICES
Mr. R. F. Nixon: Mr, Speaker, now that
the Minister of Education is in his place, I
wonder if he would report to the House on
the status of the negotiations in York and in
the Windsor area.
Hon. T. L. Wells (Minister of Education):
Yes, Mr. Speaker, I would be very pleased to.
In regard to the York county dispute be-
tween the secondary teachers and that board,
talks began again this morning and are pres-
ently carrying on, with the help of a Ministry
of Labour mediator, at the Ministry of
Labour oflBces on University Ave.
In regard to the Windsor situation, this
was something that came up because of a
misunderstanding, a misinterpretation, a fail-
ing of the two parties to get together on
the wording of the final memorandum to send
the matters to voluntary arbitration.
Mr. Lewis: That's pretty land. The min-
ister is in a generous mood.
Interjections by hon. members.
Hon, Mr. Wells: The facts of the matter
actually are that—
Mr. Lewis: The board is nuts. That's the
fact of the matter.
Hon. Mr. Wells: —an agreement was
signed, that I and one of the Ministry of
Labour negotiators wrote out on a piece of
hotel paper in pencil-
Interjections by hon. members.
Mr. J. F. Foulds (Port Arthur): Would the
minister care to specify which location and
the hotel?
Hon. Mr. Wells: I won't mention the name
of the hotel for fear of giving any free
publicity.
18
ONTARIO LEGISLATURE
Mr. Lewis: Well, they don't have to—
Mr. J. E. Bullbrook (Samia): I'll bet they're
in the Royal York,
Hon. Mr. Wells: No, they aren't, as a matter
of fact. They're down in the town of my
friend's colleague from Windsor.
Mr. Lewis: In a non-union hotel, I might
say.
Hon. Mr. Wells: The actual statement that
was signed by both the board and the
teachers said that because they had failed
to reach any agreement, they would submit
the matters still in dispute to arbitration
which would be final and binding on both
parties. I think there is no question that
that was the intent. That was my intent, that
was the teachers' intent and I had assumed
it was the board's intent. There seems to
have developed some misunderstanding after
that concerning whether an award of a board
of arbitration could be appealable or not.
Certainly, I have made it very clear to the
board that there is no question that an arbitra-
tion board set up in a dispute such as this,
which is essentially a labour management dis-
pute, is not appealable.
Mr. D. C. MacDonald (York South): Does
the minister think they are bargaining in
good faith?
Hon. Mr. Wells: I think, though, that the
matter will be straightened out today. Our
people have been meeting with both sides-
Mr, R. F. Nixon: That's the Windsor
matter.
Mr. Lewis: I think he's right.
Hon. Mr. Wells: Yes. Our people have
been meeting with both sides and I'm pretty
well assured that they will now sign an agree-
ment and will get on with the arbitration.
Mr. R. F. Nixon: What about York?
Hon. Mr. Wells: I'm just as hopeful about
York.
Mr. R. F. Nixon: A supplementary: What
about the York business? Has the minister
taken part in the negotiations himself? Does
he intend to do so? What is the story about
these sort of secret meetings that have been
reported where the minister does come for-
ward with alternatives but says that he is not
participating himself in the negotiations?
Why doesn't he participate?
Hon. Mr. Wells: Well actually, Mr.
Speaker, the fact of the matter is— and I'm
sure my friend, if he's done any of this kind
of mediating, knows there are times when I
can participate and there are times when I
cannot— I did, in fact, participate in the nego-
tiations toward the end of January-
Mr. Lewis: He did indeed.
Hon. Mr. Wells: Toward the end of Janu-
ary when we were dealing with many of the
boards and at that time-
Mr. Lewis: Why didn't the minister appoint
the member for York Centre (Mr. Deacon)?
Hon. Mr. Wells: —we were attempting then
to avert—
Hon. A. Grossman (Provincial Secretary for
Resources Development): That would be total
failure.
Hon. Mr. Wells: We were attempting to
avert—
Mr. Lewis: They could settle a year from
now.
Hon. Mr. Wells: We were, in fact, attempt-
ing to avert a walkout. Unfortunately, at the
11 ^th hour, this just didn't come about and
at that time, as I'm sure the hon. member is
very aware, I was very involved and I issued
a statement at the end to both parties calling
upon them to go to vollmtary arbitration,
which was rejected and which I also called
for because they failed—
Mr. R. F. Nixon: The minister called them
both irresponsible.
Hon. Mr. Wells: Yes, and I think they both
were at that time, because they failed to pre-
vent a walkout by going to voluntary arbitra-
tion. I don't put the blame on either side but
that didn't come about, and I felt it would
have been more responsible if the walkout
hadn't occurred—
Mr. I. Deans (Wentworth): That's one of the
problems.
Hon. Mr. Wells: —and that time arbitration
had come about. Once the strike took place
it became obvious that for all concerned a
negotiated settlement would be a much better
arrangement, and certainly there is no place
for me in the negotiations that were going on
to arrive at a negotiated settlement. The Min-
istry of Labour mediator, who of course, is
also part of the labour-management negotiat-
ing process of this government, has been in
MARCH 6, 1974
19
at all their meetings. As a matter of fact he
told me that he spent more time on this dis-
pute than he had on any major labour dis-
pute in this province.
Mr. Lewis: It shows.
Hon. Mr. Wells: He's still sitting at the
table with them and I stand ready to be of
help on the thing at any time that I can, but
at the moment, I think it is best served to let
both the parties, with the Ministry of Labour
mediator, carrying on negotiations.
Mr. Lewis: A supplementary, Mr. Speaker.
Mr. Speaker: The hon. member for Scar-
borough West.
Mr. Lewis: Has the minister informed the
hoard of York county in no uncertain terms
that pupil-teacher ratio is a negotiable con-
dition, as he envisages it to he in Bill 275,
and should be in this dispute?
Hon. Mr. Wells: Mr. Speaker, I have had
discussions with the board there. They know
my personal opinions and I think it should
suffice that that is the extent that I should
mention at this time while negotiations are
going on.
Mr. D. M. Deacon (York Centre): A supple-
mentary.
Mr. Speaker: The hon. member for York
Centre.
Mr. Deacon: Since there is an indication
that the York county school trustees will move
to resign tomorrow if a settlement has not
been reached, is he prepared to set up a
trusteeship in York and get the teachers back
in the classrooms pending a new election of
trustees?
Hon. Mr. Wells: I hate to answer these
hypothetical questions.
Mr. Deacon: I think he needs to now.
Hon. Mr. Wells: My friend knows too that
there certainly has been no indication from
the majority of trustees that they are inter-
ested in resigning at this point in time. Now,
if they're aM going to tender their resigna-
tions, certainly we'll take steps to see that a
new board or new trustees are elected or
appointed.
Mr. MacDonald: Is the minister in favour
of mass resignations in this instance?
Mr. Deans: Why doesn't the minister re-
fuse to accept the resignations?
Hon. Mr. Wells: But I'd say we'd better
wait and see. I might also—
An hon. member: Do they have the right to
strike?
Hon. Mr. Wells: I might also indicate to
my friend that I think the School Act says
that a trustee can only resign with the con-
currence of a majority of his colleagues.
Interjections by hon. members.
An hon. member: What if they all resign?
Hon. Mr. Wells: There's also something in
the School's Administration Act that prevents
everybody from resigning and leaving the
board without a quorum.
Mr. Lewis: How to administer it?
Mr. Foulds: Bill 274A.
Mr. Speaker: The hon. member for Windsor
West with a supplementary.
Mr. Bounsall: With reference to the situa-
tion in Windsor, in the last day or two, or
even prior to that, has the minister made it
very clear to the Windsor separate board
that pupil-teacher ratio and working condi-
tions are both proper subject matters for
arbitration?
Hon. Mr. Wells: No, Mr. Speaker, I have
not been asked that question. The only ques-
tion I have been asked' is—
Mr. Foulds: He just was.
Hon. Mr. Wells: The only question I have
been asked is whether the Arbitrations Act
applies to the arbitration in the Windsor
situation. We have offered a legal opinion to
that board that it does not and that the de-
cision of the board of arbitration is not
appealable on the matter of the decision.
There are still, of course, certain points of
law, human rights and so forth, and any
violations of those can be taken to the courts
in any situation.
Mr. Bounsall: Is the minister not aware
that those are the very two areas that the
Windsor separate board is wishing to appeal
on, should they go to arbitration?
Hon. Mr. Wells: No, that has never been
made known to me, Mr. Speaker. I under-
stood there were 12 items in dispute that
were appended to the recommendation or the
agreement that was signed to go to arbitra-
tion, and that both parties agreed they were
the matters to go to arbitration. I think they
are the ones that should go.
20
ONTARIO LEGISLATURE
Mr. Speaker: The hon. Leader of the
Opposition.
Mr. Roy: A supplementary.
Mr. Speaker: I think perhaps further dis-
cussion would only constitute a debate. The
hon. Leader of the Opposition?
The hon. member for Scarborough West.
COST OF LAND FOR HOUSING
Mr. Lewis: Can I ask the new Minister of
Housing, Mr. Speaker, what specifics he has
in mind to take the land supply factor out of
the cost of housing by 1976?
Hon. S. B. Handleman (Minister of Hous-
ing): Mr. Speaker, we have made some
general statements about our programme in
the future, and obviously specifics will be
announced in the House in due course.
Mr. R. F. Nixon: A supplementary: Since
one of the specifics that has already been—
Mr. E. W. Martel (Sudbury East): The min-
ister learns fast.
Mr. Speaker: I think it is—
Mr. Lewis: And the Provincial Secretary
for Resources Development isn't even in the
House, Mr. Speaker. Can the minister give
us some guarantee that the increase in hous-
ing prices in Metropolitan Toronto alone—
which have jumped from $31,357 at the time
of the Throne Speech of two years ago to
$46,210 at the time of the Throne Speech
this week— will now cease its upward spiral
by the announcements he wall make, pre-
sumably, momentarily?
Mr. Roy: Let him put his career on the
line.
Hon. Mr. Handleman: Mr. Speaker, I will
guarantee only one thing— that my ministry
will do everything possible to see that that
happens.
Mr. R. F. Nixon: Mr. Speaker, a supple-
mentary question: Since one specific figure
was mentioned in the speech and that is the
funds the government is prepared to commit
—the extra funds it is prepared to commit to
servicing land— is the Minister of Housing
satisfied that an extra $15 million— I believe
that was the amount-
Mr. Deacon: Municipalities haven't money
to service land.
Mr. R. F. Nixon: —is in fact going to im-
prove the stock of serviced land to the extent
that it is going to stabilize prices?
Mr. Lewis: Obviously not.
Hon. Mr. Handleman: Mr. Speaker, if the
hon. member will read the speech again, he
will note that that was an amount of money
which would be spent by my colleague, the
Minister of the Environment (Mr. W.
Newman). When our estimates are tabled
he will see the amount of money that we
have in our housing programme.
Mr. R. F. Nixon: A supplementary; surely—
Mr. Speaker: The hon. member for Ottawa
Centre.
Mr. R. M. Johnston (St. Catharines): Why
don't those members pitch a tent?
Mr. Cassidy: Mr. Speaker, does the minis-
ter's pledge to stabilize the price of land by
1976 mean that, with the present trends of
land prices in cities like Toronto and Ottawa,
which vdll lead to the cost of a lot at about
$20,000, that will be the price at which he
intends to stabilize land prices?
Mr. R. F. Nixon: Stabihze at $20,000.
Hon. Mr. Handleman: Mr. Speaker, I can't
give the House-
Mr. Lewis: No, he can't. The whole Throne
Speech was bogus.
Hon. Mr. Handleman: No, I can't give the
House any specifics of a programme which has
not yet been announced.
Mr. Lewis: Right, There is no programme.
Hon. Mr. Handleman: When the pro-
gramme is announced, our goals will be an-
nounced at the same time.
Mr. Speaker: The hon. member for Downs-
view.
Mr. V. M. Singer (Downsview): Mr.
Speaker, by way of supplementary, can the
minister tell us if any of the supply of knd
for the building of the new homes referred
to in the Speech from the Throne is going to
come from land presently designated as park-
way belt? In other words, is the parkway
belt going to be removed entirely or in part
or interfered with at all?
Mr. Lewis He doesn't know yet.
Mr. Cassidy: He doesn't know.
Hon. Mr. Handleman: Mr. Speaker, the
administration of the parkway belt, of course,
is not under my ministry.
MARCH 6, 1974
21
Interjections by hon. members.
Hon. Mr. Handleman: There are discussions
taking place at the present time.
Mr. Bounsall: The minister is trying to get
some.
Hon. Mr. Handleman: An announcement
will be made in due course.
Mr. Johnston: They are going to call them
parkway homes.
Mr. Lewis: By way of supplementary: Why,
when the minister spoke to the Toronto Real
Estate Association on the auspicious occasion
of his first public pronouncement-
Mr. MacDonald: His maiden speech.
Mr. Lewis: —his maiden speech as a min-
ister, why did the minister say that the gov-
ernment would join with the private sector to
create more housing, using precisely the same
programme that his predecessor had impugned
—had said didn't work— just before he resign-
ed or just before he was moved, before he
ascended or whatever he did?
Mr. Foulds: Shuffled sideways.
Hon. Mr. Handleman: Mr. Speaker, I didn't
think this is the occasion to repeat the speech,
but for the clarification of the hon. member
I did say that it is going to be a tripartite
arrangement-
Mr. Lewis: Tripartite?
Hon. Mr. Handleman: —between the Prov-
ince of Ontario, the municipalities and the
private sector, and when the programme is
announced the hon. member will have an
opportunity to criticize its specifics.
Mr. Speaker: One more supplementary.
Mr. E. R. Good (Waterloo North): Supple-
mentary: Since it was the hon. minister who
said in his speech that it was the lack of
serviced land which was causing the problem
in housing today in the Province of Ontario-
something which we have known here for
years-
Mr. Roy: Didn't the minister say that?
Mr. Good: —what is he going to do about
it?
Mr. Singer: That is a good question.
Mr. Cassidy: Stabilize at $25,000.
Hon. Mr. Handleman: Just a mild correc-
tion. I did say that the lack of serviced land
was one of the major factors in the price in-
flation factor. And what—
Mr. R. F. Ruston (Essex-Kent): Better get
the shovel out.
Mr. Roy: The minister has been reading
Hansard.
Hon. Mr. Handleman: —we are going to
do about it, I have already stated, Mr. Speak-
er; we will announce a programme in due
course.
Interjections by hon. members.
Mr. Speaker: The hon. member for Scar-
borough West.
NORTH PICKERING DEVELOPMENT
Mr. Lewis: Here is a question for the Min-
ister of Housing he can answer. Is he going
to undertake—
Mr. Singer: Give him a file, he will answer
that in due course.
Mr. Lewis: Is he going to use more com-
mon sense than the blunderbuss approach of
his predecessor and allow for an—
Interjections by hon. members.
Mr. Lewis: —inquiry into the government's
expropriation of land in North Pickering and
its suspension of the inquiry procedure under
the Expropriations Act, which is surely un-
precedented? - . - ., -. , .
Mr. Breithaupt: The Minister of the En-
vironment will be interested too.
Hon. Mr. Handleman: Mr. Speaker, I be-
lieve that is a two-part question.
In answer to the first part, I never did
begin to beat my wife; and the second part,
we are studying the question with the North
Pickering people at the present time. I've
already met with them and I believe that
they have agreed that the procedure we are
now following is almost necessary under the
circumstances.
Mr. Speaker: The hon. member for Scar-
borough West.
Mr. Roy: Is the Premier proud of the min-
ister?
22
ONTARIO LEGISLATURE
Mr. Speaker: That was question No. 7 on
housing. I think we've had enough.
Mr. Lewis: That was a separate question,
Mr. Speaker.
Hon. Mr. Davis: Look at what has been
asked.
Mr. Deacon: Will the minister advise us
then-
Mr. Breithaupt: Like an end man in a
minstrel show.
Mr. Deacon: —whether or not he will pat-
tern his procedure with North Pickering after
the procedure used in the airport, where the
people have got some advances on land that
has been expropriated but where they are not
necessarily expropriated until there is a full
inquiry and there is a decision by the inquiry?
Hon. Mr. Davis: That is not right.
Mr. Deacon: It is, it is.
Hon. Mr. Handelman: Mr. Speaker, it is
my understanding of the Expropriation Act
that a hearing of necessity is only required,
or should only be held, when there is a pos-
sibility of the hearing being allowed. Under
the circumstances— there being no plan for
development, because we wish to involve the
people in the area in the developing of the
plan— a hearing of necessity would simply be
useless, because it vv'ouldn't be a plan against
which they could appeal.
Mr. Lewis: Oh, Mr. Speaker, as a supple-
mentary—
An hen. member: He's right.
Mr. Lewis: —the statute requires a hearing
of necessity unless the minister removes it
in the so-called public interest and a hearing
of necessity is to see if the expropriation
conforms with the objects required. Now why
has the government taken away the right to
a formal hearing for all of those people
whose land it is expropriating?
Hon. Mr. Handleman: Mr. Speaker, I be-
lieve I answered that question in my previous
remarks.
Mr. R. F. Nixon: Supplementary: Is it true
that the minister's previous answer indicated
that the people who now own the land agree
with him that a hearing is not required?
Surely that is nonsense?
Mr. Good: That is nonsense.
Mr. Lewis: That is nonsense.
Hon. Mr. Handleman: Mr. Speaker, what I
said was that we have explained to them the
reasons why the hearings of necessity were
cancelled and they understand the reasons
why. I didn't say that they agreed necessarily
with them.
Mr. Lewis: Power! Raw power.
Mr. Singer: Mr. Speaker, by way of sup-
plementary-
Mr. Speaker: Order, order. There have
been eight or nine supplementaries, which
surely must be sujEBcient.
The hon. member for Scarborough West.
An hon. member: Be my guest.
Mr. Bullbrook: How many questions does
this fellow get?
SEMINAR ON MAINTAINING
NON-UNION STATUS
Mr. Lewis: A question of the Minister of
Labour. Is the Minister of Labour aware
that Executive Enterprises Inc., based in New
York, is having a seminar on how to maintain
non-union status— a union-busting seminar or
an effort to prevent unions in Ontario— at the
Royal York Hotel in April of this year and
has he looked into their programme?
Mr. Bullbrook: George Meany is the guest
speaker.
Hon. F. Guindon (Minister of Labour): No,
Mr. Speaker, this is the first time that this has
come to my attention.
Mr. Lewis: Well, by way of supplementary,
when the minister examines it, would he
look at the outline of the programme, includ-
ing topics like "making unions unnecessary"
and "preventing the formation of unions"—
and it's not George Meany who is the guest
speaker— but could the minister ask himself
about the—
Interjections by hon. members.
Mr. Lewis: —propriety of a seminar leader,
K. B. Dixon, director of personnel, Hamilton
Civic Hospitals, and president of the Hospital
Personnel Relations Bureau for Ontario; and
perhaps that makes it a little clearer to the
minister why there is so much discrimination
and difiiculty in the hospital worker sector
in this province.
MARCH 6, 1974
23
Interjections by hon. members.
Hon. Mr. Cuindon: I will be glad to look
at that.
Mr. Speaker: Does the hon. member for
Scarborough West have further questions?
Mr. Lewis: Not today, Mr. Speaker.
Mr. Speaker: If not, I believe the hon.
member for Windsor-Walkerville has one.
AUTOMOTIVE INDUSTRY OVERTIME
PERMITS
Mr. B. Newman ( Windsor- Walkerville):
Thank you, Mr. Speaker, I have a question of
the Minister of Labour.
In light of the ever-rising numbers of un-
employed in the automotive industry— at
General Motors and Ford, particularly— and
in light of the fact that there is a continual
request of the ministry for overtime, is the
minister considering either not issuing any
more overtime permits, or at least hingeing
the number of overtime permits being given
according to some percentage of the number
of unemployed in the industry?
Hon. Mr. Guindon: Yes, Mr. Speaker. We
have of course, two types of overtime per-
mits. Some have to do with general permits
which will allow 100 hours of overtime for
employees for one year. We don't think that
this will have any effect at all. However, we
also have special permits— and I'm looking at
this at the present time to see if it does
affect employment in the area.
Mr. Speaker: The hon. member for York
South.
PRICE REVIEW OF FARM SUPPLIES
AND EQUIPMENT
Mr. MacDonald: Mr. Speaker, a question
of the Minister of Agriculture and Food:
Since the premiers of the four western prov-
inces decided last week at their meeting that
they were going to set up a mechanism to
review prices for the two major farm inputs
of fertilizer and farm machinery in order to
protect their farmers, is the Province of
Ontario contemplating similar action here—
and if not, why not?
Hon. W. A. Stewart (Minister of Agricul-
ture and Food): Well, Mr. Speaker, there
is a conference on the fertilizer industry,
which is a national conference, that starts
here in Toronto on Monday morning next.
It will last for two days. But as far as a price
review of fertilizer and machinery parts is
concerned— no, we have not contemplated
this.
Mr. MacDonald: Well, Mr. Speaker, I
return if I might by way of supplementary:
Obviously the western premiers were aware
of this national conference next week and
deemed this to be an appropriate action for
the protection of their farmers. Does the
minister not think there is an obligation on
the part of this government to protect Ontario
farmers, or is it going to let the governments
of western Canada do it incidentally to the
extent they can?
Hon. Mr. Stewart: Well, perhaps we'll see
what the results are, Mr. Speaker. Unfor-
tunately, the three western provinces that
have NDP governments have never suc-
ceeded in anything yet, and I'll be surprised
if they do so on this.
Interjections by hon. members.
Mr. Speaker: The hon.—
Interjections by hon. members.
Mr. Speaker: Order.
Mr. J. A. Renwick (Riverdale): It's almost
a political partisan reply.
Mr. Speaker: Order. The hon. member for
Rainy River.
Mr. MacDonald: Supplementary: Is the
minister-
Mr. Speaker: The hon. member for Rainy
River.
Mr. MacDonald: Well, I have a supple-
mentary.
Mr. Speaker: Well, the hon. member for
York South asked a supplementary. I will
come back to him.
Mr. Lewis: But that was a political answer.
Mr. Speaker: The hon. member for Rainy
River has a supplementary.
Mr. T. P. Reid (Rainy River): Mr. Speaker,
the minister being so sharp I hate to take him
on, but I wonder if the minister can give us
any indication of what his department is
doing about the high cost of things like
fertilizer and also twine, which I understand
is in short supply? And would the minister
not agree that the Province of Ontario should
have a prices review board in which these
24
ONTARIO LEGISLATURE
prices can be reviewed by a committee of
this Legislature to justify the increases in
these commodities?
An hon. member: It is NDP policy— the
member has taken it up now.
Hon. Mr. Stewart: Mr. Speaker, as all
hon. members know, we are vitally concerned
in the cost of the inputs of agricultural food
production.
Interjection by an hon. member.
Hon. Mr. Stewart: I believe that one of
the ways to resolve the matter, as my hon.
friend so rightly brings to our attention and
with which we are all concerned, is to gener-
ate increased sources of supply, and how that
is accomplished is the main objective that
I would like to see tackled. I believe we have
to recognize that for a great many years
in the matter of twine, we will say, which
is a commodity that very seldom is raised
on the floor of this House, is a matter that
simply is reflected on the low cost of pro-
duction over a great many years.
With the cheap steel prices of a few years
ago, Japan went into the production of wire
for baling purposes. They undercut all the
markets by the introduction of this cheap
baler wire. The result was that many of the
hemp or twine manufacturing operations just
couldn't compete and they dropped out of
the business.
Along with that, plastic twine came on the
market and with the shortage of energy that
we are all very much aware of today, the
byproducts of the oil industry are not avail-
able for the continued manufacture in volume
of plastic twine.
The problem is further complicated, Mr.
Speaker, by the fact that steel prices now
have escalated. There is a general apparent
steel shortage throughout the world. Japan
is no longer interested in prodlicing cheap
wire twine for baling purposes and that
product is off the market.
'Now where do we go? The hemp industry
is largely out of business, or at least not in a
position to produce as it has been in the
past, and with the apparent scarcity the price
has escalated to about three times what it
was a year ago. Now we are trying to get
that resolved.
Largely the same thing applies as far as
fertilizer is concerned and I would hope we
would be able to get somewhere with that.
Mr. Speaker: The hon. member for York
South has a supplementary.
Mr. MacDonald: A non-partisan supple-
mentary, Mr. Speaker, to parallel the minis-
ter. Since a gentleman by the name of
Lougheed was an enthusiastic participant in
that decision involving the four western prov-
inces, isn't it possible that the minister might
catch up with him?
Mr. R. Haggerty (Welland South): Just for
the record, he's a separatist statesman.
Mr. MacDonald: Does the minister mean
he is going to do nothing?
Mr. Speaker: Is there any further answer
to that supplementary? If not, the hon. mem-
ber for Ottawa East was on his feet pre-
viously.
INQUIRY ON BUILDING INDUSTRY
Mr. Roy: Thank you, Mr. Speaker. I have
a question of the Minister of Labour.
Undoubtedly the minister is familiar with
the evidence given before the royal commis-
sion on organized crime in the construction
industry in the Ottawa area. Evidence was
given that certain Montreal unions are trying
to move into the Ottawa-Hull sector, using
intimidation against not only union oflBcials
but certain Ottawa contractors. Has the min-
ister considered getting together with his
colleague in Quebec, the Hon. Mr. Cour-
noyer, and possibly working out this problem
by attempting to get him to put pressure on
unions to stop this intimidation against
workers on the Ontario side?
Hon. Mr. Guindon: Yes, Mr. Speaker, I did
get in touch with the Minister of Labour and
Manpower of Quebec on several occasions
already, not only on this matter but on other
matters as well.
Mr. Roy: By way of supplementary, Mr.
Speaker, might I ask the minister to give
consideration as well to discussing with that
minister the fact that Ontario tradesmen are
not allowed to work in the Province of
Quebec, whereas the Quebec tradesmen are
allowed to work in this province? Would he
consider discussing that problem with them,
as it is a problem not only in Ottawa-Hull
but in the minister's area of Cornwall?
Hon. Mr. Guindon: That's right. The prob-
lem exists all along the Ottawa River, I
would say. I have spoken to the Minister of
Labour of Quebec.
il think it is the intention of the con-
struction industry commission of Quebec to
do away with the credit system. It is my
MARCH 6, 1974
25
understanding that presently there are hear-
ings being held in the Province of Quebec
and the Quebec Federation of Labour is, of
course, opposing it for perhaps other reasons.
iBut in any event, we do correspond and
it is my intention to meet with the minister
fairly soon to try to resolve this problem. It
is really a problem which has existed for
some time, but is perhaps more acute in
recent months.
Mr. Speaker: The hon. member for Nickel
Belt.
ARBITRATION BOARD FOR
CAAT DISPUTE
Mr. F. Laughren (Nickel Belt): Mr.
Speaker, a question, in the absence of the
Minister of Colleges and Universities (Mr.
Auld), of the Provincial Secretary for Social
Development: Is the provincial secretary
aware that a picket line has been set up pro-
testing the makeup of the Public Service
Arbitration Board, which was to arbitrate a
dispute between the Colleges' of Applied Arts
and Technology faculties and the Council of
Regents representing the Crown?
Hon. M. Birch (Provincial Secretary for
Social Development): Mr. Speaker, I am not
aware of that, but I understand that the
Treasurer has a report on that.
Mr. Laughren: Well then, Mr. Speaker; if
I could redirect the question to the Treasurer?
Mr. Lewis: Chairman of the Management
Board.
Mr. J. E. Stokes (Thunder Bay): He's pre-
pared to answer it.
Mr. Laughren: Chairman of the Manage-
ment Board?
An hon. member: That should be good.
Mr. Stokes: He is not the Treasurer, he is
the Chairman of the Management Board.
Mr. Laughren: Is the Chairman of the
Management Board aware of the picket hne
that has been set up and why it has been set
up? And further, would he make a recom-
mendation, or at least make a commitment,
that the Public Service Arbitration Board
will be reconstructed in such a way that
there will be an appointment from each side
in this dispute; and then that the chairman
be a mutually-agreeable selection, 'not one
appointed by the government so that it is
weighted two to one in favour of the Crown?
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): Mr. Speaker, we are
aware of the fact that such a picket line has
been established outside of the Royal York
Hotel where the meetings were arranged to
begin, I believe this morning. Prior to the
committee convening the picket line was es-
tablished and the employees' team that was to
discuss the matters currently in dispute de-
cided they would not, under these circum-
stances, continue.
Now we, as the government, are satisfied
with Judge Anderson. I might say that Judge
Anderson was appointed with agreement of
the CSAO and the government, and I am
confident that he can solve the present matter.
Mr. R. F. Nixon: Supplementary, Mr.
Speaker.
Mr. Speaker: There are only a few minutes
remaining and there are numerous members
who want to ask a question. I think, if the
members will bear with me, I will restrict
the supplementaries at this time. The hon.
member for Grey-Bruce is next.
NUCLEAR ENERGY PROGRAMME
Mr. E. Sargent (Grey-Bruce): Thank you,
Mr. Speaker. A question of the Minister of
Energy: In view of the minister's impressive
display of knowledge in the debate with
Ralph Nader-
Interjections by hon. members.
Mr. Roy: I understand Nader wants to
recycle the minister.
Mr. Speaker: Order.
Mr. Sargent: Would the minister investi-
gate, if he is concerned enough, why the
Atomic Energy Control Board in Ottawa re-
fuses to meet with nuclear scientists in the
USA on a TV debate to show the people the
danger of radiation and contamination by
nuclear power; and secondly, will he tell us
the wisdom of investing $38 million in a new
coal mine in Green county, Pennsylvania, and
consorting with US Steel?
The minister is talking about cheap power,
nuclear power; but a $15 billion programme
is $5 million in interest today. How is that
cheap power? So those three questions, I
would like the minister to answer.
An hon. member: He has 30 seconds.
Interjections by hon. members.
26
ONTARIO LEGISLATURE
Hon. W. D. McKeough (Minister of En-
ergy): Mr. Speaker, the answer to the first
question, I would suggest, might better be
sought by the member from some of his
friends in Ottawa. I am certainly not about
to answer in this House for the emanations
of the Atomic Energy Control Board, which
is a federal government board.
The answer to the second question, as to
why we invested $38 million in a coal mine,
is because we wanted the coal.
Mr. Speaker: The hon. member for Thun-
der Bay.
Mr. Sargent: Supplementary.
Hon. R. Welch (Provincial Secretary of
Justice and Attorney General): Mr. Speaker,
the subject matter of the hon. member's ques-
tion is still being investigated. I am really not
prepared to expand on that at this time.
Mr. Singer: How long does this investiga-
tion go on?
Hon. Mr. Welch: Until such time as it is
completed.
Interjections by hon. members.
Mr. Speaker: The hon. member for High
Park.
WEEKEND ROAD xVIAINTENANCE
Mr. Stokes: I have a question of the Minis-
ter of Natural Resources.
Mr. Roy: The Minister of Energy didn't
look so good with Nader.
Mr. Stokes: Will the minister undertake to
fin 1 out why a road that's under the re-
sponsibility of his ministry is not taken care
of on weekends, namely the road between
Gull Bay and Armstrong? Has he had no
complaints that the road is impassable on
many weekends because the contract that the
ministry has now doesn't provide for week-
end maintenance?
Hon. L. Bemier (Minister of Natural Re-
sources): Yes, Mr. Speaker, I would be glad
to do that.
Mr. Speaker: The hon. member for Downs-
view.
INQUIRY ON BUILDING INDUSTRY
Mr. Singer: Mr. Speaker, I have a question
of the Attorney General. Is the Attorney Gen-
eral now able to advise us on results of the
police investigation into the statements made
by Mr. Ab Shepherd, counsel for the royal
commission on building, the inquiry which
is being conducted by His Honour Judge
Waisberg, concerning gifts made to senior
civil servants of the Ontario Housing Corp.?
Have any charges been laid, or are there
going to be charges laid? Are the terms of
reference given to His Honour Judge Wais-
berg going to be expanded and is there go-
ing to be any further investigation ordered by
the government into the continuing affairs of
the Ontario Housing Corp.?
STAFF UNREST AT OAK RIDGES
Mr. M. Shulman (High Park): A question
of the Minister of Health, Mr. Speaker. What
is the Minister of Health doing about the un-
rest in the staff at Oak Ridges, as set out in
a letter by the Civil Service Association of
Ontario last week?
Mr. Laughren: Just since his appointment,
too!
Hon. F. S. Miller (Minister of Health): Mr.
Speaker, I have not as yet had an opportunity
to see that letter, but I would be pleased to
look into it.
Mr. Speaker: The hon. member for York-
Forest Hill.
GO-URBAN SYSTEM
Mr. P. G. Givens (York-Forest Hill): Would
the Minister of Transportation and Com-
munications explain why there has been a
delay in the awarding of the guideway and
stations contracts for the Krauss-Maffei ex-
periment at the CNE, which were promised
for December and January?
Mr. Good: Because he's the minister of
the automobile.
Hon. J. R. Rhodes (Minister of Transporta-
tion and Communications): Mr. Speaker, I
would be glad to take it as notice and per-
haps answer later.
Mr. Bullbrook: That's a good idea.
Mr. Lewis: That s'hows aplomb.
Mr. Speaker: The hon. member for Sand-
wich-Riverside.
MARCH 6, 1974
27
COMPENSATION OF VICTIMS
OF SILICOSIS
Mr. F. A. Burr (Sand\vich-Riverside): Mr.
Speaker, a question of the Minister of Labour
regarding the Workmen's Compensation
Board.
Has any agreement yet been reached with
British Columbia and Quebec to enable On-
tario victims of silicosis, whose exposure was
in those provinces, to be compensated through
the Ontario Workmen's Compensation Board?
Mr. Stokes: Good question.
Hon. Mr. Guindon: Mr. Speaker, I cannot
say for sure. Did the hon. member say
British Columbia?
Mr. Burr: British Columbia and Quebec.
Hon. Mr. Guindon: And Quebec. Well, I
know that at one point there had been nego-
tiations with some of the provinces to try to
compensate victims of silicosis, based on the
number of years or months that they have
lived in one province or the other. As of
late, I don't think there has been any change,
but it is my understanding that the WCB
are still negotiating with some of the prov-
inces.
Mr. Speaker: The time for oral questions
has expired.
Mr. Roy: Could we move to extend it about
an hour, Mr. Speaker? We haven't got any-
thing else to do this afternoon.
Mr. Speaker: I might inform the hon.
members that the Clerk has received' a ques-
tion to the Minister of Natural Resources,
but the member who placed the question did
not indicate his name on the question. Per-
haps he would so advise the Clerk.
Petitions.
Presenting reports.
IHon. Mr. White presented the Public
Accounts, 1972-1973, volume two, "Financial
Statements of Crown Corporations, Boards
and Commissions," and volume three, "Details
of Expenditures."
Mr. Biillbrook: What does the Treasurer
think of the report of the Ontario Economic
Council?
Interjections by hon. members.
Hon. Mr. Snow presented the report of the
Public Service Superannuation Board for the
year ended March 31, 1973.
Mr. Lewis: They'll never publish another
report like that, now that they're in his
ministry.
Hon. J. W. Snow (Minister of Government
Services): The member had better read those
before endorsing them.
Mr. Lewis: That would be critical.
Mr. Speaker: Motions.
Hon. Mr. Winkler moves that the standing
committees of the House for the present
session be appointed as follows:
II. Procedural affairs committee.
2. Administration of justice committee.
Committees 1 and 2, combined under the
chairmanship of the chairman of the adminis-
tration of justice committee, will function as
the private bills committee.
3. Social development committee.
4. Resources development committee.
5. Miscellaneous estimates committee.
6. Public accounts committee.
7. Regulations committee.
Which said committees shall severally be
empowered to examine and inquire into all
such matters and things as may be referred
to them by the House, provided that all
boards and commissions are hereby referred
to committees No. 1 to 4 in accordance with
the policy areas indicated by the titles of the
said committees.
Public accounts for the last fiscal year are
hereby referred to the public accounts com-
mittee and all regulations to the regulations
committee.
All standing committees shall report from
time to time their observations and opinions
on the matters referred to them, with the
power to send for persons, papers and
records.
That there be no duplication of member-
ship among committees No. 1 to 4 inclusive,
or between committees No. 5 to 7 inclusive.
That substitutions be permitted on any
committee while considering estimates re-
ferred to it, provided that notice of the
substitution is given to the chairman of the
committee prior to commencement of the
meeting.
Mr. R. F. Nixon: Mr. Speaker, I just want
to speak briefly on the motion. We're aware
that, on the recommendation of the Camp
commission, an additional whip has been
provided for each of the parties with the
understanding there is going to be a consider-
able increase, if we follow the recommenda-
28
ONTARIO LEGISLATURE
tion of the Camp commission, in the work of
the committees, something that is, in my
view, desirable.
The point is that these whips are presently
available. Their services will, I hope, show
an improvement in the work of these com-
mittees during this session.
In specific reference to the work of the
committees, I would have this to say. To
begin with, the regulations committee has
been shown to be completely useless. The
terms of reference that have been laid down
by the majority on that committee have for-
bidden the members to examine into the use-
fulness of the regulations. Their application
is only as to whether the statutes to which
they refer have specific authority for the
promulgating of regulations.
I think you're aware, Mr. Speaker, that
that committee has been essentially function-
less. I stand to be corrected, but I believe
that it meets only sufficiently often so that
the chairman would get the additional in-
demnity associated with it. In my view, that
committee should have its terms of reference
improved, amended and changed so that, in
fact, it can review the law-making powers
that apparently go to the government with
the passage of certain statutes and that show
themselves in the formulation of regulations.
We're aware in many areas that the lack
of regulations prohibits and retards the estab-
lishment of the concepts and principles of
the laws passed by this Legislature. This ap-
parently is a matter of policy on the part
of the government, particularly in the estab-
lishment of such things as a new welfare
policy. The Minister of Community and
Social Services (Mr. Brunelle) is aware, I'm
sure, that the postponement of the establish-
ment of these regulations has, in fact, nulli-
fied the decisions taken by this House with
regard to certain programmes that he himself
has put before us. I would say to you, Mr.
Speaker, that we should not approve the
establishment of a regulations committee
unless its terms of reference are brought up
to date so that it can be useful.
The second thing I would like to refer to is
the fact that we in this Legislature are going
to be concerned not only with important
legislation pertaining to education, but also
with far-reaching and important legislation
pertaining to health services. In both of these
particularly important ministries, spending by
far the largest share of our provincial budget,
there are going to be new pieces of legisla-
tion brought forward, compendiums and
omnibuses of old legislation with many new
principles involved.
An hon. member: Omnibi!
Mr. R. F. Nixon: Omnibi? Pardon me! If
we are going to have our work in this Legis-
lature restricted by the fact that important
legislation, not the least of which is the pro-
posed legislation governing the negotiations
between teachers and school boards, is going
to be channelled into a bottleneck in a single
committee, which is apparently going to have
to deal with much more important legislation
than any other committee, then the associated
public hearings will be inadequate.
I personally feel, Mr. Speaker, that we
should establish a committee on education,
and that it is a serious matter indeed that
our rules have not provided for this over the
last few years. I have spoken about this be-
fore, but this year it is particularly necessary,
when the school administration statutes are
going to be put together, when the bills
pertaining to teacher-board negotiations will
undoubtedly have lengthy and important
public hearings.
Although a health disciplines Act is not
referred to in the Speech from the Throne
it is expected to be brought forward'. Surely
we would be wise indeed if we made an
amendment now to the particular motion that
the House leader has put before us, setting
up committees which could meet concurrently
to handle the tremendous load of important
legislation which will be put before us.
I would like, further, to suggest that utiliz-
ing Wednesdays for committee work can be
justified only if, in fact, we are prepared as a
Legislature to send a far higher percentage
of bills to standing committee so that the com-
munity at large, and experts in particular ,-
can bring forward their owti views to the
members of the Legislature who have special
committee responsibilities. We have been
equipped with additional facihties, party by
party, to accept these responsibilities.
We are going to have legislation which will
fall particularly heavily on one of these com-
mittees—the social development committee. I
would suggest to the House leader that, rather
than have an amendment now and a debate
on it, he might very well consider taking the
steps that I believe will have to be taken
some time during the session to establish an
additional committee to handle the volume
of work expected to be sent to them.
Mr. Deans: Mr. Speaker, I want to make
just one comment in one area. I think much
of what the Leader of the Opposition said
is true. It may well be we are moving to-
v^ards the position where we will be dealing
vdth much more of the legislation outside of
MARCH 6, 1974
29
the House than we had in the past. I have
arjTued each year that we should have free
substitution on committees, not only in the
areas of dealing with estimates but also in
dealing with legislation.
It must be obvious to the government that
the opposition, because of its numbers, can't
have a sufficient number of people in any one
c^mmittee at any given time. Therefore, if
there is a bill before a committee that has
the responsible member not on the com-
mittee, it is extremely difficult for him to be
there and to actively take part in the dis-
cussion. I have never understood' why the
government hasn't agreed to allow for free
substitution on any committees, providing that
substitution is made prior to the beginning
of the sitting on the day in which it is to be
applicable.
I know last year when I raised it the
Premier indicated, as did the House leader
of the government, there was a possibility
that that would be done. It wasn't done. It
has caused us, and I am sure it has caused
the ofiicial opposition, considerable aggrava-
tion. It has even caused the government
aggravation. Why not extend that section
dealing with substitution to include substitu-
tion in the committees for any purpose, pro-
vided it is done prior to the beginning of the
sitting on the day during which the substitu-
tion is applicable? Then we won't have the
hassle, time after time, of worrying and
trying to get the appropriate person to the
committee to dteal wdth the fegislation.
It seems to me to make a lot of sense. I
don't understand what possible problems it
could bring about. I would ask the House
leader to accept that very simple change to
what he is proposing in order that we can
have a more responsive and a more satis-
factory working of the various committees
dealing with matters that are of importance
to the public.
Mr. BuUbrook: Normally, Mr. Speaker, this
is a routine matter, and it goes without too
much debate. But during the course of the
remarks by the hon. member for Wentworth,
my colleague from Waterloo North (Mr.
Good) said to me: "Do they want the stand-
ing committee system to work or do they not
want it to work?"
Mr. Deans: Who? Me? No, no.
Mr. Bullbrook: No, the government. I
speak of the government.
Mr. Deans: Oh, I'm sorry.
Mr. Bullbrook: I want to say to you, Mr.
Speaker, without reservation, they don't want
it to work.
I stood in this House some months ago
and pointed out that, in 1966, 44 per cent of
all legislation went to standing committees.
We had the public come before us and make
significant input. Think of the Landlord and
Tenant Act; think of the Expropriations Act,
the Corporations Act, the University of To-
ronto Act; where we had the public— lay
people and experts— come before us and assist
us in passing legislation. And the legislation
was all to the better because of it,
Mr. Singer: And Arthur Wishart encour-
aged it,
Mr. Bullbrook: And Arthur Wishart, who
was then Attorney General, encouraged that
type of public participation. Now, I want to
tell the House what happened under this
Premier, In the first year of the Davis regime,
nine per cent of all legislation went to stand-
ing committees. Let me tell you what hap-
pened last year,
Hon. Mr. McKeough: Shameful.
Mr. Roy: They should be ashamed.
Mr. Bullbrook: Three per cent of all bills
tabled in this House went to a standing com-
mittee. The fact of the matter is— and the
answer to the member for Wentworth is—
the government doesn't want the standing
committees to work. They don't want any
public input. What they want, under the new
superstructure of horizontal development put
forward by COGP, is the development of
some type of think tank. The now Attorney
General, as Provincial Secretary for Social
Development, certainly did not want, in con-
nection with any of his legislative respon-
sibilities, any public input.
Hon. Mr. Welch: That's irresponsible.
Mr. Bullbrook: That is correct. He doesn't
want it. He wants to sit vdth Wright and
these intellectuals upstairs and think in the
abstract.
Hon. Mr. Welch: One hundred and seven-
teen of us that have been elected.
Mr. Bullbrook: Well listen, let me tell the
House about the hospital situation in Sarnia.
I wrote to him about it and I never even had
the courtesy of a reply from him, because
when it comes to something that is very
practical he doesn't know what is going on,
and I really worry that the justice portfolio
30
ONTARIO LEGISLATURE
might become inert, as social development
did under him. We had wonderful Attorneys
General here. The minister knows that—
Mr. Singer: One has to go back a couple
of years to find them.
Mr. Bullbrook: —the executive assistant to
the Premier was the best we ever had and
he was the one who wanted this public—
Hon. Mr. Welch: The member is being
very personal.
Mr. Bullbrook: I am not being personal.
I've never been personal with the minister in
my life. I don't even know his name; I
haven't called him by name.
Mr. Speaker: Order.
Hon. Mr. Welch: The member is far too
subjective.
Mr. Bullbrook: I called him the Provincial
Secretary for Social Development. Is that
personal?
Hon. Mr. Welch: The member is being
smart.
Mr. Bullbrook: Certainly I am being smart.
I'm giving the minister the figures.
Mr. Speaker: Order.
Mr. Bullbrook: I'm giving him the figures
that he knows about.
Hon. Mr. Welch: Make the point.
Mr. Bullbrook: Three per cent of all legis-
lation went to standing committees. He
doesn't want the public to be involved.
Mr. R. F. Nixon: Right.
Mr. Bullbrook: He wants that superstruc-
ture system—
Hon. G. A. Kerr (Solicitor General): The
member can ask for it to go to standing
committee.
Mr. Bullbrook: —that took away, for ex-
ample, from the cabinet, a very intelligent
man-
Mr. Speaker: Order.
Mr. Roy: That is embarrassing to the
Attorney General.
Mr. Bullbrook: —who was sterilized by
them.
Mr. Speaker: Order.
Mr. Roy: He is right on, Mr. Speaker.
Mr. Bullbrook: I don't know why we go
through this charade of establishing these
committees if the government is not going to
have the legislation referred to them. Heark-
en back, if you will, in a moment of seri-
ousness, if that's possible, to the planning
legislation that was debated in this House
after being brought in at the eleventh hour
—very significant legislation as far as develop-
ment in the Province of Ontario is concern-
ed. Did the minister have anything to do
with that? I don't think he did, no.
Mr. Roy: He wouldn't understand it.
Mr. Bullbrook: But if you recall, we had to
attempt to digest that legislation over a two-
day period without any issuance of any kind.
It was run through by a parliamentary as-
sistant. I remember my colleague from
Downsview sitting here and writing, in an
extemporaneous fashion, amendments to the
bill which were accepted by the parlia-
mentary assistant. Why not give us the op-
portunity of taking our time, going down be-
fore a standing committee? Let the lawyers
let the accountants who helped us in the
Corporation Act, assist us. Let the lay people
who assisted us in the Landlord and Tenant
Act assist us again.
An hon. member: Let the public assist us.
Mr. Bullbrook: Let the public have an op-
portunity, as they do in Ottawa at the pres-
ent time, to participate in the legislative
process.
Mr. Lewis: It is fact, as I recall it, Mr.
Speaker, that the Planning and Development
Act did go to committee.
Mr. Singer: No it didn't.
Mr. Stokes: Yes, with the Treasurer there.
Mr. Singer: Not to standing committee. It
was here, the committee of the whole House.
Mr. Lewis: The committee of the whole
House was here.
Mr. Good: No— the amendments to the
Planning Act.
Mr. Lewis: No, certainly one of those
Planning Acts went to the committee.
Mr. Bullbrook: It might have been one of
the three per cent.
Hon. Mr. Winkler: Look ahead fellows, look
ahead.
Mr. Lewis: I think I'm right, Mr. Speaker.
I think I am correct.
MARCH 6, 1974
31
Mr. Roy: I am telling the member he is
correct.
Mr. Lewis: He is telling me I am? If the
hon. member for Ottawa East is telling
me I am correct, clearly I am. I think that in
a sense puts the problem in a nutshell. It
isn't a matter of the percentages, because it
is very rarely, if the opposition parties put
the pressure on, that the government resists a
bill going to committee. There are not that
many bills which it refuses to send to com-
mittee and I concede that. The problem is
that the government sends them to com-
mittee at the last minute when there is ab-
solutely no time to mobilize the kind of
public contribution which would make the
committee process valid.
My colleague from Windsor West (Mr.
Bounsall) reminded me of the Workmen's
Compensation Act amendments, which were
very crucial amendments I'ast year. They hap-
pened to come up for second reading on a
Friday. Only because we had the weekend
were we able to arrange for any representa-
tives from the unions or from the injured
workmen's consultants to appear before the
committee on the Monday and make repre-
sentations.
There is a serious tendency developing in
the government— in fact, it's kind of a critical
failine— to bring in legislation sufficiently late
or sufficiently haphazardly so that the com-
mittee work is compressed into a matter of
days without any adequate public notifica-
tion at all. That's because the government
doesn't see the committee system as a valid
system. It sees it as a ritual appendage to
the Legislature. If the government saw it as
a valid system, this motion today would have
in it provision for the kind of support stajBF
for the committee system which would make
it work.
I want to express something else that isn't
often expressed. I saw Douglas Fisher under
the gallery, Mr. Speaker, and as I recall,
the Camp commission has been sitting now
for something more than a year; is that fair?
I think it's something more than a year; sig-
nificantly more than a year. It bothers me that
we come to yet another year and yet another
Throne Speech debate and we are still trap-
ped in the old system which all of us find
so blessed rigid and frustrating. Nothing has
changed in the operation of this agency and
its adjuncts; nothing.
The business of the House is still chaotic.
The committee system won't work any better
now than it did before. The legislation isn't
guaranteed in advance. All of the things that
we presumed would flow from the Camp
commission have not yet flowed. My colleague
from Thunder Bay (Mr. Stokes) tells me that
the commission is now dealing with the oper-
ation of the Legislature and that doubtless
the next report \vill have something to say
about the way in which this peculiar structure
functions. All right, but we have another
whole year on the old basis and that really
cripples the parliamentary system around this
place.
The House leader brings in this setup of
committees again; it is absolutely no different
from the previous year. Everybody knows in
advance what an artificial, frustrated non-
sensical piece of structure it is and we'll go
through the same confrontation in the House,
the last minute ordeals, all the rest of it.
The simple truth about it is, apart from the
indifference and contempt that it tends to
show for some opposition members— and, I
may say, for backbench government members
who would like to participate— what's really
so frustrating about it, the truth that lies be-
hind it is that the government doesn't see the
Legislature of Ontario as an open forum to
which the public should have access.
It is completely indifferent as a govern-
ment to the emergence of public groups, com-
munity-centred groups, pressure groups, all
over Ontario. It forces them to mass at Maple
Leaf Gardens or on the lawns of Queen's
Park because there is no systematic funnel
provided by this House for the expression of
citizen discontent. None at all. Only at the
11th hour, under extreme pressure, will the
government ever allow a group of people to
gather to voice their views. But on really
contentious issues, whether it's land-use
planning, regional government— the regional
government bills didn't go to standing com-
mittees for examination; none of them— or the
Workmen's Compensation Act, for those
things there is never time because the gov-
ernment doesn't see the public dimension of
our role.
That's the problem with this Legislature.
It's such a kind of self-centred apparatus; so
much is focused inward and it so little appre-
ciates that there is a world outside. This little
resolution today simply reinforces all the old
patterns. This is a privileged' club. We open
our doors only selectively. We'll not allow
the public to come as of right. They will only
be here intermittently by invitation. We will
not give to the members of the Legislature
the kind of authority to examine legislation
which they should have. We don't believe in
public accessibility to the political process.
We see ourselves as the perpetuation of
32
ONTARIO LEGISLATURE
divine right, occasionally going to the electo-
rate for approval but largely making decisions
independent of their pressure, or forcing them
to express their pressure in the most extreme
fashion through public demonstration rather
than the channels of normal debate.
It will catch up with the government. Its
abuse of the process doesn't matter. The
government has got over 70 seats; the opposi-
tion has 40, or 41. But the public will catch
up with the government because it can frus-
trate their interest in social issues only so
long before it collapses around its ears—
whether it is North Pickering or whether it
is Arnprior, or whether it is transmission
corridors, or whether it is Highway 402, or
whether it is the Algonquin Wildlands
League.
They are all forced to work out there be-
cause the government closed this process up
to them which should be theirs, inchiding, let
me remind the minister, the incorporation of
the town of Durham. That is going to be his
personal downfall, because even the Tories
in Durham were not consulted in advance of
what was done in the regional municipality;
nor have they had any access to the Legis-
lature because he would not allow them to
go to standing committee, so they are forced
to do battle in the courts.
Does the minister think the use of the
public in that fashion— to force the public to
demonstrations and to the courts— is the
proper use of the parliamentary process? The
government believes in confrontation; it has
become ad'dicted to confrontation. We, on
the other hand, believe in moderation. We
believe that a more conciliatory approach
can be taken.
Hon. Mr. Winkler: What a facetious state-
ment that is.
Mr. Lewis: Well, it had a faint ring of
unction about it, Mr. Speaker, which I caught
myself—
Mr. R. F. Nixon: Talk about a credibility
gap-
Mr. Lewis: Well, and a little problem of
credibility. Nonetheless, that is my problem.
Mine at least is solvable; the government's is
beyond repair— and this resolution shows it
yet again.
Hon. Mr. Winkler: Mr. Speaker I have
listened, of course, with interest today. It is a
little early in the session for me to allow
the members across the way to raise any
hackles on the back of my neck, but I
would like to say to the leader of the Liberal
Party in regard to his remarks on the stand-
ing committee on regulations, that it is a
statutory requirement-
Mr. Roy: Who makes statutes?
Hon. Mr. Winkler: Now just a moment,
will the member let me conclude?
Mr. Roy: Okay, go ahead.
Hon. Mr. Winkler: That particular situa-
tion will have to be changed that way. I
assure him that I will take the suggestions
that have been made today under considera-
tion and we will bring together at the time
of the commission on the Legislature's report,
those matters which we feel are necessary for
the proper functioning of this Legislature.
Mr. Speaker, I will say right now that
as far as this government is concerned I
think the remarks that were made by the
leader of the NDP are totally "facatious." I
don't think, Mr. Speaker, I don't think—
Mr. Lewis: Point of order, point of order;
point of personal privilege—
Hon. Mr. Winkler: I don't think, Mr.
Speaker, that any government has—
Mr. Lewis: That may be fallacious, or that
may be facetious, but it is not "facatious."
Hon. Mr. Winkler: —sent more of its min-
isters and its committees out across this prov-
ince to communicate with the people; and
therefore his argument falls away short.
Mr. Lewis: Well, go back to the electors
of Durham, but they won't give the minister
a vote; they won't give him a vote.
Hon. Mr. Winkler: Nor do we allow our-
selves to get trapped into the sort of organ-
izational trap that the leader of the NDP
Interjection by an hon. member.
Hon. Mr. Winkler: And let me say a word
about the town of Durham. I am continually
and totally accessible to the people in Dur-
ham, which they know-
Mr. Lewis: The minister is not accessible;
they have rejected him.
Hon. Mr. Winkler: —each and every week
of the year. If the member wants to continue
with his kind of nonsense they will know
he is lying like other people I know as well.
Mr. Lewis: Resign.
MARCH 6, 1974
33
Hon. Mr. Winkler: Mr. Speaker, that is all
I have to say. But I offer my co-operation
on behalf of the government in the sugges-
tions that were made.
Mr. Lewis: There go the hackles.
Mr. Roy: The minister made the same re-
marks last year— last year he told us the
same thing about—
Mr. Lewis: The electors of Durham will
do him in.
Hon. Mr. Winkler: Don't worry.
Mr. Lewis: I am not—
Mr. Speaker: I am not certain that I heard
the comments of the hon. House leader but—
Mr. Lewis: It is who they vote for that
worries me.
Mr. Speaker: But I think if there had been
something wrong the hon. member for Scar-
borough West would have risen on a point of
order.
Those in favour of the motion will please
say "aye."
Those opposed will please say "nay."
In my opinion, the "ayes" have it.
Motion agreed to.
Hon. Mr. Winkler moves that a select
committee of 13 members be appointed to
prepare and report with all convenient
despatch a list of members to compose the
standing committees ordered by the House,
such committee to be composed as follows:
Mr. Carmthers. chairman; Messrs. Allan,
Deans. Beckett, Henderson, Hodgson (Vic-
toria-Haliburton), MacBeth, Maeck, Newman
(Windsor-Walkerville), Smith (Simcoe East),
Stokes, Worton and Yakabuski.
Motion agreed to.
Hon. Mr. Winkler: Mr. Speaker, I will
move the adjournment of the House.
Mr. Singer: What about the business of
bills and stuff?
Mr. Speaker: We were dealing with mo-
tions. Introduction of bills.
Mr. Roy: If the government doesn't have
any bills ready, we do.
Mr. Speaker: Are there bills to introduce?
Mr. Singer: Yes, I have a bill, Mr. Speaker.
Mr. Speaker: The hon. member for Sud-
bury was on his feet with a bill.
DENTURE THERAPISTS ACT
Mr. Germa moves first reading of bill in-
tituled, An Act to amend the Denture Thera-
pists Act, 1972.
Motion agreed to; first reading of the bill.
Mr. M. C. Germa (Sudboiry): Mr. Speaker,
the amendment removes the dental hygienists
and the dental technicians from the Denture
Therapists Licensing Board and replaces
them with two more denture therapists, in-
creasing the number of denture therapists on
the board to four.
In section 2, the amendment removes a re-
quirement that the denture therapists work
under the supervision of a dental surgeon.
It would also allow the denture therapists to
deal directly with the public, but only where
the patient can produce a certificate of oral
health signed by a dental surgeon or a legally
qualified medical practitioner.
In section 3, the limitation period for com-
mencing a proceeding under clause (b) of
subsection 1 of section 16 of the Act is
changed from two years to one year.
And in section 4, the amendment provides
that the Lieutenant Governor in Council may
make regulations setting fees to be charged
by denture therapists.
DENTISTRY ACT
Mr. Genna moves first reading of bill in-
tituled. An Act to amend the Dentistry Act.
Motion agreed to; first reading of the bill.
Mr. Germa: Mr. Speaker, this bill is com-
plementary to the Denture Theraoists Amend-
ment Act, 1974, which would allow denture
therapists to deal directly with the public.
MEDICAL COMPLAINTS PROCEDURES
ACT
Mr. Singer moves first reading of bill
intituled, the Medical Complaints Procedures
Act.
Motion agreed to; first reading of the bill.
Mr. Singer: Mr. Speaker, the purpose of
this bill is to provide a system in the Prov-
ince of Ontario whereby people who believe
that they have complaints about medical pro-
cedures affecting them are going to have
34
ONTARIO LEGISLATURE
available to them, when this bill passes, a
board which can review them.
The boaid will consist of medical people,
legal people, members of the public. The
board will have the power to review and
suggest remedies and/or award damages.
There will be reasonable limitation periods
for these complaints to be brought forward.
There will be a panel of doctors maintained
who will be available to give independent
evidence when matters of this sort cpme up,
and who will be available to those people
who believe they have complaints to make.
These suggestions, Mr. Speaker, are not
arrived at lightly, but emanate from a series
of debates in the estimates of the Minister of
Health over several years. The ministry has
done nothing in this regard at all. The situ-
ation is difficult and presents great hazards
to many members of the pubhc who have no
way of coping with what they feel on occa-
sion are very serious personal problems. The
bill will remedy many of these difficulties.
Mr. Speaker: Orders of the day.
Hon. Mr. Winkler moves the adjournment
of the House.
Motion agreed to.
The House adjourned at 3:25 o'clock, p.m.
MARCH 6, 1974 35
CONTENTS
Wednesday, March 6, 1974
Withdrawal of teachers' services, question of Mr. Davis: Mr. R. F. Nixon 15
Environmental impact of public works, questions of Mr. DavK: Mr. R. F. Nixon,
Mr. Lewis, Mr. Cassidy, Mr. Bounsall 15
Withdrawal of teachers' services, questions of Mr. Wells: Mr. R. F. Nixon, Mr. Foulds,
Mr. Lewis, Mr. Deacon, Mr. Boimsall 17
Cost of land for housing, questions of Mr. Handleman: Mr. Lewis, Mr. R. F. Nixon,
Mr. Cassidy, Mr. Singer, Mr. Good 20
North Pickering development, questions of Mr. Handleman: Mr. Lewis, Mr. Deacon,
Mr. R. F. Nixon 21
Seminar on maintaining non-union status, questions of Mr. Guindon: Mr. Lewis 22
Automotive industry overtime permits, question of Mr. Guindon: Mr. B. Newman 23
Price review of farm supplies and equipment, questions of Mr. Stewart: Mr. MacDonald,
Mr. Reid 23
Inquiry on building industry, questions of Mr. Guindon: Mr. Roy 24
Arbitration board for CAAT dispute, questions of Mrs. Birch and Mr. Winkler:
Mr. Laughren 25
Nuclear energy programme, questions of Mr. McKeough: Mr. Sargent 25
Weekend road maintenance, questions of Mr. Bemier: Mr. Stokes 26
Inquiry on building industry, questions of Mr. Welch: Mr. Singer 26
Staff unrest at Oak Ridges, question of Mr. Miller: Mr. Shidman 26
GO-Urban system, question of Mr. Rhodes, Mr. Givens 26
Compensation of victims of silicosis, question of Mr. Guindon: Mr. Burr 27
Presenting report, Public Accoimts: Mr. White 27
Presenting report, Public Service Superannuation Board: Mr. Snow 27
Motion to appoint standing committees, Mr. Winkler, agreed to 27
Motion to appoint select committee re standing committees, Mr. Winkler, agreed to 33
Denture Therapists Act, bill to amend, Mr. Germa, first reading 33
Dentistry Act, bill to amend, Mr. Germa, first reading 33
Medical Complaints Procedures Act, bill intituled, Mr. Singer, first reading 33
Motion to adjourn, Mr. Winkler, agreed to 34
No. 3
Ontario
Hegfelature of Ontario
OFFICIAL REPORT — DAILY EDITION
Fourth Session of the Twenty-Ninth Legislature
Thursday, March 7, 1974
Speaker: Honourable Allan Edward Renter
Clerk: Roderick Lewis, QC
THE QUEEN'S PRINTER
PARLIAMENT BUILDINGS, TORONTO
1974
Price per session, $10.00. Address, Clerk of the House, Parliament Bldgs., Toronto
CONTENTS
(Daily index of proceedings appears at back of this issue.)
39
LEGISLATIVE ASSEMBLY OF ONTARIO
The House met at 2 o'clock, p.m.
Prayers.
Mr. B. Newman ( Windsor- Walkerville ) :
Mr. Speaker, in the east gallery we have
guests from the fine city of Windsor and the
great riding of Windsor- Walkerville.
An hon. member: Good! Good!
Mr. B. Newman: They are the first school
to visit the fourth session of this Parliament.
They are 55 fine students from grades 7 and
8 of the Ada C. Richards School, who are
accompanied by their principal, Mr. Pyke;
two members of the staff, Mr. Noble and Mr.
Thompson; and two parents, Mrs. Baia and
Mrs. Shelson. I know, Mr. Speaker, the Legis-
lature extends them a cordial welcome.
Mr. E. W. Martel (Sudbury East): Mr.
Speaker-
Mr. J. H. Jessiman (Fort William): Mr.
Speaker, may I introduce to you, also in the
east gallery, the fourth such delegation that
has appeared here in this Legislature from
the great city of Thunder Bay, the grade 8
students, 75 in number, from the Westmount
Public School in the south ward of the city
of Thunder Bay.
Mr. Martel: Mr. Speaker, it gives me a
good deal of pleasure to welcome, from the
riding of Sudbury East, some 33 students
from Ecole St. Matthieu, a bilingual school
from that great riding— I reiterate, that great
riding— of Sudbury East.
Mr. J. E. Stokes (Thunder Bay): And its
great member.
Mr. Speaker: Statements by the ministry.
ROUTE OF PETROLEUM PIPELINE
Hon. A. Grossman (Provincial Secretary for
Resources Development): Mr. Speaker, when
the government of Canada announced that a
pipeline would be necessary to move petro-
leum products to Quebec and the eastern
markets, it stated its intention to build a
Thursday, March 7, 1974
pipeline across southern Ontario from Sarnia
to Montreal.
Mr. S. Lewis (Scarborough West): Who
won?
Hon. Mr. Grossman: Several ministers have
quite properly expressed legitimate concerns
over the possible-
Mr. M. Cassidy (Ottawa Gentre): They
gave in.
Hon. Mr. Grossman: —adverse effects that
such construction would have, particularly on
the high quality agricultural lands that would
be in the path of the pipeline. They have
been joined by a number of concerned groups
of citizens, and at least two federal cabinet
ministers. The consensus of these concerned
ministers, groups and indivduals was that
the pipeline should more properly be built
across a more northern route from Sault Ste.
Marie to the Ghalk River area and thence
through Quebec to Montreal.
Since the ultimate responsibility for the
construction of the line rests in Ottawa, we
have pressed the government of Ganada, the
National Energy Board and the Interprovin-
cial Pipeline Co. for information on these
two alternative routes. Within the last two
weeks, we have been able to obtain more
complete information on these possible routes,
which clarifies why the federal government
has decided on a southern route from Sarnia
to Montreal.
Mr. Gassidy: This government gave in.
Hon. Mr. Grossman: These reasons include
costs, potential reversibility of oil flow, and
timing in terms of the urgent need for de-
livery of oil to Montreal and eastern Canada.
On the last point, the most optimistic
estimate of the federal government indicates
that a northern route cannot be in operation
before two years, and therefore no crude oil
could flow through the line to Montreal
before the 1976-1977 heating season. On the
other hand, we have been led to believe by
the government of Canada that if the south-
ern route is undertaken, crude oil will be
flowing to the east by the 1975-1976 heating
season.
40
ONTARIO LEGISLATURE
I am tabling a fact sheet in connection
with this statement which sets forth con-
cisely the relative merits of both pipeline
alignments, an analysis of which tends to
justify the decision of the federal govern-
ment. I might add here that we would sup-
port the federal government in its ultimate
national goal of an all-Canadian pipeline.
This does not mean, however, that we
have abandoned the concerns which
prompted us to question the southern route
in the first place.
Mr. Cassidy: And we'll table the facts.
Hon. Mr. Grossman: We are concerned
with environmental impacts in general-
Mr. Martel: Stop the flow of oil.
Hon. Mr. Grossman: —and particularly with
the disruption of food-prodticing lands in
southern Ontario.
Mr. A. J. Roy (Ottawa East): I guess the
Wafilers are with the government now.
Hon. Mr. Grossman: We realize the
southern route will cause much greater in-
convenience and dislocation to citizens and
to personal property than the northern route.
Our greatest concern is the potential losses
of agricultural prodtiotion along the rights of
way.
Mr. Roy: How many acres?
Hon. Mr. Grossman: We recognize that the
pipeline from Samia to Port Credit, with the
exception of some 10 miles, will be built on
existing rights of way. Regardless of whether
we are speaking of an existing pipeline right
of way or of a right of way to be used in
eastern Ontario, we do not accept the proposi-
tion that this can be accomplished without
disruption to adjacent property.
The casual observer may not be aware of
the inconvenience which such construction
brings to property owners in terms of fence
removal, drainage disruptions, soil compaction,
loss of food' production during the construc-
tion period, reduced production in succeeding
years and other factors. It is true that com-
pensation is provided, but it is difiicult to
compensate in dollars for disruptions, many
of which may not become apparent for
months and even years after the actual con-
struction period.
Ontario farmers are concerned about this.
We have had discussions with the Ontario
Federation of Agriculture relating to these
difficulties and I want to make it clear that
the Federation of Agriculture is quite objec-
tive about the need for this utility. However,
they are insistent that such matters as fair
compensation, and the protection of indi-
vidual rights be assured.
These requests are valid, and we intend to
intervene at the National Energy Board hear-
ings for assurance, among other things, that
competent inspectors be provided along the
pipeline route to ensure that the concerns of
property owners are met.
We have noted in recent decisions emanat-
ing from the National Energy Board on pipe-
line construction in western Canada that en-
vironmental concerns, including agriculture,
are to be given much greater attention in the
future than has been the case in the past. We
are encouraged by this new position of the
National Energy Board and have submitted
to the board for its consideration environ-
mental guidelines for pipeline construction
and maintenance.
Mr. Cassidy: The government had better
convince the farmers first that the southern
route is necessary.
Hon. Mr. Grossman: These guidelines,
which I am also tabling with this statement,
are those currently being followed by the
Ontario Energy Board for those pipelines
which are under its jurisdiction.
Energy is a vital need in these critical
times, second only to our continuing depend-
ence on food. Of all the material things which
man utilizes these two are by far flie most
important. We want the citizens of Ontario—
indeed of all Canada-to know that Ontario's
priorities vdll recognize these needs. We in-
tend to maximize the food production poten-
tial in Ontario and we intend to seek security
of energy supplies within a national context
while paying due regard to the environment.
We shall do everything in our power, there-
fore, to ensure that the construction of an
oil pipeline through southern Ontario not
conflict with our goals.
Mr. Roy: Did the minister prepare that or
was it his predecessor, the member for Carle-
ton East (Mr. Lawrence)?
Mr. Cassidy: He surely went to somebody
on that one.
ARBITRATION BOARD
FOR CAAT DISPUTE
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): Mr. Speaker, in' order
that members of the House will have a better
understanding of the events which led up to
MARCH 7, 1974
41
the current situation, I would like to reply at
some length to the question asked on March
6 by the member for Nickel Belt (Mr.
Laughren).
As the members of the House will recall,
the Crown Employees Collective Bargaining
Act, the Act which sets out the bargaining
procedures for Crown employees, came into
force on Dec. 29, 1972. The Act provides
that where the parties are unable to effect
an agreement the matters in dispute shall be
decided by arbitration, and also provides in
section 10(1) that:
A person shall be appointed by the
Lieutenant Governor in Council for a re-
newable term of two years to be the chair-
man of every board of arbitration estab-
lished under this Act.
The members may be interested in knowing
that under the Act which governs federal
public servants the chairman of the arbitra-
tion tribunal is appointed by the Governor in
Council to hold office during good behaviour
for such term, not exceeding seven years, as
may be determined by the Governor in
Council
Mr. Cassidy: Civil servants have the right
to strike in Ottawa but they haven't got it
here.
Hon. Mr. Winkler: His Honour Judge J. C.
Anderson of Belleville, Ontario, whose expe-
rience in labour relations arbitration matters
in both public and private jurisdiction covers
a period of more than 30 years and who is
generally regarded by unions and employers
alike as an extremely competent and impar-
tial adjudicator, was appointed as chairman
of the Public Service Arbitration Board for
the two-year period from Jan. 1, 1973, to
Dec. 31, 1974.
The members will recall that Judge Ander-
son had performed a similar service for the
public service of Ontario since his first ap-
pointment under the Public Service Act as
early as 1964. His most recent appointment
was discussed with and was acceptable to the
bargaining agents which represent Crown
employees.
It is acknowledged there is an honest dif-
ference of opinion as to the merits of ad hoc
arbitration as opposed to the system where
the chairman is appointed for a fixed term.
But it is the very firm view of this govern-
ment, and obviously the view of the federal
government as well, that a chairman ap-
pointed for a fixed term who has an oppor-
tunity to become familiar with the issues
that the parties bring before him is able to
issue more satisfactory awards than a series
of chairmen who may never be exposed to
the problems more than once.
Mr. Cassidy: There is no forced arbitra-
tion in Ottawa. It is chosen^
Hon. Mr. Winkler: Meetings for the pur-
pose of renewing the agreement in effect for
the academic staff of the colleges of applied
arts and technology began in May, 1973.
The Civil Service Association of Ontario and
the faculty members of the bargaining team
for the colleges were certainly aware that if
any impasse were reached the matters in
dispute would be referred to arbitration.
They also would have known that the chair-
man of the arbitration board would be Judge
Anderson.
The members of the government find it
extremely difficult to understand why a
small group of faculty members waited until
this late date to challenge the makeup of the
board-
Mr. R. F. Nixon (Leader of the Opposi-
tion): They don't like compulsory arbitration.
Hon. Mr. Winkler: —which, as I said
earlier, is established by an Act of this
parliament.
Mr. R. F. Nixon: They shouldn't be sub-
jected to it either.
Hon. Mr. Winkler: It is the feeling of this
government that the Province of Ontario has
been extremely fortunate in acquiring the
services of a chairman with the experience
and stature of Judge Anderson, and it is higUy
regrettable that his capacity to act in a com-
pletely impartial manner should be ques-
tioned in this way.
Mr. Speaker, the government is completely
satisfied with the manner in which the Public
Service Arbitration Board is constituted.
There is no doubt in the minds of the mem-
bers of the government that the vast majority
of the members of the academic staff of the
community colleges are prepared to abide by
the laws of this province and will not con-
done the actions of those few who are pre-
pared to flaunt the law in an attempt to force
the government to give in to their demands.
Mr. F. Laughren (Nickel Belt): It is a bad
law.
Mr. E. J. Bounsall (Windsor West): Is
picketing against the law?
Hon. Mr. Winkler: We trust that the Civil
Service Association of Ontario, the bargaining
42
ONTARIO LEGISLATURE
representative of the employees involved, will
accept its responsibilities to proceed with the
arbitration hearings without delay.
Mr. I. Deans (Wentworth): This doesn't
help.
Mr. Laughren: The minister has just
polarized it.
Mr. Deans: It's too weak.
ANGLO-CANADIAN PULP AND PAPER
EXPANSION IN NORTHWESTERN
ONTARIO
Hon. W. G. Davis (Premier): Mr. Speaker,
in the Throne Speech there was some refer-
ence to northern Ontario and I was interested
in some of the observations about certain
visions. I don't often comment on cartoons
in papers but there was one in this morning's
Globe and Mail, and I hope there are some
representatives from that paper here today.
Mr. Lewis: There always are.
Mr. Martel: The Premier really worries
about the Globe, doesn't he?
Mr. Lewis: The rest of the press can rest
their pens.
Mr. R. F. Nixon: Let the Premier tell us
about his pulp mill.
Hon. Mr. Davis: When they showed the
great activity that one was envisaging for
the north, they somehow neglected that part
of the Throne Speech referring to billboards
or there would have been fewer billboards
in the cartoon itself.
I think it is fair to state that the economic
development of the north will not be pre-
dicated on that sort of thing.
Mr. Martel: Not on that Throne Speech
either.
Mr. J. F. Foulds (Port Arthur): It won't
be predicated on that Throne Speech.
Hon. Mr. Davis: However, in order to
give some practical reality to what was said
just two days ago, or within 48 hours, I wish
to inform the members that the board of
directors of Anglo-Canadian Pulp and Paper
Mills Ltd. has given approval to the first
phase of a plan to create two modern inte-
grated forest product complexes in north-
western Ontario, and has authorized extensive
feasibility studies for a second phase.
The first phase will involve increasing the
company's sawmilling capacity from 34 million
to 225 million board feet per annimi by con-
structing sawmills at Dryden and in the Red
Lake area. It will involve the installation of
additional modfem effluent control systems at
the Dryden kraft mill, and the modernization
and expansion of the Dryden kraft mill from
630 to 750 tons per day.
By late 1975 the new sawmilling capacity
will be phased in, as will the installation of a
new effluent treatment system. The expansion
of the Dryden mill is schedliled to come on
stream in mid- 1976.
The first phase of this new programme
will involve the expenditure of about $63
million.
Last week the company anounced the con-
struction of a $2.5 million chloralkali plant at
Dryden, using new non-mercury teclmology;
this will meet the objectives of the Ministry
of the Environment.
A second phase, involving an investment
of $190 milhon, would mean the construction
of a second integrated forest prodlicts com-
plex in the Red Lake area. If the preliminary
studies are confirmed it would result in the
construction of a 900-ton-per-d!ay kraft pulp
mill operating exclusively on sawdaist, chips
and fines from the company's sawmills. In
addition, during this second phase, the com-
pany would expand its sawmilUng operations
again, this time from 225 million to 500
miUion board feet a year.
The company is also studying the feasibility
of including a fibreboard plant and a speciality
chemical plant.
As part of phase two, the company has
pledged a $500,000 performance bond to the
government of Ontario in connection with its
proposal to expand its existing timber limits
for this phase with the understanding that
construction must begin by December, 1976.
If all projects prove feasible and are pro-
ceeded with there would be a total invest-
ment of $253 million resulting in approxi-
mately 1,800 new jobs by 1978 in the pulp
mills, in the sawmills and in' the woodlands.
This would be double the number of people
the company now employs in northwestern
Ontario.
The government intends to ensure that
sufiicient serviced housing lots are made
available in the communities affected.
iThese projects are consistent with the
growth objectives outlined by the govern-
ment's Design for Development, northwestern
Ontario region report. As members will recall,
that report called for the creation of 4,000 to
5,000 new jobs in the pulp and paper indus-
try in northwestern Ontario over the next 20
MARCH 7, 1974
43
years. Today's announcement, coupled' with
the announcement I made a few months ago
with regard to the Great Lakes Paper Co.'s
expansion plans, puts the achievement of that
target well within reach.
Close co-operation between Anglo-Cana-
dian and the Ontario government will be
maintained to ensure that all necessary efforts
are made to protect the environment.
I am sure all members of this House join
me in welcoming this announcement, the re-
sults of which will bring a significant boost to
the economy of the province, especially to
the north.
Mr. Speaker: Oral questions; the hon.
Leader of the Opposition.
ANGLO-CANADIAN PULP AND PAPER
EXPANSION IN NORTHWESTERN
ONTARIO
Mr. R. F. Nixon: Further to the Premier's
statement, isn't it true that Anglo-Canadian,
which owns Dryden Paper, was responsible,
through pollution, for completely destroying
the game fishing in the Wabigoon River
system and the English River system to such
an extent that it can never be restored? Were
they not under government supervision as far
as environmental effects are concerned during
those days as well?
Hon. Mr. Davis: Mr. Speaker, unlike the
member for Brant this government lives in
the future, not in the past. This announce-
ment makes it very clear-
Interjections by hon, members.
Mr. J. R. Breithaupt (Kitchener): The
Premier has five ministers who were,
formerly.
Mr. Roy: The Premier has a short memory
when it comes to problems.
Hon. Mr. Davis: This announcement makes
it very clear that all future expansion plans
of Anglo-Canadian will meet the environ-
mental requirements of this government.
While the member for Brant may wish to
be derogatory about that particular com-
pany, we are very optimistic-
Mr. Breithaupt: Promise never to do it
again.
Hon. Mr. Davis: —as to what it will achieve
for employment and the general economic
development of northwestern Ontario; and
we are encouraged by their activity.
Mr. R. F. Nixon: A supplementary: In con-
nection with this tremendous investment of
dollars in this expansion, which is obviously
for the good of the north, can the Premier
indicate to the House what steps are being
taken to clean up the mess that was left there
by the industry in the past?
Hon. Mr. Davis: Mr. Speaker, this matter
has been debated. As I said in this particular
statement, the company has already an-
nounced, and it is part of their planned pro-
gramme for Dryden, that the mercury part
of whatever the process was some time ago
is to be completely removed. There wall be
just no mercury pollution in their operation.
Mr. Roy: What about the damage done in
the past? Answer the question.
Hon. G. A. Kerr (Solicitor General): Can't
stand progress.
Mr. Lewis: I wanted to ask a supple-
mentary question. It is Mr. Jones who is
involved in Anglo-Canadian. As I recall he
is one of the chief executive ofiicers. Is he
also a senior adviser, perhaps chairman of
the advisory committee to the Minister of
Natural Resources?
Hon. L. Bernier (Minister of Natural Re-
sources): No.
Mr. Lewis: He is not an adviser to the
Minister of Natural Resources?
Mr. T. P. Reid (Rainy River): He is on the
committee.
Hon. Mr. Bernier: He stepped down last
November.
Mr. Lewis: He stepped dovm in Novem-
ber? That answers my question.
Interjections by hon. members.
Mr. Lewis: Okay, that's what I wanted.
All right.
An hon. member: He got what he wanted.
Mr. Deans: Just before the arrangement
was concluded.
An hon. member: What is the member's
point?
Mr. Lewis: I just wanted to know.
ENVIRONMENTAL IMPACT OF
PUBLIC WORKS
Mr. R. F. Nixon: I have a question of the
Provincial Secretary for Resources Develop-
44
ONTARIO LEGISLATURE
ment. In line with the very proper concern,
a new concern, for the protection of class
1 and 2 arable land, is he now prepared to
follow up on what was a partial commitment
given by the Premier yesterday in requiring
that the expropriation hearings with regard
to the hydro lines in the western part of
the province be stood down, pending an
objective assessment as to other locations for
the line which would use only half as much
class 1 and 2 land? Would the minister not
indicate as much concern for projects under
provincial jurisdiction as he very rightly shows
for projects in the province under federal
jurisdiction?
Hon. Mr. Grossman: Well, Mr. Speaker,
quite properly I think that question should
be directed to the Minister of Energy (Mr.
McKeough). I'm doing my best to stay within
the terms of reference of a policy secretary.
That is to co-ordinate matters which overlap
various ministries.
Mr. V. M. Singer (Downsview): Oh, that is
what the terms of reference are,
Mr. Cassidy: He will meet the fate of
the member for Carleton East.
Hon. Mr. Grossman: This specific matter
is one in which my colleague, the Minister of
Energy, I'm sure would be glad-
Interjections by hon. members.
Mr. Cassidy: He will wither away before
our eyes.
Hon. Mr. Grossman: Do the members want
information or don't they? If they want the
information, that's where it belongs.
Hon. R. Welch (Provincial Secretary for
Justice and Attorney General): Does the
member want an answer?
Mr. R. F. Nixon: A supplementary, if I
may. The minister is fully experienced in
these matters, wouldn't he agree that the
statement he made with remark to the pro-
tection of class 1 and 2 land with regard
to the pipeline intrusion would in fact cover
the hydro line, the Arnprior dam, the new
town in Pickering and other provincial pro-
grammes which must surely be covered by
the same umbrella of policy and not subject
to the whim of the Minister of Energy?
Hon. Mr. Grossman: Mr. Speaker, I don't
know why the hon. Leader of the Opposition
makes such an issue of it.
Mr. Roy: It is important.
Hon. Mr. Grossman: If the hon. member
wants the information, and I'm directing him
to the minister who would have, in my view
and the government's view, that specific
information-
Mr. R. F. Nixon: Is the provincial secretary
going to be just like Allan Lawrence and
have nothing to say about policy?
Hon. Mr. Grossman: —why not get to the
point as quickly as possible? I tell the mem-
ber that that is the responsibility of the Min-
ister of Energy, because the member has ask-
ed a specific question-
Mr. Roy: If he keeps it up he will be fired.
He will be fired just like the member for
Carleton East.
Mr. Breithaupt: Just a signpost.
Hon. Mr. Grossman: —which relates to his
ministry.
Mr. Speaker: Order.
Mr. R. F. Nixon: I'd like to redirect a ques-
tion to the Minister of Energy, with your
permission, sir.
Mr. Lewis: About time.
Hon. Mr. Davis: Could have saved three
minutes because he has been ready.
Mr. Roy: They will make a seat for the
member for St. Andrew-St. Patrick next to the
member for Carleton East.
Hon. W. D. McKeough (Minister of En-
ergy): Mr. Speaker, it seems to me that yes-
terday we were dealing with three different
hydro lines. Perhaps to put them in context
we've talked about the Pickering to Nanticoke
line, which I think—
An hon. member: At length.
Hon. Mr. McKeough: —as the Premier said
yesterday-
Mr. R. F. Nixon: That's the one that goes
through Peel.
Mr. Singer: It just happens to be the rid-
ing he represents.
An hon. member: And Halton, and Bramp-
ton.
Hon. Mr. McKeough: —could be considered
to be under some sort of an environmental im-
pact review process at the present moment
with Dr. Solandt, and we await that report.
MARCH 7, 1974
45
The second series of lines which was talk-
ed about yesterday was from the Bradley
junction, which is near Bruce, to George-
town. In that particular instance, selection of
the correct route— or the Tightest route, or the
least damaging route, depending upon your
point of view I suppose— is going through the
process. Hydro have undertaken a large-
scale programme, which I may say is un-
precedented in North America in terms of
trying to involve the public-
Mr. Singer: Naturally.
Hon. Mr. McKeough: —in that kind of de-
cision-making process.
Mr. Breithaupt: Another one of those.
Mr. Singer: Or in the world— the western
world.
Hon. Mr. McKeough: It will be, I think,
some months before Hydro, through that pro-
cess, comes to some conclusions. After that
it will report its conclusions to the govern-
ment and the government at that point will
decide whether it is necessary to have some
further environmental hearing a la Dr.
Solandt or not. If there is obviously an en-
vironmental hearing board fully empowered
at that point, then that would presumably
be the route we would go rather than a
royal commission under Dr. Solandt.
What the member was talking about yes-
terday, and what I assume he is referring
to today, is a 50-mile stretch of line from
the Bradley junction to Seaforth, which line
was selected as early as 1969 and which it
is crucial to have in place, as I understand
it, for the opening of the first unit at Bruce,
which should take place— if it is on schedule,
and we have no reason to think that it won't
be-in July of 1975, barely 14 months from
now.
Hydro went through what they then
thought was a form of public participation
and which for many, many years was thought
to have been adequate— although I think
events have proven otherwise. This has been
the route up to this point and they are now
down to the point where it is necessary to
expropriate some remaining properties.
There are three different routes that we
are talking about and there are others in
the province which are in various stages.
Obviously, the announcement in the Speech
from the Throne concerning environmental
impact and giving that authority to someone,
depending on the disposition of the green
paper, cannot be retroactive. The world can't
stop and turn the clock back, three and four
and five years in some instances.
Nevertheless, having said that, the good
farmers of that particular area in Bruce were
in to see the Minister of Agriculture and
Food (Mr. Stewart) and his ofiBcials— brought
in, I think, in part by the member for Huron-
Bruce (Mr. Gaunt)— and they met with them.
The Minister of Agriculture and Food arrang-
ed for those farmers to meet with the re-
sources policy field and they did, I think
three weeks ago today. Subsequently, a meet-
ing has been held by the resources policy
field with Ontario Hydro, with other gov-
ernment ministries and with concerned agen-
cies of the government.
The matter is under review, and hopefully
within the next two or three weeks some
definite position can be attained with regard
to the position of the farmers and the route
of that Hydro line. But we are not in a posi-
tion to say what the ultimate disposition of
the review will be at this moment.
Mr. Cassidy: Supplementary, Mr. Speaker.
Mr. Speaker: Supplementary?
Mr. Cassidy: Since the other question re-
lated also to the Amprior project, which is
also affecting farm land and farmers, does the
minister consider that there was an ade-
quate environmental study and there was ade-
quate information provided to local residents;
or whether there was adequate public par-
ticipation in the choice of that particular pro-
ject and the way it was to be built? And if
not, what will he do about it?
Hon. Mr. McKeough: Yes, Mr. Speaker, it
was the subject of an exhaustive review. Ob-
viously the member from Ottawa doesn't think
so and we might debate that at some other
time.
Mr. Speaker: The hon. member for Huron-
Bruce?
Mr. M. Gaunt (Huron-Bruce): Mr. Speak-
er, I have a supplementary to the minister.
In relation to the Huron-Bruce power Hne,
since this matter is now under review, would
the minister undertake to talk to Ontario
Hydro with respect to the rate of compen-
sation for the farmers in that hydro line
corridor, particularly in view of the fact that
Ontario Hydro has been offering rates which
are 50 to 75 per cent of current market value,
as opposed to the rates being offered for the
pipeline, which I understand are about 150
per cent of current market value?
46
ONTARIO LEGISLATURE
Mr. Roy: A difference in government, I
guess.
Hon. Mr. McKeough: Well Mr. Speaker, I
don't know that it would be proper for me
to talk to Hydro about individual properties.
I think the member might well wish to speak
about specifics to the member for Simcoe
Centre (Mr. Evans), who is a member of the
Hydro board of directors. I can only say
this: In various situations which I have look-
ed at from time to time, Hydro have had the
benefit of outside appraisals. They have had
the benefit of outside appraisals, for example,
at Amprior, and in that instance, I think, in
one out of something like 12 properties the
outside appraisal was higher than the oflFer
which Hydro had made. I think in 11 cases
the Hydro off^er was higher than the outside
appraisal, in some cases substantially higher.
I recognize that if my property were being
taken, or if I were going to sell a piece of
property, I would have a very high view or a
very inflated view— inflated might be better
than high, I think— that view might be some-
thing higher than Hydro are prepared to
ofi^er.
Hydro are in the position, of course, of
attempting to provide power at cost to the
people of Ontario. To do that, they have
to not only provide fair prices but prices
which are commensurate with market value.
And if farmers or land owners anywhere in
the province feel aggrieved and that they are
not receiving a sufiBcient price, then we have
in this province, thanks to the foresight of
this government, one of the finest pieces of ex-
propriation legislation that will be found
anywhere,
Mr. Breithaupt: Certainly in the eastern
hemisphere!
Hon. Mr. McKeough: We have a Land
Compensation Board which will deal ade-
quately and fairly with those being expropri-
ated, and in the public interest as well; and
I put my faith there.
Mr. Cassidy: Mr. Speaker, a supplementary:
In view of the fact that the farmers and
others who have looked into the Arnprior
project are not satisfied about the exhaustive
review referred to by the minister, will the
minister undertake to table soon in the House
all of the relevant documents that under-
pinned the government's review, including the
engineering feasibility study prepared for the
dam, which is now being denied to people
who request it.
Hon. Mr. McKeough: I think the hon. mem-
ber could make some of the copies which he
has received from Hydro available to his
friends.
Mr. Cassidy: Mr. Speaker, a supplementary:
If I could have a direct answer to the ques-
tion, will the minister undertake to table in
this House documents referring to the Arn-
prior dam, which are now being denied to
those who requested them directly from
Hydro?
Hon. Mr. McKeough: Mr. Speaker, a num-
ber of documents have been tabled in the
House and certain documents have been given
to people who want them, and they are avail-
able for inspection. As far as I am concerned,
the hon. member has got all he is going to get.
Interjections by hon. members.
Mr. R. F. Ruston (Essex-Kent): He's over
on the island!
Mr. Speaker: Order.
Mr. Cassidy: On a point of privilege, Mr.
Speaker-
Mr. Speaker: Is the hon. member attempt-
ing to get more information?
Mr. Cassidy: No, Mr. Speaker, I am seek-
ing to raise a point of privilege, which I think
is quite important, particularly in view of
the fact that Ontario Hydro has this week
become a Crown corporation that is directly
accountable, one assumes, to this House.
Mr. Lewis: That's right. It is running
roughshod around Ontario.
Mr. M. Shulman (High Park): The minister
has no right to refuse that information.
Mr. Cassidy: The question of accountabil-
ity is at stake, it seems to me, when basic
information-
Mr. Speaker: What is the point of privilege?
Mr. Cassidy: The privileges of this House,
Mr. Speaker, are affected when members of
this Legislature are denied information by the
ministry and by a Crown corporation respon-
sible to the House, which directly reports to-
Mr. Speaker: Order. There is no privilege
that has been abused by the minister; no
privilege whatsoever. The hon, member will
be seated. There is no point of privilege.
Mr. R. F. Nixon: Mr. Speaker, on a point
of order, I submit to you, sir, that there is a
point of privilege or order for your con-
MARCH 7, 1974
47
sideration. Can a minister, just oflF the top of
his head, d^eny any further information to a
member of this House, particularly when it
pertains to a pubhc project?
Mr. Shulman: Only if it is the Minister of
Energy. There is another embarrassment.
They always do it,
Mr. R. F. Nixon: Surely, Mr. Speaker, this
is a matter that Should give you some
personal concern,
Mr. Speaker: I am sure the hon. Leader of
the Opposition is familiar with the provisions
pertaining to the question period in which
the minister may or may not answer. He need
not answer a question.
Mr. Lewis: On a point of order, Mr.
Speaker, the member for Ottawa Centre was
seeking information from Ontario Hydro,
which is now a Crown corporation respon-
sible to the House-
Mr. Ruston: The member voted for it,
Mr. Lewis: That's right! And in a vindic-
tive, splenetic outburst, typical of the minis-
ter, he personally denies access. Well, that
destroys Hydro's accountability, and that is a
point of privilege in the House, Mr, Speaker.
Mr. R. F. Nixon: It comes from out of his
hip pocket,
Mr. Shulman: Mr, Speaker, surely it is not
the right of a minister-
Mr. Ruston: Listen to who is talking! The
speculator.
Hon. Mr. Kerr: The number one capitalist
over there,
Mr. Shulman: —of an arrogant minister, to
come in here and tell the members of this
House they cannot get information on matters
which are directly our responsibihty.
Mr. Speaker: Order. ' '
Mr. Lewis: When we take power well
nationalize Hydro.
Mr. Roy: Don't hold your breath!
Mr. Speaker: Order please, I'm not at all
certain of the precise words used by the hon,
minister.
Mr. Martel: Oh, come on! You heard what
he said.
Mr. Speaker: I'm not at all certain of the
precise words used by the hon, minister. I'll
undertake to review Hansard, and if, in fact.
there is any way in which I can see that the
question period has been abused I will cer-
tainly take further action. But as far as I am
concerned there has been no misuse of the
question period on the part of the minister.
He need not reply to any question and he
may reply in any manner ne sees fit.
The hon. Leadfer of the Opposition.
Mr. R. F. Nixon: Throw him in the tower.
Mr. P. J. Yakabuski (Renfrew South):
Which one?
Interjections by hon. members.
Mr. Cassidy: The point of privilege, Mr.
Speaker, is not the question about the use or
misuse of the question period. It is the ques-
tion of the privileges of members of this
House-
Mr. Shulman: Right!
Mr. Cassidy: —in receiving information
from ministers.
Mr. Speaker: Order please, I've ruled on
that. My ruling is not debatable. The hon,
member for Brant,
PROSECUTION OF DENTURISTS
Mr. R. F. Nixon: I would like to ask the
Attorney General how he dbcides which
denturists are going to be raided and then
charged and brought before the courts; be-
cause presumably all of the practising den-
turists are breaking the ridiculous law that
was put through the Legislature just a few
months ago—
Mr. Shulman: It is done by lot,
Mr. R. F. Nixon: —even though the law
did not conform to the Attorney General's
stated principle.
An hon. member: Depending on the quahty
of their character.
Hon. Mr. Welch: Mr, Speaker, knowing
how anxious the Leader of the Opposition is
to have this particular matter answered^
Mr. Shulman: We can't hear.
Hon. Mr. Welch: —I would indicate at this
time that he will recall that my predecessor
made the position quite clear, that if anyone
knew of anyone who was breaking the law
with respect to that statute, that if we had
that information we would give it to the
Crown Attorney having jurisdiction in that
48
ONTARIO LEGISLATURE
Mr. Breithaupt: But which ones does the
government put the bite on?
Mr. R. F. Nixon: Supplementary: Does the
Attorney General, therefore, charge only the
ones that the Minister of Health (Mr. Miller),
or his predecessor, have brought to his atten-
tion; or were there complaints from the
community; or, in fact, does the minister
know of some denturists practising as den-
turists who are not breaking the law?
Hon. Mr. Welch: Mr. Speaker, if I may
repeat, as far as I know now— but I will be
glad to get up-to-date information— I know of
no complaints that have been brought to us,
that is to the Attorney General or to the
agent of the Attorney General, the Crown
attorney in any of the jurisdictions in Ontario.
If the Leader of the Opposition has some in-
formation which he feels I should have in
this regard, I will gladly put it in the hands
of the proper court ofiRcials.
Mr. R. F. Nixon: Since he has asked for
the information, I would suggest that the
information that he seeks lies in the mind of
the Minister of Health. The Attorney General
should surely advise the Minister of Health
that that law must be amended and put back
the way the Attorney General had it origi-
nally, and then there ^^'^ould be no more prob-
lem and the denturists would be able to
practise legally. Is that the information the
minister was asking for?
Mr. Speaker: The hon. member for High
Park.
Mr. Shulman: Can the minister explain
why the leaders of the denturists have not
been raided? In fact, people like Mr. Sweet
have publicly got up and said they're prac-
tising. He's continuing to practise, and yet
he isn't touched. But the government touches
these little people around the province. Is
it being done by lot?
Mr. Breithaupt: Perhaps we'll get him to
streak across the chamber.
Hon. Mr. Grossman: Who?
Hon. Mr. Welch: Does the member mean
the hon. member for High Park?
Mr. Shulman: No, the Attorney General.
Hon. Mr. Welch: That would be a real
treat if I did.
Mr. Lewis: It will be an apparition, I will
tell the Attorney General.
Hon. Mr. Welch: Yes, quite. That would
be the reforming AG.
Mr. Speaker, if I could reply to the hon.
member for High Park; I really can't add
anything further to the answer I've already
provided to the hon. Leader of the Opposi-
tion other than to restate the position which
my predecessor made quite clear in this
House, that if anyone has any information
with respect to a violation of that particular
statute, he should provide it to us.
Mr. Roy: They have a full page ad.
Mr. Cassidy: Look in the yellow pages.
Mr. Speaker: The hon. member for Etobi-
coke.
Mr. L. A. Braithwaite (Etobicoke): As a
supplementary, Mr. Speaker, perhaps the
Attorney General could tell us what steps
he is taking to protect the rights of innocent
people who happen to be visiting denturists
when the high-jackbooted police come in?
The rights of these people are being
severely—
Interjections by hon. members.
Mr. Braithwaite: Shut up! I'm asking a
question.
Interjections by hon. members.
Mr. Lewis: It is a novelty all right.
Mr. Braithwaite: That's nice. The rights of
these people are being severely restricted
when the police come in.
Mr. Speaker: Question.
Mr. Braithwaite: Could the Attorney Gen-
eral state what he's doing to protect these
people?
An hon. member: Are they found-ins?
Hon. Mr. Welch: Mr. Speaker, if the hon.
member has any specific information in this
regard, the Attorney General would like to
have it.
Interjections by hon. members.
Mr. Braithwaite: Mr. Speaker, as a supple-
mentary, a specific case in my particular
riding has been brought to the attention of
the Minister of Health in the past, and there
has been more than one case of this. The
Attorney General must know of these cases.
I don't have to give him further information.
Mr. Breithaupt: Read the papers.
MARCH 7. 1974
49
Mr. Roy: Mr. Speaker, may I ask a sup-
plementary pursuant to this question?
Mr. Speaker: Yes, you may.
Mr. Roy: Could the Attorney General tell
us about the legality of the full page ad on
the government's dental plan? In light of the
fact that the denturists themselves as a pro-
fession or as individuals cannot advertise
legally, does the Attorney General not feel
that he is breaching their ethics by using
public funds to advertise for them? Could he
tell us about the legality of these acts, which
is propaganda for the dentists at public
expense?
Hon. Mr. Welch: Well Mr. Speaker, if I
understand the question correctly, reference
is being made to an advertisement inserted
by the Ministry of Health. I would suggest
that the Ministry of Health is in itself not
violating any particular law in advertising
that particular programme.
Mr. Lewis: Yes; it is inappropriate, but it
is probably not illegal.
Mr. Speaker: The hon. Leader of the
Opposition.
The hon. member for Scarborough West.
ROUTE OF PETROLEUM PIPELINE
Mr. Lewis: Could I ask the Minister of
Energy a question, Mr. Speaker? Last Satur-
day he indicated: "From a cold, calculated,
hard-nosed point of view, the pipeline should
not be built until at least 1990"; and on
Thursday the Provincial Secretary for Re-
sources Development made the announce-
ment. Can he explain his view?
Hon. Mr. Grossman: I was not cold-
blooded.
Hon. Mr. McKeough: Mr. Speaker, as so
often happens, one is sometimes misquoted—
Some hon. members: Oh, oh.
Hon. Mr. McKeough: -or one is sometimes
not quoted in full. I think the words that I
used were quoted correctly, but I also said
some other things. I said nothing about 1990.
What I said was that from a cold, calculat-
injf, completely business-like point of view-
Mr. Roy: Hard-nosed,
Mr. M. C. Germa (Sudbury): Hard-headed.
Hon. Mr. McKeough: Hard-nosed. Did I
say that?
I said it might make sense to defer the
decision until such time as it was clear how
much oil was going to be available from
conventional sources in western Canada and
how much oil might be available from the
east coast, and then decide whether the line
would be built as a reversible line.
Having said that, I also said, and have said
on a number of occasions, that from the point
of view of security of supply of the Man-
times, from the point of view of the security
of supply of the Province of Quebec, and from
the point of view of the security of supply
of about 800,000 people in Ontario who live
east of the border line, it is imperative that
we get on with that pipeline and get it built
as quickly as possible.
Mr. Roy: Mr. Speaker, a supplementary
question: In the light of the minister's refer-
ence about 800,000 people living on the other
side of this line, what pressure has the min-
ister brought on the oil companies that are
presently supplying oil to the Ottawa area
from the west through this Kingston pipeline
and, because of the cheaper price from the
west, stand to make profits of something like
$1 million?
What pressure has he brought on these
companies so that they will give us the oil
in Ottawa at the same price as people get
it here in Toronto, phis the cost of trans-
portation? Has he brought any pressure on
the companies to give the benefit of this
cheap oil from the west to the consumers and
not to the companies?
Hon. Mr. McKeough: No, Mr. Speaker, we
have not, because since last fall both gasoline
and heating oil sold east of the Ottawa Val-
ley line has been, in effect, under a price
freeze imposed by the government of Can-
ada and administered by the Minister of
Energy, Mines and Resources. And if any oil
company is making an exorbitant profit on
sales east of the line, then I would suggest
that the hon. member should talk to his
federal friends and point that out, because in
effect the federal minister is controlling the
price.
Mr. Roy: I have.
Hon. Mr. McKeough: And if he's allow-
ing them exorbitant profits, then the hon.
member should hang his head in shame.
Interjections by hon. members.
Mr. Roy: Mr. Speaker, in the light of the
fact that this problem has been brought to the
minister's attention, will he undertake to
50
ONTARIO LEGISLATURE
bring it to the federal minister's attention?
Will he put pressure on him? This minister is
a pretty hard-nosed guy. Go after him.
Interjections by hon. members.
Mr. Lewis: Mr. Speaker, I know nothing
of federal politics—
An hon. member: It runs in the family.
Interjections by hon. members.
MAPLE MOUNTAIN DEVELOPMENT
Mr. Lewis: I would like to ask a question
of the Minister of Industry and Tourism.
When is the minister releasing all of the
feasibility studies and documents related to
the proposed Maple Mountain project in
northeastern Ontario?
Mr. Laughren: Good question.
Mr. Foulds: And why?
Hon. C. Bennett (Minister of Industry and
Tourism): Mr. Speaker, it is my intention to
release those reports as soon as I have re-
ported to cabinet on the full facts and the
meanings of the report. We have had input
from some of the people in the various minis-
tries whom we have asked to comment on
them. That should be, likely, within the next
10 days.
Mr. Lewis: Within the next 10 days?
A further question: When the minister sub-
mits those reports can he indicate to the
House the effect of the title claims which have
been registered by the Indian band against
all of the property within which Maple Moun-
tain fall's and the possible legal implications
of that from the point of view of the gov-
ernment?
Hon. Mr. Bennett: Mr. Speaker, I am not
sure that can be included in the reports at
the time we bring them to the House for the
simple reason it will take some period of
time to look at the validity of the claims
placed before the government. I have asked
the Attorney General and the Minister of
Natural Resources to review the situation and
to report back to me and, in turn, to cabinet.
If it is possible we will include it; if not it
will be brought into the House at a later date.
Mr. Lewis: Right; thank you.
HALL LAMP CO.
Mr. Lewis: A question, Mr. Speaker, of the
Minister of Labour. Now that we are into the
new year can he tell the House what finally
happened to the 600 employees of the Hall
Lamp Co.?
Hon. F. Guindon (Minister of Labour): Mr.
Speaker, in reply to the hon. member, I am
sure he is aware by now that we did every-
thing within our power to collect from the
Hall Lamp Co. every dollar in salaries or
wages owed to the employees. We have done
this; also any amount owing to them with
reference to vacation pay. Unfortunately as
far as termination pay is concerned we could
not get anything from the company.
Mr. Lewis: Not a penny?
Hon. Mr. Guindon: No.
Mr. Lewis: By way of supplementary, does
the minister understand that he was used
and manipulated by a private company, a
private subsidiary in Ontario, to give voice
in this Legislature about a temporary shut-
down which was, in fact, permanent from the
day it occurred? Therefore, he participated
with that company in the denial to 600 people
of the rights which he has guaranteed them
under legislation and, in the last several
weeks, has taken away from them? Can he
find some way of avoiding that ever happen-
ing again to a large number of people in the
Province of Ontario?
Mr. Deans: He was had.
Mr. Lewis: He was had by a company.
Hon. Mr. Guindon: Mr. Speaker, of course,
hindsight is much easier than foresight. None-
theless, we are looking at our legislation to
see what we can do in the case of bank-
ruptcy. This is a case of bankruptcy; as mem-
bers know it is.
Mr. Deans: But the minister was told.
Right from day one.
Hon. Mr. Guindon: We were told. We have
no control over the Bankruptcy Act.
Mr. Lewis: They didn't declare bankruptcy
for weeks.
Hon. Mr. Guindon: This comes under
federal legislation, as members know.
HALL LAMP CO.
Mr. Lewis: For weeks they didn't declare
bankruptcy.
MARCH 7, 1974
51
1 have a questicai on that subject of the
Minister of Industry and Tourism. I take it
that, in fact, no loan was granted or is to be
granted through the Ontario Development
Corp. to reopen the Hall Lamp Co. for other
purposes?
Hon. Mr. Bennett: Mr. Speaker, as I indi-
cated to the House some weeks ago, in the
last sitting, there were several firms interested
in trying to pick up the pieces of Hall Lamp.
Our ministry, through Ontario Development
Corp.— I should say both the ministry and
the Ontario Development Corp. met with
several firms to discuss the possibility of put-
ting the operation back together. None of
them could put up the capital funds required.
I might admit that there were two or
three companies which went in and finished
off some of the products for which they were
waiting for delivery to their plants and they
did use part of the labour force for a period
of time. But no one at this point has picked
up the pieces, because the capital investment
is too great and the firms we were talking
with did not have the resources to put them-
selves in that position.
Mr. Lewis: Fair enough. So it was an
entire disaster from day one.
Hon. Mr. Bennett: Mr. Speaker, I am not
sure it was an entire disaster. We have bank-
ruptcies in this province and on many occa-
sions this government has tried through the
Ontario Development Corp.—
Mr. Lewis: It wasn't a bankruptcy.
Hon. Mr. Bennett: —to stabilize the firm to
retain and maintain the employment in that
particular operation or operations.
Mr. Lewis: The government sure didn't do
it this time.
Hon. Mr. Bennett: We tried in every area
to secure the position of the firni but it was
an impossibility, and it would not have been
money well invested by the government of
Ontario.
Mr. Speaker: The hon. member for Huron
with a supplementary.
Mr. J. Riddell (Huron): A supplementary
of the minister: Is he aware that a Canadian
firm, along with the former managerial staff
of Hall Lamp, submitted a bid which was a
very reasonable bid to the receiver, and that
the receiver has failed to act on this bid— and
is there anything that the minister can do to
speed up the process so that the plant can be
reactivated and put back into operation?
Hon. Mr. Bennett: Mr. Speaker, as I indi-
cated earlier, there were several firms that
were interested' in trying to pick up the pieces
of Hall Lamp. The one the member speaks of
did put in a proposal. It was my understand-
ing, in information given to us by the re-
ceiver, that the sums of money put forward
by the organization were not sufficient to
carry the position.
Now, I can review it again with the re-
ceiver and the people in Ontario Develop-
ment Corp.; but that was the last word that
I had had on the Hall Lamp and those that
were interested in trying to re-establish it.
Mr. Speaker: The hon. member for Scar-
borough West.
ACQUISITION OF LAKE ONTARIO
CEMENT PROPERTY
Mr. Lewis: A question of the Minister of
Natural Resources: Can he now tell the House
what he has offered for the acquisition of the
Lake Ontario Cement property after the ex-
propriation is completed?
Hon. Mr. Bemier: Mr. Speaker, as I in-
formed the House at the last sitting this
matter was being handled by the Land Com-
pensation Board. It comes under the Attorney
General's department. I am informed that
an independent appraiser was engaged and
on his report the company was offered
$150,000 on Jan. 22. The company rejected
the offer, but the cheque was delivered to
the firm on Feb. 15 and has not been
returned.
Mr. Singer: Mr. Speaker.
Mr. Speaker: The hon. member for Scar-
borough West has further questions?
FEMALE APPOINTMENTS TO WCB
Mr. Lewis: One very quick question of the
Premier, Mr. Speaker. The Premier just made
a series of appointments and reappointments
amounting to five in number to the Work-
men's Compensation Board— to the highest
portion of that board dealing with adminis-
tration and appeals— not a single one of
which appointments was a woman. Does that
reflect the new tenure of the Throne Speech?
Hon. Mr. Davis: Mr. Speaker, I—
An hon. member: Tenure?
Mr. Lewis: Tenor, I am sorry.
52
ONTARIO LEGISLATURE
Hon. Mr. Davis: Mr. Speaker, I was going
to ask about tenure. We on this side of the
House will make sure the tenure is continued
as far as the affairs of this government are
concerned.
Mr. D. C. MacDonald (York South):
Answer the question.
Hon. Mr. Davis: As far as the tenor of
the Throne Speech is concerned, I think
what was stated there is not only an obvious
fact, but many of the appointments that have
been made in recent months would sub-
stantiate it.
With respect to the appointments to the
Workmen's Compensation Board, there is not
a woman in that particular group. But I can
assure the hon. member— because I know he
is interested in women being appointed— that
there are two or three other appointees to be
made to the Workmen's Compensation Board,
and it is our hope to have a woman as one
of those.
Mr. Speaker: The hon. member for Downs-
view.
NO-FAULT AUTOMOBILE INSURANCE
Mr. Singer: I have a question of the
Premier. In view of the Premier's statement
not too long ago that we could expect new
no-fault automobile insurance laws in On-
tario, and in view of the recent publicity
given to a proposal along these lines by the
insurance industry, is that the kind of new
law that the Premier had in mind? Or in view
of the reaction that that proposal has re-
ceived from portions of the insurance in-
dustry—and certainly from the legal profes-
sion and from many members of the public-
would the Premier be prepared to set up a
select committee to inquire into this whole
problem— including rates, no-fault principles,
the extensions of our law— so that Ontario
might perhaps have a better law than it
now has?
Mr. Lewis: Please say no.
Hon. Mr. Davis: Mr. Speaker, I don't
intend to establish a select committee on that
subject, certainly at this moment. I don't
really recall saying that we are going to have
a new no-fault insurance programme. I do
recall speaking to a group of insurance peo-
ple some time ago— this will upset my friends
over here; hopefully not those across the
House; certainly not the member from— well,
never mind^that we did not intend as a gov-
ernment to get into the insurance business.
Mr. R. F. Nixon: Who is that constituent?
Hon. Mr. Davis: But I made it very clear
that we expected the insurance industry to
act in a responsible way reflecting the legiti-
mate concerns of the public generally.
Mr. Cassidy: And who gave generously to
the Premier's party— yes?
Hon. Mr. Davis: I don't recall saying there
would be a new no-fault insurance scheme.
Mr. Singer: I've got that.
Hon. Mr. Davis: I don't think I said that.
Now, Mr. Speaker, there has been a report. A
report was sent to the minister responsible,
which has provoked some discussion. I think
The Advocates' Society is one group that has
registered some objection.
Mr. R. F. Nixon: Haven't heard of
lawyers—
Hon. Mr. Davis: I think The Advocates'
Society— and I don't quarrel with The Ad-
vocates' Society— were represented primarily
by people in the legal profession-
Mr. Lewis: Boy, were they mad. The loss
of clients.
Hon. Mr. Davis: They were upset, weren't
they?
An hon. member: Yes, so was the—
Hon. Mr. Davis: Yes, I think their concern,
though, was not—
Mr. Singer: They have Tory presidents as
members.
Hon. Mr. Davis: I think in fairness it re-
lated to— and I don't want to get into a
lengthy discussion— the question of the appli-
cation of the law of tort.
Mr. Singer: That is an important facet of
the discussion.
Hon. Mr. Davis: That's right. And I think
that is somewhat relevant. I think it is also
important to point out-
Mr. Lewis: It should relate a little more
to the law of income.
Hon. Mr. Davis: I think it is also important
to point out, and I say this to our friends in
the socialist group-
Mr. Lewis: Aha!
Hon. Mr. Davis: Well, I know they are
trying to become more conservative but they
haven't convinced us yet.
MARCH 7, 1974
53
Mr. Lewis: No, no, no.
An hon. member: A wolf in sheep's clothing.
Mr. Lewis: On a point of personal privilege,
the Premier has called me many things be-
fore but never a socialist and I was pleased
to acknowledge it.
Hon. Mr. Davis: Well, I used that in the
very broad sense of the word. I have used
stronger terminology, I must confess. Now,
where was I before I was interrupted?
Mr. MacDonald: The Premier interrupted
himself.
Hon. Mr. Davis: I was saying I think part of
the discussion has also made one point very
obvious and I think it needs to be restated
in this House. Many people who have referred
to this report say that the whole approach
taken by the Province of Ontario with re-
spect to automobile insurance happens to be
one of the best schemes operating anywhere
in the world. Now these are friends of the
members opposite who have said this, not me.
Mr. Singer: Are we going to have a com-
mittee to study this?
Hon. Mr. Davis: I doubt it.
Mr. Speaker: The hon. member for High
Park.
Mr. Shulman: A question of the Minister of
Health, Mr. Speaker.
Mr. Speaker: I'm sorry, the hon. member
for Ottawa East has a supplementary, which
I will permit.
Mr. Roy: Among the proposals of the in-
surance company criticized by The Advo-
cates' Society I would like to bring to the
Premier's attention is apparently the right
of subrogation by OHIP from the insurance
company, which as the government knows
is something like $10 million a year. Does the
Premier agree with that proposal, which in
fact would be the taxpayers subsidizing the
insurance company?
Hon. Mr. Davis: To be very frank, I try
to take in a lot of information. I will con-
fess to the member that I just haven't assess-
ed it very carefully personally so I won't ofiFer
any point of view.
Mr. Speaker: The hon. member for High
Park.
ROLE OF CHIROPRACTORS
Mr. Shulman: To the Minister of Health,
Mr. Speaker: In view of the statements made
by certain chiropractors last week, and re-
ported in the Ottawa Citizen, that they are
treating under OHIP asthma and diabetes,
what steps has the minister taken? Does he
intend to pay claims of this nature? Does he
intend to do anything to protect the public?
Hon. F. S. Miller (Minister of Health): Mr.
Speaker-
Interjections by hon. members.
Hon. Mr. Miller: If the members could
keep it up for two more minutes, question
period will be over.
Mr. MacDonald: The honeymoon's over
now, let's hear it.
Mr. Shulman: The minister hasn't made a
mistake yet.
Hon. Mr. Miller: Well, the question being
asked by the member for High Park is a very
good one.
Interjections by hon. members.
Hon. Mr. Miller: That in itself is a change.
However, we are of course looking at the
Tole of the chiropractor and under the Health
Disciplines bill this whole question is going
to be discussed. I'm not prepared at this
time to say what in fact is the scope of prac-
tice of a chiropractor and what is not. I can
only say that in due— what is the word?; in
the fullness of time?—
An hon. member: He's going places.
Mr. Ruston: The Premier better turn
around.
Mr. Lewis: How come the minister looked
at the Premier to find that out?
Mr. Deans: Going to have to sit him the
other way so that he can conduct.
Hon. Mr. Miller: —we will in fact be mak-
ing that determination.
Mr. Shulman: Supplementary, if I may,
Mr. Speaker: Does that mean that at the pres-
ent time chiropractors and others— perhaps
podiatrists— can treat asthma or cancer or dia-
betes or anything else if they wish and the
minister is going to make no limitations at
the present time but we're going to wait for
the fulkess of time to protect the public?
Mr. Jessiman: He didn't say that.
54
ONTARIO LEGISLATURE
An. hon. member: Is the minister going to
pay them for that?
Hon. Mr. Miller: I did not say that. I
think the member will find that this was one
of the major issues in the study of the role
of the various components of the health de-
livery system undertaken a couple of years
ago— the question as to whether in fact the
practice of chiropractic permitted the treat-
ment of organic disorders or not. I am quite
aware of the position of the medical pro-
fession on this. I, as yet, have not tried to
reach an opinion on it. I am going to have
this information before me when this part
comes up and the study is going on now.
Mr. Speaker: The hon. member for York-
Forest Hill.
GO-URBAN SYSTEM
Mr. P. G. Givens (York-Forest Hill): A
question of the Minister of Transportation
and Communications: Is it a fact that there
are negotiations taking place with his ministry
now to alter the contract with Krauss-MafFei
and, if so, what is the nature of these nego-
tiations, and what are the financial implica-
tions of these negotiations?
Hon. J. R. Rhodes (Minister of Transpor-
tation and Communications): Mr. Speaker, I
am not aware of any negotiations going on
at this time. I would trust that the hon.
members opposite will appreciate the fact
that I am going to take some time to under-
stand all of the intricacies of this particular
situation.
Mr. Singer: Probably until the session is
over, yes.
Mr. Martel: It is going to take some time.
Even the Premier doesn t understand it yet.
Mr. Speaker: The Minister of Transporta-
tion and Communications has the answer to
a question asked previously.
GO-URBAN SYSTEM
Hon. Mr. Rhodes: Yes, Mr. Speaker, the
member for York-Forest Hill, who apparently
is going to do this regularly, asked a question
yesterday:
Would the Minister of Transportation
and Communications explain why there has
been delay in the awarding of the guide-
way in the station contracts of the Krauss-
Maff^ei experiment in the CNE which were
promised for December and January?
First of all, Mr. Speaker, we do not accept
that there has been a delay. The construction
of the guideway at the CNE is being accom-
plished by the developer under several sepa-
rate subcontracts. The first operation, after
the design advanced to the point that column
locations were known, was to relocate the
existing utilities. ThLs relocation work was
done, pardy by subcontract and partly by the
utility companies involved. The tenders for
the utility relocation subcontract closed Dec.
12, 1973, and this work is now completed.
Mr. R. F. Nixon: The man of the year said
they would be let in October.
Hon. Mr. Rhodes: The second operation
was the installation of the column founda-
tions. The tenders for the subcontract closed
on Nov. 7, 1973, and this work is approxi-
mately 50 per cent completed, with 221
caissons completed of 481 caissons required,
and will be completed about May 1.
The third operation is the construction
and erection of the columns and beams. The
subcontract for this work was advertised
today and the work will proceed, if weather
permits, this spring. The subcontract for the
column and beam components of the guide-
way has been called in sequence and within
an acceptable schedule for the work.
Hon. Mr. Grossman: Where is the member
for York-Forest Hill getting his information?
Mr. R. F. Nixon: He got it from the
Premier's speech.
Mr. Speaker: The hon. member for Water-
loo North.
Mr. E. R. Good (Waterloo North): Yes,
thank you, Mr. Speaker.
Interjections by hon. members.
Mr. Givens: The Premier is 3% months
late now.
Mr. Speaker: The hon. member for High
Park had asked the previous question.
Mr. Lewis: No, the member for York-
Forest Hill.
Mr. Speaker: I stand corrected. The hon.
member for Wentworth.
Mr. Good: I have a question of the Min-
ister of Revenue.
Mr. Speaker: Order please. The hon. mem-
ber for Wentworth is next, I am sorry.
MARCH 7, 1974
55
SPENDING CEILINGS IN EDUCATION
Mr. Deans: Mr. Speaker, I have a question
of the Minister of Education. Is it the inten-
tion of the minister to revise the spending
ceilings in education this current year in
addition to the ones last year, and if so, will
he make the announcement soon in order
that there will not be any need to restart
negotiations after the announcement is made?
Hon. T. L. Wells (Minister of Education):
I don't know exactly what the hon. member
is driving at except that perhaps some boards
have been sending us in briefs indicating
that there have been changes in the economy
since the 1974 ceilings were announced in
August, 1973. We have been studying those
briefs very carefully and some time shortly
will make a comment on all those briefs from
the various boards.
Mr. Deans: Well, one supplemexitary ques^
tion: Does that mean that there is the pos-
sibility of a revision in the spending ceilings
for education in the Province of Ontario this
year?
Hon. Mr. Wells: All I can tell the hon.
member is that we are studying the briefs
that the various boards have sent in indicat-
ing changes in the cost of living figures that
apply to their budgets.
Mr. Lewis: In other words, by way of
supplementary, the minister is going to revise
the ceilings upwards, allegedly to meet the
inflationary spiral, but in fact to try to take
the heat off present government policy?
Hon. Mr. Wells: I didn't say that at all. I
said we were studying the briefs that were
sent in. Now surely, as responsible persons
over here in a ministry, we should study what
boards, in good faith, send in to us.
Mr. Lewis: We await an aimouncement.
The minister should make the announcement
soon because negotiations are under way.
Hon. Mr. Wells: Those briefe have been
sent in, they are being studied and they will
all be answered. They haven't been answered
yet.
Mr. Deans: Okay. Please don't wait too
long.
Mr. Speaker: The hon. member for
Waterloo North.
ASSESSMENTS ON MOBILE HOMES
Mr. Good: Thank you, Mr. Speaker. A
question of the Minister of Revenue. In view
of the fact that recent court decisions have
allowed that assessments can be made on
mobile homes under the general provisions of
the Assessment Act, which was' not previously
dione, does the minister consider that this is
the intent of the present legislation? If it is
not, would he take steps to amend the legis-
lation, or would he see that the Municipal
Act is amended so that municipalities cannot
put their $20 per month levy on the same
mobile homes which are being assessed under
the general provisions of the Assessment Act?
Hon. A. K. Meen (Minister of Revenue):
Mr. Speaker, my ministry will have to take a
look at that court case and determine whether
that interpretation is in fact the one which
the government intended to be placed on the
section. If it should turn out that it is not, I
think we would have to look very carefully
at suitable amendments. If those amendments
are required to be made under the Municipal
Act, they would be made, of course, in an-
other ministry, but if they were to be made
under the Assessment Act, then it would be
a question for my own ministry. I may have
more I can say on that in the not too distant
future.
Mr. Good: Just one short supplementary:
Could the minister assure the members of
the House that people living in mobile homes
will not be subject to double taxation under
the two respective Acts? This is what people
want to know.
Hon. Mr. Meen: Mr. Speaker, certainly
it is not the intention of the government that
the owners and residents of mobile homes
would be double-taxed.
Mr. Speaker: Petitions.
Presenting reports.
Hon. Mr. Snow presented the report of
the Ministry of Government Services' for the
year ending March 31, 1973, and the report
of the Provincial Auditor for the year ending
March 31, 1973.
!Hon. Mr. Irvine presented the general de-
velopment agreement and the federal-provin-
cial subsidiary agreement for regional eco-
nomic development in the Cornwall area
which were signed between the federal and
Ontario governments at Cornwall on Feb. 26,
1974.
Mr. Speaker: Motions.
Introduction of bills.
56
ONTARIO LEGISLATURE
PRACTISE OF DENTAL
PROSTHESIS ACT
Mr. R. F. Nixon moves first reading of bill
intituled, An Act to provide for the Practise
of Dental Prosthesis.
Motion agreed to; first reading of the bill.
Mr. R. F. Nixon: Mr. Speaker, the bill
allows denturists to take impressions, con-
struct and fit complete upper, lower and
partial dentures, and deal directly with the
public. This is the same bill that was before
the Legislature in my name during the last
sessions.
ment of Regional Economic Expansion, and a
subsidiary agreement under which the gov-
ernments of Canada and Ontario will con-
tribute approximately $14 million to develop-
ment projects in Cornwall. In the coming
months I hope we will sign additional agree-
ments covering other areas. The purpose of
this bill is to allow municipalities to join us
in both financing and undertaking a broad
range of regional economic development pro-
grammes.
Mr. Speaker, we are anxious to have this
bill passed quickly so that we can enter into
an agreement v^dth the city of Cornwall. I
will be taking it through the legislative proc-
MILK ACT
Hon. Mr. Stewart moves first reading of
bill intituled. An Act to amend the Milk Act.
Motion agreed to; first reading of the bill.
Hon. W. A. Stewart (Minister of Agricul-
ture and Food): Mr. Speaker, briefly the bill
simply follows up on changes that were made
in the Milk Act last year and transfers cer-
tain powers from the commission to the
director of the dairy branch.
DEVELOPMENTAL SERVICES ACT 1974
Hon. Mr. Brunelle moves first reading of
bill intituled, the Developmental Services Act
1974.
Motion agreed to; first reading of the bill.
Hon. R. Brunelle (Minister of Community
and Social Services): Mr. Speaker, the pur-
pose of this bill is to transfer administrative
responsibility for facilities for mentally re-
tarded persons from the Ministry of Health
to the Ministry of Commimity and Social
Services. This bill is part of a broad policy to
implement the provision of a complete range
of social services in the community for
mentally retarded persons.
MUNICIPAL ACT
Hon. Mr. Irvine moves first reading of bill
intituled. An Act to amend the Municipal
Act.
Motion agreed to; first reading of the bill.
Hon. D. R. Irvine (Minister without Port-
folio): Mr. Speaker, on Feb. 26 the Treasurer
(Mr. White) had the privilege of signing a
general development agreement relating to
activities in Ontario of the federal Depart-
ONTARIO HUMAN RIGHTS CODE
Hon. Mr. Guindon moves first reading of
bill intituled. An Act to amend the Ontario
Human Rights Code.
Motion agreed to; first reading of the bill.
Hon. Mr. Guindon: Mr. Speaker, this bill
provides for three minor amendments to
clarify the interpretation of the code, and
one amendment which is of a housekeeping
nature.
Mr. Martel: I thought the minister was go-
ing to take over the investigation into the
Human Rights Commission.
MENTAL HEALTH ACT
Mr. Roy moves first reading of bill in-
tituled, An Act to amend the Mental Health
Act.
Motion agreed to; first reading of the bill.
Mr. Roy: Mr. Speaker, the purpose of this
bill is to safeguard the rights of^ individuals
deemed abnormal by police oflBcers, who are
taken to mental institutions against their will.
This bill would make an amendiment under
section 10 of the Mental Health Act to re-
quire that a person who has been detained
under that section of the Act be given a
medical examination and brought before a
justice of the peace within 24 hours to justify
his detention. As the Act is presently
written, Mr. Speaker, there are no safeguards
for individuals and this is a potentially
dangerous situation.
Mr. R. M. Johnston (St. Catharines): Mr.
Speaker-
Mr. Speaker: All right.
MARCH 7, 1974
57
Mr. R. M. Johnston moves first reading of
Bill Pr2.
Mr. Laughren: Too late.
Mr. Martel: The member just bombed.
He'll have to try again.
Mr. Speaker: I vdsh to inform the hon.
member that the time has not approached,
at this point, for the reading of private bills.
They haven't gone through the private bills
committee; the procedural affairs committee,
in fact.
Orders of the day.
Clerk of the House: The first order, con-
sideration of the speech of the Honourable
the Lieutenant Governor at the opening of
the session.
THRONE SPEECH DEBATE
Mr. Beckett moves, seconded by Mr.
Havrot, that a humble address be presented
to the Honourable the Lieutenant Governor
as follows:
To the Honourable W. Ross Macdonald,
PC, CD, QC, LL.D, Lieutenant Governor
of Ontario;
May it please Your Honour:
We, Her Majesty's most dutiful and loyal'
subjects of the legislative assembly of the
Province of Ontario now assembled, beg
leave to thank Your Honour for the
gracious speech Your Honour has addressed
to us.
Mr. Speaker: The hon. member for Brant-
ford.
Mr. R. B. Beckett (Brantford): Mr. Speaker,
it is an honour and a privilege for me to be
called upon to move this address to His
Honour the Lieutenant Governor. I am cer-
tain all members of this Legislature will join
me in thanking His Honour for his words of
confidence and inspiration which will surely
guide us well in our deliberations in the
days and nights ahead; deliberations which
will, indeed, have a decided effect on all
of us in Ontario in the future years.
I am sure all members of this Legislature
will join me in an expression of appreciation
to His Honour for the very excellent manner
in which he has represented Her Majesty
the Queen during his term of oflBce as Lieu-
tenant Governor of Ontario. We all regret
that his term of office is shortly to be com-
pleted.
The Lieutenant Governor has not spared
himself in his constant activities throughout
this province. He has visited most parts of
this province and has left an indelible im-
pression of the dignity and graciousness that
he has given to his high oflBce.
He has taken a very special interest in the
young people of this province and he has
inspired them. He has an excellent sense of
humour and has established a rapport with
young and old that is the envy of all people
in political life.
I'm very pleased to have this opportunity
to place on the oflBcial record of this hon.
assembly my personal appreciation of the
Lieutenant Governor, since his home is in my
riding of Brantford.
As all hon. members are aware, W. Ross
Macdonald served the citizens of Brantford
for many years as the Member of Parliament
for Brantford. He has served as Speaker of
the House of Commons in Ottawa, as govern-
ment leader of the Senate, and as a Senator.
His many accomplishments in the public
service are too numerous to mention today;
however, we will all have the opportunity to
honour this great Canadian later this month
and I'm sure we are all looking forward to
this happy occasion.
I would be remiss if I did not mention
the forthcoming appointment of Mrs. Pauline
McGibbon as Her Majesty's representative in
Ontario. I am sure all members are looking
forward to Mrs. McGibbon's tenure of office
with great anticipation and that she will
bring to this high oflBce the graciousness and
distinction to which we have become accus-
tomed.
Mr. Speaker, I am delighted to see you
back in the chair with your accustomed good
humour and apparent good health. I believe
all members share in the appreciation of the
diflBcult job you do so well. There are, of
course, occasions when some members in the
heat of debate will be unhappy with your
decisions. However, I am confident that when
the heat of battle cools all members will
agree you have served with distinction and
with fairness to all, and we are delighted to
see you there.
I wish also to congratulate the new mem-
bers of cabinet who have new responsibilities
in the challenging days that lie ahead. I am
sure they will once again demonstrate the
qualities of leadership which have made
Ontario the great province that it is today.
The former cabinet members deserve our
respect and appreciation for their years of
excellent service to the people of the prov-
58
ONTARIO LEGISLATURE
ince. I am delighted that we will continue
to have the benefit of their experience and
counsel in this assembly.
Mr. Speaker, the Speech from the Throne
indicates to this assembly and to the citizens
of this province the concerns of the govern-
ment and its proposals to deal with these
concerns. I feel that the speech delivered last
Tuesday by His Honour was an excellent
Throne Speech because it clearly indicates
that this government recognizes its respon-
sibilities, is prepared to accept these respon-
sibilities and, most important, to act in a
responsible manner.
The Throne Speech faced up to today's
realities of inflation and the energy problem.
It rightly placed inflation as a country-wide
problem that can only be dealt with on a
country-wide basis. It made no pie in the
sky proposals on either inflation or energy
but it did promise the essential co-operation
with the government of Canada and the other
provinces so that these problems can be
minimized to the benefit of all.
The programmes announced to improve es-
sential services to remote areas of the prov-
ince deserve the support of all members of
this assembly. I think it is important to re-
member that the speech emphasized consul-
tation and co-operation with those wishing to
participate. The Polar Gas project is an excit-
ing project with great future significance to
our province. A James Bay area port could
bring benefits to that area and to all the
province.
I am pleased to note the improved loan
programmes and financial assistance will con-
tinue to be available to tourist operators,
small businesses and service industries. The
key word here is improve because although
the loans and assistance have been available
the conditions, in my opinion, have been too
restrictive. Small businesses are the backbone
of Ontario's economy and they merit real
assistance. Small businesses provide a great
deal of varied employment for our citizens.
Having served on the select committee on
the utilization of educational facilities, I wel-
come the statement that the government pro-
poses to expand academic and cultural oppor-
tunities in the open sector of post-secondary
education. The extension (rf educational
broadcasts within the province is a further
step that will provide a needed service which
has been largely confined to the Metro To-
ronto area. New and innovative educational
materials for school and college students as
well as persons learning at home is good
news for those interested or concerned with
such needs. Let's get on with it.
I am sure that all members will welcome
the announcement of an income support pro-
gramme to aid Ontario's older citizens and
for the disabled. These two groups of our
population have been caught in the infla-
tionary spiral. The only probable disagree-
ment will be in how much support and how
soon will the support be available. I have, as
every other member of this House has, I am
sure, many people in my riding whom I
will recommend for such income support. The
proposal for a prescription drug plan for
senior citizens will also be good news. We all
must know of many senior citizens whose
lives will be made easier with such assist-
ance.
The new programmes for assistance to co-
operative daycare centres in low-income areas,
the making available of resources to expand
high priority services such as those for handi-
capped children, children from low-income
families and native children, are all commend-
able. But the proposal I like best is the re-
view of the regulations with the aim of re-
moving unnecessary impediments to the crea-
tion of new services.
iMr. Speaker, not being trained in law I do
not pretend to imdierstand all of the Ontario
Law Reform Commission's report on the ad-
ministration of the courts. However, I am
sure that there are more than enough in this
House who are trained in law, and) if they
can agree on a plarmed programme of imple-
mentation for judicial areas and for the rota-
tion of judges and trial centres throughout
these areas after consultation with those
affected, I will be content.
If, however, this should mean the appoint-
ment of an additional provincial judge in the
provincial court in Brantford, I will be
grateful. The city coimcil of Brantford and
the Brant Coimty Bar Association have re-
quested such an additional appointment to
facilitate the court procedtures in Brant
county. The present judge has had no other
recourse than to adijourn cases from February
to June because of his heavy docket.
I welcome the new procedures in the Min-
istry of Correctional Services, the proposal
for legislation on consumer prodtict warran-
ties and guarantees, and new redress pro-
cedures in the field of the Ministry of Con-
sumer and Commercial Relations.
I am sure that all members, in our un-
official role as ombudsmen, have been frus-
trated in the past in these matters of better
protection for consumers. Caveat Emptor— let
the buyer beware— is not a good slogan in
these days of high-pressure sales made to un-
MARCH 7, 1974
59
wary purchasers who too often are in the
low-income bracket.
Before some hon. members feel I am too
happy, I would like to indicate that I am not
happy with some of the implications of a
mandatory use of automobile seat belts. I am
not happy with a law that apparently would
be so difficult to enforce and so easy to evade.
I also have been told of several incidents
where survival of an automobile dtiver or
passenger has been possible because the seat
belt was not being used. People have been
trapped, I have been informed, by seat belts
in automobile accidents.
Mr. R. F. Nixon (Leader of the Opposition):
Is the member going to vote for the bill?
Mr. Beckett: I am sure that this matter will
receive much attention before legislation is
passed, and at this time I will await further
evidence before casting my vote.
Mr. R. F. Nixon: Very healthy attitude.
An hon. member: He's going to abstain.
Mr. Beckett: I particularly approve of the
special efforts that will be made to encour-
age local initiatives for community-based
mental-retardation services, including new
community residences. Assistance to a larger
number of physically and mentally disabled
persons in their own communities is impor-
tant. Such persons are nearly always happier
in familiar surroundings and not in some
massive far-away institution. The burden of
extensive and costly travel for visiting pur-
poses is also removed from the families of
such persons.
'The health planning task force report,
chaired by Dr. Eraser Mustard, and its pro-
posals for the further development of a com-
prehensive health plan will be studied with
eager anticipation. Dr. Mustard has an im-
pressive reputation and I hope his task force
report is as frank as he has been in person.
I welcome the new housing proposals. In
my own riding of Brantford, where the major
urban centre is the city of Brantford, there
is a major building boom in reisidential units
but the shortage of serviced land will shortly
curtail this programme.
Land costs are already too high and will
likely continue to rise as the shortage con-
tinues. In Brantford, withoilt the small On-
tario Housing Home Ownership Madfe Easy
programme this year, it would be nearly im-
possible for the low- or medium-income
earners to purchase a home. My personal con-
viction is that these land costs will not come
down or even level off until there is a
surplus of lots available. This can only be
achieved by the development of serviced land
in the surrounding township of Brantford.
Such development can be achieved if the
future of local government in Brant coimty
is shortly resolved and some further assistance
is granted to municipalities to provide sewer
facilities.
Mr. M. Cassidy (Ottawa Centre): Brantford
might try some public ownership as well.
Mr. Beckett: The Ontario Housing Corp.
owns approximately 1,000 acres in a land
bank in the township of Brantford. The city
could physically service such lands soon if
municipal boundaries are established at local
government's request and. with ministerial
approval. Financial assistance by the prov-
ince will be necessary to e^yedite such
mammoth sewer construction. Lands are be^
ing held in our area by the private sector for
future development and the majority of the
land is still under agricultural production, but
if it were not I would request the imple-
mentation of government assistance to ensure
the continued agricultural prodiiction use of
these lands. I believe this to be a legitimate
and necessary government control.
I'm encouraged by the neighbourhood
improvement programmes, the provincial
home renewal programme, and hope that
these plans can be facilitated as soon as
possible.
This year the citizens of Brant county and
Brantford are celebrating the centainial of
the invention of the telephone by Dr. Alexan-
der Graham Bell in Brantford in 1874.
Mr. R. F. Nixon: There has been trouble
ever since.
Mr. Beckett: To those of you who thought
that Don Ameche in the Metro-Goldwyn-
Mayer production invented the telephone in
Boston, USA, I would refer you to the offi-
cial history text that will shoW^ that Dr. Bell
in his Own words and handwriting confirmed
that the telephone was indeed invented at
Brantford. These celebrations commenced on
Jan. 1, 1974, Mr. Speaker, and will continue
throughout the whole year. On July 7 the
Bell centennial parade with th^ theme,
"Thank you, Dr. Bell," will be held with
over 100 floats and many marching bands.
I take pleasure inviting the hon. members
of this House and their families to attend
and see what will probably be the largest
parade ever held in Canada.
Mr. C. E. Mcllyisen ( Oshawa) : Will the
member for Brantford put us up? , v, ,
60
ONTARIO LEGISLATURE
Mr. Beckett: Perhaps the members of this
House could put aside political feelings for
one day and enter a float. The theme of
such a float could be our appreciation to
Dr. Bell for providing us with such a useful
means of easy communication between our-
selves here in Toronto and with the citizens
in our ridings.
I'm sure that some hon. members will
have wished, as I often have, that Dr. Bell
had stayed in bed instead of inventing a
telephone, but if he hadn't some other scien-
tist would have, and it probably would not
have been in Brantford, Ont., but in a for-
eign land and we would have had to learn
a foreign language.
Thank you, Mr. Speaker.
Mr. Speaker: The hon. member for Timis-
kaming,
Mr. Cassidy: Now we know why you sent
around the Turns.
Mr. E. M. Havrot ( Timiskaming ) : Thank
you, Mr. Speaker. Wait till I get around to
that. I'll get around to him.
It is indeed a pleasure and a privilege for
me to second the motion of the hon. mem-
ber for Brantford for the adoption of the
Speech from the Throne.
I too would like to pay tribute to His
Honour the Lieutenant Governor for the
manner in which he has carried out the
duties and responsibilities of his office. He
has combined charm and good humour with
dignity and enthusiasm and vigour with
decorum.
Before I get on with the details of my
speech, I would like to make a few com-
ments on my observations as a first-term
member of this Legislature during the past
three sessions. First of all, Mr. Speaker, I'm
very much impressed with your great dedi-
cation and ability in handling the daily com-
plex problems of this House. No individual
member, whether on the government side
or in opposition, spends as much time in the
Legislature listening to the countless hours
of debate as you, Mr. Speaker. For this rea-
son I firmly believe you must have the most
calloused pair of ears of any human being
in Ontario.
Mr. Speaker, my impressions of the oppo-
sition members in this Legislature leave me
wondering how such talent— listen to this—
talent, is wasted in countless hours of non-
sensical childish bickering. I am told that
many of the speeches made are replays from
previous years, like warmed-up cofl'ee, flat
and bitter, or like baloney, lots of filler but
very little meat.
I realize it is very diflBcult for opposition
members to find genuine criticism of good
government. However, I would assume that
they would at least spend some more time
looking for ways and means of further im-
proving our system of government, rather
than constantly bellyaching and grand-
standing.
Mr. E. W. Martel (Sudbury East): Maybe
the hon. member should follow the first rule
—and that is that he can't read a speech.
Mr. Havrot: I don't know which is worse,
my sore back or his voice.
Much has been said about televising the
debates from this Legislature for the people
of Ontario. Mr. Speaker, I would very much
welcome such a suggestion as it would once
and for all give the taxpayers of Ontario a
clearer picture as to how our democratic
process operates, rather than relying on
biased reports from the press gallery.
Interjection by an hon. member.
Mr. Havrot: I am coming to them now.
As one who has great concern for the
welfare of my fellow man, I am pleased to
provide temporary relief to the opposition
members with a roll of tablets for "stomach
orders and bellyaches" in the hope that it
may create some harmony in this House
for at least several days.
Mr. Cassidy: He is going to give it to
the rump as well, I hope.
Mr. Havrot: No, the members opposite
are the only fellows who will get it— don't
worry.
Mr. R. F. Nixon: The Premier (Mr. Davis)
is interested in what the member has to say.
Mr. J. R. Breithaupt (Kitchener): So is
the whole cabinet.
Mr. Havrot: Thank you very much.
Mr. Speaker, I am extremely proud to
represent my people in the riding of Timis-
kaming, which I may add is a big and beau-
tiful area-
Interjection by an hon. member.
Mr. Havrot: —almost as big as your mouth.
Mr. Speaker: Order please.
Mr. Havrot: It is rated by the Ministry of
Natural Resources and the Ministry of Indus-
MARCH 7, 1974
61
try and Tourism as one of the most beautiful
ridings in the province. It stretches from
south of Latchford for over 100 miles to
north of Kirkland Lake. It is bounded by the
Quebec border to the east and reaches past
Elk Lake to the west. It is surrounded by
Cochrane South to the north. Nickel Belt to
the west, and Nipissing to the south; and
considering the political aflRliation of the
members from those ridings, I may be for-
given for stating that there are ample reasons
for regarding Timiskaming as one of the more
intelligent districts in the north.
Mr. Cassidy: One can't say that for the
member.
Mr. Havrot: It is a riding which is largely
dependent upon mining, lumbering, farming,
tourism and light manufacturing.
Mr. V. M. Singer (Downsview): And Ed
Havrot.
Mr. Havrot: Mr. Speaker, my greatest area
of concern is the lack of employment oppor-
tunities for the hundreds of capable young
people graduating annually from our high
schools and community colleges who are
lured to the bright spots of Toronto and the
job opportunities of the "golden horseshoe."
The north has become an educational factory
for business and industry of southern Ontario.
Mr. Speaker, as a major step to stem the
flow of our youth from the north I would like
to strongly urge my government to take im-
mediate action to implement the Maple
Mountain project, which is located 30 miles
west of the town of .Haileybury.
Mr. W. Ferrier (Cochrane South):
"George," we wiU send you these Tums over.
Mr. Martel: The Solicitor General (Mr.
Kerr) just fell off his chair on that.
Mr. D. W. Ewen (Wentworth North): Put
your hand up, "Comer," we will let you go
to the bathroom.
Mr. Havrot: During the past two years this
project has received a tremendous amount of
publicity by all the media across the prov-
ince. I might also add that it has received
enthusiastic support from municipal councils
in northeastern Ontario from Sudbury to
Kapuskasing, representing almost a quarter
of a million people.
The cost of this proposed project has been
kicked around like a football, ranging any-
where from $40 million to $100 million. An-
other misconception has been that the project
will be funded entirely from the public
sector. This is not so and here are the facts:
Stage one: Total estimated expenditure—
$42 million. Forty-six percent of this amount
would be funded over a five-year peiiod by
the provincial and federal governments
yielding an SVa per cent return on investnient,
and the balance of 54 per cent from the
private sector.
Of more than 30 sites thoroughly investi-
gated throughout many areas of the province,
Maple Mountain was the only site that had
all the ingredients to develop a year-round
resort community providing a full range of
recreational activity to attract large numbers
of visitors for extended periods of stay.
Mr. Cassidy: I hear it is pretty cold for
skiing in the winter up there.
Mr. Havrot: Well, we live up there. How
does my friend figure that one?
Mr. Cassidy: It's about 25 deg. colder than
the Laurentians.
Mr. Havrot: It is 2 deg. colder, the
statistics prove, my friend.
The potential economic and social benefits
to the region are enormous. Through the con-
struction of stage one alone over 1,200
people would be employed. Once in opera-
tion, stage one would employ over 900
people. Most of those would commute from
the Tritown area.
It is estimated that this project would
attract up to 17.6 million visitor dollars an-
nually, compared with $7.3 million for the
entire riding in 1972, not to mention those
dollars which will be spent directly off-site
and throughout the region. The greatest per-
centage of all these dollars, through labour
costs and the purchase of services, goods and
supplies, will remain in the north.
Every effort will be made to encourage
local individual and corporate financial par-
ticipation in the project, and such would
ensure that even more dollars would remain
in the north. I might add, Mr. Speaker, that
many northerners have already expressed a
genuine interest to invest in this most excit-
ing project. I urge the government to con-
sider what this project will mean, not just to
my riding, but to the entire north country.
Tourism has to be developed in the north
as our mines and forests will not last for-
ever. It can and will provide new oppor-
tunities for private capital. It can provide
many hundreds of jobs for yoimg people who
want to live in the north. If we have a
major tourist attraction, international in its
62
ONTARIO LEGISLATURE
scope, then we will see tourists spill out all
over the north, but we desperately need
some magnet to draw them into the area.
Mr, Cassidy: They will take the bus to
Cobalt and buy a cup of coffee, eh?
Mr. Havrot: That magnet, Mr. Speaker,
is the Maple Mountain project, which con-
tains immense potential for revitalizing the
north country. I didn't hear the member—
a little louder please.
Mr. Cassidy: They will take the bus to
Cobalt and buy a cup of coffee. That is the
spin-off from that proposition. All the rest
of the region will get nothing more.
Mr. Havrot: That's just about the size of
the member's mind— about the size of a cup
of coffee.
Interjections by hon. members.
Mr. Speaker: Order, please.
Mr. Havrot: Another great area of concern
to me, Mr. Speaker, has been the decision on
the part of most ministries at Queen's Park
to locate the bulk of regional and district
oflBces in the larger, more expensive and
prosperous communities of the north— com-
pletely ignoring the smaller, less prosperous
communities which are struggling for sur-
vival. I strongly feel that if Ae north is to
grow, it must grow together and not in the
isolated population growth areas.
This problem of centralization and bureau-
cratic thinking extends to the Ontario North-
land Railway. Despite all kinds of eflForts at
the political level to make the ONR a vital
andi imaginative development growth, it is
regarded by most northerners as solely a
North Bay concern.
To elaborate on this point, North Bay does
not produce a dollar's worth of revenue for
the ONR, yet the main operations are con-
centrated in the Bay. The communities along
the system which help prodtice the revenues
are gradually being downgraded with staff,
workshop and equipment reductions — and
in some cases are being phased out com-
pletely.
il would also like to suggest that we need
yoimger and more vigorous commissioners
and the appointment of a commissioner to
represent labour on the ONR—
Mr. Ferrier: They need a new chairman
too.
Mr. Cassidy: They need a new chairman,
yes. Take the land speculators out of the
ONR.
Mr. Havrot: The members opposite couldn't
hold a candle to him. They couldti't hold a
candle to the chairman. The only thing they
have got longer than he has is a tongue. I
congratulate my government on the improve-
ment to the norOntair service and the utiliza-
tion of a new municipal airstrip at Kirkland
Lake. This excellent facility now provides
a connecting link for people in the Kirkland
Lake, E*nglehart, Earlton, and Tritown with
Air Canada and Sudbury—
Mr. Cassidy: Is the member bucking for
the chairman's job?
Mr. Havrot: — on two direct return flights
daily from Toronto with an average flying
time of only two hours each way.
Mr. Speaker, the people of the north ap-
preciate the excellent commimity colfeges,
but I feel that the time has come for a com-
plete survey of community college facilities
in Ontario and that no more should be built
or enlarged until our present facilities are
operating at capacity. The college in Kirk-
land Lake is operating at about 50 per cent
capacity and the situation in Timmins isn't
much better. I see constant duplication and
outright competition with taxpayers' money
between the colleges in Ontario as they seek
students. It would make more sense to ofi^er
increased grants to southern Ontario students
to locate in the north rather than spend more
millions in expansion in the south.
I am well aware that this government and
the Minister of Health (Mr. Miller) are con-
cerned over the increasing costs of medical
services. I do suggest that we should replace
the present cumbersome billing procedures
with a simple credit card. After all, if you
can get four new tires and a grease job
simply by presenting a credit card, I see no
reason why medical attention should require
so much paper work.
ISince transportation has been one of the
major problems of the north, I very much
welcome the recent appointment of my good
friend and colleague, John Rhodbs of Sault
Ste. Marie, as Minister of Transportation
and Communications. This appointment—
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): Repeat that.
Mr. Havrot: Oh, would the minister like a
replay?
tSince transportation hasi been one of the
major problems of the north, I very much
welcome the recent appointment of my good
friend and colleague, John Rhodes of Sault
Ste. Marie, as Minister of Transportation and
Communications .
MARCH 7, 1974
63
Mr. B. Cilbertson (Algoma): Rhodes for
roads.
Mr. Havrot: This appointment brings the
number of cabinet ministers to three from
northeastern and northwestern Ontario and
clearly indicates that the government recog-
nizes the needs and priorities of the north.
I might also add that this is the first time
in the history of the province that this
important portfolio has been held by a
northern member.
Hon. Mr. Winkler: How about that?
Mr. Havrot: The government unveiled this
past year a series of important steps designed
to benefit the economy of northern Ontario.
A 10 per cent increase in general support
grants, announced in the budget for northern
municipalities, is in addition to grants made
to all other Ontario municipalities. The new
business incentive programme provides for
loans to new or expanding northern busi-
nesses of up to $1 million or 90 per cent of
capital costs and may be interest-free. Interim
reductions on freight rates averaging 18 per
cent are in efi^ect in northeastern Ontario.
They have helped to reduce costs of incom-
ing goods and permit outgoing prodticts to
compete more effectively in southern markets.
Mr. Speaker, I was delighted by the recog-
nition given to northern Ontario in the
Speech from the Throne. The opportunity
to establish local community councils in un-
organized townships in northern Ontario is
most welcome. Studies to establish a port
facility in the James Bay area to bring poten-
tial supplies of gas, oil and minerals from
sources in the eastern Arctic will no doubt
stimulate exploration and there is a good
possibility that this area could well become
a major producer of natural gas for Ontario.
I wholeheartedly support the proposal for
a prescription drug plan for senior citizens.
The present form of assistance through wel-
fare agencies is totally unacceptable.
The provincial home renewal programme
which provides grants to homeowners in
municipahties for preserving and upgrading
the quality of existing homes will be of great
benefit to the people of the north. Over the
years, many homeowners have experienced
difficulties in obtaining loans at reasonable
rates to improve their homes.
I look forward to the implementation of
these and other recommendations in the
fourth session of the 29th Parhament. Thank
you, Mr. Speaker.
'Mr. R. F. Nixon moves the adjournment
of the debate.
'Motion agreed to.
Hon. Mr. Winkler moves the adjournment
of the House.
Motion agreed to.
The House adjourned at 3:50 o'clock,
p.m.
64 ONTARIO LEGISLATURE
CONTENTS
Thursday, March 7, 1974
Route of petroleum pipeline, statement by Mr. Grossman 39
Arbitration board for CAAT dispute, question of Mr. Winkler: Mr. Laughren 40
Anglo-Canadian Pulp and Paper expansion in northwestern Ontario, statement by
Mr. Davis 42
Anglo-Canadian Pulp and Paper expansion in northwestern Ontario, questions of
Mr. Davis: Mr. R. F. Nixon, Mr. Lewis 43
Environmental impact of public works, questions of Mr. Grossman and Mr. McKeough:
Mr. R. F. Nixon, Mr, Cassidy, Mr. Gaunt 43
Prosecution of denturists, questions of Mr. Welch: Mr. R. F. Nixon, Mr. Shulman,
Mr. Braithwaite, Mr. Roy 47
Route of petroleum pipeline, questions of Mr. McKeough: Mr. Lewis, Mr. Roy 49
Maple Mountain development, questions of Mr. Bennett: Mr. Lewis 50
Hall Lamp Co., questions of Mr. Guindon and Mr. Bennett: Mr. Lewis, Mr. Riddell .... 50
Acquisition of Lake Ontario Cement Co. property, question of Mr. Bemier: Mr. Lewis 51
Female appointments to WCB, question of Mr. Davis: Mr. Lewis 51
No-fault automobile insurance, questions of Mr. Davis: Mr. Singer, Mr. Roy 52
Role of chiropractors, questions of Mr. Miller: Mr. Shulman 53
GO-Urban system, questions of Mr. Rhodes: Mr. Givens 54
Spending ceilings in education, questions of Mr. Wells: Mr. Deans, Mr. Lewis 55
Assessments on mobile homes, questions of Mr. Meen: Mr. Good 55
Presenting reports, Ministry of Government Services and Provincial Auditor, Mr. Snow 55
Presenting report, federal-provincial agreement for regional economic development in
Cornwall area, Mr. Irvine 55
Practise of Dental Prosthesis Act, bill intituled, Mr. R. F. Nixon, first reading 56
Milk Act, bill to amend, Mr. Stewart, first reading 56
Developmental Services Act 1974, bill intituled, Mr. Brunelle, first reading 56
Municipal Act, biU to amend, Mr. Irvine, first reading 56
Ontario Human Rights Code, bill to amend, Mr. Guindon, first reading 56
Mental Health Act, bill to amend, Mr. Roy, first reading 56
Debate on the Speech from the Throne, Mr. Beckett, Mr. Havrot 57
Motion to adjourn debate, Mr. R. F. Nixon, agreed to 63
Motion to adjourn, Mr. Winkler, agreed to 63
No. 4
Ontario
Hcgtslature of Ontario
OFFICIAL REPORT — DAILY EDITION
Fourth Session of the Twenty-Ninth Legislature
Friday, March 8, 1974
Speaker: Honourable Allan Edward Renter
Clerk: Roderick Lewis, QC
THE QUEEN'S PRINTER
PARLIAMENT BUILDINGS, TORONTO
1974
Price per session, $10.00. Address, Clerk of the House, Parliament Bldgs., Toronto
CONTENTS
(Daily index of proceedings appears at back of this issue.)
LEGISLATIVE ASSEMBLY OF ONTARIO
The House met at 10 o'clock, a.m.
Prayers.
Mr. Speaker: Statements by the ministry.
Oral questions. The Leader of the Opposi-
tion.
WORKMEN'S COMPENSATION BOARD
Mr. R. F. Nixon (Leader of the Opposi-
tion): Mr. Speaker, I would like to ask the
Minister of Labour if he contemplates mak-
ing further changes in the composition and
personnel of the workmen's Compensation
Board and the high administrative echelons
of the board?
Hon. F. Guindon (Minister of Labour):
Yes, Mr. Speaker. There are still two va-
cancies on the board. Two commissioners
still have to be appointed.
Mr. R. F. Nixon: Thank you. Can the
minister assures us that Mr. Decker will be
maintained in his position as—
Mr. S. Lewis (Scarborough West): He was
reappointed.
Mr. R. F. Nixon: —vice-chairman and that
the stories and the rumours that are heard
among those concerned with the Workmen's
Compensation Board are in no way true, and
that, in fact, he will continue in his impor-
tant post?
Hon. Mr. Cuindon: Mr. Speaker, Mr.
Decker has been reappointed for a term of
two years. I believe, as a commissioner of the
body corporate and not as vice-chairman.
Mr. R. F. Nixon: Not as vice-chairman?
Hon. Mr. Guindon: Right.
Mr. R. F. Nixon: A supplementary then:
Are we to assume that he will be removed
from that position?
Hon. Mr. Guindon: There are two vice-
chairmen. With the new structure of the
board, as members know, we have a vice-
chairman for manager, Mr. Speaker, and a
FRroAY, March 8, 1974
vice-chairman for the appeal structure; but
Mr. Decker is still a member of the board.
Mr. I. Deans (Wentworth): He is a hear-
ing officer.
Mr. Lewis: He is a commissioner of ap-
peals.
Hon. Mr. Guindon: No, no. He is a mem-
ber of the corporate body.
Mr. R. F. Nixon: I'm sorry, Mr. Speaker,
I don't want to belabour this, but his posi-
tion has been vice-chairman now for a con-
siderable period of time and that is going to
be changed. Is that correct?
Hon. Mr. Guindon: Yes, that's right, Mr.
Speaker, Mr. Decker was vice-chairman of
the board. Now he is a member of the cor-
porate body, the same as Mr. Hamilton.
Mr. R. F. Nixon: Right. A supplementary:
Is it the minister's intention to deal directly
with the union of injured workmen— a group
that he is familiar with, as are we, from
various communications— which seems to be
becoming more and more the major organ-
ized spokesman for those people who feel
they have not been dealt with equitably and
with justice by the board?
Hon. Mr. Guindon: I think the board has
always had a fairly good rapport with the
injured workmen's group, Mr. Speaker. How-
ever, in the new structure you will find there
will be counsellors appointed as well, coun-
sellors who will not come under the board
but will be paid by the Ministry of Labour.
Mr. E. J. Bounsall (Windsor West): Sup-
plementary, Mr. Speaker.
Mr. Speaker: The hon. member for Wind-
sor West.
Mr. Bounsall: Thank you. Would the
minister consider appointing various persons
or the directors of the Injured Workmen's
Consultants as consultants to the board, as
one of these bodies outside the board which
the board is now able and willing to appoint?
Hon. Mr. Guindon: Right now, of course,
Mr. Speaker, the board is accepting applica-
68
ONTARIO LEGISLATURE
tions from anyone interested in being ap-
pointed to the board. These applicants will
be screened, and of course we are looking
for experienced people who we feel really
will fill that job properly.
Coining back to the question of my hon.
friend from Windsor West, I cannot say at
this time whether we could do this or not.
I would think not.
Mr. Lewis: Supplementary, Mr. Speaker:
Why did the minister turn down the recent
request from the union of injured workmen
to meet with a large number of their mem-
bership, so that they could raise with the
Minister of Labour, the enormous range of
injustice they continue to feel about their
relationship with the Workmen's Compensa-
tion Board? Most of them, as the minister
knows, represent immigrant communities in
the west end of the city of Toronto, and he
categorically refuses to meet with them. Why
does he do that as minister? He refused to
meet their mass meeting. He said, "Send
some representatives to my oflRce." Why
won't he meet with the range of injured
workmen themselves?
Hon. Mr. Cuindon: Mr. Speaker, I have
met with this group on several occasions—
at least three that I recall in my offices here
at Queen's Park. The board and the chair-
man of the Workmen's Compensation Board
have met with them on several occasions as
well. These people naturally want to talk
about benefits. I am in no position to say
anything at this present time. I certainly have
to consult the employers' and employees'
organizations of this province and find out
the cost factor of any benefit that perhaps
could be added. So I am not in a position at
this time to—
Mr. Deans: Has the minister not done
that?
Hon. Mr. Guindon: I am prepared, and I
said so—
Mr. Lewis: The minister is building an-
other host of rage out there.
Hon. Mr. Guindon: I have never turned
down any delegation in the last 2% years,
Mr. Speaker. I would be quite prepared to
meet with them, but there is no point in
attending a public assembly-
Mr. Lewis: Why not? He is a minister of
the Crown. There is tremendous frustration
amongst those workers. He should meet with
them.
Hon. Mr. Guindon: I would be glad to meet
with them, and I will— I have offered to meet
with them.
Mr. Lewis: Sure, three or four selected
ones in his office.
Mr. R. F. Nixon: Supplementary: Would
the minister agree that the very best kind
of a political realization in this is that if the
responsible minister, not the appointed chair-
man, meet with this group, the injured work-
men's union, and on their own ground and
under their own circumstances?
Mr. Lewis: Sure, sure.
Mr. R. F. Nixon: Why not? Surely that is
why we have a Legislature and a responsible
minister,
Hon. Mr. Guindon: Mr. Speaker, I think it
is known, even among the injured workmen's
association, that it is not hard to meet the
Minister of Labour in this province. I think
I made this very clear.
Mr. Lewis: Well, he refused.
Hon. Mr. Guindon: Moreover, when our
bill, the Workmen's Compensation Act, went
to the committee stage last year, we made it
a point to invite these people to attend; and
in fact they did contribute something.
Mr. Lewis: The minister gave them 24
hours' notice. He invited them on Friday
for a Monday.
CAMP ASSOCIATES ADVERTISING LTD.
Mr. R. F. Nixon: What happened to the
Minister of the Environment (Mr. W. New-
man)? Oh, there he goes.
I would like to ask the Minister of Indus-
try and Tourism to repeat his rather con-
voluted explanation as to why he, through
his ministry, has made pavTuents of $1,-
250,000 to Dalton Camp Associates without
a contract or a written agreement. Does the
minister not feel that it is his personal re-
sponsibility to see that these moneys are
spent in a more orderly way, if at all? Does
he not further see the sensitivity in this
matter, since a number of advertising agen-
cies seem to be getting bigger and bigger
accounts with various government ministries
as we get closer to the election, and the
government embarks on these self-aggran-
dizement programmes at the public expense?
Hon. C. Bennett (Minister of Industry and
Tourism): Mr. Speaker, the remark made by
MARCH 8, 1974
the Leader of the Opposition is not actually
correct. First of all, the sum of $1.25 million
was not paid to the Camp agency. That was
our entire account for advertising in press,
radio and TV for the ministry for the year
that the auditor was reporting for. Camp
Associates, sir, works on a commitment to
the government through the Ministry of In-
dustry and Tourism. When the auditor
brought it to our attention that there should
be an agreement, the ministry people set to
work to draft an agreement. After many
months of discussion within the ministry and
with the auditor's people they were not sure
as to why exactly they were trying to pro-
pose or arrange an agreement, which is not
the customary way of dealing with advertis-
ing agencies anywhere in this province.
Interjections by hon. members.
Mr. R. F. Nixon: The customary way is to
do it on a friendly and political basis.
Hon. Mr. Bennett: Well, I suppose if it is
on a friendly and political basis we'd likely
gain that line of knowledge from the Liberal
Party in Ottawa— and so, Mr. Speaker-
Mr. J. R. Breithaupt (Kitchener): It has
worked for 30 years.
Hon. Mr. Bennett: I am reporting exactly
as the situation happens to be with advertis-
ing agencies in this province-
Mr. D. C. MacDonald (York South): Both
the Conservatives and Liberals do it the
same way; we recognize that.
Mr. R. F. Nixon: We know who are the
ripoff artists.
Hon. Mr. Bennett: —and let me remind
the NDP that it is on the same basis as the
NDP is treating its advertising agency in
Manitoba; the agency that looked after the
party in power in Manitoba during the last
provincial election in that province.
Mr. J. A. Renwick (Riverdale): We will
check that one, too.
Interjections by hon. members.
Hon. W. A. Stewart (Minister of Agricul-
ture and Food): Righteous indignation.
Mr. MacDonald: Let's get back to Ontario
Mr. Speaker: Order, order.
Interjections by hon. members.
Hon. Mr. Bennett: Mr. Speaker, we have
with our agents— and I can report that for
the Ministry of Industry and Tourism we have
three agencies that work on our behalf-
commitments which have a 30-djay cancella-
tion clause. In the commitment it very clearly
states exactly what we expect of that agent
for us as the client.
Mr. Renwick: Let's table that.
Hon. Mr. Bennett: We place the advertise-
ment in the areas that we believe it should
be placed for the greatest efficiency and pro-
motion for the Province of Ontario. TTieir
commissions-
Mr. R. F. Nixon: And for the Conservative
Party.
Hon. Mr. Bennett: If it happens to advance
the cause of the government of the Province
of Ontario, all well and good. But first and
foremost we are advancing the position of
the Province of Ontario, which I believe in-
cludes the opposition members as well.
Mr. R. F. Nixon: Does he mean the Con-
servative Party?
Interjections by hon. members.
Mr. MacDonald: Can we share the de-
cisions on how the minister handles that?
Hon. Mr. Bennett: We have at the moment
the Camp agency, which looks after the
tourism account, and in our opinion it is
doing a very effective and efficient job. The
travel agency for Canada, through the Liberal
Party, adlnits that our advertising is among
the best on this continent.
Mr. R. F. Nixon: An absolute disgrace.
Interjections by hon. members.
Hon. Mr. Bennett: Witii that, sir, it is
obvious that this government has employed
the best agency possible to advance the cause
of tourism in this province.
Mr. R. F. Nixon: Supplementary: Does the
minister then reject the criticism from the
Provincial Auditor? In fact, is he saying that
what he is doing is better than what the
Provincial Auditor is suggesting and saying
specifically should be done?
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): That's right.
Hon. Mr. Bennett: Mr. Speaker, since the
time that we discussed the—
Mr. R. F. Nixon: The Chairman of the
Management Board says "right."
70
ONTARIO LEGISLATURE
Mr. Lewis: Get that on the record.
Hon. Mr. Bennett: Let me assure the
Leader of the Opposition, since the day that—
Mr. MacDonald: Great management over
there,
Hon. Mr. Bennett: Yes, we have good
management and we have followed the advice
of the auditor at this point in time.
Mr. Lewis: Oh come on—
Mr. R. F. Nixon: It is already too much.
Mr. Lewis: The man the minister is deal-
ing with is also the chairman of the commis-
sion on the Legislature.
Mr. Speaker: Order.
Hon. Mr. Bennett: Mr. Speaker, it would
be well if the leader of the NDP would get
his facts straight for a change, for the simple
reason that Mr. Camp is not associated with
the firm.
Mr. V. M. Singer (Downsview): It is his
brother-in-law.
Hon. Mr. Bennett: I couldn't care less who
he is. The fact is that—
Interjections by hon. members.
Mr. Speaker: Order.
Mr. Lewis: Just tell us the minister will
put it in hand.
Hon. Mr. Bennett: The statement was made
that Mr. Camp was leading the agency.
ca
Mr. R. F. Nixon: That agency has such a
tchy name— Dalton Camp Associates.
Hon. Mr. Bennett: Well, it appears that the
Liberal Party was willing to accept some of
his recommendations on changes in the Legis-
lature, so I would think that his advice must
be good herei as well as in the advertising
field.
Mr. Lewis: Sort this out then.
Interjections by hon. members.
Hon. Mr. Bennett: May I say that the
leader of the Liberal Party asked if we were
willing to accept the auditor's advice. We are;
we have prepared an agreement.
Mr. Singer: Oh, the minister and the Chair-
man of the Management Board don't agree
on that.
Hon. Mr. Bennett: May I advise the Leader
of the Opposition that since that time we
have had further discussions with the auditor
general for the province and we are not sure
that there is anything to be gained by sign-
ing an agreement. I would advise the House
of this, that we have an agreement which has
been signed by the Camp agency. It has not
been signed by the ministry at this point be-
cause there seems to be some difference of
opinion with the auditor as to why we should
have the agreement when the commitment is
covering the item fully and adequately at this
time.
Mr. MacDonald: Because the Chairman of
the Management Board was opposed to it.
Mr. Lewis: Supplementary, Mr. Speaker:
No. 1, will the minister table those commit-
ments in the House? No. 2, will he explain
what he means by the customary relationship?
And No. 3, can he tell us whether or not the
Management Board will accept the auditor's
recommendations since the Chairman of the
Management Board has already rejected them
this morning in the House?
Hon. Mr. Winkler: That's not true.
Mr. Singer: The Chairman of the Manage-
ment Board had better get up and set that
straight.
Hon. Mr. Bennett: Well, as far as the Man-
agement Board's position is concerned I'll
allow the Chairman of the Management Board
to report on that question for the member.
Mr. R. F. Nixon: That's nice of the minister.
Interjections by hon. members.
Hon. Mr. Bennett: As for the commitments,
sir, we are prepared to file them. They are
an order from our ministry to the agency as
to where we wish our advertising placed. We
have no reasons not to indicate very clearly
to this House and the people of Ontario
where we spend the money in their interests
to promote tourism.
Mr. R. F. Nixon: And the government's
own.
Mr. Speaker: The hon. member for Downs-
view.
Mr. Singer: Mr. Speaker, by way of supple-
mentary, could the minister tell us how many
dollars he expects to spend with the Camp
agency, without the agreement, during the
months of March, April, May and June of
1974? Has he projected his thinking that far
ahead or is he just writing a blank cheque?
MARCH 8, 1974
71
How many dollars has he allocated and what
plans does he have?
Mr. R. F. Nixon: Just whatever is good for
the Tory party.
Hon. Mr. Bennett: Let me say, Mr. Speaker,
while the Leader of the Opposition seems to
think that it is all for the advancement of the
Tory party-
Mr. R. F. Nixon: Isn't it?
Hon. Mr. Bennett: —it has provided ex-
cellent government for this province over the
last 30 years. Obviously we have placed the
ads in the right spots to convince people we
are doing a job on their behalf and in their
interests.
Mr. R. F. Nixon: It is time for the cam-
paign.
Mr. Lewis: It won't save the government
anyway, but that's not the point of the
question.
Hon. Mr. Bennett: As to answering the
question, we do have spelled out very clearly
in our commitments to the agency exacdy the
number of dollars that will be spent and in
the places that they will be spent, whether
it relates to television, radio or newspaper
advertising.
Mr. Singef! How about telling the House
about it?
Mr. R. F. Nixon: Did the minister say he
would table it?
Hon. Mr. Bennett: If Liberal members had
been listening to the leader of the NDP—
Mr. R. F. Nixon: Did the minister say he
would table it?
Mr. Speaker: Order.
Hon. Mr. Bennett: I believe, Mr, Speaker,
if a few of the members of the Liberal Party
would sit and listen for a moment to the
questions that are asked by other parties in
this House, they might also be able to gain
some knowledge of the answers that are given.
I indicated to the leader of the NDP that
I was prepared to table in this House the
commitments that we have with our agency
in placing advertising on a national or inter-
national basis, and that would cover the
very question that the member from the
Liberal Party has asked.
Mr. Singer: When is the minister going to
table it?
Mr. R. F. Nixon: When is he going to
table it?
Hon. Mr. Bennett: In due course.
Interjections by hon. members.
Mr. Lewis: Apart from self-enhancement
or whatever else, I don't think it's comic in
terms of the commission on the Legislature.
Does the minister not think he owes it to
Dalton Camp Associates as well as to the
Legislature to table those commitments on
Monday or Tuesday of next week to indi-
cate to us when in time those commitments
were undertaken and whether or not he is
going to follow the specific recommendation
of the auditor to have a negotiated agree-
ment or contract?
Hon. Mr. Beimett: Mr. Speaker, I think I
have already covered the position in the
contract. We have an agreement already
drafted and signed by the Camp agency, but
because there appears to be some difiFerence
of opinion as to what the need of the agree-
ment is at this time it has not been fully
signed by the ministry.
Mr, Lewis; Let us see it.
Mr. R. F. Nixon: Well, if the ministry
doesn't need it, why have it?
Mr. Singer: Mr. Speaker, by way of sup-
plementary, if the minister doesn't know the
need, if there is confusion, how can he pos-
sibly say that he has a plan for the ongoing
months?
Mr. Lewis: Well, he can say many things.
Hon. Mr. Bennett: Mr. Speaker, I am not
sure that the relationship of the agreement
has anything to do with the placing of ad-
vertising, to be very honest with you.
Mr. Lewis: I wouldn't have thought so,
either.
Hon. Mr. Bennett: I already indicated to
this House that in the opinion of the auditors
and those people within the ministry, the
commitment that we have with the agency
is basically the same thing, a direct commit-
ment as to what we are going to spend in
advertising and in what months and in what
areas of promotion we are going to use it.
Mr. Singer: Why doesn't the minister tell
the House about it?
Mr. Speaker: The hon. Leader of the
Opposition? The hon. member for Scarbor-
ough West.
72
ONTARIO LEGISLATURE
Mr. Lewis: We will allow Camp Associates
to tender on our contract.
Mr. Speaker: The hon. member for Scar-
borough West with a question.
Hon. W. Newman: No, I haven't visited
that site. I have visited many garbage sites,
though, in the province.
Mr. R. F. Nixon: Is he going to visit this
ENVIRONMENTAL HEARING BOARD
Mr. Lewis: I have a question, Mr. Speaker,
of the Minister of the Environment because
he has been so anxious to jump in these last
few days. May I ask him whether he has
rejected the request from Disposal Services
Ltd. for what would amount to a hearing
under section 35 of the Environmental Pro-
tection Act, which would allow the bylaw
to be waived so that Disposal Services could
continue to establish large landfill sites in
Vaughan township?
Hon. W. Newman (Minister of the En-
vironment): Mr. Speaker, there will be an
Environmental Hearing Board meeting next
week on these matters, on the 20-acre site
and the bylaw.
Mr. Lewis: On the 20-acre site and on
the big proposed site— the 900-acre site— as
well?
Hon. W. Newman: No, just on this portion
of it. We are still waiting for engineering
reports on the total overall picture.
Mr. R. F. Nixon: A supplementary: I won-
der if the minister could tell us the status of
that other great garbage commitment that his
Environmental Hearing Board has made and
that is in Hope township. Is he prepared to
say what the government policy is on going
forward with that or cancelling it? Hopefully
it will cancel it?
Hon. W. Newman: As you know, the en-
vironmental hearing board has made its re-
port-
Mr. R. F. Nixon: They made a recommen-
dation.
Hon. W. Newman: They made a recom-
mendation.
Mr. R. F. Nixon: That the CPR be granted
the right.
Hon. W. Newman: Right. And we are now
doing the necessary testing in that area.
There are still more meetings to be held
with the CPR officials and the municipal oflB-
cials.
Mr. R. F. Nixon: A supplementary: Has
the minister visited the site?
Hon. W. Newman: I will be visiting a lot
of them.
Mr. R. F. Nixon: He has been to a lot of
Tory rallies in the past.
Mr. Lewis: Supplementary to the minister,
Mr. Speaker: Would the minister consider
suspending the intended plans for the Hope
township site, for the Pickering township
site and for the Vaughan township site, both
in the transportation of public and private
garbage? And would he take a look at the
possibilities of alternatives for Metropolitan
Toronto, with assistance from the public
treasury, in the three- or four-year interim
period before major recycling and reclama-
tion can be undertaken, to locate that gar-
bage in an area of the province, transported
by rail if necessary, which would not cause
such total disruption in those surrounding
communities immediately adjacent to Metro?
He has that authority under the Environ-
mental Protection Act.
Hon. W. Newman: The total matter of
waste disposal, of course, I'm very much con-
cerned about and live with daily, but I'm
not prepared at this point in time to with-
draw all these applications, no. But we are
certainly looking.
As you know, we have the programme
Watts from Waste. We are also working on
the engineering for a reclamation plant. We
are looking for other means. Certainly in the
long-range view we want to do away with
the sites, but even with all those processes
there still will be some waste that will have
to be dealt with in the future.
Mr. E. R. Good (Waterloo North): A sup-
plementary.
Mr. Speaker: The hon. member for Water-
loo North.
Mr. Good: Would the minister assure the
Legislature that he will give only enough
permits to handle the Metropolitan landfill
problem until such time as there is a speed-up
in the reclamation and recycling process
within Metro— which is five years late, in-
cidentally, Mr. Speaker— so that there won't
be permits given, which could carry on for
20 years more, for burying our garbage
MARCH 8, 1974
73
in the ground, which is what they are wanting
to do?
Hon. W. Newman: We are quite anxious
in this ministry to get away from long-term
landfill sites.
Mr. Good: When did it change its policy?
Overnight? Because that was not the previous
policy.
Hon. W. Newman: No, I didn't say it was—
Mr. R. F. Nixon: New minister, new policy,
that's all.
Mr. Good: That's great.
Hon. W. Newman: There are many sites—
and I realize what the member is trying to
say, that we want to look at the other pro-
grammes we have under way to try to find
other ways of dealing with this matter.
Mr. D. M. Deacon (York Centre): A sup-
plementary.
Mr. Good: The minister didn't answer my
question.
Mr. Deacon: In view of the fact that there
are at least a score of well-proven recycling
installations now in operation in Europe and
in North America, could the minister not
select one of these at least and get several of
them immediately under construction, because
it takes two years at the most to get proven
plans into construction and in operation if they
are proven processes? Would the minister
undertake to do that and keep the limit on
any landfill to three years, other than the
refuse left over after recycling?
Hon. W. Newman: I must be quite honest.
I am not that familiar with all the European
situations at this point in time. As I said, we
have engineering plans under way for reckma-
tion plants now and—
Mr. Deacon: This is terrible.
Hon. W. Newman: At this point in time
I am not prepared to say that we can lock into
a three-year situation until we have these
plans well along.
Mr. B. Newman ( Windsor- Walkerville):
Why doesn't the minister take my bill-
Mr. Renwick: Mr. Speaker, by way of a
supplementary question, has the hon. Minister
of Industry and Tourism reported to the
hon. Minister of the Environment about the
discussions which he has been having with a
firm from Italy on this question of garbage
disposal and the mechanical equipment which,
I understand, was quite acceptable to the
Ministry of Industry and Tourism?
Hon. W. Newman: As a matter of fact I
have been rather busy since I started this job.
I haven't really had a chance to talk to the
Ministry of Industry and Tourism, though I
plan to be meeting with them— I believe it's
on Monday of this coming week.
Mr. Lewis: The minister hasn't talked to
him yet?
Mr. Speaker: The hon. member for Scar-
borough West.
FOOD PRICES
Mr. Lewis: A question, Mr. Speaker— I have
been looking for the Minister of Consumer and
Commercial Relations. I can't find him, but
I see a facsimile over there so perhaps I
could direct the question.
Mr. Good: Frankie Laine's over there.
Mr. Lewis: What is the minister doing
about his continued appraisal of supermarkets
and retailers in his effort to watch the rise of
food prices? Has he referred any other dis-
crepancies or injustices that he thinks may
have occurred to the federal food prices com-
mission, and what has happened to that legis-
lation which was hinted at in the last ses-
sion, but not noted in this Throne Speech,
which might give the consumers some protec-
tion from increasing food prices other than in
the area of warranties and franchises, etc.?
Hon. J. T. Clement (Minister of Consumer
and Commercial Relations): Mr. Speaker,
firstly I would like to thank the leader of the
New Democratic Party for recognizing that I
was here. I have been here two or three days
and I am surprised he didn't see me.
Mr. Lewis: No, he hasn't been here; not
in his seat he hasn't.
Hon. Mr. Clement: I also welcome the
comments referring to my Christmas present
and I have a new shirt on" today, too. I hope
the fact that it's a little on the red side has
nothing to do vsdth my new motif.
In any event, sir, referring to the question
dealing with the food prices, yes, we are
continuing to monitor diem. We are also
drafting the Business Practices Act to which
I have made reference in the past. I hope to
be able to introduce that legislation in this
session of the House.
74
ONTARIO LEGISLATURE
I have also had discussions with my
counterpart in Ottawa, the Hon. Mr. Gray,
insofar as food price increases are concerned.
As the hon. leadter knows, it is not only re-
stricted to this province; the problem seems
to exist, in fact, across the country and I
anticipate that legislation will emanate from
the federal people dealing with this particular
matter,
I am sure the hon. leader is aware that a
substantial number of prosecutions, I am ad-
vised, have already been initiated by the
federal people as a result of the Prices Review
Board's investigations into food prices, which
have been carried on over the past few
months. Insofar as our proposing or under-
taking some form of price control is con-
cerned, I see that just cannot be effected and
I would not, accordingly, make any such
undertaking to the members of this House.
Mr. Lewis: A supplementary: Can the min-
ister make public the monitoring of food
price increases that he has in his ministry to
give us a sense of where precisely it is
occurring and who is responsible for it?
Second, has he called the major supermarket
chains into his office to justify to klm or ex-
plain to him how they legitimize the return
on investment which they have made over the
last 18 months to two years, and to take a
look at their balance sheets?
Hon. Mr. Clement: Mr. Speaker, no, I
have not called the presidents of the super-
markets into my office to make that inquiry.
We have taken a careful look at those
publicly listed companies out of a matter of
curiosity on our part. It is interesting, Mr.
Speaker, in connection with one major super-
market that while at first blush it did have a
particularly lucrative year in 1973, it appears
that a substantial portion of earnings in that
particular year for that particular company
emanated from the sale of capital assets by
way of land, and it appears a capital gain of
some substance was realized.
We have no jurisdiction to invite them in.
I am sure that if we did, they would come in
and discuss it.
Insofar as the food monitoring is concerned,
I propose to make those figures available to
the public, again in the next week or two. I
should point out to the House, Mr. Speaker,
and to the hon. leader of the New Democratic
Party, they are not particularly persuasive one
way or the other in that the prices will
fluctuate ever so slightly from week to week.
There are no significant trends or leadership
provided by any one company in any one
particular period of time and the difference
in terms of dollars and cents in rather
minimal.
Mr. Lewis: The minister is being manip-
ulated and ripped off and he is enjoying it.
He likes watching this system work.
Mr. MacDonald: A supplementary ques-
tion, Mr. Speaker: May I ask the minister
what co-ordination, if any, there is between
this work in his ministry and the work within
the Ministry of Agriculture and Food where
it monitors a food basket? Why is it that both
this ministry and the Ministry of Agriculture,
in reference to the food basket monitoring,
operate so secretly? Why isn't this informa-
tion out to the public so that it may be of
some value?
Hon. Mr. Clement: Mr. Speaker, as I have
indicated, I will make that available. There
is nothing secretive about it but I don't think
the hon. member for York South will really
be turned on if he notices that at supermarket
X our food' basket cost $19.26 and at its
competitor it was $19.31 for the week. I don't
think that will' do anything for him.
Mr. Lewis: Let the minister ask himself
what that means.
Hon. Mr. Clement: There's nothing secre-
tive about it. We have worked closely with
the Ministry of Agriculture, particularly the
food council which also does' the monitoring.
We are trying to ascertain at all times, in our
role, whetiier any legislation of this province
is being breached by any of the supermarkets.
The member and I can sit here and talk all
day about the spiralling costs and that sort of
thing, but I ask him exactly under what legis-
lation we would move?
Interjections by hon. members.
Hon. Mr. Clement: Unless we see that
existing legislation is being breached there
is nothing we can do at the provincial level.
Interjections by hon. members.
Hon. Mr. Clement: We have had discus-
sions with the Food Prices Review Board
people on noticing practices that we don't
think are in the best interests of consumers;
and they have shared that concern and in
fact have initiated certain prosecutions under
the Combines Investigation Act.
Mr. Lewis: The prices are totally provin-
cial.
Mr. MacDonald: A supplementary, Mr.
Speaker: Is the minister familiar with re-
MARCH 8, 1974
75
search paper No. 14, prepared for the farm
income committee by William Janssen et al,
in which he, Janssen, documents that this
manipulation of prices by supermarkets is
part of their regular game? It is part of the
pattern of operation; and if they are fooling
the minister and he can't do anything about
it, doesn't that underline the need for legis-
lation that will catch these procedures?
Mr. Lewis: An excess profits tax; the right
to roll back prices.
Hon. Mr. Clement: I have not seen it.
Mr. Deans: I have one more supplemen-
tary.
Mr. MacDonald: The minister ought to
read that report; it is a very good document.
Hon. Mr. Stewart: He will be able to im-
plement that in Manitoba because he is now
the deputy.
Mr. MacDonald: He is indeed.
Hon. Mr. Stewart: But he hasn't done a
thing about it.
Mr. MacDonald: He has, you bet he has.
Hon. Mr. Stewart: He hasn't done a thing
about it; not a thing.
Mr. MacDonald: They know about their
food basket; there are weekly announcements
about the discrepancies between what far-
mers get and consumer prices.
Interjections by hon. members.
Mr. Speaker: Order, order.
Mr. Deans: Thank you. Mr. Speaker, is the
minister satisfied there is in fact no collusion
between the supermarkets in order to make
sure that the average food basket does main-
tain a level which they consider to be reason-
able but I consider to be exhorbitant?
Mr. Lewis: Sure there is collusion; there is
collusion.
Hon. Mr. Clement: I can't speak to any
such discussion as it exists, in reality or as
alleged, between the supermarkets. I point
out to the hon. member that under the com-
bines Investigation Act if that type of prac-
tice persists there might well be prosecution
emanating from that level.
Mr. Lewis: Well then, the minister should
examine it.
Hon. Mr. Clement: So I'm not privy to
any discussions between the heads of super-
markets, no.
Mr. Deans: One final question.
Mr. Speaker: The hon member for Kit-
chener. There have been three supplemen-
taries. Was it a supplementary?
Mr. Breithaupt: No, it wasn't.
Mr. Speaker: I'm sorry. Then the hon.
member for Wentworth may ask a supple-
mentary.
Mr. Deans: One final supplementary ques-
tion: Is the minister aware of the statement
by certain supermarkets that they do indeed
check their competitors' prices before estab-
lishing a price on their own shelves for
similar products?
Hon. Mr. Clement: Mr. Speaker, yes I'm
aware of that statement having been made.
Mr. Speaker: The hon. member for Scar-
borough West. Does he have a further ques-
tion?
Mr. Lewis: No, I don't think so.
Mr. Speaker: No. The hon. member for
Kitchener.
PUBLIC SERVICE ACT CONFLICT
Mr. Breithaupt: I have a question, Mr.
Speaker, of the Chairman of the Management
Board of Cabinet. As it would appear that in
1971-1972, Dr. Douglas Wright received
some $39,863 as chairman of the Committee
on University Affairs, can the Chairman look
into section 33 of the Public Service Act and
advise us if the additional payments of
$34,980 per diem for work on the Commis-
sion on Post-Secondary Education, and
$23,935 in expense moneys received as well
by Dr. Wright, do not perhaps come into
conflict with the requirement for a public
servant not to engage in any work or business
undertaking other than that for which he is
paid as a public servant?
Hon. Mr. Winkler: Mr. Speaker, I will cer-
tainly have a look at the question the hon.
member raises. I'm satisfied at the moment
that it met criteria, but I'll have it examined
and reply.
Mr. Breithaupt: Perhaps the minister on
the same point could inquire as to benefits
likely to have been received for consulting
work done on the structural steel contract at
Ontario Place.
76
ONTARIO LEGISLATURE
Mr. Lewis: A supplementary, Mr. Speaker.
Mr. Speaker: All right.
Mr. Lewis: Who was the commissioner
who received 27 per cent of the per diems
and 47 per cent of the expense allowance
indicated in the auditor's report; the com-
missioner on the Post-Secondary Education
Commission? That was it, was it not?
Hon. Mr. Winkler: I'm not aware of the
detail the hon. member is inquiring about
but I shall find out and reply to him.
Mr. Speaker: The hon. member for Sud-
bury.
EFFECT OF FREIGHT RATE CUT
Mr. M. C. Germa (Sudbury): Mr. Speaker,
I have a question of the Minister of Trans-
portation and Communications. As it is not
apparent that any benefits have accrued to the
consumer as a result of the freight rate
reduction programme into northern Ontario,
can the minister cite any one specific con-
sumer item which has had a price reduction
on account of the freight rate reduction pro-
gramme by the Northern Transportation Com-
mission?
Hon. J. R. Rhodes (Minister of Trans-
portation and Communications): No, Mr.
Speaker, I can't cite any specific commodity,
but I can say that there will be a new
announcement very shortly. As you know,
there was an experiment in this area. It did
not perhaps come forward as we had hoped
it would. It has been reassessed in connection
with a group of citizens in the northeastern
part of the province, and a new programme
will be brought forth very shortly. But I
can't mention any specific commodity at this
time.
Mr. Germa: Supplementary, Mr. Speaker:
Could the minister also give us the details of
the total revenue loss to the Ontario North-
land Transportation Commission on account of
the programme and tell us who is the great-
est benefactor of these lost revenues?
Hon. Mr. Rhodes: Mr. Speaker, I will at-
tempt to get that information for the hon.
member.
Mr. Speaker: The hon. member for Downs-
view is next.
COMMUNICATIONS-6 INC.
Mr. Singer: Mr. Speaker, I have a ques-
tion of the Minister of Natural Resources.
Could he explain to us the basis on which
payments in the amount of $59,578 were
made to a firm of consultants and writers on
public relations to manage the information
and public relations programmes for his-
torical parks in that year? This was done
without the prior approval of the deputy
minister of the department; and there were
apparently payments made to a firm called
Communications-6 Inc. Who were they,
who found them and on whose authority was
this expenditure made?
Hon. L. Bemier (Minister of Natural Re-
sources): Mr. Speaker, this information, as
the member is very much aware, just came
to my attention late yesterday afternoon. I
have asked the deputy for a full report, and
I will have that for the member just as
quickly as I can. I might say that this par-
ticular contract has come to an end, and we
have called tenders for a new public re-
lations officer for the Huronia area.
Mr. Singer: By way of supplementary,
could the minister shed a little light on who
Communications-6 Inc. is?
Hon. Mr. Bemier: No, I can't, Mr. Speak-
er, but I will get the information.
Mr. Speaker: The hon. member for High
Park.
PREVENTIVE MEDICINE
Mr. M. Shulman (High Park): A question
of the Minister of Health, Mr. Speaker: Can
the minister explain why his department has
lost its interest in preventive medicine? Spe-
cifically, if you will recall, some time ago
the department announced with great fan-
fare that OHIP was going to pay for well-
female examinations every six months. A big
press release was issued, and yet very quiet-
ly the department has issued a notice to
all physicians saying it no longer will pay
for this type of preventive medicine. Are
they no longer interested in the department
in the prevention of cancer?
Hon. F. S. Miller (Minister of Health):
Mr. Speaker, no matter what crib notes I
get, each day he asks another question that
is not on them.
Mr. Breithaupt: That is the plan.
MARCH 8, 1974
77
Mr. Lewis: It is carefully worked out. We
know the notes the minister gets; we get
copies of the notes and ask other questions.
Mr. R. F. Nixon; We have a cute Minister
of Health.
Hon. Mr. Miller: Cute in the literal term-
or just visually?
Mr. MacDonald: What is the minister's
answer to the question?
Hon. Mr. Miller: I would not say that the
ministry has lost its interest in either the
prevention of cancer or, of course, preventive
medicine. I would think that the conference
of health ministers of Canada and of the
provinces of Canada, held in Ottawa last
month, in fact pointed out how important
this measure is and how the focus of the
health care programme has been too much
upon treating illnesses once they arise and
not enough on the prevention.
I can only say that I am extremely keen
and very much aware that in this economy
we have today, where we can afford the
luxuries of life that in fact create poor
health, one of our real problems is getting
people even to care about keeping them-
selves in condition and taking some of the
measures that are necessary to safeguard
their own health.
Mr. Deans: What about those who have
the incentive?
Mr. Shulman: As a supplementary, Mr.
Speaker: In view of the minister's fine senti-
ments, will he resume the programme which
he abandoned so recently of paying for well-
female examinations every six months, which
the second former Minister of Health an-
nounced with such a great advance flurry and
which has been dropped?
Hon. Mr. Miller: Well, it seems to me
this was a subject of a lot of controversy in
the press a short while back. The controversy
was a medical controversy, not a political
one, and that was the question of the value
of some of the tests that are involved in that
particular examination-
Mr. Shulman: The Pap smears.
Hon. Mr. Miller: Yes, the Pap smear test
specifically. As I recall, there was a real war
between different factions of the medical
profession as to whether in fact the Pap
smear test-
Mr. Lewis: Oh, surely not?
Hon. Mr. Miller: I am recalling only what
the medical profession said.
Mr. Lewis: No, I don't think he is— not the
Pap test.
Mr. Shulman: A further supplementary, if
I may. Is the minister suggesting that there
is a difference of opinion in the medical pro-
fession as to the value of Pap smears? Is
that what he believes? Is that what he really
believes?
Hon. Mr. Miller: I have found many differ-
ences of opinion in the medical profession.
Mr. Shulman: The minister is in bad
trouble.
An hon. member: So is the medical pro-
fession.
Mr. Speaker: The hon. member for York-
Forest Hill is next.
INTERMEDIATE CAPACITY TRANSIT
SYSTEM
Mr. P. G. Givens (York-Forest Hill): I have
a question of the Minister of Transportation
and Communications: In view of the state-
ment, reported in this morning's newspaper,
of Mr. Richard Soberman, who advocates the
replacement of the Scarborough Expressway
by LRT instead of the Krauss-Maffei system
—because he said that this will work now,
and we want something that will work now
and not in the future— would the minister
reconsider the complete GO-Urban policy of
the ministry with a view to accentuating the
incoming of light rapid transit because it is
more efficient, it is of lesser cost, it is de-
monstrably better and it is almost imme-
diately available?
Mr. Deans: If he opts for something that
will work now and not in the future, he is
dead.
Hon. Mr. Rhodes: Mr. Speaker, I have not
read Mr. Soberman's total comments. I did
hear some reporting on it last night. It seems
to me that he didn't compare it with the
Krauss-Maffei; be simply said that it was
possible to put it in in place of the express-
way and he has stated that this is what he
thought should be done.
As to what is the best way of handling the
urban transit problem and the best type of
method to be used, that is a matter of opin-
ion. At this time I'm not about to say that we
78
ONTARIO LEGISLATURE
will change the whole direction because of
Mr. Soberman's statement; not at all.
Mr. Lewis: A supplementary, Mr. Speaker;
Mr. Soberman's statement in effect says that
the Krauss-MafFei system, through the south-
east as the government had envisaged it,
should be abandoned as should the express-
way and that light rail transit, available with-
in two to three years, be implemented along
a specific right of way. Gradually the Krauss-
Maffei system is being dismembered point by
point. The minister has only the mid-Toronto
corridor left out of the original five lanes.
Surely, he would use Soberman's report as a
basis to indicate to the House and the public
that he will reduce the overall amount of
money committed to Krauss-Maffei and per-
haps consider its abandonment?
Hon. Mr. Rhodes: Mr. Speaker, I don't
think that the government's policy in this
matter is going to be dictated by a statement
made by Mr. Soberman—
Mr. Lewis: It is not just Soberman.
Hon. Mr. Rhodes: —which in efi"ect is a
report to the Metropolitan Toronto council
which hasn't even decided what it is going to
do with it. Perhaps we should wait and find
out what Metro's thinking is on it, initially,
before we start making statements based on
his thoughts.
Mr. Lewis: Metro clearly has purposely dis-
carded the report.
An hon. member: Right.
Mr. Speaker: The hon. member for Windsor
West.
NEGOTIATIONS ON BEHALF OF
COMMUNITY COLLEGES
Mr. Bounsall: A question of the Chairman
of the Management Board of Cabinet, Mr.
Speaker, with reference to the negotiations
and conversations that have taken place be-
tween the government and the Civil Service
Association of Ontario on behalf of the com-
munity college faculties: Who, in his opinion,
would best decide which items are negotiable
when the public service tribunal under Judge
Little or the arbitration tribunal under Judge
Anderson decide they don't have the power to
decide which items are negotiable? Should it
be through the courts or by reference back to
the Legislature of Ontario?
Hon. Mr. Winkler: Mr. Speaker, at the
moment this board has been legally consti-
tuted; the matter at this moment in time is in
the hands of Judge Anderson and I would
leave it to his adjudication.
Mr. Speaker: The hon. member for York
Centre.
Mr. Bounsall: A supplementary, Mr.
Speaker.
Mr. Speaker: All right, a supplementary.
Mr. Bounsall: It isn't a question of leaving
items to Judge Anderson's decision or not. My
question was, what is the minister going to
do when Judge Anderson says he cannot de-
cide which items are negotiable? Where will
that decision be made in the event that that
decision from Judge Anderson is forthcoming?
Hon. Mr. Winkler: Since that board has not
yet met, Mr. Speaker, it is a hypothetical
question which I do not wish to answer.
Mr. Speaker: The hon. member for York
Centre.
WITHDRAWAL OF TEACHERS'
SERVICES
Mr. Deacon: A question of the Provincial
Secretary for Social Development, Mr. Speak-
er: With the 12-to-8 decision last night of
the York county board to hire new teachers,
will the goverimient intervene under the ap-
propriate section— it is section 12(1)(1) of the
Ministry of Education Act— if it has evidence
that a substantial percentage of the registered
voters of York wish it to establish a trustee-
ship and call for a new election of trustees?
Hon. M. Birch (Provincial Secretary for
Social Development): Mr. Speaker, the only
comment that I'd be prepared to make at the
moment is that the Minister of Education
(Mr. Wells) is currently holding conversa-
tions this morning with those people.
Mr. Deacon: A further supplementary: May
I ask the provincial secretary to consider this
legislation? I would also ask the provincial
secretary to pass on to the minister my ques-
tion whether, if the government concludes the
existing legislation does not permit interven-
tion in the form I'm suggesting, will the gov-
ernment introduce such legislation, because
if the voters v^^nt the board's actions to be
overruled we should be sure they have that
right to do so, because I fear this wJiole
matter is going to escalate far beyond the
regions of York?
MARCH 8, 1974
79
Mr. Speaker: Orderl Question!
Mr. Lewis: It will escalate to compulsory
arbitration.
Mr. Speaker: Any further response to the
question?
Hon. Mrs. Birch: Mr. Speaker, I will be
very happy to pass along theise comments.
Mr. Speaker: The hon. member for High
Park is next.
ALLEGED MAFIA ACTIVITIES
Mr. Shulman: I have a question of the
Attorney General, Mr. Speaker. Is the
Attorney General aware that this past week
in this city a certain Billy Ginsberg, a stock
promoter, had his house blown up and' his
partner, one Bemie Frankel, was beaten with
a baseball bat right in the middle of Bay St.
for refusing to pay certain moneys to the
Mafia?
Hon. R. Welch (Provincial Secretary for
Justice and Attorney General): No, Mr.
Speaker.
Mr. Shulman: Mr. Speaker, if the minister
is not aware, would he be willing to make
inquiries and take some action, because
obviously while the government has got rid
of the crime in the construction indtistry, it
still hasn't touched the basic probletn of or-
ganized crime in this city?
Hon. Mr. Welch: Mr. Speaker, I would be
very happy to look into the matter referred
to by the hon. member.
Mr. Lewis: Can the Attorney General
imagine a beating on Bay St.?
Mr. R. F. Nixon: In the middlb of Bay St.
Mr. Speaker: The oral question period has
now expired.
Petitions.
Presenting reports.
Hon. Mr. Stewart presented the annual re-
port of the Crop Insurance Commission of
Ontario, 1972-1973, and the annual report of
the Agricultural Research Institute of On-
tario.
Hon. Mr. Bemier: \fr. Speaker, I beg leave
to table the annual Ontario Mineral Review
for 1973. If I may, I will make a few com-
ments on this particular report with your per-
mission. You are aware this is a very early
publication of this summary of the mining
activity in the Province of Ontario. It is a
long-standing tradition within the old Depart-
ment of Mines and Northern Affairs and this
has been carried on into the new Ministry of
Natural Resources.
This particular report has gained accept-
ance as an authoritative reference work of
valtie to the indtistry and to the government
and to edticational institutions, but it is
always a pleasure to report on the achieve-
ments of the mining industry in this province.
It is even more of a pleasure than usual to
comment on the result of the past year, when
production of minerals soared to an all-time
record of $1,779 billion, nearly $245 million
better than the total for 1972. Translated into
terms of the entire provincial economy, this
means that mineral production each year
amounts to about 3.7 per cent of the gross
provincial product.
Mr. Deans: What did we get in taxes?
Hon. Mr. Bemier: This is surely a sector of
our economic life which should not go un-
noticed. These and other facts— some not
generally known— concerning this major in-
dustry are contained in this particular review.
The second part of the review deals with
some of the facets of the Ministry of Natural
Resources' operations in which I am sure the
public will be interested.
Mr. Deans: How much more did we get in
taxes?
Mr. Speaker: Motions.
Hon. Mr. Winkler moves that Mr. Rowe,
the member for the electoral district of
Northumberland, and Mr. Hodgson, the mem-
ber for the electoral district of York North,
be appointed chairman and deputy chairman
respectively of the committees of the whole
House for the present session.
Motion agreed to.
Mr. Speaker: Introdliction of bills.
Orders of the day.
Clerk of the House: The first order, resum-
ing the adtjoumed debate on the motion for
an address in reply to the speech of the
Honourable the Lieutenant Governor at the
opening of the session.
THRONE SPEECH DEBATE
Mr. R. F. Nixon (Leader of the Opposi-
tion): Mr. Speaker, I want my first com-
ments to be directed to you, sir, and to say
80
ONTARIO LEGISLATURE
how happy we all are to see you back in
that chair, looking your old self and full of
fire, and to assure you of our complete con-
fidence in your ability to govern our debates
with justice and fairness. We reserve the
right, of course, to amend that opinion as
events require. However, I recall to your
mind, sir, that it wasn't this side that chal-
lenged your ruling before Christmas.
Mr. R. F. Ruston (Essex-Kent): Where is
he now?
Mr. E. R. Good (Waterloo North): Look
what happened to him.
Mr. R. F. Nixon: You have had, more or
less, to suffer this sort of challenge and
harassment from all sides. Still, it is our
opinion you do it with grace and ability and
we are very glad, sir, to see you have made
a full recovery and are back with us in your
position of importance and authority.
I would like, sir, to state as well that all
of us are sorry to see the end of the term
of our present Lieutenant Governor. There
will be an occasion, surely, when this can be
expressed by other members as well and I
am very glad to see that the Premier (Mr.
Davis) has taken some initiative in this re-
gard. It is very fitting indeed.
I feel a special responsibility in this con-
nection since His Honour resides in my
area, although not directly in my constitu-
ency, and he has been associated in his
former political life at least with me and
my father. Ross Macdonald was first elected
to Parliament in 1935 and as you are aware
has had many high posts of pohtical respon-
sibility with the government of Canada and
in the Senate. His term as Lieutenant Gov-
ernor has really shown the strength and
breadth of the Governor as a man. I know
of no person in that position in our history
who is more loved and revered and hon-
oured in all parts of the province and right
here in this House.
I want to speak briefly about the situation
that concerns us pertaining to education.
The newspapers and radio reports inform us
that a large group of citizens from the York
area is going to come to Queen's Park today
and no doubt will be coming within the
next few minutes. I feel, sir, that the serious-
ness of the situation cannot be overestimated.
It appears that the government, particularly
the Minister of Education (Mr. Wells), has
run out of any viable initiative and although
we are told by the provincial secretary that
he is meeting with groups from that area at
the present time, the fact remains that the
government's policy is seen to be chaotic. It
has really led to a fiasco in which the schools
in that area have been closed for five weeks
in an effort to allow negotiations, hopefully
conducted in good faith, to come to agree-
ment or some acceptable fruition.
I have had an opportunity, along with the
hon. member for Port Arthur (Mr. Foulds)
to visit the area on the invitation of the
striking teachers, to express our views to
them and hear their own. I can't help feeling
that in the circumstances in York it is difii-
cult to put all the blame for the protracted
strike on one side or the other. I feel that
the trustees have an incorrect understanding
of their elected and elective responsibility.
They somehow feel that they are saving the
rest of the province from the encroachment
of teacher authority. I get a feeling they
have a fear that they must not give in to
the demands of the teachers and, as a result
of their intransigence and, in my opinion,
their lack of understanding of the situation,
the schools have remained closed for this
very long period of time.
In talking to the teachers they have eight
specific areas on which they are basing their
strike; some of them are more significant
than others. Very specifically, they are de-
manding a say in working conditions and
specifically in the pupil-teacher ratio. In my
opinion, this is the crux of the problem; the
trustees feel that allowing the teachers to
take part in that sort of negotiation would
hand over what they consider to be their
sole responsibility, that is the power to run
the schools.
The problem that I see is that the trustees
don't realize that the community, certainly
the members of this Legislature, the Min-
ister of Education himself, have stated cate-
gorically that the teachers, through their
professional organizations and individually
through their negotiating teams, do have a
responsibility to participate and negotiate the
conditions of work. The fact that the trus-
tees have been unwilling to accept that is
perhaps more than anything else the single
rock upon which the negotiations have foun-
dered so far.
I must be frank as well and say that in
our visits to the teachers in the area, and I
believe we had an opportunity to speak to
all 670 of them and hear questions and
comments from a good many of them, we
found that one thing that does not appear
in the negotiations was very much in their
mind. I refer, and it's rather unfortunate I
MARCH 8, 1974
81
have to refer to this, to their lack of con-
fidence in the ability of the director of edu-
cation himself. Certainly it is not my place
nor my desire to be critical of him but
simply to report to you, sir, that he does
not seem to have the confidence of the
teachers; yet this is a matter which appar-
ently has not come up for any considerable
public discussion.
The trustees on the other hand have, in my
view, failed to come to grips with the very
real problems the teachers nave indicated
clearly are the negotiating points, I refer
specifically, as I say, to the right the teachers
feel they must have, not only in York but else-
where in this province, to negotiate, the terms
of employment of course but also the condi-
tions of work. This seems to be the shoal
beyond which we must pass if a settlement
is going to be achieved.
I would call on the Minister of Education
to make it clear, if in fact he has not already
made it clear, that we are going to insist on
that being a term to be negotiated'; and that
the trustees must simply accept it, because it
is going to be and is already stated as the
policy of not only the government of Ontario
and the Ministry of Education but the Legis-
lature.
The situation that we presently have is
approaching chaos in York. The fact that the
trustees are now going to attempt, based on a
decision of a divided vote taken last night,
to fill the vacant positions by hiring omer
teachers is completely irresponsible and' un-
tenable. I don't believe there is any possibility
that this can come about, since in fact tlie
whole system has been brought to a close by
the inability of the trustees and the teachers
to reach a reasonable agreement.
The minister must, of course, take a per-
sonal responsibility for this since his in-
adequate policies in Bill 274, following for-
ward in Bill 275, have led^ to this chaotic
situation. The principle put forward by the
government, opposed by the two opposition
parties, was that in no circumstances would
the schools close. Well the schools are closed,
but the unfortunate aspect is that the minis-
ter has not used his authority, or at least his
good oflBces, to require that the two sides do
sit down together, not just through their
negotiating legal representation, and in the
presence of the minister continue to negotiate
until a settlement is reached. I beheve that
putting this oflF for such a protracted' period
in the hands of the negotiators for the Minis-
try of Labour is inadequate undbr these cir-
cumstances; the minister has shown a sub-
stantial failure in his ability in this regard.
The government's policy has been knocked
into a cocked hat. It was unacceptable to
begin with and even they have withdrawn
from it. Just a week ago the Premier himself
said that perhaps even the concept of com-
pulsory arbitration is subject to review, as
certainly it should be. It's going to be noth-
ing but a continuing diflBculty for them as
they attempt to impose it on a broader and
broader area of the people in this province.
The teachers of the community colleges
are finding it completely unacceptable and
it was ridiculous in the extreme to lump the
teachers in the community colleges in with
the new civil service negotiating procedures
statute that was passed by thisi House now
some months ago. To require, by law, that
these people must attend to their classroom
duties and their right to withdraw their ser-
vices be taken away is unconscionable and
inadmissible and is going to be nothing but
a problem for the government in the future.
I would predict from the way things are
going now that there will be an illegal strike
in the community colleges. Once again, while
we are all prepared to say that this is un-
fortunate, still if those classrooms close, it
will be because of, as much as anything, not
the inability of the government to bargain
with the teachers concerned but because of
the requirement of a tribunal imposing a
settlement which the teachers do not feel is
in their best interests.
The same can be said for the hospital
workers— that while we, on this side, are pre-
pared to support compulsory arbitration for
an essential service like hospitals, it is mean-
ingless, of course, and unfair in the extreme,
if it is going to be imposed at the same time
that spending ceilings directly associated with
the salaries of the working staff involved are
going to be impeded' ahead of all other con-
siderations.
It is interesting to note that two govern-
ment ministries have inaugurated studies into
the inequities in the hospital workers' situa-
tion. The regrettable thing is that this' simply
postpones a rational and just settlement as it
would pertain to the problems' that the hos-
pital workers have experienced over so many
years. We have seen an illegal strike in the
hospital situation a year ago last summer.
There was no final conclusion there. It was
simply an embarrassment for everyone con-
cerned since we believe that the law should
be respected but, in a case such as this where
government regulation rather imposes itself
on any concept of fairness, it is a serious
matter indeed.
82
ONTARIO LEGISLATURE
The Minister of Education has the respon-
sibility in his hand^ completely. It has been
suggested that if the school board cannot
function, a petition in the local area might
very well be used to ask the minister to inter-
vene with his undoubted powers and directly.
We, on this side, would hope that that is un-
necessary.
There was an indication last week that the
members of the board of trustees were think-
ing of resigning in a body. That too, surely,
is a very extreme situation when the solution
lies within their hands. If the minister were
to indicate that his ceilings, which have been
disrupting the negotiations both there and
elsewhere, can be moderated to settle this
strike, then surely this is what must be done.
We do not believe that the teachers, as a
group, are so lacking in moderation that they
are not prepared to come to some settlement
somewhere between the two extreme salary
demands. After all, settlement has been
achieved in many other situations similar to
this. But I would say that the minister owes
it to the students in the area, as well as to
the parents who are going to be talking to
him, no doubt, outside the Legislature a bit
later, to intervene personally to see that the
two sides sit down in each other's preisence
and to keep at it until a settlement is reached,
because surely one is possible. We will not
admit that a situation could develop where a
settlement is not possible if the minister is
persuaded that his ceilings must be at least
moderated in this particular situation and
that he must take a personal position in that
regard.
Mr. Speaker, I wanted to say something
about that at the beginning of my remarks
because it is a matter of great urgency and
pertains to high policy that the government
has put forward over a number of years, a
policy associated with the removal of die
right to strike and the freedom of the indivi-
dual in this regard which, I believe, they
now see to be unacceptable. We have two
policy ministers here this morning. It is very
good of them to stay around and I would
hope that they are in a position, perhaps, to
indicate to their colleagues that, surely an
amendment to that policy is required.
Mr. J. F. Foulds (Port Arthur): Two
practising ministers.
Mr. R. F. Nixon: You know, certain things
have been happening of substantial impor-
tance in this regard and it seems to me that
the Premier himself— although he is not here
this morning, and I regret that and I'm sure
he does too— the Premier himself is carefully
searching his alternatives to find a political
stance which is more acceptable to the people
of the province and perhaps more acceptable
even to his supporters in this Legislature.
We have been extremely interested in re-
ports that have indicated that the private
public opinion polling and sampHng organ-
ization funded by the Conservative Party has
been making regular reports to the Premier
and the government on these matters week
by week. There was every indication that
during the problems with the teachers and
the school boards before Christmas that the
sampling organization— I believe it is based
in Detroit— had indicated to the Premier that
he and the Minister of Education had the
high ground and that the people said, "Sure,
put it to the teachers. They get too much
money, they don't work hard enough, and
they are getting too big for their boots."
Somehow or other they took that kind of
advice much too seriously and there has been
a backlash across this community which indi-
cates that the people are substantially and'
seriously displeased with the inadequacies in
government policy in that connection.
It is interesting when you hear the Premier
waffle on his positions. You can almost think
that the day before somebody would phone
him up— and we wouldn't suggest that it was
Dalton Camp Associates, or anybody like
that— and say, "Gosh, this week things don't
look quite as good. Bill. Maybe you had
better moderate that a little bit." It seems to
me that policy is largely being made by the
responses from the public opinion polling
organizations that privately report, but
another indication is that the Premier has
found himself personally in receipt of prob-
ably the poorest support across the province
that he has ever experienced.
It was interesting, I think, last fall to read
in the Toronto Star— it wasn't a private poll
and it wasn't a poll that actually inspired me
in all of its particulars but there was a
poll published then that indicated that only
28 per cent of the people of the province
were satisfied with the leadership and admin-
istrative abilities of the Premier, and I sup-
pose it was a response to what they thought
of the Premier as an individual. We have
heard, and it has been reliably reported, on
the CBC no less, tiiat a private poll is now
available to the Conservatives indicating
almost the identical levels of support, or lack
of it in this case, for the Premier and his
leadership in the province and in the party.
This has surely galvanized him into the kind
MARCH 8, 1974
83
of action which we have seen in the last
few weeks.
Mr. R. F. Nixon: Oh yes, well I was talk-
ing about his other capacity, of course.
Mr. Foulds: That is not galvanized action. Mr. Breithaupt: His other hat.
Mr. R. F. Nixon: I tell you when the
Premier and his policy ministers, who have
always got time to travel around the—
Mr. J. R. Breithaupt (Kitchener): New
awareness!
Mr. R. F. Nixon: —province with him
although they may not have time to come
into the Legislature and listen to the debate,
the Premier goes out weekend after weekend,
they hire a hall or get one donated, since
they usually indicate that they want to do it
as economically as possible, and there he is
every Saturday morning talking to the citizens
and listening to them. And believe me I will
be the last-
Mr. J. A. Renwick (Riverdale): That in-
cludes asking him questions.
Mr. R. F. Nixon: I would be the last to
criticize him for doing that. I just wish his
responsibility carried over into the feeling
that he should attend the Legislature for
these debates, which he obviously considers
to be rather routine and nonproductive.
Mr. Foulds: The only thing that is gal-
vanized is the garbage cans.
Mr. R. F. Nixon: I tell you that this is a
response and he is sitting down with his
coterie of political advisers and they are say-
ing, "Okay, we are going to have to go to
Barrie this Saturday. We've got to get to
Kingston the next Saturday, London the next,
and we are going to go up into the north,"
and so on. Good politics; you would almost
think that an election campaign was on, be-
cause I notice that the leader of the NDP is
pretty active around the province as well and,
by God, so is the leader of the Liberal Party.
Mr. J. P. MacBeth (York West): About time,
since those guys got the new cars.
Mr. R. F. Nixon: And I wouM say to you,
Mr. Speaker, in your other capacity, that your
own activities have been noted in bringing
to the attention of the citizens and the tax-
payers of this province the substantial in-
equities in the policies of the present govern-
ment, and that you, sir, yourself have done
this in your political capacity in a most ad-
mirable and ejffective way.
Mr. Renwick: He is the Speaker, nonparti-
Mr. R. F. Nixon: That's right. So the one
response to the information that has come to
the Premier that he is failing in maintaining
this kind of support is to bring him into the
House. I tell you that that is much appreciated
since this debate, in my view and in his I
know, is one of substantial importance, where
in my view policies of the government can be
influenced, affected and changed, and where
he owes a duty to his high office to attend.
He is now surrounded by five cabinet min-
isters, so this is becoming a great occasion in-
deed; and I hope that I will Hve up to those
expectations.
His second response was to realize that the
perception of his cabinet and himself across
the province was that somehow or other the
control that the people had come to expect
from his predecessors had been lost; the con-
trol of the leader over the party, the control
of the Premier over the government.
Hon. W. G. Davis (Premier): How about
the Leader of the Opposition's control over
his party?
Mr. R. F. Nixon: Well, Mr. Speaker, I don't
seem to be bothered with problems of con-
trolling the party. We work together for the
good of us all; and it seems to me to be
working very effectively indeed.
Hon. Mr. Davis: The majority of his party
voted against him.
Mr. R. F. Nixon: So the Premier says:
"Phase two is to shake up—"
Mr. S. Lewis (Scarborough West): If he
wants to talk about problems of control, he
can talk to me.
Mr. R. F. Nixon: "—this gang of scala-
wags and to dismiss from the cabinet those
who are seen to be ineffectual and put in
their place those who perhaps can try again."
Mr. M. Gaunt (Huron-Bruce): And some-
body disagreed and somebody didn't.
Mr. R. F. Nixon: That's it. Well, I don't
want to spend a lot of time talking about
the cabinet changes, other than to probably
express a personal view about one or two of
them.
I was very sorry indeed to see the former
Minister of Transportation and Communica-
tions (Mr. Carton) let's say dismissed. He is
84
ONTARIO LEGISLATURE
sitting now up in the back row there, happier
than he has been for a long time. And to tell
you the truth, Mr. Speaker, I look forward
to hearing him take part in the debate later
this session, because as a private member his
contributions to the general debates were
probably among the best that came from any
side.
Mr. Lewis: Agreed, with one exception.
Mr. R. F. Nixon: I can remember on one
occasion he used his very persuasive style
to persuade the former Premier to make ade-
quate compensation and adequate financing to
the residents who had lost their rights and
their privacy along the expanded 401.
He somehow lost his fire when he came
c'own to the front desk and appeared once
again to be subject to the dictation of his
boss. Now that he is back in the back row,
I think that we may be treated once again to
perhaps some more independent expressions of
his opinions.
I thought perhaps one of the most fatuous
editorial comment that was made about the
cabinet changes was in reference to the Min-
ister of Transportation and Communications.
It said he was fired because he had approved
too many expressways; that the Premier
dismissed him to show once and for all and
for everyone to see that there were going
to be no more expressways, and that it was
the Premier's wish.
Hon. Mr. Davis: Is the Leader of the Op-
position still in favour of Spadina?
Mr. R. F. Nixon: I should not perhaps para-
phrase the Globe and Mail editorial quite so
freely, but that was the concept. I have a
feeling that the decision to go ahead with
Highway 402 was not dictated by anybody,
except maybe the Minister of Agriculture and
Food (Mr. Stewart), assisted by his now parlia-
mentary secretary and certain others— that the
decision to go ahead with— what is it?— 406
down in the St. Catharines area, was not a
decision made autocratically by the Minister
of Transportation and Communications, but
simplv a political decision made on ballots by
the Tories in the area.
It may well' be that the former Minister of
Transportation and Communications was not
prepared to accept the new political reahty
and that the time has come to start spending
some money in the north. I agree whole-
heartedly that the time to spend money in
the north is now and, as a matter of fact,
politically the government is doing the right
thing. The people in the north have suffered
for a long period of time from an inadequate
share of the transportation budget, and surely,
the changes in that regard are going to be of
great importance.
The second former cabinet minister I want
to deal with just briefly is the former Attorney
General (Mr. Bales), who was subject to a
great deal of criticism in the House for his
land holdings in the Pickering area. Certainly
we criticized him for saying that if there were
profits there he would give them to charity,
but I recall to you, sir, that the former
Attorney General himself stated publicly that
he was prepared to resign if his boss felt that
there was a conflict of interest of any sub-
stance or concern there. He was supported
at the time by the Premier. I felt that under
those circumstances that the former Attorney
General should have resigned, just as the
present Minister of Energy (Mr. McKeough)
resigned under similar circumstances.
It has been a tradition in our democratic
process that those resignations are usually
followed sometimes by a by-election or a
general election in which the people assess
the charges themselves and in the best of all
courts, the democratic court, the people give
a judgement. In the case oiF the Minister of
Energy, he has madfe his way back without
such a judgement, but probably the member
for York Mills should have resigned under
those circumstances, rather than wait and be
cut off in the ignominious way in which he
was retired from the cabinet just a few days
ago.
I know that the Premier expressed publicly
the problem that he faced under those cir-
cumstances. I'm sure he was remembering the
fact that the former Attorney General is a
man of integrity and a fine man.
Mr. L. M. Reilly (Eglinton): A fine man.
Mr. R. F. Nixon: I'm sure he even re-
membered that in his political capacity the
former Attorney General was chairman of
the "Bill Davis for Leader" campaign in
Toronto and York. Now we find the former
Attorney General up in the back row con-
templating his future, probably in private
practice.
It's too bad, but I suppose the Premier felt,
if his support was down to 28 per cent and
the experts were telling him that his cabinet
was seen as a collection of people who were
prepared to live with conflict of interest, who
were prepared to dfefend contracts going to
companies who had given substantial political
donations; and that the cabinet was prepared
MARCH 8, 1974
85
to allow large contracts to be awarded with-
out any reasonable tendering procedures at
all, that somehow or other it had to be
changed and turned around.
I'm not so sure that he has done this. He
fired five. Let's say five are no longer in the
cabinet. The former Minister of Correctional
Services (Mr. Apps), the Lady Byng award
winner, had indicated quite clearly that he
was not prepared to run again, but the
Premier jumped at the chance to get him out
of there. You remember Syl always thought
he was going to be minister of youth. It was
too bad in many respects that he never had
a chance to show what he could db in pre-
paring programmes and having them accepted
by the young people in the province.
He was brought into the cabinet in the
Correctional Services ministry, which is kind
of a passing-out ministry. The present minis-
ter, the former Minister of Health (Mr.
Potter), says that he is going into that minis-
try for a rest. Surely that's a strange way to
approach this high responsibility, but I
noticed as I glanced over to the former Min-
ister of Health during question period that
he was relaxing and enjoying it, as his col-
leagues were attempting to explain why large
advertising budgets are still being paid out
without any contract and so on.
Hon. Mr. Davis: Just like in Ottawa.
Mr. R. F. Nixon: The Premier says just like
in Ottawa. If he thinks he is someihow de-
stroying the argument by saying that, then he
is pretty naive, because if they are doing
the same thing in Ottawa, then they are
serious rip-off artists just like this govern-
ment.
Mr. Ruston: That is right.
Mr. R. F. Nixon: I'll tell you this, Mr.
Speaker, when we open the newspapers and
see these tremendous ads about a fair share
for the taxpayers of Ontario, we realize that
the spending machine is starting a role begun
by Bob Macaulay who is retained at— what?
$70 an hour— by the government to advise on
energy policy. It is really the same old advice
that he gave back in 1962 when he said,
"Let's get into the advertising business."
What did they call it? You know, the hippo-
potamus.
Mr. V. M. Singer (Downsview): Oh, yes.
Mr. R. F. Nixon: He said, "Let's have a
bis; advertising programme. Let's rent all the
billboards. Let's take the full page ads. Let's
have four colours on the television. Who is
to stop us?"
Wasn't Bob Macaulay the one who said
that? And now we see the advertising by
Ontario. That was it. Now it's a fair share
Ontario. It's almost like the new deal but
fair share goes pretty well.
Mr. Breithaupt: More like the old deal.
Mr. R. F. Nixon: The thing is, Mr. Speak-
er, that we have seen this ever since Macau-
lay thought about it for the election of 1963
—it happened in 1967 and 1971, and now
we are building up to the 1975— where, in
the guise of informing the citizens and tax-
payers about government policy, they simply
spend the citizens' money in self-aggrandize-
ment and political propaganda. That's exactly
what is happening, and the fact that Dal ton
Camp Associates gets $1,250,000 without a
contract or any agreement—
Hon. Mr. Davis: They don't get it. They
don't get it.
Mr. R. F. Nixon: —simply confirms to me,
sir, as I am sure it does to you, that this
government in its policy is directed by the
public opinion polls that are fed to the
Premier week by week. We can see the
backing and filling that comes as he receives
them. He is concerned that his personal
support in the province, we are told, is down
to 28 per cent— I wish I could report some-
thing as dramatic on the other side— so he
shakes up the cabinet, dismisses his old
friends, brings in a bunch of new people
who are untried and who are going to be
failures in turn.
Hon. Mr. Davis: No. Great ministers.
Mr. R. F. Nixon: Then we turn to the
Speech from the Throne, which is a third
sort of level of defence: "What can I do to
restore the confidence and the good feeling
in 'good old Bill' from Brampton?" I believe
that even on this level there is another seri-
ous failure. I listened with care to the read-
ing of the speech, I have since examined it
very carefully, and I have found that it is
substantially insignificant.
Let me be fair. I think the idea of a
prescription drug plan for pensioners is
great. I think it is a programme that is going
to be supported on all sides. The concept of
an environmental hearing board is one that
is important and we will give it the support
it deserves if in fact there is an objective
hearing on the large programmes that the
government brings forward which are inter-
86
ONTARIO LEGISLATURE
fering with the environment so seriously. But
in general it does not come to grips with
the problems of inflation and the cost of
living, it does not come to grips with the
problems of provision of housing and land-
use planning; it is in this latter area that I
want to speak more directly for a few mo-
ments.
The Ontario Task Force on Housing re-
ported several months ago that there is a
near-crisis in housing in this province but, as
the Speech from the Throne has revealed, the
provincial government still has no policy to
control spiralling land and housing costs. The
average resale price of homes in Hamilton,
for example, was 21 per cent higher in the
last half of 1973 than a year earlier. House
lot prices in Ottawa jumped up 150 per cent
from 1965 to 1972. The average price of all
houses sold in Ontario rose by 26 per cent
between 1970 and 1973, with much more
spectacular increases in specific communi-
ties, such as Metropolitan Toronto.
The real problem, the most serious prob-
lem is here in the Metro area, where the cost
of shelter rose by 36 per cent last year
alone. Thirty-six per cent in one year, an
increase of $1,000 per month on the average
house. The housing cost increase was about
four times as much as the rise in the cost of
living and almost twice as much as food
price increases in 1973.
Everywhere in Ontario housing prices are
out of control and the ripples, almost tidal
waves, from the Toronto housing situation
are spreading throughout southern Ontario
as prospective home buyers and land specu-
lators search farther and farther afield.
In St. Catharines, for example, land prices
started to rise about 18 months ago because
of pressures in the Toronto real estate mar-
ket. In Barrie, another good example, almost
all housing purchases can be directly attri-
buted to the lack of housing and the high
prices in this very community.
The Ontario Economic Council reported
last year, "The primary cause is the scarcity
of developed land," something that the new
Minister of Housing (Mr. Handleman) has
indicated that he is prepared to accept and
act on if possible. The demand for land far
exceeds the supply, and the shortage has
been heightened by competition for available
sites between foreign and domestic capital.
The result is artificially high land costs which
are eventually passed on to home buyers.
German, Swiss, American, Japanese and
British investors have all been attracted to
Ontario's buoyant property market, but their
demand for real estate has resulted in in-
flated housing prices for Canadians. Last
year the Urban Development Institute re-
vealed that 13 foreign-controlled companies
owned half of the land available for housing
between Oshawa and Burlington. Let me
repeat that: Between Oshawa and Burlington,
half the land available for development— that
is, half of the land that has been assembled—
is owned by 13 foreign-controlled companies.
Foreign firms have also made substantial
purchases in other parts of the province.
Now, in this House there are members from
every area of Ontario and, Mr. Speaker, as
an individual member you are aware of the
intrusions of buyers from outside the com-
munity and from outside Canada who are
prepared to buy anything in the way of real
estate or property at any price.
In my own community, you go into the
small towns and you find that the old hotel,
maybe or maybe not licensed premises, often
in a state of disrepair, economically unviable
under present circumstances, has recently
been bought by someone representing inter-
ests from outside of Canada.
Farm tracts are being bought up in large
amounts. Foreign firms have also made sub-
stantial purchases in the urban centres. The
Swiss-owned firm of Fidinam (Ontario) Ltd.,
for instance, controls a large tract of land in
Norfolk county near the Nanticoke generating
project. It was bought some years ago with
the expectation that the Nanticoke generating
complex would increase the value of that
land. The Treasurer (Mr. White) has frozen
its utilization but eventually planning deci-
sions will have to be made which will either
set it aside for all time, which is very un-
likely, or open it up for development.
But these companies have not confined
their acquisitions to raw land. The select
committee on economic and cultural afi^airs
reported five months ago:
There is concern about substantial for-
eign investment in urban commercial de-
velopments, both new and existing. It is
claimed that through market linkages,
undue upward pressure on residential real
hyper-investment of this sort is putting
estate prices and shelter costs.
The amount of foreign-owned land in central
Ontario is staggering. The downtown Toronto
block bounded by Elm, St. Patrick, Simcoe
and Dundas streets is owned by a corporation
known as DWS Toronto Holdings Ltd.,
which is controlled by the Dreyfus group of
New York.
MARCH 8, 1974
87
A German company, LehndorfF Manage-
ment Ltd., owns property at 360 Bay St.
German interests also recently bought prop-
erty on Don Mills Rd. and Gateway Blvd. in
East York.
EILPRO Holdings Ltd., a Swiss company,
has substantial holdings in central Toronto,
including the block bounded by Yonge, Wel-
lington, Scott and Front streets; property
fronting on Chestnut, Armoury and Centre
streets; property on the southwest corner of
Bloor and Jarvis streets; property on the
south side of Walton St., between Bay and
Yonge streets. EILPRO bought land fronting
on Bay, Gerrard and Walton streets from
Japanese interests about two years ago.
Besides its substantial acreage in Norfolk
county, Fidinam (Ontario) Ltd., a Swiss firm,
owns or controls property at the northeast
comer of Bloor and Yonge streets— that's the
Workmen's Compensation Board head office—
at the northeast comer of University Ave. and
Wellington St., and on the west side of
Yonge St. north of Davenport Rd. Fidinam
also controls the Park Plaza Hotel at the
northwest comer of Bloor St. and Avenue
Rd.; land assemblies in the vicinity of the
northeast comer of Bloor St. and Avenue Rd.;
and most of the block bounded by Queen,
Victoria, Richmond and Yonge streets.
Trizec Corp., controlled by Star (Great
Britain) Holdings Ltd., ovras the Hyatt House
Hotel and the Yorkdale Shopping Centre.
MEPC Canadian Properties Ltd., another
British company, owns the northeast comer
of Marlborough and Yonge streets. Hammer-
son Properties of England owns the south-
west comer of University Ave. and Welling-
ton St.
Capital and Counties Real Estate of Eng-
land acquired property on Dundas St. east of
University Ave. when it gained control of
Great Northern Capital Corp.
Such extensive foreign participation in the
Ontario land market not only infringes on
our natural heritage, but also contributes to
higher shelter costs for the residents of this
province. This type of foreign investment
does not create jobs, or advance technology.
It benefits only the investors. The provincial
government must act promptly to restrict
future land purchases to residents of Canada
and Canadian-owned corporations or Cana-
dian-controlled corporations, or an even
greater influx of foreign money will further
inflate Ontario's land prices.
Mr. Speaker, I put this to the Premier and
the administration most seriously, that there
has always been the feeling here that we
have a wide-open economy. I can remember
the Premier saying, "Surely if we have the
right to buy properties such as condominiums
in Florida, why should we restrict the pur-
chase of properties here in Canada to foreign
investors?" I would simply say to you, sir,
that with our population and our economic
viability, that if we leave all of our properties
open to the investment of foreign capital,
then we are going to find that this property
is going to be almost entirely foreign-owned
and controlled and that the pressures brought
by investments of this type are unnaturaUy
inflating and dislocating the prices that we
ourselves must pay for our own housing and
commercial investments. This is tme not only
in the urban centres, but it is equally tme
in our recreational centres. The time has
surely come for us to say to people who are
not Canadian, "You are welcome here on a
lease basis only."
I think, on the other hand, as far as our
own residents are concerned, that they should
have the right to buy recreation properties in
the north where in fact they are compatible
with the ecological and enviroimiental plan
and programme for the areas to be devel-
oped.
We are concemed with the encroachment
in our agricultural areas. I have become quite
sensitive, particularly to the class 1 and 2
agricultural land arguments, and I am sure
that there is not a government minister who
doesn't think about this now whenever a pro-
gramme is going to encroach on further
property in the Province of Ontario. Unfor-
tunately, we cannot freeze expansion, although
some municipalities have attempted to do so
under the direction of the planners at the
provincial level.
I know of municipalities in my own con-
stituency that are proud of the fact that no
serviced lots have been opened up in two
years and no severances granted in the same
period of time. Perhaps this would be some-
thing to be proud of if in fact we had
achieved zero population growth. But far from
that fact, our population continues to grow,
although at a lower rate, and immigration has
been reduced, but we still find in manv com-
munities where government policy or lack of
policy has frozen development that young
people embarking on the responsibilities of
married and family life, have one alternative
only, and that is to crowd further into facil-
ities that are already available or to move
out of the community into the urban centres
and bring additional pressures of expansion
there.
ONTARIO LEGISLATURE
We must realize that development cannot
be frozen, even though individuals and poli-
ticians may from time to time call for that
as an alternative. We cannot put all of the
growth and development on the Canadian
Shield, that area where people seem to think
that houses are going to be set up on the
rock so that the farmers can continue to
grow food on the good land. I would hope
that the government would return to the con-
cepts of the Toronto-centred region and see
that the Canadian Shield is going to have a
good many incentives for further develop-
p^ent. But we must not for a moment think
that the communities already established in
th'^' province can be frozen at a no-growth
•status. We do have young people who want
to live in their own community. They want
to have a chance to work there.
I will have something more to say about
the intrusions of government programmes on
class one and two land in a few moments, but
I for one do not believe development can be
stopped altogether, and anyone who preaches
that is surely being unjust and unfair and
unreasonable.
I should say that when we talk about the
pressures of foreign capital increasing the
prices of our own land and housing stock,
we must be aware that newly enriched
Middle Eastern countries are already rumoured
to be buying land in Ontario. When the
'Sheikhs of Araby" see that the billions of
dollars channelling into their treasuries can
only buy so many solid gold Cadillacs, they
are going to be looking for the kind of in-
vestments which in the long run will be
much more valuable than the bullion that
they are now demanding in payment for their
precious oil, and some of the most valuable
assets are, of course, the real estate right
here in Ontario and other parts of Canada.
We can see, Mr, Speaker, more and' more,
that buyers with foreign capital from Italy,
Switzerland, Germany, the Netherlands, Great
Britain and the oil-producing nations, are
coming here with absolutely no restraints on
the prices to be paid. If anything is for sale
at any price it will be bought, its title trans-
ferred, and it will then become a real asset
as far as the speculators, and particularly the
investment council of these capital-intensive
countries, are concerned.
Relaxed Japanese regulations for investors
in foreign land have been in effect for only
a few years. As you are aware, Mr. Speaker,
the outflow of Japanese capital was carefully
controlled for many years at the time when
the industry and the development of the in-
dustrial plant in Japan had to be financed with
their own resources. But now this money is
rolling out of Japan and it is coming into the
investment in real estate in our own com-
munities. The recent devaluation of the Cana-
dian dollar in relation to European and
Japanese currencies is also attracting foreign
investment to Ontario's real estate market
which, because its value is rising so fast, is
a better investment even than gold.
Restrictions on foreign land ownership will
ease the upward pressure on land prices
somewhat, but tough measures' are also re-
quired to stop land speculation by Canadians.
Just yesterday the newly-elected' president of
the Ontario Real Estate Association estimated
that 30 per cent of all land transactions in
Ontario involved speculators. Land specula-
tion in the Toronto area has recently been
accelerating at an alarming rate. A representa-
tive of the Urban Development Institute esti-
mated this week that the total acreage of
assembled land aroimd Metropolitan Toronto
has increased by 50 per cent since last
August as a result of feverish speculative
activity.
I am sure the Premier and his advisers are
concerned about this. If you come from a
rural area you are aware that once the farm
holding of a traditional farm family has been
broken, in other words the farm is sold, you
can almost guarantee that it will be sold
three more times in the next two years, each
at a substantially inflated price.
The real estate agents, of course, are very
anxious to do this. Why should they not be?
They collect their commission on the whole
thing right from the word go, and this in
addition adds upward pressure to the cost of
the property.
The attitude of those people who either
have money to invest or can collect, scrape
together, a down payment is that in land
speculation they can't lose, there will always
be somebody along within a month of the
purchase offering them more than they paid.
We are told by builders, those developing
new communities in urban areas particularly,
that individuals, if they possibly can, no
longer buy a house for themselves and their
family, but they will try to buy five or six
homes in a community such as that. They will
make a down payment, then perhaps try to
postpone the closing, and the builder will
find that the houses have been resold at a
substantial profit within four to five months.
These are the things that must concern
us all and surely must concern the govern-
ment policy makers. The activity surely is not
confined to Toronto. The provincial govern-
MARCH 8, 1974
ment has failed to develop a rational plan for
the development and servicing of raw land.
Rumours and uncertainty are fueling specula-
tion throughout Ontario. The UDI representa-
tive stated that:
There isn't a community in southern
Ontario that doesn't have land speculation
going on around it. Until the province
makes an announcement about where the
next developments will go the speculation
will continue. In the past few weeks it
has gotten worse. There has never been
as much speculative money around as there
is now, and never as much uninformed
speculation. Every little town is being
bought up.
It is true. In the village of St. George, where
housing of very, very moderate circumstances
indeed was being traded between $10,000
and $15,000 no more than 18 months ago,
it has now sky-rocketed to the point where
one of these very moderate homes, indeed if
it comes on the market and they do so only
rarely, goes for $30,000 to $35,000.
We are not talking about price controls;
we are talking about the availability of ser-
viced land and a programme to build hous-
ing so that people in urban, and also in rural
communities, can have an opportunity for
housing that is rationally associated with the
amount of money available from their own
employment. The government must act im-
mediately to bring this intolerable situation
under control. The unbridled greed of land
speculators is pushing shelter costs out of
reach for all but the wealthiest of our citi-
zens. I don't think we can expect people
trading in land to say, "Oh, my, that price
is too high. I will not take it." That would
be an unnatural expectation in the extreme.
The people trade in land to make a profit,
and they are making tremendous profits right
now. As I drive into Toronto from my home
from the west, I come along much the same
route followed by the Premier, at least in
the last few miles. He must be as aware as
I am that the farmlands for 40 miles around
this city are largely abandoned. The barns
are falling down, the fences are in disrepair
and the fields are growing nothing but
golden-rod.
This is because of the uncontrolled aspects
of land speculation and not because of the
farmers themselves who received a good
price, took the money in most cases and
either retired if they were elderly or took
the money and bought viable farmland else-
where. They were able to build new build-
ings, transfer their stock and continue as
active dairy, beef and cash crop farmers
elsewhere in the province. Some of this best
land lies there growing weeds.
It must bring tears to the eyes of the
Minister of Agriculture and Food, because
he doesn't like to see it go out of produc-
tion. As a farmer, I think he would like to
get in there with a big plough and turn it
back into production and make some money
on it. I can't understand why these lands
cannot somehow be brought back into viable
farming operations. Believe me when the
Minister of Agriculture and Food says that
he's concerned about and is prepared to
bring forward programmes requiring that, he
will get support from this side, because we
don't like the looks of it. We believe it is
wasteful and we do not believe that the
speculators should simply sit back on their
hunkers waiting until the price is right.
This is a matter that concerns all of us.
I hope that we are going to have something
more than policy pronouncements but real
action in that regard. The incentive to specu-
late in land must be removed by applying a
steep rate of tax to these windfall gains.
This tax should apply to profits from most
sales of raw land and houses which are not
occupied by the owner, but should not apply
to profits from the sale of a principal resi-
dence or to profits from the sale of an
owner-occupied family farm.
It is not enough to say that the tax base
we presently have will accommodate it. I
believe it can be used to require that land
be kept in production, and also at least to
control in the public interest to some extent
the unbridled situation that we are all so
much aware of. In other words, the tax
should be structured in such a way as to
apply to speculators only without penalizing
other landowners. A tax on speculative land
profits can slow the price rise, but in order
to reduce and stabilize housing costs in
Ontario the provincial government must en-
sure that there is always an oversupply of
serviced land available for residential de-
velopment.
The Ontario Economic Council remarked
a year ago that by concentrating its efforts
on house building programmes instead of
land servicing the province was "treating the
symptoms and not the disease." The Ontario
Economic Council also noted that Ontario
lacks "a planned programme of ensuring an
adequate supply of serviced land in the
correct places."
As an immediate step, the provincial gov-
ernment should develop its own land holdings
90
ONTARIO LEGISLATURE
where they fit in with the municipal official
plan. This would include, in the case of
Ontario Housing holdings, the 3,000 acres
assembled in Waterloo county where it fits
in with the official plans of Kitchener-
Waterloo and the new community known as
Cambridge, and also the 1,700 acres at
Malvern, where development is beginning. It
has now progressed, I believe, to stage 3, but
servicing should go forward on a priority
basis to make these lands further available.
The activities of the Ontario Housing Corp.
should be expanded to encompass a land
servicing programme with the objective of
restoring balance to our supply-short land
market. After the provincial government has
consulted with municipalities in order to
establish areas where residential development
is desirable and acceptable, Ontario Housing
should build the necessary trunk sei^vices for
water and sewage as a public utility. These
services should be sold to municipalities in
much the same way as Hydro sells electricity.
The province should guarantee loans for
capital expenditures as it does with Hydro,
and Ontario Housing Corp. should be re-
quired to repay its debts from the revenues
accrued.
The cost to Ontario taxpayers of such a
land servicing programme would therefore be
minimal, but housing prices would be sub-
stantially reduced. A government-run land
servicing programme would also permit more
orderly growth throughout the province. Spe-
cifically it would allow the provincial govern-
ment to decentralize the growth pressures
which are contributing to urban sprawl in
southern Ontario by providing inexpensive
land in eastern and northern Ontario.
Of course, a co-ordinated programme to
decentralize growth must also include ap-
propriate stimulation for industrial develop-
ment and employment opportunities in the
north and the east. It goes without saying
and it has been said by government repre-
sentatives on many occasions. But we have
got to the point, surely, where government
pohcy must be something more than simply
the expression of pious hopes. There are
these lands held in public ownership in
various parts of the province, such as Brant-
ford, Waterloo, certainly here in Malvern, and
with projects beginning elsewhere. It is
surely time for the government to decide on
the development of services for those areas
and to proceed with making the serviced lots
available. If in the Ontario housing pro-
gramme it is deemed necessary that the so-
called Home Ownership Made Easy pro-
gramme would apply, the government could
in fact not only service the land but build
the houses. In most cases the serviced lots
should be made available to private enter-
prise and individuals who want to buy the
serviced lot and build their own homes.
Inexpensive housing forms including mobile
and factory-produced homes must be en-
couraged. In five years of experimentation
with system building of houses in the United
States costs have been reduced by 36 per cent
despite rising labour and building material
prices. When I refer to building material
prices we in this House should move to re-
duce the sales taxation on building materials
and, of course, the taxes levied at the
federal level as well; seven per cent here, 12
per cent in Ottawa. It would give a sub-
stantial stimulus to the building programme
and, I would trust, it would indicate a reduc-
tion in the costs of housing if these taxes
were moderated or removed or if, in fact, an
equivalent grant were made to the builders
or purchasers of new homes.
The main source of the saving is in re-
duced assembly time with regard to some of
the new forms of building, such as the
system building that have been used in
various areas of the United States. The stand-
ard production methods and close super-
vision of mass production enable system
builders to provide high quality housing at
low cost.
One of the most impressive system build-
ing programmes is in Akron, Ohio, where
$17,000 two-storey townhouses were renting
a few months ago for from $47 monthly for
a two-bedroom unit to $54 monthly for four
bedrooms. That is not a subsidized housing
programme. The unions associated with the
building programme have endorsed the pro-
gramme because parts are produced in union
plants and on-site assembly is done by union
workers.
In some areas where the programme has
been attempted those people who must do
the work have objected because they have
felt that it cut into their own livelihood, but
such is not the case under these circum-
stances.
The building codes of most Ontario cities
bar such housing not because of structural
specifications but because of house and lot
size restrictions. Municipalities demand over-
sized lots, wide streets and highest quality
services because of their heavy rehance on
property taxes as a souice of revenue.
Low-cost housing on small lots means lower
property tax returns. Kitchener has recently
relaxed its high standards on some lots and
MARCH 8, 1974
91
other municipalities should be encouraged to
do hkewise.
In our party we recognize the high accom-
modation costs as a serious problem and un-
like the Conservative government we have a
policy to solve that problem. The govern-
ment's refusal' to act in the past has pre-
cipitated' a crisis housing situation in this
province. Strong action, including restrictions
on foreign investment in land, steep taxes on
speculative land profits, a government-run
land servicing programme and steps to reduce
residential construction costs are urgently re-
quired in order to avoid further housing price
increases.
I would say to you, Mr. Speaker, that
housing price increases cannot be avoided, if
the plan put forward in the Speech from the
Throne is the only basis for government
action. The increase in the amount of money
that is available to service land is not suflB-
cient to make an impact in the communities
of this province and is substantially in-
adequate, in fact, to be even anything more
than more of the same. I would say to you,
Mr. Speaker, that the matter is a principal
and priority concern to all of us in this
House during this session.
I wanted to congratulate the new Minister
of Housing on his appointment. I had felt
frankly that, being a trade economist and a
tax expert, his usefulness, if he were to be
brought into the cabinet, might perhaps be
in the revenue area rather than as Minister
of Housing. He said himself that he can't
drive a nail straight, but I don't suppose that
is going to detract from his applying in the
best possible way the moneys made available
by the Treasury and, more particularly, from
applying the pohcies that are agreed upon
by this government. But the best minister
caimot do anything if, in fact, the money is
not available nor if the principles behind the
policy are not adequate to meet the needs.
As a matter of fact, we are concerned
about the cabinet changes that the Premier
announced just a few days ago. We wish the
best for the new ministers. We want to ques-
tion them as closely and as strictly as we can
as their policies are enunciated. But we look
at the new Minister of the Environment
(Mr. W. Newman). A man in his position is
going to have considerable problem in his
own constituency. The- land of Cedarwood' is
being assembled and many of the citizens in
that area feel that they have been dealt with
unfairly by the government in that hearings
on expropriations have been cancelled by
order in council or not permitted under the
provisions of the statute.
Pickering airport is being built there. The
new Minister of the Environment is in a
good position surely, if he has the courage of
the convictions he has stated so ably in the
past that we don't need an airport in that
location, to say to his colleagues in the
cabinet that a statement of policy from the
government should go forward to the govern-
ment of Canada saying, "We do not want the
airport there. It is the view of this province
that those plans should be cancelled. If we,
in fact, are going to be meeting the long-
range requirements of the community of
Ontario, then the airport should be moved
elsewhere."
You say where? I would say on to the
Canadian Shield. It does not have to go in
any location where it is going to be that close
to this particular centre, because I don't be-
lieve we are going to need its facilities until
1985 or maybe 1990. I believe that the air-
port should be cancelled and so does the
Minister of the Environment. Why does not
the government, following the statements
made by its own minister in his former
private member's capacity, simply tell the
government of Canada that it does not meet
the needs of this province and see that it is
adjusted accordingly?
While there has been some land assembly
go forward, there appears to have been some-
thing less than a total commitment to the
Pickering site. The complaints about it are
valid and come from many sources. It is
true — and the Prime Minister said it in
Toronto just a few days ago — that if one
cancels Pickering it is going to put additional
pressures on Malton. That is one of the
things that must be taken realistically into
consid^eration. By so saying, I mean to meet
the needs of the air transportation require-
ments, but also politically, because the people
living around Malton get aw^ly sick of
hearing those planes and some of the low-
flying ones may even fly up as far as Bramp-
ton.
iHon. Mr. Davis: Ask the member for
Etobicoke (Mr, Braithwaite) what he thinks
about an expansion there.
Mr. R. F. Nixon: We are not talking about
an expansion there. We are saying that that
can serve the needs of the community until
1980 to 1985, perhaps to 1990.
Hon. Mr. Davis: Without an expansion?
Mr. R. F. Nixon: Now is the time to can-
cel the new Pickering airport and see that
it is located further from Toronto, vdthout
using class 1 and 2 land.
92
ONTARIO LEGISLATURE
Hon. Mr. Davis: The member's colleague
is laughing.
Mr. R. F. Nixon: There is no possible way
that the Premier can have it both ways, I
am simply pointing out to you, Mr. Speaker,
the problem that his own new Minister of
the Environment is going to have in meeting
the problems that he finds in his own con-
stituency. He has got Cedarwood, the Pick-
ering airport, enormous new garbage dumps,
the proposal for Highway 407, the new sew-
ers and service road that are going to come
up and angle in to service the north part
of the Metro area — all right in the home
farming fields of the Minister of the Environ-
ment.
He has problems, there is no doubt about
it. He is an honourable man and a man
with ability, but the Premier has given him
an assignment which is going to crack him
up. He will not be able to continue to
represent his own people white imposing the
environmental threats in his own community
under those circumstances. There is going
to have to be a change in policy and I would
suggest to you Mr. Speaker, that the Premier
should announce a change in policy in con-
nection with the airport.
Now, the Premier is prepared' to make
policy changes. He has made that clear. As
a matter or fact, I am wondering what he
is going to do with the situations that come
in upon him on the development of new
communities in the Province of Ontario.
I have talked about this already for a
moment, but I would like to say this that in
Norfolk county where we have imposed a
new regional government, the decision has
been made by the experts advising the Treas-
urer that a large new community with a
population of 250,000 is going to be required
in what is now callted the city of Nanticoke;
and yet the Treasurer has said that he is
going to demand the right to make the
decision on its location, but he hasn't made
the decision on its location.
Now, I just ask you to consider, Mr.
Speaker, the dislocation that brings to the
land market of the Norfolk and Haldimand
area, that the land is being optioned at ever
increasing and spiralling rates, the Treasurer
has frozen all the land, so that it is very
difficult, if not impossible, to get a severance
and a building permit. The most minor
building permit must be approved from the
Treasurer's office. That's the situation we are
in.
It has been that way now for well over
a year and the time surely has come when
we have had a sufficient, it's not a cooling
off period because things have heated up,
but a sufficient period of time for the Treas-
urer and his planners, and he designates
himself as the chief planner for the province,
to make a decision on those areas; and there
have been resolutions from the local councils
calling for the decision to be made.
ilf the Treasurer decided in his wisdom
that it would be better that the decision be
made by the local people, then' let him so
announce and indicate to the local authori-
ties that their decision, after suflBcient con-
sultation with the experts available to them,
must be made within a certain period of
time. But we cannot continue to delay, we
cannot continue to hold large parcels of land
in the name of Ontario Housing, without
development, in communities where serviced
land is in short supply. It is obvious that the
government policy in this regard is com-
pletely inadequate.
Now, another new cabinet minister is the
former parliamentary assistant to the Trea-
surer, who is now the Minister of Revenue
(Mr, Meen). Probably this minister is more
of an authority on the intricacies of regional
government than any one now in the Legis-
lature. It seems to me that to direct his
abilities into the Ministry of Revenue is a
strange decision indeed; it seems surely that
with regional governments just now coming
into operation in various parts of the prov-
ince, it wouW have been a much more effec-
tive decision indeed if this member, if he
was going to be taken into the cabinet at
all, would have had some general supervisory
responsibility pertaining to these regions.
This is a matter that is difiBcult to explain.
He becomes Minister of Revenue, unless per-
haps that is a training ground for the
Treasurership of the province, which we are
told is going to be vacated by the present
Treasurer some time in the not too distant
future. The situation under those circum-
stances might be different except for this,
that during the last two years, since the
report of the Committee on Government
Productivity was accepted, the Treasurer has
been also the minister of municipal affairs,
but in the recent changes the member for—
Hon. F. Guindon (Minister of Labour):
Grenville-Dundas .
Mr. R. F. Nixon: For Grenville-Dundas
(Mr. Irvine), was designated Minister without
Portfolio with special responsibilities for
municipal affairs. In other words, we are
moving once again towards a ministry of
MARCH 8, 1974
93
municipal affairs and a very proper move that
is, without the Premier making the decision
that in fact the recommendations of the
Committee on Government Productivity were
wrong. They have been inappropriate in our
experience of two years' association with
policy ministers and the work they are sup-
posed to do. The policy minister experiment
has been a failure and this is apparent in
decisions made by the Premier pertaining to
the changes that have come about.
So it seems, Mr. Speaker, that the cabinet
changes were made only for political pur-
poses, to remove from the Premier pressure
applied by the cabinet itself, through the
conflicts of interest, and the awarding of
contracts without tender— the scandals asso-
ciated with the decisions made by cabinet
ministers. It seems that somehow or other
the Premier would try to show that he had
a new group of people who didn't do things
like that.
Unfortunately, it appears that he is sticking
with the concepts that have made it difficult
if not impossible for the cabinet to make
the kinds of decisions that are necessary. So
he simply goes on with the political exi-
gencies that we were treated to in the Speech
from the Throne. For example, his sudden
interest in northern affairs.
Along with his report from his polling
experts that he was down to 28 per cent in
the support of the people of Ontario, they
must have told him that he was dead in the
north and that while he has been steadily
losing support for many years there, it looks
now as if the support is down to rock bottom.
So you can't blame him for making an efi^ort
to attract once again interest of the taxpayers,
the thinking citizens of the north.
You know, when you travel up in the
north, the first question you are asked is,
"What do you think about a separate prov-
ince up here?" I think the idea is a bad one,
but it indicates clearly the alienation of the
people living in that part of the province
who think they have been forgotten by big
government at Queen's Park, that their de-
cisions are dictated from the offices and the
bureaucracy down here.
So what did he do? The Speech from the
Throne calls for a feasibility and engineering
study for a road link to James Bay through
Moosonee. The Brunelle highway.
An hon. member: To Moonbeam?
Mr. R. F. Nixon: Since the minister is
applauding so strenuously, 1 have a feeling
that it really doesn't matter what the feas-
ibility study says. If the member for Coch-
rane North (Mr. Brunelle) stays in the
cabinet, they are going to get the road.
Hon. R. Brunelle (Minister of Community
and Social Services): That's right. The study
is not necessary because we know right now
it is justified.
Mr. G. Dixon ( Dovercourt ) : Tell them,
Rene.
Interjections by hon. members.
Mr. R. F. Nixon: I am sure the Premier
consulted with the Minister of Community
and Social Services and the Premier, in his
good judgement, thought at least they should
look into the feasibility of it.
Mr. Good: Just for the publicity aspects.
Mr. R. F. Nixon: The nice thing about it
is that there are so few residents in Moosonee
that the politics of it don't necessarily in-
trude. The people up there undoubtedly want
a road and they want to be able to get out
in some way other than on the Polar Bear
Express, which is usually crowded with poli-
ticians going up there to see what they are
doing in Moosonee this week.
Mr. B. Newman ( Windsor- Walkerville):
With their free passes.
Mr. R. F. Nixon: With their free passes,
right. And the only alternative is to phone
up the member for Cochrane North and see
if they can get on the government plane or
to borrow somebody's snowshoes.
The road link in my view is a reasonable
sort of thing and I regret very much the
fact that in the future it means that prob-
ably we won't have to depend on the Polar
Bear Express as much as we have, because
some of my more enlightening experiences
in politics have been associated with travel
on that train as we went through north-
eastern Ontario to talk with municipal offi-
cials and other experts as to what the future
might hold for that great part of Ontario.
The second point is the decision has been
made to investigate the rebuilding and the
widening of Highway 17 between Sault Ste.
Marie and Sudbury. When the announce-
ment of the new minister of highways was
made, I felt that the government had said
among themselves, "Well, nobody down
here wants roads, so we might as well spend
the money in the north." I think that is a
great idea. The idea of improving road trans-
portation in northern Ontario is obviously
not going to solve all the northerners' prob-
94
ONTARIO LEGISLATURE
lems, but I would suggest to you very spe-
cifically, Mr. Speaker, that it is going to
take more than the widening of Highway 17
and ensconcing the minister of highways in
Sault Ste. Marie to convince the northerners
of the good faith of this government. After
all the promises made at the time of elections
and the breaking of the promises at the
time of the distribution of the highways
budget, they are going to have to see the
concrete, not just the surveyors. They are
going to have to see the concrete before it
can be believed.
I would say to the government quite spe-
cifically that it might as well make the com-
mitment now, as I really think is necessary,
to make Highway 11 four lanes wide all the
way to North Bay; to make Highway 69 four
lanes wide to Sudbury and then on to the
Soo. Anything less than that is not going to
meet the needs of that expanding part of
the north. I am not quite prepared to say
that the ministry is going to have to make
it four lanes around the top of Lake Supe-
rior, although I suppose some day, that may
come. I hope it does not; I think it would
be substantially regrettable. I spent some
years living in Sault Ste. Marie and I could
never understand why, when one went over
to Michigan, there were good road travel
links to the southern part of that state but
if one decided to travel in Canada one
would have to get in line behind the trailers
and the trucks along Highway 17 and make
one's way in very dangerous driving situa-
tions down into the southern and eastern part
of the province.
The northerners, of course, while they
want good road links to the southern and
eastern part of the province are just as con-
cerned with good road and transportation
links between northern centres. That is surely
where the initiative of the new Minister of
Transportation and Communications (Mr.
Rhodes) must be brought to bear as well.
So we go on with the promises for the
north. Four more communities in northwest-
em Ontario will receive air services. Good.
I think norOntair has been a good experi-
ment. I haven't had the opportunity to fly
the line of the purple goose— is that it? I
think that is it — bat it seems to me that
the Twin Otters are excellent planes and
that the future of quick communications be-
tween the northern towns is going to rest
on their utilization.
On improvement of certain existing air-
ports I hope the minister is going to do
something with the one in Geraldton. I don't
know whether or not the ministers plane
gets down there regularly but obviously that
is one of the communities which should be
treated to expanded facilities. I think it
would have been better if the communities
which were going to be served under this
programme had been specifically named in
the Speech from the Throne.
Studies regarding the establishment of a
port facility in the James Bay area; that is
interesting. In the long run the building of
the ONR or, as it was then called, the
Timiskaming and Nothem Ontario Railroad
—is that the correct name?— was to give us
a salt water or a sea water outlet or seaport
for this province. Actually it was extremely
disappointing right from the start. The min-
ister is aware of the shallowness of James
Bay and the area of Hudson Bay most
readily accessible so I don't know whether
this feasibility study means building a wharf
six miles long or doing dredging to bring
the ocean boats right up into Moosonee or
what it is. The feasibility study has been
done before, admittedly when technology
was not quite so far advanced.
Hon. Mr. Brunelle: That was for Moosonee
itself. The intention is to go further north
into deeper water.
Mr. R. F. Nixon: The idea of having a
seaport here is an interesting one and one
that we will follow with a great deal of
interest.
The other major statement was a power
line to Moosonee. Electricity comes within
200 miles of it now, I believe, the last time
we were up there. Is that not correct?
Hon. Mr. Brunelle: About 150 miles, along
the rapids.
Mr. R. F. Nixon: That should not be a
serious problem, indeed, in the community
which we hope is going to grow and expand
as it serves a larger and larger area and will
have the benefits of a good power source.
On local autonomy, northern communities
will have the opportunity to establish local
community councils. In other words, some of
the friends of the government, who have
been chairmen of the improvement districts
without benefit of election through all these
years, may find themselves subject more
directly to the wishes of the people in the
communities they have been serving in their
own inimitable styles over these many years.
Mr. Good: Does that include Moosonee?
MARCH 8, 1974
95
Mr. R. F. Nixon: I don't know whether it
includes Moosoonee; I presume that it would.
It will include White River and many other
communities which we have talked about
from time to time.
The government has said "Yes, that's what
we are going to do for the north. We are
going to build some roads. We are going to
study the feasibility of certain other pro-
grammes. We are going to improve a couple
of airports. We are going to expand some
money to see that the airplanes wall get into
four more towns."
I don't think that will be suflBcient. Ap-
pointing a minister of highways from the
north might, in fact, improve the situation
quite a bit because I have a feeling we are
going to see the earthmovers on Highway 17.
I'm not so sure that is going to convince the
people in the north that they can look once
again with some confidence to the Conserva-
tives because I believe the Conservative
Party has lost any right to the confidence of
the northerners after all these years.
^fter all, they have not taken the steps,
other than by way of changing the name, to
indicate that the Northern Ontario Develop-
ment Corp. is going to have an independent
stance. We. as Liberals, believe that on the
board of the NODC should be all of the
elected members from the north. The former
Premier used to criticize me and say, "You
are setting up a northern parliament. You
are a separatist." Of course, I refect that.
I simply say that in the north, probably more
than in any other place, there is the feeling
that when a member is elected he has
something more to do than simply serve time
and aooloqfize, in the case of the Conserva-
tives, for the government's inactivity.
I would like to see the board of NODC
composed basically of the elected members
without regard to their political party. If the
government wanted, through its undoubted
rights by the Lieutenant Governor's order in
council appointment, to add to it certain
representatives of the community otherwise
I would have no objection. Only if it does
that can NODC be seen to have a stance and
status independent of the experts who are
usually seconded from Bay St. when they are
looking for a job and pressure comes on them,
perhaps unduly, in the ordinary course of
their careers.
I think, further, that the government should
make the definite commitment to move the
head office establishment of at least the
Ministry of Natural Resources out of Toronto
and up to the north. This, more than any
thing else, would be an indication of good
faith— that the ministry which deals almost
more than any other-I would say more than
any other-with northern affairs is going to
have its head office there. After all, I under-
stand the minister has at his disposal 48
planes, probably more than that now; all the
planes, in fact, which are not in use by
other people who have access to them. It
would enable the minister to come down for
whatever is necessary, to attend cabinet meet-
ings or whathaveyou here.
The establishment of the ministry must
be in the north. I think there should be
something more than an ad hoc paving pro-
gramme indicating what the basis of the
government's policy is in communication.
There should be a reference to Highway 11
to North Bay, and 69 to Sudbury, just
as there was to Highway 17 from Sudbury
to Sault Ste. Marie. The government could
put a reasonable timetable on it and say there
is going to be a commitment of a certain
percentage of the highway's budget so that
the people in the north know it means
business.
Siirely it is not going to be the same as it
has been in eastern Ontario where one gets
the commitments and the promises, election
after election, about road building. At one
stage the Conservatives even appointed
George Gomme, an easterner, as minister of
highways and the people in the east thought,
'Now we will get our roads." But no, the
road's were not built. The surveyors went
out one more time; the flags were put up;
the people found, as they were driving in
the summer, that they had to be careful be-
cause there were so many surveyors around
there that the usefulness of the highways was
substantially reduced.
Now we find that the alternative of 17
down there is not going on that alignment
at all; it is going on a completely new align-
ment and' very properly so. The government
is going to build a httle bit more of it and
I have a feeling that when we get to elec-
tion year it could be that the Minister of
Labour and maybe the Minister of Housing
and the Premier himself will go down and
cut a ribbon opening yet a few more miles.
One might even be able to drive from Ottawa
right through to the Quebec border, but
that remains to be seen.
I just say, to my regret, that sort thing
seems to have worked in eastern Ontario
until now but it is not going to work again.
The government is going to get the surprise
of its life when it actually opens the road
and finds that the people in eastern Ontario
96
ONTARIO LEGISLATURE
are voting, for the first time in a lone time,
against the Tories and for the Liberal alter-
native.
The same is true in the north.
Interjections by hon. members.
Mr. R. F. Nixon: And the same is true
in the north. It will not be enough even for
the new Minister of Transportation and Com-
munications to go up there and put the
flags in the ground and hire the surveyors
to go up and down Highway 17.
Mr. J. H. Jessiman (Fort William): Don't
hold your breath.
Mr. R. F. Nixon: I notice that the mem-
ber for Fort William is joining in the debate.
There have been no specific promises about
new roads up there but, of course, most of
the people in his area I guess are content
that their member has been made chairman
of the Ontario Northland Railway. Maybe
they feel that that is sufiicient recognition.
But I'll tell him this, that being chairman
of the Ontario Northland Railway is not
going to save the political bacon of either
the chairman or the Conservative Party in
northwestern Ontario.
A very case in point came forward yester-
day. Sure we are delighted that a new mill
is going to be located, not in the hon. mem-
ber's riding, of course, which is largely an
urban riding, but up there in Kenora where
the Minister of Natural Resources (Mr.
Bemier) is more and more considering it
to be his private fiefdom. We can't help
but remember that the same company that is
expanding to the tune of what?— $250 million
— is the one which under government super-
vision was permitted to pollute the whole
Wabigoon river system and the English
river system in such a way that it wiM never
be cleaned up. There will never be the
opportunity for sport fishing there and to
eat the fish. The Indians living in the area
have had either to be moved off or be
given permanent food payments so that they
would not eat the fish. Almost every tourist
outfitter in the Wabigoon and English river
system has either moved out or gone broke
because sport fishing is no longer permitted.
Now thats the government record in north-
western Ontario! This is the situation.
The chairman of the ONR was in the news
just a few weeks ago. He had sold a parcel
of land to Ontario Housing and made a large
profit on the transference of that property.
I know the property well. I know that the
chairman of the ONR did business there.
As a matter of fact, I have rented a car on
one occasion from his very business premises.
But for the local-
Mr. Jessiman: On a point of privilege, Mr.
Speaker.
Mr. R. F. Nixon: Let the member wait
until I have finished before he gets riled.
Mr. Lewis: I was going to say he didn't
want to sell it to the OHC.
Mr. Jessiman: I would just like to correct
the Leader of the Opposition in the state-
ment that he just made that I had sold the
property to the Ontario Housing, which is
a complete and utter lie, and he knows it to
be so. I sold the property to an individual
in the north riding.
Mr. Speaker: Order, please. I think a
better choice of words could have been
used.
Mr. Jessiman: And I'd like him to retract
that statement right now.
Mr. Speaker: Order.
Mr. Lewis: It was just an error.
Mr. Speaker: Order please. I think the
hon. member should change that one word
in his protest.
Interjections by hon. members.
iMr. Good: He is talking to the member
for Fort William. He used an intermediary
between him and the OHC.
Mr. Speaker: I'm talking to the member
for Fort William. I think a better choice of
words could have been used. Would you do
so, please?
Mr. Jessiman: May I say it is an untruth
then, Mr. Speaker.
Mr. R. F. Nixon: Well, let's look at the
situation. The land that the hon. member
who is objecting so strenuously owned is
now in the hands of Ontario Housing Corp.
Is that correct?
Mr. Lewis: No, it is not. They backed
out on him.
Mr. Jessiman: On a point of privilege, Mr.
Speaker, possibly the Leader of the Opposi-
tion should get his facts straight, which he
seldom does.
Mr. R. F. Nixon: All right. Surely, Mr.
Speaker, the point is this: that the member
MARCH 8, 1974
97
for Port Arthur— I mean Fort William, the
member for Port Arthur is another person-
Mr. Lewis: He is not a land speculator.
Mr. R. F. Nixon: —and I was talking
about him earlier— the member, as chairman
of the Ontario Northland Railway, has a
responsibility surely to concern himself with
the development of northwestern Ontario.
He's got to concern himself even further
with the pollution record of the government
that he is supporting. Surely as a member
as well he's got to concern himself with
unconscionable land profits that he himself
in the land business in the area apparently
has been making. How can he continue to
expect to command the support of the tax-
payers and the thinking citizens in his own
area?
I'm simply saying to you, Mr. Speaker,
that in northwestern Ontario, as in north-
eastern Ontario and the eastern part of the
province, no amount of government promises
of the typ2 that have been put to use in this
speech is going to save the political bacon
of the Conservative Party.
The people have lost confidence in the
party and in their representatives in those
areas. A few more miles of road might have
done it back in 1963, 1959 or in 1955; but
it won't do it any more. I am putting to the
government a specific alternative that it is
up to them to make a clear commitment as
to what they are going to do for transporta-
tion, road transportation and otherwise.
Let's have a commitment on Highway 69,
Highway 11 and Highway 17; let's have a
commitment as to which communities are
going to be served by the expanding services
of norOntair. Why, surely, are we not using
the facilities that are presently government-
owned to equalize the cost of living in the
north?
Before the last election they equalized the
cost of beer. The time surely has come when,
as a matter of policy, the government says
that it is going to provide the same cost of
living for the necessities as are experienced
in other parts of the province, and that as
a matter of policy we must surely remove
that invisible wall that separates die north-
ern part of the province from the rest of
Ontario; that they must not feel alienated
and that government policy has been sub-
stantially inadequate in this regard, as it has
been in others.
Well-it is 20 after 12-Mr. Speaker, I
want to deal quite specifically with the mat-
ter of regional government as we are expe-
riencing it following the passage of certain
statutes a year ago and three years ago.
The concern with the cost of living is directly
related to the cost of government program-
mes, and you are aware, Mr. Speaker, living
near the location of a newly created regional
government programme, that it doesn't take
long for the spending machines to go into
operation.
I would just like to speak briefly about
what our experience in regional government
costs has been. In Ottawa-Carleton the cost
of running the cities, villages and townships
in 1968, the year before regional government
was imposed, was $59.5 million. In 1969,
with regional government just having been
started, costs increased by 36 per cent in one
year to $81.3 milllion.
When regional government was intro-
duced to Niagara in 1970, the increase in
municipal government spending was even
steeper. The expenditures grew by 45 per
cent, from $39 million to $56 million in the
very first year. Increases in the cost of the
regional portion of municipal government in
Niagara have continued since 1970. In the
four years of regional government in Niagara
the annual cost of operating the regional
municipality, exclusive of the local govern-
ments, has jumped 85.3 per cent, from $22
million to $41 million. In Ottawa-Carleton,
the regional municipality spending has risen
88 per cent in five years.
I thought it was important that I put those
figures before you, sir, because we find in
the case of Haldimand-Norfolk, where
regional government was imposed by Act of
this Legislature just a few months ago and
where the regional government will take its
first authority within a few weeks, that al-
ready there have been expensive decisions
made.
For example, the regional council has
not been able to decide on a site for the
seat of government. Half of the government
will be located in Cayuga, formerly in Haldi-
mand county, and the other half in Simcoe,
that is the former county seat of the county
of Norfolk. It seems to me this is typical of
the problems of the imposition of the new
type of government. Certainly the govern-
ment has given the decision to the locally
elected regional council as to where the
capital will be, and they have made a deci-
sion that I suppose was forced upon them
by the views of the two separate communi-
ties, and that is to have two capitals.
Now the only people who are going to
benefit from this will be the people who are
98
ONTARIO LEGISLATURE
collecting the bills for Bell Canada. It is
typical of what has happened in other
regional government programmes. The costs
escalate rapidly and out of all control.
The figures that I have put before mem-
bers, resulting from an inquiry into these
costs in the Ottawa area, and also in the
area of Niagara are just an indication of what
we can expect in the other regional govern-
ment situations. There is the high cost and,
even worse than that, the chairman is im-
posed from Queen's Park and the government
at the local level is insulated from the needs
of the public community by the large bu-
reaucracy that is established under these
circumstances.
It seems strange indeed that the govern-
ment has not been able to take advantage of
the experience— and it has been a bad ex-
perience—in the two regional governments
now established for a number of years, to
ensure that if we are going to have an in-
crease in the number of regional governments
that it is not going to result in the tremen-
dous increase in local costs that has been a
part of this particular experience.
Now, this has been characteristic of what
the government has done during the last four
years. Since John Robarts gave up the
Premiership and we had a surplus of $150
million, our deficits year by year have been—
well, this year it is substantially over $400
million; last year $36 million. The first year
that the member for Peel North was the
Premier it was $624 million, and actually the
year in which he came into oflfice, it was a
$136 million deficit. In other words, since
he took over the control of our government,
our deficit has increased by $1.6 billion,
compared with the last Robarts' year when
the surplus was $150 million. I think that
this is an indication which has been estab-
lished in many respects by policies in regional
government and in other areas of new
government initiatives, that it seems to have
been absolutely careless of the cost.
Now, we feel also that the policies asso-
ciated with regional government have been
unnecessarily centralizing and you need only
read the reports that were put out by the
Ontario Economic Council two weeks ago to
see that that's borne out by some inde-
pendent opinions. I want to quote very
briefly from report No. 5 by Lionel D. Feld-
man, from page 41, where he says:
Few meaningful functions are being left
to the local governments to perform uni-
laterally and therefore less remains in
substantive terms to be decided by local
councils. If this prognosis is valid, then
the future is dim for effective local gov-
ernment as fewer and fewer people will
be willing to stand for election to per-
form non-important tasks. If the transfer
of functions persists unabated, if decen-
tralization is taken to mean not a devolu-
tion of responsibility but the placement of
loffices of the province outsidte Toronto
with consultative powers only^or as one
wag has recently said: "Regional offices in
Ontario today are given only the power
to say no"— then the future of the re-
lorganized municipalities is bleak.
I notice that the Treasurer took exception
to the statement. He said that the statement;
from the Ontario Economic Council was;
untrue, and yet this is the way it is seen-
by the people living in the communities. I
want to quote from the report once more:
'What this study demonstrates is that
since the beginning of the 1960s, there
has been a consistent approach to the way
in which provincial authorities have viewed'
ilocal government. There appears to be a
Iconsiderable degree of scepticism on the
part of senior government people as to the
inherent capacity of the municipalities to
achieve goals and objectives.
Now, what he is saying there in his best
language is that the ministers' and the senior
government officials believe the people at the
municipal level are incompetent to establish
goals and then work toward achieving them.
This is a feeling that we have been aware
of for many years, somehow or other,
through the various ministers of municipal
affairs and lately the Treasurer— the idea that
all of the knowledge and the ability lies
here at Queen's Park; that the municipalities-
exist only as somehow a window-dressing-
operation for the expenditure of some public,
funds.
There is a basic difference in philosophy-
that I want to put forward and I suppose,
it is essentially that the elected people in
municipal councils and in school boards and
in hospital boards and otherwise have the
right to make mistakes. I suppose you can
say that the York board has made a mistake
in recent months and it is all right here to
criticize boards if they so do, but surely
we must realize that if local government is
going to have any significance in the future,
we must abandon the process where the gov-
ernment has to appoint, from the centre,
the chief of these local governments; that we
must see that the conditions are removed
from the grant progranmie instead of put^
} MARCH 8, 1974
ting on more and' more of these conditions;
that we must see that the people, in plan-
ning responsibilities, can establish their own
goals and' essentially have the powers to
fulfil them; that the time has come, surely,
when the Minister of Education will
not have day-to-day budgetary controls
over every school board in the province;
that the Minister of Health (Mr. Miller) does
not have day-to-day budgetary control over
every hospital board; that the minister who
designates himself as the chief planner does
not have the power to veto or, in most
cases, simply approve or delay every plan-
ning decision in the province.
(This is an indication that has come
strongly from the report by Mr. Feldbian.
He ends up with just a very short quote
indeed. It comes from the last sentence in
his report on page 44 and I quote: "The
future of effective local government in On-
tario rests on shaky foundations." I think
that he is right, I believe that the people
are concerned more and more with their local
rights in the provision of government services.
I am not prepared to say that the Treasurer,
or the Minister of Health, or the Minister
of Education has all the knowledge and I'm
not prepared either to say that local officials
can't make mistakes. I'm simply here to say
that thdy have the right to make those
mistakes in the structure of a reformed gov-
ernment that, in fact, would be a partner-
ship between the municipalities in the prov-
ince rather than the sham which we have
been treated to in recent years'.
I want to just end this section of my
remarks, Mr. Speaker, by quoting from a
letter signed by Mr. Jack Nolan of 1096-lOth
St. E., Owen Sound. I quote from his letter:
Dear Mr. Nixon:
I am writing to you on behalf of the
Boxter Ward Ratepayers Association,
Georgian Bay township.
We have just received our new assess-
ment notice under the regional munici-
pality of Muskoka. We are shocked beyond
words. It would appear that assessments
are up to fantastic figures and the taxes on
these new rates will be up, for some, 500
per cent. I, for example, was assessed at
$1,360. Now the assessment is $49,600.
I interrupt here to say that, of course, the
assessment per se does not set the tax rate,
but he goes on to say:
At 10 mills tax rate, which the officials
propose, my taxes go from $106 last year
to about $496 this year. For this we re-
ceive nothing that we did not have before,
which was nothing. The exception is that
last year two garbage buckets were put at
the end of our road for garbage to be
placed in.
That is the end of the quote from the letter
from Mr. Nolan.
I think, better than anything else, it in-
dicates what happens under regional govern-
ment. We can collect the statistics which
show that the percentages go up by fantastic
rates year by year, but when the taxpayers
themselves convey this sort of information,
and you place yourselves in their situation
where they are faced with a 500 per cent in-
crease, not associated in any way with im-
proved services, you realize that the regional
government experiment has been a failure
and that the costs associated with it are com-
pletely unconscionable and that the access
to democratic process has been, if not re-
moved, insulated to the extent that the
people concerned feel themselves inade-
quately served.
So I would say, Mr. Speaker, that the
government's fiscal policies and taxation
policies have been as instrumental perhaps
as much as anything else in increasing the
cost of living in this province and adding
pressure to the inflationary spiral. I re-
member the debate on the increase in the
sales tax that took place in the House last
spring, when it was brought to your atten-
tion, sir, and the attention of the Treasurer,
that an increase in the sales tax from five to
seven per cent, an increase of 40 per cent,
would exert inflationary pressures and I sub-
mit to you, sir, that it has.
But this is not the only matter that must
concern us.
I think we must accept, as members of
this House, a great deal more responsibility
for establishing an apparatus which will re-
view and thereby control, at least in part,
changes in prices in this province.
Speaking in the budget debate when I first
became the leader of the Liberal Party— I
think 1967 was the date of the speech— I
called for the establishment of a committee
of the Legislature which would have the
function of reviewing price increases in that
sector of the economy which had the ap-
parent powers, as a monopoly would have,
to impose prices to which there is no
alternative.
At the time, my comments were sparked
by changes in automobile insurance costs
and it was indicated simply in the news-
papers that the automobile insurance prices
100
ONTARIO LEGISLATURE
would go up by, I think that year, from
seven per cent to 15 per cent. I felt, as did
many others, that the increase was not
warranted but there was no machinery estab-
lished at the provincial level even to see if
there was a justification.
At the time, it was brought to public
attention that the laws of Ontario give the
government the right to roll back insurance
costs if it sees fit. There are sections to the
Insurance Act not proclaimed, having been
on the statute books for many years, which
would permit the government to do that if it
saw fit. In reiterating the proposal for a
committee of the Legislature which, in fact,
would act as a price review committee, I am
motivated in precisely the same way. I be-
lieve such a committee should deal with
those aspects of the economy and the cost of
living in this province over which the people
have no control at all nor any alternative.
For example, a week ago the Premier an-
nounced that he was approving an increase
in the payments to the medical practitioners
in Ontario under the OMA fee schedule
of about seven per cent — I believe it was
7.2 per cent — with a further increase next
year of something approximating four per
cent. I felt at the time that we as members
of the Legislature had been slighted; that
we had not an opportunity to look at the
justification and that the time had surely
come when the province, through its Legis-
lature, must establish a mechanism whereby
something more than the Premier's say-so
or the say-so of a government minister is
necessary for the prices to change. In the
case of so many services and products, the
government has no influence or chooses to
exert no influence whatsoever.
It is in this connection that I recommend
to you, Mr. Speaker, the establishment of a
prices review committee. In connection with
the doctors' situation we should require that
the joint committee of doctors and govern-
ment people come before the committee to
give the justification which apparently was
sufiBcient to convince the Premier.
lit is true the doctors have not had an
increase in their payments since May 1,
1971. They have, I suppose, shown an ad-
mirable restraint in at least not requesting
such increases but I think it is an indication
of how seriously out of line those payments
were three years ago. At least the doctors
took this sort of a fee schedule holiday dur-
ing that period of time when it is apparent
their incomes went up substantially because
of the greater utilization of their services by
the people in the province.
I would say that the establishment of
such a prices review committee would deal
not only with this sort of matter, and the
insurance requirements for automobiles that
we have already talked about, but other
matters with specific provincial respon-
sibility.
The last thing I would like to do is to
equate it in any way with the food price
committee in Ottawa. I feel that committee
has made some serious errors in conjunction
with its attempts either to control these
prices or to bring public pressure to bear on
those increases.
I think, for example, specifically of
decisions taken by the Ontario Milk Market-
ing Board. I believe it would be in the
puislic interest of the farmers and the people
who are going to be consuming the products
controlled by the Ontario Milk Marketing
Board if in the future, when it makes the
decision that prices will change — and I
expect it will decree a $10-a-cwt price for
milk within the next short while — that that
board come before such a price review com-
mittee and give the justification.
il'm always glad to hear the comments
made by the Minister of Agriculture and
Food in Ontario and his collteague in Ottawa,
Mr. Whelan, when they indicate the tremen-
dous increases in costs that farmers have to
pay. How much better it would be, how-
ever, if the statistics associated with that
were put before an appropriate committee
in such a way that the justification, if it is
there — and in this case it is there — would
be known or knowable to all.
Obviously it is not sufBcient to deal with
it as we have been dealing with it in the
past simply by saying, as 3ie Speech from
the Throne says, that this is a federal respon-
sibility and we will do everything we can
to help.
Number one, our rate of expenditures has
got to be brought under control. Number
two, we can have a prices review committee
here which can substantially have an impact
on the community and which is going to
have a control function in the long run.
The last point I want to refer to, Mr.
Speaker, and I hope that I can complete this
before the adjournment at 1 o'clock, has to
do with the energy situation in this prov-
ince. I was interested indeed to attend' the
energy conference held in Ottawa convened
by the government of Canada and attended
by all the premiers from across Canada.
MARCH 8, 1974
101
We were in a special position there because
it is not often at a federal-provincial con-
ference that the Premier of Ontario has to
take the position of being a have-not prov-
ince. But that was very much the case in
Ottawa. Our Premier contributed little to
the discussion other than to speak across the
table to the Premier of Alberta, indicating
we would be very interested in the future
in buying their coal. This is quite: an inter-
esting matter indteed. I would' suspect that
in the next few years Alberta coal will be
brought down here by rail transportation and
Great Lakes transportation and have an im-
portant place indieed in our energy complex.
I was quite interested in' attending the
conference to find that the comments asso-
ciated with the financial distribution of the
revenues of the special taxes associated with
the export of oil did not come up for
further discussion and review. As you are
aware, Mr. Speaker, under the provisions
of the federal initiative the Province of
Alberta this year is going to receive almost
half its provincial budget from the oil
revenue tax sources. This means really that
a special kind of a taxation Valhalla has
been established by virtue of the fact that
the provinces' ownership of the natural re-
source was in no way questioned by any of
the provinces or by the government of
Canada.
I was among those who really expected
the government of Canada to say, under
these particular circumstances, oil was a
strategic resource and one which they were
going to undertake the management of to the
exclusion, or at least the partial exclusion,
of the provincial governments. Such was not
the case, and the revenues from the special
oil export tax are now flowing to Alberta
and will account for about half that prov-
ince's budget this year. During the next
following years they wdll assume perhaps an
even' larger basis as long as the resource
holds out.
I was interested also to read reports of
Mr. Lougheed's budget statement made in
the Legislature there, yesterday I believe,
which indicates that those special revenues
are going to be used, of course, for the
development of the province, but also to
make it even more of a tax haven than it
has been — no sales tax, no death dbties
and the revenues being paid from a resource
that many people think of as a national
resource.
But if we are going to say that, we must
then look at the resource in out own prov-
ince, and that is specifically the uranium
resource. Very brief reference was made to
that in the Speech from the Throne.
An indication was made briefly there that
a review of the policy in that regard is
going to be undertaken. We were concerned
some months ago to hear that the ovmership
of the main uranium resource in this prov-
ince had undertaken a sale amounting to
$800 million of uranium and uranium oxidte
to Japan. Evidently this sale has not gone
through, it is subject to federal review.
But we in our own position are in a situa-
tion where the uranium resource may in
the long run far exceed the value of the oil
resources of Alberta. We have discussed
previously the excellerut record, although it is
a short record, of the nuclear power instal-
lation at Pickering, which is the largest and
safest nuclear electric plant in' the world,
according to the information providied to us.
I was interested to receive a publication
in the mail a few days ago which indicated
something even more interesting. I wasn't
able to fathom it entirely, but it was actually
a comparison of the costs of the production
of electricity at Nanticoke, which is a coal-
fired installation and a brand-new one —
therefore the most efiicient one we have, I
presume — and the nuclear installation at
Pickering.
Comparing the cost of production on the
basis of thousands of dollars per kilowatt-
hour, the figure is 6.21 for the production
of nuclear energy at Pickering. This com-
pares with a much larger figure at Nanticoke,
amounting to 7.55 — thousands of dollars
per kilowatt-'hour — if the Nanticoke facility
is to bum coal of a low sulphur content.
In fact, we are looking at a nuclear facility
that is in operation. It is not a pilot plant.
It is a full-scale facility that produces power
at the rate of 6.21 thousands of dollars per
kilowatt-hour — that is the way the com-
parison of the prices takes place — compared
with 7.55. Now, since those figures were
arrived at, the costs of the energy sources,
other than uranium — that is, oil and coal —
must have escalated tremendously.
The thing I found of greatest impact in
the figures is that even at 1970 prices the
cost of the production of electricity from
nuclear sources was far more economical
than the cost of production from coal and ofl
sources. Unfortunately we have made a sub-
stantial commitment to further coal utiliz-
ation. Nanticoke is costing us $755 mfllion
to build. Lennox, which is supposed to bum
only oil, is going to cost $373 million to build
—and is largely established now, although
I don't believe it's been fired up.
102
ONTARIO LEGISLATURE
I'm quite interested in the decisions of
Ontario Hydro in making such extensive and
further commitments to fossil-fuel-fired
energy sources when the statistics indicate
that the nuclear source is not only com-
petitive but substantially cheaper if the
figures that I received are valid.
The point really is that while we are
concerned with the cost of oil and coal, the
establishment and utilization of our nuclear
resources must concern us very deeply in-
deed and in fact must be a matter of growing
importance to us all. I would like sometime
to hear from the minister responsible just
what government policy is going to be in
that regard.
Well, Mr. Speaker, I have covered a
number of points that it might well be pos-
sible to continue on another day but I have
found that you, sir, are usually very reason-
able indeed when we on the opposition
benches want to put forward our views and
our alternatives to government policy.
I and my colleagues have perused the
Speech from the Throne and we have found
that it was a substantial disappointment. I
have indicated clearly two areas where I
think that the new policy enunciations are
adequate, although we will examine the
legislation associated with them carefully.
I refer specifically to a prescription drug
programme for pensioners and to the estab-
lishment of an environmental hearing board.
There is a good deal more that should be
said about that, of course, but on the examin-
ation of the speech we feel that it has been
inadequate in a number of significant areas.
Mr. Nixon moves, seconded by Mr.
Breithaupt, that the following words be
added to the motion:
This House condemns the government:
1. For its chaotic education policy which
has led to the inability of teachers and
school boards to reach a reasonable agree-
ment and resulted in the dislocation of
our education system;
2. For its failure to establish a prices
review committee of the Legislature which,
together with a reduction in provincial
deficit spending, would exert control on
inflation;
3. For its inadequate land-use policy
which continues to permit the unreasonable
loss of farm land to government and pri-
vate development and the unnatural infla-
tionary pressures of foreign land purchases
without safeguarding Canadian ownership
and interest;
4. For its failure to establish plarming
and land servicing programmes without
which serviced-lot costs have escalated
housing out of the financial reach of our
residents.
Mr. Lewis: Mr. Speaker, I would normally
adjourn the debate and I am, obviously, go-
ing to adjourn the debate until Monday.
Just before I do, since there are perhaps
five minutes left and it isn't inappropriate,
I would just like to say a brief word about
the demonstration that gathered in front of
the Legislature today and about the York
county dispute.
That dispute is getting very, very much
out of hand and that dispute is beginning to
show a real negligence on the part of govern-
ment to do something about it. I was one
of those people who admired the intervention
of the Minister of Education in the latter
few days of January of this year as he made
a herculean effort in some cases to resolve
many of the outstanding disputes, and did
so artfully and well on occasion, and I don't
begrudge commending him in a number of
specific instances.
I do not commend the condtict of the
Minister of Ed'ucation and the Premier in
the York county dispute. The York county
dispute has been allowed to continue, un-
justifiably and illegitimately in our view, for
several weeks without the Minister of Edu-
cation saying three things publicly that had
to be said:
1. That the dispute is as much between
the teachers and the administrator of the
board as it is between the teachers and' the
trustees;
2. That the trustees should be required to
negotiate teacher-pupil ratios, and that that
should be understood as a legitimate item
for collective bargaining just as it is imder-
stood in Bill 275;
3. That the intractable position of the
board, the master-servant relationship which
it vests in itself, is intolerable to the Minis-
ter of Education and to the Premier, and
will not be allowed to continue, and there-
fore the Minister of Education in having laid
it out publicly — because there comes a point
where the kids have been out too long and
where clearly the situation has to be settled
—that he wants to settle it without compvJ-
sory arbitration, and I very, very much hope
that will be possible, then what the Minister
of Education now does, surely, is one of two
things:
Either he submits — and my colleague
from Wentworth (Mr. Deans) was discussing
MARCH 8, 1974
103
this with me earlier and he has some con-
siderable expertise in the world of labour
rektions — to both parties' a government
proposal, and I have no doubt in my mind
that in considerable measure it would be
acceptable to the teachers. If it were then
rejected by the board, everybody in the
world would see the board for what it is.
Or alternatively, that the Ministry of Educa-
tion settles with the teachers, itself using the
withdrawal of the grants that it would
normally give to the board, and then rein-
state the trustees' position for the rest of
their term to be dealt with by the electors
of York county as they see fit.
But the time for the endless negotiations
using Mr. Mancini of the Ministry of Labour
has perhaps reached the point where the
Minister of Education and the Premier him-
self intervene, make a recommendation — or
indleed, suspend the board in order to nego-
tiate directly with the teachers. Anything to
avoid compulsory arbitration.
It serves some political purposes to have
the strike prolonged so that we are faced
with an extremity next week or the week
after. I understand that. It serves no edu-
cational purpose, because the response
around the Province of Ontario from the
teachers would not be one anyone wishes to
contemplate. I don't think the cabinet wishes
to contemplate it.
But to have the public gradually turning
on their teachers, to* have the dispute move
to a point of hostility and antagonism; that
the board in a gesture of outright blackmail
said — "We will hire teachers afresh on
March 15" — to allow that to happen, to
allow a board to behave in that way is
beyond the pale, is insufferable. And you
don't have an education system in a county
in such difficulty when everyone who has
any eyes to see witnesses the behaviour of
this board. Therefore, Mr. Speaker, there is
absolutely — as my colleague from Went-
worth says quietly — absolutely no mutual
respect; and obviously that's exactly what
happens.
Some of these boards, Mr. Speaker, be-
have in ways which are unimaginable. The
Windsor separate school board' searches for
a route to the courts when they have signed
a document accepting as binding voluntary
arbitration. I mean that kind or behaviour
on the part of a board is absolutely un-
believable. Somewhere the Minister of Edu-
cation has to say to the public: "Certain
things are acceptable, certain things are not
— and I am not going to play the pussy-
footing game forever as Minister of Educa-
tion in saying that they negotiate when I
know one party is negotiating in bad faith
from day one."
What we need is to have an offer made
in good faith from the ministry, or the
ministry deals with the teachers in good
faith who are clearly willing to db so. Or,
indeed, that the ministry point out to the
public where it has gone wrong; but let it
not disintegrate.
'I plead with minister not to let it dis-
integrate or, indeed, let us not have the kind
of confrontation again that we had back in
December. The collective bargaining process
can work. There is no doubt in my mind it
can work, if there is support for it. And
that's what is now lacking on the part of
govemment. They are going through the
motions wdthout the kind of support that
would resolve it.
I move the adjournment of the debate and
we will save the more pertinent remarks for
Monday.
Mr. Lewis, moves the adjournment of the
debate.
Motion agreed to.
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): Mr. Speaker, on
Monday we will continue with the debate
and I think that I, without divulging any
confidences, that I can tell the member who
has taken his seat the minister and the
Premier are both involved in that particular
question at this particular time in seeking a
solution.
Hon. Mr. Winkler moves the adjournment
of the House.
Motion agreed to.
The House adjourned at 1 o'clock, p.m.
104 ONTARIO LEGISLATURE
CONTENTS
Friday, March 8, 1974
Workmen's Compensation Board, questions of Mr. Guindon: Mr. R. F. Nixon,
Mr. Bounsall, Mr. Lewis 67
Camp Associates Advertising Ltd., questions of Mr. Bennett: Mr. R. F. Nixon, Mr. Lewis,
Mr. Singer 68
Environmental hearing board, questions of Mr. W. Newman: Mr. Lewis, Mr. R. F. Nixon,
Mr. Good, Mr. Deacon, Mr. Renwick 72
Food prices, questions of Mr. Clement: Mr. Lewis, Mr. MacDonald, Mr. Deans 73
Public Service Act conflict, questions of Mr. Winkler: Mr. Breithaupt, Mr. Lewis 75
Effect of freight rate cut, questions of Mr. Rhodes: Mr. Germa 76
Communications-6 Inc., questions of Mr. Bemier: Mr. Singer 76
Preventive medicine, questions of Mr. Miller: Mr. Shulman 76
Intermediate capacity transit system, questions of Mr. Rhodes: Mr. Givens, Mr. Lewis 77
Negotiations on behalf of community colleges, questions of Mr. Winkler: Mr. Boimsall .. 78
Withdrawal of teachers' services, questions of Mrs. Birch: Mr. Deacon 78
Alleged Mafia activities, questions of Mr. Welch: Mr. Shulman 79
Presenting reports, crop insurance commission and agricultural research institute,
Mr. Stewart 79
Presenting report, mineral review, Mr. Bemier 79
Debate on the Speech from the Throne, Mr. R. F. Nixon, Mr. Lewis 79
Motion to adjourn debate, Mr. Lewis, agreed to 103
Motion to adjourn, Mr. Winkler, agreed to 103
No. 5
^
Ontario
Hegiglature of Ontario
OFFICIAL REPORT — DAILY EDITION
Fourth Session of the Twenty-Ninth Legislature
Monday, March 11, 1974
Speaker: Honourable Allan Edward Renter
Clerk: Roderick Lewis, QC
THE QUEEN'S PRINTER
PARLIAMENT BUILDINGS, TORONTO
1974
Price per session, $10.00. Address, Clerk of the House, Parliament Bldgs., Toronto
CONTENTS
(Daily index of proceedings appears at back of this issue.)
107
LEGISLATIVE ASSEMBLY OF ONTARIO
The House met at 2 o'clock, p.m.
Prayers.
Hon. J. W. Snow ( Minister of Government
Services): Mr. Speaker, I would like to intro-
duce to the members a group of 25 students
from W. H. Morden Public School in Oakvllle
who are with us today in the west gallery.
Mr. W. Hodgson (York North): Mr.
Speaker, I would like to introduce to you,
and through you to the members of the
Legislature, a group of young ladies from
Seneca College, King campus, who are en-
rolled in the secretarial course.
POINT OF PRIVILEGE
Mr. V. M. Singer (Downsview): Mr.
Speaker, I rise on a point of privilege.
Mr. OL. Maeck (Parry Sound): Mr.
Speaker-
Mr. Speaker: The point of privilege first.
Mr. Singer: I wish to draw to your atten-
tion, sir, what I think is a blatant breach of
the privilege of the members of this House
by a senior civil servant.
Apparently there is to be tabled in the
House today, by the Attorney General (Mr.
Welch), a report of the Law Reform Com-
mission dealing with family law. Copies of
this report were made available on Friday by
a senior oflBcial of the Attorney General's
department to two Toronto newspapers, and
only to two Toronto newspapers, the Globe
and Mail and the Star. They were not
solicited by these papers; the reports were
handed to representatives of these papers.
Not only were all the rest of the news
media ignored— The Canadian Press, all
the radio and television stations and so
on— but much more serious, Mr. Speaker,
was the fact that this information was first
brought to the attention of tlie public by news
stories far in advance of the information being
available to the members of the House.
It would be my submission, sir, that there
has been a very serious breach of the priv-
MoNDAY, March 11, 1974
lieges of the House; that information of this
sort, commissioned by this House, directed to
the Law Reform Commission, has no right to
be handled in this way; and that for what-
ever reasons, the official of the Attorney
General's department acted in serious breach
of the privileges of this House, and I think he
should be disciplined by you, sir.
Mr. Speaker: Of course I am sure that the
facts submitted by the hon. member for
Downsview are correct. I have not had any
prior knowledge of the situation, nor do I
have any other information than that sub-
mitted by the hon. member for Downsview,
which I do, of course, accept as being correct
at this moment.
Before I undertake to make any further
comments, while it does appear as if there
has been a breach of privilege, I would ask
the indulgence of the hon. member, and the
House indeed, for time to look into this
matter and to get all of the information
available so that I might be in a position to
comment further upon it.
Mr. S. Lewis (Scarborough West): On the
point of privilege just for a moment, Mr.
Speaker, I am so relieved to have this par-
ticular report out and public that one would
almost excuse anything. But I must say,
apart from the apparent impropriety of giv-
ing it only to selected news media representa-
tives, it really is a bit much, Mr. Speaker,
that the report could not simultaneously be
tabled in the House so that those of us who
are called to comment on it, on any side of
the House, might have an opportunity to scan
through it as quickly as those from the media.
Mr. Maeck: I would like to introduce some
students from the great riding of Parry
Sound, 29 grade 8 students from the elemen-
tary school at Britt, who are in the east
gallery.
Mr. Speaker: Statements by the ministry.
CONSOLIDATED COMPUTER INC.
Hon. C. Bennett (Minister of Industry and
Tourism): Mr. Speaker, I have a statement
regarding Consolidated Computer Inc., which
108
ONTARIO LEGISLATURE
is being released by the federal agency and
the company at this very hour. I wish at this
time to inform the hon. members of new
financing arrangements being entered into by
the Ontario Development Corp, and the fed-
eral government's General Adjustment Assist-
ance Board with respect to support for
Consolidated Computer Inc. This new joint
support programme will enable the company
to expand in both the North American and
overseas computer markets.
As members may be aware, Consolidated
Computer is the largest Canadian-owned
computer manufacturing company. Their pro-
ducts are already installed in 18 countries
throughout the world. The company has
developed two new products, the Key-Edit
50 and the Key-Edit 1000 systems, which
have not yet been introduced to the North
American market, although the Ontario gov-
ernment has recently purchased the 50 sys-
tem for the Ministry of Transportation and
Communications, and the federal government
for its Manpower division has purchased the
1000 system.
The General Adjustment Assistance Board
has indicated willingness to support a lease-
financing programme for the marketing of
the company's products here in North Amer-
ica. It is our understanding that they will
have a financing programme up to a maxi-
mum of $26 million. New federal and pro-
vincial support will be provided through a
plan that will make available up to $7 mil-
lion to the company in additional operating
funds during 1974. Of that amount, $3 mil-
lion has now been advanced, half by GAAB
and half by ODC. Over the long term, the
plan foresees increased participation in the
ownership of the company by private in-
dustry.
I think it would be useful, Mr. Speaker,
for me to say a few words about the history
of Consolidated Computer Inc. It was formed
in 1968 and became a public company in
1969. In the fall of 1971 the company suf-
fered a liquidity crisis and went into receiver-
ship. However, with the support of ODC and
GAAB the company was reorganized and
was profitable in 1972.
During 1972 and 1973 the company car-
ried out a major redesign of its products and
restructured its plant and products into two
new systems. Development expense amount-
ed to several million dollars. Large orders
were secured from two firms in Europe and
Japan and South America. Two of the com-
pany's overseas customers, ICL in England
and Fujitsu in Japan, are the largest
non- American computer companies. Unfor-
tunately the development of the new system
took longer and cost more than anticipated
which resulted in losses in 1973.
In spite of these losses, the company's
current prospects, while carrying some risks,
are believed suflBcient to merit the support of
GAAB and ODC in attempting to penetrate
the North American market and expand into
overseas markets. The prime objective of our
assistance is to help develop a viable, self-
sustaining Canadian-owned and operated
company that is based on high technology.
There are certainly risks associated wdth any
venture into this area but we consider that
the company has a reasonable chance ol
achieving this objective.
This year the company expects » to export
$23 million worth of its new systems, pur-
chase $5 million in Canadian components
and increase employment above the current
rate of 550, of whom 400 are in Ottawa
associated with the company's engineering
and manufacturing operations. To date direct
loans or guaranteed advances from ODC
amounted to $4.3 million. Under the new
programme, ODC may advance another $3.5
million.
We will, of course, monitor the operations
of Consolidated Computer very closely. There
are several conditions to the agreement for
the extension of the funds. We have already
taken steps to ensure that over the next few
months, the company's management will have
the best support available. To this end ODC
and GAAB have arranged for the appoint-
ment of Mr. W. V. (Bill) Moore, former
president of IBM Canada, as full-time interim
chairman of the board of Consolidated Com-
puter.
Hon. members will no doubt have taken
note that the Ontario Securities Commission,
in consultation with the company, tempor-
arily suspended trading of Consolidated Com-
puter stock last Friday. This action was taken
to enable the financial community to prop-
erly assess the impact of these new arrange-
ments on the company's financial status.
Mr. Speaker: Oral questions. The hon.
member for York Centre. ^> vi-:
WITHDRAWAL OF TEACHERS'
SERVICES
Mr. D. M. Deacon (York Centre): Mr.
Speaker, in the absence of the Minister of
Education (Mr. Wells) I wish to ask the
Premier if, in view of the fact that the
chairman of the negotiating committee a
week ago suggested the possibility of the
MARCH 11, 1974
109
minister's setting up a trusteeship, and in
view of the fact that I now have 7,309
names in two days, names of registered
voters who wish such a trusteeship, will the
government-
Mr. P. J. Yakabuski (Renfrew South): The
member went out soliciting on Saturday.
Mr. R. D. Kennedy (Peel South): Did the
member consult with his leader?
Mr. Deacon: In the event of a lack of
agreement being reached by continued negoti-
ations today, or the teachers not agreeing to
voluntary binding arbitration by 9 p.m. to-
night, will the government introduce legis-
lation it might feel is necessary to set up a
trusteeship, or at least follow the path the
government used on a previous occasion when
a board got into financial diflficulty and under
section 12(1) of the Ministry of Education
Act did set up legislation for trusteeship.
Will the Premier undertake to do that?
Hon. W. G. Davis (Premier): No, Mr.
Speaker, the Premier won't.
Mr. Deacon: In light of the fact that for
over five weeks students have not been edu-
cated in the high schools of York county, at
least not a full education, and the fact that
something has to be done and that voluntary
arbitration is preferable to compulsory arbitra-
tion, will the Premier indicate to us what he
w4ll do?
Hon. Mr. Davis: Is the member making a
speech or asking a question?
Mr. Lewis: He is asking for compulsory
arbitration.
Hon. Mr. Davis: The acting leader of the
opposition party, in his usual convoluted way,
is asking this government, in solving the
problem, to encroach upon local autonomy
about which he preaches with such vigour
from time to time.
Mr. Singer: It's the government's problem,
why shouldn't the Premier solve it?
Hon. Mr. Davis: The answer is that this
government is far more concerned, obviously,
about the welfare of those 14,000 students
than the members of the opposition. This has
been evident here for a long time. But I
would think the hon. membei^s response the
other night at the meeting of the board, where
many board members disagreed, and mem-
bers of the public as well, with the approach
that he was taking, should have been suffici-
ent indication.
The Minister of Education has worked on
this problem, as he has on the other 16, with
a great deal of success; the York one has not
been successful to date. It poses a very real
problem for this government and it is our
hope that we can come to grips with it.
But I would say with respect, to the acting
leader of that party, that it's time the hyxK)c-
risy was over; they should recognize that
having voted against Bill 274, as they did,
which bill was intended to bring some of
these things to an end, and today coming in
here as they are, is just completely contra-
dictory.
Mr. Deacon: Would the Premier not agree—
Mr. Speaker: The hon. member for Scar-
borough West wanted a supplementary.
Mr. Deacon: Supplementary?
Mr. Speaker: The hon. member Ijas had
one. We'll take turns on it. ,
Mr. Lewis: The hon. member can open it
again if he wishes.
Can I ask the Premier; could he table the
document which the Minister of Education
submitted as a basis for arbitration, or could
he tell us specifically of its content as it re-
lates to non-monetary items?
Hon. Mr. Davis: Mr. Speaker, I can't recite
these matters specifically. There were several
items contained in the proposal from the min-
ister to the board and to the profession, which
I understand was acceptable, and I think as
a matter of fact was executed by the board;
but the various items in it I can't relate to
the hon. member. However I do believe I
can get him a copy of it.
Mr. Lewis: Thank you.
Mr. Deacon: Mr. Speaker, a supplementary.
Mr. W. Hodgson: Mr. Speaker, supple-
mentary.
Mr. Speaker: Supplementary?
Mr. W. Hodgson: In view of the proposi-
tion put forward by the member for York
Centre, has it been drawn to the Premier's
attention at any time that the board of educa-
tion in the county of York has been acting
irresponsibly?
Hon. Mr. Davis: Mr. Speaker, if that ques-
tion is directed to me, or through me to the
acting leader of the opposition party, it's quite
obvious that the acting leader of the opposi-
tion party is saying that York county board
110
ONTARIO LEGISLATURE
is incapable, is acting irresponsibly and is not
acting in the interests of the elected people in
that part of the Province of Ontario; I am
not prepared to say that.
Mr. J. F. Foulds (Port Arthur): Supple-
mentary.
Mr. Deacon: Supplementary.
Mr. Speaker: One supplementary.
Mr. Deacon: In view of the fact that the
Premier has talked about hypocrisy, would
not the Premier agree that five weeks of no
school in York and the minister's intervention
being so ineffective would indicate maybe
there is hypocrisy on his side?
Interjections by hon. members.
Hon. Mr. Davis: I would say this, and I
will quote to members opposite, chapter
and verse, the observations made by some of
their own members as to how a few weeks
out of school would be a good thing for
the kids. I say to the House that this
government is far more concerned than
members opposite about the educational
welfare of the children in York. And this
was demonstrated here last December. The
member should read what his leader said in
Peterborough.
Mr. Deacon: The Premier didn't help
education quality then.
Hon. Mr. Davis: Come on. The member
knows better.
Interjections by hon. members.
Mr. Speaker: Order. In keeping with the
programme of alternating, it is the NDFs
turn. The hon. member for Port Arthur.
Mr. Foulds: Thank you, Mr. Speaker.
Although the Premier cannot remember the
details of the documents submitted by the
minister and executed by the board, can
he recall if the contentious pupil-teacher
ratio was specifically mentioned in the
document, and the assurance to the teachers
that that ratio would not be above the
provincial average?
Hon. Mr. Davis: Mr. Speaker, I have a
copy of the document here. The minister
is meeting on this situation at this precise
moment. I expect he will be here fairly
shortly. Quite frankly, because there are
discussions going on, I would like to talk
to the minister before I table this as a
public document; but I do have it here
and if the minister has no objection we will
undertake to do it.
Mr. Lewis: It is kind of crucial to the
debate.
Mr. Speaker: This must not develop into
a debate and there have been five supple-
mentaries. I will permit one more; the hon.
member for Windsor-Walkerville.
Mr. B. Newman (Windsor-Walkerville):
Thank you, Mr. Speaker. In view of the
fact that the parents of the children attend-
ing these North York secondary schools have
made arrangements for their children to
attend Toronto secondary schools, what
action does the ministry plan on taking to
ensure that they are in attendance at the
North York schools?
Mr. Lewis: How is the member going
to vote when he brings it in?
Hon. Mr. Davis: Mr. Speaker, one would
think that the member for Windsor-Walker-
ville, who had something to contribute with
respect to the debates of last December,
wouldn't be too concerned that the children
have only been out the five weeks. I recall
very factually how this was a good educa-
tional experience, some of it flowing from
over in the other opposition party admittedly.
I would say to the hon. member for
Windsor-Walkerville that the attendance by
the York students within the Metropolitan
Toronto school system, in my opinion, does
not constitute a viable alternative to the
proper functioning of the educational system
in York itself; so we are not encouraging it.
Mr. Speaker: The hon. member for York
Centre on a new question.
CONSOLIDATED COMPUTER INC.
Mr. Deacon: A question of the Minister of
Industry and Tourism: In view of the fact
that we have just heard the announcement
about Consolidated Computer, is it pro-
posed to give some of the government
business now awarded to IBM to Consoli-
dated Computer to help this company?
Hon. Mr. Bennett: Mr. Speaker, in my
statement I have already covered that very
point. One of the machines, the new pro-
duction, the 50 model, has been purchased
by the government of Ontario for the
Ministry of Transportation and Communica-
tions. Complimentary remarks should be
paid to the federal government; it has pur-
chased the 1000 series for the Manpower
MARCH 11, 1974
111
centre in Ottawa as well. That, I think,
speaks well of both governments trying to
stimulate some activity with a Canadian
company.
Mr. Speaker, The hon. member for York
Centre.
MANAGEMENT BOARD ORDERS
Mr. Deacon: Mr. Speaker, a question of
the Chairman of the Management Board:
In view of item No. 66 in the auditor's re-
port indicating that Management Board
orders amounted to some $110 million, of
which $96 million was actually spent, why
was it not possible for this very substantial
amount of money— as I would consider it
and I think most people in the province
would consider it— to be approved by cabinet
and presented to the Legislature? Was there
a shortage of time or was it considered to
be an insignificant amount?
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): Mr, Speaker, all
these moneys, of course, are spent in the
public's best interest and it is not always—
An hon. member: Is that right?
Hon. Mr. Winkler: I say yes to the mem-
ber. It is not always that the moneys which
appear in Management Board orders are
separate items; they are often transferred
v^dthin departments. Therefore if the mem-
ber wanted to be specific and had a point I
would answer it.
Mr. Deacon: A supplementary: In view of
the fact that most of the moneys, or a good
part of thei moneys, are spent before this
Legislature does consider them, because we
don't get into the estimates until after the
budget is handed down and we don't com-
plete their consideration until late in the year,
would it not be appropriate for these Manage-
ment Board orders to indeedi be placed before
the Legislature for consideration during the
year so that we actually do have an oppor-
tunity to comment upon them and whether,
in our view, they are in the public interest?
Hon. Mr. Winkler: Mr. Speaker, there is a
Management Board of Cabinet Act, as I am
sure the hon. member knows, and he will
have the opportunity to discuss: them in due
course when the estimates are before the
committee.
Mr. Singer; Mr. Speaker, by way of supple-
mentary, surely the Chairman of the Manage-
ment Board must recognize the basic principle
of responsibility to the Legislature, and
through the Legislature to the people of On-
tario, for expenditures. Would the chairman
not agree that the expenditure of $100 million
by Management Board order is stretching the
credibility of the people of Ontario and is
really spending money without proper legisla-
tive review?
Hon. Mr. Winkler: Mr. Speaker, that is not
the case. The Management Board of Cabinet
Act was passed by this Legislature, and we
conform to it very rigidly.
Mr. Speaker: Supplementary? The hon
member for Ottawa Centre.
Mr. Deacon: Mr. Speaker, a question of
the Attorney General: Will the Attorney
General tell us how long he has had the
Board orders when his estimates come up.
That, I think he will agree, will be about 15
months after the actual expenditure of the
money. What steps wall he take in future in
order to ensure the possibility of debate of
Management Board orders at or around the
time that the money is being spent?
Hon. Mr. Winkler: Mr. Speaker, the entire
matter is open to discussion and surveillance
by the public accounts committee and, as far
as the calling of estimates is concerned, I
think the hon. member knows full well that
we spent more time last year than we have
ever spent before. As far as that session was
concerned, the members opposite had the
opportunity but it was used for other pur-
poses; I have no arguments there. When the
opportunity comes for the estimates to appear
l^efore the estimates committee, I will be
there.
Mr. Cassidy: That's current estimates. We
are talking about a year ago.
LAW REFORM COMMISSION
REPORTS ON FAMILY LAW
Mr. Deacon: Mr. Speaker, a question of
the Attorney General: Will the Attorney
General tell us how long he has had the
Ontario Law Reform Commission reports on
family law and when we can expect to re-
ceive legislation based on it for consideration
by this House?
Hon. R. Welch (Provincial Secretary for
Justice and Attorney General): Well, Mr.
Speaker, I just happen to have some copies
of the report with me this afternoon, which I
am going to table; and following full public
discussion, our legislative proposal will be
placed before this House.
112
ONTARIO LEGISLATURE
Mr. Singer: Why did the minister give it
to the papers on Friday?
Mr. Lewis: Supplementary: What was the
point of leaking the report in the fashion he
did prior to its being tabled in the House
and only to selective groups in the media?
Mr. Singer: Two papers.
Mr. Lewis: How did he come to that de-
Hon. Mr. Welch: Well, I think the word
"selective" is a very unfortunate word to use-
Mr. Foulds: It was a very unfortunate
practice.
Mr. I. Deans (Wentworth): Quite accurate,
though.
Hon. Mr. Welch: It's a very good word,
but it doesn't happen to describe what
happened, so there's a nice distinction.
Mr. Singer: What did happen?
Hon. Mr. Welch: If I might just explain
the procedures: There are occasions when the
Ontario Law Reform Commission's reports
have in fact been released prior to them be-
ing tabled in the House. The Attorney
General, I understand from the legislation,
can decide how in fact he makes these re-
ports public or what rej>orts he does make
public. But let me explain, quite frankly,
what I did in cannection with this: These
three reports were there. The contents, as far
as I am concerned, have far- and wide-
ranging implications. There are those in the
media who, I think, are very responsible and
who suggested that if in fact it was to be
properly reported, there might be some
advantage if they had the opportunity to
study the report-
Mr. Singer: Oh, come on. Only two of the
media of the whole province are responsible?
Hon. Mr. Welch: —so that in fact they
could quite correctly expand on it in the
course of reporting. Therefore, those who re-
quested it, on the understanding that it would
not appear until such time as it was tabled—
Mr. Singer: Oh, that dirty old Glbbe!
Hon. Mr. Welch: —they in fact were given
copies of the report.
Interjections by hon. members.
Mr. Speaker: Order.
Mr. Lewis: The Globe will not observe
release dates.
Hon. Mr. Welch: All I say, all I say— well,
so I understand, so I read-
Mr. Lewis: The minister is a novice in
pohtics.
Hon. Mr. Welch: Yes, but the point that I
want to make-
Mr. Singer: The terrible Globe and Mail!
Hon. Mr. Welch: —is that with that par-
ticular understanding, copies of the reports,
which I will table later this afternoon, were
madb available-
Mr. Lewis: To whom?
Mr. Singer: To whom?
Hon. Mr. Welch: To anyone who requested
them.
Mr. Lewis: Anyone who requested them?
Hon. Mr. Welch: That's right.
Mr. Singer: Didn't the minister's executive
assistant hand them to representatives of the
two papers?
Mr. Lewis: We requested them in the
House.
Hon. Mr. Welch: Mr. Speaker, whose
question am I answering at the moment?
Mr. Speaker: The hon. member for Scar-
borough West.
Mr. P. G. Givens (York-Forest Hill): Does
the minister know the question?
Hon. Mr. Welch: The point I want to get
across is that that is exactly what happened;
and if there are any members of the House
who feel aflFronted by this, I apologize. I did
that-quite frankly, that's exactly what I did
on Friday.
Mr. Lewis: Somebody asked and the min-
ister gave them to them.
Hon. Mr. Welch: This was the under-
standing. Now, as a matter of principle, the
legislation does not preclude the release of
reports before they are tabled in the House;
so when you put it into that context, there
has been nothing done to violate any statute-
Mr. Singer: Shame on you.
Hon. Mr. Welch: -or any particular rule
or regulation. In fact, up to this time there
are two copies of reports which were released
and one of which is not yet tabled.
Mr. Singer: Mr. Speaker, could the—
MARCH 11, 1974
113
Mr. Speaker: Is this a supplementary?
Mr. Singer: Yes, a supplementary: Could
the Attorney General explain why his execu-
tive assistant sought out representatives just
of the Star and of the Globe and gave them
copies and ignored everyone else? Are those
the only two news media that can be trusted
in this province?
Hon. Mr. Welch: Mr. Speaker, the question
is not properly worded because my executive
assistant sought out no one for copies of the
reports. The representations with respect to
having these reports were made to him by
representatives of the media so that they
could adequately report them.
Mr. Singer: Mr. Speaker, by way of further
supplementary, could the Attorney General
tell us how long ago the executive assistant
was sought out, who sought him out, and
whether, when the decision was made to re-
lease copies of these documents to these
representatives, why the executive assistant
did not seek out representatives, say, of The
Canadian Press, of the Ottawa newspapers,
the Hamilton newspapers, the Windsor news-
papers, the radio stations, the television
stations?
Hon. A. Grossman ( Provincial Secretary for
Resources Development): Would that have
made it all right?
Mr. Singer: Or least of all, to seek out
members of the Legislature who had ex-
pressed more than a passing interest in these
reports?
Mr. Lewis: The government may even
have to hold a press conference.
Hon. Mr. Welch: Mr. Speaker, certainly
on the basis of the experience, under these
circumstances, the hon. member can be
assured that different procedures will be fol-
lowed in the future and we will, in fact,
invite everyone to what is referred to as a
"lock up," when everyone will have access to
them.
I am sorry if there has been any misunder-
standing, either among members of the House
or among members of the gallery. It was
certainly unintentional on my part and I was
acting in what I thought was the best inter-
ests of the pubhc in order to have this type
of reporting with respect to a very important
matter. And, quite frankly, I have no other
explanation to give. Really.
Interjection by an hon. member.
Mr. Speaker: Order, please. It would seem
to me—
Mr. P. D. Lawlor (Lakeshore): I have a
supplementary remark, Mr, Speaker.
Mr. Speaker: Order, please. I would like—'
Interjection by an hon. member.
Mr. Speaker: Order, please. The Speaker
would like to make a remark at this point.
It would seem to me that the point of privi-
lege as raised by the hon, member for
Downs view, by virtue of a debate that has
taken place, has now been clarified and there
will be no further necessity on the part of
the Speaker to make any other comments.
Mr. Singer: You should chop off the
Attorney General's head.
Mr. Speaker: I will now permit further
supplementaries.
Mrs. M. Campbell (St. George): A supple-
mentary, Mr. Speaker: In view of the fact
that the Attorney General, in replying to our
leader's remarks, mentioned public hearings,
would the Attorney General now tell this
House what procedure he is prepared to set
up for public hearings on this particularly
urgent matter?
Hon. Mr. Welch: Mr. Speaker, at the time
of tabling the report I will, in fact, share
with the House some initial statements with
respect to this. Certainly I want a very wide
discussion of this matter before we proceed,
and indeed would welcome any suggestions
from the hon. member to ensure that we, in
fact, are covering all possible groups or indi-
viduals who may want to make some com-
ments insofar as the follow-up on these
reports is concerned.
Mrs. CampbeU: A supplementary, Mr.
Speaker: On that I wonder what we mean
by wide publication and hearings. What
length of time does the Attorney General
consider would be adequate to come to some
conclusions in this matter?
Hon. Mr. Welch: I think it would be diffi-
cult to specify certain periods. I would want
to be satisfied, Mr, Speaker, that there was
sufficient time to allow all who were obvi-
ously interested in this matter to express
views with respect to it.
Mr. Speaker: Does the hon. member for
York Centre have further questions? The hon.
member for Scarborough West.
Mr. J. A. Ren wick (River dale): It will still
be in in time for the election.
114
ONTARIO LEGISLATURE
REPORT ON MINERAL PRODUCTION
Mr. Lewis: The Minister of Education
having appeared in the House— well, let me
ask a question of one of his colleagues while
he chats with the Premier. Could I ask a
question of the Minister of Natural Resources?
Why will his ministry not release the most
recent annual statistical report on the mineral
production of Ontario?
Hon. L. Bemier (Minister of Natural Re-
sources): Mr. Speaker, this question has never
been asked of me, and we will release the
information.
Mr. Renwick: Good.
Mr. Lewis: Well, then he is countermand-
ing what we have specifically been told twice
by the mineral resources branch of his minis-
try—that the report is available, but was not
to be released publicly. It has been available
for some time and printed for some time, I
gather.
Hon. Mr. Bemier: Mr. Speaker, I think
this change came about three years ago when
Management Board in an austerity move to
cut down the amount of material that was
put in the annual report-
Mr. Renwick: We have noticed. It has
been cut dovm. To eliminate the minister's
picture perhaps.
Hon. Mr. Bernier: —chose to pull this in-
formation out, and to narrow dowTi and put
a little more eflSciency in the report. But this
information has always been made available
to the public on request.
Mr. Lewis: Fine. Well, will the minister
table this document in the House?
Hon. Mr. Bemier: Yes.
Mr. Lewis: Thank you.
WITHDRAWAL OF TEACHERS'
SERVICES
Mr. Lewis: I have a question of the Minis-
ter of Education. Could he advise us in any
way how the teachers are responding to his
ultimatum? If, for reasons of negotiation, he
wants to qualify that, can he table in the
House the document which he signed with
the chairman of the York county board as a
basis for arbitration?
Hon. T. L. Wells (Minister of Education):
Yes, Mr. Speaker, I would be happy to. If
the hon. member wishes to have it tabled
afterwards, I will table it at the appropriate
time. I can send him a copy if he would like
it. It's a public document. It was given to the
press yesterday afternoon, and we are now
waiting, although the teachers have said that
they will not accept it. I gave a 9 o'clock
deadline and I'm waiting for an answer.
Hon. Mr. Welch: The public has a right
to know.
Hon. Mr. Wells: Yes. The hon. member
sort of smiles when I mention it is a public
document.
Mrs. Campbell: I laughed out aloud.
Hon. Mr. Wells: I have always held that
the public should be informed on these
things. That's precisely why this document
was made public.
Mrs. Campbell: Before the House, Mr.
Speaker?
Hon. Mr. Wells: Mr. Speaker, this really
is not—
Hon. Mr. Welch: On Sunday when we
were working on it.
Hon. Mr. Wells: —a document of this
House. This is a proposal by the Minister of
Education to two parties who are engaged in
a bargaining dispute. I think I would be
very happy to table it in the House, but for
the hon, member to suggest that it should
have been tabled in this House before it was
made public is preposterous.
Mr. Speaker: The hon. member for Scar-
borough West.
TENDERS FOR CIVIL SERVICE
INSURANCE PACKAGE
Mr. Lewis: Could I ask the Chairman of
the Management Board whether he is recom-
mending to the London Life consortium of
companies which hold the fringe benefit pack-
age for the civil servants of Ontario that that
consortium be broken up at the point of
next tender and that free and open tenders be
made available for all insurance companies
which choose?
Hon. Mr. Winkler: Mr. Speaker, I don't
object to that suggestion. As a matter of fact,
I think that was the case the last time the
package was tendered. It just so happened
that the consortium was made up of the com-
panies that are. Those people had an oppor-
tunity to tender too. As a matter of fact, the
MARCH 11, 1974
115
method of tendering is discussed by the com-
mission and by the members of the CSAO; so
I have no hesitation in saying that I'll con-
sider that.
Mr. Lewis: Well, there is a diflFerence be-
tween considering it and accepting it. Will
the minister put that fringe benefit package
out to open tender where any one member of
the consortium may tender rather than the
consortium as a whole?
Hon. Mr. Winkler: Yes, I will.
Mr. Lewis: Thank you. I'm having diflB-
culty asking questions, because when I turn-
ed around I thought the Minister of Com-
munity and Social Services (Mr. Brunelle) was
here. He is not.
Mr. J. E. Stokes (Thunder Bay): Yes, he is
here. He's coming in.
OHC BUDGET
Mr. Lewis: Sorry. Could I ask the Minister
of Housing a question first? In the light of
his vigorous housing initiatives, why has the
revised budget estimate for this year for the
Ontario Housing Corp. been dropped by $20
million in the most recent publication of On-
tario finances?
Hon. S. B. Handleman (Minister of Hous-
ing): Mr. Speaker, I'll have to look into that
question and give the hon. member an answer
as quickly as possible.
DAY NURSERIES ACT REGULATIONS
Mr. Lewis: Thank you. I have one final
question of the Minister of Community and
Social Services. When v^dll he provide the
regulations under Bill 160— the provision of
day care— which would govern co-operative
and non-profit day care in the Province of
Ontario?
Hon. R. Brunelle (Minister of Community
and Social Services): Mr. Speaker, those regu-
lations should be in force this month. They've
all been approved. They will be gazetted, I
would hope, this month, so they should be
in force this month.
Mr. Lewis: And they will take eflFect when?
At the moment they are proclaimed?
Hon. Mr. Brunelle: Yes, I beheve so, Mr.
Speaker, on the date they are proclaimed.
Mr. Speaker: Does the hon. member for
Scarborough West have further questions?
Mr. Lewis; No.
Mr. Speaker: If not, the hon. Minister
of Energy has the answer to a question asked
previously.
ENVIRONMENTAL IMPACT OF
PUBLIC WORKS
Hon. W. D. McKeough (Minister of En-
ergy): Mr. Speaker, on Thursday last I was
asked certain questions by the member for
Ottawa Centre pertaining to the Arnprior
dam. He suggested that I was not making
certain information available. I'm pleased to
table today-
Mr. M. Shulman (High Park): Did the min-
ister change his mind?
Hon. Mr. McKeough: —letters which have
been written to the member for Ottawa Cen-
tre by the vice-chairman of the then Hydro-
Electric Power Commission, dated Jan. 31,
1974, Nov. 19, 1973 and Dec. 20, 1973; to-
gether with certain material which was sup-
plied to the member under date of Jan. 31;
a Itetter from the chairman of the then com-
mission to me, dated Aug. 23, 1973; certain
documents of the commission, a study of the
generation projects division dated May, 1972,
a report of the study on the impact on the
community dated March, 1972, and a report
entitled "Geotechnical Feasibility Studies"
dated January, 1972. All these reports have
been provided to the member.
Hon. Mr. Grossman: Now the hon. mem-
ber has to read them.
Hon. Mr. McKeough: They are tabled in
the House.
Mr. Speaker: The hon. Minister of Natural
Resources also has the answer to a question.
Mr, Cassidy: A supplementary, Mr. Speaker.
Mr. Speaker: A supplementary? All right.
Mr. Cassidy: I appreciate all the informa-
tion which I have had from Mr. Evans and
Mr. Gathercole and other people in the min-
istry concerning the Arnprior dam. The un-
fortunate thing was, and the reason I raised
the question in the Legislature, Mr. Speaker,
none of that information, in fact, provided a
satisfactory explanation for the initial decision
to construct the dam.
That is why I asked last week in the Legis-
lature if the minister would table the en-
gineering feasibility study which was another
document in that series which included com-
116
ONTARIO LEGISLATURE
munity impact, environment and geotechnical
feasibility studies. Those three studies have
been made available but the minister last
week said he would not make the engineering
feasibility study available, nor would he make
available information prepared by the geol-
ogists who reported to Hydro on the project
at the start.
In view of the openness he is now display-
ing, would he undertake to table in the Legis-
lature the engineering feasibility study and
the geological material provided to Hydro in
order that we can have as complete a record
as possible?
Hon. Mr. McKeough: Mr, Speaker, I think
the information which has been provided is
more than suflRcient.
Mr. Cassidy: Mr. Speaker, a supplemen-
tary: Could the minister explain how the in-
formation provided can be deemed to be
satisfactory when the basic engineering feasi-
bility data have not yet been tabled?
Hon. Mr. McKeough: I doubt very much,
Mr. Speaker, if even I could explain that to
the member's satisfaction.
Mr. Cassidy: A supplementary: Would the
minister explain why the ministry is being so
defensive as to deny information after seek-
ing for a while to provide information about
this project? What is it that the government
is trying to cover up with this project?
Mr. E. J. Bounsall (Windsor West): The
feasibility study said "don't build it."
Hon. Mr. McKeough: Mr. Speaker, this
party and this government tries to cover up
nothing. We are not going to get down and
play cheap little games like the member has
been playing for the last several weeks.
Mr. Lewis: A supplementary, Mr. Speaker:
What is it about this engineering feasibility
study which has the minister so frightened?
Why can it not be made a public document
so we can see the basis on which the decision
was arrived at? Why does the minister have
to hide this particular study? Why is it so
central?
Mr. E. M. Havrot (Timiskaming): The
member is so concerned about it.
Hon. Mr. McKeough: Mr. Speaker, we
have provided all kinds of information to
the member. He doesn't want it. He doesn't
believe it.
Mr. Lewis: He has read it.
Hon. Mr. McKeough: He continually
quotes it out of context and plays some sort
of little game which we are not about to
play.
Interjections by hon. members.
Mr. Stokes: If the minister has nothing to
hide why hide it?
Mr. D. C. MacDonald (York South): A
supplementary to the minister: Did the feasi-
bility study recommend against building the
dam?
Hon. Mr. McKeough: No.
Mr. MacDonald: It didn't? Will he table
it so we can come to our conclusions on that
point?
Mr. Cassidy: A supplementary, Mr. Speak-
er: The minister states that I have been quot-
ing material out of context. I think that is a
serious charge to make in the Legislature.
Interjections by hon. members.
Hon. Mr. Davis: The member's colleague-
Mr. Renvnck: They do it all the time
over there.
Hon. Mr. Davis: He is laughing.
Mr. Havrot: Give us another funny one.
Mr. Cassidy: Would the minister kindly
cite where or how he feels I have been
quoting material out of context? Would he
explain why Hydro is refusing to provide
information because it says we might not be
able to understand it? Does he consider that
is a justifiable reason for refusing informa-
tion to this Legislature?
Mr. Havrot: The expert on everything.
Hon. Mr. McKeough: Perhaps the member
could explain if Hydro was referring to him
or to others; or just him in particular?
Mr. Cassidy: I don't know.
Mr. Lewis: On a point of privilege, Mr.
Speaker, I would like you to take into con-
sideration the refusal of the Minister of
Energy to provide the document legitimizing
a project of $78 million — all of which is
public money — by a Crown corporation,
allegedly accountable to this House? I say,
Mr. Speaker, that the minister cannot
refuse to table that kind of study. It must
be tabled in this House. It is part of his
ministerial responsibility. If he thiunbs his
nose at us on this, he thumbs his nose at
MARCH 11, 1974
117
everything. It should be made a public
document so that the questions can be asked.
Who does he think he is, other than Darcy
McKeough?
Hon. Mr. McKeough: I hardly think that
is a question, Mr. Speaker.
Mr. Lewis: It was a point of privilege to
the Speaker.
Mr. Cassidy: On the point of privilege, Mr.
Speaker.
Mr. Havrot: Oh, sit down.
Mr. Cassidy: I would just add that for all
the information provided-
Interjection by an hon. member.
Mr. Speaker: Order, please.
Mr. Cassidy: There is no information by
Hydro to justify this dam-
Interjections by hon. members.
Mr. Speaker: This is a misuse of the ques-
tion period.
Mr. Cassidy: —apart from the political
desirability of electing the member for Ren-
frew South.
Mr. Speaker: Order, please. This is a mis-
use of the question period. I will undertake
to investigate the point of privilege raised by
the hon. member for Scarborough West. I
will look into the matter. I shall be pleased
to look into the matter but this is developing
into a debate.
Mr. Lewis: Thank you.
Hon. Mr. Grossman: The hon. member is
underprivileged.
Mr. Lawlor: The Minister of Energy is a
provocative kind of fellow.
Mr. Speaker: Does the hon. member for
Scarborough West have new questions?
Mr. Lewis: No, I didn't ask a question.
Mr. Speaker: The hon. member for Scar-
borough West is quite correct.
The hon. Minister of Natural Resources
has the answer to a question previously
asked.
WEEKEND ROAD MAINTENANCE
Hon. Mr. Bemier: Mr. Speaker, in reply to
a question asked of me by the hon. member
for Thunder Bay concerning the Gull Bay-
Armstrong road which was apparently not
ploughed one weekend; I might point out to
him that we contract the maintenance of that
particular road with the Ministry of Trans-
portation and Communications who in turn
sublet it to a local contractor. On the par-
ticular weekend that he refers to, the oper-
ator was off duty on the Satiuday, but follow-
ing my investigation he was back up there
on Sunday and the road was ploughed on
Monday. I might say we have diready made
arrangements for next year's operation, where
we will shorten the contract length on that
particular road and the operators will be on
a seven-day basis.
Mr. Speaker: A supplementary?
Mr. Stokes: Is the minister aware that in
awarding the sub-contracts it is usually done
on a 40-hour-week basis and they get their
time in on a Monday-to-Friday basis, which
means that there is no maintenance on Satur-
day and Sunday when a lot of the trajQBc is
in and out of remote communities such as
Armstrong? When he is negotiating his new
contract will he see that all times during the
week will' be covered for road maintenance?
Hon. Mr. Bemier: Mr. Speaker, I just men-
tioned in the latter part of my reply to the
member that the contracts for next year would
be on a seven-day basis, so they will be oper-
ating right around the clock.
Mr. Stokes: Thank you.
Mr. Speaker: The hon. member for York-
Forest Hill.
ONTARIO BUILDING CODE
Mr. Givens: To the Minister of Consumer
and Commercial Relations: How does he in-
tend to process this voluminous tome, draft
of the Ontario Building Codfe; when does he
intend to dt> it, and what's more to the point,
when does he intend to table any legislation
on this very vital subject?
Hon. J. T. Clement (Minister of Consumer
and Commercial Relations): Mr. Speaker, I
intend this session to file the legislation under
which the code— which is really regulations
under the legislation— will apply. I filed those
regulations back, I believe, in December, Mr.
Speaker, to give an opportunity to those many
communities and municipalities and indi-
viduals who exhibited an interest in the con-
tents from a technical sense and' I undertake
to file the legislation and introdlice a bill this
session in this House.
118
ONTARIO LEGISLATURE
Mr. Givens: Supplementary: Does the min-
ister not intend to have some kind of public
forum, a standing committee or another com-
mittee, to consider the mass of dietail and
the technical details in this draft?
Hon. Mr. Clements: That is a possibility,
Mr. Speaker. May I point out that legislation
was not tendered in December at the time
that I tabled' the regulations which the hon.
member has in his hand, because at that time
there were intense negotiations being con-
ducted in Ottawa with the federal govern-
ment on the part of two or three associations
insofar as a warranty or a house guarantee
was concerned, and if the federal government
was going to proceed by implementing legis-
lation providing for warranties and guarantees
on residential housing, then that would have
altered our position on the ultimate legisla-
tion which I have referred to today.
Mrs. Campbell: Supplementary, Mr.
Speaker: In view of the fact there are appar-
ently going to be amendments, as' I under-
stand it from consulting with the ministry,
how will those be brought forward to ensure
that they are in fact incorporated? I'm talk-
ing now about such things as asbestos liners
for chimneys and about the code for the
handicapped. Will that be brought forward
as a separate and supplementary item, or how
will we be assured it is there when the time
comes?
Hon. Mr. Clement: Mr. Speaker, I think
the proper procedure with legislation of this
nature would be to introdtice the bill and
give those interested parties, including many
members of this House who have indicated
an interest in certain technical aspects of the
bill, including the hon. member for St.
George, the communities, the building in-
spectors, the various technical and profes-
sional associations, an opportunity to study it
in the light of the legislation. Then I would
think that the place where it should be de-
bated would probably be a standing com-
mittee of the House, in order that we can
have the advantage of listening to these par-
ticular interest groups, and at that time the
parts of the legislation or the regulations deal-
ing with ramps and this sort of thing would
well form the subject matter of that dis-
cussion.
Mr. Speaker: The hon. member for High
Park. ^
PHYSIOTHERAPISTS' FEES
Mr. Shulman: Mr. Speaker, a question of
the Minister of Health: In view of the very
large increases that he has given to the
physicians and to everybody who works for
his ministry since 1966, why does his ministry
flatly refuse to give any raise to the physio-
therapists and has held their pay at the same
level for the last nine years?
Hon. F. S. Miller (Minister of Health):
Mr. Speaker, the hon. member for High Park
appears to be applying his interest in pre-
ventive medicine and has switched "an apple
a day" for "a question a day," which seems
to be having even a greater eflFect upon my
constitution.
Mr. MacDonald: The minister had better
answer the question.
Mr. Lewis: Does the minister have a care-
fully prepared preamble for every question?
Mr. MacDonald: And for every answer
given.
Hon. Mr. Miller: It's nice to be able to
count on something from the opposition— and
the one thing I can count on is a question a
day.
Mr. Cassidy: The minister would atrophy
otherwise.
Hon. Mr. Miller: Well, not too long ago
a study was made— I believe by a consulting
firm— of the fees paid to physiotherapists. At
that point in time it was agreed that the $3.50
rate— which I believe is now the rate paid to
them for a service rendered in their oiEces—
was in fact giving them an ample return on
their time and investment on the basis upon
which those services were currently given. In
other words, they are not unique to one
patient in the main. They usually are treating
a number of patients simultaneously. Now,
that is not to say that it went on to cover
home treatments: but it did cover those
granted in the oflBces.
Mr. Givens: Supplementary, Mr. Speaker.
Mr. Shulman: Supplementary.
Mr. Speaker: The hon. member for High
Park should be entitled to the first supplemen-
tary.
Mr. Shulman: Thank you. How can the
minister possibly justify his statement in view
of the fact that his own department has
raised the physiotherapy rates in hospitals
during that time? The Workmen's Compensa-
tion Board has raised the physiotherapy rates,
and yet the minister has remained adamant
that $3.50, which was an adequate fee in
1966, is still an adequate fee today.
MARCH 11, 1974
119
Hon. Mr. Miller: I simply said that it was
not us who arrived at that conclusion, but
a team of people hired to study it.
Mr. Shulman: It was the minister's team.
Mr. E. R. Good (Waterloo North): Sup-
plementary,
Mr. Speaker: The hon. member for Water-
loo North.
Mr. Good: Is there truth in the statement
that has been made on numerous occasions
} that the Ministry of Health would like to see
the private practice of physiotherapy elim-
i. inated, and have all this work done in his-
pitals? And is this why the ministry has
refused to raise their rates for the past nine
years?
Hon. Mr. Miller: No, I don't think so, Mr.
Speaker.
Mr. Shulman: Supplementary: Is it fair
that because of the ministry's refusal to raise
the rates, physiotherapists are no longer able
to make home visits?
Hon. Mr. Miller: I'm not going to say that
I'm aware of that, because I'm not positively
aware of it. But I would be glad to look at
this. And in fact I'm sure very shortly well
be looking at many of the monetary ramifica-
tions within the ministry.
Mr. Lewis: Monetary ramifications!
Mr. Speaker: The hon. member for Perth.
Hon. Mr. Miller: I learned that from the
leader of the NDP.
Mr. EdighofiFer: Supplementary: Will the
minister find out and reply?
Hon. Mr. Clement: I wiU be glad to.
Mr. Speaker: The hon. member for
Thunder Bay.
HYDRO BOARD APPOINTMENTS
Mr. Stokes: Thank you, Mr. Speaker. I
have a question of the Premier. Has the
Premier been approached concerning the dis-
satisfaction over people residing in north-
western Ontario — particularly the Ontario
Municipal Electric Association— because of the
failure on behalf of the government to appoint
somebody to the new Hydro board? And will
he pay heed to their request to see that some-
body from northwestern Ontario is repre-
sented on that board?
Mr. MacDonald: The 13th appointment.
Hon. Mr. Davis: Mr. Speaker, I think there
were some observations made on this. Of
course, there is a gentleman there who I
would certainly not say is from the north-
west. There is a representative recommended
by the OMEA from Sault Ste. Marie, if
memory serves me correctly. But it was
brought to my attention that the people in
the northwest don't really regard Sault Ste.
Marie as being the north. That has been
brought to my attention.
Mr. Speaker: The hon. member for Wel-
lington South is next.
VEHICLES ON CONSIGNMENT
Mr. H. EdighofiFer ( Perth ) : I have a ques-
tion of the Minister of Consumer and Com-
mercial Relations.
Mr. Lewis: That kind of verbal flow-
Mr. Speaker: Order.
Mr. EdighofiFer: Does the Motor Vehicle
Dealers Act allow the registrar to issue a
directive prohibiting a dealer to place on his
premises a vehicle on consignment?
Hon. Mr. Clement: I am sorry— a vehicle
on consignment?
Mr. EdighofiFer: Yes.
Hon. Mr. Clement: No, I am not aware
whether he is permitted to attach a condition
referring to that matter or not. I'm just not
aware of it.
CORRECTIONAL CENTRE TRAINING
Mr. H. Worton (Wellington South): Mr.
Speaker, I have a question of the Minister
of Correctional Services. In the Speech from
the Throne there was a statement made that
inmates of the correctional centres were
going to be employed in industries located
in the institution in which they are resident.
In light of the fact that they will be paid
wages, what steps has the minister taken to
ensure that these people will be given the
opportunity to vote in provincial elections
or federal elections as taxpayers?
Hon. R. T. Potter (Minister of Correctional
Services): Mr. Speaker, at the present time
negotiations have been going on with one
or two abattoirs in the province, as the hon.
member is probably aware, asking for pro-
posals for them— in the case of one institu-
tion in particular in Guelph— to operate the
120
ONTARIO LEGISLATURE
abattoir in Guelph as a private abattoir
would be operated, employing residents of
the institution and paying them the salaries
they would be expected to pay in the
private sector. They in turn would pay $20
a week, I think it is, room and board and
the rest of the pay would be available to
them to send home to keep their families.
It is still at the negotiating stage. We are
hoping it will be successful because if it is
we will be one of the first countries in the
world to implement a scheme such as this.
As you know, there have been programmes
attempted in which token money was used,
but this is the first time that this type of
an enterprise has been considered.
Mr. Speaker: The hon. member for Went-
worth.
RESALE OF HOME PROGRAMME
HOUSES
Mr. Deans: Mr. Speaker, I have a question
of the Minister of Housing. Is the minister
aware of a practice which is developing
whereby HOME programme houses built not
more than six months ago have been offered
for sale on the free market at a price almost
100 per cent higher than the price at the
time of the original sale?
Hon. Mr. Handleman: No, Mr. Speaker,
I am not aware of the practice and if the
hon. member would send me some details
I would be pleased to look into it. It was
my understanding that steps had been taken
to remove the speculation from resale of
Home Ownership units.
Mr. Deans: Will the minister make him-
self aware of the fact that certain realtors
are approaching Ontario Housing Corp. with
an eye to getting permission to sell these
homes, sold originally for less than $20,000,
for a list price of some $41,000 on the free
market today, and that it requires some
kind of chicanery behind the scenes in
order to get the down payment?
Hon. Mr. Handleman: Mr. Speaker. I
would be glad to make myself aware of this,
but if the hon. member has any details I
would be pleased to hear from him.
Mr. Speaker:
Waterloo North.
The hon. member for
PROVINCIAL PARK AT PAPINEAU
LAKE
Mr. Good: Mr. Speaker, a question of the
Minister of Natural Resources regarding his
announcement of a provincial park on
Papineau Lake which was made in January,
I believe:
Does the minister have environmental
studies of that area, in view of the facts that
90 per cent of this lake is already built up
and that there is a water resources com-
mission report of 1971 stating that the
fecal streptococcus count now exceeds what
it should in that particular lake?
Hon. Mr. Bemier: Mr. Speaker, I have to
answer yes to those questions. I would point
out to the hon. member that the demand for
recreational opportunity is growing at a rate
of 10 per cent per year, particularly in
southern Ontario, and my own ministry is
having diSiculty meeting this objective. We
carry out some very close and sound and, I
think, effective planning in locating just
where these new parks should be.
At the present time we are dealing with
the Papineau Lake situation and we are work-
ing on a master plan for the area. There will
be public meetings held in that particular
area where the public can be involved. We
have met with the council and we are wait-
ing comments from the local planning area,
but in all this certainly we take into con-
sideration the environmental aspects and the
Ministry of the Environment does comment
and we have their comments, which I will
table.
Mr. Good: A final supplementary, Mr.
Speaker: Could the minister make public his
study of the environmental impact the park
will have on this lake, in view of this adverse
study that was done on the water quality in
1971? Has the condition changed in that
time? This is what I am concerned about.
Hon. Mr. Bemier: Mr. Speaker, we have
prepared a very in-depth report and an out-
line on the planning of this particular park to
date. I would be glad to make this iirforma-
tion avaifeble to the member.
Mr. Speaker: The Chairman of the Man-
agement Board has an answer dealing with a
previous question.
NEGOTIATIONS ON BEHALF
OF COMMUNITY COLLEGES
Hon. Mr. Winkler: Mr. Speaker, thank you
verv much. I want to make a correction to an
MARCH 11, 1974
121
I
answer that I gave on Friday to the hon.
member for Windsor West on the ques-
tion as to whether certain items in dispute
between the Council of Regents and the com-
munity colleges are bargainable. It is at this
moment in the hands of Judge Little. I in-
advertently said in the hands of Judge Ander-
son, and I would ask that the record be
changed accordingly.
Mr. Speaker: The time has now expired for
oral questions.
Petitions.
Presenting reports.
Hon. Mr. Welch: Mr. Speaker, it is with a
great deal of pleasure that I present to the
House today three reports of the Ontario Law
Reform Commission dealing with family law
—the Report on Family Property Law, the
Report on Children and the Report on Family
Courts. The receipt of these three reports,
taken together with the earlier reports in the
family law series, means that we are now in
possession of sufficient Law Reform Com-
mission material in this complex area of law
to begin to consider appropriate legislative
measures.
The Report on Family Property Law is a
very significant document. It analyses the
situation that has occurred in the law of On-
tario and other common law jurisdictions in
which the traditional legal concepts relating
to the division of property between spouses
meed to be reconsidered in the light of the
major social and economic changes of the
20th century. This report suggests that the
legislative task before us not only requires
changes in details of that law but also con-
.videration of changes in some fundamental
and well-entrenched legal principles.
I am very happy that Mr. Allan Leal, the
chairman of the Ontario Law Reform Com-
mission is in the House today, and indeed will
be available to explain to thoSe interested
anything in connection with these reports.
Throughout the report, two things persist,
Mr. Speaker. First, that the law should recog-
nize the individiual rights of husbands and
wives during a marriage, even though they
are united by the marriage contract. Secondly,
if a marriage breaks down, the law should
ensure the equality of the spouses in the dis-
tribution of marital property, unless the
spouses agree to their own format of distribu-
tion.
The commission proposed a wide range of
specific reforms dealing with testate and
intestate succession, support obligations* and
agency relations, marriage contracts, separa-
tion agreements, joint bank accounts and a
host of other matters where the common law
developed and applied by our courts does not
appear to have kept pace in all respects with
the social reahty increasingly perceived by
many of our people.
Statute law that retains a common law
base did not escape criticism and proposals
for reform either. The commission discussed
in this connection the Married Women's
Property Act, the Deserted Wives and Chil-
dren's Maintenance Act, the Devolution of
Estates Act, the Dependants' Relief Act, the
Dower Act, the Matrimonial Causes Act and
many others.
Perhaps, Mr. Speaker, the most significant
recommendation in this report, in addition
to the recommendations for updating the his-
torical approach of the common law, are the
proposals for co-ownership of the matri-
monial home and for equalization of prop-
erty upon divorce or marriage breakdown.
What is recommended is that each spouse
would be entitled to occupy the home and
to use its furnishings, regardless of the ques-
tion of legal title; and in certain circum-
stances such as divorce, the equity of the
family home would be shared between the
spouses.
Another recommendation of the commis-
sion is the establishment of a new property
system for married persons in Ontario. Ac-
cording to the commission's recommenda-
tion, the value of all property acquired by
either partner after the date of the marriage
would be shared evenly between the spouses
upon death, divorce or marriage breakdown.
Although there are some aspects of the
Report on Family Property Law that are
independent, I would stress that a great
many of the proposed reforms appear inter-
related and thus probably cannot be treated
in isolation. The effects of the recommended
changes will be profound and there's no
greater responsibility at this point than that
borne by everyone who would be affected
by these changes, and this means most adult
persons in Ontario, who should be encour-
aged, as indeed the member for St. George
indicated in her question, to come to grips
with the implications and the consequences
of this report, to discuss them and to respond
to them.
Officials of my ministry will of course be
giving the report intensive study. But at the
same time as we are considering what steps
are required to introduce the major concep-
tual and practical changes that are entailed
in this report, I believe that I have a clear
122
ONTARIO LEGISLATURE
obligation to encourage a thorough public
discussion of these matters,
A recent Gallup poll disclosed that 63 per
cent of people in Canada favoured, as an
abstract proposition, some sort of property
sharing in divorce. We now have a concrete
proposal, and I would like to have the views
of the people of Ontario on it.
The second report of the Ontario Law
Reform Commission tabled today is its report
on the law of children. This is another area
still largely governed by the common law
and one that is also in need of meaningful
change. One basic reform proposed by the
commission is that the common law discrim-
ination against illegitimate children should
be purged from all aspects of the law in this
province. The word "illegitimate" itself
should no longer be used.
Almost a quarter of the report is devoted
to detailing the way in which children bom
outside of marriage are, and have been for
centuries, the victims of insidious and unfair
rules whereby property and inheritance inter-
ests were consistently allowed to override the
simple requirements of ordinary humanity
towards children.
I must say that the case made by the com-
mission for reform in this area is compelling
and we will dedicate considerable effort to
finding the appropriate legislative solutions.
In addition, Mr. Speaker, the report gives
detailed attention to the law of adoption,
the law dealing with children in need of
care and protection, and the law of guardian-
ship and custody of children. Here, the com-
mission emphasizes that the only question
that should be before the courts is what is
in the best interests of the child. Regrettably,
some areas of the statute and common law
do not make it clear that what is in the best
interests of a child is what the law should
do. The commission recommends that in these
areas changes should be made.
The third report of the Law Reform Com-
mission tabled today is the report on the
family courts. And there can be no doubt
that Ontario now has the finest family court
system in Canada, if not in the Common-
wealth.
Mr. Lawlor: In the universe! Come on,
Bob, don't be diminutive.
Hon. Mr. Welch: It is equally true, how-
ever, that there is much that can be done to
strengthen this court that deals with so vital
an aspect of our society as the family. All
courts are important, but the family court
is unique in the valuable contribution that
it makes to the community in dealing with
family relations.
The basic reform proposal in this report
is that there should be a single court in
which all family law matters are dealt with.
At present, family law jurisdiction is exer-
cised in the Supreme Coiu-t, the county court
and the surrogate court, as well as in the
family division of the provincial court. The
reasons for this are partly historical and
traditional and partly constitutional.
The proposal of the Law Reform Commis-
sion for a single family court with integrated
jurisdiction will, along with the other recom-
mendations of the commission, receive very
careful study and consideration by ofiicials
of my ministry and, I hope, by members of
the profession and, indeed, the public as
well.
Mr. Lawlor: Get the legislation ready.
Hon. Mr. Welch: And so, Mr. Speaker,
all in all, the Ontario Law Reform Com-
mission has given the government and the
people of Ontario a substantial amount of
sophisticated and professional analysis in
these three reports. I believe that from
these reports and the public discussions
they will no doubt engender we will be
able to move toward a new and better
system of family law that will, we hope, be
recognized as the finest in the world. In-
deed, no government could have a higher
goal than this.
Interjection by an hon. member.
Mr. Lawlor: Do they do that compulsively?
Hon. Mr. Winkler: Mr. Speaker, I have
been given a report by the Minister of
Education which has associated with it a
proposal to bring to a conclusion the dispute
between the York County Board of Education
and District 11 of the OSSTF.
Hon. Mr. Welch: Mr. Speaker, pursuant
to the provisions of section 5 of the Ex-
propriations Act, being the Revised Statutes
of Ontario 1970, chapter 154, I lay before
the assembly a copy of the order of the
Lieutenant Governor in Council dated Jan.
9, 1974, made under subsection (3) of the
said section.
Mr. Cassidy: Is that in relation to Picker-
ing or somewhere else?
Mr. Lewis: Is that Cedarwood?
Hon. Mr. Welch: Cedarwood.
Mr. Lewis: That's been scrubbed, hasn't
it?
MARCH 11, 1974
123
Hon. Mr. Welch: It has to be tabled before
the House.
Hon. D. R. Irvine (Minister without Port-
folio): Mr. Speaker, I would like to table
a copy of the report of the joint study group
on the investment policies of the Ontario
Municipal Employees' Retirement System.
Copies of the report are being distributed
to members of the House and representatives
of organizations and groups participating in
OMERS. On behalf of the Treasurer (Mr.
White), I would like to thank the members
of the study group for their work and in-
vite public comments which will assist him
and the OMERS board in reviewing it.
Mr. Speaker: Motions.
Introduction of bills.
The hon. member for York-Forest Hill.
PROTECTION OF HOUSE BUYERS
ACT
Mr. Givens moves first reading of bill in-
tituled, An Act to provide for the Protection
of House Buyers.
Motion agreed to; first reading of the bill.
Mr. B. Newman: Long needed. Long
needed. About time.
An hon. member: Good bill.
Mr. Givens: Mr. Speaker, this is not a
very dramatic title for a bill which I think
is long overdue. I think the law of caveat
emptor should be relegated to the scrap-
heap because it's outlived its usefulness.
This bill will provide for house buyers
the protection which they have when they
buy the simplest electrical device or the
simplest appliance today. It sets up a
commission and requires that houses should
be built in accordance with minimum
standards of the Ontario Building Code,
and the minister today said he was waiting
for the federal minister to bring in such
a bill. This is my conception of what the
bill should be.
It will require that a house be inspected
at least four times during the course of
construction. It will protect buyers from
hidden defects, latent defects, for a period
of five years, and from patent defects,
obvious defects, for a period of one year.
It will require the vendor to list all the
defects on the agreement of purchase and
sale of a house. It will provide for griev-
ances to be heard by the commission and
the commissioner which this bill purports to
set up and it will provide for an insurance
fund into which all builders must con-
tribute in the event that a builder may not
be able to compensate the house owner,
such as in the case of bankruptcy. I com-
mend this bill to the members of the House.
Mr. Deacon: Mr. Speaker, before the
orders of the day, I want to present a
petition to the government of Ontario signed
in the past-
Mr. Speaker: Order, please. I thought the
hon. member had a bill to introduce. I
should perhaps determine for certain that
there are no further bills to be introduced.
Are there any other bills to be introduced?
If not, the hon. member.
Mr. Deacon: Yes, Mr. Speaker, I present
this petition, signed in the past two days only
by 7,309 voters of York county who are re-
questing that the Government of Ontario set
up a trusteeship in York county to get the
schools into full operation. I hope the minis-
ter will indicate how many more voters' sig-
natures he will need to satisfy him that this
is the action the people want to resolve the
impasse. This petition is not, in any sense,
to be considered a condemnation of the
trustees of York but rather as the best solu-
tion now available to get the schools into
operation forthwith.
Mr. Speaker: Orders of the day.
Clerk of the House: The first order, re-
suming the adjourned debate on the amend-
ment to the motion for an address in reply
to the speech of the Honourable the Lieu-
tenant Governor at the opening of the
session.
THRONE SPEECH DEBATE
Mr. S. Lewis (Scarborough West): Mr.
Speaker, I shall try to be entirely to the point
this afternoon.
I begin, sir, along with everyone else in the
House, in expressing personal pleasure at
your presence, your continued presence in
the chair. Not that one— well, one did doubt
it for a moment or two, perhaps, at one
point— but you are back, you are there; and
you have displayed equanimity, joviality and
impartiality on almost every instance that I
can recall— save one, and that is when you
disagreed with me. In all such circumstances,
sir, we are glad to see you back and wish
124
ONTARIO LEGISLATURE
you long tenure— at least until the life of
this parliament is over.
I want to deal very briefly, Mr. Speaker,
with the York county dispute, simply because
it is appropriate that it be done right now
when things are moving toward a clear crisis.
I suppose some would characterize the pres-
ent situation as a crisis. But we are moving
to evident breakdown and a solution which
may be entirely unpalatable.
I have looked at the document which the
minister has tabled. Would that he had made
some kind of legitimate recommendation to
both parties some considerable time ago. It
would have carried more weight than it does
at the 11th hour and it would have carried
more weight than it does when it comes in
the form of an ultimatum.
I can understand why the teachers respond
as they do. They have been bargaining with
a group that has bargained in bad faith from
the outset; and then suddenly the minister
has chosen to take sides. That is what really
has happened now in the York county dis-
pute; the minister has taken sides. He has
taken sides with the board against the tea-
chers.
There is a very neat clause in section 11 in
the tentative proposal put to them both that
will obviously inspire enormous apprehension
in the minds of the teachers. Section 11 says:
The board of arbitration shall remain
seized of and may deal with all matters in
dispute under paragraph one between the
parties until a final and binding agreement
is in effect between the parties.
Well, the use of the word "may" leaves it
open to the board of arbitration to do what
boards of arbitration frequently do, which is
to refuse to accept certain non-monetary
items and certain working conditions as nego-
tiable, contractual clauses. And the whole
point of the teachers in York county— what
they have rested their case on from the out-
set—is not a matter of salaries but is a matter
of working conditions; primarily pupil-
teacher ratio and class size. And what this
document says to the teachers is very simply,
"we will not guarantee that an arbitration
board will rule on class size or pupil-teacher
ratio." It may if it wishes to. It may abandon
it if it wishes to. The document, therefore,
has a fatal Achilles' heel in the minds of the
teachers. And I can understand why they will
now feel betrayed by the Minister of Educa-
tion (Mr. Wells); just as they have felt be-
trayed by the board.
Now this caucus, Mr. Speaker, is not to
play the parliamentary niceties game of
looking on the board with charity and talk-
ing about whether or not they have been
responsible. That York county board is so
irresponsible it deserves to be turfed out; or
all of the members who have been intransi-
gent deserve to be turfed out in a way that
they wouldn't even save their deposit in a
federal or so-called provincial election cam-
paign.
I have never seen a board argue in such
bad faith from day one. That board, when it
entered negotiations, didn't want to recog-
nize the York county OSSTF as a bargaining
agent. Now, I mean how do you start nego-
tiations on that basis and expect to induce
any kind of free and open and supportive
collective bargaining atmosphere? And frank-
ly, when the member from York Centre says
that he wants the board taken into trustee-
ship, but that that shouldn't reflect on the
capacities of the board— well, that is mental
gymnastics.
Mr. D. M. Deacon (York Centre): The
voters will do that.
Mr. Lewis: Well, I hope the voters do do
that. As a matter of fact, I think the voters
feel very strongly.
Mr. Deacon: They are going to decide,
providing there is an election.
Mr. Lewis: No, the member doesn't have
to provide an election.
Mr. Deacon: It is not up to the leader of
the NDP to sit in judgement.
Mr. Lewis: For people who believe so
strongly in local autonomy, the Liberals play
fast and loose with it.
The fact of the matter is, Mr. Speaker, that
there is no reason in the world why the
Minister of Education could not arrange to
do the bargaining by way of legislation if he
needs it in the case of the teachers.
Mr. Deacon: He doesn't need it.
Mr. Lewis: Allow the board to continue.
The voters will deal with the board, if they
so choose at the election. That is up to the
voters, I agree.
I am not so interested in the formal appli-
cation of trusteeship. That is a precedent
that worries me almost as much as compulsory
arbitration worries the rest of us.
Mr. Deacon: They have used it before.
Mr. Lewis: Eut in fact that is what it looks
as though we are headed for. In this case,
the Minister of Education didn't even with-
MARCH 11, 1974
125
draw the grants. At least in the Windsor
board last year they withdrew the grants,
which was a considerable incentive to settle-
ment.
What you see here is a carefully calculated
rhythm towards the guillotine falling tomor-
row or the next day. That's what's the strategy
now is. That's what emerges, because the
board bargained in bad faith, and the minister
knows it. The minister has confided as much
in confidence to those who have talked with
him privately.
I think— let me put it this way— that the
Minister of Education is as fed to the teeth
with the behaviour of the York county board
as is any member who has had anything to
do with them or any member of the public
w' o has been able to witness it.
What you've got is bad faith bargaining
from the outset, intractability on working con-
ditions; refusal of the minister to make a
recommendation until the 11th hour, and then
with a very severe deadline threat hanging
over it; refusal of the minister to appropriate
the negotiating process from the board, settlfe
on an agreement and then reinstate the board.
The teachers say, and the teachers are right,
how do you arbitrate human relationships?
How are we ever going to resolve the anath-
ema which has developed between the board
an^ the teachers if they are forced to com-
pulsory arbitration? How is that going to
handle it? How are those teachers going to be
forced back to work? How are you going to
resolve the antagonism between the teachers
and the director of education in York cbunty
under such circumstances?
It may serve the government to invite con-
f'ontation on this instance in order to pave
ithe road for Bill 275, but this is a very care-
fully manipulated process, Mr. Speaker. No
one, should engage in the naivety and self-
delusion that I often engage in, thinking
that maybe the Tories really don't want to
force the issue. Well, I think now they do.
I think the Premier (Mr. Davis) in his in-
cessant repetition today about the five weeks
indicates that they had their time parameter.
Then they could go to the province and say,
"You see the axe had to fall in York county
an-1 that's why it has to fall in Bill 275."
What does that mean for collective bar-
gaining for the teachers in Ontario? What
that means is very simple. Everything will
ffo to compulsory arbitration hereafter, and
the relationships, the human relationships,
the teaching relationships, the personal rela-
tions between teachers and board in one board
after another across tliis province will' be im-
paired.
I appeal to the minister. I know he is
meeting now with the Premier. He is meet-
ing with the member for York North ( Mr. W.
Hodgson). He will doubtless be meeting with
others during the day. I appeal to him and
to the cabinet to draw back from the preci-
pice, to take those negotiations over and settle
with the teachers and by their example to
demonstrate to the York county board that
collective bargaining can work, if it is fol-
lowed in good faith and then left to the
electors of York county to deal with those
trustees in the next campaign.
That's the way to do it. But not to bring
in compulsory arbitration, not to resort to
those extremes, because the damage that is
done to the system isn't immediately appar-
ent, but it is evident to everyone.
It's done to kids; it's done to teachers.
Who knows which of the teachers will return
or why? I haven't even discussed with my
colleagues from Lakeshore and Riverdale the
legal niceties, the mind-bogghng legal niceties
of how those who resigned will be reinstated,
whether it will be retroactive, whether the
resignations will again be delayed by legisla-
tion. The complexities are almost beyond
handhng. It needn't come to this; it simply
n=;edn't come to this.
Mr. Speaker, I want to deal with the
Throne Speech, but not at length in terms
of every one of its clauses. I want to deal
with it in the context of one paragraph arid
one paragraph alone, which seems to me to
be central to the Throne Speech and seems
to all my NDP colleagues to be central to
the Throne Speech— so central that I don't
have it in front of me. If somebody has a
copy of the Tlirone Speech I wouldn't mind
one.
It's the clause which deals with inflation,
the one clause which deals with inflation. It
says:
While my government will employ all
practical means at its disposal to alleviate
the causes and efi^ects of inflation, never-
theless it bears repeating that the problem
can only be dealt with in a national context
with all governments co-operating.
That one paragraph is the greatest single de-
ficiency in a Throne Speech distinguished
for its mediocrity. That one paragraph is a
kind of commentary on the government of
William Davis over the last diree years. As
I think I shall try to show, and as others of
my colleagues shall try to show as this Throne
Debate continues, the William Davis years,
126
ONTARIO LEGISLATURE
in terms of that single issue which most pre-
occupies public attention, were years of spec-
ulation, inflation, and profiteering; that the
public burned while the William Davis
cabinet fiddled; that never has a cabinet so
large done so little on an issue so great— and
indeed that may be true in other areas but
extremely pronounced in this one— that no
other province in this country has so betrayed
the trust of its citizens in deahng with basic
matters of the cost of living, matters which
affect the daily lives of the people of Ontario;
and that ultimately, Mr. Speaker, it is our
conviction in this caucus that that's what will
bring the government down.
It's not going to be the transgression, so it's
called, and it's not going to be the gross
indiscretions, and it's not going to be the
so-called scandals and it's not even going to
be the inadequacy or incompetence of in^vi-
dual ministers, whomever they may be; but it
is the refusal of the government to deal with
those matters which are absolutely central to
the way in which people live their lives. And
the evidence mounts, the documentation
accumulates and it is now clear that those
are the grounds on which the electoral out-
come in this province will be settled 18
months hence.
The Tories have taken to mind the old
Churchillian maxim that they have resolved
to be irresolute. Thev start with inertia in
the area of cost of living and they end with
paralysis. That's the history of governmental
mobility in this field; and it is most imfortu-
nate that that's the case because on everyone's
lips is the question of the cost of living.
Now Mr. Speaker, the Leader of the
Opposition (Mr. R. F. Nixon) raised matters
pertaining to housing. I want to do the same
but in a slightly different context. I want to
tell you about the William Davis years, Mr.
Speaker, because I want to put most of my
remarks in the specific dimensions, the spe-
cific boundaries of the period during which
the present Premier has been the incumbent
chief minister. And I want to steal something
from my colleague from Ottawa Centre, if
he'll forgive me— I presume if I thieve from
him it's less offensive than when other parties
do— and give you a chronicle in the housing
field of what has happened in a number of
areas of Ontario, but starting first with To-
ronto.
Well, in March of 1971, which seems to
be a reasonable date to begin with since the
Premier was then Premier, the average To-
ronto house sale price was $29,627. One year
later it was $31,357. When the Comay task
force was set up it had already jumped to
$34,137; that was in November of 1972.
When the Throne Speech came down last
year it had jumped to $34,718. When the
present Attorney General (Mr. Welch) was
appointed Minister of Housing, it had leaped
to $44,022 on the average; and when the
current Minister of Housing (Mr. Handleman)
inherited the portfolio, it had jumped to
$46,210.
Within the life of the premiership of Wil-
liam Davis— I guess just three years now—
the housing increase in the city of Toronto
has been 56 per cent. Now that may be an
achievement which some premiers would
cherish; others would shudder were they to
realize it.
Let me tell you something else about
what's happening in the Metro Toronto area,
Mr. Speaker, as the research department of
this caucus had analysed the figures. A most
extraordinary acceleration of the inflationary
trends in every area has occurred in the
central portion of the Premier's stewardship.
He became Premier in March; he stopped
Spadina somewhere along the way; he set
himself for an election in October, 1971— it
was October, 1971?
Mr. D. C. MacDonald (York South): Right.
Mr. Lewis: I have blocked it all out.
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): How could the
member forget?
Mr. Lewis: I certainly do, and the sooner
I forget the better. Then he won a fairly
considerable mandate, looking at the way in
which the Tory hordes engulf this legislative
chamber.
Mr. MacDonald: They slop over to this
side.
Mr. Lewis: Slopping over is not as digni-
fied a phrase, although perhaps a more de-
scriptive one.
Mr. Speaker, one would assume that by
the years 1972 and 1973 in particular, the
policies introduced and undertaken by the
Premier of Ontario would begin to be felt.
Well, they certainly have; they certainly
have.
In January, 1973, 65.3 per cent of the
houses in Metropolitan Toronto sold for less
than $35,000; almost two-thirds of all house
sales were for less than $35,000. By Decem-
ber, 1973— mark this, at the end of the same
year— only 27 per cent of all housing trans-
actions in Metropolitan Toronto involved
amounts less than $35,000. In fact, only 14.7
MARCH 11, 1974
127
per cent of houses sold sold for less than
$30,000.
If one takes the median family income in
this area which is now roughly $12,000 a
year, and if one assumes what most reason-
able housing economists assume, that one
shouldn't spend more than 25 per cent of
gross income for carrying costs, it means,
Mr. Speaker, that 73 per cent of those who
might purchase homes are now excluded
from purchasing them.
The great bulk of people who earn $12,000
a year and under, that is somewhere around
70 per cent now of total income figures— I
will give them more specifically later on—
are excluded from the housing market. In a
period of two short years the Premier has
achieved what few men are able to achieve—
the exclusion of two-thirds of the people of
the Province of Ontario from ever being able
to own or carry a house in this province.
Mr. J. E. Stokes (Thunder Bay): Shame!
Mr. Lewis: That's quite something. Let me
give you another figure which is perhaps
equally interesting. In January, 1973, only
seven per cent of the sales in Metropolitan
Toronto involved homes of over $50,000. In
December, 1973, 28.5 per cent of the sales
in Metro involved houses over $50,000, and
the houses selling in the over $50,000 cate-
gory constitute by far the largest percentage
of house transactions taking place in the
Province of Ontario. Now, will the Premier
tell me how the people , of this province can
afford homes upwards of $50,000?
Someone in the NDP research department
did something which I thought was really
quite fascinating. We went to TEELA.
Members all know something about TEELA.
I don't know what the letters stand for
but it is a private outfit with close connec-
tions with the Revenue ministry— an outfit
the minister will soon be getting rid of I
understand— which notates every real estate
transaction, computerizes them and has them
available on small cards. We went through
the pattern of acceleration in house costs
for a representative number of residences
in the Metro Toronto area; residences that
were all initially considered to be low in-
come and lower-middle income ownership
potential. Let me tell the House what we
found.
In the borough of York, in the 280 block
of Caledonia Rd.— my colleague from York
South knows it well— we both knocked on
doors up and down Caledonia Rd. In 1965, a
house sold for $12,600; in February, 1973,
$28,800; estimated value in February, 1974,
$38,300. No. 525 Dune St., just northwest of
High Park, in the west end of the city—
1965, $21,800; May, 1973, $42,400; February,
1974, $50,500. No. 5 Clinton St. in Toronto
—you may know, Mr. Speaker, that that
lies between Bathurst and Dufferin, the
old stamping grounds for some of us who
inhabit these legislative benches—
Hon. Mr. Winkler: The hon. member
springs from there too, eh?
Mr. Lewis: —in 1963, just 10 years ago,
the price on the home— sorry, this was a num-
ber on Clinton St.; I have the actual num-
bers, but I am not sure how the home-
owners would feel if photographs were be-
ing taken. I will have to think about that.
At any rate, it's a very low odd number
on Clinton St.-1963, $11,700; March, 1973
$28,250; estimated value in February, 1974,
$36,700.
On Markham St., Toronto, one block west
of Bathurst. Markham St.— some of us grew
up on Markham St.; the Duddy Kravitzes
of this world grew up on Markham St.
Mr. P. G. Givens (York-Forest Hill): Your
memory is good, Mordechai.
Mr. Lewis: Mr. Speaker, that's not me.
That's the member for York- Forest Hill.
What makes Philip run?
In 1964, the price of this home on the
400 block of Markham St. was $15,900;
May, 1973, $43,100; in February, 1974, it
could change hands for an estimated $51,400.
Mr. Givens: Nothing on Markham St. can
be worth that.
Mr. Lewis: Can be worth that? Well, as
a matter of fact, I wandered down Markham
St. to Ed's Markham St. "Village" just a
couple of weekends ago, and it struck me
that obviously the whole character is chang-
ing. Now you can get a house for—
Mr. Givens: That's north Markham St.
Mr. Lewis: That's north Markham St.
No. 10 Metcalfe St.— now mark this; this
is in Don Vale, in that area which we
assumed would be preserved for low- and
middle-income earners. In 1965 the house
sold for $7,500— again, it is a very low
number on Metcalfe-in 1966 for $9,203; in
November, 1972, for $31,500; in March,
1973, for $61,000-these are actual sales-
and estimated value in February, 1974, was
$79,200.
Mr. P. D. Lawlor (Lakeshore): What a
government!
128
ONTARIO LEGISLATURE
Mr. Lewis: Low-income, middle-income
housing!
Mr. M. Gaunt (Huron-Bruce): I tell you,
that's even more than for chicken.
Mr. Lewis: Well, even the member for
Huron-Bruce would have to sell two or three
turkeys for that kind of down payment, Mr.
Speaker.
No. 32 Strathcona Ave. in the riding
of my colleague from Riverdale; he can tell
you it's part of a riding that should be
low- and middle-income housing— in 1964
the house— again a number very low on
Strathcona, on the even side of the street-
sold for $11,000; May, 1972, $26,900; March,
1973, just a small jump, relatively speaking,
$29,900. It is now estimated for sale at
$38,800.
In East York, so that no borough is
exempt, in the 400 block in East York—
1964, $25,500; May, 1972, $42,000; May,
1973, $50,000-these are sales-February,
1974, estimated value, $60,000.
Then we come to Scarborough, the pro-
vincial riding of Scarborough Centre, the
federal riding of Scarborough West, and a
home on Brenda Cres., in the area of the
100 block— again it's a reasonable lower-
middle-income area. In 1963 the house sold
for $14,500; 1967, $18,000; March, 1973,
$36,300; February, 1974, $47,100.
Willowdale, North York, between Bayview
and Yonge, north of Sheppard, one of the
lower middle-income groups in that part of
xMetro: in 1965 the house was valued at
$15,700; in 1966 it sold for $18,500 and in
1967 for $21,900. Then we move into the
William Davis period again-April, 1973,
$40,000; February, 1974, $50,000.
I see the chagrin on the face of the Min-
ister of Energy so I will talk about the Darcy
McKeough era. I don't want him to feel
neglected.
Hon. W. D. McKeough (Minister of En-
ergy): I was Minister of Housing before that.
Mr. Lewis: No. 145 Niagara St.-remem-
ber that property, because I want to bear
reference to it at the end-in 1966 it sold for
$9,500; January, 1973, $21,000; May, 1973,
$25,600; February, 1974, $30,500.
And one last house, on Laurier Ave., a
low number on Laurier, north of Wellesley
and east of Parliament, again in what would
seem to be the eventual preserve of lower
middle class housing— lower middle income
housinfT is a much more appropriate way of
puttin;^ it-1964, $9,700; 1967, $15,400; in
the Davis-McKeough regime in May, 1973,
$63,500 and estimated in February, 1974 at
$75,700.
Mr. Speaker, the acceleration, the unbe-
lievable increase in the cost of housing and
the cost of land, has occurred right at the
heart of this Premier's incumbency, right at
the heart of this government, of the govern-
ment now in power, over the last two years.
That's when all hell has broken loose. That's
when everything is out of sight.
I think I must have read the accounting of
a dozen of them. In all of these homes only
one, Mr. Speaker, can any longer be con-
sidered available for low-income housing.
And that's 145 Niagara St. at $30,500. Be-
fore anybody rushes out to purchase it, let
me tell you that it lies downwind of To-
ronto Refineries and Smelters Ltd. And that's
why it's still $30,000. But everything else is
not.
I think this random cross-section sampling
means very simply and very accurately that
all of the housing in the 1960's that we as-
sumed would be available for low-income
families and for middle-income families is now
completely out of range, courtesy this govern-
ment in the last three years.
Let me tell you something more about what
I choose to call the William Davis years or
the era of this cabinet, this incumbency. In
the city of Hamilton, the increase in the cost
of housing from 1967 to 1972 was 17.4 per
cent. In the last two years, Mr. Speaker, it has
jumped by another 22.5 per cent. In the city
of Ottawa from 1969 to 1972 the increase was
18.4 per cent. In the last two years it has
jumped another 23.5 per cent. In the city of
Kitchener from 1969 to 1972 the increase
was only 2.5 per cent. In the last two years,
reaUy in 18 months, it has jumped by 28 per
cent. In the city of Windsor the increase from
1969 to 1972 was 7.7 per cent. In the last
two years it has jumped by 27.2 per cent. In
London from 1969 to 1972 it was only about
20 per cent. In the last 18 months to two years
it has jumped to 29 per cent.
The housing market has collapsed or sky-
rocketed, however one wishes to view it, in
the Province of Ontario, firmly within this
regime, firmly within the period where we
have played games with housing, where the
Tories have appointed one minister after an-
other who've seen it more as a sinecure than
as a stewardship. This has happened in every
single community that we scrupulously look-
ed at, Mr. Speaker.
In Peterborough the price of a new home
has jumped from $26,000 to $32,000, a 23
MARCH 11, 1974
129
per cent increase. In Stratford from $22,600
in the spring of 1973 to $28,000 in Septem-
ber.
In July, 1973, the price of a new three-
bedroom bungalow in Thunder Bay was $32,-
500, $10,000 more than similar accommoda-
tion in Winnipeg. A vacant lot with a 50-foot
frontage in Thunder Bay sells for $12,000.
Headway Corp. is the prime developer. In-
cidentally, Headway Corp. for the first nine
months of 1973, over a similar period in
1972, had an increase in profit of 126 per
cent.
For the Niagara region housing is going up
in identical fashion and the same in Guelph
and the same in Brantford.
In Kitchener- Waterloo, listen to what has
happened to lot prices. In 1963 a 50-foot
serviced lot cost $3,500. In 1968 the same lot
sold for $5,750. In 1973 the same lot sold
for $11,000.
You know, Mr. Speaker, one can only stand
for so much of that kind of thing. Everything
has gone out of control in the last 18 months
and there's not a single policy initiative,
there's not a single tittle of evidence that the
government intends to do anything about it.
It is not just the housing costs, the land costs;
everything now is beyond the range of low-
and middle-income earners. The vacancy rates
for apartment dwellers are reaching levels
which suggest that one just won't be able to
find an apartment to live in in this province in
18 months from now when the government's
tenure is up for public accountabiMty again.
The apartment vacancy rates for major cen-
tres in Ontario are, as we have been able to
find them— the most recent figures for Decem-
ber 1973 to January 1974-2.2 per cent in
Hamilton; 3.6 per cent in Kitchener; 1.9 per
cent in Ottawa; 1.4 per cent in Toronto; 1.9
per cent in Windsor and 9/lOths of one per
cent in Thunder Bay, the lowest apartment
vacancy rate in Canada.
Let me say, Mr. Speaker, that any vacancy
rate below four per cent means tremendous
pressure on the upward spiralling of rents and
cannot really be tolerated. The costs of in-
dividual apartments are something that some
of mv colleagues will deal with in later
speeches.
Let me tell you, Mr. Speaker, of what
some of these development companies are
making while aU of this is occurring.
Bramalea Consolidated: For the year ended
November, 1973, over November, 1972, Con-
solidated's profits went up 66.2 per cent.
Cadillac Development: For the year ended
Sept. 30, 1973, over 1972, Cadillac's profits
went up 57.5 per cent.
Caledon Mountain Estates— do you remem-
ber that little company that was so active on
the Niagara Escarpment-
Mr. R. F. Nixon (Leader of the Opposi-
tion): Some of our best friends.
Mr. Lewis: —to whom we paid such ex-
travagant amounts of money to purchase a
few hundred acres of escarpment land?
Caledon Mountain Estates is not doing badly
by it all. For the year ending Feb. 28, 1973
over the previous year, its profits were up
89.7 per cent. Campeau Corp., for the nine
months ending Sept. 30, 1973 over 1972 its
profits were up 44 per cent. Headway Corp.,
for the year ending Aug. 31, 1973 over 1972,
profits were up 39.8 per cent. Markborough
Properties, for the year ended Oct. 31, 1973
over 1972, had an increase of 515 per cent
in profits.
So here you have the picture. You have in
the Province of Ontario, in the city of Toronto
alone, housing prices escalating during this
Premier's stewardship by 56 per cent; prices
right across the board escalating 20, 30, 40
per cent in towns and cities all over Ontario
in the last 18 months; the same true of the
cost of land, indeed more exorbitant in prices;
the apartment vacancy rate declining; the
profits of the major land development com-
panies and those who do the building, in-
creasing at an unconscionable level— and I've
not dealt with the rate of return on Invest-
ment, but that is equally out of line. So
finally we have, Mr. Speaker, a new Minister
of Housing— a new Minister of Housing whose
first speech says, and I quote him into the
record:
My ministry believes the situation can be
greatly improved by increasing the supply
of serviced land and changing the income
mix for new housing. The capacity to
make these changes is within our reach if
we receive the co-operation of local govern-
ment and developers. One aspect I'm
quickly perceiving is that our goals within
the ministry and the goals within the
private sector, and this certainly includes
the real estate profession, are to a great
degree the same.
Well there it is as firm from the Minister of
Housing as it has ever been stated, I will say
that for the member for Carleton. The mem-
ber for Carleton doesn't even dissemble about
his loyalty. The member for Carleton says the
unlovely alliance, the special relationship, the
favoured rapprochement, between the gov-
130
ONTARIO LEGISLATURE
eminent and the building industry shall con-
tinue—and what's more, "I'll stimulate it." He
even says: "For we all have a responsibility,
both professionally and morally, to do all we
can to assist in the housing needs of the
people, the families living in this province."
Well, you find me a developer, Mr. Speaker,
who has a moral obligation to provide hous-
ing. You show me this creature. You bring
Bramalea Consolidated or Cadillac Develop-
ment or Markborough Properties or Headway
Corporation before the bar of the House, or
before a committee of the Legislature and
ask them about their moral responsibilities for
provision of housing.
What kind of nonsense is this? They are in
this game for profits. Every penny of profit
they can extract, whether by virtue of public
accessibility or by virtue of the private hous-
ing market.
And you know, that's the nature of the
free enterprise system, they are presumably
entitled to it. But not unconscionable profits.
Not profits that exceed a return on investment
that everyone would regard as unreasonable.
Not profits that make it impossible for us to
sell homes to low-income and middle-income
families across the Province of Ontario. The
reahty is that the Minister of Housing made
his peace vdth the private development in-
dustry the moment he assumed his portfolio.
Mr. M. Cassidy (Ottawa Centre): He sold
out.
Mr. Lewis: He leaped into their arms as
soon as he had taken the official oath. I may
say, the Minister of Housing leaping into the
arms of Bramalea Consohdated is a picture
to conjecture with. Presumably this afternoon
he's streaking his way to Markborough— and
anyone else who will have him.
The reality is that not a one of the mem-
bers over there on the Tory side is prepared
to do in the housing field what is required
to be done. And if I may say to my friend,
the member for Brant, I don't think the
Liberal Party is ready either to do the only
thing, the only thing that can conceivably
rescue the present housing situation.
In this situation, Mr. Speaker, there is a
sine qua non. There is a basic policy position
which must be accepted before anything else
can happen. And that policy position involves
massive public acquisition of urban land for
housing development.
To chronicle, as I have chronicled the
injustice, is not nearly enough. To chronicle,
as the Leader of the Opposition did the
foreign ownership of certain properties in
downtown Toronto, is not nearly enough. As
a matter of fact, to leave out the Four
Seasons-Sheraton owned by IT&T is an over-
sight that is quite beyond belief. That stands
at the head of our list. And I won't tell you
which hst.
Mr. R. F. Ruston (Essex-Kent): That is
where the NDP held its convention.
Mr. Lewis: Never again, I will tell tHe
members.
Mr. J. R. Breithaupt (Kitchener): Is that
why?
Mr. Lewis: But that is not enough. To talk
of taxes— which I'll do in a moment— is not
enough. What is required is that the govern-
ment of the Province of Ontario goes out
and buys a suflBcient percentage of the land
adjacent to the 20 major urban centres in
Ontario to bring the housing market within
the bounds of availability. It buys the land,
then it leases it on a long-term basis and on
that land you build homes— whether one
builds them through the Ontario Housing
Corp., or whether one builds them through
the private sector.
And don't play the pathetic games that are
played by the Comay report, which reinforced
all the prejudices about the private sector
which are now so fashionable. The report
which said we should acquire something like
10 per cent of the 300,000 acres over a 20-
year period.
Acquire something like 50 per cent of the
300,000 acres. Get 80 per cent or 90 per cent
of it back from the federal government. Make
that kind of social investment for the people
of Ontario. Then, finally, provide homes for
low-income and middle-income earners.
Otherwise there is not a solution; otherwise
everything el^ is so much claptrap, because
nothing will change.
That alone, taking that land, presumably
from major developers and speculators, won't
do it either. Incidentally, Mr. Speaker, we
would take it for the original purchase price,
plus holding costs and not a penny more.
Even if the government takes that land from
the original speculators or developers, that
isn't enough. The land which is held by the
remainder, the other 150,000 acres of which
Comay talked, has to be under so much tax
pressure that there will be an immediate in-
centive to provide it for the public sector
or for the provision of housing.
That doesn't mean some vague, graduated
income tax. That means capital gains at 75
per cent of value minimum so that there is a
tremendous inducement to part with that
MARCH 11, 1974
131
land. When the pubhc sector owns half of it
and puts a 75 per cent capital gains on the
other half, finally we will begin to get hous-
ing built in the Province of Ontario at a cost
which famihes can' afford.
Mr. Speaker, there is no use playing games
with it any longer. I want to make another
point. In the last 18 months of the Premier-
ship of this province, of the tenure of this
government, of this cabinet, housing has be-
come an investment in this province; an in-
vestment in the most pernicious description
of the word. Housing has become an altern-
ative to the stock market for a great many
people, and the unconscionable profits on
housing as an investment should be removed.
They should be removed in much the same
way as we set up an Ontario Securities Com-
mission to avoid insider trading on the stock
market. We set up some kind of housing and
land transactions commission to avoid the
kind of insider trading and the kind of fast
profit which is made on the buying and: sell-
ing of homes— they call it white painting of
homes, I think— in some of the downtovm
areas of urban centres. They buy at $20,000
and refurbish and sell it for $40,000 or
$50,000 within the next month or two.
iMr. Speaker, in the process of looking at
individual houses and the amazing shift in
values with each transaction over the last few
year, we, within the caucus research dtepart-
ment, came across a number of cases in
certain communities which were so incredible
that I'm afraid to use them. We are going
back to check on them to see whether it is
possible. There are cases of profits of 100,
150 and 200 per cent turned' over on houses
bought and sold within the same month.
There are things happening in Ontario, with
the use of housing as an investment, that
simply can't be permitted.
One can't play that way with what is a
social need and a social right. Maybe one
can do it where people are volimtarily taking
a risk, but one doesn't do it when dealing
with a social right, a social obligation, that
the government is obliged to provide.
We will present those figureis to the House,
Mr. Speaker, but I must say that I was so
thrown when they were given to me, particu-
larly in one or two communities in Ontario,
that we have asked them to be checked yet
again, although I suspect they are entirely
accurate.
We are also going to have to look at the
reduction of growth in southern urban cen-
tres because of what is happening to com-
munities from Barrie to Peterborough— Barrie,
Orillia, Peterborough. There is more infor-
mation on them but one needn't put every-
thing on the record simultaneously. What's
happening is that the people who live in
those communities — and some members live
in them; they know the little communities
that lie just east of Metropolitan Toronto;
they know what is happening in their own
bailiwicks— the people who live in those little
communities are being forced out of their
own homes because of the pressure of Metro-
politan Toronto. That, too, is not tolerable.
As a matter of fact— I guess this is in the
riding of my colleague from York South— the
Cobourg Star, on Feb. 27, carried an article
on the front page and a most extraordinary
map or chart inside. The headline in the
paper reads: "Most of Lakeshore Land
Owned by Non-Residents". These are not
non-residents in a multinational sense. These
are non-residents of Cobourg, Port Hope and
the area, but residents of Toronto, residents
of Oshawa and residents of other major
southwestern Ontario centres, systematically
going into the hinterland and buying up all
the most desirable land for speculative pur-
poses, for the worst kinds of greed and
acquisitiveness, to turn a fast profit at the
expense of the people who have inhabited
those parts of the province for generations.
The pressure that Toronto is exerting right
now all the way out to Stratford in the west
and all the way out to Peterborough in the
east is something that has to be brought
under control, even if it means pretty fierce
controls on matters of location of industry
and economic growth.
The more I see what is happening to
housing the more I am persuaded that Uiose
of us who feel that the airport is madness
have been right all along and that North
Pickering is the atrocity we've all thought it
to be, because what we are doing is simply
enhancing the land values and the speculative
gains in a way which cannot be defended.
Finally, Mr. Speaker, in basic housing
policy there must clearly be mortgages pro-
vided provincially through the Province of
Ontario Savings Offices, with an effective rate
of six per cent which would be arranged
through the tax credit, the easiest and most
equitable way of arranging for that kind of
interest rate for houses.
If we did all those things, Mr. Speaker;
if we reduced the pressures of growth in
Metro; if we brought in mortgages from the
Ontario Savings Offices; if we reduced inter-
est rates to six per cent by using tax credits;
if we put a capital gains tax at 75 per cent
on all speculative land acquisition; if we
set up some kind of commission in Ontario
132
ONTARIO LEGISLATURE
which would look into housing as an invest-
ment to avoid the insider trading and the
unconscionable profits; if we purchased in
the public domain 50 per cent of the land
of which the Comay report talked adjacent
to the 20 urban centres— then we would have
a housing policy worthy of the name in this
province.
Short of that, everything is unacceptable!
Short of that, the Minister of Housing has
dressed himself in ashes and sackcloth and
prostrated himself before the development
industry. Short of that, Mr. Speaker, the
pattern of the William Davis era will simply
accelerate, and an ever greater percentage
of people in this province will be denied the
right to shelter by the way in which this
government refuses to come to terms with a
system which is so discriminatory and pre-
judicial to the mass of the people in this
province.
Mr. Speaker, what is true of housing is
true equally of food, and that's what makes
the Throne Speech again such an inadequate
document.
If you think that I am going into detail
on the cost of living, Mr. Speaker, you ain't
heard nothing yet, because the NDP is stak-
ing much of its ground, as we always have,
on the question of a fairer deal for the people
of this province in dealing with inflation.
We have a pretty strong declaration of faith
where that is concerned, because we happen
to beheve that it can be brought under con-
trol and are going to take measures to do so.
Let me tell you about the William Davis
years in the food industry, Mr. Speaker. In
the same three-year period since the present
incumbent took his seat— and the Premier is
simply symbolic of the Conservative govern-
ment, I don't know how else to characterize
him— let me take the choice commodities for
you; well, not choice but representative com-
modities in the food section. Let me tell you
what has happened to prices from the middle
of 1971— to be exact August, 1971; several
months after William Davis became Premier
—right through to March of 1974. I'll give it
to you for the Metropolitan Toronto area and
point out to you, sir, that the discrepancies
with other regions of the province, particu-
larly east and north, are very great, but
regional disparities are something some of
mv colleagues will deal with more specifi-
cally.
For Metropolitan Toronto in August, 1971,
a quart of milk cost 32 cents; in March, 1974,
it cost 36 cents for an increase of 12.5
per cent. A pound of butter was 57 cents in
1971 and 79 cents in 1974, 3.6 per cent
increase. A dozen grade A large eggs cost 41
cents in 1971 and 90 cents in 1974, an in-
crease of 119.5 per cent, a pound of bacon
70 cents in 1971, $1.15 in 1974, an increase
of 63.4 per cent.
A pound of sirloin steak cost $1.36 in 1971,
$1.78 in 1974-30.9 per cent. A 24 oz. loaf of
bread; 32 cents in 1971, 41 cents in March
of 1974— a 28 per cent increase. A can of
vegetable soup, 14 oz. can; 18 cents in 1971,
23 cents in 1974— a 27.8 per cent increase. A
can of corn, 14 oz; 22 cents in 1971, 28 cents
in 1974—27.4 per cent increase. Five pounds
of potatoes; 35 cents in 1971, 85 cents in
1974— an increase of 142.9 per cent.
Mr. Speaker, I think that milk, butter,
eggs, bacon, steak, bread, vegetable soup, as
a representative item of canned goods, com,
as a representative item of carmed goods,
potatoes as a staple which is pretty widely
in use, represent a not bad example of the
kinds of things on which families are depen-
dent. I want to point out to you, Mr. Speaker,
that that means on the average those com-
modities have increased, in the William
Davis era, some 55 per cent in cost in 2%
years— 55 per cent.
As a matter of fact there is something quite
interesting in that, an increase of 56 per cent
in housing and 55 per cent in food. And you
know, just while the figures are in my mind,
housing and food constitute on the average
56 per cent of the total family budgetary
expenditure. So you can see what has been
achieved by this government in the last 2%
to three years. It is in its own way the
strongest possible indictment of this govern-
ment that can be found. In the world of in-
flation they are the delinquents.
Just so I wouldn't seem to be unduly
unfair, because I am using selected figures,
the Premier and his cabinet use a diflperent
measure of tabulation. They use what is
called the Ontario Food Council market bas-
ket, and the market basket contains a great
many more items than those I have desig-
nated and many of them have not increased
at the same rate. But let me just simply tell
you, Mr. Speaker, that the market basket was
valued in February of 1971 at $56.33, and
in February of 1974 it was up to $77.81,
which is an increase of over 38 per cent in
the government's own carefully-monitored
Ontario Food Council market basket. And
again that is an increase of roughly 13 per
cent a year, which outstrips the cost of living
in other areas and which obviously most
families simply can't handle.
I want to say a word about sugar prices
too, because I think it is time we talked in
MARCH 11, 1974
133
no-nonsense terms to the government about
some of these things. Prior to the smnmer of
1973, sugar in Ontario was costing eight to
10 cents a pound. In September to October,
1973, it went up to 15.4 cents a pound. On
Jan. 1, 1974, it was up to 21.6 cents a
pound. At Feb. 19, 1974, it was up to 30.8
cents a pound.
I would like the government of Ontario to
inquire into the behaviour of the sugar in-
dustry in this kind of acceleration of prices.
We are the last people in the world to deny
the workers in the industry a legitimate wage,
and if I thought that the increase in prices
had anything to do with an increase in' wages
then we would applaud it, but in fact the
increase in prices looks suspiciously like
control by a cartel. It harks back to the point
being made by my colleague from Wentworth
the other day in question period about the
possible cartel activities of the supermarket
chains, and it's time that the Province of
Ontario launched the kind of inquiry that
would bring the facts to public view.
We would also like the same kind of in-
vestigation of the bread indtistry and what is
happening within the bakeries; and we would
also like to provide to the farmers, through
the Ontario Milk Marketing Board, the in-
crease per quart which they are going to re-
quire this summer— presumably about three
cents on a quart of milk— but we would like
very much to have the profits of the major
dairies examined by a committee of this
Legislature. But more of that in a moment.
Having set out some of those items, Mr.
Speaker, let me tell you a little bit about
what has happened to real wages and real
purchasing power. Something has happened
in the most recent part of the tenure of the
Premier and his colleagues that we couldn't
find another parallel for since the Second
World War. Now, probably there is a parallel
since the Second World War and I presume
you will be able to trot it out, but we couldn't
find it.
What has happened is that when you cor-
rect the average wages and salaries for the
effects of inflation, the average wages and sal-
aries in the last six months of 1973 have ac-
tually been declining. Now that is absolutely
unprecedented. Absohitely without precedent,
certainly I guess in the last several years— I
had better be more cautious; I get carried
away when I hear ministers of the Crovm
comparing things with the Commonwealth
and the world, so I am given to hyperbole
myself— within the last several years, it is
clearly without precedent, and I am not sure
you can find one, that the actual wages and
salaries, corrected for inflation, are in a state
of serious decline.
Let me tell you the figures, because they
are really interesting when you compare them
to the costs of food and the costs of housing.
In January of 1973 the average wage and
salary was $161.42; if that figure can stick in
the head of Treasury Board's mind, $161.42.
Now, in July of 1973, when you correct the
average weekly wage for inflation, the value
is $157.11. In August, $156.35; in September,
$150.10; in October, $158.76; in November,
$157.96; in December, $152.24-a drop in
actual buying power per weekly wage of
something like $9.18 over the valtie of the
wage in January of 1973 and its effective
value according to the price indexes in
December of 1973.
That's absolutely fantastic! A drop in one
year of the equivalent of between $400 and
$500 of real purchasing power as measured at
the end of the year compared to the be-
girming, and there is no reason to believe that
pattern has changed; and it's the first time!
Again, when we worked out the price index,
the average wages and salaries, the correction
for inflation and the change in real buying
power, we had to chesck it out several times,
because in all of the analyses of such figures
it's really hard to find any other example.
We couldn't; and what that means is that
at precisely the moment when all hell's break-
ing loose in the inflationary spiral, the real
value of wages and salaries is declining in
absolute dollar terms and that's why there is
such public furore about it. Obviously the
public doesn't understand it in that way. They
don't look at price indexes. But it's worth the
Legislature understanding it in that way.
Now at the same time that's happening to
wages, let me tell members about profits.
Profits in 1971 represented 9.6 per cent of
the gross provincial product. In the third
quarter of 1973 they represented' 12.4 per
cent.
Let me tell members about interest rates.
They represented 4.1 per cent of the gross
provincial product in the third quarter of
1973, the highest that has ever been noted in
the history of commercial interest rates. In
terms of salaries and wages, as a percentage
of gross provincial product, they declined
from 55 per cent to 53.5 per cent in the same
period.
The Chairman of Management Board will
know that those are statistically significant
computations, because they again demonstrate
that it is the real wages and salaries which
are clobbered as the pricesi and the profits
and the interest rates continue upwards.
134
ONTARIO LEGISLATURE
It's all happening here in the Province of
Ontario, without the slightest initiative from
the government of Ontario. Well, it has been
off me hook long enough; it's time we joined
battle. Perhaps it can be put in another con-
text.
Mr. Stokes: They don't even underetand.
Mr. I. Deans (Wentworth): They don't
even have the decency to come and try to
find out.
Mr. Lewis: The task force on social security
of the Canadian Council of Social Develop-
ment-
Mr. Stokes: One cabinet minister has the
courtesy to sit and listen.
Mr. Deans: One and a half.
Mr. Lewis: I don't begrudge that. The Pre-
mier and the Minister of Education, I suspect,
are out in York county and I don't begrudge
them that. I would have thought all the
others would be here, but apparently not.
Hon. Mr. Winkler: I issued the invita-
tions.
Mr. Lewis: The Canadian Council on Social
Development, in computing a new poverty
line for this country and this province, sug-
gested a median income of half the average
annual income. That would be a poverty line.
It seems to me to be a little unfriendly to
those who are impoverished but that's what
they've taken.
If one does take, not for the country but
for the Province of Ontario, half the amount
of the average family income on the last fig-
ures available, which were in 1971, the pov-
erty line for— I guess it would be the average
family— husband, wife and two kids, is $5,742.
If one applies that poverty line to the Prov-
ince of Ontario, 19.9 per cent— 20 per cent—
of the people in this province are even now
living below the poverty line set in 1971.
There isn't the slightest suggestion that it's
changed. Between 60 per cent and 70 per
cent of the families in this province he below
the average median income in Ontario which
at that time was $11,483. I ask the members
how, in God's name, they're supposed to cope
with the incredible upsurge in prices during
this Premier's era.
During that era, which will be known with
a certain infamy in days to come, the friends
of the government— and I mean that in an en-
tirely generous and descriptive way— the
ideological friends of the government, the cor-
porations which share the government's view
of the way this system should work, have not
been quite so oppressed. Their values are not
declining in real dollar terms and let it be put
on the record, I guess for the first time, ex-
phcitly; I once did part of it many months
ago at a press conference.
For the nine months ending Sept. 30, 1973,
Burns Foods profits were up 22 per cent. For
the six months ending Oct. 30, 1973, over
the same period in the previous year, Beck-
er's was up 57 per cent. For the 39 weeks
ending Dec. 29, 1973, Canada Packers was up
40 per cent. For the year ending Dec. 30,
1973, Canada Safeway was up 41 per cent.
For the year ending May 30, 1973, over the
same period the year before, Canadian Can-
ners was up 69 per cent. Dominion Dairies,
for the nine months ending Sept. 29, 1973,
over 1972, was up 46 per cent. Dominion
Stores, for the 39 weeks ending Dec. 15, 1973,
over 1972, was up 13 per cent.
Let me tell members what the analysts say
about Dominion Stores. They see a much bet-
ter prospect for food stocks for a number of
reasons: less intense competition, improved
productivity and inflation. Rising costs of
goods can be passed on to the consumer, in
addition. Where the price of a case of goods
rises by a fraction of a cent for each unit, the
unit price is often increased by a full cent.
These are the formal analysts looking at the
market potential for one of the supermarket
chains; reaflBrming again, not the kind of non-
sense that comes from the Minister of Con-
sumer and Commercial Relations, who has
opted out entirely in his public responsibility
to do something about prices and inflation,
but indicating support for the kind of position
taken by members of the NDP caucus and put
again by the member for Wentworth last
week that something has to be done about
the way in which the supermarket com-
panies are manipulating prices and goug-
ing the consumer in this province. And this
government can't sit interminably by and
leave it to Beryl Plumptre, because that's a
dance of absurdity— and everyone in this
House knows it.
General Foods up 11.5 per cent for the
year ending March 31, 1973. General Bak-
eries, for the six months ending Oct. 6, 1973,
is up 232 per cent. M. Loeb Co. Ltd., for the
40 weeks ending Nov. 30, 1973, over the
same period the year before, is up 70 per cent.
Maple Leaf Mills— I'm beginning to under-
stand why we have to increase the cost of a
loaf of bread— for the nine months ending
Sept. 30, 1973, up 147 per cent. Nestle Co.
of Canada, for the full year, up 93 per cent.
Oshawa Group IGA, up 11.8 per cent— and
MARCH 11, 1974
135
on net profit volume that's one hell of an
increase. Schneider's Ltd., for the 40 weeks
ending Aug. 4, 1973, over the similar period
the year before, up 67 per cent. Silver-
wood Industries Ltd., for the 36 weeks end-
ing Sept. 9, 1973, up 88.9 per cent.
Steinberg's Ltd., up 11.7 per cent. And
you know, the major factor in the increase
for Steinberg's— which, incidentally, went up
14 per cent on sales, 11 per cent on income
after taxes; all of these figures are after taxes
—the largest contributor to the income was
the food store operations primarily in the
Ottawa Valley.
It is a tremendously lucrative business now
and the turnover has them laughing all the
way to the deposit box, while the Province
of Ontario wrings its hands and holds bogus
food conferences in September of 1973.
George Weston Co., that made so much
clamour about the need for the increase in
the cost of bread, for the year ended Dec. 31,
1973, profits up 86.4 per cent.
Mr. Deans: Disgusting.
Mr. Lewis: Now, I'll tell you, this govern-
ment is letting the corporations in Ontario get
away with murder going around gouging
profits and with their increases in prices. It's
time the government put its foot down. Stop
playing patsy for them all; stop playing patsy
for them all. This government can only allow
the consumer to be taken advantage of for so
long before it's joined issue with— and con-
sider this the joining of issue. We've talked
to this government in a hundred different
ways about what it might do, but now we're
going to make specific proposals and press
the government every step of the way. Some
of the proposals will echo what we've said.
Some of them will be, in some sense, new.
Let me just remind you that in Delhi, I
guess it was, the Premier said, quote:
The federal government must make a
greater efi^ort to control inflation, the most
pressing problem facing the country today.
Mr. Speaker, something has to be said very
specifically about this. We believe, as a pro-
vincial party in Ontario, that the responsibil-
ity for the control, of containment, of prices
and profits is a provincial responsibility first
and foremost— and, in constitutional terms,
that's absolutely clear. In constitutional terms,
property and civil rights gives to the provin-
cial government the right to do something
about prices.
The federal government can argue, in an
emergency period, under the peace, order and
good government clause, constitutionally, but
otherwise what the federal government does
it chooses to do because it accepts a certain
moral responsibility for pricing pohcy in
national terms. And who would deny them
that? But if the federal government is de-
linquent, if the federal government abdicates
basic responsibility, then it is clearly both the
prerogative and the obligation of the province
to enter the pricing and profit picture. As a
matter of fact, the pricing picture in provin-
cial rights terms was demonstrated in the
Home Oil, I guess it was, decision in 1940.
It is very clear in the legal context and
constitutional context that the Province of
Ontario would have no diflBculty whatsoever
were it willing to move in on this field.
What is happening, as I will show you, Mr.
Speaker, in a moment, is that in the Provinces
of Manitoba, Saskatchewan and British
Columbia where you have NDP governments
there are now serious initiatives in the fields
of pricing policy. They are obviously not
prepared to abandon to the federal govern-
ment the whole range of prerogative over
prices and profits. That is of some conse-
quence, because very soon those provinces
are going to be able to demonstrate what we
have wished for the world we could demon-
strate in Ontario, that this government has
the muscle and the capacity to do it. And
when it refuses to do it here, it is not that
it is collaborating in some national policy.
There is no national policy, except for the
subsidy on bread and milk and wheat. Except
for some occasional and capricious pro-
grammes around oil prices and the security
of energy supply, there is no national policy.
This government knows it. And it further
knows that constitutionally it has the right to
move in. If the people of Ontario are looking
for someone to blame for the cost of living
and for inflation, thai they can look right
here, because it is easfly discernible when
you look at the policies, or the absence of
policies, of this government.
Back in Charlottetown in August, 1973,
the Premier said he'd call in the supermarket
heads for a discussion of pricing policy. I
remind the House that nothing has hap-
pened. He said at that time, and I quote
him: "Some of the food chains were quite
irresponsible." If a Premier of a province
thinks that food chains are irresponsible,
where the devil is he? What happened
between Aug. 10, 1973, and March, 1974?
At the Ontario food conference on Sept.
18, 1973, do you remember the promises of
the Minister of Consumer and Commercial
Relations? Let me list them for you, Mr.
136
ONTARIO LEGISLATURE
Speaker. He promised, number 1, a business
practices Act to prohibit unfair and de-
ceptive practices. Not a word heard of it!
It isn't in the House yet. After seven
months, where is it? Number 2, he promised,
that the courts be given power to rule on
what was an unconscionable profit. Where
is it? Where is the legislation that would
give the courts that right?
Number 3, he would explore cease and
desist orders in case of unconscionable price
increases. Where is the legislation? Where
is even the public discussion. Number 4, he
would arm the government with authority
to act against food hoarding, speculating,
profiteering and fraud. Where is that material?
Number 5, he would monitor regional price
disparities. I have yet to see a single regional
iprice disparity document tabled in this
House.
As a matter of fact it was the Minister
of Consumer and Commercial Relations who
said, if the public has the facts and acts on
them, the powerful forces of the marketplace
can be brought to bear on any inequities or
anomalies that arise. There is the old free
enterprise fetish. Like the member for
Carleton in the housing market, so is the
member for Niagara Falls in the food sector.
We will leave it to the market to do the
job. Well, they are certainly doing a job—
55 per cent in 30 months of the Davis era. No
group of corporations have profited so
lavishly from the abdication of government
as those in the food and development in-
dustry here in the Province of Ontario.
Let me suggest to you a series of policies,
Mr. Speaker. Number 1, get the facts. And
the facts require a rigorous monitoring and
exposure of all of the prices in selected
communities across the Province of Ontario.
In the Province of Manitoba they have a
price monitoring system for northern
Manitoba. They select a whole range of
communities for assessment. They take into
consideration such factors as modes of trans-
portation, the number of retail outlets,
sources of supplies and co-operation of local
community councils. They compare them to
the prices prevailing in Winnipeg at the
time. Those are now published documents.
Gradually it's becoming apparent to the
people of Manitoba where the disparities
exist, and the pressures are so great because
the embarrassment is so acute as some of
these northern communities reveal what they
are paying for basic goods, that they are
correcting themselves internally even in ad-
vance of the likely legislation.
But more important than that, Mr. Speaker,
in the getting of the facts we need a month-
ly report of price spreads from the farm gate
to the checkout counter, and let that be
a matter of straight public policy and public
accessibility. Can you imagine if the con-
sumer of Ontario saw what was received at
the farm gate in any one of the whole range
of commodities and what was paid at the
checkout counter? There would be a public
outcry that this government could not resist
and the middle man and the supermarkets,
who have taken off the extravagant profits,
wouldn't last very long, I'll tell you.
Two, we need a prices review tribunal
in this province— a prices and profits review
tribunal really— so tough and so unrelenting
that it could roll back any price that was il-
legitimate, would have the power to com-
mand witnesses and balance sheets, and have
the power to make public the various com-
ponents that go into the prices charged by
various sectors of the economy. Mr. Speaker,
I say, as we have said before, roll back one
price in Ontario; just one price, once. Just
do it once. Try it, you'll like it; it won't hurt
you. Roll back one price and the effect will
be so instantaneous and dramatic right across
the province in all the other sectors the
people of Ontario will suddenly believe that
maybe inflation can be controlled, that may-
be it is possible to come to grips with the
cost of living. But the government's refusal
ever to move in, even on one unconscionable
price, is a sort of commentary on its social
philosophy, its refusal to intrude on the
private sector.
Three, Mr. Speaker, we need an excess
profits tax badly in this province, in the
whole food industry and in related industries.
We need an excess profits tax that arrives
by learned consensus— representatives of the
industry, representatives of goverrmient— oh
what is a fair rate of return on investment
after taxes and then beyond that rate of re-
turn the profits are taxed at very high levels.
Then we would begin to have another dis-
incentive for accumulating such profits.
Four, Mr. Speaker, we need immediate cor-
rective action for a guaranteed annual in-
come, especially for senior citizens, and it
has to work at the level of $225 a month
minimum, plus all of the ancillary benefits,
the cost of living factor, the tax credits and
so on.
Finally, Mr. Speaker, we need to solve our
supply problems and that's going to mean an
agricultural policy which talks about support
for the family farm, something that was no-
where mentioned in the budget, as well as a
MARCH 11, 1974
137
I
retreat from the present governmental obses-
sion with turning as many farms into con-
crete as they possibly can.
I met Gordon Hill, the president of the
Ontario Federation of Agricultural, at a pro-
vincial council meeting this last weekend
when he was speaking on the Amprior dam
to the NDP members of council to an emer-
gency resolution which we'd passed. I talked
with him quietly about the government's
decision on the Sarnia-to-Montreal pipeline.
I was assured by Mr. Hill, and I don't think
I misquote him, that despite what the govern-
ment said about the OFA being interested
primarily in compensation, what the Onario
Federation of Agriculture is arguing for—
and with enormous justice, in many ways-
is that the whole route should be through the
north and should be within Canada— that
the entire route should be within the Cana-
dian north— and that the disruption to farm-
land will in fact be very severe and that
they are not to be fobbed off with simple
references to compensation. That's an un-
deserving slap at the Ontario Federation of
Agriculture and a very gratuitous crack that
was contained in the announcement made
by the Provincial Secretary for Resources
Development.
Mr. Speaker, there is one other way of
measuring the William Davis years in terms
of inflation which is immediately apparent.
There are many, many other items we can
look at, but just let me look for a moment
at the rate of inflation, which is extremely
difficult to calculate in one sense but I
think useful in another.
In February of 1971, right at the point of
the ascendancy, the percentage increase in
the consumer price index from the same
period a year earlier was 1.7 per cent. In
December of 1973, the increase was 9.2 per
cent. Now, what I'm saying, Mr. Speaker,
is that the rate of inflation over the life of
this government has accelerated in a three-
year period by 550 per cent. That's the rate
of accelerating inflation. At least, if you
have to have an inflationary rate, keep it
down to something that's manageable. But
that it should be five and a half times what
it was at the beginning of the Premier's
tenure to this point, is something that is
really beyond the pale.
And whether it is in this Throne debate
or on other occasions, Mr. Speaker, we will
be dealing with fuel oil, with gasoline, with
the cost of cars, with automobile insurance
premiums, with drugs, with every aspect
of the economy and documenting and setting
out the kind of cost-of-living increases that
we feel are so unconscionable for the
people of Ontario and must somehow be
turned around.
I know, Mr. Speaker, that when one is
in opposition one is constantly fighting for
a kind of credibility, for a capacity to in-
fluence the government.
Mr. Givens: The member's audience is
gone.
Mr. Lewis: Well, I don't care about that.
If I worried about audiences I would have
left politics 10 years ago. New Democrats
have spoken to mass audiences of three for a
long time and it's never been a problem
to us.
But gradually the word gets through, Mr.
Speaker. It gets through through the initia-
tives of three western provinces. It gets
through through the initiative of having the
balance of power in Ottawa. What we are
doing is we are serving notice on this govern-
ment that we are going to be unrelenting in
our insistence that it do something about all
of these areas of inflation. And that we're
setting the grounds and we're telling it in
advance that the cost of living and the efi^ects
on individuals and families in Ontario is
what we think the next 18 months are about.
And that we are going to be talking a.bout it
in no uncertain terms and that if it was pos-
sible either to influence or to change gov-
ernment in this province it is in the field of
controlling inflation that we would wish the
change to be felt.
Now, Mr. Speaker, I want to deal with one
other matter to tie it together which I'd like
to have put in the Hansard of this House.
I guess I've done it from time to time on
other occasions but I think it should be done
in this forum. We New Democrats feel that
one of the problems that the government
obviously senses and constantly carps on is its
inability to make it easier for individuals and
families out there because you don't have any
more tax resources, and that although you'd
like to diminish the impacts of inflation you
can't because you don't have the tax revenues.
You can't give any more money to old age
pensioners other than a $50 bonus at
Christmas time. You can't buy up sections of
the Niagara Escarpment. You can't purchase
land for public housing developments. You
can't expand medical care insurance to in-
clude dental care. You can't do any of these
things beause you are so strapped financially.
And you go to Ottawa. And you meet with
John Turner. And he says the cupboard is
bare. And the Treasurer comes back to
138
ONTARIO LEGISLATURE
Queen's Park and waiJingly beats his chest
with that repetitive refrain that "We don't
have any additional sources of revenue and
the federal government won't give it to us."
Well, another area that the NDP feels very
strongly about and wants to engage the gov-
ernment on and which ties in directly to the
inflationary batde is the question of redistri-
buting taxation in Ontario and moving it from
indivduals and famlies to the corporate sector,
specifically, Mr. Speaker, the resource sector.
And let me put the material on the record of
the House, and I know that in this policy we
will find no support, either from the Tories
or from the Liberals, and that's all and well
to the good, because we'd like the people of
the province to know where we're going to
find the additional moneys to finance NDP
programmes and to redistribute wealth.
For the year 1973 over the year 1972, the
increase in net profits for base metals was 397
per cent; the increase for industrial mines was
569 per cent; the increase for paper and forest
products was 344 per cent.
taxes, was $425.4 million. The total taxes paid
provincially were $22.2 million. That's an
effective tax rate of 5.2 per cent.
Mr. Speaker, that means the mining com-
panies ot Ontario are paying a provincial tax
rate of something less than the eff^ective rate
of people earning less than $7,000 a year.
And when you add in all the municipal and
federal moneys, it still works out to something
like 10.8 per cent as an effective tax rate,
which is still in the vicinity of a rate less
than for people earning $10,500 a year.
We submitted those figures to the Toronto
Star— and before there are questions or scep-
ticism, or eyebrows raised by the Provincial
Secretary for Resources Development, whom
I pilloried mercilessly in his absence—
Hon. A. Grossman (Provincial Secretary for
Resources Development): Does the member
want to apologize in my presence?
Mr. Lewis: —but have nothing but affec-
tion for in his presence-
Mr. J. F. Foulds (Port Arthur): Incredible! ^'- ^^"*^= Especially for his eyebrows.
Mr. Lewis: Let me tell you the increases
for the individual mining companies in the
Province of Ontario— and I must say, when I
think of what has been extraced from the
resource-based communities of northern On-
tario and how pathetically little has been
returned to them by way of basic community
supports, it amounts to something verging on
the criminal in public finance and in public
priorities.
Let me tell you about these mining com-
panies right now. International Nickel, for the
fiscal year 1973 over 1972, had an increase
in profit of 106.6 per cent; Falconbridge
Nickel, for the same year, had an increase of
766 per cent; Campbell Red Lake Mines, for
the year ended Sept. 30 over 1972, 84.9 per
cent; Pamour Porcupine Mines Ltd., for the
year ended Dec. 31, 1973, over the previous
year, 271 per cent; Mattagami Lake Mines,
for the same period, 169 per cent; Noranda
Mines, for the nine months ended Sept. 30,
65.7 per cent; Rio Algom Mines, for the year
ended June 30, 1973, 175 per cent; Denison
Mines, for the year ended in Dec, 1973, 24
per cent; Kerr Addison Mines, for the same
period, 66 per cent; Dome Mines, for Sept.
30, 1973, over the previous year, 99 per cent.
Mr. Speaker, the fact of the matter is that
we have the potential wealth in this province
to do everything we would wish if we would
only tax it. In the last year for which figures
are available, the 1970-1971 year, the net
profit for the mining industry in Ontario, after
Mr. Lewis: Especially for his eyebrows-
let me read to you, Mr. Speaker, what the
Toronto Star reported in Saturday's "Insight"
section about those figures:
The Ontario Mining Association assem-
bled a battery of nine accountants asso-
ciated with the province's major mining
companies to deal with the NDP figures
at the request of the Star.
The result: They were sure Lewis was
wrong, but they couldn't prove it.
"We simply have never assembled such
figures," said one accountant.
Hon. Mr. Grossman: Just a natural instinct.
Mr. Lewis: He added: "We are planning to
do so, but right now we just don't have them."
They were sure Lewis was wrong, but they
couldn't prove it.
Well, first of all it is not Lewis; it is those
who work for the caucus in the research
group. Let that acknowledgement be made
because without them we would be in a sorry
state. But in fact those figures are impec-
cably drawn from the documents and ma-
terials which the government has at hand.
That is why I asked the Minister for Na-
tural Resources (Mr. Bemier) today to table
the next edition of the annual statistical re-
port of mineral production of Ontario; it has
the tax tables in it. This is unfortunately
only for 1970. They have got 1971 sitting in
a desk over there. Three weeks ago we asked
MARCH 11, 1974
139
for the printed copy. They said "No, you
can't have it. The cabinet has decided not to
release it but you can ask to photostat cer-
tain pages." We sent over a specific request
for a photostat of the page dealing with tax
statistics. This morning they called back to
say, "You can't have it. It won't be released."
I am very pleased the Minister of Na-
tural Resources has now decided to release
the document but we know why they wanted
to sit on that docimient until one has to pur-
loin it or force it out. The government has got
to be embarrassed by an effective tax rate of
5.2 per cent for the mining industry. It has
to be embarrassed because people in this
province earning less than $7,000 a year pay
more by way of taxes than International
Nickel, Falconbridge, Rio Algom, Mattagami,
Denison Mines, Dome Mines, Porcupine and
all of them put together.
We are not going to rest our case on those
grounds. For what it's worth, we don't think
that the effective rate of taxation for the
resource sector should be based on net profits
and we don't think so because we are ex-
tremely uncharitable politicians when looking
at the mining sector. They have so much
that they write off before they get to the
profits after taxes that to deal with net profits
is no to deal with an accurate representa-
tion of what they are realty worth.
They have cut their depletion allowances,
their depreciation allowances, their special tax
concessions, their special early writeoffs. They
have fiddled and diddled with the books.
They have done everything under the sun to
present the gloomiest picture possible and
then they present us with a net profit of $425
million.
No, we accept the formula which says one
should base the resource tax on a percentage
of total" production— not productivity but total
production— and one gets away with the com-
plexities of the smelting and refining opera-
tions lumped in with certain other aspects of
the resource industry and one gets away
with the tremendous range in the fashion in
which statistics are computed for profits.
If one looks at that— I have the latest off
the press in front of me— let me tell members
what Ontario has been receiving as a per-
centage of total production from the natural
resource sectors, specifically the mining sec-
tor, in the last several years. In 1970, the total
production was $1.59 billion. The total' taxes
paid were $27.6 million, total provincial rev-
enues. That includes mines profits tax, acre-
age tax, leases, permits, fees, licences, royal-
ties, everything, $27.6 million. The provincial
tax expressed as a percentage of total pro-
duction was 1.7 per cent.
For 1971, total production was $1.55 bil-
lion; the total mining revenue paid provinci-
ally by way of provincial taxes was $16 mil-
lion. The effective rate was one per cent of
total production. In 1972, total production was
$1.5 billion; the amount of money paid with
everything included in provincial revenues
was $18.9 million; the effective rate of taxa-
tion was 1.2 per cent. In 1973, the grand
total, estimated, of mineral production is 1.8
billion, the total tax revenues, estimated, is
$22 million; again, 1.2 per cent as a total
reflection of production.
'Mr. Speaker, these figures are really appall-
ing. If you would lump in the corporation
income tax, federal tax, property tax, do you
know what you do? You actually tend to
double it. They pay two per cent instead of
one per cent but in provincial terms they are
paying around one per cent of total pro-
duction on the average. The NDP says that
the natural resource sector should pay— mark
this— 15 per cent of total production by way
of direct provincial taxes and anotheT 10 cents
on each ton of ore in reserves, the total of
which would approximate $300 million in
additional annual revenue for the Province of
Ontario. Now, the government of Ontario, as
presently constituted, will never do it. In fact,
in last year's budget-
Mr. Deans: But we will.
Mr. Lewis: —it said that it wanted to alter
the tax arrangements for the mining industry
in a way that would leave them approximately
the same.
Mr. MacDonald: The minister said he's go-
ing to give them more incentives to get out
and explore. They have quit exploring.
Mr. Lewis: As a matter of fact, that's true;
there would be additional incentives. We're
saying we're going to turn that one per cent
into 15 per cent. In other words, we're going
to do here what the provinces of British
Columbia, Manitoba and Saskatchewan are
doing.
And I point out to you, Mr. Speaker, and
through you to the Secretary for Resources
Development, that there are no mineral in-
dustries leaving BC; that there are no jobs
leaving BC; that the exploration hasn't been
constrained; that everything continues apace
except that the public is finally getting the
share to which it's entitled.
Now, for a generation or more the Province
of Ontario has been ripped-off by the mining
140
ONTARIO LEGISLATURE
industry. This government has conspired in a
denial to the public of its rightful entitlement
in a way that is really— well, it's indescrib-
able. I don't know how it came to that con-
clusion. Again, it's clearly a sharing of social
philosophy.
When the chips are down and the govern-
ment is pushed to the wall, it raises the sales
tax. That's what it does. Or it raises income
tax. Or it allows property tax to be raised so
many mills. The Tory government will do
anything—
Mr. Deans: Or collect more premiums.
Mr. Lewis: Or collect more premiums—
exactly. It will raise every regressive tax and
every tax that falls indisputably on individuals
and families; but it will never allow itself to
go to the one source of revenue which is there
and waiting and legitimate-
Mr. Deans: And it's ours.
Mr. Lewis: —and would do something
about redistributing wealth in Ontario. But
most of all, I was going to add— as my
colleague from Wentworth said beside me—
most of all, it's ours. It's yours and mine and
it belongs to the people of Ontario. And the
government has no right, it has no blessed
right in the world to squander on the profits
of these blessed multi-national corporations,
what is rightfully the peopfe of Ontario's.
And I may say, the government does it in
a way that it will never recover, because
they're non- renewable resources. If we start
collecting $300 million a year now, it will
never compensate for the billions of dollars
in lost tax revenue Which we've simply never
collected. It will never compensate for the
destruction in the Sudbury basin; for the col-
lapse of communities like Geraldton, when a
one-resource industry closies down; for the
denial to the north of everything that they're
entitled to. It will never compensate.
But we can begin to introduce an element
of justice and equity into the tax system. We
can begin to retrieve for the people of the
province that which is rightfully theirs, and
we will finally alter that arrangement which
this government has in its single-minded
fashion and in its special genius for seeing
injustice and making of it a social principle.
So, in the area of inflation, in the area of
housing, in the area of taxation we would re-
move the inequities in Ontario. We know we
can do something about it. We understand
the problems and we're advancing solutions
that are viable.
'The pleasure of it is that for the next 18
months those solutions are going to be on
parade for public view from three western
provinces— talked about, discussed, argued
and watched.
We're very confident about the impression
that that's going to leave; and we're very
confident about the way in which the mem-
bers over there are going to have to move to
meet the demands of this kind of opposition,
or they'll be in dreadful trouble with the
electorate. Because when all is said and done,
this government's friendly little land trans-
actions, or its squabbles with the teachers, or
what it does to the hospital workers, aren't
what is at root in Ontario— severe and
objectionable as they may be. What is at
root in Ontario is the question of the cost of
living and how people survive from day to
day.
Mr. Speaker, one of the phenomena which
is most fascinating as one wanders around a
little more as I've done, and colleagues have
done, at mini-caucuses and in trips and tours
and visits everywhere. What is really fasci-
nating is the way in which these cost of
living, these inflationary issues have taken
hold. One hears about them on radio hot-
lines, one has them raised in public meet-
ings, one is subjected to them in interviews
everywhere in Ontario. The cost of living
issues mean something. And the difiBculty of
the government, the problems the govern-
ment has, the serious chinks in the armour
are reinforced by the emergence of the pubUc
group, of the community groups all over the
province who raise protest and social dissent
against abhorrent policies.
I simply want to say that it's the juxtaposi-
tion, it's the combination of all these things,
Mr. Speaker, which is making for govern-
ment an impossible situation. It's not just the
impropriety of a land transaction. It's not just
the impropriety of a social policy like re-
gional government. It's not just the impro-
priety of cost of living and its increases. It's
also the fact that out there from Douglas
Point to Seaforth you've got a whole com-
munity of farmers aroused because no one
will consult them in advance on taking their
land for inadequate payment when Ontario
Hydro acts like some arbitrary, foolhardy,
self-centred corporation.
You've got a group of people in the town
of Durham who don't understand why they
can't be consulted in advance when a major
political decision is made to take away their
name— and with it, they feel, a good deal of
their history and culture — and give it to
another regional area.
Hon. Mr. Winkler: Take away their name?
The member is wrong, just plain wrong.
MARCH 11, 1974
141
Mr. Lewis: They just don't understand
why it's not possible to be consulted in ad-
vance, to be brought down and have it dis-
cussed at Queen's Park, They don't under-
stand this pursuit of determined alienation of
public groups.
There is a group in North Pickering that
doesn't understand why it has to be the sole
group in Ontario for whom the Expropriation
Procedures Act is now effective in a way that
; "in the public interest" removes from them
the right to a hearing. There is a group up
around Maple Mountain, whether they are
right or whether they are wrong, who simply
I don't understand why they have no access
I to all the public information for which we
have already spent $155,000 and are well on
our way to spending $300,000— why it is that
government by leakage is what obtains in
the Maple Mountain area. And let me say to
j, the credit of the member for Timiskaming
that there are-
Mr. E. M. Havrot (Timiskaming): Thank
you.
Mr. Lewis: Well, I know of few leaks as
effective as the member for Timiskaming—
and why should it be? Why should it be that
he as a member, or somebody who picks up
rumour or gossip or speculation, should com-
ment on what is purported to be a major
economic project for the northeast part of
the province? Again, a kind of determinedly
insensitive and arbitrary exclusion of the
public to the process of planning, to the proc-
ess of development, to the process of partici-
pation.
Unto this day we have not had a full pub-
lic statement about a project that's been in
process from two to three years, and which
my colleague from Ottawa Centre has raised
time and again, the Arnprior dam. Today, the
Ministry of Energy announced he won't table
the engineering feasibility study. Well, one
need only ask "why?" What is there about
that study that raises such doubts that it
would be of such embarrassment for the
government to table it?
And the coalition against garbage operating
in Vaughan township and Hope township and
Pickering township— all of these groups-
appearing before an environmental hearing
board that was interested only in the tech-
nical and scientific data, not in the social
considerations of major public policy of tbb
kind.
What they are doing over there, wantonly,
relentlessly, inexorably, is alienating Ontario,
group by group, community by community,
issue by issue and it's all beginning to
merge. This pathetic little performance in the
Throne Speech, the "business as usual" tenor
of the Throne Speech, is not what will bring
it all together for the government because
it's gone too far. It has to have some imagi-
nation in order to rescue it.
Mr. Lewis moves, seconded by Mr. Deans:
That this govenment be further con-
demned for its failure to institute satisfac-
tory actions in the following policy areas:
Inflation in the cost of living:
1. Failure to investigate increases in
profits to ensure no excess profit-taking:
2. Failure to establish a price and profit
review tribunal with power to investigate
every aspect of price increases and take
whatever action is necessary to ensure no
unreasonable increases, or to have selected
increases rolled back;
3. Failure to establish a consumer pro-
tection code extending not only to market-
place transactions and commodities but to
the provision of services;
4. Failure to institute a province-wide
warranty for home building standards;
5. Failure to institute a public auto-
mobile insurance programme.
Northern development:
1. Failure to establish economic growth
in northern Ontario based on the resource
potential as a catalyst for secondary devel-
opment;
2. Failure to establish northern economic
development in employment based on long-
term secondary growth as a number-one
priority;
3. Failure to recognize the massive eco-
nomic disparity between northern and
southern Ontario and the adverse effects of
the two-price system in this province, and
failure to take appropriate measures to
bring about equality.
Land use and urban growth? '^f • 'i"'
1. Failure to move immediately to ac-
quire for the public sector sufficient land to
meet the projected housing needs over the
next 20 years;
2. Failure to begin a house-building pro-
gramme aimed at producing at least
250,000 homes, both private and public,
within 18 months;
3. Failure to develop a land-use policy
and overall development plan to meet
recreation requirements in all areas of the
province with immediate emphasis on the
"golden horseshoe" area;
142
ONTARIO LEGISLATURE
4. Failure to establish rent review and
control measures.
Employer-employee relations:
1. Failure to amend the Ontario Labour
Relations Act to meet the legitimate re-
quests of the Ontario Federation of Labour
as conveyed to all members of the Legisla-
ture;
2. By allowing conditions of work and
wages for the hospital workers! of Ontario
to deteriorate to a substandard level;
3. By creating a confrontation with
"teachers in this province and' then faihng
to respond to the consequences of this
action;
i4. By inflicting compulsory arbitration on
Crown employees;
5. Failure to legislate against strike-
breaking and the use of firms and indivi-
duals to disrupt orderly, legal strikes.
Income maintenance:
1. By failing to institute an income
maintenance programme to meet the legiti-
mate needs of the elderly;
2. By faihng to establish adequate in-
come levels for the disabled and other dis-
advantaged people of Ontario.
Health:
1. Failure to provide a suflBcient range
of institutional facilities to ensure adequate
health care at lowest cost;
2. By failing to institute a dental and
drug care programme;
3. By failing to take initiatives which
would upgrade the value of preventive
medicine.
And further, that the government shows
gross negligence in its refusal to tax the
resources industry of Ontario at a level
which would allow individuals and families
in this province to experience major relief
from the inequitable and oppressive system
of taxation presently in eflPect.
Mr. Wardle moves the adjournment of the
debate.
Motion agreed to.
PRIVATE MEMBERS' HOUR
DENTURE THERAPISTS ACT;
PRACTICE OF DENTAL PROSTHESIS
ACT
Mr. R. F. Nixon (Leader of the Opposi-
tion): Point of order, Mr. Speaker. Surely
we are just doing one bill, are we not?
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): I thought it was by
agreement.
Mr. Speaker: I have not been informed to
the contrary, other than by way of a notice
listing the speakers, and both bills have been
listed on the private members' hour for this
day. I might say that the custom in the past
has been on occasion to deal with two identi-
cal or similar bills at the same time. It is my
understanding that agreement had been
reached in this respect, in which case we will
deal with the two bilk. The hon. member for
Sudbury might move his bill and then the
hon. member for Brant (Mr. R. F. Nixon)
would move his bill and we would proceed
with the speeches.
Mr. Germa moves second reading of Bill 2,.
An Act to amend the Denture Therapists Act.
Mr. Speaker: The hon. Leader of the Op-
position perhaps would move his bill too.
Mr. R. F. Nixon moves second reading of
Bill 5, All' Act to provide for the Practice of
Dental Prosthesis.
Mr. Speaker: We will now proceed with
the debate. The hon. member for Sudbury.
Mr. M. C. Germa (Sudbury): Mr. Speaker,
the subject under discussion today is an old
chestnut which has been kicking around for
several years. I know many of the mem-
bers of the Legislature have taken an inter-
est in it and have followed the convoluted
course that this problem has taken since the
introduction of Bill 203, which was with-
drawn and replaced by the infamous Bill
246. The objective of this present bill, An
Act to amend the Denture Therapists Act,
1972, is to correct what I feel to be features
of Bill 246 which are repressive, not only
to the general public but are also repressive
to the people in this province who have done
a service to the public in supplying dentures
at a cost that the majority of people can
afford.
(There are only four features in the amend^-
ment, Mr. Speaker. Section 1 of the bill
would make an amendment that would re-
move from the denture therapists licensing
board the dental hygienist and the dental
technician who are part of the board as it
is presently constituted.
The second section of the amendment
removes the requirement that the denture
therapist work under the supervision of a
dental surgeon. It allows the denture ther-
apist to deal directly with the public but
MARCH 11, 1974
143
only where the patient can produce a certi-
ficate of oral health signed by a dental
surgeon or a legally qualified medical prac-
titioner.
Section 3 would amend the limitation
period for commencing a proceeding under
clause b of subsection 1 of section 16 of the
Act. This is changed from two years to one.
In section 4 the amendment provides that
the Lieutenant Governor in Council may
make regulations setting fees to be charged
by denture therapists.
It is my belief, Mr. Speaker, that if these
amendments were adopted as outlined in this
bill it would go a long way to solving the
impasse which has plagued and embarrassed
this government for the past several years.
I think we are not asking the government
to embark on any adventure that hasi not
been tried. We are not creating precedent
here. We already know that there are den-
turists operating in five of our provinces
already, in fact, in Alberta since 1961 and
in British Columbia since 1962. Even despite
all the charges by the opposition forces that
these denturists are not qualified and they
are going to do harm to the public, we still
have not got on record any charges or any
malpractice suits which the insurance com-
panies have paid.
I believe that the record tells the story
itself. If these people have operated since
1961 in Alberta and 1962 in British Colum-
bia, then there is no legitimate reason that
I can see why we should not have the same
services in the Province of Ontario. Quebec
also allows denture therapists to operate.
Nova Scotia presently has legislation on the
books, and Manitoba. In the case of Mani-
toba and British Columbia, a certificate of
oral health issued by a dentist or a physician
is necessary. Ne\vfoundland and Saskatche-
wan are also planning to establish denturists
as a legal, independent profession. Prince
Edward Island and New Brunswick have no
legislation concerning denturists. Only On-
tario of all the 10 provinces is the one that
has made it illegal. I think the reason this
government reacted was because of the ter-
rific lobby which was put up by the Ontario
Dental Association in its efforts to protect
what I suspect is a vested interest in the
supply of dentures to the public.
Mr. Speaker, there was a very interesting
booklet distributed quite recently, written
by a dentist by the name of Revere, and it's
entitled "Dentistry and its Victims." In this
book I think this dentist has hit on the
reason there is so much opposition! by the
dental profession to allowing these para-
medical people to get into the field I will
quote one paragraph from this booklet:
The public has been conditioned to
accept a high fee for denture services and
a relatively low fee for fillings and peri-
dontal work but the reverse would make
more sense. Though the cost of materials
in a denture is but a few dollars, fees for
inew dentures have always been high.
Today's quality laboratory fee for full
dentures may range from $50 to $90. This
lis paid by the dentist. An average neigh-
bourhood dentist's fee for full dentures,
'upper and lower, might be between $300
and $500. Since the average practitioner
^does mot spend much time with his patient,
la close commutation could only prove that
dentures are a more lucrative field for the
typical dentist. It is ironic that the end
iproduct of neglect and poor dentistry
should be profitable.
The construction of full dentures has
always been a lucrative field and one
might well wonder why this should be. An
old-time dentist whom I respect once told
me that it was his belief that high fees
were originally established for denture ser-
vice because the denture represented the
last opportunity the dentist had to make
money from the patient and the most had
to be made of it.
If this is so, and it may well be so, it
gives an uncomfortable insight into the
operation of economic motivation in the
healing arts. It is time and more than time
that the professions took a fresh look at
their aims and ideals.
I think we have to reduce the whole argu-
ment, Mr. Speaker, to something very crass.
It is the self-interest of the dental profession
which I think is blocking the people of
Ontario from gaining this service.
There is further evidence of this attitude,
Mr. Speaker, in a booklet published by the
Ontario Dental Association, September, 1972,
entitled "A Public Concern." In appendix K
the dental profession posed questions and
answered its own questions, and as I went
through these questions I came to the con-
clusion that in its efforts to make its case it
had actually subverted its case more than it
had made it.
Question 1 was: "How can the dentist
justify fees of $400, $500 and $600 for
plates?" This is the dental association asking
itself a question and here is how it answered
its own question.
Answer: There are very few dentures made
for $300, $400 and $500. However, with
144
ONTARIO LEGISLATURE
the sophisticated methods available to den-
tists today it is possible to construct
dentures using techniques that would
justifiably entail fees of this magnitude and
even more.
Under the free enterprise system if the
dentist feels his talents are worth that
much and a patient looking for this level
of expertise agrees to pay that fee, that is
strictly their arrangement. The patient ap-
preciating excellence is glad to pay for it.
Mr. Speaker, this is precisely what is wrong
with the delivery of health services. We have
tried to overcome that by introducing a
medical and hospital plan but the dentists
are still operating on the free enterprise
philosophy that those who can afford health
care will get excellent care. Those of us who
are somewhat limited in our financial strength
will just have to do without. This is precisely
what is going on in the Province of Ontario
today. There are hundreds-
Mr. Speaker: There are 30 seconds re-
maining in the hon. member's time allotment.
Mr. J. E. Stokes (Thunder Bay): No, he has
got 20 minutes.
Mr. Speaker: No. It was my understanding
there would be 10 minutes each. Otherwise
there would only be two other speakers.
Mr. Stokes: Mr. Speaker, on a point of
order, we are entitled to 20 minutes. It is
our time slot and the lead-off speaker is
traditionally given 20 minutes.
Mr. Speaker: But there are two bills.
Mr. R. F. Nixon: On a point of order, I
would aeree with the hon. member who just
spoke. This is the NDFs private members*
hour; they have introduced their bill and they
get 20 minutes and everybody else gets 10.
That's why I was surprised that you were
asking me to introduce my bill under the
same circumstances.
Mr. Speaker: Of course the notice given to
me includes two bills, that of the hon. mem-
ber for Sudbury and that of the hon.
Leader of the Opposition. If we were to give
20 minutes to each of those hon. members,
it would leave 20 minutes for only two other
speakers and the usual 20 minutes for the
lead-off speaker and 10 minutes for each
other. I was not informed of any other
arrangement.
Since there are two bills I fail to see how
I can give each person 20 minutes and deal
with both bills under the same hour. Perhaps
the whips could enlighten me as to what the
arrangements might have been?
Mr. R. D. Kennedy (Peel South): Mr.
Speaker, I think there is precedent when bills
are combined. Usually the two who combine
their bills each have 15 minutes, which takes
up the 30 minutes, and then we go on in the
10-minute routine. I may be wrong on this
but there are lots of precedents for com-
bined bills.
Mr. Speaker: Well, I am in a generous
mood and will do whatever the hon. members
wish to do. But the time has expired for the
first speaker, if it is to be 10 minutes each.
Mr. Germa: I am not aware of what your
ruling is, Mr. Speaker.
Mr. Speaker: I can't very well make a
ruling without all the information. Was there
any agreement to the effect that there would
be 10 minutes each?
Mr. Stokes: No.
Mr. Speaker: Was there any agreement to
the effect that both bills would be heard
today?
Mr. Kennedy: Yes, between the three
whips.
Mr. Speaker: We certainly have never
allowed 20 minutes when there were two
bills during the same private members' hour.
Mr. R. F. Nixon: Well, I would suggest,
Mr. Speaker, that if the present speaker
were to continue until 5:20 o'clock anyone
else who wanted to take part in this debate
could speak for 10 minutes. Would that be
agreeable? That would certainly suit me.
Mr. Speaker: And would it be the wish
of the hon. member that Bill 5 also be con-
sidered?
Mr. R. F. Nixon: It is quite all right. It
is already before the House, Mr. Speaker.
Let's get on with the debate.
Mr. Speaker: Does everyone agree to that
arrangement? The hon. member for Sudbury.
Mr. Germa: Mr. Speaker, the second bill
which is going to be under discussion. Bill 5
I believe it is, would in effect accomplish
the same thing that the amendments which
I have proposed for the Denture Therapists
Act. I think all the arguments I am making
in favour of the four amendments I am put-
ting are also included in Bill 5. The argu-
ments are valid as far as both situations are
concerned.
MARCH 11, 1974
145
We are talking directly about money, Mr.
Speaker. There are a lot of people in the
province who are deprived of this health
service because of the attitude that the den-
tists have had in the past. As I read their
answer, they rely en the free enterprise
system. If someone wants to pay $1,000 they
will accommodate him, and if he wants to
pay $500 they will also accommodate him.
I was talking to one of my denturist
friends from the city of Sudbury today. He
informed me that he knows of a recent case
where the dentist did charge in excess of
$1,000 in the city of Sudbury for a full set
of dentures. This is unconscionable profit.
I think eventually our health delivery
systems have to be brought under some cen-
tral control. The bill will provide for this in
that the Lieutenant Governor in Council
would make regulations setting fees charged
by the denture therapists. It is not very often
that any of our professionals will agree to
allow the government to set their fees. I
can just imagine— welL we already know
what the medical profession has said about
these. They are in the habit of determining
within their own little ivory tower what the
health bill for the province is going to be.
Then they divide the pie up without nego-
tiations with anyone.
I think it is a symbol of the good faith
that the denturists have that they are will-
ing to submit their fee schedule to be regu-
lated by order in council. We already know
that the present fee structure of the Den-
turist Society is between $150 and $200.
That is their maximum range. In the case
of senior citizens and welfare recipients the
price is $125 for both an upper and a lower
denture.
It is ironic to me that this government
has presently seen fit to hail into court seven
people and charge them with illegal practice
in making dentures, while at the same time
the welfare departments, which are also an
agency of the Province of Ontario are utiliz-
ing the services of these illegal clinics. In
the case of the city of Sudbury, 90 per cent
of all those welfare recipients who have to
have dentures are referred by the welfare
agency to one of these illegal clinics. This
points up how ridiculous the denture thera-
pist bill which is presently on the statutes
is, that one agency of government will hail
them into court and the other agency will
see fit to use them. Now, the denture thera-
pists have also agreed that in order to meet
those complaints from the dental profession,
and also in order to assure the general pub-
lic that they are genuinely concerned with
the health of their patients, they have sub-
mitted that they would go along with the
provision that a certificate of oral health
should be provided before the denture
therapist should be able to fit a complete
denture.
In fact, in some of the clinics this is
already happening. In speaking to some of
these people, I was told they do ask each
and every patient to go and get a certificate
of oral health from a dentist or from a
medical practitioner. There has been publi-
city circulated by these organizations, be-
tween themselves. Some doctors are not
prone to signing this certificate of oral
health, nor are some dentists prone to doing
it. But even despite the efforts of these pro-
fessional organizations to prevent patients
from getting certificates of oral health, many
of these certificates are now being filed with
the denturists, and I think it is in the pub-
lic's best interests that this is done.
It is recognized, Mr. Speaker, that these
people are mechanics. They do not have the
extensive educational backgroimd that the
dentists have. There is a place for dentists
in our society, but I suspect and I submit
to you that there is also a place in society
for the dental mechanic.
Now, I will conclude, Mr. Speaker, by
reading an excerpt from Time magazine,
Dec, 7, 1973. It is an essay on the rights
of patients; and I quote:
Medicine may be the last forum in which
the voice of the consumer makes itself
heard; but eventually it must and will be
heard, since the ultimate consumer is the
patient and it is on the patient that the
profession practices.
Now, Mr. Speaker, there is ample evidence
that the public of Ontario has accepted the
denturists. There are committees across this
province— spontaneously-formed committees—
which are fighting for the repeal of Bill 246.
These amendments which I have proposed
would in fact make it unnecessary to repeal
Bill 246. It would only put Bill 246 in an
order which is livable, both for the pubilc
of Ontario and for the denturists.
Mr. R. F. Nixon: One very important thing
has happened since we discussed this bill in
the Legislature last, and that is that we have
a new Minister of Health (Mr. Miller). He is
having a little difiiculty paying attention to
this debate because colleagues on all sides
are so delighted in having him actually here,
captive for a moment or two so they can find
out about their nursing homes, that he is
146
ONTARIO LEGISLATURE
having a bit of a problem in listening to the
strong argument put to him.
I believe that this is a more important
debate than is sometimes heard in the private
members' hours, because I believe that the
government should and no doubt will, under
the leadership of the new minister, change its
policy.
You may recall, Mr. Speaker, that we have
found ourselves in circumstances similar to
this before when arguments on all sides, in-
cluding government benches, urged the in-
clusion of the chiropractors in the services of
OHIP. The then Minister of Health, the
present member for Ontario (Mr. Dymond),
adamantly refused and said as cogently as
any minister could possibly say, that the
chiropractors were not to be included. But
then, in the course of time, he gave up that
heavy responsibility and assumed a new one
—what is he now, chairman of the Science
Centre or something?— and the responsibility
for the governance and administration of our
health policy passed on to someone else. It
wasn't long— for reasons really not well known
on this side, since the same strong arguments
were put forward— until OHIP was amended
to include the chiropractors.
I feel something similar could be estab-
lished at the present time, because the bill
that I am putting forward simply has within
it the basic principle that was put before the
House on June 26, 1972, by the then policy
minister, the present Attorney General (Mr.
Welch). It was No. 203, and it certainly
established denturists as a practising group
within the community, with the power to
deal directly with the public. This is pre-
cisely what Bill 5, which is before the House
now, would do.
We feel that amending Bill 246 would in
fact just reverse its principle. And you may
remember, Mr. Speaker, when the original
bill, which restricted the practice of the den-
turists, was introduced by the former Minis-
ter of Health (Mr. Potter), he asked for an
amendment which in fact reversed the
principle; and you, sir, ruled that it could
not be continued with since its principle had
been reversed in that way.
So I would say to you, Mr. Speaker, that
we don't want to make our arguments in
any way other than those which could be
acceptable to a reasonable minister, and I
believe we've got one. Because surely he
cannot continue with the chaos that has been
willed to him by his predecessor in the area
of this particular issue.
We are not prepared to see the Attorney
General enforcing a law which is diametri-
cally opposed in principle to the bill which
he personally introduced into the House
when he was policy minister in those days;
for him to be required, through some agency
probably higher than himself, to go to the
denturists in the province— and there are 107
of them practising— select six to begin with,
and an additional five or six, to be raided
and to have their patients mistreated. In one
case, a set of dentures was taken right off the
table beside a lady who was being treated;
the teeth were bundled into a package and
taken away to the police station as evidence
of malpractice.
Surely this is the kind of intimidation
which is unconscionable and unacceptable,
and the Attorney General himself must just
cringe when he sees that he is using these
practices for the enforcement of a law that
is diametrically opposed in principle to one
which he put before the House on June 26,
1972.
I don't intend to trace out all of the
circumstances, but I'm sure you're aware,
Mr. Speaker, that the Ontario Comicil of
Health reported on June 25, 1972, that the
denturists should be allowed to practise only
under supervision. When the bill, which was
opposed to that particular recommendation,
was introduced the next day, the then policy
minister, the present Attorney General, said
the government is always free to accept or
reject whatever advice it wants. In other
words, it rejected the advice of the Ontario
Council of Health and brought in legislation
which was generally parallel to legislation
already in effect at that time in four prov-
inces of Canada.
The point has already been made that
denturists do practise under government
supervision, but independently in the com-
munity, in most provinces of Canada; and
this is the only province where they are
directly and specifically prohibited from so
practising.
Mr. Spe^aker, you may further recall that
the Barry Lowes committee on the standards
for licensing the denturists brought in a
report that called for an extensive progranmie
of training, following the licensing of den-
turists — I think they called them denture
technologists or something like that — but
that was reversed as well when the former
Minister of Health decided, for reasons im-
known to us but alluded to by the previous
speaker, that in fact the denturists should not
be permitted to practice independently.
The former Minister of Health did go for-
ward with a fairly substantial programme of
professional training or technological training
MARCH 11, 1974
147
for those who did want to designate them-
selves denture therapists. I understand that
some 85 to 90 took the training in the original
course but that only a handful are prac-
tising in this regard because they find that
their income is not parallel with what they
might have expected' to gain or earn if, in
fact, they had continued as denturists.
My colleague, the member for Waterloo
North (Mr. Good), put an interesting excerpt
from the Kitchener-Waterloo Record, dated
March 9, 1974, in my hand a moment ago.
It's an advertisement as follows:
Mr. Derek Groves, LDT, wishes to an-
Iniounce his commencement in the practice
of denture therapy, by appointment, 884-
8386, 122 Weber St North, Waterloo.
It's an indication, Mr. Speaker, that there is
a further complication, that the licensed den-
ture therapists who have taken the course
that has been put forward by the ministry—
that this particular individual is apparently
going to practise directly vdth the com-
munity and without the supervision of a
dentist. It may be otherwise, but certainly
when he advertises his practice of denture
therapy by appointment there is ever)^ in-
dication that a licensed denture therapist
has broken the ranks and is prepared to
practise vdthout the supervision of dentists.
'Let me make it clear, Mr. Speaker, that
we are not here being critical of the dentists.
It is their job to keep all of us out of the
hands of the denturists or the denture
therapists, but not by using regulation and
statute, but surely by practising preventive
dentistry which, in the long run we hope,
is going to render obsolete the building and
fitting of dentures for those of us who at
least take the kind of advice from the dentists
that we should.
I'm simply saying to you, Mr. Speaker,
that the new minister can, in fact, exercise
his authority to make the recommendations
to his colleagues to reverse what has just
been a comedy of errors from the first time
that his predecessor decided that the dentur-
ists should not be able to practise inde-
pendently. It flies in the face of the practice
elsewhere in this country and it is diamet-
rically opposed to the principles put before
the House as government policy on June 26,
1972.
Frankly, I'm tired of being told by experts
in the field, certainly dentists and others,
that my bill and the bills that are also
before us today would put the public in the
hands of those people who would harm
them. I d^ not believe that this is so. I do
believe that we are moving in this province
and elsewhere toward the recognition and
the substantial development of paramedical
and paradental services, similar to the op-
tometrists and the chiropractors, which are
going to come under direct and rigid gov-
ernment training and supervision. There's no
suggestion, certainly in my bill or the other
one, that anybody off the street would come
in and plunk down $10 for some sort of a
licence that would enable him to fit dentures
and hang out a shinglte and start deahng with
the public. Of course, that cannot be true
and is not part of the principle of this bill.
The concept is similar to the one put for-
ward on behalf of the government by the
present Attorney General in his bill niun-
bered 203 in 1972. We believe that this is
what the government must come to. I would
simply say to you, Mr. Speaker, that we
urge the Minister of Health in his new posi-
tion of authority, where he must take sole
responsibility for the welfare of the people
—and there is certainly no doubt about that—
also to take the responsibility to advise his
colleagues on the basis of common sense
what the community requires, and what, in
fact, the community demands.
We're not pressing for this bill to be passed
at this time. We would hope that it would
be, but we would expect the Minister of
Health in his wisdom to see the advantages
directly to the community of Ontario and
to the taxpayers in the principles of the bills
before us this afternoon. We would hope
that before this session endls we wdll see a
change in government policy, which is over-
due.
Mr. Speaker: The hon. member for Oxford.
Mr. H. C. Parrott (Oxford): Mr. Speaker,
the discussion on these two bills that the
members for Brant and Sudbury have pre-
sented cannot be significantly different, in my
view, from the debate that was held some
years ago. It is true that certain things have
transpired in that time but very little has
changed. The basic arguments that were true
then are true today.
Whenever I take part in a debate of this
nature, it seems that I am instantly accused
of having a vested interest or a strong bias.
Well, probably today is no exception.
Mr. F. Drea (Scarborough Centre): Pull
some incisors! .... ,.. ,,
Mr. Parrot: I cannot deny, nor do I wish to
deny that I am a dentist. And if that puts
me into a position of as one having a vested
interest, or even a conflict of interests, then
148
ONTARIO LEGISLATURE
so be it. But let me assure the members of
this House that I do not have a monopoly
on conflict of interests on this particular sub-
ject. In my view, the Liberal caucus and the
leader of that party sees this issue as pri-
marily a poHtical problem.
Mr. R. F. Nixon: Does the member mean
to say it is good for the people therefore we
might support it? What are we here for?
Mr. Parrot: I'm afraid the Liberals have
not looked at all of the aspects, some of
which are far more important. I suspect this
bill was prompted for purely political gain.
Mr. M. Gaunt (Huron-Bruce): Oh no, we
would not do it for political gain.
Mr. Parrott: And there can be no doubt
that the vested interest of the leader of the
official opposition is far greater than my own.
And for quite different reasons.
Mr. Gaunt: The member sounds like a
dentist. Is he?
Mr. Parrott: But what is far more impor-
tant-
Mr. Gaunt: I think he does have a vested
interest.
Mr. Parrott: Indeed I have; I admit that
readily. But I submit that so does the mem-
ber. But what is far more important—
An hon. member: Too bad he is a politician.
Mr. Parrott: What the members opposite
have failed to see is the true issue. It is
health, not votes, that those members should
be concerned about in these deliberations.
Certainly the political implications should be
considered, but I have yet to see or hear the
Liberal Party suggest any reforms or im-
provements so vitally needed in the de-
livery of dental services. Instead, they seek
as usual the expedient rather than the re-
sponsible approach.
Mr. R. F. Nixon: Somebody wrote that for
him. One of those creeps that sits under the
gallery has written that for the member.
Interjections by hon. members.
Mr. Parrott: I would—
Mr. Speaker: Order.
Mr. Parrott: It must be hurting. I must be
on the nerve again.
Mr. R. F. Ruston (Essex-Kent): Is the
member for Oxford going to run federally
next time?
Mr. Gaunt: I know he didn't get into the
cabinet; but he knows he will never make it
telling the truth.
Mr. Parrott: The members opposite deal
with only six per cent of the dental services
of this province and they fail to consider the
other 94 per cent. The making of dentures is
obviously important.
Mr. Ruston: He seems awfully worried.
Mr. Parrott: But in typical short-sighted
fashion, these bills fail to propose the great
needs of this province. I refer to those things
that will deliver dental services to all of our
people.
Mr. Gaunt: I don't like the Minister of
Health. The member for Oxford should fire
him.
Mr. Parrott: Oh, I'm disappointed, too—
Mr. J. E. Bullbro(^ (Samia): The minister
is disappointed, too. The member for Oxford
should have read his speech before he came
in.
Mr. Parrott: Very good.
Mr. R. F. Nixon: I can remember when
the member for Oxford made a speech in
favour of this.
Mr. Parrott: I am disappointed, too, that
the hon. member has not seen fit to propose
much-needed changes relative to the vast
majority of dental auxiliaries. We* talked
about it very briefly. Rather, he has chosen
to focus on a very small portion, something
in the range of two per cent of all those
people, other than dentists — and I repeat,
other than dentists — but simply two per
cent of those who are involved in the deliv-
ery of dental services in auxiliary roles.
In fact, the whole debate on this contro-
versial subject seems to have forgotten some
6,000 dental assistants, some 500-plus dental
hygienists, and some 1,300 dental technicians
and their employees. The opposition has for-
gotten that large segment. In other words,
there is a total of nearly 8,000 dtental auxi-
liaries who have been forgotten far too long.
Surely, all of these properly trained, ade-
quately trained, and thoroughly trained
people should be given far greater consid-
eration.
Mr. R. F. Nixon: Do they want to practise
independently, too?
Mr. Parrott: We'll deal with that in a
minute. And may I repeat that those who
MARCH 11, 1974
149
feel I have a vested interest in this subject
might be right.
Mr. E. Sargent (Grey-Bruce): Who does
the member buy his teeth from?
Mr. Parrott: But again, I say to those mem-
bers opposite who would deal with such a
small segment of the problem, it is small in
comparison. Why don't they get with it?
Why don't we plan for the 8,000 auxiliaries-
Mr. R. F. Nixon: The government bill
deals with it. That's all it deals with.
Mr. Parrott: —and provide services to save
teeth, and not be involved with those prob-
lems involved with those of replacing teeth?
Let's plan how we can assist those people
who cannot aflFord dentistry.
Mr. R. F. Nixon: That's another dental
Act.
Mr. Parrott: Let's plan to utilize the large
number of people in the dental auxiliaries
who have been well trained-
Mr. R. F. Nixon: Denticare?
An hon. member: That's anotiier type of
cavity— ,. , ,
Mr. Parrott: —and increase the productivity
of the thousands of dental oflBces by the use
of these auxiliaries. Certainly I'm prepared
to use the dental therapists or the denturists,
whichever you wish to call them, but let's
plan to use them in a team approach and
to utilize all the auxiliary personnel in an
effective manner.
Unless my NDP friends in the immediate
vicinity here think that they are in a satis-
factory position on this subject, let me refresh
their memory on a couple of items. May I
say that I'm appalled at their lack of aggres-
sive attitude to the rights of the many people
and workers who have been employed in
this field of endeavour.
Mr. J. A. Taylor (Prince Edward- Lennox):
The unsung heroes.
iMr. Parrott: Right. So often the members
of that party have spoken about tokenism;
well, I ask you, what kind of tokenism is
it-
Mr. Drea: They are tokenists.
I Mr. Parrott: —when there is only one
male hygienist in a register of nearly 600,
or few if any of the 6,000 auxiliaries have
a male receptionist or assistant? You know,
it works both ways.
Mr. F. Laughren (Nickel Belt): Is that our
fault?
Interjections by hon. members.
Mr. Parrott: But I ask them, why have
they not championed- the cause of the dental
hygienist who, as they know-
Mr. Laughren: My friend is full of red
herrings.
'Interjections by hon. members.
Mr. Parrott: At least the dental hygienist
is by far the most trained person-
Mr. Stokes: Pretty weak. This is a pretty
weak defence of government policy.
Mr. Parrott: I am amazed' they haven't
championed the cause of the dental hygien-
ist, who has taken her formal training and
has been a great asset in the delivery of
dental services.
Mr. R. Gisbom (Hamilton East): I remem-
ber when the hon. member supported us on
this. Can't he reflect back?
Mr. Parrott: I've always been in the same
position, and my friend knows it. I've been
in the same position; his party vacillated.
Mr. Drea: The member for Oxford should
work in the same place as he does.
Mr. Parrott: You know, those of us who
are a little more involved with this process
realize that a hygienist is perhaps the one
person who is overtrained and under-utilized
and yet painfully not available to those who
are in the direct business of delivering dental
services to the people of Ontario.
Mr. BuUbrook: Dentists are never pain-
fully not available; they are painfully avail-
able.
Mr. Parrott: I said the hygienist, if my
friend from Sarnia would listen.
It seems to me that the dental laboratory
technicians are another large segment, and
the NDP too have ignored their plight.
There are 1,300 of them, and their livelihood
is at stake. The dentists wiU go on with or
without denture practice. But I'm telling you
that the dental laboratory field is in very
grave condition. In fact, I doubt if very
many of the so-called experts who have
spoken on this recognize the difference be-
tween a dental technician and a denture
therapist. I feel sorry for those 1,300 people
who have no one to speak for them, and
I protest on their behalf. Their livelihood
150
ONTARIO LEGISLATURE
is at stake and the members opposite hav^
failed to recognize this.
What we are witnessing here in these kind
of bills is a fragmentation of dentistry, and
I suggest that what we need is not frag-
mentation but indeed a team approach. If
we are going to go on with the proposal as
suggested here, that the denture therapist
work by himself, why not let the dental
hygienist and the next auxiliary work by
themselves?
Mr. Speaker: Sixty seconds remaining.
Mr. Parrott: But that will fragment all
of the profession, and I'm saying that wiU
be the greatest disservice we could possibly
do. If we are going to have one, we should
permit the others; and if not, then we should
have all of them in a team approach.
In closing, let me hazard a guess as to
why so many of these people are ignored.
It is because there are so many dollars avail-
able to a few denturists w'ho have so much
to gain by this bill and at the same time,
by a few politicians who are far more in-
terested in votes than they are in teeth.
I want change as much as anyone else in
this field, and I want dental services available
to all the people. But I want those services
available from a team approach and I want
them available now, and the concepts in
these two bills certainly won't do that job.
Thank you, Mr. Speaker.
Mr. Speaker: The hon. member for Park-
dale.
Mr. J. Dukszta (Parkdale): Mr. Speaker,
I am continuously fascinated by the ability
of the medical profession and, at the moment,
the dental profession to mystify and to myth-
ologize what is often a quite simple matter.
I agree vwth the member for Oxford that
we need a team effort, but what he proposes
is a team effort under almost complete
domination of one profession. We are speak-
ing now in respect of the dental field. A
dentist has an overwhelming lead over
almost everyone else. This is not what is
called a team effort under any condition.
This ability to mystify extends itself from
a very simple matter. One of the old argu-
ments used in an attempt to prevent a den-
turist making dentures was that a denturist
is unable to deal with major oral pathology
in the mouth. The first diagnostician of any
major pathology, or any pathology at all,
in the mouth is always the patient. He says
there is something bothering him and he is
going to see a guy to deal with the pain in
his mouth. There is no real major problem
of defining what the problem is. You feel the
pain and you go and see someone about it.
Both the medical and the dental profes-
sions have always produced this element of
mystery in an attempt to make sure that only
the profession can deal with it. The whole
field of both medicine and dentistry is mov-
ing now toward participation of the patient,
participation of the community, in spreading
the involvement in the practice itself to the
paraprofessionals, yet the government,,
prompted very strongly by the dental pro-
fession, has moved in a retrograde action to-
stem that new tide. Almost all of our tech-
nology, all of our theoreticians, state over
and over again that we must in fact have
other people besides the actual professional
delivering the service. And it is not enough
to deliver the service as an extension, as an
arm of a dentist or a physician; you have to-
train the other people to deliver the service
in a more autonomous fashion so that he or
she gets the job satisfaction and can do the
job better.
Nobody denies that you need training for
almost anything pertaining to the ailments
of the human body. We need training just as
much for a denture therapist as we need it
for a physician. The point I'm trying to make
is that to make dentures for a teeth-free
mouth is a fairly simple matter. It does not
necessarily involve six years of training or
extensive training as a denture therapist, nor
does it involve an expensive procedure, as
the dentists have claimed it does. It is a
fairly simple matter.
Though the denture therapists or denturists
need some training they are quite willing to
do it, but they have to be able to practise
autonomously afterwards. It is a simple mat-
ter and it would well behove the new
Minister of Health if he perceived this— that
we need not more professionalization of the
field but that we need less professionalization.
We need a more open health delivery system
in which the various members of the team
function in an integrated fashion but function
more autonomously of each other. This whole
concept of a team effort is that the people
co-operate as a team, not as if they were
in a military platoon in which there is only
one leader and everyone else obeys orders in-
stantaneously.
I know that even to debate this private
members' bill seems like an academic and
intellectual exercise, but both myself and the
member for Sudbury stand up to say that our
MARCH 11, 1974
151
approach toward the denturist is only part of
our approach to the whole health field, and
we state that we must move toward a more
intense community involvement, more intense
usage of paraprofessionals and more intense
participation of the patient himself.
I speak in support of this bill as a part
of an overall support to the long overdue
change in the health field. And though it's
truly a small group we are speaking of it is
very significant in terms of the whole ap-
proach which the government has shown up
to now in ignoring what are the major prob-
lems in the health care delivery system. May
I say again that it behoves the minister well
to listen to some of the remarks that people
have made so far because the whole matter
has been blown out of all proportion. It
would be a most graceful thing if he with-
drew it or (^hanged it or introduced a new
bill which would allow the group to practise,
after suitable training, what it wants to do
which is to make cheap dentures for the
people who need them.
Mr. Speaker: The hon. member for Wind-
sor-Walkerville.
Mr. B. Newman (Windsor-Walkerville):
Thank you, Mr. Speaker. I rise in support of
Bill 5, An Act to provide for the Practice of
Dental Prosthesis, as submitted by my leader,
and to support Bill 2, An Act to amend the
Denture Therapists Act.
Either one of the two bills, I think, would
resolve the issue of the dentists and den-
turists. There is hardly one of us in the
House who hasn't over the past two years—
especially approximately a year or two ago-
received not one but hundreds of letters from
both sides of the issue, both from the in-
dividuals requiring the services of denturists
as well as those who required the services of
dentists.
However, in my own particular riding, for
every one letter that I received in support of
the approach taken by the dentist I received
approximately four from people who had had
to use the services of denturists, and found
them to be most efficient; found them to be
satisfactory; likewise, found them to be
within their financial means.
Mr. Speaker, the legislation originally
started on June 26, 1972, when the then
Provincial Secretary for Social Development
( Mr. Welch ) introduced the original bill
permitting denturists to deal directly with
the public. This is just as it should have
been and we assumed that the government
was going to follow on with its original
plan. However, on Dec. 5, I recall I noted
at the time, when the Minister of Health
(Mr. Potter) submitted amendments to Bill
203 his amendments were in direct opposi-
tion to the intent of the bill and I brought
it to your attention. Others spoke on that
also, Mr. Speaker, and as a result that bill
was withdrawn and the government intro-
duced Bill 246 on July 6.
On Dec. 5, the Minister of Health made
the proverbial flip-flop and from being in
support of denturists working by themselves
and dealing directly with the pubHc, he in-
troduced legislation that would require them
to work under the supervision of a dentist.
From July 6, 1973, until January, 1974,
the denturists continued to practise without
any crackdown on the part of the Attorney
General's office. However, after the biU had
been in force for 13 months the government
decided it was going to raid selectively
certain denturists' clinics in an attempt to
crack doMTi on the denturists operating in
open defiance of the law. Why selectively,
Mr. Speaker? Surely, if the ministry thought
that the denturists were openly defying the
law and were not performing the services
of which they were capable, the ministry
should have gone after every single one of
the denturists operating throughout the Prov-
ince of Ontario.
Mr. Speaker, the former minister's tactics
on this issue can really be said to be nothing
but deplorable. I am sure that now the new
minister— and the former minister as well as
the government— knows that Bill 246 is a
piece of bad legislation the new minister is
having second thoughts and is trying his
darnedest right now to turn back the clock
to June 26, 1972, when the original bill,
which permitted denturists to deal directly
with the pubhc was introduced.
Mr. Speaker, ads in the papers even today
still carry the name of the hon. Mr. Potter
as being the Minister of Health. I know the
new minister will see to it that those ads
are no longer carried and that the govern-
ment will withdraw its original legislation or
accept the legislation that has been intro-
duced by my leader and make it a piece
of government legislation.
Mr. Speaker, the concern of the public
was so great that they presented hundreds
of petitions to various members throughout
the length and breadth of the province. I will
read only a few comments, a few lines out
of some of the letters.
The price I was quoted was $500. It
is far beyond the reach of the lower-income
152
ONTARIO LEGISLATURE
bracket and the senior citizens. Having a
set of dentures made by a denturist, I
was extremely happy with the end result.
[A second] Our province is one of the
most developed of all provinces. Should
it be necessary for a denturist to face a
jail term? In the rest of Canada, this prac-
tice has been made legal.
[A third comment talking about a den-
turisi] I feel he is quite capable of his
work. He has been doing the same thing
for dentists as he is doing now. Why can't
he do it for himself?
[A fourth comment] Why is it necessary
for a denturist in Ontario to face up to a
possible two years in jail term when in
other provinces, both in the east and the
west of us, this practice has been made
legal? I think it is about time the legisla-
tion realized the needs of the province in
this matter.
Mr. Speaker, I could come albng and read
from probably 200 different letters that I
have received. However, I would like to
close and allow the member from the gov-
ernment side to make his comments. I sug-
gest to you, Mr. Stpeaker, as well as to the
members on the government benches to put
common sense behind their thinking on Bill
246, realize that they have made a mistake,
admit they have made a mistake, accept the
bill introduced by my leader, resolve the
problems once and for all and allow the
denturists to work as they have requested.
No one for one minute would say that
the denturist should not be fully qualified.
We agree with their qualifications except
that we think that they have been doing a
good job in the past, The)^ are responsible
people. They are not fly-by-night operators
and they should be allowed to continue as
they have prior to the passing of Bill 246.
Thank you, Mr. Speaker.
Mr. Speaker: The hon. member for Scar-
borough Centre.
Mr. R. F. Nixon: What did we do to
deserve this?
Mr. Drea: The member wanted it and
now we're going to have to take it. Mr.
Speaker, if I could just start off on a pleasant,
conciliatory note, the government and partic-
ularly the members in this row of the gov-
ernment have always prided themselves upon
abundant common sense. That is why we
want no part of either one of these two bills
which were conceived in moments of frus-
tration.
Mr. R. F. Nixon: I'd sooner hear the mem-
ber for Wellington-Duff erin (Mr. Root) than
the member for Scarborough Centre if he
wants a common sense man.
Mr. Drea: Oh, I am a common sense man,
but after listening to what the Leader of the
Opposition churned out in the middle of the
afternoon, it's enough to make anybody frus-
trated. I can understand the frustration that
was there when he found two bills combined
into one and had to limit his remarks to a
few moments. I have only got four minutes
andi I want to make some points about com-
mon sense.
IFirst, how can you equate the training
that a dentist or a dental surgeon goes
through with the training that there is for a
denturist or a denture therapist? If you want
to tell me, Mr. Speaker, that all the train-
ing one needs to work on the inside of one's
mouth is so far not even a single course,
then, Mr. Speaker, I suggest to you we are
into the element that common sense is being
defied.
Secondly, Mr. Speaker, there has to be
an element of control in the situation, and
indeed the denturists themselves admit that
there is a very essential need* for control.
They propose that a certificate of oral health
be obtained from either a dentist, a dental
surgeon or a medical practitioner prior to
themselves operating and providing dentures
inside the mouth. This is a very frank ad-
mission, and I respect the denturists for this,
but it is a very candid admission that they
have not been specifically trained to cope
with the very many oral diseases.
Mr. J. R. Breithaupt (Kitchener): They are
not pretending to be.
Mr. Drea: I didn't suggest they were. I
said they are admitting they are not quali-
fied. My friend, the Leader of the Opposi-
tion, if he had any common sense, that is
why he should go along with the government
position because our concern is about the
protection of the individual.
Mr. R. F. Nixon: The member supported
the government position when it was just the
opposite. He supported the original bill
too. He doesn't know what he is going to
support. He will support whatever they tell
him from the front bench.
Mr. Drea: I didn't support the original
bill. If there was any common sense over
there, they would support our position be-
cause our position is quite basic.
MARCH 11, 1974
153
Mr. R. F. Nixon: The member still sup-
ports anything the front bench tell him.
iMr. Drea: We want control and there is
going to be control on people who by the
necessity of their occupation have to deal
with the inside of the human mouth. I was
on that committee that heard all of the
representations. There's one that comes back
to me over and over again— and it wasn't me
who asked a particular person — how does
one determine if there is anything wrong on
the inside of the mouth? That person, a
denturist, said, "I put my flashlight in and
I take a look." Mr. Speaker, at that point
common sense told me—
Mr. Gisbom: Does the member think he
would put his foot in?
Mr. Drea: —that these people should
operate under the supervision of a qualified
dentist or dental surgeon. I agree some of
the denturists are qualified. I agree a num-
ber of them have taken a particular course
and will pass the examinations that have
been set up by this Legislature. But, Mr.
Speaker, when there is no formal edtication
programme yet for a denturist—
An Hon. member: Whose fault?
Mr. Drea: It certainly isn't my fault. If
there's been such demand for it over the
years, where is it?
Mr. Rreithaupt: The member is putting
his mouth where his money is!
Mr. Drea: Mr. Speaker, there is no formal
education course yet for denturists. There
is a very brief upgrading course. There are
courses that will take a lab technician or
someone who has had a considerable amount
of experience with the fabrication of den-
tures and will put him into a position where
he can work under the supervision of a
dentist who has been very carefully and
very expensively trained to do his job for
society. I think that is the essence of the
government legislation. That is not to say
that at some future time, with a proper con-
trol mechanism, a proper education mechan-
ism and a number of things that my col-
league from Oxford has talked about, the
opportunity for the denture therapist or the
denturist or the other people in dentistry
to operate independently may not be here.
Mr. Speaker, I have about 15 seconds left
and I want to make the final crushing point
of the day.
Mr. Rreithaupt: Thanks for the warning!
Mr. Drea: Mr. Speaker, about an hour and
10 minutes ago this party was told there
should be a single rollback on a price and
how much better we would feel. It was this
party and it was the former health minister,
who did achieve a price rollback.
Mr. Rreithaupt: On what?
Mr. Drea: The reas'on I bring it up is it is
in this field. It was through the eff^orts of
the minister and this government and this
party that there is now a guaranteed price
of $180 for dentures done by a dentist en-
rolled under the plan that the minister
originated. Mr. Speaker, I must concede to
the leader of the NDP that the entire party
not only does feel better, we have felt better
for one long time.
Hon. Mr. Timbrell moves the adjourn-
ment of the" House.
Motion agreed to.
The House adjourned at 6 o'clock, p.m.
154 ONTARIO LEGISLATURE
CONTENTS
Monday, March 11, 1974
Consolidated Computer Inc., statement by Mr. Bennett 107
Withdrawal of teachers' services, questions of Mr. Davis: Mr. Deacon, Mr. Lewis,
Mr. W. Hodgson, Mr. Foulds, Mr. B. Newman 108
Consolidated Computer Inc., question of Mr. Bennett: Mr. Deacon 110
Management Board orders, questions of Mr. Winkler: Mr. Deacon, Mr. Singer,
Mr. Cassidy Ill
Law Reform Commission reports on family law, questions of Mr. Welch:
Mr. Deacon, Mr. Lewis, Mr. Singer, Mrs. Campbell Ill
Report on mineral production, questions of Mr. Bemier: Mr. Lewis 114
Withdrawal of teachers' services, question of Mr. Wells: Mr. Lewis 114
Tenders for civil service insurance package, questions of Mr. Winkler: Mr. Lewis 114
OHC budget, question of Mr. Handleman: Mr. Lewis 115
Day Nurseries Act regidations, questions of Mr. Brunelle: Mr. Lewis 115
Environmental impact of public works, questions of Mr. McKeough: Mr. Cassidy,
Mr. Lewis, Mr. MacDonald 115
Weekend road maintenance, questions of Mr. Bemier: Mr. Stokes 117
Ontario Building Code, questions of Mr. Clement: Mr. Givens, Mrs. Campbell 117
Physiotherapists' fees, questions of Mr. Miller: Mr. Shulman, Mr. Good 118
Vehicles on consignment, questions of Mr. Clement: Mr, EdighoflFer 119
Hydro board appointments, question of Mr. Davis: Mr. Stokes 119
Correctional centre training, question of Mr. Potter: Mr. Worton 119
Resale of HOME programme houses, questions of Mr. Handleman: Mr. Deans 120
Provincial park at Papineau Lake, questions of Mr. Bemier: Mr. Good 120
Negotiations on behalf of community colleges, question of Mr. Winkler: Mr. Bounsall 120
Presenting reports, Ontario Law Reform Commission re family property law, children,
and family courts, Mr. Welch 121
Presenting report, re York county board of education and the OSSTF, Mr. Winkler .... 122
Presenting copy, order of the Lieutenant Governor in Council, Mr. Welch 122
Tabling, report re investment policies of the municipal employees' retirement system,
Mr. Irvine 123
Protection of House Buyers Act, bill intituled, Mr. Givens, first reading 123
Resumption of the debate on the Speech from the Throne, Mr. Lewis 123
MARCH 11, 1974 155
Motion to adjourn debate, Mr. Wardle, agreed to 142
Private members' hour 142
Denture Therapists Act; Practice of Dental Prosthesis Act, on second reading,
Mr. Germa, Mr. R. F. Nixon, Mr. Parrott, Mr. Dukszta, Mr. B. Newman, Mr. Drea 142
Motion to adjourn, Mr. Timbrell, agreed to 153
No. 6
Ontario
Ht^i^Mnxt of Ontario
©eliateg
OFFICIAL REPORT — DAILY EDITION
Fourth Session of the Twenty-Ninth Legislature
Tuesday, March 12, 1974
Speaker: Honourable Allan Edward Reuter
Clerk: Roderick Lewis, QC
THE QUEEN'S PRINTER
PARLIAMENT BUILDINGS, TORONTO
1974
Price per session, $10.00. Address, Clerk of the House, Parliament Bldgs., Toronto
CONTENTS
(Daily index of proceedings appears at back of this issue.)
159
LEGISLATIVE ASSEMBLY OF ONTARIO
The House met today at 2 o'clock, p.m.
Prayers.
Mr. M. C. Germa (Sudbury): May I take
this opportunity of introducing to the House
150 students from Wembley Senior Public
School in the city of Sudbury, accompanied
by 10 adults. The party is under the direction
of Mr. Wayne Bailey.
This large group of students and parents
have journeyed from the city of Sudbury to
be with us this afternoon.
Mr. Speaker: Statements by the ministry?
LAW REFORM COMMISSION REPORT
ON FAMILY LAW
Hon. R. Welch (Provincial Secretary for
Justice and Attorney General ) : I would like
to clarify for the hon. members of this House
some comments that were made yesterday
during the question period. Following a short
briefing with members of my staff, I was
under the impression that all representatives
of the media who received advance copies of
the three reports of the Law Reform Com-
mission tabled yesterday had first approached
us to request those reports.
In subsequent discussions I have now
learned that this was not the case with one
media representative. I wish to correct at this
time any wrong impression that my comments
of yesterday may have left with members of
the House.
Mr. V. M. Singer (Downsview): The min-
ister created several.
Mr. Speaker: Oral questions. The hon.
Leader of the Opposition.
ROOMING HOUSE SAFETY STANDARDS
Mr. R. F. Nixon (Leader of the Opposi-
tion): In the absence of the Premier (Mr.
Davis) and the Minister of Education (Mr.
Wells), I wiU ask a question of the Minister
of Housing, to inquire whether he has taken
any decision himself, or consulted with his
colleagues, about the obvious need for some
Tuesday, March 12, 1974
imposition of province-wide standards for
rooming house safety. Does he believe this
can be left entirely to the municipalities con-
cerned or isi there, in fact, some thought that
a provincial intrusion in this matter might be
warranted under the circumstances that saw
the death of, I believe seven people in
Toronto last week?
Hon. S. B. Handleman (Minister of Hous-
ing): Mr. Speaker, this matter has not been
discussed in the ministry during my tenure. I
certainly would be pleased to raise it with the
staff, to ascertain first of all what our powers
are and how the matter is handled. I would
be glad to receive suggestions from the hon.
Leader of the Opposition as to how he thinks
this matter might be handled. I am prepared
to accept reasonable suggestions from any
Mr. R. F. Nixon: Supplementary: Would
the minister not agree that, while this would
not form a part of a provincial building code
directly, it could very well take the form of
something that could be a provincial safety
code which could establish the minimum re-
quirements for the municipalities to live up
to, and if necessary provide an inspection
service, at least on demand, for citizens who
might be concerned that it appears the matter
is not being adequately looked after at the
municipal level?
Hon. Mr. Handleman: Mr. Speaker, my
limited understanding of the problem is that
there are very few competent housing inspec-
tors available to the municipalities, and per-
haps the province can assist in that respect.
I would like to discuss it with my colleague
the Minister of Consumer and Commercial
Relations (Mr. Clement) in regard to the
establishment of a building code, because it
is quite possible that a strengthened building
code might be part of the solution.
SEVERANCE PAYMENT TO
AGENT GENERAL
Mr. R. F. Nixon: I would like to ask the
Chairman of the Management Board if he
recalls approving the decision that resulted in
a full year's pay being granted to the person
160
ONTARIO LEGISLATURE
formerly in charge of Ontario House in
London, England; which action has been
recently criticized by the Provincial Auditor,
Was that payment a severance payment the
Provincial Auditor said was made in contra-
vention of provincial regulations, was it in
fact made simply to create a vacancy so that
Mr. Ward Cornell could be appointed Agent
General— Ward Cornell, who was the chair-
man of the campaign committee for the
Treasurer (Mr. White),
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): I doubt very much
if that assumption is correct, but I'll have to
investigate the records to determine at what
time the decision was made,
Mr. Singer: By way of supplementary,
could the Chairman of Management Board
tell us why Mr, Rowan-Legg, who was
packed and on his way back to London,
England, was hauled off the plane and told
he was being replaced; and whether that
sudden decision had anything to do with
the inordinate expenditures mentioned by the
accountant?
Hon. Mr. Winkler: I really don't think
that's correct at all, but I'm not sure,
Mr. Singer: It is correct,
Mr. M. Cassidy (Ottawa Centre): The
government pays patronage every day of
the week; sure it does,
Hon. Mr. Winkler: I'm not sure of that.
If that detail is correct I'll have to have a
look at it; but I refuse to accept it,
Mr. J. A. Renwick (Riverdale): He was
replaced by Ward Cornell,
Mr. R. F. Nixon: Will the minister under-
take to report to the House the circumstances
which led Management Board to approve
this specific payment? Would he also report
to the House on the position taken by the
auditor, that it was beyond the scope of the
regulations to permit severance payments of
that size, so that in fact we can have some
guidelines to go by, since the government
seems to be severing a good many of its
high-priced employees and replacing them
with some of its closer friends?
Hon. Mr. Winkler: I'll accept the question
as notice,
Mr. J. E. Bullbrook (Samia): The minister
doesn't dare sever the member for Lambton
(Mr. Henderson),
Mr. Cassidy: What about the patronage
appointment of the member for Carleton East
(Mr. Lawrence) which just came about?
Mr. Speaker: The hon. member for Scar-
borough West.
APPOINTMENT OF CSAO
ARBITRATION MEDIATOR
Mr. S. Lewis (Scarborough West): A ques-
tion, Mr, Speaker, of the Chairman of Man-
agement Board: Can the Chairman of the
Management Board explain why, when he was
informed on Feb. 4 by Mr. Rose, the counsel
and registrar of the Ontario Labour Manage-
ment Arbitration Commission dealing in the
present governmental negotiations with the
Civil Service Association of Ontario, that
Howard Brov^oa would not be able to be a
mediator in the current items under dispute,
that to this day, March 12, there has been
no response, either from government or from
the arbitration commission, to the request
for the appointment of another mediator?
Hon. Mr. Winkler: Mr, Speaker, I am not
aware of that subject matter. It probably
should be directed to the Minister of Labour
(Mr. Guindon), but I'll take the question.
Mrs. M. Campbell (St. George): If he were
ever here,
Mr. A. J. Roy (Ottawa East): The minister
of who?
Mr. Lewis: I presume the negotiations with
the Civil Service Association have something
to do with the Chairman of Management
Board and that another five to six weeks have
elapsed in a progressively deteriorating rela-
tionship around a number of important items;
I'd like to know why the minister is allowing
that to continue,
Hon. Mr. Winkler: I have made this state-
ment before in the House, Mr. Speaker. We
are prepared to go to the bargaining table
at any time. The items which are under dis-
pute are not the fault of the people who are
acting on behalf of the Civil Service Com-
mission,
Mr. Lewis: How is it that five weeks elapse
without even a reply to a letter requesting
further mediation? Can the minister explain
that?
Hon. Mr. Winkler: No. I am not aware of
that letter.
Mr. Lewis: Fine.
Hon. Mr. Winkler: I'll check the records
in that regard.
MARCH 12, 1974
161
Mr. I. Deans (Wentworth): How does he
know?
Hon. Mr. Winkler: I will repeat that we
have made our offers on quite a number of
occasions and we are prepared to return to
the table on any day that the other side is
prepared to do so.
Hon. Mr. Davis: Unlike the member we
don't operate that way.
Mr. Roy: No? Oh no!
Mr. Speaker: Has the hon. member for
Scarborough West no further questions?
All right, the hon, member for Downsview,
LEMOINE POINT
Mr. Lewis: A question, Mr. Speaker, of
the Minister of Natural Resources: Is the
government yet in a position to make a con-
crete offer for Lemoine Point to be used as
a provincial park? Has that point arrived?
Hon. L. Bemier (Minister of Natural Re-
sources): No, Mr. Speaker, we are not in that
position yet.
Mr. Lewis: By way of supplementary, do
I take it that after the appraisal is com-
pleted—I believe the appraisal is, in fact,
completed— it is the minister's intention to
collaborate with the conservation authority
in the acquisition of the land?
Hon. Mr. Bemier: Mr. Speaker, I have
not heard from the conservation authorities
or even my own ministry with regard to the
appraisals; when that information is received,
I'll take the appropriate steps.
WITHDRAWAL OF TEACHERS'
SERVICES
Mr. Lewis: May I ask the Premier if he
wishes to report on any aspect of the state
of affairs in York county and the negotiations
that may or may not be taking place? I don't
know.
Hon. W. G. Davis (Premier): No, Mr.
Speaker, there is nothing new to report. I
anticipate the minister may have something
to suggest to the House a little later on this
afternoon.
Mr. R. F. Nixon: A supplementary: Is
the Premier indicating that the Minister
of Education will make a statement or
simply introduce legislation, or a combination
of the two?
Hon. Mr. Davis: Mr, Speaker, the minister
will be here fairly soon, and I'm sure if
the member for Brant wishes to ask a ques-
tion he would be quite prepared to answer
it.
Mr. Roy: It can't be very good or the
Premier would be making it himself.
ADMINISTRATION OF COURTS
Mr. Singer: Mr, Speaker, I have a ques-
tion of the Attorney General, Could the
Attorney General tell me if he is persisting
in the view held by his predecessor that the
system for administration of the courts should
be a part of his department rather than
an independent group, bearing in mind the
very strong objections to this approach made
by the treasurer of the Law Society of
Upper Canada and the very strong feelings
expressed by several members of the judiciary.
Hon. Mr. Welch: Mr. Speaker, the hon.
member will recall that at the time of the
tabling of the report dealing with that
subject matter, a fairly lengthy statement
was made by my predecessor, which repre-
sents government policy at this moment.
Mr. Singer: Mr. Speaker, by way of
supplementary, is that government policy
under review or does it remain as irrevocable
as the laws of the Medes and the Persians?
Hon. Mr. Welch: Mr. Speaker, as part of
that statement, the hon. member will recall
there was to be a fair emphasis with respect
to consultation with all those affected. Indeed,
the Speech from the Throne made some
reference to that. Following a review with
those who are in fact interested in that
subject, and we hope that interest would
be quite widespread, we would then make
some further announcement insofar as im-
plementation is concerned.
Mr. Singer: Oh, so what the minister's
predecessor said is not necessarily effective.
Hon. Mr. Welch: No, I don't think that's
a fair assumption, I think the statement of
my predecessor has to be taken in its
totality and the question of consultation is
part of that,
Mr. Singer: Oh yes, subject to consulta-
tion.
Mr. Roy: Supplementary, Mr. Speaker,
Mr. Speaker: Supplementary.
Mr. Roy: If I might, I would ask the
minister when we can expect to see legisla-
162
ONTARIO LEGISLATURE
Hon implementing this policy that he talked
about with his predecessor. Can we expect
it this session?
Hon. Mr. Welch: Mr. Speaker, if the hon.
member will recall, there was reference made
to that in the Speech from the Throne, par-
ticularly the regionalization insofar as the
court system is concerned. Legislation will
be coming forward. But I want to underline
what the Speech from the Throne said and
what I have said in response to the hon.
member for Downsview's question, that there
has to be some opportunity for people
vitally interested in this subject in fact to
make their views known as well.
Mr. Singer: Like the treasurer of the Law
Society.
Hon. Mr. Welch: So the actual timing of
this, of course, will depend to some extent
on the degree and the scale or scope of that
type of discussion.
Mr. Singer: Yes, doesn't that mean a
change in policy?
Mr. J. E. Stokes (Thunder Bay): Supple-
mentary: Has the new Attorney General had
an opportunity to read a letter he got from
eminent members of the legal profession in
Thunder Bay asking him to review the
previous stand taken by his predecessor and
to assure the public generally that there
will be no obvious or less-than-obvious con-
flict of interest between the various factions
within the Attorney General's ministry?
Mr. R. F. Nixon: And all their conflicts
of interest in office.
Hon. Mr. Welch: Mr. Speaker, certainly
the correspondence to which the hon. mem-
ber makes reference is part of the review.
I can assure the hon. member that this will
be taken into account.
Mr. Speaker: The hon. member for Port
Arthur is next.
ROUTE OF PETROLEUM PIPELINE
Mr. J. F. Foulds (Port Arthur): A question,
Mr. Speaker, of the Minister of Energy: Did
the provincial cabinet take into account,
when it decided to accede to the federal
government's decision to go ahead with the
Sarnia-Montreal oil pipeline, the fact that the
Sault Ste. Marie-Montreal link ultimately
would cost less because it would be an
integral part of the all-Canadian route?
Hon. W. D. McKeough (Minister of
Energy): With respect, I am not quite sure
what the member is driving at. Presumably
if one is talking about miles of pipeline, addi-
tional pipeline is going to cost more, not less.
I think what one has to consider is that the
pipelines presently through the United States,
either to St. Ignace and down or around the
south shore of Lake Michigan, have to be
filled to pay for them. I think it's a real
possibility that if you build more pipelines,
then someone is going to have to pay for the
unfilled pipelines. So I am not sure that the
assumption on which the member's question
is made is entirely correct. It may well prove
to be, but I am not sure that at this moment
that's clear.
Mr. Foulds: In view of the minister's
answer, in view of the fact that in Ontario
we will ultimately have two pipelines, one
coming through southern Ontario and one go-
ing through the north, does not the govern-
ment's assumption of the unfilled pipeline
cost factor, in fact indicate that the doubling
that it is now going through would lead to
those results?
Hon. Mr. McKeough: The hon. member is
making an assumption— and I hope he's com-
pletely right— that there will in fact be oil
to fill both pipelines. That is not entirely
clear at this moment.
Mr. Foulds: A supplementary then, Mr.
Speaker: Would not the northern route have
lent itself to the possibility of the use of oil
from the arctic islands and the Hudson Bay
lowlands, and thus save costs there if those
finds prove to be commercial?
Hon. Mr. McKeough: But not to the use
of oil which may be found on the east coast,
which at this moment I think is a better
probability than the discoveries which the
hon. member has mentioned. I hope we're
both right.
Mr. Foulds: Yes, but surely—
Mr. Speaker: The hon. member for Rainy
River.
Mr. Foulds: Supplementary?
Mr. Bullbrook: I don't think the member
is going to get that pipeline up there.
Mr. Foulds: That's because the member for
Samia's federal guys and those provincial
guys chickened out!
MARCH 12, 1974
163
EXTENSION OF NORONTAIR SERVICE
Mr. T. P. Reid (Rainy River): Mr. Speaker,
I have a question of thei Minister of Trans-
portation and Communications in regard to
the Throne Speech announcing norOntair in
northwestern Ontario. Is the minister in a
position to tell us today those four communr
ities that will be served by this system and
when the minister expects this system will
come into being?
Hon. J. R. Rhodes (Minister of Transporta-
tion and Communications): Mr. Speaker, the
four communities that were referredi to are
the communities of Fort Frances, Drydten,
Tliunder Bay and Red Lake. Those are the
four conmiunities. I can't give the member a
definite time when this particular service vdll
start. It is being looked at very seriously in
the ministr}" at the present time.
Mr, Reid: Spring? Summer? Fall?
Hon. Mr. Rhodes: I can't give the member
a definite time. I would hate to do that be-
cause I know he'll come back at me very
quickly.
Mr. Reid: This year?
Hon. Mr. Rhodes: If I may steal a phrase
from my colleague, the Minister of Health
(Mr. Miller), "in the fullness of time."
Mr. Speaker: The hon. member for Sud-
burv East.
Mr. P. D. Lawlor (Lakeshore): That was
not \ery original.
Hon. Mr. Davis: It goes back before that
time.
ASSISTANCE TO EMERGING SERVICES
Mr. E. W. Martel (Sudbury East): A ques-
tion of the Minister of Conomunity and Social
Services: Based on the six recommendations
made by David Cole of the ministry, and
apparently concurred in by the Attorney
General when he held the social policy min-
istry, has the government now decided how
it intends to fund the emerging services which
are in such financial straits, not only here in
Toronto but in other parts of the province?
Hon. R. Brunelle (Minister of Community
and Social Services): Mr. Speaker, is the
member referring to information centres? I
missed part of his question. Which services
is he-
Mr. Cassidy: Boy! Is the minister ever in
touch!
Mr. Martel: I'm referring to the six
recommendations made by David Cole of
this ministry to assist the emerging services,
primarily the LIP groups, which have de-
veloped into emergency services. Mr. Cole
of the ministry has made six recommenda-
tions. Is the government now in a position
to indicate how it intends to financially assist
these groups, which include the information
services, but also co-ops and so on?
Hon. Mr. Brunelle: Mr. Speaker, we are
funding many organizations which meet our
criteria, and as the hon. member probably
knows there will be a meeting with the
various Metro groups with reference to vari-
ous requested assets. This meeting will be
held soon. We are presently funding several
of these organizations.
Mr. Renwick: Why doesn't the minister
take it as notice and find out?
Mr. Martel: A supplementary question, Mr.
Speaker: In view of the fact that the minis-
ter is subsidizing to the tune of only $85,000,
and that all of the agencies involved are
Metro agencies, and in view of the fact he is
meeting on Friday afternoon, doesn't he
think the government should be in a position
at this time to indicate to the House how it
intends to assist these groups?
Hon. Mr. Brunelle: Mr. Speaker, again, as
the hon. member mentioned, we are meeting
this group soon and we will be indicating to
them what assistance will be provided.
Mr. Martel: Doesn't the minister think the
House should know?
Hon. Mr. Brunelle: Yes.
Mr. Deans: Doesn't he think we should
know?
Mr. Speaker: The hon. member for Water-
loo North.
REPORT ON CONESTOGA COLLEGE
Mr. E. R. Good (Waterloo North): Thank
you, Mr. Speaker, I have a question of the
Minister of Colleges and Universities. Could
the minister inform the House what action is
being taken regarding the recommendations
in Dr. Porter's report on the administrative
problems at Conestoga College?
Hon. J. A. C. Auld (Minister of Colleges
and Universities): I will attempt to do so in
a day or two. I haven't read the report yet,
but I will find out what is going on.
164
ONTARIO LEGISLATURE
Mr. Roy: Not yet? He has been minister
for two weeks now.
Mr. Speaker: The hon. member for Sud-
bury.
COST OF ADVERTISING
DENTURE PROGRAMME
Mr. Germa: Mr. Speaker, a question of the
Minister of Health: With reference to all
this fancy advertising I see in the newspapers
regarding the low-cost denture programme,
could he tell the House the total cost of this
programme? And secondly, how does he
justify spending public funds to promote
private business?
Mr. R, F. Nixon: The hon. member for
Ottawa East asked that earlier this week.
Mr. Roy: I asked him that last week, but
he didn't have a very good answer for me.
Hon. F. S. Miller (Minister of Health): He
didn't ask me that last week, I'm quite sure
of that.
Mr. R. F. Nixon: Let the minister see il
he can improve on the answer,
Hon. Mr. Miller: Yes; the total cost of the
programme, I am told, was $30,000. The
iustification for the programme would be that
of almost any governmental programme of
information. A programme of providing low-
cost dentures was made available and it was
necessary to let the people know about that
programme and its availability in their imme-
diate area.
Mr. Martel: It is called back scratching.
Mr. Roy: I am glad he didn't say, "in the
fullness of time."
Mr. Speaker: The hon. Minister of Housing
has the answer to a question-
Mr. Germa: A supplementary, Mr. Speaker.
Mr. L. A. Braithwaite (Etobicoke): Supple-
mentary.
Mr. Speaker: Well, I think the member
who asked the question is entitled to one
supplementary.
Mr. Germa: Mr. Speaker, I wonder how
the minister would justify including the
names and addresses of dentists as being
public information or governmental informa-
tion?
Hon. G. A. Kerr (Solicitor General): Den-
tists serve the public, don't they?
Hon. Mr. Miller: Interestingly enough, a
number of municipalities, and particularly
the welfare groups in them and people in
the communities, had clamoured for a listing
of the names of the dentists who were avail-
able to provide the service and who had
volunteered to do so.
Mr. Roy: Why didn't the dentists do it?
An hon. member: There were only two.
Hon. Mr. Miller: I think the average is a
little better than that. I think probably one
out of five licensed dentists in the Province
of Ontario are participating. There were
about 600 names.
Interjections by hon. members.
Mr. Speaker: There was a supplementary;
the hon. member for Etobicoke.
Mr. Braithwaite: Will the minister state
whether his department condones the placing
of advertisements by private dentists, adver-
tising the fact they have tbese technicians?
And in the light of the same advertisements
placed by these dentists, does the 830,000
to whic^h the minister referred include the
cost of these advertisements or have the
dentists paid for these themselves?
Hon. Mr. Miller: I'm not specifically aware
of the privately-placed advertisements. I
understand that advertising by dentists as
such is governed by the regulations written
by the Royal College of Dental Surgeons of
Ontario and that they would have to operate
under the constraints of those regulations.
Mr. Braithwaite: A further supplementary:
in view of the fact that this matter has
already been brought to the attention of the
minister's predecessor in the House, and
since there have been individual dentists who
have been putting these sort of advertise-
ments in local papers, would the minister
look into this matter and report back to this
House as to what steps his mmistry is
taking?
Secondly, I don't think I got an answer as
to whether or not these ads have been paid
for by the government out of the S30,00G
to which the minister referred.
Hon. Mr. Miller: I think the hon. member
and I would need to look at specific adver-
tisements to decide what he was talking
about. Certainly we paid for no advertise-
MARCH 12, 1974
165
merits otiher than the ones the member for
Sudbury has just shown us.
Mr. Roy: A full-page ad.
Hon. Mr. Miller: As I understand, there
were some advertisements placed by the
Ontario Dental Association, which did not
name specific dentists but, in the main, gave
the fact that low-cost denture service was
available, and I believe a number to which a
person could call for information. It is also
my understanding that these advertisements
were paid for by the association rather than
by individual dentists in that group.
Mr. Speaker: The hon. Minister of Hous-
ing.
OHC BUDGET
Hon. Mr. Handleman: Thank you, Mr.
Speaker. The hon. member for Scarborough
West asked yesterday: In the light of the
vigorous housing efforts planned, Why have
the budget estimates of OHC dropped by
S20 million, according to the most recent
issue-Jan. 31, 1974, table 5-of Ontario
finances? They are down from $69 million to
$49 million.
I'm now in a position to advise the hon.
member that the ministry informed the
Treasurer, for his quarterly report, that in the
last quarter of the year we were going to
underspend our mortgage requirements by
$20 million.
Mr. Deans: Why?
Hon. Mr. Handleman: The reason for this
is that in the previous fiscal year OHC
stopped lending money on high-rise con-
dominiums since there were adequate private
funds flowing into that area of the housing
market and the supply of such housing at
that time was sufficient. This decision re-
sulted in lower commitments of funds and
hence lower cash flows for 1973-1974. It has
no bearing on our budget for 1974-1975.
Interjections by hon. members.
Mr. Lewis: A supplementary: Is the min-
ister telling the House then that there wasn't
sufficient imagination within the Ontario
Housing Corp., or within the Ministry of
Housing, to find an alternative use for the
$20 million, given the housing crisis in On-
tario? Are they that bankrupt as a depart-
ment?
Hon. Mr. Handleman: No, Mr. Speaker, I
was not suggesting that at all. I am sug-
gesting that there was a change in the cash
flow and the mortgaging requirements of
OHC.
Mr. Singer: Oh nonsense.
Mr. Lewis: The money was dormant; like
everything else in housing.
Mr. Deans: I think to say there were not
sufficient people looking for mortgages-
Mr. Speaker: Is this a supplementary?
Mr. Deans: I did say that. I'm sorry.
Mr. Speaker: Well there was so much
noise I didn't hear the hon. member. If that
was a supplementary ITl permit it.
Mr. Deans: Is the minister saying that
there were not sufficient numbers of people
looking for mortgages that that $20 million
couldn't have been utilized?
Hon. Mr. Handleman: Mr. Speaker, it is
not a function of OHC to supplement the
mortgage market in this province.
Mr. Lewis: Of course it is. That is what
the money was there for.
Interjections by hon. members.
Hon. Mr. Handleman: The hon. members
would have been the first to complain if we
had diverted mortgage money from one area
to another without the authority.
Mr. Lewis: No we would not.
Hon. Mr. Handleman: Of course the\
would.
Mr. Lewis: On a point of order: We would
not have complained had the minister di-
verted that mortgage money from condomin-
iums into low- or middle-income housing,
not at all.
Mr. Speaker: Order.
Mr. Lewis: Why didn't he?
Mr. Speaker: The hon. member for Kent.
Mr. Singer: Terrible bankniptcy of imag-
ination.
U.S.-CANADA FREIGHT SURCHARGE
Mr. J. P. Spence (Kent): Mr. Speaker, I
have a question of the Minister of Trans-
portation and Communications. Is the minis-
ter aware that two weeks ago the United
States interstate commerce commission im-
166
ONTARIO LEGISLATURE
posed a six per cent surcharge tax on freight,
which is being applied the entire distance
from the American port of origin to the
Canadian destination, whereas a surcharge
should only apply as far as a Canadian point
of entr>?
Mr. Roy: Good question.
Hon. Mr. Rhodes: It is an excellent question.
Mr. Speaker, no, I was not aware that this
was so and I would appreciate if the
hon. member can make the information avail-
able to me. I will certainly look into that
situation.
Mr. Speaker: The Minister of Natural Re-
sources has the answer to a question asked
previously.
COMMUNICATIONS-6 INC.
Hon. Mr. Bernier: Mr. Speaker, the hon.
member for Downsview asked me a question
last week. He wanted me to explain: "the
basis on which payments in the amount of
$59,578 were made to a firm of consultants
and writers on public relations to manage
the information and public relations pro-
gramme for the historical parks in that
year." He also wanted to know who they
were, who found them and on whose au-
thority this expenditure was made.
He asked further, by way of supplementary:
"Could the minister shed a little light on
who Communications-6 Inc. really is?"
My reply is that in the formation of the
new government ministries on April 1, 1972,
the direction of the Huronia historical parks
of the former Department of Tourism and
Information was assigned to the new Ministry
of Natural Resources. Prior to this transfer,
the Department of Tourism and Information
had established in 1968 a committee of
senior officials, including the deputy minister
of that department, to select a firm to develop
a public relations and publications pro-
gramme for Huronia historical parks. This
committee requested several public relations
firms to submit formal presentations, and
following an analysis of these presentations
the firm of Communications-6 Inc. was
selected.
On the basis of satisfactory past per-
formance, the details of the annual public
relations programme were established each
year by the director of the historical sites
branch and transmitted to the consultants.
A similar arrangement was negotiated and
confirmed in May, 1973, for the 1973-1974
fiscal year, with the same firm based on their
performance in 1972. On the basis of this
arrangement my ministry approved the
accounts for payment. Subsequently, in ac-
cordance with normal ministry policy, the
director of our historical sites branch, whose
duties include the management of the
Huronia historical parks, was informed that
in future proposals must be invited from
several public relations firms and Manage-
ment Board approval obtained for the award
of that contract.
In this connection I might add, and also
inform the members, that some two weeks
ago we invited proposals from 16 firms for
the forthcoming season.
The firm of Communications-6 Inc. has
its head office in Montreal with a major
office in Toronto and affiliations in Ottawa,
New York, London, Paris and Brussels. The
president is Mr. C. R. Ha worth and we were
advised by Mr. Ha worth that the firm was
incorporated in December, 1963.
Mr. Speaker: The hon. Minister of Col-
leges and Universities has the answer to
a previous question.
Mr. Foulds: Has he been here before?
REPORT ON CONESTAGA COLLEGE
Hon. Mr. Auld: Mr. Speaker, I have
checked my files and I have the answer to
a question which the hon. member asked a
moment ago.
I understand that in November the board
of governors approached my predecessor to
ask him to institute a study of all aspects of
the operation of the college. My predecessor
appointed Dr. Arthur Porter of the University
of Toronto. He submitted his report on Feb.
10 and the college board is dealing vdth it.
Mr. Good: A supplementary then, Mr.
Speaker: Since the minister authorized the
investigation into the administration of the
college, is the ministry not inserting itself into
the matter any further in view of the dif-
ference of opinion, in the published report,
between the faculty and the administrative
stafi^ at the college?
Hon. Mr. Auld: Mr. Speaker, my under-
standing is that the minister simply appointed
a person to look into the situation at the
request of the college board and the college
board, as part of its responsibility, has taken
the report and is going to deal with it.
MARCH 12, 1974
167
Mr. Speaker: I believe the hon. Minister
of Housing has the answer to another ques-
tion.
Hon. Mr. Handleman: Mr. Speaker, I have
the answer to a question asked by the mem-
ber for Wentvvorth yesterday. However, the
hon. member has kindly informed me that he
has additional information which I suggested
he supply, so perhaps I could defer the
answer to his question until I've received that
infonnation.
Mr. Royi Good' idea; sit down.
Mr. Speaker: I believe it iS' the New Demo-
cratic Party's turn. The hon. member for
S and'wich-Riverside.
PENSIONS FOR PERMANENTLY
DISABLED WORKMEN
. Mr. F. A. Burr (Sandwich-Riverside): Mr.
Speaker, 1. have a question of the Premier-
Mr. Martel: If the member can get his
attention.
Mr. Burr: —regarding pensions for per-
manently disabled workmen. Is there any
other pension, federal or provincial, that has
not been escalated, within let us say the last
10 years?
Hon. Mr. Davis: Mr. Speaker, I will have
to get that information for the hon. member.
I don't know, but I shall endeavour to find
out.
Mr. Burr: Supplementary question, Mr.
Speaker: Is there anything about injured
workmen that makes them impervious to the
effects of inflation, and did the remarks' in
the Throne Speech indicate that some hel'p
was on its way to these people?
Hon.: Mr.\ Davis: Mr. Speaker, to answer
the first part of the question, there is nothing
that I know of that makes injured' workmen
or any dther group in this society impervious
to the effects of inflation.
As far . as , the second part of the question
is concerned, quite obviously matters of gov-
ernment policy will be announced here in the
House at the appropriate time.
Mr. Martel: Oh, the Premier just wags his
finger at Ottawa all the time and says what
they are not doing.
Hon. Mr. Davis: We wouldn't do that.
Mr. Speaker: The hon. member for Peel
South.
VETERANS' LAND ACT
Mr. R. D. Kennedy (Peel South): Mr.
Speaker, I have a question of the Minister of
Housing.
Mr. R. F. Ruston (Essex-Kent): A member
of cabinet.
Mr. Deans: Why doesn't the member ask
him when he is in^ cabinet meetings?
Mr. Roy: Is the member dissatisfied with
him too?
Mr. Kennedy: In view of the housing needs
here and the impending closedowoi of the
Veterans' Land Act on March 31, I was
wondering if the minister would communicate
with the federal Minister of Veterans' Affairs
to determine if this is under reconsideration
and if indeed a continuation is warranted?
Mr. Lewis: It depends on the federal
Tories.
Mr. Bullbrook: Very good question.
Mr. Singer: Twenty million dollars the
government didn't use would have financed
a lot of houses.
Hon. Mr. Handleman: Mr. Speaker, the
provisions of the Veterans' Land Act have in
fact-
Mr. J. R. Breithaupt (Kitchener): That Act
is as old as this government.
Hon. J. W. Snow (Minister of Government
Services): Not quite.
Mr. Kennedy: It's been a very successful
Act.
Hon. Mr. Handleman: It has been a very
successful Act.
Interjections by hon, members.
Mr. Speaker: Ordter.
Hon. Mr. Handleman: Mr. Speaker, there
has been a very successful programme imder
the Veterans' Land Act.
Mr. Bullbrook: Why doesn't the minister
take this question as notice? Take it as notice.
Mr. Lewis: He can't reply to this kind of
question wdthout advance information. He'd
best take it as notice.
Hon. Mr. Handleman: I don't need it. I
will be meeting with the hon. Mr. Basford
in a couple of weeks. I understand it is due
to expire within that period; however, I will
168
ONTARIO LEGISLATURE
be discussing it with him. I think it is a sound
suggestion, if that interest rate can be main-
tained imder present-day conditions.
Mr. Singer: He isn't the Minister of
Veterans* Affairs.
Mr. Bullbrook: Is the member satisfied with
that answer?
Mr. Speaker: There were about five mem-
bers of the Liberal Party, and I am certain I
don't know who was first.
Mr. Bullbrook: The fellow he is meeting
has nothing to do with veterans* aflPairs. Is
the member satisfied with that?
Mr. Speaker: Order, please. There are at
least four members before the hon. member
for York Centre (Mr. Deacon). The hon. mem-
ber for Windsor- Walkerville, I think.
SALES TAX ON SPORTS EQUIPMENT
Mr. B. Newman (Windsor- Walkerville):
Thank you, Mr. Speaker. I have a question
of the Minister of Revenue, if I can get his
attention. As he is walking back to his seat,
I would like to go on with the question—
Hon. A. K. Meen (Minister of Revenue):
Me?
Mr. Roy: Yes.
Mr. B. Newman: He is the minister.
Mr. Roy: Yes, he is the fellow.
Mr. Good: He's not quite sure yet.
Mr. Martel: It was so long in coming.
Mr. B. Newman: In the interest of pro-
moting fitness and encouraging greater par-
ticipation in amateur sport, is the minister
considering eliminating the sales tax on
sports equipment that is purchased by organ-
ized amateur sports organizations, especially
those recognized by the Ministry of Com-
munity and Social Services?
Hon. Mr. Meen: Mr. Speaker, my Ministry
of Revenue administers the laws as estab-
lished by this Legislature, and particularly
as recommended by the Treasurer and Min-
ister of Economics and Intergovernmental
Affairs. I don't think it would be fair to say
that I was considering that.
I suppose it is fair to say that since the
Retail Sales Tax Act does come under my
ministry we have occasion to review matters
such as this, but the final decision is not one
that is in my hands alone.
Mr. R. F. Nixon: That's right.
Mr. Speaker: The hon. member for Wind-
sor West.
Mr. B. Newman: A supplementary, Mr.
Speaker.
Mr. Speaker: A supplementary? Yes.
Mr. B. Newman: May I ask the minister
if he is considering issuing exemption certifi-
cates to amateur sports organizations in the
same way that exemption certificates are
issued to school boards so they may purchase
athletic equipment and not pay the sales
tax?
Hon. Mr. Meen: Mr. Speaker, that is a
matter I have been looking at, but it off^ers
a considerable number of problems and I am
not at this time prepared to say I would
issue such a certificate.
Mr. Singer: It is under review, as the
front bench says. Everything is under review.
Mr. Speaker: The hon. member for Wind-
sor West.
RECONSTRUCTION OF HIGHWAY 401
NEAR WINDSOR
Mr. E. J. Bounsall (Windsor West): A ques-
tion of the Minister of Transportation and
Communications.
Mr. Martel: That is the minister.
Mr. Bounsall: Mr. Speaker, where is the
schedule for reconstruction of the right-hand
lane of Highway 401 proceeding westward
to Windsor, from about 10 to 15 miles out,
which for the last five to seven years has
been reminiscent of the old corduroy roads
in northern Ontario? It was supposed to be
started and completed this spring and sum-
mer-
Mr. Foulds: There are new corduroy roads
in northern Ontario.
Mr. Martel: He forgot all about those
roads. Some of his best speeches in the
House have been about roads.
Mr. Stokes: What about the new corduro\-
roads in northern Ontario?
Hon. Mr. Rhodes: Mr. Speaker, I would
like very much to answer the hon. member's
question if I could have heard him behind
the noise made by his colleagues. I think he
referred to Highway 401, but if they would
MARCH 12, 1974
169
quieten down for him I would be pleased
to hear it again.
Mr. Martel: No one said a word.
Mr. Bounsall: It is about a portion of 10
to 15 miles out of Windsor, heading west,
the right hand lane, which has been remi-
niscent of the northern corduroy roads for
the last five to seven years.
Mr. Ruston: All the rates are up.
Mr. Bounsall: When will the construction
start, and will it be commenced and finished
this summer?
Mr. Ruston: The contract's been let.
Hon. Mr. Rhodes: I can't give the member
a direct answer at this time. I will be pleased
to provide the information as to when it can
be done.
Mr. Roy: Try an indirect answer.
Hon. Mr. Rhodes: I appreciate that the
member recognizes that there is a need for
highways in the north, though.
Mr. Ruston: The roads will be completed
by September.
Mr. Martel: The minister should have told
the northwestern Ontario Chamber of Com-
merce that.
Mr. Speaker: I thought the hon. member
for St. George had a question?
.ASSESSMENT NOTICES
Mrs. Campbell: Mr. Speaker, my question
is to the Minister of Revenue.
Would he clarify for this House the policy
which appears to have been arrived at where-
by no assessment notices are to be extended
this year to the people of Ontario, save and
except for new construction and special cir-
cumstances, thus denying a large proportion
of people the right of appeal?
Hon. Mr. Mean: Mr. Speaker, I have no
information on that at the moment. I will
get it for the hon. member.
Mrs. Campbell: A supplementary, Mr.
Speaker: I wonder if the minister would also
look into the situation in the matter of a
condominium project in the riding of St.
George, namely 40 Homewood, where there
has been an appeal successfully made by
those who did take title in the fall of 1972,
but no further appeal has been heard, al-
though it has been launched by the com-
missioner as of June, 1973; meanwhile those
who were not included in that appeal are
faced with an old assessment and no right
to appeal at this time?
Hon. Mr. Meen: I will look into that
matter, Mr. Speaker.
Mr. Speaker: The hon. member for High
Park.
HICKLING-JOHNSTON REPORT ON
MINISTRY OF HEALTH
Mr. M. Shulman (High Park): A question
of the Minister of Health, Mr, Speaker: Is
the minister willing to make public the
report prepared for and about his department
by the firm of Hickling-Johnston?
Hon. Mr. Miller: I must say that question
from the member came as something of a
surprise.
Mr. Ruston: One a day!
Mr. Germa: Just answer.
Mr. Ruston: An apple a day keeps the
doctor away; the minister should try it.
Hon. Mr. Miller: If it would cut my OHIP
premiums, I would do that. I really would
have to learn more about that report because
quite honestly at this point I don't know
much about the contents of it.
Mr. Shulman: A supplementary, if I may,
Mr. Speaker: Will the minister familiarize
himsfelf with What is occurring in the ministry
and report back to us on whether he is
willing to make that report public or table it?
Hon. Mr. Miller: I may have misinterpreted
the member's question. Does he mean would
I familiarize myself with what is happening
in the ministry or with what the report says
is happening within the ministry?
Mr. Stokes: Why not both?
Hon. Mr. Miller: I would be pleased to
do so. I am doing my best to do the former
and I will be pleased Ic do the latter.
Mr. Speaker: I think the hon. member for
Kitchener is next.
EXPENDITURE BY CHAIRMAN
OF ONTARIO COUNCIL OF REGENTS
Mr. Breithaupt: Mr. Speaker, I have a
question of the Minister of Colleges and Uni-
170
ONTARIO LEGISLATURE
versities. Has the minister ordered a review
of the apparent expenditure by the chairman
of the Ontario Council of Regents for the
colleges of applied arts and technology, and
his expenditures for a hospitality suite during
the meetings of the regents as referred to in
the auditor's report? Will the minister pro-
vide us with the details of the expenses of
that operation and the persons who received
the hospitality?
Hon. Mr. Auld: Mr. Speaker, I have made
inquiries about this. I am informed that the
chairman of the Council of Regents lives in
Markham. When the council has its bi-
monthly meetings they last for about two
days. He has premises in the hotel where
the meeting takes place, not primarily for his
own convenience but for meetings with mem-
bers of the board— individual meetings and
that sort of thing rather than the general
meeting. I am informed that, in fact, it is
probably less costly to have him staying in the
hotel than it is to have him going back and
forth to Markham by taxi. I can get the
detailed rundown if the hon. member would
like it.
Mr. Mattel : Let him try using a car like
the rest of us.
Hon. Mr. Auld: I haven't read the detailed
part in the auditor's report myself but I
assume that the details are there. If they
aren't, I'll get further information for him.
Mr. Speaker: The hon. member for Lake-
shore.
AGE OF CONSENT FOR ABORTIONS
Mr. Lawlor: Thank ^X)u very much, Mr.
Speaker. I have a question of the Minister of
Health.
Interjec^ons by hon. members.
Mr. Lawlor: What are the minister's
reasons, metaphysical, biological or otherwise,
for reducing the age at Which abortions may
be obtained without parental consent to
16?
Hon. Mr. Miller: Mr. Speaker, the member
has misinterpreted the regulation in the same
way as the press has.
Mr. Roy: Straighten us out.
Hon. Mr. Miller: The Province of Ontario
by itself does not set the conditions under
which an abortion may be performed. This
is done by federal statute. The change in
regulations which was made by the Pro\ ince
of Ontario, and given some press publicity
last week, dealt with the age at which consent
could be given for any surgical operation
performed within a hospital, and of course
abortion is a surgical operation.
It was not aimed at abortions per se. It
was to cover a group of people who, for one
reason or other, either had not official guard-
ians or parents who could sign for them or
who, unfortunately in this mobile modern
society, did not relate to their parents and so
were not in contact with them. A number of
these people were coming into hospitals in
need of all kinds of surgical procedures and
legally there was no way of prpxiding them.
Some of them were falsifying names and
ages and leaving the hospitals in \er\- delicate
legal conditions if they served thiem.
Mr. Lawlor: Supplementary: Would the
hon. minister consider excluding this par-
ticular category of surgical operation from
the regulations?
Hon. Mr. Miller: I certainly \\i\\ listen to
any suggestions that are given at this point
in time, I wouldn't want to say that we
could necessarily start making exclusions
of one type or another, because I tliink—
Mr. Reid: Abortion is not one type or
another.
Hon. Mr. Miller: —exclusions can be very
dangerous.
Mr. Speaker: The hon. member for
Ottawa East.
Mr. Roy: I defer to my friend, Mr. Speaker,
thank you.
Mr. Speaker: The hon. member for Essex
South.
POINT PELEE NATIONAL PARK
Mr. D. A. Paterson (Essex South): Mr.
Speaker, I have a question of the Minister
of Natural Resources. Has he or his policy
group made a decision as yet as to whether
the 1974 licences for sand-sucking operations
off Pt. Pelee National Park are going to be
issued or not?
Hon. Mr. Bemier: Mr. Speaker, I am
pleased to report to the hon. member that
that decision has been reached.
Mr. Paterson: Supplementary, Mr. Speaker:
The minister says the decision has been
reached?
MARCH 12, 1974
171
Hon. Mr. Bemier: It has been reached.
Mr. Paterson: And what is that decision?
Hon. Mr. Bemier: That decision? The de-
cision was that the two licences would not
be reissued.
USE OF RESOURCES IN
ARMSTRONG AREA
Mr. Stokes: I have a question of the
Minister of Natural Resources. In view of
the social and economic problems experienced
by the people of Armstrong, and in light of
the fact there are several hundred thousand
cords of good merchantable timber in the
area, will the minister undertake to insist
that the prime licence-holder utilize that
timber for a saw-log operation for the benefit
of the people in the community of Arm-
strong, or turn those timber stands over to
somebody else who is prepared to use them
to look after the social and economic needs
of that town?
Hon. Mr. Bemier: I can relate to the hon.
member for Thunder Bay that this govern-
ment is very concerned with the future and
the people of the Armstrong area because of
certain actions of the federal government.
With regard to the resources in that par-
ticular area, I would point out to him
that they have been allocated to the St.
Lawrence Corp. for processing in the Red
Rock area. I have been in verbal discussion
with the company. They are to present to
me a proposal which will fully utilize all
those resources. But they did point out to
me in their discussion that if there were
going to be a continuous operation at Red
Rock and if the viability of that particular
mill were to be maintained, it may well be
that the resources in the Armstrong area
would have to be directed to the Red Rock
mill. That was only in a verbal discussion
and we are waiting for something from
them in a more formal way at the present
time.
Of course, we have in our hand a pro-
posal from a gentleman by the name of
Buchanan, I believe, who is most interested
in establishing an operation in the Arm-
strong area; and we are certainly considering
that aspect too.
Mr. Stokes: Supplementary.
Mr. Speaker: We have already exceeded
the question period by about three minutes.
Petitions.
Presenting reports.
Hon. Mr. Bemier: Mr. Speaker, I am
pleased to present to the members of the
Legislature a copy of a report of the ad-
visory committee on the revision of the
Mining Act.
The members will recall that this com-
mittee was established approximately two
years ago under the chairmanship of the
present Minister of Transportation and Com-
munications, my former parliamentary assist-
ant, the hon. member for Sault Ste. Marie
(Mr. Rhodes).
In the course of carrying out its responsi-
bilities, the committee examined comparable
legislation and situations in several other
jurisdictions. Their aim was to ensure that
Ontario continued to be the leader in respect
to mining legislation.
I am indeed grateful to the members of the
committee for the very thorough study that
they have carried out. I have had a brief
opportunity to peruse the report and more
particularly the recommendations. In my own
opinion, there is a great deal of merit in
many of the recommendations. I feel sure
there will be revisions to our legislation
which will result from the discussions that
will flow from the study of this report.
At the same time, I want to make clear
that the government has rejected recommen-
dation No. 51 which proposes mining in
provincial parks.
Consistent with tabling this report in the
Legislature, it is my intention to make copies
available to the executive of such organiza-
tions as the prospectors and developers, the
Ontario Mining Association and the Canadian
Institute of Mining and Metallurgy. The
views of these organizations, along with the
recommendations of individuals, other organi-
zations, as well as the views and comments
of the individual members of this House, will
be of great benefit to me and my staff.
It is proposed that all such views and
recommendations be submitted prior to the
end of June. This will allow the summer and
the early fall to distill the recommendations
in the report and the reactions to the recom-
mendations through the course of the sum-
mer, in the interest of developing the appro-
priate revisions to the legislation for the fall
sitting of this Legislature.
Once more, I would like to express my
appreciation to my colleague who chaired the
committee— he did an excellent job— and to
the individual members of the committee,
and to all those who have or will have or
will be assisting us in any way in the devel-
opment of this legislation.
172
ONTARIO LEGISLATURE
Mr. Carruthers from the select committee
appointed to prepare the lists of members
to compose the standing committees of the
House, presented the committee's report
which was read as follows:
Your Committee recommends that the lists
of standing committees ordered by the House
be composed of the following members:
1. Procedural ArFAms: Messrs. Bales,
Bounsall, Burr, Carton, I>ymond, Edighoffer,
Ewen, Henderson, Hodgson (Victoria-Hali-
burton), Johnston, McNie, Morrow, Smith
(Hamilton Mountain), Smith (Nipissing),
Spence, Timbrell, Turner— 17.
2. Administration of Justice: Messrs.
Bullbrook, Carruthers, Davison, Downer,
Drea, Givens, Havrot, Lane, Lawlor, Law-
rence, MacBeth, Nixon (Dovercourt), Ren-
wick, Ruston, Singer, Taylor, Walker,
Wardle, Yaremko— 19.
3. Social Development: Messrs. Apps,
Belanger, Campbell (Mrs.), Deacon, Dukszta,
Eaton, Foulds, Hamilton, Irvine, Jessiman,
Leluk, Martel, Momingstar, Newman (Wind-
sor-Walkerville), Parrott, Reilly, Roy, Scriv-
ener (Mrs.), Villeneuve— 19.
4. Resources Development: Messrs. Allan,
Beckett, Evans, Gaunt, Gilbertson, Good,
Laughren, MacDonald, Maeck, Mcllveen,
McNeil, Nuttall, Paterson, Rollins, Root,
Sargent, Stokes, Wiseman, Yakabuski— 19.
5. Miscellaneous Estimates: Messrs.
Cassidy, Drea, Evans, Gisbom, Haggerty,
Hamilton, Jessiman, Leluk, Nixon (Dover-
court), Nuttall, Parrott, Riddell, Root, Scriv-
ener (Mrs.), Stokes, Villeneuve, Wardle, Wor-
ton-18.
6. Public Accounts: Messrs. AUan, Dy-
mond, Ferrier, Germa, Lane, MacBeth, Mc-
llveen, Reid, Ruston, Taylor, Wiseman,
Yakabuski-12.
7. Regulations: Messrs. Belanger, Braith-
waite. Deans, Havrot, Johnston, Maeck,
Momingstar, Morrow, Paterson, Reilly, Tur-
ner, Young— 12.
The quorum of committees 1 to 5 and of
the private bills committee to be seven in
each case. The quorum of committees 6 and
7 to be five in each case.
Mr. B. Newman: Mr. Speaker, I would
like to request of the government that they
consider permitting substitution of individu-
als to all committees prior to the sitting of
the committee. The estimates committee now
makes provision so that before the estimates
are being discussed-
Mr. Speaker: Order please. I must point
out to the hon. member that the matter of
substitutions was dealt with previously. The
motion today does not deal with substitutions
on these particular committees. That motion
has been before the House previously.
Mr. Lawlor: But the opposition was ig-
nored.
Mr. Deans: Mr. Speaker, if I may, sir,
the matter of substitutions was a matter of
discussion within the committee this morning,
and a decision was reached in the committee
that the chairman would make representation
to the House leader of the government party
to allow limited substitution on all commit-
tees. I think that's probably what the hon.
member for Windsor-Walkerville was talk-
ing about. If not contained in the report of
the committee, it was certainly a decision
of the committee that the chairman would
speak with the House leader of the govern-
ment and ask on behalf of the committee that
some limited substitution be pennitted.
Hon. Mr. Winkler: Mr. Speaker, following
the discussion in the House the other day, I
think I intimated to the hon. members that I
certainly had an open mind on the matter.
When the chairman approaches me we will
discuss the matter and I will report back to
the House.
Mr. Renwick: Is it just a matter for dis-
cussion?
Report adopted.
Mr. Speaker: Motions.
Introduction of bills.
YORK COUNTY BOARD OF EDUCATION
TEACHERS' DISPUTE ACT
Hon. Mr. Wells moves first reading of bill
intituled. An Act respecting a Certain Dispute
between the York County Board of Educa-
tion and Certain of its Teachers.
Some hon. members: No!
Some hon. members: Explain!
Mr. Lewis: No. Surely we can have an ex-
planation.
Mr. Speaker: We will defer the—
Mr. R. F. Nixon: Mr. Speaker, on a point of
order. The minister was not in for the order
of business entitled government ministerial
statements. Certainly it would be quite in
order to revert, surely, if the minister would
have a statement to make before we are
asked to vote on the bill.
MARCH 12, 1974
173
Mr. Speaker: If the House is agreeable
I see no reason we shouM not revert and that
the minister should make a statement at this
point.
Hon. T. L. Wells (Minister of Education):
Mr. Speaker, I wish to introduce legislation
today to bring to an end the long dispute and
disruption of educational programmes in the
secondary schools of the York county Board
of Education.
Negotiations relating to the 1973-1974 con-
tract began with York county board and its
secondary school teachers in April, 1973,
which is more than 10 months ago. Free col-
lective bargaining has proceeded through this
extended period, assisted in the latter stages
by the services of a mediator from the Minis-
try of Labour. The past 5% weeks have been
marked by a withdrawal of services by a
majority of York county secondary school
teachers. Unfortunately, because of this situ-
ation, the secondary school students of York
county have been severely disadvantaged due
to their lack of access to a full educational
programme.
Mr. Speaker, members will recall that about
667 York county secondary school teachers
took part in a mass resignation last Novem-
ber. These resignations were to have taken
effect on Dec. 31 but as part of an arrange-
ment that affected teachers in several areas
of the province, it was agreed to defer them
until Jan. 31, 1974, in order to allow fur-
ther bargaining to continue.
Bargaining, supported by mediation, did in-
deed continue, but as the Jan. 31 deadline ap-
proached it became apparent that a settlement
was not going to be achieved at that time.
Mr. Terry Mancini, the Ministry of Labour
mediator who had been working with the
York county board and its teachers since
early January, wrote a report and recom-
mendation on the situation on Jan. 30. In it
he said, and I quote:
The writer feels that a settlement could
have been achieved if the matter of pupil -
teacher ratio issue could be resolved. How-
ever, both parties remain adamant and re-
fuse to settle this issue. It is my opinion
that a closing of the schools by either party
is not in the best interests of all concerned
and strongly recommend that the parties
submit this dispute to voluntary arbitra-
tion.
As Minister of Education I put the proposal
for voluntary arbitration to both parties at
that time and strongly recommended that this
course be followed in order to keep York
county secondary schools open and operating
normally. Unfortunately, the parties could not
agree on the terms of arbitration and the re-
sult was that the 667 teachers withdrew their
services.
Mr. Speaker, with settlements having been
achieved in all other parts of the province
where mass resignations had been submitted,
it seemed clear to me that the best solution
to the York county situation was to encourage
both parties to negotiate their way out of the
dispute and to reach an agreement between
themselves with the participation of Mr.
Mancini, who continued to provide skilled as-
sistance in keeping negotiations moving for-
ward.
Mr. Speaker, I personally spent many hours
dealing with both parties in a concerted effort
to achieve a negotiated setdement. However,
five more weeks passed without significant
progress, with the schools in the meantime
able to provide only minimal progress at best
to their students.
Last Friday, negotiations between the
board and the teachers cleariy reached a state
of impasse, with neither party willing to
adjust its position in a way that would lead
to further meaningful discussions. Therefore,
Mr. Speaker, late Friday evening I again
presented privately to the negotiating teams
of both the teachers and the board a proposal
that they proceed voluntarily to refer the
items remaining in dispute to a board of
arbitration.
Later that evening the chief negotiator of
the board, Mr. Honsberger, indicated the
board's willingness to accept my proposal and
he signed a document to affirm this. The
teachers' negotiating team advised me on
Saturday that it was unwilling to accept the
proposal for voluntary arbitration.
At this 11th hour, Mr. Speaker, with volun-
tary arbitration obviously the most favourable
option open to both parties, I called a further
meeting of teacher and board representatives
on Sunday morning. At this time I formally
presented my proposal for voluntary' arbitra-
tion, the proposal which I tabled in this
House yesterday. Once again, Mr. Speaker,
the chief negotiator for the board signed to
affirm his aceptance and the teachers' negoti-
ating team refused. I asked the teachers to
take another day to consider the proposal
further, but last night they remained un-
changed in their position.
Mr. Speaker, in all good conscience this
government cannot allow this situation to
continue, primarily because of the fact that
174
ONTARIO LEGISLATURE
students are caught in the middle of a situ-
ation over which they have no control and it
is they who are suffering the consequences
most severely. We have absolutely no alterna-
tive but to bring this stalemate to a con-
clusion.
This we are doing today with the intro-
duction of legislation designed to settle all
matters remaining in dispute between the
board and its secondary school teachers. In
considering this legislation and the solution
it proposes, responsible persons would do
well to remember very clearly the effects of
these past 5% weeks on the secondary stu-
dents of York county. They have been, de-
prived of about 10 per cent of their school
year. Some York county students may miss
out on scholarships because of the dispute,
and others may find their post-secondary
education plans changed also because of it.
Some students are reported to have dropped
out of school.
Mr. Speaker, the objective of the legisla-
tion is simply to return York county second-
ary schools to normal operation again. Being
realistic, I imagine that it will be variously
interpreted as being anti-teac'her or anti-
board. It is neither. It is pro-student. Students
and their parents have the right to an educa-
tion, and they have been deprived of that
right for too long.
The legislation which we hope will correct
the situation has two main features. It caMs
for teachers to return to school immediately
and for the board of education to resume
their employment. It requires that all items
remaining in dispute be referred to a three-
person board of arbitration for settlement.
Each party will select one member of the
board of arbitration, and these two persons
will jointly select a third person to act as
chairman. If they carmot agree, I, as Minister
of Education, will appoint an independent
and objective person as chairman.
Procedures laid down for the board of
arbitration will ensure fairness in judging the
merits of the arguments put forward by both
the teachers and the board of education.
Both parties will be called upon to write
up their ovm hsts of items they consider to
be in dispute, and the board of arbitration
will be required to look at all items on both
lists and give each party ample opportunity
to state its case on each item.
These aspects of the terms of reference of
the board of arbitration deserve special men-
tion. First, the board must consider pupil-
teacher ratio as an arbitrable item. Second,
the board of education's latest salary offer
must be considered as a floor by the board of
arbitration; and in fact it is implemented by
this legislation, effective September, 1973.
As I have said, Mr. Speaker, I am con-
vinced that this legislation is on bdance
equally fair to both the York county Board
of Education and its secondary school teach-
ers. We are proceeding today because we
feel that such legislation is in the public
interest, and particularly the interests of the
students of York county.
Further, Mr. Speaker, it is my sincere hope
that both parties in York county wiU make
one final effort to reach an agreement through
further negotiations. I stand ready to wi^-
draw this bill at a moment's notice if an
agreement were reached and ratified by both
parties, and communicated to me while we
are debating this bill in this Legislature. But
I would say, Mr. Speaker, we cannot in good
faith wait any longer.
Mr. R. F. Nixon: Mr. Speaker, will you
permit a question of clarification? Is the min-
ister in his statement making it clear to the
arbitrator that the pupil-teadher ratio is itself
arbitrable, and not whether or not it should
be an arbitrable item; if the minister gets the
significance of that?
Mr. Lewis: Yes, he is saying that.
Mr. R. F. Nixon: In other words, govern-
ment poHcy is being imposed in that regard
and it reverses the trustees' position.
Hon. Mr. Wells: Mr. Speaker, that is the
intention of the government in this bill. The
section says pupil-teacher ratio is arbitrable
and shall be deemed to be included as a
matter in dispute; and the notice is referred
to in section 1.
Mr. Lewis: May I also ask a point of
clarification? Are there any penalty provisions
in the bill, as the minister has laid it out,
if teachers do not return; or is there a refer-
ence to the acceptance of resignations if they
do not return?
Hon. Mr. Wells: The section says where,
on the application of the board or a teacher,
a judge of the Supreme Court is satisfied
that the board or any teachers failed to com-
ply with section 2, he may make an order
requiring, as the case may be, the board to
employ the teacher who has attempted to
comply with section 2 or the teacher who
has failed to comply with section 2 to resume
his employment with the board, in accord-
ance with this contract of employment in
effect on Jan. 30, 1974.
MARCH 12, 1974
175
Mr. R. F. Nixon: With your permission,
Mr. Speaker, will the minister make it clear
whether or not his ceilings apply to the
arbitrators in this particular piece of legis-
lation?
Hon. Mr. Wells: Mr. Speaker, there is
nothing in this legislation that refers to ceil-
ings.
Mr. Lewis: Ceilings are not the problem
anyway.
Hon. Mr. Wells: It is exactly as the sug-
gestion made for voluntary arbitration that
we talked about here last December. The
arbitrator will consider the issues in dispute
on their merits and bring down an award.
Mr. Speaker: Shall the motion for first
reading of this bill carry?
Interjections by hon. members.
Mr. Speaker: Those in favour of first read-
ing of the bill will please say "aye".
Those opposed will please say "nay".
In my opinion the "ayes" have it.
Motion agreed to; first reading of the
bill.
Interjections by hon. members.
Mr. Speaker: Order. Any further bills?
Orders of the day.
Clerk of the House: The first order, re-
suming the adjourned debate on the amend-
ment to the amendment to the motion for
an address in reply to the speech of the
Honourable the Lieutenant Governor at the
opening of this session.
Mr. Speaker: Order please, the hon. mem-
ber for Beaches-Woodbine has the floor.
THRONE SPEECH DEBATE
Mr. T. A. Wardle (Beaches-Woodbine):
Mr. Speaker, my first remarks in this debate
on the Speech from the Throne are a tribute
to you as the Speaker of this Legislature.
The ofiice of the Speaker is one of honour,
dignity, tradition and of the greatest impor-
tance in the conduct of our parliamentary
system of government. You have carried with
distinction, good humour and fairness this
heavy responsibility, and you are held in
high regard, I am sure, by all members of
this House.
Mr. Speaker, there are a number of im-
portant matters raised in the Speech from
the Throne and hopefully each will be dealt
with during the present session. However,
before speaking on some of these matters I
should like to make a few comments on
previous suggestions I have made in the
Throne Speech debate during the last session
and also in the budget debate at that time.
One of the suggestions that I made in the
Throne Speech debate a year ago was the
necessity of stopping immediately the sale
of recreational land in Ontario to people who
are not Canadian citizens. We know that
already large amounts of recreational land in
Ontario have been bought up by Americans
and people from overseas. This has had the
effect of forcing up prices send, I am
sure, putting out of reach of the average
Canadian the purchase of land in these recrea-
tional areas. This would mean of course that
the title to recreational lands now held by
Americans and others would still be valid
but future sales of new land or lands already
held would be permitted only to Canadian
citizens.
Mr. Speaker, in the budget debate in the
last session I spoke of the need for assist-
ance to small business. It seems to me that
more and more the business of this province
is going into the hands of big business
enterprises. This trend is alarming indeed
for the small merchant and the small busi-
nessman of this province. These people are
faced with increased taxes, increased rent
on their premises, increased wages, increased
costs of raw materials and general increases in
the cost of doing business. They often lack
the cash resources required today.
Income and corporation taxes take a large
slice of any profits they may realize, which
certainly does not leave enough money for
expansion. It seems many of them are merely
holding their own and many are fighting a
losing battle against the large shopping plazas
which surround suburban areas of many of
the cities and towns in Ontario.
There are several ways that the govern-
ment could help these people: first, by re-
lieving them of some of the tax burden;
second, by providing low-cost loans for re-
habilitation of stores and business premises;
third, by granting them remuneration for
the cost of collecting provincial sales taxes,
and fourth, by offering expert advice when
required.
I suggested before, and I suggest again,
that the government should set up what I
would call an advisory council of independ-
ent businessmen who would act as a haison
between government and small business.
176
ONTARIO LEGISLATURE
Mr. Speaker, and fellow members, I in-
tend in this debate to present the record
of the government and to state the ad-
vantages and benefits which are contained
in the number of challenging proposals, pro-
grammes and policies of the Throne Speech.
Mr. M. Cassidy (Ottawa Centre): That
\\'ould try even the member's imagination.
Mr. E. W. Martel (Sudbury East): He
shouldn't embarrass himself.
Mr. Wardle: I want to speak at some
length about the imaginative and innovative
proposals contained in the Throne Speech
related to housing, consumer protection,
correctional services-
Mr. Cassidy: Oh, come on, we don't
believe it.
Mr. Wardle: —programmes for small
businesses, and new developments for day-
care centres.
Mr. Cassidy: I must have been in some
other chamber the day of the speech.
Mr. Wardle: But before I proceed to
launch into specifics of these public policy
issues, there is an urgent need to consider,
on a broader perspective and a wider scale,
the purposes and goals of these programmes
and policies contained in the Throne Speech.
What underlies the proposals and policies
of the Throne Speech? It is a philosophy of
concern for the individual citizen in Ontario.
The government believes that policies must
always be designed to assist and encourage
the individual to function effectively and
creatively in a free society; to develop the
skills necessary for him or her to reach
his or her full potential; to encourage a
climate of individual initiative and in-
dependence free of increasing regulation and
regimentation from a variety of social and
economic institutions, and yet provide a
sufficient number of buffer zones and
mechanisms for peoople to act freely from
discrimination and suppression.
Mr. Cassidy: The member is reading it
very effectively. It must have been written
by a Harvard speech writer.
Mr. Wardle: It is the underlying philosophy
of the government to continue to emphasize
these principles and to see to it that these
principles constitute the thrust of implemen-
tation in the programmes and policies of
this Throne Speech.
It is also important to remind hon. mem-
bers that the government is consciously
aware of the principles of balance which
needs to be continually maintained between
the affairs and activities of the private
sector and the public sector. Unhealthy,
dangerous and unwise would be the most
descriptive terms to define the state of man's
affairs when government tends to encroach
continuously on the private actions of
citizens and groups.
As Progressive Conservatives, our philosophy
is suitably attuned to understand and
appreciate the sensitivities of all Ontario
citizens-
Mr. P. D. Lawlor (Lakeshore): The gov-
ernment intervenes much too much these
days.
Mr. Wardle: —in not \\'anting to realize a
trend of growing government involvement and
participation in our economy and society that
lacks coherent direction, meets specific objec-
tives and responds to well-dtefined needs of
our citizenr)'.
What we, as Progressive Conservatives,
attach considerable importance to is the role
of the individual-
Mr. Lawlor: The member is one of the last
true Progressive Conservatives.
Mr. Wardle: —in a complex urban and in-
dustrial world, in helping and assisting him
or her not just to cope with massive change,
but to function freely, effectively and
creatively.
I Mr. Speaker, now to the government's pro-
grammes and policies. First, housing.
As I have mentioned previously, the gov-
ernment's concern for the rolte of the indi-
vidual in Ontario's society is based on assist-
ing and encouraging him or her to make a
significant contribution to the individual's de-
velopment and to society.
With this basic objective in mind, the gov-
ernment has undertaken several new initia-
tives to meet the housing problem. One of
these major initiatives aimounced recently
by the government was the Ontario Home
Renewal Programme. The major purpose of
this new programme is to assist residents in
municipalities in retaining and updating
existing housing stock where the federal
Neighbourhood Improvement Programme and
the Residential Rehabilitation Assistance Pro-
gramme do not apply as defined by Central
Mortgage and Housing Corp.
The form of this provincial assistance will
be in the form of municipal grants; low-
interest loans amounting to approximately $10
million. The funds will be divided on a per
capita basis of $4 for municipalities of 5,000
MARCH 12, 1974
177
population or less; $3 per capita for cities
between 5,000 and 100,000; and $2 per
capita to cities of more than 100,000.
The other significant feature of this pro-
gramme is that there is no maximum or mini-
mum on the grants and loans, thus permitting
the municipalities to have as much flexibility
built into the programme as is possible.
Administration is to be central at the
regional and local levels. It is but one more
example of the government's strong and sin-
cere effort to decentralize the operation of a
provincial programme and attests' to our en-
deavours to make municipal government vital
and decisive— despite rather unfounded claims
of current critics.
I know what the Ontario task force on
housing recommended. I also know that the
government has a number of policy options
in the housing field under consideration and
review. I would trust that among these options
to minimize the housing problems are the
possibilities of providing loan assistance to
families for purchasing land on which mobile
homes could be placed— that is in certain
sections of Ontario. I realize that high land
costs and very restrictive zoning regulations
presently prohibit mobile homes from being
considered as' a viable housing alternative.
Another innovative measure that could be
considered at least in parts of Ontario would
be to study the possibility of using shell hous-
ing as an answer to the critical housing short-
age. Recent reports indicate that the shell
housing concept has met with some reason-
able success in Atlantic Canada. I realize that
some substantial modification) of the concept
would be required to be useful in large urban
markets, particularly in light of the fact that
low l^nd costs and a high handyman's tradi-
tion have combined to assist in making this
type of housing useful in Atlantic Canadia.
I would like also to congratulate the gov-
ernment for implementing the proposal for
the new Ministry of Housing. In its' very short
existence, the housing ministry has already
proved its real worth in the new and exciting
programmes which it has undertaken.
Certainly, we on this side of the House
understand the very vital role of the private
sector in implementing new housing pro-
grammes, in its expertise in providing a wide
range of choices for consumers.
We should not dictate to the private sector
in order to meet the housing probfem, but
instead use a co-operative approach and
partnership basis to meet housing needs. Con-
frontation and dictation to the housing indus^
try are not the most satisfactory method of
resolving the problem, whether it is getting
the private sector to build more condominiums
or involvement in the rent supplement pro-
gramme.
I am interested, Mr. Speaker, in the new
initiatives and the rejuvenating of urban areas
in this province. I note that in Ontario last
year 100,000 housing units were started.
However, I note that many older units were
destroyed in older neighbourhoods to provide
this new housing.
I welcome the suggestion that the provin-
cial government enter into full consultation
with municipal authorities in providing a new
programme to be called the Ontario Home
Renewal Programme. As already mentioned,
the present federal RRAP programme pro-
vides low-interest, partly forgivable loans to
homeowners, landlords and non-profit hous-
ing corporations under certain conditions; but
only within areas designated for funding
under the Neighbourhood Improvement Pro-
gramme. Non-profit housing, however, can
get this aid despite its location.
This has had the effect of barring some
homeowners and landlords from receiving
needed help because their homes are not
located in a designated area. They feel that
they are being discriminated against and,
after all, they are. Through their taxes they
are helping to pay the cost of this type of
programme. When they are paying the cost,
they should have, if they qualify, the benefits
that come through this or any other type of
programme.
I believe this programme would be bene-
ficial to many people owning homes in my
riding. Beaches-Woodbine riding has many
homes that were constructed 50 to 75 years
ago. Although many are well kept, others
are in need of rehabilitation in order to
bring them up to acceptable housing stand-
ards.
The city of Toronto has had for many
years a home inspection programme. When
matters affecting health and safety are
found, the homeowner is required to make
the necessary repairs. The city provides low-
cost loans when this is necessary. However,
some people, especially older people, find it
very diflficult to pay for such improvements.
It seems to me that a programme of grants
would be helpful to them.
There is another matter that also affects
homeowners that has concerned me over
many years. That is the matter of how a
homeowner goes about getting necessary re-
pairs done to the satisfaction of city oflB-
178
ONTARIO LEGISLATURE
cials, especially, Mr. Speaker, in these days
of high costs of materials and labour.
I developed my interest in this matter
when I was a member of Toronto city coun-
cil. The city does assist homeowners on re-
quest in commenting on tenders submitted
for necessary repairs. I know that some own-
ers, when they are faced with a long list of
repairs to be made, are not able to cope
with the situation and put the house up for
sale, which just puts the problem on to the
new owner. If they cannot do the work
themselves, what do they do to comply?
We all know of home repairmen who take
large sums of money from elderly home-
owners for repairs which may or may not
be done in the proper manner. These so-
called businessmen approach persons at the
door, telling them they have facilities to
repair a roof or a chimney or to do other
outside repair work, telling them of the con-
sequences that would ensue if the work is
not done. If the owner agrees to have the
work done, which is, say, the repairing of a
roof or a chimney, how can an elderly per-
son climb a ladder to see if indeed the roof
has been done properly?
Home repairmen who actually do renova-
tions and buildings and repairs are required,
when operating in Metropolitan Toronto, to
have licences issued by the Metropolitan
Licensing Commission. Those who do paint-
ing and non-building types of work do not
require a licence. Mr. Speaker, I have a
number of people in my area who have
been placed in a very difficult financial posi-
tion by the operations of certain home reno-
vating business people. I have had cases
where people have been taken for hundreds
of dollars by such home repairmen who are
operating without a licence.
I continually tell homeowners that before
agreeing to such work, they should obtain
the Metro licence number of these people
and check with the Better Business Bureau
before signing any contract or agreeing to
have any work done. When the homeowners
have paid out money for this work, which
later turns out to be unsatisfactory, or they
have been charged for work which has not
been properly done, the only recourse they
have is to sue in a civil court for the return
of their money.
How could an 80-year-old woman living
alone institute a court action to recover
money taken from her in this way and even
pursue it through legal aid?
Another thing done especially to elderly
people is to offer to clean out the basement
and to throw out all the junk. I have had
cases where repairmen have done this sort
of work and the basement is probably clear-
ed, and the owner does not realize that this
so-called junk does not go to the garbage dump,
but indeed goes to second-hand merchants
who are often able to obtain quite high prices
for the sale of this type of article now being
called an antique.
What should be done in the circumstances
that I have described? Mr. Speaker, I would
make four suggestions. First, give the munici-
palities the power to license throughout On-
tario people engaged in home rehabilitation,
whether they are doing renovating, repairs
or painting.
Two, when home repairs are required by
municipal authorities, the authority should
contact the homeowners and assist in setting
out tenders and approving prices on work
to be done. It should follow up the progress
of the work and approve the quality of the
work before the final bills are paid.
Three, draw up and approve grants and/
or low-interest loans, depending on the cir-
cumstances of the homeowner.
Four, institute legal action on behalf of the
homeowner to recover funds obtained by
fraudulent means and provide stiff penalties
for home renovators, persons or firms who do
not live up to standards set.
I bring this up at this particular time when
spring will soon be on the way, when this
type of operator is knocking on doors, especi-
ally in large metropolitan areas. I should add,
however, Mr. Speaker, that most firms or
persons in this field are honest and hard work-
ing.
We should remember, as we move here in
this province toward the recognition that,
while we need and require more new hous-
ing, it is important also to maintain and im-
prove our present housing stock. This pro-
gramme will provide much needed work for
the building industry; but let us do all we
can to ensure that the homeowner will not
be jeopardized as he takes steps to improve
his own property.
Mr. Speaker, another matter of serious con-
cern to homeowners in my riding and in ad-
jacent ridings, and indeed in other communi-
ties throughout the province, is the damage
being done to houses and buildings by the
insect known as the termite. No one seems to
know when this insect was first brought to
Ontario, but it did appear about 30 years or
so ago in the eastern part of the city of
Toronto.
MARCH 12, 1974
179
This is an insect that has its nest in the
ground and exists by living on wood fibres.
The nest is on the outside of a building, but
by the building of ingenious tunnels they
work their way through the foundation of the
house, eating away at the foundations and
woodwork until, in some houses at least, the
building is in danger of collapse. Some of the
smaller houses in my riding were built many
years ago on cedar posts and have suffered
considerable damage from this insect. This
insect is able to penetrate through cement
blocks, if they are not properly laid and
treated and have openings that the insect can
get through.
Examination of these houses shows the tun-
nels leading from the nest into the wood-
work of the home, and solid I'umber is over a
period of time hollowed out as the insect
does its work. There is a way, however, to
combat this infestation. The insect must re-
turn to the nest daily in order to live. By
digging a trench around the house and by
treating the walls, this prevents the re-entry
of the termite.
Through my efforts several years ago, To-
ronto city council recognized this as a serious
problem to homeowners and passed a bylaw
in co-operation with the provincial govern-
ment in order to help these homeowners so
affected. A grant is now made to a home-
owner who applies for assistance. The bill
for an average home to do the necessary
treatment runs between $500 and $600. This
is shared 50 per cent by the homeowner, 25
per cent by the municipality and 25 per cent
by the province.
I suggested several years ago, and I sug-
gest now to the minister in charge of the
Ontario Housing Corp., who is responsible
for this programme, that this formula should
be changed. In addition to his share of the
grant, the homeowner has the cost of re-
pairing the damage already done to his home,
which often amounts to a considerable
amount of money. My suggestion— and this
would be a real help in the rehabilitation of
older houses, especially in certain areas— is
that the homeowner's share should be re-
duced to 25 per cent. The municipality should
pay 25 per cent and the provincial govern-
ment should bear 50 per cent of the total
cost. This wouM be a definite and immediate
step to help the homeowner improve and
maintain his property.
Mr. Speaker, I should like also to mention
consumer protection. As all members of this
Legislature realize, there has been a tre-
mendous upsurge of the consumer movement
in recent years. Consumers are increasingly
aware of the growing sophistication of the
marketplace and the diverse range of products
which have come on to the market in the
last few years. It is, therefore, most im-
portant for the consumer and the business-
man of any size of enterprise to realize that a
viable, fair and efficient market relationship
develop between the buyer and the seller.
Ontario has been notably in the forefront
of effective consumer protection legislation
in North America. The government has
pioneered in such diverse fields as the fair
regulation of the real estate industry through
the Real Estate and Business Brokers Act;
amendments to the Insurance Act; and intro-
duction of the Consumer Reporting Act as
well as the usefufeess of the Consumer Pro-
tection Bureau.
Legislation in the areas of warranties and
guarantees will be introduced during this
session.
What the public wants to know about this
legislation is its purpose, the principles on
which it will operate and the scope and
authority of the legislation. Certainly, the
basic objective of the legislation is to protect
the interests of both the consumer and the
businessman in the many business trans-
actions which characterize the sophisticated
and complicated marketplace.
Underlying the warranties and guarantees
legislation are these basic principles:
1. Encouragement of consumers and pro-
ducers to resolve as many as possible
warranty-related problems on a mutually
satisfying basis;
2. The eflBcient use of resources to resolve
problems rather than adding costs to industry
and the taxpayer;
3. The costs of operations should not ex-
ceed the benefits;
4. Enhancement of responsibility for prod-
ucts between manufacturer and retailer;
5. Fairness of treatment between producer
and consumer.
iWhat the government wants to achieve is a
system which removes the constant necessity
of government to intervene in' the market-
place, and thereby to devel'op a fair and more
realistic consumer marketplace for all On-
tario citizens.
Mr. Speaker, I have spoken in the past in
some detail about the plight of the small
businessman, so often ignored in the past by
government and other sectors of the economic
community.
180
ONTARIO LEGISLATURE
Mr. F. Laughren (Nickel Belt): Always
ignored. Always.
Mr. Wardle: rm most gratified to see that
the government will be introducing significant
legislation with respect to unfair trade and
business practices. Ideally, the approach to
be taken in these matters is not to establish
regulations and standards which tend to hurt
the small businessman and to consume his
valuable time in report-writing activities, but
to promote effective ongoing and co-operative
relationships between government and busi-
ness.
What I am advocating is positive regula-
tion of business associations instead of re-
strictive and narrow measures designed to
frustrate the individual businessman. What
we need in Ontario is greater managerial and
trading assistance programmes for the indi-
vidual businessman to foster his skills and
improve his productivity, positive measures
which I know the government will consider.
Mr. Speaker, I would like to speak for a
few moments on the matter of correctional
services, which I know is a matter of great
interest to all members of this House. I want
to commend the government for its farsighted
and progressive measures to assist the adult
and juvenile offender. These measures include
improved integration of group homes, proba-
tion and institutional services, thus ensuring
better co-operation with all agencies of the
community. By placing juveniles in training
schools closer to their homes-
Mr. Martel: Banish them.
Mr. Wardle: —we remove some of the pres-
sures and strains placed on the juvenile in an
ahen environment.
Mr. Martel: Outlaw them.
Mr. Wardle: In this way, greater interaction
between the training school and the home
will assist the rehabilitation chances of the
young offender. Through this process greater
community resources can be marshalled in the
rehabilitation of the young offender.
Hon. members should be aware of the
exciting, very personal and meaningful pros-
pects of personal development for adult
offenders in the rehabilitation process. The
government intends to promote the further
development of small community-based adult
residences for rehabilitation linked with the
temporary absence programme and improved
employment prospects for adult offenders in
the northern areas of the province.
Another innovative feature of the cor-
rectional services responsibility is a proposal
to involve inmates serving short terms in an
effective employment programme with private
enterprise.
The terms of the proposal in effect mean
a simulation of working conditions related to
what actually happens in society. Inmates
chosen for this programme would receive
competitive wages compared to those in the
real work force. These types of programmes
offer continuing and improved prospects to
inmates to return to society able and wilHng
to contribute fully to it.
I believe it is worth detailing some of the
other developments which are under way in
our correctional services system.
One of the more interesting and intriguing
experiments which went into operation last
year was the Camp Bison programme. The
essential ingredients were a well-prepared
course of action for correctional officers, who
are involved in learning about the social
pressures and situations that create the type
of conformity displayed by most inmates. The
experimental programme is designed to break
down the subculture and help the inmates to
think for themselves and to communicate
positively with the correctional officers trained
to help them.
The temporary absence programme remains
the basic vehicle for rehabilitating inmates.
Depending upon the type of offence which
the inmate committed, his educational level
and otiier important factors, temporary leaves
can be devised to meet an inmate's particular
need for educational and personal improve-
ment.
Through these innovative and experimental
programmes, correctional serxices have
assumed a new social dimension. Keeping in-
mates confined is more costly to our society
in the long run than assisting inmates and
helping them to lead useful lives upon their
return to society.
The government is to be commended for its
forward-looking and progressive corrections
philosophy.
Mr. Speaker, on the matter of daycare
centres the government is intimatelv con-
cerned with the proper social and personal
development of the children of Ontario. To-
day's youngsters will be tomorrow's leaders.
We must constantly strive to provide the sup-
port facilities and programmes to realize that
kind of promise.
It was only last year that the Minister of
Community and Social Services (Mr.
Brunelle) presented legislation for our con-
sideration that would extend grants and sub-
sidies to individual corporations or classes of
MARCH 12, 1974
181
corporations, and widen the base of financial
support to working mothers whose chfldren
require safe and proper care during her work
day to prevent her from worrying about their
situation. We are told that regulations Avill be
announced in a few days and a programme
will be under way. Mr. Speaker, I am merely
stating positive programmes of this govern-
ment that I am sure even the Liberals and
the NDP can fully support.
Mr. R. F. Nixon (Leader of the Opposi-
tion): There is not a single member of the
government here.
Mr. M. Gaunt ( Huron-Bruce ) : Nobody be-
lieves it but the member.
Mr. Wardle: This government believes in
positive programmes.
Mr. Martel: Now if the member had said
"banned, outlawed."
Mr. Wardle: Mr. Speaker, I listened all
yesterday-
Mr. D. C. MacDonald (York South): And
he learned a lot, too.
Mr. Wardle: —to the Leader of the Opposi-
tion and the leader of the NDP ( Mr. Lewis ) ,
and 1 didn't hear any positive programme of
what their parties stand for. I'm still at a
loss to know What they stand for.
Mr. R. F. Nixon: How can he say that?
Mr. Wardle: At least the government does
have a positive programme that the members
of this government support.
Mr. Martel: What is it?
Mr. R. F. Nixon: We have a solution to
the housing problems but evidently the gov-
ernment is not very interested in the mem-
ber's alternatives. There is nobody here.
Mr. Wardle: In the Throne Speech the
government is proposing a series of measures
to supply high-priority resources for those
groups whose needs are still to be met; in-
cluding the establishment of new programmes
of assistance for community co-operative day-
care centres for low-income areas, for handi-
capped children and native children. It speaks
of our deep and abiding interest in reaching
out to assist those seriously disadvantaged and
to permit them to share in the resources of
our productive economv.
Mr. Martel: One hundred and fifty-one
dollars a month.
Mr. Wardle: Mr. Speaker, often critics
accuse us of an absence of social commitment
and social action for the disadvantaged sector
of Ontario society. These same critics pro-
claim that the government does not possess a
socially coherent philosophy for the indivi-
dual. Naturally these claims are unfounded.
The Throne Speech offers a significant packet
of economic and social measures designed to
meet the needs of the disadvantaged. This
Progressive Conservative government seeks to
resolve problems and citizens' concerns
positively and responsibly.
Mr. Martel: Why doesn't the member see
what is in the bloody book before he gets up
and gives oif such prattle?
Mr. Speaker: Order, please.
Mr. Wardle: Mr. Speaker, I listened yester-
day afternoon to the leader of the NDP, and
I have never heard such a negative approach
to the problems of this province.
Mr. MacDonald: It was not negative at all.
The member wasn't listening.
Mr. Wardle: Most of his speech had to do
with food prices. And surely the fanners of
Ontario are not taken in by the policv of the
NDP.
Mr. Martel: Guaranteed income in BC for
them.
Mr. Wardle: The farmers of this province
have a very, very low price for their products.
This is the policy of the NDP—
Mr. Martel: The chain stores have a very
low price for farm produce.
Mr. W^ardle: —to keep the wages of
farmers down. I don't think, Mr, Speaker,
that many farmers in Ontario are making
very much money today. I don't think the
public of Ontario worry too much if the
price of food rises a little, if they know
the farmer himself is getting a better income
than he has had in the past; and the only
way we are going to keep farmers on the
land, in my opinion, is to make certain that
they get a decent return for their work.
Speaking further about the remarks of
the leader of the NDP on food prices and
inflation, and what inflation is doing, his
party in Ottawa has the power to bring
down the present government in Ottawa
which is responsible for many aspects of in-
flation.
Mr. Martel: Except on the Food Prices
Review Board, the hon. member's colleague
voted with the Liberals.
182
ONTARIO LEGISLATURE
Mr. Wardle: If they were sincere-
Mr. Martel: They voted with the Liberals
on the Food Prices Review Board. The hon.
member should learn that before he gets
up and beats his gums off.
Mr. Speaker: Order, please.
Mr. Wardle: If they were sincere in their
wish to help Canadians, it would not in-
clude co-operating with the Liberal federal
government in maintaining the present
Liberal policies.
Mr. Martel: The Conservatives voted
against the Food Prices Review Board with
the power to roll back prices.
Mr. Speaker: Order, please. Other mem-
bers will have an opportunity to enter the
debate later.
Mr. Martel: Well, tell him to tell the
truth.
Mr. Speaker: Order, please.
Mr. Wardle: Mr. Speaker, I prepared my
remarks not wishing to say anything against
the opposition, whether it be the Liberals
or the NDP. But I'm moved at this time to
say a few things. It seems to me that as
far as the NDP in Ottawa are concerned,
they can bring down this Liberal govern-
ment any time they wish to do so.
Mr. MacDonald: They had three chances
in the Tory party and they muffed them.
Mr. Wardle: And if they are worried about
inflation, as was the leader of the NDP
yesterday, they should bring down the
present government and put in a government
led by Mr. Stanfield, who would do some-
thing about inflation.
Mr. Martel: That would be a disaster!
An hon. member: How is the hon. mem-
ber doing with his federal riding these
days?
Interjections by hon. members.
Mr. Speaker: Order, please.
Mr. J. F. Foulds (Port Arthur): The
federal Tory party is the only albatross I
know with an ancient mariner around his
neck.
Mr. Speaker: Order, please. The member
for Beaches-Woodbine has the floor.
Mr. Wardle: Mr. Speaker, before I con-
clude my remarks, I would like to say this:
I was in this House for a good part of the
speech of the Leader of the Opposition.
I was in this House yesterday and listening,
without any interruption at all, to the
leader of the NDP. Surely, when a govern-
ment member gets up to speak, the mem-
bers of the NDP could at least offer the
same courtesy as government members offer
the opposition.
Mr. MacDonald: Oh, having provoked in-
terruptions now he is crying about them.
Mr. Foulds: The hon. member should be
flattered that we consider him important
enough to heckle.
Mr. Wardle: Mr. Speaker, I am sure that
my final remarks will meet with the atten-
tion that I think they deserve, and I'm sure
that all the members of the House will agree
with them.
Mr. Foulds: Why are all the Tories leav-
ing?
Mr. R. G. Hodgson (Victoria-Haliburton):
The hon. member opposite has just come
back.
An hon. member: He just came in.
Mr. Wardle: Mr. Speaker, in my final
remarks I should like to express my words
of gratitude for the fine way in which the
Lieutenant Governor of this province, the
Honourable W. Ross Macdonald, has served
as the representative in Ontario of our gra-
cious sovereign. Queen Elizabeth.
Mr. Foulds: Well said.
Mr. Wardle: He has conducted himself
with dignity, great ability and with a dedica-
tion to his duties. His term of oflBce has
enhanced the honourable oflBce that he holds.
I know that the people of Ontario will look
forward to welcoming His Honoiur's succes-
sor. Dr. Pauline A. McGibbon.
Whilst speaking of the oflBce of Lieuten-
ant Governor, I would like to express my
hope that serious consideration will be given
by the govenmient to provide a home in
Toronto for our lieutenant governors. This
was formerly the practice, and I see no
reason why this policy should not be re-
sumed.
Nearly every province in this Dominion
has a government house. Many of my con-
stituents have expressed their agreement with
this proposal. I feel certain that good use
would be made of such a facility, especially
as Ontario is increasingly serving as host to
MARCH 12, 1974
183
visiting organizations and dignitaries from
other parts of Canada, the British Common-
wealth and foreign comi tries. Such a home
would also allow members of our royal fam-
ily to stay there and to entertain and wel-
come our citizens in a dignified setting.
Every resident of Ontario will be looking
forward with great anticipation to the visit
this June to Ontario and Quebec of Her
Gracious Majesty Queen Elizabeth, the Queen
Mother.
Mr. Martel: Don't include me in that.
Mr. Wardle: Her Majesty is held in high
regard by our citizens, especially by those
who remember the fine example she and her
husband, our late sovereign. King George
VI, set during the perilous days of World
War n. When the light of freedom had
nearly been extinguished in Europe and our
western civilization was in danger, our King
and Queen were able to rally our people and
those who love freedom everywhere to fight
against those who would have buried the
great heritage of freedom which has sus-
tained us through the centuries.
I know that the people of Ontario and
Quebec will offer Her Majesty a warm re-
ception. We know the personal sacrifice that
such a position requires and the complete
dedication of Her Majesty to her duties. I
hope that the school boards will, in advance
of the Queen Mother's visit, bring to the
attention of students the importance of the
constitutional monarchy in our system of
government and will declare at least part of
the day a holiday when Her Majesty visits
their coinmunities.
Mr. Foulds: We can't close the schools.
Mr. Wardle: I am most impressed, Mr.
Speaker, by the large numbers of our young
people who want to learn more about our
constitutional monarchy and its present and
future role in our parliamentary system. This
interest has been especially sparked by the
overwhelmingly successful visit last June of
our sovereign Queen Elizabeth. Her Majesty
was greeted with great enthusiasm by Cana-
dians of all ethnic backgrounds.
We must not forget that constitutional
monarchy is respected not only by those of
British and French descent but by people
who have come here from all parts of the
world. Many of the critics of the monarchy
tend to forget that the system of monarchy
is also a respected institution in many coun-
tries from which Canada's iiimiigration has
come.
When our newest citizens swear allegiance
to Her Majesty Queen Elizabeth, her heirs
and successors, they come to realize that the
monarchy is the oldest of Canada's political
institutions having come down to Canadians
through 1,146 years of political development.
These new Canadians also realize and appre-
ciate the fact that our constitutional mon-
archy provides Canadians with the greatest
constitutional safeguard against communism
or any other form of totalitarian government
or dictatorship.
The most essential and distinctive institu-
tions of the Canadian government and the
ultimate defences of the constitution are
based on the position and powers of the
Crown. The^e include the whole of the
executive power of the government of the
day, the cabinet system, the principle of
responsibility, and the ultimate assurance
that the genuine popular will shall prevail.
To a democratic people, the monarchical form
of government testifies to the ability of that
people to develop a responsive political sys-
tem from an authoritarian feudal structure
without passing through the violence ot
revolution. The constitutional monarchy has
a proud record in the development of the
Canadian nation.
Mr. Foulds: Hasn't the member ever
heard of Cromwell?
Mr. Wardle: How fortunate we are to
have as our sovereign a most gracious lady
who, by her example, has endorsed high
standards-
Mr. Foulds: So Cromwell was a Commie?
Mr. Wardle: —and has encouraged the
worthwhile traditions—
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): The member
shouldn't show his ignorance.
Mr. Foulds: He doesn't even know who
Cromwell was.
Mr. Wardle: —so many of which vitally
reflect the better aspects of civilized be-
haviour and living.
Her Majesty has carried out her royal
duties with dignity and zeal and has truly
carried out her promise to her people in 1953
that, to their service, she would give her
heart and soul every day of her life.
Mr. G. Nixon (Dovercourt): How true.
Mr. Wardle: Mr. Speaker, how proud we
are to be Canadians and to live in Ontario,
this great province of opportunity.
184
ONTARIO LEGISLATURE
Mr. P. G. Givens (York-Forest Hill): Mr.
Speaker, I rise to participate in this annual
ritual of reply to the Throne Speech which
ushers in the rites of spring. As I rise to
speak, I don't know whether to cry or to
laugh because in my entire public career
()\ er the past 25 or 30 years I think I have
spoken in cities all over Canada, some in the
United States, some in other parts of the
world, but never before have I risen to speak
imder circumstances such as these, when the
complete vista in front of me is totally
blank.
Mr. D. M. Deacon (York Centre): Even
though there are people sitting over there.
Mr. Givens: Even when there are people
sitting there, it's usually blank. The House
leader just sat down, called over the hon.
member for Riverdale (Mr. Ren wick)— and
now another member has just walked in—
so I won't have to look at a totally blank
wall.
I don't think Tm ever going to get used
to this sort of a situation, Mr. Speaker. I have
no speech to read. That's probably where I
made the mistake. I should have a speech
writer write me a speech which I can read
off.
Mr. J. R. Breithaupt (Kitchener): The
Minister of Education (Mr. Wells) might
have one.
Mr. Givens: Probably they have a better
system in the United States where they just
hand in their speeches and get them printed
in the Congressional Record.
The members have just received a raise,
I would have thought that when members in
the House get up to speak during a Throne
Speech debate that there would be more
people sitting here to listen to them— because
making a speech is a product of the heart
and the soul and the mind. You use your
mouth to articulate it, but you would like to
feel that you are communicating with people.
I don't care whether people agree with
me or whether they disagree with me, or if
they want to boo or if they want to jeer at
me or if they want to scorn me.
Mr. R. F. Nixon: We want to hear the
hon. member.
Mr. Givens: But at least a member of this
Legislature should have an opportunity to
speak to human beings— and not just to be
rea:l in Hansard. Not that I am that immodest
that I feel that I have anything to say that
is of such great importance, or that the man-
ner in which I will say it will be so enter-
taining that it should enrapture those who
sit here— but good heavens, Mr. Speaker, what
is the purpose of making a speech? God has
given us mouths and tongues with which to
articulate for the purpose of communicating
with one another. How do we communicate
when we sit in a chamber like this where
there is hardly a quorum?
I think maybe a quorum has just appeared
right now of 20 members. But as Sam Ray-
burn said, "In order to get along you must
go along," and my leader and the House
leader have said that I have to participate in
this annual ritual of replying to the Speech
from the Throne. So here I am. I shall do
that.
Mr. J. E. Stokes (Thunder Bay): The mem-
ber shouldn't trouble himself.
Mr. Givens: I shall use my ability to reply
to the Speech from the Throne.
Interjection by an hon. member.
Mr. Givens: Well, Mr. Speaker, the hon.
member says I shouldn't trouble myself. I
hope that I am not being interpreted in that
light; but really, what is the purpose of talk-
ing if you are not communicating with some-
body? Let me tell the hon. member that in
council we had people who sat there and
they listened— and you turned them on or you
turned them off and you could persuade them
about something. Now we know very well
that nobody is going to persuade anybody
around here of anything. The Juggernaut will
roll on and we just participate. It's sort of a
hypocritical ritual really when it comes down
to it.
An hon. member: Storm the barricades!
Mr. Givens: Anyway, having said that, I
want to deal with some of the issues— well,
there's no point in storming the barricades.
Hon. A. Grossman (Provincial Secretary for
Resources Development): We are listening to
the member.
Mr. Givens: Well, it's really frustrating any-
way. I thank those members who are here.
Interjections by hon. members.
Mr. Givens: I know that there is nothing
the members are going to learn from me,
but at least it's comforting to know that
some of them are friendly enough to sit here
even though some of them are busy reading
the newspapers, or their mail—
MARCH 12, 1974
185
Mr. MacDonald: It's a challenge to the
mem her for York-Forest Hill.
Mr. Givens: —or indulging in other things,
such as consulting with one another. How-
ever—
Mr. R. D. Kennedy (Peel South): Could I
leave for a couple of minutes?
Mr. Givens: My leader—
An hon. member: Sit down!
Mr. Givens: My leader and the hon. leader
of the NDP made much of the fact, and right-
ly so, that there is nothing in this Throne
Speech that says anything in particular about
the subject of inflation, which is supposed
to be so important to everybody living in this
province and, indeed, in this whole country.
I sometimes think that the reason why gov-
ernments—both federal and provincial— are not
doing anything about inflation is because they
don't want to do anything about inflation.
I feel that there is almost sort of an un-
conscious or a subconscious deliberate con-
spiracy not to deal with inflation. And I'll tell
the members why. Because I think a large
sector of our population benefits from infla-
tion.
I think there are professional people, there
are business people, there are strongly or-
ganized union members in the big unions, in
the strong unions— not the underprivilteged
people who aren't organized— who benefit
from a httle bit of inflation, because it is
like a little bit of intoxication. It's euphoric.
It's liuoyant.
I know many people in business who are
benefiting by virtue of the fact that they
have acquired debt. They have bought ma-
chinery or equipment and they are paying it
off in half-dollar bills, so to speak, because
their debt has shrunk in relation to the infla-
tion that has taken place at the rate of from
8 to 10 per cent a year- and probably in
1974 it will be greater.
It isn't only a matter of the big corporations
or the big companies. A lot of small people
benefit from inflation, and they are happy to
have this situation continue. And the govern-
ments are copping out and they are opting
out.
The provincial governments blame the fed-
eral government. The federal government
l^lames the UN, international affairs— all kinds
of things. Everything is being attributed to
the oil shortage today, from the price of
gasoline for cars to sexual impotency.
Mr. R. F. Nixon: W ho is dealing with that?
Mr. Givens: They are copping out. The
people they are not dealing with are the little
people, the kind of people the hon. member
thinks he represents, who are involved in a
bit of a ripoff here and there. A member of
the NDP got up yesterday and read into the
record a long list of properties in areas which
I used to consider my turf when I was a kid
— Markham St., Clinton St., Niagara St. and
all those streets where working people live.
As for these values that members have heard
of, of people who had these houses on these
various streets, these are people from
factories. These are people that I worked with
in the steel mills and in the packing houses
of this city and these are the people who
benefited.
Mr. Foulds: Markham St.?
Mr. Givens: Yes, sir.
Mr. Foulds: Honest Ed has a place there.
Mr. Givens: One of the reasons why these
properties are going up in vallie is that many
of these properties are income producing.
Many of these people have boarders. They
are not supposed to have them in many cases
but they have boardbrs or they rent out
accommodation. They get a certain amount of
income, which they don't declare on their
income taxes, and this helps them ward off
inflation.
It would be interesting if the member sent
his research workers on the job of looking up
the assessment roles of these respective prop-
erties. I will wager that he will find that the
assessed values of these houses havai't
changed in 20 or 25 years. They are probably
paying realty taxes on values that were estab-
lished by the assessment people about 20 or
25 years ago. If one were to reassess them—
and I wish the Minister of Revenue (Mr.
Meen) were here-it wouM probably take
about 10 years to reassess them, and by the
time he got all the reassessments finished,
they would probably be out of date as well.
It's interesting that the leader of the NDP
pours scorn on these developers and these
companies and that he talks about their lack-
ing a moral obligation. Many of the de-
velopers, or these companies tiiat he talked
about yesterday, were people who were
bom and grew up on these streets and in
these houses that he talked about yesterday.
Mr. Foulds: That still doesn't excuse it.
Mr. Givens: They had social obligations.
Manv of them were socialists or many of
186
ONTARIO LEGISLATURE
them were members of the CCF. As a matter
of fact, I know a couple of them who ran as
provincial candidates for the NDP and some
of them were even further left than that.
I remember coming into the gallery here
when I was a student at the school across the
street and Joe Salsberg was sitting here and
A. A. MacLeod, representing the Labour Pro-
gressive Party. They were the people who
represented these poor struggling developers
who have become these ogres that the mem-
ber accuses tod^y of lacking social obligations.
They think that they are fulfilHng their social
obligations. They sit on hospital boards, on
charitable institutions, philanthropic institu-
tions, and cultural organizations. These are
the member's people, and some still picture
themselves as NDPers.
I don't justify it, but in all fairness, many
of them have fathers who were socialists in
the old country and had to escape the coun-
tries that they came from in order to live in
these places that the member talks about.
Mr. Foulds: Mr. Speaker, we have no
comer on virtue. We never have claimed it.
We have the member for High Park (Mr.
Shulman) after all.
Mr. Givens: It is the same thing with the
price of food.
Mr. R. F. Nixon: Don't say that when he is
in the House.
Mr. Givens: It is not enough to talk about
inflation in housing and food. The same thing
apphes to recreation and entertainment. You
go out to buy a hockey stick for a kid or a
pair of skates or a jersey or, if you want to
move into the aristocracy of the boaters, you
buy a canoe or a rowboat or a sailboat, and
it is just preposterous what has been happen-
ing.
Mr. R. F. Nixon: One of those little items
that sleeps six.
Mr. Givens: It is absolutely ridiculous. As
far as housing is concerned, the leader of the
NDP says, "We will buy the land from the
developers at the price that they pay for it
and we will pay them that value and we will
pay them holding costs." Well, that's very
generous of them, certainly a great dfeal more
generous than what the Tories are doing.
This government went ahead on a parkway
belt and just zoned down property and
they've confiscated the property and given
the people nothing for it. So thanks for
small blessings, if this is what the leader of
the NDP is going to do.
Then he's going to provide cheap mortgage
money at six per cent from the provincial
savings accounts of the people who have
their pension funds in the provincial savings
account. They're going to give out mortgages
at six per cent. Are we going to subsidize
that six per cent? Why should a person who
has money in a provincial savings account
only be able to benefit to the extent of six
per cent when somebody else is paying 9%
per cent? Surely that wouldn't be fair?
Mr. Foulds: They're only getting 4V2 per
cent now.
Mr. Givens: And when he says that this
Tory government won't do it, I think he'd
be very surprised. The Tory government
probably will do it, because they're confiscat-
ing right now, and I'll come to that in a
moment.
The leader of the NDP went along and
he talked about how they're going to tax
natural resources. They're going to put a
tax on the mines, and they're going to put
a tax on the oil wells and on uranium and
on everything else. And as he was talking
about tnis great tax that he was going to
put on, and how three of the provinces that
have NDP governments have done this and
the mines haven't moved out and the corpo-
rations haven't moved out and jobs haven't
moved out of the provinces, rriy eye caught
a clipping, an article on the financial page
of the Star yesterday, and I want to read it
to the members. It's all right for him to
speak so confidently and so stridently about
the great success that British Columbia has
achieved—
Mr. Foulds: Never stridently, only elo-
quently.
Mr. Givens: —but here's an article from
the Star, dateline Victoria, that says that:
The mining association of British Col-
umbia has told Mines Minister Leo Nim-
sick that the proposed Mineral Royalties
Act must be revised or the government
will destroy mining in BC.
Mr. Foulds: Did they say they were going
to move out?
Mr. Stokes: Does the member for York-
Forest Hill have an interest there?
Interjections by hon. members.
An hon. member: How do they move a
mine?
MARCH 12, 1974
187
Mr. Givens: To continue:
The association represents 80 companies.
W. J. Tough, association president, said
that the proposed royalties would make
the BC mining industry unable to com-
pete with mining in other parts of the
world.
Earlier, the BC and Yukon Chamber of
Mines said that if the Act were imposed,
there would be a loss of $587 million in
revenue for various sectors of the econ-
omy. At the same time, the chamber said,
the provincial government would gain
revenues of $179 million.
Now, my purpose in reading this clipping is
not because I agree with him.
Mr. Martel: Sounds like Powis of the
Ontario Mining Association.
Mr. Givens: I have no way of knowing
whether I can agree with him or not, be-
cause we don't know what the facts really
are on the basis of what the leader of the
NDP has said and what this clipping says.
But I'm trying to indicate that there is a
cacophonic disagreement on the part of the
people who talk about these things because
they don't use the same language.
Mr. Stokes: Well, where does the member
stand? Does he think we should be getting
more money for our resources?
An hon. member: Just listen and you'll
find out.
Mr. Givens: Yes, I think we should be
getting more revenue. The fact is, the mem-
ber knows, as a speculator and an investor,
himself, that these—
Mr. Stokes: I sold mine. The member still
has his.
Interjections by hon. members.
Mr. Givens: —profits the NDP talks about
are not reflected in the stock prices on the
stock markets.
Mr. Stokes: Nobody said they were.
Mr. Givens: The thing gets very compli-
cated. There are all kinds of reasons why
the stock market reacts the way it does.
Mr. H. Worton (Wellington South): Tell
us.
Mr. Givens: But one must agree that the
stock market in every country in the world
is a very sensitive barometer of the economic,
the psychological and emotional health of
that particularly country— economically, be-
cause it is a reflection and a barometer of
what is going on. So it isn't enough simply
to get up and say that these profits have
been enormous and they forget about deple-
tion allowances, they forget about deprecia-
tion and they forget about a number of
other things. So they can't be that accurate
when on the one hand they say how wonder-
ful things are, and on the other hand the
president of the association says that mining
will be destroyed in British Columbia.
Mr. Martel: They don't want to pay a
cent in taxes. That's the reason!
Mr. Givens: The member will agree that
there's a difference of opinion, would he not?
Mr. Stokes: No.
Mr. MacDonald: Since the member asked
him.
Mr. Givens: And continuing on the subject
of inflation, as far as the people who have
fixed incomes, as far as our government here
is concerned, When Christmas comes around
there'll be another $50 Christmas present, but
since we're heading into an election year
there'll be—
Mr. R. F. Nixon: We might have an Easter
present, too.
Mr. Givens: Well, they can increase it by
100 per cent and make it another $50, and
then they're going to have an income support
programme, maybe, and then there's going to
be a proposal made for a prescription drug
plan for our senior citizens. This is the way
we expect to help the people who are living
on a fixed income.
As far as the parkway belt is concerned
I'm surprised that in the Throne Speech there
was nothing further said about that because
the Minister of Intergovernmental Affairs
( Mr. White ) has been promising for a long
time, together vdth the former deputy min-
ister of that department, that there would be
open planning. There were supposed to be
hearings. The legislation is just about a year
old. It was passed last June. There hasn't
been a public hearing that I know of with
respect to either the parkway belt or the
Niagara Escarpment. Land has been frozen.
I feel very strongly about this. I'm opposed
to the whole concept. I believe that if a gov-
ernment wants somethhig for public purposes,
w'hether it is a municipal government or a
provincial government, it should have to
prove that it requires it and it has to go in
188
ONTARIO LEGISLATURE
and buy it and not confiscate it and not steal
it. I think this is wrong. I think it is wrong
to zone land for agriculture when we know
very well that it isn't agricultural. Any lands
in these areas that are being farmed are being
farmed as holding operations. They're not
being farmed on an economic basis. They're
being farmed because people are getting con-
cessions with respect to municipal taxes and
so forth.
I ha\ e here an evaluation. What is happen-
ing is that in the parkway belt, for instance,
land has gone down by about 90 per cent. I
have here an evaluation by the firm of
Constam, Heine Associates Ltd., which is a
real estate appraiser. I think the firm has
done a lot of work for the government on
previous occasions. It has evaluated a piece
of land— I'm just using this as an example—
of 100 acres and shown that the value has
gone down. On June 3, 1973, it was worth
$600,000 for the 100 acres and on Dec. 31,
1973. it was worth 100,000 acres.
Mr, Deacon: One hundred thousand
dollars.
Mr. Givens: What did I say?
Mr. Deacon: Acres.
Mr. Givens: I'm sorry; $100,000 an acre.
This is happening all over the place.
Mr. Deacon: One hundred thousand dol-
lars for the 100 acres?
Mr. Givens: One hundred thousand dollars
for the 100 acres whidh means it's been down-
graded from $6,000 an acre to $1,000 an
acre. This is only one example. There are
other examples of values which have dropped
and one would think this would be a good
thing— that the price of land for housing and
other purposes was going down— but it isn't
because outside the parl^ay belt the values
have tripled and quadrupled. What has the
government gained? What has it accom-
plished? None of this land will be used for
housing. I think it's confiscatory.
People have died and the estates pay suc-
cession duties on the basis of the land not
being for agricultural purposes. People have
given some of the property to their children
and the Department of National Revenue has
revalued the properties on the basis of not
being agricultural land. I don't know how
one government can base an evaluation for
succession duties or for gift tax on it being
non-agricultural when the provincial govern-
ment comes along and says, "Your land shall
be agricultural for ever and a day." There
isn't even a house or a farmyard or a barn-
yard or anything on the property which would
enable anyone to use the land for farming
purposes.
This open planning hasn't taken place yet
and I wish the Minister of Intergovernmental
Affairs was around to indicate when these
public hearings and this participation is going
to take place since he talked about it in the
legislation. How long is he going to wait?
In some cases it's a matter of life and
death when the government is going to de-
termine what the future of these properties
is going to be. It is unconscionable. It is
politically amoral and this is what the
government is doing. I wouldn't expect this
to come from a government which is sup-
posed to be a free enterprise party and
believes in free enterprise and believes in
people's rights because I believe we're
living in a democracy.
What constitutes freedom? The govern-
ment takes away a man's property. It takes
away what he's worked for and I'm not
talking about the speculators. If the govern-
ment worries about the speculator, tax him
with a windfall tax. Put it up to 75 per
cent; in this case I agree with the leader
of the NDP. But there are people to whom
these lands represent a lifetime of savings;
indeed the property goes back two or three
generations and the government gives them
a once-in-a-lifetime gift of $50,000 and what
will that be evaluated on? Agricultural
land or land which was worth a certain
amount of money because development had
come up right to one side of the street
and they happened to be on the other side
of the street?
Mr. Speaker, I think this is horribly
unfair. This business of playing Robin Hood,
of stealing from those the government
thinks are the rich to satisfy the poor,
creates a very terrible precedent and in no
other free country in the world is this per-
mitted. In the United States, in Britain, one
can't get away with it.
Mr. Lawlor: Even Robin Hood went to
jail.
Mr. Givens: Under the law of eminent
domain in the United States, if the govern-
ment wants the property, it takes it; it
proves it needs it but pays for it based on
what other criteria it wants to set up. There
are a lot of definitions of market value.
They are in the federal expropriation Act
and in the provincial Expropriations Act.
There are definitions that realtors can give
MARCH 12, 1974
189
yoii, experts in this particular field. Pick
an> one that you want. But don't steal
property from people. I don't think it is
fair. I don't think it is conscionable. If the
go\ernment wants to tax them for the big
profits that they make, fine. It should take
certain things into consideration: how long
the\ liave held it, how long they have worked
it and how long it has been in the family
name.
The go\emment knows it can do it be-
cause it is doing so with respect to taxation.
It is doing it with respect to its once-in-
a-lifetime gift. I say this is very unfair,
Mr. Speaker, and I am very surprised that
the government is going ahead with it.
Mr. R. Cisborn (Hamilton East): We will
take it under consideration.
Mr. Givens: They will take it under
consideration. Even in British Columbia
where they passed similar legislation.
Premier Barrett has indicated that value will
be paid to people from whom lands are
taken or people from wiiom lands are
taken just to sit there sterile. If the govern-
ment really thinks that they are agricultural,
let it go in and expropriate them for agri-
cultural purposes and let people farm them.
But don't leave it there and steal it. Then
the government says it can't aflFord to pay
these people for the land. What kind of an
excuse is that?
At least when Robin Hood came driving
down the pike, one could see him coming.
He had his bow and arrow. But when the
proN'incial govermnent moves in one can't
even see it coming. And Robin Hood con-
fined his activities to stealing-
Mr. Breithaupt: One gets shafted just the
same.
Mr. Civens: —whatever one had on his
bod>. This is stealing what people have
saved up for 30, 40, maybe 50 years. He
confined his activities to Sherwood Forest.
This Robin Hood government's jurisdiction
stretches all over the province. The park-
way- belt and the Niagara Escarpment are
onh two places. If the government gets
av^a>' with this now, it can put in a parkway
belt anywhere in the province that it wants.
I don't think it will get away with it because
I think there will be litigation in the
courts that will go on for many, many years.
Mr. R. F. Nixon: They are going to be
defeated too.
Mr. Deacon: The airport loading zone,
isn't it?
Mr. Lawlor: They haven't even got a
Maid Marion.
Mr. R. F. Nixon: Maid Margaret?
Mr. Givens: It is the same thing with the
aiiport. On the question of regional govern-
ment, we have here a report, "The Mu-
nicipal Dynamic". This was prepared for
the Ontario Economic Council, which I sup-
pose is ordered by the government. This
particular tract was written by a man by
the name of Lionel D. Feldman. The report
isn't very complimentary to the government.
The report doesn't say too much of who
Mr. Feldman is. At one time he was a mem-
ber of the staff of the Department of
Municipal Affairs in Ontario. He has been
a research associate with the bureau of
municipal research in Toronto. He has
worked on the staff of a number of royal
commissions. Recently, as a principal author
of research monograph No. 6, entitled, "A
Survey of Alternative Urban Policies for
Urban Canada: Problems and Prospects,"
he combined or collaborated with Harvey
Lithwick in this report in 1970. This was the
report incidentally that convinced the Prime
Minister, with whom I had many arguments,
about the constitutionality of the urban
question as far as federal government involve-
ment is concerned. The Prime Minister of
Canada said there would never be a Ministry
of Urban Affairs for Canada and there would
never be a Minister or a Ministry of Housing
for Canada, because, within section 92 of
the British North America Act, this was com-
pletely under the jurisdiction of the provinces.
It was this Lithwick report, together with
the collaboration of Feldman, which brought
this about. Mr. Feldman was also active as
a special adviser on urban aflFairs to the
government of Manitoba, which should
commend him to the party on the left.
Mr. MacDonald: When?
Mr. Givens: As part of a study team re-
sponsible for the reorganization of Winnipeg
in 1972; that was when. So he is okay. All
right? This is what he has to say.
Mr. MacDonald: I just wanted to be cer-
tain.
Mr. Givens: He completely scoffs at what
the members opposite are doing and what the
government is doing. He takes a dim view of
what the government has done in the regional
government field. I read a report of his, and
he is worth quoting. He says:
190
ONTARIO LEGISLATURE
The goal of the government of the Prov-
ince of Ontario stated in the 1973 budget
was to enhance the autonomy of munici-
palities and broaden the scope for decision-
making at the local level. [But what have
they accomplished? He goes on to say:l If
this is the aim, then what is occurring
creates an autonomy which is virtually
meaningless. Few meaningful functions are
being left to the local governments to per-
form unilaterally, and therefore less remains
in substantive terms to be decided by local
councils. If this prognosis is valid, then the
future is dim for effective local govern-
ment.
And so it is. The government keeps talking
about local autonomy all the time. But all
it has left for the local governments to do are
the menial tasks. They are hewers of wood,
drawers of water and collectors of taxes and
garbage. The government has left them no
powers at all hardly worth a dam.
Mr. R. Haggerty (Welland South): Even
taken the garbage collection away.
Mr. Givens: He goes on to make a very
valid point, which I think is important to bear
in mind. He says on page 40: "Efficiency was
never intended to be the sole objective of
local government"— if indeed the government
thinks they are achieving eflBciency, but I
don't think that they are, because the costs
of local government are going up tremend-
ously.
He goes on to say that eflSciency isn't
enough. He says:
The underlying assumption of equal im-
portance was that ordinary people should
associate with the provision of local schools,
roads, sewerage, water, social services and
so on, to the extent that they not only plan
these services, but vote funds to provide
services, pass the contracts, supervise con-
struction, so the citizens may feel that they
are really dealing with their own services
and not merely receiving services and pro-
grammes being provided for them by a sen-
ior government
And this government is emasculating them
and tearing them dovm; it is making it use-
less for anybody to run for public office.
He goes on to say— and he was quoted by
my leader the other day, but I will quote this
again— "if this continues the future of reor-
ganized municipalities is bleak"— and I'm look-
ing for the quotation that was quoted the
other day to the effect that the tasks they have
to perform are so unimportant that hardly
any people are going to be willing to run for
public office in the local municipalities any
more. That is a fact. That is what people are
saying. And this government should concern
itself with What people are saying in the re-
gional governments because this government
is going to suffer from it:
As far as the two-tier system is concerned,
the government is leaving nothing for the
lower tier to do. They have no jurisdiction at
all. It's all determined here, and we can't
take in that kind of centralization. Quite
frequently the minister yells across, "What
would you do?" Well, I'il tell him what we
would do. I'll tell him what I would do as
Minister of Urban Affairs: I would restore
their manhood and their power to do what
they want in the local municipalities. And
I wouldn't fund all kinds of programmes
which this government funds for their bene-
fit, but which aren't for their benefit. The
only reason they participate— and this gov-
ernment only tells them about these pro-
grammes after the event; it doesn't consult
with them in advance— the only reason they
participate is because this government is
handing out the dough, so they figure they
might as well get a piece of the action whe-
ther indeed they need that programme or not.
Mr. R. F. Ruston (Essex-Kent): Right on.
Mr. Givens: And another thing that we
would do: You know, Mr. Speaker, this gov-
ernment makes a big deal about mergers and
greater eflBciency; it is taking all these munic-
ipalities, welding them into one and calling
them names that they don't want to be called,
wiping out names that have become tradi-
tional over many years.
!What the government is also doing in many
cases is decreasing representation. The gov-
ernment talks about participatory democracy,
about considtation, and about local autonomy
having a part in the daily lives of local
people, yet it is ripping away all kinds of
representation from them. There are areas in
this province today that used to be repre-
sented by councils of six, eight, nine or 12,
even existing in Metropolitan Toronto, and
these people are no longer represented by a
council and have nobody to turn to with
respect to their local affairs. This isn't right.
So while this government is striving for this
eflBciency and while we are having these
mergers and consolidations, it is cutting down
on the number of representatives. It is taking
away the democratic rights of these people
all over Ontario and giving them no repre-
sentation at all. This is wrong.
MARCH 12, 1974
191
lit is wrong to take away a council of about
a dozen from a municipality and replace it by
one solitary alderman who in many cases is
not even elected by them, as in the city of
Toronto, where the members of Metropolitan
Toronto council are not elected by the people
of Toronto. Then, over and above it all, the
government imposes a chairman, which is
such an undemocratic principle that I can't
imdterstand why the government keeps on
using it over and over and time and time
again.
While democracy works for the members
of this government— the Premier (Mr. Davis)
has to get elected, the cabinet ministers have
to get elected by some convoluted logic, which
I've never been able to understand, they feel
that the man who is chairman of Metropolitan
Toronto should be chosen by a small group
of people on that council and not by the
people he represents, although he has all this
influence and has a budget tiiat is larger than
the budgets of eight of the provinces of this
country. The government is doing this in other
areas, and it's a wrong principle.
(The people who have this power and this
control should have to be elected. That's
what we would do: we would make them be
elected. We wouldn't impose decisions on
the people vdth respect to things that they
don't want and don't need.
On the question of transportation-
Mr. Cassidy: On which the hon. member is
an expert.
Mr. Givens: —this Throne Speech is re-
markably devoid of any half-decent recom-
mendations with respect to transportation.
Incidentally, it was such an interesting speech
that even though the Lieutenant Governor
left out three pages, because they weren't in-
cluded in the speech, it didn't seem to make
any difference; nobody even noticed it. That's
how good a Throne Speech it was. So when
I heard the Throne Speech being read I said,
"isn't that marvellous for northern Ontario?"
For some reason I have a sympathetic feeling
for the people up north because I think they
have been getting—
Mr. Stokes: Sympathetic— right.
Mr. Givens: Sympatico— sympathetic feeling
for the people up north; because I feel that
the people up north have been getting a raw
deal for a long time. So when I heard the
speech I said: "A whole new era is dawning
for northern Ontario." But it wasn't until I
read the speech a second or a third time that
I realized' what it really said.
It didn't say that a road was going to be
built. It said a feasibility and engineering
study vdll be undertaken for a road from
James Bay to Moosonee. So it ain't no road
yet; don't hold your breath.
Then it went on to say that priority con-
sideration will be given to the supply of
electric power to northern communities; a
power line to Moosonee will be the first
project in this undertaldng. So don't throw
away your coal oil lamps or your flashhghts
yet.
Then it went on to say that the northern
communities vdll have the opportunity to
establish local community councils and went
on to say they will have water and roads and
other such services— and implementation of
this plan will follow full consultation with
residents of communities who wish to parti-
cipate. I suppose the full consultation will
be the same kind of full consultation that the
Premier of this goverrmient had with Metro-
politan Toronto just before he abandoned the
Spadina Expressway after blowing $100
milHon. That is the kind of consultation they
are going to get.
Then the speech goes on to say high
priority has been given to rebuildmg or
widening Highway 17 between Sault Ste.
Marie and Sudbury— that is high priority. And
also it says that the Ontario government is
negotiating an agreement to participate
through an appropriate agency about the
Polar Gas project. The government is not
going to have an agreement. It hasn't got an
agreement; there is no sign of an agreement—
but it is going to be negotiating an agree-
ment.
Then last but not least, it says studies will
be made regarding the establishment of a port
facility in the James Bay area. Now, when I
first heard this I figured: "Boy, they are
going to get a port; how wonderful. I will be
able to sail my boat up there." But the gov-
ernment is going to have studies regarding
the establishment of a port in the James Bay
area. Well, so muc^h for the north. I begrudge
the north nothing. If the money that was
saved on the Spadina Expressway can be
used to put in Highway 17, or the Moosonee
road, more power to them. But I don't think
they are going to get it.
Mr. Deacon: No, there will be more
studies.
Mr. Givens: Only more studies. So, so
much for the north.
Mr. Breithaupt: Nothing is too good for
the north— and nothing is what they are
going to get.
192
ONTARIO LEGISLATURE
Mr. Givens: Now, we have been told over
and over again—
Mr. Stokes: Does the member think the
north should subsidize the TTC down here?
Mr. Givens: No. And it won't, because the
TTC isn't doing a hell of a lot— or the prov-
ince isn't permitting it to. Dr. Richard
Soberman has just brought in a report in
which he indicates that the Scarborough Ex-
pressway in his opinion— I am paraphrasing;
I haven't had an opportunity to read the
report, so I judge from what I read in the
newspapers— but Dr. Soberman is recommend-
ing that the Scarborough Expressway be
abandoned. And I tell the members that I
am not surprised. If there was reason for
abandoning the Spadina Expressway— which
was much less painful to the people in the
area from a disruptive and inconvenient stand-
point than it would be for the people if the
Scarborough Expressway should be built— if
there was reason for abandoning the Spadina
Expressway then, a fortiori, the Scarborough
Expressway— a fortiori means I am leading
with greater strength for greater reason— the
Scarborough Expressway should be aban-
doned.
When asked whether the Scarborough Ex-
pressway should be replaced by this Krauss-
Maffei scheme— the government is putting all
its eggs in one basket on that one— Dr. Sober-
man said no, that he wants something that
will work now and not in the future. When
he talks about Krauss-Maffei— which I will
come to in just a second— he says it is a
research project, really, and not something
that is viable to go into because it hasn't
been in operation anywhere. He talks about
the project as a matter for the future and
probably it won't be operational for about 20
years.
Mr. Deacon: That is a basket of eggs that
is beginning to turn rotten.
Mr. Givens: And then he indicates that it
should be LRT. LRT is like rapid transit.
Some people call it Hght rail transportation,
which is a streetcar system which is being
developed in the United States and which is
being used in Europe and in many American
cities. They are planning it right now and
they are putting it in operation. It is a tried
and tested system.
I would have thought that under the cir-
cumstances, since this is having so much suc-
cess in other jurisdictions, that at least there
would be something in the Throne Speech
that would indicate that the provincial gov-
ernment is interested enough in studying this
particular issue. But it is not. There is not a
word in it about light rapid transit.
Dr. Soberman has indicated that the very
right of way which was designated for the
Krauss-Maffei thing some time off in the
future should be used for an LRT system,
which means that as far as he is concerned,
as an expert— and he must be an expert or
else he wouldn't have been brought in to
make this study and make this report— as far
as he is concerned, he is completely ridding
himself of any idea that that's Where the
Krauss-Maffei system should work and he
doesn't think it's going to work. And he sug-
gested that right of way now be used for this
light rapid transit system.
The Krauss-Maffei thing is being called into
question all along the line. People are asking
questions; they can't get answers. It's a re-
search project, it's not a proven system. It is
nowhere in existence, not even in the countr)-
where it's manufactured.
Magnetic levitation is being used for many
kinds of engines but not for transportation
anywhere in the world. The stations are going
to be huge. They are going to be up in the
air. There are going to be staggering ques-
tions as to how it is going to be interlined
with the subway system and with the bus
system.
Thev talk about 20-passenger cars. It has
been figured out from an engineering stand-
point that these 20-passenger cars aren't
going to be able to handle the loads with
enough of a time headway between them
to let it operate as a safe system, so there
are the same serious loading limitations and
there are going to be no attendants on the
cars. It's going to have high capital and
operating costs. It's a new and completely
unproved technology at the present time,
and I would have thought that the Throne
Speech would have taken into consideration
this new manifestation— this LRT system.
There is a citizens transit committee which
has been dealing with this at various public
hearings and the government has chosen to
disregard this completely. I think that is
absolutely wrong. I think that Krauss-Maffei
may be okay. Maybe it will be in operation
in about 15 or 20 years, but there is knoNvn
technology which has to be utilized for the
purpose of moving people now, because the
Spadina Expressway, for instance, was aban-
doned three years ago. It will be three years
on June 3 of this year.
What has taken its place? The Spadina
subway is going to be built. I think tenders
MARCH 12, 1974
193
have just been approved for the building of
the sewers in the ravine there and that will
take about six months. And they indicate that
the subway will be finished by 1977. I think
there will be grass growing dovm Yonge
St. before that subway is finished in 1977,
because it has taken 10 years to move the
Yonge St. subway from Eglinton up to Finch
and that hasn't been opened yet.
That thing started when I was still at
city hall in Toronto. True, there was tunnel-
ling and there may not be tunnelling in the
ravine, but by the time that they deck the
system in the ravine and do what is sort of
tunnelling in reverse, it will probably take
10 years and you ain't going to get that
subway finished for at least 10 years, Mr.
Speaker.
So, what have they done? What have they
done to replace the transportation system
which they abandoned three years ago? A
dia-a-bus system is only an intermediate sys-
tem which takes people from their homes
and brings them to bus stops or subway
stations. But if you don't have subway sta-
tions or if the subway stations are over-
loaded, the dial-a-bus system is just a tertiary
kind of support system. So what has the
government done to replace that transporta-
tion system? Absolutely nothing. And there
isn't even a word in the Throne Speech about
what the government is going to do.
Concerning the teachers situation which
the Throne Speech alludes to, it looks like
we are going to get compulsory arbitration
whether we like it or not. As far as we in
this party are concerned, the criterion of
what should determine compulsory arbitra-
tion is not whether a calling or a service or
a kind of work is essential or not. I don't
think that really is a relevant point. As far
as I am concerned, I think that the criterion
for compulsory arbitration should be the
kind of work or service which has to do
with public safety, which has to do with
health, which has to do with the matter of
life and death, vital services.
It is not a question of essentiality. Garbage
collection is essential. Transportation is essen-
tial. There are some of these things that are
essential for which I wouldn't consider com-
pulsory arbitration to be the necessary option,
the necessary outcome, the necessary remedy.
But what bothers me is this, and I will
tell you quite frankly, Mr. Speaker, here we
have a class of people, the high school
teachers in this particular area— and this is a
cause celebre, it isn't only the teachers in
the York county system, but it's the teachers
everywhere; the whole world is watching as
to what's going to happen here— what bothers
me is this, that here we have several hundred
teachers who obviously have the support of
most other teachers throughout the countrv
for that matter who are highly intelligent,
highly educated.
This isn't riff-raff. These aren't people be-
ing led by Communist radicals where you
think that they are trying to score political
points. These are people who have been
exposed to our kids. They realize the impor-
tance of their jobs. Some of them have verv
high degrees. If this government hasn't been
able to empathize with these people, if this
government hasn't been able to establish a
rapport with this class of people in our
society, then something is very, very serious-
ly wrong.
The only way that we can settle this
problem is by the shotgun of compulsory
arbitration, because that is what it is. This
class of people are not miners and the>- are
not uneducated people who haven't had an
opportunity to have an education; these are
our most highly qualified people in the
community, people who have always been
looked up to as the people to whom we
would entrust the minds and the souls of our
children. These are the people that the
government is gunning under with compul-
sory arbitration and I say that it is \er\', very,
very sad. Something is wrong when we have
to invoke this solution, which we will prob-
ably do within the next day or two. This
party is against it. We cannot support com-
pulsory arbitration, because we think that
there's another remedy and we will come to
that at the proper time when the debate
takes place.
Lastly, I want to deal with the question
of solid waste management. The Throne
Speech says:
A permanent advisory committee on
solid waste management will be established
in order to achieve closer consultation
with municipal governments, environmental
groups and industry, whose co-operation
is essential to the solution of problems
created by increasing waste of energy and
material resources and the diflBculties of
waste disposal.
This means another study. I don't know what
we need another study for in this field,
really. You know, there's a lot of very mud-
dled thinking going on on this subject.
Toronto has a garbage problem. It goes into
another area and wants to dump it. "Don't
dump your garbage here. No way. Don't
dump it here." Well, what shall we do with
194
ONTARIO LEGISLATURE
it? "Burn it, incinerate it." If we want to
build an incinerator in town, the people in
the area don't want it where we want to
locate it. "Don't build a sewage disposal
plant.
These people have no objection— and this
is universal, it involves everybody— they
ha\'e no objection to making garbage. They
have no objection to flushing a toilet and
creating waste. It's a very unpleasant subject
but we have got to face up to it and talk
about it. They are all waste makers and all
litterers and they are all garbage makers, but
nobody comes up with a solution as to how
we are going to dispose of this stufiF.
So we are the victims of progress, because
years ago when garbage was collected on the
streets of Toronto, we had a packer truck
that came down the street and we took the
cartons out and flattened them out and shor-
ed up the sides of the truck. Then when they
took the stuff to the dump, they could separ-
ate the paper from the garbage and so on.
The flush toilet was supposed to be great
progress. It is one of the worst things that
has ever happened to civilized society to date
and that's a fact. This is the problem today,
and of course the cigarette smoker is the
greatest polluter of all.
I am the vice-president of a company
called Atlantic Packaging Co. We recycle
paper, kraft paper. In our mill in Scarbor-
ough, at 111 Progress, we manufacture 220
tons of paper a day for corrugated cases and
boxes. We manufacture other things as well
but this is our prime concern. The only way
we can manufacture this product is by col-
lecting waste corrugated for the purpose of
making the kind of paper that is required for
corrugated products. That's 220 tons a day.
That's a lot of paper.
We have tapped just about every source
of paper practically, in this country within
transportation distance of our plant. We get
the stuff from as far as 1,500 miles away
from here to the south. So we've tapped the
chain stores, the department stores and all
people who generate this kind of waste paper.
I have gone to the municipalities in this
area. I won't designate them; I won't name
them. Nobody wants to move. Nobody wants
to do anything about segregating the paper
from the garbage. Paper represents and con-
stitutes 40 per cent of garbage collection
today. We have gone to these people, the
commissioners of street cleaning, and we've
said to them, "Segregate this.**
The prices vary from $20 to $35 a ton and
we've been prepared to pay that for paper
delivered at our plant, which is a fair mar-
ket price. This is not speculating in waste
paper because we require this amount of
paper on a day-to-day basis, seven days a
week, 365 days a year. Members should hear
the excuses they've given us: The garbage
gets dumped in the packer truck and that
hydraulic press comes in and just congeals
it all; the members of the union wouldn't
be prepared to go out on the dump and
separate and segregate this stuff.
They'd rather burn it and all the stuff is
wasted. Nobody lets us dump it and nobody
lets us burn it.
We said to them, "All right, pass bylaws
which will require your people to segregate
this stuff at the source, so they come up with
their newspapers in one bundle and their cor-
rugated in another bundle and so on." We've
got to come to that because nobody's letting
us dump it and nobody's letting us bum it.
And they have 51 excuses as to why that
can't be done, such as, "We can't subject
people to onerous bylaws." There are some
municipalities which have these bylaws now
but refuse to enforce them because they feel
that they will antagonize the people who vote
for the politicians.
What is the use of indicating another study
on this subject when there are plants today
which are doing this kind of work, like our
plant, with respect to paper? There are others
with respect to metals and glass and so on.
They are just looking for this stuff and no-
body wants to take the time or trouble to
make it available to them.
We can take all this paper off anybody's
hands. We're in production now; we've been
in production for several years. What would
be wrong with indicating to these munici-
palities that the people have to segregate this
stuff, this garbage, right at the source so that
we can make use of it? And for this people
will pay. We're only one company of many.
We hailed with great hullabaloo the other
day when a minister on behalf of Anglo an-
nounced a sawmill and a pulp and paper plant
being erected somewhere where they're going
to cut down trees and make pulp and paper.
Do members know that for every ton of paper
we use on a recycling basis, we avoid cutting
down 17 trees somewhere in a forest in north-
em Ontario, where aforestation and reforesta-
tion have to take place? This is a great con-
servation measure.
What does the government have to study
in order to decide that this is a good thing
and to implement it and enforce it? We're
in operation now and, as 1 say, we're only
one plant of many which recycle materials
MARCH 12, 1974
195
and are recycling them today. This isn't a
plan for the future or a programme for 20
years from now. This is in existence now.
The provincial government seems to refuse
to come to grips with this. It would rather
deal with hostile people who don't want gar-
bage dumped in their localities; with hostile
people who refuse to have incinerators and
sewage disposal plants erected in their various
municipalities. This is an anti-growth psy-
chosis; I'm all right, Jack, but don't come in
here. We don't want any changes and don't
pollute and don't do this and don't do that.
Yet these are the very people who are doing
the polluting and don't come up with any
solution as to how these things should be
handled.
So here's another study. I say that this
Throne Speech could have gone a lot further
in indicating to the people of Ontario what
should be done and what has to be done
vAth respect to recycling and with respect to
handling the problem of waste management.
About the only thing in the Throne Speech
I do agree with and which, apparently, some
members of the Conservative government
don't agree with, is the enforcement of the
use of seatbelts. I think enforcement of the
use of seatbelts is a good idea. I don't think
the probl'em of enforcement will be that great.
There will be a lot of people who won't
obey the law, but since when is this a rea-
son for not passing a law? People who com-
mit murder, of course, don't obey the criminal
law. There are a lot of people who don't
obey the laws in the Criminal Code, but yet
we have the Criminal Code because society
has to be protected.
The real sanction which will enforce the
law of having to clip on your seatbelt, Mr.
Speaker, is the civil action sanction. If you
find that you're, heaven forbid, in an accident,
and you haven't had your seat belt on, and
you're going to be involved in contributory
negligence because you didn't have your seat-
belt on, and that your award will go down
by 50 per cent or 80 per cent or, in turn,
that the award to the plaintiff who sues you
is going to go up tremendously because you
didn't have your seatbelt on, I think you'll
find a lot of people are going to abide by the
law.
Because once you put it in as a law, Mr.
Speaker, the custom in our community and
our society is that people will obey the law.
If they don't obey the law they run the risk
of this very serious civil sanction and a civil
case if they get into an accident, and that's
rough. If you don't get into an accident then
it doesn't matter whether or not you buckle
on your seatbelt, but at a critical time, when
this becomes a factor in a serious matter such
as an accident, it will be very, very important
as a question of fact in any given trial, or in
the settlement of a case, as to whether you
hal your seatbelt on or not. I think that
consequently this will cause people to obey
the seatbelt law.
That, Mr. Speaker, is about the size of it.
I hope we will all be here next year when we
will again indulge in this ritual and I'm glad
to see how the chamber filled up from the
time that I started.
Mr. Speaker: The hon. member for Nickel
Belt.
Mr. F. Laughren (Nickel Belt): Mr.
Speaker, it's good to see you back, looking
well, sitting on the Throne and ruling in your
customarily fair way. As I listened to the
Throne Speech as read by His Honour I
couldn't help but think that we were listen-
ing to a typical mid-term Throne Speech
which, in a rather somewhat uniquely vague
way, indicates the social and economic direc-
tion that tile government intends to take in
the next year and, perhaps, the next two
years.
There was nothing in the speech that was
terribly unpalatable to any groups in our
society. There were no announcements of
new regional governments in the province
that would upset people in their community.
I was just projecting ahead to next year
and I thought, "My goodness, can you hear
the trumpets blaring as the announcements
are made from the Throne in an election
year?"
But I can assure you, Mr. Speaker, that
next year the people across this province
are going to say: "No, not this time. An
election year of a platter full of promises
will not make up for the by then 30-plus
years of Conservative government neglect in
Ontario." This is particularly true in northern
Ontario. I can imagine that the polls in the
province will reflect that next year and then
we'll witness the Conservatives pulling the
plug on the advertising campaigns and
we'll have another American style propa-
ganda campaign across the province.
But I should get back to this speech. I
should mention too, Mr. Speaker, that those
who know me well know I've never been
a very strong royalist, but I must say that
given the ofiBce of Lieutenant Governor, that
His Honour, Mr. Macdonald, filled the bill
admirably and I could only hope that in
196
ONTARIO LEGISLATURE
the years to come the government in Ottawa,
perchance in 15 or 20 years, will appoint a
Conservative as Lieutenant Governor for
Ontario.
I suppose we all think of people that would
fill the bill among those people we know.
The first member that came to mind to me
when I was thinking of a Conservative
Lieutenant Governor for the Province of
Ontario— I'm thinking now 15 years ahead
—would be, of course, none other than the
member for Timiskaming (Mr. Havrot).
Can't you just picture it now? When the
call to serve came he would shut down his
hotdog stand on the top of Maple Mountain.
He'd fight through the blizzards at the top
and the black flies at the bottom. He'd
jump on the monorail express to Toronto and
he would come down here to serve out his
term.
I think most of us would support the mem-
ber for Timiskaming if he was to fulfil that
role. I am sure the members of his con-
stituency would anyway.
Mr. Lawlor: He would probably bring
the black flies with him.
Mr. Laughren: Mr. Speaker, there was
nothing in the Throne Speech that would
make the people of Ontario excited about
what they were going to witness for the
next year. There were no really new exciting
programmes. As the member for York-
Forest Hill (Mr. Givens) indicated, it men-
tioned all sorts of studies and all sorts of
indications of priority ratings; but it certainly
didn't go beyond that, unless, of course, you
consider mandatory seatbelts as being excit-
ing. I understand that the Parliamentary
assistant to the Minister of Transportation
and Communications doesn't even consider
that such an exciting addition to our legis-
lation.
Let it never be said Mr. Speaker, that the
New Democrats just criticize without offer-
ing alternatives, because I certainly intend
this afternoon to offer some alternatives to
the government as to what should have been
in that Throne Speech. For example, there
should certainly have been in that Throne
Speech a commitment to establish public
auto insurance in the Province of Ontario. It
is inevitable in this jurisdiction, as it is
going to be in other jurisdictions, that we
will have public automobile insurance.
Either the Conservatives will implement it or
we will implement it.
Mr. Cassidy: They never will.
Mr. Laughren: Mr. Speaker, you would
think that the Conservatives, having a fairly
good instinct for survival, would see that
and would implement it.
Also the entire question of the ownership
of our resources is becoming a very debatable
subject among a growing number of people,
not just in this province, but all across the
country. A more comprehensive form of
social insurance that would entirely replace
the Workmen's Compensation Board is some-
thing that those people who understand so-
cial insurance are saying has no equal. Those
people who are familiar with the Wode-
house report in New Zealand and have read
its contents will tell you that it's much
superior to that of the private sector.
The Throne Speech should have offered
some alternatives in the supply of land for
residential purposes. I suppose that the
government is in a spot and that it is clearly
locked into commitments to the resource cor-
porations, to the insurance industry and to
the land speculators and developers across
this province. So nothing is going to be done
about the rapidly rising price of raw land or
serviced land.
We have in this province, Mr. Speaker, a
milieu in which the government moves with-
in ever-narrowing parameters because its
commitments are being made to fewer and
fewer people in this province, and they are
not for the benefit of the majority of people
in the province. While there are all sorts of
reasons for that, one need only examine some
of the individual members of the Conserva-
tive Party to know that.
Those of us who represent northern ridings
listened to the Throne Speech, read it over
after the speech and then read it over again.
Then the next day we were dumbfounded to
read in the media all that was being done
for northern Ontario— major concessions for
northern Ontario. The member for York-
Forest Hill said it as well as it could be said:
What are those concessions for northern
Ontario? Another study? Is that a major
concession? Another priority rating for a
project in northern Ontario? That surely is
not a major concession. I must say that con-
spicuous by its absence was any concession
to the member for Timiskaming and his pet
project, the Maple Mountain project.
I really think, Mr. Speaker, that there
could be a major split developing in the
Conservative Party in this province. I can
see the split now between Ontario's junior
achiever, the Ministry of Industry and Tour-
ism (Mr. Bennett), and the north's under-
achiever, the member for Timiskaming, over
Maple Mountain. There are more and more
MARCH 12, 1974
197
people coming down and saying that the
development of Maple Mountain is not the
best kind of development for northern On-
tario.
I knovi when I make a statement like that
there are people going to say that there is
somebody who is against tourism. That's not
true. I wish the tourist industry well. But
there are many unanswered questions about
Maple Moimtain, including the environmental
concerns and the claims by the native peo-
ples for Maple Mountain. I feel that if public
money is going to be channelled into enter-
prises in northern Ontario it shouldn't be
channelled into an enterprise such as Maple
Mountain. It should go into enterprises which
will provide good employment for the area,
which will employ local people and employ
them at good wages. I don't believe that
Maple Mountain is the kind of project which
is going to add to the industrial development
of northern Ontario,
I wouldn't do to the tourist industry what
I have witnessed this government do to the
tourist industry. What I have seen this gov-
ernment do, through its Ministry of Trans-
portation and Communications, to the little
town of Gogama about 80 or 100 miles from
Sudbury, I wouldn't do and nobody in this
party would do. That government over there,
with its so-called interest in tourism, isolated
the town by building a road two miles from
the town, by-passing it completely, and issued
a lease to Imperial Oil— who else?— for a
service centre at the corner. Now there is no
need for anyone travelling on Highway 144
between Sudbury and Timmins to go into
the town of Gogama, none whatsoever. That's
some commitment to tourism in northern
Ontario and I hope the NOTO rooters will
take note of that.
Mr. Martel: Good luck to them.
Mr. Laughren: The announcement in the
Throne Speech that Highway 17 was going
to be widened and improved between Sud-
bur\' and Saulte Ste. Marie is an interesting
statement. I don't know, maybe the member
for Algoma (Mr. Gilbertson) would know
more about this, but why did it not say
four lanes? Does that not leave the member
wondering just what the government is up
to when it says there are going to be im-
provements to and widening of the highway
between Sudbury and Sault Ste. Marie?
We've known that for 10 years. It has already
started from each end so what kind of an
announcement is that to excite people in
northern Ontario?
Mr. J. A. Taylor (Prince Edward-Lennox):
Did the member want the specifications in
the Throne Speech?
Mr. Martel: Sure.
Mr. Laughren: As far as concerns the com-
mitment to improve telecommunications in
the remote communities in northern Ontario
that is not something this government should
be bragging about because it is an embar-
rassment the way it is now. Bringing in some
kind of communications into remote com-
munities surely should have been done years
and years ago. I can name communities now
where there are no telephones; where the
hydro supply costs three times the rate that
Ontario Hydro charges people in other com-
munities. That's some commitment the gov-
ernment just made.
Mr. B. Gilbertson (Algoma): The member
will agree it needs improvement, won't he?
Mr. Laughren: At the same time, the
people in these remote communities pay the
same seven per cent sales tax. What do they
get in return? Certainly not roads. They pay
the same Medicare premiums as the rest of
us. They have no medical services whatso-
ever—not even a nurse-practitioner, not even
an emergency vehicle— but they pay the same
premiums. They pay the same income tax
and it takes some gall to stand up, as a
government, and brag about improving serv-
ices in those communities.
Mr. Stokes: They have to go 100 miles to
get them.
Mr. Laughren: I remember, Mr. Speaker,
that the present Minister of Energy (Mr. Mc-
Keough) stood up two years ago and indicated
that he understood the problems in the un-
organized communities in northern Ontario;
he was then the Minister of Treasury and
Economics, But to this day nothing has been
done for the unorganized communities in
northern Ontario except for one statement
in the Throne Speech that the government
was going to recognize community organiza-
tions or councils to funnel grants through.
There was no mention of the grants or the
funding of those actual organizations or
community councils to help them get off
the ground.
There are community councils all across
northern Ontario in these unorganized com-
munities. The response by the Minister of
Health to demands from small communities
to send in some kind of medical service has
been anything but enthusiastic. We have be-
198
ONTARIO LEGISLATURE
sieged the minister with letters to put, for
heaven's sake, a nurse practitioner or an
emergency vehicle in these communities be-
cause it is not right to have communities iso-
lated perhaps by 100 miles or 200 miles,
with no access to any kind of medical service
wh;)tsoever. The response has been negligible
from the ministry.
People who live in these small unorganized
communities in the north do so for a variety
of social and economic reasons. I think that
one could generalize and say they tend to
be very self-reliant, very patient people, not
ove^^ly demanding of the government. In
other words these people don't really expect
to see a return on their tax dollars from the
Science Centre in Toronto, from the art gal-
leries, from the museum, from the express-
ways down here, from international trade
missions. Those people don't expect to get a
return on their tax dollars to build those
things.
But on the other hand, they are not stupid
either. And as more and more New Democrats
get elected in northern Ontario, they are com-
ing to realize that they have a right to de-
mand a return for those things they are not
getting— the basic amenities of life.
As taxpayers they can see that their taxes
are going to service others. They can see as
well that while communities in southern On-
tario debate the merits of a billion-dollar
transit system, they go without drinking
water, they go without any recreational fa-
cilities at all, they go without inadequate
roads, they have inadequate communication
systems, and they know that is not right.
Surely, Mr. Speaker, there is no place in
this province for a double set of standards
like that— one set for the unorganized com-
munities in the north, and another set of
standards for the more populated centres;
some of those populated centres are in north-
em Ontario, as well.
There really must be some members of the
government who seethe with anger inside
when they alternate between Toronto and
their ridings and see these two standards; see
this double standard in effect. I don't know
how they can accept this, but I suppose if
they really wanted to change things they
wouldn't be members of the government; they
would be in opposition trying to change them,
rather than keeping them as they are.
If the government contfnues with its
present level of non-intervention in these
unorganized communities, a couple of things
are going to result. They are going to
continue to have an inadequate level in
supply of and standards for housing. We
are going to continue to have money from
the Social Development policy field being
poured into these commmnities with no
measurable results whatsoever because the
government is not changing the environ-
ment in those communities at all. It is sup-
porting people who are living on social
assistance but it is not changing the con-
ditions under which they live; and that's
not changing anything. The government is,
perpetuating the cycle of poverty that exists
in those communities.
I am glad the Provincial Secretary for
Social Development (Mrs. Birch) is in the
Legislature this afternoon, because I believe
there is about $39 million or $40 million
available to the Province of Ontario under
the federal capital projects fund. I believe
that money is available only from April 1,
1974 until May 31, 1975. I think it is in
the neighbourhood of between about $35
million to $40 million that is available from
the federal govermnent to the province to use
for provincial projects. I am not talking
about municipal projects now; these are
provincial projects. That money is available
to the Province of Ontario and that is what
should be used.
Any money put into those communities;
should be done so in a very calculated
way. What is required is something that is
very similar to the New Democratic Party's;
municipal foundation plan, where one estab-
lishes a minimum level of services to all
communities and then provides it. That is
where that $30 million or so that is avail-
able from the federal government could be
used.
Mr. Martel: Put it in Cornwall.
Mr. Laughren: These are some of the
things that should be a requirement for every
community if one regards a community as
being a viable community in which people
can continue to live; these are the things
that should be there. There should be some
form of community complex that would
allow people to have some form of recrea-
tion facility. In some cases, maybe a com-
munity steam bath-
Mr. Stokes: Water or sewers.
Mr. Laughren: There must be a supply
of energy in every community. Now, if
you can't bring in Ontario Hydro, then
provide a Delco unit, but for heaven's
sakes not a Delco unit at three times the
MARCH 12, 1974
199
rate of Ontario Hydro for energy supply.
That is what is happening today.
There should be some form of emergency
transportation. There are communities with
absolutely no form of emergency transporta-
tion at all. There should be some even if it
is a Natural Resources station wagon that
can be arranged as an ambulance to take
somebody 100 miles to the nearest doctor
or the nearest hospital; or an arrangement
with the charter air service to fly into a
community and take out somebody who is
sick. These arrangements have to be made.
It is ridiculous that in 1974 these com-
munities are without these services.
Clean water. There are communities in
northern Ontario surrounded throughout a
vast acreage with clear, unpolluted water,
yet in those tiny communities the water
table is polluted primarily because of the
nature of their septic systems. That's got
to be changed.
Mr. Stokes: Two hundred and fifty
thousand lakes and not a drop to drink!
Mr. Laughren: They have got to have a
good supply of drinking water and that can
be done through a community water supply,
with either a lagoon system to get rid of
the sewage or perhaps a holding tank.
There has got to be fire protection and
that would include making sure that there
is a fire extinguisher in homes and so forth.
But there is no fire protection in a lot of
these communities and to this day there is
not a single penny of provincial money
available for fire protection in unorganized
communities. I could take members to com-
munity after community where they have
been writing letters to the fire marshal's
office and saying, "How about some money
to help us buy an old fire truck?"
Mr. Martel: No way.
Mr. Laughren: And if they do get a
fire truck, such as one community I know
of, they got a fire truck by running a lot
of raffles, they got an old fire truck and
they had no place to put it. So they fill it
up with water and it freezes. Now what could
be more ridiculous in 1974? The government
must supply these basics.
Another thing is suitable garbage disposal.
Members should see some of the dumps
outside these towns where the people have
dumped their garbage. It's a disgrace.
If they can't supply a doctor in these
communities and that's understandable in
a community of 200 people, 500, 800, then
they should at least supply a nurse prac-
titioner. The efforts of the Health Ministry
in this regard have been minimal. They just
have not treated the matter seriously. I can
show the House letters — I should have
brought them in and read them into the
record-from the Minister of Health offering
the platitudes and agreeing that there cer-
tainly should be something done and that he
has authorized the local health unit to try
and find somebody, but nothing ever hap-
pens. Because they are not serious about it.
That list I've just given may seem like a
long list. One might think of the expense of
bringing all those services into those com-
munities, because most of the communities
are lacking all of those services.
Mr. Stokes: There is a greater expense in
social terms if they don't do anything.
Mr. Laughren: Can members imagine
people in southern Ontario or in other urban
centres settling for anything less than that?
They wouldn't do it.
It doesn't make sense to suggest to these
people in these remote communities that they
move into the larger urban centres, either in
the north or in southern Ontario. Those
centres are having trouble, in an employment
sense, supporting their existing populations.
And besides, very often the jobs that are
available in the larger urban centres require
a degree of expertise or education, specializa-
tion, that those people in the unorganized
remote communities simply do not have. So
it doesn't make sense to say move them out
of there. That's not going to solve any prob-
lem. We just create another problem in the
urban centre.
So the alternative is to do something with
the community. And for heaven's sake, the
government should make up its mind soon
whether or not it is going to regard those
communities as viable entities or not and tell
the people that instead of misleading them
now into thinking that there is a winter works
project here and there is an OFY project
here. That's not solving the problem.
Mr. Martel: Maybe a youth programme.
Mr. Laughren: The Provincial Secretary for
Social Development is very hard on the OFY
projects. I could show her a provincial
winter works project up north, near the town
of Foleyet, where in the winter time they
cut off all the brush at snow level along the
road. Do members know how deep the snow
is in the winter time in Foleyet?
200
ONTARIO LEGISLATURE
Mr. Givens: How deep is it?
Mr. Laughren: Five or six feet. And then
in the summer time, of course, they had to
have another government project to cut the
brush off at ground level. Well, they are
doing a lot for the development of that com-
munity, aren't they? They are not breaking
any cycles when they do things like that.
People still have the same pattern. Cyclical
poverty continues and it is not doing any-
thing for the community.
But more than that, more than the prob-
lem of employment, many of the people in
those towns have financial ties there. They
have family ties there and they may have
some form of employment there. So I'm not
talking simply about creating employment for
the unemployed in those communities. I am
talking about making those communities a
different place in which to live. It's a very
hard thing to say, but if we look at the
houses in a lot of those unorganized com-
munities, they would be unacceptable in
Toronto. If we look at the problems with the
lot sizes, we find out that no ministry will
give them approval for a septic tank; so in
1974 they are condemned to outdoor privies,
and that's one reason we have polluted water
tables.
Interjection by an hon. member.
Mr. Laughren: There is absolutely no grant
from any ministry of government to help
them build holding tanks, to help them pay
for a truck to empty those holding tanks or
to have a sewage lagoon— nothing whatsoever
—and yet other communities get up to 75
per cent in subsidies for their sewage systems.
But not the im organized communities— they
don't get a single penny.
This is something the government should
be embarrassed about. If they are not, it's
only because there are few people up there
and nobody pays any attention to them. But
the standard of living in those unorganized
communities is something about which this
government should be ashamed.
I would like to document a few towns and
tell what the inadequacies are in those towns.
I tend not to be very parochial in my
speeches in this House, Mr. Speaker— prob-
ably not enough— but when we talk about
unorganized communities, I think that the
riding of Nickel Belt is probably a good ex-
ample of a northern riding with unorganized
communities. I will now document six com-
munities; there are many more in Nickel Belt,
but I will document six of them.
Cartier: It has inadequate recreational
facilities, medical services, fire protection,
access by road and sewage disposal. I men-
tion access by road, because can you imagine,
Mr. Speaker, a town with 700 or 800 people
—it is only 40 miles north of Sudbury, but it is
unorganized— cut off from a highway, in this
case. Highway 144, from any kind of entrance
or exit, by a shunting yard of the CPR? If
people want to get out and go to work, some-
times they have to wait 40 or 45 minutes
while the trains shunt back and forth. There
are no lights or traflBc sigi^ls there, and
there is no requirement by the railw^ay that
they have to move out of the way within,
say, 10 or 15 minutes, because it's classified
as a shunting yard.
Here are people, 40 miles north of Sud-
bury, who live in fear that at some point
there is going to be a serious illness or an
accident on one side of the tracks— but try to
move a freight train. There are two or three
of them going back and forth at the same
time, if one wants to get out in a hurry.
Gogama, a little farther north, which I
mentioned earlier as having been cut off b\^
the Ministry of Transportation and Com-
munications, has inadequate recreational
facihties, inadequate medical services, inade-
quate fire protection, inadequate sewage dis-
posal, inadequate drinking water and inade-
quate garbage disposal.
Mr. Martel: Except for the Tories.
Mr. Laughren: That's the town, Mr.
Speaker, where 10 years ago there was a
chemical spill that polluted' part of the water
table. Mind you, the Ministry of Natural
Resources and the OFF are well off. They
have a community water supply and sewage
disposal. But not the rest of the town. The}
have nothing. And that's where over 50 per
cent of the wells now are polluted with
nitrate, which is dangerous to the health of
infants. Over 50 per cent of the wells are
polluted and yet to this day there are no
grants available from this government to
rectify that situation. Can you imagine, Mr.
Speaker, a community in southern Ontario
having 50 per cent of its wells polluted with
a substance that's dangerous to the health of
infants, without a public outcry?
Mr. Gaunt: No way.
Mr. Breithaupt: Shocking.
Mr. Martel: Shame.
Mr. Foulds: It is never mentioned—
MARCH 12, 1974
201
Mr. Martel: That is how the vote goes too.
The Tories all vote and they have the sewer
and water — and the Ministry of Natural
Resources and the OPP. They are all Tories.
Mr. Laughren: My colleague from Sudbury
East is quite right that when you drive into
the town, it's the classic example of the other
side of the tracks. You drive into town and
there are the nice big white houses where
the government employees live. It's not the
I fault of those individuals working for the
f government there now; it's the fault of a
government that doesn't see that they have
created — and I don't know whether it is
I deliberate or not — such an incredible class
l structure within that commimity that there
has to be hard feelings, as the people in the
town see the government employees really
well off while they them.selves live in inade-
quate housing, their water table is polluted
and there is no sewage disposal. They live
with outdoor privies and unpaved roads, but
nothing is ever done. This has been docu-
mented to different ministries of government
time after time, year after year, and still it is
neglected. It is truly a disgrace.
Shining Tree, another community, is prob-
ably worse off than either Cartier or Gogama.
It has inadequate recreational facilities, in-
adequate garbage disposal, inadequate sew-
age disposal, inadequate drinking water, in-
adequate access roads, inadequate medical
services, and inadequate telephone service.
As a matter of fact, Mr. Speaker, it has
no telephone service, and Northern Tele-
phone will not put in lines, despite the fact
that Ontario Hydxo offered them the use of
their poltes. They won't put it in. There's
no ministry in this government that will say,
"This is fundamentally wrong, let's put it in
there." Nobody says that. Those people
just wish that they were under the Depart-
ment of Indian Affairs, where much much
smaller communities than those have been
provided with services that put this govern-
ment to shame.
Shining Tree also has inadequate housing
and inadequate fire protection. Foleyet has
inadequate medical services, inadequate gar-
bage disposal, inadequate housing, inade-
quate drinking water and inadequate sewage
disposal. Ramsey has inadequate medical
services, inadequate recreational facihties, in-
adequate garbage disposal, inadequate sew-
age disposal, inadequate drinking water, and
inadequate access roads. As a matter of fact,
Ramsey is on a private road, and you have
to get a pass to get into it.
I'd hke to tell you about going into that
place one time, Mr. Speaker. When I went
in, I had a fellow with me.
The fellow at the gate said, "Where are
you going?"
I said, "Into Ramsey."
He said, "Who are you going to see?"
I said, "Well, everybody I can."
He was an employee of Edd\ Forest
Products, and he said, "What have you got
with you?"
This was in the wintertime. We said, "We
have a few guns and a few grenades and a
few Molotov cocktails. It's the start of the
winter campaign."
He said, "You haven't got any chain saws,
have you?"
We said, "No, just guns and bombs and
that."
He said, "I don't want you to cut any trees
when you're out there."
So he gave us a key and we went through.
An hon. member: What was the key for?
Mr. Laughren: The key is to get through
the gate.
Mr. Cassidy: Did the member shoot any
trees?
Mr. Laughren: It's locked. There's a gate
at each end and this community is in be-
tween the two gates. It's Crown land and
all Eddy Forest have is cutting rights on it,
but they've put gates up at each end to stop
the public from going through. They do open
the gates up on the weekend to let people
go in and hunt, but you should see the form
you have to sign, Mr. Speaker. I'm sure it's
more complicated than an international adop-
tion.
An hon. member: It's feudal.
Mr. Laughren: You remember the problems
they had in the Province of Ontario with this.
Those are the kind of antique laws and rules
that govern the unorganized communities in
northern Ontario. It just doesn't make sense.
Mr. Stokes: Like the sheriff of Nottingham.
Mr. Laughren: Besides having those inade-
quacies, Ramsey has inadequate housing, in-
adequate fire protection, and onl>- a Delco
unit for the supply of energy, and once again,
at much in excess of the rate that Ontario
Hydro charges its users.
202
ONTARIO LEGISLATURE
The last community I wish to talk about is
Sultan. Sultan is just outside one of these
famous gates that Eddy Forest Products has
set up. They have inadequate housing, inade-
quate medical services, inadequate recrea-
tional facilities and inadequate access roads.
You can only get up from the north because
from the south you have to go through that
private road. They have inadequate fire pro-
tection and inadequate hydro. They too have
Delco units, but at three times the rate of
Ontario Hydro. They have inadequate tele-
phone ' service, inadequate garbage disposal,
inadequate sewage disposal and inadequate
■drinking water.
I should be careful when I'm quoting this
as three times the rate as Ontario Hydro.
Maybe now it's only double!
Mr. Mattel: It's only double after the last
bills that came out.
Mr. Laughren: Particularly with the rural
rates.
Mr. Gaunt: After the last raise, yes.
Mr. Laughren: There are other communi-
ties in northern Ontario for which I could
•document the inadequacy of services, but I
think that should point out to you, Mr. Speak-
er, that it's a serious matter. It's not some-
thing that this government is not aware of
and that it can plead innocent on. They've
known about it for a number of years and
yet they continue to ignore them. Until a plat-
form is put in under those communities and
on that platform is a level of services to
bring—
Mr. Stokes: Did they ever hear about these
problems from the former member? Did he
ever speak about them in the Legislature?
Mr. Laughren: I haven't seen any corre-
-spondence on it.
Mr. Martel: He spoke about how great
these r'ebates were and how much they were
doing for us.
Mr. Laughren: I really want to make the
point, Mr. Speaker, that utilizing the resources
of the Social Development policy field is not
the answer, because that will only perpetu-
ate the problem. It won't change it at all.
It won't change the cyclical aspect of the
problem there.
Mr. A. J. Roy (Ottawa East): Will it help
the new minister?
Mr. Laughren: No.
Mr. Roy: No?
Mr. Laughren: No; it would take a major
commitment on the part of Management
Board to allocate those $30-pl'us million. Now
I hope the provincial secretary is listening
and will take a look at those millions that
are available.
Mr. Stokes: The Provincial Secretary for
Social Development; she is making notes.
Mr. Laughren: There is no excuse for not
using them.
Lest the provincial secretary think I may
be exaggerating somewhat, although it's hard
to th'nk she would accuse me of that, she
should check with her own peoplte in her
own social development policy field. They will
tell her. They know. They know what the
inadequacies are there, and they are embar-
rassed by it.
Mr. Stokes: I think she should drive up
there with the hon. member and see first
hand.
Mr. Laughren: And, Mr. Speaker, those of
us who see discrepancies in the delivery of
services in those communities, we see a strik-
ing parallel in the similarity between Canada
and the United States and southern Ontario
and northern Ontario. We, as a country, as a
province, are a resource frontier for that great
American empire to the south of us; and in
turn northern Ontario is a resource frontier
for southern Ontario.
Mr. Martel: Remember Dr. Thoman's plan?
Mr. Laughren: That's why we don't have
the kind of development we should have
there.
And in neither case is the answer in mas-
sive infusion of paternalistic pronouncements
or grant money. That won't solve the
problem. It's ridiculous that in northern
Ontario this government is still using the
announcement of a new highway project or
a grant for construction of a government
building to do what they think will con-
vince people to vote Conservative.
We've gone way beyond that in northern
Ontario. We've passed them way by. It
doesn't matter what they offer in 1975,
they're going to suffer electoral losses in
northern Ontario. It's inevitable.
If they don't believe me, check with the
member for Timiskaming. Because we know,
and the people in northern Ontario know,
that the ad hoc measures the government
MARCH 12, 1974
203
has come up with to date are not the
answer. There's been too many years of it.
There's a new mood in northern Ontario.
The government can write off that whole
campaign for a separate province in northern
Ontario— heaven knows I'm not supporting it.
They can write that off if they want; to
them it's just an aberration on the social
scene, or. the political scene. But it's more
than that. It indicates a very serious feeling
of neglect by the people in northern
Ontario.
Mr. Martel: That's why it's Tory-run.
Mr. Laughren: Yes, it is run by a Tory.
Right.
Mr. Stokes: Is Diebel a Tory?
Mr. Martel: Yes, sure.
Mr. Stokes: Oh.
Mr. Laughren: If I could, Mr. Speaker,
through you ask the various ministers of
the government-
Mr. Foulds: Who are all sitting there,
of course!
Mr. Laughren: Does it not bother them
that the federal Minister of Regional
Economic Expansion has admitted that the
growth rate in northern Ontario is slower
than the. growth rate in the Maritimes? Does
it not bother them that the population of
northern Ontario, in a relative sense, is
declining according to the Ontario Economic
Review dated September-October, 1973?
Northern Ontario's proportion of the
total provincial population is declining,
having fallen from 11.6 per cent in 1961
to 10.1 per cent in 1971.
Why is the. relative population of northern
Ontario falliiig? I think it should be clear
to the government that it's because the job
offers are not there, the industrial develop-
ment is not there.
Does it riot bother you, Mr. Speaker,
through you to the ministers, that at Inter-
national Nickel Co. in Sudbury alone, there
are now 5,000 less hourly-rated employees
than there were just a couple of years ago?
Does it not bother them as well, that the
Economic Council of Canada, in its recent
report, it's 10th annual report, indicates
that employment in our resource industries
is growing iat a very slow rate indeed. I'd
like to quote some of those figures to
members:
For the period 1948 to 1970, employment
in minesi quarries and oil wells grew at
an annual rate of only 1.4 per cent. In
forestry, employment declined at a 1.1
per cent rate per year.
That's a 22-year period.
This compares with annual increases of
3.3 per cent in utilities; two per cent in
manufacturing; 6.2 per cent in community
business and personal services; 2.9 per cent
in wholesale and retail trade; 2.5 per cent
in construction; and 4.6 per cent in finance,
insurance and real estate— to name just a
few sectors.
And for the economy as a whole, emplo\-
ment grew at an annual rate of 2.4 per
cent. It should be noted that while em-
ployment increased by 1.4 per cent in the
mines, quarries and oil well sector, output
was up by 6.5 per cent per year for those
22 years. For the forestry sector which had,
members will recall, a decline in employ-
ment of 1.1 per cent a year, output in-
creased by 4.2 per cent a year. For both
forestry and mining, employment is stag-
nating and production is going up at above
normal rates. That is what this government
means for the futiue of northern Ontario
if it continues on its present path.
There is a great deal that should bother
tjiis government about northern Ontatro
besides those unorganized communities I
was talking about. Not least should be the
future of our young, better educated people
of both sexes in northern Ontario. We now
have community colleges in all the major
centres in northern Ontario. We have two
universities in northern Ontario. But isn't
it ironic that the better paying, more
stimulating jobs are not there for those. same
graduates? What does the government pro-
pose to do about that? I would suggest to
you, Mr. Speaker, that it stop trying to
bribe northern Ontario with these one-shot
construction jobs. It won't work any more.
Tell us, rather, that it intends to intervene
in an aggressive way in our resource in-
dustries. Tell us it intends to use our re-
sources to create jobs. Tell us it intends to
do these things through Crown corporations.
Mr. Martel: Show us the way. It has
given its shirt away.
Mr. Laughren: Show us, Mr. Speaker, that
it really does comprehend what economic
development is all about. It is not grants.
Mr. Martel: The government has given
everything away but the kitchen sink.
Mr. Laughren: In other words, Mr.
Speaker, we don't want roads to resources.
204
ONTARIO LEGISLATURE
We want resources. I suspect that the min-
ing industry is beginning to feel the pressure
as pubhc opinion changes across Canada and
in this province as well. Public opinion is
becoming very concerned about the role
the mining industry has played in our
economy and it is interesting to note how the
mining industry reacts when the pressure
is on.
I would like to quote very briefly from the
Mining Association of EC which the member
from Forest Hill quoted. This is Mr. W. J.
Tough, who is president of the Mining
Association of BC.
Two things are expected to happen from
the royalty increase in B.C. With the addi-
tional costs those who have the option
will have to raise the grade of ore mined,
thereby reducing reserves and shortening
the life of the mines, not to mention leav-
ing much needed valuable minerals in the
ground.
I want to tell you, Mr. Speaker, if that isn't
a clarion call to arms I don't know what is.
There you have the Mining Association of
B.C saying if the taxes are raised they are
going to high-grade the ore and leave the
rest in the ground. If that is the kind of
intimidation we'll subject ourselves to in this
country, I suggest it is time we did something
about those resources.
Mr. Martel: The minister bends over back-
wards to the industry.
Mr. Laugbren: I don't know what you call
that but I can only think of the words in-
timidation and bluflBng. It is really a bluff
because they are not going to move any-
where else because the ores aren't anywhere
else.
Mr. Martel: He needs a bar of soap.
Mr. Laughren: The Mining Association of
BC is just one. Let me quote from the North-
em Miner, March 7, 1974. This is the Min-
ing Association of Canada, Mr. Charles
Elliott. He noted that there are deterrents to
increasing processing and manufacturing in
mineral products in Canada imposed by the
tariff structure of other industrialized nations
which allow duty-free entry or very little
dut\' on ores and concentrates which they
require. They impose progressively higher
duties on minerals in proportion to the de-
gree of finther processing which has occurred.
Mr. Elliott cited other non-tariff barriers in-
cluding the structure of freight rates which
make it generally cheaper to transport min-
erals in concentrate rather than in metallic
form. A competitive advantage is thus gained
by processing plants located close to metal
markets, he explained. "Let us not delude
ourselves that we can, by the wave of a
wand, create further processing of our
mineral products beyond what good eco-
nomics will support," he said.
If I could just paraphrase what Mr. Elliott
is saying, he is saying that it is really diffi-
cult for us to increase processing in this
country because other countries have low im-
port rates on unfinished ores and high tariffs
on finished products. Does he not see the
insanity of going along with that? Of course
other countries will say, "Look, you ship us
your ores. Well process them here. We'll
give you a good deal on the tariflF because
we want to process them here."
That is where the employment is, in the
processing and in the refining, not in the ex-
traction from the ground. We saw that in
the employment figures. It is declining. So
the job opportunities are in the processing
and refining, and here we have the president
of the Mining Association of Canada saying it
would be very difficult to process and refine
our ore here because there is a real break
on tariffs when we ship it out in unprocessed
form.
What kind of convoluted logic is that, that
we are subjecting ourselves to?
Mr. Marteh They need to do it themselves.
Mr. Laughren: It is too ridiculous. I sus-
pect that the mining associations are over-
reacting to the kind of public pressure that
is building in this country and in this prov-
ince. While it may not be a ground swell yet,
I can assure you, Mr. Speaker, that the
public ownership of our resources is going
to be one and the day will come when all
governments will realize the benefits of it.
As other jurisdictions, such as BC, move
stronger and stronger into the resource in-
dustry and take more in taxation from those
corporations, people in other jurisdictions,
such as Ontario, will say, "Why are we in
Ontario allowed so little return back?" That
is going to happen. It is happening now.
It is significant as well' that this feeling
from the public is being expressed by differ-
ent people from all walks of life. We had
Eric Kierans with his report saying that you
couldn't really nationalize what you already
owned anyway, so let's get on with the busi-
ness. We had Kates Peat Marwick with its
report last spring to the select committer*
on economic and cultural nationalism. Then
there is the Science Council of Canada's re-
MARCH 12, 1974
205
port, which frankly and unequivocably says
that there are certain benefits to public own-
ership of our natural resources, and more
recently we had another report from Kates
Peat Marwiclc entitled "Foreign Ownership,
Corporate Behaviour and Public Attitudes."
This report was the overview report, also for
the select committee on economic and cul-
tural nationalism.
Now those who know Kates Peat Marwick
as a consulting firm will know that it doesn't
have a bias towards socialism, that on the
other hand it is a corporation that fits very
well in the corporate milieu in Ontario. I'd
like to quote from that report in talking
about national resources as a bargaining lever.
I quote:
One obvious area in which Canada has
significant comparative advantages relative
to most industrial countries is that of natural
resources. [And they go on further:] It has
been easier to sell our natural resources
and import technology and manufactured
products from other countries than to build
a domestically controlled industrial com-
ple;c \yhich matches in size, range and self-
reliaiic^ the scope of our domestic market
and resource base. [And then, going fur-
ther:] Canada's resource base, coupled with
the growing shortages of energy and min-
eral resources being experienced by most
industrialized countries, provides us with a
significant bargaining lever which can be
used in. a number of ways. , ,,^ '
I'd like to quote a couple of those ways that
we can , use our resoiu-ces as a bargaining
lever, apQording to Kates Peat Marwick:
To influence the behaviour of firms de-
veloping and purchasing our resources such
that both forward and backward integra-
tion is carried out in this country, leading
to greater value added in Canada, more
use of Canadian suppliers in a more broad-
ly' based, innovative, responsive, remuner-
ated industrial system in Canada, and to
generate in those carefully selected cases
where resources are exported in unprocess-
ed or semi-processed form, revenues which
will be used both to finance the develop-
ment of a broader resource and industrial
base and to purchase control on a selec-
tive basis of a number of large, key cor-
porations which are now foreign controlled.
Mr. Martel: Here comes the Minister of
Natural Resources (Mr. Bemier). He is go-
ing to refute all that. He is going to use Dr.
Andrews' report.
Mr. Laughren: Now Kates Peat Marwick
doesn't come right out and say that we should
bring all our national resources under public
ownership, but when it does talk they use
rather cautious language. There is a very in-
teresting paragraph right near the end of
that report and I quote it in full':
It should also be emphasized that pur-
chasing of Canadian control, while possibly
requiring government initiative for im-
mediate results, does not necessarily im-
ply public ownership of the selected key
firms. Shares acquired by government agen-
cies such as the Canada Development Corp.
could in turn be sold to Canadian citizens
and corporations, although in some cases,
particularly those of firms involved in non-
renewable natural resources, continuing
public ownership might be more appropri-
ate.
Mr. Speaker, when you have Kates Peat
Marwick and Co. recommending that the
continuing public ownership of our natural
resources "might be more appropriate," one
can be sure that they feel underneath, they
have a gut feeling, that it has go to be that
way— not just "might be more appropriate."
Mr. Martel: It is now a case of giving
them to some American firm. Repeat that for
the minister.
An hon. member: I don't think the min-
ister heard it.
Mr. Martel: Repeat that for the minister;
he didn't hear it.
Mr. Laughren: Would the Minister of
Natural Resources like me to repeat that?
I said:
—the Canada Development Corp. could
in turn be sold to Canadian citizens and
corporations, although in some cases, par-
ticularly those of firms involved in non-
renewable natural resources, continuing
public ownership might be more appro-
priate.
Well, translate "might be more appropriate"
to "would be more appropriate."
Mr. Foulds: It would be a damn good
idea.
Mr. Laughren: So here we have a con-
sulting report that recommends basically
more Canadian control in the industry. That
is really what they are talking about— Cana-
dian control. Now, I suppose they woidd see
it as returning the resources to control by
Canadian corporations to those same cor-
206
ONTARIO LEGISLATURE
porate interests that sold them out in the
first place. Well, that is not my bag; we cer-
tainly reject that.
It is becoming clearer and clearer to us
on this side— well, this particular segment of
this side of the House— as it is to a growing
number of people in Ontario and elsewhere,
that only through public ownership of our
resources will the people of this province
receive a maximum benefit from their exploi-
tation.
There are three major reasons. People
sometimes ask me, "Why? How would we all
benefit so much?" There are three major
reasons, I believe, why our resources should
be publicly owned:
1. To create employment and to ensure
employment in that industry.
2. To provide revenues so that the quality
of life can be improved for all people, but
in particular those people in those resource-
rich communities. Take a look at those re-
source-rich communities in northern Ontario.
Some of them are the very communities that
I outlined earlier this afternoon as not even
having the basic amenities.
Mr. Foulds: Right on.
Mr. Laughren: The same communities.
3. Because I believe that only through
public ownership can we maintain our eco-
nomic independence; and that is really what
the select committee was talking about and
that is what Kates Peat Marwick is talking
about.
It is not enough, Mr. Speaker, that we
talk about increasing the taxation of these
resources. Mr. Speaker, for 20 years I have
listened to the mining industry tell us that
if we increase the taxes on our resources we
would restrict growth, we would restrict
exploration, we would restrict development.
Well, I am not for restricting those things,
Mr, Speaker-
Mr. Martel: The former Minister of Mines
said W3 would bankrupt them.
Mr. Laughren: —and that's why I say that
taxing them more in a short-term may ac-
complish something, but not in the long
term.
The private sector has had three-quarters
of a century in this province to create some
kind of industrial development based on
those resources as a lever. They have failed
miserably, and in doing so they haven't even
created the kind of communities in the north
that should just have been automatic in their
development— but they haven't done it.
Our economy has not developed in a
healthy way.
Mr. I. Deans ( Wentworth ) : But the}' have
been helped by the Tory government.
Mr. Laughren: Well, they have been
pushed by the Tory government to develop
that way and by the present Minister of
Natural Resources.
all.
Mr. Martel: He is the worst one of them
1.
Interjections by hon. members. .
Mr. Laughren: Mr. Speaker, it is—
Mr. Cassidy: That is not spoken in jest.
Hon. S. B. Handleman (Minister of Hous-
ing ) : Tongue in cheek?
Mr. Laughren: Mr. Speaker, it is not even
fair to ask or to expect that the multinational
corporations will develop secondary industry
in Ontario, because that is not the way in
whidh they can maximize their profits. That's
the name of the game. We shouldn't expect
otherwise of them, because to do so is naive.
So let's not think or be mad at the multi-
nationals; it is not their fault. They are there
to maximize their profits for the shareholders.
Those are the rules of the game, and we
should accept them. I would like to quote
from the Science Council report that was put
out a year or so ago:
In longer term perspective we niust bear
in mind that these resources are non-
renewable and that they are finite. Project-
ing past growth rates into the future will
exhaust presently known reserves of several
of our major minerals by 1990. With a
(Vigorous exploration programme we could
probably find most of these exploitable
deposits and thus sustain the exponential
rate of growth for a few more decades.
But is this wise? Do we wish to be re-
membered as the generation that launched
Canada on a programme of rapid exploita-
tion for the export, in raw or semirprocess-
ed form, of the resources which will be
in such short supply for our children and
our grandchildTen? Anything beyond the
iyear 2000 looks very far away from 1972,
but the year 2000 is only as far in the
future as 1944 is in the pasrt.
Mr. Speaker, that's what the Science Coun-
cil of Canada says about our non-renewable
resources. Our Minister of Natural Resources
has had someone within his ministry com-
missioned, I believe, to do a report on the
Kierans report.
MARCH 12, 1974
207
Mr. Martel: What a dummy! Another
flunky!
Mr. Laughren: That critique of the Kierans
report isn't worth the paper it's written on.
I would suggest that maybe the minister
should spend more time reading the Science
Council of Canada's reports on our natural re-
Hon. L. Bemier (Minister of Natural Re-
sources): What's the member's philosophy?
Mr. Martel: What philosophy? All the min-
ing officials employed over there haven't any
philosophy.
Mr. Speaker: Order.
Hon. Mr. Bemier: It's a lot of fresh air
and the member knows it.
Mr. Martel: There is not a person over
there that is not hooked by him.
Mr. Laughren: Mr. Speaker, there is no
question but that the mining industry is one
of the basic underpinnings of our economy.
I don't question that. As such, it should be
treated as an integral part of the development
of this province. Call it an industrial plan
or an industrial strategy, if you want, but
natural resources should be part of that
strategy-.
Mr. Cassidy: They haven't got one.
Mr. Laughren: There is a way to ensure
that the exploitation of those resources' oc-
curs for the benefit of the entire province
and the people in it. I'll be most specific
here. This government should develop a
policy by which they will work toward a
world-market-oriented metal fabricating sec-
ondary processing and manufacturing indus-
try located in northern Ontario.
The mining companies have a miserable
record. They all tend to export earnings to
other resource frontiers rather than to spend
them in this province to develop a more
mature, balanced and integrated economy.
One need only look, Mr. Speaker, at the
antics of Fafconbridge Nickel Mines else-
where to know that the mining companies
presently operating in this province do so
only because it is to their advantage.
When reserves are developed elsewhere that
are cheaper to extract and to develop, then
you can be sure that that's where^ the action
will be. It will not be here.
I, for one, Mr. Speaker, am not proud
of the way corporations such as Falconbridlge,
Rio Algom through it's parent company Rio
Tinto, aid and abet in the exploitation of
people and resources elsewhere. I refer speci-
fically to South Africa.
I don't expect that a province such as
Ontario with a Conservative government like
we have which had every intention of send-
ing a trade mission to South Africa, really
to understand or care about the exploitation
of blacks in South Africa. But it's hap-
pening and it's happening at least partially
as a result of the profits those resource cor-
porations have obtained in Canada and in
this province. I would much rather see any
surplus that's generated from the develop-
ment of our resources here in Ontario go
toward making this province, as: well as
other societies, a better place in which to
live, rather than contributing to racist regimes
and exploitation of labour in South Africa.
iMr. Speaker, it is most unlikely that the
role of Falconbridge Nickel will change,
since no one should have any illusions what-
soever about the prime role of multinational
corporations. Their sole purpose is to maxi-
mize profits for the benefit of their share-
holders. By locating and expanding refining
and smelting operations in countries such as
Canada and Norway, it's merely utilizing
cheap labour elsewhere to acquire raw
material from the underdeveloped countries
to feed those refineries and smelters.
(The president of Falconbridge Nickel
Mines, when commenting on the problems of
pollution control and other relatively high
production costs in this country, has' been
quoted as saying:
These and other adverse factors will in
future make Canada's nickel sulphide re-
serves less profitable relative to the lateritic
ores. Gradually some of today's nickel re-
serves in Canada will be written off as un-
profitable and the production rates of in-
dividual mines will then decline.
So let us have no illusions about the corpor-
ations that are now operating in our resource
industries. When it suits the purpose of
Falconbridge Nickel Mines to concentrate its
activities elsewhere, it will do just that, and
we in Ontario will be left with environmental
scars, depleted resources and unemployment.
The Development Education Centre, locat-
ed here in Toronto, has done some excellent
research into the behaviour of corporations
in underdeveloped countries. Their comments
about the working conditions of Falconbridge
miners in Namibia in South- West Africa are
worth putting on the record, Mr. Speaker.
208
ONTARIO LEGISLATURE
I quote from the Development Education
Centre report:
Workers are housed in cement block
houses, 15 to a dormitory.
The method of hiring used by Falcon-
bridge, until a general strike in December,
1971, was the South- West Africa Native
Labour Association. This organization was
composed of the employers, including
Falconbridge, who traded in humans in a
manner described by the International
Commission of Jurists as "akin to slavery."
Africans labelled as A, B or C class
physical specimens were given 12- to 18-
month contracts, with wages of about $40
per month.
That is about one-third of the poverty datum
line requirement.
Here is the form that was made out for
them when they went to work:
The said master agrees to hire the ser-
vice of the said servant and the said ser-
vant agrees to render the said master his
or their service at all fair and reasonable
times in the capacity of [a blank space for
the job] for [a blank space for the period
of time], commencing on [such and such a
date].
It is further agreed that the said master
shall pay the said servant wages at the
rate shown against the name of the said
servant and that such wages shall be paid
monthly.
Identity permits are mandatory, and
labels were tied around the necks of the
workers, bearing his name, his prospective
boss and the latter's address.
Mr. Martel: Good old Falconbridge.
Mr. Laughren: The report continues:
Workers were often forbidden to leave
the compound, and families were strictly
barred from the mine area.
Although the South-West Africa Native
Labour Association was broken bv the
general strike in 1971. most of its charac-
teristics still remain. Wages for an African
worker range from $24 to $63 per month,
and Falconbridge displays no intention of
cutting into its profits in order to pay $110
a month, the poverty datum line minimum
considered necessary to maintain health.
Th^ behaviour of multinational corporations
resident in this province is something that
we, as elected people, should be concerned
about, Mr. Speaker, because we are guilty
of complicity if we know this is going on
and continue to do nothing about it and to
regard corporations such as Falconbridge as
good corporate citizens when they are noth-
ing of the kind.
It is not enough, Mr. Speaker, to say that
we must not interfere in the affairs of another
country. The State of Namibia was supposed
to be an independent state since 1966 when
the United Nations terminated South Africa's
mandate over that territory. This was con-
firmed again in 1971 by the International
Court of Justice, which declared South
Africa's presence in Namibia to be illegal.
South Africa has ignored this declaration and
has continued to occupy Namibia. The role
of corporations such as Falconbridge should
not be under-rated in the exploitation of
these people.
Resources are being exploited, and cor-
porations such as Falconbridge, Noranda
Mines, Hudson's Bay Co., Rio Tinto, are
playing a major role in the exploitation of
both the people and the resources of Namibia.
Mr. Speaker, the government of Ontario
has neither the will nor the power to do
anything about what Falconbridee is doing
in Namibia or in the Dominican Republic, so
it would be folly to suggest that this govern-
ment should say to Falconbridge, "Stop what
you are doing in Namibia." What this govern-
ment does have the power to do, though—
and it should be obvious— is to exploit those
resources ourselves, rather than to allow
Falconbridge Nickel Mines to do so. And
rather than to allow the carnivorous multi-
nationals to do it, we should do it ourselves.
It is more than an economic oblieation. It's
an obligation that goes beyond the borders of
this province and beyond the borders of this
continent.
I wonder. Mr. Speaker, how manv untold
stories there are about the multinational
corporations involved in the resource industry.
I have told only one. I suspect that others
are no better, no worse. A Crown corporation
th<»t was developing and processing our re-
'jour'^es would not dare to exploit workers in
South Africa the way Falconbridge has done.
Our resources, Mr. Speaker, must be develop-
ed by Crown corporations and not by the
multinationals.
Mr. J. A. Taylor ( Prince Edward-Lennox ) :
Mr. Speaker, may I say a few words, first
in connection with the section in the Thron'^
Speech dealing with seatbelts. And then, if
I may, I would like to carrv on with other
aspects of the speech.
I may say that I have some misgivings
in connection with this particular item. I
MARCH 12, 1974
209
know that there was a private member's bill
and I know that there was considerable sup-
port by members on all sides of the House.
It has been mentioned here this afternoon,
by the hon. member for York-Forest Hdl,
that there may be some legal ramifications
or implications in connection with the sub-
ject matter of seatbelts and, in particular, if
seatbelts are not worn. That is, the operator
of the motor vehicle or the person who fails
to wear a seatbelt may be considered as
contributing to his own injury, or being the
author of his own misfortune, if he fails to
wear a seatbelt and is injured as the result
of an accident.
What concerns me, Mr. Speaker, in con-
nection with this whole area is the role of
government insofar as it affects the personal
lives of the individuals. If government climbs
into the automobile, of course, then we ex-
pect the government to be climbing into the
bedroom, and who knows where that may
lead? There may be some argument to say
that if we can protect a person from himself
and from his own misjudgement then, of
course, we can keep premiums down and
rates down. Of course, our NDP friends
would like to see government-sponsored
plans, government insurance. Thereby, I
suppose, if we could reduce the accident
rate or the personal mjury rate in any way
at all that would reflect on the premiums.
So one can see the insidious workings of
government control in this field and in many
other fields, if we let the whole matter run
to its logical conclusion. If we say to a per-
son, "You must wear a seatbelt because we
want to protect you from yourself. We have
a government medical plan. If you don't
wear a seatbelt then there may be more
claims against the plan," that leads, of
course, to other claims against the plan that
may be made for a patient, for example, not
following 100 per cent the dictates of his
doctor.
Who knows, the doctor may prescribe six
weeks vacation for someone and the person
then may fail to take that six weeks vacation,
following a slight coronary, because the per-
son Who has suffered the illness and who is
considering very much his own family life
as well as his own personal welfare may not
be able economically to pursue the dictates
of his doctor. If he didn't do that, following
the logic in this, his coverage might be cur-
tailed for some reason or other because he
hasn't followed the prescriptions of the plan.
So we're getting into an area here that
is a very personal matter, and I don't see
how a government can legislate common
sense. I don't see how a government can
supervise the behaviour or an individual
within his own domicile or in his own auto-
mobile.
An area that particularly concerns me is
public transportation, which hasn't been
mentioned. The Throne Speech refers to
mandatory use of automobile seatbelts. It
refers to automobiles. But what about the
buses? What happens to the hundreds of
thousands of school children who take school
buses? If one goes into the countryside one
will find that they have a difficult time find-
ing a seat, let alone a seatbelt to strap them-
selves in.
Mr. J. Riddell (Huron): There was a
pretty good private member's bill introduced
on that last year and it is coming again this
year.
Mr. Taylor: Sure. It was a very interest-
ing private member's bill, and as I men-
tioned initially when I started out, it re-
ceived support from members on all sides
of the House but, at the same time, I think
we have to be very careful in introducing
government in an area where a person's
freedom is restrained.
The area also, in addition to buses, might
include streetcars, subways or any method
of transportation in which a person could be
subjected to injury if there was an accident
between that vehicle and some other vehicle
or for some other cause.
Surely the legislation doesn't propose to
cover the areas of subways, streetcars and
buses?
Mr. Stokes: How would the member like
to be strapped to a snowmobile?
Mr. Taylor: I don't know how that would
function if the government did attempt to
legislate in that direction.
Mr. Cassidy: There is real dissent in the
Tory back-benchers about this bill. I am
amazed. I thought the Tories voted like sheep
on everything.
Mr. E. J. Bounsall (Windsor West): There
are lots of sheep in his riding.
Mr. Taylor: Well, that goes to show the
member for Ottawa Centre doesn't think.
Mr. Cassidy: I know the Tory backbenchers
certainly don't. There's conclusive e\idence
about that. Look at the legislation they'\e
supported.
210
ONTARIO LEGISLATURE
Mr. Taylor: The member is all wet again.
Mr. Cassidy: He should know about sheep,
coming from his riding.
Mr. Taylor: I won't digress from the sub-
ject of seatbelts in order to get into sheep
or in order to get into other forms of animal
life with which the member is so familiar.
Mr. Cassidy: He hasn't got enough imag-
ination, that's why.
Mr. Laughren: What's that supposed to
mean?
Mr. Taylor: The member can take what-
ever meaning he would like from that.
Mr. Cassidy: This is literally repartee the
member is giving us.
Mr. Taylor: The other side of the coin-
Mr. Cassidy: I think he has lost his train
of thought.
Mr. Taylor: —also is, what is the role of
the state in compensating an individual for
damage or injury which he may suffer as a
result of having his seatbelt off when it is
established that he suffered that damage for
that reason?
Mr. Bounsall: Good point.
Mr. Cassidy: Good point, yes.
Mr. Taylor: Would there be something in
the legislation to compensate the victim of
a seatbelt? I understand that on some occa-
sions there are some people who are injured
as a result of wearing belts.
Mr. Cassidy: The member has just scrap-
ped the Elevators and Lifts Act, the Con-
struction Safety Act and every other measure
that tries to protect people because people
might get hurt in the process.
Interjections by hon. members.
Mr. Ruston: Let's hear the words of
wisdom.
Mr. Taylor: That's very kind of the
member.
Mr. Cassidy: If I were he I would close
my ears.
Mr. E. M. Havrot (Timiskaming): The
House had quite a time when I was out.
An hon. member: I close my ears when
the member for Ottawa Centre is speaking.
Mr. Taylor: I thought I should comment
on that initially because there's so much in
the Throne Speech that signals great things
to come.
Mr. Laughren: Name one.
Mr. Taylor: I will, and the member will
hear from me more on that if he will just
bear with me for a moment. As a matter of
fact, he might want to bring his confreres
into the House to hear the rest of what I may
have to say.
Mr. Stokes: Is the member for or against
seatbelts?
Mr. Taylor: I've just indicated, Mr.
Speaker, that I'm dealing with the point of
seatbelts initially because that is one area of
disagreement that I may have with the con-
tents of the Throne Speech.
Mr. Cassidy: He admits it.
Interjections by hon. members.
Mr. Taylor: No, I wouldn't. I would like
to say that the smallest speck is seen on
snow. When we come to the rest of the
speech, members will see the wisdom and the
many items that will herald greater things to
Mr. Cassidy: The seatbelts are the 1974
equivalent of the wolf bounty. That's right.
There will be a great Tory revolt over seat-
belts.
Mr. Laughren: A Maple Mountain.
Mr. Stokes: Is the member for or against
seatbelts?
Mr. Taylor: Mr. Speaker, it has been asked
of me whether or not I am for or in favour
of seatbelts. Now that is a profound question
indeed. And as a matter of fact coming from
the member for Thunder Bay it is most re-
markable that he should ask such a pene-
trating question.
Mr. Cassidy: Give us an answer,
Mr. Taylor: It is the most lucid thing that
I have heard him say all day.
Mr. Laughren: It was better than this
speech.
Mr. Taylor: Simply, my answer is I am in
favour of seatbelts, but I think that the
wearing of those seatbelts should be at the
option of the operator or the passenger of
the motor vehicle.
MARCH 12, 1974
211
Mr. Cassidy: The member favours seatbelts
so long as they are not used.
Mr. Taylor: Well, that is the member's
usual-
Mr. Cassidy: That is precisely what the
member said.
Mr. Taylor: That's right. Mr. Speaker, the
member from Toronto Island has made a
convoluted observation. If he can't torture
and twist the truth and make it scream, then
of course he is not happy.
Mr. Havrot: He has a warped mind.
Mr. Taylor: And I must say that if there
was to be an award for that type of talk
then he would be an Oscar winner.
Mr. Cassidy: The member will never urge
his children to wear seatbelts because it is a
matter for their individual choice,
Mr. Taylor: Mr. Speaker, I won't pursue
the question of seatbelts any further. I may
say, to satisfy and put at ease the mind of
my hon. friend from Ottawa Centre-
Mr. Ruston: "Toronto and the Islands."
Don't forget that.
Mr. Taylor: —and the Toronto Islands—
that personally I do wear a seatbelt; but that
is my choice. I think in our system it is
essential one have the choice-
Mr. Deacon: What about motorcyclists
with their helmets?
Mr. Taylor: —either to wear a seatbelt or
not. And I won't get into that area of the
hardhats. If you wipe your brow and take
your hat off, you will be breaching the law
and probably incarcerated.
Mr. Deacon: What about the motorcyclists
with their helmets?
Mr. Taylor: Now, Mr. Speaker, it is ap-
proaching 6 o'clock and I would adjourn the
debate and with your permission I would
hke to carry on with the rest of my speech
tomorrow.
Mr. Taylor moves the adjournment of the
debate.
Motion agreed to.
Hon. Mr. Winkler: Mr. Speaker, before I
move the adjournment of the House I would
like to say the first order of business tomor-
row will be item 1 on the order paper. Sub-
sequently. I anticipate calUng Bill 12, which
is the bill that was introduced today. It will
be printed and distributed the first thing
tomorrow morning.
Hon. Mr. Winkler moves the adjournment
of the House.
Motion agreed to.
The House adjourned at 6 o'clock, p.m.
212 ONTARIO LEGISLATURE
CONTENTS
Tuesday, March 12, 1974
Law Reform Commission report on family law, statement by Mr. Welch 159
Rooming house safety standards, questions of Mr. Handleman: Mr. R. F. Nixon 159
Severance payment to Agent General, questions of Mr. Winkler: Mr. R. F. Nixon,
Mr. Singer 159
Appointment of CSAO arbitration mediator, questions of Mr. Winkler: Mr. Lewis .. 160
Lemoine Point, questions of Mr. Bemier: Mr. Lewis 161
Withdrawal of teachers' services, questions of Mr. Davis: Mr. Lewis, Mr. R. F. Nixon 161
Administration of courts, questions of Mr. Welch: Mr. Singer, Mr. Roy, Mr. Stokes 161
Route of petroleum pipeline, questions of Mr. McKeough: Mr. Foulds 162
Extension of norOntair service, questions of Mr. Rhodes: Mr. Reid 163
Assistance to emerging services, questions of Mr. Brunelle: Mr. Martel 163
Report on Conestoga College, question of Mr. Auld: Mr. Good 163
Cost of advertising denture programme, questions of Mr. Miller: Mr. Germa,
Mr. Braithwaite 164
OHC budget, questions of Mr. Handleman: Mr. Lewis, Mr. Deans 165
U.S.-Canada freight surcharge, question of Mr. Rhodes: Mr. Spence 165
Communications-6 Inc., questions of Mr. Bemier: Mr. Singer 166
Report on Conestoga College, questions of Mr. Auld: Mr. Good 166
Pensions for permanently disabled workmen, questions of Mr. Davis: Mr. Burr 167
Veterans' Land Act, question of Mr. Handleman: Mr. Ruston 167
Sales tax on sports equipment, questions of Mr. Meen: Mr. B. Newman 168
Reconstruction of Highway 401 near Windsor, questions of Mr. Rhodes: Mr. Bounsall 168
Assessment notices, questions of Mr. Meen: Mrs. Campbell 169
Hickling- Johnston report on Ministry of Health, questions of Mr. Miller: Mr. Shulman 169
Expenditure by chairman of Ontario Council of Regents, questions of Mr. Auld:
Mr. Breithaupt 169
Age of consent for abortions, questions of Mr. Miller: Mr. Lawlor 170
Point Pelee National Park, questions of Mr. Bemier: Mr. Faterson 170
Use of resources in Armstrong area, question of Mr. Bemier: Mr. Stokes 171
Presenting report, advisory committee on revision of the Mining Act, Mr. Bemier 171
Tabling report, standing committees of the House, Mr. Carmthers 172
MARCH 12, 1974 213
York County Board of Education Teachers' Dispute Act, bill intituled, Mr. Wells,
first reading 172
Resumption of the debate on the Speech from the Throne, Mr. Wardle, Mr. Givens,
Mr. Laughren, Mr. Taylor 175
Motion to adjourn debate, Mr. Taylor, agreed to 211
Motion to adjourn, Mr. Winkler, agreed to 211
No. 7
Ontario
^egisilatttre of (J^ntario
OFFICIAL REPORT — DAILY EDITION
Fourth Session of the Twenty-Ninth Legislature
Wednesday, March 13, 1974
Afternoon Session
Speaker: Honourable Allan Edward Renter
Clerk: Roderick Lewis, QC
THE QUEEN'S PRINTER
PARLIAMENT BUILDINGS, TORONTO
1974
10
Price per session, $10.00. Address, Clerk of the House, Parliament Bldgs., Toronto
CONTENTS
(Daily index of proceedings appears at back of this issue.
217
LEGISLATIVE ASSEMBLY OF ONTARIO
The House met at 2 o'clock, p.m.
Prayers.
Mr. Speaker: Statements by the ministry.
TAX CREDIT INFORMATION CENTRE
Hon. A. K. Meen (Minister of Revenue):
Mr. Speaker, I would like to advise members
of my decision to broaden the public's access
to the counselling facilities of the Ontario
tax credit information centre in my ministry.
The Ontario tax credit information centre
was established in early January. We have a
staff of about 20 trained counsellors man-
ning telephones to answer the public's in-
quiries and to provide direction on claiming
the three tax credits available.
To date, we have already received well
over 23,000 telephone calls with 60 per cent
of the calls originating from within Metro-
politan Toronto and some 40 per cent from
the remainder of Ontario.
I might add, Mr. Speaker, that I am most
impressed by these results. In contacting the
information centre, many people have thanked
us for establishing this public service.
Mr. V.M. Singer (Downsview): Oh sure.
Hon. Mr. Meen: I intend, therefore, to
broaden its scope through an evening and a
weekend service.
Mr. R. F. Ruston (Essex-Kent): It's such
a complicated system, no wonder people need
assistance.
Hon. Mr. Meen: During March and April,
the tax credit information centre will be open
from 8 a.m. until 9 p.m., Monday to Friday,
and from noon until 5 p.m. on Saturdays and
Sundays.
Our purpose is to provide people with
access to government on these important tax
credits at times most convenient to them. As
many people claim their credits by complet-
ing a federal income tax return during the
evenings or on the weekends, it makes sense
to have our stafiF available to them at those
times.
Wednesday, March 13, 1974
The information centre has been open dur-
ing weekends and evenings on a trial basis
for the last two weeks. More than 800 resi-
dents, mostly from outside Metropolitan To-
ronto, telephoned between 6 p.m. and 9 p.m.
The response during the past two weekends,
however— and I emphasize weekends, Mr.
Speaker— was disappointing to the extent that
we received only 370 calls. Clearly we need
to advertise the service more extensively and
this we will be doing as I have indicated.
Mr. A. J. Roy (Ottawa East): How about
the $500,000 the minister has already spent
on the service?
Mr. S. Lewis (Scarborough West): He can
take out full-page ads.
Mr. Roy: Half a milHon.
SALARY INCREASES FOR
GENERAL SERVICES EMPLOYEES
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): Mr. Speaker, I am
pleased today to announce to the House that
the tentative agreement on salary increases
for bargaining unit employees in the general
service category has now been ratified by the
employees concerned and, for the employer,
has been accepted by the Management Board
of Cabinet.
The settlement involves some 18,000 public
servants, the majority of whom are in typing,
stenographic and general clerical functions,
as well as a number of investigative person-
nel in fire services and securities investiga-
tions, and inspectors in the motor vehicle
branch of the Ministry of Transportation and
Communications.
Salary increases range from eig'ht per cent
to 10 per cent in the first year of the con-
tract, with the large majority of classes receiv-
ing increases of nine per cent, while the
increases in the second year is seven per cent
for all classes. The contract covers the two-
year period from Jan. 1, 1974, to Dec. 31,
1975.
It is particularly gratifying to note that
agreement was reached in direct negotiations
between the parties without third-party
218
ONTARIO LEGISLATURE
assistance of any kind. This marks the third
settlement on salary matters in the public
service which has been arrived at in direct
negotiations between the parties since the
Crown Employees Collective Bargaining Act
came into force in December, 1972. In
addition, complete contracts have been re-
negotiated in direct bargaining between the
parties during the past year for employees
of the Liquor Control and Liquor Licence
Boards, for two groups of employees in the
Niagara Parks Commission and for the
Ontario Provincial Police bargaining unit.
It must be reassuring to the members of
this House to know that the great majority
of the labour agreements for Crown em-
poyees are being resolved by the good-faith-
bargaining of the parties. It will continue to
be the goal of the government to resolve any
contract differences in this way.
Mr. Lewis: What about fringe benefits?
Mr. Speaker: Oral questions.
The hon. Leader of the Opposition.
TAX CREDIT INFORMATION CENTRE
Mr. R. F. Nixon (Leader of the Opposi-
tion): A question of the Minister of Revenue,
following his statement:
How can he justify to the taxpayers of the
province the fact that his excessively intru-
sive advertising programme promoting some-
thing called Ontario's "fair share" programme
would have been overlooked by so many
citizens that he would have to express dis-
appointment at the small number of people
who had called his offices during the week-
end, when he says most people are most
concerned with receiving that information?
While I am up, I might as well ask a
supplementary to the fii^st question. How
much money has he spent on that advertis-
ing programme already?
Hon. Mr. Meen: Mr. Speaker, the pro-
gramme is ongoing-
Mr. Ruston: It will be going until six
weeks before the election.
Interjections by hon. members.
Hon. Mil. Meen: We have a schedule of
weekly papers and daily papers and of radio
and television, whereby we hope to reach
the maximum number of people. We did a
survey back in January, in which we dis-
covered that some 69 per cent of Ontario
residents-I think that was the figure-did not
know or, frankly, if they did know, they
certainly were unsure, whether there was
even a property tax credit available to them
this year.
Mr. E. W. Martel (Sudbury East): The
government sure mangled it.
Mr. J. E. Stokes (Thunder Bay): And that's
called effective communications!
Hon. Mr. Meen: That survey was done
after most of those people had received from
the federal government their income tax
forms for this year, in which our material
was included.
It was obvious, therefore, that for us to
be able to reach the elderly people who per-
haps don't read the papers and don't look at
these forms, to reach the disadvantaged
generally, and receive these income tax re-
turns becomes they may not have been pay-
ing income tax for quite some years, and to
let them know that there was in fact money
available to them under this programme, we
undertook the advertising programme to
which the hon. member has referred and to
which I referred.
Mr. J. E. Bullbrook (Sarnia): The minister
said they didn't read the papers— why adver-
tise?
Hon. Mr. Meen: Now, as to the cost; the
cost will be around half a million dollars for
the total programme.
Mr. T. P. Reid (Rainy River): Shame,
shame.
Hon. Mr. Meen: When we are talking
about a rebate of some $300 million to the
elderly and the needy, it's a very small price
to pay to be able to let them know that that
money is available.
Mr. J. R. Breithaupt (Kitchener): Why does
the government take it in the first place?
Hon. Mr. Meen: This cost works out, Mr.
Speaker, at about 10 cents for every tax filer.
Another way of working it out is that it's
approximately one cent for ever>- $5 of
money being paid back to these people. We
think it's money very well spent.
As to the availability of weekend service,
we think that's an appropriate way to help
out those who haven't comprehended in some
way what the programme is all about.
Mr. Roy: Especially when the goxernment
is getting the PR value from it.
Hon. Mr. Meen: They are reading the ads.
They are seeing them on television. They
MARCH 13, 1974
219
are hearing them on the radio. They are
telephoning us for the necessary advice and
assistance.
Mr. P. G. Givens (York-Forest Hill): Aside
from the cost of publicizing the minister's
department, what is the cost of the adminis-
tration of this scheme to get back the money
that the goverrunent extracted from them
in the first place? What's the cost of adminis-
tration?
Hon. Mr. Meen: Well, that's pretty hard
to estimate at this time, Mr. Speaker, but
it's a small fraction, possibly 20 per cent, of
the balance of the cost.
Mr. B. Gilbertson (Algoma): Money well
spent.
Mr. Speaker: The hon. member for Scar-
borough West.
Ml*. Lewis: I didn't hear what that small
fraction was.
Hon. Mr. Meen: I didn't indicate the
amount, Mr. Speaker, but I would think—
Mr. Lewis: The minister said 20 per cent,
I think.
Hon. Mr. Meen: —that it is perhaps 20 per
cent or so of our other costs that are directly
related to the advertising.
Mr. Roy: Supplementary, Mr. Speaker:
How can the minister justify spending half
a million dollars for this advertising when in
fact in the tax returns there are forms to
fill out to claim a tax rebate? Secondly,
which of the minister's PR friends got the
job of preparing the ads? And, thirdly, is
it necessary to have the minister's name and
the Premier's name (Mr. Davis) so prominent
on the ad?
Mr. Lewis: That turns people oflF.
Interjections by hon. members.
Hon. Mr. Meen: Incredible though it may
seem, people do not read these inserts, and
we have had calls from people after-
Interjections by hon. members.
Hon. Mr. Meen: If the hon. member for
Ottawa East will just sit back and listen
for a minute, he might hear the answer.
Interjections by hon. members.
Mr. D. C. MacDonald (York South): The
minister might learn something too.
Mr. Singer: Lesson one, how to be a
cabinet minister.
Hon. Mr. Meen: I want to tell the hon.
members that we've received telephone calls
from people who have seen and heard our
advertisements, or read them in their weekly
press, saying, "I filed my return but I
didn't realize I was entitled to any kind of
credit and I threw out that insert." As a
consequence, by providing them with addi-
tional material, we've been able to help them
to make a claim through the mechanism of
the income tax for their proper and fair
share of the money being paid back.
The second question the hon. member
asked me was, who has the advertising
programme? I will get that information for
him. And the third question— the hon. mem-
ber had a third question?
Mr. Roy: Why the minister's name and
the Premier's name is mentioned, but not
my name?
Mr. Bullbrook: Why is the minister so
mean?
Hon. Mr. Meen: It's a rather common
practice to include the name of the Premier
and the minister involved. As a matter of
fact, I might point out that this gives the
hon. member the opportunity to ask me
these questions in the House, I suppose, be-
cause I can take the responsibility for the ad.
Mr. Speaker: The hon. Leader of the
Opposition.
Mr. R. F. Nixon: He still didn't explain
why he was so mean, but that's another
matter.
YORK COUNTY SCHOOL GRANTS
Mr. R. F. Nixon: I would like to ask the
Premier if the cabinet— the Minister of Educa-
tion (Mr. Wells) particularly— isi contem-
plating some kind of progranmie to assist
with special grants for the provision of sum-
mer schools in the York county area to pro-
vide additional education to make up for
what will have been missed by the time the
schools are reopened?
Hon. W. G. Davis (Premier): Mr. Speaker,
the Minister of Education may have some
observations on that. I don't know that any
consideration has been given to that, if
initiated by the local board. But I would
suggest that that might be a proper ques-
tion to ask the minister.
Mr. D. M. Deacon (York Centre): Supple-
mentary: Would it not be important that
students who have worked hard should get
220
ONTARIO LEGISLATURE
credit according to the work they've done,
and that it not be just a blanket approval
for all students, regardless of whether their
work in the past has been satisfactory? In
effect, the minister had indicated that every-
one would be looked after. Surely they
should be looked after in accordance with
the work they have been doing.
Hon. Mr. Davis: Mr. Speaker. I would
think that's a very natural conclusion, and
one that I'm sure will be drawn by the
board that has the responsibility for the
administration of the educational pro-
gramme in the county which the hon. mem-
ber represents— which board the hon. mem-
ber has no confidence in. We happen to
ha\e some.
Mr. Roy: People in the area have con-
fidence in the member.
Mr. Lewis: The government doesn't have
all that much confidence in the board.
Mr. Deacon: On what does the Premier
base that statement?
Mr. Speaker: Order. The hon. member
for Port Arthur.
Mr. J. F. Foulds (Port Arthur): Mr. Speaker,
I would like to ask a supplementary of the
Premier, if he can disengage himself from
this tete-a-tete with the hon. member for
York Centre. Does the Premier recall or
can he tell the House whether or not the
per-pupil grants for the secondary school
students were withdrawn when the teachers
went out on strike?
Hon. Mr. Davis: Mr. Speaker, I have no
idea whether the grants were withdrawn. I
think it's a question of, as I recall, the
grant formula, and I now have to go back
in memory. The grants are payable on the
basis of monthly average attendance and
no longer of daily attendance. I would
think that when the calculations for the
York board are made the number of days
in attendance on an average basis will be
calculated. I don't think it's a question
of withdrawing the grants, it's a question
of the grants that will be payable as the
requests are made or as the documentation
comes in, I stand to be corrected because
I really haven't dealt with the grant regula-
tions now for a period of time.
Mr. Foulds: A question of clarification,
Mr. Speaker, if I may: Does that mean
if there were a relatively low attendance,
i.e., about five per cent for a monthly
period, the grants would only be at a five
per cent rate for that monthly period?
Hon. Mr. Davis: Mr, Speaker, I really
don't recall the specifics of the regulations.
I think the member should properly ask the
minister. My best recollection is that it
now does relate to average attendance rather
than daily attendance, and it does relate to
those figures when the grants are made.
Mr. Givens: Supplementary: What is the
government going to do to correlate its grant
system in its settlement, with the obvious de^
cline in enrolment which we're experiencing
in this province?
Hon. Mr. Davis: Mr. Speaker, I think the
answer to that is relatively obvious. Enrol-
ments are determined basically in September
of each academic year, and although there
is some fall-off, unfortimately— because of a
limited! number of students dropping out of
the system, and these are calculated as well-
as enrolments decline the grants payable to
the boards reflect this. It dOes relate to
numbers of students. Once again, I think it's
on either weekly or monthly average attend*-
Mr. Speaker: The hon. Leader of the Op-
position.
PRIVILEGE OF ELECTED
MUNICIPAL OFFICIALS
Mr. R. F. Nixon: I woultl hke to ask an-
other question of the Premier: Did he read
the reports this morning about the continuinig
problems with lead pollution in Toronto and,
specifically, the threats of action by way of
injunction against the chairman of the Board
of Health of Toronto, Mrs. Anne Johnston?
What does he think of the suggestion put
forward that a certain type of privilege of
the type that we enjoy as members of the
Legislature should be extended to elected
municipal oflBcials so that they can speak
frankly and without fear under these circimi-
stances? Surely, that is something to which
we should give careful consideration.
Hon. Mr. Davis: Mr. Speaker, I have only
glanced at the headlines because my atten-
tion, I must confess, was occupied with one
or two other matters so I can't comment on
the content of the news stories. I think there
is some degree of privilege, although I would
have to check this out. I was going to observe
that some day we might even discuss privilege
as it relates to what is said in this House
from time to time but I won't suggest that
sort of dfebate on this occasion.
MARCH 13, 1^14
221
Mr. R. F. Nixon: A supplementary: Will the
Premier, besides seeing what privilege is
available, give an opinion to the House as to
whether or not we might consider, through
legislation, extending the same privilege to
people who have this kind of responsibility
and who are expected to be able to speak out
without fear or favour?
Hon. Mr. Davis: Mr. Speaker, I'm quite
prepared to consider anything that's reason-
able and I'm quite prepared to see just what
privilege there may be and see whether or
not we should consider it.
Mr. Deacon: If it is reasonable for us it
should be reasonable for them.
Hon. Mr. Davis: We sometimes abuse it.
Mr. Speaker: The hon. Leader of the Op-
position?
The hon. member for Scarborough West.
COST OF LIVING INCREASES
Mr. Lewis: A question, Mr. Speaker, of the
Premier: Given the quite startling jump again
in the cost of living announced today, is the
government of Ontario prepared' to take any
initiatives beyond the paragraph contained
in the Throne Speech?
Hon. Mr. Davis: Mr. Speaker, the govern-
ment of this province— I think it was clear in
the Throne Speech and in other speeches that
I and the Treasurer (Mr. White) have made-
regards the whole question of inflation— and
I don't just say the cost of living— as being
the most significant problem that this juris-
diction, Ontario, faces. I think this is true
nationally.
I can only say to the hon. member that
this government, and the Treasury people in
particular, have given consideration to what
means rnight be available within provincial
jurisdictioii. to assist in this very basic prob-
lem. I've made it very clear to the first
minister of Canada. It was contained in the
Throne Speech and I have communicated to
him directly that this province is more than
prepared to play its role in any national
approach.
While I don't want to get into a lengthy
discussion today as to the problems of juris-
diction, I think it is evident to the hon.
member— and I'm sure he's very familiar with
it— that it is very difiicult for a province uni-
laterally to come to grips with the issue of
inflation. I wish we could, because we regard
it as serious, perhaps more serious than some
others who sometimes speak about it and
who do have, I think, some of the financial
and fiscal tools to do something about it.
Mr. Roy: One wouldn't know from the
Throne Speech.
Hon. Mr. Davis: I mean the member's
colleagues in Ottawa, quite frankly.
Mr. Lewis: By way of a supplementary,
Mr. Speaker, I do not concede that it is
difficult for the Province of Ontario at all. I
think it is wholly within the powers of the
Province of Ontario constitutionally.
Interjections by hon. members.
Mr. Lewis: What are the specifics that the
Treasury Board, the Premier and his col-
leagues are considering to play their role in
the Province of Ontario? Can he give us a
glimpse of any policy that he has which
would effectively fight inflation in the field
of food prices, for example, within the Prov-
ince of Ontario?
Hon. Mr. Davis: Mr. Speaker, one area in
which this government, I think, has made a
really very significant effort, and one which
is not totally supported by the members
opposite because it does have an impact on
inflation, is the level of government expendi-
ture. There is no question whatsoever that
the level of government expenditure— and I
have seen the member for High Park (Mr.
Shulman) on television on this issue; I saw
him two or three times on television talking
about this very matter himself—
Mr. Lewis: Come on!
Hon. Mr. Davis: There is no question that
municipal, provincial and federal-
Mr. Roy: Does the Premier watch it that
often?
Hon. Mr. Davis: Yes, he did, he did in-
deed.
Mr. Lewis: I turn him off.
Iriterjiections by hon. members.
Mr. R. F. Nixon: He turns us off.
Hon. Mr. Davis: I'm sure the leader of
the NDP tiu-ns him off. There may be some
days when the leader of the party turns off
the member for High Park. The reverse may
also be true from time to time, I don't know.
Mr. Lewis: We have a very friendly re-
lationship.
Hon. Mr. Davis: However, before I was
sidetracked and getting such enthusiastic nod-
222
ONTARIO LEGISLATURE
ding support from the economic expert in the
New Democratic Party, I was saying to the
hon. member that the level of expenditure by
municipal, provincial and federal govern-
ments has, without any question-
Mr. Lewis: They are contributing services
to people all across Ontario.
Hon. Mr. Davis: —an impact on the rate
of inflation.
Mr. Lewis: No it has not.
Hon. Mr. Davis: And the member's people
across the House argue against ceilings, his
people particularly—
Mr. Lewis: No we do not.
Hon. Mr. Davis: —in a hypocritical way,
incidentally, to try to throw us off.
Mr. Lewis: Certainly we do in health.
Hon. Mr. Davis: And this is where this
government, with some political flak, and I
don't minimize it, has indeed made a genuine
effort to restrain expenditures.
Mr. Roy: What about the sales tax?
Mr. Lewis: Well, where have they done
it? Mr. Speaker, I have not had my supple-
mentary answered. I will ask it again.
Hon. Mr. Davis: There is a specific in-
stance-
Mr. Lewis: In those factors that are moni-
tored in the cost of living index, specifically
in terms of food, let the Premier name one
initiative that this government is taking to
control the rising prices in the food sector.
Don't let him talk to me about the public
sector generally; we'll debate that another
time. Let him tell us about food prices.
Hon. A. Crossman (Provincial Secretary
for Resources Development): It helps curb
inflation.
Hon. Mr. Davis: Mr. Speaker, we have de-
bated the question of control of food prices
in this House on two or three occasions. I
think both the Minister of Agriculture and
Food (Mr. Stewart) and the Minister of
Consumer and Commercial Relations (Mr.
Clement) have dealt with this in a very con-
structive, very positive way.
Mr. Lewis: Not a single specific.
Hon. Mr. Davis: And I think they have
made it abundantly clear that for a provin-
cial jurisdiction to move in to endeavour to
control costs where many of the commodities
are a part of the international maricetplace is
just totally inconsistent.
Mr. Lewis: A cop-out.
Hon. Mr. Davis: It is true and the member
knows it is true.
Mr. Lewis: No, it is not.
Hon. Mr. Davis: It is.
Mr. R. F. Nixon: Further to the Premier's,
I think, third answer, is he then saying that
since the economy of the province requires
the restraint which he is so proud of, we can
look for something approaching a balanced
budget brought down in April? His record as
Premier has certainly been ever-increasing
deficits, the biggest in our history. He took
a situation where his predecessor had a $150
million surplus and he has added $1.6 billion
to the deficit. Is that not inflationary?
An hon. member: You don't want any ceil-
ings.
Hon. Mr. Davis: The hon. member for
Brant has demonstrated his great expertise in
mathematics in this House on more than one
occasion, and again this afternoon.
Mr. Roy: He has been right on.
Hon. Mr. Davis: He has not.
Mr. Roy: He has.
Hon. Mr. Davis: He has not. The question
of a provincial deficit-
Mr. J. Riddell (Huron): Does the Premier
mean that his deficit is bigger?
Mr. R. F. Nixon: He said my figures were
as good as his.
Hon. Mr. Davis: Oh, I would say with
great respect they were way out. Now, get-
ting back to the point raised, the question of
the extent of the provincial deficit does not
relate to the rate of inflation. There is just
no relationship between the two.
Mr. Singer: Oh come on.
Interjections by hon. members.
Hon. Mr. Davis: There is not.
Mr. Lewis: That is true.
Mr. Ruston: Forty per cent increase in
sales tax.
Hon. Mr. Davis: If my economic experts,
both of them—
MARCH 13, 1974
223
Mr. R. F. Nixon: What does the member
for High Park say? Ask him.
Hon. Mr. Davis: Now I am in trouble,
because the member for Scarborough West
says yes and the hon. member for High Park
says no.
I would also say this, that the extent of
the deficit is very directly related to the
necessity of this province to continue to
maintain the level of service which is im-
portant, without the recognition by the
Liberals' federal friends in Ottawa that they
have not done their part in federal-
provincial rationalization of the tax scheme.
What is more, he knows it is true. And you
know. Mr. Speaker, If I can give the member
for Brant some advice, the sooner he dis-
associates himself economically from the
federal government in Ottawa and those who
are supporting him, the much better off he
will be.
Mr. R. F. Nixon: The government in
Ottawa is supported by the NDP, too, just the
way this government is.
Mr. Lewis: A balanced budget is an Eisen-
hower argument. It is not a Turner argument.
Mr. Reid: Mr. Speaker, a supplementary
question.
Mr. Speaker: The hon. member for Rainy
River.
Mr. Reid: Thank you, Mr. Speaker. Does
the Premier, to use his own words, not feel
somewhat hypocritical standing in this House
and talking about inflation-
Mr. Lewis: Answer yes or no.
Mr. P. J. Yakabuski (Renfrew South): The
member shouldn't discuss that one.
Mr. Reid: —when it was his government
that raised the sales tax from five to seven per
cent, and even his limited economic experi-
ence should tell him that increasing taxes is
going to raise the price of goods and services?
Hon. Mr. Davis: No, Mr. Speaker, I am
not an economist.
Mr. Ruston: That is obvious.
Interjections by hon. members.
Hon. Mr. Davis: I am sure that that is
very e\ ident. But there are some things I am
that the members opposite aren't, which is
also increasingly evident day after day.
Mr. Reid: Yes, but they are not repeatable
here.
Hon. Mr. Davis: We won't get into that.
Mr. Singer: Privileged or not.
Hon. Mr. Davis: Privileged or not— and I
would only say this, Mr. Speaker. I'm not go-
ing to argue whether tax increases are pal-
atable or otherwise; we don't hke them.
Mr. Reid: Are they inflationary or not?
Mr. Lewis: Why doesn't the Premier try
the resource sector?
Hon. Mr. Davis: But the basis and the
rationale for the increase in the sales tax was
basically to bring about a redistribution-
Mr. Lewis: Because the govenunent
wouldn't tax its friends.
Hon. Mr. Davis: —in benefits to the general
pubhc in this province.
Mr. Lewis: No, because the govenmient
won't tax the resource sector.
Hon. Mr. Davis: And without any question
the bulk of the increase in revenue from the
sales tax has gone back to tlie tax cr^t
system and the grants to the municipalities
to relieve those people who feel the causes
of inflation to a greater extent than others in
a way that I think is most appropriate.
Mr. Reid: And how many civil servants
did the government have to hire to administer
that?
Hon. Mr. Davis: The Treasurer may have
some other views to express.
Mr. Speaker: The hon. Leader of the Op-
position.
Mr. Stokes: You are right on, Mr. Speaker.
FOOD PRICES
Mr. Lewis: Believe it or not, Mr. Speaker,
I'll ask that question. May I ask a questioui of
the Minister of Agriculture and Food— I'm
sorry to interrupt him?
May I ask the Minister of Agriculture and
Food, with the increase in the cost of living
which was announced today, it now emerges
that the average Ontario food basket mon-
itored by his ministry has risen by some 40
per cent in the last three years. Is the minis-
ter making any recommendations to cabinet
which can put some control in the area of
food prices at the checkout-counter level— at
the supermarket level? Is there sometliing
that can be done to control this rate of
inflation?
224
ONTARIO LEGISLATURE
Hon. W. A. Stewart (Minister of Agricul-
ture and Food): Mr. Speaker, with regard to
the food prices that have been referred to by
my friend, most of those prices are reflected
at producer level. Over the last three years
there has been a substantial increase.
Mr. MacDonald: Has the minister looked
at the profits in supermarkets?
Hon. Mr. Stewart: Quite frankly, Mr.
Speaker, I don't see how our friends over
there, who are doing everything they can to
charm the farmers of Ontario at least to be-
lieve enough in them to elect one farmer to
their party-
Mr. MacDonald: They are not reflected at
the producer level.
Mr. Lewis: That is a start.
Hon. Mr. Stewart: —can stand in this House
and be as hypocritical as they are about food
prices, condemning the very people whom
they are supposed to be trying to serve.
Mr. Stokes: Not so. Not so.
Mr. Lewis: A supplementary, Mr. Speaker:
I don't mind the Minister of Agriculture and
Food defending the farmers— that's his job,
and he knows and I know that the farmers
should get the increased income.
Hon. Mr. Stewart: Yes, right.
Mr. Lewis: What I want to know is, why
is he defending the profits of the supermarket
chains? That's not his job.
Hon. J. R. Rhodes (Minister of Transporta-
tion and Communications): Watch your image
now.
Hon. Mr. Stewart: Mr. Speaker, my hon.
friend refers to profits of the supermarket
chains. If we follow through on some of the
matters that have been raised in that food
basket, beef particularly—
Mr.: Lewis: No, that is not the serious one.
Hon. Mr. Stewart: Oh, yes it is. That is
probably the greatest illustration of any ad-
vance over the last three years.
Hon. Mr. Grossman: What does the mem-
ber want them to do, eat pork?
Interjections by hon. members.
Mr. MacDonald: It wouldn't be the first
time that either of them did.
Hon. Mr. Grossman: That will come back
to haunt the member for York South.
Hon. Mr. Stewart: Mr. Speaker, I think I'll
pass.
Mr. Lewis: I have eaten it all m}- life; I
have never had that problem!
PRICE FIXING IN SUPERMARKETS
Mr. Lewis: May I ask of the Minister of
Consumer and Commercial Relations, is he
prepared to take a look at the possible price
fixing in the supermarket and retail food
sector as a way of beginning to take under
control the kinds of skyrocketing inflation in
the food industry which some go\-emment
somewhere seriously has to contain?
Hon. J. T. Clement (Minister of Consumer
and Commercial Relations): Mr. Speaker, as
my hon. friend probably knows the question
of price fixing is, in fact, if it can be proven,
an offence under the Combines Investigation
Act, and therefore a federal matter. How-
ever, in my ministry, through my chief
economist, we are currently doing an analysis
of food market profits for the past 24 months
in an effort to ascertain just where they
have been derived.
The member will recall I mentioned the
other day that one particular chain had what
would appear to be a substantial profit last
year, but it turns out the bulk of that was
derived from the sale of capital assets.
Rut we are doing this analysis, and hop©
to have it completed shortly; then we will
proceed from there once we know the facts
of that inquiry.
Mr. Lewis: A supplemementary: Would
the minister be prepared to provide for the
public a monitoring of food prices in a
range of communities across the province,
and a monitoring of the disparities in indi-
vidual conrmiodities in various communities
across the province?
Hon. Mr. Clement: Mr. Speaker, we are
already monitoring in the Metro area, in the
Kitchener-Waterloo area and in northern
Ontario in, I believe, three different areas—
Mr. MacDonald: Why is the minister hid-
ing the results?
Mr. Lewis: He won't give us the residts.
Hon. Mr. Clement: I'll make the results
available without identifying the stores at
this particular time.
Mr. Lewis: Why won't the minister iden-
tify the stores? Why is it not in the public
MARCH 13, 1974
225
interest to know who were responsible for
the high prices?
Hon. Mr. Clement: Mr. Speaker, I have
taken a look at those figures from time to
time; they vary as much as 10 or 15 cents a
week between the different chains, and the
next week the situation might reverse itself.
Mr. Lewis: Then let the pattern be demon-
strated.
Hon. Mr. Clement: There is nothing par-
ticularly astounding about it at all.
Mr. MacDonald: That was spelled out by
William Janssen in study No. 14 for the farm
income committee five years ago.
Hon. Mr. Clement: This week one super-
market may be up, and the public may
interpret it that that supermarket is ripping
off the public; next week it may be in the
low part of the scale. The difference between
the low and the high is very insignificant.
Mr. Stokes: Supplementary, Mr. Speaker:
Has the minister noticed in the ongoing sur-
vey that the rate of increase is much greater
in northern Ontario than it is elsewhere in
the province?
Hon. Mr. Clement: Mr. Speaker, going by
recollection— and I haven't seen the figures
for possibly three or fom- weeks— it seems to
me that the last set of figures I saw show
that at that time the highest prices for
articles in our basket were in the Thunder
Bay area.
Mr. Stokes: Does the minister propose to
do anything about it?
Mr. Lewis: Sure, he's going to buy in
Toronto.
Hon. Mr. Clement: Yes, I propose to do
this about it: We have had correspondence
with the people at the Food Prices Review
Board in Ottawa. They have conducted in-
vestigations to see if those particular prices
are, in fact, not warranted.
Mr. Stokes: Unconscionable.
Hon. Mr. Clement: But insofar as my
doing something about it, I would welcome
any observations that any member of this
House might make as to what legislation
currently in our books we can act under.
Mr. Lewis: Pass some— roll them back.
Hon. Mr. Clement: Oh, but it is criminal.
The price fixing to which my friend alludes,
sir, is definitely under federal jurisdiction.
Mr. Lewis: This isn't price fixing; this is
entirely price gouging. They are just imwar-
ranted increases.
Hon. Mr. Clement: But in my hon. friend's
initial question he called it price fixing—
Mr. Reid: It's price gouging.
Mr. Speaker: Supplementary.
Mr. Foulds: Supplementary, Mr. Speaker:
Is the minister telling the House that the
province has the power and the authority to
equalize beer prices across the province but
cannot equalize fundamental foodstuff prices
across the province?
Hon. Mr. Clement: Yes, I will tell the
House that. That's nothing profound; that's
absolutely the truth.
Mr. Lewis: Well, by way of supplemen-
tary, why is that the truth, when property
and civil rights are provincial rights within
the constitution? The minister can regulate
prices if he wishes.
Hon. G. A. Kerr (Solicitor General): That
is a good government.
Hon. Mr. Clement: I cannot do that.
Mr. Lewis: Certainly he can!
Mr. Speaker: Does the hon. member for
Scarborough West have further questions?
Mr. Lewis: No further questions.
Mr. Speaker: All right. The hon. Minister
of Transportation and Communications has
the answer to a question asked previously.
Then I will recognize the hon. member for
Sarnia.
RECONSTRUCTION OF HIGHWAY 401
NEAR WINDSOR
Hon. Mr. Rhodes: Thank you, Mr. Speaker.
It is a question that was asked yesterday by
the member for Windsor West (Mr.
Bounsall). Perhaps you'll take note and teU
him about it when he gets back.
The question is, what is the schedule of
reconstruction of Highway 401 's right-hand
lane westerly to Windsor from 10 to 15 miles
out of Windsor? When will construction start,
and will it be commenced and finished this
summer?
Mr. Speaker, two resurfacing contracts were
awarded on this section of Highway 401.
Contract 73-171 covered the section from
interchange No. 6 westerly to interchange No.
226
ONTARIO LEGISLATURE
4, a distance of 8.7 miles. It was awarded on
Jan. 9, 1974; work is to start May 1, and
the anticipated completion date is October,
1974. Contract 73-172 starts at interchange
No. 4 and continues westerly to the Highway
3-B interchange, a distance of 10.3 miles.
This was awarded on Jan. 16, 1974; work is
to start May 6, 1974, and completion is
anticipated in October, 1974.
Mr. Ruston: I told him that yesterday. I
knew that. It's in my riding.
Mr. Speaker: The hon. member for Samia.
WORLD FOOTBALL LEAGUE
Mr. Bullbrook: A question of the Premier:
Could the Premier advise as to whether he
agrees with the Minister of National Health
and Welfare that the intrusion of a World
Football League entry into the city of To-
ronto is a threat to the peace, order and
good government of our nation? And could
he use his influence with his friends in Ottawa
to stop that silly symphony that is going on?
Hon. S. B. Handleman (Minister of Hous-
ing): They've got to keep the government
busy up there.
Hon. Mr. Davis: Mr. Speaker, I can only
assume from the question that the member
for Samia disagrees categorically with the
Minister of National Health and Welfare and
his policies-
Mr. Bullbrook: I am asking the question!
I wondered if—
Hon. Mr. Davis: No, no— but the member
said it was a silly symphony, and I am taking
from that, that is what he is saying.
Mr. Lewis: Why football?
Mr. Bullbrook: I am asking, does the
Premier agree or disagree?
Hon. Mr. Davis: I expressed the point of
>'iew, I think, on a certain television pro-
gramme on Sunday evening, where I made it
very clear, Mr. Speaker-
Mr. Deacon: Has the Premier ever made
anything clear?
Hon. Mr. Davis: Yes, I know that there
are some for whom these words are difficult
to completely understand and I won't go any
further. But I will now try to answer this
matter of urgent public importance-
Mr. Bullbrook: Don't use the word "hypo-
crite"!
Interjections by hon. members.
Hon. Mr. Davis: The member for Samia
has asked me whethei- I agree that the
awarding of a franchise and the operation of
a team in Toronto in the World Football
League will hurt the question of peace, order
and good government. I think to answer that
part of the question, I would sa\- I don't
think it would. I don't think it is going to
disturb peace. I don't think it is going, you
know, to affect order; and I don't think really
it's going to—
Ml*. Bullbrook: What about go\ernment
responsibility?
Hon. Mr. Davis: I don't think, really, it's
going to alter the questionable go\ernment
we are getting in Ottawa. Now I have other
solutions to that.
Mr. Bullbrook: What about the Premier's
friends in Ottawa; what is he going to do
about them?
Hon. Mr. Davis: Well, I must confess that
we have not had a great deal of success with
our friends in Ottawa who are much closer
to the member's people across the House;
and if the member for Samia feels strongly
on this issue, I would suggest that he com-
municate his views to the minister responsible
and perhaps bring this matter to a speedy
conclusion.
Mr. R. F. Nixon: What are the Premier's
views?
Mr. Roy: What are the Premier's \ lews?
Mr. Bullbrook: By way of supplementary,
and in a more serious vein, does this govern-
ment intend to make any representation to the
federal government with respect to the inter-
vention by the Minister of National Health
and Welfare on the supposed grounds of a
threat to the peace, order and good govern-
ment of this country?
Interjections by hon. members.
Mr. MacDonald: Does the Premier agree
with vocal John or silent Bob?
Hon. Mr. Davis: No, Mr. Speaker, we have
not contemplated making any representations
to the minister himself, and as I say I ex-
pressed a personal point of view the other
evening. I think I made it abundantly clear
on that particular occasion that the federal
government has been responsible for. shall
we say, developing this debate; and I think
that it is its responsibility to bring it to a
conclusion. We are not contemplating, as a
MARCH 13, 1974
227
government, any action to stop the World
Football League.
An hon. member: Is he arguing with the
law?
Mr. Bullbrook: One final supplementary:
Do I understand the position of the govern-
ment here in Ontario to be that it has no
function in connection with the present dis-
pute at all, and that it is solely and totally
the responsibility of the government of Can-
ada, notwithstanding the provisions of the
constitution of our country?
Hon. Mr. Davis: Well Mr. Speaker, I think
that certainly the federal government has
been responsible for, shall we say developing
this debate, and certainly—
Mr. Bullbrook: Does this provincial gov-
ernment have any responsibility; yes or no?
Hon. Mr. Davis: I think it's within this
area of responsibility they have to solve it. We
have not looked into the question of any
constitutional responsibility or jurisdiction we
may or may not have.
Mr. Bullbrook: The Premier has nothing
to say as the leader of the government, not
a thing?
Hon. Mr. Davis: No, not at this point.
Mr. Speaker: The hon. member for Sud-
bury.
PAYMENTS TO JURORS
Mr. M. C. Germa (Sudbury): Mr. Speaker,
a question of the Solicitor General: I'm sure
the minister is aware of a five-man coroner's
jury which has been sitting in Sudbury for
eight weeks investigating tfie deaths of 23
people in the Sudbury General Hospital. Is
it not expecting a little much from these
citizens to give up, say 25 per cent of their
incomes, in order to do their civic duty?
When can we expect amendments to the
legislation which would adjust the per diem
rate of jurors; and what special steps is the
Solicitor General going to take to relieve the
financial hardship which has been caused to
these five people presently sitting?
Hon. Mr. Kerr: Mr. Speaker, as the hon.
member knows, because of the number of
deaths involved in that unfortunate incident
in Sudbury—
Mr. Roy: The minister figures six bucks a
day is enough.
Hon. Mr. Kerr: —and because of the fact-
Mr. Ruston: Get to the point.
Hon. Mr. Kerr: —that most of the families
have retained counsel, those are among the
reasons the inquest has been going on for so
long.
Now as far as jurors' fees are concerned,
this is of course something for the Attorney
General's department to decide.
Mr. Roy: The coroners are under the
Solicitor General.
Hon. Mr. Kerr: It is my understanding
those fees are being looked at and are ex-
pected to be increased this year.
Mr. MacDonald: Retroactively?
Hon. Mr. Kert-: I might say that although
the fees are apparently low, particularly in a
situation where you have a long inquest, in
some cases the salaries of some of the jurors
apparently will continue on.
Mr. Martel: What about the rest?
Hon. Mr. Kerr: In any event there are
expenses as well as the per diem fee, but I
do admit that that fee is low.
Mr. Singer: What is the minister going to
do about it?
Mr. Speaker: Supplementary?
An hon. member: No.
Mr. Speaker: All right. The hon. member
for Ottawa East is next.
SUDBURY HOSPITAL INVESTIGATION
Mr. Roy: Mr. Speaker, in the absence of
the Minister of Health (Mr. Miller) I'd
like to ask the Premier a question in re-
lation to this inquest in the Sudbury General
Hospital. Is the Premier aware that acord-
ing to the evidence, had the Canadian
Standards Association code which was
drawn up in 1963 been accepted by the
provincial government, by this government
in this province, it would have probably
avoided the gas mixup? What possible jus-
tification could he give us here today as
to why this code has not been accepted by
this government?
Hon. Mr. Davis: Mr. Speaker, I am not
familiar with the transcript of the eA'idence
that has been given during the conduct of
the coroner's inquest. I'd be delighted to
228
ONTARIO LEGISLATURE
discuss this with my colleague the Minister
of Health at an appropriate time and I'm
sure he will be delighted to give the mem-
ber a reply.
Mr. Speaker: The hon. member for Port
Arthur.
YORK COUNTY SCHOOL GRANTS
Mr. Foulds: I have a question of the
Minister of Education, Mr. Speaker. Could
the minister state clearly, which the Premier
was unable to do earlier in the question
period, whether or not the per pupil grants
for secondary schools in York county have
been withdrawn from that board since the
teachers' dispute in which they withdrew
their services?
Hon. T. L. Wells (Minister of Education):
Mr. Speaker, what actually is happening,
and it is the same as happened in Windsor
last year, is that the amount of grants that
the board receives is being reduced by the
amount that would have been paid in salaries
to those teachers who have withdrawn their
services. The ceiling is also appropriately re-
duced for the period of time when those
people are not in the employ of the board.
Mr. Speaker: Was there a supplementary?
Mr. R. F. Nixon: Supplementary: I won-
der in that connection if the minister could
make it clear whether there would be special
additional grants available to that board to
provide summer courses for those students
who might choose to make up some of the
education time lost?
Hon. Mr. Wells: Mr. Speaker, this would
be something we would have to discuss with
the board. If the board wishes to talk to us
about it we would discuss it with the board.
There are many boards operating summer
courses at sunmier schools at the present
time, as I am sure my friend knows.
Secondary school credits during the summer
for students who want to take them are
offered by many boards. I assume that they
finance those under present arrangements,
but I would be glad to discuss this with the
board if they wish.
Mr. R. F. Nixon: Supplementary: To what
extent would the minister's statement— I think
made in conjunction with some board mem-
bers—apply that no students would suffer
from the fact they have been out of school
now for six weeks? Does this mean that their
promotion won't suffer or that the actual
body of knowledge that they would have
been able to impart to the students would
remain unchanged through some additional
make-up courses?
Hon. Mr. Wells: What my statement meant,
Mr. Speaker, was that we were going to
take all measures possible to study ways
to help anybody who felt he was at a
disadvantage because of the period of time
he had missed.
We have two people in the ministry
specially appointed to meet with the prin-
cipals of the schools and the teachers when
they resume full operations to assist in the
study and interpretation of any of the
regulations that perhaps may be wrongly
interpreted. We are going to assist, so far
as applications to universities are concerned,
to make sure that the people realize that
there was a problem here and that the
students are given special attention where
their applications are concerned if their
marks weren't available at the appropriate
time, and things like this.
There are a lot of details that will be
taken care of. If there have to be make-up
courses or things like this, we will assist
them to do that.
iMr. Speaker: The hon. member for Lanark.
CAPITAL GRANTS FOR FARMERS
Mr. D. J. Wiseman (Lanark): Mr. Speaker,
I have a question of the Minister of Agricul-
ture and Food. In view of the fact that $10
million has been set aside for capital grants
for farmers, and in view of the fact that in
my riding there are quite a few who have
applied and have been told they have to wait
till next year to receive the money, is the
minister considering adding to that before the
end of the fiscal year, or if not, will it be
raised in the coming year? The $10 million
figure just doesn't seem to be enough to
cover these grants to help the farmers.
Hon. Mr. Stewart: Mr. Speaker, I am happy
to advise the House through you, sir, in
answer to my friend's question— I know he
has been very much concerned in the past
about this matter— that we will honour aU of
the applications on hand for capital grants
prior to the end of this fiscal year for every
farmer in Ontario.
Mr. Lewis: Because the government is
afraid we are wooing the farmers.
Mr. MacDonald: No, because there is an
election coming, that's why. Right before the
election there is no end of money then.
MARCH 13, 1974
229
Mr. Speaker: The hon. member for Kit-
chener has been trying to get the floor for
some time.
PROVINCE OF ONTARIO
SAVINGS OFFICE
Mr. Breithaupt: Mr. Speaker, I have a
question of the Minister of Revenue. Has the
Minister of Revenue instigated a review of
the operation of the provincial savings offices,
especially with respect to the comments made
in the auditor's report that five of the 21
offices have run at a consistent loss for the
last 15 years or more? Would the minister in
his review, which I would hope would be
tabled in the House, advise us of other finan^-
cial institutions: in the communities where
these branches are operating at a loss, par-
ticularly in light of the financial ability of
nearly every other institution, whether it be
bank or trust company or whatever, to make
a substantial and healtihy profit in this society?
Hon. Mr. Meen: Mr. Speaker, I think the
hon. member wdll also recall, if he read the
full text of the auditor's report concerning
the Province of Ontario Savings Office, that
to a substantial degree it really depends on
how you adjust certain of the interest-earning
portions of the portfolios carried by those
various banks. If it were adjusted on a
different basis, I believe he will recall that
the Provincial Auditor indicated the profit and
loss picture oh some of thpse branches nught
be very (iificrent. '; /
Consequently, it may or may not be liie
case that there are five that are losing money.
In any event, they are . providiiig service.
Even if they are losing money, I don t tliink
one Wotild- automatically say they should be
closed^ down. It might be that changes in the
operatioriis pf thbsi^ branches and perhaps in
many of the others as Well could be madte
which would enhance the facility and service
they provide to the banking public in various
communities.
ll can say with confidence that my ministry
will be looking at the report and at the
operations of the Province of Ontario Savings
Office to determine whether its operations
may be streamlined, and I suppose, peripher-
ally to that, whether any of them should be
adjusted and, indeed, whether some expansion
in the activity might be undertaken.
Mr. Speaker: The hon. member for York
South.
SUPPLY AND PRICE OF FERTILIZER
Mr. MacDonald: I have a question of the
Minister of Agriculture and Food. Now that
his ministry has hosted a national fertilizer
conference and confirmed what everybody
knew— namely that there is a shortage of fer-
tilizer and the companies are capitalizing on
that situation with higher prices— what does
the government propose to do about investi-
gating the validity of those higher prices and
perhaps countering them?
Hon. Mr. Stewart: Mr. Speaker, I missed
that question. Did my hon. friend ask if we
were going to do something similar to the
government of Manitoba in investigating
fertilizer prices?
Mr. MacDonald: No, the four western prov-
inces including Alberta; a gentleman known
as Lougheed.
Hon. Mr. Stewart: I have the report of the
Manitoba government's investigation of fer-
tilizer prices. I will be interested to see what
it does with that report. The conference we
held here on Monday and Tuesday of this
week-
Mr, MacDonald: The minister timis me off.
Hon. Mr. Stewart: —which was a national
conference.
Mr. MacDonald: He can turn me off. ,
Hon. Mr. Stewart: I wouldn't say that'
Mr. MacDonald: I would.
Hoii.. Mr. Stewart: T*he member could btit
there we differ. That*s why he is over th^re
and we are over here.
ihterjections by hon. inembe«. " I • f
Hon. Mr. Stewart: The real concern, Mt*:
Speaker, is that there could be a scarcity of >
fertilizers. There's no question of it. There
certainly will not be enou^ fertilizers to
meet all the demarids in Canada and the
United States, and certainly on a world-wide
basis there is no possibility of meeting those
demands. I would suggest that it's going to
be extremely difficult to do anything about
lowering the price of fertilizers in view of
the fact that there are standing orders from
off-shore sources for quantities of fertilizer
of almost any analysis or type, without any
price attached. "Just simply send us the
fertilizer"— those are open-ended orders.
I would think we wdll probably be lucky
if we can get anything like enough fertilizers
in Canada and the United States to meet the
230
ONTARIO LEGISLATURE
demand, even at the prices they are being
held at now, which are much below world
prices. I share the concern my friend from
York South has suggested. It is a very real
concern but I really don't know how one
puts a lid on it today in view of the enormous
demand there is for these commodities.
Mr. MacDonald: I will try to get the
minister some answers, then.
Hon. Mr. Stewart: That's fine. I will be
interested to know what they do in Manitoba
because they have that report on their hands
now and we will be watching that with some
interest.
Mr. MacDonald: In other words, the min-
ister is going to do nothing.
Mr. Speaker: The hon. Chairman of the
Management Board has the answer to a
question asked previously.
APPOINTMENT OF CSAO
ARBITRATION MEDIATOR
Hon. Mr. Winkler: Yes, Mr. Speaker, I
have a reply for the member for Scarborough
West to a question he asked the other day
on the appointment of a mediator in the
employee benefit negotiations.
Mr. Howard Brown was appointed to me-
diate the dispute last November and sched-
uled a meeting with the parties on Nov. 26.
This meeting was cancelled by the parties
because they wished to have one more try
at resolving the matter in direct negotiations.
In spite of the efforts of both parties an im-
passe was reached for the second time on
Jan. 16. Mr. Brown was contacted by the
spokesman for the CSAO by letter, which
Mr. Brown received on Feb. 4, and asked to
convene a meeting of the parties.
By this time, Mr. Brown's schedule did
not permit hini to schedule an early meeting
and he so advised the registrar of the Public
Service Labour Relations Tribunal on the
same day. A copy of his letter was sent to
the CSAO and to the staff relations branch
of the Civil Service Commission. After sev-
eral weeks had passed without any further
word on this matter, a member of the staff
relations branch contacted the registrar of
the tribunal during the week of Feb. 18. He
was advised that the registrar was waiting for
some indication from the parties as to their
views on the appointment of a different
mediator.
A letter was delivered to the CSAO on
Feb. 26, urging them to make their views
known so that this matter could proceed.
The CSAO responded to this urging by a
letter dated Feb. 27, asking the tribunal to
appoint another mediator immediately, or
send the matter on to arbitration. Although
the government was not the party to apply
for conciliation services in this instance, and
therefore is not the party with primary
responsibility for follow-up, it will be seen
that we have consistently tried to keep this
matter moving along.
As further evidence of this, Mr. Speaker,
I would point out to the members that al-
though the government objects in principle
to the bypassing of any stages in the collec-
tive bargaining process, there have been so
many delays in these particular negotiations
that we have advised the tribunal that the
government would not object if this matter
were referred to arbitration, rather than to
appoint another mediator.
The hon. member for Scarborough West
will want to be reassured that these steps
were taken by the government before the
matter was raised in the House on Tuesday.
Mr. Speaker: The time for oral questions
has expired.
Petitions.
Presenting reports.
Hon. Mr. Rhodes presented the annual
report of the Ontario Northland Transporta-
tion Commission for the year ended Dec. 31,
1972.
Mr. Speaker: Motions.
Introduction of bills.
Before the orders of the day, I should like
to deal with a matter that had been raised
earlier this week. I'm referring to tfie alleged
matter of privilege raised by the hon. mem-
bers for Scarborough West and Ottawa Centre
(Mr. Cassidy).
I must again point out, as I have on
several other occasions, that by standing
order No. 27(i) a minister may, in his dis-
cretion, decline to answer any question. I
know of no recognized privilege of Parliament
that would supersede that provision. Nor can
members demand, as a matter of privilege,
the tabling by a minister of documents which
they may consider important. The standing
orders provide procedures for members who
are not satisfied with answers to questions,
and for notices of motion for the production
of documents.
MARCH 13, 1974
231
In the latter case I should point out, how-
ever, that the mere tabling of a notice of
motion for the production of papers does not
compel that production of t!he documents. The
motion must be passed by the House and
become an order of the House before it
becomes obligatory on a minister to comply
therewith.
I suggest that this latter fact re-emphasizes
what I said at the outset, that is, that the
refusal of a minister to comply with an oral
demand in the question period for the pro-
duction of documents is not a matter of
privilege.
Mr. Bullbrook: Prior to the orders of the
day, I rise on a point of personal privilege,
or perhaps clarification. Some time ago it had
been thought that the government would
integrate certain services in the hospitals in
the city of Samia, sir, and at that time I
wrote a letter to the then Provincial Secre-
tar>^ for Social Development (Mr. Welch),
thinking that it was within his purview of
responsibility. During a heated exchange in
the House last week, I said that the then
secretary had not responded to my correspon-
dence, and I wish to advise that I misled
the House and that the secretary did reply
to my correspondence. I apologize to him.
He did nothing about the matter, but that's
to be expected.
Interjections by hon. members.
Mr. Speaker: Orders of the day.
Clerk of the House: The first order, re-
suming the adjourned debate on the amend-
ment to the motion for an address in reply to
the speech of the Honourable the Lieutenant
Governor at the opening of the session.
Hon. W. D. McKeough (Minister of
Energy): Mr. Speaker, the hon. member for
Prince Edward-Lennox (Mr. Taylor) has
been good enough to yieW so that I might
make a government statement at this point.
It is somewhat longer than a normal govern-
ment statement and it was thought that it
would better fit as a contribution to the
debate on the Speech from the Throne-
which I trust, sir, meets with your approval?
Mr. Speaker: I might say that it meets
with my approval. I'm not so certain that it
might meet with the approval of all of the
members of the House. Do all the members
of the House agree that this may be pro-
ceeded with in the manner suggested?
Mr. S. Lewis (Scarborough West): Why
need we agree? He has a right to enter the
debate.
Mr. Speaker: I think that the hon. minister
did not suggest that he was going to present
this as a part of the Speech from the Throne.
Mr. Lewis: Yes, he did.
Mr. Speaker: Did he say that?
Some hon. members: Yes.
Mr. Speaker: I apologize to the hon. mem-
bers. Proceed.
An hon. member: Why is he stealing the
Minister of Edtication s thunder?
THRONE SPEECH DEBATE
Hon. W. D. McKeough (Minister of
Energy): Yes, he does not agree, I might
say.
Mr. Speaker, I want to make some remarks
today about energy and to put certain matters
on the record and that's the reason I have
intruded on the time of my colleague, tlie
Minister of Education (Mr. Wells). Since
this is a contribution to the Throne debate,
sir, I of course, join with others in con-
gratulating the hon. members for Timiskaming
(Mr. Havrot) and Brantford (Mr. Beckett)
for the very excellent contributions which
they made to the debate. I, of course, add my
respect for you, sir, and edho the sentiments
of all of us that we are glad to see you back
in the chair and in such obvious good health
and good humour.
It is now over seven weeks since the first
ministers* conference on energy convened
The overriding concern at that conference
was the design of an energy policy that would
result in an adequate and secure supply of
energy at a reasonable price for all Canadians.
It was predictable that in view of the
circumstances which had developed since
the conference was called, the major em-
phasis should be on oil and natural gas,
and in particular on oil. Oil is a vitally
important energy source; it is readily trans-
portable. Canada has regions that produce
surpluses and regions that are deficient;
further, some part of the oil-deficient regions
are served with oil from domestic sources
and some from oflFshore. The potential for
different oil prices in the different regions
of Canada and the major and contrasting
economic impact on the various regions ob-
viously resulted in different perspectives and
different concerns.
We are all well aware of the accomplish-
ments and the failures that marked the
progress of that conference. It did result in
232
ONTARIO LEGISLATURE
the discussion of short- and long-term energy
issues. It deJBned some of the clear differences
of viewpoint as between the consuming and
producing provinces. Some common ground
was established. There was some agreement
on certain broad goals. But there was no
clear agreement as to the proper answer to
the urgent question of appropriate arrange-
ments for adequacy and security of oil supply
and the more difficult problem of the price
level at which oil might move in trade
within Canada.
The broad goals of agreement were
itemized at that time. It might not be in-
appropriate to remind hon. members as
to the general nature of those goals, as
enunciated at the time in a summary state-
ment by the Prime Minister of Canada.
The long-term energy policy of Canada
should aim at self-sufficiency in energy and
should comprehend all forms of energy.
Two, whatever solutions are worked out
should be sensitive to and subject to national
development policy.
Three, any solution must take into account
the legitimate desires of the producing
provinces to develop industries based on
their own resources and to reduce their de-
pendence on primary industry.
Four, solutions should be consistent with
the basic fiscal arrangements and the exist-
ing constitutional provisions.
Five, there should be one domestic price
for crude oil, subject to adjustments for
transportation costs; this price might have
to be higher than the price at which oil
for domestic consumption was frozen, but
should be lower than the price at which
oil was moving in international trade. Con-
sideration would be given to phasing-in any
domestic price adjustanents over time.
. Six, export prices for Canadian oil should
be the price at which oil was moving in
world markets.
Seven, the solutions for the various prob-
lems should be sought on a federal-provincial
basis, with appropriate mechanisms to assist.
Now, sir, these goals were contained in
Ontario's opening statement at the con-
ference, and they have been accepted by
the government of Ontario for some time.
However, the urgent question of pricing
was not solved. It was, in fact, deferred
for 60 days.
The broad goals of the policy had been
agreed to on the first day of the conference.
The question of pricing was dealt with on
the second day. A short-term compromise
agreement restrained prices for a stated
interval, and procedures were adopted that
would prevent any further deterioration of
the relative position of that part of Canada
to the east of the national oil policy line.
I should like to refresh the memor\- of
hon. members as to the actual substance of
that 60-day agreement.
The voluntary restraint on crude oil prices
at about $4 a barrel was to continue until
the end of March.
Saskatchewan, which produces some 15
per cent of the national production of oil,
was to be permitted to increase the price
of oil by $1 a barrel effective Feb. 1.
The export tax on oil was to continue
to be levied; half of the resulting revenues
were to be returned to the producing
provinces.
ITie federal government was to cushion
any further increase in the price of im-
ported crude oil to prevent a further widen-
ing of the price differential on the two sides
of the Ottawa Valley line.
That agreement as to price and price
policy will continue in force until the end
of this month. As of that date, a policy that
is of a more permanent nature wall pre-
sumably come into efi^ect.
The time made available for policy design
through this temporary expedient has been
used for holding bilateral meetings between
the government of CanadJa and tne govern-
ments of Alberta and Saskatchewan— the two
major producing provinces.
In these meetings it is reasonable to assume
that the immediate interests of the producing
provinces in higher prices for petroleum and
gas is being vigorously advanced.' It would
be surprising if these views correspond: in
every aspect with those of the consuming
areas of Canada and, indeed, in some Avajfs
with the aggregate interest of the nation.
rrhe Ontario government, representing the
major consuming province in Canada,, has a
responsibihty to voice its concern and has
been doing so.
So I propose today to discuss with hon.
members the implications of possible pricing
policies and, concurrently, to place firmly and
publicly on the record the attitude of the
government of Ontario to energy policy in
general' and oil and natural gas policies in
particular.
I know that hon. members are well aware
of the implications of the pressures that the
increase in world oil prices is visiting on the
economies of many of the indlistrialized
nations of the world. Japan, which consumed
MARCH 13, 1974
233
oil at a rate of close to five million barrels a
day last year, had to import 99.7 per cent
of the oil that it used. France, Britain, West
Germany— most of the industrialized countries
of the western world— were in similar situa-
tions. The United States and Canada are in a
more fortunate position. The United States
has to rely on offshore sources for only about
one-third of the IS-million-pIus barrels a day
that it uses. Canada's total prodtiction just
exceeds its consumption, but exports of
roughly 50 per cent of production are made
up by imports.
iFor the oil-deficient coimtries, the implica-
tions in terms of balance of payments, infla-
tion and' the prices of goods produced for
domestic consumption and export are im-
mense. And the increase in the oil bill of the
so-called third world countries at about $10
billion a year, throws additional strain' on
economies that are already under severe
pressure.
And so in this incredibly changed world
Canada— and really only Canada— finds itself
in a remarkably favourable position. The price
of commodities is rising. This nation is rich
in commodities. The price of energy and
supplies of energy have altered to the dis-
advantage of the industrial' nations of the
western world— nations that have grown' fat
on a diet of cheap resources. And among
these industrial nations, Canada alone pro-
duces more oil, more gas, more energy dian
it consiunes. And in addition to the energy
we produce and use, we have immense re-
sources of energy in the oil sands, the heavy
oils, in the frontier regions, in the uranium
mines and coal deposits.
The current situation can enable this nation
to broaden in locational and technological
terms the fabric of our industry. Ontario,
with Atomic Enelrgy of Canada Ltd., has
already demonstrated the iminense benefit
of addirig technology to a prov^i' resource
baise in the design and construction! of
CANDU reactors— a nuclear generating system
that relies on our reserves of uranium. Similar
opportunities exist in terms of the petroleum
resources of this nation. Price, and policy that
truly reflects the national interest, can result
in a solid foimd^tion for continuing growth
for the remainder of the decade and beyond.
I quite understand the position being taken
by Saskatchewan and Alberta. They have seen
the world oil price move up to about $10.50
a barrel. Naturally they want to merchandise
their product at that price. But what rele-
vance does that price really have to the
marketplace— the workings of supply and de-
mand? It is a phoney price, a manipulated
price, a price designed by those producing
nations that have joined together into the
Organization of Petroleum Exporting Coim-
tries. That price bears no relationship to cost;
it bears no relationship to the long-term
supply prospects; it bears no relationship to
anything other than the calculated judgement
of a group of monopolists as to what the
market will bear for the foreseeable future.
In fact, the suggestion made by the gov-
ernment of Canada at the national energy
conference was that the wellhead price of
oil would be allowed to move up to $6 a
barrel. Certainly this suggestion did not gain
the endorsement of the producing provinces.
But I think it important that hon. members
should be well aware that such a price means
an increase of approximately six cents a gal-
lon for our heating oil and gasoline. This
implies an increase of some $350 million in
the energy bill of the Ontario consumer.
If the price in Canada were allowed to
move up to the present world price— about
$10.50 a barrel-the additional cost to On-
tario oil users would be in excess of $1 bil-
lion a year, very close to 20 cents a gallon
for fuel oil or gasoline. This, obviously, would
not be in the interests of Ontario or of the
national economy. The disruption and dis-
tortion would be frightful. The impacts of
similar increases on all other provinces have
been estimated and are indicated in tables
which I am placing on the record and which
are attached to this statement.
I apologize to the members for developing
this argument at length. I do so because I
urgently desire the understanding and sup-
port of all members of this Legislature in
the matter of the price of oil. I wish to
underline our absolute conviction that escal-
ating our domestic price of oil up to exist-
ing worid prices flies in the face of the
national interest. I am not simply entmciating
a position which favours Ontario. We must
also ensure that the benefits of the lower
price are truly dispersed across the country.
The hard fact is that the challenge to
Canada is an industrial and a development
challenge. They know very well in France
and Britain and Japan and the United States
that you cannot insulate the cost of energy
from your national industrial plaiming pro-
cesses. We had better learn that fact here.
If we escalate the price of petroleum to cur-
rent world levels, we will have a rich Alberta
largely at the expense of the rest of Canada.
We would be turning our back on nation
building and focusing attention on the build-
ing of great economies in the oil producing
provinces.
234
ONTARIO LEGISLATURE
But if we hold the price of oil to a
reasonable level, if we process our resources,
if we strengthen our capital position, if we
do this— and we can do this— we can provide
jobs for our people, good jobs. We can build
our capital strength. We can increase domes-
tic control of our corporations and of our
resources. We can build an economically
powerful nation. We can protect the long-
term welfare of all the people in all parts
of our nation. The United States has im-
mense resources of energy and a highly so-
phisticated technology. It is surely imprudent
to make the facile assumption that the United
States will fail in its stated national purpose
of achieving self-suflBciency in energy. If it
does achieve domestic self-sufficiency the con-
trol of the price of energy in the United
States will become a domestic matter. In that
case projecting the actual level of cost of
energy or price of energy in the United
States a decade from now becomes a highly
speculative undertaking. If ill-advised pric-
ing policies in Canada today result in our
costs of production of energy and industrial
goods being distorted upwards, relative to
those of the United States, we will have
done much more than simply lose a few
years of relative advantage. We can easily
find that we have built costs into our in-
dustry that result in that industry being un-
able to compete in major markets.
As I noted, the price of oil suggested by
the government of Canada at the national
energy conference was $6 a barrel. That is
high. That is a 50 per cent increase from a
price base into which there is already em-
bedded a significant increase. It represents
a bne per cent increase in the consumer
price index. But, as we have said before, sub-
ject to a very significant proviso, the people
of Ontario can live with it and, subject to
the same proviso, it will not too brutally pre-
judice the opportunities that, as a nation,
we should be seizing.
The proviso is that this is not the first
step on the rung of a ladder that will auto-
matically carry us on to $7 a barrel, then $8,
and on up to whatever the world monopoly
price might be. Our pricing policy must be
flexible enough to reflect changing costs ol
exploration, production and distribution in
Canada and legitimate changes in world,
particularly US, prices. And this could mean
lowering prices as well as raising prices.
I now wish to discuss with the House five
other aspects of energy policy in Canada,
primarily with respect to oil.
1. Export policy ^nd export levies: At
the present time we are prepared to support
the continued export of oil from western
Canada to the United States. There are
several reasons why we do not oppose this ex-
port in spite of the fact that Canada lacks the
reserves to assure adequate domestic supplies
late in this decade. We have obligations to
a customer, not to mention contracts, and
these should not be lightly disregarded. Fur-
ther, perhaps of greater significance, we do
not have the pipelines and the transportation
facilities in position to move the oil that we
now are exporting to the United States into
the areas east of the Borden line. Capturing
an export levy, which can be used to cushion
the higher energy costs in these regions of
Canada, higher costs that are inherent in the
higher world price for oil, is also of clear
benefit to many Canadians.
This is a policy position that we would
anticipate will change. Certainly, when the
transportation facilities are in position and
this nation has achieved a real ability to be
self-suflBcient in energy, the oil export policy
must be reviewed in the light of national
interest at that time.
2. The allocation of resulting revenues:
This aspect of policy is the allocation of the
revenues that accrue as a consequence of the
price increase and the oil export levies.
Let me underline at this time as a matter
of principle we accept that the producing
provinces should receive reasonable rewards
associated with the oil and gas within their
borders. We also accept that the producing
provinces should determine the balance of
funds that should be directed toward the
expansion of reserves within their borders,
whether through the direct involvement of
the proviiidal government in exploration and
development of fossil fuel or through flowing
certain funds through to the privately-owned
producing companies. But we wbiild argue
that the development of these resources,
irrespective 6f the vehicle em^ployed, must
take into account the long-term energy
needs of all of Canada and must be within
the framework of an appropriate national
energy policy.
We would observe that the federar govern-
ment proposal for allocating revenues result-
ing from higher prices and the export levy
between the producing provinces, private in-
dustry and itself appears to be unnecessarily
complicated. We would support additional
revenue from the price increases remaining
with the producing province concerned, but
we would suggest that the proceeds from the
export tax be dedicated to the benefit of all
Canadian consumers. This should take the
form of a cushion against the higher priced
MARCH 13, 1974
235
oil bought on the world market by those
east of the Ottawa line.
3. Fiscal arrangements: Changing oil
prices, reinforced by changing natural gas
prices, have an enormous potential for dis-
torting the existing fiscal arrangements of
the nation. The simis involved are huge.
Price increases will result in greatly increased
revenues flowing to the producing provinces
and this, in turn, will create new liabilities
to certain of the provinces under the equali-
zation agreements. And I would refer mem-
bers again to the tables which are attached
to this statement.
We have made some rough estimates of
the impacts on each province arising from
these added oil revenues. For example, a rise
in the domestic price of oil to $6 a barrel
increases the charge on Canadian consumers
by almost $1.5 billion a year. Assuming that
of this sum $500 million was a return to the
producing companies to stimulate research
and exploration, nearly $1 billion would pass
as direct revenue to the producing provinces.
Alberta alone would receive approximately
$850 million— a sum that approaches half of
that province's current annual budget.
It is perfectly obvious that the massive
infusion of new revenue that would accrue to
the producing provinces, as a consequence of
raising the price of oil to $6, will not be
matched in the other pi-ovinces. An estab-
lished principle of Confederation is that, to
the extent practicable, fiscal imbalances be-
tween provinces should be corrected.
If the full amount of the $1 billion going
to the producing provinces were made sub-
ject to equalization, some $350 miHion a year
would be required from the federal treasury
for additional equalization payments, to the
Atlantic provinces^ Quebec and Manitoba.
Because of its oil reyenues, Saskatdie>yan
would find its equalization paymieints lowered
; by some $40i miliiprj.
The; potential imbalances are of such a
size ithat their correction would imply the
raising of federal taxes or the abridgement
of existing programmes. Either expedient
would impact on the taxpayers and residents
of Ontario.
These effects are a result of raising the
price of oil to $6 a barrel. If the price of oil
should be allowed to go to $10.50 a barrel,
the additional revenue accruing to the pro-
ducing provinces would total over $4 billion
and Ontario could actually be eligible for
equalization payments of over $600 million,
since our revenue raising capacity would be
below the national average.
Now, I would hope nobody can be serious
in suggesting a price of $10.50 a barrel. Such
a price is unthinkable when it is clearly
recognized that even a price of $6 a barrel
throws severe strains on the fiscal arrange-
ments in Canada.
Alberta has consistently maintained that
oil revenues should be treated as a capital
return on a depleting resource— that these
revenues should not be included in the cal-
culation of equalization payments. If this were
accepted, it would further exacerbate the
existing regional disparities within the nation.
One must have some sympathy for the
attitude of the producing provinces but, cer-
tainly, such a procedure would be unaccept-
able to the people resident in the eastern
provinces.
Ontario has always supported the principle
of equalization. We still do and, certainly,
we would favour either the inclusion of a
proportion— perhaps quite a substantial pro-
portion—of these additional revenues in the
equalization base or a ceiling on the total of
equalization payments.
This is a very difiicult area and it is going
to require a measure of compromise.
The fourth element of a national oil policy
relates to the urgent necessity of assuring that
we do not balkanize this 'nation in terms of
the price of oil.
At the energy conference, Ontario vigor-
ously espoused the cause of a single price
for crude oil in all parts of Canada, subject
to a differential related to delivery costs, and
we hold to this view. The only real question
is the equitable distribution of the cost
burden that is injplicit.
The sHiiplest and most, effective way of
assuring this equitable price relationship is to
directly cushion the refiners of higher priced,
imported crude oil and to realize the necessary
funds from the export tax associated with
crude oil that is exported fi"om Canada. In
the longer term, pipelines or oil discoveries on
the eastern seaboard may modify the neces-
sity 6f this policy.
In the meantime, most assuredly, national
policy ishould not result in the disruption of
the economies of the provinces to the east of
Ontario that presently rely on high-priced oil
from foreign sources. Given that the oil now
being exported is Canadian oil, it seems
logical that it should contribute to the
achievement of this national price equity.
The export tax revenues would provide a
cushion of approximately $1.5 billion for con-
sumers in the Atlantic provinces, Quebec and
that part of Ontario east of the Borden line.
236
ONTARIO LEGISLATURE
The final aspect of oil policy that I wish
to discuss today relates to the administrative
mechanisms that will be required to deal with
such matters as the setting of price, the
cushioning of price in some of the more ex-
posed regions of Canada and other policy
matters, quite possibly including the export
of oil and other basic sources of energy.
Clearly this divides into mechanisms to deal
with both the short and the long term. The
time constraints are now so severe that a
vehicle that can deal with the immediate
price problems is needed. At the same time,
a more sophisticated mechanism will be re-
quired for the implementation of energy
policy in the longer term in Canada, including
the adjustment of domestic prices. Much
closer federal-provincial consultation will be
necessary.
The government of Canada has proposed
a national marketing board. To the extent that
the powers of such a board might extend
beyond pricing considerations, Ontario would
have reservations. Indeed, a new organiza-
tion is not inevitably necessary. The continu-
ation of the existing federal government pro-
cedm-es for compensating the consumers of
the imported, higher priced oil might be
adequate provided that there is joint federal-
provincial decision making.
The Ministry of Energy is exploring the
feasibility of various methods of equalizing
crude oil across Canada, one of which is a
system of "tickets." These tickets would be
issued to all refineries of crude oil to enable
them to purchase rights to acquire Canadian
crude. The tickets would be allocated to the
refineries of both domestic and foreign crude
in amounts that would result in the equalizing
of crude oil prices throughout Canada.
Now, sir, this discussion covers the major
policy concerns relative to oil. Obviously,
however, the national economic impacts will
further be re-enforced by changes in the price
of natural gas. The Alberta and Southern Gas
Co. Ltd. agreed in January of this year to
pay a field price for gas of 56 cents per mcf,
eflFective July 1.
It should be pointed out that virtually all
of the Alberta and Southern gas is gas for
export, but export prices surely should not
set domestic prices. If the 56-cent price be-
came universal then the producing provinces
will receive annually an additional $400 mil-
lion in royalties, of which Alberta will re-
ceive $250 million. Ontario consumers would
pay an additional $300 million each year.
It would be perhaps useful to digress for
a moment about our supply of natural gas,
which is also a concern to Ontario. ..Consider
these points:
TransCanada Pipe Lines Ltd, and others
are expressing concern that the supply of
natural gas from the southwest sedimentary
basin has plateaued.
Additional supplies from Alberta will be
much more expensive to produce, if, as and
when found and proven.
Mackenzie Delta and Polar Gas projects
are promising, but like the oil sands are long-
term alternatives. They will ultimately be
available, but more expensive sources of sup-
ply.
Ontario supports the oil sands, has an-
nounced its interest in Polar Gas and will
participate in the Mackenzie pipeline hear-
ings. Again, however, I stress that these are
long-term thrusts to ensure future capacity
for self-sufficiency.
The problem, sir, is now. We detailed the
other day the presently frustrated plans of
two Ontario companies who want to spend
$100 million each to produce anhydrous am-
monia for desperately needed fertihzer pro-
duction—fertilizer needed now in Ontario and
for export of a Canadian value added product.
These plans are in danger of not proceeding
because of their inability to purchase natural
gas.
Reverting to price, it must be remembered
that an enlarged petrochemical industry, be
it in Alberta, Ontario, or Quebec, faces tough
competition from, for example, the Gulf Coast
where natural gas prices are still regulated
and as a result, low-priced.
The National Energy Board last simuner
sat on an application by Dome Petroleum
Ltd. and Dow Chemical of Canada Ltd. to
export a relatively small amount of natural
gas as ethane and ethylene. No decision has
been given, presumably because the board is
finding difficulty in deciding that the gas is
surplus to Canada's needs. Yet we continue
to export, essentially as a raw material, al-
most as much natural gas as we consume.
Pan -Alberta Gas Ltd., Gaz Metropolitain
and others continue to talk about new and
additional exports of gas. Even if Dow-Dome
were approved, we would submit that there
is no room for additional exports. Rather, we
suggest, as does Mr. Eric Kierans and oth-
ers, that Canada's needs are such that we
may have to examine whether existing exports
can be continued at current levels.
The situation, sir, is a little unreal.
It is easy to acquiesce in the argument that
higher prices will solve all natural gas prob-
MARCH 13, 1974
237
lems. Higher prices to governments or to
producers or to both? We do not subscribe
that higher prices, with windfall profits, to
either industry or government, are a cure-all
palliative.
Ontario is prepared to support a price that
returns to gas producers their cost of produc-
tion and a rate of return that will encourage
exploration and the development of additional
reserves. We are opposed to any proposal to
index or key the price of gas to a so-called
competitive price of oil. We accept a two-
price system that distinguishes between "old"
or "flowing" gas, and we will pay a higher
price for pew gas. Such a pricing procedure
would encourage exploration and lead to the
development of new or additional reserves.
We suppor.t Alberta in its effort to design
the best pjossible procedures for managing its
fossil fuel; resources. We have done so in the
past. Since 1961, we have paid a higher
price than would have been necessary had
we been. unNvilling to lend our support to the
development of the Alberta petroleum indtis-
As w.p;. have in the pa,st, we support the
Alberta .aspiration to build a strong base of
secondary industry and, in particular, accept
that there, is justification for the development
of a petrochemical industry close to the source
of supply of fossil fuels, subject, of course, to
the legitimate expectations of the existing
petrochemical industry in Ontario and
Quebec.
We. .hajfe already begun, through the
agency (^f. Ontario Hydro, a $10-million test
programme to. determine the feasibility of
mintngj. transporting and burning western cool
in thermal generating stations in this prov-
ince. Ifj successful, this could reisult in the
negojiation of contracts for some five million
tons of coal from western Canada and would
result in Ontario again providing needed
stimulktrbn for a western Canadian coal in-
dustry, as was provided by Ontario in the
1960s for the oil industry.
On. uranium, Ontario is in a favourable
position compared to fossil fuels, as about 80
per cent of all proven Canadian reserves are
located within our boundaries. Our policy as
to the development of these uranium re-
sources is entirely consistent with our attitude
towards oil and gas. Uranium should be con-
sidered as a national commodity to be man^
aged in the national interest.
In view of the crucial importance of this
resource to the future growth of the nuclear
industry both in Ontario and elsewhere, the
government will shortly be making a more
detailed statement on uranium, and I leave
my thoughts on that subject at this point.
Mr. E. J. Bounsall (Windsor West): What
about the supply? Is it secure?
Hon. Mr. McKeough: Yes.
Mr. Bounsall: Enough for our needs?
Hon. Mr. McKeough: Yes, for the time be-
ing-
As in the past, Ontario is prepared to sup-,
port policies that serve the national interest
and that do minimum violence to the pro-
ducing and consuming regions of Canada.
Ontario is prepared to co-operate in all
reasonable ways in assuring, for the producing
regions, the achievement of their legitimate
aspirations with respect to the development
of their economies. We do not consider that
the disruption and distortion of the national
economy and the prejudicing ot the long-term
economic prospects of the nation can? be de-
fined as legitimate.
Ontario's objective is a reasonable and
stable resolution of the question of oil arid
gas pricing within Canada. We submit that
the position outlined is reasonable and can
result in an environment for growth and de-
velppment and more or less equalized eco-
nomic opportunity in all parts of this nation.
We do not think that the national interest is
served by excessively high prices, interminable
negotiations or persistent uncertainty. If this
is the prospect, then it is the clear duty of
the government of Canada to exert its power
and exercise necessary leadership. We believe
it has the constitutional power to regulate
prices at the wellhead if that should be
necessary.
The goverttment of Canada should, how-
ever, be guided in all its policies by the
demonstrable interest of all Canadians, in
both the producing and the consiraiing regions
of the nation. It should assure, very simply,
security of supply of needted energy resources
at a reasonable price.
Thank you, Mr. Speaker.
Mr. Ga:unt moves the adjournment of the
debate.
Motion agreed to.
YORK COUNTY BOARD OF EDUCATION
TEACHERS DISPUTE ACT, 1974
Hon. Mr. Wells moves second reading of
Bill 12, An Act respecting a Certain Dispute
between the York County Board of Educa-
tion and certain of its Teachers.
238
ONTARIO LEGISLATURE
Mr. R. F. Nixon (Leader of the Opposition!):
Mr. Speaker, there are two regrettable things
about the circumstances around the intro-
duction of this bill yesterday. In my view, the
most regrettable is that it d^oes achieve a
solution by compulsory arbitration under cir-
cumstances which have become extremely
familiar, not only to us in this House, but to
the students and the parents in the York area.
The second regrettable thing— and I'm not
sure this really isn't one that is almost un-
forgivable—is that the minister delayed so
long in expressing in a strong and effective
way that pupil-teacher ratios were to be ne-
gotiated. In fact, through this bill he has
dictated to the local board what they them-
selves were unwilling to accept over these
many weeks— in fact, 10 months— of continu-
ing negotiations.
Frankly, I had thought that with the intro-
duction of Bill 275 in 1973 that the state-
ment there on the right to negotiate all
matters pertaining to conditions of employ-
ment did clearly include the right of the
teachers to negotiate the pupil-teacher ratio.
We are aware of the sensitivity of this mat-
ter, since many teachers feel substantially
that they have as much responsibility to deal
with the quality of education as anyone,
perhaps more than anyone else. But they
also see, because of the planning of the
Ministry of Education, because of the num-
ber of people who've gone into education as
a profession, that more than half of the
graduates from the colleges of education last
year were imable to obtain employment.
In other words, there is a substantial pres-
sure on those who presently hold teaching
positions, unless they conform to the require-
ments of their board and their administrators,
that they can very readily be replaced. In
many aspects, this fear is substantially un-
founded. The teachers through their profes-
sional organizations have a great deal of
protection, which we hear of from time to
time. Still their contention has been clear
and unequivocal, that they have the right
to negotiate pupil-teacher ratios— essentially,
how many teachers a specific board will hire
to carry out their responsibilities.
This has been substantially opposed by
almost all the boards of education and the
trustees as individuals. In the case of the
York board, it has become a matter of basic
faith. They have expressed themselves in
this regard as individuals from time to time.
The\ have said, as many people would agree,
that the school board, democratically elected,
has to represent the rights of the community
to run the school. One of the basic rights is
to decide how many teachers they need in
order to achieve their goals for education and
achieve the quality that they establish for
themselves.
This oversimplification of the standoflF— and
a standoff it certainly has been— has been in
many respects obscured by the intervention
of the minister previously. There is, for ex-
ample, the intervention of ceilings. Under
these circumstances, in this particular nego-
tiation and the arbitration which will come
about if this bill follows its intended course,
the salary negotiations are not going to re-
quire, let's say a breaking of the ceiling that
has been imposed. Yet it has interfered with
the full and free negotiations, both in York
and elsewhere, since the minister has as-
sumed a specific budgetary control, by Act of
this Legislature, and by the imposition of the
ceilings across the province. But the bill itself
—and the specific area is in section 2, sub-
section 2, and I quote it: "Pupil-teacher ratio
is arbitrable and shall be deemed to be in-
cluded as a matter in dispute in the notices
referred to in subsection 1.
While the minister may say this is not a
departure in his own policy, it is seen to be
a departure by the trustees in York, I would
submit. In fact, it is the clearest enunciation
of his acceptance of the fact that he believes,
and therefore the government believes, that
conditions of work, pupil-teacher ratio spe-
cifically, must be negotiable in the future and
are, under these circumstances, arbitrable.
The teachers themselves have suffered from
a great deal of commimity criticism based on
a misunderstanding of tnese circumstances.
We are aware that the Ontario Secondary
School Teachers Federation, bargaining on
behalf of the teachers in the area, has re-
fused to go to voluntary arbitration because
of the doubt, at least, about the arbitrable
basis for the pupil-teacher ratio.
Many people have said, "The teachers'
case must be weak otherwise they would
submit it to voluntary arbitration." But they
have held, and I believe that they are correct
in this, that they are not prepared to accept
an arbitration as to whether or not pupil-
teacher ratios will be, in the long run, nego-
tiable between teachers and boards.
This is a matter, obviously, of hig^ policy.
The minister recognized it as such and in-
cluded it in section 2, subsection 2, of the
bill which, in fact, dictated to the board
members in York— and I submit to you, Mr.
Speaker, makes it clear to all other boards of
education in the province— that this matter is,
in fact, arbitrable in this bill and must there-
fore be negotiable in the contacts between the
MARCH 13, 1974
239
teachers and the schoolboards across this
pro\ince in the future.
This is a substantial breakthrough. The
minister may feel that his statement in the
clause in Bill 275, in the previous session of
the Legislature, was suflBcient. But he knows,
as we all know, that whether it was wilful
misunderstanding or an unwillingness to
accept the minister at his word, most trustees
were not prepared to agree that pupil-teacher
ratios were a matter for negotiation or arbitra-
tion. This has changed and it could have
been changed six weeks ago or two months
ago or even three months ago. Many of the
problems that the government experienced in
late 1973 with the introduction of Bill 274
and with the protracted negotiations in the
York area were therefore unnecessary.
The minister is aware of the level of ill-
feeling which has developed among the
teachers and the board directed at him and
other people. He is also aware of the removal
(if the education services to the students and
lie, probably more than anyone else, speaks
of this and I'm not saying that he does so
improperly, I simply say it is unfortunate
that a clear statement with regard to this
matter was not made in good time so that,
in fact, the negotiations in York might have
been brought to a successful conclusion with-
out the imposition of a bill of the type that
is before us.
I have mentioned to you, Mr. Speaker,
previously in my remarks to this House that
I have been in the York region in my capacity
as Leader of the Opposition. I was requested
to attend meetings of the teachers and did
so in Aurora and Newmarket. They were
there in force to hear my remarks and the
remarks made by the education critic for the
NDP and also to extend their views and
their questions to us.
It was interesting indeed to talk to indivi-
dual teachers and representatives of the
OSSTF pertaining to the eight points at
variance which had not been settled under
the normal conditions of negotiation. Obvious-
ly, salary estabhshment and salary levels was
one matter of some concern. They felt that
they deserved a similar salary schedule com-
pared with Metropolitan Toronto and certain
jurisdictions nearby. And no one could con-
demn them for that. When close questioned,
many of the teachers were not directly aware
of where their salary schedules fell substan-
tial] \ below the schedule in nearby jurisdic-
tions although, of course, the information was
available.
The point I am making is this; that while
there was a negotiable item pertaining to
salaries, in my opinion it was not one upon
which the six weeks' strike and the bitterness
associated with this matter could be based.
There were other matters that they brought
forward very strongly to my attention, one
particularly. They felt that the administration
was unfair in insisting on a provision that
would permit the school board to hire special-
ists, category 4 teachers, and then assign them
to duties where they would not be teaching
in their specialty and therefore would be
paid at a lower category level.
In my opinion this is unfair. But, once
again, it is a matter surely which could have
been negotiated without going to the lengths
which separated the board and the teachers
for these many weeks-^and, in fact, 10
months.
One matter is of personall nature, which I
raised in my reply to the Speech from the
Throne last Friday. It is an unfortunate one;
and that is the high feehng among the teach-
ers against the director of education himself
in that area.
I can remember discussing the matter be-
fore one of the meetings, ^\^en I mentioned
that it had been made apparent to me by the
individual teachers that they had no confi-
dence in the director of education, the
applause— which, as you know, Mr. Speaker,
politicians are very sensitive to— was pro-
longed and hearty. This was an indication to
anyone who was there that there was a sub-
stantial breakdovra in the confidence between
the teachers who were responding in that
meeting— and tbere were about 400 of thran—
and the director of education himself.
Someone came up to me and said: "I wish
the school board realized that we would trade
670 resignations for one." The implication
was that they were asking for his dismissal
or resignation from his position of high re-
sponsibility.
It is interesting that this matter pertaining
to administration did not surface more for-
mally—or at least according to the reports
that were available— in the continuing nego-
tiations. I think it is a matter that must be
dealt with frankly, as I trust that we can
raise it here without personal references of a
seriously damaging matter. I simply put it to
you, Mr. Speaker, that it was an issue lying
below the eight which were specifically re-
ferred to in the formal negotiations, but is a
very real issue indeed.
But the other real issue had to do with the
negotiation of the conditions of work. The
trustees, as I have said, were adamant in
their refusal that pupil-teacher ratios were
240
ONTARIO LEGISLATURE
negotiable. The teachers, reflecting Ontario
Secondary School Teachers' Federation policy,
were just as adamant that they as teachers
must have, and were prepared to demand,
the right to negotiate— not dictate, surely—
but negotiate the stafiing under the jurisdic-
tion of the board.
It was on this shoal that the ship of nego-
tiation stuck, in fact floundered, for so long.
The board completely failed in their attempts
to bring about a successful conclusion to the
negotiations. It was in my view that because
they were adamant on this single point that
the negotiations failed.
The minister has, along with his leader,
been substantially critical of statements made
by me and my colleagues which they con-
strue as being an infringement on the auton-
omy of that board. But surely, Mr. Speaker,
you are aware that the provisions in this bill
in section 2, subsection 2, directly dictate
that the matter that the local board had
consistently refused to accept must now be
accepted. And that subsection, of course, casts
an entirely new complexion on the whole
negotiation.
I have had an opportunity to talk to a
limited number of teachers concerned since
the bill was introduced. Frankly, I have
been surprised at the strength of their con-
tinuing opposition. Obviously Bill 274, and
the tabling of Bill 275, sensitized all teachers
to the dangers and created their feelings of
repugnance associated with compulsory arbi-
tration. It is a feeling we share and leads
us to vote against the principle of this bill.
But it seems to me that there is an alterna-
tive which might still be achieved by the
board and the teachers if the trustees now
realize .that they cannot continue their ada-
mant opposition to the acceptance of pupil-
teacher ratio as a negotiable matter.
I would be the last to suggest any sig-
nificant further delay in this matter. We have
already had a six-week strike, there is a
week's vacation coming up, and somehow or
other I have the feeling that the idea that
school will start there Monday while it doesn't
continue in other parts of the province is not
going to be well accepted— no doubt many
parents and students have made vacation
plans. I would suggest to you, Mr. Speaker,
that while it is an interesting alternative, I
have a feeling that the schools in York will
remain closed next week as they will be
closed elsewhere.
But it appears to me that there now are
grounds for the teachers and the board to
come together, because while the teachers
are substantially offended by the compulsion
in this bill leading to arbitration, there is no
doubt that the trustees are offended by the
compulsion associated with the pupil-teacher
ratio.
The minister said it yesterday when he
introduced the bill. He said, "Some people are
going to say this favours the teachers, some
will say this favours the board." Well, in my
reading of it, there is a substantial dictation
to both groups concerned. Our objection is
that this particular procedure is unnecessary.
If the minister were going to replace his
judgement for the board's' judgement^ he
might very well have done it under legisla-
tion already on the books and assumed a role
of trusteeship under these circumstances, since
he and others were unwilling to accept the
adamant position of the board that pupil-
teacher ratios were not to be negotiated or
arbitrated.
In other words, he has replaced his judge-
ment for the board's under these circum-
stances. It could have been done under
present legislation without using the power,
the undoubted power of this Legislature to
command a return of the teachers under the
circumstances of compulsory arbitration.
Mr, Speaker, there are many matters that
could be thrashed over in this continuing cir-
cumstance, which no one wants to delay for
any significant period of time, other than to
see that the views are essentially put before
the public for their consideration.
Mr. Speaker, I know you will permit me to
digress from my remarks for a m(3ment to
welcome, along with you, sir, our good friend,
the member fof Nipissing (Mr. R. S. Smith),
who is back in his place in the Legislature
after an illn^s. We are delighted to have
him back.
In closing my remarks, Mr; Speaker, I
simply put it to you this way: Essentially, two
things have happened. The minister, in ex-
pressing the policy of the government in 1973,
said that he was not prepared to allo\v any
schools to close. Well, in fact the schools in
York did close. The teachers, as we have said
—and we have been criticized for it, but we
beheve we are right— have the right to with-
draw their services or to strike under these
circumstances. Their objections to their nego-
tiations with the board have been made clear
on a regular basis in a number of specific
and well-prepared statements and in reports
in the press.
But the whole thing floundered because the
trustees were unwilling to accept the pupil-
teacher ratio as a significant arbitrable or
negotiable item.
MARCH 13, 1974
241
The minister through this bill has inter-
posed his judgement for the board's in this
regard. We are saying that he could have
done so in a different way. He could have
done so months ago with a clear and un-
equivocal statement of government policy in
tms regard. I would like to hear him eventu-
ally express his views as to whether he feels
he did that or not, but I simply draw to his
attention an interesting report in the Globe
and Mail this morning, wherein certain trus^
tees on the York board said they specifically
asked the minister whether in his opinion they
should accept this as a negotiable item and
that he refused to answer.
Now this is reported, and I think he should
make it clear as to whether or not his posi-
tion was 'known' by the board. Certainly, if
the board members were unaware of his
position, it is unforgivable and, in fact, it
means that the minister was personally re-
sponsible ' for this six-week delay and the
closing of the schools. That is a very serious
statement to make indeed but one which I
believe to be true. He should have taken all
of the measures available to him— and they
are almost unlimited— in his position of emin-
ence and power in this regard to indicate to
the trustees that this matter had to be nego-
tiable. Now, all of a sudden, the decision is
made by = the government that six weeks is
long enough and it comes out with this par-
ticular bill coercing the teachers and, in fact,
coercing the board. The teachers are required
to go back to work; the board is required to
negotiate: or, in this' case, arbitrate these
matters.:
We regret that the strike has been so pro-
longedr We believe that the length of the
strike was unnecessary if the government's
position had been made clear. We are not
prepared to support the position taken in the
bill with regard to compulsory arbitration and
well therefore vote against it in principle.
Mr. Sjpeaker: The member for Scarborough
West.
Mr. S. Lewis (Scarborough West): Mr.
Speaker, most of us, I suspect, have neither
stomach nor heart for this particular debate
and wish that it didn't have to happen at all.
I would wish to see it as one item in isola-
tion. I am assuming that the York county disi-
pute is a separate and distinct phenomenon
in the Province of Ontario, never to be re-
peated again and, hopefully, not ever to be
used as a reason to spawn further legislation
of a comparable kind. I think that while
people, vdll clearly remember this day, the
government may also regret this day because
I have yet to be persuaded that this kind of
legislation need ever have been brought be-
fore the House.
I want to comment on three areas, not at
great length— some of my colleagues will
elaborate on certain of those areas— and then
make a few final observations. The obvious
areas are those of the board, the teachers
and the government.
Let me start with the board, Mr. Speaker.
There are too many tender sensibilities about
the board in York county. There is too much
hesitation, too much inhibition, too much
constraint when dealing with the board in
York county. When a board is as dramatic a
throw-back to archaic and reactionary views
of education— as is the case in York county—
when a board, almost single-handedly, serves
to undermine the education system for 14,000
students and, by implication, jeopairdizes it
for a great many others, I think it is our
responsibility to deal with that board directly.
The attitudes the board displayed, the be-
haviour the board displayed, the devices the
board used were ultimately destructive and
there is no way of disowning that. There is
no way of concealing it or forgetting it or
scrapping it, simply by saying they are
elected representatives and have local auton-
omy.
If any government, if any opposition party,
if any group of elected politicians behaved
that irresponsibly, then they must be con-
fronted. I don't know that there is a more
shocking display of irresponsibility on the
part of any board in the province than has
been shown by York county. It has some
competitors. The minister will never admit
it— it's not the minister's |ob to admit it— but
I suspect that as the minister tramped around
Ontario dealing with the 15 outstanding dis-
putes in the mdntii of January, he ran into
one or two boards— the Windsor separate
board comes to my mind, Mr. Speaker— which
might have sent shivers down the spine of
any educational reformer and any man of
goodwill in the field of education. It is
wrong for a board to behave in this fashion.
And I think it is also wrong-most of us in
this caucus feel it is wrong— for it to have
been tolerated so long by the Minister of
Education. But more of that anon, Mr.
Speaker.
It made for the teachers in York county an
impossible situation, an absolutely impossible
situation. You have a group of teachers who
feel somewhat oppressed. You have a group
of teachers working within rules, regulations
and contractual arrangements, which none
of us in this room would tolerate for a mo-
242
ONTARIO LEGISLATURE
ment. And then you have the teachers ex-
pected to enter into negotiations with a
board which behaved in good faith in its
majority. Not all of its members, because
most of the votes for the last two or three
v\ eeks have been 12 to eight— there have been
eight members of that board fighting back—
l)ut the majority of the members of that board
frankly, Mr. Speaker, simply evoked fear and
anger and resentment and rigidity on the
part of the teachers with whom they were to
negotiate. And who can blame the teachers
for it? Who can blame them for it? It's as if
you took a time machine and hurtled the
York county board back some 50 years and
expected it to negotiate in the 1970s on that
basis.
Now, the most serious charge I can make
aboout that board, Mr. Speaker, and make
it quite willingly, because I believe one calls
them as one sees them in a situation like
this, is that they negotiated in bad faith from
the day negotiations began. From that in-
credible day when the board wasn't even
sure that it wanted to recognize the OSSTF
representatives in York county as the team,
the representatives who would bargain on
behalf of the larger group of teachers.
In January a document on voluntary arbi-
tration was drafted. That document refused
to include pupil-teacher ratio as a manda-
tory arbitrable clause. And so the document
went to the teachers and the teachers said,
"Well, maybe we'll accept voluntary arbitra-
tion but we think PTR should be mandatory.
And we want it in. And we want a number
of other items added to the schedule." And
at that point, because the minister still held
back, the board threw up its hands and said,
"To the devil with you We'll not include
that in the agreement," and the voluntary
arbitration fell through again on the eve of
Jan. 31.
And then you have, as the tension mounts,
as the pressure builds, as the public con-
sternation accelerates, a board that says to its
teachers that "on such and such a date we
will accept your resignations and will begin
to hire anew."
Now, you tell me, Mr. Speaker, how you
are supposed to negotiate in good faith with
a school board which says, "We are going to
turf you out of your jobs and replace you
with anyone we can get our hands on." And
a school board that knows the moment it
does that that the various teacher aflBliates
across the province will condemn it; that it
will in fact be blacklisted, pinklisted, or
whatever the precise word is— and that it is
immediately arousing the antagonism of the
teachers.
Mr. R. Cisbom (Hamilton East); A viola-
tion of the Labour Relations Act of Ontario.
Mr. Lewis: Yes, my friend from Hamilton
East points out that if you were under the
Ontario Labour Relations Act you could
never get away with that kind of behaviour,
because labour relations— except where York
county board is concerned— usually encom-
pass civilized behaviour.
And throughout the negotiating process,
Mr. Speaker, well known to the minister, the
board played cat and mouse with its in-
dividual members. Mr. Honsberger and his
right arm, the legal man, Mr. Winkler, did
most of the negotiating. There were con-
siderable periods of time when the other
trustees didn't know what the hell was going
on. During the period of the blackout, Mr.
Speaker, there were trustees on the York
county board who knew as littie about events
as did the teachers. And so within the board
there was bad faith bargaining. I mean, even
within the tiny structure of 20, things were
conducted in bad faith.
All of this the minister knew, because the
minister was having regular reports from Mr.
Mancini, the arbitrator. And behind the whole
dispute, in the background of it, seldom of—
why I don't understand, because when a
whole school system grinds to a halt and 14,-
000 kids are out and parents are up in arms,
then we level with each other. But behind
it air, looming like the spectre in the back-
ground, was the director of education, for
whom the teachers felt an anathema so pro-
found that it raised yet another barrier to the
possibility of settlement.
Ironically, the director of education was
over at OISE somewhere through diis dis-
pute. There is an acting director of educa-
tion in York, for whom the teachers have
much more gracious feelings. But none of that
was spoken of openly and frankly. Better to
let the controversy disintegrate than to speak
the truth. The teachers in York county put
up with more than teachers put up with al-
most anywhere else in the province.
A couple of colleagues and I were in York
county just the other night when they met
outside at Aurora. I am going to tell you
something about our voyage to York county
the other night in a moment, Mr. Speaker,
We were meeting with some of the teacher
leadership in Aurora the other night and they
showed us it is stupid of me not to have it—
the rules and regulations which govern the
MARCH 13, 1974
243
activities of teachers within the schools in
York county; and what they are required to
do by the administration in terms of extra-
curricular duties, in terms of special duties
for the students, in terms of following un-
questioningly and obediently the directive of
every principal.
The demands placed upon the teachers of
York county are preposterous; but very little
was said about that in the course of the dis-
pute.
So here, Mr. Speaker, you have a board
which bargains in bad faith throughout— the
greatest testament to that is the content of
this bill— bargains in bad faith throughout.
Nobody ever called their bluff; nobody ever
sees that as offensive; everything grinds down.
And we finally reach this extremity.
Well, I don't think that there is an excuse
for the Ministry of Education in such a situ-
ation. I don't think that the government has
the right to allow a board to work in such
bad faith and to trample on the rights of
teachers for so long.
All right then, what of the teachers? Well,
despite the provocation— and surely it was
greater than in any other single area in On-
tario—despite the provocation, despite the bad
faith bargaining, the teachers hung in there.
The\ kept on making their counter offers.
They kept on trying to reach a negotiated
settlement. They kept on reasonably and
thoughtfully and persuasively suggesting the
alternatives. They went to lengths that teach-
ers nowhere else have gone to.
When the board wouldn't accept the tra-
ditional definition of PTR, the teachers of
York county at the OSSTF level, offered three
separate alternative definitions. As a matter of
fact, the various alternatives are in the memo-
randiun which the Minister of Education has
had included in his schedule of issues, March
7, 1974, to be submitted to voluntary arbi-
tration at the time.
The teachers even submitted proposals
about which they themselVes had qualms in
order to get PTR and class size negotiated.
Now, the duplicity of the board knows no
limits. When I picked up the Globe and Mail
this morning I noticed a half-page advertise-
ment from the York County Board of Educa-
tion listing the things which allegedly they
had off'ered and to which the teachers did not
respond.
I will tell you, Mr. Speaker— and I think
as the minister knows— there is an awful lot
in that half-page, as judged by this legisla-
tion, the truth of which one can question.
I would like to know who pays for half-
page ads in the Globe and Mail put out by
the York County Board of Education to
argue their case against the teachers on the
same day that the government is settling
the dispute. I have a very strong suspicion
that the public pays for the advertisements
which one side chooses to take to misrepre-
sent the situation. There is something about
the way in which the York county board has
handled this whole affair which is profoundly
offensive in every sense.
Every day during the dispute the teachers
collected in their centres. I think the minister
was mentioning this to me just the other day
that the teachers, quite amazingly, got to-
gether day after day in the legion halls, or
wherever it was that they were gathering, in
Richmond Hill and Aurora, and sat and had
what would amount to professional develop-
ment days almost every day.
Some of them met vdth students and pro-
vided special support. Some of them invested
themselves in some special kind of educa-
tional opportunities if kids needed it, but
they took seriously their roles as educators
and they just didn t run off. They were there
and accountable every day of the strike,
every day the schools were closed.
They showed a much greater loyalty to
the students and to ending the dispute than
did the board. But they were so locked into
the adversary system, they were in such a
straitjacket that it was such an impossible
business; this intractable board which took
an absolute delight in perversity and a group
of teachers who in some ways were kind of
bewildered about why it was that they
coiJdn't reach an agreement.
The sum total effect of that is an abso-
lutely natural, normal, human consequence.
You get bitter. You get frustrated. You have
suspicion. You don't know whom you can
trust any more. So when the opportunity
comes along for a settlement of a kind thats
something less than compulsory arbitration,
you are not sure you can take it.
The minister made such an offer. I think
the minister knows that some of us in this
party acknowledge the role he played in the
month of January, tirelessly, vigorously try-
ing to settle the outstanding disputes. I am
more than happy to acknowledge the honour-
able contents of the document which he sub-
mitted to board and teachers for the purpose
of voluntary arbitration last Friday and
again on Sunday.
The document had an Achilles heel. The
Achilles heel of the document is that in
244
ONTARIO LEGISLATURE
section 11, there is the use of the word
"may" rather than "shall," which means that
it could be construed to read that a board of
arbitration appointed may negotiate teacher-
pupil ratio rather than shall award on teach-
er-pupil ratio. I think the Minister of Educa-
tion, as evidenced by his subsequent act,
obviously meant it to be mandatory, but the
document didn't say so. It confirmed in the
minds of the teachers again a kind of sus-
picion that they have about the way the
whole relationship was being handled. Un-
fortunately, the document, honourable in it-
self, was accompanied by an ultimatum, the
time limit ultimatum of 9 o'clock on Monday
night. That again forces on men and women
of goodwill the kind of irritation and frus-
tration which is not conducive to an imme-
diate settlement.
Mr. Speaker, I want to tell you, sir, that
the NDP does not oppose voluntary arbitra-
tion like some Pavlovian reflex. We don't
like it. Voluntary arbitration only comes into
play when everything else has broken down;
so what it implies is unhappy. But voluntary
arbitration is, after all, the free choice by the
parties to a binding agreement. If free choice
operates, then presumably it should be one
of the roots at the end of the collective
bargaining process. Mr. Speaker, in that vein,
with that in mind and knowing of the min-
ister's offer, last night— I guess it was last
night— my colleague from Port Arthur, the
education critic for this party, and my col-
league from Riverdale (Mr. Renwick) and I
went up north, or went up to Aurora. I call
it north because I used to live in Newmarket.
Was it Monday night?
Mr. J. F. Foulds (Port Arthur): Monday
night.
Mr. Lewis: That's right. We went up to
Aurora and we attended the demonstration,
which was kind of touching in its solidarity
but a little touching, too, in what it pre-
saged, because 1,100 or 1,200 people gath-
ered in a little knot on a dark night in an
empty field beside the Aurora Civic Centre
don't give one the sense of a crusade. It does
give one a sense of isolation.
Mr. T. P. Reid (Rainy River): I am sure
the member rose to it.
Mr. Lewis: No, as a matter of fact I was
very subdued by the occasion. I didn't con-
sider it a mob.
Mr. Reid: That's not what I heard; the
Ku Klux Klan!
Mr. W. Hodgson (York North): Is the
member sure when he said it was the empty
field beside the Civic Centre?
An hon. member: Is he sure he was in
Aurora?
Mr. Lewis: Yes, I was in Aurora. It was,
in fact-
Mr. Foulds: Is the member for York North
sure he is here?
Interjections by hon. members.
Mr. Lewis: By an empty field I mean the
plot of ground beside the parking lot. All
right?
Mr. D. C. MacDonald (York Soufli): I
know one place the member for York North
was not, when some of us were there.
Mr. Lewis: I was going to say something
nice about him later on, but not now.
Mr. Speaker, after that was over, my col-
leagues and I journeyed back to Ric'Kmond
Hill with the teachers. I don't think it's an)'
particular secret that we stayed with the
OSSTF negotiators from 10 o'clock until
about 1 in the morning and we argued very
strongly that a document to voluntary arbitra-
tion be agreed to. In fact, I don't think the
word plead is too strong.
We put to them as strongly as we could
that in terms of the York county dispute and
in terms of the future collective bargaining
arrangements for teachers it made very real
sense for them to attempt to find a basis in
voluntary arbitration which they could sign
and with which they coujd agree and pre-
vent the axe from falling yesterday after-
noon.
We knew, both in advance and after,, that
the Minister of Education would probably be
flexible in that regard— he had demonstrated
that before— and that if the teachers could
come back with a specific number of items
added to the schedule, and with pupil-teacher
ratio absolutely ironclad, there might be the
basis for a voluntary agreement.
As it happens, there was a difference of
opinion. We were not as persuasive as we
would have wished and the teachers that
night and the next morning, meeting together,
decided on the basis of all they had known,
even on the basis of the next morning, I think
yesterday morning, of personal representa-
tion from the Minister of Education at the
11th hour, even on that basis, that there
were simply no grounds for trust. There had
V- MARCH 13, 1974
245
been such a disintegration of trust that it
was not possible to puU it together.
I must admit, Mr. Speaker, that it was
probably easy for us, a group of three inter-
lopers looking at it from outside, to come in
and make that kind of recommendation or
plea to the teachers. If we had been deeply
involved ourselves, I suspect we would have
had the same kind of perceptions of the
whole situation.
Their perceptions were based on the man-
handling of the board. Their perceptions were
based on Bill 274. Their perceptions were
based on the amount of public criticism.
Their perceptions did not allow them to be-
lieve that the document could be honourable
and that they would serve the interests of
their members by signing it. After all, their
members had turned down voluntary arbi-
tration by overwhelming votes on at least
three occasions.
I must say, Mr. Speaker, that I wish it
had been possible to achieve it that way
rather than this way. I think that the com-
piilsor)' arbitration component of this bill will
do ver\' great damage in the long term. It
may even do damage in the short term. I
don't know how to measure the feelings of
the teachers once they have returned to
school.
At that point in time the onus wasn't really
on anyone other than the minister and the
government, whatever interventions came in
from any third party. And the minister and
the government failed.
I don't know why they failed all the way
down the line. I suspect it's mostly the strait-
jacket of Progressive Conservative philosophy.
I don't think the government was behaving
Machiavellianly. I don't think it was, at that
point in time, trying to manipulate; although
I'm not as sure about the bill now. I simply
know that its social philosophy did not per-
mit it to do all the things it should have
done from day one which would have ended
the dispute early.
Let me tell members where the Minister of
Education and the government might have
intervened. No. 1, when he saw the board
was bargaining in bad faith, he should have
brought his foot down— and I would say that
for either party.
One of the most perplexing and frustrating
things about labour relations in this province,
relationships on a collective bargaining basis
between any group or groups, is that when
this government has clear evidence of bad
faith it refuses to do anything about it. We
have laws which require good faith bargain-
ing > but (evidence of bad faith means not a
tinker's damn to anyone.
And so, despite the chronicled evidence
of bad faith, one week after another, even
before the crisis began on the part of the
board, no one said anything. Even though,
in his heart, the Minister of Education har-
boured profound suspicion about what the
board was doing— probably there were times
when he was irritated with the teachers—
at no point did he say, when it was clearly
beyond the pale:
"Look, you beggars, that's bad faith bar-
gaining. The public can't be held up for
ransom by your display of bad faith. The
kids are being manipulated by the board in
this process. You get back to that bargaining
table and you make a good faith offer. I,
the Minister of Education, direct it."
Someone has to use that kind of authority.
Somewhere the people of the province have
to feel that good faith bargaining makes
sense.
So, whether it was the question of who
constituted the bargaining unit, or whether it
was when they were going to accept their
resignations, or back in January when they
refused to have pupil-teacher ratio included
as a mandatory award clause of the volun-
tary arbitration agreement, any one of those
occasions, Mr. Speaker, would have been
suflBcient for the minister to say to the board:
"I can stand this no longer. I'm going to
tell the public what is real. You're simply
not taking this in good faith."
But at no time did he do it. He watched
the dispute gradually disintegrate before his
eyes and he refused to intervene.
Let me tell the minister a second time: On
Jan. 30, he had a memorandum from Terry
Mancini, conciliation officer from the On-
tario Labour Relations Board, telling him in
no imcertain terms that pupil-teacher ratio
was at issue. A document was drawn up.
The board refused to include pupil-teacher
ratio as an issue for award. The minister's
refusal to intervene publicly at that point
meant that the dispute would continue to
March 13 rather than end in the middle of
February. Because if he had made Mancini's
report public, or if he had said to the
board: "Look,"— but without any declaration
on his part; without the kind of command,
the kind of directive that indicates to the
world— "this is unacceptable to me as Minis-
ter of Education."
We have to realize what happened here.
On Jan. 31, or Feb. 1, whenever it was,
the schools closed in York county because
246
ONTARIO LEGISLATURE
the Minister of Education refused to come
to grips with what he had been told by
his own mediator.
Now, had he done that, he could have
wrapped up those negotiations in two weeks.
He has been close enough to it. So have
some of us. We know that if the pupil-
teacher ratio had been accepted as ar-
bitrable everything else would have fallen
into place in one night. Everybody under-
stood that. And here, he has it in writing
on Jan. 30 and he let it go to March 13.
It may have been laudable then, in some
misguided view of the sacrosanct nature of
bargaining that allows a strike to go on
forever without the responsible minister say-
ing anything; but it's not admirable now,
not at this end of the trail.
The other thing, of course, that flows from
the Terry Mancini episode, is something
that's terribly important for the future, I
suggest to the minister. Terry Mancini is an
excellent chap with a lot of knowledge, and
a lot of training, and he worked round the
clock to setde that dispute. But you see,
it's an educational dispute. It's not a tradi-
tional labour dispute and there's no way
that a labour mediator, schooled in all the
rituals of labour-management exchanges, the
tribal rights that exist across a bargaining
table in classic labour-management con-
frontation, there's no way tiiat such a
mediator is going to win the confidence of
both parties. I don't care whether it's Terry
Mancini, Vic Scott or Bill Dickie. Compulsory
arbitration or arbitration of a traditional
kind in an educational model just won't work
because we are dealing with things that are
so unirsual and so sensitive; pupil-teacher
ratio, class size. These aren't the conditions
that we talk about when we talk about Stelco,
about Inco or about a small secondary
manufacturing plant. These are things beyond
the realm of normal labour relations.
If the minister is going to bring in a
bill several months or a. few weeks hence,
advising compulsory arbitration at the end
of it, which bill will be passed through
the Legislature and used countless times
over in the next year or two, he had better
find a group of people who can handle
mediation in the field of education, because
it is completely different. It is like nothing
else.
That is why compulsory arbitration makes
no blessed sense for the educational model.
It is not the traditional kind of labour dis-
pute. Compulsory arbitration makes no sense
anywhere, but certainly not here. And one
of the failures was the minister's willingness
to impose the old model on something for
which it was totally unappropriate.
I guess the straw that broke the camel's
back in terms of our view of the ministry
was when the board said it would accept
the resignations of the teachers and hire
afresh, and no one over there said anything.
For sheer belligerent provocation, nothing
could have been worse. But no one said
anything from the ministry side.
No one said to the board: "Okay, you
have overstepped the bounds so unconscion-
ably that I, the Minister of Labour, am
moving in and taking over negotiations." I
think the House perhaps would have given
the minister almost unanimous consent to
do that. I don't know about trusteeship. That
seems to me to be a litde far-fetched in
terms of taking over the whole board on a
permanent basis and running York county.
II must say the idea of final offer selection,
coming in after the strike was already on,
was something that neither party could even
conceive of. And the suggestion of voluntary
arbitration while negotiations were still go-
ing on in a semi-serious way caused them to
grind to a halt, because that is the immediate
response of the parties. Somebody suggests
arbitration and everybody stands still for a
day or two. But had the Minister of Educa-
tion got to his feet and said: 'T will take over
negotiations. Enough is enough. I believe in
the bargaining of PTR. The salary grid is
clearly negotiable. There aren't so many items
outstanding. I will show you that the col-
lective bargaining can work." And then he
could have settled it.
I suppose the old "intrusion on local
autonomy" is the argument that will be
made, but I am not sure that is so bad. I
am not sure that is as bad as this. Because
what has the minister done? He has got an-
other confrontation on his hands. He. has got
deteriorated relatior^hips between board and
teachers which will take years to repair. He
has got compulsory arbitration which almost
no one wants, other than the Conservative
Party. He has the worst of all worlds, and
for no reasons that anyone can see, for no
reasons that are plausible. Surely it would
have been possible for the minister to liave
made his intervention at some earlier time
when it might have saved it all.
The Province of Saskatchewan also has col-
lective bargaining legislation' for the teachers.
The minister knows it fairly well. It allows
all kind of routes. It allows mediation. It
allows conciliation. It allows voluntary
arbitration that is binding and voluntary-
arbitration that isn't binding. It allows,
MARCH 13, 1974
247
although it has not been used, the right to
strike. It allows every conceivable avenue to
be explored. And that means it is good faith
bargaining. But none of that was forthcoming
from the Province of Ontario. All that is
forthcoming from the Province of Ontario is
the guillotin© at the end of the road.
Well, Mr. Speaker, the minister is hard-
working, and he has invested an enormous
amount of time, emotion and intelligence in
this series of disputes. But so help me, as I
stand here, Mr. Speaker, this strike in York
county was the government's responsibility.
They could have ended it within two weeks.
They chose not to take the initiative. They
chose to allow it to be prolonged. They chose
bad faith bargaining to be the central reality
of that dispute. Therefore, although the minis-
ter will be commended on March 13 for his
sudden initiative after X weeks, he won't be
commended when people look back— because
when people look back, the d^elinquency is all
too obvious.
Sure, the clauses in this bill aren't as bad
as the clauses in Bill 274; we wouldn't be
able to oppose them with the same remorse-
less feeling. We are not going to oppose the
mandatory award on PTR. We are) not mad.
We understand there are some contents of the
bill which, if one has to have this kind of
objectional stuff, are at least acceptable in
their own perverse way, even to the teachers.
But the compulsory part of it; boy, the
minister will never get us to accept that.
That's the government's view of the negotiat-
ing process. I hope the parties setde in' the
next 48 hours. Politically, the minister has
won his spurs. Politically I know he ieeh he
can't lose. The Minister of Education on a
stallion, you know, rides through the corridors
of Queen's Park saving the studfents of York
county.; , >
M*/R. D. Kennedy (Peel South): Sti^aking.
Mr. Rh F. Nixon: That was Lady Godiva.
Mr. Lewis: And I suppose that if they do
accept a negotiated settlement of some kind
in the next 48 hours, it will be the Minist^
of Education— hanging the sword of Damo-
cles high over teachers and trustees— who
wrested the settlement from the jaws of do-
feat; and all the rest of the garbage.
iThe fact of the matter is that it didn't have
to happen. It never had to happen at all. The
minister deserves no great commendation or
plaudits.
I tell you what else I hope, Mr. Speaker. I
hope and my colleagues hope— I've discussed
it with thehi— that if the bill does go through
that the teachers accept the terms of the bill
and return to the schools. Laws can be pro-
foundly objectionable in this province, and
this would be one of the worst. But for
everyone concerned, even if the law is an
ass, it exists; and teachers should observe it
and therefore the schools function again. And
I suspect that many people would agree that
that should be the case.
But I can't help but regret the wa) this
whole thing has occurred— accidental at the
beginning, orchestrated at the end— ultimately
destructive of the educational system; caus-
ing fear and anxiety and resentment amongst
the teachers, uncertainty amongst the stu-
dents, belligerence from the boards and be-
wilderment from the public.
And none of it need have happened. If any
of the members over there understood a
thing about the way in which the collective
bargaining process can work when positively
supported, it need not have happened.
So we not only oppose the bill in principle,
because compulsion is so abhorrent, but we
oppose it because it shoiJdn't even be here;
because the kids could have been back in
York county on Feb. 15. The government
could have been bringing in Bill 275, with all
of the avenues available as in the Province of
Saskatchewan— including the right to strike-
removing forever from the field of education
the idea of compulsion. Education is more
about freedom than it is about authority; and
this government is fixated on authority.
Mr. Speaker: The hon. member for York
Centre.
Mr. D. M. Deacon (York Centre) i Yes, Mr.
Speaker, in reading the title of this bill: "An
Act respecting a Certain Dispute between
York County Board of Education and cer-
tain of its Teachers," I think of the dispute
as not one that has just arisen in the last few
weeks or even months. It really started back
in 1968, Mr. Speaker.
I remember well as one of my early re-
sponsibilities as a member for York Centre,
arranging a meeting between trustees in the
York Central District High School district
and other trustees in the lower part of the
county. They wanted to meet with the Min-
ister of Education— who is now Premier (Mr.
Davis)— with a view to not having as large
a board run the affairs in the southern part
of York as was proposed in the legislation at
that time.
In their view they felt that the setting up
of a large board would lead to major prob-
lems in communication between teachers and
248
ONTARIO LEGISLATURE
trustees. How their forecast has been borne
out, not only in York but in other counties
of this province. Due to this large educational
bureaucracy that the Premier imposed across
the province— bureaucracy at all costs; big
buildings, big boards, big spending— we have
a breakdown between the most important ele-
ment in our whole education system, the
teacher, and those who employ the teachers.
I well remember back in 1971 there being
an item that showed what was happening in
York because of this big bureaucracy that was
set up by this provincial government and
imposed on York. The item said the direc-
tor was reminding the trustees they must not
visit the schools without an arrangement
through the administration, and that policy
development was their only responsibility and
they developed policy on the basis of infor-
mation they got from the administration.
I then wondered, as I wrote to the director
as to what he meant by that, if indeed they
did have to depend upon the reports from
the administration as to policy decision. That
would be, in my mind, a breach of responsi-
bility on the part of anyone expected to
direct and bear responsibility for policy, were
he not free, and in fact if he did not take
advantage of all opportunities to get infor-
mation from all sources on which he could
base decisions that would make sense for the
benefit of the students in the educational sys-
tem he was responsible for administering, or
running, or making sure it provided educa-
tion.
During the winter of 1973, I had a meeting
for some time with the director of education
one night in the home of the subsequent
chairman of the negotiating committee. We
had a meeting for several hours discussing
what I feared was the building-up of a very
serious rift, a complete breakdown in the re-
lationship between the teachers and the
board. The rumblings that I heard across the
county disturbed me greatly. I was told that
it was only a few radicals. I didn't feel it
could be, because many of those who were
speaking to me were people who had taught
my own youngsters and whom I knew to be
very good teachers, not to be radicals.
But these people had been feeling the
heavy hand of direction for some time. There
was fear taking over; taking over from a
feeling of confidence and mutual responsi-
bility and satisfaction out of working to-
gether to provide education. It was a typical
example of what happens when big admin-
istration is imposed to run something that
runs far better when there is a much closer
relationship between those who have the job
of teaching and those who are going to be
learning and receiving the benefit of the
teaching.
This is what has happened; not because of
a specific or a special situation in York, it's
because of a plan that this government thrust
upon the people of Ontario years ago.
And then ceilings had to be imposed. They
were the last straw— ceilings that imposed
restrictions on spending, which we all know
are necessary; but not restrictions that were
based upon the common sense, the knowl-
edge, the sense of responsibility that local-
ly elected people had. No, they were ceilings
imposed by this government, making its own
decisions— arbitrary decisions— in making these
restrictions eflFective right across the province.
I was therefore not surprised, but I was
disappointed when in November I learned
that York was among the counties where
there had not been a settlement of the con-
tracts. I was certainly disappointed that it
was among those listed in Bill 274, a bill
which was, of course, one of the most atro-
cious pieces of legislation ever brought before
this House.
But I stated at the time of the debate of
Bill 274 that I did not want my own family
attending school where we had broken the
terms of contract of a teacher, where we had
removed a right that he or she had had at
the time he signed the contract, and where
we were imposing our authority imder con-
ditions that did not give that teacher a feel-
ing that he or she was going to be dealt with
fairly.
On Jan. 25, near the end of the time of
the deadline for those resignations, a public
school principal came up to me in a meeting
and said: '"What's going to be done in York?"
I said: "Aren't they going to settle like
everybody else?"
He said: "No way. And the public sdiools
are next."
It was because of that that a Httle while
later, when the schools were out and some
of us were struggling to find a way of bring-
ing them back together, I worked out with a
few teachers and a couple of trustees I talked
to the idea of a form of arbitration using the
final oflFer selection principle. The teachers,
however, were unwilling. They had no con-
fidence, they said, in the board to go into
any sort of voluntary arbitration. It was one
thing that just wasn't successful.
Those of us that have some responsibility
in elected office in that area continued to try
MARCH 13, 1974
249
to find a solution. I was interested a week
ago Sunday when it was reported to me that
the chairman of the negotiating team for the
trustees had suggested to the minister that the
minister set up a trusteeship. But the minister
apparently stated he had no power under the
present legislation, although I understand that
section 12 of the Ministry of Education Act
has indeed been used for setting up a trustee-
ship in a northern district board of education
which got itself into financial diflSculties.
There is nothing in section 12(1), which
was used I understand in that instance, which
refers to financial diflficulties. It just refers to
the fact that:
Subject to the provisions of any statute
in that behalf and to the approval of the
Lieutenant Governor in Council, the min-
ister may make regulations with respect to
schools or classes established under [the
various Acts listed] and with respect to all
other schools supported in whole or in part
by public money:
1. For the establishment, organization,
administration and government thereof.
That's a broad clause, but it has been used
before, I understand. Therefore, if it has been
used before for financial reasons, surely it
could be used where the students have been
denied, for many weeks, an opportunity to
receive the education that they are obligated
to take.
This Avould have been a fine approach for
the minister to take, because it would have
been asking the trustees to step aside at a
time when the future of the students was at
stake, enabling the minister to deal directly
with the teachers or the provincial Ministry
of Education dealing directly with the provin-
cial Secondary schodl teachers. It would have
given an opportunity to resolve a. province-
wide issue on. pupil-teacher ratios and on
I othel" matters which werie in dispute, and
- indeed an opportunity for the whole merits
of the case, in York county in particular, to
be settled later on in the ballot box.
In two days, over the weekend, 7,309
people indicated this was the course tliey
wanted to take. Subsequent to that, I have
received several thousand more signed aflB-
davits supporting this trusteeship approach to
get the students back in the school and to
,, allow the pubhc to settle what approach they
f want the trustees to take in the future in
administering the educational system in York
county.
Unfortunately, as has been stated, the bill
that has been placed before us, although it
is a way of getting the schools back into
operation, will not remove the basic prob-
lems of personalities that are still in conflict
here.
We will not have settled the problem com-
ing up in the next few months when the
public school teachers can resign. We do
not want to have a continuation in York
of this feeling on the part of many trustees
that they are the last bastion of protection
in the province against an over-powerful
teacher federation. If they are right, let the
electors say they are right; and if they are
wrong, let that be stated also; but at least
it would enable those of us in York to have
the matter settled in the fairest court, that
of the ballot box.
Trusteeship would resolve this. The min-
ister's delay in dealing with these matters
unfortunately has caused a serious further
deterioration in relations over that which
occurred over the last few years, and I
am sorry that in this bill the minister has
resorted to what I would feel would have
to be the very, very last resort, compulsory
arbitration, in order to get these schools
back into operation.
Teaching is not a matter of putting an
individual in front of a classroom; it is also
a matter of having that individual wanting to
provide the service because that individual
is convinced he has a duty to do, he has
been given fair recognition for the responsi-
bilities he is carrying out and is therefore
enthusiastically helping our youngsters pre-
pare themselves for the life they have ahead
of them. '.
I certainly am sorry that the minister
has chosen this route and, as rrty leader
has indicated, we are tiot goiiig to be dfelay-
ing the legislation plaqed before iis but
we are going to be opposing it in principle.
Mr. Speaker: The hon; member for , York
South. ' .
Mr. MacDonald: Mr. Speaker, I have no
particular desire this afternoon to get into
an . argument with my friend from York
Centre or the Liberal Party, because quite
frankly my main thrust wants to be over on
that side of the House, but I just want to
say as unprovocatively as I can that the
effort to drag into consideration of the York
county dispute all of the current philosophy
of the Liberal Party with regard to big
units of administration and what it does to
destroy relationships between that adminis-
tration and the people that it is seeking
to serve, I think in this instance is irrelevant.
250
ONTARIO LEGISLATURE
Mr. Deacon: I realize the member is in
support of big units.
Mr. MacDonald: Could I make my case
as unprovocatively as possible? The mem-
ber obviously hasn't heard it yet. He just
wants to defend the indefensible.
My point is simply this, whether the
administration were big or small, if it were
an administration as mindless as the trustees
in York, and as perverse— and I take this as
second hand— as perverse as the attitude
of the director of education up there, I don't
care whether it were big or small, you are
going to have problems. Therefore I think
the basic argument, which I leave the mem-
ber to pursue in his own good time, was
irrelevant in this case. I listened to it being
presented up in Richmond Hill two or three
weeks ago, and indeed out at York Mills
Rd. Secondary School and the few other
places where the hon. member from York
Centre and I found ourselves in the same
circuit in the last six weeks; but it didn't
convince me then and it doesn't convince
me now.
Mr. Deacon: No, the member liked those
big boards.
Mr. MacDonald: No. Look, the member
for York Centre likes them when it serves
his purpose, and his purpose now is to
deplore them. It is irrelevant. That is the
point I am making.
While I am dealing with this business of
the initiative of the Liberal Party, personi-
fied in the hon. member for York Centre with
regard to the whole dispute up there, let me
repeat to the House what I said to a group
of teachers on a platform with the hon.
member for York Centre two weeks ago
this Thursday at Richmond Hill, with regard
to that specific proposal of the final oflFer
selection that the hon. member felt was go-
ing to solve the problem up there.
I said then and I say it now, I don't know
what my attitude is, quite frankly, toward the
final offer selection. Society is looking for
some kind of an alternative to strikes, which
have seemed up until now to be the only
means to settle disputes when an impasse has
been created between both sides of the bar-
gaining table, and whether or not final offer
selection vdll ultimately be an effective kind
of answer I just don't know. As the hon.
member for York Centre pointed out, it
originally was the brainchild of a couple of
NDPers, Jim Norton and Val Scott. It cer-
tainly hasn't been accepted with any degree
of enthusiasm in the trade union movement
or anywhere else.
Mr. J. E. BuIIbrook (Samia): The member
says final offer selection is the brainchild of
Val Scott?
Mr. MacDonald: Yes.
Mr. BuIIbrook: Unbelievable!
Mr. Lewis: No, that isn't true, it was he
who devised it.
Mr. MacDonald: Once again, the Liberal
Party has picked up something that was
created by the New Democratic Party, but
we are having difficulty on whether or not
we want to accept it.
Interjections by hon. members.
Mr. Lewis: No, it was not. That's what
the Liberals did with it because it is Val
Scott's creation. That's why I know it's
wrong.
Mr. MacDonald: That's why we are taking
a careful second look at it.
Mr. BuIIbrook: The member talks about
irrelevancy. He accuses my colleague of ir-
relevancy.
Interjections by hon. members.
Mr. MacDonald: Mr. Speaker, my train of
thought in dealing with this whole issue has
been seriously fouled up, but I have got to
digress to deal with the hon. member for
Sarnia because if the hon. member for Samia
doesn't know that the proposal being put
forward by his deputy leader for the last
month-
Mr. BuIIbrook: Was invented by Val Scott?
Mr. MacDonald: It was not only invented
by Val Scott but was credited to Val Scott
by the member's hon. colleague when he first
presented it.
Mr. BuIIbrook: He didn't know it either
then. The two of them are ignorant.
Mr. Lewis: No, the member is wrong. He
doesn't know what a nightmare Val Scott is.
Mr. R. G. Hodgson (Victoria-Haliburton):
Val Scott stole it from Eugene, Ore., USA.
Mr. Bounsall: He calls his fellow members
ignorant.
Interjections by hon. members.
Mr. Bounsall: Say something about final
offer arbitration. Get into the debate.
MARCH 13, 1974
251
Mr. MacDonald: What I wanted to say, so
that I can conclude this portion of my re-
marks with regard to the initiative taken by
the hon. member for York Centre in peddling
the ideas of Val Scott, to the current shock
to the hon. member for Sarnia—
Mr. Deacon: I don't know where I get
good ideas.
Mr. MacDonald: Good ideas? What's
wrong with the member? I want to say this;
What my ultimate assessment of this pro-
posal will be I honestly don't know, but what
I do know and what I said to the teachers
up there is that I object to the proposition
of switching the rules in the middle of the
game. This is what the hon. member for
York Centre was attempting to do— to come
up with this kind of a proposal after the
teachers had got locked into a situation with
their board and after their confidence in their
relationship with that board had been so
completely destroyed. Therefore, what in
effect he was proposing— and I almost believe
he didn't realize it himself— was that having
opposed compulsory arbitration here in the
House on Bill 274 and having professed to
be opposed to compulsory arbitration almost
irrevocably, he was trying to smuggle it in
the back door— after having professed to be
opposed to it at the front door. That's what
the final offer of selection was going to be
under these circumstances.
Mr. A. Carruthers (Durham): That's right;
that's right.
Interjections by hon. members.
Mr. Lewis: The members for Wentworth
(Mr. Deans) and York North were arguing
for free collective bargaining and the Liberals
were arguing for arbitration. How do the
members like that? The Liberal Party, flying
its colours again.
Interjections by hon. members.
Mr. MacDonald: Mr. Speaker, I give you
my word of honour, from this point forward
I am not going to say another word about
the Liberal Party and its role during this
debate this afternoon.
Mr. Bullbrook: He won't mention Val
Scott either.
Mr. V. M. Singer (Downsview): We have
always spoken well of the member for York
South.
Mr. W. Ferrier (Cochrane South): The
member for Downsview is off on another
tangent there.
Mr. MacDonald: Mr. Speaker, my detailed
knowledge and my exposure to this whole
confrontation in the county of York was
pretty well restricted to one day. Quite
frankly, it was one of the most memorable
days I have had in some 20 years of Ontario
politics. I had to go up and share a plat-
form with a representative from each of the
other parties, one of whom was absent as he
is absent again this afternoon— namely the
hon. member for York North because he
didn't think the cause of the Conservative
Party at that point was defensible in that
particular atmosphere
Mr. F. Laughren (Nickel Belt): He's just
gone out for a phone call did the member
say?
An hon. member: Yes.
Mr. J. E. Stokes (Thunder Bay): How can
he be in the phone booth and the wash-
room at the same time?
Mr. Laughren: With a glass in his hand?
Mr. Speaker: The hon. member for York
Centre has the floor.
Mr. MacDonald: Like "heck-ell" he has!
If one can get a combination of heck and
hell together, that's what one gets from what
I said.
Yes; York South, Mr. Speaker!
I attended a meeting with some 300 of
the teachers who were engaged in one of
their afternoon or full-length day sessions
considering the whole problem that had been
created by this withdrawal of their services.
It was, I repeat, a very memorable kind
of afternoon and I wfll tell members the
thing that came through to anybody who
became aware of the detafls in that argu-
ment and of the atmosphere that had been
created: It was that the system in the
county of York had completely broken down.
An impasse had been reached. The relation-
ships between teachers and board of educa-
tion had deteriorated to a point where one
almost wonders when they can be restored
again. The relationships between the
teachers and the director of education could
hardly be described in words that would be
parliamentary. This was the message that
came through
Therefore, one didn't need to view the
situation very long to realize that at some
252
ONTARIO LEGISLATURE
early date there was going to be need for
intervention from the outside, because the
parties themselves weren't going to be able
to resolve the situation.
There was an absolute refusal on the
part of the board to consider pupil-teacher
ratio, although everywhere else it has gen-
erally been accepted as a legitimate item
for negotiation and for arbitration. And the
thing that puzzles me about the minister's
posture on this particular issue now is that
he so long refused to intervene and to insist
that this was a legitimate topic; and by his
refusal to intervene he prolonged the strike.
He personally or his ministry was respon-
sible for prolonging the strike. And he has
now conceded frankly to the world that he
is wrong, because he has brought in a
bill in which he flatly asserts and states
that this is a topic that is negotiable and
can be subject to arbitration.
Mr. Carruthers: He said so some time ago.
Mr. MacDonald: Well, if he said so some
time ago, he should have said so in a way
that nobody else would have had any doubt
about it. Indeed, the one party in the dis-
pute that was road-blocking any possibility
of a resolution of it, should have been told
that it was a negotiable item. But the minis-
ter didn't say it. Therefore, as has been
pointed out in this debate, the minister in a
very real sense, despite all his noble and
hard-working efforts otherwise, was respon-
sible for the prolongation of this strike situa-
tion, if not for its initial breakdown.
There is another point that came through,
Mr. Speaker, from a very cursory exposure
to. the facts of the situation up in York. It is
that — and as I attended many other meet-
ings it was often repeated — it wa$ that
about 70 per cent of the budget in most
boards of education goies for teachers' salaries.
NoW, when people hear that at first they're
a little bit taken aback. That bolsters the
public image that some people spend so"
much time attempting to build these days,
that teachers are the real problem in terms
of high edtication costs. But about 70 per
cent of the costs in hospitals goes for salaries.
It goes to the people who are providing the
service. And teachers are a very important
element in the schoolroom, providing the
education for the children. The teachers and
the working conditions — that is education.
The pupil-teacher ratio, as was pointed
out by my colleague who is the educational
spokesman for this party, the whole pupil-
teacher ratio may be construed by the pub-
lic as the working conditions of the teacher;
but the working conditions of the teacher
are the learning conditions of the pupil. They
are one and the same thing.
Mr. Lewis: Well said!
Mr. MacDonald: Therefore, the\- are a
very relevant part; and there's no surprise
that they are 70 per cent of the budget. But
what startled me, Mr. Speaker, was that I
discovered in the county of York, that teach-
ers' salaries comprised approximately 57 per
cent of the budget.
Mr. Deacon: Oh, get your figures right!
Mr. W. Hodgson: Yes, the member is a
little low,
Mr. Deacon: Everybody's all over the
place in those ratios.
Mr. MacDonald: Well, all I'm saving is
that I have heard a lot of arguments as to
what is the accurate percentage—
'Mr. Deacon: Well, the member should
state what his sources are or what amount
he is talking about, because the ratios range
all over the place.
Hon. T. L. Wells (Minister of Ediucation)i
Sounds too low.
Mr. MacDonald: Okay.
Mr. Stokes: Has the member for York
Centre concluded his speech?
Mr. MacDonald: Let me not get into an
argument on this, Mr. Speaker. I will agree
with my friend that there has been a lot of
ai'gument as to what is the appropriate
figure. Various people come up with various
yardsticks. It has been stated that the
teacher proportion of the budget is as low
as 57 per cent. TTiere are others wfro argue
it is higher.
Let me try to get out of an argumient on
statistics. The teacher salary proportion of
the budget is lower in the York county board
than it is in virtually any other board —
certainly it is away below the average for
all of the Province of Ontario. Let's get it
under that generalization. Therefore, all I'm
saying is that the government has another
reason, though as my leader has pointed out
salaries weren't really the thing that brought
this to the impasse, they weren't really the
thing. But salaries, in the first instance, were
one of the irritants that created that sense
of grievance in the teachers vis-a-vis the
board.
MARCH 13, 1974
253
I went down' with my hon. friend the
member for Beaches-Woodbine (Mr. Wardle)
and shared with him a meeting of the
teachers on Main St. in the east end of
Toronto. I was rather fascinated to hear
teachers in Toronto getting up and asking
him questions as to why it was, for example,
in York county that teachers with essentially
the same jobs were getting $l,000-plus less
than they were getting in the city of Toronto.
This was generally a factor, and this
created something of a climate, and while the
salary issue tended to fade into the back-
ground and to be overshadowed by PTR
and by other issues, it was one of the issues
that created the whole impasse in the first
instance.
Mr. Deacon: The ceilings are substantially
less up there too.
Mr. MacDonald: That may well have been.
The third point that became very clear
from an assessing of the situation, and this
has been referred to by virtually everybody
who has spoken so far, is the role of the
director of education. As a matter of fact,
when I make the comment that the system
had broken down, it had broken down in so
many ways that it is almost a story in itself.
One had the impression that the director of
education was not only running the educa-
tional system, but he was running the board;
that the board, in effect:, had abdicated much
of its responsibihty. The members may have
been claiming in one breath that they were
the elected representatives of the people and
therefore they should be able to have man-
agement rights and everything else, but in
fact they had conceded many of their legi-
timate rights— much as they may talk of local
autonomy— to a hireling of the board, namely
the director of education. That was another
serious element in the deteriorating situation.
I was most intrigued, and indeed puzzled,
to discover that in that day's discussion up
at Richmond Hill with the teachers there
was also a very widespread feeling among
those present, including some people who
weren't teachers, that in earlier instances in
Ontario where difficulties had arisen with
regard to a director of education being the
evil genius in the picture, particularly down
near Windsor, it had been virtually impos-
sible for a board to get rid of a director of
education. It was even said that the Ministry
of Education tended to line up and support
the director of education so that there was
sort of a united front against the board when
it was trying to regain some of that precious
local autonomy.
It was a breakdown in the system. Be-
cause there was a breakdown in the system,
Mr. Speaker, it became very clear that some-
body had to intervene to break the impasse.
The man who could and should have inter-
vened, I suggest, was the minister himself, or
somebody whom he might have appointed on
his behalf.
I share with the leader of the New Demo-
cratic Party some misgivings about the
proposition of complete trusteeship, because
complete trusteeship means one takes over
the board in all of its ramifications and all
of its responsibilities, and how one sort of
hands it back without having an election
and getting a new board is a very diflBcult
kind of process.
If the government had an impasse in the
negotiations, as it surely had an impasse in
York county, it would have been possible
for the minister to step in and to take charge
of those negotiations, as indeed the Minister
of Labour has on occasion when the govern-
ment reached impasses in labour-manage-
ment disputes. Because of the prestige of
his office and because of his presumably
firm behef that some of those items like
PTR were negotiable and should, if neces-
sary, be sent to arbitration, he could have
begun to break the logjam. But because he
didn't step in in a strike that started about
Feb. 1, it went on for some six weeks.
Allegedly, the reason for the government's
hesitancy to do this is its respect for local
autonomy and its desire not to breach this
sacrosanct local autonomy. Mr. Speaker, I
for one never buy that argument. There are
too many occasions when this goveniment is
willing to breach local autonomy when they
contend it is for some higher purpose, and
for the public interest, and so on. Certainly,
in this instance, the kind of situation that
had developed and the minister's concern
and the growing concern of everybody else
about the fact that the schools weren't operat-
ing and the children weren't getting the edu-
cation that they were entitled to made it a
paramount factor that justified what he might
deem to be a temporary aberration, a tem-
porary breaching of local autonomy, at least
to get some resolution of the difficulties.
The real message, Mr. Speaker, that comes
through on this is that the government has
a basic commitment which, despite the min-
ister's efforts otherwise to avoid it, it always
comes back to. That is a basic commitment
to the concept of compulsory arbitration as
being the method for solving unresolved dif-
ficulties in this field.
254
ONTARIO LEGISLATURE
I said in December when we were speak-
ing on second reading of Bill 274 that the
government had taken a stance of great un-
happiness at having to bring Bill 274 into
the House. They were almost paraphrasing
the comment of the father who is whipping
his unruly son and saying, "Look, son, I
don't like to do this. It hurts me more than
it hurts you." This was the posture of the
government that they didn't like compulsory
arbitration.
Mr. Speaker, I simply don't believe that
is the case, because compulsory arbitration
has become the centrepiece of the govern-
ment's philosophy in terms of collective bar-
gaining procedures. It was the government's
philosophy back in 1964 in the whole hospital
workers situation in Trenton when one had
another duplication of a complete impasse,
another duplication of a situation in which
there was no bargaining in good faith, in
which one had had an impartial conciliation
board chairman sharing along with the work-
ers' representative on the conciliation board
the most devastating condemnation of the
management attitude and actions throughout
all that.
Yet in that instance, instead of bringing
in a bill which would have at least dealt with
that situation alone, the government brought
in a bill which imposed compulsory arbitra-
tion upon hospital workers all across the
Province of Ontario. That was done over the
decision and the honourable promise given
by a minister not to do it, but to bring in a
specific piece of legislation to deal in an
ad hoc fashion with that situation. The govern-
ment repeated it again when we got into the
civil service legislation. Now it is repeating
it with the teachers' situation in collective
bargaining. At least in this instance the
minister has brought in a bill to deal with
the last of the 16 or 17 unresolved board-
teacher negotiations. He is going to deal
with it alone. It involves compulsory arbi-
tration. The broader threat of compulsory
arbitration as a strait-jacket to be imposed
upon teachers as a whole has already been
laid on the table in this House in the form of
Bill 274 in the last session.
Mr. Speaker, this government's commit-
ment is to a procedure which simply will not
work. It hasn't worked in terms of the ob-
jective which the government itself professed
with regard to the hospital workers of getting
this group higher up in a wage scale so that
they wouldn't be working at subsistence
level. Their differentials have widened. It is
not going to work in the instance of teachers
either in this specific instance because the
government is going to make a bad situation
worse even though it may get them back into
the schools. And it certainly isn't going to
work when we get into permanent legislation,
partly because it is wrong in principle and
partly because it is particularly inapplicable
when one gets into the very peculiar kind of
circumstances in labour-management relations
in an educational situation. As everybody
who has spoken so far has said, the com-
pulsory principle of this bill is abhorrent,
and we are going to oppose it precisely be-
cause that principle is abhorrent.
Mr. B. Newman ( Windsor-Walker ville):
Mr. Speaker, I rise to record my objections to
Bill 12, the bill introduced by the minister
yesterday, An Act respectinig a Certain Dis-
pute between York County Board of Educa-
tion and certain of its Teachers. I do so,
Mr. Speaker, regretting the minister did in-
troduce such legislation, legislation that
would deal with forcing a group of teachers
back to work simply because of a stubborn
or an obstinate board that wouldn't accept
what the minister had said at one time that
pupil-teacher ratio was a negotiable item.
However, at the same time, Mr. Speaker,
I should criticize the minister, very, very
strongly for not having spoken out loudly
and strongly in the early stages of the board-
teacher negotiations that pupil-teacher ratio
would be an negotiable item and also that
ceilings could be broached.
Mr. Speaker, at the outset I should com-
mend the hon. member for York Centre
for his role in an attempt to resolve
the problem in his area. He has met
vdth individual teachers and with teachers'
groups. He has met with federations. He has
met with the board members individually
and collectively. He has met with students.
He has met with parents, individually and
collectively, as well as with residents of his
riding and the county of York who may not
have had a direct involvement in the situa-
tion because they had no children attending
any of the York schools. I think the member
for York Centre is to be commended for his
efforts in an attempt to resolve the situation.
Mr. Speaker, before any type of negotia-
tions can be effective, there must be a sense
of trust, a sense of faith, a sense of concern,
a sense of goodwill and a sense of good
faith bargaining. In the York situation ap-
parently a lot of these elements were missing.
I am not going to mention anything of the
role of the director of education and how
he may have held back the real eventual
solution of the problem at an earlier stage.
MARCH 13, 1974
255
I will leave that comment for those that are
a little more knowledgeable concerning him.
However, Mr. Speaker, boards have to
realize that the master-servant relationship
has gone. It has gone long ago. In the US
they claimed that Lincoln freed the slaves
back 100 years ago. The slaves in education
in the eyes of some boards are the school
teachers. We got rid of slavery. There is no
need to maintain the attitude that teachers
must continue to be slaves. They have a con-
tribution to make and they want to make that
contribution. There must be co-operation,
there must be trust and there must be will-
ingness to try to resolve the differences.
I can look back at the situation in my own
area, Mr. Speaker. Imagine how you are go-
ins; to develop trust and faith in a board, if
after attempting to fight for a basic demo-
cratic principle, the right to withhold your
services, or in the eyes of some, the right
to strike, teachers in the area withdrew their
services for one day, and rather than possibly
be slapped on the wrist or simply have their
pay deducted, the board comes through and
sends to each teacher involved the following
type of letter:
The purpose of this letter is to inform
you that due to your absence without the
consent of the Board of Education for the
City of Windsor on Tuesday, Dec. 18,
1973, you are in breach of contract.
That paragraph is all right. But listen to this,
Mr. Speaker.
The board takes a very serious view of
breach of contract. Should you be in
breach of contract in the future, the
board will consider it as cause for im-
mediate termination of your contract.
There we go back to the Abraham Lincoln
days, the master-servant concept. We thought
that-
Mr. E. J. Bounsall (Windsor West): Board-
teacher relations.
Mr. B. Newman: —was an 18th or a 19th
century and not a 20th century concept.
We thought that went by the board years
and years ago— more than 100 years ago—
in our British democratic systems.
Mr. Speaker, that letter was by the public
board. The separate board was a little more
mild in its approach. I thought the letter
by them was at least acceptable. However,
the separate board did not seem to be willing
to bargain in good faith.
I am bringing this out, Mr. Speaker, to
show to you that the situation from my
understanding is exactly the same situation
as in the York area, the lack of bargaining
in good faith. When the Windsor separate
board suspended a principal, when the
Windsor separate board fired a teacher for
taking part in or for withholding services,
just as did every teacher in the system in
an attempt to fight for their democratic right,
the right to withhold their services, a right
that is granted practically everyone in our
society that is not under an essential service
category, when the board wishes to appeal a
potential arbitration award, you wonder
sometimes if the people of the board are
living in the 20th century.
Don't they realize that teachers are
humans just as they are? They want to
remain in their classrooms, but when they are
forced to the wall they have no other alter-
native but to fight for their rights. If fight-
ing for their rights means that they have
to withdraw their services, there is nothing
else that they can possibly do. They are by
far more interested in the education of
students that come under their wing than
are the board members. They take a personal
involvement. This, to them, is more than
simply a livelihood it is a career. It is
generally something to which they have
dedicated their whole lives. We all entrust
our children to their hands for their educa-
tion. Yet, Mr. Speaker, when the teachers
of a board want to negotiate a thing such
as pupil-teacher ratio, which is really con-
ditions of work, who knows better than does
the teacher the working conditions that would
be more conducive to better education for
the student who is exposed to that teacher?
When the teachers in the province see
actions on the part of boards such as the
two that I have mentioned here, you can't
wonder why they don't have the confidence
in the boards that all of us would like to see
them have. When they see board after board
not bargaining in good faith, it leaves them
reason to doubt.
A lot has been made, Mr. Speaker, con-
cerning the loss of time by the students, the
loss of attendance. At the end of this week,
I understand some 30 teaching days will
have been missed by the student. One day is
one day too much. But education isn't all in
a classroom. The committee on the utiliza-
tion of educational facilities in its very first
recommendation, in the preamble to the
recommendation, says that "an education is
not confined to the facilities traditionally
designated as educational. It is our view that
educational facilities must include all the
256
ONTARIO LEGISLATURE
places where education is being and can be
pursued."
Mind you, Mr. Speaker, the book learn-
ing for given topics generally takes place in
the classroom, but despite the fact that the
students lost the 30 days, the teachers didn't
want them to lose the 30 days— or it will be
30 days at the end of this week. The stu-
dents didn't want to lose the 30 days; the
board members didn't want this to take
place. This could have been avoided, had
the Minister of Education come out loud and
clear immediately upon the introduction of
Bill 274 that pupil-teacher ratio would be a
negotiable item.
What he would have been saying is that
"we, as a government, are interested in the
quality of education. We want the best
education possible for the students in our
school system." But by not coming out and
spelling out the fact that the pupil-teacher
ratio would be a negotiable item, he, in turn
said, "We're not too interested in quality
education. We're interested in the cheapest
type of education that we can possibly get."
I hope that wasn't the idea and the at-
titude of the ministry. The 30 days will be
lost if the students are not back before the
end of this week. Mr. Speaker, there are
ways in which the school system could catch
up on the 30 days. Tm not the one to tell
them that they should do it. I think that
is a decision that has to be made by both
the teachers and the board involved. There
are five days of next week that could be
used. I'm not suggesting that the students
not have a break. I'm not suggesting that
the teachers don't have a break. But we
could make up five days next week. We
likevidse have a series of 12 professional
development days that undfer the unusual
circumstances of this year could be put into
teaching days. Next year we could go back
into the professional development days if it
is the wish of the teachers and the board.
iThere is also generally on the secondary
level the month of June that is not used to
capacity, to full time, in relation to class-
room teaching and/ or testing. I can' recall
at one time in my ed'ucational experience
that on about the first week of June the
formal classroom education was over. There
were probably four or five days of actual
teaching and then there were roughly two
weeks in which the teachers either marked
their papers or there were promotion exams.
iWere we to extend, if the teachers and
the board wished to, teaching up into the
month of June and/or hold promotions either
late in June or early in July, we could catch
up the 30 days. We could likewise catch
up the 30 days, Mr. Speaker, by the exten-
sion of the school day, if necessary. We
could likewise catch up the loss by the use
of summer programmes that my leader made
mention of in the question period, if that
is the wish of both the teachers and the
board involved.
Mr. Speaker, the time could be caught up
in a number of ways. The decision should
be left up to both the teachers and the
board, so that no studbnt would suffer
academically as a result of the 30 days in
which the schools on the secondary level
were not open. There is always the concern
of the grade 13 student. If the Ministry of
Education and the goveirnment had taken
their own recommendations — and that was
the assimilation of grade 13 by absorption
over the four years in the secondary level,
or four years in the secondary level and
two years in the elementary level, we
wouldn't have had a grade 13. We wouldn't
have that problem. Now that we have the
problem, we have to assist those students
that need assistance, so that it doesn't deprive
them of the opportunity to continue their
post-secondary education.
1 1 think they can be accommodated by
mutual agreement among all three parties
involved, that is, the teachers, the board and
the students. No one wants to see any of
the students suffer, but had the ministry
eliminated grade 13 you would have had a
cheaper secondary education. The boards
probably would have been able to operate,
or may have been able to operate, within
budget.
Mr. Speaker, I will have to fault the
Minister of Education for not having intro-
duced some type of boardi-teacher negotia-
tion legislation. He has had sufficient time
since the Reville report has been tabled in
the House to come up with some answers
to the problem. I am not saying that he
should have adopted what Reville suggested,
but he could have come along in consulta-
tion with boards and teachers' organizations
over the past year and arrived' at something
that would have been more satisfactory, or
maybe even completely satisfactory, to all
parties concerned.
The introduction of Bill 274, Mr. Speaker,
did one good thing and that was it unified
the teachers to show them that tmless they
work as a body they are going to find that
government will push them around. No
longer are teachers going to stand up to being
the scapegoats in the inefficiency and the lack
of action on the part of the government.
MARCH 13, 1974
257
Bill 12 that we are discussing at this time
does remove some of the problems, but as I
made mention, problems that could have
been removed months earlier had the minis-
ter by his comments made known loud and
clear that the pupil-teacher ratio as well as
ceilings, these two issues, were going to be
resolved or could be resolved.
Force is no answer. If we come along and
try to force anyone in this House to do
certain things, he may do those things, but
he does them with rebellion on the inside
of him, and the first chance he has to get
back at the individual who forced him to
take that action, he will come along and
rebel.
Mr. Speaker, the teachers here don't want
to be forced back to work. They can resolve
the problems and they would have resolved
the problems, had the minister spoken out
in the latter part of last year. Teachers want
to negotiate their working conditions. Why
shouldn't they want to negotiate their work-
ing conditions? That is not unreasonable, is it?
The employees of Ford, Chrysler, General
Motors, , the auto workers, negotiate their
working conditions, not that I am trying to
equate the school teacher with the industrial
worker and not that I am trying to degrade
the industrial worker in any aspect whatso-
ever. But the industrial worker, is a little
more advanced when it comes to talking
with his employer. He negotiates with the
employer as to the number of cars that are
going to be turned out in an hour, the
number of men that are going to be work-
ing on the line to produce the cars and the
speed with which the line is going to operate.
All of these things are taken into consider-
ation and the employer accepts that.
What is the difference with the teachers?
They are human in just the same way as is
the industrial auto worker. Mr. Speaker, the
elected representatives don't determine how
fast an assembly line is to move or how
many cars are to be produced. The elected
officials are not being involved in the work-
ing conditions as far as the auto worker is
concerned. The elected officials aren't in-
volved in the working conditions in a hos-
pital. That is done by others.
The teachers, Mr. Speaker, are interested
in improving the learning atmosphere in the
classroom. Who knows more about this learn-
ing atmosphere than those professionally
trained to work in a classroom? The pupil
teacher-ratio or the conditions of work are
extremely important. We need a realistic
appraisal of the contribution of the teacher
to society. Surely we can't hold the teacher
accountable for the education of future gen-
erations if we deny to that teacher a voice
in the formulation and direction of that same
education.
If teachers are given some control over the
system in which they must function, then
they can be held accountable for the effects
of those educational policies. If we are in-
terested in quality education, we have to be
interested in the pupil-teacher ratio. I am
very pleased to see that the minister has re-
solved that issue now, but it could have been
resolved months ago.
Mr. Deacon: It should have been, too.
Mr. B. Newman: As far as ceilings are con-
cerned, Mr. Speaker—
Hon. Mr. Wells: I said it last year but the
member wasn't listening.
Mr. A. J. Roy (Ottawa East): Why didn't
the minister agree to this formula before?
Mr. MacDonald: If it was really his view,^
why didn't he speak up?
Mr. Roy: He never said it publicly in here.
Hon. Mr. Wells: Everybody knows my^
views. Yes, I did.
Mr. B. Newman: Mr. Speaker, if the
minister had been loud and clear concerning
the ceiling situation, then that obstacle could
have been removed and the resolution of
the problem would have been accelerated.
Mr. Bounsall: Or the pupil-teacher ratio.
Mr. B. Newman: I want to ask of the
minister at this time, if in the course of the
negotiations the ceilings are broached, then
where will the money come from to take care
of the new demands on the board? Is this
going to be a loan against future grants? Are
we simply postponing the day of recovery?
In the light of declining enrolments, Mr.
Speaker, a better system has to be devised,
to the agreement of both sides, to resolve
the issue of declining enrolments and its
effect on grants to the school board.
Mr. Roy: Is the minister going to make
up the difference out of his own pocket?
Mr. B. Newman: Mr. Speaker, going to
compulsory arbitration is not the way to
resolve the problem. Force only begets force.
Co-operation, respect, trust, good faith and
goodwill can do wonders. I am disturbed,
Mr. Speaker, that in some cases of compul-
sory arbitration, or even in this case, the cost
of the arbitration to the board, to the
258
ONTARIO LEGISLATURE
teachers, and likewise to the government for
the arbitration hearings cx)uld be in some
instances even greater than the award. It
could cost more to resolve the issue than
what the award would amount to. Compul-
sory arbitration is not the best way, especi-
ally, Mr. Speaker, when my colleague, the
hon. member from York Centre has suggested
an alternative. I will support my leader, Mr.
Speaker, and vote against second reading of
this bill.
Mr. Bounsall: Mr. Speaker, I paused to see
if there were any members of the govern-
ment who wished to come in and partake
in this debate. There was a lot of thumping
of the desks yesterday as if they approved
of the bill.
Mr. Laughren: Why aren't the members
for Parrv' Sound (Mr. Maeck) and Peter-
borough (Mr. Turner) here?
Mr. Bounsall: Yet I don't see any of them
jumping up today to participate. They sur-
prise me.
Interjections by hon. members.
Mr. Bounsall: I can remember many of
these members in the debate on Bill 274
jumping to their feet with great enthusiasm.
Mr. Laughren: Why doesn't the member
for London North (Mr. Walker) participate
in the debate?
Mr. Bounsall: I can remember the hon.
member for Durham making a contribution
at that time.
Mr. Foulds: Yes. Would he get his feet
off the desk now?
Mr. Camithers: What the member has
done so far is waste time. He knows the
ans\\'er.
Mr. Bounsall: —and I'm waiting eagerly
for his contribution in this one.
An hon. member: Does the member think
he is making any contribution to this?
Mr. Laughren: Would the hon. member
for Durham take his feet off the desk?
Mr. Bounsall: Up until the last speaker
got up, the hon. member for York North
was, I thought, waiting patiently to get in,
and he has now left us. Anyway, Mr. Speaker,
looking at this bill before us, I had the dis-
tinct feeling when I first saw it that the
Minister of Education had indeed learned a
lot since black Monday of Dec. 10 last.
Mr. G. W. Walker (London North): Does
the member mean he is going to support it?
An hon. member: Now look who wants
to speak.
Mr. Bounsall: Yes, now we are getting
some involvement here.
Mr. Foulds: You mean there is a Tory
that can speak?
Mr. Bounsall: I see them scribbling notes
over here. I guess they're about to get in.
Mr. Laughren: Let them tell us where
they stand on this bill.
Interjections by hon. members.
Mr. Bounsall: We'd be interested in hearing
what they have to say. They're not going
to get in on this one. It's so evidently bad
in principle that they are not going to em-
barrass themselves by getting up and talking
about it.
An hon. member: That's not true.
Mr. Bouns'all: Is the member for Durham
going to get up and talk about it then?
Mr. Foulds: He should get his feet off
the desk.
Mr. Bounsall: We won't know about their
thoughts unless they get up and babble
about them.
Mr. Laughren: Those fellows will never
make it to the cabinet if they don't speak
out in the Legislature! I mean, look at the
member for Scarborough East (Mrs. Birch).
How is it that the member for Don Mills
(Mr. Timbrell) made it into the cabinet?
By speaking on issues in the Legislature.
Hon. S. B. Handleman (Minister of Hous-
ing): We want the kids back in school.
Mr. Camithers: They never know when
they're defeated.
Interjections by hon. members.
Mr. Bounsall: The hon. member for Port
Arthur over there is getting some advice
from the hon. member for Thunder Bay on
what to say in the debate. Well, I hope he
has taken it to heart.
An hon. member: Fort William (Mr.
Jessiman ) .
Mr. Bounsall: Oh, I'm sorry; Fort William.
An hon. member: Say what you have to
say and don't repeat it to others.
MARCH 13, 1974
259
Mr, Bounsall: That's why many of them
don't talk! They haven't much new to say,
perhaps.
Anyway, looking at this bill I had the dis-
tinct feeling that the minister had, in fact,
learned a lot since that famous black Mon-
day. But by seeing compulsory arbitration
as the only way to settle this dispute, it's
clear to me that he hasn't quite finished his
education.
I'm not implying that he should let this
dispute linger on further, so that the Minister
of Education can simply complete his edtica-
tion on this score and dream up some better
solutions — many of which we're quite will-
ing to supply to him, as a means of settling
this dispute. I'm not implying that at all.
But if I could read this bill with a pair of
glasses that blocked out references to compul-
sory arbitration, I might even be caught
saying that it wasn't a Jbad bill. The penal-
ties that are outlined in it are rather inven-
tive. He doesn't threaten teachers v^dth fines
or what have you. He puts them in a posi-
tion-
Mr. Foulds: Contempt of court.
Mr. Bounsall: —the teachers or the board,
of being in contempt of court.
Mr. Foulds: Which results in fines.
Mr. Boumall: Which implies fines and jail
sentences, but not necessarily.
Hon. Mr. Wells: There could just be a
reprimand.
Mr. Bounsall: Although it's not a criminal
offence, I think teachers or board members
would probably be less inclined to have on
their record a contempt of court citation than
they would be to pay a $100 fine. So I find
that provision rather inventive. And it makes
clear that the board's last salary offer was to
be a minimum for the salary settlement in
this dispute. That's not a bad feature. And,
of course, it makes clear that the pupil-
teacher ratio is negotiable. An obvious point,
because it's one of the matters in dispute.
It should have been obvious all along.
Whether the pupil-teacher ratio is a working
condition or whether it's a financial condi-
tion, of course, doesn't matter. It's one of
the matters in dispute and it's obvious that
it has to be settled by whatever means is
chosen to settle it. And because it could be
construed to be a financial matter certainly
does not in any sense make it a manage-
ment right and not subject to settlement by
\vhatever means is chosen to settle it.
•But the tunnel vision of the board, and
the board negotiators, aroimd the pupil-
teacher ratio is second only to the minister's
own tunnel vision in seeing compiJsory arbi-
tration as the only final solution when' he
feels that collective bargaining has broken
dovm.
Mr. Foulds: Tory tunnels.
Mr. Bounsall: It's the only solution which
a Tory can think of. That's where the minis-
ter's education isn't complete. And it's time
now for him to get out of that tunnel before
he imposes on the province a further bill
under which all teachers must negotiate.
Look around the world. Look outside Ontario
and see what other means have been chosen
to govern the teacher-board relationships in
other jurisdictions around the world. Don't
be restricted with this narrow tunnel vision
that the government has in this particular
solution.
I heard a remark from the member for
York Centre that in this dispute between the
York county board and certain of its teachers
one of the things hindering negotiations was
the fact the board's ceilings were lower. This
should have told the Minister of Education
something about that board if that, in fact, is
the case. We heard this from the member for
York Centre. Perhaps the minister can indi-
cate if the member was wTong In his com-
ment that the ceilings in the York county
board are lower than they are elsewhere. Is
this correct, Mr, Minister? Can the minister
confirm or deny that?
Hon. Mr. Wells: No, What does the mem-
ber for Windsor West mean by lower? Lower
than what?
Mr. Bounsall: I'm quoting the member for
York Centre's words: "The ceilings are lower
in York county education," I can tell it to
the minister in terms of—
Hon. Mr. Wells: I imagine if he means
that the ceilinigs for the York county board,
when they're finally worked out, that the
amount per pupil is lower, say, than Metro-
politan Toronto, Probably they are. Yes, they
probably are a lower per-pupil figure than
Metropolitan Toronto,
Mr. Bounsall: In other words, it's simply
due to the weighting factor not being as
high. They are not one of the five or six
boards that, when the government imposed
the ceilings initially, found that they were so
far below it that they weren't allowed to go
up to it only in steps? That was the case, as
you know Mr. Speaker, of the Windsor
260
ONTARIO LEGISLATURE
boards. And it said something very much
about that board; that over the years they
had not been spending money the vi^ay they
should have. Well, I see that that's due to
the weighting factors and not to the same
situation that existed with the Windsor board.
I'm glad to have that point cleared up.
One other matter which was spoken of
rather heatedly here in the debate was the
final offer arbitration that was proposed by
the member for York Centre. We had some
words about three-quarters of an hour ago
about who in this world first dreamed up
final offer arbitration; and confusion on the
part of both parties in the argument as to
whether or not it was good.
Well, let me tell you, Mr. Speaker, that
several states of the United States have
adopted final offer arbitration. They have
embodied it in legislation as one of the
routes to reach a settlement under collective
bargaining disputes. On the evidence which
is now readily available from reports on final
offer arbitration, any reasonable person would
dismiss immediately final offer arbitration as
a satisfactory means of reaching a fair solu-
tion to any dispute.
Certain members have heard the phrase,
but have never investigated it; and it's just
those members who would propose this sort
of solution to any dispute.
Reports on this subject have appeared in
the past year in US News and World Report,
the monthly Labour Review of the US De-
partment of Labour, and the Industrial
Labour Relations Review— a publication of
the New York State School of Industry and
Labour.
Articles were written by members of those
final arbitration panels, and in each case they
have come to virtually the same conclusion.
Those conclusions about final offer arbitra-
tion have been that if the arbitration board
had, in fact, been given flexibility and had
not been limited to choosing one of two final
offers from each side, the interests of both
parties would have been advanced.
Had they been permitted to use their dis-
cretion after the facts of the case had been
presented to it by each side, a judgement
would have been made which would have
been workable and equitable and would have
better met the needs of both parties. These
are the conclusions of men who have sat on
these panels.
The advocates of final offer arbitration
argue— and I think they argue quite hypo-
thetically, having had no practical experi-
ence—that the parties will refrain from mak-
ing unreasonable offers so that, in the fear
that the final offer selected by the panel is
not theirs, they will try and make theirs a
reasonable one. However, there is no em-
pirical evidence from any of the negotiations
prior to these final offers, and the amounts
in those final offers, that bears out this
hypothesis. It could be just as easily argued
that the parties make unreasonable final
offers, and simply attempting to be a shade
less unreasonable than the unreasonable offer
of the other party. There is no evidence to
support that either. There is no evidence to
support either side, that it affects the collec-
tive bargaining leading up to that arbitration
based on final offers.
The proponents of final offer arbitration
simply and completely fail to take into
account properly the cost that will have to
be paid in the loss of flexibility and the
likelihood that the quality of the decision
is likely to be inferior.
That is a quote from an article in the monthly
Labour Review of the US Department of
Labour by one of the members who sat upon
the panel, a Dr. Fred Witney, professor of
economics at Indiana University, in a dispute
between the city of Indianapolis and the
American Federation of State, County and
Municipal Employees.
Mr. Speaker, a great public relations point
has tried to he made by the government
when it introduced this bill, and by the
Premier in replies to questions, that all the
government is interested in is the Idds in this
province.
Hon. W. G. Davis (Premier): The students.
Mr. Bounsall: The students in this prov-
ince. All right.
Mr. Laughren: Don't be so pious.
Hon. Mr. Davis: I am not being pious. They
tell me they want to be called students.
Mr. Bounsall: They wanted to be called
students? All right. Will the Premier sort of
bow to any suggestion?
Mr. Laughren: Does he want to speak in
this debate?
Mr. Held: Is he going to speak on this bill?
Mr. Bounsall: I gather he is going to jump
Mr. Laughren: We'll actually hear from
the Tories.
MARCH 13, 1974
261
Hon. Mr. Davis: In this matter I thought
very concisely; in fact, far more concisely
than some hon. members opposite— and I'm
far less contradictory and less hypocritical,
wouldn't my friend agree?
Mr. Laughren: Certainly less than the
Liberals.
Mr. Foulds: Call him to order, Mr.
Speaker, please.
An hon. member: The Premier is getting
pretty conceited.
Mr. Bounsall: I haven't heard anyone else
say that about the Premier's statement; only
himself.
Hon. Mr. Davis: If I don't, who else is
going to?
Mr. Bounsall: He won't get it from this
side.
Hon. Mr. Davis: I didn't really expect
that.
Mr. BounsaU: Oh no, I have been giving
credit where credit was due all along here
this afternoon. I have said the minister's
bill was good in three specific respects. I'm
always ready to give credit where credit is
due.
Hon. Mr. Davis: Then why not vote for
it?
Mr. Foulds: It's not good enough.
Hon. Mr. Davis: Oh, 1 see.
Mr. Bounsall: No, the principle.
'Mr. Foulds: Three out of five isn't too bad.
Mr. Bounsall: The principle of compulsory
arbitration— we can never vote for that.
Mr. E. M. Havrot ( Timiskaming ) : The
member's leader told us earlier he supports
it.
Mr. Bounsall: I'm glad the hon. member
is h^re to listen.
Mr. Laughren: The anti-labour member
for Timiskaming has entered the debate now.
Mr. Foulds: Is he listening with his mouth
again?
Interjections by hon. members.
Mr. Bounsall: We listened to it. We didn't
have the complete statement, though.
Interjections by hon. members.
Mr. Bounsall: We didn't have the com-
plete statement 45 minutes in advance, as
we had on Bill 274.
Mr. Roy: But they knew it called for
compulsory arbitration.
Mr. Bounsall: We didn't have the complete
outline of the bill-
Mr. Roy: They can't get around it; they
knew it called for compulsory arbitration.
Mr. Bounsall: —as we had for 45 minutes
before BiU 274-
Interjections by hon. members.
Mr. Bounsall: —or the half -hour caucus.
We didn't need a half-hour caucus either
to decide what we were going to do.
Mr. Speaker: Order.
Mr. Bounsall: Thank you. Would you
keep this rabble in order, Mr. Speaker? I
would very much appreciate it.
Interjection by an hon. member.
Mr. Bounsall: This rabble on the far ex-
treme right, Mr. Speaker-
Interjections by hon. members.
Mr. Bounsall: The rabble on the extreme
right over here. Much further right.
Mr. Roy: The member for Windsor West
is inconsistent. He voted against it on first
reading last time, and for it this time.
Mr. Bounsall: We are inconsistent?
Mr. Foulds: Inconsistency is the hobgoblin
of the Liberal Party.
Mr. Bounsall: When one thinks of the
Liberal Party, one thinks of inconsistency
with a capital I and a capital C.
Mr. Roy: Why didn't they stand up?
Mr. Stokes: Are the Liberals tdling us
how to run our affairs? They can't even run
their own affairs.
Interjections by hon. members.
Mr. MacDonald: Mr. Speaker, the situa-
tion has deteriorated since the Premier came
Mr. Speaker: Order please.
Mr. Foulds: Mr. Speaker, now I know
why the Premier doesn't sit in the House.
262
ONTARIO LEGISLATURE
Mr. Bounsall: Now we know why he is
here today. He is here to enjoy the fun.
Mr. Camithers: Did the member for Ot-
tawa East hear what the member called
him?
Mr. Roy : No, what did he call me?
Mr. Bounsall: Remind me. I have called
him so many things, both inside and outside
the House, that I am not sure.
Mr. Roy: Was it parhamentary?
Mr. BounsaU: Does the member for Diu-
ham mean "inconsistent with both a capital
I and a capital C"? Sure, when one thinks
of them, that is what one thinks of. Capital
I, capital C, inconsistent.
Mr. Foulds: Our thinking is not fossilized
into rigidity like the Liberals'.
Mr. Speaker: Back to the bfll, please.
An. hon. member: The professor is talking
now; let's be quiet.
Mr. L. Maeck (Parry Sound): Stop this
babbling about, please.
Mr. Bounsall: I know I shouldn't but the
Premier is obviously enjoying it; he's here
with the biggest smile I've seen on him in
days.
Mr. R. F. Ruston (Essex-Kent): Where
does the train stop?
Interjections by hon. members.
Mr. Bounsall: In any event, talking about
the students and who has what attitude to-
ward the students in the province and in this
situation, I might say with respect to one
point which was just slightly touched upon
—that of whether or not the students would
go back to school next week— I can't recall
the actual wording on one of the signs which
a small group of pupils here last week was
carrying around but I think it read something
like "Lack of classes makes us asses" or
something of this sort. I can't think, really, of
a more ridiculous sign than that. If a student
has to depend upon what is given to him or
her in a classroom in order to learn some-
thing in this world, with all the fully stocked
libraries we have around, then maybe the
lower part of that sign does apply to that
particular student.
Mr. Camithers: Is the member suggesting
we close the classrooms?
Mr. Foulds: That is what the report savs.
Mr. Bounsall: No, I am saying they can
learn something from schools, I m saying they
can learn a lot outside of schools.
Mr. Ruston: No wonder they had to let
him go.
An hon. member: He should have quit a
long time ago.
Mr. Bounsall: I'm sure some of the mem-
bers over there would be the first to agree
with me.
Mr. Ruston: No wonder the member had
to have the—
Mr. Bounsall: One can learn a lot in class
but one can also learn a lot outside class.
Certainly, in this party we would not object-
Mr. W. Hodgson: But there are places in
the classroom and that is where the students
should be.
Mr. Bounsall: I can't quite hear the
member.
Mr. Foulds: His place is in the kitchen.
Why doesn't he get back there?
Mr. Speaker: Order.
Mr. W. Hodgson: The member had better
go up to the north again.
Interjections by hon. members.
Mr. Roy: In the member's NDP paper, is
he going to put in how he voted on Bill 12
on first reading?
Mr. Bounsall: The member would be afraid
to put any collected statements by his mem-
bers on paper anywhere. They are so con-
tradictory.
Mr. Roy: Is he going to document it? He
has even got the blue line of the Tories.
Mr. Ruston: The colour of the Tories.
Mr. Roy: They work together— we know
that.
Mr. Speaker: Order.
Mr. Roy: They use the same colour of blue.
Hon. Mr. Davis: Gracious!
Mr. Roy: In blue.
Hon. Mr. Davis: Next thing we kno\\,
they'll have a picture.
Mr. Speaker: Order, please.
MARCH 13, 1974
263
Mr. Roy: That looks like one of the Tory
An hon. member: That looks like the—
Mr. Foulds: There's a good picture of the
Minister of Education in there.
Mr. Bounsall: Thank you, Mr. Speaker.
Mr. M. C. Germa (Sudbury): They are
reading good material there.
Mr. Bounsall: The one point mentioned
here was whether or not—
Mr. Foulds: Looking for the soft under-
belly.
Mr. Bounsall: Jeez, the member for Port
Arthur is as bad as the member for Sudbury
East.
An hon. member: There is a shortage.
Mr. Bounsall: One of the points mentioned
in the debate so far has been whether or not
the students would go back to their class-
rooms. The parents and the pupils who were
down here in front of the Legislature build-
ing last week in a demostration on behalf of
a return to the classrooms, I am certain,
would have no objection at all if the class-
rooms opened on Monday of next week. We
would certainly find nothing wrong, having
had a five or six week break, in that the
normal spring break would see all of those
children back in the classrooms of the York
board of education.
Let me mention slightly another attitude
with respect to students in this province,
the minister, the Prime Minister, the Premier,
mentioned it—
Hon. Mr. Davis: Which one?
Mr. Bounsall: Whatever one wants to call
him. We call him a lot of other things but
I'm sure hell take one of those three names—
Hon. Mr. Davis: Delighted— any time.
Mr. Bounsall: Right, okay. He mentioned
in reply to a question earlier in the week-
Mr. Roy: What about the World Football
League? Is the Premier still supporting
Lalonde?
Hon. Mr. Davis: The federal minister
probably is in trouble.
Mr, Roy: Is the Premier still supporting
them? ^
Hon. Mr. Davis: I never did.
Mr. Roy: It was his statement' last week
that he did.
Hon. Mr. Davis: That was erroneous.
Mr. Bounsall: One thing about the Prime
Minister is that he can always change most
subjects, no matter how serious, into a dis-
cussion on football.
An. hon. member: He didn't say anything.
Mr. Bounsall: He is easily sidetracked.
He's got to watch that.
Mr. Maeck: Easily sidetracked?
Mr. Bounsall: He admits it. Without even
speaking he admits it. He is easily side-
tracked. His thinking gets sidetracked right
along.
An hon. member: He had better keep his
members in line back there.
Mr. Maeck: The member will have to go
back and pick up the thread.
Mr. Bounsall: I have got the thread; I am
speaking on the students. In defence of the
government being the only party that had
an interest in students in this dispute, and
the remark made by me in my address on
Dec. 18 of last year, with respect to the
secondary school students who were out of
their classroom in the city of Windsor for
13 school days in January, 1973, that it was
ridiculous to suggest, as had two separate
speeches made by government members, that
their education had been "irreparably dam-
aged," and I repeat that statement that this
has—
An hon. member: Irreparably.
Mr. Bounsall: Irreparably— how's that?
Mr. Roy: That was a difficult word.
Mr. Bounsall: Yes, I have a little trouble
at this time of night.
Interjections by hon. members.
Mr. Ruston: And he's a professor.
Mr. Roy: Professor of what? Dentures?
Mr. Bounsall: Not of English, not of
English. I started out as an engineer, so I
am not supposed to pronounce anything
properly.
Mr. Roy: Not only does he need new
glasses but new dentures.
264
ONTARIO LEGISLATURE
An hon. member: He should be rumiing
one of the CAAT colleges if he's an engineer.
Mr. Bounsall: Well, if I had to depend
on low-cost dentures, they wouldn't be be-
cause of any action of the member for —
what is it?— Ottawa East, on behalf of low-
cost dentures in this province.
Mr. Huston: He pioneered it.
Mr. Speaker: Can we return to the bill
please?
Mr. Bounsall: I think I can spin it out
till 6 now.
Mr. Camithers: The member has covered
a lot of subjects,
Mr. R. Haggerty (Welland South): He's
got five minutes. Let him tell us something in
that five minutes.
Mr. BounsaU: No, not yet, I am just start-
ing.
Interjections by hon. members.
An hon. member: Let's have his stand on
the denturists.
An hon. member: Get going.
Mr. Bounsall: Just getting started.
Mr. Roy: Don't let us rush the member.
Mr. BounsaU: Oh no, I wouldn't think of
it.
Now, with respect to students, Mr. Speak-
er, for 13 days to have government members
suggesting that the educational experience
was— I won't say irreparably-
Some hon. members: Irreparably.
Mr. Bounsall: —irreparably— was forever
damaged is just ridiculous, and for the
Premier to try to twist that, as he did as part
of his answer to a question, into a suggestion
that the opposition members on this side of
the House are not interested in students and
in whether or not their classrooms are open
so that they can learn is just almost as ridi-
culous as the members on the government
side who made those statements I have
quoted in the initial sense.
Hon. Mr. Davis: He's not going to become
provocative at this time?
Mr. Roy: Take that, Mr. Speaker.
Mr. Bounsall: We are against compulsory
arbitration in any form, but should this bill
pass, let me make a suggestion to. the Min-
ister of Education as to whom he might
choose, unless agreement is reached between
the parties, for his chairman of the arbitra-
tion board. Should this bill pass, I would 'like
to make a suggestion to him,
Hon. Mr. Davis: Is the member seeking
to be called?
Mr. Bounsall: I am available anytime.
Mr. Laughren: And the phone number
is—
Mr. Bounsall: Yes, right,
Mr. Camithers: He is an engineer.
Mr. Bounsall: We can write though; we
might not be able to spell, but we can
write.
Mr. Laughren: Which is more than we
can say for the member for Durham. En-
gineers have been pontificating for years.
Mr. Bounsall: My suggestion is that if
the minister hasn't looked at the Saskatche-
wan legislation in terms of what final legis-
lation he might bring into this province with
respect to teachers, he should do so. One
of those things is that arbitration can be
chosen; they can choose voluntary arbitra-
tion, and whether it's binding or not can
also be chosen.
They have had some experience in Sas-
katchewan at the local level with salaries
and fringe benefits to settle province-wide;
they have had some experience at the local
level. The local boards deal only with things
like working conditions and pupil-teacher
ratios. There have been arbitrations at that
level in the Province of Saskatchewan, and
therefore chairmen of arbitration boards out
there have done arbitrations that have dealt
solely with that matter,
I would suggest to the minister, for the
travel cost that would be involved to tlie
Province of Ontario, that in this arbitration,
if it comes to that finally, he might search for
one of those experienced arbitrators from
the Province of Saskatchewan who have
dea'lt with that touchiest area in this par-
ticular dispute, A decision taken by an arbi-
tration board, headed by a chairman who
has had that kind of experience, might result
in a settlement which would be acceptable
in this province, even if the means of arriv-
ing at that arbitration board is unacceptable.
Thank you very much, Mr. Speaker.
Mr. Camithers: Good speech.
MARCH 13, 1974
265
Mr. W. Hodgson: Mr. Speaker-
Mr. Roy: Make it quick,
Mr. Speaker: In view of the hour, perhaps
the hon. member would like to wait until
we resume at 8 o'clock?
Mr. W. Hodgson: I move the adjournment
of the debate.
Mr. Speaker: The motion to adjourn is
not required.
It being 6 o'clock, p.m., the House took
recess.
266 ONTARIO LEGISLATURE
CONTENTS
Wednesday, March 13, 1974
Tax credit information centre, statement by Mr. Meen 217
Salary increases for general services employees, statement by Mr. Winkler 217
Tax credit information centre, questions of Mr. Mcen: Mr. R. F, Nixon, Mr. Givens,
Mr. Lewis, Mr. Roy 218
York county school grants, questions of Mr. Davis: Mr. R. F. Nixon, Mr. Deacon,
Mr. Foulds, Mr. Givens 219
Privilege of elected municipal officials, questions of Mr. Davis: Mr. R. F. Nixon 220
Cost of living increases, questions of Mr. Davis: Mr. Lewis, Mr. R. F. Nixon, Mr. Reid 221
Food prices, questions of Mr. Stewart: Mr. Lewis 223
Price fixing in supermarkets, questions of Mr. Clement: Mr. Lewis, Mr. Stokes,
Mr. Foulds 224
Reconstruction of Highway 401 near Windsor, question of Mr. Rhodes: Mr. Bounsall 225
World football league, questions of Mr. Davis: Mr. BuUbrook 226
Payments to jurors, question of Mr. Kerr: Mr. Germa 227
Sudbury hospital investigation, question of Mr. Davis: Mr. Roy 227
York county school grants, questions of Mr. Wells: Mr. Foulds, Mr. R. F. Nixon 228
Capital grants for farmers, question of Mr. Stewart: Mr. Wiseman 228
Province of Ontario Savings Office, question of Mr. Meen: Mr. Breithaupt 229
Supply and price of fertilizer, questions of Mr. Stewart: Mr. MacDonald 229
Appointment of CSAO arbitration mediator, question of Mr. Winkler: Mr. Lewis 230
Presenting report, Ontario Northland Transportation Commission, Mr. Rhodes 230
Resumption of the debate on the Speech from the Throne, Mr. McKeough 231
Motion to adjourn debate, Mr. Gaunt, agreed to 237
York County Board of Education Teachers Dispute Act, bill respecting, Mr. Wells,
on second reading 237
Recess, 6 o'clock 265
No. 8
Ontario
Hegisilature of Ontario
OFFICIAL REPORT — DAILY EDITION
Fourth Session of the Twenty-Ninth Legislature
Wednesday, March 13, 1974
Evening Session
Speaker: Honourable Allan Edward Reuter
Clerk: Roderick Lewis, QC
THE QUEEN'S PRINTER
PARLIAMENT BUILDINGS, TORONTO
1974
10
Price per session, $10.00. Address, Clerk of the House, Parliament Bldgs., Toronto
CONTENTS
(Daily index of proceedings appears at back of this issue.)
269
LEGISLATIVE ASSEMBLY OF ONTARIO
The House resumed at 8 o'clock, p.m.
YORK COUNTY BOARD OF EDUCATION
TEACHERS DISPUTE ACT, 1974
( concluded )
Mr. Speaker: The hon. member for York
North has the floor.
Mr. W. Hodgson (York North): Mr.
Speaker, I rise to speak on second reading of
this bill, on the principle of it, with maybe a
better understanding of it than any member
in this Legislature. I have been very close
to it for the last five weeks. York North is in
the centre of the region of York, better
known as the York County Board of
Education.
Further to that we have our grandson, who
lives in our home and goes to high school
in Aurora, as one of the victims of the walk-
out at this present time by the teachers in
the school board dispute.
Mr. E. J. Bounsall (Windsor West): He
has been irrevocably damaged?
Mr. W. Hodgson: We also have a daughter
who taught in the York county system for a
matter of six years. She taught under the
old system of district school boards, also
under the York county school board. I still
get confused sometimes calling it the York
county school board and the region of York.
I usually refer to it as the region of York.
My remarks won't be too long tonight. I
think there has been too much talk going on
for the last six weeks.
Mr. D. C. MacDonald (York South): But
not much action by the government.
Mr. W. Hodgson: There has been a lot of
talk, talk, talk. It is as if they fiddled away
while Rome burned. I felt this afternoon in
this Legislature, with respect to every mem-
ber who spoke and his sincerity, that they all
wanted to see this come to some resolution
and our students go back in the classrooms.
They have spoken at some length on issues
that are bygone issues as far as I am con-
cerned. They have spoken condemning the
Wednesday, March 13, 1974
trustees of the board of education in York;
they have condemned the administrator in
York and they have condemned our Minister
of Education (Mr. Wells).
As far as I am concerned, every member
of that school board was elected the same
way as you and I were elected— by the
people. I know a lot of those members per-
sonally and they are just as sincere in what
they are doing as you and I are in what we
are doing in this Legislature in the Province
of Ontario— every one of them.
Mr. W. Ferrier (Cochrane South): They are
misguided.
Mr. W. Hodgson: On behalf of the
teachers of York county, I would say the
majority of them are very sincere people. The
only reason that they are in the profession is
for the betterment of the younger generation
of this province.
I want to say a word about our Minister
of Education.
Mr. J. F. Foulds (Port Arthur): The mem-
ber is in trouble now.
Interjections by hon. members.
Mr. W. Hodgson: I have been a member
of this Legislature since 1967.
Mr. T. P. Reid (Rainy River): That was a
good year.
Mr. W. Hodgson: Some of the members
have been here for a lot longer and some
have been here for a shorter term, but I can
say about the Minister of Education that
there isn't a more sincere member or minister.
I have had the opportunity of working with
him over the last five weeks. He has made
himself available on a 24-hour-a-day basis,
seven days a week. He has been willing to
meet with any delegation or anybody who
has asked for an audience with our minister.
If the members want further proof of
that, why, I would like to relate to a week
ago last Sunday when the York county school
board asked to meet with the minister. He
gave up his Sunday to meet with them and
it was a very important day in our minister's
life and that was his wife's birthday. I think
270
ONTARIO LEGISLATURE
that he must have used a lot of persuasion
to persuade his wife that he was going to
meet the York county school board instead
of taking his wife out to dinner. But this is
the type of man he is. He put the situation
in York first.
Mr. Reid: Besides that, he saved $50!
Mr. MacDonald: I did the same tonight to
come to Hsten to the member.
Mr. W. Hodgson: Well, that's a matter
for the member. If he wants to listen to me
okay, but I can only say, I will say it and
I will say it right now—
An Hon. member: They should both be up
for desertion.
Mr. W. Hodgson: —I have never played
politics in this dispute. I am not taking the
side of the school board or the side of the
trustees, but there is a lot of politics being
played by the opposition parties in this very
dispute for political advantages.
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): Forgetting about
the students.
Mr. Fem'er: The member doesn't agree
with that, does he?
Mr. W. Hodgson: Yes. That is the truth.
I want to say another thing, further, on be-
half of the member for Wentworth (Mr.
Deans). I met with him on the platform,
with the hon. member for York Centre (Mr.
Deacon), and I really appreciate the support
the member for Wentworth gave me on the
platform in front of 1,000 people that night.
I just wish he could be in his seat so he
could hear it tonight.
Mr. MacDonald: He will be here.
Mr. Bounsall: He thought the member did
well, too.
Mr. W. Hodgson: But my concern is, after
six weeks has gone past, if the school board
is at fault, which the opposition has be-
laboured this afternoon too much, or whether
it is the teachers, which they haven't said—
I know there are more votes on the teach-
ers' side than there are on the school board
side — the opposition really set up for the
teachers this afternoon. They are right and
the school board is all wrong and the minis-
ter is wrong.
My concern is for the 14,800 students in
York county and their parents, and I am
going to ask every member of this Legis-
lature, if they are concerned about the stu-
dents, our citizens of tomorrow, to support
this bill and give it early passage so we can
get along with the legislation necessary to
get the teachers and the students back in
the classrooms. Thank you very much.
Mr. Speaker: The member for Huron-
Bnice.
Mr. J. Riddell (Huron): Thank you, Mr.
Speaker. Huron.
Mr. Speaker: The member for Huron.
Mr. Riddell: That great county.
Mr. Speaker, not being too long removed
from the teaching profession, and subse-
quently the school board, and recalhng the
days when teachers and school trustees still
had some freedom of decision and a great
sense of responsibility which they were per-
mitted to exercise without government inter-
ference, I personally feel committed to rise
and oppose this bill. I am opposing partic-
ularly the compulsory arbitration-
Mr. A. Carruthers (Durham): He doesn't
really mean that.
Mr. Riddell: —section of this bill, which
is really an imposition on a group of profes-
sional people.
Mr. J. P. MacBeth (York West): Never
mind the sections, what about the principle?
Mr. Riddell: The Minister of Education
has infringed upon the local autonomy of the
York County Board of Edlication by impos'-
ing compulsory arbitration to settle the six-
week-old teachers' strike. We believe that a
voluntary settlement could have been reached
by now, had the Minister of Education come
to the conclusion that the pupil-teacher
ratio should be negotiable much earlier in
the dispute. We support the idea that teach-
ers should have some voice in the size of
the classes they teach— in other words, in the
pupil-teacher ratio— because working condi-
tions are an important part of a contract.
We are against the principle of compul-
sory arbitration and feel that the trusteeship
could have been set up instead to settle the
dispute. More than 7,300 residents of York
county were in favour of setting up a tius-
teeship whereby the board's activities would
be suspended for a short period of time. The
Minister of Education then would become
responsible for school administration and for
negotiations with teachers. As soon as the
schools got back into full operation on terms
the province was willing to agree to, the
MARCH 13, 1974
271
trusteeship could be texminatedl and) a new
board elected.
Mr. Carruthers: The member doesn't be-
lieve that.
Mr. R. G. Eaton (Middlesex South): What
about local autonomy?
Mr. Riddell: In' that way, students would
have been back in the classrooms im-
mediately, and the issue of whether the trus^
tees were deemed to be right or wrong in
their position could have been decided at
the ballot boxes. There has been a prec-
edent for the setting up of a trusteeship,
and provisions for it appear in the Ministry
of Education Act. Furthermore, this idea
had the support of the OSSTF.
The Minister of Education also infringed
on local autonomy by establishing spending
ceilings.
iMr. Carruthers: Who elected the board?
Mr. Riddell: How could satisfactory nego-
tiations take place under such restrictions?
Now the minister has changed his mind and
has stated that ceilings will not be an issue.
Had the minister been in his present frame
of mind six weeks ago a lot of trouble could
have been averted. His introduction of Bill
274 last December alienated all of the teach-
ers in the province-
Mr. W. Hodgson: Did Roth write the mem-
ber's speech for him?
Mr Riddell: His introduction of Bill 12,
which includes a section stating that pupil-
teacher ratio be negotiable, no doubt will
ahenate many of the trustees. I am certain
the students in the school system are not too
happy with his performance these last two
months either. It would be diflficult not to
develop a persecution complex in this situa-
tion.
Much valuable time has been lost in this
dispute, and it is the students in York county
who have been the real losers. Since they
have a lot of catching up to do, I suggest
that classes be held next week instead of
having the scheduled spring break. Further-
more, if the curriculum is not finished on
time, perhaps the school year could be ex-
tended a couple of weeks in the summer
in order to complete the courses.
In conclusion, I can only reiterate my ob-
jections to compulsory arbitration which
prevent me from supporting this bill. I agree
with the minister that this strike should be
resolved, but I do not feel that this end
justifies his means. The only praiseworthy
aspect of Bill 12 is the negotiability of pupil-
teacher ratio, which I hope will now be
established as government policy for all
boards across the province.
Thank you.
Mr. Speaker: The hon. member for Port
Arthur.
Mr. Foulds: Thank you, Mr. Speaker-
Interjections by hon. members.
Mr. Foulds: Mr. Speaker, I rise to oppose
Bill 12. I hope what I say will not be pro-
vocative.
Mr. Carruthers: With a deep sense of
responsibility.
Mr. Foulds: I want to say it in terms that
I hope will have some impact in solving the
dispute that is currently going on in York
county.
Mr. R. Haggerty (Welland South): Why
didn't the member's party oppose it on first
reading?
Mr. Foulds: I want to endorse what the
leader of the New Democratic Party said at
the outset of our remarks on this debate.
And, uncharacteristically of me, I want to
say some kind words about the Minister of
Education.
You know, Mr. Speaker, if I had been a
Tory Minister of Education and had brought
in this bill, frankly, I would have been
relatively proud of myself. I think that we in
the opposition and that teachers throughout
the province taught the minister and his
ofiBcials a lesson over Bill 274 in terms of
drafting legislation. Perhaps unfortunately for
us and for the teachers, the ministry learned
that lesson too well.
The bill is basically a well-drafted one.
There are one or two amendments that we
will probably be putting during the clause-
by-clause debate. But having said that, as
everyone in this House fully realizes, I am
not a Tory Minister of Education. I am a
socialist critic of education in this province.
And because I am a socialist and because I'm
a democrat, I cannot accept the Tory view
that force and compulsion are an acceptable
way to settle this kind of dispute. Because
I'm a socialist, I cannot accept it when that
force and that compulsion are aimed pri-
marily at the workers— in this case the teach-
ers. Although the bill, in terms of its guaran-
tees, slaps the board firmly on the wrist, it
kicks the teachers firmly in the solar plexus.
272
ONTARIO LEGISLATURE
I want to say that there have been mis-
takes in judgement in the York county dis-
pute; and there have been mistakes in judge-
ment, frankly Mr, Speaker, on all sides and
by all parties involved. There has been one
monumental mistake on the part of the
government and the minister that I want to
deal with. There is no doubt in my mind
that in the public perception that mistake has
been retrieved in the past week by the
initiative of the minister but that initiative
would not have been necessary if he had not
made the initial mistake.
Before I go into that, I want to re-em-
phasize our party's position of principle that
we believe in full and free collective bar-
gaining rights for teachers; or for any other
group of workers who have to negotiate a
collective agreement with management. And
in this case, even when those workers are
full professionals they still— because of the
way that they have their contracts; the way
that they have to negotiate wih boards— must
realize that they are in a collective bargain-
ing situation.
The mistake that the minister made that
I want to talk about for a few moments— the
monumental error in judgement— was that
he allowed the board to parade a fiction be-
fore the parents and students of York county
and before the public of this province. That
fiction was that the schools remained open.
There was a fundamental contradiction in
the government's thinking. On the one hand
the minister to some extent, and the Premier
(Mr. Davis) to a larger extent, talked about
the teachers* strike. On the other hand, they
agreed to the technicality that the York board
foisted on the people of this province that
their schools were remaining open and the
minister did not withdraw, in their entirety,
the grants from the board of education. And
he should have done that.
He said this afternoon during question
period that that amount of moneys for teach-
ers* salaries would be withdrawn, as it was
in the Windsor dispute last year. But what
has happened is that the full economic pres-
sure that is a fundamental part of any collec-
tive bargaining process was not brought to
bear on both sides— and it was not brought
to bear in this case on management in the
board.
Knowing the peculiar view of education
that the York county board has, and in par-
ticular the director of education of that board,
the minister's inaction in not withdrawing
the full grants was a positive encouragement
to the board to keep the dispute going. In
fact, they made a little bit of money on the
dispute. Without the full complement of
students, the use of supplies, the wear and
tear on the buildings, and the maintenance
costs will not be as high.
This peculiar action— this particular inac-
tion, I suppose— has in fact exactly reversed
the normal economic pressures that should
have been brought to bear.
Okay, let's talk briefly in a historical con-
text. What should and what could the minis-
ter have done? As I have indicated, we feel
that he could and should have withdrawn all
the grants for the secondary components of
the school system from the York county
board and not allowed them this fiction that
the schools were remaining open. He should
have done so until the dispute was settled.
He could have taken an initiative some
weeks ago, at various points in time, perhaps
after he received the report from Mr. Mancini
about the fundamental importance of the
pupil-teacher ratio item in the dispute. When
it became apparent that it was unable to be
settled or agreed to or even talked about by
the board, he perhaps should have introduced
a bill which would have given him the power
to negotiate on behalf of the trustees with the
teachers.
Mr. Haggerty: He has got that power
now.
Mr. Foulds: He should then have sat down
directly with the teachers and come to an
agreement, especially over that contentious
pupil-teacher ratio issue and, if it was neces-
sary—and frankly I don't think it was neces-
sary in this particular dispute— but if it was
necessary he should and could have then
adjusted the weighting factors in the ceiling
so that a just settlement could have been
reached if, indeed, the ceilings are the cause
of the breakdown in negotiations which,
frankly, Mr. Speaker, I don*t think they are.
We in this party do not feel that he should
have put the board into full trusteeship, thus
depriving York county of its so-called local
autonomy. After the agreement had been
reached he should have turned the aff^airs
of the board immediately back to it, and the
people of York county can then deal, this
coming December, as they see fit with their
elected representatives.
The York county dispute, of which this bill
is the culminating point, does not reveal the
inadequacy of full and free collective bar-
gaining because full and free collective bar-
gaining has not taken place in York county.
What it does display are some of the funda-
MARCH 13, 1974
273
mental weaknesses of the educational system
and of the county system of education.
I have been in York county twice person-
ally—I have a couple of very close personal
friends who live in that area— that is, I have
been twice since the dispute started. One
cannot help realizing that the growth of the
county system in York has put the educa-
tional system at a distance from the people
of that county. One cannot help realizing that
the county system of education in York put
the system into the hands of the bureaucrats
in York county, and the trustees have, unfor-
tunately, accepted the bureaucratic view of
education.
That frankly is a danger not merely in
York county. It is a danger throughout the
province because there is no doubt that the
administrative staffs of the large boards fun-
nel the information the elected trustees get
so that when they make their decisions they
do not, in fact, have full access to all sides
of every question.
If I can digress for a moment I know, for
example, that is true with the Lakehead
Board of Education over the dispute we
have had going on there since November
about the sale of rural school properties. The
same thing applied, I am convinced, to the
negotiation dispute between the teachers and
the board in York county. York county has
perhaps the highest ratio of administrators to
teachers of any board in the province; it is
certainly one of the highest. The structure
that they have with the ministry's director
and area superintendents, and the hierarchy
under them, down to the principals, down
to the teachers, virtually makes communica-
tion impossible.
Mr. Bounsall: Nil, not at all.
Mr. Foulds: The member for Scarborough
West (Mr. Lewis) referred earlier this after-
noon to the series of rules that the board
has. It is almost like the old-fashioned series
of rules, about 47 in number, that we had
when we were going to school, about not
chewing gum and right down to walking on
the left-hand or the right-hand side of the
hallways-
Mr. F. Laughren (Nickel Belt): Up the
down staircase.
Mr. Foulds: —and you can't go up the
down staircase or down the up staircase, and
so on.
Mr. G. E. Smith (Simcoe East): No feet on
the desk.
Mr. Foulds: Well, the way the teachers
have to communicate they can't go directly
to the superintendent, according to the board's
formula for communication. They have to go
through all these eddies and channels. There
is no chance. So the York county system of
education distanced itself not merely from the
parents and students, it distanced itself fund-
amentally from the people who are the people
who make the system work— the teachers.
So while the teachers were desperately
fighting for a pupil-teacher ratio comparative
to other pupil-teacher ratios in the province,
there were more administrators per teacher
in that board than in the vast majority of
other boards throughout the province. In
other words, York county was one of those
places where real economies could have been
achieved and should have been achieved in
administrative salaries and costs. But, of
course, the administrators couldn't allow that
to happen.
I want to make the point that my colleague
from York South made earlier today and one
that I am fond of making. I've said it to
teacher groups and I've said it to trustee
groups, that if I had a propaganda ploy to
offer to my friends in the teaching profession,
I would suggest to them that when they talk
about working conditions in their press re-
leases they make damn good and sure that
the public imderstand that they are talking
about learning conditions for the kids in the
classroom; that a lower pupil-teacher ratio
doesn't mean an easier load to the teacher.
What it means is that he could pay some
individual attention to those children in the
classroom who are having genuine problems
in comprehension and need that extra atten-
tion.
If I may, for a few moments I want to
Outline a brief history of the York county
negotiations, but before I do that I'd like to
read the eight basic objectives that the teach-
ers in York county have made from the be-
ginning of their negotiations.
No. 1, they wanted a grievance procedure
and a redress of grievances related to the
1971-1973 agreement. Very interesting that
the second part of that is a redress of the
grievances. That indicates that something is
not going right in York county. They wanted
the maintenance of the OSSTF certification
as the basis for salary status.
Do you know, Mr. Speaker, what the ad-
ministrator in York county wanted to do to
teachers who have been teaching for the
board for a number of years, who have the
top qualifications— category 4 it is called in
274
ONTARIO LEGISLATURE
the secondary school panel— specialists with a
certain number of years experience? The
board administration wanted to reduce sum-
marily the category of that teacher if he were
no longer teaching 50 per cent or more of his
timetable in his specialist subject, even though
that reduction may have taken place not be-
cause of the teacher's choice but because of
the implications of HSl and because the
board couldn't timetable him a full timetable
of his specialty subject.
(The third objective that the teachers were
holding out for was tenure for competent
teachers. It seems reasonable to me. Stabiliza-
tion of the pupil-teacher ratio at the 1972-
1973 level doesn't seem unreasonable. They
don't want a reduction, they want a stabiliza-
tion at the 1972-1973 level.
They wanted the restoration and negotia-
bility of board policies relating to teachers.
In other words, diey didn't want board policy
arbitrarily to say to the teachers within their
employ, "Thou shalt not do this, thou shalt
not do that."
iThey wanted a realistic salary grant. As
item 6 in their list of priorities, they wanted
acceptable clauses on positions of responsibili-
ties, a certain allowance vis-a-vis head shifts
and other positions of responsibility within
the school itself and improved fringe benefits.
Mr. Speaker, with those objectives in mind,
which seem entirely reasonable, the first blast
from the board side in the dispute was issued
on May 16, 1973-almost a year ago; 10
months ago anyway. In the spirit of goodwill
that supposedly surrounded those negotia-
tions, according to our friend from York
North, the chief negotiator for the board said
as early as May 16 to the teacher negotiators,
York County Board of Education "could re-
place every teacher at the same salary."
Markham trustee John Honsberger told
secondary school teachers this the week pre-
viously, according to the Aurora Banner. He
made the comment at a salary negotiation
meeting between a committee from the board
and the negotiating team of the Ontario
Secondary School Teachers' Federation, Dis-
trict 11. "While the board recognizes that
there has to be a salary increase," he said,
"you OSSTFs should recognize that every
position could be filled with others who
would like to come to work with us."
That's really encouraging, isn't it? That
really means, "Yes, you teachers from York
county, we like you, and we want you to be
there with our kids." You know what the
OSSTF replied, from Dave Robinson who was
one of the chief negotiators at that time— one
of the local negotiators, I might say, Mr.
Speaker?
He said, "The trustee's statement could be
interpreted as a veiled threat." What land of
a reasonable man is this David Robinson?
He says, "could be interpreted as a veiled
threat." When the management says to you,
"We can take away every one of your jobs
and hire somebody els© to take your place,"
and the negotiators simply say, "That could
be interpreted as a veiled threat," that is
mildness indeed. That is reasonableness
indeed.
No wonder the OSSTF in York county
wanted a grievance procedure. No wonder
they wanted an adjudicator appointed at that
time over the grievances, and no wondter they
wanted to be able to seek redress from prin-
cipals for actions that they considered arbi-
trary and for actions from other administra-
tive oflBcials.
:Then Mr. Honsberger at the same meeting
had the nerve to say, "Before we talk about
clauses in the agreement, I want to know
who the contract is between." Well, who the
devil does he think it's between? He is a
trustee. Does he not read the Ministry of
Education Act? And, very cleverly, because
Mr. Honsberger is a lawyer, he said, "The
board in the position paper states that the
OSSTF is in law a stranger, because there is
no contractual, no employer-employee rela-
tionship." Well, Mr. Honsberger was right
about one thing. In York county, from all the
evidence that has accumulated, there is and
there has been no employer-employee re-
lationship.
In October-the fall now -of 1973 the
OSSTF got a salary bulletin out to its mem-
bership. Unfortunately, that is not a very
good title for this document, because by this
time the teachers in York county were not
primarily concerned about salaries. They
should have been entitling it "Negotiation
Procedure Bulletin." But at that jyoint the
board had "categorically refused to negotiate
such items as pupil-teacher ratio, transfer,
tenure and grievances under the present
agreement"— transfer and tenure.
I want to tell you a little jmecdote, Mr.
Speaker. You know, at one point, I think it
was about three years ago, a teacher in York
county who had considerable seniority but
was in her early 60s did not want to teach a
full load and asked to be put on half time;
she even gave up her seniority to be able to
do that. But you know what happened a year
or two later? Because she didn't have that
seniority, the board wanted to get rid of her
—after she had served that board for some
MARCH 13. 1974
275
25 years. That's the kind of good faith shown
by the administration and the trustees in
York county.
The other interesting thing that occurred
on Thursday night after a meeting between
the negotiating team of the OSSITF and the
trustees wasi that the board categorically re^
fused to consider arbitration to resolve differ-
enoes. The board had categorically refused'
to consider arbitration to resolve differences
imtil legislation was introduced requiring it,
Mr. Speaker— "until legislation is introduced
requiring it." In October of 1973 the board
negotiators were waiting for the legislation
requiring arbitration. They were waiting for
this night.
Earlier, on Sept. 18, the county board of
education tried another cute I'ittle ploy. They
got out what they called an open letter to
the secondary school teachers of York county.
They tried to bypass the negotiating team of
the OSSTF. It's the oldest game in the book,
Mr. Speaker— divide and conquer. Breed dis-
trust amongst the working people— in this
case, amongst the teachers in your negotiating
team.
But in that open letter there is a very
interesting phrase— very interesting indeed.
The York County Board of Education said,
and I quote: "The York County Board of
Education teachers, on average, surpass their
neighbours in qualifications and experience."
That seems very nice, very complimentary
except— do you know what they tried to use
that for, Mr. Speaker? That's revealed on
Oct. 4 in a memo from the president of Dis-
trict 11 to the teachers, to his colleagues.
And there's this very interesting clause-
clause 1.1, subsection 11 of the 1971-1973
agreement. That clause says: "Where a teach-
er requests and is granted a teaching pro-
gramme which for more than 50 per cent of
the teaching time is in an area of the cur-
riculum other than in which his categorization
is based, he shall be paid one category lower."
The teachers' agreed to that in 1971-1973,
but notice the key words, "Where a teacher
requests and is granted . . ."
In 1972-1973 there was a dispute regarding
two teachers in that school year— and in fact,
pardon me, it was four teachers. In the spring
of 1972, four teachers of area 1 of the county
were notified there was not likely to be a
timetable available which utilized their high-
est certification for 50 per cent of the time.
It was pointed out— not agreed to, not re-
quested—it was pointed out they would be paid
one category lower than their category as
established by the OSSTF certification board
if they wished to stay and accept the avail-
able classes.
In the autumn of 1973 that category of
teachers, that sizable group was given that
option— that is, "accept this lower categori-
zation, accept this timetable which we are
forcing on you of less than 50 per cent of
your specialist subjects. "There was no re-
training programme, no encouragement for
them to stay on, no grandfather clause.
So finally, in this situation, at this sort of
initial first stage of the dispute, the local ne-
gotiating team convened a mass meeting of
the secondary teachers of York county on
Oct. 17. There were 696 seats in the theatre;
there were approximately 866 secondary
school teachers in York county. The theatre
was full, there was standing room. Over 95
per cent of the teachers were present at the
meeting. The teachers' local negotiating chair-
man, Dave Robinson, recommended to the
assembled teachers that a request be made to
the provincial executive of OSSTF to take
over the negotiations. The motion passed by
98 per cent of the secret ballots cast, Mr.
Speaker.
What that indicates, very briefly, is of
course that there was no attempt by the Bay
St. boys of OSSTF to come and take over.
That is interesting in the chronicle of events
in York county, because there was a delibe-
rate attempt on behalf of the trustees, to
paint the negotiators for the teachers as pro-
vocateurs from outside.
An executive officer of the OSSTF, a Mr.
Vince Mathewson, took over as chief negoti-
ator at the request of the local teachers. On
Nov. 23 he had to report to the membership
in York county there was a meeting that even-
ing, or that day— pardon me, the previous
Wednesday— and that the central discussion
was the matter of pupil-teacher ratio. The
board resolutely refused to give any assurance
that a PTR commitment would be made to
the teachers in the agreement or anywhere
else."
The teachers submitted specific proposals
at a meeting the following Thursday and
reported back to their membership. Actually,
the date of this document is very interesting.
It is Dec. 10. So that while negotiations are
going on in York county over these things,
things are happening on the provincial scene;
because of course you remember, Mr.
Speaker, that Dec. 10 was the day Bill 274
was introduced.
276
ONTARIO LEGISLATURE
Mr. S. Lewis (Scarborough West): A black
clay.
Mr. Foiilds: Now on that day the negotiat-
ing team got out an llth-hour bulletin which
dealt with that, but also dealt with the matter
of what was happening in York county. Ru-
mours were being perpetrated that salary was
the important item of dispute. So to allay
that fear they told their members:
The provincial executive negotiating
team met with the board negotiators Thurs-
day evening, Dec. 6, 1973. Some progress
can be noted.
How optimistic these fellows are. How naive
they are. How generous they are in viewing
their opponents.
Some progress has been noted in that
a number of clauses have been determined
as mutually acceptable and carrying tenta-
tive agreement. There were discussions on
terms and conditions of work. To allay
apparent apprehensions we reiterate that
terms and conditions of work are high on
our list of priorities.
Then, Mr. Speaker, your friend and mine,
a person who has been mentioned in this
Legislature before, the person who colours
all of the negotiations that go on in York
county, decided to hold a press conference.
He decided to say at that press conference
that the provincial teachers' federation used
"clever psychological manipulations to per-
petrate the mass resignations of 667 York
secondary school teachers." They had been
"brain-washed," he said at a board news con-
ference in Richmond Hill.
Who is this Mr. Chapman? He is a very
interesting man. He is not working for the
York County Board of Education this year,
yet he is central to the whole negotiation
procedure. He is on leave of absence with
OISE.
Richmond Hill's gain or York county's gain
was OISE's loss-and OISE can ill afford any
losses. But Mr. Chapman, while being on
leave of absence, is a special consultant for
the negotiators of the York county board.
And he says to this news conference: "I have
absolute data that says they don't even know
the items being negotiated"— "they" being the
rank and file teachers in York county.
Without applying the label specifically to
the Ontario Secondary School Teachers'
Federation, Mr. Chapman said: "Provocateurs
instigated the current state of unrest amongst
the teachers." The fact is, Mr. Speaker, you
don't need provocateurs to come in. You have
got them right there. There are the board
trustees and Mr. Chapman. He's the outside
provocateur, because he's supposed to be on
leave of absence.
There is a fellow called Bob Roth who
writes an editorial page column for the Aurora
Banner. He saw through this press confer-
ence. He saw through these megalomaniac
charges. He said, and I am quoting from Mr.
Roth:
The tactic of trying to find a scapegoat
for real social, economic or political prob-
lems is not new and history has shown the
effectiveness of uniting people around a
threat of an "outside enemy."
Remember, this was around Dec. 10, Dec. 18,
and those fateful days. From the Ministry of
Education we were hearing words about
"mob rule." I think we were even hearing it
from the Minister of Education.
Mr. Laughren: We certainly were.
Mr. Foulds: And from the local board in
York county they were hearing of "intimida-
tion' and-get this-OSSTF's "leapfrog tac-
tics." The imagination boggles.
The image that the board was trying to
create was that those university-educated
people teaching in our schools were actually
mindless automatons, that they were puppets
of the negotiating team.
Mr. J. E. Bullbrook (Samia): It's easy to
write, but tough to say.
Mr. Foulds: No, it is not tough to say; it
is easy to say. Maybe it is hard to say for
someone like the member for Samia, who is
inarticulate— though I take that back. I with-
draw that remark about the hon. member for
Samia.
The board was trying to convince the
people in York county that somehow the
teachers were subject to an intricate brain-
washing process by the sinister outside force,
OSSTF leaders at 1260 Bay St. Well, the fact
that they are on Bay St. sometimes causes me
a little unease; but they are at the right end
of Bay St. They are not down there in the
financial section, yet.
Then we had the appointment of Mr.
Mancini as the mediator.
Interjections by hon. members.
Mr. Foulds: Then we had the report from
Mr. Mancini that the leader of the New
Democratic Party spoke about earlier today.
I won't go into that in detail. The crucial
point was, it was apparent at the end of
January that, if the crucial pupil-teacher ratio
issue could have been solved everything else
basically was operational fall out. The other
MARCH 13, 1974
277
items would have fallen into place in a very
reasonable and short time.
Nobody goes on strike lightly.
Hon. J. R. Rhodes (Minister of Transporta-
tion and Communications): The member is
calling it a strike, is he?
Mr. Bounsall: Sure, it has been called that
all day.
Mr. Foulds: I didn t say that.
Mr. Bounsall: Where has the minister been?
It has been called that all day.
Mr. Foulds: Just wait till I finish the
speech.
Hon. Mr. Rhodes: Is he calling it a strike?
Mr. Foulds: Go back and build a few roads
in northern Ontario.
Interjections by hon. members.
Mr. Speaker: Order, please.
Mr. Foulds: Go back and build a few pass-
ing lanes around Schreiber and Kenora.
Hon. Mr. Rhodes: Is the member calling it
a strike?
Mr. Speaker: Order, please.
Mr. Foulds: If the minister will stop listen-
ing with his mouth, Fll tell him.
Mr. Bullbrook: Why doesn't the member
call it a strike and make him happy?
Hon. G. A. Kerr (Solicitor General): He
should get another volume of statutes there.
He is leaning over.
Mr. Foulds: Well, I was told I was too
S'hort when I started.
Mr. Bounsall: If the minister had been here
before, he would have heard.
Mr. Foulds: No one, Mr. Speaker, goes on
strike lightly.
Hon. Mr. Rhodes: I get it, it's a strike.
Interjections by hon. members.
Mr. Speaker: Order, please. The hon. mem-
ber for Port Arthur has the floor.
Mr. Bounsall: Sign some more letters.
Mr. P. G. Givens (York-Forest Hill): Let
the man proceed.
Mr. Foulds: Even more so, no teacher re-
signs his job lightly, because undter current
lack of legislation, the teacher doesn't have
the absolute right back to his job. If he re-
signs he uses that collectively. For all intents
and purposes, for my friend from Sault Ste.
Marie who doesn't seem to understand it, it
is a strike. But he does not have, like the
striker has, the guarantee of job security at
the end of the dispute.
Mr. Bounsall: That's the difference.
Mr. Foulds: As the pressure mounted, and
as the dispute progressed, it became abun-
dantly clear that the pressure was being
mounted and applied by those who had a
very narrow, mechanistic view of edlication,
by those who believe that education can only
take place inside a school building and that
students need to be spoon-fed knowledge be-
tween 9 o'clock and 3:30 in the afternoon in
Httle rhythm timetabled periods.
There were heart-rending stories of the
educational deprivation being suffered by the
students. One I recall, I believe it was from
the Star but it could have been the Globe,
detailed the plights of half a dozen York
county students who were "bored," Mr.
Speaker. One of them even had to resort to
practising with his kid brother's yo-yo five or
six hours a day. I think he was' trying to loop
the loop or do the around-the-world trick.
Hon. Mr. Kerr: Those are heroes the mem-
ber is talking about.
Mr. Foulds: Anybody who feels that be-
cause the school isn't going that's the alter-
native has a very sad view of edtication.
Hon. Mr. Rhodes: Where is the member's
leader?
Hon. Mr. Kerr: That is the norm the mem-
ber is talking about.
Mr. Foulds: Our education system has
failed him, if, by the time he's reached high
school, that's his attitude to it. Meanwhile,
what was going on in all those so-called open
schools, in those schools that the board was
keeping open, and for which the minister was
continuing to pay some portion of the grants?
One studtent, a Miss Lisa Daniel, wrote the
Globe and Mail and said, "Perhaps you would
be interested in what is going on at school-
Mickey Mouse and other exciting films and
card games." That's what was going on in
the school building.
Hon. Mr. Rhodes: Read all the Globe and
Mail letters. Read them all and the editorials.
Mr. Foulds: Does the minister want me to
filibuster? I wouldn't think of it.
278
ONTARIO LEGISLATURE
Hon. Mr. Rhodes: He has been filibustering
since the day he came in here.
Mr. Foulds: Mr. Speaker, will you stop him
from inciting me to unparhamentary activity?
Hon. Mr. Rhodes: Read them all.
Mr. Laughren: That promotion has gone to
the minister's head.
Mr. Foulds: Meanwhile, what had the
teachers done? The teachers in York county
had taken several steps before the walkout,
before the withdrawal of services, to ensure
as far as it was humanly possible that none
of the students suffered.
Many of them assigned essay and reading
assignments in English and history, and a
series of math problems. And they made
available to their students, the teachers of
York county, their home phone numbers so
that if they were having problems they could
receive personal attention on those sections
of the assignments that had been given to
them that they were having difficulty with.
The teachers would not go back into ths
schools to do that, but they would arrange
to meet with the students, say at one of the
student's houses. Later on a fuller system
developed.
I want to quote from a memo that one of
the principals sent to the teachers. The prin-
cipal of Richmond Hill High School said, in
a bulletin to his staff just before the with-
drawal of services, and I'm quoting directly:
In moving around the school and in
talking to teachers, I have formed the firm
opinion that teachers are working even
harder than usual and planning ahead in
preparation for a possible break in daily
routine. This obviously is being done in an
effort to see the students in their charge do
not suffer any more than is absolutely
necessary. I think this is admirable and
that the teachers are to be commended.
Hon. Mr. Rhodes: He is reading, Mr.
Speaker.
Mr. Foulds: Of course I'm reading. I'm
reading. I'm trying to quote directly from this
memorandum.
An hon. member: The minister is signing
letters that other people have written for him.
Mr. Bounsall: Don't be jealous of him.
Mr. Foulds: Well, it's better than signing
letters without reading them as the minister
is doing.
An hon. member: Doesn't the member wish
he could do it?
Hon. A. Grossman (Provincial Secretary for
Resources Development): He just wants to
prove that he's educated, that's all.
Hon. Mr. Rhodes: I know I can, but he is
trying to prove it.
Mr. Speaker: Order please.
Mr. Foulds: At the same time, as soon as
the dispute, the withdrawal of services took
place, a tutorial centre system was designed
by the teachers and it was operating from the
beginning of the strike, Mr. Speaker. Initially,
it is true, assistance was provided only for
the grade 13 students, but later the scheme
became across the board and provided access
for any student requesting help. Students
were given the phone number of the OSSTF
office located in the Legion Hall in Richmond
Hill.
Hon. Mr. Kerr: Were they on the payroll?
Mr. Foulds: Then one of the five centres
got in touch with the student to arrange for
seminars and so forth. The centres were
located in Markham at St. Andrew's United
Church; in Richmond Hill at Richmond Hill
United Church; in Thornhill at the Holy
Trinity Church; in Woodbridge at the Cal-
vary Baptist Church; and in Stouffville at the
Stouffville United Church.
Hon. Mr. Kerr: How about the pool hall?
Better balance it out with a pool hall occa-
sionally.
Mr. Foulds: That's what the minister would
do; that would be his physical education
class. But let's not impose his value judge-
ments on the teachers of York county.
Hon. Mr. Kerr: Or a gymnasium.
Mr. Foulds: Besides, what is wrong with
pool halls?
An hon. member: What has the minister
got against pool halls?
Mr. Foulds: Is the minister going to close
them down now that he is the Solicitor
General?
Hon. Mr. Kerr: No, no.
Mr. Foulds: A fine fuss!
Mr. Speaker: Order.
MARCH 13, 1974
279
Hon. Mr. Rhodes: The greatest bonus
education got in the province was when
the member quit and came here.
Hon. Mr. Kerr: No, nothing; it is the
churches I am worried about.
Hon. Mr. Grossman: It is an uneducated
debate on education.
Mr. Foulds: Only from the provincial
secretary's side.
Hon. Mr. Rhodes: The member has been
wrong up until now.
Mr. Foulds: An article in the Toronto Star
on March 4 outlined in some detail the way
the tutorial centre system worked. One of the
students, a Cathy Lemmon, said she was at
the tutorial centre in St. Andrew's United
Church in Markham because:
"It's where my teachers are. When they
go back to school I'll go back." She said
she had been studying at home until the
teachers opened the centres a week ago but
she's been able to keep up to date on her
school work and she's not worried about
failure.
Hon. Mr. Kerr: Dear Mr. Foulds.
Mr. Foulds: Go ahead; finish it, finish it!
Mr. Speaker: Order please. Allow the mem-
ber to complete his remarks.
Hon. Mr. Kerr: How much longer?
Mr. Foulds: You mean continue, Mr.
Speaker, not complete my remarks. Continue
surely.
Hon. Mr. Grossman: He should have fin-
ished half an hour ago, so let him finish.
Interjections by hon. members.
An hon. member: Some members haven't
even started.
Mr. Foulds: About 500 students were enr
rolled in the centres across York county and
attendance had been 80 to 85 daily. The aim
of the programme, basically, it is admitted,
Mr. Speaker, was to provide remedial aid and
the introduction of some new material; but it
points out that the teachers made every effort
to make themselves available to those stu-
dents who genuinely wished to pursue what
one of my friends from the Liberal Party
earlier called the book learning side of edu-
cation. In spite of the fact that the pro-
gramme was originally set up for the grade
13 students, no student at any level was
turned away. If they came through the doors
of the church halls they were given help.
What do we have here, Mr. Speaker? We
have the dispute in which the board has bar-
gained in bad faith from the beginning.
Mr. Camithers: Elected by the people.
Mr. Foulds: We have teacher negotiators
who have put counter proposals. I want to
relate another small incident which illustrates
the extent to which someone at the board
level, probably at the administrative level,
was provocative.
About three days after the teachers went
out, one of the science teachers in one of the
secondary schools had planned a trip, which
he does annually with his senior science stu-
dents, to go to one of the universities^ Water-
loo, I believe it was. He checked with the
OSSTF. They okayed the trip, s-o the teacher
could take those senior students on the outing
to the University of Waterloo. The insurance
on the school bus was applicable and valid.
The board refused, after some consideration,
to let that group of kids go to the University
of Waterloo.
That can only be seen, Mr. Speaker, as a
deliberate attempt to try to alienate the
parents and those students from the teachers.
That teacher was willing, not to go back to
the school building, but to go with his stu-
dents on a field trip which had been plaimed
for some time. There was no legal' reason why
it should not have takeni place. There was no
worry about insurance. There was no worry
about costs; but the board refused to make
the bus available.
We have a board that has' consistently
shown bad faith throughout the entire teacher
negotiations. We have teachers who have
made every effort, in individual and in collec-
tive ways, both through their negotiators to
make counter proposals and, privately in a
humane way, to make themselves available
for teaching or for learning to the children.
I want to say a bit about this so-called
dilemma facing the grade 13 students. A lot
of public outcry has been that the gradfe 13s
are going to fail the year and they won't be
allowed to go to university. What nonsense,
Mr. Speaker. Anybody who is familiar with
the secondary school system knows that the
high school students from grade 13 are
accepted into university on their Christmas
grade 13 marks and on their grade 12 marks,
not on the full year. Their applications have
already gone in. The university accepts them
conditionally provided that the remaining
school year marks have not fluctuated dra-
matically from those averaged, but the basic
280
ONTARIO LEGISLATURE
administrative decision about admission has
been made.
Hon. T. L. Wells (Minister of Education):
They need an April 1 mark.
Mr. Foulds: In York county?
Hon. Mr. Rhodes: Of which the member
knows absolutely nothing.
Mr. Bounsall: Is this minister going to take
part in this debate?
Mr. Foulds: Which is more than this min-
ister does; which is more than he knows.
Mr. Bounsall: When is he going to make
his speech?
Hon. Mr. Rhodes: Right after the member
for Windsor West.
Mr. Bounsall: I have made mine.
Mr. Foulds: One of the questions I want
to raise with this Legislature is, why is the
compulsion being forced on the teachers?
Even at this hour, as this bill proceeds
through the House, there is a possible 13th-
hour solution— not an' llth-hour one, but a
13th-hour one.
I would beg the minister to ask both par-
ties to execute a docvunent similar to the one
that he tried valiantly over the weekend to
get executed, but giving the teachers the
guarantees that the bill contains. Ask both
parties to go voluntarily— maybe later tonight
or tomorrow— and to accept that document.
But, Mr. Speaker, through you I say to the
minister, execute the document outside of this
Legislature. Don't contaminate the whole
negotiation process between teachers and
boards by forcing compulsion at this time
with this bill.
The leader of the New Democratic Party
said earlier that three representatives of this
party pleaded with three of the teacher nego-
tiators on Monday night last to try to see if
a voluntary settlement could be achieved. If
the minister is willing not merely to make
himself available but to take an initiative
tonight or tomorrow, before the bill passes,
to reach a voluntary agreement, we would
offer whatever good offices we have with the
teachers to reach that conclusion.
But I would very seriously beg the minister
and the government not to proceed with this
bill at this time-
Mr. W. Hodgson: Is the member serious?
Mr. Foulds: —because if they proceed with
this bill they colour the whole texture of
future possible negotiations with boards and
teachers, and they colour the general legisla-
tion that may be brought in subsequently, so
that it can no longer be dealt with on its
merits.
Mr. W. Hodgson: He can't be serious.
Mr. Foulds: The government has contami-
nated the laboratory, so to speak.
As I said in the debate on Bill 274, even
though this is one group, and it is only one
group, every time we take away the basic,
free collective bargaining rights of one group,
no matter how small, it becomes easier and
easier to do it to more and more groups.
That's why, although at the beginning of my
speech I indicated to the minister that he
and his ministry have learned a lot about
drafting legislation, and that the bill is well
drafted, we cannot accept it.
We cannot accept it because it embodies
that basic compulsory principle that takes
from one group of people basic civil rights.
We would like to see the bill suspended.
We would like to see a voluntary agreement
reached. And I would be willing to bet you,
Mr. Speaker, that given the guarantees that
are in the bill, as clearly spelled out as they
are in the bill, we would have at least a 70
per cent chance of getting that voluntary
agreement. I would urge the minister to
make that one last effort.
I don't want to be too florid in conclusion
but as to our attitude toward compulsory
arbitration, or compulsion in any bill, I might
paraphrase Macbeth: "You get so far steeped
in blood that it is as easy to cross over the
river to the other bank than to return."
Once we take those rights away from an
additional group of people, it is easier to do
it through the whole labour relations process.
We would ask the minister, very sincerely,
to withdraw the bill at this time. Thank you,
Mr. Speaker.
Mr. Speaker: The hon. member for Prince
Edward-Lennox.
Mr. J. A. Taylor (Prince Edward-Lennox):
Mr. Speaker, I rise in support of the bill.
Firstly, may I commend you on the fine
manner in which you are conducting these
proceedings. You not only grace that chair
but you certainly add dignity and charm to
the House. Secondly, I would like to com-
mend the Minister of Education, the Hon.
Thomas Wells.
Mr. Ferrier: Is that his name?
Mr. Taylor: I think has has done just a
tremendous job.
MARCH 13, 1974
281
Interjections by hon. members.
Mr. V. M. Singer (Downs view): A great
man.
Mr. Taylor: Just no question about it.
Mr. J. R. Breithaupt (Kitchener): Stand up.
Mr. Foulds: This isn't like the time in
December, is it?
Mr. Taylor: The dedication and the hard
work that he has put in here is just beyond
belief, just beyond belief.
Mr. Singer: Oh, yes, yes.
Interjections by hon. members.
Mr. Speaker: Order, please. Order.
Mr. Taylor: Thank you, Mr. Speaker.
Hon. Mr. Rhodes: Speaking of trouble,
where's the member for Grey-Bruce (Mr.
Sargent)? Tell him we—
Interjections by hon. members.
An hon. member: There won't be any
trouble-
Mr. Speaker: Order, please. The member
has the floor.
Mr. Taylor: Mr. Speaker, I don't think any-
one likes compulsory arbitration. However,
surely after 10 months-
Mr. Laughren: That's nonsense. The mem-
bers opposite just love it.
Mr. Carruthers: He believes in enforced
socialism.
Mr. Taylor: —of negotiation and concilia-
tion, some finality must be brought to the
bargaining process. And I think—
Mr. Foulds: Wasn't there somebody else
who thought there should be a final solution?
Hon. Mr. Rhodes: Quiet. Don't interrupt.
Mr. Taylor: I gather the member doesn't
believe in final solutions to anything. It
strikes me that the more dissension and dis-
cord he can inject into any matter, the more
chaotic the conditions be, the more he thrives.
That's his philosophy.
Mr. Foulds: Does the member check his
bed every night before he goes to sleep?
Mr. Taylor: I sure wouldn't want to find
the member for Port Arthur under it.
Interjections by hon. members.
Mr. Foulds: He doesn't need to worry about
that.
Hon. Mr. Rhodes: Like Maxwell Smart, he
keeps chaos alive.
Mr. Taylor: I think, Mr. Speaker, it has
been mentioned earlier, that we have to con-
sider, first of all, the students in the process,
and then of course the parents, the com-
munity, the province and the very nation.
It's all very well to say that the students will
not lose their year, but they are concerned;
they are very concerned. They are enrolling
in other classes; they are paying their own
tuition fees in order to enrol. Let the opposi-
tion convince them that they are not losing
something by having their schools empty of
teachers. They know they are, and if they will
search their conscience they will admit that
they are.
Mr. Carruthers: They haven't got any con-
science.
Mr. Foulds: Would the hon. member for
Durham get his feet ofi^ the desk?
Hon. Mr. Rhodes: The hon. member should
talk about feet on the desk!
Interjections by hon. members.
Mr. MacBeth: That's just about how hypo-
critical those people are.
An hon. member: That's right.
Hon. Mr. Winkler: Attaboy. Talk to them.
Mr. Ferrier: How come the member for
York West didn't make it to the front
benches there, into the cabinet?
Interjections by hon. members.
Mr. Speaker: Order, please.
Mr. Taylor: Mr. Speaker, if you examine
the bill, you will see that the negotiations in
connection with salary guarantee the teachers
a minimum of the last offer made to them by
the board.
Interjection by an hon. member.
Mr. Taylor: Now what rmion, what em-
ployee, would not like to start off the bar-
gaining process by bringing before the arbi-
trator the final offer of the employer? You
give me an example where that has happened
before, Mr. Speaker.
Furthermore, if you examine the bill you
will see that the pupil-teacher ratio is a
subject matter of arbitration. Again, I think
that is something which is probably incom-
282
ONTARIO LEGISLATURE
prehensible in terms of similar types of nego-
tiations.
Mr. Bounsall: It was there in all the others.
Mr. Taylor: The member challenges that.
Mr. Bounsalh It's been there in all the
others.
Mr. Taylor: A policeman doesn't say how
many policemen there are going to be in a
city to police that city.
Mr. Bounsall: It's there in all the other
cases of teacher negotiations.
Mr. Taylor: It's the city that determines
the number of policemen.
Mr. Foulds: They certainly do negotiate
that.
Mr. Taylor: Look at the fire departments
and so on.
Mr. Foulds: They certainly do negotiate
that.
Mr. Bounsall: The member would be sur-
prised.
Mr. Taylor: They certainly do not.
Mr. Foulds: Quite specifically.
Mr. Taylor: Any of that type of group
which goes to arbitration would be over-
whelmed by a piece of legislation which
guaranteed them those minimums, and to
be able to bargain from the base that has
been established by this legislation.
Mr. Bounsall: If the member doesn't like
it he can vote against the bill.
Mr. Taylor: What I am saying to the House
is that this bill is more than fair from the
teachers' point of view.
Mr. Laughren: I hope Hansard doesn't mis-
quote this.
Mr. Taylor: If the opposition members
were interested in really setthng that dispute
with the teachers they would be supporting
the bill. I think it is sheer hypocrisy to
oppose it.
Mr. Riddell: How would the member like
his child to be in a class of 40, particularly
during a chemistry lab? Does he think he
would learn?
Mr. Taylor: My friend, I have got a lot of
my education looking through a window.
Mr. T. P. Reid (Rainy River): What is he-
a Peeping Tom?
Mr. Singer: That was a very good' remark.
Mr. Bullbrook: Did Hansard get that dt>wn?
Mr. Taylor: I went to university after the
war.
Interjections by hon. members.
Mr. Speaker: Order, please.
Mr. Taylor: We were Iticky to have the
opportunity of attending school. And those
classes were so filled we attended in church
basements, theatres, whatever accommodation
we could get and we got our education. It
wasn't just a question of the physical plant-
it was a question-
Interjections by hon. members.
Mr. Speaker: Order, please.
Mr. Taylor: —of having that opportunity
there.
Hon. Mr. Rhodes: Let the member talk to
us; we understand him.
Mr. Taylor: They don't understand. They
doi/t want to imderstand.
An hon. member: Did Hansard get down
that remark of the member for Rainy River?
Mr. Givens: Hansard will say "inaudible."
Mr. Speaker: Order, pltease. Allow the
member to continue.
Mr. Reid: Tell him to go ahead.
Mr. Taylor: Mr. Speaker, they are just
afraid of the truth. The truth shall make one
free but they are afraid of the truth.
Mr. Laughren: Does the member think that
outside agitators caused the riots' in Attica
State Prison?
An hon. member: The conservative mem-
bers are doing all the interrupting here to-
night.
Interjections by hon. members.
Mr. Reid: We'd just like to hear a little
truth.
Mr. Taylor: The opposition are the people
that want to perpetuate the impasse. They
talk about provocateurs.
Mr. Laughren: Ask the minister if he be-
lieves that?
MARCH 13, 1974
283
Mr. Taylor: They talk about provocateurs'—
they are the provocateurs.
Mr. Bounsall: On his wife's birthday.
Mr. Laughren: Does he think that outside
agitators caused the riots in Attica State
Prison?
Mr. Taylor: My friend seems to have a
pipeline to these negotiations and' we appre-
ciate very well his principles, such as they
are.
Hon. Mr. Rhodes: Such as they are.
Mr. Taylor: But he is not the least bit in-
terested in solving a dispute in which so
many lives are at stake, the whole educa-
tional process.
Mr. Foulds: Such as it is.
Mr. Taylor: Mr. Speaker, it is—
An hon. member: He is a real motherhood
speaker.
Mr. Taylor: Mr. Speaker—
Itnterjection by an hon. member.
Mr. Taylor: What are they afraid of?
Mr. Foulds: Certainly not of the member's
speech.
Mr. Taylor: No, because the member is not
interested in putting students back in the
schools. He is interested in emptying the
classes.
Interjections by hon. members.
Mr. Taylor: He is interested in confusion
and chaos, agitation. He is interested ini strife.
Mr. Ferrier: The member is filibustering
here, that's what he is doing.
Mr. Taylor: He doesn't have a conscience.
He is not concerned with the studtents.
Interjections by hon. members.
Mr. Bounsall: We are concerned with the
credibility of his speech.
Mr. Bullbrook: I think they beat their
wives, too.
Mr. Taylor: It is with those remarks, Mr.
Speaker, that I rise in support of this bill.
Mr. Singer: To support the bill?
Mr. Taylor: The sooner the teachers' get
into the classrooms and the students get back
to their classrooms, the better for all and
the community.
Mr. Speaker: The hon. member for York-
Forest Hill.
Mr. Singer: Great fellow.
Mr. W. Hodgson: Hear ye.
Mr. Givens: Mr. Speaker, during the dinner
break, driving home and back, I was listen-
ing to the news reports on the radio on what
was happening here. The broadcasters were
indicating that there had been a meeting to-
day of the teachers' association up in New-
market, and reference was made to the fact
that even though the legislation had been
tabled, the debate was going on, would go
on for hours, and would go on tonight.
I sort of mused to myself that this wasn't
really much of a debate— an oratorial contest
perhaps, but not a debate in the sense that
anybody was going to make any points, that
those who opposed the legislation were going
to win anything by any stretch of the imagin-
ation or by any chance. The legislation had
been tabled, the Juggemaunt would roll on,
the die was cast regardless of what we in
the opposition would say, so it really \\asn't
in the nature of a debate.
I can see that the minister is waiting with
great patience to have the legislation passed,
because after many, many weeks of activity
in which he worked so very hard, he will feel
relieved. The only future embarrassment that
he may have is if the teachers decide to
defy the legislation, and I don't pose that
mischievously. It may happen.
Mr. P. J. Yakabuski (Renfrew South): Is
the member suggesting they should?
Mr. Givens: I think it is interesting that
last year when compulsory legislation was
tabled with respect to the elevator operators
they went back to work-
Mr. W. Hodgson: So vsoll the teachers.
Mr. Givens: —the moment that the legis-
lation was tabled, and here so far the teachers
have not gone back to work. I have to ask
myself the question as to whether, indeed,
this group, who in other circumstances and
many years in the past were small "c" con-
servative in nature, may find themselves to
be so militant that they may decide to defy
the legislation. I hope not. I don't think
there is anything to be gained from that.
Mr. Speaker, I still wish to say a few
words, not that I am going to convince any-
body, but I must say, sir, that I am alarmed
284
ONTARIO LEGISLATURE
at this piece of legislation. I have serious
misgi\ings about it, and I dare say, sir,
that the government may have misgivings
about it. There is nothing in this legislation
that they couldn't have tabled wrecks ago, and
I can't help feeling that they have some
misgivings because they have trod so care-
fully, as if they were v^^alking on eggs,
before bringing this down in the way that
they ha\'e. So they must have misgivings
and I have, and there are a few things I
want to say out of very deep conviction.
I am opposed to compulsory arbitration
and I will tell you why, Mr. Speaker. Some
of the reasons I will give you are not new,
you have probably heard them before, and
may I say this en passant, that people have
indicated-
Interjections by hon. members.
Mr. Givens: Well, I thought the members
were educated; we are talking about educa-
tion. That means "in passing."
Interjections by hon. members.
Mr. Givens: People have indicated their
concern about the students in this particular
area, that they weren't being educated. This
may be a good thing for the students, and
again I am not being facetious. I speak out
t)f conviction, out of concern. As the minister
has indicated that the students wall not suflFer
I don't know what he has got figured out
for them, but if he means that those of
them who were concerned about losing their
year won't, those who were concerned about
their scholarship status, or concerned about
going on to college will not have to be
concerned then that's fine.
But I really think that the trouble vdth a
lot of things in education is that students
learn vicariously or they learn from textbooks
and they do not learn from living. I think
that some of the older students might very
well benefit from this industrial strike that
they have lived through, because they will
begin to understand and to feel and to per-
ceive what it means to live through an in-
dustrial war, to live through a trade war, to
live through a union conflict which they are
seeing for the first time at first hand and
not vicariously.
Mr. Bounsall: Not through the vraidow!
Mr. Givens: Not through the window, yes,
and not as Peeping Toms but as people who
are part of this thing; they are concerned,
they are in the middle of the upper and
the nether millstone in this particular case.
I am against compulsory arbitration be-
cause I believe that in the field of con-
tinuing human relations you cannot force
people into a human relationship on a con-
tinuing basis by legislation or at the point
of a gun. I don't think you can do that in
a marital situation between husband and
wife, between a father and a son, a mother
and a daughter, or a brother and a brother.
You can do it in a court of law where you
have a plaintiff and a defendant who may
have a conflict over a business matter and
they resort to litigation, and they have a
hell of a fight in court and no matter who
wins they may appeal it or they may abide
by the decision, and they never speak to
each other again in a million years, and that's
all right; the conflict is resolved, it's arbi-
trated and it's settled. But where there is
a continuing relationship, where people have
to live with each other day after day, week
after week, month after month, you cannot
force it at the point of a gun, or at the point
of a piece of legislation.
When we are dealing with business and
family matters, where the law is specific or
even if it's sort of remote, we can interpret
and apply the law; but with respect to con-
tinuing relationships, we cannot do that— and
certainly not here. And we cannot teach chil-
dren under duress. Fancy a teacher standing
in a classroom— never mind the PTR, in any
classroom— trying to teach kids under duress
because they are forced to do this by legis-
lation.
Then there's the matter of the arbitrators.
The bill calls for the appointment of three
arbitrators. Where are these Solomons going
to come from? Where are these men who are
so sagacious, so wise, so clever, so perceptive
that out of nowhere and after many weeks of
conflict, they suddenly appear on the scene?
They'll be plucked from the background
somewhere, put into a situation of conflict
and expected to settle it when the minister
couldn't settle it, when all his high-priced
helpers couldn't settle it, when the repre-
sentatives of the union couldn't settle it and
so on.
Mr. Yakabuski: And the member for York
Centre couldn't settle it.
Mr. Givens: Where are these wise men
going to come from all of a sudden? And if
the minister has them and they are available,
why hasn't he found them before this, Mr^
Speaker?
Interjections by hon. members.
MARCH 13, 1974
285
Mr. Givens: Mr. Speaker, I believe, and my
colleagues on this side believe, that compul-
sory arbitration is only applicable-
Mr. W. Hodgson: Let's pass the legislation
and get on with it!
An Hon. member: Let's have the teachers
back tomorrow morning.
Mr. Givens: —in situations where matters
of public health and safety are at stake,
when life and death are at stake. It is not
enough to say that a certain industry or a
certain calling is essential. That is not the
criterion for compulsory arbitration. I think
garbage collection is essential, street sweep-
ing is essential, the running of elevators is
essential, the providing of a water supply is
essential, public transportation is essential. I
would not consider any of these fields in
which compulsory arbitration should take
place in a labour dispute. Police, yes; fire,
yes-
Mr. F. Drea (Scarborough Centre): The
Liberals voted for it. They voted for it a
year ago.
Mr. Givens: —hospital workers, yes— but not
in a case of this kind.
Interjections by hon. members.
Mr. Givens: Mr. Speaker, strikes are by
nature costly. Strikes are by nature incon-
venient. They are meant to be. They are a
form of economic warfare. They are painful.
But I tell you, Mr. Speaker, and I mean this
very seriously and out of a sense of convic-
tion, that this is the price we pay in a democ-
racy for the kind of society that we want
to have. Either we are prepared to pay that
price or we are not prepared to pay that
price. We on this side are prepared to pay
that price. We think it's essential for a free
societ\'. In the Soviet Union and in the "iron
curtain" countries such a thing could not hap-
pen, but it does happen here—and it is part
of the price we pay for freedom.
Mr. W. Hodgson: I can assure the hon.
member-
Mr. Speaker: Order, please. Order, please.
Mr. Givens: There is another thing that
concerns me, Mr. Speaker, It should concern
the minister and the government. I think it
should concern all of us. I say to the minister,
this group is an unusual group— I don't have
to tell of highly intelligent, highly educated
people. In the past, there has never been
much trouble with the teaching group in this
province. They are not militants. They are not
stevedores. They are not longshoremen. They
are not miners who perhaps haven't had the
opportunities of education that these people
have had. There hasn't been any evidence
that they are being led by militants, by Com-
munists, by Trotskyites or what have you.
There has been no evidence of this kind at
all here.
Now, if this particular group in our society
is conducting itself in this manner, Mr.
Speaker, I suggest to you that our society is
in trouble. I say this, as a member of this
government, even sitting on this side of the
House: We have got much to be concerned
about. If this is what we get from this parti-
cular group, this elite— they don't call them-
selves that, but I say they are by virtue of
their education, their background and their
upbringing— these people who are teaching
our kids, who have control of the minds and
the souls of our children, this is a matter of
very grave concern. Somewhere, Mr. Speaker,
we have failed. The minister has failed and
we have failed.
We have failed throughout the community
if this is what we get from this group, con-
sidering their background, their education
and their intelligence. And I don't blame
them. I don't say they owe us a higher duty
than anybody else, that they owe us a higher
sense of obligation, that they should conduct
themselves in a different manner or that they
have fewer rights than other groups. I would
expect a stronger sense of social obligation
from them, but something has gone wrong
somewhere. We should concern ourselves with
this, because these darned things— compulsory
arbitration now, and next year it will be
something else— they don't end it. This is
just a temporary ending of the situation. It
certainly doesn't solve the situation.
There are certain things, Mr. Speaker, that
puzzle me. For many weeks I was inundated
with mail which said that the reason the
teachers were behaving this way was because
of the ceilings that the government has im-
posed. The minister said in this House that
it was not because of the ceilings that were
imposed. The minister was asked the other
day, "What happens with the ceilings?" If,
as the minister announced in his statement,
there's going to be a floor in this arbitration
and no ceiling— he said ceilings would not
apply— then where will the money for the
settlement come from? Is this government
going to mortgage the future? Are the local
boards of education going to mortgage the
future? Will the board of education in this
286
ONTARIO LEGISLATURE
particular community mortgage the future for Does this mean that this is inexorable, that
the purpose of paying the awards which an
arbitrator will decide? What is the answer?
I wish the Minister of Education would
answer some of these questions that I'm
asking.
Another question I'd like to ask of the
minister, through you, Mr. Speaker: What is
he doing to forestall a similar situation from
happening with the CUPE workers in the
educational organization? There are the care-
takers and the sweepers and the cleaners and
the people who keep the boilers going. They
can also shut down the educational plant.
What is the minister going to do after he
settles this dispute? Does this bill include
them; or is this to be a precedent for what
he will do if he gets into trouble with them?
Mr. Bounsall: Theyll get around to it.
Mr. Givens: We'd like to have an jfnswer.
Now, how does the minister adjust what he's
going to do here for the pupil-teacher ratio
with respect to the declining registration; the
declining enrolment he obviously is going to
have next year? The minister has projections
of these figures and he knows he's going to
have a declining enrolment. How does he take
this into consideration on Bill 12?
There is another question I'd like to ask:
What does the minister do if the arbitrators
make a decision with respect to certain mat-
ters which are not enforceable; which cannot
be effectuated from the standpoint of adminis-
tration? They may make decisions which can-
not be put into operation.
Indeed, if everything is to be negotiable,
does that mean literally that every single
thing will be negotiable? What about the
length of the school year? Are the teachers
going to decide to elongate the school year?
Instead of making it an eight-month year,
they might make it a 10-month year or an
11-month year, and sort of telescope the
period of time that the students are in school.
Does it really mean every single thing? Will
it apply to extracurricular activities? Will it
apply to matters which are clearly policy
matters? I don't think this is made clear.
The last matter of concern that bothers
me, Mr. Speaker, is that since the province
pays something like 60 per cent and up to
90 per cent in some cases of the cost of
education, does this mean again that there's
going to be the sacrificing of local autonomy?
We're finding it in regional government, with
more and more centralization, more and more
decisions being made with respect to educa-
tion from the Kremlin right here in Queen's
Park.
it is irrevocable, that we're going to continue
on this path of further and further centraliza-
tion in the field of education— as there is with
respect to transportation and with respect to
regional government and with respect to
water resources and all the other things that
we've been dealing with in this Legislature?
I am very concerned.
The basis of our whole educational system
is supposed to be local autonomy— where
regional needs and local needs have a great
order of priority. This is not what we're
going to get under this system if the govern-
ment persists in this kind of legislation.
Hon. Mr. Wells: Does the member for
York-Forest Hill favour trusteeship taking
over the board?
Mr. R. F. Nixon (Leader of the Opposition):
I think it's better than imposing compulsory
arbitration.
Mr. Givens: I think it's better than what
the government is doing here. There's nothing
of a shotgun approach in the trustee system.
Well, answer that and explain it to me. I
would like the minister to explain it to me.
He can debate it. This is supposed to be a
debate, the radio broadcasters say.
Hon. Mr. Wells: Trusteeship would have
to be done by an Act of this Legislature.
Mr. Speaker: Order, please.
Mr. Givens: This legislation may rid the
minister of the temporary toothache he's got,
the temporary pain that he's got— but the
malady will linger on. The problems that I
have set out in these few remarks that I've
made here, I think are very very serious. For
these reasons I carmot support this legisla-
tion; and my colleagues can't support this
legislation. I hope that the minister will see
fit to answer some of the questions that I've
posed in the course of my brief remarks.
Mr. Speaker: The hon. member for Nickel
Belt.
An hon. member: Give him a stepladder.
Mr. Taylor: Get up off the chair.
Mr. Laughren: Mr. Speaker, if these dis-
paraging remarks about my stature persist,
even though I've tried to convince the mem-
bers of this House that from the time I
realized I had stopped growing one philoso-
phy carried me through life, and that was—
Mr. Drea: That was pretty early wasn't it?
MARCH 13, 1974
287
Mr. Laughren: Very early, yes! Particularly
I when I got to be a teenager and started to
I go out on dates, the philosophy was that—
Mr. Reid: Maybe that was what stunted
the member's growth.
I
f Interjections by hon. members.
Mr. Laughren: It did, believe me; I was
quite normal then.
Interjections by hon. members.
Mr. Laughren: Well never mind. It is
better to have loved a short man than not at
all.
Interjections by hon. members.
Mr. Laughren: Mr. Speaker, we in the
New Democratic Party have been maintaining
in the debate today that this bill need never
have been introduced. We believe that for
the reasons given by the members of the New
Democratic Party that the whole thing could
have been solved before it reached this state.
Mr. Taylor: What is the member going to
do about it?
Mr. Laughren: I must say that I don't in-
tend to repeat the arguments put forth by
other members. My main concern about this
bill is that unlike the members of the Liberal
Party I am opposed to compulsory arbitration
for all working people.
I do not believe, as they do, Mr. Speaker,
in isolating groups of workers into the haves
and have nots; some who are subjected to
compulsory arbitration, others who are not.
The member for York-Forest Hill should go
back and check the voting last year on the
elevator workers' dispute and find out how
his party voted. I don't believe, whether
working people are garbage men, or whether
they are civil servants or whether they are
teachers, that they should be subjected to
compulsory arbitration. I do not believe in
segmenting the work force in that way.
The Conservative Party, of course, uses
compulsory arbitration as a political weapon.
I don't think there's any question but what
they know very well what they're doing when
they impose compulsory arbitration on people.
It solidifies the kind of myths that are out
there already about working people; and the
Conservative Party is quite happy to capitalize
on those myths and even to give them an
added stature that they don't deserve.
As a matter of fact, I believe that the
members of the Progressive Conservative
Party in this province would be quite happy
to impose compulsory arbitration on any
group of workers if the delivery of goods and
services was disrupted in any way at all. They
have absolutely no principle involving the
rights of workers to free and collective bar-
gaining.
Mr. Drea: That is what the Waffle says
about the members and his colleagues.
Mr. Laughren: They have no commitment
to it. The member doesn't know me or he
wouldn't say that.
Mr. Drea: That's what they say.
Mr. Foulds: The member for Scarborough
Centre doesn't know them either.
Mr. Drea: Oh, I know them very well.
Mr. Foulds: Oh does he?
Mr. Drea: They are very honourable people;
they're in nobody's pocket.
Mr. Foulds: Oh.
Mr. Laughren: Mr. Speaker, it seems to me
that-
Mr. Foulds: Is he one? Is the member from
Prince Edward one?
Mr. Laughren: Mr. Speaker, it seems to
matter not to the government that it's not
possible to arbitrate good teaching, it's only
possibte to legislate the people back into the
classroom. They don't seem to realize either
that the imposition of compulsory arbitration
on any group of working people is a de-
meaning experience in itself. I don't know
how the government expects they are contri-
buting to the cause of education in Ontario
by imposing compulsory arbitration on the
teachers.
It's not that I'm overly concerned about
the teaching profession here, Mr. Speaker. It's
obvious that since in this last year the
Minister of Labour (Mr. Guindon) intruded
into the private sector to impose compulsory
arbitration on the elevator workers, no group
of working people in the Province of Ontario
is going to be safe from compulsory arbitra-
tion from that day on. This is probably just
the first of many such instances.
They don't seem to realize that compulsory
arbitration ruins the entire collective bargain-
ing process, because as soon as the two groups
involved in the dispute are aware there's
compulsory arbitration at the end if they can-
not reslove it themselves, there is no real
288
ONTARIO LEGISLATURE
reason why either side should make any ma-
jor concessions in the bargaining; none what-
soever, as long as there's compulsory arbitra-
tion at the end.
Mr, Speaker, there has been a lot of talk
by some members here this afternoon about
hypocrisy, and about taking different stands,
and I really wonder if the government doesn't
see how important this issue is, not just in
terms of any single group of working people,
but the whole question of people being in-
volved and having more of a say in the
environment in which they work.
They go through the motions of having
public input into the decision-making process
in Ontario, by Transportation and Communi-
cations having public meetings, the Ministry
of the Environment having public meetings,
Treasury and Economics having public meet-
ings, supposedly to get the opinion of the
public so that they can make decisions that
are closer to the people out there. And at
the same time they will not see that teachers
are just a part of the public who want more
of a say not less of a say in those things that
affect their work enviroimient.
il was reading a completely unrelated piece
of literature today. I came across a quote
from an economist— this was in 1970— Mr.
Jaroslav Vanik, and' I quote:
The quest of men to participate in the
determination and decision-maldng activi-
ties in which they are actually involved is
one of the most important socio-political
phenomena of our times. It is very likely
to be the dominant force of social evolu-
tion in the last third of the 20th century.
Mr. Speaker, my point is that as long as
boards like the York county board persist in
refusing to allow teachers to negotiate on
things such as pupil-teacher ratios— which,
after all, are as much a part of the learning
process as they are of the teaching process-
then they are flying in the teeth of the
changes that are going on in society around
Mr. Bounsall: They're back in the first two-
thirds.
Mr. Laughren: And I think that economist
puts it quite well. This issue is going to sur-
face again and again because the seeds of
discontent are in all of us in terms of want-
ing to have more and more and ever more of
a say in all the factors that affect the way
we live. To take away this right is going
against a major trend in this part of the 20th
century. People will no longer subject them-
selves to arbitrary measures, and of course
compulsory arbitration is just that— arbitrary.
You might very well ask what are the alter-
natives. Well, I think it has been documented
this afternoon and this evening that the Min-
ister of Education did have some alternatives
earlier on in the dispute, before the negotia-
tions deteriorated to the level that he felt
necessitated this bill we are debating now. I
wonder how he thinks the bargaining com-
mittee for the teachers could possibly ignore
that gauntlet that was thrown down to them
when the board said that they would accept
the resignations and hire new teachers. How
could the bargaining committee ignore that
kind of challenge and bargain any more with
that kind of nonsense?
'Mr. Speaker, we in the New Democratic
Party simply cannot support a bill that im-
poses compulsory arbitration on any groups
of working people in Ontario. This is truly
an offensive bill.
Mr. Speaker: The hon. member for York
West.
Mr. E. W. Martel (Sudbury East): He is
going to support the bill, I suspect.
Mr. MacBeth: Mr. Speaker, I welcome this
opportimity of saying a few words on educa-
tion in this province. This bill is not the end
of good' education that we have enjoyed.
Sometimes I think that we get overly alarmed
at the task we have before us. Education will
go on in this province with or without this
bill, and it will continue to be good edu-
cation.
Mr. Martel: Well then, vote against the
bill.
Mr. MacBeth: However, the main duty as
I see it today is to a certain group of stu-
dents who are not having the advantages that
the rest of the students of this province enjoy.
Our task, Mr. Speaker, is to be fair to those
students and to get them back in the cl'ass^
rooms where they belong.
Mr. Speaker, there is a time-
Mr. Martel: He reminds me of Spiro
Agnew.
Mr. MacBeth: -for oppressed' ^people to be
militant. There is a time for them to stand
up and say, "Our rights have been abused
and we must take forceful action."
But I look at the teaching profession across
this province and I say to you, sir, tliat they
have not been so badly abus^i by the citi-
zens of this province.
MARCH 13, 1974
289
They enjoy many rights and many privi-
leges and they are highly respected and rea-
sonably paid, and I think, sir, it is too bad
that at this time-
Mr. Martel: Not compared to lawyers.
Mr. MacBeth: —simply because they are
not receiving everything they think they
should receive— and I'm not saying they are
receiving everything they should receive; but
I think in taking a militant position, as
they are doing-
Mr. Martel: Who's militant?
Mr. Taylor: The member's militant.
Mr. MacBeth: —that they are doing a
-disservice to those they profess to serve-
Mr. Martel: I don't talk about lawyers
like that.
Mr. MacBeth: —namely the students of
this province.
This bill, sir, I say is regrettable but
it is necessary.
Mr. Martel: Where did they drag him
from?
Hon. Mr. Grossman: Take his feet off his
desk.
Mr. MacBeth: It is fine, Mr. Speaker, for
the opposition to tell us how difficult it is
and how wrong we are, but the opposition
are not charged with the responsibility of
the education of this province. They are
doing their duty when they criticize what
the government does, and I don't say that
they are wrong in criticizing this bill, but
the opposition has the advantage of not
having to be consistent. The government has
to be consistent and the government has to
bear the responsibility.
I say the bill is regrettable first of all-
Mr. Martel: So is the member's speech.
Mr. MacBeth: —because it interferes with
local autonomy and that to me is very im-
portant. I thiiik the good system of educa-
tion that we have enjoyed across this prov-
ince-
Mr. Martel: He sounds like Spiro Agnew.
An hon. member: Oh, stop his yapping.
An hon. member: Button up there, thin
Mr. MacBeth: Oh, don't mind him. I'm
not paying any attention to him and I don't
think many of the rest of the members are.
Mr. Martel: It is obvious the seals are,
they are all chattering. Give them another
fish.
Mr. Taylor: Ah quiet, Archie Bunker.
Mr. Martel: The member is the biggest
Archie Bunker around here.
Hon. S. B. Handleman (Minister of
Housing): Does the member want me to
tell them about Place Quebec?
Mr. MacBeth: I can wait until he subsides.
Mr. Speaker: Order, please. Allow the
member to continue.
Mr. MacBeth: I am content to wait, Mr.
Speaker.
Mr. Martel: Well, it's a lot of nonsense.
Mr. Taylor: No, the member for Sudbury
East is a lot of nonsense.
Mr. MacBeth: Mr. Speaker, I say it is re-
grettable because it interferes with local
autonomy and it is this local autonomy, this
close relationship among the people of the
community, their elected trustees and the
teachers in whom they have confidence, that
has built the good educational system that
we in this province enjoy. This bill inter-
feres with that. I think it is too bad, be-
cause in my mind if anything is a manage-
ment right it is this teacher-pupil ratio. All
of the members today-
Mr. Laughren: There should be no such
thing.
Mr. MacBeth: —in this debate have been
looking on school boards as management.
Mr. Martel: All right.
Mr. MacBeth: Mr. Speaker, you and I
have served on school boards together and
we know that school boards are not manage-
ment, they are the voice of the people.
An hon. member: Right on.
Mr. Foulds: But they are mismanaging.
Mr. MacBeth: Mr. Speaker, I am quite
happy-
Mr. Martel: Nobody else has rights, just
management.
290
ONTARIO LEGISLATURE
Mr. MacBeth: —and quite content— and so,
I believe, are the people of this province—
to leave the matter of teacher-pupil ratio in
the hands of their elected representatives.
This bill interferes with that and I say it
is regrettable.
Mr. Martel: He is voting against the bill.
Mr. MacBeth: Mr. Speaker, my third point
for saying it is regrettable is on the matter
of arbitration and salaries. I believe that
can rightly be handled and best be handled
by a close relationship between teachers
and their school boards.
Mr. Foulds: Do you know who he is, Mr.
Speaker? Pumblechook in Dickens.
Mr. MacBeth: And I have the pride of
having represented the people of my ward,
as it then was, on the Etobicoke school board
and at a time when probably Etobicoke was
doing more for teaching and teachers' salaries
in this province than any other board. It was
setting a course, it was leading, and that is
a pride that I personally have— that we were
IteadcTs in education at the time I was a
member of that board, and leaders in teach-
ers' salaries.
However, I come back to the point that
the teachers— at least, I suppose the ones who
are militant— are the product of the Spock
generation, are the ones who, because they
are not—
An hon. member: Like the NDP.
Mr. MacBeth: —getting exacdy what they
think they should have-
Mr. Foulds: Fifteen years old'— they are like
Mr. MacBeth: —they are the ones today
who are being militant.
Mr. Martel: They have said no at last, for
the first time in their lives.
Mr. MacBeth: They are saying, "Because
we don't get exactly what we think we
should, therefore we'll' go on strike."
Mr. Martel: Why don't you stop the law-
yers for a while, Mr. Speaker?
Mr. MacBeth: Mr. Speaker, this bill is re-
grettable, but regrettably it is necessary.
Mr. Bounsall: The member is sounding like
the Liberals.
Mr. MacBeth: And let me go on- a little
further.
Mr. Martel: Quiet, please! Go ahead.
Mr. BuUbrook: He was a Liberal for years.
Mr. MacBeth: Touche! The ceilings are
likewise regrettable, Mr. Speaker.
Mr. Martel: It looks like the member
shouldn't be up there speaking about prin-
ciple.
An hon. member: He's got more principle
in his little finger than the member has in his
whole being.
Mr. MacBeth: But I say this, that the
ceilings are a part of a much larger and
more fundamental problem than perhaps any
of us have discussed today.
I don't know where the school boards are
going to go with ceilings on one hand and
arbitrators on the other hand. And yet this,
I say, is a part of a much larger problem,
that of financing across this entire country
of ours.
School boards should not depend on pro-
vincial grants to the extent that they have to
do. I am not criticizing school boards for
that, it's our tax structure.
Mr. Foulds: He thinks he's Treasurer.
Mr. MacBeth: School boards have to de-
pend, at the present time, on large handouts
from the province to pay the expenses of
school boards.
An hon. member: It isn't only welfare; a
lot goes to schools.
Mr. Bounsall: Get it all over vdth.
Mr. MacBeth: Mr. Speaker, there should
be some rearrangement so that school boards
have a larger basis, or some different basis,
on which to raise their taxes. This is not to
say that we don't need some equaHzation
across the province, that the richer areas
should not have to subsidize those with less
resource, but certainly the school boards
should be responsible for raising their own
taxes.
Mr. Martel: This should be resolved suc-
cessfully.
Mr. MacBeth: That way the community
could come back to having the voice that I
think it should have and to a greater degree
say what standards it requires or what stand-
ards are desired.
At the present time, vwth the province
paying so much of this, naturally the piper
has to follow the tune. That is again, as I
say, one of the regrettable things. I am sug-
MARCH 13. 1974
291
gesting to this hon. House that many of the
problems we are facing today, not only in
the school situation but in many things, are
tied up with the inadequate tax structure of
this entire country. Until, sir, we get some
redistribution of the taxes between the federal
government and the province-
Mr. Foulds: What about between the
wealthy and the poor?
An hon. member: What has the member
got against wealthy people?
Mr. MacBeth: —and from the province to
the municipalities, so that the municipalities
don't have to depend on handouts from our
provincial level of government, we are going
to continue to be in trouble.
I am saying this in all seriousness and all
honesty-
Mr. Marteh Yes; so am I.
Mr. MacBeth: —that the taxation problem
is the root of the problem that we have to-
day. I am certainly in support of this bill,
not because I like it but because it's neces-
sary and must be passed and should be pas-
sed tonight to get those North York county
school children back to the class.
Thank you, sir.
Mr. Lewis: No, no. York county; York
county.
Hon. Mr. Winkler moves that the House
sit beyond the hour of 10:30.
Mr. Lewis: Why is the minister doing that?
Mr. I. Deans (Went worth): On a point of
order: Why is it that at five minutes to 10
the House leader feels compelled to move
that? Isn't it possible that we would be able
to wrap this up by 10:30?
Mr. Lewis: We would have been able to.
Hon. Mr. Winkler: By 10:30?
Mr. Deans: Well I don't understand it. I
don't understand why the House leader is
moving now to sit beyond 10:30.
Hon. Mr. Winkler: Mr. Speaker, the motion
was placed simply to facilitate the members
of the House prior to second reading being
moved. As a matter of fact we have been
here all' day and I understand the member
for W^entworth wants to speak. I was merely
facilitating him.
Mr. Deans: Oh, I am going to.
Hon. Mr. Winkler: If it concludes before
10:30, of course, we won't sit.
Mr. Speaker: The motion is then with-
drawn?
Hon. Mr. Winkler: No, the motion is not
withdrawn Mr. Speaker.
An hon. member: But if the member speaks
briefly it may be unnecessary.
Mr. Speaker: We have this motion before
us. Shall the motion carry?
Some hon. members: No.
Mr. Speaker: Those in favour please say
"aye."
Mr. Lewis: Mr. Speaker, before you pro-
ceed. There is a quaint custom in this House
which allows people to speak on motions;
even when they are sucking on whatever it
is I am sucking on.
Interjections by hon. members.
Hon. Mr. Grossman: Watch it, Stephen.
Mr. Speaker: There seems to be some dis-
cussion necessary.
Mr. Lewis: Do you mean there will be no-
Could I ask for a—
Mr. Speaker: The member for Scarborough
West.
Mr. Lewis: A very surreal momenti
Interjections by hon. members.
Mr. Lewis: Could I ask the House leader
a question? Is it his intention to proceed
beyond second reading this evening?
Hon. Mr. Winkler: No, Mr. Speaker.
Mr. Lewis: Just finish second?
Hon. Mr. Winkler: That's right.
Mr. Lewis: Thank you.
Hon. W. G. Davis (Premier): So be brief.
Mr. Speaker: Shall the motion carry?
Motion agreed to.
Mr. Speaker: Are there other members
wishing to participate in this dtebate?
Hon. Mr. Davis: What is the member for
Scarborough West eating?
Mr. Lewis: Peppermint.
Hon. Mr. Winkler: Dried pork.
292
ONTARIO LEGISLATURE
Mr. Speaker: The hon. member for Went-
worth.
Mr. Deans: Thank you, Mr. Speaker.
Interjections by hon. members.
Mr. Deans: Easy what?
Mr. Lewis: If I had something more potent,
the members would hear it.
Mr. Deans: I must say that I am certainly
delighted to have made it back in time to
add my voice to the opposition to this bill.
Hon. Mr. Davis: I tell the member it has
been less than enthusiastic so far.
Mr. Lewis: Not so.
Hon. Mr. Davis: Most of it has been less
than enthusiastic.
Mr. Deans: We will try to change that be-
cause what I want to ask the Premier directly
is— how long are we going to have to wait in
this province until the government insists on
bargaining in good faith?
Just how long are we going to have to put
up with management-oriented people, anti-
union people, sitting down at the bargaining
table and not trying to deal fairly and equit-
ably with the issues before them? How long
is it going to be before the government is
going to insist that the clause in the Labour
Relations Act, which I know doesn't neces-
sarily apply here but which demands that the
parties bargain in good faith in the Province
of Ontario in an effort to reach a collective
agreement, is adhered to?
Interjection by an hon. member.
Mr. Deans: That is the crux of this whole
issue. That's why we are here tonight. That's
why this dispute was never resolved.
Hon. Mr. Davis: Does the member want
the Labour Relations Act to apply to the
province?
Mr. Deans: I want there to be a clause
dealing with bargaining in good faith.
Hon. Mr. Davis: And the Labour Relations
Act doesn't do it.
Mr. Deans: Collective bargaining is a use-
less tool unless the parties sitting together are
prepared to try to resolve the issues.
Hon. Mr. Davis: Talk about all the aspects
of it.
Mr. Deans: And when we go back to the
very beginning of this dispute—
Hon. Mr. Winkler: I might well quote the
member on that one.
Mr. Lewis: He would not object to that.
Mr. Deans: Feel free to quote it.
Mr. Lewis: The profession wants good faith
bargaining. The board has been playing
games for months.
Mr. Speaker: Order, please.
Mr. Deans: The members are not listening,
Mr. Speaker: Order, please.
Interjections by hon. members.
Mr. Speaker: Order, please. The member
for Wentworth has the floor.
Mr. Deans: I was the only one standing—
what is the Speaker worried about?
Mr. Breithaupt: Why not? He is the mem-
ber for Wentworth.
Mr. Deans: Absolutely. The Premier's reac-
tion to my statement is exactly what is wrong
with the government. The government doesn't
hear what is being said to it. The government
is completely incapable of understanding what
it is that's being said to it.
What I am saying— and I say it again,
through you, Mr. Speaker— is this: That if
collective bargaining is going to work in the
teaching profession or in any other profession,
it must be entered into by two parties aimed
at finding a resolution to the problems before
them. And when one or other of those parties
fails to bargain in good faith, the govern-
ment has an obligation to step in and to
insist—
Interjection by an hon. member.
Mr. Deans: —that the matters on the table
be discussed.
Mr. Taylor: That is what we are doing.
Mr. Deans: If this government had fol-
lowed up on its obligation last year when
this board refused adamantly to sit down
and discuss the matters put before it by the
teachers, we wouldn't be here today.
Mr. W. Hodgson: That's wrong.
Mr. Deans: When we go back to last May,
the chairman of the negotiating committee
for the board, Mr. Honsberger, said that he
questioned the legality-
Mr. W. Hodgson: That statement is wrong.
MARCH 13, 1974
293
Mr. Deans: —of the position taken by the
trustees. When we go back to—
Mr. G. Nixon (Dovercourt): Wrong again.
Mr. Deans: When we go back to last May
and recall Mr. Honsberger's opening state-
ment in which he said to the teacher negotia-
tors that he doubted whether they had any
legal right to represent the teachers and
before negotiations would proceed he wanted
to find out what their legal status was— that
hardly sets a backdrop against which bargain-
ing in good faith can be begun.
Mr. Lewis: That's the background from
day one.
Mr. Deans: That was the beginning. From
that day on there was little, if any, ejffort
made by that board to find a resolution to
the major points in contention. Little, if any.
Mr. W. Hodgson: The board offered on
many occasions to meet; they wouldn't meet
with it.
Mr. Deans: In fact, the negotiating com-
mittee of the teachers, recognizing in the fall
that there was an impasse, was prepared—
and did in fact— change the negotiating team.
The board steadfastly refused to deal with
the major issues. The board refused even to
discuss the major issues in the fall, and it
was well into December when this govern-
ment decided to enter into the fray, precipi-
tously, without giving anyone an opportunity
to understand what it was that it intended.
This government then created a situation
in the Province of Ontario which made this
board able to carry on with the farce it
had been perpetrating on those teachers, and
that's what aggravates me so. I went up
there to York and I listened to the teachers
and to the negotiators for the board and all
I could see happening was the deterioration
of relationships between the two parties.
There was no fair chance for a settlement to
be reached.
It was obvious that the reason for this was
because the board and not the teachers was
not prepared to sit down and try to find
solutions, and the board knew full well from
the moment the minister brought in his
compulsory arbitration bill in December that
if it waited long enough, and if it refused
steadfastly to move forward with negotiation,
that the minister would eventually bail it
out, and that's exactly what he has done.
I regret, I sincerely regret, that this has
created a lot of upset for the children in the
system. I wish that there could have been a
resolution to the problem, but what worries
me is that I think there probably could have
been a resolution to the problem.
I think that had the Minister of Education
gone in there and said to that board, face
to face, in December, "Look, there are a
number of issues which we, as the govern-
ment, believe are negotiable, which we
intend to make negotiable, and one of those
is pupil-teacher ratio", and if he had said to
them: "If you do not discuss it we will pass
a law saying that it will be discussed," then it
would have sat down and discussed it and
then the problem would have been resolved
and the last two months would have been
unnecessary.
Hon. Mr. Handleman: It was said in 275.
Mr. Deans: Bill 275 didn't proceed.
Or if the Minister of Education had—
Hon. Mr. Handleman: It was said in 275^
clearly.
Mr. Deans: —taken it upon himself to
draft what might well have been a model
agreement and put it before the two parties
for whatever further negotiation was neces-
sary in order to resolve whatever was out-
standing that would have been an initiative
that would have been useful.
Or had the Minister of Education been
prepared to say to the board, as they did in
Windsor, "We are going to withdraw the
grants," that would have been an initiative
that might have been useful.
Or had the Minister of Education been
prepared to say to the board, "Since you
are bargaining in bad faith, since you are
not dealing with the legitimate issues before
you, I, as the Minister of Education, am
prepared to take over the negotiations, and I,
as the Minister of Education, on behalf of
all the children whom I see suffering, am
prepared to find a way to resolve the dispute,
and to show to you, the board from York,
that it is entirely possible through the col-
lective bargaining process to resolve this^
dispute," that might have saved us the ag-
gravation of eight additional weeks of upset.
But none of these iniatives was undertaken.
Not one of these initiatives was undertaken.
The minister steadfastly sat back, and though
I don't doubt for a moment he was involved
in discussions, those kinds of initiatives were
the kinds of initiatives required to resolve
the dispute.
Now this goverrmient has to take a look:
at what it has done, because in fact it has^
294
ONTARIO LEGISLATURE
acted in concert with the board to destroy
the collective bargaining process in York.
Hon. Mr. Rhodes: And had the NDP not
stirred up militancy?
Mr. Lewis: Stirred up what? Militancy?
Hon. Mr. Rhodes: Oh, in Maple Leaf
Gardens. The NDP stirred that pot really
good.
Mr. Deans: The government has said it
will support the board's position; it will
support the board's position in this way, that
that board now knows, and other boards now
know, that as long as they sit back, whether
they bargain in good faith or whether they
don't bargain in good faith, this government
will ultimately bail them out, and that's
wrong. It destroys all of the value of bar-
gaining. As someone noted, they can sit back
and not exercise the responsibility which is
rightfully theirs and someone else will come
along in the ultimate and make the decision
for them. The government has done that for
this board.
I say this to the minister in all fairness,
the content of his bill isn't all that bad, and
if it had been the wish of the parties to go
to an arbitrator and seek a solution to the
problems which they were unable to resolve,
then that bill with minor modifications might
well have served the purpose.
If it had been the wish of the two parties
to go to an arbitrator and ask that that
arbitrator try to find a way to bring about
an end to the impasse, then as I say, we
might have accepted the bill with modifica-
tion. But this dispute is no longer about the
content of the bill. This dispute is not about
pupil-teacher ratio. This dispute is a dispute
between personalities.
It has deteriorated to the point where
there is absolutely no mutual respect, and
we can't arbitrate mutual respect. Regard-
less of the outcome of the arbitration, all of
the soreness, all of the upsets, all of the dis-
cord and disharmony will remain.
Hon. Mr. Wells: Does the hon. member
think they can negotiate in those circum-
stances?
Mr. Deans: Yes, the only way we can get
mutual respect is by the parties sitting to-
gether until they finally understand, one with
the other.
Mr. Lewis: That's true. We don't get it this
^vay.
Hon. Mr. Rhodes: We waited over 40
years.
Mr. Lewis. The minister could have won
it, had he negotiated with the teachers.
Hon. Mr. Rhodes: We waited over 40
years.
Mr. Deans: It is not a matter of waiting.
The minister took no initiative.
Interjections by hon. members.
Mr. Speaker: Order, please. Order, please.
Mr. Deans: He took no initiatives.
Mr. Lewis: That's right.
Mr. J. E. Stokes (Thunder Bay): Mr. Speak-
er, don't look over here when you are asking
for order; over there is where the interjec-
tions are coming from.
Mr. Speaker: I am trying to help the
speaker.
Mr. Deans: I don't need your help, thank
you.
In talking about being reasonable, the one
thing that has been left out of this entire
dispute is reason. Why is it that the Minister
of Highways— of Transportation and Com-
mimications—
Hon. Mr. Grossman: Highways? That's a
dirty word. It's Transportation.
Mr. Deans: I changed it. I don't require
the hon. minister's prompting. When I need
a prompter, I will hire him to sit under the
gallery.
Mr. Stokes: Yes, go and read somewhere
else.
Mr. Deans: Why is it that the Minister
of Transportation and Communications now
is so concerned about the dispute? Why was
he not after the Minister of Education back
in September, in October, in November and
in December, asking him to go to that board
and to tell that board that it had an obliga-
tion to those parents and those pupils to sit
dovm and bargain?
Hon. Mr. Rhodes: Because he knew what
he was doing, and I supported him.
Mr. Deans: Where was my friend from the
Soo-
Hon. Mr. Rhodes: I was there.
MARCH 13, 1974
295
Mr. Deans: —when that board was ada-
mantly refusing to bargain with the teachers
on the points that are still in contention?
Hon. Mr. Rhodes: I met the teachers and
I talked to them.
Mr. Deans: Was he putting pressure on the
minister to ask him to go in there and to
insist—
Hon. Mr. Rhodes: Was the hon. member
putting pressure on the teachers?
Mr. Deans: I have been putting-
Interjections by hon. members.
Mr. Speaker: Order, please.
Hon. Mr. Rhodes: And so was the mem-
ber's leader.
Mr. Lewis: What's wrong with that?
Hon. Mr. Rhodes: You wear the horns be-
cause you deserve them.
Mr. Deans: I put the blame on one side?
No, I would have put the blame on both
sides if the teachers had gone to the bargain-
ing table without any proposals. I would have
put the blame on the teachers if they had
refused to meet. I would have put the blame
on the teachers if they had walked out of
the meetings that were set up. I would have
put the blame on the teachers if they had
refused to go to meetings that had been set
up. I might even have put the blame on the
teachers if they had failed to recognize that
there were some internal problems in their
own negotiating team and hadn't corrected
them.
But I put the blame on the board, because
the board refused to meet, because the board
set the backdrop against which negotiation
could not take place, because the board
refused to sit and talk about the major issues,
and because the board refused to make
counter-offers to the suggestions of the
teachers.
That's why I place the board in the posi-
tion of accepting the blame. When the board
refused to take part in that process, the
board then failed to bargain in good faith
and the board should then have been dealt
with. There can be no negotiation if one
party refuses to take part.
An hon. member: And the government was
the chairman of the board.
Mr. Deans: And the government understood
that.
Hon. Mr. Rhodes: Surely the NDP wouldn't
interfere with local autonomy?
Mr. Lewis: Provoking— the party of con-
frontation over there.
Interjections by hon. members.
Hon. Mr. Rhodes: They woidd interfere
with local autonomy?
Mr. Lewis: That's right— in a case like this.
Mr. Speaker: Order, please. The member
for Wentworth has the floor. Please allow him
to continue.
Mr. Lewis: The member for Wentworth is
fine. He doesn't need your help, Mr. Speaker.
Mr. Deans: And then we have got to take
a look at another element in the dispute, be-
cause it's an obvious element in the dispute;
that's the whole matter of the director of
education and the fact that this has created
a problem that seemingly can't be resolved
without an assurance from the minister that
the director will no longer be involved in
that particular board. The teachers find it
impossible to deal with the director of edu-
cation.
This brings out a point that I've felt for
some time. The administrators of the boards
of education in the Province of Ontario have
far too much power. The administrators of
the boards are running the boards. The trus-
tees aren't running the boards; the trustees in
most jurisdictions are not taking part as trus-
tees ought to take part. The trustees m most
jurisdictions have given up their power and
given it over to the appointed ofiicials and
the appointed oflBcials are making the deci-
sions. The appointed ofiBcials, without ansA^^er-
ing to the trustees, are making the final
choices. And this is where the problem arises.
Mr. Martel: Everyone knows it. They run
the whole show.
Mr. Deans: If the Minister of Education
wants to avoid this kind of thing in the
future, let me suggest this to him, he simply
has to allow for collective bargaining on all
aspects of employment. He has to permit
the opportunity for discussion on all matters
involving conditions of employment.
Hon. Mr. Wells: I never said it should not
be that way.
Mr. Deans: No, I'm not saying the minister
didn't. I'm saying that has to be done. I made
the same argument when we dealt with the
Crown Employees Collective Bargaining Act.
I asked at that time that the minister not be
296
ONTARIO LEGISLATURE
restrictive, that he not go back into history
and invoke something called a management's
rights clause.
Because I say to him now, as I've said
before, that the workers in the Province of
Ontario have as much at stake in the good,
orderly management of any operation as does
the management itself. The teachers have as
much at stake in the decisions that are made
on behalf of the educational system, on be-
half of the pupils, on their own behalf and
on behalf of the taxpayers; because they are
taxpa\'ers. Who, surely, who could offer more
by way of constructive suggestion to the
educational process than the very people who
are in the classroom doing the job day after
day?
Mr. Martel: And have never been con-
sulted.
Mr. Deans: If the boards in the Province
of Ontario would promote the involvement
of the teachere in discussions, if they would
not simply give them an opportunity to sit
in and listen; but rather encourage them to
be a part of the discussion, sit dovm with
them, talk to them about the problems; talk
to them about the reasons why the pupil-
teacher ratio can't be lower than it is, if
that's the case; lay open the books and talk
about what the problems are, about tiying
to bring in new systems; then we wouldn't
bave the kind of confrontation we have at
collective bargaining time.
Collective bargaining is a year-round proc-
ess. It's a year-round process and it should
not and must not—
An hon. member: Mutual trust.
Mr. Deans: —be confined to that period
immediately prior to and after the termina-
tion date of the contract.
Hon. Mr. Rhodes: These are teachers, not
firemen.
Mr. Deans: The minister wouldn't know
the difference.
Hon. Mr. Rhodes: I know the difference,
but does he?
Mr. Martel: Has the minister been in the
raspberry?
Mr. Deans: The whole collective bargain-
ing process requires, if you're going to have
any meaningful negotiation, that the people
involved are able to take part on a day-to-
day basis in the decision-making on matters
that affect them.
Hon. Mr. Rhodes: I know these pole-sitters.
Mr. Martel: I know those radio types.
Hon. Mr. Rhodes: I negotiated with them.
Mr. Foulds: Go broadcast a hockey game,
will you?
Mr. Deans: If this government had taken it
upon itself—
Interjections by hon. members.
Mr. Speaker: Order please; order please.
The hon. member for Wentworth has the
floor.
Mr. Deans: All right, I'm going to let it go,
I'm going to let it go.
I'm going to tell you though, Mr. Speaker,
something that I think we have to say. I
happen to believe that this government, by
its own actions, created the confrontation.
This government, by its lack of action,
allowed the situation to develop in this board
prior to the government creating the con^
frontation. This government failed to produce
anything by way of a reasonable alternative to
the confrontation that it created. This gov-
ernment, by the imposition of its ceilings in
the first place, caused a distortion in the pro-
cess of collective bargaining, which in fact
added a factor which neither the board nor
the teachers were able to deal with.
Hon. Mr. Rhodes: One board out of the
whole province; out of the whole province
one board.
Mr. Deans: Beyond that, this government
recognized that there was bargaining in bad
faith being undertaken by the board and re-
fused to act. This government understood that
the board was not prepared to deal with
matters which the government, by its own
statement, knew were proper matters to have
on the collective bargaining table and refused
to act. This government is responsible, totally
and completely responsible, for the impasse
which developed in the negotiations in York
because this government refused to hve up
to its obligations—
Hon. Mr. Rhodes: One board.
Mr. Deans: —and this government has to
suffer the consequences.
Hon. Mr. Rhodes: One board.
Mr. Speaker: The hon. member for Scar-
borough Gentre.
Mr. Drea: Mr. Speaker—
MARCH 13, 1974
297
Mr. Bounsall: He is right so far.
Mr. Drea: I'm going to be right for about
five minutes and the member is going to get
it right between the eye's and he's going to
take it.
Interjections by hon. members.
Mr. Martel: We know why— at the end of
five minutes the United Steel Workers fired
him.
Mr. Drea: Mr. Speaker, we have heard to-
night that society is in trouble. Mr. Speaker,
society is indeed in trouble when we have a
member of this House stand up and say that
we are all threatened, it is all our fault be-
cause children haven't been in school for five
or six weeks; and then he stands there and
offers no alternative.
Mr. Speaker, society is indeed in trouble
when a member of this House suggests that
the difficulty is the children are out of school,
and yet he would leave them out for the rest
of the school year and on into infinity-
Mr. Martel: The unions were in trouble until
they fired the member for Scarborough
Centre.
Mr. Drea: —because it is better to let the
situation drift— and somehow it vdll be re-
solved—than to face up to the problems and
to send the people back to work.
Mr. Speaker, the basis of education in this
province is not happy teachers. The basis of
education in the Province of Ontario is not
happy trustees on school boards. The basis of
education in the Province of Ontario— and
thanks to this party—
Mr. Lewis: Is unhappy teachers and un-
happy trustees.
Mr. Drea: —we have the finest system of
education anywhere in the world^the basis
of that is the schools are open for the chil-
dren to attend and the teachers to teach.
In December, Mr. Speaker, I stood here
and I talked on Bill 274-
Mr. MacDonald: There is a profound com-
ment.
Mr. Drea: I regret that I didn't hear any-
body today, but I understand that the magic
words were not uttered today. I'm still floored
from December, because the proposition was
put forward at that time that a strike is part
of the learning process and it will benefit the
children.
Interjection by an hon. member.
Hon. Mr. Rhodes: The member for Port
Arthur said it and another member. Both of
them. They said it was part of the learning
process.
Mr. Drea: Oh yes. All of them. Well, it's
been going on six weeks in the region of York
—or York county, whatever you want to call
it— and they won't be back to school until the
end of the month. I defy anybody to go up
and talk to those children and say: "You
should be happy my boy, or my girl, the strike
has been part of your learning process. Try it
next year in university when the grades don't
come very well."
Hon. Mr. Rhodes: The member for Port
Arthur said it. Now he's got his feet off the
desk, eh?
Hon. Mr. Grossman: Want to withdraw that
Mr. Martel: No wonder the United Steel
Workers fired the member for Scarborough
Centre. Is it any wonder that United Steel
fired him?
Mr. Drea: Nobody has ever fired me. '
Mr. Martel: Boy oh boy; no wonder.
Interjections by hon. members.
Mr. Speaker: Order please.
Mr. Drea: Try and say that, sonny, and I'M
sue you.
Mr. Lewis: My embarrassment at this mo-
ment is not as acute as that of the member
for Scarborough Centre.
Mr. Drea: Oh ho! So now we find out that
the strike is not part of the learning process
and perhaps is not beneficial to the teenagers
and to the children in the elementary schools.
That is what I suggested, Mr. Speaker, last
December-
Mr. Foulds: We don't agree with anything
he says.
Mr. Drea: I said that a strike brought bitter-
ness. It brought a lifetime of discontent, of
animosity, of frustration and a great number
of other things. And that the school system
was not the place for a labour dispute, or a
strike, or a withdravi^al of services, or a mass
resignation by teachers; or indeed some very
recalcitrant actions by a board of trustees—
because neither of them up there in York
are on the side of the angels on this one.
But that, Mr. Speaker, is not what an edu-
cation system is based upon.
298
ONTARIO LEGISLATURE
Mr. Lewis: Angelicism.
Mr. Drea: An education system cannot be
based upon mutual hostility. The hostility
comes down and torments the third party;
and that is the innocent party, the student.
That is why I support this bill.
If I have regrets about this bill— we are
into second reading today— it is that I would
have liked to have seen it on Feb. 2— and Til
make no bones about my position. I do not
believe that the school system— and that is
from grade 1 all the way up through uni-
versity and into the graduate schools— is a
place for a labour dispute which stops stu-
dents from going to classes.
Hon. Mr. Rhodes: That member does.
Mr. MacDonald: The neanderthals all re-
act like that.
Mr. Drea: I say that in all sincerity, Mr.
Speaker.
Interjection by an hon. member.
Mr. Drea: Mr. Speaker, I do not wish to
place upon the heads of the teachers— or their
union or federation or whatever they want to
call it— I do not want to put or seem to put
the blame for this matter upon them entirely.
Neither do I want to put it upon the board of
trustees.
Mr. MacDonald: That's a good safe posi-
tion
Mr. Drea: Although I must say in this situ-
ation that, quite frankly, I am much more
sympathetic to the public position of the
teachers than I am to the board.
The hon. member for Wentworth has allud-
ed to a few things tonight that I was not
aware of, but in any event I will let my sym-
pathies rest with the public case.
Mr. Speaker, the blame rests upon both of
them because here are people who are elected
from the community to administer a board of
education. They go to the people like every-
body in this House and they say they are in a
position to manage probably the most essen-
tial industry, if one wants to call it that, that
we have in this province. If the education of
children and teenagers and on up, institu-
tionally and otherwise, is not the most essen-
tial aspect of our province— we are paying an
awful lot of money in taxes; parents are put-
ting an awful lot of faith in institutions and
people in general have a great deal of re-
spect for them— if this is not true I suggest to
you we have all been led astray.
The very foundations of the Province of
Ontario rest upon education.
If we go back 150 years when there were
only crossroads towns, and see the land grants
for the immigrants who came over in steerage
—and it took them a lifetime of toil to pay oflF
that land grant-the first thing they built and
the first thing they made sure of for their
children was the school.
They built a church and they built a
school. They recognized it was essential, even
when education was not as formal as it is
today. And today education is an absolute
necessity. It is necessary for employment; it
is necessary, indeed, even to be able to cope
with the complexities of life.
Mr. J. A. Renwick (Riverdale): That's fairly
trite.
Mr. Drea: Yet we allow something that
essential to be interrupted by a labour dis-
pute.
Mr. Speaker, when we get in o the ques-
tion of bargaining in good faith, it seems
rather interesting to me that on one occasion
those with the arbitrary mind would have us
seize the management, which in this case
is the board of trustees. This was the pro-
posal, seize the management, we don't like
their side this time.
It must be the first time in the history of
the Liberal Party that it has ever even raised
an eyebrow toward the position of manage-
ment, let alone threatened to seize it. Some-
how, I suspect in the months ahead there is
going to be a great deal of explanation that
the party really didn't mean it.
Mr. Yakabuski: That's usual.
Mr. Drea: Now the next time around, with
that arbitrary kind of mind— the 1930s were
filled with the arbitrary kind of mind, not
only in this House but abroad. That was the
type of thing done when, if the union didn't
seem to agree with the government, it seized
the union.
Mr. Breithaupt: Is he threatening us with
law and order?
Mr. Drea: The next time around, if the
board of trustees appeared to be on the side
of the angels-
Mr. Biillbrook: I can think of a seizure I
would like to undertake right now.
Mr. Drea: —it would be: "Seize the fed-
eration; put it under trusteeship and let the
Minister of Education negotiate."
xMARCH 13, 1974
299
Mr. Speaker, there are only three places in
the world where the minister of anything
seizes one side and then very calmly says:
"Now here is the model contract." It hap-
pens in Russia, it happens in China and it
happens in Cuba. Everybody signs because if
the\- don't sign we know where they go.
Mr. Foulds: How about Chile?
Mr. Lewis: Where's that? Where do they
go if they don't sign?
Mr. Drea: One can go to the islands.
Mr. Lewis: The islands?
Mr. Drea: Or the archipelago, or behind
the wire.
Mr. M. Gaunt (Huron-Bruce): They are
mild compared to you fellows.
Mr. Drea: Yes, in South America— I was
coming to South America— the Ministers of
Labour are great in South America. They
collect all the union dues and they dole them
out in one day. If the union gets along with
the government, great. Ask the teachers in
South America when v/as the last time they
took a hike. They don't. They sigh, nice and
cute. Surely, is that the kind of local auton-
omy we want in the Province of Ontario?
Elect a board of trustees so that when they
get into any difiBculty—
Mr. Deans: In South America the teachers
head the revolution.
Mr. Drea: —or particularly with a labour
dispute— elect that board of trustees and put
your confidence in them to spend yom: tax
mone\" to supervise the education of your
children, and then when they get into difiB-
culty put them under trusteeship so the
Minister of Education can use the big club
and tell them exactly how the people who
work for them are going to be paid.
As a matter of fact, I find it very interest-
ing, particularly in Scarborough; the chairman
of the board of education in Scarborough
must be a friend of the Liberal Party, be-
cause he wore a button for them at the con-
vention and he campaigned at Scarborough.
He's a great fellow. Do the members know
what he says? He says a teacher shouldn't
have the right to have any say in his working
conditions. Because, after all, he says the
teacher is a professional person-
Mr. Deans: He is wrong.
Mr. Drea: —and professional people really
don't want the right to have any say in
their working conditions.
Mr. Lewis: That's not what he said. Don't
misrepresent him.
Mr. Drea: I have it downstairs in a clip-
ping. That is what he says.
Mr. Lewis: That's not what he said.
Mr. Drea: Oh no, this is—
Mr. Lewis: He said the Minister of Edu-
cation was —
Mr. Speaker: Order, please.
Mr. Drea: Oh no, this is what he said;
this is my clipping.
Mr. Speaker: Order, please.
Interjections by hon. members.
Mr. Drea: But you see, Mr, Speaker, in
this bill, even though it is an llth-hour bill
to send people back to work—
An hon. member: It is the school board.
Mr. Drea: —this government has ensured
that the teacher has the same right as any-
body else in this society who has banded
together for economic or social or professional
betterment, and that is the right to have a
say in his working conditions.
Mr. Lewis: But this is compulsion.
Mr. Drea: Not only do we say it once in
the bill, but we say it twice.
Mr. Lewis: This is compulsion. There are
only three places in the world this could
happen.
Mr. Drea: Oh there are more, because if
one is going to have compulsion to bargain
one must have compulsion to belong. Now if
the NDP want to take away the compulsory
arbitration why don't they trade with the
teachers for compulsory membership in the
federation? That might be an interesting little
trade.
Mr. Lewis: Why, why?
Mr. Deans: Why doesn't the member go
to a meeting and suggest it?
Mr. Drea: Compulsion is only used when
it is used in front of arbitration. We don't
talk about compulsory membership, com-
pulsory payment of dues. We don't talk
about a compulsory black-list.
Interjections by hon. members.
Mr. Drea: Oh no, we never talk about
those.
300
ONTARIO LEGISLATURE
Mr. Speaker: Order, please.
Mr. Drea: We don't talk about the hiring
halls either.
Mr. Speaker: Order, please.
Mr. Drea: We don't talk about messages
around the world that anybody who goes
to work in York will be blacklisted.
Interjections by hon. members.
Mr. Speaker: Order, please.
Mr. Drea: Any other labour organization
that does this is against the law.
An hon. member: They are pink-listed.
Mr. Drea: Mr. Speaker, to come back to
the particular points that I want to make-
Mr. Foulds: Why doesn't the member
voluntarily take three steps backwards?
Mr. Drea: Mr. Speaker, one, how can you
have local autonomy of a school board and
stand there with a straight face and say,
"Oh, we believe in local autonomy. Let the
minister seize them and run their affairs."
That's magnificent local autonomy, mag-
nificent.
Mr. Gaunt: Tell us about the bean board.
Mr. Drea: South American style. Secondly,
if there is such aversion to compulsory arbi-
tration, Mr. Speaker, what is the alternative?
The alternative in this situation is to let
the children in the region of York stay out
of school through March, perhaps through
April, perhaps through May, Mr. Speaker, I
notice some people looking at me with
amazement. That couldn't happen? Well on
Monday I heard it in the House from across
the floor, that unless something was done,
the children were suffering, the board should
be seized.
Hon. Mr. Grossman: Who said that?
Mr. Bullbrook: Is the member going to
talk about the principle any moment? Be-
cause if he is we are in trouble.
Interjections by hon. members.
Mr. Drea: Well the member for Samia is
the apostle of it, I don't know why he
doesn't want me to talk about it.
Mr. Speaker: Order, please.
Interjections by hon. members.
Mr. R. F. Nixon: How about the bean
board? Tell us about the bean board.
Interjections by hon. members.
Mr. Speaker: Order please, allow the mem-
ber to continue.
Mr. Drea: Mr. Speaker, can't you control
the rowdies?
Interjections by hon. members.
Mr. Speaker: Order please, the member
for Scarborough Centre has the floor.
Interjections by hon. members.
Mr. Speaker: Please give him the courtesy
of allowing him to continue.
Mr. Bullbrook: But he promised only five
minutes.
Mr. Drea: Every time the member in-
terrupts me, another minute. So just keep
opening your mouth. I've got all night.
Mr. Speaker, what concerns me most about
this particular labour dispute that has the
children without a school to go to, is that
apparently once again we are put into the
very paradox that the pubHc school system
was established to eliminate, and that is a
law for the rich and for the poor. Because in
the region of York, if a family has enough
money it doesn't have to worry whether the
high schools reopen or not. They can send
their son or their daughter to a private
school. They can hire a private tutor, a
one-to-one situation. They can make very
sure that they will be prepared when they
attend university in the fall.
Mr. Speaker, the working man cannot
afford that. In my view, the children of work-
ing men and women deserve every oppor-
tunity that this province can provide through
an education system. To allow the closure of
schools in the region of York to continue, Mr.
Speaker, would be a sin of omission that
would weigh most heavily upon a government
that throughout the years has been dedicated
to building the kind of school system that
will produce graduates who have made this
province the envy of this country, and^
indeed, the envy of North America.
To come back to my first point, Mr.
Speaker, society is indeed in trouble—
An hon. member: We are alll in trouble.
Mr. Bullbrook: Why doesn't the member
let the minister wind up?
Mr. Drea: —when it takes from 3:30 until
10:30 at night, after more than six weeks of
a strike that has closed the schools in a
region and, because of other conditions, wilL
MARCH 13, 1974
301
not allow them to be opened for at least a
seventh week-
Mr. Lewis: Now they don't want it to be
debated. There are only three countries in the
world that don't debate it.
Mr. Drea: —when we have to spend seven
hours in here, when we have seen the students
outside of this building-
Interjection by an hon. member.
Mr. Drea: —begging on their hands and
knees for the right to go back to school.
Interjections by hon. members.
Mr. Drea: Mr. Speaker, if that is part of
the learning experience, then give me the
bill of the Minister of Education, because it is
about time that we opened up the schodls—
Mr. Lewis: They crawled into the
chambers!
Interjections by hon. members.
Mr. Drea: —so that the students who want
to go to school can go, and the teachers who
want to teach can teach. And if they don't
want to teach, then let's get some who do.
An hon. member: Attaboy.
An hon. member: It sounded good. Good
speech.
Mr. Breithaupt: It's like "The National
Dream."
Interjections by hon. members.
Mr. Speaker: Order, please.
An hon. member: I'll vote for the bill now.
Mr. Speaker: Does any other hon. member
wish to enter this debate?
An hon. member: There aren't any left.
Mr. Speaker: The hon. minister.
Hon. Mr. Wells: Mr. Speaker, I want to
begin by reiterating what I said in the closing
of my statement in introduction of this bill
yesterday, that while we debate this bill here
and it is proceeding through the House— and,
of course, it will go to second reading tonight
and be proceeded with tomorrow— if the
parties can come to us and tell us they have
reached a negotiated settlement or have
agreed to go to voluntary binding arbitration,
we will not proceed with this bill.
Mr. Lewis: The minister knows that is
not likely.
Hon. Mr. Wells: I am always the eternal
optimist.
Mr. Stokes: Hope springs eternal.
An hon. member: He was suggesting they
shou^ld.
Hon. Mr. Wells: Mr, Speaker, one of the
colleagues of the leader of the New Demo-
cratic Party indicated that he hoped that this
still might be possible, and I, of course, would
hope that it might be possible also.
An hon. member: Is he in the next room
in the hotel?
Hon. Mr. Wells: That's certainly why I
issued my statement for voluntary arbitration
on the weekend, and that oflFer is still open.
I tell the House that if such an agreement
is communicated to us, we will not need to
proceed with this bill.
Mr. Lewis: That's obvious.
Hon. Mr. Wells: But in all good consci-
ence, I feel that if it is not, we must act.
Govermnents must act at certain times, and
this is the time when we must act. We
cannot wait any longer.
I would like to review some of the things
that have been said and some of the impres-
sions that have been left. I think it's re-
grettable in this debate that we have been
talking about personalities. I might tell the
members of the House, Mr. Speaker, that I
do not intend to talk about any of the
personalities involved in this particular dis-
pute, save to say that it is very interesting
that one of the members of the school board
who has played a very prominent part in the
negotiations was awarded the "lamp of
learning" by the Ontario Secondary School
Teachers' Federation a few years ago. That
is very interesting. So, in fact, perhaps all is
not black and white in this particular situ-
ation.
Much has been mentioned about mutual
respect. Gertainly there has been a loss of
mutual respect on both sides, one for the
other. I agree with those who say we can't
arbitrate mutual respect back. I don't think
we can negotiate mutual respect back, either.
We can only earn it back, and that earning
of it back is going to have to begin right
now, today, on both sides. It's going to have
to begin in order for the York county school
system to regain some of the something that
it has lost during these last 10 months or so.
I have also heard it said in this House— I
can't remember how many times during De-
cember when we were debating Bill 274—
30:;
ONTARIO LEGISLATURE
that perhaps we should let the strike happen;
but when the appropriate time comes this
House can always be called to end it. And
that, I would suggest to you, is exactly what
we are doing at this particular time.
I want to just tell you, Mr. Speaker, why
I feel that we are right in what we are
doing at this particular time, at least from
m\- viewpoint and from where I stood in
my involvement in this dispute from last
December.
I guess my involvement began in January
when it became obvious that York county
was going to be one of the areas where
there was going to be a critical situation as
to whether they would in fact reach an
agreement before the Jan. 31 deadline for
acceptance of resignations. At that time I
recall meeting with the board and discussing
Bill 275, which had been introduced into
this House, and I recall, and I think I am
recalling correctly, that I said, as I said in
this House during that debate— and I have
the quote here— that Bill 275 "gives teachers
the right to negotiate terms and conditions
of work." And at another time I think I used
the expression "terms and conditions or work-
ing conditions."
Mr. MacDonald: Well, their subsequent
attitude was bad faith toward the minister
and everybody else.
Hon. Mr. Wells: Well, wait a minute, the
member will hear what I have to say. I said
to the board that this was my intention. They
said, "It's very clear that the government's
intention, as indicated in the draft Bill 275
that was introduced into the House, is that
school boards should negotiate terms and
conditions of employment— shotdd negotiate
working conditions."
Mr. MacDonald: And they defied the min-
ister.
Hon. Mr. Wells: "We don't agree with that
but we accept it because you have said that."
Now, they then came back— I can't re-
member exactly how many days later— but
they came back, not to me but to the bar-
gaining table, and said, "We agree. We are
going to negotiate terms and conditions of
employment, working conditions, but we
don't think that pupil-teacher ratio is a work-
ing condition." Now, they didn't say that
thev weren't going to negotiate working con-
ditions, but they disputed the fact that pupil-
teacher ratio was a working condition.
Mr. Lewis: Does the minister think that's
good faith? Does he? Does he think that is
plausible, as Minister of Education?
Hon. Mr. Wells: Well, wait a minute. They
said that it was strictly a financial condition
—a financial thing that a board used in man-
aging its budget. Now I don't agree with that,
and I didn't agree with it-
Mr. MacDonald: That's worthy of a Phila-
delphia lawyer.
Mr. Lewis: The minister doesn't agree
with that?
Hon. Mr. Wells: —but they said instead,
"We accept that working conditions are to
be negotiated" and as I recall, they brought
in a 43-page document-
Mr. Lewis: That's right.
Hon. Mr. Wells: —detailing working con-
ditions which they put on the bargaining
table. And they said, "This is our alterna-
tive. You say you want to negotiate pupil-
teacher ratio; we say we'll negotiate working
conditions. Here are the working conditions.
Now, I'm not going to go into what was
in that document and all that went on, but I
think that— you know, Mr. Speaker, the mem-
bers opposite say this was bad faith. I think
that they felt that they were operating in
good faith at that time— that they were accept-
ing our admonition to negotiate working con-
ditions, but they were putting on it what
they felt was their interpretation of working
conditons. So they began their discussion, but
there was a difference of opinion, obviously.
Mr. Lewis: With the minister as well as
with the teachers.
Hon. Mr. Wells: Well, with me, but also
with the teachers.
Mr. Lewis: But he is the minister— he is
the minister, Mr. Speaker.
Hon. Mr. Wells: I am the minister, but
they are also a board which operates under
legislation of this province. And I made my
views very clearly known to them.
Interjections by hon. members.
Mr. Deans: The minister tells them how
much they can spend.
Hon. Mr. Wells: I am not a dictator. I
am not a dictator.
Mr. Lewis: It is not a matter of dictator-
ship.
Interjections by hon. members.
Mr. Speaker: Order, please.
MARCH 13, 1974
303
Hon. Mr. Wells: I made my views
very clearly known to them. If I could force
everything here it would be fine. We would
have a voluntary arbitration agreement now.
Mr. R. F. Nixon: What about that story
in the Globe that said the minister did not
make it clear and that the trustees said that
he did not?
Hon. Mr. Wells: Again, in checking with
some other people who were at that meeting
—and my recollection is not completely clear
—my recollection is that I did tell them at
that Sunday meeting that I felt that they
should negotiate pupil-teacher ratio. I checked
that with siome of my staff who were at that
meeting with me and they recall that I did
say that to he board.
Mr. R. F. Nixon: Then the story that said
that the minister remained silent is in error.
An hon. member: Oh, never mind^
Hon. Mr. Wells: As far as I can recall it is.
As I say, I can't verify that absolutely, but I
must say that we had a long discussion about
a lot of things, and if I didn't say it then I've
said it of course many times; and I think that
there is no question that that board is very
aware of what my opinion was in regard to
negotiations of pupil-teacher ratio.
Interjections by hon. members.
Hon. Mr. Wells: Now wait a minute. Let's
just-
Mr. MacDonald: And they defied it.
Mr. Lewis: He let them defy it; and 14,000
kids were out.
Hon. Mr. Wells: Oh no, no. Let's just look
at what happened.
We arrived at the night before the dead-
line, and when it was obvious that a negoti-
ated settlement was not going to be arrived
at, we then started our process to see if we
couldn't arrive at voluntary arbitration. We
went through many different exchanges that
day and that night. The board at one point
accepted a document, but the teachers didn't.
And when we asked for a counter-proposal,
that proposal was not acceptable to the board.
So it cannot be said that one accepted and
one didn't, because actually they didn't agree.
Mr. Lewis: What was the crux of the
counter-proposal ?
Hon. Mr. Wells: The crux of the counter-
proposal was that the teachers specifically
wanted to have the arbitrator rule on pupil-
teacher ratio. But at that very time both of
them argued until 4 in the morning but could
not agree.
Now, I point out to the hon, member that
this again was a document to go to voluntary
arbitration, which needed the agreement of
both sides. I think that if he had been in the
room he would have known that I was very
disturbed that the board would not sign or
finally agree. But at 4:30 in the morning it
finally became obvious that neither side would
agree to anything that both could sign.
So the deadline passed, the walkout
occurred, and everyone agreed that the best
thing that could be done now was to negoti-
ate a settlement. And rather than worrying
about negotiating terms for voluntary arbit-^a-
tion, which is what had gone on for 14 or 16
hours, they started to negotiate again.
Now, during this process one of the Minis-
try of Labour negotiators was present. It has
been' mentioned that the Ministry of Labour
negotiators are labour-oriented people and
they are not effective in this particular kind
of situation. I don't accept that, Mr. Speaker.
I don't accept that, because I think that both
sides recognized that the person who was in-
volved in this particular dispute— and the
others who were involved— did in fact serve a
useful purpose and did, t think, appreciate
the type of situation they were in. TTiey did
appreciate the educational connotations.
I point out to you, Mr. Speaker, that while
this one dispute ended in a walkout— and at
this point in^ time we still do not have a
settlement— and the Ministry of Labour nego-
tiator was involved, we also have at least four
other Ministry of Labour negotiators who did
yeoman service. I think they helped in a very
great degree to bring about settlement in a
lot of the areas that were in dispute.
Mr. Lewis: I don't dispute their yeoman
service.
Hon. Mr. Wells: And they understood what
was going on, I think, and they performed
well. I think that the fact that they perhaps
had not been involved— actually I don't think
it is fair to say that they hadn't been involved
because really the Ministry of Labour negoti-
ators have, in fact, been in educational dis-
putes for the last three or four years. They
have been used in the CUPE disputes or in
disputes with the teachers and school boards
over the last few years.
But in any event, the negotiator who was
involved in this particular dispute worked for
many hours with both parties. In fact, he told
me that he spent more time in this particular
situation than he has done with any other
304
ONTARIO LEGISLATURE
Labour mediator sat with them. Sometimes
and that included some of the very large
negotiations with some of the steel companies,
and so forth.
Mr. MacDonald: The board was even
tougher.
Hon. Mr. Wells: Now, our position was—
and I think that I maintained this, and both
sides maintained it— that after the withdrawal
of services had occurred they agreed that the
best way out of it in order to try and save
some vestige of morale for the system was to
negotiate a settlement. So we agreed with
that. We said, "All right, get to the bargain-
ing table and negotiate." And the Ministry of
Labour mediator sat with them. Sometimes
with great difficulty and sometimes perplex-
ing some people we resisted efforts to inter-
fere with that negotiating process. I have to
tell members I could only justify doing that if
I thought they were negotiating in good faith.
I have to tell this House that I was given
assurances that both parties were negotiating
in good faith for the last five weeks.
Mr. Lewis: That was wrong.
Hon. Mr. Wells: Well, it may-
Mr. Lewis: The minister should have known
that.
Hon. Mr. Wells: My friend says it is wrong.
I can't tell becau.se I am not an expert lab-
our-management person. I can't tell. All I
can say is that I asked again, and I asked
again specifically tonight, so that it wouldn't
be my judgement but it would b? somebody
else's. I asked Mr. Mancini, the Ministry of
Labour mediator, if the parties were negoti-
ating in good faith and he said he felt they
were honestly trying. Certainly, representing
both of their positions, they were honestly
trying to bargain in good faith and come to a
settlement.
Mr. Lewis: It may be well that Mr. Man-
cini has an enormous capacity for self-
delusion.
Interjections by hon. members.
Mr. Speaker: Order, please.
Hon. Mr. Wells: I just have to tell my
friend that both sides— nothing is black and
white-
Mr. Lewis: How could it be in good faith
to accept the resignations of the teachers,
telling them they would hire-
Mr. Speaker: Order, please.
Hon. Mr. Wells: I say, I don't think we
want to get into what both sides have done.
Certainly that would act as provocation to
the teacher negotiating team, but there were
things done by the teacher negotiating team
during those negotiations which bothered the
board very much. Yet while those things
played a role certainly and sometimes de-
layed negotiations, I have to tell members
that I believe both side were bargaining in
good faith during those five weeks.
If they hadn't been, certainly I should
have done something— we should have done
something— but we were told they were bar-
gaining in good faith. I believe they were
bargaining in good faith and I am sure they
are. I don't want to attach any blame to
either side because I suppose the blame rests
on both sides in any dispute. I am sure it
does in this dispute but I am not going to
try to assess blame.
The responsibility of this government now
is to bring this impasse to a close, to get
those schools open. That's really what we have
to do now. We believed that somehow dur-
ing the period of five weeks a settlement
could be negotiated; but I guess last Friday,
when I made my offer again for voluntary
arbitration, an impasse had been reached.
It seemed that further negotiations were
just going to continue on and on, so the vol-
untary arbitration agreement was put forward.
It was not accepted, and in good conscience
all this government could do was to bring
in this legislation which we think is very fair
legislation.
Certainly it's compulsory arbitration legis-
lation. It's the same kind of legislation that
the Prime Minister of Canada brought in
when the rail strike reached the point when
something had to be done. It's the kind of
arbitration that was finally used, not impos-
ed by a government, but finally used to settle
the-
Mr. Lewis: This is a better bill than that
one was.
Hon. Mr. Wells: Well, certainly. What
would the member expect?
Mr. Lewis: It took us by surprise.
Hon. Mr. Wells: It's the same kind of
arbitration, although it is being imposed by
this Legislature, that was used to settle the
garbage strike in Metropolitan Toronto. I
listened to the member for York-Forest Hill,
and I say to him arbitration has been used
MARCH 13. 1974
305
many times, both in a voluntary sense and a
compulsory sense, when all other avenues of
settling a dispute have come to an end. I
think in that way it represents a sane, civilized
way to do it if the arbitration is carried out
with skilled arbitrators, I agree with him that
they have to be people who have some under-
standing, some compassion for the situation.
These people represent, I think, a very sane
way to bring to a conclusion something which,
I submit, is causing a great deal of harm to a
lot of families in York county.
Mr. Speaker, the government feels this
cannot go on. We must accept our responsi-
bihty and act. We act through bringing for-
ward this bill which we believe will bring to
an end that dispute in York county.
Mr. Speaker: The motion is for second read-
ing of Bill 12.
The House divided on the motion which
was approved on the following vote:
Ayes
Allan
Apps
Auld
Beckett
Bennett
Birch
Brunelle
Clement
Davis
Dormer
Drea
Eaton
Ewen
Gilbertson
Grossman
Handleman
Havrot
Henderson
Hodgson
(Victoria-Haliburton)
Hodgson
(York-North)
Irvine
Jessiman
Kennedy
Kerr
Lane
Leluk
MacBeth
Maeck
McKeough
McNeil
Meen
Miller
Morningstar
Nays
Braithwaite
Breithaupt
Bullbrook
Burr
Davison
Deacon
Deans
Dukszta
EdighoflFer
Ferrier
Foulds
Gaunt
Germa
Gisborn
Givens
Haggerty
Laughren
Lewis
MacDonald
Martel
Newman
(Windsor- Walkerville)
Nixon
(Brant)
Paterson
Reid
Riddell
Ruston
Singer
Spence
Stokes-29.
Ayes
Newman
(Ontario South)
Nixon
(Dovercourt)
Nuttall
Potter
Reilly
Rhodes
Rollins
Root
Scrivener
Smith
(Simcoe East)
Smith
(Hamilton Mountain)
Snow
Stewart
Taylor
Timbrell
Turner
Villeneuve
Walker
Wardle
Welch
Wells
Winkler
Yakabuski
Yaremko— 57.
Clerk of the House: Mr. Speaker, the "ayes"
are 57, the "nays" 29.
Mr. Speaker: I declare the motion carried.
Motion agreed to; second reading of the
bill.
Mr. Speaker: Shall the bill be ordered for
for third reading?
Mr. Lewis: What are you looking so be-
mused about? We're not going to third read-
ing.
Mr. Speaker: Mr. Minister, committee of
the whole House?
An hon. member: Agreed. We've got
amendments to make.
Hon. Mr. Winkler: Before I move the ad-
journment of the House, Mr. Speaker, to-
morrow we will proceed with the consider-
ation of Bill 12 to be followed by item no. 5,
Bill 8, and item no. 4, Bill 7; then we shall
return to the first order.
Hon. Mr. Winkler moves the adjournment
of the House.
Motion agreed to.
The House adjourned at 11.10 o'clock p.m.
306 ONTARIO LEGISLATURE
CONTENTS
Wednesday, March 13, 1974
York County Board of Education Teachers Dispute Act, 1974, bill respecting, Mr. Wells,
second reading 269
Motion to adjourn, Mr. Winkler, agreed to 305
No. 9
Ontario
Ht^isUtmt of Ontario
OFFICIAL REPORT — DAILY EDITION
Fourth Session of the Twenty-Ninth Legislature
Thursday, March 14, 1974
Speaker: Honourable Allan Edward Reuter
Clerk: Roderick Lewis, QC
THE QUEEN'S PRINTER
PARUAMENT BUILDINGS, TORONTO
1974
10
Price per session, $10.00. Address, Clerk of the House, Parliament Bldgs., TororUo
CONTENTS
{Daily index oi proceedings appears at back of this inue.)
300
LEGISLATIVE ASSEMBLY OF ONTARIO
The House met at 2 o'clock, p.m.
Prayers.
Mr. E. W. Martel (Sudbury East): Mr.
Speaker, at this time I would like to intro-
duce, sitting in the gallery, 30 pupils from
Sunnyside Public School in the city of Sud-
bury, their principal, Forbes Stoodley, and
four adults who are accompanying this group
for a three-day visit to the city of Toronto.
Mr. Speaker: Statements by the ministry.
SUMMER EMPLOYMENT PROGRAMME
Hon. D. R. Timbrell (Minister without
PortfoHo): Mr. Speaker, I wish to inform
the hon. members that the Ontario govern-
ment will emp'loy close to 18,000 young
people this summer. Summer employment in
the Ontario government is divided into two
parts, the $9 million Ontario Experience '74
programme employing some 7,400 young
people in 20 special job projects, and the
regular summer replacement hiring which
will employ more than 10,000 young people.
Hon. members have received copies of the
Youth Secretariat summer employment infor-
mation booklet. This booklet represents the
first time that all summer opportunities offered
by the government have been catalogued in
such a manner. It is our intention in pro-
ducing and distributing this booklet to high
schools, colleges, universities and Manpower
Centres across Ontario, that young people in
the province have as complete information as
possible concerning the opportunities avail-
able.
As a backup to the booklet, an information
centre is in operation which young people
can call collect, or write to, if they reqmre
further information. The number and ad^
dress of the centre is in the booklet.
As hon. members will note in the book-
let, the Ontario Youth Secretariat is respon-
sible for the co-ordination of the Ontario
Experience '74 programme. Through the
secretariat, the programme development, bud-
get, evaluation and information functions of
Ontario Experience '74 are being co-
ordinated.
Thursday, March 14, 1974
The application procedure and hiring for
the Ontario Experience '74 programme and
for the regular summer replacement positions
will be the responsibility of the various min-
istries and the agencies involved, and I want
to emphasize that point.
Mr. Speaker, I would like to draw the
attention of the hon. members to the guide-
lines we followed in developing the Ontario
Experience '74 programme. Briefly, these are:
Ontario Experience '74 jobs must be jobs
that need to be done— jobs that will bring
concrete benefits to communities in Ontario-
jobs that will provide real value for the tax-
payers' dollars.
Ontario Experience '74 jobs must be tied to
local concerns and be administered by agen-
cies that can identify these concerns. Our
reliance on existing agencies— agencies that
are involved in their communities on a year-
round basis— provides local supervision and
local accountability in every programme.
Ontario Experience '74 jobs must provide
opportunities for worthwhile learning experi-
ences for those employed— experiences which
in many cases wiH aid young people with
career decisions. Many of our programmes
will involve young people in fields of interest
which we expect will grow significantly in the
future and thus offer good potential for future
occupations.
Ontario Experience '74 jobs must provide
opportunities for young people to bring their
special talents to the work situations, their
vitality, their enthusiasms, their training, and
their youthful approach. In many programmes,
young people will be able to use their own
initiatives and ideas in finding new ways to
deliver services or in adding new elements
to existing programmes.
Mr. Speaker, within Ontario Experience
'74 there are a number of new programmes.
The new youth and the arts programme of
the Ministry of Colleges and Universities will
provide employment with various cultural
organizations such as the McMichael Canadian
Collection, the Ontario Arts Council, the Art
Gallery of Ontario, and public libraries and
local museums across this province. Through
these agencies young people will be involved
310
ONTARIO LEGISLATURE
in such tasks as cataloguing museum collec-
tions of artifacts, acting as research assistants
in museum curatorial departments, and pro-
viding educational information to the public
concerning various art w^orks.
The consumer advice programme of the
Ministr>' of Consumer and Commercial Re-
lations will employ young people in a pilot-
project consumer storefront ofiBce. CAP, as
we call it, will enable the young people in-
voh ed to assist consumers in acquiring specific
information about goods and services, and also
to assist consimiers who have encountered
problems with retailers, wholesalers and/or
manufacturers.
The Ministry of Labour, through its labour
experience internship programme, will provide
placements with labour unions, labour coim-
cils, industrial relations units and the like,
exposing young people to the field of in-
dustrial relations, its role and operation. The
construction safety inspection internship un-
der the same programme will give civil en-
gineering and civil technology students in-
valuable exposure to the provincial construc-
tion safety programme.
Mr. Speaker, there are a number of other
programmes that I could go through, but I
want to make the statement as brief as pos-
sible. Consideration has been given to an
equitable distribution of Ontario Experience
'74 jobs throughout the province. However, I
want to point out that many of our pro-
grammes such as SWORD and Youth in
Action will stress provision of jobs in areas
where there is not a large industrial base to
absorb young people into the employment
market. We expect to provide in the neigh-
bourhood of 1,600 Ontario Experience '74
positions in northern Ontario alone.
Consideration has also been given to pro-
vision of jobs for both secondary students
and university and community college
students in the Ontario Experience '74 pro-
gramme. Just over half of the jobs will be
available for college and university students.
The rest have been designed specifically for
secondary students who, because of
their shorter summer break, cannot always
compete with students from colleges and
universities.
I should add that the Youth Secretariat
has prepared contingency plans, and will
monitor the employment situation during the
summer. Some of our larger programmes have
been designed so that they can be expanded
quickly to meet needs that might arise if
student unemployment becomes exceptionally
high in any specific geographic area of the
province.
Mr. J. R. Breithaupt (Kitchener): It's like
OFY.
Hon. Mr. Timbrell: Mr. Speaker, the hon.
members will be interested to learn that the
secretariat will be co-operating with the
federal government in a review of the OFY
projects for this year. The secretariat will
receive the OFY applications and forward
them to the appropriate ministries of the On-
tario government for comment. We will
collect the comments and return them to
Ottawa. It is hoped that this scrutinizing pro-
cedure will help us to avoid instances of
duplication of services, conflicts between pro-
grammes in communities, and the like.
Mr. Martel: Wasn't that sent out two weeks
ago?
Hon. Mr. Timbrell: We are also consulting
with the federal government in regard to the
design of their evaluation of all of their sum-
mer programmes in this province.
Mr. V. M. Singer (Downs view): Is OFY
good now? Or better or second best?
Hon. Mr. Timbrell: We are doing this as
we are concerned with some aspects of the
federal programmes, their accountability, their
supervision, the relevance of the experience
off^ered, and the possible creation of de-
pendencies in communities which the com-
munities are not prepared to assume after
the summer.
We hope to encourage the federal govern-
ment to take a look at these kinds of concerns
this summer, with a view to ironing out some
of the difficulties the federal programmes
have tended to create for our communities in
our province in the past.
Mr. Speaker, although Ontario Experience
'74 is a large programme, it will not employ
every young person in the province, nor is
that our intention. Most summer employment
will be provided by the private sector, and
we think that's the way it should be.
Mrs. M. Campbell (St. George): I am sure
the government does.
Hon. Mr. Timbrell: Before I finish, I would
like to inform the hon. members that in On-
tario Experience '74, wherever possible, we
will try to employ handicapped persons who
might not otherwise be able to find employ-
ment. We are asking all of the ministries
and all of the agencies to give special con-
sideration to these people. We ourselves will
be contacting the special groups and institu-
tions that work with the handicapped to
MARCH 14, 1974
311
provide them with special assistance in find-
ing employment in our programme.
Mr. Speaker, I am looking forward to my
involvement with the Ontario Experience '74
Programme. I anticipate that the programme
will provide rewarding work experience for
the many young people in Ontario who will
participate in it. I will visit as many of the
projects in Ontario Experience '74 as I can
this summer, and I would hope that when I
do, the hon. members who represent the peo-
ple of those areas will be able to accompany
me.
In closing, Mr. Speaker, let me assure hon.
members that I will strive to carry out my
duties as the minister responsible for the
Ontario Youth Secretariat as effectively and
as productively as my predecessor, now the
Provincial Secretary for Social Development
(Mrs. Birch).
Thank you.
TASK FORCE ON POLICING
Hon. G. A. Kerr (Solicitor General): Mr.
Speaker, this afternoon I will be tabling the
report of the task force on policing in On-
tario. The Solicitor General established the
task force in May, 1972, to review the ad-
ministration, organization and efficiency of
police in this province.
Under the chairmanship of Edward B.
Hale, the task force has conducted an exten-
sive examination of all aspects of policing as
they relate to the people of our province.
Its membership includes a diverse range of
citizens; for example, active police officers
of various ranks, a high school principal, a
lawyer, municipal politicians and citizens.
They were backed up by a professional re-
search team which included specialists in
business and criminology.
The task force conducted public hearings
in 15 different cities in the province. Also, in
order to compare policing in Ontario with
that in other jurisdlictions, task force represen-
tatives went to other provinces in Canada, as
well as to the United States and Europe.
Mr. Singer: How come we didn't read this
in the Glolae and Mail this morning?
Hon Mr. Kerr: The task force received
over 200 written submissions at its 14 public
and five in camera hearings and, in addition,
obtained extension information from inter-
views and conversations with police officers
and citizens from all walks of life.
The report covers the analysis and fore-
cast of the extent and nature of policing in
the future; the division of responsibility be-
tween various forces; the financing of police
services; manpower training and develop-
ment; administration; the function of the
Ontario Police Commission, local police com-
missions and other governing bodies and the
relationship between the police and the
public. This relationship also becomes the
theme of the entire report.
The report makes 170 recommendations,
Mr. Speaker, which will now be examined
by my ministry.
COMMUNITY-SPONSORED HOUSING
PROGRAMME
Hon. S. B. Handleman (Minister of Hous-
ing): Mr. Speaker, I would like to give the
members a broad outline of a programme my
ministry is introducing to provide assistance
to community groups in developing and man-
aging their own housing projects.
The programme, which we are calling the
Community-Sponsored Housing Programme,
is aimed at assisting such groups as non-profit
and certain co-operative organizations, as
well well as housing companies set up and
operated by the municipal governments.
Interjection by an hon. member.
Hon. Mr. Handleman: The purpose of this
new programme is two-fold— to promote co-
operative and non-profit housing generally as
another means of producing accommodation
for moderate-income earners, and to estab-
lish another method of integrating public
housing units in the community.:
Community-sponsored housing is part of
the diverse range of policies already announc-
ed, or being developed, within the Housing
ministry. The programme vdll relate closely
to two federal amendments made last year
to the National Housing Act. While these
amendments are most helpful, we in the pro-
vincial government feel they do not go far
enough, particularly as they relate to persons
and families in the lower- and moderate-
income ranges.
The community groups to be assisted will
include people of many income levels and
with a wide variety of special interests and
goals— such organizations as service clubs,
charitable bodies and those dedicated to aid-
ing the elderly and the disabled.
The programme will complement the fed-
eral assistance and add to it in basically
three ways:
312
ONTARIO LEGISLATURE
1. It will provide grants of up to 10 per
cent of the value of the housing projects, to
be paid progressively over a 15-year period
in order to reduce the mortgage payments.
2. It will financially assist in the rent pay-
ments of those in the lower- and moderate-
income groups through the rent supplement
programme. In return for the grants, the
community-sponsored groups will provide
generally up to 25 per cent of their units for
use under the rent supplement programme.
3. It will make available ongoing support,
in the form of expertise or other assistance,
in the areas of both the development and
management of housing projects.
As well, as a partial or whole alternative
to the grants, my ministry is prepared to 'lease
provincial lands, where available, to com-
munitv-sponsored groups having dijfficulty
finding sites at reasonable cost.
Presently, the NHA amendments I referred
to provide such assistance as up to $10,000 in
startup funds, mortgage loans of up to 100
per cent plus a 10 per cent capital contribu-
tion, and grants of up to $2,500 per unit for
the rehabilitation of existing housing for use
by non-profit groups.
When added to this federal assistance, the
new Ontario programme wiU, I believe, result
in rent 'levels which are within the reach of
those persons and families needing assistance
the most.
That is the broad thrust of the programme.
There are still certain mechanics and details
yet to be worked out and, so that we may
complete these in consultation with those who
will be closely involved, my ministry— in con-
junction with the federal government, through
Central Mortgage and Housing Corp.— will be
hosting a conference on the subject in To-
ronto on March 25. To this conference we
are inviting representatives of the municipal-
ities and many non-profit, charitable and co-
operative organizations which are involved or
which have indicated a desire to become in-
volved in developing housing of this type.
Once we— and here I refer to the groups
and municipalities, the federal government
and the Ontario Ministry of Housing— have
finalized these details, it is my intention to
get the programme in operation as soon as
possible, hopefully in the early part of May.
Thank you, Mr. Speaker.
Mr. E. Sargent: (Grey-Bruce): The gov-
ernment was saying this 10 years ago.
Mr. S. Lewis (Scarborough West): What
does the hon. member for St. David (Mrs.
Scrivener) say to all of that?
Hon. Mr. Handleman: Sorry, the member
can't ask her a question.
ALGONQUIN PARK YOUTH CAMP
Hon. L. Bemier (Minister of Natural Re-
sources ) : Mr. Speaker, I would like to inform
you and the hon. members of the Legislature
that a provincially-sponsored youth camp is
to be established in Algonquin Provincial
Park, in line with the government's policy ob-
jectives for the park as announced last July.
Campers will be recruited from the metro-
politan areas of southern Ontario who might
not otherwise have the opportunity to share
a wilderness camping experience.
While the costs of development and the
operation of the camp will be borne by the
Ministry of Natural Resources, it will be oper-
ated on behalf of the ministry by the camping
service of the YMCA of Metropolitan Toronto.
The camp will initially be designed to
accommodate 56 campers in each of four two-
week camping periods for boys and girls in
the 12-to-16 age group. Fees will be minimal
to assist the government in providing this
experience for the less advantaged children
from urban areas.
The camp programme will include normal
youth camp activities such as hiking, boating
and water sports, but special emphasis will be
placed on interpreting the relationship be-
tween man and his natural environment in
accordance with the objectives of w^demess
camping.
Arrangements are currently being com-
pfleted to ensure that the camp is operational
for this coming summer camping period.
I am sure that all hon. members will join
with me in expressing the appreciation of the
government to the YMCA of Metropolitan
Toronto for the close co-operation and assist-
ance they have given to my ministry in the
design and development of this new public
camp in Algonquin Provincial Park.
Mr. J. E. Stokes: (Thunder Bay): Is the
for rrrsinre tr» rar>n-iH- oil fno /-iQm-r»/3ro from
ivir. J. rj. atoKcs: ^^ inunuer iDay;: j
minister going to recruit all the campers
Toronto?
Hon. Mr. Bemier: No, no.
Mr. Speaker: Oral questions. The hon.
member for Kitchener.
SIMCOE COUNTY STEEL PLANT
Mr. Breithaupt: Mr. Speaker, a question
of the Minister of the Environment: Is the
');t MARCH 14, 1974
313
minister aware of the proposal by Automo-
tive Hardware Ltd. to build a $25 million
steel melt shop and rolling mill on the banks
of the Nottawasaga River in Essa township,
Simcoe county? Has the minister undertaken
any studies of the environmental impact of
such a plant?
Hon. W. Newman (Minister of the Envir-
onment): I am not familiar with that in de-
tail, but certainly we will be looking at it.
I do appreciate the member bringing it to
my attention and I will get some details back
to him.
Mr. Rreithaupt: A supplementary of the
minister: Since Essa township has no oflBcial
plan, will the minister deal not only with
the Treasurer (Mr. White) to ensure that
there is no approval given before environ-
mental and planning considerations are done,
but will the minister also deal with his col-
league the Minister of Agriculture and Food
(Mr. Stewart) to inquire just as to the agri-
cultural value of these lands, which are in
lot 22 of concession 6, before any such plans
are proceeded with?
Hon. Mr. Newman: I certainly will. I will
consult with my colleagues on that.
Mr. Sargent: Attaboy!
ENVIRONMENTAL HEARING BOARD
Mr. Breithaupt: The minister is so co-
operative I will ask him another question,
Mr. Speaker. Is the minister considering any
legal action wdth respect to Disposal Services
Ltd., the firm that has been dumping garbage
on a site in Maple since January, even though
the site has not as yet been approved by
the Environmental Hearing Board?
Hon. W. Newman: This is a very com-
plicated matter. I just happen to have a few
facts about it here today, because I thought
it might be coming up.
This matter is very complex and a pro-
visional certificate of approval was issued
which stated that the company had to stop
taking waste to the site by August, 1973,
since the 43 acres were full. The company
appealed this to the Environmental Appeal
Board on the basis that the certificate was
for 63 acres even though it was currently
using only 43 acres. The appeal board ruled
that 20 acres was not covered by the certifi-
cate and that a hearing by the Environ-
mental Hearing Board would be required
with respect to the 20 acres.
The company subsequently appealed the
decision of the appeal board on a point of
law to the courts, and to the minister on a
question of fact. The court case is set for
April 29, 1974. In the interim period the
municipality passed a bylaw prohibiting the
use of the 20 acres as a waste disposal site.
The hearing board is also considering whether
or not the bylaw should apply to the site.
The reason we have not stopped this at the
present time is because our legislation pre-
vents us doing so in some terms and condi-
tions under certificate of approval until final
disposition of the appeal.
However, I've asked our legal people to
get on this and we are looking at several
ways in which we may deal with this matter.
Mr. Breithaupt: A supplementary question,
Mr. Speaker: Since it would appear that the
site may well be filled by the time the court
case comes up—
Mr. Lewis: It is filled already.
Mr. Breithaupt: —what, in fact, is the
minister going to do to go along with what
the chairman of the Environmental Hearing
Board said, which was that this was an
illegal use in the first place?
Hon. W. Newman: This is what I'm just
saying— we have three alternatives open to
us; we can either file an injunction, we can
start prosecution or we can put a stop order
on it.
Mr. J. E. Bullbrook (Samia): Why not put
a stop order on it?
Hon. W. Newman: Our legal people are
looking at it. We just don't want a stop
order that they could take to the courts and
change in 24 hours. We want to find the
best procedure. We would like to stop-
Mr. Bullbrook: Use one of the other alter-
natives then.
Mr. Singer: Why not use all three at
once?
Hon. W. Newman: We would like to stop
this until the matter is cleared up in the
courts. We are very anxious to do this.
Hon. J. W. Snow (Minister of Government
Services): Was that free legal advice?
Mr. Lewis: A supplementary, Mr. Speaker:
Since the government by its owm delays has
been directly responsible for the prolongation
of this dumping of garbage by an additional
43 weeks beyond that which the tovm
314
ONTARIO LEGISLATURE
approved, surely the stop order is now the
procedure to save whatever is left from
further damage?
Hon. W. Newman: We will be taking the
necessary action within two or three days.
We are not going to wait until it gets settled
in the courts. We want the dumping there
now stopped until this matter has been re-
solved.
Mr. Breithaupt: That will be August, 1974.
Hon. W. Newman: No, it won't.
Mr. E. R. Good (Waterloo North): A
supplementary, Mr. Speaker.
Mr. Speaker: The hon. member for Water-
loo North.
Mr. Good: Thank you. Since the minister's
answer is exactly the same as the answer
given by the previous minister last December,
will he undertake to change the legislation
so that these people can't make a mockery
of the laws and go on dumping and dumping
while they continue to appeal?
Hon. W. Newman: First and foremost, it
isn't the same statement because I've got—
Mr. Sargent: It is.
Hon. W. Newman: No, it is not. The
member didn't do his reading. We are very
much-
Mr. T. P. Reid ( Rainy River ) : Not the way
the minister read it.
Hon. W. Newman: We are very much
concerned about the whole situation. We
really want to get at the thing and clean
it up.
Mr. Good: Has the minister been up to
look at it?
Hon. W. Newman: I have been to see some
of the sites. I haven't seen them all.
Mr. Good: It is a disgrace.
Mr. D. M. Deacon (York Centre): Mr.
Speaker, would the minister say what he will
do if the decision is that that should not have
been used? The site is a pollution threat to
the area. Is he going to order Disposal
Services to remove all that waste they've been
dumping on the site illegally for the last
year and a half?
Mr. Breithaupt: Give them double their
garbage back.
Hon. W. Newman: There are appeals on
right now. One appeal is directly to the
minister and the other is to the courts. Cer-
tainly we are concerned about seeing whether
this gets cleared up properly in the courts,
but in the meantime we want to stop the
dumping.
Mr. Lewis: Then issue a stop order.
Hon. W. Newman: It is not that simple.
Mr. Deacon: How is the minister going
to have them remove the garbage they've
already dumped if it is illegal; if it shouldn't
have been dmnped?
Hon. W. Newman: I think that should be
left up to the courts to decide.
Interjections by hon. members.
Mr. Speaker: No, there have been five
supplementaries now, that is sufficient. The
hon. member for Kitchener. Does the hon.
member for Kitchener have further questions?
GUARANTY TRUST CO. OF CANADA
Mr. Breithaupt: Yes, Mr. Speaker, a ques-
tion of the Minister of Consumer and Com-
mercial Relations with respect to the Guaranty
Trust Co. of Canada: Further to the laying of
certain charges against the company and
several of its former officials, can the minister
assure the Legislature as a result of his
investigations that the company is in a sound
financial position and that there is no danger
or threat to the public interest as a result
of this unfortunate circumstance?
Hon. J. T. Clement (Minister of Consumer
and Commercial Relations): Yes, Mr. Speaker,
as the matter is before the courts I wish to
pass no comment as to the nature of the
particular charges facing that company. I
can give the House the assurance tiiat the
company is in a very stable condition and,
in fact, I am advised it anticipated these
charges and has in fact for some time re-
served particular funds in anticipation of
these charges, which show on their state-
ments.
Mr. Breithaupt: I have heard of reserves for
various other things but I suppose reserves
for prosecution are all right too.
OPERATION OF TRAVEL AGENCIES
Mr. Breithaupt: One further question of the
minister with respect to Cardinal Travel Ltd.:
MARCH 14, 1974
315
Has the minister ordered an investigation
into this travel agency operation, which has
been well publicized, and into the activities
and history of Mr. Stan Monday? Is the
minister aware of any earlier matters of this
sort in which Mr. Monday has been involved?
And finally, will the minister as a result
of this event, ensure that travel agents and
agencies are bonded so that this defrauding
of the public by the few who are breaking
the law and are a menace to that whole
business circumstance can be avoided? Surely
let this be the last one of these kinds of
things.
Hon. Mr. Clement: First, Mr. Speaker, up
to the present time we have received no com-
plaints over the past number of years in con-
nection with this particular agency. Second,
I am not aware of any law, criminal or other-
wise, having been breached by this agency.
My ministry, when it first learned of it, has
worked very closely and has been in con-
sultation with Metro police, who advise that
there has been no defalcation but that the
travel arrangements fell through because of
the inability of the agency to sell all the
tickets on certain particular flights.
Insofar as bonding is concerned, this is a
much more complex situation than just having
the person who runs a trave'l agency go out
and get a bond, because th© first question is
how much of a bond is required. Many of
these agencies, when arranging charter flights,
particularly on large aircraft, are incurring
liabilities ranging anywhere from $200,000 to
$500,000, depending on the number of
charters that they are arranging.
I met with certain travel agents repre-
senting two organizations a year ago January,
and they suggested themselves that they be
bonded and regulated by this government,
and I assured them we'd be willing to accom-
modate them. They attended with their soli-
citor and I asked them what they proposed
to do about bonding, and they went away
and they told me that they would come back
as soon as they had a presentation in the
form of a brief to discuss the matter widi me.
We have been in touch with ^em, I be-
lieve on two occasions since that time,
requesting that they re-attend, and they
pointed out various diflSculties that they have
run into, namely: How much are you bonded
for? Is it a varying bond? What happens to
those agents who run good, respectable, re-
sponsible agencies, have had no diflSculties
and yet for one reason or another might not
be able to be bonded?
Mr. Singer: Lawyers all pay into the in-
demnity fund.
Hon. Mr. Clement: Yes, the lawyers all pay
into the indemnity fund which is run by the
Law Society of Upper Canada, ana not
through any agency of this government. Un-
less you had a compensation fund run by the
industry itself, with no limits insofar as losses
are concerned, then I suggest that there could
be situations where a loss could occur and the
public interest not be covered.
I am further advised with reference to
Cardinal that the moneys paid by way of a
deposit will, in fact, be returned. The Metro
police have advised us of this, but that is
the extent of my knowledge insofar as this
agency is concerned.
Mr. Singer: By way of supplementary-
Mr. Speaker: I think the hon. member for
Wentworth should have a supplementary now.
Mr. I. Deans (Wentworth): A supplemen-
tary: Is the minister saying that he is not
moving against these travel agencies until
such time as they tell him what they would
like to see done? I mean, when is the gov-
ernment going to take the initiative and
estaMish some regulations which are enforce-
able?
Hon. Mr. Clement: I'd be glad to do that
if on my estimates this year the members gave
me enough money to regulate travel agencies,
television repairmen, housebmlders, and all
the like across the province.
Mr. Deans: Why doesn't the minister ask
us?
Mr. Speaker: The hon. member for Downs-
view.
Mr. J. F. Foulds (Port Arthur): When are
we going to get some legislation in the prov-
ince, then?
Interjections by hon. members.
Mr. Speaker: The hon. member for Downs-
Mr. Singer: Is there no ability in the gov-
ernment to bring forth its own bonding regu-
lations, and can the minister tell us if any
of the principals of Cardinal have been in-
volved in similar diflSculties within the last
half dozen years?
Hon. Mr. Clement: Any of the what? I am
sorry.
316
ONTARIO LEGISLATURE
An lion, member: Cardinal Travail
Mr. Singer: Principals of Cardinal Travel
have been involved in similar diflficulties,
within say the last six years?
Hon. Mr. Clement: I am not aware of any
principals of Cardinal having been so in-
volved.
Mr. Singer: Well, what about the first
part of the question?
Hon. Mr. Clement: Yes; I suppose we
could come up with a programme. Again, we
would have to establish, I suggest, a com-
pensation fund, presumably paid for and
contributed to by the industry itself.
Not all members of the travel agency
fraternity in this province are in fact mem-
bers of the two associations with which I met,
I believe a year ago January. We would have
to bring in legislation involving all travel
agents, not necessarily those in the two
associations which are in existence.
Again, it's a matter of degree. I think the
industrv' has been, by and large, responsive.
There have been those unfortunate situations
where people on charters-
Mr. Singer: Well, like every two weeks
there's another.
Hon. Mr. Clement: Oh, not every two
weeks at all.
Mr. Deans: Every spring, every spring.
Hon. Mr. Clement: Every spring?
I would think that one of the first things
we would have to move on is the regulation
of their industry. But again the amount of
compensation to be paid to any one individlial
or individuals would vary depending on the
number of charters undertaken by each indi-
vidual agency.
Mr. Deans: Well, what is holding the
minister up?
Mr. Singer: Those are the mechanics of it.
The minister has enough talent in his depart-
ment to figure that out.
Hon. Mr. Clement: You can't write a
blanket million-dollar coverage on any indi-
vidual agency. It's just impossible.
Mr. Singer: Do something.
Mr. Breithaupt: It would be a start.
Mr. Lewis: Supplementary, Mr. Speaker: Is
the minister saying, finally then, that because
of what seems to be fairly simple mechanics,
which his people have not yet devised, he is
washing his hands of a practice which is
obviously illegitimate and corrupt for those
who experience it? Does he feel no respon-
sibility at all then?
Hon. Mr. Clement: Illegitimate and what?
Mr. Lewis: And corrupt for those who ex-
perience it; for those who are stranded, for
those who don^t get their money back.
Hon. Mr. Clement: I am not going to in-
dict the travel industry and say they are
corrupt.
Mr. Lewis: I didn't indict the travel indus-
try. We are talking about those companies
that are specifically involved in reneging on
fonnal undertakings.
Mr. Deans: And it happens every single
Near.
Mr. Singer: Those people pay their money
and don't get the services they pay for.
Mr. Speaker: The hon. member for York-
Forest Hill.
Mr. P. G. Givens (York-Forest Hill): Hav-
ing said all' that he has, is the minister giving
us any assurance that these 285 students who
have been held up will either get their money
returned to the tune of $370 apiece, or in the
alternative that they wall be able to take trips
with alternate airlines? Is he doing anything
about either of those questions?
Mr. Sargent: Use the government aircraft.
Hon. Mr. Clement: No, I am not arranging
alternate trips for them, but I am advised
through Metro police that their funds will be
returned in their entirety.
Mr. Deans: When?
Hon. Mr. Clement: A certain amoimt of the
funds, I understand, left Canada to book
accommodation in Europe. Those funds wall
not be used and are to be returned. The other
funds iiK the hands of the travel agents, I am
advised again by jny officials after consulting
with the Metro police, are in' the process or
have in fact been returned.
Mr. Breithaupt: The minister could perhaps
invite them to visit the Legislature next week.
Mr. Lewis: Some consumer protection
branch!
Mrs. Campbell: Mr. Speaker, is the minister
not aware that in certain cases Swissair has
MARCH 14, 1974
317
advise<i that the money is to be frozen in
Europe and that only a portion will be re-
turned? Is the minister aware of that?
Hon. Mr. Clement: No, I am not aware
that Swissair made any statement other than
the one reported in the press, wherein they
said they had worked in harmony and co-
operated with this agency for some period of
time and that the arrangement had been
amicable both ways. I'm not aware of the
statement to which the member refers.
Mr. Speaker: The hon. member for Peter-
borough.
Mr. J. M. Turner (Peterborough): I wonder
if the minister is aware that not only children
from the Toronto area are involved, but in
fact people from a very large area of Ontario
are involved?
Mr. Breithaupt: Even including Niagara.
Mr. Deans: Including the Hansard staflF.
Mr. Singer: Now he has got to dio some-
thing.
Mr. Turner: The minister has stated that
the Metro police have told him the money is
to be returned to the Toronto people. How
about the people living outside the Metro
area?
Mr. Lewis: The minister should get his
mind shifted to something outside Metro.
Hon, Mr. Clement: Mr. Speaker, I heard
the first part of the member's question, to
which the answer is yes. I didn't hear any of
the second part of his question, imless he
was just having a discussion vdth me.
Mr. Turner: I'll speak a little louder.
Hon. Mr. Clement: Thanlc you.
Mr. Turner: Is the minister aware that the
problem is not limited to the Toronto area
but in fact children from all over Ontario are
affected? He has stated he has had assurance
from the Metro police that the money for the
Metro children apparently is going to be re-
turned. Has he any such assuranoe for the
children living outside of the Metro area?
Hon. Mr. Clement: No, i am sorry. I hope
I didn't indicate that the police indicated to
our officials that only the Metro children were
going to get their money back.
Mr. Turner: The minister mentioned 285.
Hon. Mr. Clement: No, I think the Metro
police indicated to my officials that all the
people involved in the Cardinal arrangement
were going to get their money back, and they
didn't designate those who came from inside
or outside of Metro.
Hon. A. Crossman (Provincial Secretary for
Resources Development): Can they do that
through the member?
Mr. Speaker: The hon. member for Kit-
chener.
Mr. Breithaupt: I have no further ques-
tions, Mr. Speaker.
Mr. Speaker: The hon. member for Scar-
borough West.
ENVIRONMENTAL HEARING BOARD
Mr. Lewis: I would like to ask a question
of the Minister of Environment first.
He has had before him for some consider-
able time an application from Disposal Ser-
vices Ltd. to go before the Environmental
Hearing Board, on the approval of the min-
istry, for an additional 900-acre site in
Vaughan township, not far from their present
continuing violation. What has the minister
done with that Tequest?
Hon. W. Newman: A hearing has been set
up for that particular area.
Mr. Lewis: All right. Section 35 of the En-
vironmental Protection Act says:
Where a bylaw of a municipality affects
the location or operation of a proposed
waste disposal site [and the minister will
know that the bylaw in this case forbids
such a site] the minister, upon the applica-
, tion of the person applying for a certificate
of approval for the waste disposal site,
may, by a notice in writing, and on such
terms and conditions as he may direct, re-
quire the hearing board to hold a public
hearing to consider [the application].
Given the record of Disposal Services, whose
garbage dumping the minister is going to
have to stop by court order, why did he
recommend that they have a hearing to use
yet another 900 acres in Vaughan township?
What has the minister got against Vaughan
township? Or, more important, what is it be-
tween the minister and Disposal Services?
Hon. Mr. Grossman: Garbagel
An hon. member: Nonsense!
Interjections by hon. members.
318
ONTARIO LEGISLATURE
Hon. W. Newman: It is quite obvious from
the hon. member's question that he knows
them a lot better than I do. I don't know
them at all. Certainly they have made an
application and there will be a hearing on a
site that large, and the hon. member is quite
aware of the fact that the 20-acre site we
are dealing with now is just a preliminary
to what is to come.
Mr. Lewis: But surely, by way of supple-
mentary, since it is on ministerial authority
that the hearing is granted at all, given their
behaviour in Vaughan township, which the
minister is resorting to court action to stop,
he should say to them, "No, you may not have
a hearing— no more garbage from Disposal
Services in Vaughan township," Why this
special privilege for them?
Hon. Mr. Newman: There is no special
privilege. Anyone can ask for a hearing with
the Environmental Hearing Board.
Mr. Lewis: But it is within the minister's
prerogative.
Mr. D. C. MacDonald (York South): Why
is he granting it?
Mr. Lewis: Why is he granting it?
Hon. W. Newman: We will grant a hear-
ing to anyone who requests a hearing, so that
the people can have a chance to have an
input.
Mr. Lewis: But it contradicts the bylaw.
Mr. Deacon: Supplementary: Would it not
be within reason for the minister to delay any
consideration of a further hearing untU the
first hearing has been dispensed with com-
pletely? I do not understand why the minister
says he will consider giving a hearing to any-
one at all. Surely he will not grant a hearing
to those who the minister himself considers
are flagrantly breaking the law?
Hon. W. Newman: Well, as far as en-
vironmental hearings are concerned, applica-
tions are being made and we are hearing
them in many areas of the province, and we
will continue to hear them on the basis that
people will have a chance to participate.
Mr. Lewis: One last supplementary: This
isn't just an application for a hearing in the
way in which the minister replied. This is an
application for a hearing to break an existing
bylaw. That is why they have to come to the
minister. Now why does he grant them the
right to go to a hearing? That's whv the
clause says "may" rather than "shall." Why
does the minister grant them the right to the
hearing to break yet another law in Vaughan
township?
Mr. Breithaupt: Why not say no in the first
place?
Mr. Lewis: Say no.
Hon. W. Newman: Is the hon. member
talking about the bylaw they passed on the
present 20-acre site?
Mr. Lewis: No, I am talking about the use
of the present 900-acre site.
Mr. Deacon: Why consider a hearing when
they are using another site for an illegal
purpose?
Mr. Deans: Why doesn't the minister say
he doesn't know?
Hon. W. Newman: I am not really sure
of that. I will look into it and get back to the
hon. member.
Mr. Speaker: The hon. member for York
North.
Mr. W. Hodgson (York North): What is the
position of Vaughan township council on
this? Have they approved of the site?
Mr. Deans: How could they have? They
have a bylaw.
Mr. Lewis: The minister can violate their
bylaw, but they can't.
Mr. W. Hodgson: Has the minister had any
direction from Vaughan township council?
Mr. Lewis: They are opposed to it; they
have been opposed to it throughout.
Mr. W. Hodgson: It is my understanding
that they approved of the site a year ago.
Mr. Lewis: No, they didn't.
Hon. W. Newman: There have been many
approvals of many sites and, of course, there
have been wdthdrawals and changes because
of the reaction of people; that is one reason
we have these hearings, so people have the
right to express their views and to be heard.
Mr. Deacon: Supplementary: What steps
has the minister taken to provide for other
sites or means of disposal of the garbage
that is now being handled by Disposal Ser-
vices? Has any alternative been developed
bv the ministry so that we don't have to reh-
MARCH 14. 1974
319
upon that company for the disposal of indus-
trial garbage from the Metro area?
Hon. W. Newman: Disposal of their gar-
bage is their responsibility, not ours, as far
as Disposal Services are concerned.
Mr. Deacon: The ministry has to take
some leadership.
Mr. Sargent: Supplementary: Is the min-
ister aware that in St. Louis they are han-
dling 8,000 tons a day and they are making
money on their garbage recycling?
Hon. W. Newman: I am aware there are
many plants throughout the world. The tech-
nology in our ministry is aware of all these
things throughout the world.
Mr. Deacon: The ministry has done noth-
ing about it.
Hon. W. Newman: We have so. We have
two or three-
Mr. Breithaupt: Meet me in St. Louis.
Mr. Speaker: The hon. member for Scar-
borough West.
ALGONQUIN FOREST AUTHORITY
Mr. Lewfc: I have a question of the Min-
ister of Natural Resources, if I could, Mr.
Speaker. I take it that the minister will
shortly be introducing legislation to enact the
Algonquin Forest Authority that was referred
to some months ago?
Hon. Mr. Bemier: Yes, Mr. Speaker.
COMMUNITY-SPONSORED HOUSING
PROGRAMME
Mr. Lewis: Thank you. I have a question,
Mr. Speaker, of the Minister of Housing.
How much money has he specifically set
aside for the additional support to co-op
and non-profit housing of which he spoke
today; and how many units is that likely to
provide of housing as yet unanticipated?
Hon. Mr. Handleman: Mr. Speaker, we
have set aside in our estimates an amount
which we consider to be adequate, approxi-
mately $4 million worth of cash flow this year,
based on the applications and the interest
which has been shown in the programme. I
can't specifically tell the hon. member the
number of units, since obviously it will de-
pend on the number of projects which fall
within our criteria. However, we do feel that
the programme that we have established and
which will be announced specifically in due
course will be adequate to meet the needs.
Mr. M. Cassidy (Ottawa Centre): Supple-
mentary, Mr. Speaker: Does the minister
agree that $4 million will purchase about 250
units; and does he consider that 250 units in
1974 is an adequate alternative fostered by
the government to the present private enter-
prise development going ahead in housing?
Hon. Mr. Handleman: Mr. Speaker, I don't
think the hon. member listened to our state-
ment.
An hon. member: He never does.
Hon. Mr. Handleman: The $4 million is
our cash flow payment for this year. What
we have said we would do is underwrite 10
per cent of the total cost of these projects.
The $4 million is the amount, and that will
be spread over 15 years. The $4 mfllion that
we are setting aside this year is suflBcient to
handle the project for 1974 and 1975. If
additional funds are required, if the demands
are greater, obviously we will have to take
a look at that at that time.
Mr. Cassidy: A further supplementary:
Perhaps the minister can be explicit and say
how many units he intends to be begun in
1974 as co-op or nonprofit housing, and does
he consider that that total is an adequate
number?
Interjections by hon. members.
Hon. Mr. Handleman: Mr. Speaker, I just
answered that question. I think it was quite
clear in my statement that this programme
would be developed following consultation
with the interested parties, including the
federal government, on March 25 on the basis
of preliminary inquiries.
Mr. Lewis: By way of supplementary,
when the minister says on the basis of pre-
liminary inquiries he arrived at $4 million,
what does his preliminary figure for number
of units lead him to? He didn't just pull-
maybe he did, in his ministry it's possible— it
out of the air, or maybe that's what he
thought he could write off at the end of the
budget next year rather than use money.
Where did he get it from?
Hon. Mr. Handleman: Mr. Speaker, there
is no specific number of projects. I am satis-
fied that the $4 million will meet the need
of those projects which meet the criteria that
we have set down.
320
ONTARIO LEGISLATURE
Mr. Speaker: The hon. member for Scar-
borough West.
NOISE REGULATIONS
Mr. Lewis: One last question of the Min-
ister of the Environment: Where are the
legendary noise regulations about which we
have heard from time to time for the last
four years?
Hon. W. Newman: That's a very good
question. The present noise regulations are
still under discussion with the new minister.
We are looking at them.
Mr. Breithaupt: Is there a new minister?
An hon. member: Since 1955, isn't it?
Hon. W. Newman: We are still looking at
it. I can't give the member a firm date on it.
Mr. Speaker: Does the hon. member for
Scarborough West have further questions?
Mr. Lewis: No.
Mr. Speaker: The hon. Minister of Revenue
has the answer to a question asked previously.
TAX CREDIT INFORMATION CENTRE
Hon. A. K. Meen (Minister of Revenue):
Mr. Speaker, I would like to reply to a ques-
tion asked of me yesterday by the hon. mem-
ber for York-Forest Hill on the administrative
cost of the Ontario tax credit programme.
The estimated cost to my ministry, as I
am advised, for this system is $148,000. This
consists of $88,000 for equipment, telephones,
postage and miscellaneous items, and approxi-
mately $60,000 for contract staff hired to
handle public inquiries.
Regular civil service staff in my ministry
are also involved, of course, in administering
the tax credit centre in varying degrees, in
addition to their normal responsibilities.
I might add, Mr. Speaker, that the hon.
member for Ottawa East (Mr. Roy) re-
quested the name of the advertising agency
which we've retained for the purpose. That
agency is F. H. Hayhurst and Co. Ltd.
Mr. Bullbrook: We can't kick there, be-
cause it's cheaper than the drainage com-
mittee.
Mr. Speaker: The hon. Minister of Housing
also has the answer to a question asked
previously.
Interjection by an hon. member.
RESALE OF HOME PROGRAMME
HOUSES
Hon. Mr. Handleman: The member
wouldn't want me to ignore these questions,
would he? I have the answer to a question
asked on Tuesday by the hon. member for
Wentworth. The question was: Is the minister
aware of the practice whereby HOME houses
built not six months ago are reselling at twice
the price?
Under the terms of the HOME plan, houses
built on OHC's leased lots may not be resold
during the first five years of the lease without
OHC's approval of the sale price. This re-
quirement is designed to curb speculation of
these homes, the very speculation which the
hon, member brought to my attention. When
calculating the resale price of a HOME plan
house, OHC allows the owner an increment in
value of approximatdy $500 per vear over
the original house price, plus the value of
any improvements he may have made, and his
real estate fees if he is selling the house
through a real estate broker.
We would approve a modest increase in the
price of a house built six months ago but
would not approve the sale at double the
price.
Mr. Speaker, my ministry is aware and
OHC is aware of a certain number of prac-
tices which are taking place to evade the
provisions of the HOME programme, and we
are now studying means to plug ever\' loop-
hole we can possibly ascertain. The hon.
member has offered to give me more infor-
mation later on. We would certainly hke to
look into individual cases to see how they
meet the solutions we're thinking about at the
present time.
Mr. Deans: A supplementary question, if I
may: Is the minister and the ministry con-
sidering making it mandatory that the resale
be back to HOME during the first t\vo or
three years of the home's life, in order to
ensure that this kind of speculative practice,
which we both know is being undertaken, is
curbed and stopped?
Hon. Mr. Handleman: Yes, Mr. Speaker,
that is one of the possible alternatives we're
looking at.
Hon. Mr. Grossman: It's already in effect.
Mr. Speaker: The hon. member for Water-
loo North with a supplementary.
Mr. Good: Would the minister consider
legislation so that when municipalities enter
into agreement with private builders this same
I
MARCH 14, 1974
321
practice could not continue, whereby builders,
in good faith, sell the homes' which are built
on smaller substandard lots, and before the
houses are even lived in, realtors and other
speculators are selhng them for $5,000,
$6,000, $7,000 or $10,000 more than they
paid for them just a few days or a week be-
fore? This is going on in municipalities and
there's nothing, evidently, the municipalities
can do about it.
Hon. Mr. Handleman: Mr. Speaker, I would
think the municipalities have the power in
their agreements-
Mr. Good: They don't.
Hon. Mr. Handleman: —to curb that type
of speculation. Certainly my ministry is in-
terested in curbing it. I'll certainly take a look
at it to see if we have the powers to enter
into those kinds of arrangements.
Mr. Singer: By way of supplementary, what
powers has a municipality to control selhng
prices of houses unless it owns the lots and
the houses?
Mr. Good: That's the problem— it hasn't
any powers.
Hon. Mr. Handleman: Presmnably, the
municipalities have entered— as I understand
the hon. member's supplementary^into agree-
ments with developers to do certain^ things
within the municipalities. In those agreements,
I would assume, they have the power to make
certain conditions on the transfer of the
agreement.
Mr. Singer: No such powers.
Interjections by hon. members.
Mr. Speaker: The hon. member for Huron-
Bruce is next.
Mr. M. Gaunt (Huron-Bruce): Thank you,
Mr. Speaker. My minister has just disappeared
so I'll dtefer for a moment.
Mr. Speaker: The hon. member for Wel-
hngton South.
Mr. H. Worton (Wellington South): No.
Interjections by hon. members.
Mr. Speaker: The hon. member for Rainy
River.
EFFECT OF VETERANS' SERVICE
IX CALCULATING PENSION
Mr. Reid: Thank you, Mr. Speaker. I have
a question of the Premier. Does the Premier
recall my question in the last session, in re-
gard to—
Mr. Speaker: I apologize to the hon. mem-
ber for Windsor- Walkerville. I recognized the
hon. member on his feet because I saw him
first.
Mr. B. Newman (Windsor- Walkerville): Yes,
that's all right.
Mr. Reid: I'm smaller, too!
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): Don't fight, fellows!
An hon. member: And louder, too!
Mr. Reid: Does the Premier recall my ques-
tion to him in regard to allowing those people
who served either in World War II or the
Korean war to use their years of military ser-
vice toward their pensions in the Province of
Ontario? Is he prepared to bring in legislation
in this session to deal with that matter?
Hon. W. G. Davis (Premier): Mr. Speaker,
I do recall the question and as a result of the
question we are undertaking certain studies
and there will be some information due fairly
shortly.
Mr. Speaker: The hon. member for High
Park.
An hon. member: Yes, good idea.
EFFLUENT FROM BELLEVILLE
GENERAL HOSPITAL
Mr. M. Shulman (High Park): A question
of the Minister of Healm, Mr. Speaker: Since
he was away yesterday I'll give him a three-
part one for today. Have his oflBcials informed
him of the coliform reading done six weeks
ago of the efiBuent from the Belleville General
Hospital into the Bay of Quinte? Does the
minister feel that a coliform count in access
of 100,000 is dangerous? And if the minister
does agree it is dangerous, what is the minis-
ter doing about the health hazard to the
people living in that area of eastern Ontario?
Hon. F. S. Miller (Minister of Health): Mr.
Speaker, the suspense of waiting whilst the
member was trying to be recognized before
the end of the question period really has
upset me greatly and therefore I will find
it diflBcult to answer his question.
An hon. member: Just answer the ques-
tion.
322
ONTARIO LEGISLATURE
Hon. Mr. Miller: However, I would won-
der whether the coliform—
An hon. member: He doesn't stay very
long, you know, Mr. Speaker.
Hon. Mr. Miller: No, he doesn't. I was go-
ing to suggest that my presence as Minister
of Health has done wonders for his attend-
ance in the House.
Hon. W. D. McKeough (Minister of En-
ergy): His leader isn't happy though. His
leader isn't happy.
Mr. Cassidy: The Minister of Health must
have worked on that for weeks.
Mr. MacDonald: Don't waste the question
period.
Mr. Deans: He doesn't know the answer.
Hon. Mr. Miller: I suppose the question is
whether it's Ecoli or not, whether it's an
Ecoli coliform or what other type. I would
think that any high coliform count deserves
special attention and while I haven't seen
this particular report, I'm sure the member
will get a complete answer from me, as he
has on all previous questions.
Mr. Shulman: A supplementary, if I may,
Mr. Speaker: If this particular report has not
been brought to the minister's attention, has
it been brought to his attention that this same
hospital has had previous very high coimts
and that this is a continuing problem?
Hon. Mr. Miller: No.
Mr. Speaker: The hon. member for Wind-
sor-Walkerville is next. There are five other
members of the Liberal Party. I will call
them in turn if there is time.
Mr. B. Newman: Thank you, Mr. Speaker.
You don't have to apologize to me at any
time for not calling me. I would prefer to be
called but, if you don't, I accept your de-
cision.
Mrs. Campbell: The Minister of Energy
prefers to be chosen.
Mr. A. J. Roy (Ottawa East): Many are
called but few are chosen.
AUTOMOTIVE INDUSTRY PENSIONS
Mr. B. Newman: Mr. Speaker, I have a
question of the Minister of Consumer and
Commercial Relations. In the recent negoti-
ations between the UAW and the various
automotive companies certain pension in-
creases were granted to pensioners— certain
adjustments were made. Why is the ministry
holding up the payment of these pension in-
creases?
Hon. Mr. Clement: Mr. Speaker, under the
Pension Benefits Act a deferred annuity paid
to an employee terminating employment other
than by way of retirement must be equal to
that paid to a person who is retiring at the
same time with the same amount of service.
That is mandatory under two sections of the
Act.
The proposed automotive industry pen-
sion scheme that we're talking about does not
in fact permit that, but would discriminate
against those employees who are 45 years of
age or over, have 10 years of service and are
not retiring, but terminating their employ-
ment.
The legislation, therefore, says the two
must be the same; the plan does not con-
template that. The pension commission has
dravNTi that specifically to the attention of, I
think it's three major motor companies, as
well as to the trade union involved and we're
presently waiting to hear back from those
respective recipients of that information.
The pension commission says, in essence,
that the legislation does not distinguish be-
tween the two types of people whereas the
proposed plan does and, therefore, it's not
consistent with the legislation. They're wait-
ing to hear back from, I think its Ford, GM,
Chrysler and the union.
Mr. B. Newman: Right. A supplementary,
Mr. Speaker: Could not the ministry approve
the pension payments to the senior citizens
who have retired, rather than hold that por-
tion up, and withhold payment to those who
are in the 45-and-over bracket?
Hon. Mr. Clement: Mr. Speaker, I can
appreciate the member's concern. The pension
commission, under the legislation, either has
to approve the plan or not approve it. We
cannot approve portions of it and not others.
There are the two interests to be served
under the legislation and presumably that is
why it was drafted that way, to protect the
terminating employee as well as the retiring
employee. We are hopeful that it can be
worked out.
The discussions and communications be-
tween the pension commission and the auto-
mobile industries and the union involved
have been, I am advised, quite close and
MARCH 14, 1974
323
harmonious and I am quite confident that it
can be worked out. We are anxious to see it
worked out in the light of our present legisla-
tion.
Mr. Speaker: The hon. member for Sand-
wich-Riverside.
CONSERVATION OF ENERGY
Mr. F. A. Burr (Sandwich-Riverside): Mr.
Speaker, a question of the Premier regarding
the conservation of energy: In view of the
fact that automobiles on average consume
30.5 per cent more fuel at 70 mph than at
50 mph—
Hon. Mr. Davis: I am listening.
Mr. Burr: —and in view of the fact that
the cabinet does not wish to legislate com-
pulsory speed reductions on our freeways,
would the Premier consider recommending
that what might be called information signs
be placed at intervals along our major high-
ways giving such a reminder, in order to en-
courage motorists to conserve energy by re-
ducing fuel consumption voluntarily?
An hon. member: It will only happen if
the Premier signs them.
Hon. Mr. Davis: Mr. Speaker, we had a
very comprehensive programme just a few
months ago developed by the Minister of
Energy related to the conservation of energy,
both in terms of reduced speed, turning out
electric lights, and many other aspects.
Mr. Singer: Putting on our sweaters, re-
member that one?
Hon. Mr. Davis: I don't think that was
necessarily part of that particular programme,
although it may have been.
Mr. Singer: Difficult to sort out.
Hon. Mr. Davis: But I can only assume
from the hon. member that if we were to
continue such a programme of public informa-
tion, not just related to the use of automobiles
and the consmnption of gas, but energy
generally, the members opposite would have
no objection to any expenditure of funds for
such an information programme. I am de-
lighted to hear that and we will pursue it.
Mr. Breithaupt: As long as the Premier's
name is on the signs.
Mr. MacDonald: Are they going to put the
Premier's name on the bottom of every sign?
Mr. Speaker:
Huron-Bruce.
The hon. member for
JUDGEMENT AGAINST MINISTRY OF
AGRICULTURE
Mr. Gaunt: I have a question of the Min-
ister of Agriculture and Food, if I could
catch his attention over in the comer there.
An hon. member: A question of urgent
public importance.
Mr. Gaunt: Because of the judgement plus
costs awarded today against the Ontario
Ministry of Agriculture and Food in the Hart-
man raspberry case-
Mr. Singer: Against the minister personally
too?
Mr. Gaunt: —and because the Ontario tax-
payers are going to have to pay for this
mistake, could the minister tell me if there
have been any changes in personnel at the
Vineland research institute by way of resigna-
tions or firings, and what does the minister
intend to do to see that this doesn't reoccur?
Mr. Givens: And don't give him the rasp-
berry either!
Hon. W. A. Stewart (Minister of Agricul-
ture and Food): Mr. Speaker, I will take
the question as notice. I am obviously getting
the raspberry today and I would like to be
able to learn about it.
Mr. MacDonald: That is a change.
Mr. Speaker: The hon. member for Sudbury
East.
PRICE DIFFERENCES IN SEARS
CATALOGUE
Mr. Martel: A question of the Minister of
Consumer and Commercial Relations. Has his
ministry finished Hie investigation into the
pricing policies of Sears catalogues, which we
presented to him, which indicated they were
ripping off the people of northern Ontario
in comparison to selling prices between
Windsor and Sudbury?
Hon. Mr. Clement: I think the question
was raised by the member's leader in the
last session, referring to Sears having different
pricing on the same type of article in different
geographic areas.
Mr. MacDonald: It is one of the studies
the ministry is doing.
324
ONTARIO LEGISLATURE
Hon. Mr. Clement: No. The president of
that particular company, when we com-
municated with him, advised that certain
articles sold by that company did in fact
bear a price differential, but not all articles
sold by that company. I drew to his attention
the two matters that had been drawn to my
attention by the NDP leader— I think it was
some kind of a drill or something— that bore
a $10 or $9 difference, and he said that that
was one of the articles that bore the dif-
ference. Then he pointed out that there were
other articles that had no other difference. So
it is marketing policies of each individual
company.
Mr. Lewis: Pretty keen fellow.
Hon. Mr. Clement: I am told that most
major companies selling throughout the prov-
ince have certain zones where prices remain
the same within that zone, and beyond that
there is a price differential on certain articles.
Mr. Lewis: Does the minister think that is
right?
Mr. Martel: What accounts for this price
differential of articles, where some of those
differentials are as high as $25 or $30? The
usual argument is freight rates, but in fact
it has nothing to do with freight rates or
costs. What is this extra httle tidbit we have
the privilege of paying for in the north?
Hon. Mr. Clement: I am advised that it
does depend on transportation, additional
handling, market demand and other factors.
Mr. Cassidy: Does the minister believe
that? Try listening to the defenders of the
north over there. What a fatuous claim that
was.
Mr. Lewis: How can a man of the min-
ister's intelligence say something like that?
Mr. Speaker: The hon. member for Lan-
ark.
BRUCELLOSIS COMPENSATION
Mr. D. J. Wiseman (Lanark): I understand
the Minister of Agriculture and Food met
with his counterpart recently in Ottawa and
one of the topics discussed was the compen-
sation paid to farmers for the loss of cattle
due to the dreaded disease of brucellosis. I
wonder if he can tell us, so that we can
inform our farmers, if any additional com-
pensation will be forthcoming, and also if
they discussed at that time the possibility of
putting back the compulsory vaccination of
these cattle and maybe cutting out the dis-
ease again?
Hon. Mr. Stewart: Mr. Speaker, the dis-
cussions are going on concerning the im-
provement in the compensation for animals
condemned. I don't think any decision has
been reached yet by the federal government
on that matter, but I understand they feel
that there should be an increase. It hasn't
been aimounced.
With regard to whether vaccination should
be reinstated, there doesn't seem to be any
clear opinion on it yet, the reason being,
among other things, that there are several
countries which refuse to accept breeding
stock from countries where that vaccination
is used, simply because the vaccination could
infect the animal, be taken over into another
country, and because it is a live vaccine
there could be problems in spreading the
disease. This has interfered witn the export
market, which is a very iniportant part of
the agricultural industry of this province.
So they are trying to weigh the matter of
whether it is better to do it one way or the
other. My guess is that since the disease
seems to be confined to relatively few farms
and is under control on those premises, it is
most likely that the process of blood test-
ing and elimination of reactors will likely be
pursued, rather than to do that and then
embark on a wholesale campaign of vac-
cination of female calves.
Mr. Speaker: The hon. member for Grey-
Bruce.
Mr. Sargent: A question, Mr. Speaker, of
the Minister of Energy-
Mr. Wiseman: Supplementary.
Mr. Speaker: Order, please. If there is a
supplementary III permit it.
Mr. Wiseman: Yes, I have a supplement-
ary, Mr. Speaker. I wonder, if the minister's
federal counterpart doesn't come through
with an increase in the compensation pay-
ment, if a farmer happens to lose a number
of animals— and I am thinking of the dairy
people now, where a good nmking replace-
ment is probably in the neighbourhood of
$1,000, and the compensation plus the cost
recovered from the sale for meat only comes
up to a little over half, or a little better than
that, the cost of a replacement animal-
would we consider helping those farmers in
view of the fact we are trying to build up
our milk production in eastern Ontario and
across Ontario?
MARCH 14, 1974
325
Hon. Mr. Stewart: Mr. Speaker, it is an
interesting proposal, and I would like to
suggest mat we explore the possibilities of
providing that assistance through the indus-
trial milk production incentive programme,
which is a 20 per cent forgivable programme
over five years, giving the farmer me right to
repay it over the five years with a govern-
ment guarantee at the bank and 20 per cent
forgivable at the end of the five-year period.
That would be one way that it could be
done. I'm not sure whether the terms of
reference of that programme would cover
the point the hon. member for Lanark raises,
but to me it would. I'd like to explore those
possibilities.
Mr. Speaker: The hon. member for Grey-
Bruce.
ONTARIO HYDRO EMPLOYMENT
POLICY
Mr. Sargent: Mr. Speaker, a question of
the Minister of Energy: I would like to ask
him about the hiring policy of Hydro, as I
understand it now discriminates against any-
one having a criminal record, such as im-
paired driving or possession of marijuana.
Will the minister find out why an employee
who was fired last week was rehired when I
threatened to bring it up in the Legislature?
He had a charge against him two or three
years ago for possession of marijuana. He
was rehired at the direction of head oflBce
within a few hours after I received the in-
formation about his firing. Will the minister
find out how widespread this practice is?
Of the thousands of employees, is the security
check this strict for everyone; or how does
it work?
Hon. Mr. McKeough: Yes.
Mr. Speaker: The question period has now
expired.
Petitions.
Presenting reports.
Hon. Mr. Kerr presented the final report
of the task force on policing in Ontario.
Mr. F. Laughren (Nickel Belt): Where did
the minister get that title from?
Hon. Mr. Auld tabled the report of the
Ontario Heritage Foundation for the period
ending March 31, 1973.
Mr. Lewis: This is shocking— "The Public
Are the Police."
Hon. Mr. Kerr: Robert Peel said that.
Mr. Lewis: Robert Peel was a Tory.
Mr. Speaker: Motions.
Introduction of bills.
REGIONAL MUNICIPALITIES
AMENDMENT ACT
Hon. Mr. Irvine, in the absence of Hon.
Mr. White, moves first reading of bill in-
tituled. An Act respecting tfie Regional
Municipalities Amendment Act, 1974.
Motion agreed to; first reading of the bill.
Hon. D. R. Irvine (Minister without Port-
folio): Mr. Speaker, this bill will allow
regional municipalities to obtain any out-
standing approvals needed for bylaws initiated
by the local municipalities that they have re-
placed.
TERRITORIAL DIVISION ACT
Hon. Mr. Irvine, in the absence of Hon.
Mr. White, moves first reading of bill in-
tituled. An Act to amend the Territorial
Division Act.
Motion agreed to; first reading of the bill.
Hon. Mr. Irvine: Mr. Speaker, it is neces-
sary to amend the Territorial Division Act to
provide for changes which have resulted from
the establishment of new regional municipal^
ities and from some recent annexations and
amalgamations.
Mr. Breithaupt: Mr. Speaker, under this
particular order, a week Monday we are go-
ing to be dealing with a private member's
bill. It being the turn of a government back-
bencher to introduce one, I understand that
a bill is to be introduced by the member for
Scarborough Centre (Mr. Drea). However, we
don't have that bill as yet, and unless it is
going to be introduced! sooner, it may be
diflScult to debate that bill in the private
members* hour on Monday immediately that
we are back.
Will the bill be introd*uced tomorrow, and
if so, can a draft of the bill be made avail-
able to us in the opposition' so that we can
be prepared to debate that bill? It would be
a great convenience if it could be done then
rather than on the day itself.
Mr. R. D. Kennedy (Peel South): Perhaps I
could comment, Mr. Speaker. The bill is ex-
pected to be introduced tomorrow morning.
326
ONTARIO LEGISLATURE
It'll be printed in the usual fashion and avail-
able to all members next week.
Mr. Breithaupt: Well, that's fine. That's
great.
Mr. Kennedy: Yes. We'll get it over to the
member.
Mr. Speaker: Orders of the day.
Clerk of the House: The second order,
House in committee of the whde.
YORK COUNTY BOARD OF EDUCATION
TEACHERS DISPUTE ACT
House in Committee on Bill 12, An Act
respecting a certain Dispute between the
York County Board of Education and certain
of its Teachers.
Mr. Chairman: There are seven sections in
Bill 12. Are there any comments, questions or
amendments on section 1?
The member for Windsor-Walkerville.
Mr. B. Newman (Windsor-Walkerville):
Mr, Chairman, before section 1, I think there
should be some comments made on and some
adjustments made to the preamble of the bill.
The preamble, Mr. Chairman, makes men-
tion in lines six and seven, "whereas the
secondary school students of York county
have been severely disadvantaged." I ques-
tion the use of the word "severely." They
may have been disadvantaged but not neces-
sarily all "severely disadvantaged." I think
that the minister is a little too strong in the
wording in the bill, and that the word
"severely" should be struck out.
Also, in line 10 of the bill where it starts
with "of students, requires that all teachers
return to the classroom." AH teachers are not
necessarily in the classroom, Mr. Chairman,
and as a result I think a better substitution in
there would be that "all teachers return to
their duties."
Mr. B. Newman moves that in line seven
the word "severely" be struck out and that
in 'line 10 the words "the classroom" be struck
out and the words "their duties" be substi-
tuted.
Hon. T. L. Wells (Minister of Education):
Mr. Chairman, I would be willing to accept
the second part of that, "Their duties." I
would not be willing to remove the word
"severely", because it merely echoes the senti-
ments in hundreds of letters and communica-
tions we've had from many people over the
last couple of weeks.
Mr. Chairman: Would that be agreeable to
the mover?
Mr. B. Newman: Mr. Speaker, I really
think that "severely" is too harsh. Not every-
one necessarily was severely handicapped as
a result of this. Some of the students-
Mr. W. Hodgson (York North): Everyone
was handicapped.
Mr. B. Newman: —attending the schools in
York county may have been oidy taking two
or three courses. If the minister insists that
they have been severely handicapped as a
result of the dispute, then I don't think he is
being fair with them— handicapped, that's
right, but not necessarily severely handi-
capped.
Likewise, a student may take Mickey Mouse
courses. I'm not saying that it does happen,
but it can happen. And if a student in the
taking of a Mickey Mouse course missed 30
days of school, I don't think he was severely
handicapped. He may have been handi-
capped, though.
Mr. J. E. Bullbrook (Samia): On the pre-
amble, Mr. Chairman, are you going to put
something further in connection with my
colleague's motion?
Mr. Chairman: Well, I am just waiting to
get the feeling. It's a double motion right
now. If only one is going to be accepted-
Mr. Bullbrook: Do you want to put this
motion or do you want to discuss the pre-
amble in its entirety? I want to make a short
comment in connection with the preamble.
Mr. Chairman: You might discuss it. Will
your discussion include the points that were
raised?
Mr. Bullbrook: No, I am not going to
elaborate on my colleague's points. I want to
ask the minister a question in connection
with the preamble.
Mr. Chairman: Well, let's clarify the
amendments before us, shall we?
Mr. Bullbrook: Yes, all right.
Mr. Chairman: Any further comments on
that particular amendment?
Mr. J. F. Foulds (Port Arthur): On the
motion?
Mr. Chairman: Yes.
Mr. Foulds: Mr. Chairman, I'd like to
speak in favour of the first part of the
MARCH 14, 1974
327
motion— that is, to strike the word "severely"
from the preamble.
I think that one of the things that became
apparent to any close observer of the York
county situation) in the last 10 days, particu-
larly, was that the newspaper interviews with
students and television interviews with parents
and students were, in fact, extremely touch-
ing. I think they showed the confusioni of the
parents and of the students about the educa-
tional system of the province.
What became clear in those interviews, and
probably in the letters that the minister quite
rightly says that he has received, is that these
people had a very unfortimate view of what
education is in this province. Somehow in this
province we have convinced people that edu-
cation must take place in the classroom and
in the classroom alone, and that unless they
have the framework of the classroom and the
framework of daily attention by their teachers
students are somehow severely disadvantaged.
While I believe that the critic of the
Liberal Party in education has a very vahd
point here, there may have been some dis-
advantagement take place. In fact, I am sure
that with a number of borderline students
this happened. But to say in this provocative
way— and it is provocative— that the secondary
school students of York county have been
severely disadvantaged for approximately six
weeks, is unnecessary.
I put it to the minister that in all reality
the rest of the bill, given his conservative
Tory framework of thinking, is basically a
fairly well drafted bill. To make it provoca-
tive in terms of the teachers with this par-
ticular phrase, I think is unnecessary and I
would ask him to withdraw it.
Mr. Chairman: Does the minister have any
comment on that?
Mr. D. M. Deacon (York Centre): Mr.
Chairman, perhaps the minister would agree
to the changing of the word "severely."
Where it comes in, have it read "some
severely," after the word "disadvantaged."
Certainly there are some who have been
severely disadvantaged, but where this clause
refers to the secondary school students^in the
case of my grade 9 son, I don't consider him
as having been severely disadvantaged. There
is no question he was disadvantaged diuing
this period. I think the case is well made.
If the minister does want to talk about
those who have been severely disadvantaged,
certainly those who are in grade 13, and grade
12, and many others who have decided to
drop out because of this experience have
perhaps been severely disadvantaged; but I
think that we shouldn't flaunt the situation
in such a way as to say that everybody has
been put in that spot. It is not necessary. It's
only preamble.
Mr. I. Deans (Wentworth): Mr. Chairman,
I want to go a little further with the minister,
I don't think we need a preamble at all.
Hon. Mr. Wells: Oh, yes we do.
Mr. Deans: I don't know of any reason why
there should be a preamble to this bill.
Mr. Chairman: Order, please.
Mr. Deans: I am entitled to speak against
having the preamble in the bill.
Mr. Chairman: Well, we are dealing with
certain words in the preamble.
Mr. Deans: That's fine. If we strike those
words we can go on and strike them all.
There is nothing troublesome about that.
Mr. P. G. Givens (York-Forest Hill): He is
moving to strike out the whole thing. That
is all right.
Mr. Chairman: The member for Samia
asked to speak generally on the preamble
as well.
Mr. Deans: Was the member for Samia
going to speak against having it at all?
Mr. Bullbrook: I just want to ask a ques-
tion; that's all.
Mr. Deans: Okay. Well he didn't want to
speak on the preamble, he just wanted to ask
a question.
I was looking at other bills. It is not the
practice of the House to have a preamble in
the bill. This is unusual. There are a number
of other bills already before us, numbering
up to 10 and there is not a preamble in any
of them. What we have in a bill is an ex-
planatory note. In every bill the explanatory
note explains the reason for the bill and the
content of the bill.
il just don't happen to think that we need
enshrined in the legislation of this province
the government's reasons for implementing
this legislation. Those are already on the
record of Hansard. Frankly, I don't believe
that there is a place in a bill for the govern-
ment's opinion as to why it needs a particular
piece of legislation.
Mr. Givens: An apologia.
328
ONTARIO LEGISLATURE
Mr. Deans: We don't have to have a long
story about the reasons why the minister
failed to observe his responsibilities and to
carry them out. We don't need the minister's
opinion as to why he had to bring in the
legislation. If he wants to put that in, he puts
that on the record of Hansard. If he wants to
explain in the explanatory note the back-
ground of the bill, he may do so.
Mr. Givens: He wants to apologize.
Mr. Deans: But the practice of a pre-
amble is not a practice that is followed in this
Legislature with any consistency. It is, in
fact, a departure from the normal procedure
and I would simply say to the chairman that
this preamble should be struck in its entirety.
The bill, as it is drafted, from section 1
on dealing with the definition of the sections
and on through to the final section of the
bill, will stand on its own merits. It doesn't
need a government story to try and satisfy
what will no doubt at some point in the
future be the legitimate questions that are
asked about the reasons why we found it
necessary to pass such legislation. I think
the government is on the record in Hansard.
It is certainly on the record in public terms
about its feelings in regard to this dispute.
The opposition is likewise on the record
about its feelings with regard to the lack
of government integrity and action.
I think the ^\hole preamble should be
struck.
Mr. Chairman: Well, we will put the
question in a few moments as to whether it
should stand as part of the bill. Is the mover
of the original motion willing to accept the
adaptation or modification as proposed by
his colleague, the member for York North,
so that it would read then—
Hon. Mr. Wells: I would be willing to
accept the words, say, "and whereas second-
ary students of York county" and change it
"to return to their duties" instead of "to the
classroom."
Mr. Chairman: Shall this motion then carry
as proposed and discussed?
Motion agreed to.
Mr. BuUbrook: I want to ask a question of
the minister, through you, Mr. Chairman,
if I may: The word "all," is that an appro-
priate word? You say, "requires that all
teachers return to their duties" and yet your
statute doesn't compel all the teachers to
return to their duties. I would like you to
resolve that problem in my mind. Section 2
doesn't compel all the teachers to return to
their duties.
Mr. B. Newman: It is only those who with-
drew their services.
Hon. Mr. Wells: Is the hon. member sug-
gesting that there should be some further
explanation in there that rather than have
all teachers— he is quite right, there is an
exception in section 2.
Mr. Bullbrook: I am going to be quite
frank in saying that I am not making any
suggestions to you at all. I am purely asking
the question because when I read that all
teachers had to return to the classroom and
I look at section 2, subsection (2), which says
that they don't all have to return to the class-
room, there's obviously a conflict. There's a
conflict between the preamble and the sta-
tute itself and then you go on to the final
section which renders to a Supreme Court
judge the duty to assess the propriety of
return or not.
I think you are inviting problems in put-
ting the word "all" in there. I suggest most
respectfully that you consider taking the
word "all" out.
Hon. Mr. Wells: All right. How about
"the teachers who withdrew their services"?
Mr. Deans: Why don't you—
Mr. Bullbrook: That's not covered either,
because subsection (2) says: "Nothing in this
Act precludes a teacher from not resuming
his employment with the board for reasons
of health or by mutual consent in writing of
the teacher and the board." So that one who
has withdrawn his services might be well
entitled not to return under that subsection.
Hon. Mr. Wells: I don't have any objection
to taking "all" out.
Mr. Chairman: Take which out?
Mr. Foulds: Take the whole preamble out?
Hon. Mr. Wells: No, no, not the whole
preamble. It would read "... the interests
of students, require that teachers return to
their duties. ..."
Mr. Chairman: Would the change be ac-
ceptable then?
Agreed to.
Mr. Chairman: The word "all" is being
removed, is that right?
Mr. B. Newman: Eliminated.
MARCH 14, 1974
329
Mr. Chairman: Now, shall the preamble
then stand as part of the bill?
Mr. Deans: No.
Mr. Bullbrook: Well, I want to say this
to you, if I may, supporting somewhat what
was said by the hon. member for Wentworth.
Although I disagree on the point that this is
unusual, I think in special Acts really, you
will find many special Acts meeting special
sets of circumstances that in the recital to
the Act itself refer to the circmnstances which
led to the statute, but I say to you that you
are inviting disaster, frankly, in the preamble
itself.
You would be much better advised, I pre-
sume to tell you— you say in the last sen-
tence: "and that means be found for the
settlement of all matters in dispute between
the board and its teachers." This statute isn't
going to do that. The statute can't possibly
settle all matters in dispute between the
board and its teachers. It's impossible for it
so to do. It doesn't contemplate that it
would do such.
Hon. Mr. Wells: Well, Mr. Chairman, it
contemplates settling those matters that are
in dispute in this particular contract dispute
and that they vidll be settled finally by what
it says here.
Mr. Bullbrook: That isn't what the pre-
amble says.
Mr. Deacon: Mr. Chairman, would the
minister then add the words "a'U matters in
dispute that have caused the dispute be-
tween the board and its teachers"?
Mrs. M. Campbell (St. George): But it
doesn't do that.
Mr. Deans: Take your preamble out, Tom.
It's a mess!
Hon. Mr. Wells: Would it assist if we
changed "all matters" to "the matters"?
Mr. Bullbrook: That would help.
Hon. Mr. Wells: I would be willing to do
that. It would then read: ". . . the settlement
of the matters in dispute between the board
and its teachers." Is that agreeable?
Mr. Chairman: Is it agreeable to insert the
word "the" instead of the word "all" in line
11?
Agreed.
Shall the preamble, as amended, stand as
part of the bill?
Those in favour of the preamble, as
amended, standing as part of the biU, will
please say "aye."
Those opposed will please say "nay."
In my opinion the "ayes" have it.
On section 1:
Mr. Chairman: Any comment, question or
amendment on section 1 of the bill?
Section 1 agreed to.
On section 2:
Mr. Chairman: The hon. member for Port
Arthur.
Mr. Foulds moves that the words "first
normal school" be added in c^lause 2(1), in
line three, after the words "shall on the" and
before the word "day," so that the clause
would read:
The teachers who withdrew their services
as a result of submitting resignations effec-
tive on Jan. 31, 1974, shall, on the first
normal school day following the day this
Act comes into force, resume their employ-
ment with the board-
Mr. Foulds: One of the things that occurs
to me, Mr. Chairman, is that if the Act
passes with the wording of that clause as it
is, say on Friday, that would require the
teachers to go back to school on Saturday.
And if the—
Mr. B. Newman: That's not a normal
school day.
Mr. Foulds: Well, I know. That's why I
included the words "first normal school day,"
because the bill says simply, ". . . on the day
following . . ." and doesn't define "day" any-
where in the bill as a school day. I think
that would cover any ambiguity that might
arise, should the bill pass tomorrow, say, or
after midnight tonight or whenever. It's a
technicality.
Hon. Mr. Wells: I think the hon. member
is quite right, but I think that if he reads
the bill, he actually would be perhaps not
doing a disservice to the teachers, because
the bill says they shall "resume their employ-
ment . . ."
Mr. R. F. Ruston (Essex-Kent): Yes. That's
right. Their day doesn't start— the day isn't
until a school day.
Hon. Mr. Wells: That means that if the bill
receives royal assent tomorrow, say, they'll
330
ONTARIO LEGISLATURE
resume their employment Saturday. But, of
course, they won't be teaching Saturday;
indeed, unless that board arranges something
special which I haven't heard about, they
will not be there for the mid-winter break,
yet they will become employees of the board
on Saturday-
Mr. Ruston: That's right.
Hon. Mr. Wells: —and resume their em-
ployment. But, of course, they won't teach
until the normal teaching days begin.
Mr. Foulds: Cou'ld I then ask a question
of clarification? If they become employees of
the board on Saturday, say, are there other
provisions in the Schools Administration Act
or the Ministry of Education Act, or are
there regulations set out, outlining the days
in which school shall be taught, so that unless
a special agreement between both parties and
the ministry were signed, the board could not
force them back on the weekend or during
the March break?
Hon. Mr. Wells: That's quite right. The
board is operating under a modified school
vear plan, which they have filed with our
regional office. That plan sets out what are
the instructional days and so forth, and the
York county board, at the present time, has
filed a school year plan that includes next
week as the mid-winter break.
Mr. Foulds: I see.
Hon. Mr. Wells: But it also includes that
the schools will not be open on Saturdays and
Sundays.
Mr. Foulds: If the minister can give the
House that assurance I will withdraw the
amendment.
Hon. Mr. Wells: Yes, no problem.
Mr. Chairman: Shall the amendment be
withdrawn then?
Mr. B. Newman: Mr. Chairman, I would
like to make a few comments concerning this.
I hesitated a bit to support the member
for Thunder Bay-
Mr. Foulds: Port Arthur.
Mr. B. Newman —Port Arthur, I'm sorry—
because I thought that if the board and the
teachers possibly agreed to use next week as
an instructional week that decision should be
left to them. I would hate to prevent the
resumption of school next week if it is the
wish of both parties to go back to the class-
rooms and try to catch up in this fashion.
I would think it would be admirable on the
part of both the teachers and the board if
that was their wish.
Mr. Foulds: I withdraw the motion. Mr.
Chairman.
Hon. Mr. Wells: This would allow exactly
what the hon. member has indicated. I hope,
though, that it would not be just the board
and the teachers but it would be the board,
the teachers and the students and their
parents because they are, to a degree, in-
volved with the mid-winter break, too.
Mr. Chairman: Is there anything further
on section 1? I'm sorry, section 2?
Shall section 2 stand as part of the bill?
Section 2 agreed to.
On section 3:
Mr. Chairman: The minister has an
amendment to subsection (13). Is there any-
thing before subsection (13)?
Mr. Deans: I have a question on subsec-
tion (3).
Mr. Chairman: Is there anything before
subsection (3)?
Mr. B. Newman: I have a question on
subsection (3).
Mr. Deans: I want simply to ask whether
the wording in subsection (3) might not be
changed in the third last line in which it
says, "but shall give full opportunity to the
board and the negotiators for the teachers."
Shouldn't it say, "give full opportunity to
the negotiators for the board and the teachers
to present . . .?" In other words, surely you're
not saying that the board, in its entirely, can
make representation but the teachers' negotia-
tors are the only ones who can speak for
them? You're talking about, in fact, the
negotiating committees of each party being
given the full opportunity for discussion and
representation.
Hon. Mr. Wells: I think there's probably
merit in what the hon. member said. My legal
advisers tell me that the board is a corpora-
tion and that is what is inferred here by
board with a capital B— the corporation of
the York County Board of Education— and, of
course, they will be represented by counsel
or whoever they want. In this case, there is
no official legal entity representing the
teachers, I suppose, unless we put in the
MARCH 14, 1974
331
OSSTF as representing the teachers of district
11.
Mr. Deans: All right, but do you under-
stand what I'm saying?
Hon. Mr. Wells: That would probably be
other wording that could be put in there.
Mr. Deans: I'm sorry, I did want to deal
with subsection (1).
Mr. Chairman: We can come back to that.
Mr. Deans: Okay.
Mr. Chairman: Did the member for
Windsor- Walkerville have something on this
section?
Mr. B. Newman: Yes, I wanted to ask for
an explanation from the minister of subsection
(3), the fifth and sixth lines. HI read the
paragraph so he can explain what it means:
The board of arbitration constituted un-
der this section upon receipt of a notice
referred to in subsection (1) shall examine
into and decide all matters that are in
dispute between the board and the teachers
as evidenced by the notices referred to
in subsection 1,
This is what I would like an explanation of
and other matters that appear to the board
of arbitration to be necessary to be decided
in order to make an award.
I wonder if, in that clause or portion of a
clause, one of the items that is being con-
sidered is that a teacher has two times in
a year at which he is to submit his resigna-
tion; that is at the end of November and at
the end of May. If the board of arbitration
takes the normal length of time to resolve
the differences, this would be some time
possibly in late June, maybe in July. In the
meantime the teacher who wanted to submit
his or her resignation legally on May 30
might be left hanging.
I wonder if the minister can clarify the
meaning of those fifth and sixth lines?
Hon. Mr. Wells: Mr. Chairman, as I under-
stand it, that's a common phrase for any-
thing put in in arbitration procedures. It's
merely to allow for anything that the board
may decide on. They are not likely to be
major things but some other thing that may
not quite be within the list they have been
given but they need to decide on it, or they
have been asked to decide on it as they car-
ried on their discussions and listened to pre-
sentations about the case. I don't think it
has anything to do with what the hon. mem-
ber is talking about, about resignation dates
or things like that. The teachers who would
be back in the classroom now and back
working for that board would be perfectly
free to exercise their option to resign as of
May 31, effective Aug. 31. There is nothing
that would stop them from doing that, even
if an arbitration board had not brought down
a settlement, because they are back and
their individual contracts are reinstated and
the collective bargaining contract under
which they had been working will be in
effect until the new award is brought down.
Mr. B. Newman: Could the minister maybe
give an example of some item that could be
included under "other matters," so as to
clarify this a little more for me?
Mr. Deans: May I ask a question on the
same line? Does the minister have in mind,
where the board in order to make an award
might have to vary other clauses in the con^
tract which had not been brought up as
contentious items, but have to vary them in
order to make them comply with the terms of
the item that is being changed? Is that what
he is talking about?
Let me put it another way. If there was in
the contract a provision dealing with a par-
ticular method of distributing statutory holi-
days, but that method was unworkable in
conjunction with a method to be arrived at
for distributing vacations, the board would
have the power to vary the one in order to
make the other work. Is that what the min-
ister is saying?
Hon. Mr. Wells: I am not a lawyer and I
am perhaps at some disadvantage in being
able to give you a legal interpretation of
this. But that sounds like a reasonable kind
of explanation to me. I can't give the hon.
member any example of this. I just under-
stand that in some of the arbitration agree-
ments that have gone forward in the last
few years it has been felt that there should
be some clause such as this in order not to
bind any arbitration board that found it
wanted to do something like that, but im-
mediately found that one side or the other
was taken to court. There should be a clause
so that they could in fact bring down some-
thing in their award to take care of some
of these things.
Mr. Foulds: Mr. Chairman, if I might
speak to this—
Mr. Chairman: Have we finished subsection
(3) then?
Mr. Foulds: I would like to speak to this
particular point and then revert to subsec-
332
ONTARIO LEGISLATURE
tion (1). Mr. Chairman, I too am not a
lawyer, but I have had a bit of experience
in teaching. It may be, for example, in the
York comity situation that headship and re-
sponsibility allowances are applied to the
arbitration board and the number of total
periods that a teacher might teach would be
submitted to the arbitration board for an
award, but specifically there might not be
submitted on either side the number of
periods that a department head has to teach,
which should in most circumstances be some-
what lower. In considering the whole situa-
tion, the arbitration board might find that
the allowances were covered or the period
for normal or classroom teachers were cov-
ered, but if those department headships were
not submitted specifically, they would feel
free to make an award if that came up
during the submissions by either side to the
arbitration board. For that reason, I would
think that I would very much hope that
these words would remain in.
Mr. Chairman: Shall subsection (3) stand
as part of the bill then?
Mr. Foulds: I would like to return to sub-
section (1), Mr. Chairman, before we get to
that, if I may. We in this party will move,
if we can rally enough troops— and I will
talk for as long as we can get the troops—
that subsection (1) be struck from the bill.
Mr. Chairman: You don't have to make
a motion. Just vote against it then, when I
ask if it will stand.
Mr. Foulds: Could I request that sub-
section (1) be dealt with specifically, be-
cause it is the heart of the bill?
Mr. Chairman: That is what we are deal-
ing with now.
Mr. Foulds: I would like, therefore, Mr.
Chairman, to speak against the inclusion of
subsection (1) of section 3 of the bill. This
clause is the essence of the bill. This is the
clause that forces compulsory arbitration in
the dispute. Both opposition- parties argued
for six hours yesterday in the vein that we
oppose compulsory arbitration to the settle-
ment of this dispute. We have suggested
alternatives that the minister could take. The
Liberals have suggested one which we don't
endorse and we have suggested another
route. But there were alternatives that could
have been taken.
We simply find, Mr. Chairman, that com-
pulsory arbitration is an abhorrent principle,
as my colleague from Nickel Belt (Mr. Laugh-
ren) said in his brilliant if short speech last
night, that we oppose it in every situation-
Mr. Chairman: Order, please; it seems that
this subsection embodies the very principle
of the bill which was passed last night.
Mr. Deacon: And we are prepared to vote
against it.
Mr. Foulds: And we are going to vote
against it on this reading, on the clause by
clause.
Mr. Chairman: You opposed it last night.
Mr. Foulds: You are quite right; you are
absolute/ly bang on, Mr. Chairman.
Hon. Mr. Wells: It is the whole principle
of the bill.
Mr. Foulds: Subsection (1) embodies the
whole principle of the bill.
Hon. Mr. Wells: You can't speak on the
principle in general again.
Mr. Foulds: I'm speaking specifically on
this clause and I'm speaking specificaDy on
the words "submit to final and binding arbi-
tration under this Act." It is the word "sub-
mit" that we on this side, or in this small
section on this side of the House, find
abhorrent. Actually it is fairly large— two-
thirds of this side.
Arbitration, and submission thereto by the
affected parties, is by its very nature— and I
use the word cautiously but advisedly-
dictatorial. It is ironic, of course, that the
most self-righteous paper in Ontario, the
Toronto Globe and Mail, has emblazoned on
its masthead words of Junius: "The subject
who is truly loyal to the chief magistrate will
neither advise nor consent to arbitrary
measures."
Mr. F. Laughren (Nickel Belt): Such as
compulsory arbitration.
Mr. Foulds: And compulsory arbitration,
by definition, is an arbitrary measure.
Mr. Laughren: It's true; it's a brilliant
speech.
Mr. Foulds: If short.
We as legislators on this side of the House
simply cannot advise the chief magistrate of
the province, in this case it is the Lieutenant
Governor, to proclaim arbitrary measures. We
would not feel in conscience that we could
continue as legislators in this House if we
allowed this section of the bill to pass without
a vote.
MARCH 14, 1974
333
Mr. Deans: Mark you, that has nothing to
do with either Junius or the Globe and Mail.
Mr. Foulds: I wish you hadn't pointed that
out to the chairman.
Mr. Deans: No, I meant from our point of
view.
Mr. Foulds: If the clause had contained a
possibility for binding arbitration that had
voluntarily been argued to by the parties, we
would have had no difficulty with it.
Mr. Deacon: There would be no bill in
those circumstances.
Mr. Foulds: But the fact that it is com-
pulsory and the fact that it makes teachers
and the board submit to arbitrary legislation,
for those reasons we simply cannot support it.
Thank you, Mr. Chairman.
Mr. Deans: Well said.
Mr. Chairman:
Walkerville.
The member for Windsor-
Mr. B. Newman: Mr. Chairman, we intend
to oppose this bill. We made our comments
concerning compulsory arbitration on second
reading of the bill. In the clause by clause
study we will definitely take a stand and
carr\- out our responsibilities by voting against
it.
Mr. Chairman: Any further comment on
subsection (1)? I will put the question.
Those in favour of subsection (1) of
section 3 standing as part of the bill will
please say "aye."
Those opposed will please say "nay."
In my opinion the "ayes" have it.
Ma\' we stack it?
Some hon. members: No, no!
The committee divided on the question of
having subsection ( 1 ) of section 3 stand as a
part of the bill, which was approved on the
foIlGwing vote.
Clerk of the House: Mr. Chairman, the
"ayes'" are 61, the "nays" are 31.
Mr. Chairman: I declare the subsection
stands as part of the bill.
Subsection ( 1 ) of section 3 agreed to.
Mr. Chairman: We have discussed sub-
sections (1) and (3); are there any further sub-
sections before subsection 13?
Mr. Foulds: Yes.
Mr. Chairman: Which one?
Mr. Foulds: Subsection (2).
Mr. Chairman: No. 2. All right.
Mr. Foulds: I have an amendment to sub-
section (2), Mr. Chairman.
Mr. Foulds moves that the following words
be added to subsection (2) of section 3: "and
that the award on the pupil-teacher ratio shall
not be above the provincial average."
Mr. Foulds: Mr. Chairman, one of the
contentious issues in the dispute in York
county has been, of course, the pupil-teacher
ratio. It is admirable that, given the passage
of subsection (1), the minister has spelled out
clearly in the bill that the ratio is arbitrable.
What I am attempting to do here is to
ensure that the award is such that the pupil-
teacher ratio in York county will not go above
the ratio of the provincial average.
lit may be somewhat confusing, but because
it is a pupil-teacher ratio— i.e. 17.4 to 1, or 17
to 1— it looks in the wording as if it is favour-
able to the board. In fact it is favourable to
the teachers. That would be the base award
that they would receive. That is, the pupil-
teacher ratio could fall below 17.4 or 16.9 to
1— whatever the provincial average is— mean-
ing there would be fewer pupils per teacher
in that county.
Now, it is in line with the principle the
minister has already established in tiie bill
when he appendied the salary schedule as an
app«idix to the bill. That is the floor below
which the arbitrator cannot go. The same
intention is applied here— and I think im-
portantly applied here. It's a floor below
which the arbitrator cannot award in favour
of the teachers. I think that as the minister
took the pains to establish such a floor in
salary, wldch was not the most contentious
issue in York county, it is important and
significant that this Legislature include a
clause that supplies a floor for the m<^t
contentious issue in the county. With that,
Mr. Chairman, I would ask the minister to
accept the amendment.
Mr. Chairman: The member for Windsor-
Walkerville.
Mr. B. Newman: I was
there is such a thing as {
teacher ratio. To me it
establish that, really, and
ministry has one. I agree
concepts, that the member
the ramifications of it, I
mountable.
just wondering if
I provincial pupil-
seems difficult to
I don't think the
vdth the idiea, the
has presented; but
think, are insur-
334
ONTARIO LEGISLATURE
If you get into a system in which a lot of
academic subjects only are taught, the pupil-
teacher ratio increases considerably. In other
words, in an English class it's nothing to have
30, 35 even, in some schools 40 in a class to
one teacher. But if you get into a technical
school, you may have only four students to a
teacher. You are trying to equate the two
and I think it's dijEBcult. I think it would be
better if you said that the pupil-teacher ratio
at the academic level would be a given ratio
and in the technical level it would be another
ratio. That would sound a little more reason-
able to me.
Generally, the technical shops don't have
more than 20 students per teacher. There are
only 20 desks available or 20 machines or 20
typewriters or 20 pieces of equipment so you
could not have more than 20.
I am not saying that some school boards
don't have more than 20 students so that the
students have to share a piece of equipment.
It's nothing unusual, when you get into the
grade 11 or grade 12 programme, when the
students are in their last speciahzing year in
auto mechanics or in machine shop or even
in sheet metal, to have as few as four in the
class.
When you turn around and put down the
number of students in that class for the
teacher, you can see that makes a substantial
difference. You take a machine shop teacher
with only four and an English teacher with
35, add the two together and there are 39
students being taken care of by two teachers.
You immediately say that each teacher has 20
pupils he has to take care of.
That may be true, but you are talking
about apples and oranges. The one teacher
still has too heavy a load by having 35 in
the class, whereas the other teacher, I
don't say he has too light a load, but with
orily four or five students each student gets
individual attention and each student is able
to learn to the maximum of his potential.
I like the idea of the student-teacher ratio;
but I think it would be better if it were
broken up into an academic student-teacher
ratio, and a second group would be, possibly,
a commercial student-teacher ratio; and then
a technical student-teacher ratio. To take all
three— commercial, academic and technical—
and find one ratio for all three I think is a
little too complicated and really not fair to
the academic teacher.
\Ir. Foulds: Mr. Chairman, in fact, the
pupil-teacher ratio is computed on two bases,
one for academic and one for non-academic
students. It is not our job to make the award
and the arbitrator would still be free-
Mr. Bullbrook: We are not trying to make
the award. He is not trying to make the
award at all.
Mr. Foulds: The arbitrator would still be
free, Mr. Chairman, to make an award, as has
been submitted and partly negotiated by both
parties in the York county dispute already,
about the pupil-teacher ratio vis-a-vis non-
academic students and vis-a-vis the academic
student.
The principle is the important thing here.
We are not defining the award. What we
are simply saying is that the award cannot
fall be'low the provincial average. The arbitra-
tor can and will interpret it as a provincial
average for the academic classes and for the
non-academic classes, because both sides are
going to submit to him those categories. They
have been talking about that in negotiations
and no doubt they will be making those
presentations to the arbitrator.
The pupil-teacher ratio is simpK- a base
from which you work. The pupil-teacher ratio
basically has nothing to do with class size.
The class size can be another item or can be
worked into the contract. The number of
pupils a teacher must teach can also be
worked into the award by the arbitrator, but
it is the pupil-teacher ratio that is simply the
base figure, the base camp from which you
scale Everest so to speak.
Mr. Chairman: The hon. minister.
Hon. Mr. Wells: Mr. Chairman, certainly
the ministry or this government has never
felt there should be a provincially, centrally-
dictated pupil-teacher ratio. In conformity
with our belief in the local autonomy of the
board— something which I know members
opposite ho'ld in jest many times, but which
really is there to a much greater degree than
they really think, and which is something
which we really believe in— and in keeping
with that belief this is a matter that it is up
to the local people to decide.
I have stated very categorically that I
personally believe, and we be^lieve, that it is
an item for negotiation. We are asserting
here in this particular case, the dispute be-
tween the York county teachers and their
board, since it is an outstanding matter in the
dispute, that it is a matter for arbitration in
this arbitration. But I think it would be un-
wise and not in keeping with our general
policy to put in any level, floor or any sug-
MARCH 14, 1974
335
gestion of any provincial direction in this
regard.
So, Mr. Chairman, I would reject that
amendment.
Mr. Foulds: Mr. Chairman, if I may speak
to what the minister has said; wow, is he
dragging a red herring across the issue! The
Ministry of Education in fact publishes the
statistics in its annual report which indicate
an average for the province of the pupil-
teacher ratio. It is not a question of dictation
across the province; it is not a question of
local autonomy; it is a question of finding in
York county that they do not get worse
learning conditions for their kids in York
county than they get for the average board
across this province.
Hon. Mr. Wells: I am very sure that this
case will be argued very fully before the
arbitrator. I dont think that we need any
levels put in there to guide him. The whole
case will be argued before him by both the
teachers and the board.
Certainly we publish the provincial aver-
ages, just as we publish statistics of all sort,
averages and provincial figures for all the
boards. It is part of the statistical service, but
it doesn't suggest that we say that that
provincial average is perfect or that it is too
high or too low. This is something that the
school board, if you accept as I do that it is
a negotiable item, in each local jurisdiction
should work out for itself.
Mr. Chairman: The member for Windsor-
Walkerville.
Mr. B. Newman: I would think that the
teachers in their wisdom in negotiating would
certainly present very strong arguments on
their own behalf. I don't think we should tie
the hands of the arbitrator and say he must
come down to this level. I think that is one
of the items they will agree among them-
selves about.
Mr. Chairman: The hon. member for
Wentworth.
Mr. Deans: There is a problem, Mr. Chair-
man. Obviously whatever the arbitrator in
this dispute comes down with it is going to
have an influence on the future of arbitra-
tions and negotiations. I think the very fact
that the Ministry of Education sees fit to
include a statistic called pupil-teacher ratio
in its annual report is sufficient evidence in
itself to show that the ministry considers it
to be an item of some importance.
Hon. Mr. Wells: We include salaries but
we don't suggest everyone has the average
salary in the province.
Mr. Deans: Nor are we suggesting every-
one have the average pupil-teacher ratio. You
have in fact suggested in the bill what the
base salary should be as far as the arbitration
is concerned.
Hon. Mr. Wells: Based on the offer made
by one of the parties.
Mr. Deans: That's absolutely right. You
have said in the bill they should not consider
an award of a salary less than the schedule
set out on page 5 of the bill. This particular
arbitration is going to be a milestone in the
negotiation process in education. It's also
going to be a reference point for future
boards of arbitration. The minister intends
that all teacher disputes be settled by arbitra-
tion. The minister intends to bring in a bill
that will make binding arbitration the last
resort in all teacher disputes.
Therefore, it's necessary in this dispute to
be sure that whatever conclusions are reached
are satisfactory and can be referred to satis-
factorily by future arbitrators. I don't think
the minister would expect— nor would I for
that matter— that an arbitrator would come
in with an award in this dispute which would
exceed the provincial average or for that mat-
ter with an award which might even be
higher than the existing pupil- teacher ratio.
It's a possibility— it's not likely but it's a
possibility— that the arbitrator could consider
making an award in which the pupil-teacher
ratio is higher than that which currently
exists within the school jurisdiction. The
arguments by the board might lend them-
selves to that kind of a conclusion at this par-
ticular time; and it's possible, though not
probable, that that then could result in a
change in pupil-teacher ratios right across the
province as they become negotiable and
arbitrable in all future negotiations.
Frankly, I don't see why the minister
wouldn't agree that the statistics that his own
department have come up with have set out
a pupil-teacher ratio which, if not satisfactory
to everyone, is at least bordering on being
satisfactory with regard to the ratio of pupils
to teachers in the province for all of the
boards. He should then say that the pupil-
teacher ratio as it exists in the technical or
commercial end, and as it exists in the
academic end of the Province of Ontario, as
reported in the statistics of the Ministry of
Education, shall be the base above which no
award shall be made.
336
ONTARIO LEGISLATURE
I don't understand why you wouldn't do
that to make sure that we do get off on the
right foot in this arbitration and ensure that
the arbitration will be satisfactory and accept-
able to the teachers in the province.
Mr. Chairman: The member for York
Centre.
Mr. Deacon: I certainly feel that the arbi-
trator should not be bound by this. I know
the ratio at the time the teachers walked out
in York was 17.1, which wasi well below the
provincial average, but at the same time-
Mr. Foulds: The provincial average is 16.9.
Mr. Deacon: Well, I was given to under-
stand by the teacher representatives at a
meeting the other night that in fact the pro-
vincial average was 17.4. I may have been
misled, but in any event I don't think we
should be telling the arbitrators here what to
do and I think the fact that it is being arbi-
trated is the key issue.
Mr. Chairman: Ready for the question then?
Those in favour of Mr. Foulds' motion will
please say "aye."
Those opposed will please say "nay."
In my opinion, the "nays" have it.
I declare the motion lost and subsection
(2) carried.
We discussed subsection (3).
Anything on subsection (4)? If not, the
member for Windsor-Walkerville on sub-
section (5).
Mr. B. Newman: No, Mr. Chairman,
subsection (4), not subsection (5), is the one I
really wanted' to talk on; and' it concerns the
appointment of the arbitrator where both
sides are unable to agree as to who should
be the third arbitrator in^ the dispute.
Over the past series of months and so forth,
we've come upon situations in which teachers
have not had any confidence in the boards,
the teachers have not had much confidence
in the ministry, and as a result a lot of hard
feehngs have developed. You talk with them
and they say: "We will appoint one of the
arbitrators; the board will appoint the second.
We can't agree on the third so the ministry
is going to appoint the other arbitrator. The
ministry is taking sides right away. The min-
istry is going to come along and appoint one
who is favourable to the board." TTiat is how
some of the teachers have interpreted the
appointment by the ministry.
To allay all their fears, Mr. Chairman, I
would like to move an amendment, an addi-
tion to subsection 4, so that the ministry will
appoint an individual, or may appoint an^ indi-
vidual who, in the eyes of both the board
and the teachers, is absolutely impartial. My
suggestion is that added to the end of the
paragraph in subsection (4) be the words "who
shall be a Justice of the Supreme Court of
Ontario."
Hon. Mr. Wells: Could I ask if it is the
intent of the hon. member's amendment that
the person the minister appoints should be a
Justice of the Supreme Court of Ontario?
Mr. Bullbrook: If necessary.
Hon. Mr. Wells: Yes, if-
Mr. Deacon: No, no.
Mr. Bullbrook: Yes, if necessary. If the
parties agree on it.
Hon. Mr. Wells: You mean if the parties
don't agree? Yes. If the parties don't agree.
Mr. Chairman: Mr. B. Newman, Windsor-
Walkerville, moves that secticm 3, subsection
(4), be amended by adding thereto,—
Mr. Givens: I think that is the last thing
you want.
Hon. J. R. Rhodes (Minister of Trans-
poration and Communications): Don't you
fellows ever get together and discuss these
things?
Mr. Chairman:- the words "who shall be
a Justice of the Supreme Court of Ontario."
Mr. Deans: With some considerable reluc-
tance I have got to say I don't agree.
Mr. Bullbro<4c: Why are you reluctant to
say it?
Mr. Deans: Because I'd like to agree.
But I really don't agree with appointing
people from the judiciary to settle matters of
arbitration in labour disputes. I think, first
of all, it's better to seek someone who has
some knowledge of the field than it is to seek
out a person who may well be a good'
judge-
Hon. W. G. Davis (Premier): The member
for Windsor-Walkerville.
Mr. Deans: —but who quite frankly, may
have absolutely no knowledge of the field.
Mr. Givens: Get your map of learning and
start looking.
Mr. Deans: I'm not as worried about the
appointment of the chairman—
MARCH 14, 1974
337
Interjections by hon. members.
Mr. Deans: I'm not even as worried about
the outcome of the awards, strangely enough.
I would prefer to leave it as it is than to
have someone appointed from the judiciary
to sit as the chairman of the arbitration.
The only question I have is— I'm not at all
clear about the section, if I might just ask-
it does not specifically say there must be a
third person. That's what I'm not sure about
in the section. It says: The two persons ap-
pointed under subsection 4 shall, within seven
days after they have been appointed, appoint
a person to act as chairman."
I would have thought it should have said,
"appoint a third person to act as chairman,"
as opposed to "they may appoint,'' just to
be clear that there has to be another person
on the board.
I always understood, by the way, that the
board would have been defined as "a board
of arbitration comprised of a representative
of each party and a third person who shall
act as chairman." I thought that would have
been a section in the Act by the way; it isn't
in the Act. It doesn't really spell out what
the board of arbitration shall be comprised of
in the way of numbers of people.
Mr. Chairman: I'm reading this, I think
the hon. member really meant this to be an
addition to subsection (5), on the appointment
of a chairman.
Mr. B. Newman: Really, I wanted the ap-
pointment of the chairman.
Mr. Chairman: Yes. That is subsection
(5). We're really talking about subsection
(5), the appointment of the chairman. Does
the minister have any Comments?
Hon. Mr. Wells: I think, Mr. Chairman,
that I would prefer to leave subsection 4 the
way it is. I listened with great interest to
the comments of my friend from Forest Hill
yesterday, who I think madb some very good
points about arbitrators, although he didn't
agree with the arbitration process.
I think he mentioned that we'd have a
very difficult job finding people and some of
the other members said they should be people
with special expertise in the field. While
certainly Justices of the Supreme Court of
Ontario have great expertise in a lot of
things, it may be that they may not be com-
pletely the proper persons for this kind of
arbitration.
Also, it may be that they may not be
able to serve. It is my understanding that
there is a general feeling that they should
not be taken away from their duties on the
bench and given these other dtities at this
particular time.
Mr. Bullbrook: You don't see them perform
adjudicative services anymore. But they're
called upon to do extra work. I want to
speak to this matter. I want to support the
motion wholeheartedly.
You fail to understand a part of the prob-
lem when you talk about expertise residing
in the chairman. It isn't expertise we want.
It's a truly objective representation of the
public interest on that board. That's all we
want. That's all my colleague is attempting
to show.
We don't want anybody in this House or
any group of teachers or any group of trus-
tees or anyone to be able to say, as is hap-
pening in CSAO now, that the government
has injected itself into the truly reciprocal
equation of this board. This is the type of
legislation none of us want. You don't on
that side, and we don't surely on this side.
That's why my colleague puts that forward
because it's known, recognized and appre-
ciated by the public at large that members
of the judiciary by the very oath of their
office undertake their function in a truly ob-
jective fashion. Aside from that, is the fact
that we know that they go in tabula rasa.
They don't know about it, and better so that
they do.
They are the chairman of that board and
they will have the assistance and aid of
two colleagues on the board of arbitration,
one representing the point of view perhaps
of the teachers and one representing the
point of view of the trustees. Subject to
some comments I want to make about the
Statutory Powers Procedure Act, the chair-
mani will have the ability to assess the evi-
dence and come to a conclusion.
I think the amendment is an extremely
worthwhile amendment. I don't know why
you turn away from it, because it really
assists you in the future. It assists you now
in being able to say to yourself that never in
the future will you be accused as the minis-
ter of showing any partiality whatever, be-
cause you invite that type of comment if you
rely solely on the expertise of the chairman
rather than on the public recognition of the
true objectivity of the chairman.
Mr. Chairman: The member for York-
Forest Hill.
Mr. Givens: Mr. Chairman, the minister
may have heard me remark to my colleague
here that probably the last thing you would
338
ONTARIO LEGISLATURE
want is to appoint a judge. Right here
you really get at the nub of the point that
I was trying to make last night, that after
weeks and weeks of negotiating and the
hassle that's been going on and the mess
that's developed, where are you going to
get three impartial people? Three impartial
people who are so wise, so sagacious, so
knowlegeable, so expert, so perceptive,
so Solomonic that they're going to
cut this Gordian knot— let alone the baby,
the student, that they're struggling with be-
tween them— who haven't had an input into
this matter already.
You can't find such people; I defy you
to do so. You're going to have to pick people,
but you're not going to be able to find peo-
ple with that 100 per cent degree of ob-
jectivity that you're striving for and which
my colleague is striving to get.
We know in labour relations in the past
labour had objected to people with a legal-
ized training taking part. They don't like
lawyers. They don't like judges, because the
tendency for lawyers, and some of my best
friends are lawyers, and I'm one of them—
Hon. Mr. Davis: You're your own best
friend.
Mr. Deans: His only best friend.
Mr. Givens: Don't walk out on me now.
This is the first time I've had you.
Hon. Mr. Davis: After that line, I'll be
right back.
Mr. Givens: The tendency for lawyers is
to strictly construe language and to strictly
construe laws. We were all through this dis-
cussion last night where we were agreed
that you're dealing in a field of human rela-
tions and that you cannot confine strictly
what's in the parameters of any given lan-
guage, no matter how well hewn your lan-
guage is, in any given piece of legislation.
This is what makes it so tough. You're up
against the velvet right now with respect
to this aspect of compulsory arbitration,
which I defy you or anybody else to solve.
This is why compulsory arbitration, in my
opinion, is basically wrong; because you can-
not find these Solomonic people.
Maybe you'll bring one in from Alaska
or British Columbia or from somewhere out-
side the jurisdiction. It isn't possible today
to think of anybody, and I don't care whether
he's a judge or anybody else, who has that
kind of impartialit)' and objectivity, who
hasn't formed some kind of an opinion, either
consciously, or subconsciously or subliminally
on this particular question who lives in the
community known as the Province of Ontario.
Everybody has got an opinion.
I suppose that you can argue that a Su-
preme Court judge, because of his training
and background, is likely to be the most ob-
jective person that you can find. Maybe you
can argue that, but I dismiss the idea that
you can even get a Supreme Court judge
today whose mind is completely and totally
a blank like an empty blackboard on the
subject. This is not possible at all. This is
why you are having tibis trouble.
In retrospect, having made that remark at
the beginning to my colleague, that he would
be the last guy I'd pick, I suppose that this
is the kind of person to pick, compared with
picking a businessman, a bank manager, the
Lieutenant Governor of the province, another
cabinet minister, or whomever. I suppose a
Supreme Court judge is more hkely to be the
the most objective person. But I rule out ob-
jectivity and impartiality completely. This
is why I consider the principle of compulsory
arbitration wrong, particularly in this par-
ticular case.
Mr. Chairman: Those in favour of Mr.
Newman's motion will please say "aye."
Those opposed will please say "nay."
In my opinion the "nays" have it. I de-
clare the motion lost.
That was to subsection 5, was it?
Mr. B. Newman: Yes.
Mr. Chairman: Then subsections (4) and
(5) are carried.
Is there anything before subsection (13)?
If so, which subsection.
Mr. Bullbrook: Subsection (9).
Mr. B. Newman: Subsection (8).
Mr. Chairman: Anything before subsection
(8)? ^ ^
Mr, B. Newman moves that section 3 (8)
be amended by adding thereto the words
"who shall be a justice of the Supreme Court
of Ontario."
Mr. B. Newman: I won't repeat the entire
argument this time, but it is exactly the same
argument as that under subsection (5); that
is where the chairman is not agreed upon,
that he shall be a justice of the Supreme
Court of Ontario.
Mr. Chairman: Anv further discussion?
MARCH 14, 1974
339
Those in favour of Mr. Newman's motion
will please say "aye."
Those opposed will please say "nay."
In my opinion the "nays" have it. I de-
clare the motion lost.
Mr. Chairman: On subsection (9)?
Mr. Bullbrook: I just want to ask a ques-
tion of the minister.
In providing in subsection (9) for the use
of powers imder those sections of the Statu-
tory Powers Procedure Act, are you content
through your advisers that the provision in
section 4 of the Act, to the efiFect that the
dispute may be concluded without a hearing
would obviate the necessity of a hearing? Or
are you satisfied with the words contained
in section 3(3), the the negotiators for the
teachers and the board will have an ability
to present evidence and make submissions?
I just want to make sure that we are not
going to have an in camera session here.
Perhaps I might just say this: Under the
Statutory Powers Procedure Act the tribunal,
as you know, can conclude without a hearing.
Hon. Mr. Wells: Yes, right.
Mr. Bullbrook: The Act also says, ". . .
subject to the provisions of the particular
statute," which we are talking about in Bill
12. You provide for the presentation of evi-
dence and the ability to submit argument. I
take it that your intention is that notwith-
standing the provisions of the Statutory
Powers Procedure Act that say there can be
a conclusion without a hearing, tfhat there is
going to be a hearing.
Hon. Mr. Wells: Certainly, Mr. Chairman.
I intend that there be a hearing, and cer-
tainly it is the intent in this bill that there be
a hearing. If my friend, who is a lawyer,
feels that section 4 of this Statutory Powers
Procedure Act causes any problem in this
regard— again, as a layman, reading it over
quickly, I am not sm-e why section 4 has to
apply in this particular case— but if he is
worried, I would be willing to ddete that
unless there is some particular reason. I see
why the other sections of the Statutory
Powers Procedure Act need to be here for
certain protections and so forth, but I am not
sure about section 4.
Mr. Bullbrook: I see the need for the
application of section 4, because the parties
might by consent come to a conclusion with-
out the necessity of holding extensive hear-
ings and thereby saving public funds and that
would constitute an award. I'm content with
that. I am now content that you have voiced
publicly that it is your intention that there
be a public hearing in connection with tlie
submissions to be made to the board of
arbitration. I think that satisfies me entirely
right now.
Mr. Chairman: Does subsection (9) then
stand as part of the bill? Agreed.
Any comments, questions or amendments
on a later subsection, before subsection ( 13 ) ?
The member for Port Arthur.
Mr. Foulds: I just wanted to ask a ques-
tion for clarification on subsection (10). I
assume that means that the award made by
the arbitrator cannot therefore be appealed
to a court. Is that the intention of subsection
(10)— that the award made by the arbitrator
in this case will be final and binding and
there can be no appeal to the court? Tliat's
the reason? Thank you.
Mr. Chairman: Shall subsection (10)
stand? Subsection (11); subsection (12).
Mr. Foulds: Subsection (12).
Mr. Chairman: The hon. minister— oh, is
there something?
Mr. Foulds: Do you have an amendment
to 12?
Hon. Mr. WeUs: No, 13.
Mr. Chairman: If you have comments on
12 you may make them now.
Mr. Foulds: I once again want a point
of information on this. Could the minister
inform the House if any items had been
agreed to by the board and the teacher nego-
tiators up to this point? Or did they with-
draw all the tentative ofiFers that they talked
about when the teachers withdrew their ser-
vices?
Hon. Mr. Wells: I really can't answer that
for the hon. member, because of course we
don't know until each put in their list, as is
provided for in an earlier section of this bill.
They will each put in what they feel are
the items still in dispute and it may be
that some of the items we perhaps assiuned
had been agreed to may still be in dispute,
because some of them were conditional upon
others being agreed to.
This section, of course, is also there so
that if, as the arbitration is proceeding, the
parties get together and agree on some of
the items that are in the list that are in dis-
340
ONTARIO LEGISLATURE
pute, they can present to the arbitration
board their written agreements, and that then
means the arbitration board doesn't have to
make an award in that particular matter.
Mr. Deans: Just one question along the
same line: Is it not necessary that the parties
should submit a list of all matters which
were entered into and upon which negotia-
tion was originally based, a list of the mat-
ters which they believe to have been re-
solved and then a list of the matters which
are still in dispute?
The reason I ask is that if a party, for
example, were to submit a list of the matters
that they consider still to be in dispute and
leave out matters which they thought had
been resolved, and the other party didn't
deal with those matters, it is entirely pos-
sible that the there may not be an agreement
on some of the matters.
In other words, if there isn't a list of what
in fact is being asked for, and what was
asked for originally, what was tentatively
agreed upon and what is still in dispute,
then it is possible that some matters might
get lost.
Hon. Mr. Wells: I suppose anything is
possible, Mr. Chairman, but I can assure
the member that under this section that we
have here, I think the parties will know
very well what are the matters still in dis-
pute and will be able to put them in.
Mr. Chairman: Subsection (12)— I'm sorry.
Mr. Deans: Okay, all right.
Mr. Chairman: The hon. minister has an
amendment to subsection (13).
Hon. Mr. Wells moves that subsection (13)
of section 3 be amended by inserting after
"or" in the third line, "with the approval of
the minister."
Mr. Chairman: Shall this motion carry?
Mrs. Campbell: Could we have the mean-
ing of this?
Hon. Mr. Wells: The meaning of this is
that at the present time a three-month time
limit is set on the board of arbitration with
the provision that they may extend this time
themselves. This says they have to get the
approval of the minister if they are going
to go to any extension beyond the three
months. Several of the parties in this arbi-
tration have suggested they would like that
provision in so that we can have the arbi-
tration carried out as quickly as possible.
Mr. Foulds: Could I ask a question on the
minister's intention? I, too, have had the
same kind of information that both parties,
I think, are a little imeasy that the arbitra-
tion might drag on and on. Could the minis-
ter give an assurance to the House that he
would not let the further period extend
beyond the new school year, say?
Hon. Mr. Wells: I would hate to give any
assurance of time to the hon. member, Mr.
Chairman, but I can give him the assurance
that I will do everything possible to see that
the arbitration board completes its work as
quickly as possible.
Three months seems to be a reasonable
time, but of course we all know things can
occur which might make it necessary for
extensions. That's why we put in a little bit
of a clause in the legislation to allow this to
happen and did not just say three months.
If we wanted to be very specific we could
say it had to complete its work within
three months and we'd probably be all right
but if something happened we'd find we had
a piece of legislation and we'd have to come
back and get an amendment. I can assure
the hon. member I will not in any way let
the board continue for an unreasonable length
of time.
Mr. Foulds: There is a technical problem
here, of course, in terms of the dates of the
teachers' resignations. That is, that they can
in law resign only as from May 21 or Nov.
30. Surely, those individual teachers who do
not like the award should not be prolonged
beyond Nov, 30, say, in the employ of the
board. I say that for two reasons: First so
that the individual teachers who are dis-
satisfied with the awards can seek employ-
ment elsewhere; and the other is that if it is
only a one-year award— if the arbitrators de-
cide that the contract shall only be for the
term of one year— one would hope they get
the negotiations or awards settled before they
get into the next round of negotiations in the
coming year.
I appreciate the flexibility that the minister
wishes to give the arbitration board here,
because often a three or four-day period after
a three-month period might be the crucial
one. But we would caution him that there
are those constraints, those very real con-
straints—the resignation times of the teachers
and the negotiations looming into the com-
ing year— to be considered when ministerial
approval is being considered on the section.
Mr. BuUbrook: I want to ask a question
that causes me concern. It is a general ques-
MARCH 14, 1974
341
tion, if you "will permit it, Mr. Chairman,
arising out of comments made by the mem-
ber for Port Arthur. Is there a possibility
that you conceive that the board would have
the power to award in excess of a one-year
contract?
Hon. Mr. Wells: In excess of one year?
Mr. Bullbrook: Yes.
Hon. Mr. Wells: I think that's possible.
That's one of the matters in dispute.
Mr. Bullbrook: That causes me concern
because I find it somewhat reprehensible—
I am sure the minister finds this, too— that we
are undertaking the responsibility of a locally-
elected board. I can see that in the matter
of urgency perhaps the government is con-
strained to bring forward this legislation which
we don't support. But now, if that board of
arbitration is to return an award in excess
of a one-year contract, you are not only
usurping the function of the board for this
year, you are imposing upon a future board
perhaps; or at least restraining the right of
the present board to undertake collective bar-
gaining procedures in the future. I'd like to
hear from the member for Port Arthur and
my own colleagues in this connection. I don't
think we want to do that really.
Mrs. Campbell: No.
Mr. Bullbrook: It binds the teachers also
to a term. Bill 275 anticipates a two-year
term.
Mrs. Campbell: That's right.
Mr. Bullbrook: That's a different ball game.
That's general legislation that we will even-
tually debate here in the House. But giving
the right to this board, for the sake of exag-
geration, to award a three-year contract,
robs both the teachers and the trustees of
their rights.
Mr. B. Newman: Mr. Chairman, if I may,
I would like to make a few comments on this.
In line with what my colleague is saying,
this could happen at a point in time when
the arbitration award is not down but there
is an election being held, a completely new
board may have been elected— a board with
a completely difiFerent point of view and new
thinking. As a result, if a two-year or a three-
year contract were awarded by the arbitrator,
you would be tying future boards to expendi-
tures and benefits that I don't think vou
should be tying them to at all.
The other item I would like to mention
to the minister, as I did when we discussed
section 3(3) and I asked the minister to
explain two or three lines, is the problem of
the resignation of teachers.
A teacher has only two times in the year
which he can retire or hand in his resigna-
tion. May 31 and November 30. Now, if the
award is not down in time, before the teacher
is to hand in his resignation, the teacher may
be dissatisfied with the award presented by
the arbitrators, but he will not have the op-
portunity to resign and look for employment
with another board. You've sort of chained
him into his job for an additional year, and
you would have to extend the resignation date
for teachers beyond May 31 and possibly put
it to 30 days after the award had been pre-
sented by the arbitrator.
Mr. Deans: I just want to make one com-
ment. It seems to me, in an arbitration which
is agreed upon voluntarily by both parties,
that the term of the agreement should be
subject to the decision of the arbitrator. But
in a dispute where it is involuntary, where
neither party wanted the arbitration and
where the arbitration is being imposed by
us, it should be for as short a period of time
as is reasonable. It seems at this stage that a
shortest period of time that is reasonable
should be August 31, 1974, and the award
should and will be retroactive to September
1, 1973.
I would like to suggest to the minister that
he do include that. Everyone— I assume so,
anyway— is going to be under general legis-
lation in any event by August 1, 1974, and in
fact negotiations will be starting afresh across
the province under the new legis'lation govern-
ing teacher-board negotiations.
I think this board and these teachers have
to move as swiftly as possible into that new
structure and get back together again as
quickly as they can in an attempt to try to
attain what I spoke about last night, the
kind of mutual respect that must be there
if there is going to be any sensible and
rational negotiation in any event.
I would seriously like to ask the minister
whether he couldn't find a way to say that
the award shall be for a one-year duration,
terminating on the anniversary date, August
31, 1974.
Mrs. Campbell: Mr. Chairman, on this point
I feel that I should rise too, because I am
concerned about the impflications of this par-
ticular piece of legislation as it relates to Bill
275. I would like to have the assurance of
342
ONTARIO LEGISLATURE
the minister that in forcing two people into
arbitration it should not be expected that any
award could be made for any longer term
than one year. Surely that would be subject
to the position of Bill 275. Surdy that is a
part of negotiations in other circumstances.
And since Bill 275 has not yet taken effect,
surely it would be most improper that in
these highly questionable circumstances they
should be awarded any longer period of time?
Mr. Chairman: Any further comments?
Those in favour of the minister's motion—
Hon. Mr. Wells: Mr. Chairman, I must
say that while the arguments that have been
put forward are very interesting I have heard
no comments from either of the parties con-
cerned in this dispute that there was not a
limitation in this bill, that is, making it apply
to a one year contract.
Now we are, of course, reaching the end
of the period for which this award will ac-
tually apply. By the time the award is
brought down the end of the year for which
it applies will practically have been reached,
because this, of course, is for a contract be-
ginning September, 1973.
I would say that, from my involvement
with the negotiations that went on, the dura-
tion of the contract was one of the matters
that was in dispute. Whether it was to be a
12-, 16- or 24-monh contract was one of
the matters in dispute. I am not sure that
in limiting, at this particular time by this
bill, the award for one year we would not be
intruding upon or limiting some of the mat-
ters that were in dispute.
Mr. Deans: You are doing that anyway—
Hon. Mr. Wells: No, but we are going
to-
Mr. Deans: They said they shall arbitrate
pupil-teacher ratio, and that is in dispute,
and they said that they shall have a base
salary of X, and that is in dispute too.
Hon. Mr. Wells: I think, on balance, that
I would rather have the case for a 12, 16
or 24 month contract argued before the board
of arbitration and let them make up their
mind. It is a very difficult matter. I don't
think we had thought about it in the draft-
ing, because in my thinking this had been
one of the matters in dispute and I thought
that it would go to the board. Mr. Chairman,
I would feel that we should leave it the way
it is.
Mr. B. Newman: Mr. Chairman, may I ask
of the minister what provision he is making
to enable a teacher to submit a resignation
at a date later than May 31, in case he were
dissatisfied with the award and would like to
seek employment with another board?
Hon. Mr. Wells: Mr. Chairman, there is
nothing in this bill that provides for that.
He, in his contract, can resign on May 31.
Now if the award is not down he will have
to wait until that award comes down and
then, as the hon. member for Thunder Bay
mentioned—
Mr. Foulds: Port Arthur.
Hon. Mr. Wells: Port Arthur; excuse me.
Port Arthur.
Mr. Foulds: You see, you did get it wrong.
Hon. Mr. Wells: Yes, yes, there you are.
Mr. Foulds: Private joke.
Hon. Mr. Wells: Yes. He has the Nov. 30
deadline to consider if he wishes to resign.
I don't think that is a matter that should
be considered within this bill.
Hon. Mr. Wells has moved that subsection
(13) of section 3 be amended by inserting
after the word "or" in the third line the words
"with the approval of the minister."
Motion agreed to.
Mr. Chairman: Are there any further com-
ments, questions or amendments in any later
section or subsection of the bill?
Mr. Deacon: Section 4.
Mr. Deans: Subsection (15).
Mr. Chairman: Subsection (14) is it?
Mr. Deans: No, (15). Can the minister tell
me something about the reason why he de-
cided that the bill has to be paid within 30
days? What is all this about? Why are you
telling the parties, who have entered into a
private arrangement with their nominee to
the board, that they have to pay the nominee
within 30 days? I don't quite follow that.
Hon. Mr. Wells: As I understand it, the
draftsmen for this bill have taken this from
other labour legislation and the 30-day pro-
vision is there. We like everybody to be paid
promptly— just like the government pa\s its
bills.
MARCH 14, 1974
343
Mr. J. R. Breithaupt (Kitchener): Just to
comment on that further. Mr. Chairman, it
seems to me that if the account is not paid,
does the minister expect that the person
claiming for fees or disbursements imder
this situation would have any better result
in getting paid under this section than under
the general law of contract that prevails on a
quantum meruit basis that exists now?
I just don't see the point of particularly
requiring this kind of legislation when the
fact that the person has done a job would
allow him to maintain an action if the pay-
ments were not there just on the fact that
he had done the job.
Hon. Mr. Wells: I think that actually
what we are talking about here is that the
30 days are put in because that's the time
in which the money that's required is to be
paid by the teachers who are a party to
this negotiation. Now those teachers are not
a legal entity and after that 30 days the bill
then provides that the Ontario Secondary
School Teachers' Federation shall pay such
moneys; and they, of course, are a legal body.
It passes the responsibility for those dtebts
from the teachers who had been a party
before the negotiations to a legal body, the
Ontario Secondary School Teachers' Federa-
tion. The board, of course, is a legal body in
the beginning— right way— and of course it has
to pay-
Mr. Breithaupt: It only makes the person
involved a little more confident that if there
is a problem, there is some more practical
recourse of going after an association rather
than some 550 teachers.
Hon. Mr. Wells: Well, there's no-
Mr. Deans: Just one question — they are
within a further 15 days — now that is the
last point I want to make with you. If the
board doesn't pay—
Hon. Mr. Wells: You can take that out. I
don't—
'Mr. Deans: I think you should. If the
board doesn't pay, then the person they hire
has to go after the board for the money.
Mr. Breithaupt: Quite so.
Mr. Deans: If the teachers dbn't pay, then
obviously the person they hire has to go after
the federation for the money. How they
settle is their business and how long it takes
is their business— and I am not interested in
getting involved in how long it takes.
Hon. Mr. Wells: All right. I would be
agreeable, Mr. Chairman, to removing "within
a further 15 days."
Mr. Chairman: Is that subsection (15)?
Who is moving it then?
Hon. Mr. Wells: I will move it.
Mr. Chairman: Is the motion understood
then?
Mr. B. Newman: You might read it, Mr.
Chairman.
Hon. Mr. Wells: Mr. Chairman, I am mov-
ing — if you need it written out, I —
Mr. Chairman: No, it will be on record.
iHon. Mr. Wells: No, it will be on record.
Hon. Mr. Wells moves that the words
"within a further 15 days" be deleted from
the last part of section 3, subsection (15),
and it stands as "shall pay such moneys."
Motion agreed to.
Mr. Chairman: All right, the mimster
wishes to add a couple of words in sub-
section (5) of section 3 to further clarify it.
Do we have that permission?
Hon. Mr. Wells: Yes, well I just recall
that it was mentioned that there was no gen-
eral definition of the board of arbitration
being a three-person board.
Mr. Deans: Yes, I asked you for that.
Hon. Mr. Wells: And I thought that we
should add the word a "third" person in the
third line of subsection (5).
Mr. Chairman: So it shall read "appoint a
third person."
Hon. Mr. Wells: "Appoint a third person
to act as chairman of the board of arbitra-
tion."
Mr. Chairman: Understood?
Mr. Deans: Thank you.
Mr. Chairman: Is that agreed?
Mr. Foulds: Is that just before "a person"
in the third line?
Hon. Mr. Wells: Yes, appoint a third per-
son.
Mr. Chairman: That amendment is carried
then?
Agreed.
344
ONTARIO LEGISLATURE
Mr. Chairman: Now, anything further on
section 3? Do subsections (16) and (17)
carry?
Section 3 agreed to.
On section 4:
Mr. Deacon: Section 4. It has been
brought to my attention that there is some
concern over the category that would apply
in section 4 where a teacher has been as-
signed to another job by the board.
Mr. Deacon moves that section 4 be
amended by the addition of the following
sentence:
The category applicable under this sec-
tion shall be that for which a teacher
qualifies and the specialty for which the
teacher was hired unless the teacher has
specifically requested a change to another
specialty.
Mr. Deacon: I would appreciate the min-
ister's comments on this because there is some
concern that there could be confusion be-
cause of previous cases of shifting between
categories that the board carried out with
some of the teachers. I wanted to be sure
this was covered and clarified. Would the
minister agree to this amendment?
Hon. Mr. Wells: Well, no. Mr. Chairman,
I can't agree to this amendment because this
guarantee that's put in the bill is a guarantee
of this salary offer for those teachers who
are in that category as of the time specified
here. I don't think in this bill we should get
into a dispute, which again is an item in dis-
pute, as to which category certain teachers
in that board should be in. We don't attempt
to get into that in this particular bill. We
merely attempt to say that where the teacher
is placed in a category, this is the new salary
schedule for him.
As the hon. member knows, the placement
in categories is one of the issues in dispute
in this particular instance.
Mr. Deacon: Oh, I thought that was an
issue that had been agreed to prior to the
actual withdrawal.
Hon. Mr. Wells: Well, if that had been
agreed to, and the board has made the ad-
justments in the categories, then the board
will put them automatically in the categories.
Mr. Deacon: What I wanted to check was
that since the actual contract hasn't been
signed, but as I understand the list of points
that were agreed to as they worked through
the negotiations, that was one where they
had agreed to the way in which these
categories will be handled. It is because of
that agreement, which had been reached
ahead of time, that I am making this sug-
gestion. I recognize that that had been a
point of dispute before, but I thought it had
been agreed to and I thought it should be
so reported in this bill.
Mr. Chairman: The hon. member for
Windsor- Walkerville.
Mr. B. Newman: Mr. Chairman, my con-
cern really is that a teacher may be trans-
ferred from, say, category 4 to category 3,
and as a result suflFer a decrease in salary
on the transfer between categories and have
the board just arbitrarily assign him a differ-
ent series of subjects to teach. This would
simply protect the rights of the teacher who
had been in any one of the categories— I'll
use category 4— so that he does not drop
below the category 4 level if he had been
in it prior to that, simply because the board
wants to give him another discipline to teach.
If the teacher wishes to be removed from
category 4, well then, that's quite agreeable
between the teacher and the board.
Hon. Mr. Wells: I think my friend realizes,
though, that we're not trying to set that policy
in this bill. All we're trying to do is set a
salary schedule effective last September. How
the teachers get in that schedule depends
upon the policies of the board and so forth.
As I said, it was a matter in dispute. It may
have been settled. If it's been settled I'm sure
that the rearranging will be done by the
board, but then this is the salary schedule
that will apply.
Mr. Chairman: All those in favour of Mr.
Deacon's motion will please say "aye."
Those opposed will please say "nay."
In my opinion the "nays" have it.
I declare the motion lost and the section
carried.
Section 4 agreed to.
Mr. Chairman: Anything on section 5 of
the biU?
On section 5:
Mr. Foulds: Mr. Chairman, I would like
to suggest to the minister that section 5 is no
longer applicable because a Supreme Court
judge will not need to make a judgement in
this matter, and that the preamble is not
apphcable where it says, "requires that all
teachers return to the classroom, and that
means be found for the settlement of all
MARCH 14, 1974
345
matters of dispute between the board and its
teachers," as the teachers have just voted
to return to work on March 25. I would like
to suggest to the minister that if that were the
case, we should suspend discussion of this
bill and see if both parties will execute a
document outside this House tonight so that
it is not necessary that the bill be proceeded
with.
Hon. Mr. Wells: Mr. Chairman, I think
I received this resolution from the teachers
about half an hour ago. I think what the
resolution says is that "in anticipation of
royal assent to Bill 12, we, the resigned
teachers of York county, agree to return to
our classes on Monday, March 25, under
duress."
I think that that hinges on the passing of
this bill. I think we should proceed with the
bill. It's our intention, if the House would
agree to proceed with the bill, to give it
passage tonight but not royal assent until
tomorrow. If an agreement can be arrived at
before tomorrow it will not receive royal
assent.
But I suggest that both parties have
agreed— the board has agreed to take all the
teachers back pending the passing of this
bill, and the teachers, under this resolution,
have agreed to go back also under the pass-
ing of this bill— so I would suggest that ap-
parently they have decided this is the best
way finally to end this dispute. I would
commend them both, particularly the teach-
ers, for taking the position that they've taken
at this time.
Mr. Deans: I don't know when we'll pass
the bill, but I assume that we probably
won't pass it before 6 o'clock. You never
know about these things. But it's entirely
possible that the legislation will not be re-
quired in its present form. This legislation
compels them to return to work. Yet you
said they're going anyway. I realize you
said they anticipate the legislation passing; I
understand that. Is it not possible that they
are now recognizing the mood of the gov-
ernment and are prepared to go back to work
and have the matter submitted to arbitra-
tion voluntarily?
Hon. Mr. Wells: No, I'm afraid, Mr.
Chairman, that isn't what the parties have
said. I took the hon. member's suggestion
last night and made suggestions to both
parties to sign a voluntary arbitration ar-
rangement, but apparently, for their own
reasons, they decided not to. So I think we
must proceed.
Mr. Foulds: Excuse ine, was that last night
or today?
Hon. Mr. WeUs: Last night.
Mr. Foulds: In view of their vote this af-
ternoon, where they obviously put it to the
teachers, if we can continue tomorrow morn-
ing or tomorrow afternoon and it could re-
ceive third reading and royal assent tomorrow
afternoon, surely this evening would be a
time to make the approach, so that we don't
get enshrined in legislation which has passed
second reading, committee stage and third
reading the principle of compulsory arbi-
tration for teachers. If it fails this evening,
then well and good, proceed tomorrow and
the bill will apply as of March 25. We have
been desperately looking for a possible way
out. It may be, if at this stage we did not
proceed with the bill, that the teachers
would not feel that they have to go back
to the classrooms under duress.
Mr. Breithaupt: Mr. Chairman, perl
if I could enter this matter just to make a
suggestion to the minister, it would, I think,
appear that certainly the bill will complete
its stage in committee this afternoon. The
remaining sections are just formality. I don't
think it would be in the best interests of any
of us in the House to stress those sections
untowardly. If the minister might consider
it, when the bill is completed in committee,
if this happens this afternoon, it would
surely be prudent and in the best interests
of all of us to stand over the third reading
until tomorrow morning. I would think then
not only would the teachers feel that this
last step of unfortunate coercion could be
drawn back from by their formal agreement,
but also this may have a cooling effect on
the whole situation.
I would commend to the minister that
approach so that the House may proceed
with other business after we complete this
committee stage, if that is the wish of the
House leader. I think it would be most
worthwhile for us, in fact, formally to com-
plete the committee stage on this bill, so
that the intentions of the government which
have been well advertised are proceeded with
in an orderly fashion. But I would commend
to the minister the idea that to proceed with
third reading at this point is an unnecessary
strengthening of the government position.
I think that the position is sufficiently strong
and well known that a third reading debate,
if there is to be one tomorrow morning,
would be a prudent way of handling the
matter.
346
ONTARIO LEGISLATURE
Hon. Mr. Davis: Nothing will change,
I'll tell you that.
Mr. Deans: I'm sorry, what did you say?
Hon. Mr. Wells: Nothing will change
Mr Breithaupt: The Premier suggests, Mr.
Chaiman, that nothing will change before
tomorrow morning. This could well be. How-
ever, it is simply my personal feeling, and
I give it to the Minister of Education for
what it's worth, to do it a day apart might
be a prudent thing.
Mr. Chairman: Shall section 5 stand as
part of the bill?
Mr. Foulds: As for the Premier's com-
ment that nothing will change tomorrow,
something already has changed. The teachers
have agreed to go back on March 25 albeit
under duress.
Hon. Mr. Davis: In anticipation of the
bill.
Mr. Deans: I understand that.
Mr. Foulds: Surely the Premier is not so
cynical as to say that it's not worth making
this one last test, or does he, in fact, feel
comfortable with compulsory legislation?
Hon. Mr. Davis: No, as none of us do.
Mr. Foulds: Fine,
Hon. Mr. Davis: But if royal assent can
be given tomorrow, we can finish the bill
today. The resolution is very clear. It's in
anticipation of the bill being passed. Have
you read the resolution?
Mr. Foulds: Certainly, I have read the
reso'Iution.
Hon. Mr. Davis: It is very clear.
Mr. Chairman: Shall section 5 stand as
part of the bill?
Section 5 agreed to.
Mr. Chairman: Any further comments,
questions, amendments on the last two sec-
tions of the bill?
Sections 6 and 7 carried.
Mr. Chairman: Shall the bill as amended
be reported?
Those in favour of the bill as amended
being reported will please say "aye."
Those opposed will please say "nay."
In my opinion the "ayes" have it.
Bill 12, as amended, reported.
Hon. Mr. Winkler moves the committee rise
and report.
Motion agreed to.
The House resumed; Mr. Speaker in the
chair.
Mr. Chairman: Mr. Speaker, the commit-
tee of the whole House reports one bill with
certain amendments and asks for leave to
sit again.
Report agreed to.
THIRD READING
Clerk of the House: Bill 12, An Act res-
pecting a certain Dispute between the York
County Board of Education and certain of
its Teachers.
Mr. D. M. Deacon (York Centre): Mr.
Speaker, we have already expressed our op-
position to the principle of compulsor\- arbi-
tration, one to which we continue to stick.
Mr. E. W. Martel (Sudbury East): Just
for teachers. Not for labour.
Mr. Deacon: We feel that every other re-
course should have been attempted. It wasn't
in this case. The recourse of trusteeship would
have solved the problem, in our view, much
better.
Interjections by hon. members.
Mr. Deacon: We regret that this oppor-
tunity was not taken which would have
cleared up the basic division that has arisen
over the last period of time between the
board and the teachers. It could have been
resolved by that method.
Hon. D. R. Timbrell (Minister without
Portfolio): Absolutely impossible.
Mr. P. J. Yakabuski (Renfrew South): It
would haunt the member for the rest of his
days.
Hon. Mr. Timbrell: He hadn't better dare
ever talk about 'local autonomy again. Never.
Mr. Deacon: That would have reaUy pro-
vided the basis for local autonomy to be
expressed tru'ly in the ballot box,
Hon. Mr. Timbrell: Nonsense.
Mr. Speaker: The hon. member for Port
Arthur.
Mr. J. F. Foulds (Port Arthur): Mr.
Speaker, I do not believe that we should
MARCH 14, 1974
347
proceed with third reading. I believe, if it is
necessary, we could proceed with third read-
ing tomorrow in view of the teachers, and
the trustees' decisions that one last attempt
should be made to execute the document
outside the Legislature, so that we do not
have enshrined in legislation compulsory
arbitration for teachers, therefore contaminat-
ing whatever clearness of mind we may bring
to bear on the general legislation for teacher-
board negotiations which will be coming up
sometime this session, I suppose.
Therefore, this party opposes at this time
the third reading of this bill. We see no
reason, if an agreement could not be reached
overnight, that we could not have third read-
ing and royal assent tomorrow, if that is
necessary.
Mr. J. R. Breithaupt (Kitchener): Mr.
Speaker, I thought I heard the Premier make
a comment with respect to royal assent. There
wi'U not be royal assent given on this bill
until tomorrow? I just wanted to clarify that
matter, Mr. Speaker.
Hon. W. G. Davis (Premier): Right.
Mr. Martel: They are willing to hold off
until tomorrow.
Hon. Mr. Davis: If something happens to-
night then we can rescind it tomorrow.
Mr. B. Newman ( Windsor- Walkerville ) :
If I may, since royal assent will not be given
imtil tomorrow, I don't see why the govern-
ment won't accept the suggestion of the hon.
member for Kitchener on withholding third
reading of the bill until the time we sit to-
morrow. We will sit tomorrow; third reading
can be given. Royal assent can be given at
that time.
We in this party have voted against com-
pulsory arbitration as far as teachers' nego-
tiations were concerned and we will con-
tinue that fight.
Mr. Speaker: Is the hon. minister—
Hon. T. L. Wells (Minister of Education):
Mr. Speaker, I would just like to say that
I believe the bill should be given third read-
ing at this time, and, as the Premier has
stated, royal assent will not be given until
tomorrow. I have drafted here in my hands
a document to go to final and binding arbi-
tration, which I have suggested many times
to the parties that they sign. This is an-
other redrafted document, similar to the bill.
I stand ready to hear from either of them
tonight, and if they'd like to sign this then
this bill will not receive royal assent. It is
as clear and' simple as that.
Mr. I. Deans (Wentworth): May I ask a
question? It is good' to stand ready, but it
would be nice if the minister might simply
initiate some direct communication between
his office and the parties in the dispute
rather than wait for them, and say this, that
it is the mood of the House that we not
have compulsory arbitration imposed by this
Legislature — that is the mood of the House
— and ask them whether there is not yet a
way before we have to have it receive royal
assent.
Hon. Mr. Davis: Some of the member's
party told them that last Sunday.
Hon. Mr. Wells: Before this hearing goes
on, I'd like to tell the hon. member, even
though I'm speaking the second time on
this bill, that I've communicated many times
with the various parties to ask them if they
would be interested in this, and this time
I felt that if perhaps they are interested
might like to communicate with me.
Mr. Deans: Now look, don't stand on
formality. Try again.
Mr. Speaker: The motion is for third read-
ing of Bill 12. Is it the pleasure of the
House that the motion carry?
Those in favour of Bill 12, please say
"aye.'
Those opposed please say "nay."
In my opinion the "ayes" have it. Call in
the members.
The motion is for third reading of Bill 12.
The House divided on the motion for third
reading of Bill 12, which was approved on
the following vote:
Ayes
Allan
Apps
Auld
Bales
Beckett
Bennett
Brunelle
Carruthers
Carton
Davis
Dawner
D}Tnond
Eaton
Gilbertson
Grossman
Nays
Braithwaite
Breithaupt
Bullbrook
Bun-
Campbell
Cassidy
Davison
Deacon
Deans
Dukszta
Edighoffer
Ferrier
Foulds
Gaunt
Germa
348
ONTARIO LEGISLATURE
Ayes
Nays
Hamilton
Givens
Havrot
Haggerty
Hodgson
Lewis
(Victoria-
MacDonald
Haliburton)
Martel
Hodgson
Newman
(York North)
(Windsor-
Irvine
Walkerville)
Jessiman
Nixon
Kennedy
(Brant)
Kerr
Paterson
Lawrence
Reid
Leluk
Riddell
MacBeth
Ruston
Maeck
Singer
Mcllveen
Spence
McNeil
Stokes
McNie
Worton-30.
Meen
Miller
Momingstar
Morrow
Nixon
(Dovercourt)
Nuttall
Parrott
Reilly
Rhodes
Root
Rowe
Scrivener
Smith
(Simcoe East)
Timbrell
Turner
Walker
Wardle
Welch
Wells
Winkler
Wiseman
Yakabuski
Yaremko— 53.
Clerk of the House: Mr. Speaker, the
"ayes" are 53, the "nays" 30.
Mr. Speaker: I declare the motion carried.
(Motion agreed to; third reading of the bill.
Mr. W. Hodgson (York North): Mr.
Speaker, before we adjourn, on behalf of
the students and the parents of York county,
I'd like to thank all those who supported
this Bill 12.
Mr. Breithaupt: The member could have
done that in caucus.
Mr. Speaker: Is it the intention of the
House leader to sit this evening?
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): No, Mr. Speaker,
I'll say that tomorrow morning we will deal
with item No. 5, Bill 8, and then we will
return to item No. 1.
I was going to call another order, as I
had announced last night, but regrettably the
Minister of Community and Social Services
(Mr. Brunelle) has other oflScial arrangements
for tomorrow and we will call his bill first
thing on Monday, March 25.
Hon Mr. Winkler moves the adjournment
of the House.
Motion agreed to.
The House adjourned at 6:05 o'clock, p.m.
r
MARCH 14, 1974 349
CONTENTS
I
^ Thursday, March 14, 1974
Summer employment programme, statement by Mr. Timbrell 309
Task force on policing, statement by Mr. Kerr 311
Community-sponsored housing programme, statement by Mr. Handleman 311
Algonquin Park youth camp, statement by Mr. Bernier 312
Simcoe county steel plant, questions of Mr. W. Newman: Mr. Breithaupt 312
Environmental Hearing Board, questions of Mr. W. Newman: Mr. Breithaupt,
Mr. Bullbrook, Mr. Lewis, Mr. Good, Mr. Deacon 313
Guaranty Trust Co. of Canada, question of Mr. Clement: Mr. Breithaupt 314
Operation of travel agencies, questions of Mr. Clement: Mr. Breithaupt, Mr. Singer,
Mr. Deans, Mr. Lewis, Mr. Givens, Mrs. Campbell, Mr. Turner 314
Environmental Hearing Board, questions of Mr. W. Newman: Mr. Lewis, Mr. Deacon,
Mr. W. Hodgson, Mr. Sargent 317
Algonquin Forestry Authority, question of Mr. Bernier: Mr. Lewis 319
Community-sponsored housing programme, questions of Mr. Handleman: Mr. Lewis,
Mr. Cassidy 319
Noise regulations, question of Mr. W. Newman: Mr. Lewis 320
Tax credit information centre, questions of Mr. Meen: Mr. Givens, Mr. Roy 320
Resale of HOME programme houses, questions of Mr. Handleman: Mr. Deans,
Mr. Good, Mr. Singer S20
Effect of veterans' service in calculating pensions, question of Mr. Davis: Mr. Reid 321
Effluent from Belleville General Hospital, questions of Mr. Miller: Mr. Shulman 321
Automotive industry pensions, questions of Mr. Clement: Mr. B. Newman 322
Conservation of energy, question of Mr. Davis: Mr. Burr < 323
Judgement against Ministry of Agricultiu:«, question of Mr. Stewart: Mr. Gaunt 323
Price differences in Sears catalogue, questions of Mr. Clement: Mr. Martel 323
Brucellosis compensation, questions of Mr. Stewart: Mr. Wiseman 324
Ontario Hydro employment policy, question of Mr. McKeough: Mr. Sargent 325
Presenting report, task force on policing in Ontario, Mr. Kerr 325
Presenting report, Ontario Heritage Foundation, Mr. Auld 325
Regional Municipalities Amendment Act, bill respecting, Mr. White, first reading ....- 325
350 ONTARIO LEGISLATURE
Territorial Division Act, bill to amend, Mr. White, first reading 325
York County Board of Education Teachers Dispute Act, bill respecting, reported 326
Third reading 347
Motion to adjourn, Mr. Winkler, agreed to 348
No. 10
Ontario
Hegiglature of Ontario
OFFICIAL REPORT — DAILY EDITION
Fourth Session of the Twenty-Ninth Legislature
Friday, March 15, 1974
Speaker: Honourable Allan Edward Renter
Clerk: Roderick Lewis, QC
THE QUEEN'S PRINTER
PARLIAMENT BUILDINGS, TORONTO
1974
10
Price per session, $10.00. Address, Clerk of the House, Parliament Bldgs., Toronto
CONTENTS
(Daily index of proceedings appears at back of this issue.)
353
LEGISLATIVE ASSEMBLY OF ONTARIO
The House met at 10 o'clock, a.m.
Prayers.
POINT OF PRIVILEGE
Mrs. M. Scrivener (St. David): Mr.
Speaker, I rise on a point of privilege to
draw your attention to an article published on
page 5 of this morning's Globe and Mail,
which refers to the member for St. David. By
its wording and presentation— and there is no
qualification— I believe the Globe and Mail
has published a statement which is misleading
and inaccurate, and which implies that I am
against co-operative housing. Mr. Speaker, this
is not true.
Mr. S. Lewis (Scarborough West): It cer-
tainly is true.
Mrs. Scrivener: The article in question
specifically refers to my opposition to a co-
operative housing proposal in Don Vale,
although, Mr. Speaker, I have publicly stated
that I opposed this particular proposal on the
grounds that it is badly planned, would con-
sume valuable open space and is below the
minimum standards required for similar resi-
dential development in the city of Toronto.
Mr. Lewis: The member is destructive of
co-op housing. She always has been.
Mrs. Scrivener: Under the circumstances,
Mr. Speaker-
Mr. J. A. Renwick ( Riverdale ) : It is not a
question of personal privilege.
Mr. D. C. MacDonald (York South): It is
a debate.
Mrs. Scrivener: —I wish to set the record
straight and place the matter in proper and
truthful context-
Mr. Renwick: There is no privilege in-
volved in that. The Globe and Mail statement
is perfectly accurate,
Mrs. Scrivener: —by presenting to you a
public statement which I made on Jan. 22,
1974, and an article I wrote which was pub-
lished in Seven News at the end of January.
Friday, March 15, 1974
These describe my reasons for not supporting
the co-operative housing project in Don Vale.
Mr. Renwick: It is a perfectly accurate
statement in the Globe and Mail and couldn't
have been more accurate if I had written it
myself.
Mrs. Scrivener: I hope that these can be
included in the Hansard record.
In addition, Mr. Speaker, I believe that the
Globe and Mail shodd print a correction of
its statement.
Mr. Lewis: The Globe and Mail was dead
on. The member opposed that project and she
is on record as opposing it.
Mr. MacDonald: It is a debate.
Mr. Lewis: She doesn't like co-op housing
or non-profit housing which the government
now supports.
Hon. G. A. Kerr (Solicitor General): The
member opposite obviously did not have a
good night's sleep,
Mr. Speaker: Order, please. The hon. mem-
ber has raised a matter which has been
introduced as a point of privilege. Of course,
if there was an inaccuracy or she was mis-
quoted I think she has the right to rise on a
point of privilege.
Mr. Lewis: She wasn't misquoted on it.
Mr. Speaker: Well, that's the way.
Mr. I. Deans (Wentworth): She just
doesn't like what they wrote.
Mr. Speaker: The hon. member raised it
as a point of privilege, and I'm not at all
sure it was a point of privilege after having
listened to her.
Mr. Deans: You're right.
Mr. Levris: You are right. You are a per-
ceptive Speaker, a discerning man.
Mrs. M. Campbell (St. George): Mr.
Speaker, I should like at this time to intro-
duce to the House a group from the adult
day school YMCA, 40 College St., who are
here with Mr. Lawlor to see us in the House.
354
ONTARIO LEGISLATURE
I would ask the House to welcome them.
They are in the east gallery.
An hon. member: A fine looking bunch.
Mr. Speaker: Statements by the ministry.
EMERGENCY MEASURES PROGRAMME
Hon. Mr. Kerr: Mr. Speaker, as hon. mem-
bers are aware, Hon. James Richardson, Min-
ister of National Defence, in a statement last
October, announced federal funds allocated to
support the emergency measures programme
in the provinces would be cut in half, from
$3 million to $1.5 million.
This announcement was made without prior
consultation with the provinces. Since then,
Ontario and the other provinces have made
representations to Mr. Richardson for some
consultation on the future of the emergency
measures programme in Canada. We've had
no real success with our submissions.
This week the government of Canada
further annoimced the formation of an
emergency planning secretariat and an
emergency planning establishment in Ottawa
to deal with the federal response to natural
or man-made crises of national scale, such as
oil spills, storms, and nudlear and chemical
contaminations. Again, the provinces had not
been informed in advance of this restructur-
ing. We are now awaiting the details of these
latest proposals so that we can assess the
effect on the province's capability for dealing
with these emergency situations.
In the interim, the government of On-
tario has accepted my recommendation to
provide the necessary funds to the munic-
ipalities to enable them to retain their
present emergency measures planning
capability to the end of this calendar year.
A study is now under way to determine
how best to provide a more effective pro-
gramme at provincial and municipal levels
to deal with civil emergencies within the
province, in the face of the greatly reduced
support from the government of Canada.
Since the impact of emergencies are always
felt at the municipal level the study will
undertake an analysis of a number of typical
municipal programmes.
Mr. R. F. Nixon (Leader of the Opposi-
tion): Another one of those studies.
Hon. Mr. Kerr: Very short; it will be
ready by the middle of April.
Mr. J. E. Stokes (Thunder Bay): Is that
a green paper or a purple one?
Hon. Mr. Kerr: In addition, it will ex-
amine the effectiveness of the provincial
response to such emergencies. The repre-
sentative area programmes being surveyed
include Sudbury region, Windsor, Essex
county, Metropolitan Toronto and Bruce
county.
I am making this statement today, Mr.
Speaker, so that the municipalities will have
assurance of funding for their programmes
during the current calendar year.
Mr. Speaker: Oral questions.
The hon. the Leader of the Opposition.
EMERGENCY MEASURES PROGRAMME
Mr. R. F. Nixon: Mr. Speaker, I have a
question of the Solicitor General following
the statement he just completed. Surely it
would be possible, without a further study,
to simply decide that the Ontario Provincial
Police, with their excellent communications
network and strong background in training,
could assume the responsibilities that have
been taken by the Emergency Measures Or-
ganization ever since the great atom bomb
scarces some years ago when the govenmient
was stockpiling signs on how to get to
emergency shelters? Surely it's time to
abandon that programme and put the respon-
sibility with the Ontario Provincial Police;
stop the expense and stop the duplication?
Mr. V. M. Singer (Downsview): He might
even throw away the signs.
Hon. Mr. Kerr: Mr. Speaker, this is one
of the things the study, I'm sure, will find
out.
Mr. R. F. Nixon: Why not just try?
Mr. MacDonald: It's a study to escape the
obvious.
Hon. Mr. Kerr: However, as the hon.
member knows, the case of a civil emergency
involves certainly more than the police. It
involves the Ministry of Transportation and
Communications. It involves all the local fire
departments and other agencies—
An hon. member: Red Cross.
Mr. R. Haggerty (Welland South): The
most important ones.
Mr. R. F. Nixon: Another $100,000 down Hon. Mr. Kerr: Things like the Red Cross
the drain. and other private or municipal agencies, I
MARCH 15, 1974
355
think if we can correlate these and set them
up in a way they meet civil emergencies
within our province, rather than a sort of
wartime oriented structure we've had until
now, then when— heaven forbid— we really
have an emergency such as Hurricane Hazel
or something like that the structure will be
there and the direction will come from here.
Mr. R. F. Nixon: The structure is already
there.
Mr, Singer: By way of a supplementary,
Mr. Speaker, could the Solicitor General
tell us if it is the government's intention to
keep up the cabinet bunker in Barrie, keep
it well furnished and well stocked in case
there is an emergency, so that all important
cabinet ministers can run up to Barrie and
be safe?
An hon. member: That liquor must be
getting pretty well aged.
Mr. Renwick: Run up on the CN com-
muter train.
Hon. Mr. Kerr: I didn't realize we had
that type of structure up there, but if we're
there it's natural that we should be pro-
tected.
An hon. member: Thanks for letting us
know. It's nice to have a place to hide from
the member.
Mr. R. F. Nixon: The cyanide pills are
there.
Mr. Singer: Special passes.
Mr. MacDonald: Travel up on pogo
sticks.
An hon. member: We're going to have
one at Minaki as well.
An hon. member: Put one up at Winisk.
Mr. R. F. Nixon: Another study on that
is certainly not required.
Mr. Singer: The minister should go and
have a look at it.
HOUSING PROGRAMMES
Mr. R. F. Nixon: I would like to ask the
Minister of Housing, in connection with his
speech designating seven areas for special
emergency housing programmes, why it
was that he did not make more direct
reference to those properties in Waterloo
region and close to Brantford where there
are thousands of acres owned by Ontario
Housing which have never yet been desig-
nated for any programme use or service?
Surely those communities should have been
a part of the programme which the minister
has designated as an emergency programme.
I would also like to ask him specifically
how many dollars were allocated? It seems
to me that the sum of $4 million was men-
tioned. Would he verify that this is the
amount going along with this emergency
programme?
Hon. S. B. Handleman (Minister of Hous-
ing): Mr. Speaker, the two questions are on
two different programmes. First of all, de-
spite the headline in the Globe and Mail, I
did not specify seven urban centres— and I'm
reading the headline right in front of me.
What I did specify, and very carefully stated,
was that our housing action programme had
designated the megalopolis area, Hamilton,
Oshawa, Metro Toronto region, Sault Ste.
Marie, Thunder Bay and Ottawa-Carleton.
I don't think that adds up to seven. It was
very specifically couched in general terms
because we have not yet reached an agree-
ment with any of the municipalities.
Mr. J. F. Foulds (Port Arthur): Give us
that again? "Very specifically couched in
general terms"?
Mr. N. G. Leluk (Humber): The member
had better hone up on his vocabulary and he
might understand it.
Hon. Mr. Handleman: With regard to the
area that the hon. Leader of the Opposition
has mentioned, it has not been involved in
our preliminary studies of housing action
areas. I would be glad to look at it. What
we are concerned with at the present time
is the price crisis which exists. We are trying
to get into the areas which will be the most
amenable to expanded development of land,
to create the oversupply that we are trying
to achieve; but I will certainly take a look
at the areas the hon. opposition leader has
mentioned.
The second part of the question refers to
my statement yesterday on non-profit hous-
ing. What I said was that in our estimates
this year there is an amount of $4 million
to enable us to start the programme for the
first year. That will cover the 10 per cent
grants, the expertise and the assistance in
planning, as well as the rent supplement pro-
gramme that's encompassed in that.
Mr. R. F. Nixon: Supplementary: I wonder
if the minister would undertake to table in
the House a complete list of properties that
356
ONTARIO LEGISLATURE
might be said to be part of Ontario Housing's
land bank. We refer frequently to the Mal-
vern properties, which have been held for
many years, and the large acreage in
Kitchener-Waterloo— I am not sure how big
it is, but is it as big as 10,000 acres?
Mr. R. F. Ruston (Essex-Kent): Three thou-
sand acres
Hon. J. W. Snow (Minister of Government
Services): Three thousand, yes
Mr. R. F. Nixon: Three thousand acres.
And the 1,000 acres in Brantford are readily
memorable because they have been referred
to in the House so frequently.
Surely the idea of banking these proper-
ties near large expanding urban centres is to
utilize them, through services, when the time
is ripe— and if the time was ever ripe it is
now. It seems to me that the Minister of
Housing ought to move into these land bank
areas, to see that they are serviced and that
the serviced lots are provided without fur-
ther delay.
I wonder, then, if the minister could un-
dertake to table a complete list of the land
holdings of Ontario Housing not yet devel-
oped; those that might be said to form a
part of the land bank such as it is?
Hon. Mr. Handleman: Mr. Speaker, at first
glance it appears to be a reasonable request
and I will certainly look into it. I can't think
of any reason right now why that informa-
tion cannot be made public-
Mr. Deans: Given time, he will come up
with one.
Hon. Mr. Handleman: However, I am quite
sure the hon. member understands—
Mr. Lewis: It has been on the public rec-
ord in bits and pieces.
Hon. Mr. Handleman: —that OHC is con-
stantly in the process of acquiring land, and
I am sure he wouldn't want us to dividge
acquisition plans that are now in progress
which might assist speculators.
Mr. Stokes: Way to go!
Mr. R. F. Nixon: I am talking about land
that has been acquired up until now.
Mr. M. Cassidy (Ottawa Centre): Supple-
mentary, Mr. Speaker! Since it is now ap-
proximately 6% months since the Premier
(Mr. Davis) announced the housing action
progranmie, which was intended to bring
some 60,000 or 70,000 additional lots to
market than would have come in the normal
process, can the Minister of Housing tell us
exactly how many additional lots so far
have been brought to market by the housing
action programme?
Mr. R. F. Nixon: They call it the housing
"action" programme?
Hon. W. G. Davis (Premier): We are al-
ways very conservative.
Hon. Mr. Handleman: Mr. Speaker, I re-
plied to a question on this a short time ago,
and the hon. member knows the housing ac-
tion programme is just now getting off the
ground.
Interjections by hon. members.
Hon. Mr. Handleman: I may be able to
take some comfort in the fact that appar-
endy it was waiting for me to take charge.
I am taking charge, and I will get on with
the job as quickly as possible.
Interjections by hon. members.
Mr. Lewis: Supplementary: Is that why
the ministry had an advertisement in the
Globe and Mail at the end of Februaiy to
hire a housing co-ordinator at a level of
$25,000 to formulate various short-term
housing programmes? I mean, not a thing
has happened yet. The minister hasn't a
single plan to tell us about, the niunber of
serviced lots or the amount of money to be
invested. He has just put out advertisements
for his housing coordinator. The whole pol-
icy is a sham and has been throughout.
Mr. Cassidy: That's right, all words.
Hon. Mr. Handleman: Mr. Speaker, I don't
accept that. It is a comment, not a question.
Yes, we have adveirtised for housing co-
ordinators. We are appointing them. These
people are to be located in local areas so
thev can get to work with the local munic-
ipalities.
Mr. Lewis: It is "oo-ordinator"— not plural.
There was nothing plural about it.
Mr. Speaker: The hon. Leader of the
Opposition.
SOLID WASTE DISPOSAL
Mr. R. F. Nixon: I would like to ask
the Minister of the Environment if he will
table the report having to do with solid
waste disposal, referred to in the newspaper
this morning, which seems to reverse the
opinions stated by many so-called authorities
MARCH 15, 1974
357
on the disposal of soft drink and other drink
containers? Has he got that report available
and why have we not had) a copy of it here
in the Legislature before we read about it
in the press?
Hon. W. Newman (Minister of the En-
vironment): I don't know why hon. members
don't have a copy. I just got mine and I
haven't had a chance to study it in detail. I
have just received it. I would hope to table
it in the House in the very near future.
Mr. R. F. Nixon: Supplementary: Is there
a possabihty that the government will ever
follow up on the commitment made, I be-
lieve, by the present Solicitor General in one
of his previous incarnations as having some-
thing to do with the environment, when he
said there would be legislation controlling the
non-returnable containers which have added'
so tremendously to the solid waste disposal
problem?
Mr. MacDonald: That is still to be stud-
ied.
Hon. Mr. Kerr: Regulation.
Hon. W. Newman: Many of these things
were covered in—
Interjection by an hon. member.
Mr. R. F. Nixon: I haven't read this re-
port. The same people who talked to the
Premier have talked to me, and apparently
they are wrong. '
I'm sorry, what is the minister going to
do?
Hon. W. Newman: I didn't know whether
the hon. member wanted an answer or not.
Well, certainly we are going to study the
report and there will be certain things in
the report that we'll be taking action on. I
haven't had a chance to read the report. I
have just had it on my desk since yesterday.
Interjection by an hon. member.
Mr. Lewis: Supplementary: Has it been
drawn to the minister's attentioni that the
man who did the research for the report indi-
cates that the non-returnable bottle portion
constitutes about 6.7 per cent of the solid
waste and that the other 93 per cent is not
being studied by the ministry in any aspect?
What is the minister going to do about that?
Hon. W. Newman: In the report there are
many matters that were studied and appar-
ently in the conclusions they have recom-
mended an ongoing study of the other mat-
ters. I said I haven't read it in detail yet.
Mr. Speaker: The hon. Leader of the
Opposition.
Mr. R. F. Nixon: I have no more ques>-
tions, Mr. Speaker.
Mr. Speaker: The hon. member for Scar-
borough West.
Mr. Lewis: A question of the Minister of
Housing—
Hon. J. White (Treasurer, Minister of Eco-
nomics and Intergovernmental Affairs): Does
the Leader of the Opposition just ask ques-
tions for which I am responsible when I am
out of the city. Is that how it works?
SEVERANCE PAYMENT TO AGENT
GENERAL
Mr. R. F. Nixon: Mr. Speaker, on a point
of order, perhaps you wHl permit me just
one more question.
I wonder if the Treasurer can tell the
House if he was personally responsible for
the decision to fire Allan Rowani-Legg and
to pay him severance pay well beyond the
amount permitted by the regulations and
statutes of Ontario, and then to see that his
campaign- manager was fitted into that par-
ticular job in London, England— since he is
so anxious to answer.
Mr. T. P. Reid (Rainy River): Was the
Treasurer over there visiting?
Hon. Mr. White: I was personally—
Mr. R. F. Nixon: The question was asked
once of the Chairman of the Management
Board (Mr. Winkler), who must of course
have had something to do with those deci-
Hon. Mr. White: Well, we have been
over these jumps several times in the last
several years.
Mr. R. F. Nixon: We have not had an
answer from the Chairman of the Manage-
ment Board.
Hon. Mr. White: I was personally respon-
sible for relieving Mr. Rowan^Legg of his
duties in London, England, because I didn't
think he was suitable for the kind of job I
wanted done.
Mr. R. F. Nixon: And the Treasurer was
looking for a vacancy.
Hon. Mr. White: I had him removed here
to Toronto, where an efi^ort was made to
locate him, without success. When it became
apparent that we couldn't locate him within
358
ONTARIO LEGISLATURE
the ministry or in any other ministry, I ob-
tained advice from the Attorney General's
department. We were required to get outside
advice, because Mr. Rowan-Legg got himself
a law>er—
Mr. Singer: The nerve of him!
Hon. Mr. White: We paid a siun of
money, which I was told on the best advice
of the Attorney General's department and the
outside solicitor, was less than he would have
been awarded if we had taken the matter to
court. Now that is the situation. And if the
public accounts committee want to go into
those details, they are free to do so.
Mr. MacDonald: It's reminiscent of the way
Hepburn operated.
Hon. W. A. Stewart (Minister of Agricul-
ture and Food): He didn't even pay sever-
ance!
Hon. Mr. White: Now, insofar as Ward
Cornell is concerned, he had all of the attri-
butes; it had nothing to do with whether or
not he worked for me,
Hon. Mr. Davis: He went out of sacrifice,
great economic sacrifice.
Interjections by hon. members.
Hon. Mr. White: And the Leader of the
Opposition must be the only person in this
chamber who is not aware that Ward Cornell
has done a superlative job in every way.
Mr. Renwick: The Treasurer certainly got
fuelled up while he was away.
Hon. Mr. White: Everyone, including Lib-
erals, who goes to London, England, knows
this is a fact. Why he would take that job at
something less than $30,000 when he was
making $80,000 in his own business, I don't
know. I suppose it was for the same reason
that he joined the Canadian Army during the
Interjections by hon. members.
Hon. Mr. White: Now, I want to say these
kinds of cheap, personal shots are no substi-
tute for Liberal policy. No wonder the hon.
member is sitting over there.
Mr. R. F. Nixon: A supplementary: Does
the Treasurer believe that the Provincial Audi-
tor's criticism of his stance in this was a
cheap, personal shot? How is he going to
justify the criticism that came from the Pro-
vincial Auditor that the money for the sever-
ance was above and beyond the regulations?
A further supplementary: I would like to
ask the Treasurer how Mr. Rowan-Legg could
have been maintained in this high and lucra-
tive office in London, England, when he was
completely incompetent, as far as the Treas-
urer has said, and could not be placed in
government service?
Interjections by hon. members.
Mr. Speaker: Order.
Hon. Mr. White: I think Mr. Rowan-Legg
is competent in many ways. I think Mr.
Rowan-Legg is probably one of the best
diplomats that one could hire. I don't think
he's a hard-hitting salesman. I wanted to
change the nature of Ontario House from
some kind of soft, service operation to a
hard-hitting sales promotional operation-
Mr. R. F. Nixon: A service centre for
Tories.
Mr. Stokes: Why didn't the Treasurer bring
Stanley Randall back?
Hon. Mr. White: —and in my view Mr.
Rowan-Legg didn't have those particular
qualities. Now insofar as the Provincial Audi-
tor's report is concerned-
Mr. R. F. Nixon: Yes?
Hon. Mr. White: —I am a little bit sur-
prised that some eflFort wouldn't be made to
look into the file on the subject and see that
we had no recourse in the matter, based on
the advice of the Attorney General's lawyers
and an outside lawyer who was retained to
deal with Mr. Rowan-Legg's lawyer.
Interjections by hon. members.
Mr. Renwick: Table it.
Interjection by an hon. member.
Mr. Speaker: Order.
Mr. R. F. Nixon: If you will permit a
further supplementary, Mr. Speaker.
Is the Treasurer not acute enough to realize
that the criticism directed in this matter is
against him and not the incumbent of the
post? We are not talking about the present
incumbent's qualifications at all, other than it
appears that he had an ofiBce opened up for
him at the decision of his friend, the Trea-
An hon. member: Nonsense.
Hon. Mr. Stewart: No way.
MARCH 15, 1974
359
An hon. member: That's cheap.
Mr. R. F. Nixon: Cheap? The minister is
cheap. He is incompetent.
Mr. Cassidy: A supplementary, Mr.
Speaker. Is it to be—
Interjections by hon. members.
Hon. Mr. Davis: The Leader of the Op-
position should not be—
Hon. Mr. White: No wonder the NDP are
the opposition around here.
Interjections by hon. members.
Mr. MacDonald: No wonder this govern-
ment is going to cease being the government
around here.
Mr. Speaker: Order.
Interjections by hon. members.
An hon. member: We don't want any more
of that.
Mr. Lewis: Mr. Speaker, we accept the
validity of that but we reject what is being
said by the minister.
Hon. A. Grossman (Provincial Secretary
for Resources Development): Now the mem-
ber for Ottawa Centre is going to spoil it all.
Mr. Lewis: Does my colleague have a sup-
plementary?
Mr. Cassidy: Yes, I do have a supplemen-
tary. This is a wider question on government
policy, as a supplementary, Mr. Speaker.
In view of the payment to Mr. Rowan-
Legg, is it now government poHcy that in the
case of secretaries, carpenters and other work-
ing people who are fired by the government,
that they, too, will be paid a year's sdary or
more?
Mr. D. W. Ewen (Wentworth North):
Does the member recommend that? Is he
recommending that?
Mr. Cassidy: As a golden handshake?
Hon. Mr. White: I suppose if somebody
gets a lawyer in certain circumstances and
threatens to bring suit and we, in turn, get
a lawyer, and a settlement is made, I suppose,
in certain circumstances-
Mr. MacDonald: To him who hath, the
more is given!
Mr. Cassidy: It is a law for the rich and
another for the poor.
Interjections by hon. members.
Mr. Speaker: The hon. member for Scar-
borough West.
An hon. member: He must be o\erpaid
if he hires a lawyer.
An hon. member: Does the member need a
lawyer, too?
Mr. Lewis: At the risk of imperilling the
minister's new-found regard for this party,
could I ask him—
Hon. Mr. Davis: How does the member
know it is new?
Interjections by hon. members.
Mr. Lewis: —to table the material on the
Rowan-Legg situation since the point that
fascinates me, I must say, is that he would
have had sufficient grounds on which to
threaten suit to inspire an out-of-court settle-
ment? Therefore, I think we are entitled to
know what the circumstances were.
Hon. Mr. White: I really do believe, if the
member wants to pursue the matter further.
that it should be done in the public accounts
committee where there will be access to the
officials who were involved in the technical
detail, which I must say, were beyond my
comprehension.
Mr. Lewis: All right then; thats fine.
HOUSING PROGRAMMES
Mr. Lewis: A question, Mr. Speaker, of the
Minister of Housing.
As part of the housing action programme,
I noticed that Mr. Martin, the co-ordinator,
said that the Ontario Housing Corp. wiH
build 17,000 units instead of 10,000 units
over the next two years. My arithmetic tells
me that on the part of OHC that is a burst
of extravagance of 7,000 additional units over
a two-year period. Does that work out to
3,500 units a year? How, may I ask, is that
going to help? That's for the whole province.
How is that going to help even Metro To-
ronto where there are now 8,000 families on
the waiting list?
Mr. E. M. Havrot (Timiskaming): Where
does the member want to build them?
Hon. Mr. Handleman: I beheve Mr. Martin
was talking about the entire OHC programme,
not simply rent supplement units.
360
ONTARIO LEGISLATURE
Mr. Lewis: That's right. He was talking
about the whole programme.
Hon. Mr. Handleman: He also may have
been somewhat on the cx)nservative side in
his estimates.
Mr. Lewis: Oh!
Mr. MacDonald: What does the member
expect him to be?
Hon. Mr. Handleman: I have asked for
those figures. The preliminary estimate I have
is that we will well exceed that amount; but
it is also my understanding— and I'll check
into it— that that is a one-year figure, not a
two-vear figure. They were talking about
17,000 in 1974-1975.
Mr. Lewis: I would appreciate the minis-
ter's checking into it, because I suspect that
Mr. Martin's information is the authentic in-
formation.
I want to ask quite seriously how the min-
ister can possibly pretend to have any hous-
ing programmes at all, of any consequence,
when every figure that emerges puts us
further and further behind the accepted pub-
lic need? Can he consider a programme to
build 50,000 to 100,000 units a year rather
than 3,500 to 7,000?
Hon. Mr. Handleman: I know the hon.
member would like the government to build
all the units in the province. Our housing
starts total— and I am not just talking about
OHC - is well in excess of the 50,000 or
60,000 that the hon. member has mentioned.
Mr. Lewis: I am talking about OHC.
Hon. Mr. Handleman: OHC is not about
to build all the houses and all the units re-
quired in this province.
Mr. Lewis: I am not asking for all the
housing.
Hon. Mr. Handleman: We are working
with the municipalities and the private sec-
tor. I have said it before. There is a philo-
sophical difference between the hon member
and myself. We are going to depend greatly
on the private sector for delivery.
Interjections by hon members.
Mr. Deans: And the minister will fail be-
cause they have failed.
Hon. Mr. Handleman: However, we will
have our input.
Interjections by hon. members.
Mr. Cassidy: A supplementary, Mr.
Speaker.
Mr. Havrot: The best in the world.
Interjections by hon. members.
Mr. Cassidy: The minister claims credit
for the fact that housing starts in the prov-
ince are up. Is he aware that housing starts
in Metro Toronto last year were down by 10
per cent?
Interjections by hon. members.
Mr. Cassidy: In Hamilton city they were
down by 15 per cent; in London they were
down by 28 per cent; m St. Catharines they
were down by 10 per cent; and in Windsor
they were down by 36 per cent?
Mr. P. J. Yakabuski (Renfrew South): Ques-
tion.
Mr. Cassidy: Does he feel that that means
the government is meeting the housing de-
mand in the areas of greatest need?
Mr. MacDonald: Or his friends in the pri-
vate sector?
Hon. Mr. Handleman: Unlike the hon,
member I prefer to look ahead and say that
we will do the job in 1974-1975.
Interjections by hon. members.
Mr. Deans: A supplementary question.
Mr. Speaker: Order. The hon. member for
St. George.
Mr MacDonald: No wonder they change
the ministry so often over there.
Mrs. Campbell: A supplementary, Mr.
Speaker: When is the Minister of Housing
going to start to correct the situation cri-
ticized in the Ontario Economic Council re-
port? When is he going to stop talking about
building a unit? When is he going to ac-
tually attack the disease in this province and
service the land and bring it in here to this
House?
Interjections by hon. members.
Mr. Deans: Don't you dare bring the serv-
iced lands in here!
Hon. Mr. Handleman: Sometimes I won-
der, Mr. Speaker, whether the hon. member
listens to the preceding debate and the pre-
ceding questions.
Mr. R. F. Nixon: "Action" programme!
MARCH 15, 1974
361
Interjections by hon. members.
Mr. Speaker: Order.
Interjections by hon. members.
Hon. Mr. HancQeman: That's exactly what
we are attempting to do.
Mr. Speaker: Order. Order.
Mr. Deans: A supplementary question, Mr.
Speaker. If the minister is interested in pro-
viding housing, will he move into the Saltfleet
Mountain area where Ontario Housing Corp.
have adequate land to build for the needs of
80,000 people-
Mr. Lewis: That's right.
Mr. Deans: —and will he put the money
in that is necessary to enable it all to be
serviced within the next two years? And will
he put that land on the market in order that
people in the area can have housing at a cost
that they can afford?
Hon. Mr. Handleman: Mr. Speaker, I'll cer-
tainly look into that. I've been meeting and
will continue to meet with the regional
municipalities to discuss the ways and means
in which we can co-operate in bringing this
type of land onto the market as quickly as
possible.
Mr. Lewis: He is worse than his prede-
cessor.
Interjections by hon. members.
Mr. Speaker: Yes, I think we'll permit-
Mr. Lewis: He is worse than his prede-
cessor and that's not possible.
Mr. Speaker: Order. Order.
Mr. Foulds: A supplementary.
Mr. Speaker: Supplementary? One more
supplementary.
Mr. Foulds: Can the minister tell the House
if OHC has alternate plans for providing
senior citizen housing in Thunder Bay, in
view of the cancellation of the project in
Fort William because of the cosy relationship
between the chairman of OHC and the mem-
ber for Fort William (Mr. Jessiman)?
Hon. L. Bernier (Minister of Natural Re-
sources): That's not true.
Hon. Mr. Handleman: Well, I know of the
cancellation of that project. I'll look into what
alternative plans they have and reply to the
hon. member later.
Mr. Speaker: The hon. member for Wind-
sor-Walkerville. A supplementary.
Mr. B. Newman (Windsor-Walkerville): A
supplementary, Mr. Speaker: Is the minister
aware that the needs of the senior citizens in
the city of Windsor are not decreasing? Is
he aware that the needs are still for well over
1,200 units and approximately 800 family
units; and that at the rate Ontario Housing is
attempting to remedy the situation it will
never be remedied?
Hon. Mr. Handleman: Well, I don't accept
that it will never be remedied but I will
look into that one too for the hon. mem-
ber and report back to him as to the progress
we are making.
Interjection by an hon. member.
Mr. Speaker: The hon. member for Scar-
borough West.
DROPPING OF CHARGES ARISING FROM
ARTISTIC WOODWORK DISPUTE
Mr. Lewis: I'd like to ask of the Solicitor
General, if I may, would he consider recom-
mending to the Attorney General (Mr. Welch)
that all of the outstanding charges that flowed
from the Artistic Woodwork dispute be now
dropped, given the fact that only 41 or 43
convictions have been found out of over 91
charges laid, and given the incredible dif-
ferences of opinion and evidence that are
being offered between the police on the one
hand and the public on the other, often dis-
crediting the police?
Does he not think that it has come to the
point where that whole squalid episode of
police involvement, particularly since the task
force report is now before us, might well be
rescued by a sensible and intelligent submis-
sion on his part to the Attorney General to
have the charges dropped and the behaviour
of the police looked into, indeed as is implied
in the report in places?
Hon. Mr. Kerr: Mr. Speaker, as the hon.
member has imphed, these matters have been
heard now for some weeks; charges have been
laid, there have been convictions, there have
been acquittals. I really don't see how I could
recommend to the Attorney General that the
balance of those charges be dropped.
Certainly there can't be a difference in the
way we apply the laws of this province, in
the way the due process of the administra-
tion of justice is carried out.
362
ONTARIO LEGISLATURE
Interjections by hon. members.
Mr. E. W. Martel (Sudbury East): That is
something new that I just learned today.
Hon. Mr. Kerr: It is my understanding
now, particularly in the last several hearings,
that the matters are being expedited and
that there are more acquittals because of a
great deal of confusion in the evidence; but
I really don't see how I could make the
recommendation suggested by the hon. mem-
ber.
Mr. Cassidy: One-sided use of law.
Mr. Reid: Isn't it a fact that the company
did hire an undercover man, someone who
infiltrated the union and who was subse-
quently charged for causing public mischief
and with other charges as a result of activi-
ties on the picket line, and whose job seemed
to be to put the union in a bad light as well
as doing undercover work and relaying that
infonnation to the company? *
(Does the Solicitor-General not feel that
some charges should perhaps be laid against
the company in this regard, and in view of
the kind of activities this man engaged in
that perhaps the charges against the rest of
those people who were involved should be
dropped?
Hon. Mr. Kerr: It is my understanding,
Mr. Speaker, that the so-called undercover
agent-
Mr. Lewis: So-called? He was an industrial
spy.
Hon. Mr. Kerr: —acted, certainly, exceed-
ing any type of instructions that he had. As
the hon. member has said he was charged.
He was convicted of at least one offense. I
believe there were at least two charges
against him.
Mr. Stokes: Even the member for Scar-
borough Centre (Mr. Drea) can't swallow
that.
Hon. Mr. Kerr: He was dismissed by his
employer. Any licence that he had has been
cancelled.
Mr. MacDonald: After he had done his
job.
Mr. Lewis: He got paid for his work.
Hon. Mr. Kerr: Certainly if the firm was
in breach of any existing law, it should be
charged. I agree with that, but that doesn't
really—
Mr. Cassidy: That is sickening.
Mr. Speaker: Well, I think we should
alternate on the supplementaries.
Mr. MacDonald: The minister is proving
it is an uneven application of the law.
Hon. Mr. Kerr: That doesn't realK" relate
to the situation as enunciated by the hon.
member for Scarborough West.
Mr. Deans: Well, more to the point, when
is the Solicitor-General going to mo\e to
put an end to the use of these investigation
agencies in labour disputes, andi when is he
going to move to make the people who hire
them equally responsible for their actions, in
order to ensure that we don't have the kind
of things happening on picket lines that
have been occurring in the Province of On-
tario at the instigation of people who have
no direct interest in the dispute itself?
Hon. Mr. Kerr: As the hon'. member
knows, we have legislation dealing with pri-
vate police organizations and so-called se-
curity firms and we hope to look at that
legislation this year.
Mr. Cassidy: The minister is as bad as
the member for Bellwoods (Mr. Yaremko)
used to be.
Mr. Deans: Is the minister aware that this
man was employed by a stibsidiar\- of an
American company and that he was in here
disrupting an orderly picket line and causing
a lot of trouble for the people who are not
even in the dispute, and he may well have
instigated much of the damage that oc-
curred?
Mr. Lewis: Supplementary: How does the
minister say we have legislation when the
task force review which was published yes-
terday asked on an urgent basis for "a spe-
cific and comprehensive review of private
security forces" dealing precisely with this
kind oJF dispute? Does he not recognize that
the private security sector is in a shambles
and often abused, and that there are no
protections for the public if they abuse it?
Mr. Deans: And no codte of ethics.
Hon. Mr. Kerr: No. The taskforce has
said, Mr. Speaker, that our existing legisla-
tion and the regulations are inadequate and
that the whole thing should be reviewed.
Mr. Lewis: Right, so don't fall back on
that.
Hon. Mr. Kerr: And we intend to do that.
Mr. Speaker: Does the hon. member for
Scarborough West have further questions?
MARCH 15, 1974
363
NIAGARA ESCARPMENT
Mr. Lewis: I have a question of the Treas-
urer, if I may, Mr. Speaker. When did the
Treasurer proclaim the dtevelopment controls
for the Niagara Escarpment? i
Hon. Mr. White: We have in the last few
weeks proclaimed the development area but
we have not as yet registered the develop-
ment control areas within the planning area.
There is an enormous amount of technical
work.
Mr. Lewis: I phrased my question that
way because I was afraid I had missed it.
As I recall it, it was first announcedi on June
4, 1973. The Treasurer's acute embarrass"-
ment at thinking that the development con-
trols had been applied.' occurred somewhere
toward the end of 1973. It is now March
of 1974 and we still have no development
controls applying to the escarpment area.
What is it about this new legislation that was
supposed to save the escarpment that is so
difficult to apply?
Hon. Mr. White: There are controls-
Mr. Lewis: But there is still development.
Hon. Mr. White: —and there is no develop-
ment taking place. It is necessary for a
developer with a proposal to go to somebody,
and when he goes to that somebody the
answer is, "No, not at the present time"; so
there are contrds and there is no develop-
ment.
Mr. Martel: There's a freeze.
Mr. Lewis: There's a freeze.
Hon. Mr. Davis: It's the same thing.
Hon. Mr. White: The reason the regula-
tions themselves are not proclaimed is because
it takes an enormous amount of technical
detail. I can assure the member this is being
done as fast as humanly possible and I can
assure him that I did everything possible
myself to have these things in place before
this session started.
Mr. MacDonald: Well, we almost believe
the Treasurer.
Mr. Lewis: I understand his personal agi-
tation but when, oh lord, is it coming? That
was a generic term.
Hon. Mr. White: As fast as the human
beings assigned the responsibility can do it.
Mr. Speaker: Does the hon. member for
Scarborough West have further questions?
The hon. member for Kitchener.
PART-TIME REAL ESTATE AGENTS
Mr. J. R. Breithaupt (Kitchener): Mr.
Speaker, a question of the Minister of Con-
sumer and Commercial Relations with respect
to the registration of part-time real estate
agents: Can the minister advise us how many
of these part-time registrations have been
accepted and what are the terms and con-
ditions for the qualification of the people for
whom these registrations have been issued?
Hon. J. T. Clement (Minister of Consumer
and Commercial! Relations): Mr. Speaker, I
believe there have been somewhere around
15 to 18 so-called part-time real estate sales-
men registered. As the hon. member knows,
it has been the policy of the registrar, and I
stress policy for a number of years, not to
register those individuals as salesmen unless
they were inclined to be full-time except in
certain sparsely settled areas in the province.
There was no legislation either by way of
statute or regulation giving credence to this
particular policy.
Now there have been people come forward.
I think of one in particular who works one
hour a day in another occupation with a com-
munication medium here in Metro and who
wished to be registered, in fact passed the
exam, received 80 marks, and the registrar
was of the opinion that she would be part-
time.
This is really what has brought this matter
to our attention. She took the opinion, and
perhaps quite properly, that she was not
part-time in that she was working only an
hour a day, five days a week in another field
and was prepared to spend six, eight or 10
hours a day selling real estate. So it has been
interpreted by many that the registrar has
suddenly changed the policy.
The fact of the matter is that I don't think
that as a matter of policy we had the right
to preclude someone such as I have described
from coming forward and sdling real estate
as part-time. There are those who profess to
be full-time and yet spend only a few hours
a day because they are occupied in the home
as a homemaker. There are those who work
full-time six or eight months a year and
spend the balance of the year perhaps retired
in Florida and this sort of thing.
The part that bothers me, Mr. Speaker, in
the interests of the consumer, is the question
of whether the qualifications of the individual
agent are being watered down and thus the
consumer is suffering in the event that these
part-time people are permitted. I met with the
real estate association and numerous indi-
364
ONTARIO LEGISLATURE
viduals. I am genuinely concerned about it
and it might well be that we are going to
have to define, by way of regulation, what
part-time means and preclude such people
from coming into the industry.
Mr. Breithaupt: Mr. Speaker, as a supple-
mentary, I share the views of the minister
that in the public interest, qualified persons
must certainly be there. I think for any
solicitor who has been invo'lved with the
various offers to purchase and sell, there are
various problems that can arise. But will the
minister assure us that the present real estate
agents and boards within the province are
made well aware of his views on this subject,
because there appears to be some confusion
and some particular concern that the gates
are going to be widely opened to persons who
may not have the qualifications that we all
beflieve should exist.
Hon. Mr. Clement: Mr. Speaker, I agree
with the comments of the hon. member. In-
sofar as qualifications are concerned, before
one can be an agent now one must under-
go the course and receive a passing mark
of not less than 75 per cent. If the person
comes forward, takes that course and ob-
tains that mark or better as the law now
stands he or she is entitled to identify with
a broker.
I have also pointed out to the associa-
tion that, in fact, some of the brokers in
this province are encouraging these people
to do it. An agent can't sell except through
connection with a broker's office. I can only
conclude that some brokers do not regard
this as a serious matter.
However, I am still looking at it. I've
met with numerous real estate people in-
cluding the incoming president and the out-
going president of the association. As I said
earlier, perhaps by regulation we may have
to define part-tme and preclude those who
would work, as we traditionally understand,
six or eight hours a day in an industry and
then go out in the evenings and sell for
two or three hours a week. I think this is
the thing we're generally concerned about—
that the oonsumer who deals with that type
of agent may not have the benefit of dealing
with someone much more experienced and
devoted to the profession.
Mr. Speaker: The hon. member for Sud-
bury is next. The hon. member for Sudbury?
Mr. M. C. Germa (Sudbury): Not on a
supplementary, Mr. Speaker. I understand
my colleague is on a supplementary.
Mr. Speaker: I'm sorry. I didn't even say
supplementary.
Mr. Foulds: For clarification, is it, in fact,
the case that any real estate salesman has
to meet standards of the ministry, or are
they internal standards of the real estate
profession in Ontario? Secondly, can a broker
hire people without qualifications to sell for
him?
Hon. Mr. Clement: I think it was in July,
1971, when it became mandatory by way of
regulation that before a person could qualify
from that date on as a broker or an agent,
as the case may be, he or she had to under-
go a course. These courses for the salesmen
are given at community colleges throughout
the province. It's a 90-hour course spread
over three weeks. The examination is written
by the salesman and he or she must obtain
a mark of 75 per cent or better. If they do
not, then before they can qualify they must,
of course, take the course over again, unless
they appeal the mark directly to the regis-
trar.
The answer to the second portion of the
hon. member's question is no, a broker can-
not hire a real estate agent unless he's quali-
fied by virtue of this particular course. A
second extension of that is that if a person
individually owns real estate he can have
an employee sell it. If the member has a
parcel of real estate and wishes to develop
it himself, he need not be a broker and he
can have his employees act as his salesmen
for that particular parcel, of course.
Mr. Speaker: The hon. member for Sud-
bury.
FIRE HAZARDS IN SENIOR
CITIZENS' HIGHRISE BUILDINGS
Mr. Germa: Mr. Speaker, a question of the
Minister of Housing: Is the minister aware of
a relatively minor fire which occurred in
a senior citizens' highrise unit in the city
of Sudbury, which caused confusion and
fear among all residents, even in the upper
levels? Is the minister aware of the par-
ticular hazard in these senior citizens' high-
rise buildings? Would he consider putting
in a communications system in all of these
buildings in order that those people trapped
on the upper levels may be directed on the
proper action to take?
Hon. Mr. Handleman: Mr. Speaker, I am
aware of the fire. I understand it was a
relatively minor grease fire which caused
MARCH 15, 1974
365
no stnictural damage and no injury. However,
any fire, no matter how small, is going to
cause some consternation and confusion
among elderly people. I have been advised
that there is a good programme of education
going on, and has been going on for quite
some time, to inform the residents as to
how they should behave and how they should
react in case of fire. Certainly the hon.
member has made a suggestion about the
installation of a communications system. I
will look into it and see what we can do.
Mr. Speaker: The hon. member for
Downsview is next.
GOVERNMENT ACTION AGAINST
DOW CHEMICAL
Mr. Singer: Thank you, Mr. Speaker. I
have a question of the Solicitor General.
Could he bring us up to date on the latest
developments on the action the Province of
Ontario brought against Dow Chemical and
give us the latest report? Can he tell us
whether or not he agrees with comments made
by the Ministry of Natural Resources when
this matter was questioned by the Provincial
Auditor, and the ministry advised the
auditor that the ministry says it does not
now appear that this will happen in the
near future? That is, that there will be com-
pensation and that the suit will be settled
in the near future. Would the minister
care to comment on that and tell us whether
he agrees vidth the Ministry of Natural
Resources?
Hon. Mr. Kerr: Mr. Speaker, I would sug-
gest that the hon. member ask the Attorney
General.
Mr. Singer: Oh, the minister has checked
out of that, has he?
Hon. Mr. Kerr: As far as the present state
of the suit is concerned I understand, for ex-
ample, that the action has been discontinued
against the American parent company.
Mr. Singer: Yes.
Mr. Lewis: That was months ago.
Mr. R. F. Nixon: That was last year.
Mr. Lewis: That was last year's answer.
He needs a new one.
Hon. Mr. Kerr: Now proceedings are con-
tinuing.
Mr. Singer: It has been SVe years now.
Mr. R. F. Nixon: Since the minister in-
troduced it.
Mr. Lewis: Remember he took his shoe off
for the first time. The first time he has taken
his shoe off—
Hon. Mr. Kerr: Well, it's out of my hands.
As I say, the member must ask the Attorney
General. As members know, Mr. Robinette is
counsel. He's a very competent counsel.
Mr. R. F. Nixon: He doesn't mind staying
on as counsel.
Hon. Mr. Kerr: It's in his hands. It's in the
lawyer's hands. It's not in the Legislature's
hands at this time. I don't want to make any
observation as to the comment of the Minis-
ter of Natural Resources. As the hon. member
knows, there's been a decision in Ohio and
I'm sure this may affect our proceedings to
some extent.
Mr. Singer: The minister wouldn't want to
comment on that, no.
By way of a supplementary, would the
minister agree with the comment recenUy
made by my colleague from Sarnia that one
would expect finality to this matter perhaps
by the year 2000?
An hon. member: Optimist!
Hon. Mr. Kerr: I think he's pessimistic, Mr.
Speaker.
Mr. Breithaupt: Mark it down to 1998.
Mr. Speaker: The hon. member for Went-
worth.
Mr. Deans: Thank you, Mr. Speaker. By
the way, this is the Solicitor General's year
to swim in Hamilton Bay. Don't forget.
Hon. Mr. Kerr: No, it is next year. Don't
risk it, please!
Mr. Breithaupt: He vdll be able to walk
across it by then.
WARRANTY ON NEW HOMES
Mr. Deaiis: Mr. Speaker, I have a question
of the Minister of Consumer and Commercial
Relations. What has become of his warranty
on new houses?
Hon. Mr. Clement: Mr. Speaker, I have no
warranty oil new housing.
Mr. Lewis: He has nothing on housing.
366
ONTARIO LEGISLATURE
Hon. Mr. Clement: The question of a war-
ranty on residential housing has been a mat-
ter of great interest and discussion for some
time. I received an invitation this past week
to attend in Ottawa, at the request of Mr.
Basford, along with other consumer minis-
ters, a discussion on the question of housing
warranties. Presumably he is interested in
some type of federal legislation to apply right
across Canada.
Mr. Deans: No, please don't. We are sick
and tired of that. Don't get sucked into that.
Hon. Mr. Clement: Oh, no. I won't get
sucked into that. I want to find out what Mr.
Basford intends to do. Certain propositions
put before him by private groups have been
refused-
Mr. Renwick: The minister has the juris-
diction.
Hon. Mr. Clement: It may well be that this
province is going to embark on warranty leg-
islation relating to housing later on this year.
Mr. Lewis: Where housing is concerned,
everything is expendable.
Hon. Mr. Clement: But at the present time
I want to see what Mr. Basford's position
is at that meeting in Ottawa which, I believe,
will be two weeks from now.
Mr. Renwick: The minister doesn't have to
see Mr. Basford's position.
Mr. Deans: A supplementary question:
Does the province have a position on war-
ranties on new housing? Is the minister go-
ing to go ahead with or without federal
participation?
Mr. Cassidy: Yes, why not?
Hon. Mr. Clement: Mr. Speaker, I think it
is such an important subject that if it isn't—
Mr. Martel: If it is so important why
doesn't the minister move on it?
Hon. Mr. Clement: Can I not give the
answer? Do you fellows not want to hear the
answer?
Mr. Renwick: We are sick and tired of that
answer.
Interjections by hon. members.
Mr. Speaker: Order.
Hon. Mr. Clement: I think this province
is going to have to initiate housing warran-
ties if the feds don't.
Interjections by hon. members.
Mr. Renwick: Because the minister can't do
it with words, he has to act.
Mr. Speaker: Order.
Hon. Mr. Qement: I think we have to. It's
a matter of great concern. I tell the mem-
bers it's a matter of great concern and they
hoot and howl. I don't know whether they've
got worms or what it is.
Interjections by hon. members.
Mr. Speaker: The hon. Chairman of Man-
agement Board has the answer to a question
previously asked.
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): Thank you, Mr.
Speaker. I was asked a couple of questions
some days ago, one of which the leader of
the Liberal Party referred to and the answer
to which I had prepared this morning. How-
ever I wouldn't have missed that exchange
for the world and I suppose we've dealt with
it now.
Mr. R. F. Nixon: Well, the Treasurer felt
he wanted to defend the indefensible.
Hon. Mr. Winkler: I would have also sub-
stantiated the support for Mr. Ward Cornell,
maybe even in broader terms.
However, this question-
Mr. R. F. Nixon: Probably more effectively.
Hon. Mr. Winkler: Pardon me?
Mr. R. F. Nixon: Probably more efiFectively.
Hon. Mr Winkler: I'm not too sure about
that, but I wouldn't have missed the ex-
change in any event.
PUBLIC SERVICE ACT CONFLICT
Hon. Mr. Winkler: I was asked a question
by the member for Kitchener, in regard to
Mr. Douglas Wright, and the answer to that
question is that section 33 of the Act referred
to was amended effective Sept. 21, 1973,
"and expanded to cover conflict of interest."
But the new terms of the section would still
not apply to this particular situation. As the
work was carried out in this particular case
all within the government service, provisions
of section 33 did not apply.
There was another question, Mr. Speaker,
from the hon. member for Scarborough West.
MARCH 15, 1974
367
Mr. R. F. Nixon: Could I have a supple-
mentary to that answer?
Hon. Mr. Winkler: Yes.
Mr. R. F. Nixon: How is it that the Chair-
man of the Management Board could allow
the payments to the post-secondary commit-
tee to get so seriously out of hand to the
point where probably one of the most se-
rious criticisms from the auditor was directed
in that way? Does the Chairman of the Man-
agement Board remember this matter coming
before the Management Board, or was it just
handled by people at another level as rou-
tine approval for expenditure far exceeding
that which was envisaged when the commit-
tee was set up?
Hon. Mr. Winkler: Certainly not, Mr.
Speaker. The matter is referred to Manage-
ment Board by the ministry concerned and
considered accordingly in regard to the re-
sponsibilities assigned.
Mr. R. F. Nixon: So the Chairman of the
Management Board takes responsibility for
the tremendous cost of that committee and
the allocation of those funds?
Hon. Mr. Winkler: I will accept respon-
sibility for the decision in regard to Dr.
Wright; yes.
There was another question from the hon.
member for Scarborough West in regard to
a name; I think I have the question which—
Mr. Lewis: 1 think that was answered by
the press.
Hon. Mr. Winkler: It was answered by the
Star the next day— but the answer, of course,
was David Black.
Hon. Mr. Kerr: One of the NDP sup-
porters?
Mr. Lewis: I don't think so. We cancelled
his membership.
He made so much money he joined an-
other party.
Mr. Speaker: I direct that the time has
now expired for oral questions. In fact it
has been exceeded.
Petitions.
Presenting reports.
Hon. Mr. Grossman: Mr. Speaker, as hon.
members will recall, in June, 1972, this gov-
ernment appointed Dr. Osmond M. Solandt,
former chairman of the Science Council of
Canada, to inquire under the terms of the
Public Inquiries Act into the routing of On-
tario Hydro's proposed 500-kv transmission
line between the two generating stations of
Nanticoke, on Lake Erie south of Hamilton,
and Pickering, on Lake Ontario east of To-
ronto. This major new line will not only
connect these two generating stations, but
also serve to connect with other parts of
Ontario Hydro's 500-kv grid system, and with
existing and future lower voltage distribution
lines.
Commissioner Solandt held an initial set
of public hearings in August and September,
1972, into routes then proposed by Ontario
Hydro for this Nanticoke to Pickering line.
During these hearings, individual citizens,
municipahties, associations and other groups
made submissions to the commission.
On Oct. 31, 1972, commissioner Solandt
submitted an interim report in which he
stated, and I quote:
The main conclusion that I have reached
as a result of the evidence presented to
the commission is that while Ontario Hy-
dro has demonstrated that the preferred
route which they have selected is not a
completely unsatisfactory route for the
proposed line, they did not produce ade-
quate evidence to support the view that
it is the best available route. Hydro's al-
ready extensive studies must be supple-
mented by a much more widespread and
systematic study of the entire area before
it can be concluded that Hydro's preferred
route is the best available route, or that
some other route is preferable.
This recommendation, Mr. Speaker, was ac-
cepted by the government, and the Solandt
commission retained the Toronto firm of
BHI Ltd., environmental consultants, to
undertake the reconmiended study to deter-
mine the preferred route for the transmis-
sion line. The consultants were requested to
involve the public in their work from the
outset.
The report of this study, with a recom-
mendation as to the location for the 500-kv
transmission line, was submitted to the
Solandt commission on Sept. 1, 1973.
In their report, the consultants recom-
mended that the 500-kv line should foUow,
wherever possible, the so-called Parkway Belt
West.
Following circulation of this report, the
Solandt commission held a further series of
public hearings in October, November and
December, 1973, in order that interested
parties would have an opportunity to speak
to those recommendations.
368
ONTARIO LEGISLATURE
After consideration of the evidence pre-
sented at these public hearings, commis-
sioner Solandt has dehvered to me his report
on this public inquiry, which I now table. In
it, he has put forward for consideration by
the public and by this government his recom-
mendation as to the preferred location for
the 500-kv transmission line between Nanti-
coke and Pickering.
The inquiry by the commission, Mr.
Speaker, introduced an innovative approach
to public participation in seeking commentary
on a major project which will have significant
environmental impact on those communities
through which the 500-kv corridor will tra-
verse.
I would like at this time, sir, to express
publid\- the government's thanks and my
personal thanks to commissioner Solandt and
his staff for their tremendous enthusiasm,
dedication and the hard work which went
into this report.
In my view, sir, it will long stand as a
landmark experiment in public participation
in matters which are not only extremely com-
plex but also of all-pervading public con-
cern. Copies of the commission report are
being delivered to, or will shortly be delivered
to the hon. members, and it will also be
available through the Ontario government
bookstore.
Mr. M. Gaunt (Huron-Bruce): Mr.
Speaker, on a matter of dlarification may I
ask the minister a question? Would the min-
ister clarify for me whether or not the align-
ment proposed by the Solandt report accords
with the alignment proposed by Ontario
Hydro?
Hon. Mr. Grossman: I would say the
answer to that is no. But the hon. member
can judge for himself in just a few minutes
when he sees the map which is attached to
the report.
Mr. A. W. Downer ( Dufferin-Simcoe ) : Mr.
Speaker, we have a very distinguished visitor
in the House this morning, a man who has
served here as a member, and as a member
of the cabinet, and rendered great service to
this province and to this country. I refer to
Mr. John Foote, VC.
Mr. Speaker: Motions.
Mr. Winkler moves that when the House
adjourns today, it stands adjourned untU
Mondav, March 25.
Motion agreed to.
Mr. Speaker: Introduction of bills.
RIGHTS OF LABOUR ACT
Mr. Drea moves first reading of bill in-
tituled. An Act respecting the Rights of
Labour.
Motion agreed to; first reading of the biU.
Mr. F. Drea (Scarborough Centre): Mr.
Speaker, the purpose of the bill is to estab-
lish a set of safeguards to protect individual
members of trade unions in a number of
situations :
Part two deals with the right to know the
financial dealings of union officers with union
funds and with employers with whom there
is a relationship.
Part three deals with insider reporting, the
intention of which is basically to take the
labour racketeer out of the sphere of the
Attorney General's ministry and put him in
the sphere of the Ministry of Labour and to
take the company spy, about wliom so much
was heard today, out of the sphere of the
Attorney General and put him as well within
the sphere of the Minister of Labour, along
with fines of up to $25,000.
SAFETY COMMITTEES ACT
Mr. Haggerty moves first reading of bill
intituled. An Act to provide for the Estab-
lishment of Safety Committees.
Motion agreed to; first reading of the bill.
Mr. Haggerty: Mr. Speaker, the purpose
of the bill is hopefully to reduce the nrnnber
of accidents in industry and to allow em-
ployers and employees to share in the input
on safety matters throughout industry in
Ontario.
GOOD SAMARITAN ACT
Mr. Haggerty moves first reading of bill
intituled An Act to relieve Persons from
liability in respect of Voluntary Emergency
Medical and First Aid Services.
Motion agreed' to; first reading of the bill.
Mr. Haggerty: Mr. Speaker, the purpose
of the bill is to relieve persons from liability
in respect of voluntary emergency first aid
assistance or medical services rendered at or
near the scene of an accident or other sud-
den emergency.
LEGISLATIVE PAGES
Mr. Speaker: Before the orders of the day
I should like to point out to the hon. mem-
MARCH 15, 1974
369
bers that the present group of pages are
serving their last day with us today. They
have done a very good job for us. As is
customary, I should like to read the names
of the individual pages into the record. I
might say that we do send each page a copy
of Hansard later on with the names appear-
ing there.
They are Tony Ali, Clarkson; Stephen
Armitage, Toronto; Ron Bambrick, Orono;
Richard Bennett, Toronto; Lisa Charters,
Oakville; Emily Cole, Peterborough; Allen,
Goss, Nestleton; Tom Harrington, Toronto;
Richy Haus, Weston; Krissy Howe, Oak-
ville; Bruce Manors, Oakville; Martha Milne,
Kincardine; Ian Mitchell, Weston; Marcia
Morris, Islington; Scott Perldn, Mississauga;
Denise Ryan, Toronto; Susan Skolnik, Wil-
lowdale; Michael Walkington, Scarborough;
Charles Williams, Brampton, and Cathryn
Willson, Dutton.
Orders of the day.
MUNICIPAL ACT
Hon. Mr. Irvine, in the absence of Hon.
Mr. White, moves second reading of Bill 8,
An Act to amend the Municipal Act.
Mr. M. Cassidy (Ottawa Centre): Mr.
Speaker, on a point of order, before the
member of the Liberal Party begins, could
the minister say a few words about the gen-
eral federal-provincial agreement and what
other projects we can expect shortly arising
out of it, in addition to the one which is
specifically facilitated by this bill?
Mr. Speaker: I think perhaps if the hon.
minister wishes to make those comments be-
fore he comments finally after all members
have spoken, it would be acceptable.
Hon. D. R. Irvine (Minister without Port-
folio): Mr. Speaker, I gave a general outline
when I introduced the bill. I think it would
be more in order if I heard from the official
opposition party first. Then I can answer the
spokesman for the NDP in dtie course.
Mr. J. R. Breithaupt (Kitchener): Mr.
Speaker, the comments I would make on this
bill follow generally the views that the mem-
ber for Ottawa Centre has just raised. We
have seen in the Throne Speech the an-
nouncement with respect particularly to the
decision by this government to enter into
this form of agreement with the federal De-
partment of Regional Economic Expansion.
Certainly it's pleasing to all of us to see that
the city of Cornwall has received the amount
of S14 million as the first beneficiary of this
particular kind of developmental programme
entered into with the federal government.
When one can see the future of a city
hke Cornwall with the development of an
industrial park, the civic centre and' also
some tourist and recreational areas, then I
think it is apparent that in an area such as
Cornwall that has had some serious unem-
ployment and job opportunity problems in
the last few years this programme is most
welcome and I believe most worthwhile. I
too am interested, of course, in the future
development of this land of a programme
because there are a number of other com-
munities, notably in northemi Ontario, that
can, and I hope will, benefit from the ex-
perience of the Cornwall project.
The minister announced in bringing for-
ward this bill for first reading that this item
will allow the general legislation to be
changed so that future agreements can be
entered into by the provincial government,
presumably whenever certain projects are
thought to be worthwhile. I would appre-
ciate hearing from the minister jiist what the
p;eneral terms and conditions are going to
be that will allow municipalities to consider
whether or not they too would be able to
enter into these kinds of developmental proj-
ects.
In addition, I would appreciate hearing
from the minister, if he is able to tell us
this, what other municipalities particularly are
developing plans, or at least preliminary
stages, hopefully to take advantage of this
kind of project. Is there a fixed amount of
money that is available to us or wil'l each
project be looked upon on its own merits and
funds made available on whatever basis it
may be from the federal government?
Then, finally, can the minister tell us the
length of the term that these programmes are
expected to be available, so that municipalities
will be able to know how and when they
will be able to take advantage of this kind of
a project?
Mr. Speaker: The hon. member for Ottawa
Centre.
Mr. Cassidy: I have a number of questions
about this as well, Mr. Speaker. I think the
comments that are made in the material that
was released at the time of the signing of
the Cornwall agreement are really rather an
indictment of what has been happening in
regional development in the province over the
last seven or eight years, let's say, since the
introduction of the Design for Development
pdlicy back in 1966.
Here's what the federal and provincial gov-
ernments agreed to say about eastern Ontario
370
ONTARIO LEGISLATURE
and about northern Ontario when the agree-
ment was signed last month in Cornwall. They
mention the fact that Ontario is among the
most prosperous of the 10 provinces and on
an overall basis. But then they say in fact:
The rate of development of northern On-
tario and a significant portion of eastern
Ontario has not kept pace with that in the
province as a whole or in Canada generally.
Unemployment rates and per capita income
levels in these areas compare unfavourably
with the corresponding provincial and
national averages.
They refer to the relatively narrow range of
economic activities in the north, consisting
mainly of exploitation and export of mineral
and forest products. They talk about the
relative lack of processing facihties in service
operations which acted as a serious constraint
on the number of income and employment
opportunities— that's in the north.
They talk about the serious lack of public
services— this is in the north. They talk about
the overall consequences of that, reflected in
such indicators as a rate of population growth
approximately one-quarter of the provincial
figure, a below-average rate of labour force
participation, particularly on the part of
females, ond a relatively high rate of unem-
ployment. Then, turning to eastern Ontario,
the federal-provincial economists and evalu-
ators who had participated in deciding on
the outlines of this general agreement said:
The imdeilying cause of the region's
comparatively unfavourable unemployment
and per capita income records is a decline
in labour requirements of the traditionally
important agricultural and forest industries,
together with a relative lack of growth in
manufacturing job opportunities.
While new industries have been attracted to
the area of eastern Ontario, they have served
largely "to counterbalance the disappearance
or decline of dlder manufacturing establish-
ments in the wood-using and textile fields."
Ottawa had mitigated the region's unim-
pressive economic performance because of the
federal government growth in Ottawa, but
Ottawa's economic influence had been rela-
tively localized and had been insufiicient to
dominate the regional totals. Tourism in
eastern Ontario has not yet developed to the
point where it is generating substantial in-
come and employment opportunities outside
the major centres. Within some parts of
eastern Ontario there is an overdependence
on a narrow range of economic activities. This
lack of a diversified economic structure has
frequently meant instability and unemploy-
ment.
You know, this isn't an NDP speech, Mr.
Speaker, although it certainly may sound like
one. This is an ofiBcial document which in
fact was obviously released with the approval
of the Treasurer (Mr. White) and Mr.
Andras, and of the other people— political
people and bureaucrats— who were involved
in the drawing up of this general agreement.
As I am sure the Minister without Portfolio
expected, we don't intend to oppose the
specific requirements of this specific bill here,
but I think that he and you, Mr. Speaker, will
accept that this is one opportunity, and maybe
the only opportunity that we have in the
Legislature to discuss not only the specific
question of whether municipalities should be
permitted to sign agreements relative to this
new federal-provincial programme, but also
relative to the government's failure and suc-
cesses in the regional developments which
municipalities are now being allowed to take
a part in.
I would like to remind the minister that
long before he or I came into the Legislature
the government launched its Design for De-
velopment programme. In fact it was back
in 1966 that the then Premier, Mr. Robarts,
called for good regional planning and made
a number of statements about the way in
which the regional planning process would
work in order to encourage me less favoured
regions of the province, and that, as you
know, Mr. Speaker, is mainly the eastern and
northern parts of the province.
Mr. Robarts talked about the need for
planning and co-ordinating the timing and
impacts of large and expanding investment
expenditures, public investments. He talked
about a central authority which could cut
across both departmental lines and county
and municipal boundaries in meeting and
solving regional problems.
He has said that regional development
policies would be instrumental aspects of a
broader provincial growtii policy. He has
said that appropriate regional development
required comprehensive planning. He spoke
of the need for regional land use planning.
He spoke about the planning, referring not
only to land use but also to the social and
economic potential of the region and its cen-
tres and an approach that would concentrate
on developing these centres in the interests
of the region as a whole. He spoke of the
need for the regions of Ontario to develop
their xx)tential for speciahzation.
MARCH 15, 1974
371
Mr. Robarts said that the smoothing out
of conspicuous regional economic inequah-
ties would be sought through the regional
distribution of government budgetary expen-
ditures, through the provision of technical,
financial and administrative services, and
through programmes selected to encourage
labour mobility, tourism, agriculture, re-
source development, manufacturing and other
forms of economic activity.
He spoke of the need of an effective two-
way system of communication, and he spoke
of the need for new redevelopment struc-
tures, but ones that would not disturb the
existing power and authority of municipal
and county councils within the regions.
That was back in 1966, Mr. Speaker, and
more words have been spawned and spoken
by the government about its Design for De-
velopment programme in the intervening
years. If you look to the points that I have
enumerated out of that original statement
though, the tragic and overwhelming con-
clusion you come to is that in fact virtually
none of those things have been done, or if
they are being done it is only in the very
recent past.
We have the business about the creation
and then disbandment of regional develop-
ment councils over that period of time. We
don't have an effective two-way system of
communication. In most of the less-favoured
regions— in fact I think in all of them, apart
from maybe the past year in northwestern
Ontario— there has been no attempt at pro-
gramming government expenditures in line
with regional development priorities. There
is no broad provincial growth policy eight
years after Mr. Robarts said his government
was going to have it. We don't have regional
land use plaiming at this time. We have some
abortive attempts. There are people over in
the Frost block— is it the Whitney block?—
who are working in that direction, but right
now we don't have any land use planning
on either a provincial or on a regional basis.
There has been no planning of major gov-
ernment expenditures, which is why we have
abortions such as the Arnprior dam which
won't create a single new job, and yet it's
the largest single government expenditure in
eastern Ontario in the life of this Parliament.
It's why we have projects such as Maple
Mountain, a ski resort in an area where for
30 or 40 days out of every ski season, as I
understand it, the climate is simply unfavour-
able and is such as to discourage completely
anybody from skiing. We have Old Fort
William, an historical recreation of an old-
time fur traders' fort, a tourist attraction
which was built eight miles inland from
where the fort used to lie. And that's it, Mr.
Speaker; that's it.
That is the kind of development that we
are getting. There is not effective regional
planning yet. I accept and understand that
there are certain difficulties in all of this.
I do not accept and I do not understand the
kinds of delays that have taken place. The
reason for those delays very simply, Mr.
Speaker, is that there has not been a real
commitment on the part of the government.
It conjured with words, just as it conjures
with words over the housing problem. It con-
jures with words over Artistic Woodwork.
It conjures with words over the need for
decent labour relations legislation. It con-
jures with words over the problems of
teachers' negotiations and so on and on and
on.
There is no commitment as far as regional
development is concerned. That is how we
come to this position where almost eight years^
to the day after Mr. Robarts first announced
the Design for Development programme, we
have an implementation of regional develop-
ment policy in eastern Ontario specifically,^
but one which comes as a result of an initi-
ative taken not by this government but by
the federal government under the Depart-
ment of Regional Economic Expansion.
It so happens that the amount of money^
involved is pitiful, $14 million for one par-
ticular community which has had more than
its share of problems; $14 million after eight
years. This is what is finally cranked out of
the government's regional development plans
or proposals for eastern Ontario, and that's it.
Mr. Lamoureaux, the Minister of Labour
(Mr. Guindon), and the other members from
the St. Lawrence front have been aware of
the problems at Cornwall. They were there
when the now Minister without Portfolio (Mr.
Irvine) responsible for municipal affairs was-
the mayor of the neighbouring municipality
of Prescott. The member for Stormont (Mr.
Guindon) has been a member and, in fact, a
minister for most of the past eight years. Cer-
tainly my party and other parties have been'
weeping over the situation of Cornwall. There
are unemployment rates of 10, 11, 13 and 15-
per cent, of a very high rate of people on
welfare and problem after problem in a region
and in an area and in a city which, frankly,
should not have suffered and need not have
suffered the way it was, given adequate pro-
vincial support and adequate regional plan-
ning.
372
ONTARIO LEGISLATURE
Here you have a community which for 10
years has been suffering exceptionally low
growth and exceptionally high unemploy-
ment, which according to the analysis which
is made available has not even been able to
provide jobs for its own people. It's had a
high rate of migration of its own people and
certainly hasn't been able to provide jobs for
the changing rural sector: It is the same in
Glengarry county where the milk industry has
declined by half over the last 10 years. The
number of dairy farmers has gone down by
half over that period of time.
All that has been happening in that com-
munity, and yet it's on the major rail link
between Toronto and Montreal. It's within a
day's truck transport distance of the largest
single market in Canada. A market, I be-
lieve, of probably about 10 million people is
available within a day's truck journey of
Cornwall. It probably has a larger market
within a day's round trip by truck than any
other city in the country, because of its posi-
tion part way between Toronto and Montreal.
It is in a similar position, therefore, with
Brockville, Kingston and Bellevillte— cities that
have not suffered the same problems as Corn-
wall.
For that matter, it is also within a day's
truck transport distance of New York City
and the entire eastern seaboard of the United
States. It is, therefore, at the core of a mar-
ket of not just 10 million in Canada, but of
an additional 50 million or 60 million people
in the United States. It has rail; it has High-
way 401; it's within an hour and 20 minutes'
drive of Ottawa International Airport and
within an hour's drive of the Dorval interna-
tional airport with air freight services which
are the best in Canada, and it's on the major
water transportation route for this country, the
St. Lawrence Seaway.
With all of these advantages, this govern-
ment has not been able to do anything for
eight years until eventually the federal gov-
ernment comes along with the proposals for
the joint programme which we're being asked
to permit Cornwall to get involved in.
One just sort of says, "Well, what gives?"
What on earth is it that has made the reg-
ional policy development of the government
so laggard that nothing can be done as far
as that particular area is concerned?
One also has to say that this is fine as a
one-shot effort. I have to assume that the par-
ticular projects which are being underwritten
under this DREE agreement— or infrastruc-
ture for the community centre, the civic cen-
tre and arena, the large industrial park and
the tourist facilities— have been well thought
through in terms of Cornwall's particular
needs. I don't profess to be an expert on those
particular things.
I think it's fair to ask the ministers that
since a substantial portion of the investment
is going into a single industry site— I think
that's the phrase; in other words, preparing
the site for one very large industry— then
what kinds of industry are in mind for that
particular site, or is there a particular in-
dustry which is waiting in the wings until
Cornwall signs this particular agreement,
and which will then come forward with a
major investment for that particular area?
I might remind you, Mr. Speaker, that
some time last year during the debate on
Stelco's going into Haldimand-NorfoUc and
all the disruption that that was going to
create in that area— an area which essentially
did not need growth the way it is needed
in eastern Ontario— members of this party
offered a suggestion to the minister to locate
the Stelco mill right in Grenville county, an
area which has also suffered from declining
employment. In fact, we offered it within
sight of the minister's home overlooking
the St. Lawrence River in Prescott, and he
refused. That should go on the record— that
the minister refused a steel mill right there
on his doorstep in Grenville county. He
wouldn't go to bat for his people, let alone
the people in Cornwall or anywhere else.
You know, it seems a bit perverse that
the government goes along with a develop-
ment dovm in Haldimand-Norfolk of, I've
forgotten, $400 million or $500 million
worth of investment in an area which may
need a few jobs, but which essentially could
be easily integrated into the Toronto-Ham-
ilton-St. Catharines industrial complex with-
out a need for major investment, yet at the
same time it is preparing a large industrial
site at Cornwall which I presume, among
other things, could have accepted the steel
mill which is instead going where it is less
needed.
Maybe the minister can talk about that.
But why on earth wouldn't this goverimient
have gone to Stelco and said, "Look, we
really do care about Cornwall. If you want
to have this kind of investment and the
kind of spinoffs that come from it, why
don't you bring your steel mill to Cornwall
and we'll help you? Here's a site. It's all
ready. We'll have it ready for you in six
months. And we'll even talk to the opposition
and get their co-operation in getting the bill
passed." But no, this government doesn't
believe in that.
MARCH 15, 1974
373
That raises, of course, a very fundamental
question about the growth poHcy or growth
strateg}' of the government. I've said that
there is none. If there is any to speak of, it
is a use of carrots and only of carrots. In
other words, the government will use certain
types of incentives from time to time in
•order to try to encourage the location of
industries in areas where it feels that they
ought to go. Those incentives are relatively
limited; in fact, I have some figures that
suggest to me that the incentives are, if any-
thing, a bit perverse in their application,
because they seem to be giving more to
those who already have than to those who
have not. These are figures for 1973 per-
formance loans made by the Ontario De-
velopment Corp. and the Northern Ontario
Development Corp.
I recognize there are other programmes
of the ODC but, nevertheless, this is how
the government seeks to help smaller en-
trepreneurs to locate, presumably in areas
that have some need for this kind of
growth:
In 1972-1973, Brantford got $580,000
worth of these performance loans, Bowman-
ville got $230,000, Cobourg got $280,000,
Trenton got $700,000 and Belleville got
$540,000 worth of these particular loans.
But then we come to Cornwall, which of all
the communities that I mentioned, I think
•ever>one would acknowledge is the com-
munity that was most in need of new jobs
and of new industries. Maybe it could have
used a few entrepreneurs of its own. Poor
old Cornwall got two loans worth only
$71,000, which is a third of what Bovraian-
ville got, a fourth of what Cobourg got and
as little as a tenth of what was given to
Trenton, a community which is already
doing—
Hon. F. Cuindon (Minister of Labour):
Cornwall got $7.2 million from this govern-
ment two weeks ago.
Mr. Cassidy: Two weeks ago? All right.
The hon. minister is finally getting through
to them, but it has taken an awful long time.
Mr. J. F. Foulds (Port Arthur): He thought
his seat was in danger.
Mr. Cassidy: That's right. And other things
are happening in ComwaU. I recognize and
acknowledge that. There's $14 million— oh
wait, is the $7 million the provincial share
on this programme?
Hon. Mr. Guindon: Exactly.
Mr. Cassidy: Wait a minute. That's double
counting. I've already given credit to the
member for Grenville-Dundas (Mr. Irvine),
and to the government for doing it. This
minister can't claim it too.
Hon. D. R. Timbrell (Minister without
Portfolio): If the hon. member can repeat
himself why can't the hon. minister?
Mr. Cassidy: Okay, they got $7 million
two weeks ago. But what was the govern-
ment doing for Cornwall in 1973, 1972, 1971,
1970, 1969, 1968, 1967 and 1966, when
the Design for Development programme was
announced initially? What kind of record is
it for the government that during these
times, when we have had basically high
employment in the province, a prosperous
province, pretty high rates of growth and
so forth, that the rate of unemployment in
Cornwall has consistently been around nine
and 10 per cent and, from time to time, has
'^one as high as 13 and 14 per cent? Where
has the Minister of Labour been all of that
time?
Hon. Mr. Guindon: Well, he was on the
job. It is now down to seven per cent.
Mr. Cassidy: Yes, now. But it has taken
nil of that time, Mr. Speaker, for that to
happen.
Mr. Foulds: In one of his previous in-
carnations he was busy with Old Fort Wil-
liam.
Mr. Cassidy: Mr. Speaker, the particular
programmes mentioned in^ the general de-
velopment agreement that is being made
with the province, include this Cornwall area
agreement, which I might point out is not
$7 million outright. I would point out to
this minister and to the Minister of Labour
that, in fact, the Cornwall agreement calls
for the expenditure of only $4 million in
1974-1975, of which $2 million will come
from the provincial government. This isn't
a wild amount of money. When the Minister
of Labour goes back to his people in the
1975 campaign— supposing there's a spring
campaign in 1975-by that time the provin-
cial government, over the life of this Par-
liament, will have spent the grand total of
$2 million in encouraging development in
Cornwall. It's all going to be jam tomorrow.
Hon. Mr. Guindon: Plus the fact that we
will have a very heavy industry settling dovm
by that time.
Mr. Cassidy: They will have an announce-
ment of a very heavy industry. This is a
government that lives by announcements.
I'm pleased that a heavy industry is going
374
ONTARIO LEGISLATURE
into Cornwall if that will mean jobs and
economic development for an area that needs
it. I'm pleased, naturally, by anything like
this that helps a city in eastern Ontario or
the region as a whole. The major investment,
$8 million, however, under this particular
programme won't be until 1975-1976.
Mr. Foulds: Man does not live by an-
nouncements alone.
Mr. Cassidy: That's right. And then there
is a further $2 million in 1976-1977. Since
the Minister of Labour mentions it, we
should look at the fact that the single indus-
try site in the westend of Cornwall, which
obviously is the location for the heavy in-
dustry that he is talking about, and which
is attracting $3.4 million of federal-provin-
cial investment, will have only $900,000 of
federal-provincial investment in 1974-1975.
To be more specific; of $2.4 million to be
spent on the trunk services, the sanitary
sewers, water mains, and' so on to service
that site, only one^third of that amount will
be spent in 1974-1975. An additional $1.1
million will be in 1975-1976, and then, fi-
nally, $400,000 in 1976-1977.
The pattern of that expenditure, Mr.
Speaker, suggests to me that the heavy in-
dustry site in the westend of Cornwall will
not be ready for the new industry to go into
production until, at the very earhest, the
beginning of 1976. While there may be
construction jobs in the area prior to that,
there will not be full-time permanent em-
ployment created in Cornwall until well
after the 1975 election, whenever that elec-
tion is to be held.
I am open to correction on these points,
and I hope that the hon. member for Stor-
mont gets involved in the debate as well as
the hon. member for Grenville-Dundas. But
nevertheless, it is a matter of jam tomorrow.
By the time that heavy industry opens up at
Cornwall it will have been a full 10 years,
Mr. Speaker, from the time that the original
announcement was made about what the
government is going to do.
As far as eastern Ontario is concerned,
there is no other indication in the federal-
provincial agreement that the government
has a programme or a plan for aiding other
areas. I would ask, specifically, what about
Pembroke? What about Smiths Falls or
Perth or Smiths Falls-Perth taken together,
two other locations in eastern Ontario where
it would seem to me to make sense to be
encouraging ind'ustrial development away
from the immediate economic orbit of the
city of Ottawa?
The same questions present themselves
when one looks at what has been announc-
ed about the general development agree-
ment as far as it affects northern Ontario.
It is very vague, and what is said here
d^oesn't give me much confidence that eco-
nomic development in and around the cities
of northern Ontario is at all involved ra
what the government is talking about. It
seems to me that the announcements we
have had recently about economic develop-
ment in the northwest of the province have
come about, not as a result of government
policies, but have come about simply be-
cause of the changing economic circum-
stances of the pulp and paper industry which
have made investments in those areas now
more favourable than, say, when the Design
for Development for northwestern Ontario
was prepared.
iThe forest-based industry problem in
northern Ontario, whether it is northwest
or northeast, will only be resolved when
the government takes over the cutting opera-
tions on Crown-owned land, and when it
then contracts to ensure that there is an
adequate supply of wood fibre and of woodi
for the various uses, whether it be lumber
mills or pulp or paper or further production
and processing, rather than leaving this in
individual hands. The hon. member for
Thunder Bay (Mr. Stokes) has told me that
there are stands of timber which are rotting
in northern Ontario because they happen to
be on limits controlled by companies that
don't happen to have a need for them, while,
on the other hand, there are industrial in-
vestments that are simply not going forward
in his region because of the fact that the
entrepreneurs can't get a sufficient wood
fibre guarantee. There is not that kind of
commitment in the general development
agreement that has been made with the
federal gfovemment, obviously, because the
provincial government Tories and the federal
government Liberals are constantly hung up
bv the fact that they are so wedded to the
private sector that they will not act for the
benefit of the people of northern Ontario or
of the rest of the province.
Then, Mr. Speaker, when you look in more
detail at the rest of the programme, there
are some useful comments about single in-
dustry towns, but the other material— indus-
trial incentives, the air strips programme, the
roads programme, and the rural development
programme— all exist right now. The pattern
being followed is simply the old government
game; if it wants to announce something
new it brings everything else in as well in
order to pump up the package and make it
look better than it was before.
MARCH 15, 1974
375
The final reference is to something new
which is special project initiatives, again
very vaguely couched. The only thing I can
really see it applying to is the Maple Moun-
tain campaign and Maple Mountain pro-
posals vi'hich have been made by the Min-
ister of Indtistry and Tourism (Mr. Bennett).
Mr. Speaker, it seems to us, in this party,
.the government cannot only work with in-
centives in ensuring grovdJi in the less fav-
oured regions of the province. This is the
fundamental mistake being made by the gov-
ernment because of the fact it is wedded so
completely to the private sector. If one gives
.a guy a few bucks, he won't move. Give him
-a lot of bucks and he's got a ripoff and that's
essentially the position of the government as
it stands right now.
When incentives are given to industry
they should be accompanied by part-'owner-
ship on the part of the public in the project
actually being built. We should get value
for money in' that way and we should have
public-private partnerships. In addition, Mr.
Speaker, the development p>olicy for the less
favoured regions has got to be part of an
overall provincial grov^dh plan, and) that
doesn't exist right now.
A growth plan will Kmit, will set targets
for grov^dh in the more favoured regions, par-
ticularly the Toronto-centred region, which
will aim at limiting the growth of these reg-
ions, of the Toronto-centred region. It is
choking on its growth right now. There is too
much growth here while Cornwall and other
areas in eastern Ontario are starving for lack
of growth. Certainly the north is starving for
lack of growth.
There are many footloose industries which
are settling in the Toronto area, the Hamilton
area, the Brantford, Kitchener and London
areas because they are nice places for the
-executives to live. Or because the existing
plant is there right now and it is simpler to
-expand the existing plant than put the new
process, the new facility, in some other part
of the province.
The reasons being advanced or used within
industry to justify these plant locations are
often pretty trivial. Sometimes, in fact, it just
isn't economic. There are economic advant-
ages to locating in other parts of the province
but they are being ignored by the manage-
ment. If they are in a fairly uncompetitive
field where the profit margins are pretty sub-
stantial then, in fact, there is not the incen-
tive to cut the final dollar off their costs.
Therefore, the executives don't want to trans-
fer out of Don Mills or out of some nice
suburb in Kitchener or London, wherever the
plant happens to be, and locate there.
There was the announcement the other day
of the location of Philips, I think it was,
which has decided to set up or establish a
plant on provincially-owned industrial land
in the Malvern area. The sale price of the
land was something like $2 million and the
price per acre was in the order of, I don't
know, maybe $25,000, $35,000, $40,000 per
acre, an incredible sum by contrast with the
prices charged for industrial land elsewhere
in the province. The company felt it could
do it rather than face the problems of de-
veloping skilled manpower and attracting the
labour pool in other parts of the province.
Frankly, the problems are not insurmount-
able. There are lots of willing hands and
willing brains in other parts of the province
and the problem of developing skills can be
overcome once there is a will. There are no
sticks being used by the province in order to
encourage companies now locating in the
Toronto or Hamilton areas even to look at
other parts of the province.
As part of its growth policy, Mr. Speaker,
the government should not only be providing
certain types of incentives to help offset any
additional costs of locating in the northern
part of the province or in the east. It should
also be providing certain kinds of disincen-
tives in order to make it less favourable to
locate in the Toronto-centred region. Those
disincentives could be in the form of an em-
ployment tax or some other kind of tax to be
paid by an industry locating in this particular
area, or they could well be in the form of a
straight licensing of new employment oppor-
tunities being created in the Toronto-Hamil-
ton area. Any employer then who wished to
create more than, say, 25 new jobs would be
compelled to seek a licence, maybe even to
pay for a licence with the provincial govern-
ment. The allocation of these licences would
then be a part of the provincial' development
and growth plan.
I accept completely that under no circum-
stances should any government in Ontario say
to an individual, "No, you can't come to
Metro." If young people from northern On-
tario or eastern Ontario want to come to
Toronto to study for a few years or to work
for a few years, that's fine. I think that's good
and it's a part of a person's education. In
many cases though, these young people as
they grow up, marry and begin to have
families, are saying to themselves, "We'd like
to go back to Prescott, "We'd like to go back
to Pembroke," "We'd like to go back to
376
ONTARIO LEGISLATURE
Kapuskasing," "We'd like to go back to
Thunder Bay." In many cases they are finding
that there are not adequate work opportun-
ities in those areas, that the cost of housing
is as beyond reach in those areas that they
stem from as it is in Toronto, and that they
are trapped down here because this is where
the jobs are.
If, in fact, Mr. Speaker, you control the
creation of employment in the Toronto area,
and then equally encourage those industries
to locate in the less-favoured parts of the
province, if that is accompanied by a planned
development in areas like Cornwall and
Prescott and Cardinal, like North Bay, like
Sudbury, Timmins or Kapuskasing, or Thun-
der Bay, in order to ensure that the jobs are
becoming available, that housing at reason-
able cost is becoming available, that the other
kinds of infrastructures are being put into
the ground, that the kinds of social amenities
we expect, in terms of be it arenas or cultural
facilities as are being built at Comv/a31, are
coming on-stream, then you will see a real
renaissance in the smaller communities in the
less-favoured regions of the province.
But we have not seen that from the govern-
ment right now and the basic and funda-
mental reason is because it wiU not— the min-
ister and his government— interfere with the
decisions of the private sector, even where it's
clear that the social costs of having industry
continue to crowd into the Toronto area are
tremendous and are growing apace day by
day and week by week. You can chart it
readily in that way if you look, say, at the
escalation of housing prices in the Toronto
area.
The other point I wanted to raise more
specifically in relation to the bill, Mr. Speaker,
is that this bill permits municipalities to enter
into agreements with the Crown regarding
regional economic development, and also with
the approval of the minister— I am not sure
which minister; I suppose it's the Treasurer—
to also enter into any ancillary or subsidiary
agreements vdth any person as is required as
a result of entering into the agreement with
the Crown in right of Ontario.
Now, it waives the requirement for a local
consultation in the form of a referendum, and
also waives the requirement for participation
in the form of the access the public has when
a matter has to be approved by the Ontario
Municipal Board. That is the effect of these
two particular amendments. It gives the
power to the municipality to pass bylaws for
the effect of implementing these general de-
velopment agreements and it waives the
necessity to go through two established, if
perhaps somewhat archaic, means of public
consultation or public participation.
It seems to us that, in fact, there should be
a guarantee of public involvement written into
the bill at the same time that the permission
is being given to the municipality to bvpass
the Ontario Municipal Board and to bvpass
the referendum. We don't really disagree
with that part of it; we do disagree with the
fact that there has been no attempt by the
government to find any alternative.
What this means, Mr. Speaker, is that since
there is not a requirement that municipalities
meet to discuss issues like this in public
meeting— there is no such requirement in
Ontario law at this moment— it means that a
municipality like Cornwall or Kapuskasing or
some other community like that can meet in
camera, the members of council can decide
what to do, they can negotiate with the pro-
vincial people, they can negotiate with the
federal people, and all of that can be done
with no public consultation whatsoever.
Eventually, for a very brief minute or two,
the council is required to meet in pubHe
session in order to actually pass the bylaws
which are referred to in articles 293 and 352
of the Municipal Act and affected by this
particular bill.
Now, that plainly just isn't adequate, par-
ticularly where you have some pretty funda-
mental decisions being made affecting the
economic future of communities which have
had a lot of problems, such as the community
of Cornwall.
I must accept that it runs part of a piece
with the who'le government approach to eco-
nomic planning. There have been a number
of meetings, I gather, held on the sly between
the economic planners for eastern Ontario at
Queen's Park and local planning staffs and
other local bureaucrats like that.
Obviously there have been meetings held
with the city of Cornwall, the provincial
people and the federal people, over this par-
ticular plan. But there has not been enough
public consultation. I have to confess to a
bit of ignorance as to what was done in
Cornwall as far as public discussion of this
particular proposal is concerned. My recol-
lection is that the major. Mayor Lumley, a
fine guy, sort of kept on saying, "Look, it's
coming, it's coming, it's coming." As is the
pattern in these depressed communities, there
is a constant pattern of promises, promises,
and eventually for every five promises you get
one new industry or one new federal or
MARCH 15, 1974
377
provincial government intervention. That's
what happens.
Another community could close off the
public involvement completely and it would
not be breaking the law which is proposed
to be passed by this provincial government.
In other words, this bill permits councils
to evade local involvement. It happens that,
under the way that the powers adhere in the
Crown in the right of Ontario, the general
development agreement signed between Can-
ada and Ontario is not a matter of debate.
It doesn't get tabled in the Legislature. It
is only obliquely— because it happens to re-
quire a change in the Municipal Act— that
we get to debate it in the Legislature prior
to the minister's estimates, which may not
come up for close to another year. I just
suggest to the minister and to the govern-
ment as a whole that an amendment be
passed on committee stage of this bill to re-
quire public consultation at the municipal
level and that the government clearly states
its intentions as far as public involvement
in further agreements that will be drawn up
—particularly with reference to the north,
where there are many communities that are
not organized— in order to ensure that there
is full public consultation prior to the enter-
ing into of agreements.
Mr. R. F. Ruston (Essex-Kent): Mr. Speak-
er, I have a couple of little points I want
to raise on this bill. It is, I suppose, a far-
reaching bill to some extent. It brings the
federal government into almost direct and
yet indirect relationship with municipalities,
and this is something that the province of
course would never allow— the federal gov-
ernment becoming involved in local munici-
pahties.
This is something that is going to have to
be expanded on in the future. I think the
federal government, in more ways than this
maybe, is going to have to be involved in
the cities and maybe the time is not too far
away when income tax and other forms of
taxation will probably have to be poured
back into the cities to even keep them viable.
We see in the States what's happened there
to many of the cities, where they are going
down and without federal aid they may not
survive at all hardly.
In this plan it would appear that it will
be covering eastern and northern Ontario.
So, being in southwestern Ontario I don't
expect that there would be too much in-
volved now with DREE. There are some
plans administered in our own area with
regard to the protection of agricultural land
under ARDA, which is administered through
the DREE programme, and we do get in-
volved in that part.
What I am wondering about is what some
of these projects may be with regard to the
provincial and federal governments in the
municipalities. I am assuming they could be
sewage works, watermains, health centres,
medical centres and recreational facilities
and so forth. In the last year or so we have
had a federal-provincial winter capital works
programme. The money comes through
DREE for those projects, and I know we
have been entitled under that programme
to obtain some of those funds. But as nearly
as I can understand from the bill and the
minister's remarks at the introduction of it,
this programme is to be funded predomi-
nandy by the provincial and federal govern-
ments and more or less with agreements, but
not necessarily finances from the municipality.
Now, I am concerned with these type of
things and that the eastern and northern
parts of the province develop properly. I
don't think that I, as a southwestemer, if
there are lots of opportunities for jobs, can
sit back in my easy chair and see northern
Ontario or eastern Ontario suffering from a
high unemployment rate. If that happens,
then they cannot buy the things we produce
and then we are all in trouble. That is why
I say that I am a Canadian first, and then
an Ontarian. I don't think that it is any good
to me as an Ontarian to be in a rich prov-
ince if somebody in Newfoundland or New
Brunswick can't afford to have the benefits
of life that we have.
So we have to consider that we are all
one country in that way.
Now, perhaps there are other things that
could be done to get industry to come into
these eastern and northern areas. The pre-
vious speaker did mention something about
a tax on employees, the number of em-
ployees who would be hired if they came
into already built-up areas. That might be
feasible.
I think there are other areas that could
be explored. One might be the amount of
tax that they would pay as a corporation tax;
maybe there should be a lower rate. Rather
than just provide giveaway programmes, I
would be more inclined to think that we
should be looking at the tax structure for
the number of years that they first go irito
these areas, and perhaps favour them with
benefits in their income tax structure and
items like that.
We also should be looking at the freight
rate structure in these areas; that could have
378
ONTARIO LEGISLATURE
a major efFect on encouraging industry to
go into those areas.
Those are some of the items that I had
wanted to mention. I think I would look
forward to hearing the minister's remarks
when he winds up the speeches.
Mr. Speaker: Does any other hon. mem-
ber wish to speak on this?
The member for Thunder Bay.
Mr. J. E. Stokes (Thunder Bay): Yes, Mr.
Speaker, I feel it incumbent upon me to
say a few words about this bill, inasmuch as
it does deal with the DREE programme at
the federal level and the participation by
the Ministry of the Treasury, Economics
and Intergovernmental AflFairs, which is
responsible for the regional development pro-
grammes in the Province of Ontario.
The eastern part of the province, par-
ticularly Cornwall, at this point hasn't
reached the stage in the Design for Develop-
ment programme for Ontario that would give
us an overview of what might take place
and what the government sees as the
priorities for regional development in eastern
Ontario. However, I am familiar with the
way they have established their priorities in
the only two economic regions in the Prov-
ince of Ontario where they have been
studied to the extent that this government
has accepted as government policy the recom-
mendations contained in the Design for De-
velopment for the Toronto-centred region
and the economic region that is known as
northwestern Ontario.
This is the kind of a bill that no one in
his right mind would oppose. It is the kind
of development that has been sorely needed
in eastern Ontario for many and many a
year. It is the kind of development that I
have been advocating for northwestern On-
tario for as long as I have had tie pleasm-e
to sit in this Legislature-and will continue
to do so.
Because of the inability of the DREE
programme at the federal level to efFect the
kinds of changes and to ofiFer the kinds of
incentives that really make the difference
when you are trying to entice an industry,
whether it be primary or secondary, to estab-
lish in any given location, one has to question
the ability of that programme at the federal
level to effect any kinds of change that would
be meaningful. So, while we do welcome the
implication of this bill, I think the jury is
still out on how effective DREE has been
in the past and how effective it may be in the
future.
I want to refer to an article that appeared
some months ago in the Globe and Mail
as a result of a study that was done by
Prof. David Springate, a professor of finance
at the University of Tennessee, and was
based on his observations on research for
his doctorate thesis in business administration
at Harvard University. The article had this
to say, Mr. Speaker:
Grants under the Act are the main
method by which the federal Department
of Regional Economic Expansion provides
incentives for the construction or expan-
sion of secondary manufacturing plants
in disadvantaged regions. Dr. Springate
looked at 31 grants made as the pro-
gramme got under way in 1970 and early
1971.
He said: "Such a study can yield indicative
findings." He maintains that some of the
investment decisions were pursued in con-
siderable detail. His assessment of the in-
vestment decision process of the 31 com-
panies, says the article, is that:
"By and large DREE's grants did not
affect the area in which companies made
their plant location choices. If companies
do not consider parts of the country other
than those they normally would have
chosen, DREE is not going to be able to
disperse or direct manufacturing activity
to less desirable places on a broad scale."
[He went on further to say]:
"While incentive grants may not greatly
affect plant location decisions, they may
be justified if they speed up investment.
But they do not have the effect of speed-
ing up the planning. Overall, the field re-
sults suggest that grants are relatively un-
important in affecting the initial design or
consideration of investment proposals, and
strategic or technical factors rather than
financial considerations tend to predomi-
nate at this stage."
Indeed, it may be more accurate to say
that the programme delays investment
rather than promotes it, as the government
takes some months to consider applications
for grants.
I have had some knowledge of the incentive
programme at both the federal and the pro-
vincial levels, Mr. Speaker.
On one occasion, Kimberly-Clark corpora-
tion was to establish a tissue plant someplace
in the Province of Ontario where it would
use the wood pulp from northern Ontario to
feed this tissue plant. I think it's accurate to
say that the then Minister of Lands and For-
ests, the hon. member for Cochrane North
MARCH 15, 1974
379
(Mr. Bninelle), and myself were trying to per-
suade that company that it should have an
even greater degree of processing much closer
to the source of the raw material. Of course,
we were suggesting that that tissue plant be
constructed at either Terrace Bay on the
limits of Kimberly-Clark or in the Kapuskas-
ing area based on the Spruce Falls operation
of that company in the Kapuskasing area.
We were unsuccessful in our efforts. In
spite of any incentives that might have been
forthcoming at the federal or the provincial
levels, nothing we could say or offer to them
would have persuaded them to build other
than where they did ultimately build the
plant, and that was in Hunts ville.
On asking the president of that company at
that particular time what kind of incentives
we would have had to offer them in order
to persuade them they should build their
tissue-making facility much closer to the
resource, thereby providing increased eco-
nomic viability for those northern communi-
ties and in the process creating more jobs.
The president at that time said, "Nothing
any government at whatever level, nothing
that they would have done, would have per-
suaded us to build it other than where we
did build it down at Huntsville."
He said it was a matter of transportation
costs. It was availability of labour at a price
that they were prepared to pay, and much
closer to their traditional markets. If this is
the attitude that's being taken by all indus-
trial and commercial enterprises at this point
in time, I think that we have to take a much
more realistic look at the effectiveness of the
DREE programme that we are becoming a
part of here in this bill, or the programmes
under the aegis of the Ontario Development
Corp.
When you're talking about the DREE pro-
gramme as it affected the establishment of
a processing capacity in the Timmins area,
where Texasgulf has brought on stream its
Kidd Creek property, it's my understanding
that that would have been done there in
any event. The $8 million or so project that
was provided by DREE would, of necessity,
been done there in any event. When you
look at some of the so-called incentive pro-
grammes under Ontario Development Corp.,
where $500,000 in forgivable loans in two
instances were provided to Kraft to assist
them in their food plants in eastern Ontario,
based on raw milk that they had in such
abundance there, where else would they have
established the plants? When you consider
the $500,000 forgivable loan that was pro-
vided to Allied Chemicals to process a sul-
phuric acid plant in the Sudbury region,
where else would they have established an
enterprise that was to use the abundance of
sulphur that emanates from the operations of
Falconbridge and International Nickel?
I am just wondering, Mr. Speaker, just how
effective this kind of programme is going to
be. As I look over the information that was
made available in the joint announcement
released by Hon. Don Jamieson and the
Treasurer, it's a very sophisticated package
whereby they do in a very, very broad
sense say the kinds of things that they
would hope for by way of economic de-
velopment for the Cornwall region. There's
no evidence in at the present time that any
real benefits are going to accrue. They do
state that they are going to spend several
million dollars in order to try to provide the
kind of incentives. There's no indication in
the joint programme that it will be restricted
to purely Canadian companies.
I have a small excerpt here from the Han-
sard, a record of the debates over in Ottawa.
I want to refer the House briefly to com-
ments made by Hon. Don Jamieson, who is
the minister responsible for economic activity
and expansion at the federal level. I would
like to hearken back to things that he had
to say at that time.
In the region that I know best, the At-
lantic provinces, the whole area, all four
provinces, are littered, quite literally, with
the remnants of foreign- controlled indus-
tries that milked the region for whatever
they could get out of it and then departed
and left us to clean up the mess.
Now, that's from the minister who is a
co-partner in this programme that we're
speaking of in this bill that's before us in
the Legislature, An Act to amend the Mu-
nicipal Act.
As I say, I'm not going to oppose this bill
and nobody in this party is about to do so.
We are looking for any ray of hope at all by
way of a concerted effort by either the pro-
vincial or the federal governments to get this
whole project under way and to give the
people of Cornwall the kind of economic lift
that they have looked for for so long. If it
will provide any economic stimulus, bring
them into the mainstream of activitiles in
the province, economically, certainly we're
not going to oppose it and we would hope
that it would do the kinds of things that
Mr. Jamieson and the Ontario Treasurer hope
to achieve.
380
ONTARIO LEGISLATURE
I do see in the announcement that was
made that they too are going to provide this
kind of money for economic activity in north-
western Ontario. There's no evidence that
the DREE programme has been even re-
motely effective in northwestern Ontario to
foster the kind of development that is possi-
ble with a much greater processing of the
ores and the forest products right on our
doorstep; and we would welcome it.
In the Hedlin Menzies and Associates Ltd.
report that was commissioned by the Min-
istry of Natural Resources a little over three
years ago, they quoted some very interesting
statistics. They said that six out of every
10 jobs directly and indirectly related to the
forest products industry are located in places
other than where the resources are located.
This means that six out of every 10 jobs
are located in southern Ontario, or other
parts of Canada, with only four jobs out of
the 10 located right on the doorstep of the
resources.
I don't need to tell the members what the
implication of that statistic would be if we
just reversed that and said six out of every
10 jobs should be located near or on the
doorstep of the resources, while the other
four should be located elsewhere. We would
provide tens of thousands of new jobs in
northern Ontario in an area where they need
it so badly, where we do have a mass exodus
of our youth from the area because there
is a lack of job opportunities.
I've spoken about this on many, many oc-
casions in the past, and I just say it for
the benefit of the new minister. If this pro-
gramme that we're talking about in eastern
Ontario is going to have any significant
economic effect at all, we're going to have to
insist on the kind of development, the kind
of processing, the kind of industrial activity
taking place that will have a maximum
effect on the economy. It must provide more
jobs and more economic viability. There
must be a better tax base that will provide
the services for people who are responsible
for creating this new wealth and provide
them with a level of services and a lifestyle
to which we feel everybody in the province
is entitled, regardless of where they may live.
Mr. Speaker: The hon. member for Port
Arthur.
Mr. Foulds: I don't want to prolong the
<lebate unduly, Mr. Speaker. I understand
there is some urgency about getting the bill
through, but I do want to make a couple of
specific points about the general agreement
between the federal and the provincial gov-
ernment and the priorities that both those
governments have with regard to the DREE
programme. I want to make some specific
references to the city of Thunder Bay.
I don't think anyone in the province be-
grudges the initiatives taken for the Corn-
wall area, but I would like to point out to
the minister that the city of Thunder Bay
specifically has been in correspondence with
his ministry, with the Treasurer, in regard
to the use of some funding through the
DREE programme for the development of
an economic infrastructure in the city of
Thunder Bay.
I think that if there is a second priority, it
must be, as my colleague from the riding of
Thunder Bay indicated, all of northwestern
Ontario. Northwestern Ontario was ignored
in the Throne Speech announcements. North-
western Ontario has as great a need for
sensible economic planning as any other
region in the province.
The city of Thunder Bay specifically was
not given any provincial assistance in terms
of funding, as were other regional munici-
palities throughout the province. And al-
though it can be argued that the city of
Thunder Bay is not a regional government,
it has some of the same problems as the re-
gional governments have in providing ser-
vices. The land territory of the city is enor-
mous in comparison to most cities, and what
were formerly rural parts of the city par-
ticularly need tremendous development in
terms of sewage treatment plants, bus service,
extra policing, the development possibility
of industrial parks, and so on.
I would like to point out to the new
minister with these responsibilities, that I
have been in direct correspondence with the
Treasurer, as has the city clerk of Thunder
Bay, stretching back to before December,
1972. And constantly, as my colleague from
Ottawa Centre has said, carrots have been
vaguely held out to the city in the hope
that something would be forthcoming.
Finally, by about May of this year, there is
the idea that the designation of Thunder Bay
under the DREE programme might be used.
I would hope that the minister could make
some definite commitment to Thunder Bay,
which is presently outlining its proposals
to the ministry. That commitment should
be given to them so that the kind of prob-
lems they are facing— over the Hydro thermal
generation plant in Thunder Bay and raw
sewage being disposed of directly into Lake
Superior with the water intake for half of the
city in almost exactly the same area— can be
MARCH 15, 1974
381
quickly and readily solved before the city
gets itself into the kind of environmental
problems that are faced here in the "golden
horseshoe."
Mr. Speaker, people in the outlying areas
of northwestern Ontario often look to the
city of Thunder Bay in the way that the
people in the rest of the province look to
the city of Toronto. In many ways the city
of Thunder Bay is the metropolitan centre
for that huge land mass, that 58 per cent
of the province. And it faces a number of
the same problems in terms of housing and
in terms of the infrastructure I talked about
earlier.
I would urge the minister to consider very
seriously that the city of Thunder Bay
specifically be given a commitment about
the brief, and the proposals it is presenting
to the Treasurer with regard to the assist-
ance the provincial government now has
received from the federal government imder
the DREE programme. Thank you very
Mr. Speaker: Does any other member
wish to speak to this bill? If not, the hon.
minister.
Hon. Mr. Irvine: Thank you Mr. Speaker,
I'd like first of all, to express my appreciation
at the way that the member for Kitchener
(Mr. Breithaupt) made his remarks very
direct and brief. I will try to answer them
as briefly as possible. Also I'd like to say
to the member for Essex-Kent (Mr. Ruston)
and Thunder Bay (Mr. Stokes) I appreciate
their remarks very much.
I followed to a degree the remarks that
were made by the member for Ottawa
Centre (Mr. Cassidy), until he rambled on
for such a long time that I'm afraid I lost
the point; so I may have to come back to
him at a later date. In any event, I'll try
to answer to the best of my ability.
Certainly I will answer the member for
Port Arthur (Mr. Foulds) directly.
The purpose of this bill, Mr. Speaker, is
to advise the members of this House that this
is a general development agreement, signed
by the federal goverimient and the Province
of Ontario in Cornwall on Feb. 26, for a
10-year period. It is the follow-up of further
agreements that have been signed by the
provinces of Newfoundland, Saskatchewan
and Prince Edward Island in the past. We
expect to be signing specific agreements
which will come out of this bill with the
municipalities affected, not only Cornwall
but manv others in the futvue.
We would like to deal, first of all, with
the way that the programme operates. The
federal government and the provincial gov-
ernment have agreed that the programme
should be a programme that will increase
jobs in areas of high unemployment and will
also improve the quality of the job oppor-
tunities in those areas throughout the province
which have had slower growth.
I think I have to go back to the statement
which was prepared by the federal govern-
ment and go through it to some degree,
because of some of the remarks that have
been made before me today. The problems
which we have in northern Ontario have
not been forgotten and will be dealt with
^'*^rv specifically by this province in the very
near future in certain areas.
The federal government has said that
subsidiary agreements might be developed to
allow for advanced planning where a non-
renewable resource is on the verge of ex-
haustion. It also has said there is the matter
of transportation facilities that must be con-
sidered, the lack of or the inadequate trans-
portation facilities that exist in certain areas.
They particularly refer to air transport in
the more remote parts. We have agreed that
there is the possibility, and it should be
very seriously considered by all concerned,
of certain airstrips being built to develop
some areas, rather the development of high-
ways which are much more expensive in
northern Ontario.
We have mentioned that people who live
in isolated communities should be given
consideration by the northern subsidiary
agreements. However, the final form of
agreement, Mr, Speaker, will depend
very much on the consultations which we
have to have with the local people. This is
what the member for Ottawa Centre was say-
ing before, that we apparently have this mis-
understanding whereby the people have not
been consulted. They certainly are con-
sulted and have been very, very much in the
instance of Cornwall.
I might add at this moment that Cornwall
is delighted with the fact that we have the
federal government co-operating with the
provincial government and the city of Corn-
wall in an agreement which brings in mil-
lions of dollars, much more than what was
indicated this morning by the member for
Ottawa Centre. As a matter of fact my figures
are this, that of $7.1 million up to approxi-
mately $8 million by the federal government,
the same will be put in by the Province of
Ontario and up to $4 to $5 million by the
city of Cornwall over a three-year period.
382
ONTARIO LEGISLATURE
which is a very significant amount and will,
in my opinion, be the start of a boom for
all of eastern Ontario.
I want to just go through this general
agreement in order that the member for
Kitchener will understand, first of all what
the general development agreement is all
about and why it is vague in certain cases.
It has to be by necessity. We recognize full
well in northern Ontario that there are
certain key industries, such as pulp and paper
and other types of wood-using manufac-
turers. We know that the government must
take this into consideration by subsidiary
agreements with those areas that are in-
volved.
(The federal government has taken into
consideration the fact that we— that is, the
province— have an office in Thunder Bay.
They have also opened a new office in
Thunder Bay to take care of the problems
that we know exist in northern Ontario. I
think the hon. member will appreciate the
fact that this opening was just a few days
ago, and I believe he was there at the time.
So the general agreement itself is very
important to us on the basis that we have
not been satisfied in Ontario with the amount
of money that has been brought into Ontario
by the federal government, nor have we been
satisfied with the amount of money which
was spent all over Canada to assist those
areas of low economic status compared with
other provinces. We feel the federal gov-
ernment has been remiss in not having more
money appropriated for Ontario.
They have given us the undertaking that
in the future they will appropriate more
fund's for Ontario. I cannot say to the hon.
members here today how much they'll give
us, but they have given us the undertaking
we will get a fair share, and I believe this is
a start in the right direction.
Mr. Stokes: The figure of $40 million for
northwestern Ontario has been bandied
about. Has the minister any information on
that?
Hon. Mr. Irvine: This is my understanding,
that this figure of $40 million has been men-
tioned. But what I would like to say to the
members is that I don't think any figure is
firm until you get your subsidiary agreements
signed. Then you know how much money is
going to be spent in Ontario, as an overall
amount for the province.
We want to have the subsidiary agree-
ments establishing a set of programmes which
relate to the economic development in a
specific region of the province. We want
them to co-ordinate the existing federal and
provincial programmes involving a particular
development opportunity. We also want the
agreements to provide specific support not
available through other federal or provincial
programmes. And we want their subsidiary
agreements to establish continuing pro-
grammes to fill gaps in the existing range
of government-funded programmes. In a
broad sense, that is what the development-
agreement is all about.
As far as the Cornwall agreement is con-
cerned, and as far as the ancillary agree-
ments which Cornwall will enter into after
the passing of this bill are concerned, it will
mean that of the funds that we are providing
from the federal and provincial governments
and from the city of Cornwall itself, the
people will have the funds to establish and
complete an industrial park. They will be
able to establish a single-industry site which
will provide, as I understand it, up to 1,200
jobs.
Mr. Cassidy: What's the industry?
Hon. Mr. Irvine: What's the industry?
Combustion Engineering.
Mr. Cassidy: Right. What kind of plant?
Hon. Mr. Irvine: It's a boiler-making indus-
try which is a male-employment industry. I
think the member is well aware of the facts.
It's been in the press and I am sure the
member reads the press as well as I do. It's
located in Quebec and I would hope that it
doesn't cancel its plan to come into Corn-
wall.
Mr. Cassidy: When will construction begin
and when will the plant enter production?
Hon. Mr. Irvine: Well, it'll begin, I sup-
pose, as soon as we get this bill through. I
would try to say to the member again, if the
hon. member for Ottawa Centre would ever
learn to make his point and get it over with,
maybe this House could do its business in a
more reasonable way. I am sick and tired
of having the member for Ottawa Centre,
all the time, time after time after time, say
nothing for half an hour. If he could stand
up and make his point and get it over with,
we would have had this bill through by now.
But he has been yakldng up there for half
an hour, saying nothing.
Mr. J. A. Renwick (Riverdale): That's not
so.
Mr. Cassidy: On a point of order, Mr.
Speaker,—
MARCH 15, 1974
383
Interjections by hon. members.
iMr. Cassidy: —this personal attack is not
justified. The minister has had the bill sit-
ting around for months-
Interjections by hon. members.
Mr. Speaker: Order please. There is no
point of order.
Mr. Cassidy: —and! for him to babyishly
whine about the loss of half an hour of his
precious time is ridiculous.
Mr. Speaker: There is no point of order.
Mr. Renwick: The first intelligent exposi-
tion of the problems of that area for many
years.
Hon. Mr. Irvine: Mr. Speaker, the other
facihties that will be improved' in Cornwall
will include the dock facilities. They will in-
clude barge facihties; there'll also be rail
facilities provided at the western end of
Cornwall. We'll have a new tourism and
recreation area adjacent to the industrial site.
We'll also have a complete civic centre, as
I understand it, if the city of Cornwall wishes
to proceed with it. We are also going to
develop some of the canal lands which have
been of little use to the city and to the
people of that particular area.
The federal government has agreed to
provide a new training institute in Cornwall
which will accommodate some 800 students.
I think this is a very honest attempt by the
federal government and the provincial govern-
ment to provide job opportunities in Corn-
wall and the area. I was ddighted to hear
that the Liberal Party has agreed to this, too,
and that certainly now we are co-operating,
in a fashion which I hope we will carry on.
We have had some discussions this morning
about why we did not relocate Stelco from
where it is proposing to locate in southern
Ontario. I think it's a matter of economics
and the feasibility of what industries one
can 'locate.
Interjection by an hon. member.
Hon. Mr. Irvine: Does it make any sense
to relocate a steel company when there is
absolutely no way anyone can prove to me
that it can be provided wdth its raw materials
and that its transportation costs will be as
equitable as they would be where the com-
pany is now; where it can get the labour
and where it can get housing and all the
other things that go along with it?
Mr. Foulds: Why doesn't the government
do something about housing?
Mr. Cassidy: Why doesn't the minister look
into it? There is no housing in Haldimand.
Hon. Mr. Irvine: We have discussed this
feasibihty with the company and with other
companies.
Mr. Cassidy: Nonsense. The company made
its announcement before even telling the
government.
Hon. Mr. Irvine: We are considering the
feasibility of having industries locate in cer-
tain areas. If it's feasible to do so, we wiU
certainly assist them as far as the government
is concerned.
We are not going to say to industries,
"Locate in an area so that, in five years' time,
you're out of business." That makes abso-
lutely no sense whatsoever.
Mr. Cassidy: Bunch of patsies.
Hon. Mr. Irvine: I cannot agree with the
socialist attitudes of the NDP, which say take
over. There is no way. This government, as
far as I am concerned, depends on private
enterprise to make the economy of our prov-
ince as good as it is.
Mr. Foulds: That would destroy the poHcy.
Mr. Cassidy: That's right.
Hon. Mr. Irvine: Certainly we will carry
on doing so, in the future.
Interjections by hon. members.
Hon. Mr. Irvine: What we have done as
a government, through the Ontario Develop-
ment Corp. and the Eastern Ontario Develop-
ment Corp., has been to assist by way of
loans-
Mr. Cassidy: The govenunent is giving
welfare to corporations.
Hon. Mr. Irvine: —in providing job oppor-
tunities.
Mr. Foulds: Why does the government call
them incentives when it gives them to cor-
porations and welfare when it gives them
to individuals?
Hon. Mr. Irvine: Our socialist friends
would like the government to take over every-
thing.
Interjections by hon. members.
Mr. Speaker: Order, please.
384
ONTARIO LEGISLATURE
Hon. Mr. Irvine: I am glad they are on
record. That's just terrific.
Mr. Foulds: Corporate welfare bums,
Hon. Mr. Irvine: It's just terrific that they
are on record as wanting to take over every-
thing because there is absolutely no way the
NDP is going to make any impression in
eastern Ontario or in any other part of On-
tario when its members talk such nonsense.
No way whatsoever.
I would think that serious consideration-
Mr. Foulds: That's why this government
has a minority of seats in the north.
Hon. Mr. Irvine: —should be given to the
party philosophy before its members stand up
any more.
Interjection by an hon. member.
Mr. Speaker: Order, please. We are dealing
wdth the principle of the bill.
Mr. Foulds: That's why the anti -labour
member for Timiskaming (Mr. Havrot) is
going to lose his seat.
Mr. Speaker: Order.
Hon. Mr. Irvine: As far as we are con-
cerned the government has assisted by way of
grants, and will continue to do so, to locate
industries in those areas which haven't had
the growth we have experienced in certain
parts of Ontario.
I want to say very briefly at this time that
the member for Ottawa Centre has brought
up the point of inadequate consultation with
the people. How far does one go on the mat-
ter of consultation? This matter has been dis-
cussed at some length in the city of Cornwall.
All the province is providing by way of this
bill is allowing the municipality to enter into
an agreement which will go beyond the term
of the present council, in regard to a de-
benture debt. It does not change the fact
that one must have an OMB hearing for any
change of zoning and therefore I believe that
it is not in the best interests of ill con-
cerned to consider an amendment to this bill
whatsoever, when the debt that is being
incurred is certainly in the best interests of
all the people at the local level and if there
is a change in planning there will be a
hearing.
iSo, Mr. Speaker, I want to say again that
we look forward in the next few weeks —
maybe the next few days — to entering into
specific agreements with the federal govern-
ment and with areas in northern Ontario-
Mr. Cassidy: Which ones?
Hon. Mr. Irvine: I am not at liberty to-
name the areas, but we look forward to
doing that and will be doing that, I under-
stand, very shortly, and I think at that time
those areas that are affected will be as
appreciative as the area of Cornwall. Thank
you.
Mr. Foulds: Don't count on it.
Motion agreed to; second reading of the
bill. ^
Mr. Speaker: Shall this bill be ordered for
third reading?
Mr. Cassidy: Committee of the whole.
Mr. Speaker: Is that agreeable to the minis-
ter?
Hon. Mr. Irvine: Yes.
Mr. Speaker: So directed.
ROYAL ASSENT
Mr. Speaker: Before we proceed with the
next order of business, I beg to inform the
House that, in the name of Her Majesty the
Queen, the Honourable the Lieutenant Gov-
ernor has been pleased to assent to a certain
bill in his chamber.
Clerk of the House: The following is the
title of the bill to which His Honour has
assented:
•An Act respecting a certain Dispute be-
tween the York Coimty Board of Education
and certain of its Teachers.
Clerk of the House: Order for committee
of the whole House.
MUNICIPAL ACT
iHouse in committee on Bill 8, An Act to-
amend the Municipal Act.
Mr. Chairman: Are there any questions,,
comments or amendments to section 1?
Section 1 agreed to.
On section 2:
Mr. Chairman: The member for Ottawa
Centre.
Mr. Cassidy moves that section 2 of the
bill be amended by adding the following
words at the end of paragraph 74a:
Provided that no municipality shall enter
into such an agreement without a pro-
MARCH 15, 1974
385
gramme of public consultation, including
'public meetings, on this proposed agree-
ment, and such consultation' shall be to
the satisfaction of the minister.
Mr. M. Cassidy (Ottawa Centre): I just
want to raise a specific point and pursue it.
We raised it briefly during the course of the
debate and I think that the hon. minister
(Mr. Irvine) in fact misunderstood some of
the points that I was making on that parti-
cular thing.
The minister lives a few miles away from
Cornwall and is better aware than I am of
the degree of public consultation that is
taking place on the presently proposed $14
million plan in Cornwall, and I am willing
to take his word for it that it is to the satis-
faction of the minister that there has been
adequate consultation in that particular area.
It is a fait accompli at any rate; the agree-
ment has been signed and it is just a matter
of time now before we go ahead.
But this bill doesn't affect only Cornwall.
It is not a Cornwall bill, it is a general
amendment to the Municipal Act and there
will be other communities— Blind River or
Geraldton or Thunder Bay or North Bay or
maybe even Pembroke or Smiths Falls— which
will be involved under this particular new
set of powers. The purpose of the amend'-
ment is to affect them as well.
The minister's reply is that people who
wish to comment on the agreement will have
the opportunity if a zoning change is in-
volved. However, my concern, and our con-
cern, is that the strategy of development
assistance being adopted for that particular
municipality should be a subject of public
participation or public consultation, and the
present state of the law would permit a
municipality in fact to go through all' of the
stages in negotiations with the federal and
provincial governments without even letting
the municipality know what is happening.
That is what the legal state of the law is
right now, up to the point where the agree-
ment is signed and the bylaw is passed. It
is simply unacceptable in diis day and age.
If you want to take an example, Mr.
Chairman, from the situation at Cornwall,
one of the major parts of the programme is
a cultural centre and I believe an arena.
Now, that's part of the strategy in order
to improve the livability of Cornwall, and
therefore make it more attractive to new
industries and to management and workers
of new industries coming in.
Now, it may well be that people in the
community have got pretty strong feelings
that there are other things that they would
put as their priority in improving the liva-
bility of the community. It might be a golf
course. It might be a tennis court. It might
be a sailing club. I don't know— it might be
something quite different. But at any rate
that't the kind of thing that you need to
discuss publicly beforehand rather than get-
ting locked into it with the federal and
provincial governments beforehand.
In addition, it seems to me that this par-
ticular requirement is necessary because of
the very pronounced tendency of the fed-
eral government to want to work behind
closed doors. They just have that tendency.
I know that the minister is aware of it.
As a resident of Ottawa and as a former
observer of the federal government, I am
certainly aware of it. And this is without
commenting on the fact that the provincial
government is, I am afraid, subject to the
same tendency, too. So, if you will, the
amendment is proposed to protect against
these tendencies at the various levels of
government who want to work in privacy.
Now, in the copy that the minister has—
I am sorry, I seem to have lost the copy for
the Liberal Party, I apologize-I had origi-
nally suggested the amendment refer to tihe
details of the proposed agreement, taking the
words "the details" out and simply refer
to it that on "the proposed agreement, there
should be public consultation on the pro-
posals made to the satisfaction of the
minister."
Now, if you will, then that becomes a
statement of intent. It is up to the minister
and the local council to establish whether
one public meeting a few weeks before the
signing of the agreement is adequate, or
whether in fact there should be a series of
public meetings and information provided to
the public over the period of a year before
the signing of an agreement.
It probably depends on the nature of the
proposals, how radical or revolutionary they
are, the amount of investment involved and
that kind of thing. But I do hope that the
minister will reconsider the points that I
made before and will accept this particular
amendment.
Mr. J. R. Breithaupt (Kitchener): Mr.
Chairman, in speaking to this amendment,
I would encourage the minister to give it
some consideration.
On this side of the House, we are con-
cerned as I am certain the minister is, with
adequate public involvement and consulta-
386
ONTARIO LEGISLATURE
tion before decisions are made that develop
areas into a certain way that they cannot be
changed. I think that the matters of pubhc
concern are most important here.
We have seen in the past agreements en-
tered into on occasion wherein knowledge
of the local community was not as broad as
it should be. And, of course, these are deci-
sions which are going to affect not only the
people who are living in the community
now, but their sons and daughters and their
grandsons and granddaughters. I would en-
courage the minister to have as much public
consultation as is possible in these matters.
It seems to me that the signing of these
agreements, which are going to involve sub-
stantial amounts of public funds, must always
be done in such a way that the public in-
terest is adequately served. A good way to
serve that public interest is to encourage
various groups within the communities to
involve themselves in planning, in the making
of choices as to the kinds of facilities that
can best suit the community— and of course,
then in not only backing the agreements and
making their communities better places in
which to live, but also being able to feel
that they have been part of this consultative
process.
I would hope that the minister could con-
sider this kind of an amendment. I think it
would be a most worthwhile one.
Mr. J. E. Stokes (Thunder Bay): I would
like, Mr. Chairman, to speak in favour of
the amendment proposed by my colleague
from Ottawa Centre. I hearken back to a
series of exchanges that I have had with the
provincial Treasurer (Mr. White) over a num-
ber of months. It was precipitated by the
action of the regional development people
within his ministry to withdraw their eco-
nomic support and assistance from the re-
gional development councils across the
province. When that took place, about a year
and a half ago, it meant that we effectively
cut off any kind of advisory capacity, any
kind of consultative capacity or any kind
of liaison that went with the activities of
the various development councils across the
province.
At that time, since northwestern Ontario
had reached the stage where Phase 3 of
Design for Development had been accepted
as government policy and was to be imple-
mented, there was no local presence for
ongoing consultation and dialogue with the
regional development branch of the Ministry
of Treasury, Economics and Intergovern-
mental Affairs.
It was just about a week ago that the
Treasurer saw fit to set up what he referred
to as MAC, the municipal advisory commit-
tee, which will comprise the heads of coun-
cils of all of the northwestern region and
will act wholly and solely in an advisory
capacity to the minister in his responsibilities
for regional and industrial development.
Therefore, it looks as though we are going
to have a vehicle for that kind of dialogue.
I don't know how effective it will be.
Certainly I know that the kind of response
the minister had from the northwestern On-
tario regional development council was
meaningful and very useful; it was a vehicle
that everybody in the region could identify
with and feel they were a part of. But since
the councils were disbanded, a tremendous
void has been left. And the person who is
solely responsible for the implementation of
Design for Development for northwestern
Ontario sits in an office in the Frost Building
down here. This is the kind of consultation
that has gone on since the government dis-
banded the regional development councils
and withdrew any financial support to them.
Mr. Cassidy: That's right.
Mr. Stokes: All I'm saying is that what my
colleague is attempting to do here is to pro-
vide assurance to people in those regions
that they will be given adequate opportunity
for consultation before the fact, not after the
fact. I'm not aware of the kind of consul-
tation that went on with the coimcil of the
city of Cornwall, but I think it's absolutely
essential that we provide this vehicle.
The minister has already said that there
has been adequate consultation, and before
any decisions of this nature are taken in the
future there will be complete and adequate
consultation with those whose lives are likely
to be affected. I see no reason why it couldln't
be incorporated in this bill. And I would
hope that the minister, in view of his re-
marks earlier, would accept this amendment
in good faith. It can do no harm, and it can
do a lot of good.
Mr. Chairman: The hon. member for St.
George.
Mrs. M. Campbell (St. George): Thank you,
Mr. Chairman. I am rising at this time to
support the proposed amendment. Siurely
one of the things we have learned, or at
least we hope the government will learn, is
that there has to be adequate consultation
with people, particularly in those areas of
planning which so vitally affect their lives.
MARCH 15, 1974
387
In looking at this particular piece of pro-
posed legislation, I was very sorry that once
more there seemed to be a thrust away not
only from letting the people be aware, but
from letting them be a part of the planning
process. T^is is something for which I have
stood personally through my whole political
career and, of course, this caucus has been
pointing it out in all of the regional dis-
cussions that have gone on since I've been
in the House and I'm sure before that time.
It is certainly urgent that people once more
believe that they are living in a form of
democracy which is meaningful, that they
are not just left in the position that their
only rights are to vote every so many years,
whatever they may be, having in mind the
government that is relevant to that situa-
tion. It has been demonstrated that this is
what the people of this province want, and
surely, Mr. Chairman, it would be important
that we give this kind of emphasis to legis-
lation of this sort which is so important to
the people of this province. Thank you.
Mr. Chairman: Are there any other com-
ments from hon. members? The minister.
Hon. D. R. Irvine (Minister without Port-
folio): Mr. Chairman, I recognize full well
the importance of public consultation. That's
been the philosophy of this government all
along and we're not denying that by this
Act in one small way or one large way,
whichever way you want to put it. It's not
denied at all. What we're saying is that the
minister will determine with the local elected
people as to how much consultation has been
held with the people in the area. I would
hope that we agree that the local people
that are elected are the ones that should
determine how much public consultation is
necessary.
Mr. Stokes: In many areas you (k)n't even
have a vehicle. In this case, you're getting
one that's a municipal council. In many
areas you don't have a legal entity, unless
you've got an umbrella type of organization.
Hon. Mr. Irvine: Mr. Chairman, I recog-
nize what the hon. member is referring to as
unorganized territories. If you look at the
Throne Speech carefully enough, you'll
notice that we have some plans to look after
the areas, where they don't have local elected
representatives, and I expect these will come
about in the very near future also.
Mrs. Campbell: It is a matter of choice,
isn't it?
Mr. Stokes: Have you been told not to
accept anything from the opposition?
Mr. Cassidy: Have you got your orders
again?
Hon. Mr. Irvine: As far as I'm concerned
this amendment doesn't do anything but what
will happen in any event. It's the usual
attempt by the NDP to bring forth an amend-
ment which is not relevant to the whole Act
at all.
Mr. J. A. Renwick (Riverdale): It is the
hard-line approach of the govenmient to
avoid consultation with the people.
Mr. Stokes: It can only reinforce what
you've already said.
Hon. Mr. Irvine: It is an attempt to say
the legislation is not drawn up properly.
Mr. Renwick: You need a litde stiffening
of the backbone when it comes to public
consultation.
Hon. Mr. Irvine: I'm saying the legislation
is drawn up properly, taking into considera-
tion that we believe in the local elected
people making these decisions for their people.
We believe, full well, that the minister will
recognize whether or not there is full con-
sultation at the local level. I say to the
members who have supported this amend-
ment, that it's redundant and I reject it.
Mr. Renwick: You are redundant.
Mr. Stokes: You make me sick.
Mr. Chairman: Mr. Cassidy moves that
section 2 of Bill 8 be amended by—
Mr. Cassidy: Hold on, Mr. Chairman. I
just want to make a comment or two and
I have the right to.
Mr. G. Nixon (Doveroourt): Oh, get off it!
Mr. Cassidy: What's wrong with you? It's
only 12:50. We've got a few more minutes.
Mr. Chairman: The member for Ottawa
Centre has the floor.
Mr. Cassidy: I just don't imderstand it.
The minister says that the government, or the
minister, will determine with the council the
amount of public consultation. That is pre-
cisely what the amendment says. I just don't
understand why he rejects it except for the
suggestion—
Hon. Mr. Irvine: Because it is not
necessary.
388
ONTARIO LEGISLATURE
Mr. Renwick: He doesn't believe it.
Hon. Mr. Irvine: It's not necessary,
Mr. Cassidy: It happens that the opposition
party and the New Democratic Party, from
our experience on municipal councils and in
the way in which governments work in all
three levels, do feel that it's necessary.
Interjections by hon. members.
Hon. Mr. Irvine: I know you are an expert
in everything, but maybe there is a day when
you will recognize there's something you're
not expert in.
Mr. Cassidy: Oh! I happen to be critic
in this particular area and I have a certain
amount of knowledge and some experience
as well. I have some knowledge about the
ways in which municipal councils work. My
own council back in Ottawa, for example, did
have a rather bad habit of suppressing infor-
mation and feeling that because they were
elected they knew everything and, there-
fore, they would not let information out to
the public that could affect other councils
around the province which were dealing with
questions of regional development agreements.
We simply want to ensure that that doesn't
happen by putting it in this legislation.
I would hope, with the minister, that the
provision of the amendment is completely
redundant.
Hon. Mr. Irvine: You are trying to say that
these people who are elected should not have
anything to do. They should go to everybody
and say-
Mr. Cassidy: I am trying to say that the
process of elected government in the 1970s
should involve going back to the electors, the
people, on many occasions, whenever there
are important things, in order to see what
people feel. It may be that the elected re-
presentatives listen to the people and then
sav, "We reject it. We think you are wrong"
and they make another decision. Right now
the situation left is that they can make a
decision and not go back at all to see what
the people feel. They have the right or the
power to impose a fait accompli.
Hon. Mr. Irvine: Just look at the prac-
ticalities for once.
Mr. Cassidy: Okay. What are the prac-
ticalities?
Hon. Mr. Irvine: If you go back to the
days when you were elected, maybe you
might remember you did consult with some
people before you took a certain stand on
an issue. If it's controversial, I am sure,
you are going to contact a lot of people.
Any responsible local council would do the
same and I expect that will be done in the
future.
Mr. Cassidy: I can cite examples of this
Legislature and this government not doing
precisely that and I can cite two examples
of local councils which meet in camera.
Mr. Renwick: That's right.
Mr. Cassidy: They meet in camera and
reach a decision on a controversial issue and
then go into public session merely for the
matter of passing the bylaw. The electorate
wakes up the next day and finds itself with
a fait accompli.
Mr. Renwick: No question.
Mr. Cassidy: I will give you one example.
In the new township— I can't remember the
name now— which has taken in Stittsville,
Richmond and Goulbourn townships, early
in February, the councillors, who had been
working very hard on organization, held a
closed meeting at which they decided they
would increase their salaries from the maxi-
mum of about $1,800 paid to the reeve
of one of the constituent municipalities prior
to 1974, to the figure of about $10,000 for
the mayor and $6,000 for the councillors.
There were rumors around the community
about that but nobody could get any firm
information. When the press went to the
local clerk-treasurer and said, "What's hap-
peninij?" he said, "We can't find the ma-
terial." A month later the issue surfaced when
the council in public session simply passed,
without comment, a bylaw that brought in
those increased salaries.
Hon. Mr. Irvine: Certainly that is a matter
for the local people to decide.
Mr. Cassidy: Okay. In two years or three
years they will eventually get to an election
when they can, in fact, bring their people
into line. There was no consultation be-
forehand. I learned the local people felt
generally that maybe pay levels of about
two-thirds of those chosen would be rea-
sonable; it was a very large increase from
what had been paid before. It was recognized
the previous level was unreasonable but that
was never tested by that particular council.
There is instance after instance of that
happening around the province and we are
simply saying "Put it in the legislation."
Let's hope, with you, that it is not neces-
MARCH 15, 1974
389
sary because every council will be so full of
good intentions that it will do it anyway,
but let's make sure they do have the con-
sultation that is required.
Mr. Chairman: Those in favour of Mr.
Cassidy's amendment will please say "aye."
Those opposed will please say "nay."
In my opinion, the "nays" have it.
I declare the amendment lost.
Mr. Cassidy: Before we let section 2 go
I am intrigued by the suggestion by the
minister that the $14 million to be spent by
the two senior governments and the $4 mil-
lion to be spent by Cornwall will be and
I quote, "the start of an economic boom"
for all of eastern Ontario. If that's the case,
where on earth has this government been for
the last eight or 10 years when to start an
economic boom in eastern Ontario would
have cost so little money?
Mr. Renwick: That's right.
Mr. Chairman: Any further comments?
Hon. Mr. Irvine: Mr. Chairman, very
briefly, let me say this to you and to other
members of the House; as far as the people
of eastern Ontario are concerned they ap-
preciate very much what this government has
done for them and they will show in the
next election exactly what they think about
the NDP.
Mr. Chairman: Any further conmients or
questions on this bill?
Mr. Cassidy: The NDP vote doubled at
the last election in Ontario and it will double
again.
Mr. Chairman: Shall the bill be reported?
Bill 8 reported.
Hon. Mr. Winkler moves that the com-
mittee of the whole House rise and report.
Motion agreed to.
The House resumed; Mr. Speaker in the
chair.
Mr. Chairman: Mr. Speaker, the committee
of the whole House begs to report a cer-
tain bill without amendments and asks for
leave to sit again.
Report agreed to.
THIRD READING
The following bill was given third read-
ing upon motion.
Bill 8, An Act to amend the Municipal Act.
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): Mr. Speaker, be-
fore I move the adjournment of the House
I would like to say that because of the
absence of some members on March 25, I
will suggest that we move the consideration
of Bill 7, item 4, to the following day, the
26th, and therefore on the 25th we will
resume the debate in accordance with item
1.
Hon. Mr. Winkler moves the adjom-nment
of the House.
Motion agreed to.
The House adjourned at 1.00 o'clock p.m.
390 ONTARIO LEGISLATURE
CONTENTS
Friday, March 15, 1974
Emergency Measures programme, statement by Mr. Kerr 354
Emergency measures programme, questions of Mr. Kerr: Mr. R. F. Nixon, Mr. Singer 354
Housing programmes, questions of Mr. Handleman: Mr. R. F. Nixon, Mr. Cassidy
Mr. Lewis 355
Solid waste disposal, questions of Mr. W. Newman: Mr. R. F. Nixon, Mr. Lewis 356
Severance payment to Agent General, questions of Mr. White: Mr. R. F. Nixon,
Mr. Cassidy, Mr. Lewis 357
Housing programmes, questions of Mr. Handleman: Mr. Lewis, Mr. Cassidy, Mrs.
Campbell, Mr. Deans, Mr. Foulds, Mr. B. Newman 359
Artistic Woodwork dispute, questions of Mr. Kerr: Mr. Lewis, Mr. Reid, Mr. Deans 361
Niagara Escarpment, questions of Mr. White: Mr. Lewis 363
Part-time real estate agents, questions of Mr. Clement: Mr. Breithaupt, Mr. Foulds .... 363
Fire hazards in senior citizens' highrise buildings, questions of Mr. Handleman:
Mr. Germa 364
Government action against Dow Chemical, questions of Mr. Kerr: Mr. Singer 365
Warranty on new homes, questions of Mr. Clement: Mr. Deans 365
Public Service Act conflict, questions of Mr. Winkler: Mr. Breithaupt, Mr. R. F. Nixon 366
Presenting report, re Solandt commission public inquiry on Hydro route, Mr. Grossman 367
Motion re spring adjournment, Mr. Winkler, agreed to 368
Rights of Labour Act, bill respecting, Mr. Drea, first reading 368
Safety Committees Act, bill intituted, Mr. Haggerty, first reading 368
Liabihty in respect of Voluntary Emergency Medical and First Aid Services, bill to
relieve persons from, Mr. Haggerty, first reading 368
Municipal Act, bill to amend, Mr. White, second reading 369
Royal assent, York County Board of Education Teachers Dispute Act, the Honourable
the Lieutenant Governor 384
Municipal Act, biU to amend, reported 384
Third Reading 389
Motion to adjourn, Mr. Winkler, agreed to 389
No. 11
Ontario
Hcstslature of ([Ontario
OFFICIAL REPORT — DAILY EDITION
Fourth Session of the Twenty-Ninth Legislature
Monday, March 25, 1974
Speaker: Honourable Allan Edward Renter
Clerk: Roderick Lewis, QC
THE QUEEN'S PRINTER
PARLIAMENT BUILDINGS, TORONTO
1974
Price per session, $10.00. Address, Clerk of the House, Parliament Bldgs., Toronto
I
CONTENTS
(Daily index of proceedings appears at back of this issue.)
393
LEGISLATIVE ASSEMBLY OF ONTARIO
The House met at 2 o'clcx;k, p.m.
Prayers.
Mr. Speaker: Statements by the ministry.
SUNDAY TRUCKING OPERATIONS
Hon. J. R. Rhodes ( Minister of Transporta-
tion and Communications): Mr. Speaker, on
March 14, 1974, the Canadian Transport
Commission granted exemption to two
Manitoba-based highway carriers under the
Lord's Day Act. The decision means that
these two truckers may use the highways in
Ontario and Quebec to run their trucking
operations on Sunday.
Last week I issued instructions to my stajff
to appeal these two decisions. I have been
advised that applications, piu^uant to section
28 of the federal Court Act, have been filed
today requesting the federal Court to review
these decisions.
Mr. Speaker, you will recall that in October
and November of last year the motor vehicle
committee of the Canadian Transport Com-
mission held hearings in Toronto respecting
the requests of these two carriers for exemp-
tion, and the governments of Quebec and
Ontario intervened against the granting of
such exemptions.
Mr. Speaker: Oral questions.
Tlie hon. Leader of the Opposition.
PRICE FREEZE ON PETROLEUM
PRODUCTS
Mr. R. F. Nixon (Leader of the Opposi-
tion): Thank you, Mr. Speaker.
I would like to ask the Premier whether
Ontario has conveyed a position to the Prime
Minister of Canada and the governments of
Alberta and Saskatchewan regarding the
freeze on the price of oil and petroleum
products? Are we in a position to assist in
the negotiations that seem to be, let's say
breaking down to some extent as the deadline
for the price change comes closer?
Monday, March 25, 1974
Hon. W. G. Davis (Premier): Mr. Speaker,
the understanding at the conclusion of the
last first ministers' meeting was that there
would be some adjustment of price on April
1. The Prime Minister of Canada, according
to the press— and I think it is accurate— has
had meetings with the premiers of both Al-
berta and Saskatchewan; and of course he is
convening a meeting of all the provincial
premiers imder his chairmanship on Wednes-
day.
I can't predict, Mr. Speaker, what the re-
suits of that meeting may be. The position of
this government was, I think, very dearly
stated a few days ago in this House by the
Minister of Energy (Mr. McKeough). While
we don't totally understand the $6 figure,
whi<ih was used by the federal government as
a possibility at the last meeting, we did state,
or the minister did in this House, that we
would not take violent exception to the estab-
lishment of a $6 price.
Now, whether or not tiiis will materialize
on Wednesday, Mr. Speaker, I wish I could
teM the Leader of the Opposition. I would
like to know whether it will, in fact, be
accepted by everybody and that that will be
the result of the meeting; but quite honestly
I can't at this stage, nor can I give him any
further guidance at this moment imtil after
the Wednesday meeting.
NORTH PICKERING DEVELOPMENT
Mr. R. F. Nixon: A further question of the
Premier: Is it the plan of any member of the
administration, on behalf of the government,
to submit any material to the commission that
is investigating the Pickering airport while
they are holding their hearings in the Malton
area, with the idea of the possibility of
expanding Malton instead of stickiag with the
Pickering airport?
Has the government of Ontario's position
on this changed in any way? Are there any
surveys that are available to the Premier, or
any member of the ministry, having an impact
on this that could lead the government of
Ontario to indicate that they feel the present
Pickering plan should not go forward in its
present form?
394
ONTARIO LEGISLATURE
Hon. Mr. Davis: No, Mr. Speaker, we have
no additional information as it relates to the
need or otherwise of the second international
airport. We have communicated, to Mr.
Justice Gibson I believe it is, that if there are
certain factual things that might emerge
diuing the hearing where information from
the province would be helpful, we would be
quite prepared to supply it.
But as I recall the terms of reference, they
are relatively narrow and they are confined
to the question of need; and here we feel,
Mr. Speaker, is the area for the federal gov-
ernment, of course, to make the ultimate
determination; and of course this is the
rationale for the hearing itself.
Certainly, if there are certain facts that
emerge or certain questions that are raised
during this hearing where ministries or per-
sonnel in the government can be helpful in
answering them, we have communicated to
the commission that we would be prepared
to provide information.
Mr. R. F. Nixon: Supplementary: Is there
any change in the government's attitude, that
was first expressed by the present Minister
of Energy, that Pickering is the ideal site
as far as Ontario is concerned?
Hon. Mr. Davis: Mr. Speaker, I don't like
to quote a colleague. I think, as I recall it,
the present Minister of Energy stated that
if there was to be a second international air-
port, that we felt from the standpoint of the
province there was merit in having that in-
ternational airport east of Metropohtan To-
ronto rather than, say, some substantial dis-
tance north or west.
I don't think the Minister of Energy, the
then Minister of Intergovernmental Affairs,
said it was the best site; because I don't
think we are in a position to make that de-
termination. What we did say was that if
there was to be a second airport— if there
was in fact a need for a second one— that it
would fit in v^dth the TCR and the desire
on the part of this government to see de-
velopment created east of Metropolitan To-
ronto rather than the continuation of the
pressures to the west.
Mr. S. Lewis (Scarborough West): By way
of supplementary, Mr. Speaker: Since the
Premier placed it in the context that he has,
he would agree that the scheme envisaged
by the Toronto-centred region plan did not
permit of an airport immediately on the
periphery of Metropolitan Toronto, that this
would in fact violate the plan, but considered
grov^h somewhat farther east than that in
order to conform with government objec-
tives. Since the Premier put it in that con-
text himself, why does he not now make a
submission to the Airport Inquiry Commis-
sion indicating the inconsistency of the pres-
ent site, given the overall economic objectives
of his government?
Hon. Mr. Davis: Mr. Speaker, with great
respect to the hon. member, as I understand
the function of the commission it is to deter-
mine not the location of a second intema-
ional airport, but in fact whether a second
airport is necessary.
I think it is fair to state, Mr. Speaker, that
if we'd all had our druthers, if the airport
had been X number of miles farther east it
would have been more consistent— no ques-
tion about that-wdth the TCR. But I think
it is not a question of saying it should go-
Mr. Lewis: We wouldn't have had the
airport then— it achieves the same purpose.
Hon. Mr. Davis: I think it is not a ques-
tion of saying it should be farther east; I
think the commission really is inquiring into
whether there is a need for a second facility,
period.
Mr. R. F. Nixon: Shouldn't this govern-
ment have a report on that?
Mr. V. M. Singer (Downsview): Mr Speak-
er, by way of supplementary to the Pre-
mier, is it reasonable to conclude from what
he has just said that he is going to move
with prompt dispatch to establish residential
facilities in the North Pickering site? Or is
that still left in abeyance?
Hon. Mr. Davis: No, Mr. Speaker, I think
it is fair to state that we will be moving
wdth all reasonable dispatch to provide resi-
dential accommodation in that area, because
that is consistent with the TCR and with the
objective of this government to provide hous-
ing. I would assume, as we get into this dur-
ing the estimates of one ministry or another,
that the members opposite vml be as en-
thusiastic about a residential community out
there as we are.
Mr. Singer: In line with that answer, Mr.
Speaker, could the Premier explain the rea-
son for a report addressed to the Ministry
of the Environment and dated February,
1974, which relates to water services for
North Pickering. It says: "Stage three: Pro-
vide for the completion of the water supply
system for North Pickering— 1985 ultimate. '
Does that tie in with the Premier's statement
about prompt development?
MARCH 25, 1974
395
Hon. Mr. Davis: Yes, Mr. Speaker, I think
it does. There are two aspects of servicing.
As the hon. member for Downsview is fully
aware, there is the question of the long
term and the major trunks; there is nothing
to preclude a certain amount of develop-
ment going ahead without the complete
overall servicing. We've done this in other
areas of the province, and this really should
be asked of the Minister of Housing (Mr,
Handleman). But I'm relatively optimistic
that we can move ahead without completion
of the total water and sewage systems.
Mr. Singer: Is the Premier familiar with
that report and the staging of the services?
Mr. Speaker: The hon. member for Scar-
borough West.
Mr. Lewis: Supplementary: Why doesn't
the Premier make public now all' the private
little studies that are taking place on North
Pickering, that have been requested by the
members of the management consortivmfi, who
are working on the whole project, in order to
give the citizens, with whom the government
pretends to consult publicly, some sense of
what is going on in the background of the
government plans?
Hon. Mr. Davis: Mr. Speaker, it is the in-
tent of the government, and this was made
very clear by the former minister, that we
involve the people of the area in the develop-
ment of the overall plan. This was quite con-
sistent with the fact that the three hamlets, as
I call them, will be maintained, that the
people there will not be expropriated, that
they will be part of the overall plan for the
area and that they will be involved in the
process itself.
I can't comment this afternoon, Mr.
Speaker, as to what reports will be made
available to the consortimn that is developing
the plan, or how relevant this is. I can only
assure the hon. member it is the intent of
this government to take into consideration, in
the overall plan, the views of the people who
are continuing to live in that area. There's
no question about it; it makes a great deal of
sense and we intend to do it.
Mr. Singer: Like this report of February?
Mr. W. Hodgson (York North): Supple-
mentary, Mr. Speaker: Since the inquiry com-
mission is now studying whether or not there
should be an airport, I want to ask the
Premier if in the event it is decided a second
airport is not necessary at this time, would
the present freeze on areas of Whitchurch,
Stouffville, Uxbridge and Scott township be
lifted immediately after the commission's re-
port comes out?
Mr. R. F. Nixon: Oh yes; right away.
Hon. Mr. Davis: Well Mr. Speaker, I would
think that if the federal government decides
that there will not be a second international
airport in that area, then the restrictions we
have placed upon some of that area at the
request of the federal government quite
obviously would be lifted forthwith.
Mr. Speaker: The hon. Leader of the Op-
position.
PARKWAY BELT :
Mr. R. F. Nixon: I would like to ask the
Premier if he can explain to the House why
there is a continuing delay in making public
the detailed descriptions of the boundaries of
the land covered by the Parkway Act that
went through the Legislature, I believe last
June. Are there still negotiations between the
government and individual landholders con-
cerned with whether certain parcels will be
included or not, or is this just a delay in the
bureaucracy?
Hon. Mr. Davis: No, Mr. Speaker, there
are no negotiations with any owners wdthin
the parkway belt. The finalization is a com-
plex matter as far as metes and bounds de-
scriptions are concerned, and of course this
information then will be the subject of a
hearing before a hearing oflBcer. It it our hope
that we can start these hearings sometime in
the next two or three months. It will be a
compHcated process-
Mr. R. F. Nixon: The government starts
the hearing?
Hon. Mr. Davis: Yes, it has to go through
hearings. There is the establishment of the
parkway committee— I forget the exact term-
inology—which will have some involvement in
the general concept of the scheme; but the
details of it, of course, are complex. The
rough outlines are there and there are no
negotiations with owners within the parkway
as to whether the line might be moved a little
bit north, south, east or west. That is not
going on.
Mr. R. F. Nixon: Supplementary: Why
wouldn't the hearing take place before the
metes and bounds descriptions are made
public? Surely there is some room for argu-
ment before the final boundaries are estab-
lished and the hearings should take place
before that is determined.
396
ONTARIO LEGISLATURE
Hon. Mr. Davis: With great respect, Mr.
Speaker, it really should be just the reverse.
We will lay down what we think the boun-
daries should be. The people who are af-
fected will then have an opportunity to pre-
sent their points of view to the hearing oflB-
cer, who in turn makes recommendations to
the government. When those recommenda-
tions are received then it is the responsibility
of the government— and I think we bring it
before the House, I am not sure— to accept or
reject the recommendations of the hearing
officer.
If we were to do it on the general basis
now, it could be that some owners who, when
the metes and bounds descriptions are final-
ized, would not be aflFected, might have to
go to the trouble of going and preparing
some information for a hearing officer; and
then find out, subsequently, that they wasted
their time. It is also possible that the reverse
may be true.
As I say, it's a complex legal matter that
has to be fiinalized. I think really to have the
metes and bounds descriptions and so on
finalized before the hearings is really the only
logical way to do it.
Mr. Singer: By way of supplementary, can
the Premier tell us why it is taking so long
to prepare the metes and bounds descrip-
tions? They were promised in November, in
January, in February, and according to ad-
vice I've received they are still now two
months delayed. Yet when metes and bounds
descriptions are necessary, such as those the
government needed for North Pickering, they
are produced very quickly. Is the real reason
why they haven't been produced that the
government is intending to abandon the
whole parkway belt concept?
Hon. Mr. Davis: Mr. Speaker, I recognize
that the member for Downsview, for reasons
that completely escape me— and perhaps other
members of his party— would like to see this
government abandon the parkway concept,
and see nothing but urbanization from the
centre of downtown Toronto to north of
Snelgrove— nothing but concrete and asphalt
—which is a view shared, I am sure, by the
member for York-Forest Hill (Mr. Givens).
But I want to assure the member for Downs-
view that we are not that reactionary. We
do believe in urban control-
Mr. J. R. Breithaupt (Kitchener): Just
inquiring.
Mr. Lewis: Not reactionary?
Hon. Mr. Davis: We intend to stick to the
parkway belt concept; the answer to that is
yes.
Mr. Singer: Well why does it take so long
to make the metes and bounds descriptions?
Hon. Mr. Davis: Because we want to do
it right.
Mr. Singer: Oh, baloney! Baloney.
Mr. Breithaupt: It is taking a long time.
Mr. P. G. Givens (York-Forest Hill): I am
glad to see the Premier pays attention to some
of the things the members of the opposition
ask.
Doesn't the Piemier think that it is terribly
unfair to people who are caught up in this
parkway belt, that the government has waited
a whole year before even coming around to
public hearings, and that it will probably
take at least another year until a report comes
in after the hearings are held? At the rate
the government is going, it will probably
take five years before it is ready to come in
with a report as to where it finally stands
with the parkway belt. Doesn't the Premier
think it is terribly imfair to people who are
involved in this scheme?
Hon. Mr. Davis: Mr. Speaker, I would
think that if it took five years, it would be
somewhat less than equitable. In that it
won't take five years, I don't think it will be
less than equitable.
Mr. R. F. Nixon: It'd be more inequitable—
Hon. Mr. Davis: I can only say to the
member for York-Forest Hill that this is a
very major programme and undertaking by
this government. We believe we are doing
this in the interests of the general popula-
tion, and while I recognize without any ques-
tion that there are some people within the
parkway belt, some corporations, some de-
velopers, who are being aflFected, without
any question, who are being inconvenienced—
Mr. Lewis: Some private owners.
Mr. Singer: Some farmers; a lot of farm-
ers.
Hon. Mr. Davis: Not that many farmers,
with great respect. They are, in fact, being
inconvenienced—
Mr. Singer: How many is many? More
than one?
Hon. Mr. Davis: We recognize this, but
at the same time, if one is going to undertake
as comprehensive a programme as this, to
say you are going to do it without some
degree of inconvenience to some of the own-
MARCH 25, 1974
397
ers is just not realistic. However, I can assure
the hon. member for York-Forest Hill it will
not take five years.
Mr. Singer: How many surveyors has the
government working on it?
Mr. Speaker: The hon. Leader of the
Opposition.
The hon. member for Scarborough West.
TRAILWIND PRODUCTS
Mr. Lewis: Yes, Mr. Speaker, I have a
question of the Minister of Labour. I'd
like the Minister of Labour to tell me some-
thing about his view of the metes and
bounds— it's clearly a fashionable phrase now
—of the behaviour of Trailwind Products
division of Indal Products Ltd. closing down
its plant on Friday afternoon, with less than
eight hours notice to its workers, to move to
Brampton in order to pay lower wages to the
work force without guaranteeing further em-
ployment to those whose employment was
terminated on Friday.
Mr. P. D. Lawlor (Lakeshore): And lower
taxes!
Hon. F. Guindon (Minister of Labour): Mr.
Speaker, this matter was brought to my
attention just before coming into the Legis-
lature today and I promised to look into it.
I will be glad to report to my hon. friend
tomorrow.
Mr. Lewis: All right. Well I have a
supplementary then. Could the minister in
the process of his report explain how this is
possible, since the Employment Standards
Act section on termination says no employer
shall terminate the employment of a person
who has been employed for three months
or more, unless he gives a certain amount of
notice; and the employees received notice on
Friday for a shutdown that day?
I want to know, in his reply, what the
minister is going to do with respect to
provisions of the Employment Standards
Act. Could he also explain whether it is
now desirable in Ontario for a plant de-
liberately to lower the wages of workers and
deny certification to a union by shifting in
this fashion?
Would the minister do that when he
answers?
Hon. Mr. Cuindon: Yes, Mr. Speaker;
that's the reason I would like to get all the
facts before I make a decision.
UNION GAS
Mr. Lewis: Mr. Speaker, I have another
question of the Minister of Labour. Can he
bring the House up to date on negotiations
between Union Gas and the OCAW?
Hon. Mr. Guindon: Mr, Speaker, all I can
report at this time is that the parties did meet
last week— as recently as last Thursda\ — on
their own,
Mr. Lewis: Supplementary: Is the minister
aware that negotiations broke off at 10:10
(n the morning last Friday with no re-
scheduling? And has the minister taken a
look at the possibility that the prolongation
of this strike, now into its seventh week,
might have some serious connection with
the company's present rate application and
its wish to plead poverty before the Energy
Board in order to make a case? Doesn't he
think that is a useful thing for the Ministry
of Laboiu- to examine when it is looking
over this strike?
Hon. Mr. Guindon: Mr. Speaker, I am
keeping very close to this strike at the
present time, along with, my senior oflBcials,
and I will continue to do so.
Mr. R. F. Nixon: Supplementary, Mr.
Speaker.
Mr. Speaker: The hon. Leader of the
Opposition.
Mr. R. F. Nixon: Cdn the minister t^l
the House if the Minister of Energy's, let's
say, rather quick decisions to ask that the
OPP be brought in to proteut certain facili-
ties, has in any way affected the negotiations
that have now been broken oflF?
Hon. Mr. Guindon: Mr. Speaker, in reply,
I would say to my hon. friend, not to my
knowledge.
Mr. R. F. Nixon: Are the OPP still guard-
ing these facilities?
Hon. Mr. Guindon: As far as I know,
they are.
Mr. Speaker: The hon. member for Scar-
borough West,
Mr. Lewis: Mr, Speaker, if the minister
has kept in touch, does he realize that the
matter has bogged down, essentially, on
non-monetary issues; which is very unusual in
prolonging this kind of a strike? Would he
report to the House the behaviour of Union
Gas over the first two or three weeks of the
strike in its bargaining position? Can he
do that?
398
ONTARIO LEGISLATURE
Hon. Mr. Cuindon: I'd be glad to report
any information I can possibly give at this
time.
PENSIONS TO SPOUSE
Mr. Lewis: All right, I have another
question for the minister about the Horton
strike in Fort Erie, it is a subsidiary of
Chicago Bridge. Is the minister aw^are that
this strike has occurred because the com-
pan\- refuses to provide a 50 per cent pay-
ment to the spouse in the event a man should
die before pensionable age of 65? Does the
minister not think, in the light of what
has been recommended from the Law Re-
form Commission and to the Canada Pension
Plan, that he might speak to the company
about the appropriateness of making these
pension funds available to the spouse?
Hon. Mr. Cuindon: I would like to see the
collective agreement in this particular case,
Mr. Speaker.
Mr. Lewis: By way of supplementary,
surely the minister would recognize that they
were in negotiations and that this is now a
negotiable item? Doesn't the hon. minister
think it makes sense that the widow should
receive 50 per cent at least of the pensionable
benefits if the worker dies before retirement?
After all, he has paid into them, presumably.
Doesn't the minister think that is a worthy
basis for his intervention?
Hon. Mr. Cuindon: Quite right, Mr. Speak-
er. I know it is a negotiable item and I am
sure the two parties will resolve it.
Mr. R. Haggerty (Welland South): Mr.
Speaker, I have a supplementary.
Mr. Speaker: A supplementary; the hon.
member for Welland South.
Mr. Haggerty: Thank you, Mr. Speaker.
On the Horton Steelworks, Fort Erie, Ont.,
the question I want to ask the minister is a
follow-up to what the leader of the NDP
asked. I believe the minister, two years or a
year ago, repojted to the House that there
was a study to be made on such items as
mentioned— survivors' benefits, dealing with
pensions and so forth; is that report ready
now?
Hon. Mr. Cuindon: Mr. Speaker, I haven't
had the report as yet, although I do expect
it at any moment; I would say within weeks.
Mr. Speaker: The hon. member for Scar-
borough West.
TTC SUBSIDY
Mr. Lewis: A question, Mr. Speaker, of the
Minister of Transportation and Communica-
tions: Can the minister indicate to the House
whether or not he might be willing to increase
the subsidy to the Toronto Transit Commis-
sion in order to maintain fares at their present
level and in order to avert the fare increase
that would be forthcoming; all of this given
his alleged policy on public transit?
Hon. Mr. Rhodes: Mr. Speaker, this is a
subject which is being considered at the
present time. There are a number of discus-
sions going on and I don't think I can give
a direct answer at this time.
Mr. Lewis: By way of supplementary, I
take it that an additional subsidy to the TTC
is therefore now under consideration with a
view to holding the line on fares?
An hon. member: No.
Hon. Mr. Rhodes: Mr. Speaker, I think the
answer is that we have already stated there
was to be some increase made to the subsidy.
I think that has been discussed already by the
TTC.
Mr. Lewis: By way of supplementary, the
minister is saying that the previous announce-
ment, which will require an increase in fares,
will in fact be endorsed by this government;
I ask him what it does to his emphasis on
public transit to allow fares to rise to a pro-
hibitive level?
Hon. Mr. Rhodes: Mr. Speaker, we are
well aware of the circumstances at the present
time, and if there is any further information
for the House I will be pleased to bring it
here.
Mr. Civens: A supplementary.
Mr. Speaker: The hon. member for York-
Forest Hill.
Mr. Civens: Having regard for the fact
that a considerable proportion of the revenue
raised, which is paid by the transportation
user, goes on the payment of sales tax— the
provincial sales tax on rolling stock, equip-
ment and diesel fuel— would the minister con-
sider exempting these articles from the pro-
vincial sales tax in order to keep fares down?
Interjections by hon. members.
Hon. Mr. Rhodes: Mr. Speaker, I am afraid
the question of exemptions from the provin-
cial sales tax or the federal sales tax doesn't
fall within my jurisdiction.
MARCH 25, 1974
399
Mr. Givens: But can he not recommend it
to the appropriate ministers?
Mr. Lewis: I have a question of the
Attome}- General, if I may.
Interjections by hon. members.
Mr. Speaker: The hon. member for Scar-
borough West.
PROSECUTION OF DENTURISTS
Mr. Lewis: I understand why the member
for York-Forest ffill is exercised because the
government does nothing for public transit
except talk about it.
'May I ask the Provincial Secretary for
Justice and Attorney General, if he can under-
take to the House not to permit any fmther
prosecutions of denturists in the Province of
Ontario while discussions are taking place
behind the scenes with the Minister or Health
(Mr. Miller) about a possible revision to the
Denture Therapists Act?
Hon. R. Welch (Provincial Secretary for
Justice and Attorney General): Mr. Speaker,
it would be quite improper and irresponsible
on the part of the Attorney General to give
such an undertaking.
Mr. Lewis: By way of supplementary, is it
not equally improper to persecute selectively
or prosecute selectively— both are appropriate
—individual denturists; particularly when there
is clearly some kind of re-examination taking
place of the legislation? Why hoimd people
through the courts when retroactively the
government will exonerate them?
Mr. Speaker: The hon. member for Scar-
borough West.
Mr. Lewis: No further questions.
Mr. Speaker: The Minister of Housing has
the answer to a question asked previously.
HOUSING PROGRAMMES
Hon. S. B. Handleman (Minister of Hous-
ing): Thank you, Mr. Speaker. The hon.
member for Brant (Mr. R. F. Nixon) asked
on March 15 if I would undertake to table a
complete list of the land holdings of Ontario
Housing not yet developed that might be said
to form part of the land bank, such as it is.
In answer to the hon. member's question,
I am tabling a list of the Ontario Housing
Corp.'s land bank inventory. [See appendix,
page 425.]
iThe list of some 18,000 acres of land in-
cludes some land now under development,
such as that in Hamilton and Saltfleet. As
well, it includes lands being held for future
development, such as Niagara Falls, Waterloo
and Ottawa-Carleton. These lands wall, of
course, be developed in accordance with
regional and mimicipal land development
priorities, and we will be working closely
vdth them.
In addition, any acquisition the corporation
is assembling or vidll assemble in the future
will be annoimced when the assemblies have
been completed.
Mr. Speaker: The hon. member for York-
Forest Hill.
HOUSING COSTS
Mr. Givens: I would like to ask the Minis-
ter of Housing whether he considers an apart-
ment vacancy rate of less than one per cent
in Metropolitan Toronto and an average house
price of $50,000— particularly when one hasn't
got the money— psychological or economical?
Hon. Mr. Handleman: Mr. Speaker, I
assume the hon. members question wbs
facetious. I don't consider the situation to be
satisfactory.
Interjections by hon. members.
Mr. Speaker: Supplementary?
Mr« M. Cassidy (Ottawa Centre): Supple-
mentary, Mr. Speaker.
Mr. Speaker: The hon. member for Ottawa
East with a supplementary— Ottawa West with
a supplementary.
Mr. Cassidy: Ottawa Centre, Mr. Speakerl
In view of the minister's comments about
there only being a housing price crisis, does
he feel that the fact that housing starts have
declined in major urban centres in the prov-
ince is only a reflection of the housing price
crisis, or reflects a genuine housing shortage?
Hon. Mr. Handleman: Well Mr. Speaker,
I don't know whether the hon. member has
checked his facts, but housing starts have,
in fact, not decreased in the urban centres
of the province— and therefore I can't answer
the question.
Mr. Cassidy: In major urban centres.
Mr. Speaker: Does the hon. member have
a supplementary? If not, the hon. member
for High Park.
400
ONTARIO LEGISLATURE
Mr. M. Shulman (High Park): Has the min-
ister considered bringing in rent control as
one way of bringing down the cost of hous-
ing?
Hon. Mr. Handleman: Mr. Speaker, the
answer is no.
An hon. member: Why not?
Mr. Speaker: The hon. member for Downs-
WATER AND SEWAGE SYSTEMS
REPORT
Mr. Singer: Mr. Speaker, I have a ques-
tion for the Minister of the Environment.
Would the Minister of the Environment ad-
vise us about the recommendations received
by his ministry in a report called: "Water
and Sewage Systems, Central York and
Pickering Areas"? It says, among other
things, the development of these projects
over the last seven years has been delayed
several times; and that when the recommen-
dations in the report are carried out, the
recommendations call for the building of
watermains and sewermains in the period
projected beyond 1985 but very little be-
tween 1974 and 1975, How is the govern-
ment going to build houses and relieve, in
the words of the report "the pressures for
serviced land and housing," if it is going to
stick by these recommendations, which are
to be considered, the report says, "not the
proposals of a single ministry but rather a
provincial undertaking as a whole"? Can the
minister tell us how he is going to get on
with housing if the government doesn't
build anything until 1985?
Hon. A. Grossman (Provincial Secretary
for Resources Development): Now if the
minister can remember the question.
Hon. W. Newman (Minister of the Envi-
ronment): Well quite obviously the member
didn't read the initial report that came out
three years ago.
Mr. Singer: No, I am talking about this
report in February, 1974.
Hon. W. Newman: The whole programme
is a staged programme; and the member is
talking about far-reaching parts of the area
in 1985.
Mr. Singer: Yes, but the government is not
doing anyfiiing in 1974 and 1975.
Hon. W. Newman: There has been—
Mr. Singer: In dollars or anything else.
Hon. W. Newman: Oh, yes-
Mr Speaker: Was that a supplementary?
It didn't sound like one.
Mr. Lewis: I have a supplementary. How
many serviced lots does the government ex-
pect to be able to release in the North
Pickering area within the next three to four
years?
Hon. W. Newman: Well, as the member
knows, there is still an environmental board
hearing to be held on the York-Pickering
sewer lines. This will be started very shortly.
I can't give the member the exact number
of lots that will be released for building in
1974-1975.
Mr. R. F. Nixon: Mr. Speaker, a further
supplementary, having to do with the prob-
lem that was expressed by the member for
Downsview: Has the Minister of the Envi-
ronment got a report that indicates there
is a threat of serious deep-well pollution
in the York area, because of the develop-
ment that has gone on in an improperly-
serviced manner in an area called the Oak
Ridges moraine; which, in fact, provides the
water facilities for a good deal of the area
under consideration.
Hon. W. Newman: I know they are rapid-
ly running out of water in that area, but
certainly I haven't seen that particular report.
Mr. Singer: Mr. Speaker, by way of fur-
ther supplementary: Does this report repre-
sent government policy, or is the staging
going to be as the report sets out? Or what
staging does the minister have in mind and
how is he going to provide serviced lots in
the central York and Pickering area?
Hon. W. Newman: As the member knows,
the hearings are already over on the matter
of the plan. We are moving forward as
quickly as possible in our ministry, and we
are also working with the Ministry of Hous-
ing on this project.
Mr. Singer: Is the minister following the
schedule in the report?
Hon. W. Newman: Which report is the
member talking about?
Mr. Singer: Ah, the one of February, 1974,
with the name of the Ministry of the Envi-
ronment on it.
Hon. W. Newman: We are working on a
programme to expedite water and sewage
MARCH 25, 1974
401
as quickly as possible so that the people
of this province may have homes.
Mr. Singer: But nothing in 1974.
Mr. Speaker: Order. I believe that I called
two members of the Liberal Party in succes-
sion the last time; therefore, in the interests
of equalization of opportunity, I shall call
two members of the New Democratic Party.
Interjections by hon. members.
Mr. Speaker: The hon. member for Went-
worth.
BECKER MILK CO.
Mr. I. Deans (Wentworth): Thank you very
much, Mr. Speaker; I would like to ask the
Minister of Labour a question. How long is
it going to be before the Becker Milk Co. is
required to adhere to the recommendations
of Mr. Carter, after he inquired into the un-
fair practices which it has with regard to its
employees?
Hon. Mr. Guindon: Mr. Speaker, I think
the hon. member is referring to the Becker
case, of course. Four of the former employees
have been dealt with, I think, by Prof. Carter.
I understand that if there are any other
applications, or any other employees who feel
they come under the same category, they
would have to apply to the company.
However, I must admit that this is a fairly
complex case which has lasted several months,
and I will probably have to refresh my
memory before giving the member a definite
Hon. Mr. Grossman: They should get
Anthony Bazos on that.
Mr. Deans: Well, is it the intention of the
government to bring Becker Milk Co. em-
ployees imder the Employment Standards Act
and give them the khid of protection that's
required? Is it the intention of the government
to do it now and to put a stop to the kind of
practices that employees of Becker Milk have
been undergoing and taking over the last 10
years?
Hon. Mr. Guindon: This is very actively be-
ing considfered by myself at this time.
Mr. Deans: Oh, supplementary question:
I'm not interested in whether it's actively be-
ing considered. Is it the intention of the
government to do just what Prof. Carter in
fact recommended, and find that the Becker
Milk employees are in fact employees rather
than franchised dealers, and give them the
protection that other employees in the Prov-
ince of Ontario have?
Hon. Mr. Guindon: Yes. As I said, Mr.
Speaker, I have given this some serious con-
sideration in recent months, and I propose
some day to amend the Employment Stand-
ards Act to protect these people.
Mr. Speaker: The hon. member for High
Park.
MUMPS VACCINE
Mr. Shulman: Question of the Minister of
Health, Mr. Speaker.
Mr. R. F. Nixon: When is he going to re-
sign?
Mr. Shulman: In view of the minister's
well-known interest in preventive medicine,
why has his department consistently refused
to supply mumps vaccine to doctors and
clinics?
Mr. Lewis: And he must have an opening
line.
Hon. F. S. Miller (Minister of Health):
Well, as a matter of fact, I've been investigat-
ing a triple vaccine, just to show the member
that I know there is one.
Mr. R. F. Nixon: That's a relief.
Hon. Mr. Miller: I sometimes wonder if
the hon. member is more interested in ques-
tions than in answers.
Hon. Mr. Grossman: What does the minis-
ter think?
Mr. D. C. MacDonald (York South): He
gets so few answers.
Hon. Mr. Miller: The question of vaccines
is being considered at this very moment by
the ministry, as to which ones should or
should not be issued at the government's cost
to various clinics in the province. I have it
under consideration.
Mr. Shulman: As a supplementary, if I
may: Inasmuch as all other vaccines are now
being issued free— all other routine vaccines,
such as measles, smallpox, diphtheria, polio
and the rest— why has mumps vaccine been
singled out as not to be given?
Hon. Mr. Miller: I can't answer that
specifically. As I say, I know that we were
offered a single vaccine that incorporated
three different treatments— the NMR vaccine
40^
ONTARIO LEGISLATURE
—which we thought would have certain cost-
benefit factors when we allowed for the
medical cost of injecting the vaccine. It was
about three months ago that we started study-
ing this, and I hope to have an answer on it
very shortly. I imderstand the group within
the ministry has just about finished its calcula-
tions and is about to make a recommendation
to us.
Mr. Speaker: The hon. member for Welland
South is next.
COST OF POLICING
Mr. Haggerty: Mr. Speaker, I would like to
direct a question to the Solicitor General. I'm
sure the minister is well aware of the high
cost of policing services in the regional munic-
ipality of Niagara and in other conmiunities
throughout Ontario. What progress has been
made through his ministry in negotiating an
agreement with the federal government to
provide financial assistance on a cost-sharing
formula similar to other provinces throughout
the Dominion of Canada? I believe that under
the cost-sharing formula, 48 per cent is picked
up by the federal government. What progress
is being made by the ministry now?
Hon. G. A. Kerr (Solicitor General): I am
sorry, Mr. Speaker, I didn't hear the first part
of the question. Is the member talking about
police or policing? I am sorry.
Mr. Haggerty: The cost of policing in the
regional municipality of Niagara and in
other areas and communities throughout On-
tario.
Hon. Mr. Kerr: No, Mr. Speaker, there
have been no discussions with the federal
government directly in respect to regional
police or municipal policing.
As the member knows, Ontario has a pro-
vincial pohce force, as has Quebec, while
the other provinces have the RCMP. We
have attempted to have some sort of con-
sideration given to Ontario for the fact that
we provide our own provincial police. Que-
bec, particularly, took the lead in attempt-
ing to obtain some compensation in that
regard and were turned down. However, as
far as direct subsidy from Ottawa for polic-
ing in a municipality is concerned there has
been no discussion on that.
Mr. Speaker: The hon. member for Sand-
wich-Riverside.
WIND ENERGY SEMINAR
Mr. F. A. Burr (Sandwich-Riverside).^ Mr.
Speaker, I have a question of the Minister
of Energy, of which he has had prior notice.
Is the minister aware of the wind energy
seminar to be held in May at the University
of Sherbrooke?
Hon. W. D. McKeough (Minister of En-
ergy): Yes, Mr. Speaker, because the hon.
member was good enough to write me about
it.
Mr. Burr: Is the minister going to send
observers to this seminar?
Hon. Mr. McKeough: The conference, I
think, for the benefit of the House, concerns
wind energy.
Mr. Breithaupt: The minister ought to
know about that.
Mr. E. J. Bounsall (Windsor West): At
least the conference is concerned with
energy.
Mr. T. P. Reid (Rainy River): Is the min-
ister the guest speaker?
Mr. J. E. Stokes (Thunder Bay): Is the
minister going to give a demonstration?
Hon Mr. McKeough: The ministry has not
yet made a determination as to whether we
will send observers to that conference, nor
will we make such a determination lighdy.
I'm sure the Management Board will have
to be consulted.
Mr. Bounsall: Is the Management Board
interested in energy? Lots of wind there!
Hon. Mr. McKeough: I'm sure that be-
cause it's out of the province we will be con-
sulting with the Premier, but when we make
a decision we will certainly inform the mem-
bers-
Mr. Speaker: The hon. member for Rainy
River.
INQUIRY INTO HOSPITAL EMPLOYEES'
REMUNERATION
Mr. Reid: Thank you, Mr. Speaker; I have
a question of the Minister of Labour. Can
the minister indicate the exact date that the
report of his commission investigating the
problems in the hospitals and witii hospital
employees will be brought down? Will it be
available before— I believe it's May 1 when
the hospital workers have threatened, at
:;il!MARCH 25, 1974
403
least In Toronto I believe, to go out on
strike?
Hon. Mr. Guindon: Yes, Mr. Speaker, sev-
eral weeks ago I appointed a commission of
inquiry to look into the remuneration of
employees, particularly in the service indus-
tries, in hospitals. I met with this commission
myself a few weeks ago; we have done some
work at the ministry level.
Mr. Deans: That is a delaying tactic.
Hon. Mr. Guindon: I see that they are now
inviting submissions by persons or organiza-
tions interested in making a presentation to
the commission. Now as you know, Mr.
Speaker, the scope of this inquiry— the mag-
nitude of it— is fairly large. I must admit I
do not expect a report before May 1, al-
though the commission has been told to pro-
ceed as quickly as possible.
Mr. Reid: A supplementary, Mr. Speaker,
if I may: Does the minister not agree that
the whole problem crystallizes itself into the
fact that hospital workers are imderpaid as
compared to people in similar occupations
outside of the hospitals-
Mr. Deans: Oh, that is what the problem
Mr. Reid: That these people are being ex-
ploited and that the ceilings imposed by this
government on hospitals are, in fact, one of
the reasons why these people are so poorly
paid? And does the minister not feel it en-
cumbent upon himself to provide some
guidelines so that these people can be paid
a fair wage?
Hon. Mr. Guindon: Mr. Speaker, that is
exactly the purpose of the commission, of
course; to give guidelines to both parties
when the time comes for negotiations.
I must stress the fact that last year there
were awards which were above— and as a
matter of fact far above— the ceilings during
the course of the year.
Mr. Lewis: A supplementary: Does the
minister realize that the Province of New
Brunswick has just now granted a $125
wage increase as a cost of living allowance
to hospital workers in the middle of existing
contracts because of the rise of the cost of
living?
Does the minister realize that the Province
of British Columbia just negotiated a prov-
ince-wide contract giving $1 to $1.50 more
per worker, per job, than is received in the
Province of Ontario?
Doesn't the minister think he has an
obligation, moral, political and otherwise,
to say to his cabinet colleagues: "Get oflF the
backs of the hospital workers in Ontario and
pay them a legitimate wage"; in advance of
any strike order?
Hon. Mr. Guindon: Mr. Speaker, we have
never been on the backs of the hospital
workers.
Mr. Lewis: The government certainly has.
It is a shocking position they take, the gov-
ernment and its commissions. The hospital
workers are 20 per cent behind the other
public sectors.
Mr. Speaker: Order. ' '
Hon. Mr. Guindon: That's the reason the
commission of inquiry was appointed by me.
Mr. Lewis: What does the minister need a
commission of inquiry for? What does he
need it for?
Mr. Bounsall: When it is self-evident.
Mr. Speaker: Order.
Hon. Mr. Guindon: Mr. Speaker, as a
matter of fact my hon. friend will recall
that both the former Minister of Health and
myself have recognized the fact that hospital
workers were underpaid.
Mr. Lewis: What is the government going
to do about it?
Hon. Mr. Guindon: That's the reason for
the appointment of the commission— hope-
fully they'll provide the guidelines.
Mr. J. A. Renwick (Riverdale): Give them
bargaining rights and! tiie minister won't have
to be so paternalistic.
Mr. Lewis: Who needs a commission?
What use are they?
Mr. Reid: The facts are self-evident.
Mr. Lewis: The minister knows the dif-
ference. Why doesn't he rescind the Act and
raise the ceilings?
Interjections by hon. members.
Mr. Speaker: Order.
Mr. Lewis: Well that business about rais-
ing it above the ceilings last year— Aey need
40 per cent to become aligned.
Mr. Speaker: Order. The Minister of
Revenue has the answer to a question asked
previously. The hon. the Minister of Revenue.
404
ONTARIO LEGISLATURE
Hon. A. K. Meen (Minister of Revenue):
Thank you, Mr. Speaker.
Interjections by hon. members.
Mr. Speaker: Order,
ASSESSMENT NOTICES
Hon. Mr. Meen: I was asked a question by
the member for St. George (Mrs. Campbell)
on Tuesday, March 12, as to why my min-
istry was not issuing assessment notices this
year to the citizens of this province, except
in si)eciai cases and for new construction.
I would advise the hon. member that on
Oct. 18, 1973, the former Minister of Reve-
nue (Mr. Grossman) read a statement to this
House which included a commitment to re-
turn new and updated assessment rolls to
every assessed person in all municipalities in
Ontario in 1974 for 1975 taxes and for each
year thereafter. As a result, every assessed
person will receive an assessment notice in
1974 and each year thereafter.
Mr. Speaker, I was also asked a supple-
mentary question by the hon. member for St.
George about a successful appeal by the owner
of a condominium apartment in her riding.
The owners of the condominiums at 40 Home-
wood have very recently written to the
assessment division of my ministry with re-
spect to the appeal that was made and the
court decision that reduced the assessment of
one of the owners of the condominium. The
remaining owners want to know whether or
not this decision afiFects them.
The matter is presently being investigated
by the assessment commission, and while in
previous property cases the reduction in
assessment by the court only accrues to a
person who nas successfully conducted such
an appeal and not to anyone else, there may
be a diflFerence in the case of a number of
substantially identical condominiiuns. My
legal oflBciads will be looking into this matter.
Mr. Speaker: The hon. member for
Windsor West is next.
LETTUCE LABELLING
Mr. Bounsall: I have a question of the
Minister of Consumer and Commercial Rela-
tions, Mr. Speaker. Has he commenced, and
if not will he commence, an investigation into
or initiate legal action against Dominion
Stores, which on Thursday of last week in
Toronto deliberately and falsely mislabelled
lettuce as being United Farm Workers lettuce;
a fact discovered by three Toronto clergymen?
Hon. J. T. Clement ( Minister of Consumer
and Commercial Relations): Mr. Speaker, we
have no jurisdiction on misleading advertising;
that would come under the federal Combines
Investigation Act.
Mr. Reid: Use your head.
Mr. Breithaupt: Nineteen cents a head.
Hon. Mr. Clement: I am not aware whether
there has been a charge laid or not relating
to that particular situation. I know there are
some 280 charges outstanding now. Initiated
by the federal authorities, dealing with similar
situations.
Mr. Renwick: Mr. Speaker, by way of a
supplementary question, isn't the minister
aware that there is a section of the Consumer
Protection Act of the Province of Ontario
dealing with misleading advertising?
Mr. Lewis: Of course, it is specific.
Hon. Mr. Clement: Yes, I am aware of that.
Mr. Renwick: It has never been used but
it still exists.
Hon. Mr. Clement: Yes, I am well aware
that exists. But we are of the opinion it
doesn't apply to people in this particular
instance, that it applies to itinerant salesmen.
Mr. Renwick: Just a certain kind of mis-
leading advertising.
Mr. Lewis: Just a moment, what was that?
The ministry has a section under the Con-
sumer Protection Act which, if I recall, ex-
plicitly sets out areas where complaints can
be laid against misleading advertising or mer-
chandising practices. There are penalties ap-
plied.
There is no reference to itinerant salesmen
or merchandising of any kind. It is to protect
the consumer in Ontario. And the minister is
saying that would have no application, either
to the case at Dominion Stores, or for instance
to the increase in prices in the course of one
day at A & P last weekend? None of that
would apply?
Hon. Mr. Clement: I am advised by my
law oflBcers that is correct.
it?
Mr. Lewis: Is the minister going to change
Hon. Mr. Clement: Yes sir!
MARCH 25, 1974
405
Mr» Speaker: The time for oral questions
has now expired.
Petitions.
Presenting reports.
Mr. Henderson, from the select committee
on land drainage, presented a report which
was read as follows and adopted:
Your committee recommends that it be au-
thorized to sit concurrently with the House
on Tuesdays between the hours of 3 o'clock,
p.m., and 5 o'clock, p.m., for the purpose of
considering its final report.
Mr. Breithaupt: That just cost us $10,000
a word.
Mr. Cassidy: Who will pay for this report?
Mr. Singer: A report of 13 pages.
Mr. J. F. Foulds (Port Arthur): Is that the
entire report— 13 pages?
Mr. Breithaupt: That's not much of a re-
port.
Mr. Carruthers presented the final report
of the select committee on motorized snow
vehicles and all-terrain vehicles.
Mr. A. Carruthers (Durham): Mr. Speaker,
additional copies of this report vidll be avail-
able as soon as they are received from the
printers.
Mr. Speaker: Motions.
Introduction of bills.
BEDS OF NAVIGABLE WATERS ACT
Mr. Haggerty moves first reading of bill
intituled. An Act to amend the Beds of
Navigable Waters Act.
Motion agreed to; first reading of the bill.
Mr. Haggerty: Mr. Speaker, the purpose of
this bill is to provide a uniform interpretation
of the deeds of property boimded by navi-
gable water so that the high-water mark shall
be deemed to be the boundary of riparian
ovmed lands and so that certain rights shall
still be reserved to the Crown.
Mr. Speaker: May I have the permission of
the House to revert to reports? One of the
hon. ministers forgot to present a report or
was not here.
Mr. Lewis: It depends on the minister.
Mr. Speaker: Do I have the unanimous con-
sent of the House? The hon. Attorney
General.
Hon. Mr. Welch presented the sixth annual
report of the Ontario Legal Aid Plan for the
year ended March 31, 1973.
Mr. Speaker: Orders of the day.
Clerk of the House: The first order, resinn-
ing the adjourned debate on the amendment
to the amendment to the motion for an
address in reply to the speech of the Honour-
able the Lieutenant Governor at the opening
of the session.
THRONE SPEECH DEBATE
Mr. M. Gaunt (Huron-Bruce): Mr. Speaker,
this speech has had a rather long gestation
period. I had intended to speak before the
recess on at least three different occasions,
but because my long-winded friend from
Ottawa Centre was as long-winded as I intend
to be today, I didn't quite make it.
Mr. R. D. Kennedy (Peel South): There
couldn't be two.
Mr. J. F. Foulds (Port Arthur): Imitation is
the sincerest form of flattery.
Mr. M. Cassidy (Ottawa Centre): On a point
of order, Mr. Speaker, I haven't said a word
in this debate yet. The member is well in
advance of himself.
Mr. Gaunt: I'm sorry, Mr. Speaker. I didn't
intend to be imduly provocative.
Mr. R. F. Nixon (Leader of the Opposition):
Oh, go ahead.
Mr. Gaunt: I was just anticipating my
friend, based on his past performances, and I
thought it hkely that he would give one of
his extended' presentations again.
In any case, it is a pleasure for me to
participate in this debate. I really don't want
to say very much about the Throne Speech;
actually there isn't much to talk about in
regard to the Throne Speech. I think the lack
of government initiatives in regard to that
particular speech, particularly in some very
vital areas including housing, inflation,
agriculture, land-use planning, and so on,
indicate that really it was a tired old song
by a tired old government.
Some hon. members: Right.
Mr. Gaunt: I should perhaps make some
mention about the cabinet changes that took
406
ONTARIO LEGISLATURE
place. I was very interested to see the
changes. Actually, I noticed one press report
in which the Premier had billed the cabinet
changes as an effort on his part to bring new
blood into the cabinet and to add some youth
and vigour. I noticed that there were some
cabinet ministers who were 53, and they
were replaced by cabinet ministers who were
50, and I couldn't quite understand how that
was going to result in a new and vigorous
cabinet.
In any case, I want to congratulate all of
those people who were appointed to the
cabinet, the new parliamentary assistants, and
of course I want to pay tribute to you, Mr.
Speaker, for your fairness and your patience
in what has to be a most diflRcult job— cer-
tainly it is the most diflScult on many occa-
sions, I am sure.
The main burden of what I have to say
today centres on Ontario Hydro— the power
line corridor from Bruce generating station
to Bradley junction, from Bradley junction
to Wingham, and thence to Seaforth, and
from Bradley junction to Georgetown. This
last leg of the corridor is now under study
and public meetings are being held— I rather
believe that they are just about concluded—
to get input from farmers as to where the
lines should be located. The hearings of
necessity under the Expropriations Act for
the other legs of the corridor were completed
as of two weeks ago.
In this past series of meetings, and for at
least the past year, it has been painfully ob-
vious that Hydro has lost the complete con-
fidence of the farmers and the property own-
ers vdth whom it is trying to deal.
Mr. R. F. Nixon: Right.
Mr. Gaunt: I want to study this situation
for a moment, Mr. Speaker, because I pose
the question: What has happened; what has
gone wrong? One only has to listen to the
comments and understand the tactics that
have been used to appreciate the depth of
feeling and bitterness that radiates from
these meetings. Hydro is charged with mis-
representation and with playing one farmer
against another to get a price advantage, of
leaving scars which will never be healed and
of not having accurate information. Indeed,
on that point. Hydro's soil maps have been
inaccurate, its corridor maps have mistakes
in them, and its impact study for Wallace
township was almost totally useless.
They showed the power line would have
a low impact in that particular township
even though the township contains 99.7 per
cent class 1 and 2 land. Hydro came into the
hearings of necessity on the first day. They
said, "We told you all along that we wanted
540 ft right of way from Bradley junction to
Wingham. But now we've decided, because
the farmers don't want us to take so much
land, that we need only 490 ft." Why the
sudden change?
Needless to say, it threw that hearing into
a morning of chaos. If Hydro had been sin-
cere, that change could have been made at
least six months ago because Hydro knew
for at least a year that the landovmers were
opposing the land acquisition. They knew
that. Hydro undoubtedly thought it would
be the sugar topping to make the hearings
go smoothly. It had the reverse effect.
Is it any wonder that when Hydro called
a public meeting in the Howick Central
School for Feb. 27, the meeting lasted more
than five hours— three hours after Hydro offi-
cials had tried to adjourn the meeting. Hydro
oflBcials were told that farmers did not trust
their negotiating methods. Every tactic in
the book had been used, they said— negotiat-
ing with the threat of expropriation, and tak-
ing pieces of paper and writing offers on
them with no date, no signature, no letter-
head, just a few figures on them. I have a few
examples here.
If you can tell me, Mr. Speaker, that those
types of ofi^ers indicate a good business pro-
cedure on the part of a corporation like
Ontario Hydro— its now a Crown corporation
—I must be mistaken. On a plain piece of
paper, foolscap paper, it says without
prejudice"; the name of the person; Hydro
requirements; the amoimt of land needed;
and the price per acre. It's totalled up at the
bottom and the price at the bottom is divided
by the mmiber of acres to get the cost per
acre. There is no letterhead, no signature.
Mr. R. F. Nixon: Is it written in pencil?
Mr. Gaunt: That one is written in ink. This
one is written in pencil.
Mr. R. F. Nixon: A dull pencil.
Mr. R. Haggerty (Welland South): What's
the matter?
Mr. Gaunt: I can't understand what
possesses Hydro to deal with land owners in
this fashion. How unprofessional can one get?
It's a shameful exhibition for a public cor-
poration, the third largest power producer in
the world.
Hydro has oflFered $175 per acre to a
farmer; then gone right across the road and
offered another farmer $300 per acre simply
because the first farmer was an old age pen-
MARCH 25, 1974
407
sioner and looked an easy mark to the buyer.
There is no other explanation.
This entire display by Hydro on this power
line has been nothing short of scandalous. It
has been a fiasco from beginning to end.
People have no quarrel with the local Hydro
oflScials, it's head office. Every time someone
from head office comes up, it seems it ends
up in an entire fiasco. It's a comedy of errors
from beginning to end.
It seems that every time someone leaves
620 University Ave. their new-found freedom
goes to their head and they take leave of
their senses. There is certainly no other
explanation for their unusual behaviour. Is it
any wonder that Hydro officials were told
their public meetings were ridiculous? One
farmer said this travelling road show should
be halted' until Hydro had the information
that people were seeking.
I don't really enjoy making a speech like
this, Mr. Speaker, but I think these things
have to be said. What Hydro has been doing
and the tactics it has been using in negotiat-
ing have been wrong— dead wrong. It is about
time Hydro cleaned up its act. When these
things were cited to Hydro official's they
would always deny it; theH' the same thing
would happen the very next day.
It's interesting, Mr. Speaker, that appar-
ently these things have not only been going
on in our area, in my riding, they have been
going on elsewhere as well. I received this
morning a letter from a lady at Hagersville.
She had had word that I had some interest
in the matters related to Hydro and its land
acquisition policies and so on, so she under-
took to write to me to cite a few of the things
that she and her husband had encoxmtered
with respect to Ontario Hydro and Hydro's
desire to purchase property from these people
for a hydro power line.
She talks about how they dealt v^dth them;
how unfairly Hydro dealt with them. She
says:
We had 150 acres. Hydro towers will go
across the back of the farm halfway and
then take off one side of the farm on a
slant. We keep at least 50 beef cattle all
the time and the 43 acres Hydro has taken
will certainly curtail our beef operation.
She goes on to say a little later:
Land is one commodity that cannot be
substituted. They keep mentioning that
agricultural land is so important and vital
to; our nation so how is it that the Ontario
government and Hydro can walk in, take
our land by expropriation, and pay mere
farmers just what they want to, while they
give developers, no dfoubt, what they ask?
In that connection, as she has cited earlier in
her letter, these people were offered $600 an
acre. Right across the road there was land
which was set aside apparently for develop-
ment—it was owned by a developer— and
Hydro gave the developer $2,000 an acre.
She is complaining that their land was just
as valuable to them as the land was to the
developer. I simply say, Mr. Speaker, that
Hydro has certainly dealt most unfairly with
the farmers in my area.
All of these things, I suppose, are never
without their lighter moments, and we have
had a number of lighter moments wdth
respect to the dealings of Ontario Hydro in
our area. I cite to you one which is some-
what amusing but indicates the point, I think,
that I am trying to make.
A Hydro buyer approached a farmer and,
for some reason or other, he thought he
was talking to his neighbour. The Hydro
official proceeded to tell the farmer what a
good price he was being offered for his land
and how much better it was than what his
neighbour was getting. After the farmer
listened to this for some time, he finally
said: "Well, you know, 111 have to tell you
that I am the one who is getting the lower
price." That actually happened, Mr. Speaker,
I can get an affidavit to that effect.
I simply say to you that this certainly is
not the way to instill trust, it is not the
way to conduct good faith bargaining. The
tragedy of it all is that it could have been
avoided. If Hydro had dealt with the far-
mers in a forthright, honest way and oflFered
them $500 or $600 an acre for their land
at the start— it will have to be considerably
higher now— most of the land would have
been purchased, I venture; perhaps even 90
per cent of it would have been piurchased
and nothing could have been done about
changing the alignment of that route.
The hearings of public necessity may not
have been necessary and the entire atmos-
phere and attitude toward Ontario Hydro
would have been different. Instead, Hydro
started on a path of deception early on, and
it has done nothing but breed contempt and
disdain. This is evident from a letter which
was written by the then Minister of the
Environment (Mr. Auld) to Gordon Hill,
president of the OF A, in response to a letter
Mr. Hill had sent asking for a full in-
dependent environmental assessment on the
line from Douglas Point to Seaforth.
This letter to Mr. Hill is dated March 15,
1973, and in it the hon. minister indicates.
408
ONTARIO LEGISLATURE
as one of the major reasons for refusing such
a study, the fact that about half the prop-
erties had been already acquired. I will just
read that paragraph to you: "Hydro gen-
erally endeavours to satisfy as much as pos-
sible the preferences of land owners, and I
understand that agreements have already
been reached on about half the properties."
That statement, Mr. Speaker, is simply not
true. Undoubtedly that information came
from Hydro to the minister, and the minister
was relying on Hydro to give accurate in-
formation to Mr. Hill and to provide him
with accurate facts on the situation. Hydro
certaily did not give the minister accurate
information.
One vear later, March 12, 1974, only one-
third of the land owners have reached agree-
ment. Yet a year ago Hydro was telling the
minister that about half the land owners had
reached agreement with respect to acquisi-
tion for the power line.
Hvdro was censured on the report on the
head office building for doing exactly the
same thing in regard to supplying the min-
ister with misleading and inaccurate in-
formation, which he in turn supplied to the
House in relation to Hydro's contract with
Canada Square.
Learning seems to be diflBcult for Hydro
I can't understand how that organization can
be so brilliant in some fields and so obtuse
in others. However, I want to deal with the
central issue in this controversy, the matter
of Hydro corridors slashing through prime
agricidtural lands when other alternatives
through poorer farm land are available to
them.
Three continents— North America, Europe
and Australia— export more food than they
import. Asia, Africa and South America im-
port more food than they export. However,
this situation is changing very rapidly. There
are a number of reasons why it's changing.
One of the reasons for this change is the fact
that prime agricultural land is being gobbled
up for development, whether it be for in-
dustry, housing, highways or power corridors.
In this province we are losing 26 acres of
prime agricultural land per hour to develop-
ment. In the last three years, Ontario has
last over 683,000 acres of prime land. This
represents about 1,626,857 tons of com. If
this is not stoppyed, Ontario will not have
any prime agricultural land left 50 years
from now. Ponder the implications of that
for someone shopping in the supermarkets.
It's startling. The downturn in our food pro-
duction has already started.
In 1973, we imported 62.6 million pounds
of butter into Canada, most of which came
from New Zealand and Australia. In our own
province, the consumption of fluid milk in-
creased by 1.6 per cent. Production was down
from the previous year by five per cent,
which meant we had a shortfall of 6.6 per
cent in fluid milk production last year in
the Province of Ontario.
To be sure, we have an energy crisis. How-
ever, we have our priorities in the wrong
order. The No. 1 priority is not the energy
crisis, it's the potential food crisis. And if
we don't take steps to preserve our top
agricultural land immediately, it will be-
come our No. 1 problem. If we don't do
something about this now, we will have
people starving on this continent within five
years.
That's not an hysterical comment, that's a
distinct possibility. People won't be able to
get food, not because the price is too high,
but because it won't be available at any
price. Ultimate development of the world
and Canada will depend on how much food,
not on how much energy we have.
If food— the most important ingredient in
human survival— is to be available, the pro-
ducer must be encouraged to farm the land
that produces this food. Farmers must be
allowed to do so without interference. We
in Canada have never contemplated the pos-
sibility of going hungry. Let me tell you why
it is a possibility, and I call upon a number
of experts to alert us as to the danger signals
which are now on the horizon.
Raymond Ewell, professor of chemical
engineering at the State University of New
York in Buffalo and a recognized expert on
fertilizer production, has recently returned
from Asia. His observations are pertinent. He
indicated that India used about 3.5 million
tons of chemical nutrients in 1973. This year
she will have to make do wath 2.5 million
tons. This will reduce India's grain harvest
by some 10 million tons, a tenth of last
year's total.
The US Department of Agriculture es-
timates a shortage of more than a million
tons of fertilizer this year. There are some
conflicting reports on that, but the best and
the latest information apparently is that they
are going to have a shortage of approximate-
ly a million tons this year.
The oil crisis is the immediate reason for
diflSculties in fertilizer production. Demand
for more food has always been met by ex-
panding cropland. Now, the arable land has
just about run out. TTbere is certainly no
more worthwhile acreage available in the
MARCH 25, 1974
409
most densely-populated areas of the world.
So an increase in our food supply has to
come from more intensive cultivation of the
available land. This is where fertilizer comes
in.
Figures on fertilizer usage are certainly
revealing. In 1945 American com growers
used about 7 lbs of nitrogen, the most im-
portant fertilizer element, per acre. In 1970
they were using 112 lbs— sixteen times as
much. Large amounts of fertilizer are neces-
sary for intensive cropping. Yet the energy
crisis is a major dislocating factor because
it takes energy in large amounts to make
nitrogen fertilizer. It comes from ammonia,
which in turn is made from a hydrocarbon,
usually gas or oil. It takes a ton of oil to
make a ton of ammonia, which converts to
two to three tons of fertilizer, depending on
the type.
The principal raw material of modern US
and Canadian agriculture is fossil fuel. The
recent shortages in the Middle East oil situa-
tion have had an immediate effect on fer-
tilizer production. Japan, which has been the
largest exporter of nitrogen, is said to have
cut shipments by about 30 per cent, to the
distress of China, India and Indonesia.
Zooming energy prices will have a perma-
nent impact on fertilizer economics. The
statement made by the Minister of Energy
(Mr. McKeough) before the Easter break in
relation to energy and the pricing of oil cer-
tainly mentioned this fact. I was interested
to learn just a few days ago of a big fer-
tilizer plant which is going to be built out
in Alberta. That's certainly going to help our
situation here; but even with that, it all de-
pends on the oil and gas that we have avail-
able in order to make the fertilizer.
Eighteen months ago urea, a nitrogen nu-
trient, was selling for $50 a ton. In some
places in the world it has recently sold for
as high as $225 a ton. Prof. Ewell feels the
Indians should be using at least 10 million
tons of fertilizer, because they now have the
seed, the land and the water. Ewell con-
cludes by saying:
The present world-wide shortage of
fertilizer will continue indefinitely, at least
for the next five years and probably for
the rest of human history.
There is no doubt that expanding world
population is straining the limits of land and
agricultural technology. The world popula-
tion presently stands at close to four billion
people. By the year 2000 world population
is projected to be close to seven billion
people. That is close to an 80 per cent in-
crease. And, incidentally, Mr. Speaker, that's
down from the projections of a few years
ago.
Can we increase our food production by
80 per cent in the same period? Maybe, just
maybe, we can. But we can't if we put
asphalt and concrete on all our best land.
We must preserve that land if we want to
be fed. Dr. Norman Borlaug, 1970 winner
of the Nobel prize for peace said civilization
as it is known today could not have evolved,
nor could it survive, without adequate food
supply. Yet food seems to have been taken
for granted by most of the world leaders
today.
Canada's Maurice Strong, of the United
Nations Environmental Secretariat, warned
us about misuse of our heritage. His report
says:
A global picture of food scarcity is now
emerging with disquieting implications
both for hungry people and for world poli-
tical stability. We have no safety margins
left. Another international crop failure
like that of 1972 or the recurrence of a
dust bowl like that of 1932 in the US
could now, with scant reserves, trigger
major regional disaster.
I also came across an article in one of the
farm magazines; and it quotes a person
whom I would consider to be somewhat of
an expert in this regard, an agriclimatologist
by the name of G. D. Williams. He's with
the Canada Department of Agriculture's
Chemistry and Biology Research Institute in
Ottawa. He says:
Farm land is already scarce in areas with
the best growing chmates. Farm land, like
oil, is not in limitless supply. People should
not rely on the false security they might
feel when looking at vast unpopidated ex-
panses dominating the map of Canada.
Only one-twentieth of the country consists
of improved farmland and a minuscule two
per cent of that small amount is blessed
with excellent rainfall and temperatures.
Although Canada has twice as much
farmland per person as the United States
our climate makes Canadian land only half
as productive on the average as that in the
United States. Instead of increasing to meet
growing food demand, the land suitable for
farming in the cUmatically-favoured parts
of Canada is actually decreasing at the rate
of about 100 acres per thousand person
increase in the urban population.
Mr. Williams estimates that about 400,000 of
Canada's 160 million acres of farmland are
410
ONTARIO LEGISLATURE
covered by urban development every 10 years.
He says:
Unfortunately, those 400,000 acres tend
to come from areas most climatically suit-
able for farming. Nearly half of the farm-
land losses to urban encroachment in
Canada is coming from the best one-
twentieth of our farmland. Tliis is a serious
problem, if not a crisis, and it is cause for
concern and, perhaps, alarm.
I've called upon a few experts; it's not only
my view, Mr. Speaker. I think, with the
knowledge that these men have in inter-
national affairs and as serious students of the
situation, their words are well worth noting.
Anyone who says we've all kinds of good
farmland left in this country or in the United
States isn't very astute or isn't a very serious
student of what is happening on the world
scene today with respect to food production.
I noticed an article also in the Farm and
Country over the weekend in which one of the
experts was indicating that as far as climatic
conditions are concerned our climates are
changing because the atmospheric circulation
is changing and it's afiPecting our rairifall. It's
affecting our rainfall in areas of good farm-
land. It follows from that, of coiu-se, Mr.
Speaker, that it is affecting the rainfall in
areas of high food production. That's another
implication that's easy to draw because if our
climates are changing, and if we have a poor
crop this year, next year, the year following,
we're going to be in real trouble from a world
food standpoint.
These are matters which Ontario Hydro
does not seem to understand and appreciate.
Agriculture has a low priority on its scale of
values. The Sibbald study, a private report
done for the affected Bruce and Huron farm-
ers, indicates that in this corridor of 68 miles,
for every 900 ft width, farmers will be losing
approximately 108 acres. For every mile of
540 ft width approximately 80 acres will be
lost.
The present Hydro alignment from Bruce
GS to Bradley junction, to Wingham to
Seaforth, chops through about 80 per cent
of class 1 and 2 agricultural land. The con-
ceptual ahgnment proposed by the Huron-
Bruce power negotiating committee would
utilize about half the class 1 and 2 land or
about 40 per cent. But Hydro's argument is
that this route would increase its costs of
constructing the line. Further, the Huron-
Bruce proposition is based solely on soil
capability.
That's true. There's no question that the
Huron-Bruce proposition is based on soil
capabihty but it's a very important consider-
ation and one which Hydro hasn't properly
recognized.
When it comes to the Bradley junction-
Georgetown route, Hydro is going through
some of the best agricultural land in the
townships of Tumberry, Howick and Wallace.
Wallace township alone has 99.7 per cent
class 1 and 2 land. In Howick township, the
line is cutting across some excellent corn-
land. It is chopping up farms, some of them
operated by young people who basically are
just getting started. Interestingly enough, a
survey was done in Howick township on tiie
age of the farmers in that particular location.
There are 15 over the age of 40, 37 between
the ages of 35 and 40, and 26 under 35
years of age. It is obvious that these farmers
have a great stake in the future of their land
because they are going to be aroimd for
some time.
If a farmer is operating a 100-acre farm,
and Hydro comes along and takes 10 acres,
it is obviously going to have a very serious
effect on his operation. This is what is
happening. Yet Hydro says there is no prob-
lem, that it will license the land back to the
farmer for a nominal fee so that he can work
between the towers, and the only land that
will be lost will be the land on which the
towers are sitting. This at first blush sounds
good. The sad part of it is that it isn't.
This is forcefully underlined in the study
Bruce Hewlett did for the Solandt commis-
sion on the power line between Middleport
and Pickering. Part of that study addressed
itself to the impact of powerlines on agricul-
tural land. It is found in appendix 1 of the
report and is entitled, "Concerns expressed
regarding impact of transmission corridors on
prime agricultiu-al lands." I want to read some
of the more i)ertinent points made by Mr.
Hewlett in this coimection because I think it
bears directly on what I am talking about.
Hewlett says, and 111 quote the entire report,
or most of it, here:
Towers to support the 500,000-volt lines
at present being considered by the So^landt
commission will be over 100 ft high, neces-
sitating broad-based areas. From three to
five of these towers will stand abreast in
the corridors, but will be separated enough
to allow service helicopters to land between
them. Obviously farmers who rerit the cor-
ridor back from Hydro will have great
difficulty in cultivating, sowing or harvest-
ing areas around and between the towers
in each group. Such areas will riot Only
involve non-productive land for which
MARCH 25, 1974
411
I
rentals will be paid, but will create weed
problems causing additional costs.
If I may just interject a point, Mr. Speaker,
when we are talking about reducing or in-
creasing costs and reducing eflBciency, it is
interesting to note that at the Wingham
hearings of necessity the farmers there made
the point that, if these power lines reduce
their efficiency and increase their costs by 10
per cent, that means that their profit has dis-
appeared. I think for any farmer trying to
make a living today producing food that that
has a serious implication. To continue with
what Mr. Hewlett says:
In spite of the plan to service by heli-
copter, Hydro reserves the right to use the
corridor for trucks to transport materials
and men for special services to tower lines.
It is clear that major damage to crops will
occur when such services are carried out.
Farming operations between and around
the towers will be slower and time-consiun-
ing. In any period of limited good weather
and good soil conditions, such wasted time
could be costly. Any farmer who has ex-
perienced the frustration and loss caused
dtiring seeding or harvest by a delay which
prevented him from finishing his operation
in time to avoid a week or more bad
weather or wet soil will appreciate what
such time loss can mean.
The farmer who rents back the corridor
and who uses high powered tractor equip-
ment will need to exercise great care if he
attempts to operate such equipment close
to the towers. He will be responsible for
'any damage done to them, and any such
damage caused by a heavy farm tractor
could be of a serious and costly nature.
Turning too short and not allowing space
enough for the implements, especially if
tiaore implements tfian one are being drawn
at the time, have been the cause of such
accidents. The only way to minimize the
farm problems caused would be to place it,
that is the corridor, in the centre of a con-
cession al'ong the rear of farm properties.
Here the Imes would be as distant as pos-
sible from farm dwellings since these are
usually located near the roads. There is no
question that huge towers in a broad cor-
ridor cutting a farm diagonally in two
sections would seriously depreciate its value
iDoth now and' in the future.
Hydro's payment for the land would be
in terms of land values today. If the trend
toward higher land values continues, such
payments would be far below the value of
the land a few years hence.
Farm producers are currently meeting
many difficulties through high costs of
loperation and narrow profit margins caused
by fluctuating sale prices. Further complica-
tions caused by land loss to hydro corridors
may well be sufficient to prevent some
farms from being operated.
When consideration is given to the rate
at which Ontario's limited farming land is
disappearing from agricultural use, the risk
of further loss occasioned by hydro lines
being routed through areas specifically
designated for future farming is a serious
one.
Surveys of citizen opinion to find out
what environmental impact by power line
corridors is least acceptable, usually reveal
large numbers of people concerned over
lines going through wooded areas of
countryside. Many of these people do not
live in the areas under consideration but
are organized through membership in con-
servation groups, naturalist associations and
Sierra clubs. They are reached through
•mailing lists and so can voice their opinions
in overwhelming numbers.
Worthy as their objectives are in con-
nection with such aspects of the environ-
ment as woods, streams and wildlife, they
frequently display a remarkable lack of
concern over farmlands and the operations
(which provide our food. This lack of con-
cern frequently arises from ignorance of
farm activities, which is understandable
since many members of conservation groups
are urban dwellers.
The emphasis provided by such people,
through their nmnbers and their legal
representatives, tends to outweigh that from
farm people, who usually are widely
scattered, relatively small in number by the
very nature of large farmland areas, and
often not as efficientiy organized'— and I may
add eflPectively organized— to make their
wishes known in a concerted fashion.
iThe choice for hydiro corridors frequently
is to go through eithei wooded regions or
farming districts. Surveys of public opinion
obviously place the farm voice is an un-
favourable position in deciding the choice.
Yet farmers are the people whose liveli-
hood is directly and adversely affected by
hydro lines passing through their farms,
while many active conservationists live in
urban areas that are in no way aflFected by
the corridors.
Then finally, as far as Howlett is concerned,
I just wanted to refer to a letter from Mr.
Herb Grown, who is the director of the ARDA
412
ONTARIO LEGISLATURE
branch here in the Ministry of Agriculture
and Food. Part of Mr. Crown's letter says:
There is a very limited supply of class 1
and class 2 agricultural land in this prov-
ince, and with the many dtemands that are
being placed for non- agricultural use on
this land— such as residential, industrial de-
velopment, transportation corridors, energy
corridors, and recreation areas— this minis-
try of the government is greatly concerned
that there be minimal intrusion made on
this high-quality agricultiu-al land for non-
farm purposes. We recognize that this
hydro line must be built. Our recommenda-
tion is that it be located through low
agricultural-productive lands.
That letter, incidentally, was dated March 8,
1973, So I think a good case, Mr. Speaker,
can be made for routing these hydro power
lines through poor agricultural land, I'm sure
the Minister of the Environment (Mr. W.
Newman) can appreciate this particular point,
being a farmer himself and being one who is
interested in farmers and food production.
The report of the hearing oflBcer, Mr. Craig
from Owen Sound, will come directly to the
Minister of the Environment. My hope woidd
be that, without prejudging what the report
is going to say— because I have no idea what
it is going to say— but without prejudging it,
I would hope that the minister— and I am go-
ing to talk to him about this— would suggest,
along with the Minister of Energy, that On-
tario Hydro take another look at this entire
line.
If these ministers don't want to bear the
full burden of assuming the responsibility for
having Hydro review the situation, then I
suggest that perhaps the only other alter-
native is to come up vdth a feasibility study
on the entire line to see if that is the proper
route for that line, in view of what I have
been talking about.
This is really where I criticize Hydro
severely. They really have no intimate knowl-
ed-ge of agricultural matters. They hired a
conservationist not too long ago to advise
them vdth respect to rural lands and rural
areas when they were deciding the routing
of these power lines; but they really have no
expertise in agricultural matters— none. And
this is pretty obvious when you get them out
to a farm meeting. They don't understand;
they don't appreciate.
Frankly, I think Ontario Hydro should be
setting up an agricxiltural department; they
should be setting up a department with
people who are fully conversant with agricul-
ture. It needn't be large. I am not suggesting
that Hydro increase its present great numbers
of staff to any extent. I am not suggesting that
at all. But I think that it woul(hi t hurt— in-
deed, it is vital— for Hydro to have some ex-
pertise with respect to agriculture, and they
certainly haven't got it now. Two, three or
four people would do it; that's all they need.
And I suggest they had better do it very
quickly.
All of these points— the points that I have
been talking about with respect to agricul-
tural land and the need for saving it— apply
to the Bruce-to-Georgetown and the Bmce-
to-Seaforth power corridors.
This is really an aside, but I think that
the Food Prices Review Board and Mrs.
Plumptre's posse up in Otta\va would be
much better employed if they decided to do
a study on what the loss of good agricultural
land is doing to food prices, rather than go-
ing around nipping at the heels of the various
marketing boards, which really isn't a very
effective exercise. It certainly is not, in my
view, the way to locate the ciilprit in the food
pricing system,
I think that such a study should be done
and I believe that this government could
undertake it. I understand Mrs. Plumptre is
looking for something to do, so I would think
that it would be well for her group to under-
take a serious study to determine the degree
of impact the loss of good agricultural land
has had on the price of food over the past
10 years. I think that study might be quite
revealing.
There are other matters in relation to the
power line problems I would like to mention.
I have talked about the loss of good agricul-
tural land, and I have talked about the fact
that these power corridors should be going
through poorer land that is not suited for
food production, but there are other things
too that worry me with respect to these
power lines.
I noticed an article in a Detroit paper
dated March 3, 1974, describing the diflB-
culties experienced by farmers and other
people in the State of Michigan who were
affec^ed by the power lines going through-
no, I am sorry, it is not the State of Michi-
gan, it is Indiana— going through the State
of Indiana, around a place called North
Liberty. These power lines are taking a
swath about 200 yd wide, I understand, and
it's possible for a person who is walking
near those power lines with a fluorescent
tube in his hand to have that tube light up.
And the article goes on to say that this is no
sleight of hand parlour trick.
MARCH 25, 1974
413
Tthe tube glows because of ultra-high
voltage electrical curent passing through
12 thick strands of power transmission line
strung high overhead between giant towers.
Air normally is a good insulator, but its
insulation properties break dowTi beyond a
certain critical voltage and electricity is
discharged. The electrical field that sur-
rounds the ultra-high voltage wires radiates
for many yards in all directions around it.
It is strong enough 100 yd away to light
a fluorescent tube.
Now, you can imagine what the farmers in
Bruce and Huron counties wall be doing if
they walk out some morning with a
fluorescent tube and the thing happens to
light up on them.
Mr. B. Newman (Windsor-Walkerville):
Hydro hasn't informed the people of this.
Mr. Gaunt: That's a problem. You know,
the environmentalists say, "Well, it looks as
though there may be some damage from
that." Hydro says, "No, it's perfectly harm-
less." But I'm not so sure.
Mr. R. F. Ruston (Essex-Kent): The iMin-
ister of the Environment (Mr. W. Nevraian)
is listening.
Mr. Gaunt: There are other matters here
too. These people in Indiana apparently are
voicing numerous complaints. One farmer
said that he gets a shock if he is riding on
his tractor when he goes under the line.
And he says: "You try to keep your arms
insulated on a cushion."
Well now, Mr. Speaker, can you imagine
farmers during the busy seeding time and
harvest time— you come up to the power line
and you have to stop and tuck in the cushion
so you won't get a shock when you drive
under the power line? ReaUy, Mr. Speaker,
I think that Hydro is glossing over these
problems, because I think they are real.
They have been experienced by other people
and I suggest there is a danger that our
people are going to be confronted with the
same thing.
People have been shocked when touching
farm implements. People complain about TV
reception. Here is another complaint— the
main complaint is about electrical shocks
from farm equipment operated within the
electrical field that surrounds the lines and
even from wet weeds and grass. And the one
farmer said that his cows wouldn't go un-
derneath the line in damp weather because
they get a shock.
So that really these are problems with
which Hydro has not come to grips. They
are not prepared to compensate for these
things. They simply gloss over them and
say: "Well, there is no problem. We'll look
after that. Our research has indicated that
these things don't happen and I don't know
why people are talking about them." That's
basically their answer. But yet experiences
in other areas have indicated otherwise.
Hydro has assured farmers time and time
again that no such ill-effects vdll take place.
I think it's important for me to put on the
record what I consider to be an eloquent
plea from a farmer faced with the prospect
of having his land crossed by these Hydro
towers.
His name is Bruce Nunn. He is a Wallace
township farmer and he has travelled into
many parts of the province where these
tower lines have gone. He calls the tower
lines "a spreading cancer of rural blight."
I want to quote what he says in an
article in the Listowel Banner. This was at
a public meeting conducted by Hydro and
he says:
As farmers we have only to drive down
the roads that front these tower lines to
see the change in the rural life habits of
the people. This was not an isolated case
but rather the general rule from end to
end.
And just on that point, I believe that Bruce
took his aeroplane and he flew these lines
from one end to the other. I think he took
in at least four or five.
My friend from Perth knows Mr. Nunn
and he does have a plane of his own. I be-
lieve that he flew these lines to get a perspec-
tive of what sort of changes these lines make
with regard to rural communities. He goes on:
We saw empty farm houses, empty bams,
the skeletons of gutter cleaners that pre-
viously dairy herds had stood in front of.
We saw the signs of absentee cash croppers
that moved in to acquire large acreages of
frontal lands adjoining these power lines.
The heartbreak that must be covered by
these boarded windows and dilapidated
bams can only be judged by a fanner
whose Uvelihood comes from his farm, as
well as his very reason for life.
Mr. Nunn is making the point there that these
lines, in direct opposition to what Hydro is
saying, are creating changes in rural life.
They do affect farmers' ability to make a
livelihood and they do have an impact on the
communities which they cut through.
There is no question in my mind that the
impact of these lines running across good
agricultural land is substantially greater than
414
ONTARIO LEGISLATURE
we have been led to believe by Hydro oflB-
cials. Yet Hydro is not prepared to alter its
position and indeed takes every opportunity
to drive a hard bargain. They are not pre-
pared to alter their compensation and, on top
of that, they often drive a very hard bargain
indeed. They not only intend ripping up good
agricultural land, they want to steal it into
the bargain. They are not paying enough for
injurious affection. They are not taking into
account the hardships for the farmer and the
economic impact on his operation.
I want to indicate briefly what I feel should
be done with respect to Hydro vdth regard
to going across agricultural land. The first
thing that Hydro should do is reconsider its
position that its power needs will double
every 10 years. I do not believe that to be
so. Even Bob Macaulay doesn't believe that
to be so and he is a much more authoritative
person than I when it comes to dealing with
Hydro. As I recall it, he was Hydro's counsel
at $75 an hour before the Energy Board in
Ottawa some while ago. I would think that
he should have the ear of Hydro with respect
to some of these matters.
Hydro should be stressing conservation in-
stead of greater consumption. ConsoHdated
Edison in the United States had a growth rate
of eight per cent. In 1973 they put on a con-
servation drive and they reduced consimiption
by 10 per cent. I am sure that Ontario Hydro
could do as well or perhaps even better if
they reallv tried.
A complete independent assessment of the
routing of these lines from Douglas Point
should be undertaken immediately, because
Hydro should not be going over class 1 and
2 agricultural land. As I said previously, if
the Minister of the Em'iroimient and the Min-
ister of Energy will not take a firm position
with Hydro in regard to this line, then I
think the other alternative is to come up with
an independent assessment as to where these
lines should go.
If the government won't do this, then I
think the minister should insist that Hydro
take 500 instead of 900 ft coming from
Douglas Point. Five hundred feet is suflBcient
for the facilities presently approved and is
certainly able to handle all the power capable
of being produced until 1990 and even
beyond. Hydro is actually land banking at
today's prices. In my strong view, they should
not be allowed to do so.
Hydro's methods of negotiation and acquisi-
tion are severely lacking, even mediaeval. For
goodness' sake, I think Hydro has to clean
up its act in this regard, I think it's disgrace-
ful. Surely there are enough problems without
inviting them, and all they do is invite them.
They go in to a fanner and say, "We are
prepared to give you so much money. Take it
or leave it. If you don't want it, we'll
expropriate." That's the basis upon which
they get started, and then it just goes on
from there and gets stead^y worse.
If they would go in and ask the farmer—
Hon. G. A. Kerr (Solicitor General): They
sit around the kitchen table.
Mr. Ruston: A good place to do it, some-
times.
Mr. Gaunt: When they sit around the
kitchen table, it often means that the farmer
ends up pounding the table and the Hydro
negotiator is almost thrown out bodily. I think
Hydro should sit down wdth its buyers and
negotiators and come up with a uniform
policy in this regard.
Mr. Ruston: Right. Right on.
Mr. Gaunt: There's no point in one buyer
going out and saying, "Look, weTl give you
$500 an acre" and the farmer refuses it, then
another buyer coming back a month later and
saying, "Well, we've reconsidered. We will
maybe go up to $550," What should be done
is for the buyer to go in and ask the farmer
how much he wants for his land, then start
from that basis. No other buyer in the world
would go in and say to a farmer or a property
owner, "This is what we are going to give
you. Take it or leave it or we are going to
expropriate it." That would raise the hackles
of anyone, and I don't blame property own-
ers for getting upset.
Mr. J. Riddell (Huron): Or trying to offer
a farmer less money when they found out
he had more land.
Mr. Gaunt: That's right. I think it's fair
to say that Hydro, in terms of this particiJar
line, has tried just about every trick in the
book in regard to purchasing land. I don't
know why they have done it. I can't under-
stand it, but tihat's what they have done. I
think it's wrong, and I think it should be
corrected. When we tell Hydro about it, they
say, "Oh, we are not doing that," but they
go out and do exactly the same thing the
very next day. It's frustrating to say the
least.
There's another point I think that should
be made in regard to the easements. I got
a letter from a George Adams, who is the
chairman of the Tumberry-Howick corridor
MARCH 25, 1974
415
committee, and I think he makes a very
good point in respect to these rights of way.
He says:
Hydro should oflFcr a third option to land
owners on the Hydro right of way. This
would be a lease agreement. This lease
would be for as long as there are Hydro
installations on the land. This lease would
pa;y so much per year for the land that
is used. The rent would be revised in
stated intervals, perhaps every 10 years.
This would give the next land owner
compensation for the installations. The
way it is now, he has to buy the property
at a reduced price to equivalent land
vdues in the area or he does not receive
any compensation for the installations on
the land.
This would also keep the land in the
farmers' hands. The money received would
go to help finance the operation and not
to pay off the low-interest mortgages they
now have.
Now, just on that point, when Ontario Hydro
comes through, they ask for a severance; and
that farmer may have a mortgage on his
farm with Farm Credit or, if it's an old one,
with Junior Farmers. If it's with Junior
Farmers, anyway, it's at five per cent, so
Junior Farmers will ask for some of their
loan to be paid off because their equity
position has been reduced. This is what's
happening: Not only is the farmer getting
a poor price for his land but he's losing his
low-interest rate financing. I think that point
is very valid and hopefully, if Hydro listens
to any of these remarks at all, it will consider
that particular proposal.
Mr. J. E. Bullbrook (Samia): They should
be made to capitalize the income that's lost.
Mr. Gaunt: I want to turn now for a few
moments to another matter; it's still really
dealing with Hydro but it's another facet
of what's happening at Douglas Point. It's a
problem which confronts the town of Kin-
cardine. This is a parochial problem but it's
nonetheless an important one and I want to
raise it because I think Ontario Hydro should
reconsider its rate of compensation not only
to Kincardine but to the other towns affected
by Douglas Point.
Let's take Kincardine, as an example and
I'll cite the situation in the town in 1965.
The town had carried out studies in regard
to its official plan and it was established
that the plans and services within the town
were capable of providing serviced lots for
more than 25 years of normal residential
growth. Specifically, the studies indicated
that the population of Kincardine had been
increasing very slowly in the years 1960 to
1964. The growth in that period was from
2,790 to 2,882.
The household formation rate, while in-
creasing more rapidly than total population,
grew only from 802 units in 1951 to 915
units in 1961, an average of 10.27 per cent.
On any accepted basis for projecting popula-
tion growth it was imlikely that the popula-
tion would reach 3,900 by the year 1990,
and that a more probable 1990 level would
be 3,300.
In 1965 Kincardine had an inventory of
serviced and serviceable land which was
capable of meeting its needs for at least
25 years.
Now let's take a look at the situation in
the town- in 1974. The Bruce nuclear power
development drastically altered all of this
and the changes are apparent in the figures
which I want to put on the record. In the
year 1965 the dwelling starts in Kincardine
were 10; in 1966 five; in 1967 seven. Then
we move up to 1971 to indicate what sort of
impact Douglas Point is having on Kincardine
and other towns in' the area— Port Elgin,
Southampton and so on. In 1971 the dwelHng
unit starts were 58; in 1972, 51, and in 1973
well over 100. In 1969-1970 Kincardine ex-
tended its sewer and water services to a 219-
lot subdivision beyond the town limits, and at
least 170 dwellings have been constructed
there, bringing the total for the 1965-1973
period to 562.
This growth, 562 dwelling units, is almost
exactly double the projected growth for the
25-year period' to 1990. The impact, in terms
of housing demand, of just the first stage of
the Bruce nuclear power development has
seriously depleted the stock of serviced and
serviceable lots. Even if each and every re-
maining serviced or serviceable lot in Kin-
cardine was available for building, the supply
would be totally exhausted by mid^l975. In
point of fact, all possible lots are not avail-
able and there will be an absolute shortage
of serviced building sites by mid-1974.
The rapid depletion of Kincardine's service-
able land reserve since 1968 reflects cxnJy the
impact of the first stage of development at
the Bruce nuclear power development. The
impact of the doubling programme announced
in June, 1973, is just now about to be felt
while the effect of the redoubling annoimced
on Jan. 17, 1974, staggers the imagination.
If Kincardine is to replenish its supply of
serviceable land to meet this anticipated de-
416
ONTARIO LEGISLATURE
mand, it must open a» entirely new, serviced
district.
I'd like to cite, just for the record, the cost
of doing this. To improve and enlarge its
sewage treatment fecihties would cost
$250,000. The cost of building an outfall line
from the treatment facility to deep water
would be $230,000; to provide a trunk force
sewer main and piunping station, $170,000;
to provide increased elevated water storage
capacity, $250,000; to provide increased' tnmk
water line capacity, $116,000; to construct
some arterial roads, an estimated cost of
$145,000-for a total of $1,161,000.
And that's a minimum, Mr. Speaker; that's
a bare minimum. This $1,161,000 minimum
cost does not include any work within new
development areas. This cost is not all-
inclusive. It represents only that portion of
the cost for which provisions must be made
before any steps can be taken to plan for
development of the new areas.
I should mention that Hydro is spreading
a payment throughout the area to alleviate
some of the pressures for education, housing
and development generally. That payment this
year will bring in to the town of Kincardine
something in the neighbourhood of $7,900.
When the redoubling programme was an-
nounced in January, Hydto said it would give
the town of Kincardine another $250,000. Mr.
Speaker, that is far short of what these re-
quirements are going to cost, and unless Kin-
cardine is in a financial j>osition to undertake
these projects, there is going to be a very
serious housing problem indeed in that entire
area.
The problem of meeting the requirements
to permit development of any new residential
areas is twofold. First, there is the absolute
inability of the town to finance any imder-
taking of this magnitude even if the Kin-
cardine taxpayers were willing to assume an
ad<litional debt of about $1,000 per house-
hold. Secondly, before any additional lot ser-
vicing can be undertaken, several time-con-
suming procedtires must be completed.
The depletion since 1968 of the supply of
serviceable land in Kincardine has been the
direct result of Ontario Hydro and its an-
nounced expension programme. In 1965 Kin-
cardine was in a position to absorb its ex-
pected growth for 25 years or more without
requiring substantial increases in non^resi-
dential assessment. The Bruce development
changed that. It caused the town to use up
25 years* reserve of serviceable land in just
five years. Fortunately, the development of
the Bruce facility has not sparked a corres-
ponding increase in commercial and industrial
aevelopm«it within Kincardine.
The Bruce development is local in its im-
pact on housing demand but it is provincial
in terms of benefit. So that's why I say, Mr.
Speaker, that Ontario Hydro and the govern-
ment shoiJd be in a position, and should be
prepared and willing, to pay to Kincardine
and to the other towns aflFected by the impact
of Bruce, more money to allow them to de-
velop their serviced land and to allow them
to build new roads, so that we won't have
this tremendous increase in taxation at the
local level, as I indicated previously, of at
least $1,000 per household.
I make that plea to Ontario Hydro and to
the government in the hope that thew will
come up with some more money to alleviate
these very pressing needs on behalf of
the towns m Kincardine, Port Elgin and
Southampton particularly.
I'll conclude my remarks, Mr. Speaker,
because I have taken longer than I antic-
ipated. These problems are important to
my constituents, important to the people
whom I have tiie privilege of representing
in this House, and I thought it my duty to
bring them to your attention, sir, and to the
attention of the government in the hope that
something can be done about them.
In conclusion I just want to say that I
hope that all members, after serious con-
sideration, will support the amendment put
forward by my leader in his reply to the
Speech from the Throne. It is a reasoned
amendment. It sets out the deficient areas in
the Throne Speech and in the government
programme. I hope that all members, after
serious reflection, will decide to vote with
my leader and this party on the amendment
put forward by him. Thank you very much
Mr. Speaker: The hon. member for Sand-
wich-Riverside.
Mr. F. A. Burr (Sandwich-Riverside): Mr.
Speaker, first I should like to pay my re-
spects to you. We are all glad to have you
back and to see you in such good form and
in good spirits.
I have two topics I wish to discuss today.
One is in the field of health regarding the
denturists, and the other is in the fields of
environment and energy. I announce this in
case any of those ministers wish to come
in and listen to the remarks.
On Monday, March 11, during the private
members' hour debate on the denturists, the
member for Scarborough Centre (Mr. Drea),
MARCH 25, 1974
417
asked a very good question— but he failed to
answer it.
Mr. Foulds: That is usual.
Mr. Burr: He asked:
How can you equate the training that a dentist or
a dental surgeon goes through with the training that
there is for a denturist or a denture therapist?
This drew to my attention one aspect of
the controversy that has been largely over-
looked: the relative training of the dentists
on the one hand and of the denture makers
on the other. If Alberta is any criterion, a
precise answer is to be found in the January,
1974, issue of the Journal of Prosthetic Den-
tistry in an article by a University of Alberta
faculty of dentistry professor, Dr, Allan D.
Fee. On page 20, he says:
A dental student receives 600 hours of
instruction in complete and removable par-
tial prosthodontics. A dental mechanic stu-
dent receives 1,334 hours of instruction in
complete dentures alone. A dental student
treats seven edentulous patients. A dental
mechanic student makes dentures for 200
people.
The point is, that even before graduation a
dentist's experience in making a complete set
of dentures is limited to seven patients,
whereas a denture maker's experience has
reached 200 patients. After graduation, of
course, very few dentists ever make another
set of dentures, whereas denture makers work
at the job daily.
May I remind the member for Scarborough
Centre that it is the denture maker who is
the expert, not the dentist, in the making of
dentures?
Mr. Foulds: Well said.
Mr. Burr: Some members of the Legisla-
ture may not realize that when a patient
ordeils dentures through a dentist the set is
made by a denture maker who often does
not know whether the teeth are for a man
or for a woman. He does not know anything
about the patient's colouring, or size or per-
sonality. Any skilled denturist can do a better
job and take a greater interest in his work
when he deals directly with the patient.
When a dentist orders a set of dentures
they are often made in an assembly-line
type of operation. As anyone informed about
dentures knows, the age, sex and physical
personality can be and should be reflected
in the shading, the positioning and contour-
ing of the teeth— yet some dentists fail to
provide the dental lab with any of this per-
tinent information. A denture maker who
meets his patient can do a far better job than
he can do for a person he has never seen
or heard of. That is logical. As the member
for Scarborough Centre says, it is just com-
mon sense. As Dr. Fee sums up in his article:
In four of our provinces [he should have
said five, Mr. Speaker] the dental me-
chanics have won their independence from
the dental profession. They have by their
owoi efforts raised their standards. There
has not been a public outcry about poor
service. There is no indication that the leg-
islation will be rescinded. They are pro-
viding complete dentures to an increasing
number of people.
The only other real point of concern is that
a denture maker dealing directly with the
public might fail to recognize an abnormal
condition in the mouth because he lacks the
training to do so. This is not a valid objection
for two reasons.
Firstly, for the past year the Ontario den-
turists have been insisting on certificates of
oral health, signed by a medical or dental
practitioner, as is the requirement in British
Columbia since March 29, 1962, and in
Manitoba since Nov. 1, 1972.
Secondly, the denturists want and are
eager to improve their knowledge. As a mat-
ter of fact two years ago the Ontario Den-
tm-ists Society asked for a course to be given
at Humber community college. On the basis
of favourable discussions wdth government
and college officials they prepared, at con-
siderable expense, not only a course, but also
the number of hours, and costs itemized to
the last penny.
When Bill 203 was introduced, revisions
were made to bring the coiu-se into complete
conformity with the bill. The denturists
agreed that the course shoidd be mandatory
and that any denture makers who could' not
pass the course successfully would not be
allowed to deal with the public.
'A hundred years ago the time of most
dentists was spent in extracting teeth and
making dentures. Dentistry has come a long
way since then, with emphasis on preser-
vation of teeth. In fact, the ideal family
dentist, in my opinion, is one who spends
time with his patients warning them of the
various sugar-filled foods and drinks that
cause tooth decay and encouraging them to
avoid such items. The family dentist should
consider that he has failed when he has to
extract the final teeth from the patient. That
would be the ideal situation.
(Furthermore, just as a doctor cannot also
be an undertaker, so a dfentist should have no
further financial interest in a patient whose
418
ONTARIO LEGISLATURE
teeth he has been unsuccessful in protecting
and preserving. Denture makers are to den-
tists what undertakers are to physicians. The
sooner the spheres of activity are clearly
delineated, the better for everyone con-
cerned.
Mr. Speaker, denturists are recognized as
legal practitioners in British Columbia, Al-
berta, Manitoba, Nova Scotia and Quebec.
Newfoundland and Saskatchewan will be fol-
lowing with legislation this year, it is thought.
Although Prince Edward Island has no
legislation on the subject one way or the
other, there is no objection to denturists in
that province.
When will the Conservatives of Ontario
become progressive, at least in the matter of
false teeth?
Mr. Foulds: Never.
Mr. Gaunt: Just in name only. That's all.
Mr. Burr: My colleague suggests maybe to-
morrow.
Mr. Foulds: No, never. Although we can
always hope— "hope springs eternal in the
human breast."
Mr. Burr: On another topic, Mr. Speaker,
I wish to speak on nuclear power. I intend
to speak at first mostly about the type used
in the American enriched' uranium light water
reactors rather than the Canadian reactors.
One reason for my emphasis on the Ameri-
can type is that we in Essex county are im-
mediately threatened by the presence of
enriched uranium nuclear reactors in Michi-
gan and not so much by the CANDU (Cana-
dian Deuterium Uranium) stations at Bruce,
Douglas Point and Pickering. One might say
that I am taking a parochial view. Actually
I am merely starting from a parochial view-
point.
Being downwind, Lambton and Kent coun-
ties may also feel equally threatened by the
Michigan reactors, a factor that may have
caused our Ontario Minister of Energy (Mr.
McKeough) to criticize the American nuclear
system. He says of it, and I quote him, "If a
pressure vessel containing enriched uranium
should crack, the results could be very seri-
ous." In making this statement, he is merely
echoing the opinions and fears of many far
more knowledgeable men, many of them
scientists who have worked for the United
States' Atomic Energy Commission for years.
The nuclear establishment's motto is "trust
us." Yet according to the AEC's 1973 task
force report, there had been 850 accidents
in the previous 17 months— an average of 50
per month or of five every three days. At
any rate, one can truthfully say that, on
average, the nuclear power station accident
rate in the United States is daily.
One such accident happened at the Enrico
Fermi atomic power plant at Laguna Beach
on Lake Erie, 30 miles south of Detroit and
Windsor. This plant, costing at least $133
million, was begxm in 1958 and went into
test operation in August, 1963. It was to
provid>e enough electricity for a city of
75,000 by 1964 and for a city of 150,000
by 1969.
At the end of August, 1965, hearings were
held before an AEC safety and licensing
board to get permission for the plant's op-
erating level to go from the testing level
of one thermal megawatt to the full poten-
tial of 200 megawatts. Giving testimony, Dr.
Hans Bethe, a Cornell University professor
of physics and a consultant on the nuclear
reactor project, billed in the newspapers as
an internationally known nuclear physicist,
said: "I am confident that the Fermi plant
can be operated' safely and will give satis-
factory results."
The board took his word. The plant did
operate at full 200-megawatt capacity, but
only on 26 different days and for a total of
only 378 hours during its 10-year life.
On Oct. 6, 1966, the plant was closed for
nearly three years for repairs after a metal
object clogged the flow of coolants and caused
the nuclear substance in the reactor to melt.
It is recorded that the involved executives
and scientists were terrified by the threat of
a catastrophe if the melted radioactive matter
should reassemble in a critical mass and re-
sult in an explosion. Evacuation of Detroit
was considered. However, Mr. Speaker, I can
find no mention that evacuation of Windsor,
La Salle, Amherstburg, Harrow, Chatham or
any other Ontario community was considered.
At the Fermi plant the automatic cutoff
system apparently failed to function. For-
tunately a cool-headed workman had the
presence of mind to shut doAvn the reactor
manually. The Fermi plant, incidentally, was
the first fast breeder reactor to be built.
So the closing of the Enrico Fermi plant
was announced on Nov. 30, 1972. The
amount of electricity it had produced cost $4
a kilowatt hour, not the four mills that we
had been promised. In other words, 1,000
times more than we had been promised. The
plant's nuclear core was removed and dis-
posed of by the Atomic Energy Commission
at an imdisclosed location. It was aimounced
MARCH 25, 1974
419
that the 30,000 gal. of sodium coollant would
be frozen and stored in stainless steel tanks
enclosed in concrete vaults on the plant site.
The nuclear establishment is undeterred by
its mistakes. On May 9, 1969, the Detroit
Edison Co. applied to the Atomic Energy
Commission for permission to build one of the
biggest atomic plants in the world, producing
1,127 megawatts of electricity, enough for
a city of one milHon. It was scheduled to
open in 1974 and it was to be built right
beside the original Enrico Fermi plant, about
seven miles north of Monroe, Mich., 30 miles
from Detroit and Windsor and about 12 miles
from Amherstburg.
Dr. Edward Teller, the father of the atomic
bomb, said of the Enrico Fermi accident in
particular and of the whole nuclear pro-
gramme in general, "We have been extremely
lucky," At least five United States' nuclear
plants have so malfunctioned that they have
had to be abandoned. Sealing off a radio-
active plant raises the problem of continued
radiation seepage. United States' plants have
a life expectancy of 20 to 30 years; after that
they become tombs which can never be
opened, at least for thousands of years.
At a later date I hope to discuss the
economics of nuclear power in some detail
but for the moment I shall record briefly the
following facts.
The United States has had nuclear plants
producing electricity for many years but it
was not xmtil near the end of 1971 that the
total electrical energy generated by its nu-
clear power plants exceeded or equalled the
accumulated amount of electricity that had
been used up by the enrichment plants to
produce the required nuclear fuel. In other
words, the whole nuclear system had used
up more electric energy than it had produced
until the end of 1971.
\A^hen one takes into consideration the
billions of dollars contributed by the United
States taxpayers to build those plants, pay
for research and development, the nuclear
system was, at the end of 1971, a colossal
financial disaster.
However, there are far worse sins than
ripping off the taxpayer. One of these is sub-
jecting him to unnecessary risks to his health,
his environment and his descendants' genetic
legacy— unnecessary because of the many safe,
clean, inexhaustible, feasible alternatives.
Atomic Energy of Canada Ltd. prides it-
self on its low emission rate of radioactive
materials and on its apparent ability to con-
tain, so far^ any radioactive releases resulting
from internal accidents. Apart from pointing
out that the permitted emission levels are set
by man and not necessarily by nature, and
that the only safe level is zero, as most people
agree, I shall not question the oontaiimient
capabilities of the CANDU reactors.
What can be questioned, however, is the
wisdom and morality of man creating
plutonium whether for war or for peace. We
must all question the wisdom and morality
of building these huge nuclear bombs which
we euphemistically refer to as power plants;
there are about 40 of them already in the
United States and four or five already in
Canada.
The Atomic Energy Commission talks of
1,000 reactors in the United States within 25
years as well as 2,500 fast breedere within
about 45 years. Everyone of these reactors
becomes a target for saboteurs, terrorists and
assorted maniacs. Every one of these becomes
a potential Hiroshima bomb or even worse.
At least four years ago I dtew to the at-
tention of the House, and especially to the
then' Minister of the Environment, the danger
presented by nuclear power plants. My
examples back in 1969 were chiefly American.
The minister's reply was that because On-
tario's CANDU reactors did not use enriched
uranium, they were much safer than the
American ones. This was some comfort and
events have so far vindicated the minister
as far as the apparently safe operation of
Ontario's nuclear power plants has been con-
cerned.
Unfortunately, since that time, hijacking of
planes, kidnappings for ransom and kidnap-
pings for reasons of political blackmail have
become so common that many well-known
and well-informed persons have become in-
creasingly concerned about the possibility,
the likelihood, perhaps even the certainty,
that nuclear power plants and nuclear fuel
will become part of that game now being
played so frequently and so successfully by
terrorists of various kinds.
Theodore Taylor, a nuclear physicist who
has made atomic bombs, is now trying to
alert any politician who will listen— in fact
everybody— to the grim probabihty that un-
authorized persons, meaning those outside the
military, will steal or hijack fissionable mate-
rial and make one or more bombs. He is
quoted in the Wall Street Journal of June
18, 1973, as saying:
Scientists are raising a horrendous new
possibility. It is too easy for a crazed man,
a revolutionary, or a criminal to make an
atomic bomb. I have been worried ever
since I built my first one.
420
ONTARIO LEGISLATURE
Theodlore Taylor's views on this possibility
are explained at great lengths, Mr. Speaker,
in four issues of the New Yorker, beginning
at the end of November, 1973.
The Washington Monthly for January,
1973, contained an article entitled", "Nuclear
Hijacking Now Within the Grasp of Any
Bright Lunatic." One sentence read:
Man's blindness and vanity that sug-
gests that he can do anything, even play
with vast quantities of the most intense
and long-lasting poisons, could any day
lead to the biggest disaster in history.
Even at the University of Toronto, Dr.
Philip Jones, chairman of the Institute of
Environmental Sciences and Engineering, has
within the past year referred to the possi-
bility of nuclear hijacking. He used the same
words: "Any bright lunatic could do it."
Dr. Jan Prawitz, of the National Research
Institute of Stockholm, believes that he could
produce a nuclear explosion from essentially
any grade of reactor-produced plutonium that
might be available. There are others who
believe that plutonium produced from the
uranium in the fission process may fall into
the wrong hands. Their fear grow with
every new nuclear plant that is announced.
Even if all nuclear reactors operated per-
fectly and all the humans in charge of tnem
made no mistakes, and even if the safe dis^
posal of radioactive wastes for ever and ever
were feasible, still the possibility of sabotage
or hijacking makes the proliferation of
nuclear power an act of extreme rashness.
Some people have called it criminal insanity.
So much for nuclear hijacking by terror-
ists. I have been asked whether anyone else
has raised this possibility. The answer is
that as long ago as the 1969 Los Al-amos
nuclear safety symposium, it was accepted
that "supply-stimulated" theft would develop
rapidly as more and more plutonium was
created and became accessible.
A former FBI man told that meeting that
the transportation industry in the United
States is riddled with Mafia members, any of
whom might be interested in making deals
for big money to obtain plutonium. He also
foresaw deals with foreign groups.
The matter was discussed at a recent Pug-
wash conference. A British nuclear physicist
reported that the international security system
is incapable of coping with these extra legal
and extra technical problems.
Let us consider now the safety of nuclear
reactors on site and the problem of disposal
of radioactive wastes after the fuel has been
used. These two dangers could be treated
separately but I have not had time to sep-
arate them. As many scientists are equally
alarmed by the on-site danger and by the
unsolved problems of successful disposal, I
shall discuss them together.
*In July, 1971, the Union of Concerned
Scientists, consisting of several hundred
scientists in the United States, wamedi that
the licensing of nuclear power plants with
dubious emergency core cooling systems
might result in "a catastrophe and loss of life
exceeding anything this nation has known."
The first chairman of the United States
Atomic Energy Commission, David LiHen-
thal, was reported in the New York Times
of July 20, 1968, as warning that crucial
problems were still unsolved. He said:
Once a bright hope shared by all man-
kind, including myself, the rash prolifera-
tion of atomic power plants has become
lone of the ugliest clouds hanging over
'America.
Albert Einstein said:
The splitting of the atom has changed
everything, save our modes of thinking,
and thus we drift toward unparalleled
catastrophe.
Science magazine of Sept. 1, 8, 15 and 22,
1972, had four articles on nuclear safety. The
author said that the plan for safety in one
reactor "outlines 139 unsettled safety ques-
tions and designates 44 of them as very
urgent key problem areas."
Dr. George L. Weil, the first chief of the
Atomic Energy Commission's reactor branch,
said in an article entitled, "Nuclear Energy:
Promises, Promises," just two years ago:
Today's nuclear power plant projects are
too many, too large, too soon, too in-
eflBcient. In short, they offer too little for
too many risks.
Philip Spom, the former head of American
Electric Power, a representative of the pri-
vate sector, said several years ago (Nov. 15,
1968):
We ought to slow down. We are going
to have some accidents with atomic plants.
We don't want to, but we are going to.
Rene Dubos and Barbara Ward, the authors
of "Only One Earth," say:
Men are not making a simple calculation
of gain or convenience. They are con-
fronting their own survival, that of their
children and grandchildren and the whole
race of men.
I could quote many other scientists, Mr.
Speaker, and many well-informed persons on
MARCH 25, 1974
421
this subject, but suflBce it to say that there
is a movement in the United States to stop
further development of nuclear plants.
As some members may know, Sen. Mike
Gravel introduced a bill on March 14, 1973,
to phase out the operation of all existing
civilian nuclear power plants in the United
States no later than January, 1980. The
shutdown would last indefinitely or until the
electric utilities had demonstrated that nuclear
power plants will not be a significant danger
to public health and safety or render the
country vulnerable to blackmail, terrorism
or economic chaos, which I think cannot be
proven.
Members who saw Sen. Howard Baker
of Tennessee at the televised Watergate hear-
ings will be interested in his May 31 state-
ment on a Frank Reynolds ABC-TV show
after he had said: "I don't think we can have
a fi\e-year moratorium. I think we have to go
forward as fast as possible with the develop-
ment of a nuclear energy system." When the
interviewer asked, "You do acknowledge the
risk?" Sen. Baker replied: "There is a
risk. It's probably the biggest risk, the biggest
single risk that any civilization has ever
taken."
Later, Sen. Baker sent Sen. Gravel
the fallowing clarification of what he meant
to say:
The containment and storage of radio-
active wastes is the greatest single respon-
sibility [he underlined the word responsi-
bility] ever consciously undertaken by man.
We can ill afford to fall short in our obh-
gation to protect future generations.
This statement applies to Ontario just as much
as it does to any other country contemplating
more nuclear power plants. Either of Sen.
Baker's statements, the one on risk or the
one on responsibility, should be printed across
the letterhead of every page that issues from
the offices of the Minister of Energy and from
the oflBces of Ontario Hydro. Wishing to be
helpful to the Minister of Energy, I have
composed a letterhead statement for him, al-
though Hydro has 100 PR personnel, men
and women, who could do it for him.
^ My first draft, a hurried one of course,
I is as follows: "Containment and storage of
radioactive wastes is the greatest single risk
any civilization has ever undertaken." I have
a few words left over that could be added,
such as, "of its own free will, foolishly, stu-
pidly, insanely, criminally." But I'll leave this
rough draft for the PR men to polish. They
probably have more time than I have, Mr.
Speaker. Certainly some of them must have
long periods of wakefulness at night before
they're able to fall asleep.
I should hke to make a few remarks about
what I shall call, using the kindest euphe-
mism I can, the myth that nuclear power is
clean. Electricity, generated from water
power, may deserve the label "clean," al-
though after listening to the hon. member
for Huron-Bruce this afternoon on the effect
of the transmission of power in huge amounts
by the hydro towers, perhaps I should revise
that label somewhat. Electricity is generally
regarded, let us say, as being clean, but
nuclear power is filthy.
Instead of calling this a myth, I toyed
with such expressions as "the greatest false-
hood ever told," but then I found that Dr.
John W. Gofman, whose study of nuclear
power and whose appreciation of its perils
have been intense, had a better description.
He says : "Eco-pomography takes many forms,
but none exceeds such statements as 'nuclear
power is clean.' "
We all know that coal-fuelled electric
power plants are dirty, but at least after one
of them has been operated for a span of
time and is shut dovm there is then no
further poUtition, beginning the next day.
But a filthier process than nuclear fission is
inconceivable. It's the only process which
creates pollutants so terrifying that they
must somehow be kept out of man's environ-
ment for at least 24,000 years. Can any mem-
ber in this House call that a clean source of
energy? In the long-term, nuclear power is
not merely filthy, it is obscene.
Anthony Tucker, science editor of the
Manchester Guardian, a fairly well respected
newspaper, said on Feb. 19, 1972, that if
the predictions of professional engineers are
correct about the number of nuclear power
plants we shall have by the year 2000, then
"the United States and Europe jointly will
each day have to bury or dispatch into space
the equivalent of 2,000 Hiroshima bombs."
Every day, Mr. Speaker, and yet Ontario
Hydro propagandists have the effrontery to
call nuclear fission clean.
Do the members know how hopeless and
desperate the search for an effective disposal
site for fission wastes has become? Dr.
James Schlesinger, a recent chairman of the
United States Atomic Energy Commission,
has urged the development of a space shuttle
vehicle which would fire radioactive wastes
to the sun.
Now if any member of this Legislature had
suggested such a fantastic idea he would
have been laughed right out of this House.
422
ONTARIO LEGISLATURE
Yet such is the prestige of these high priests
of nuclear fission that this proposal was
printed in the newspaper with no loss of
respect to Dr. Schlesinger. Perhaps the
reason no one laughed was the sobering
statement which accompanied his proposal.
He said:
We hope to remove these wastes per-
manently from the environment of man
■and that means for tens of thousands of
years, because some traces of plutonium,
which has a half-life of 24,000 years, re-
main in the waste.
The United Nations environmental pro-
gramme issued a 97-page report early this
month. It was referred to in the media as a
"state of the environment" report and the
member for Huron-Bruce referred to that
same report, I believe, an hour or so ago.
On page 23 we find two paragraphs that
include the following comments— this is the
United Nations, Mr. Speaker:
A possible outer limit on energy conver-
sion through nuclear fission is imposed by
its production of large quantities of ex-
tremely toxic radio-isotopes with half-lives
of the order of thousands to hundreds of
thousands of years. Plutonium 239, a
. bone-seeking, 24,400-year, hard alpha emit-
ter that is toxic in sub-microgram quanti-
ties and can form respirable aerosols, is a
prominent example.
Such substances require infallible and
perpetual isolation from the biosphere and
it is hard to imagine how this can be
done. Plans to manufacture large amounts
of transuranic isotopes must therefore be
urgently re-examined. Many classes of sub-
stances can now be identified which may
he so hazardous that man cannot trust
himself to take care of them. Identifying
such a risk is a technical problem; decid-
ing whether to incur it in the pursuit of
some benefit is a pohtical and ethical
problem.
That last sentence, Mr. Speaker, is the text
for my speech today. Remember, it is not
merely my opinion; it's the carefully con-
sidered opinion of the United Nations en-
vironmental programme.
As recently as December, 1973, at the
Pugwash conference at Oxford, Prof. Bernard
Feld of MIT stated that the diversion of
small quantities of plutonium, produced in
nuclear fission power plants, could result in
the clandestine production of hundreds of
nuclear weapons and possible blackmail by
terrorists groups.
Members of this Legislature should keep
in mind that for each pound of uranium that
is mined, CANDU produces, in its natural
uranium heavy water reactors, three times
as much plutonium as do the enriched
uranium light water United States' plants.
In that respect CANDU is three times as
dangerous as the United States' t\-pe of
nuclear reactor.
Lome Gray, chairman of Canada's AECL,
is authority for this statement, yet the AECL
has no present plans for using this accumu-
lating stockpile of plutonium and no long-
term plan for its safe disposal. In the United
States, the AEC has scores of bookkeepers
keeping an inventory of this most toxic sub-
stance whose half-hfe is over 24,000 years,
but with every day that passes, chances of
theft increase as the stockpile increases.
With every new atomic plant that is put
into operation that stockpile of wastes in-
creases. In the May, 1972 edition of the
Bulletin of Atomic Scientists, Hannes Alfven,
Nobel prizewinner in physics, says:
Fission energy is safe only if a number
of critical devices work as they should,
only if a number of people in key positions
follow all their instructions, only if there
is no sabotage, no hijacking of transports,
only if no reactor fuel-processing plant or
repository anywhere in the world is situ-
ated in a region of riots or guerrilla ac-
tivity and no revolution or war, even a
conventional one, takes place in these
regions. The enormous quantities of dan-
gerous material must not get into the
hands of ignorant people or desperadoes.
No acts of God can be permitted.
The twin dangers of nuclear fission power
plant operation and of the relentless, hourly
accumulation of long-lived radioactive wastes
are the concern not only of such well-known
individuals as Dr. John Gofman, Linus Paul-
ing, Ralph Nader, and Sen. Mike Gravel, but
also of such groups as the Federation of
American Scientists, the Union of Concerned
Scientists, the Institute of Electrical and
Electronic Engineers, the Rand Corp., and
such lay groups as Voice of Women.
Last October the committee of presidents
of 29 leading chemical societies in the United
States, representing about 300,000 chemists,
urged a review of the whole xwogramme of
nuclear fission. Recently the prestigious
Sierra Club in the United States has de-
clared itself. In addition, there is widespread
discord among top scientists of the Atomic
Energy Commission itself over the safety of
reactors, standards, waste disposal, the threat
MARCH 25, 1974
423
to public health, and even their economic
validity.
I shall give one example only. Alvin Wein-
berg, director of Oak Ridge National Lab-
oratory, after referring to the military priest-
hood which guards against inadvertent use
of nuclear weapons by the United States,
said in the July 7, 1972 issue of Science:
It seems to me that peaceful nuclear
energy will make demands of the same
sort on our society and possibly of even
longer duration.
We nuclear people have made a Faus-
tian bargain with society. On the one
hand, we offer an inexhaustible source of
energy, but the price we demand of so-
ciety is both of vigilance and a longevity
of OUT social institutions to which we are
not quite accustomed.
Reactor safety, waste disposal, trans-
port of radioactive materials are complex
matters about which httle can be said with
absolute certainty. [He asked the ques-
tion:] Is mankind prepared to exert the
eternal vigilance needed to ensure proper
and safe operation of its nuclear system?
There, Mr. Speaker, is my text again, dif-
ferent from the United Nations' wording,
but the same in thought.
The answer to this question is twofold.
First, an emphatic no. Fallibility is so char-
acteristic of man that a perfect performance
Is a rare and admirable event. Even the
achievements of astronauts have been flawed,
although not always fatally, by failure of men
and man-made equipment, although actually
three astronauts were incinerated at the be-
ginning of what was supposed to be a routine
jBight into space. A set of figures, checked
by at least 100 different experts, contained
one simple error. No, man cannot provide
infallible vigilance, even for a short time.
Eternal infallible vigilance is a fool's dream.
If the first part of the answer is "No, he
cant" the second part is "Why should he?"
Why should he, indeed, when there is no
necessity whatsoever?
The Faustian bargain, described by Wein-
berg—that is, a theoretically inexhaustible
supply of energ>' in return for handing on
to all our descendants the agonizing, ines-
capable and probably impossible burden of
eternally guarding the filthy, radioactive,
gene-changing carcinogenic wastes of the
nuclear system— is a bargain that has already
been accepted by a few without disclosing
the details to the rest of us. It is not too
late to cancel the bargain, although it be-
comes increasingly difficult as month after
month goes by and the proponents of filthy
nuclear power promote their concepts re-
lentlessly to all governments.
The atomic establishment in the United
States is facing increasing opposition. Just
recently it was refused permission to build a
nuclear reactor near Philadelphia because of
the large population living there but it was
told it could build it in a rural area where
the population was less dense. Rural people
are apparently more expendable. Conse-
quently, the American nuclear establishment
is now trying to get Canada to build nu-
clear reactors with which to supply the
United States with electricity.
This arrangement seems headed for suc-
cess in Nova Scotia. It seems headed for
success in Ontario. In British Columbia the
plan to get an atomic plant built at Skagit
seems to have run into some trouble. Pre-
mier Barrett has turned thumbs down on
nuclear power in British Columbia.
Let's take a second look at this Faustian
bargain. The offer is a supposedly inexhaust-
ible supply of energy. Attractive? Of course.
But we have an alternative choice of a dif-
ferent but guaranteed inexhaustible supply of
energy, namely solar energy.
It seems likely that all of this continent's
electrical needs could be supplied even from
wind power alone. From the Windsor Star
of March 22, 1974, we learn that United
States' scientists in the National Aeronautics
and Space Administration are even now de-
signing inexpensive, efficient windmills which
could generate 10 megawatts of power in
moderate winds. Twenty thousand of these
spaced across the western plains on their own
transmission towers could provide half of the
present United States' consumption.
Let us do a quick environmental impact
study on wdnd power, keeping in mind what
the answers might be to the same question
if one did an environmental impact study on
fossil fuel and nuclear power plants.
First, carbon monoxide effluent, zero; car-
bon dioxide effluent, zero; sulphur dioxide
effluent, zero; hydrocarbon effluent, zero;
plutoniiun produced, none; strontium 90 pro-
duced, none; cesium 137 produced, none;
carbon 14 produced, none; tritium produced,
none; probability of radioactive discharge,
zero; probability of a melt-down of radio-
active core, zero; need for everlasting dis-
posal sites, none; number of uranium miners
incurring lung cancer, none; number of lakes
and streams polluted by radioactive effluent,
none; number of poison gas shelters required
in case of leaks of deadly hydrogen sulphide,
424
ONTARIO LEGISLATURE
like those near Kincardine at Inverhuron,
none; thermal pollution, zero.
I outlined some of the dangers of thermal
pollution on June 4, 1973. Hansard records
them on pages 3207 and 3208 and I have no
intention of repeating them today. But the
above list of problems that will vanish with
the development of wind power or other
forms of solar energy is not complete, of
course. Although I may have exhausted my
listeners I have not exhausted the list of
pollutants that will be eliminated from man's
burden and environmental worries when
various forms of solar energy, such as wind
power, replace the enormously wasteful and
dirty methods now being used.
Mephistopheles' legendary offer of great
skill and magical powers required Dr.
Faustus to give his soul in return. The
nuclear establishment threatens not only
our souls, if we accept this immoral bar-
gain, but also our bodies, or at least those
of our descendants, through the genetic
havoc which some of them will almost cer-
tainly suffer.
On the other hand, Mr. Speaker, nature
offers us a safe, clean, limitiess power, with
no strings attached. Nature's offer is an
offer that we cannot refuse. There is prob-
ably only one man in Ontario who is in a
position to end this Faustian bargain, and
that of course is our Minister of Energy.
This is not a technical or a technological
problem, it is a moral or ethical problem.
The minister is not a technical man, but sure-
ly he is an ethical man.
Mr. Foulds: But is he not a moral man
either? He's ethical, yes.
Mr. Burr: We have a choice either of vari-
ous forms of solar energy or of nuclear
energy. The former have virtually no dis-
advantages; they have all the virtues of an
angel: safe, clean, moral and eternal
Mr. Foulds: But the minister is not eternal.
Mr. Burr: The latter is open to every pos-
sible kind of objection. It is hazardous in
the extreme, eternally filthy, downright im-
moral; in short, devilish.
A speech prepared by the Deputy Minister
of Energy for an engineers' meeting in Thun-
der Bay, Nov. 23, 1973, appealed for citizen
input.
The minister has made it clear in a nmn-
ber of his speeches that there is a further
informal group from which we have cer-
tain expectations, I refer to citizens who
have new ideas or concepts.
Later, the deputy minister added:
We need the support of all those peo-
ple who are the real authorities and ex-
perts on energy matters. You name the
area— wind power, etc; pick your own—
and I can assure you that we need on that
subject a greater depth and breadth of
knowledge.
Professor William E. Heronemus of the Uni-
versity of Massachusetts, probably the best-
known authority on wind power, will be
speaking at a University of Sherbrooke (Que-
bec) seminar on wind energy in May, a
few weeks from now. At both McGill Uni-
versity and the University of Sherbrooke,
there are groups very interested in wind
power conversion. Our Minister of Energy
should send observers to the seminar in order
to gain the "greater depth and breadth of
knowledge" so eagerly sought.
Mr. J. E. Stokes (Thunder Bay): And to
contribute too,
Mr. Foulds: Get him out of our hair.
Mr. Burr moves the adjournment of the
debate.
Motion agreed to.
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): Mr. Speaker, be-
fore I move the adjourimient of the House,
I would like to say that tomorrow we will
proceed with item No. 4 and then return to
this debate of item No. 1.
Hon. Mr. Winkler moves the adjournment
of the House.
Motion agreed to.
The House adjourned at 5 o'clock, p.m.
MARCH 25, 1974
425
APPENDIX
(See page 399)
LAND BANK INVENTORY
Location Acreage
Atikokan ......„.....,.,^..,..... 1,200.
Aurora 55.8
BeUeville 4.651
Bowmanville 102.144
Brantford City .....; 59.1
Brantford Township 996.7
Brockville 79.
Cobourg 179.7
Cornwall ..: 39.8
Hamilton 124.
Iroquois Falls 55.
Kingston 217.
Kitchener 302.8
Lindsay 4.9
London 92.7
Malvern 1,288.3
Location Acreage
Nepean 438.5
Niagara Falls 48.4
Oakvnie 1,297.899
Oshawa 45.3
Ottawa 5,302.
Peterborough 210.
Port Hope 42.
Saltfleet 1,662.6
Stratford 29.
Teck Township 10.1
Thunder Bay 158.4
Valley East 217.
Waterloo 2,966.8
Windsor 762.3
TOTAL 17,991.894
426 ONTARIO LEGISLATURE
CONTENTS
Monday, March 125, 1974
Sunday trucking operations, statement by Mr. Rhodes 393
Price freeze on petroleum products, questions of Mr. Davis: Mr. R. F. Nixon .... .... 393
North Pickering development, questions of Mr. Davis: Mr. R. F. Nixon, Mr. Lewis,
Mr. Singer, Mr. W. Hodgson 393
Parkway belt, questions of Mr. Davis: Mr. R. F. Nixon, Mr. Singer, Mr. Givens 394
Trailwind Products, questions of Mr. Guindon: Mr. Lewis, Mr. R. F. Nixon 397
Union Gas, questions of Mr. Guindon: Mr. Lewis, Mr. R. F. Nixon 397
Pensions to spouse, questions of Mr. Guindon: Mr. Lewis, Mr. Haggerty 398
TTC subsidy, questions of Mr. Rhodes: Mr. Lewis, Mr. Givens 398
Prosecution of denturists, questions of Mr. Welch: Mr. Lewis 399
Housing programmes, question of Mr. Handleman: Mr. R. F. Nixon 399
Housing costs, questions of Mr. Handleman: Mr. Givens, Mr. Cassidy, Mr. Shulman . 399
Water and sewage systems report, questions of Mr. W. Newman: Mr. Singer, Mr. Lewis
Mr. R. F. Nixon 400
Becker Milk Co., questions of Mr. Guindon: Mr. Deans 401
Mumps vaccine, questions of Mr. Miller: Mr. Shulman 401
Cost of policing, questions of Mr. Kerr: Mr. Haggerty 402
Wind energy seminar, questions of Mr. McKeough: Mr. Burr 402
Inquiry into hospital employees' remuneration, questions of Mr. Guindon: Mr. Reid,
'Mr. Lewis 402
Assessment notices, questions of Mr. Meen: Mrs. Campbell 404
Lettuce labelling, questions of Mr. Clement: Mr. Bounsall, Mr. Renwdck, Mr. Lewis 404
Presenting report, select committee on land drainage, Mr. Henderson 405
Presenting report, select committee on motorized snow vehicles and all-terrain vehicles,
Mr. Carruthers 405
Beds of Navigable Waters Act, bill to amend, Mr. Haggerty, first reading 405
Presenting report, Ontario Legal Aid Plan annual report, Mr. Welch 405
Resumption of the debate on the Speech from the Throne, Mr. Gaimt, Mr. Burr 405
Motion to adjourn debate, Mr. Burr, agreed to 424
Motion to adjourn, Mr. Winkler, agreed to 424
Appendix: OHC land bank inventory 425
No. 12
Ontario
Hesislature of d^ntario
OFFICIAL REPORT — DAILY EDITION
Fourth Session of the Twenty-Ninth Legislature
Tuesday, March 26, 1974
Speaker: Honourable Allan Edward Renter
Clerk: Roderick Lewis, QC
THE QUEEN'S PRINTER
PARLIAMENT BUILDINGS, TORONTO
1974
10
Price per session, $10.00. Address, Clerk of the House, Parliament Bldgs., Toronto
CONTENTS
(Daily index of proceedings appears at back of this issue.)
LEGISLATIVE ASSEMBLY OF ONTARIO
The House met at 2 o'clock, p.m.
Prayers.
Mr. R. B. Beckett (Brantford): Mr.
Speaker, I would like at this time to have the
opportunity to introduce to this House 35
ladies from the women's institutes of Brant
county, which is the birthplace of Adelaide
Hoodless Hunter who was the founder of the
Women's Institute. They are in the east
gallery, sir, and I ask this House to receive
them.
Mr. R. D. Kennedy (Peel South): Mr.
Speaker, I would like to introduce, in the
west gallery, grade 12 and 13 students from
Port Credit Secondary School with their
teacher, Mr. Chaffe, from the great riding of
Peel South.
Mr. D. A. Evans (Simcoe Centre): Mr.
Speaker, I would like to introduce to you, and
through you to the members of the Legisla-
ture, 40 grade 12 students from Barrie Central
Collegiate Institute in the great city of Barrie.
Mr. Speaker: Statements by the ministry.
URANIUM AND ASSOCIATED
NUCLEAR FUELS POLICY
Hon. W. G. Davis (Premier): Mr. Speaker,
I recognize that the hon. members here ap-
preciate that uranium is of particular im-
portance to the Province of Ontario, About
80 per cent of the national inventory of
proven reserves, which represents almost 20
per cent of the western world supply, is foimd
within the borders of Ontario. This places
upon us a particular responsib^ity in the
national context. It is our view that, in eflFect,
we hold these resources in trust for the total
country.
Uranium is of great importance to Ontario
at the present time. We should anticipate that
its relative importance will increase with the
realization of the physical limitations of sup-
ply of oil and gas and our vulnerability with
respect to price. As a case in point, a 25-
cent-per-barrel increase in the price of crude
oil is equivalent to an increase of $7.50 a
pound for uranium, given that one pound of
Tuesday, March 26, 1974
uranium is roughly equivalent to 30 barrels
of oil as an energy source. Electrical gener-
ating systems based on nuclear fuel are ob-
viously less sensitive to price increases than
those based on fossil fuels.
As hon. members are aware, Ontario Hydro
has recently announced a nuclear programme
that calls for an additional 8,000 megawatts
of capacity to be in operation by 1984. Added
to the 2,000 megawatts at Pickering and the
3,000 at Bruce, this will result in Ontario
having an installed nuclear generating
capacity of over 13,000 megawatts.
To put this into perspective, only 10 coun-
tries in the world have total electrical gener-
ating capacities equal to this current Ontario
nudear commitment. The Canadian Nuclear
Association estimates that by the year 2000,
nuclear generating capacity in Canada will
total 133,600 megawatts, of which 62,800
megawatts will be installed in this province.
That compares with the present nuclear oper-
ating capacity in Ontario of 2,300 megawatts
and 3,000 now under construction. It is pro-
jected that the total capacity in Ontario that
year will be approximately 100,000 mega-
watts.
Quite obviously the projected increase in
nuclear generation has important implications
to Ontario and, further, introduces particular
responsibilities in national terms because of
the dominance of Ontario as a supplier of
uranium. The presence of uranium within our
borders and the expansion of nuclear gener-
ating facilities will reduce our provincial de-
pendence on energy sources from beyond our
borders.
At the same time, Ontario's uranium re-
sources must be so managed that the avail-
ability of uranium does not become a
constraint on the projected expansion of nu-
clear generation in the other regions and
provinces of Canada, on the exploitation of
CANDU and potential sales to foreign
markets.
It is the view of the government of Ontario
that present national policy, as it applies to
uranium, fails to best serve the national inter-
est and the interests of this province. It is
our view that joint federal-provincial planning
is necessary to ensure that Canada's uranium
430
ONTARIO LEGISLATURE
resources and the associated nuclear fuels are
developed in the best uiterests of nation and
pro\ince.
Hon. members will recollect that in the
energ\- policy paper prepared by my then
parliamentary assistant— now the Minister of
Energy (Mr. McKeough)— it was noted that
the Atomic Energy Control Act of 1946,
which vested control of uranium, thorium
and plutonium in the Atomic Energy Control
Board, was passed at a time when the prin-
cipal use of uranium was expected to be
military-, rather than peaceful. Changing cir-
cumstances have modified the validity of
this Act, and its impact in terms of explora-
tion, development and processing is no longer
serving the national interest.
In our energy policy paper the following
statement was made:
Consistency in mineral poHcy and the
necessity of Ontario assuring a secure sup-
ply of uranium dictate that Ontario should
seek the restoration of the control of ura-
nium and thorium to its jurisdiction. Na-
tional concerns should be fully satisfied
that the government of Canada retains
control of plutonium. The international
and interprovincial movement of uranium
and thorium should continue to be under
federal control . . . The policies of the
federal government with respect to equity
control of uranium mines are such that
exploration and development is greatly
impeded. Modifications of these policies
should be sought.
At the first ministers' conference on energy
in January, the Ontario position was stated:
In order to assure the continuing avail-
ability of uranium at reasonable cost to
Canadian users, Ontario supports its pro-
duction and marketing as a national com-
modity controlled in the national interest.
Certainly we have a point of view as to pol-
icy changes that would contribute to the
accomplishment of these purposes. We are
of the view that the orderly and optimum
development of the uranium industry would
be served if there were increased provincial
control over exploration, production and
processing.
We are in no sense unsympathetic to the
objective of retaining, to the extent practi-
cable, the control of Canadian resources in
the hands of nationals. We are not, however,
convinced that equity requirements with re-
spect to the ownership of uranium mines and
the granting of exploration permits should be
significantly diff^erent than those that apply
to oil, gas and coal. At present they are sig-
nificantly diff^erent.
The regulations applied to uranium are
sufiiciently restrictive as to have inhibited
exploration at a time when increasing de-
mand—national and international— would sug-
gest that exploration and development should
be engaging the attention of an increasing
number of exploration companies. Ontario
suggested at the first ministers' conference
on energy that incentives should be designed
which would tend to increase exploration for
uranium.
A formula should be developed which will
establish the long-term requirements for
uranium in Canada, and guidelines govern-
ing the export of uranium should be so de-
signed that they will assure adequate sup-
plies for Canadian users. The amount of
uranium that will be required in Canada-
given our current projections for the con-
struction of nuclear plants— is substantial. In
Europe or Japan and in the United States
there is a similar swing to nuclear generation
which, it is fair to assume, could well re-
sult in a sudden short-supply situation on
a world scale.
The government of Ontario has made a
commitment to the transfer of nuclear tech-
nology to the private sector to facilitate the
use of Canadian technology in domestic and
foreign markets. This province would wel-
come a national commitment to the achieve-
ment of this purpose.
It is the view of Ontario that the federal
and provincial governments should jointly
seek further means of upgrading any ura-
nium exported from this country. This would
contribute to the broadening of the indus-
trial base of the nation and assure that the
maximum economic benefit associated with
the presence of a scarce and valuable indi-
genous resource was achieved.
The clear objective of the government of
Ontario is to assure that the very large in-
vestment made in nuclear generation facili-
ties by Ontario will be protected and that
the plans or intentions of other provinces
will not be frustrated through shortages of
uranium resulting from inappropriate na-
tional policy.
Shortly-at 3 o'clock, Mr. Speaker-the gov-
ernment will table a paper outlining our posi-
tion on a uranium policy for Canada. We
would be pleased to discuss this with other
provinces and with the federal government
with a view to establishing as quickly as
possible a national uranium policy designed
to serve the best interests of all Canadians.
MARCH 26, 1974
431
Mr. J. A. Renwick (RiverdJale): What the
government gave up 30 years ago, it is trying
to get back. Unbelievablel
Mr. Speaker: Oral questions.
The hon. Leader of the Opposition.
URANIUM AND ASSOCIATED
NUCLEAR FUELS POLICY
Mr. R. F. Nixon (Leader of the Opposition):
Thank you, Mr. Speaker. A question of the
Premier following the statement he just made,
copies of which are not yet available.
For clarification, I want to ask the Premier
if his statement indicates that the govern-
ment of Ontario would have no objection, for
example, if the controlling equity of Denison
Mines were to pass into, lets say, American
hands, as almost happened three years ago.
Hon. Mr. Davis: Mr. Speiaker, I think there
are degrees, of course. It's not a question of
controlling equity; it's a question of a degree
of equity to enable further exploration to take
place. This government, I think, has con^
sistently been in' support of greater Canadian
control over our commercial and industrial
base, to the etxtent that it is practical. But I
think it is also fair to point out that, as it
relates to uranium, it has been inhibiting and)
far more restrictive than in, say, the case of
oil, gas or coal.
What we are seeking is some balance
whereby further exploration capital can be
found to develop what we think is a very
important potential resource for this province.
Mr. Renwick: Belonging to the people!
Mr. R. F. Nixon: Supplementary: Would
the Premier then be seriously proposing to
the government of Canada that it should
allow the control or ovmership of this emerg-
ing energy source to go the same way as un-
fortunately it has allowed the ovmership and
control of the gas and oil resources of this
nation to go?
Hon. Mr. Davis: Well, Mr. Speaker, if the
member for Brant is suggesting that it is un-
fortimate that oil and gas are not under the
total control of Canada, I think that is some-
thing we might debate on some other occa-
sion.
Mr. R. F. Nixon: I consider it unfortunate.
Doesn't the Premier?
Hon. Mr. Davis: What I am saying in this
statement is that we have to find a better
balance to encourage development and ex-
ploration for uranium.
Mr. J. E. Bullbrook (Samia): The Premier's
statement really says nothing.
Hon. Mr. Davis: I think it is important that
it is done, and that it is done very shortly.
Mr. Bullbrook: The Premier says this is a
resource being held in trust for Canadians.
That's what he said. That's part of his state-
ment.
Mr. I. Deans (Wentworth): Supplementary
question: Is the Premier rejecting the proposi-
tion that the government may acquire the
equity in the public interest?
Hon. Mr. Davis: Mr. Speaker, I recognize
that the hon. member would have the public
control the equity in everything in this prov-
Mr. Deans: I would certainly have them
control m-aniiun.
Hon. Mr. Davis: —we just don't happen to
share that poHtical point of view.
Interjections by hon. members.
Hon. Mr. Davis: It is our view that the
private sector has a role to play^
Mr. E. W. Martel (Sudbury): Why do Euro-
pean countries do as they do?
Hon. Mr. Davis: I think it was obvious
from the statement of the Minister of Etnergy
a few weeks ago, whereby we are involving
the private sector in the further development
of nuclear technology, that we are anxious to
see that this is done.
Mr. Deans: We are being held to ransom
by the private sector.
Mr. J. F. Foulds (Port Arthiu^): They've
sold us out for the last 30 years.
Hon. Mr. Davis: I think it is also important
to point out that if there is potential, and we
believe there is, in the exploitation of the
CANDU system, it is important to have the
private sector involved for marketing pur-
poses. And I would say that there is nothing
inconsistent-
Mr. Deans: For marketing uranium?
Hon. Mr. Davis: For marketing the
CANDU system.
Mr. S. Lewis (Scarborough West): But not
the ownership of uranium.
432
ONTARIO LEGISLATURE
Mr. Renwick: Surely not the ownership of
uranium.
Hon. Mr. Davis: And I would say, Mr.
Speaker, that we are making it very clear in
this statement-
Mr. Deans: The government has always
said it would provide 80 per cent of it. Don't
be silly!
Hon. Mr. Davis: —that we want a greater
degree of input into the decision-making pro-
cess, that we are anxious to have greater
exploration because we think uranium is an
important resource and should be available
for the total country.
Mr. Deans: Then move into the field.
Mr. Renwick: And it belongs to the
people.
Hon. Mr. Davis: We think this is the most
intelhgent way to proceed with it.
Mr. Speaker: The hon. member for Samia.
Mr. BuUbrook: Supplementary: Would the
Premier attempt to resolve for me an obvious
dichotomy in his statement? As I recall, part
of his statement said that the government of
Ontario recognized this as a resource held in
trust for the people of Canada. How does
the Premier resolve that with his lack of
response to the Leader of the Opposition,
when he could give no assurance he wouldn't
permit control to go outside the borders of
Canada?
Hon. Mr. Davis: Mr. Speaker, I guess one
can argue about what one means by control.
Quite obviously, control is always with the
province or, in the case of uranium, control
at this moment is with the federal govern-
ment. What we are talking about is the
question of further development of the
uranium resource. Yes, control will be as-
sumed by the province or the federal govern-
ment, we hope on some sort of co-operative
basis. What we are seeking, as I say, is
additional input into the development of
this very important resource.
The question of the control of the actual
company, as to who may be doing it, is
something that would be consistent with our
total policy, one aspect of which, of course,
is the question of Canadian directors forming
the majority on any Ontario corporation.
Interjections by hon. members.
Hon. Mr. Davis: I think, Mr. Speaker, it
is very important to point out that this is an
important resource. We must have further
development and the present policies of the
federal government are totally inhibiting.
That's one reason we have not had the kind
of exploration that we think is essential.
Mr. Speaker: The hon. member for Scar-
borough West.
Mr. Lewis: What degree of provincial in-
vestment does the Premier intend to provide
in the development and exploration which
he proposes? To what extent is he willing
to alienate this energy resource from the
private sector beyond that which is now in-
volved?
Hon. Mr. Davis: With great respect, Mr.
Speaker, once again, political philosophies
differ. There is a very distinct diflFerence
between control in the sense that this prov-
ince or the federal government would have
control over exports and the use of that
resource, and the question of who puts in
money or capital for its development. I would
say that the two are totally consistent if one
wants to apply a particular philosophy, and
certainly inconsistent, I am sure, in the view
of the member for Scarborough West.
Mr. Lewis: Who has the ownership?
Mr. Renwick: Who owns it?
Mr. Speaker: The hon. member for Downs-
view.
Mr. V. M. Singer (Downsview): I wonder
if the Premier could tell us if this statement
is made in light of a particular proposition
that has been put to the government? What
kind of ownership criteria is he thinking
about? Has he got some specific proposal' on
his platter now which motivates this state-
ment and this whole thing which bothers us
so much; can he expand on what the criteria
are?
Hon. Mr. Davis: Mr, Speaker, I think the
hon. member for Downsview is singling out
one particular aspect of the statement. What
we are primarily concerned about is—
Mr. Bullbrook: Yes, he is— that's what he is
concerned about.
Hon. Mr. Davis: —the existing degree of
federal control over uranium, its export and
its development or exploration. What we are
saying is that when that Act was passed, and
I'm not quarrelling with it, uranium was
looked upon as a strategic resource in a
military sense.
Mr. Lewis: Right.
MARCH 26, 1974
433
I
Hon. Mr. Davis: What we are saying to-
day is that that day has passed. There is
still a degree of strategic importance, I am
sure, but we are looking at it-
Mr. Bullbrook: It is strategic in the national
jSense, not the provincial sense.
Hon. Mr. Davis: —from the standpoint of
an energy source.
Mr. Speaker: Order.
Hon. Mr. Davis: Within the context of an
energy resource-
Mr. Ren wick: Just as strategic as tihe oil in
the Middle East.
Hon. Mr. Davis: —we are saying that the
province should be given more jurisdiction so
that we can encourage development of this
resource in an intelligent and logical fashion.
To me it is relatively simple.
Mr. J. E. Stokes (Thunder Bay): Stephen
Roman couldn't have said it better.
Mr. Singer: Couldn't the Premier answer
a simple question? He has avoided both my
questions.
Mr. Speaker: The hon. member for High
Park.
Mr. M. Shulman (High Park): Does the
Premier agree or disagree with his fellow
Conservati\e, Stephen Roman, who believes
the control of the largest amount of uranium
in this province, Denison Mines, should be
sold to American interests?
Hon. Mr. Davis: Mr. Speaker, I think I
made my position clear several months ago.
Mr. A. J. Roy (Ottawa East): His position
is never clear.
Hon. Mr. Davis: I happen to believe, to
the extent that it is practical, that there
should be as great a degree of Canadian
ownership of the resource industries as is
possible. I think this has to be measured
against the international situation, on which
the hon. member for High Park is a far
greater expert than I am— I won't go back to
his many appearances on television— but he
did make some observations about multi-
national companies, if memory serves me cor-
rectly, and their important role in international
trade.
control which is essential, and that is the use
of this resource for the consumers of Ontario
and Canada, this province intends to exercise
its jurisdiction. I think that has to be separ-
ated from the way the resource itself is
developed.
Interjections by hon. members.
Mr. Speaker: There have now been seven
supplementaries which is a reasonable nirni-
ber. The hon. Leader of the Opposition.
Mr. Bullbrook: That's the most important
statement we have had in years.
Mr. Singer: It is important for what it does
not say as well as for what it does say.
Mr. Ren wick: I can hardly wait until 3
o'clock.
Mr. Speaker: Order, please.
INQUIRY INTO HOSPITAL EMPLOYEES'
REMUNERATION
Mr. R. F. Nixon: I have another question
of the Premier. Following the statement made
by the Minister of Labour (Mr. Guindon)
yesterday with regard to the projected strike
by the hospital workers, which is intended to
take place, I believe on May 1, in 10 Toronto
hospitals; since the result of the commission
investigation is not going to be available until
May 6 at the earliest, when I believe the
last submissions are going to be available, is
the Premier in contact with the CUPE locals
concerned so that there is not going to be
the intrusion of a strike situation— particularly
since the Minister of Health (Mr. Miller)
indicated, I believe, in a speech in Muskoka
early in March that he thought the ceilings
on hospital increases might be broken in this
year's budget in order to accommodate the
hospital workers?
Hon. Mr. Davis: Mr. Speaker, I will try to
recall that rather lengthy question. If the
hon. member for Brant, Mr. Speaker, is
asking whether or not we are concerned
about the possibility of a strike on May 1,
the answer to that is quite obviously yes.
If he is asking whether this government
wHl be in touch with those unions which
are involved, the answer to that is yes. It is
our hope, Mr. Speaker, that any potential
strike that has been talked about will not
in fact materialize.
Interjections by hon. members.
Mr. R. F. Nixon: A supplementary: Can
the Premier indicate when the reccnnmenda-
Hon. Mr. Davis: I can only assure the tions of the commission that is looking into
member for High Park that in the area of this will be available? And does he really
434
ONTARIO LEGISLATURE
believe that those recommendations could be
anything other than a recommendation that
their pay be increased?
Mr. Roy: The Premier is just biding his
time.
Hon. Mr. Davis: Mr. Speaker, I think I
have said this before but I will repeat it. I
will be very surprised if the commission
recommendations do not include some in-
crease for hospital workers in this province. I
will be very surprised if they do not.
Mr. R. F. Nixon: By way of supplemen-
tary, would the Premier not consider it an
act of good faith, since the control of this
whole matter lies in his own hands and with
the Minister of Health, that there be some
statement made to the workers involved that
there will be at least a minimum increase that
might, in fact, keep them at their posts in the
hospitals until such time as he is prepared to
make a further statement? Surely he could
give an indication of good faith similar to
what the Premier has just said, that he ex-
pects the recommendation to be for an in-
crease, and that if it isn't, he is going to
have to increase it anyway.
Hon. Mr. Davis: Mr. Speaker, I think this
has already been stated. It is our hope that
when it is further stated to the members of
the unions it will be understood then that
their thoughts— and I express it that way—
of a walkout or strike on May 1 will not
materialize and will not be necessary.
Mr. Lewis: By way of supplementary, is
the Premier saying in this roundabout fash-
ion, that some Hme before May 1 an under-
taking is to be made publicly by government
that the hospital workers can expect an in-
crease which may have to go beyond the
legislated ceiling, whether by the govern-
ment's decision or the commission's decision?
Hon. Mr. Davis: Mr. Speaker, we get into
this somewhat grey area, as the hon. mem-
ber suggests, of legislated ceilings. There are
ceilings on health expenditures. There have
not been ceilings as they relate to the amount
that has been awarded to the hospital em-
ployees, in many cases by way of arbitration.
It is quite consistent with the question that
we have been discussing here as it relates
to ceilings on school board expenditures.
This government has not legislated the
amount of increase that can be given to hos-
pital employees or the school teachers, much
as those people across the House would like
to misinterpret this to the general public.
Mr. Lewis: A supplementary: Is the Pre-
mier really trying to argue that the ceilings
have not predetermined the outcome of
wages for hospital workers? Is he suggesting
the ceilings haven't affected the amount of
money which the hospital worker now needs
in order to receive parity with similar areas
in the work-force?
Hon. Mr. Davis: Mr. Speaker, I think it is
obvious that there are many factors that
affect it. All I am saying is there is nothing,
as the hon. member suggested, by way-
Mr. R. F. Nixon: That is just rot.
Hon. Mr. Davis: —of provincial legislation
or regulation that says to the hospital boards
that the negotiations have to be based on a
certain amount,
Mr. Lewis: That is nonsense.
Interjections by hon. members.
Hon. Mr. Davis: Well, that is not so.
Mr. Speaker: The hon. Leader of the
Opposition.
Mr. Lewis: By way of supplementary, if
the ceiling level is 7.7 per cent or whatever it
is— 7.9 or eight per cent— and if in order to
make up the gap the hospital worker re-
quires 15 to 20 per cent, which most mem-
bers in the House would concede on the
simple face of it, how can that possibly be
accommodated within the overall ceilings
applied to the hospital, so much of which
goes to income?
Hon. Mr. Davis: With due respect, that
is not what the hon. member asked. I would
quite agree that if the determination is made
that the hospital employees must have more
by way of increase than can be accom-
modated within the ceilings, then we have
to take a look at the ceilings. No one has
ever argued this. What I am saying is that
we have not legislated ceilings, because the
hon. member has on other occasions sug-
gested that we have legislated ceilings, in
the same way as the people in his part>- have
been saying all around the province that we
have legislated increases in teachers' salaries
which, in fact, is what we have not done. We
haven't done it.
Mr. Lewis: That's the way it works no
matter how the government plays games
with it.
Mr. Speaker: The hon. Leader of the Op-
position.
MARCH 26, 1974
435
Mr. Lewis: The government has wage
controls in the hospital sector. That's what
it has.
Interjections by hon. members.
Mr. Speaker: Order, order.
SEATBELTS
Mr. R. F. Nixon: Will the Minister of
Transportation and Communications make it
clear as to whether or not he intends to bring
in legislation regarding the compulsory use
of seatbelts, or is he going to follow the
recommendations of his parliamentary assist-
ant and drop the whole thing?
Interjections by hon. members.
Hon. J. R. Rhodes (Minister of Transpor-
tation and Communications): Well, Mr.
Speaker, first of all the parliamentary assist-
ant did not recommend that it be dropped.
Interjections by hon. members.
Hon. Mr. Rhodes: Obviously the hon.
Leader of the Opposition wasn't paying at-
tention when the hon. member made his
address.
Hon. A. Grossman (Provincial Secretary
for Resources Development): He never does.
Mr. W. Hodgson (York North): He just
hears what he wants to hear.
Hon. Mr. Rhodes: As I have already stated
to the press, Mr. Speaker, we are working
on the proposed) legislation and, as I said
earlier, it's not an easy piece of legislation to
put together. Eventually it will be brought
before this Legislature.
Mr. Rullbrook: How does the minister feel
about it?
Mr. J. R. Hreithaupt (Kitchener): What
about the member for Glengarry (Mr.
Villeneuve)?
Mr. Speaker: The hon. member for Scar-
borough West.
FOOD PRICES
Mr. Lewis: Mr. Speaker, first, I have a
question of the Premier. Does the Premier
recall back in August that he indicated at
the provincial coiiference in Charlottetown
when he was asked questions about food
prices that some of the food chains were
quite "irresponsible"? The Premier said, "I
mean this business of having food prices one
thing in the morning and then changing them
in the afternoon is something that should be
discouraged."
Given the evidence that last weekend! cer-
tain food chains in the Metropolitan Toronto
area were changing their prices in the course
of the day, several labels appearing on one
item, has he asked the Minister of Consiuner
and Commercial Relations (Mr. Clement) to
take action against the supermarkets involved?
Hon. Mr. Davis: Mr. Speaker, if the hon,
member wants me to recall more specifically
what was said, I beHeve, in Charlottetown
some time in the first week of August, 1973,
I think I can recall rather precisely what I
said. I said that if the news media are correct
as to food chains which have existing stocks
on the shelf, or in supply, raising those prices
to meet what was a shortage, or what they
felt a legitimate increase, and if that in fact
was happening, I felt it was irresponsible. I
want to put what I said in, its proper con-
text and, I think, more precisely.
!Mr. Speaker, I have complete confidence
in the minister responsible for pursuing
matters of this kind and I have every con-
fidence that he will continue to do so.
Mr. Martel: I don't.
Mr. Lewis: Is that what the Premier said?
Thank you.
Interjections by hon. members.
Mr. Lewis: It is a story undfer the byline of
a chap named' Webster. Websterl I am sorry
he didn't put the Premier precisely in con-
text. He just quoted him specifically.
Mr. Speaker: Order.
Mr. Lewis: Yes, it is one of those aggrava-
tions. What has the Premier done about the
clear evidence of the price changing, the
markup of articles which has now appeared?
Has he instructed' his minister or has he dis-
cussed with his colleague the possibility of
taking action against the supermarkets since
the Premier expressed such concern' just a few
months ago?
Hon. Mr. Davis: Mr. Speaker, as I said to
the hon. member, it is not a question of my
directing a minister. Unlike his own feeling
for some of his own cabinet colleagues, I
happen to have complete confidence in the
capacity of the ministers of this government-
Mr. T. P. Reid (Rainy River): That's why
he just switched all of them.
436
ONTARIO LEGISLATURE
Hon. Mr. Davis: —in reacting to their own
areas of responsibility.
Mr. Lewis: I thank the Premier for that
but it is a few months premature.
Interjections by hon. members.
Mr. R. F. Nixon: Supplementary, Mr.
Speaker: How can the Premier say that he
has complete confidence, when in that speech
—well, statement— in Charlottetown he put the
problem in the hands of his then new Minister
of Consumer and Commercial Relations, the
member for Niagara Falls, who came down to
his office the next morning at 6 a.m. with his
sleeves rolled up and has done absolutely
nothing about it since? Surely the Premier
must agree that there is some action that
could be taken by his minister other than the
bland assurances that nothing can be done.
Hon. Mr. Davis: Mr. Speaker, we have dis-
cussed this issue at some length and the min-
ister, I think, has handled it very ably. I
would only say to the Leader of the Opposi-
tion and to the member of the New Demo-
cratic Party that if their people really wanted
to solve this problem, then their respective
national leaders in Ottawa should get out of
bed together and do something about it.
Interjections by hon. members.
Mr. Speaker: Order. The hon. member for
High Park.
Mr. Lewis: On a point of privilege.
Hon. Mr. Davis: I used the wrong phrase.
Mr. Lewis: David Lewis has been in bed
vdth only one person in his life and I am
here to prove it. Does the Premier understand
that?
Interjections by hon. members.
Hon. Mr. Rhodes: Does the member mean
he is Trudeau's son?
Mr. Speaker: Is that the point of privilege?
Interjections by hon. members.
Mr. Lewis: Well, he may regret it; but
that's his problem.
Mr. Shulman: Will the Premier ask his
minister if he has any influence on Gen.
Kitching to stop the Liquor Control Board
from double-pricing?
Mr. Lewis: I resent that. That's not a
supplementary.
Hon. Mr. Davis: Well, Mr. Speaker, I
think the hon. member for High Park, who
has never been shy or reluctant to my knowl-
edge, really has the capacity to ask the min-
ister this question himself very directlv- if he
so chooses.
Interjection by an hon. member.
Mr. Speaker: Yes. I might say the last
question certainly is not supplementary to
the original. The hon. member for Ottawa
East.
Mr. Roy: In the Premier's response to the
Leader of the Opposition about national
leaders, is he prepared to follow his national
leader's dictum and bring in price and wage
controls?
Mr. Lewis: That is the next step after
compulsory arbitration.
Hon. Mr. Davis: I have made it very
clear-
Interjections by hon, members.
Hon. Mr. Davis: —and I've made it very
clear to the first minister of Canada, that
when the federal government sought some
initiatives, some way to come to grips with
inflation, this government would co-operate
fully.
Interjections by hon. members.
Hon. Mr. Davis: I would say to the hon.
member for Ottawa East, who I know is
totally famihar with the federal scene and
probably is contemplating— well, no, I don't
think he is contemplating running federally
again; he's running so fast for the provincial
Liberal leadership he trips oyer himself on
occasion-
Interjections by hon. members.
Hon. Mr. Davis: —I would only say to
him that when our national leader does be-
come Prime Minister of Canada, we will
support him in any initiatives that he takes
to solve the problem of inflation in Canada.
Mr. Lewis: Gome on, a little desk-thump-
ing.
Hon. Mr. Davis: I am glad the member
asked the question.
Mr. Speaker: I think there have l^een a
reasonable number of supplementaries on
this particular question.
Interjections by hon. members.
MARCH 26, 1974
437
Mr. Singer: Jack Horner doesn't think very
much of the Premier these days.
Mr. R. F. Nixon: They say the Premier is
interfering.
Mr. Deans: Why doesn't he take this matter
seriously?
Interjections by hon. members.
Mr. Speaker: Order.
Mr. Lewis: Mr. Speaker, the Premier
doesn't take inflation seriously. We'll go to
his colleague who has the authority.
Hon. Mr. Davis: I'll tell the member who
doesn't take it seriously
Mr. Lewis: Say, the Premier is getting
pretty excited today.
Interjections by hon. members.
Mr. Lewis: I'm really surprised. The
dynasty is getting to the Premier.
Mr. Speaker: Perhaps we might proceed
with the question period.
Mr. Lewis: May I ask the minister-
Interjection by an hon. member.
Mr. Lewis: My, the Premier is getting
anxious. There'll be a federal election in
time.
Interjections by hon. members.
Mr. Speaker: Does the hon. member for
Scarborough West have a question?
Mr, Lewis: A question of the Minister of
Consumer and Commercial Relations: If he
were able to do anything about it, or if he
wished to do anything about the price goug-
ing of certain supermarket chains, I take it
he feels it's not possible because he has no
authority to move under the Consumer Pro-
tection Act as it is now drafted?
Mr. Renwick: Take that as notice.
Hon. J. T. Clement (Minister of Consumer
and Commercial Relations): Well first, Mr.
Speaker, I would like publicly to thank my
leader for the confidence be has expressed
in me today.
Interjections by hon. members.
Mr. Singer: That's the worst sign. That's
the worst sign.
Hon. Mr. Clement: I can't hear all the
members, but if they'd like to write me indi-
vidually, I'd be gkd to receive their letters.
Secondly, to the leader of the New Demo-
cratic Party, it is my opinion— and I am so
advised and we touched on this yesterday—
that under certain sections of the Consumer
Protection Act the practices that he described
cannot be prosecuted. A year ago October
or November, I instructed that a study into
business practices legislation be completed by
a then professor at ^e University of York law
school. I have since received that study from
that particular individual, and in prior dis-
cussions in the House, Mr. Speaker, I have
touched on the question of introducing into
this Legislature a fair business practices Act.
I presume that would be one of the matters
touched upon in that Act. Insofar as double
ticketing is concemed-and the matter is of
concern to every member in this House— I am
advised that the Hon. Herbert Gray, the fed-
eral minister, has already introduced legisla-
tion dealing with double ticketing.
Mr. Renwick: Is that right?
Hon. Mr. Clement: Insofar as the question
directed to my leader a few minutes ago by
the member for High Park is concerned, it is
a matter of law of this province' that liquor
must be sold at the same prices at all ouuets
in this province at the same time.
Mr. Lewis: Mr. Speaker, on a supplemen-
tary, doesnt the minister recognize that sec-
tion 47 of the Consurner Protection Act, sup^
ported as it is by the definition section, does
give him authority to protect the consumer
against the totally illegitimate jumps in the
cost of living that some supermarkets use, and
that what he's getting from the law oflRcers of
the Crown is simply a delaying tactic— he's
getting what he's asking for, in order to
avoid that protection? He can read the Act
as weU as any other member of the House.
Its intent is clear.
Hon. Mr. Clement: Mr. Speaker, I thought
the member would never ask that today and
that's why I got the report from the law
officers of the Crown in writing.
Mr. Lewis: Yes.
Hon. Mr. Clement: They tell me-just going
through this— one takes a look at the definition
of seler—
Mr. Lewis: Right.
Hon. Mr. Clement: -and it says, "someone
who sells goods or services to a buyer."
Mr. Lewis: Yes.
43$
ONTARIO LEGISLATURE
Hon. Mr. Clement: Then they define buyer
as "one who enters into—'
Mr. Renwick: That's like Dominion Stores
selling lettuce to a customer.
Hon. Mr. Clement: "A buyer is a person
who purchases goods or services imder an
executory contract."
Interjections by hon. members.
Mr. Speaker: Order.
Hon. Mr. Clement: An executory contract
is defined as one "for services or goods to be
provided in tlie future at a cost in excess of
$50."
Mr. R. F. Nixon: The bill needs amending.
Mr. Stokes: The minister's legislation is a
farce.
An hon. member: Read the bill.
Mr. Renwick: Come away! What law
oflBcer of the Crown gave the minister that
opinion?
Mr. Lewis: Well, the law is an ass.
Interjections by hon. members.
Mr. Speaker: Order.
Mr. Lewis: My colleague from Riverdale
says the minister is wrong and liierefore he
is wrong.
Mr. Renwick: And I'm supported by my
colleague from Lakeshore.
Mr. P. D. Lawlor (Lakeshore): That is
prett\' toothless.
Interjections by hon. members.
An hon. member: Maybe.
Hon. Mr. Welch: Mr. Speaker, I'd be glad
to take that question as notice and provide
the answer.
Mr. Roy: What is that? Never heard of it.
Mr. Lewis: All right. Well, may I ask of
the Minister of Industry and Tourism, can
we have an undertaking from him that no
annoimcement will be made about the pro-
posed Maple Mountain project until the ques-
tion of title is clear in the minds of the
residents in the area?
Mr. Renwick: The minister should tell him
he has to consult the Attorney General.
Hon. C. Bennett (Minister of Industry and
Tourism): No, Mr. Speaker.
Mr. Lewis: By way of a supplementary,
when does he expect to make his announce-
ment?
Hon. Mr. Bennett: I beg the member's
pardon?
Mr. Lewis: When does he intend to make
that announcement that is continually de-
layed?
Mr. Stokes: Tomorrow.
Hon. Mr. Bennett: Mr. Speaker, I have in-
dicated to the House that as soon as cabinet
has dealt with the item we will be reporting
to this House.
Mr. Stokes: In 10 days. That's tomorrow.
Mr. Speaker: No further questions? The
hon. Minister of Labour has the answer to a
question asked previously.
MAPLE MOUNTAIN DEVELOPMENT
Mr. Lewis: I want to ask a question of the
Attome}' General, but I won't ask about the
Consumer Protection Act-
Mr. Renwick: No, don't ask him about that.
Mr. Lewis: —because I don't trust the
minister's answer. What is the Attorney Gen-
eral doing about the cautions laid against title
by the Indian band involved in the Maple
Mountain area in northeastern Ontario?
Mr. Singer: Yes or no.
Hon. R. Welch (Provincial Secretary for
Justice and Attorney General): I've got to
take that question— I m sorry-
TRAILWIND PRODUCTS
Hon. F. Guindon (Minister of Labour): Yes,
Mr. Speaker. Yesterday the hon. member for
Scarborough West asked a question about a
plant closing at Trailwind Products in Rex-
dale.
I am informed the employees were not
given the necessary written notice but they
were given pay in lieu of notice, which is in
accordance with the Employment Standards
Act. The employees were also given all back
wages and vacation pay.
This morning, Mr. Speaker, I met with a
delegation from the Steelworkers which repre-
sents the employees of Trailwind, but not the
employees of Indal Products Ltd., Brampton.
'-March 26, i974
439
The collective agreement at Trailwind will
not, it appears, carry over to Brampton be-
cause the terms of the agreement only extend
to Metropolitan Toronto. Following this
morning's meeting I sent a telegram to the
chief executive officer of Indal Products Ltd.
requesting that a meeting be arranged to dis-
cuss the problem of the displaced employees,
some 50 or 51 of them. I vdll report to the
House the results of our meeting.
Mr. Lewis: A supplementary, if I may: Is
the minister prepared to ask of the company,
which is even now hiring through the Canada
Manpower office, that it employ the 50 or 51
displaced people from Trailwind, as an
obvious way of coping with this sudden and
abrupt loss of work?
Hon. Mr. Cuindon: Mr. Speaker, this is one
of the many questions I would like to ask.
Mr. Speaker: The hon. Minister of Energy
has the answer to a question asked previously.
ONTARIO HYDRO
EMPLOYMENT POLICY
Hon. W. D. McKeough (Minister of
Energy): Mr. Speaker, on March 14 the hon.
memljer for Grey-Bruce (Mr. Sargent) asked
a question with reference to Ontario Hydro's
liiring policy, and I undertook to get him an
answer.
I can assure the hon. member, and the
members of the House, that Hydro has a
clearly defined employment policy, which is
outlined in its management guidfe and it is
not in any way discriminatory in its nature.
Hydro hires its employees in accordance with
widely accepted practices, with due regard to
its responsibilities to maintain an efficient
electric power system in the Province of
Ontario.
As part of these practices, inquiries are
made into a person's background from the
standpoint of edtication, experience, health
and security. These inquiries are generally
made before a person is hired.
'In the particular case to which the hon.
member referred, regrettably the inquiries
were not made ahead of time. The member
referred to a specific case, at the Bruce
nuclear power development, where a certain
individual was discharged as a result of a
belated security check. This was done in
error and Ontario Hydro has readily admitted
it; and as the hon. member I believe knows,
the man has since been rehired.
Mr. Speaker: The hon. member for Essex
South is next.
AMBULANCE SERVICES
Mr. D. A. Paterson (Essex South): Mr.
Speaker, a question of the Minister of Health:
Is it factual that part of the ministry's
austerity budget requires that emergency
vehicles in the province, that is ambulances,
get 150,000 miles on them before the\- are
turned in for new vehicles? In this regard, is
the minister aware that his official in charge
of this programme has ofi"ered one of the
ambulance squads in' my area a 1968 vehicle,
that already has 90,00*0 miles on it, as its
front-line vehicle for servicing hospitals some
20 miles away? Will the minister look into
this matter?
Hon. F. S. Miller (Minister of Health):
Mr. Speaker, has the member for High Park
changed his place in the House? Because if
it is a question, it must be the member for
High Park.
Mr. Roy: Where is the minister's hmnour?
Mr. W. Ferrier (Cochrane South): He is
waiting in line.
Mr. Speaker: The hon. member for High
Park is next.
Interjections by hon. members.
Hon. Mr. Miller: Mr. Speaker, I think it
would be unfair to say that vehicle replace-
ment is based upon mileage alone; and I
would hate to think that a $2.2 billion budget
could be truly called an austerity budget. I
think in fact it is one of the most generous
health budgets in North America.
Some Hon. members: Hear, hear.
Mr. Reid: The doctors like it.
Mr. Roy: The doctors like it. What about
the hospital workers? : - ,-
Hon. Mr. Miller: However, I think mem-
bers would agree that any oonmiercial vehi-
cle should be utilized until its useful tenn of
life has passed.
Mr. Singer: Oh, there is a good policy
statement.
Hon. S. B. Handleman (Minister of Hous-
ing): That is fiscal responsibility.
Mr. Reid: Is that off the top of the min-
ister's head?
Hon. Mr. Miller: Weil, it happens that I
had quite a few years as a car dealer.
Mr. Foulds: Spoken like a true used-car
dealer.
440
ONTARIO LEGISLATURE
Mr. Breithaupt: Would members buy a
used vehicle from that man?
Hon. Mr. Miller: That's how I got elected.
A lot of my used-car customers voted for me.
Mr. Breithaupt: Just to get the minister
out of business.
Mr. E. Sargent (Grey-Bruce): We still
wouldn't buy one from him.
Mr. Reid: They wanted to get the min-
ister out of the business.
Mr. Speaker: Order.
Hon. Mr. Miller: I think these gentlemen
are becoming facetious, Mr. Speaker.
Mr. Roy: Does it bother the minister?
Hon. Mr. Miller: No.
Mr. Reid: The minister is getting as bad
as the Premier. The minister hasn't got an
answer either.
Mr. Speaker: There are six minutes remain-
ing.
Hon. Mr. Miller: I certainly would be
pleased to look into the question of a vehicle
being given to the member's area at a mileage
of 80,000 miles, if in fact it is the OEdy
vehicle that particular unit has for service. I
will be pleased to give the member an under-
taking that I s'haU do so. The moment I have
an answer on it I will be glad to contact him.
Mr. Sargent: Supplementary.
Mr. Speaker: The hon. member for Grey-
Bruce on a supplementary.
Mr. Sargent: Why has the ministry posted
notices in all the hospitals that the govern-
ment is now going to a private tender for
ambulance services across Ontario?
Mr. Speaker: That is not supplementary
to the original question.
Mr. Sargent: It is on the same line as we
are talking about.
Interjections by hon. members,
Mr. Speaker: Well, I can't detect that the
question is supplementary to the original.
Mr. Sargent: He doesn't even know about
Mr. Roy: That is a good supplementary,
right on. The minister is embarrassed, isn't
he?
Mr. Sargent: Is this true?
Mr. Speaker: Well, the origind question
had to do with something other than tender-
ing for ambulance services.
Mr. Sargent: Is this true?
Mrs. M. Campbell (St. George): The am-
bulance and the use ot such equipment.
Mr. Speaker: Well, if the hon. member for
St. George says so, I will accept it as a
supplementary.
Mr. Sargent: Does the minister know the
answer or doesn't he know the answer?
Hon. Mr. Miller: Mr. Speaker, I would
point out that I do not believe the member
is correct. I would hke him to show me one
of those signs to indicate that we have called
for public tender.
Mr. Sargent: I will do that. The minister
doesn't even know about it.
Mr. Speaker: The hon. member for Essex-
Kent on a supplementary.
Mr. R. F. Ruston (Essex-Kent): Yes, sup-
plementary of this minister: Since his regula-
tions or rules call for 150,000 miles on a
vehicle, how is it that the Ontario Provincial
Police force demands not more than 90,000
miles on its cars before they must be re-
placed?
Hon. Mr. Miller: First of all, the member
jumped to a conclusion. I did not say that
there was a regulation. In fact there are
no regulations governing the number of miles
per vehicle under the Ambulance Act— of that
I can assure the members— since at this point
in time no regulations have been proclaimed.
Mr. Reid: How about the cabinet
limousines? How many miles do they have
to have?
Mr. Roy: Until the licence plates get
dirty.
Hon. Mr. Miller: It is a simple question.
If you looked at the number of miles a
commercial vehicle in service with any min-
istry is able to perform before it is with-
drawn from service, you would find that in
the main it is in excess of 100,000 miles.
The real answer is that when the cost of
maintenance exceeds the values of the service
in the future, then you withdraw a vehicle
from service.
MARCH 26, 1974
441
Mr. Speaker: The hon. member for High
Park is next.
POLICE RAID ON RECREATION CLUB
Mr. Shulman: A question of the Solicitor
General: Can he explain why, when the OPP
recei\ ed a tip from American police that led
them to raid the Bay Centre Recreation Club
and the}' succeeded in seizing on Louis
Tavano— whose sins as the head of organized
crime were related here in the Legislatiu-e
on Xo\\ 6, 1970; a man who has received
some hundreds of millions of dollars of layoflF
bets from Ontario— why, when the Solicitor
General had him in his hands, did he let him
go without an\- charge?
Hon. G. A. Kerr (Solicitor General): Mr.
Speaker, there was no reason to lay a charge
against one Louis Tavano, if he is the same
person to whom—
Mr. Lewis: They could always fine a
dentuiist
Hon. Mr. Kerr: —the hon. member is re-
ferring. They were attending a stag; there
were some charges laid under the Liquor
Control Act. There were no charges laid
under the Code; there was no illegal game in
progress when the raid took place.
Mr. Breithaupt: He was here to see Casa
Loma.
Hon. Mr. Kerr: So there was no reason
to hold or seize or charge Tavano.
Mr. Shulman: Supplementary, if I may, Mr.
Speaker. Were the officers who held Tavano
for those brief moments not aware of the
tape of the phone recordings of Tavano's
con\ersations with one Nicoletti of Niagara
Falls? The OPP now hold these. They were
sent to the Solicitor General by the New
York police and prove that Tavano is the
person who has been receiving all the layoflF
bets from Ontario. Did the OPP who held
him not realize that?
Mr. Speaker: Question.
Mr. Shulman: And if they did hold him,
wh\- did the> not lay charges of bookmaking?
Hon. Mr. Kerr: Mr. Speaker, as I said,
there were no charges laid against anyone
attending that particular stag. There were
charges la id-
Mr. M. C. Germa (Sudbury): We know
that: w h\- not?
Mr. Shulman: That is wrong.
Hon. Mr. Kerr: —as far as liquor was con-
cerned, with those people who were operat-
ing the stag. Tavano wasn't in that category.
There are no charges pending against Tavano
in Canada at the present time; and we are
not aware of any charges at the present time
in the US against one Tavano.
Mr. Deans: The member for Bellwoods
(Mr. Yaremko) used to do better.
Mr. Lewis: On principle.
Mr. Shulman: May I ask a further supple-
mentary, Mr. Speaker?
Mr. Speaker: Yes, I will permit one more.
Mr. Roy: Make it quick.
Mr. Shulman: In view of the evidence the
OPP now holds against Tavano, if the Solici-
tor General gets him again will he lay charges
against him?
Mr. Roy: They'll never get him again; no
way.
Hon. Mr. Kerr: Mr. Speaker, I would have
to investigate the evidence that the OPP
has against Tavano, if it is the same Tavano
to which the hon. member is referring. But
certainly Tavano is well known to the OPP.
If it is the sam^ man, and there* are reasons
to lay charges, charges would be laid.
Mr. R. Haggerty (Welland South): Maybe
there are two of them.
Mr. Lewis: Attending a stag is reason
enough.
Mr. Speaker: The hon. member for Ottawa
East.
USE OF CRIMINAL RECORDS
Mr. Roy: To the same minister, the Soli-
citor General: This involves a Mr. John Rice
from Hamilton who was refused by a com-
pany to be bonded because of a criminal
record. It was subsequently found out by the
police that they had made a mistake, after
long and painful inquiry. Does the minister
not feel that police should make disclosure
of criminal records of individuals when they
ask; and secondly, that prints and photo-
graphs taken subsequent to an indictable
offence should be destroyed after the charge
is dismissed against the individual?
Hon. Mr. Kerr: I would say yes to both
of those questions.
442
ONTARIO LEGISLATURE
Mr. Roy: A supplementary to my question,
Mr. Speaker: If an innocent victim is denied
a job or suffers financial losses because of
refusal of bonding when an error is made,
does he not feel that such innocent victims
should receive some form of compensation,
either from the Criminal Injuries Compensa-
tion Board or otherwise?
Hon. Mr. Kerr: Mr. Speaker, there are no
provisions at the present time to compensate
victims of that kind. There could be an ex
gratia compensation payment, I suppose, de-
pending on the circumstances; but it is pos-
sible that civil charges could be laid in a
case like that.
Mr. Lewis: Compassionate compensation.
Mr. Roy: If I may ask just one supple-
mentary, Mr. Speaker.
Mr. Speaker: The time for oral questions
has expired.
Mr. Roy: Just a quickie.
Mr. Speaker: The time has been exceeded.
Petitions.
Presenting reports.
Mr. Morrow, from the standing procedural
affairs committee, presented the committee's
report, which was read as follows and
adopted:
Your committee has carefully examined the
following applications for private Acts and
finds the notices, as published in each case,
sufficient:
City of Belleville;
St. Catharines Slovak Club Ltd.;
City of Hamilton (Nos. 1 and 2);
City of Ottawa; WeHington County Board
of Education (Township of Puslinch);
Niagara Peninsular Railway Co.;
Incorporated Synod of the Diocese of On-
tario;
Town of Strathroy;
Root's Dairy Ltd.;
Town of Ingersoll;
City of Niagara Falls;
Tara Exploration and Development Com-
pany Ltd.;
Town of Walkerton;
City of Kitchener;
City of Orillia;
Diamond and Green Construction Co.
Ltd.;
Victoria Hospital Corp. and the War Me-
morial Children's Hospital of Western
Ontario;
Borough of North York;
City of Toronto (No. 1);
University of Western Ontario;
Dominion Cartage Ltd. and Downtown
Storage Co. Ltd.
Your committee further recommends that
copies of the Canadian Parliamentary Guide
be purchased for distribution to the members
of the assembly.
Hon. Mr. McKeough presented the joint
report by the Ministry of Energy and the
Ministry of Natural Resources on uranium
and associated nuclear fuel.
Mr. Speaker: Motions.
Hon. Mr. Winkler moves that commencing
tomorrow and until further order this House
will not sit in the chamber on Wednesdays.
Mr. Bullbrook: May I ask the House
leader, through you, Mr. Speaker, wh)' we
don't sit on Wednesday? Am I correct in
assuming it's purely to facilitate the cabinet?
The fact of the matter is that many of us
come from far away and we want to have—
An Hon. member: Tell us about it.
Interjections by hon. members.
Mr. Bullbrook: We have obligations in our
own ridings; albeit that we are now financially
assisted in returning to our ridings, I think
that begs the question. Why don't we sit on
Wednesday? The cabinet surely can do its
business on some other day.
Interjections by hon. members.
Hon. Mr. Rhodes Why doesn't the member
come Mondays? Why doesn't he sit on
Mondays?
Mr. Bullbrook: If the government wants to
pick a day when the House doesn't sit, why
don't we do away with Friday because it is
only for a few hours at best?
Mr. Roy: Right; that's right.
Interjections by hon. members.
Mr. Bullbrook: I am not trying— with all the
catcalling and the claptrap, I want sincerely
MARCH 26, 1974
443
to ask this question, because I find myself
here tomorrow. There is some constituency
work to be done but also there are obligations
back in the Samia riding. I don't like the
idea of going back on Wednesday and coming
back here on Thursday.
Mr. G. Nixon (Dovercourt): Two days a
week.
Mr. Martel: He can cut his law practice
down.
Mr. Bullbrook: I suggest to the House
leader that we move it to Friday and then
we can go home.
Interjections by hon. members.
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): Mr. Speaker, I know
the hon. member knows full well that the
committees are now being constituted and
as soon as the budget is in there will be all
kinds of adequate work for the committees
to participate in regardless of what the mem-
bers do on Friday.
Mr. Sargent: We can sit in the mornings.
Mr. Roy: Answer the question.
Interjections by hon. members.
Mr. Bullbrook: 1 just want to say, sir, and
I sav this indelicately, that is hogwash.
Mr. Speaker: Order. A member may speak
onl\- once during motions.
Mr. Bullbrook: Does the minister recognize
that-
Mr. Speaker: Order! The hon. member for
Wentworth.
Mr. Bullbrook: —only three per cent of
bills went to committee anyway?
Mr. Speaker: Order.
Mr. Deans: Mr. Speaker, I want to devote
myself to the comments of the hon. member
for Samia. Rather than moving the day from
Wednesday to Friday, could I ask the House
leader if he would attempt to make sure that
there is suflBcient work being done in the
committees to justify having a day out of the
House. We can have delegations before the
committees. We can have work being done
on Wednesdays-
Mr. Bullbrook: That is the point. They
don't do anything.
Mr. Deans: —so that the members of the
Legislature are kept busy, because Wednes-
day has to be a working day like every other
day.
Hon. Mr. Winkler: That's the way it will
be.
Mr. Bullbrook: That isn't the way it used
to be.
Mr. Speaker: Shall the motion carry?
Those in favour of the motion will please
say "aye."
Those opposed please say "nay."
In my opinion, the "ayes" have it.
I declare the motion carried.
Motion agreed to.
Mr. Lewis: May I ask of the House leader,
Mr. Speaker, if there are copies of that
uranium document available?
Mr. Roy: We'll get it next Wednesday.
Hon. Mr. Grossman: It isn't 3 o'clock.
Hon. Mr. Winkler: It is my understanding
that they were to be distributed. Where they
were distributed, I don't know.
Mr. Foulds: To the press.
Mr. Lewis: They are not distributed. They
have been given to the media. It would be
nice if we could have them.
Hon. Mr. Winkler: They may be in the
member's post office box.
Mr. Speaker: Introduction of bills.
CITY OF ORILLIA ACT
Mr. G. E. Smith moves first reading of bill
intituled, An Act respecting the City of
Orillia.
Motion agreed to; first reading of the bill.
CITY OF NIAGARA FALLS ACT
Mr. Morningstar moves first reading of bill
intituled, An Act respectnig the City of
Niagara Falls.
Motion agreed to; first reading of the bill.
TARA EXPLORATION AND
DEVELOPMENT CO. LTD. ACT
Mr. Yakabuski, in the absence of Mrs.
Scrivener, moves first reading of bill intituled,
444
ONTARIO LEGISLATURE
An Act respecting Tara Exploration and De-
velopment Co. Ltd.
Motion agreed to; first reading of the bill.
DIAMOND AND GREEN
CONSTRUCTION CO. LTD. ACT
Mr. Singer moves first reading of bill in-
tituled, An Act respecting Diamond and
Green Construction Co. Ltd.
rOrateur, que ce bill est pour la protection
des droits fondamentaux himiains de tous les
individus de la province et presentement il
n'y a aucune legislation au niveau provincial
qui protege les droits des individus contre la
legislation provinciale.
Je considere ce genre de legislation essentiel
ici dans la province. Vous etes d'accord, je
suis certain que voiis etes d'accord avec cela,
M. rOrateur.
Motion agreed to; first reading of the bill. M""' Speaker: I believe that was in order.
ROOT'S DAIRY LTD. ACT
Mr. Allan moves first reading of bill in-
tituled, An Act respecting Root's Dairy Ltd.
Motion agreed to; first reading of the bill.
CITY OF HAMILTON ACT (No. 1 )
Mr. J. R. Smith moves first reading of bill
intituled, An Act respecting the City of
Hamilton.
Motion agreed to; first reading of the bill.
CITY OF HAMILTON ACT (No. 2)
Mr. J. R. Smith moves first reading of bill
intituled, An Act respecting the City of
Hamilton.
Motion agreed to; first reading of the bill.
ONTARIO BILL OF RIGHTS ACT
Mr. Roy moves first reading of bill intituled,
An Act to establish the Ontario Bill of Rights.
Motion *greed to; first reading of the bill.
Mr. Roy: Mr. Speaker, as you know, the
Canadian Bill of Rights enacted by the Parlia-
ment of Canada in 1960 provides for the
protection of certain human rights and funda-
mental freedoms, but its eflFectiveness is
limited by the fact that it operates only within
the federal field. The Ontario Bill of Rights is
intended for the protection of the same
human rights and fundamental freedoms so
that those rights and freedoms will have the
protection in both provincial and federal fields
of legislative jurisdiction. As you know, Mr.
Speaker, a number of other provinces have
enacted similar legislation and we in this
province consider that il is important, espe-
cially when we have some of the steamrolling
legislation that is presented in this House.
I might say, Mr. Speaker, in French, je
voudrais dire simplement en frangais, M.
CITY OF BELLEVILLE ACT
Mr. Taylor moves first reading of bill in-
tituled, An Act respecting the City of Belle-
ville.
Motion agreed to; first reading of the bill.
TOWN OF WALKERTON ACT
Mr. Sargent moves first reading of bill in-
tituled, An Act respecting the own of Wal-
kerton.
Motion agreed to; first reading of the bill.
TOWN OF INGERSOLL ACT
Mr. Parrott moves first reading of bill in-
tituled, An Act respecting the Town of Inger-
soll.
Motion agreed to; first reading of the bill.
CITY OF TORONTO ACT (No. 1>
Mr. Wardle moves first reading of bill in-
tituled, An Act respecting the City of To-
ronto.
Motion agreed to; first reading of the bill.
NIAGARA PENINSULAR RAILWAY
CO. ACT
Mr. Deacon moves first reading of bill in-
tituled, An Act respecting the Niagara Penin-
sular Railway Co.
Motion agreed to; first reading of the bill.
INCORPORATED SYNOD OF THE
DIOCESE OF ONTARIO ACT
Mr. Nuttall moves first reading of bill in-
titu^efl, An Act respecting the Incorporated
Synod of the Diocese of Ontario.
Motion agreed to; first reading of the bill.
MARCH 26, 1974
445
ST. CATHARINES SLOVAK CLUB
LTD.
Mr. Johnston moves first reading of bill in-
tituled, An Act respecting St. Catharines
Slovak Club Ltd.
Motion agreed to; first reading of the bill.
Mr. Speaker: Orders of the day.
DEVELOPMENTAL SERVICES ACT
Hon. Mr. Brunelle moves second reading
of Bill 7, the Developmental Services Act,
1974.
Mr. Speaker: The hon. member for York
Centre.
Mr. D. M. Deacon (York Centre): Mr.
Speaker—
Hon. R. Brunelle (Minister of Community
and Social Services): Mr. Speaker, if I may,
I have some remarks I think would be of
interest to all members.
The purpose of the Developmental Ser-
vices Act, 1974, is to transfer administrative
responsibilities for facilities for mentally re-
tarded persons from the Ministry of Health
to the Ministry of Community and Social
Services.
This legislation is the first phase of the
implementation of the green paper policy
which called for the integration of all pro-
grammes for the mentally retarded under the
Ministry of Community and Social Services.
This bill is the enabling legislation to effect
that transfer as of April 1, 1974. The bill is
designed to enable the programme currently
operated by the Ministry of Health to be
transferred essentially as is, thus ensuring
continuity of operation.
As hon. members will recall, a year ago
in March, 1973 a green paper was released
outlining a new policy focus of the Ontario
government with respect to the needs of the
retarded. This was entitled, "Community
Living for the Mentally Retarded in On-
tario: A New Policy Focus." We have copies
of this paper in our ministry. It's a very
interesting brochure, and if some of the hon.
members would like to have a copy we would
be pleased to make it available. This fol-
lowed upon recommendations made earlier
in the 1971 Williston report.
We asked for reaction to this statement
of policy, and invited suggestions from the
people of Ontario as to how this policy
might be most suitably implemented with
local communities. The response we received
has been most favourable, and brought with
it many constructive suggestions. Many in-
dividuals and groups have written to com-
mend the government for adopting this new
policy stance. Since that time, the Ministry
of Health and oflBcials with my own Ministry
of Community and Social Services have de-
termined a feasible plan and the transfer will
be effective this April 1.
On Jan. 25 last, a special joint meeting
of the Ontario Association for the Mentally
Retarded and our ministry was held here
at Queen's Park to discuss the various as-
pects of the transfer and to receive the views
of all those concerned. This was an impor-
tant and valuable interchange of information.
Following these discussions, a special meet-
ing of the board of directors of the asso-
ciation was held, and I understand that a
summary of our discussions and the recom-
mendations of the board have been circu-
lated to all local associations for the mentally
retarded throughout the province.
The position of the provincial government
concerning the concept of community living
for the mentally retarded is straightforward.
The government has adopted a policy in
which the following considerations are im-
plicit:
First, that the mentally retarded person
be given every opportunity to develop to
his ultimate potential; in other words, that
he be given the greatest possible degree of
participation in society. Second, that society
must maintain for him the maximum degree
of normalcy in all of his experiences to allow
him a healthy and happy develoment as a
total person; and, third, that the mentally
retarded person has access to the full range
of community services. ^
Of the several thousand adults and chil-
dren presently in institutions throughout the
province because of mental retardation, we
are convinced that many could benefit from
living as an integral part of the community.
I would like to emphasize that community
participation is the cornerstone on which the
philosophy of community care for the re-
tarded has been established, and yet we rec-
ognize that this may well be the most
difiicult part of our task ahead.
There must be a variety of linkages to
the services already available in the com-
munity. Moreover, there must also be an
extension, expansion and diversification of
such services in communities not only to
meet the needs of those returning to them
from institutions, but also of those persons
with developmental handicaps now living in
446
ONTARIO LEGISLATURE
the community. It will be apparent to all
that such a programme — community living
for the mentally retarded — will take some
time to develop and eflFect properly. This
expansion of activities will require additional
funds at a time when many other urgent
needs also merit attention.
One source of funding which we have
been exploring is cost-sharing with the fed-
eral government. We have developed this
bill keeping this in mind. A number of other
provinces have followed this approach
through the Canada Assistance Plan.
As members know, the basic piupose of
the Canada Assistance Plan is to authorize
the making of contributions by the federal
government towards the cost of provincial
assistance and social services in respect of
persons in need.
Ontario's family benefits programme meets
the Canada Assistance Plan guidelines. Sev-
eral thousand adults with developmental
handicaps presently living in communities
are already receiving family benefits allow-
ances. We propose to extend eligibility to all
individuals aged 18 and over who are resi-
dent in the facilites for the retarded being
transferred to the Ministry of Community
and Social Services. Such an arrangement
would provide to a mentally retarded person
the care and other assistance he requires
while a resident in an institution, and the
allowances under the Act while in his local
community. In either case there would be
provision for his needs.
Additionally, for those who can return to
community-based living, family benefits al-
lowances would be portable and, therefore,
the present waiting period for the allowance
following discharge would be avoided. Thus
this policy will facilitate mobility for those
adults presently institutionalized whose par-
ents wish them to return. It could also
relieve parents of some expense and their
anxietv over the future security, care and
costs in respect of their retarded sons and
daughters for under this plan these persons
would receive lifelong care and service if
required.
The individual mentally retarded adult is,
in a vast majority of cases, a person unable
to provide for his needs and as such should
readily qualify under the Family Benefits
Act. Eligibility would be determined in re-
spect of the mentally retarded adult and not
on the basis of his family. Virtually all adult
residents of institutions transferring from
"Health to Community and Social Services
are without assets and therefore eligible for
familv benefits.
In respect of mentally retarded children
the procedures might be slightly different but
the benefits for them would be just as great.
Here, too, greater mobility and access to
facilities appropriate to the individual need
could be achieved. For these situations pro-
vision is made for a parent to enter into an
agreement for the care and training of his
child. This agreement could be on such a
basis and the care and training could be at
such a location as was deemed appropriate
to the needs of the child at any given point
of time in the child's development. The
amount a parent might be expected to pay
would be reduced by taking into account not
only his ability to pay but also the burden
of any extra costs he bears in respect of such
child.
The government has not yet decided
whether to adopt the agreement for service
approach and we will not decide imtil there
has been further opportunity to consult fully
with parents and other interested persons.
Iti conclusion, the most important jK)int is
that we assist individuals to develop to the
maximum of their potential. This entails ex-
panding people's abilities as much as pos-
sible by training, and then using their cap-
abilities to the maximum extent. In doing so,
we want to ensure that they are members
of the community and society in' general.
Community services and facilities must be an
integral part of that process.
We must strive to make living arrange-
ments within the community as normal as
possible. The support systems of the Ministry
of Community and' Social Services should help
in the establishment of such care systems in
a community setting which is a primary reason
for transferring the mental retardation pro-
gramme to our ministry.
We recognize, of course, that institutional
care is the only appropriate method of pro-
viding for the needs of some individuals. Be-
cause of this, we will ensure that our facil-
ities will continue to provide a high level of
care and service.
In summary, the Development Services
Act, 1974, is essentially enabling legislation:
To effect the transfer of responsibilities for
services to the mentally retarded in Ontario
from the Ministry of Health to the Ministry
of Community and Social Services;
To authorize the Ministry of Commimity
and Social Services to operate and administer
the programme;
And to provide the legislative base;
To expand the programme, to re-orient the
programme toward community living for the
mentally retarded;
MARCH 26, 1974
447
(And to attract federal cost-sharing.
Mr. Speaker, the introduction of the De-
velopmental Services Act, 1974, is just the
beginning. The recent Speech from the
Throne referred to some of our programme
plans. We look ahead over the next months
and years to the development of a full co-
ordinated range of services for the mentally
retarded in this province based on the frame-
work we are now establishing.
Mr. Deacon: Mr. Speaker, our party will
support this bill in principle. It is achieving
what we feel is long overdue, the elimina-
tion of confusion between those mentally re-
tarded or mentally handicapped who have
been in hospitals and those who could be
moved from those hospitals into the com-
munity if the community was in a position to
provide the facilities.
We had an interesting situation in York
county a couple of years ago. There was a
proposal for a major expansion of the Aurora
hospital, and it would have been using funds
that could be better used for the develop-
ment of further facilities of a community
nature similar to High Point, which has been
built and is successfully operating in the town
of Markham.
The closer we can get these people to the
community, the more opportunity we have as
citizens to understand the contribution they
can make. We learn a great deal from them
in their own way. It is amazing. As you work
with these people you realize they may be
handicapped in some ways but they certainly
aren't in others and they have a lot to teach
us. The change that has occurred in the last
20 or 25 years in our attitude toward those
with handicaps is certainly gratifying. Instead
of hiding them away and forgetting them, we
seem to be recognizing that they do provide
something in the community in a way. Even
though it is always looked upon as a tragedy
it sometimes actually results in benefits to all
of us.
We have some of the concerns in the bill.
We are concerned to know what facilities are
being transferred. I think of Orillia, Bruce
Springs, Smiths Falls, where I have been at
scouting conferences where we have had exist-
ing groups of mentally retarded! in those in-
stitutions. Will they now become institutions
operated by this department, to gradually be
phased out? Will the community have to fund
these 20 per cent, as is most of the funding,
I believe, imder this department's programme
of assistance to local communities with regard
to commtmity type developments? I think
that our home at High Point is funded to the
extent of 80 per cent— the balance has to
come from the commimity, the municipality—
whereas 100 per cent of the cost of the
Ministry of Health facilities is provided by
the province. These are things we want to
find out about, and others in our party will
have further comments to make on this bill.
Mr. Speaker: The hon. member for Sud-
bury East.
Mr. E. W. Martel (Sudbury East): Mr.
Speaker, I am delighted by the minister's
latest statement. It contains a good deal
more than the original statement he had,
and I think it left many people who had
seen it somewhat in a bit of a dilemma as
to what the government intended to do in
this particular ministry with respect to fund-
ing. I will come back to that in a while.
I am delighted at the bill, because at last
we are not going to look on this as strictly
a medical problem, but in fact we are going
to look at the mentally retarded as people.
The former has been going on for too long.
I am not going to deal with conditions of
the past, because I think those people who
work in this field, the doctors and the nurses,
did an absolutely fantastic job under rather
trying circumstances, such as the overcrowd-
ing. One could go on at great length to
point out the bleakness of the situation, but
then I think when one recalls some of the
efforts made by people under terrible hard-
ships to make life at least palatable for the
mentally retarded one has to give them a
good deal of consideration.
However, if the government is merely in-
tent on an administrative shift and that is
all— and certainly this statement indicates
something more than that, but if it is just a
shift from one administration to another,
then we are deluding the public and we are,
in fact, creating a hope in many munici-
palities, where for a long time there hasn't
been any, with respect to the mentally re-
tarded. In other words, I am saying I hope
that along with the shift from one ministry
to another there is going to be a tremendous
attack on the problem itself as it has con-
fronted us up to this point. But simply to
shift it over from Health to Community and
Social Services and do nothing beyond that,
we are really going through a formality then.
The reasoning for this is quite simple. In
the past we had a habit of actualy incarcerat-
ing people. We put them in a holding tank
in an institution and we left them there. We
looked after their health needs and we
looked after their sustenance, but did noth-
ing with respect to training. As the minister
448
ONTARIO LEGISLATURE
knows after our battles last year and the
year before during his estimates, I hold a
great hope, not only for the mentally re-
tarded but for anyone who comes into this
particular jurisdiction, that retraining has
to be the answer to resolving many of the
problems confronting people.
I would hope that the efforts made by
many private citizens— and I'll come back to
that in a moment too— will also be enhanced.
I'm talking particularly of something I be-
lieve came under this ministry before, the
funding of workshops for the mentally re-
tarded which was certainly inadequate, both
in the capital costs and any financial assist-
ance to continue to maintain it.
That is one of the concerns I expressed
earlier. If we are going to continue along
the line of funding the workshops for the
mentally retarded as we have in the past,
then in fact, we are just having an adminis-
trative transfer. Some of the long green is
going to have to be provided if the minister's
statement is going to have credence.
By that. I mean if we are going to retrain
we are going to have to have facilities. If
we are going to have people become useful,
we are going to have to have facilities. I
believe that the 25 per cent you now fund
for workshops, as I said during the minister's
estimates, is inadequate and if we're going
along that stream then in fact we are pipe-
dreaming— we are not going to do a thing
different to what went on in the past.
In the past of the people who were forced
into institutions, either those administered by
the Ministry of Health or into private insti-
tutions, those who went into strictly govern-
ment institutions such as Smiths Falls received
total financial assistance. I understand there
was a meeting the other night in Toronto
which a representative of the ministerial staff
attended and there was a great concern ex-
pressed there as to what the funding would
actually be. I see in the minister's statement
today that there is still no real finalization of
what is going to go on.
Tn he past if you went to an institution it
was totally funded. If the placement, let's say,
were made by the Children's Aid Society, we
were talking about $733.95 per month, I be-
lieve, for a person in an institution. And
if we included food and clothing we were
talking about $776.95. Now if we bring them
back into society, and hopefully we will, I
would hope that the government is willing
to spend as much money if necessary to assist
that individual as has been the case in the
past.
If it is simply to cut costs for the Ministry
of Health by trying to dump them back into
the community, then again it is a concern I
have that we are not going to do what we
are setting out to do. I'm not saying the
government has to be wedded to that figure
in any way, shape or form, but if it took that
much for someone in an institution sponsored
by the government, I would hope that equal
amounts of money are going to be available
within the community itself to assist those in
the community who need it.
As I understand it children placed by
parents in private institutions of a sort re-
ceived 80 per cent funding from the govern-
ment in the past. But the parents in fact had
to meet a commitment of $146.79, if I
understand it correctly. Again, Mr. Speaker,
there is great concern out there. The people
I have spoken to in the last couple of weeks—
those working with social planning councils
and a whole variety of people I meet with
regularly— indicate that their concern is, what
is going to happen there? Is the government
going to continue this funding or are the
parents in fact going to lose that type of
financial assistance?
I have grave concern as to what is going
to happen, as do the public and the various
associations concerned, when the minister's
statement indicates that there is nothing
settied yet. If it means that parents will bring
young people or, as the minister indicates,
those over 18 back into the community with-
out a clear definition of what the financial
implications are going to be then we leave
a tremendous amount of unrest out there.
I understand there was unrest in the meet-
ing that was held, I believe, on Wednesday
or Thursday of last week, here in Toronto.
Certainly the people I spoke to today— and I
have only been in for a few moments since
the House opened— weren't satisfied with the
answers that were given. There were still
some grey areas. The minister indicates or
hints at that in his statement when he says,
"In respect of the mentally retarded children
the procedures might be slightly different."
I think we should know, Mr. Speaker, what
the financial implications are, not only with
respect to those placed directly into mental
institutions but those placed by Children's
Aid Societies or directiy by parents. I think
the community has a right to know the spe-
cific terms under which we are going to bring
them back into the community and the type
of funding that parents and the commimity
itself can expect in bringing those young
people or those over 18 back into the com-
MARCH 26, 1974
449
munity. I am a little disturbed by the grey
area.
I would also like to ask the minister if
we are entering into a social rehabilitative
programme and not just holding tank opera-
tion, as has been the case in the past. We
are going to have to consider such things as
rehabilitation for those who are employable.
At the present time in th city of Sudbury
we are trying to raise funds for the Jarrett
Centre; we are out there begging, borrowing
and stealing trying to raise $100,000 so we'll
have a workshop. If necessary we'll steal to
have a workshop for the mentally retarded.
I think the government has got to provide
more funding than is now the case for the
capital funding for the workshops for these
people, if it is going to be meaningful. I
don't think we can ask the community simply
to hope it can raise the money because if it
is aU based on hope that it can raise the
money, the programme itself is doomed to
failure. It's doomed to failure before it even
gets off the ground.
We will have to have other things —legal
aid. Certainly we are going to have to have
more legal aid for those people. I have a
prime example of a young person who is
deficient who was recently in an automobile
accident and who has been accused of driv-
ing the automobile but, in fact, was not. We
are tryins; to get that straightened out at the
present time. Again, we are going to have to
make sure that legal aid is more receptive.
We are going to need more counselling.
The education costs are going to be greater
and I don't know how much discussion has
gone on with the Ministry of Education with
respect to getting these young people back
into the regular school stream. I've heard a
lot about it in the years I've been in the
Leeislature and yet I haven't seen a great
deal that impresses me about getting young
peon^e fitted into the regular school pro-
gramme.
In fact, just digressing for a moment, we
ha\e probably the finest school programme
for the deaf in the Sudbury area now, ad-
-nni t^ p ^ by ^he board of education, and
we can't get the necessary funding for that
nart'CT7la^ programme. If we are talking about
getting these young people back into a regu-
lar school situation or if not into the actual
•"^assroom at least into the same school facil-
ity, again there has to be funding. I wonder
out loud at the present time just how much
dialogue there has been between the Min-
istr>- of Education and the Ministry of Com-
munity and Social Services for the necessary
funding? Certainly the regular type of grant
structure as we understand it for the normal
child isn't going to work.
If the minister is going to try to put a
retarded child into a regular classroom situa-
tion using the type of enrolment figures we
have today, he is going to have disaster. In
that field I do speak with a littie authority,
having run a school for some eight years.
These are questions the minister is going to
have to answer when he rises to answer on
second reading.
We are also going to have to look into
income security— I've mentioned that already
very briefly-but again, from the minister's
own statement, the programme seems to be
fairly decided for those over 18. I am con-
cerned about those under 18. I am told that
for people who have very high incomes of
$13,000 to $14,000, if they've got three or
four other kiddies, it becomes almost an im-
possibility to carry on family life with the
same amounts of money; it takes a good deal
more— I don't have first hand experience of
that— having a mentally retarded child in the
natural home.
The minister talks about some group hous-
ing and could I ask him, for God's sake, not
to do what they did in Sudbury? They built
an institution in Sudbury at Algoma San for
treating the emotionally disturbed and that's
no closer to the natural environment of the
child than this building is. It is an edifice;
it houses 10 or 12 kids. It's totally away
from what Vanier has in Europe and what
Bro\vn's camps have in Ontario for the emo-
tionally disturbed. It is too elaborate. It is too
lush.
Emotionally disturbed children in the Sud-
bury area don't come from homes that are
worth $200,000, but that is what that place
is like. It is a way too elaborate, because if
you try to work the child back into the regu-
lar home situation and the regular home
style he is completel divorced from it. It is
an institution; it is an edifice to an architect.
It is a wasse of money— all these great, gran-
diose buildings that don't meet needs. If we
were talking about putting people in a set-
ting which is close to their own home situa-
tion, then by and large what we should be
talking about is small oottage^type homes and
not the nonsense that was built at Algoma
San two years ago. It was a waste of money.
I have already mentioned workshops. I
hope the minister can indicate today that he
is willing to fund the workshops/ in the
various communities, particularly capital
costs, to get them established. I mentioned
the Jarrett institution. They are trying to raise
$100,000. I would suspect that under the
450
ONTARIO LEGISLATURE
present programme the most they could an-
ticipate from the province would be $25,000.
I might even be a little high on that, but we
are presently using an old school building
which is totally inadequate.
A friend of mine, a principal, went to visit
it a couple of weeks ago, and he phoned me.
He said: "I couldn't believe it. I just couldn't
believe we were working with mentally re-
tarded adults, in that type of building. No
discredit to the people who are trying to
operate it, but that we would put people in
there in that type of facility to work is
ridiculous.
The main reason for that of course is that
there is inadequate funding to build the
adult workshops. We are going to have to
put more money in there if we hope to make
the programme work of getting these people
back into and involved in the community and,
if possible, doing some type of work. I men-
tioned that during the ministry's estimates.
Of course, the final point I want to make
on what we are going to have to look at is
the long-term continuity of care. I can recall
a number of years ago asking the Ministry of
Health to look into the radar base in Falcon-
bridge and take it over. I understand that
Dr. Zarfas has looked the facility over. I don't
want to make the point about the radar base,
but a want to make the point of medical serv-
ices that are going to be available in the com-
munity as a backup when we bring these
young people or those over 18 back into the
community. Medical services are going to
have to be available much more readily than
is presently the case. I would suggest to the
minister that some type of co-ordination has
to go on to guarantee that the proper type
of medical assistance is available.
If I could just itemize my other concerns,
Mr. Speaker, and put them as questions to
the ministry. Is it the ministry's intention to
continue to subsidize present costs at least
to 80 per cent as is now the case? Will there
be a needs test involved for the parents?
The reason that I put that question forward
is that I would suspect that if we move to
small cottage-type settings for some, although
they are back within the community,
they might not be living with their parents.
In fact, maybe the parents can't cope with
the situation.
What would be the funding for that type
of child? Is it still going to be $147 a month?
It is my understanding that we are talking
probably about an additional $1 or $2 a day.
I don't know, but I think it must be made
abundantly clear today what we' are talking
about. I indicated that I have been talking
to a number of people. One of the people I
was talking to was a social worker in Toronto
and she referred to a family of six where the
father was earning $14,000, but the level
from which the Ministry of Health, who had
this, started to assist that family was so high
that they in fact fell outside the financial
assistance and it became a real hardship. I
think the ministry has to indicate that as a
third point.
Fourthly, is there going to be additional
cost to the family if we bring them back into
the community? I think that has to be \ery,
very clearly put. he minister has indicated
that they are going to use the Canada Assist-
ance Plan and I am delighted by that, be-
cause for two years I have been urging the
minister, during the estimates, to make a
good deal more use of the Canada Assistance
Plan. I think this ministry has fallen flat on
its face with respect to using the Canada
Assistance Plan. Other provinces very quickly
got the jump on the federal go\ernment and
were able to get a good deal more funding
than this province has even attempted to get,
and the minister knows well of what I speak.
I could illustrate what Barrett has done to
get $209 a month for senior citizens or for
the handicapped in BC. He made use of
the Canada Assistance Plan. He tells me,
however— and I give this to the minister
as warning— that the federal government
has cottoned on to what it had really
opened up. It wasn't itself aware of the
costs that it was opening up. In speaking to
the Premier of BC, he indicated that the
federal government is becoming somewhat
more tightfisted in its handout of money
under the Canada Assistance Plan, and I cau-
tion the minister because Mr. Barrett tells
me that when he tried to get extra money
for his income plan the federal government
started to back oflF very quickly.
I hope when it comes this branch of the
ministry will have a little more toughness
about it than it did in that section under the
Homes for the Aged Act. I am still more than
a little bit upset that Pioneer Manor, which
was scheduled for a 200-bed addition, was
reduced by 100 beds and I understand that
there are all kinds of efforts being made
now to fmther reduce it by the extra 100
beds.
Oh yes, Mr. Minister, I too have my "ins"
and I know that at a meeting about three
weeks ago last night it was suggested that
the additional 100-bed addition scheduled for
Pioneer Manor this year could well be put oflF
MARCH 26, 1974
451
for at least another year, because there is a
building in Sudbury to which the people in
Smiths Falls are presently directing the men-
tally retarded. In fact, in the last two or three
weeks the parents have been getting letters
from Smiths Falls saying, "We are going to
send our young people back to the city of
Sudbury, We have a facility for them." The
same facility happens to be the place where
we are putting the home for the aged. It sits
on a highway— not 25 ft back from the
highway— Highway 69, and the yotmg men-
tally retarded are being placed in that build-
ing, Mr. Minister, at the present time.
In fact, a part of that building is going to
be for nursing home purposes, a part will be
a home for special care and a part will be for
residential care. Now, need I tell the House
who has an interest in that home? The former
member for Nickel Belt has an interest in
that building.
Mr. J. F. Foulds (Port Arthur): Is that
Gaston Demers?
Mr. Martel: And we are bringing back the
mentally retarded and we are putting them
in a building where there is no yard, none.
Mr. M. C. Genua (Sudbury): No swim-
ming pool, no theatre.
Mr. Martel: Nothing! A pile of rock.
Mr. Foulds: Are we putting Gaston in the
building?
Mr. Martel: It is 30 ft away from the main
highway, Highway 69 south, and we're put-
ting them in with senior citizens. We're put-
ting them in with those who need nursing
home care; and we're going to have the
mentally retarded. That is a great arrange-
ment! That ministry should be ashamed of
itself as should be the Ministry of Health for
allowing that. If we're ever wedded to that
we'll never get the money out of this gov-
ernment for the type of facility necessary.
And the government is into it now.
As I say, the efforts are being made as a
result of a meeting, and I had a friend at
the meeting so I know full well what went
on three weeks ago. I wrote the minister as
a result asking him what in God's name was
going on concerning the further suggestion
that we don't add the 100 beds to Pioneer
Manor.
The first time we got wind that the mentally
retarded were coming back to Sudbury was
in an open-line show I did from my oflBce
here in Toronto on a hook-up to Sudbury a
week ago Wednesday. A couple of mothers
phoned in and told me they were advised that
their children were coming back to the com-
munity. I suggested the parents should phone
the chief medical oflBcer of health, Dr. Barney
Cook, who might know something about it
because I certainly didn't. And Barney Cook
didn't know anything about it.
The minister wonders why a little earher I
mentioned that we have to make sure there
are adequate mental facilities and so on, and
adequate medical assistance. There was the
chief medical officer of health totally unaware,
as were the doctors in Sudbmy, that young
people were being sent back to Sudbury from
Smiths Falls. What kind of nonsense is that?
Mr. Germa: They've got to save Gaston.
Mr. Martel: Right. Heon— what's his name?
I have it here somewhere— Mr. Heon from
New Liskeard, I believe, it is; our friend
Gaston is there. As I say, I hope the new
section of the ministry has a lot more con-
viction that the group which headed up the
nursing home section under Mr. Crawford. I
can we'll recall him on TV saying, "We have
to cut back. We're not going ahead with the
200-bed addition to make sure that the
private facility is filled up."
Maybe that's the way Tories think. I don't.
I happen to think we think of the needs of
the community. The best senior citizens' facil-
ity in the whole province has to be the one
in Sudbury run by Ken MacRae, Pioneer
Manor, and when I see that one cut back to
make sure that Gaston's private nursing home
is going to be filled up, I shudder— unless the
new group coming in has a lot more intestinal
fortitude than was demonstrated in that little
charade last spring when the reduction came.
I hope the minister can guarantee to me
that we're not going to see a further delay
in the 100-bed addition to Pioneer Manor. I
hope the minister can indicate to me that
we're not going to be tied in to having young
mentally retarded in a building which doesn't
have a ward, as I say, and which is right on
the highway.
If we ever get into that— and I know par-
ents are going to object to what I say today
because they simply want their young people
back, I sympathize with them that they
want them back so they don't have to travel
all the way to Smiths Falls. It's not a very
popular position to take, that I should op-
pose them going into that facility at the
present time because they want their young
people back and because it's too far to go
to Smiths Falls. But I know that if we ever
get wedded to that those young people will
452
ONTARIO LEGISLATURE
be in that bloody building with no place
to go, on a pile of rock, for the next 20
years.
The question then remains, Mr. Minister,
are we serious, are we really serious, about
treating these young people as people; not
—as I started out by saying— as mentally re-
tarded, but as people.
Mr. Speaker: The member for St. George.
Mrs. M. Campbell (St. George): Mr. Speak-
er, when I first reviewed this proposed legis-
lation I felt it was possibly a step forward,
that we were moving in a somewhat enlight-
ened fashion to deal in this area.
And yet, having read the statement by the
minister, I am very deeply concerned. It
seems to me that once again we have before
us a piece of legislation the principles of
which could well be endorsed by all of those
concerned in the field. However, it is the
same sort of thing you see in the philosophy
developed in the Ministry of Health; that
it is important to remove people from active
treatments beds and to see that they have
care in the community, only what we get in
Toronto in this case, as the minister laiows,
is not home care or really extended care, but
a do-it-yourself medical treatment program-
me.
It is because of this that I am deeply wor-
ried; because again we see a philosophy
proposed that these people who are unfor-
tunately handicapped shall have the fullest
opportunity to be in the community, but if
it's left like that then I'm afraid that I can-
not support this sort of legislation without
something which would have a little more
teeth in it.
I look at some of the things talked about
in the bill itself, and in the philosophy of
the bill, and I see that we are talking in two
terms, one for those over 18 and one for
children. And we aren't quite sure today
what we're going to do about the children.
We really haven't made up our mind. We're
going to think about whether we're going
to move on an agreement for service, a pur-
chase of service approach. We're going to
think about it; but when? And why hasn't
it been thought about before it's introduced
here today? Because without this kind of
policy we're like certain daycare centres,
without regulation. We're like the same pic-
ture in the Ministry of Health that I've men-
tioned; full of sound and fury and signifying
precisely nothing.
In the Ministry of Health one of their
problems, or their ripoffs— and I'm not sure
which it was— is in trying to assess a child's
retardation. As you know, they try to break
it down into mental, emotional or environ-
mental retardation. I would like to know
from this minister whether we're going to
have to deal between two ministries to really
come up with a definition of the person with
whom we're dealing. Quite candidly, one of
the first things I'd like the minister to do
is explain the definition of the area with
which we're dealing because I don't under-
stand it. I can't understand the meaning of
something that says its "developmental han-
dicap that is associated with limitations in
adaptive behaviour."
I do hope the minister wiU explain that,
because I can't really foUow what we are
talking about; particularly in those terms
which may be grey areas between mental,
environmental or emotional retardation, and
what parents do and what in fact the courts
do. Are the courts going to have some kind
of assistance in dealing with these children as
they may appear in the courts? Because up
until now it has been a pretty poor show
so far as the Health ministry is concerned.
What about those children who at present
are in care in a residential area, in a facility
for children or juveniles attached to our
Ontario Hospitals? Where are they going to
be while we make up our minds? Is this
ministry going to fund that portion of that
kind of residential cars, or is it still going
to come within the Health ministry? There
is nothing here to say any thought has been
given to that situation.
When we come to the person who comes
out of some such residential facility, we
make the nice statement that we want to
make the living arrangements as normal as
possible within the community. And it has
already been touched on that obviously the
question in that case is, if someone over 18
is returned to the community, is that person
returned to the parents with the usual pious
platitudes which are so often mouthed by this
particular ministry in other areas. It won't
wash.
To me, as I see it, what we have here is
purely and simply an administrative Act that
enables a transfer to be made as of April
1, and nothing else—and no assurance that
there ever will be anything else. There is
nothing in this bill itself that indicates any
concern for the person about whom this
legislation is supposedly drafted. It expresses
concern that they be able to function in the
community, but there is nothing to indicate
to what extent or how services are to be
MARCH 26, 1974
453
related to these imfortimately handicapped
people.
^ I have doubts about the placement of such
people by this ministry when I realize that
in answer to my questions on the estimates,
the minister stated unequivocally that the
physically handicapped children could go
into the homes for the aged unless the local
municipalities or private agencies provided
the service. It was stated, of course, that so
far as the homes for the aged in the area
of Metropolitan Toronto were concerned,
only one person who was not aged was actu-
ally admitted to that home, and that was a
man of 55 years. There is no denial of the
fact that if there are no other services or
facilities available, that is this government's
commitment to those who are physically
handicapped.
I have no sense of any different philosophy
here, unless I see something which is marked
by some action other than pious statements.
I would ask the minister to be very care-
ful in outlining, if he will, precisely the
phasing, as he sees it, of the implementation
of this legislation, so that we may at least
have less doubt than we have at the moment
as to the real purpose and emphasis of this
legislation.
Thank >-ou, Mr. Speaker.
Mr. Speaker: The member for Parkdale.
Mr. J. Dukszta (Parkdale): Mr. Speaker, I
was struck by the hon. member for St.
George's remarks that this bill is largely an
administrati\-e gesture. I sincerely hope,
echoing her sentiment, that it is not an
administrative gesture but that it is more a
statement of a major policy.
I found the green paper on which this
policy is based fairly exciting. Some part of
it, stating as it does the community approach
to our treating of what people call the
mentally retarded, is both acceptable and
very humane.
Basicalh', it was an administrative report
which has many of its own very good features.
The point is how many of them wall be im-
plemented? The statements issued by the
minister and the Act itself suggest they have
at the moment been taken seriously. I sup-
pose I'm saying that I approve of the bill
generally with some reservation, which I'll
bring later on, if the intentions which are
stated in the bill are going to be implemented
as they are stated.
We've had a rather notable lack of imple-
mentation of ideas in the Ministry of Health
b)' the previous Minister of Health, who
piously mouthed sentiinents of a community
health approach without ever doing anything
about it— in fact doing the exact opposite. I
am almost tempted to bestow another kiss of
death on Dr. Zarfas by saying that I approve
of many things he did, since I've ruined his
career before presiunably. Anyway he is leav-
ing the Ministry of Health at the moment, so
I can't hound him anymore by saying that I
liked many things he did.
But there are a number of points which we
should look into in this bill. The whole com-
munity approach towards treating the men-
tally retarded is excellent in principle. There
are many problems which arise, as people
who have worked in the field know. One of
the major ones is that quite often when we
start moving people, who are not being
moved back to the family but are being
moved out to the other smaller centres, there
is a strong reaction in objections from the
community; and that is something we have to
deal with.
'I do believe, and I state this over and over
again, that most of the people, not only those
who are now in mental hospitals, but espe-
cially the ones who are retarded and in the
institutions for the retarded, should be largely
helped in the community and helped outside
the oflBcial framework. In that sense, the
whole approach to the mentally retarded as
specified in this bill is fine, because the
problem of mental retardation is no anatom-
ical problem. It does not really belong in the
Ministry of Health but belongs in the field of
social services, and almost belongs in the field
of education. More obviously, in our present
framework it belongs in the Ministry of Com-
munity and Social Services, which is the one
for which this minister is responsible; the
sooner we move it there the better, that is
extremely good.
Whether the objections that the member
for St. George has had to the biU are going
to come true, we'll have to see. Like her, I'm
putting my present hesitations on paper
merely so that the minister remembers that
it is not enough merely to move the whole
thing administratively; the whole community
approach now has to be even more accentu-
ated and augmented than has been the case
so far.
I do say it has been going well, but the
minister will have to do more. I think we
have to go further than that in respect of
large institutions like Orilha. I don't suppose
there is a more unpleasant place, a more
horrible place than Orillia as it is now. The
sooner it is abolished the better. I think it
will be for our own self-worth, if nothing
454
ONTARIO LEGISLATURE
else, apart from the enormous advantages that
will accrue to people who are already in
Orillia.
It is not enough to say that the govern-
ment will do it over a period of years. We
should move -with all deliberate speed to
abolish institutions like that. This means
extra money, and the present largesse is quite
inadequate as it is. If the minister is applying
to the Canada Assistance Plan for money
merely to substitute for the money he is
spending now, then the bill is nothing. If he
is applying to get money from the Canada
Assistance Plan and through the various
family benefit things to augment and to add
to payments for extra problems, then this is
worthwhile and to be applauded.
!But really, at the end of this hour of speak-
ing, the minister must commit himself, since
he did not really commit himself when I
talked to him personally, as to whether there
is going to be more money spent on it or not.
That has been the theme through many of
the objections of the people who have been
heard. If it is only the same amount of
money, then in spite of the conceptual
change, which is fine, it is not really good
enough. If the minister is saying that we are
going to have extra money, to really move
the whole problem of dealing wath the men-
tally retarded in the community from the in-
stitutional setting, if he is going to expand
this considerably, then he is to be applauded.
But if it's only to reduce the Health bud-
eet so that it apoears less and to reduce his
own hndpet so that he gets more money to
sh'ft the burden of responsibility from the
provincial government to the federal govern-
ment, then it's really iust a ioke or a game
that is being indulged in in this case.
T can think of a number of programmes
fhat are now nm by volunteers but which
should be supported by this ministry. The
minister has shown a certain reluctance to
do th-s in terms of many socially-oriented
oroqrrammes, such as the ones started by
LIP, so I am loath to believe that he is
p-eoared at the moment to support other
rommum'ty-oriented proja^ammes, whether
thev deal with the retarded or otherwise.
I can think immediately of one such pro-
f^ramme which is run by volunteers in the
First Davenport Church; they have some
money but could be of much greater benefit
if they had some more money from the
ministrv to expand the programme. They deal
with the kids who are very retarded and
usually live at home and who, unless they
got the twice-a-week help from the volun-
teers in this church, would have to stay at
home.
There are difficulties in dealing at home
level with people who are grossly retarded.
The longer they can stay at home, the better
it is for them and, presumably, for the com-
munity, except that they do have to have
some kind of specialized help.
The whole community approach to this is
somewhat expensive at first. In the long run
it always pays. It pays because it is better for
the individual and it is better for the com-
munity at large. But at first we have to spend
some money and provide expertise. Above
all, we need to change the approach to ac-
cppKng that the help at this level does not
n"r>essari1y need to be all that professional.
We need some professionals, of course, but
we need the professionals who are taught to
deal with this type of problem more than
the professionals who have been fashioned
in the mental health field so far. That is not
to say that the ministry hasn't been doing it;
I think there has been a lot of work done. I
am very careful in saying that there has been
a lot of work done in that particular depart-
ment. I cannot really say that about any
other single department in the Ministr>- of
Health, but at least in this particular depart-
ment, I can partially say that.
I have one other objection I would like to
raise, an objection that is of some signifi-
cance to me and will be of some significance
to parents. I would question the whole con-
cept of doing it if the parents of the mentally
retarded children have to pay more. Whether
it is $1 a day or more, it is still extra money.
I am not sure whether that means that we
will not have to introduce a means test to
find out which parents are able to pay and
which are not. That in itself I would have
to question. We must remember that until
now, for many parents, there have been no
costs except travelling cost, which in itself
nn be quite enormous.
Mr, R. Gisbom (Hamilton East): There's
the cost of clothing.
Mr. Dukszta: No, not if they are in an
institution.
But if parents now have to pay extra
money, this will put an enormous burden on
the family. Will the minister in his reply
assure us that it is not going to be so? If it
is going to be so, I think he should specify
how much it will cost for individual parents
and how many parents will be affected by it,
because this is one of the current major fears
of many parents and associations.
MARCH 26, 1974
455
One other point relates to this approach
to^^'ard the community— and I raise this as a
question because I have no idea as to what
is going on. So far the whole approach has
been community-oriented, community-involv-
ing e\'en, and of course in the public sector.
By the switchover to this ministry, has there
been any consideration— if so I would find it
loathsome— has there been any considera-
tion that there be more and more private
invohement in this area. Has there been an
attempt to reprivatize many of the facilities
which are now under public control? That is
a question more than a comment, because I
ha\'e \-er>- little knowledge of it, except some
suspicion.
If the minister can answer those questions
to our satisfaction, obviously we'll support
th's bill on the conceptual level and on many
other levels.
Mr. Speaker: The member for Simcoe
East.
Mr. G. E. Smith (Simcoe East): Mr. Speak-
er, I would like to rise and make a few
comments. First of all, I would like to go on
record as supporting the principle of this bill.
I \\ould like to make one or two very brief
comments concerning the facilities in my
area, namely the Ontario Hospital School at
Orillia, as well as the rehabilitation centre
at Edgar.
From my personal experience, I am aware
of the retraining programmes that are being
carried out by the ministry, and previously
by the Ministry of Health, through its mental
retardation branch. In Orillia, for example,
one of the retraining programmes is the oper-
ation of Orillia Services, which is redly a
small industry that manufactures crating and
other small wooden products which it sells
to local industry. This product isn't being
produced commercially any other place.
It's a wonderful training for these young
people to attempt to become valuable to
this type of industry, and I was pleased to
note that in order to remove it from the
atmosphere of the hospital at the Orillia
grounds, because of the fact that they have
outgrown the facility, and to give it a better
atmosphere, they have moved it into an in-
dustrial building in the city proper. I really
feel this is tremendous training for these
yoimg people, to try to equip them to go out
and earn their livelihod in industry in gen-
eral. I would hope, Mr. Speaker, that many
of these programmes— this one in particular
that I have mentioned and also the one at
the rehabilitation centre at Edgar, where
their services bureau is providing a useful
commercial fimction to small industry— will
continue. I would hope that the minister will
be able to give us some assurance to this
effect.
I also would like to express some concern
that the previous ministry did see fit to phase
out the farm and garden programme at the
Ontario Hospital School. It seems to me that
this therapy was good. I realize the farm
was a losing proposition, but we cannot en-
tirely assess any therapeutic programme on
a commercial basis. The therapy was good.
The activity for those children — who will
never perhaps be able to be absorbed in
industry or gainful employment— this expe-
rience on the farm was, I think, very valu-
able.
If you can have children, or for that mat-
ter adults, out of doors on the land it's good
for them. They may never learn to drive
a tractor but certainly they can be gainfully
employed picking vegetables, doing some
weeding and some of the casual labour that
could be offered to them.
I would hope that the minister and the
mental health staff would take a long look
at perhaps reassessing the value of the farm
programme and perhaps re-introducing it.
Finally, if I may comment, both the hon.
member for Ontario (Mr. Dymond) and my-
self have many constituents who are employed
at both of these facilities that I have men-
tioned, both as professional staff and also as
staff members. Many have expressed their
concern to me that their jobs may be in
jeopardy due to the transfer of the existing
programmes from one ministry to the other.
I'm hoping that the minister can give us
some assurance that these jobs wiU not be
in jeopardy, that the good programmes will
continue and that he will reassess the farm
programme with some thought to its value
in rehabilitating some of these people.
Mr. Speaker: The hon. member for Wel-
land South.
Mr. R. Haggerty (Welland South): Thank
you, Mr. Speaker. I would like to add my
comments on the bill and support the prin-
ciple of the bill.
I can recall not too long ago that the
minister was in the Welland South riding
at the oflBcial opening of the retarded resi-
dence one Webber Rd. in the town of Pel-
ham. This is a residence for those of age
18 and over. I'm sure the minister is well
aware of the facilities that are available in
the Niagara region right at the present time
for the retarded associations and their pro-
456
ONTARIO LEGISLATURE
grammes. The former county of Welland,
in my opinion, is one of the pioneers in
developing programmes to meet the local
needs of the less fortunate citizens of this
province in providing community-based liv-
ing accommodations and educational pro-
grammes. I can recall some 20 years ago that
one of the first retarded schools built in the
Niagara Peninsula was built in the township
of Burleigh, where at one time I happened
to be elected as a deputy reeve. These are
the things that I think are great strides in
the advancement of the retarded people of
the Province of Ontario.
We perhaps have one of the best ARC
industries throughout the Province of On-
tario. We have another programme that has
been sponsored by local citizens; and com-
munity involvement by unions, by social or-
ganizations, fraternity clubs and so forth—
Lion's Club, you name it, they are there—
and there is the Niagara technical training
programme in the region. Of course, they are
having some diflBculties in keeping their pro-
gramme going.
Perhaps I should, Mr. Speaker, if the House
permits me, read into the records some of
their programmes for the retarded people in
the area.
NTEC is a charitable, non-profit corpora-
tion and it has been formally operating since
March, 1970, as an experimental and demon-
stration project. Its purpose is to assist young
adults in the regional municipality of
Niagara— with a population of approximately
300.000— who are considered unemployable
for their lack of skills and work disciplines.
The day-to-day operation of the centre is
the responsibility of the committee of manage-
ment composed of persons representing edu-
cation, industry, business, unions, government
and social and service clubs. This project aims
to provide meaningful work experience in an
adapted industry setting for those persons
who have not or likely will not be able to
obtain suitable employment otherwise.
Employment will be provided on an em-
ployer-employee basis on projects resulting
from negotiated contracts with local business
and industrial firms. Such contracts will not
be gained by competing with established
private business. Examples of such contracts
are salvaging of copper wire from obsolete
electric motors. A minimimi of three years
work is assured on contracts such as janitorial
service, general building maintenance and
assembly line production.
The long-term aim is to establish a business
for the disadvantaged, which could eventually
be operated by them and be self-supporting.
The short-term aim is to provide the workers
with the independence and self-work disci-
pline to find employment in the open market.
Special emphasis should be on those who are
within the first year of learning following
school. The overall age bracket is from 16
to 25 years.
The emphasis is on subjecting the employee
to work or experience where he is assessed,
supervised and directed to acquire sufficient "
skill and develop attitudes and discipline
necessary to make him a desirable employee.
It demonstrates to management, and partic-
ularly personnel societies, tiiat the individual
is a competent and desirable potential em-
ployee.
I might add, Mr. Speaker, that many have
been trained to work in the vineyards of the
Niagara Peninsula; to go out and prune the
grapes. I think 11 is very important that these
persons can be gainfully employed.
I think they have a good programme but,
of course, there is one problem with it-
money. Where does the money come from to
support these different projects for the re-
tarded? I am a little bit concerned when I
find that the minister says the transfer of
this programme will be on April 1, 1974.
Transfer to what? Perhaps the hon. member
for St. George is right— it is for administrative
purposes only. What accommodations are
available now in local municipalities?
Is there going to be a rush, perhaps, to
say to the regional municipality of Niagara:
'Xook, you have to go out and find land. You
have to go out and find accommodation for
these persons that we are moving from the
mental institutions in the Province of On-
tario."
And, again, at what cost to the local tax-
payer? This has been raised by other mem-
bers, and I am a little bit concerned about
this. It was mentioned about the cost-sharing
programme of the Canada Assistance Plan.
I hope that this isn't going to leave this 20
per cent to be picked up by local mimicipal-
ities, because I don't think they can afford
this anymore.
The minister is well aware that when he
attended the official opening of the Webber
Rd. home the people involved in that insti-
tution had been pounding at the minister's
door over a period of three years to get
approval for such a worthwhile project. I can
recall former staff members of the ministry
saynig: "You have to go back to the regional
municipalities and get their approval." Well,
the red tape to get approval takes about three
MARCH 26, 1974
457
years, and there is another two years for
construction— there is about a five-year period
involved. Again, the member for St. George
is probably right.
The 20 to 80 per cent; I would like the
minister to clarify this. Is this going to be a
100 per cent deal? Is the province going to
assume all the costs— the total costs of this
programme— or is it going to be borne by the
local municipahties again? Also, consideration
should be given, when it comes to the edu-
cational theme of this programme, to whether
th^ grant is going to be the same for the type
of NTEC programme as it is, say, in the
high school or the public school? Is it going
to be $600 a year or is it going to be $200 or
$40 a month? My concern is that the grant
should be of the same structure.
The other question I would like to ask the
minister is when we come to the public
trustee I think there should be changes in
that particular section of the Act so that a
person doesn't have to go through red tape
to see that these persons are being looked
after.
Again, I suppose, if there is a retraining
programme by which these youngsters can
go out and be gainfully employed, it comes
under the regulations of the Disability Act;
what is it now— $147 a month? These persons
cannot earn any income, I understand, be-
yond that. There should be some provisions
under the Act so that those persons can still
maintain part of that disability pension along
with their income.
Again, this is where I say I think the Public
Trustee Act should be checked into or looked
into to see that there are some changes made
and that there isn't the red tape involved in
it as there is now for those persons. Many of
them, I suppose, will go out and work on
farms, and some of them do that today; but
there is a clause, in the Public Trustee Act I
guess it is, that if there is any money being
paid— and there is money being paid— it must
go into trusteeship. Sometimes this can hold
up proceedings of further employment for the
person involved.
I would ask the minister if his legal staff
would look into this to see that there isn't
the red tape involved in this. With those few
comments, Mr. Speaker, I vdll support the
principle of the bill.
Mr. Speaker: The member for Scarborough
West.
Mr. S. Lewis (Scarborough West): Mr.
Speaker, I simply want to reinforce a couple
of comments made by colleagues in the New
Democratic caucus and to raise some ques-
tions, perhaps not quite so sympathetically
or amicably as they have been raised with the
minister so far this afternoon by some.
It makes good social sense and it's hard to
resist the principle that the transfer of re-
tardation from health to social and community
services can be construed as beneficial, and
if that is really the principle inherent in the
bill no one can resist it; it would be folly.
On the other hand, we are not prepared to
accept whole the material in the minister's
introductory statement about acting on the
provisions of the green paper and doing
things which are obviously so beneficial to
mankind. The fact of the matter is that the
government has dragged its feet in the area
of mental retardation in a fashion which is
barely human, considering the circumstances
which have prevailed in so many of the hos-
pital schools for so many years. To try to
pat itself on the back with this belated trans-
fer is neither honourable nor worthy.
It's rather interesting that the point at
which the transfer comes is not as a logical
extension of social philosophy involved in
treatment of retardation. The point at which
the transfer comes is the most cynical point
in time that is possible— that's when the gov-
ernment can get some money for doing it.
When it gets some money for doing it, it
finally considers retardation something that
can be dealt with in the community rather
than in the constrained institutional frame-
work where it has locked retarded people for
so many years and during so many exposes.
I can remember in this House, 10 years ago,
when I was critic of the field of health and
welfare for the New Democratic Party, deal-
ing with the member for Ontario who was
then the Minister of Health about the
conditions that were obtaining in the Ontario
Hospital School at Smiths Falls. I can re-
member speaking to Dr. Franks, that mag-
nificent superintendent of Smiths Falls, about
what had to be done for the mentally re-
tarded and hearing his eloquent, absolutely
magnificent plea that Smiths Falls be dis-
membered, that it be divided into small
cottage units, that a more human and civilized
approach be taken to the retarded in Ontario.
Ten years later the government publishes
a green paper, uttering all the nonsensical
homilies about community care for the re-
tarded that everybody has understood and
subscribed to for a decade. Then, the minis-
ter brings in this bill and fails to say what is
really at the heart of it.
The only reason this government has de-
cided to move into the field of community
care for the retarded is that it's now fina-^-
458
ONTARIO LEGISLATURE
cially Ijeneficial for its treasury board. It's
as cynical and as blunt as that. Until we
can wrest a commitment from the govern-
ment on the floor of this House this after-
noon, which I very much doubt, that every
single penny it gains on the Canada Assist-
ance Plan will be reinvested in extended
facilities for the retarded, then make no
false claims for this piece of legislation.
As it now stands, the ministry has some
5,010 adults, representing 60 per cent of
those who may be covered by this legislation,
in the adult-retarded group in the various
institutions. It has 3,084 children who are
non-wards and may, therefore, be eligible
under the Canada Assistance Plan. Although
the minister failed to mention it in his open-
ing statement, interestingly enough his min-
istry will receive from the Canada Assistance
Plan something in the area of $25 million to
•S35 million when this transfer takes place
from Health to Community and Social Ser-
vices.
Is the minister prepared to stand in his
place and say that every single penny of that
money presently invested by the province
will be reinvested in the other plans? Can
we have from him the details of what he
intends to do with the money? Can he in-
dicate to us now how he intends to use the
additional dollars?
Can he tell us with respect to the
$600,000, which will probably be the amount
of payment required from individual parents
and families under the means test provision
of the Canada Assistance Plan, can he tell
us whether he will devise a formula in order
ot relieve them of that $600,000 burden? Or
is that a sudden cost, to be assumed, courtesy
of the Ontario government, by parents and
families who have not up until now been
paying for care of the retarded, but who will
be required to pay under the means test
provision of the Canada Assistance Plan?
In this friendly littie scheme, in this happy
environment of the move from Health to
Community and Social Services, there are a
number of questions which require answer-
ing. If, in good faith, this government is
going to accept $25 million to $35 million
from the federal government— the federal
government which it so willingly abuses but
which is giving this money now, I believe,
to three or four provinces, to Alberta, Sas-
katchewan and New Brunswick, under the
Canada Assistance Plan— if this government
is going to now accept this, how is it going
to use the equivalent $25 million to $35
million provincially?
Is the government going to restructure
Smiths Falls and Orillia? Is it going to fund
entirely the adult workshops? Is it going to
provide some of the money for the educable
retarded that is not now available? Is it
going to subsidize the money which will be
required to be paid by parents and families?
How is it that the minister's statement
spoke in such lovely generalities without
getting to the heart of what is involved, that
is the willingness of this government to com-
mit itself to the expansion of programmes
for the retarded about which people have
argued for a decade? Now, all of us are
relatively charitable. The ministry is going
to move the retarded from institutions into
the community. Who dares say no? All of us
have felt the need for years. All of us viewed
the green paper with a kind of bemusement
that such a revelation should have occurred
to the Social Development ministry, when it
has occurred to other jurisdictions and other
professionals in the field for as long as we can
remember.
Mr. T. P. Reid (Rainy River): And the
government has been told by the people.
Mr. Lewis: But the quality of the minis-
ter's commitment will consist of what he
can say at the end of second reading about
the programmes he intends to undertake, and
the dollar value assigned to them when he
gets the money from the Canada Assistance
Plan. It's easy for the minister to stand and
say it is our intention to reinvest the Canada
Assistance Plan money. If I counted up the
intentions of the Tory government around
health and welfare, there wouldn't be a
provincial debt. But I want to hear from the
minister, my colleagues want to hear f^-om
him, the opposition generally wants to haer
from him how he is going to reinvest that
$25 million to $35 million which he now
has, courtesy of the Canada Assistance Plan;
and which is the real reason for the shift
from Health to Community and Social Ser-
vices, because he's not entitled to that money
under the Ministry of Health. Isn't it in-
teresting that the minister suddenly embraces
enlightenment toward the retarded at pre-
cisely the moment when the dollars become
available?
That doesn't make one very warm, or very
secure, about the nature of the programmes
which he intends. If he puts them in the
hands of David McCoy and Dr. Ron Farmer
and Dr. Don Zarfas then he will put them
in the hands of people who are absolutely
and totally committed to the field and to
everything that can be achieved. But if the
MARCH 26, 1974
459
minister is not prerpared to redistribute
wealth, new-found wealth, then this bill con-
tains a social principle which may or may
not prove valid, and we'll have to test it
several years hence.
So let's hear the declaration of commit-
ment from the minister, which wasn't con-
tained in his opening statement. Let's hear
what he intends, in specific terms, for the
use of the $25 million to $35 million which
he vvdll receive as soon as he puts it into
effect. Let's hear how he is going to over-
come the means test provision for those
people who have paid out so much in their
lives for the care of the retarded now, or
who should not now begin to pay.
Let's hear it in specific terms, and enough
of the well-wishing and the benign, the sort
of benevolent optimism which is contained in
the introductory statement; because really,
patience runs out in this field more than
most.
Mr. Speaker: The member for Prince Ed-
ward-Lennox.
Mr. J. A. Taylor (Prince Edward-Lennox):
Mr. Speaker, I'd like to commend the Min-
ister of Community and Social Services on
this bill. I think it's just tremendous.
I read his remarks and I listened to the
remarks made by the minister, and when I
did I related those to the complex known
as Prince Edward Heights in my riding, and
I can say that we are proud to have, in my
riding, a complex such as that, in which are
housed the mentally retarded. It's an asset to
the entire commimity.
When I read the philosophy implicit in
the minister's remarks, I can see how that
was actually being played out in our com-
mimity. This isn't just a hollow promise, I
can assure you that, Mr. Speaker, because
it's not a question of the mechanical trans-
fer, as the member for St. George said wdth
sceptical cynicism. It's not a question of new-
found gold, or moving in a new direction
because of some financial benefit that we
expect may come our way from Ottawa.
That's not it at all, for the very simple
reason that we are doing those very things
in Prince Edward Heights now.
The residents of that complex are integrat-
ing with the community. They have their
own workshops. They operate a carwash.
They operate a snack bar in the armoury
mall. They're out into the community and
making positive and constructive contribu-
tions to our entire community.
As a matter of fact, one of the problems
which is mentioned in the statement by the
minister as probably being one of the difiB-
cult ones to overcome, namely the accept-
ance of the integration of these persons in
our community, has actually been achieved
in our particular community. We are warm
toward these people because they are mak-
ing a positive and constructive contribution
to our community and we do not have any
feeling of ill will. We are, again, proud to
see that the fact which we are experiencing
is now being recognized in legislation and
that the transfer is being made from Health
to Cormnunity and Social Services.
Again, I wish to commend the minister
on this legislation and the work that he is
doing in this field.
Mr. Speaker: The member for Rainy River.
Mr. Reid: Thank you, Mr. Speaker. My
remarks will be few. I, too, rise to support
the principle of this bill, but with a certain
amount of scepticism as other members have
expressed.
It seems strange that the government, in
its wisdom, would finally, after all the years
and all the advice that it has received from
the various people dealing with the retarded,
see the light and move in the direction of
putting the mentally retarded back into the
communities where they can function as
normally as is possible.
However, I am a little concerned after
rereading the minister's statement, particu-
larly about the first paragraph. The min-
ister has a reputation for being one of the
most vague and obtuse people when you try
to pin him down on something; but in the
first paragraph the minister says:
The purpose of the Developmental Serv-
ices Act, 1974, is to transfer administrative
responsibihties for facilities for mentally
retarded persons from the Ministry of
Health to the Ministry of Community and
Social Services.
Obviously that is the principle of the bill.
What I am afraid of is that the mentally re-
tarded will not in fact be treated the way
they should be and that they in fact will not
be put back in the community as quickly as
possible.
We have heard other speakers say that
this has been recommended over the years.
We finally had the government move— we
have had Mr. Williston bring in his report,
and then the green paper, and now finally
this. But as others have said, there is no
guarantee; there is no commitment on the
part of the minister as to what is actually
going to take place.
460
ONTARIO LEGISLATURE
If I can recall, Mr. Speaker, the words
the minister used in his opening remarks
were that this was enabling legislation. In
other words, this meant that the government
could go ahead with these programmes and
these plans and these policies, but there was
no "should" in that matter. There was no
requirement, in fact, that the government
proceed in the way it suggests that it is
going to proceed. All through it the state-
ment of the minister is shot through with
"in the future," and "when it becomes
feasible," and "in a couple of years." On
page 5, and I quote, Mr. Speaker:
It will be apparent to all that such a
programme — community living for the
mentally retarded-will take some time to
develop and effect properly. This expan-
sion of activities will require additional
funds at a time when many other urgent
needs also merit attention.
Well again, that leaves me with the uncom-
fortable feeling that all that is going to hap-
nen with this legislation is that in fact it
is going to be enabling-that some time in
the unspecified future, in the fullness of time,
perhaps we will get to the objective of hav-
ing the retarded lead a normal community
life in the community in which they were
bom and mostly raised.
So we are sceptical, and we too want to
know what is the price tag on this? What is
happening to the funds that have been com-
mitted under the Ministry of Health? Have
those funds been, as a block, switched to
the minister's budget, earmarked for the
specific purpose of assisting the mentally
retarded? What is going to happen with the
Canada Assistance? What programmes? What
policies?
And finally, really I suppose what it al-
wavs comes down to, how many dollars are
eoing to be committed and what are the
time frames for this policy to be enacted?
Because surely, Mr. Speaker, those people,
those families, those people most intimately
concerned with this problem, have been wait-
ing a long time, an unconscionably long
time, for the government to become aware
of its responsibility in this regard. Mr.
Speaker, while I commend the government
for finally moving and espousing this policy
that others, particularly in the two opposition
parties, have been pressing on the govern-
ment for some time, I hope that the minister
gives us the commitment, gives us those time
frames, tells us what dollars are involved, so
that those people who, as I say, have been
carrying the burden for years can know and
can be content and comfortable in the knowl-
edge that there are specific time limits, spe-
cific moneys available and that they know
how they can integrate with this programme.
Mr. R. D. Kennedy (Peel South): Mr.
Speaker, I would like to comment briefly
on the bill before us and to also commend
the minister on bringing this forward. It
is, I suppose, as dramatic a change in this
field of endeavour as has occurred since the
government first became involved in the
schools for the retarded and started to share
that burden with the local associations.
Mr. Reid: It's not dramatic from our view-
point.
Mr. Kennedy: Well it is. It is a very, very
significant item; very much so.
Mr. Reid: It is significant but it is cer-
tainly not new. It isn't something dramatic,
it isn't something new.
Mr. Kennedy: Well, it depends on your
interpretation of dramatic, Mr. Speaker.
But I know there is a very active associa-
tion in Peel and as a matter of fact there is
a meeting of it tonight. I know there will
be a great deal of interest in knowing this
bill has now come forward and is being de-
bated on second reading.
I would like to ask the minister what the
ministry sees as the potential here. That is,
of each 100 persons who are now confined
how many might appear to be eligible for
such a programme? Would it be 50 per cent,
or a quarter, or is it something that wiU
increase over the years as additional therapy
is developed?
I would like to ask as well, Mr. Speaker,
if I might— Ortona Barracks has been pre-
pared now, and I believe it is now taking
people who were at OriHia and presumably
other locations. Does this change the direc-
tion or the capacity that might be needed
there? I mention the matter as to how many
might become involved in the communitv
based living and I'm sure well await with
interest the programme as the details are
devdoped.
I do know, Mr. Speaker, there is great
potential here, because we have the ARC
Industries— there are several of these through-
out the province and it is demonstrated
through these endeavours that there is a role
for those people in our society who are, per-
haps, less fortunate than many.
So, Mr. Speaker, I will conclude with those
few comments, and a couple of questions.
MARCH 26, 1974
461
Again, I am just so pleased that this action
has been taken by the ministry and we'll
watch it develop. My commendations to the
minister.
Mr. Speaker: The member for Windsor-
Walk erville.
Mr. B. Newman ( Windsor- Walkerville ) :
Mr. Speaker, I would like to make a few
comments on Bill 7, the Developmental Serv-
ices Act, 1974, and say that it is pretty diffi-
cult for one not to agree with the principle of
the bill, especially after sitting in this House
for a few years and having espoused such an
approach on the part of government— request-
ing, suggesting, year after year and seeing no
action from government.
AU of a sudden they come out riding white
chargers. They have found something com-
pletely new, something revolutionary, some-
thing outstanding, something dramatic. It took
them in my estimation 15 years to reach this
dramatic stage. They are following up in their
approach to mental retardation in the same
wav that they have followed up in the ap-
proach to resolving the housing problem.
Thev are still hving back 15 and 20 years
ago.'
Mr. Speaker, the idea of centreing the
treatment and the services to the mentally
retarded on the community is a good prin-
ciple. No one can come along and criticize
that. Criticizing that would be almost like
being against motherhood but, Mr. Speaker,
we certainly have to give an awful lot of
credit to the various volunteer organizations
and service clubs which have fought for the
needs of the retarded over many years in
the past.
I recall in my own community the Kins-
men's service club which has played an ex-
tremely active role in what the previous
member mentioned, ARC Industries, the
Association for Retarded Children. They have
done such an outstanding job in assisting the
retarded that within the next month or so
the\- are actually going to have a mortgage-
burning ceremony, having paid off the mort-
gage. They have shown that the mentally
retarded can become a valuable asset to the
community in spite of some of the handicaps
they have.
The thing that does disturb me a bit, Mr.
Speaker, is why, all of a sudden, this area of
social need is being transferred from the Min-
istry of Health to the Ministry of Community
and Social Services. I think the leader of the
New Democratic Party probably brought out
one substantial point of view and that is that
all of a sudden the ministry has found there
are funds available through the federal gov-
ernment and now it is going to take advan-
tage of it.
We have heard so often that Ontario is the
leader. The leader of what? It is gonig to be
the fourth province in Canada to take ad-
vantage of federal funding. As far as retarda-
tion is concerned, as far as taking advantage
of funds available from federal sources is
concerned, this government certainly isn't a
leader; it certainly isn't a follower; it really
is the sheep in the field. It is far behind other
provinces which are not as affluent and, we
think, which are not as forward-looking as
we are in Ontario. But when it comes to
mental retardation, we certainly can't say that
Ontario was forward-looking.
I can recall sitting in this Legislature and
listening to the Minister of Health of the
day, the member for Ontario when he
was extolling the virtues of building Cedar
Springs Hospital. Here we have this big
complex to warehouse — if I am not mis-
taken that was even one of the terms used in
those days— to warehouse these unfortunates;
1,000 people in an institution. We tried to
point out to him that that was not the hu-
mane way to approach mental illness — I
shouldn't say mental iDness— but a misfor-
tune, something could have been resolved
had the ministry of the day looked forward
and followed the recommendations not only
of opposition members but all those who
were knowledgeable in the field of mental
retardation. How hard it was to convince the
government opposite to act when it came to
the case and the needs of the mentally re-
tarded.
Even with the present legislation, Mr.
Speaker, you will notice that it is still a
discriminatory type of legislation. There is
age discrimination here. We are going to
restore to the community first those over 18.
The minister can correct me if I am wrong
but this is what I understand— that those over
18 are the ones we are going to be con-
cerned with first. I would hope that wouldn't
be the case because if it is good enough for
those over 18, it certainly should be good
and possibly better for the younger ones
because the sooner we can tackle the prob-
lem of mental retardation, the sooner we'll
find answers for it and the sooner will come
the betterment of the individual.
One of the comments made by the mem-
ber for St. George was concerning the pres-
ent division of responsibilities between the
Ministry of Health and the Ministry of Com-
munity and Social Services and I wonder how
462
ONTARIO LEGISLATURE
that is going to be resolved by the ministry.
Is one class of individual going to be the
responsibility of the Ministry of Health and
the other now the responsibility of the Min-
istry of Community and Social Services?
Mr. Speaker, now there has been a new
look at the retarded I would say that we
hope this legislation may lead to a brighter
hope, not only for those in Cedar Springs,
hut a brighter hope for all who have suf-
fered so long and so hard with this problem.
I refer not only to the retardate but also to
the many dedicated volunteers and the par-
ents who had this affliction to contend with
when they had a mentally retarded young-
ster.
If it took the ministry about 15 or so
years to act on recommendations of mem-
bers opposite and of those who were knowl-
edgeable in the field of retardation, I won-
der how long it is going to take now for him
to implement the programme as recommend-
ed and as outlined in Bill 7. We hope it
doesn't take another 15 years.
What the ministry is really setting up now
is going to be sort of a halfway house ap-
proach. I can recall this being a recommen-
dation for those in Correctional Services.
The minister is going to have an area, or he
may set up an area, between the present
institution and the family home, in some
instances. In other instances, the individual
may go directly into the family home.
I would like to ask the minister how this
is going to affect the educational system in
a community, with budgetary ceilings ad-
versely affecting the quality of education. I
am wondering if the ministry is going to
subsidize or pay allotments to educational
boards in a community for the retardates who
are going to be attending local institutions.
I am wondering if there is going to be a
higher per-pupil grant as a result, because
to be effective in educating or training the
retardates, the minister is going to have to
have a very low pupil-teacher ratio, and the
lower the pupil-teacher ratio, the more ex-
pensive the education becomes.
So we are not going to be able to accom-
modate the individual who has this problem
in the elementary level on the normal allot-
ment of funds if it is some $675 or $700, and
in the secondary level if it is $1,100 or
$1,200. It is going to have to be substan-
tially higher to assist and enable boards to
provide top-quality education to those who
really need the services of our educational
institutions.
I likewise wonder, now that the retardates
are going back into the community, whether
the local taxpayer is going to be required to
pay for 20 per cent of the services provided.
If the individual on welfare is being as-
sisted by the community, the community
finds that 20 per cent of the cost burden
is shouldered by the local taxpayer, while
30 per cent is funded by the provincial
authorities and 50 per cent by the federal
authorities. Even the 20 per cent additional
burden is a little too much for all of the
communities. The demands for various types
of services by the citizenry are so great that
this additional burden of 20 per cent could
be beyond the municipalities' financial capa-
bilities.
I likewise wonder if the ministry has any
intention of using the students at commimity
colleges who are taking programmes deal-
ing with the retarded. Is it the intention
of using graduate students from our com-
munity colleges to assist in the programme?
The programme is going to be extremely
expensive— certainly a little more expensive
than we anticipate at present— because we
had gone into the building of these smaller
group homes 10 or 15 years ago, we could
have put up these facilities at a substantially
lower cost than we can today. I understand
the grant from the ministry is about $5,000,
and the minister well knows that we certainly
couldn't put up a facility in a community to
house 12 or 15 for less than $100,000. It is
extremely costly.
Perhaps the minister has the intention of
putting up slightly larger group homes, but
we hope he doesn't build little Cedar Springs
accommodations in communities. We want
them to be with their families or in foster
homes, where they can get a sort of one-to-
one relationship and obtain the maximum
assistance from close association with their
fellow man or woman, boy or girl, as the
case may be.
Mr. Speaker, one of the needs that I am
afraid may be bypassed is the communica-
tion between the community and the hospi-
tal. I am afraid tihat some of the individuals
may be sent into the community without the
community even knowing that they are in
that community. I happen to have been con-
tacted in the past week by one individual who
was placed in the community. He has been
in the community for approximately two
months, but his disability or family benefits
did not follow him. He had to go on to
welfare to be accommodated. There obvious-
ly was a breakdown in this case. I am not
saying that this is generally the case, but
it did happen to this individual. I had to in-
tercede with this department on his behalf
MARCH 26, 1974
463
to resolve the issue, and I am sure that the
issue will be resolved. It shouldn't be that
much of a problem.
But we have to inform the community if
these people are going to be removed from
one of the hospitals and put into the com-
munity. Likewise, we are going to have to
work \ery closely wdth Canada Manpower.
A lot of the individuals are going to need
special programmes, and we are perhaps
going to depend on Canada Manpower to
develop some of the programmes, especially
in areas that may not have an association for
the mentally retarded.
I am quite concerned that individuals
may be released into a community where
there is no association that can sort of assist,
follow up and be of maximum help to the
person who is released into the community.
Likewise there is the need for a citizens'
advocacy programme. I understand it is in
operation in some areas but I think the min-
ister is going to have to expand that opera-
tion. I know in my own community the re-
tarded attempted to get a $12,000 LIP grant
to operate a citizens' advocacy programme
and were unsuccessful, so I would think that
the ministry will have to pick up that tab
to make sure that we do have trained social
workers to match up and to counsel these
who are released into the community.
The advocate could be, in many oases,
sort of an ombudsman for the retarded so
that he could act as a go-between for the
indi\idual and any complaints that he or
she might have concerning any agency in
the community.
Mr. Speaker, I would like to make just a
few more short comments concerning this
bill, and in making these comments to read
from a letter that was published in the Wind-
sor Daily Star. It's a letter written by Gordon
S. Smith, executive director of the Windsor
Association for the Mentally Retarded. He
certainly spells out the problem well. He
looks forward with brighter hope for the
area and for those suffering from this han-
dicap and he writes as follows:
There is no residence for trainable re-
tarded children under 12 for either long-
. term or emergency care in Windsor. There
is a need for a day activity programme
for the more severely and multi-handi-
capped retarded adult, and more foster
and boarding homes. I am happy to say
that the association is presently working
on these needs. We hope that this legis-
lation will accelerate this work and enable
the mentally retarded association in the
community to resolve the problems.
In addition to these important needs,
there has to be more support services.
Although the Ministry of Community and
Social Services may soon bring its protec-
tive programmes to Windsor and provide
a social worker to look after the legal
problems of the retarded, this will only
provide partial assistance. If there are
other adequate support services, such as a
citizens' advocacy, many of the legal prob-
lems will be eliminated, also many more
Cedar Springs residents wall be able to
make it in the community.
'All these programmes and services cost
money and it is true that the Windsor
Association for the Mentally Retarded can
only raise so much money. If government
is really intent on phasing down institu-
tions, then it must be prepared to redirect
some of the taxes back into the com-
munity to provide it with increased capital
'grants for construction, renovations and
equipment, and larger operating subsidies.
Instead of Cedar Springs looking at sites
in Windsor with an eye to building a
small community residence, those funds
iwhich are available to do this should be
directed to the associations who presently
can only obtain $5,000 per bed and not
100 per cent of the cost, as would be
'provided through Cedar Springs.
It is time to co-ordinate and, if neces-
sary, consolidate all services for handi-
capped persons to give them that brighter
hope. Finallv, the Windsor Association for
the Mentally Retarded is no longer con-
tent with the second best. We ask that
mentally retarded people be free to partic-
ipate in all aspects of commimity Hfe, to
be provided with appropriate services, not
left to regress physically and mentally;
free to live and work in society and to
know some degree of economic security;
(free to have a qualified guardian, such as
a citizen advocate, to protect a retarded
person's well-being and interests; free to
enjoy the same basic rights as other citi-
zens. It is not too much to ask.
That was signed by Gordon , Smith, execu-
tive director of the Windsor Association for
the Mentally Retarded.
Mr. Sfpeaker, with these few comments I
will support the principle of ^the bill, hoping
that the minister can implement that as
quickly as possible, so that we don't wait for
15 years to have what had been recom-
mended to government for 15 years. Thank
you.
464
ONTARIO LEGISLATURE
Mr. Speaker: Does any other member wish
to participate?
Mr. J. R. Breithaupt (Kitchener): Mr.
Speaker, I have a few comments with re-
spect to the bill. It was interesting to receive
the minister's original statement at the time
when we were finishing off the debate on
the York teachers' bill. As you will recall,
sir, we were prepared to proceed with that
bill before this House took its break last
week.
In the meantime, though, it was interest-
ing as well, when the minister's statement
was read today, to see that suddenly four
pages had become nine pages. Those addi-
tional pages dealt with some things which
apparently had been greatly the concern of
a number of groups within our community.
I was concerned, in some preparation for
this bill, in reviewing a couple of press
articles that appeared in the London Free
Press and in the Globe and Mail. They
dealt particularly with the concerns of many
parents as to the background and the knowl-
edee that they felt they should have had
bef-^re this decision was made to transfer
under this bill the responsibility for men-
tally retarded persons.
I'm quite siue the minister may state that
it is only natural that every person may not
know in depth the details or may not be
aware of the legislation that's coming up.
But it seems to me that the views, at least
reported from the meetings in London and
in Toronto, were somewhat more serious
than that. The areas of concern that were
discussed there apparently have now been
included at least in additional statements and
assurances which the minister has made, par-
ticularly with respect to funding.
It has been said this afternoon, as it has
been said for some years, that this present
administration in Ontario has not moved as
promptly or as well as it should in order
to take advantage of the Canada Assistance
Plan. The leader of the New Democratic
Party referred to the numbers involved, some
5,000 who are over 18 years of age, some
60 per cent of the total of some 8,000, who
are now going to be able to obtain the kind
of financial support from the federal govern-
ment that we have suggested could have
been arranged some years ago. The Prov-
inces of Alberta, Saskatchewan and New
Brunswick have already taken advantage of
this programme, as my colleague from Wind-
sor-Walkerville has pointed out.
But I think that there are still some con-
cerns that the minister's statement has now
met, at least part-way. The matter of cost-
sharing with the federal government, of
course, is important. While we become the
fourth province, we have not, in fact, led the
way as we should have in making this kind
of legislation an important change in the
approach which has been taken to retarded
persons within our community.
Increases of grants for construction of
workshops and for day nurseries are another
important aspect that we hope is going to
result from this bill. I am most interested in
knowing whether the approach that some of
the parents' groups have referred to with
respect to the costs to individuals has been
properly and fully explained to them. I think
the minister has an obligation— I'm sure he
feels it too— to make certain that the parents
and guardians and other concerned with re-
tarded persons in the community- are well
aware of what the financial picture is going to
be. Is it going to be a burden? Is it going to
be a benefit?
I think the minister must make certain that
the various associations for retarded persons
have all the knowledge they must ha\e so
they know that various benefits which are
going to be received from the federal govern-
ment are going to be fully used in the de-
velopment of better facilities and in the kinds
of facilities that he has suggested. We also, I
think, have to make certain that the various
payments which have been called for, by and
from parents, for support of retarded children
or young persons, are no longer going to be a
requirement.
The minister, in his statement on page 5,
has set out the eligibility extension and I'm
pleased to see it here in detail because it
wasn't, of course, in the earlier statement.
If the minister is correct that many parents
are going to be reheved of expense and cer-
tainly over-anxiety for the care and develop-
ment of their retarded children and young
people, then I certainly wish him well as this
legislation proceeds.
The member for Windsor-Walkerville has
suggested that this matter has been dis-
cussed in the House for certainly the 15 years
that he has been here, and I'm certain those
members who have served in the House
longer than that period of time will also refer
to earlier discussions and comments which
they no doubt have had concerning the re-
quirement for this kind of change.
While the member for Peel South seems to
feel this is a dramatic announcement, I think
the minister will, at least, understand that
we in the opposition cannot quite share his
MARCH 26. 1974
465
colleague's approval of the legislation as a
dramatic step. We think it's a step which is
long overdue. We think the failure of the
government to take advantage of the financial
benefits that the federal government has made
available is most regrettable, because funds
which could have been obtained have not
been obtained over the past several years.
As a result, there is perhaps some cynicism in
our view that this change is being made as
much for financial reasons as it is for the
honest concern that we all should have with
attempting to bring persons who have re-
tarded facihties and abilities back into our
community.
I was interested in seeing the minister's
comrrient that he believes some 50 per cent
of persons who are now in facilities will stand
a very good chance of coming back into
society. I certainly hope he's correct.
I think the procedure which is being taken
to develop the cottage approach, shall we say,
as opposed to a large institutional approach, is
most worthwhile. One thing I would leave
with the minister as a comment is that when
the cottages, or the single-family homes, or
whatever it is that is going to be coming,
is in fact developed, that he does not go too
far in tiuning them simply into mini-insti-
tutions.
I think, for example, that in large build-
ings, no doubt particularly in the ones that
we have seen developed over the past years,
various fire, safety and other facilities have
been very important criteria as to the de-
velopment of those buildings. But I would
suggest to the minister that if he is going to
attempt to develop and bring these retarded
persons into our society, it should be done
with an eye to the kinds of homes that they
are going to be going into eventually.
There is, of course, some vallie in, and
we must indeed be concerned about, fire
and emergency exits and these other things
which do add a goodly amount of cost to
an ordinary home if it is to be used for that
particular purpose. But I hope a certain bal-
ance will be kept because I think the funds
can be used to good advantage. The funds,
indeed, could be used perhaps to better
advantage in building more standard kinds
of homes^the kinds of homes to which these
persons are going to return as they become
more and more a part of society. Of course,
we have to have standards of fire safety.
Naturally enough we must make sure that
there are the required exits*— that construc-
tion is sound— and that especially persons who
might become easily confused in the event
of an accident or a fire, or whatever, have
clear and unobstructedi ways of escape.
But I would suggest that some considera-
tion be given in retaining the home atmos-
phere. If that last safety aspect is bent a
little bit, perhaps it will at least be worth-
while to consider as we look to the cost and
the future real benefit. This is, of course,
to get retarded persons back into our society.
We in the opposition vdll, of course, sup-
port this bill. We are concerned that all of
the details are made fully known to the
parents, to the guardians and to the persons
who are working with retarded persons. Many
of these young persons are going to be par-
ticularly vulnerable to all sorts of problems.
Indeed, unfortunately, some of our com-
munities may not take the decision to wel-
come this kind of facility as we would hope
they would take it. I hope that all the needs
of the persons who are going to be turned
over by this programme are going to be
properly met.
Of course, there udll be a large transfer
of civil servants; I understand some 7,000.
And in the press it was reported that the
value of the programme is some $93 million;
so that indeed we are dealing with a sub-
stantial number of Ontario's civil servants
and we are dealing wdth a lot of our re-
sources.
I hope that the ministry is ready to handle
this change. I hope that the transfer is not
just going to be one in name, but in fact
will be one in substance. Surely the prob-
lems that can occur are well known to the
minister. I hope they have been thought
through, so that the transfer of staff, the
transfer of facilities, and the development of
this programme is really going to be a new
step in the treatment of the one person in a
thousand within our society who requires
this kind of facility.
I wash the government well in the develop-
ment of this kind of programme. We cer-
tainly welcome— albeit after many years of
request— the final decision that the govern-
ment has made to make this kind of transfer
and to give a new hope to those persons
in our society who are retarded.
Mr. Speaker: Does any other member wish
to participate in this debate? If not, the hon.
minister.
iHon. Mr. Brunelle: Mr. Speaker, I wish
to thank the hon. members for their con-
structive comments. The consensus is that
they are in agreement with the principle of
this bill. As I have indicated, the main pur-
466
ONTARIO LEGISLATURE
pose of this bill is to provide enabling legis-
lation in order to transfer the administrative
responsibility from the Ministry of Health to
our ministry.
However, just as important, if not more
important, this legislation will provide the
framework for the mentally retarded to live
in a community setting. That is the pur-
pose: to transfer it from the Ministry of
Health, where it was a hospital patient-
oriented model, to a community resident
model.
I would like to assure the hon. members,
Mr. Speaker, of the main purpose of obtain-
ing federal sharing in the Canada Assistance
Plan. All that money will be definitely used
to expand the facilities and the services for
the mentally retarded in order that they can
take their just place in society.
Mr. Cisbom: Will it be new money? That
is what we are talking about.
Hon. Mr. Brunelle: Yes, within our own
ministry — when our budget is presented —
there are additional funds. Again, I would
like to reiterate that the funds from the
Canada Assistance Plan will be used entirely.
We don't know how much at this time. The
leader of the NDP says $35 million. We
estimated it will be somewhere between $25
million to $35 million.
I wish, Mr. Speaker, to deal with the
remarks of each individual member; but I
think there are a couple of things that should
be said. As I indicated in my remarks, there
will be no problem with the adxdts sharing
under the Canada Assistance Plan. The great
majority of adults vdll be eligible. The ad-
vantage of having assistance under the family
benefits plan is that when they move from
an institution to a residence they will have
mobility and their assistance will go with
them. So there will be no delays as there are
now when an application is made for FBA.
lAs far as the children are concerned— and
this is the area of concern— again I'd like to
emphasize that in my remarks I mentioned
that we have not yet comei to any decision.
There have been many discussions with the
Ontario Association for the Mentally Re-
tarded and with the parents of the children
and this whole question is still under active
consideration. However, our legislation is
designed in such a way that there could be
cost sharing.
There will be an annual meeting of the
Ontario Association of the Mentally Retarded
in May in Peterborough and this matter will
be fully discussed between now and that
time with the association and the parents.
The hon. member for York Centre, Mr.
Speaker, asked to have the names of the
facilities that will be transferred. I will be
pleased to send him a Hst of the names of
those facilities that are government operated.
There are 12 institutions, plus three with
partial facilities. There are eight institutions
operated by boards. I will be pleased to
send this to the hon. member for York Centre
and any other member who would like to
have the names of those institutions.
The hon. member for Sudbury East refer-
red to several matters, Mr. Speaker. One is
with reference to funding and again I just
mention that the funds from the Canada
Assistance Plan will definitely go for expan-
sion of additional facilities and services.
Children who are in institutions now under
the Ministry of Health are presently funded
100 per cent by the Ministry of Health and
this will continue. Those which are funded
luider our ministry— for instance homes for
retarded persons— we fund about 80 per cent.
At the present time this legislation does not
change the funding; it is strictly an adminis-
trative process from one ministry to the
other. But as time goes on we will integrate
and have a more co-ordinated plan of fund-
ing.
The member referred to capital grants for
workshops. He referred to this matter in our
estimates and again I agree with him that
certainly this is an area where we intend
to provide more funding. The present assist-
ance of 25 per cent in many areas is not
adequate. However this is not part of this
legislation; this ^viM come at a later date.
He referred to the new nursing home in
Sudbury. I am advised, Mr. Speaker, that this
home will be under the homes for special
care. Only specifically chosen persons will be
placed in this home and they will be adults;
no children will be placed in this home.
Also, this proposed move is still in the
planning phase and the parents will be con-
sulted. If there are strong objections we
certainly wdll take them into consideration,
because in all these matters, Mr. Speaker,
we must deal with the parents, we must deal
with the local associations. We must have
their full co-operation and everything will be
done in co-operation with the parents and
the associations.
The hon. member referred to Pioneer
Manor. I am in agreement with what he said,
that it is one of the best homes in the prov-
ince. As the hon. member knows— I believe
I wrote to him recently— we have given ap-
proval for an addition of 100 beds to this
home.
MARCH 26, 1974
467
The hon. member for St. George referred
to the definition of the meaning of develop-
mental handicap. Mr. Speaker, I do not know
whether I can elaborate further on the defi-
nition as it is contained in the Act. This term
"developmental handicap" applies to retarded
persons but is not as much of a stigma— if
I may use that expression. It is also indicated
here that it means "a condition of mental
impairment present or occurring during a
person's formative years, that is associated
with limitations in adaptive behaviour."
The member also referred, Mr, Speaker,
to the sort of do-it-yourself services under
the Minister of Health. It is our intention to
expand special services to families, such as
family counselling, homemaker services, de-
velopment daycare centres and so forth. This
will all be done again in partnership with the
local associations for the mentally handi-
capped. Also our legislation provides for the
purchase and provision of services. We will
be purchasing certain services from the Min-
istry of Health and also from local organiza-
tions.
She referred to accommodation, and I
agree with her. She mentioned this during
our estimates, that there is certainly a need
for accommodation for the handicapped,
both the mentally and the physically, where-
by those younger persons should not be
placed with elderly persons. This is an area
that we will be improving. The new Ministry
of Housing, I believe, has legislation that
will provide for more accommodation for the
handicapped. We will be amending some of
our own legislation. For instance, last year
we amended the Charitable Institutions Act
whereby we can provide debt retirement
under CMHC. There are many retarded
homes today that can be built under OMHC,
if there were assistance from our ministry.
They can obtain the mortgages. It is our
intention to amend our legislation to provide
for debt retirement under those circum-
stances.
The hon. member for Parkdale, Mr.
Speaker, also, made some very constructive
comments. Again, I wish to reiterate to him
and to the members that the main purpose
of our transfer for the mentally retarded is
to develop their potential to the maximum.
The hon. member for Simcoe East referred
to the two institutions in his riding— Edgar,
the adult occupational centre, and the one
at Orillia, the Huronia regional centre. I
wish to assure him that the farm and garden
programme has not been discontinued. It is
being reviewed in order to incorporate it
into the community trust with reference to
this new legislation.
With regard to staff, this is quite a con-
cern. It is understandable. I believe it has
been mentioned that there are somewhere, I
believe, around 7,800 staff which will be
transferred from Health to our ministry.
There have been many meetings with the
staff of the Ministry of Health, along with
some of our own ofiicials meeting with the
various staffs and their institutions to inform
them of the transfer of this programme, and
they have been assured that their employ-
ment will not be jeopardized. In certain in-
stances, of course, there could be a changing
of the role of that institution and there will
have to be some adaptation. But there cer-
tainly is no question of their employment
being jeopardized as a result of this transfer
or any other benefits that they are presently
receiving.
The hon. member for Welland South re-
ferred to several matters, Mr. Speaker, Like
previous members, he referred to the inade-
quate funding for residential facilities as well
as workshops. I am entirely in agreement with
him. We hope to provide more assistance.
He referred to the public trustee. As far
as the public trustee is concerned, Mr,
Speaker, the services available presently
under the Ministry of Health will continue
under our ministry. There is, of course, an
area of guardianship that is a very important
area. There is a committee presently review-
ing this matter, composed of our ministry,
the Ministry of Health and the Attorney
General's department, and looking into this
whole question of guardianship for the men-
tally retarded. We also are instituting an
adult protective service programme, which
will provide counselling and support services,
including trusteeship, to retarded persons
within the community. It's a very important
area, Mr. Speaker, and it's one where we
certainly will do our best to provide the
necessary services.
The leader of the NDP is not here, Mr.
Speaker, but again his main concern was that
the transfer was mainly a bid to obtain fed-
eral money without any assurance that it
would be reinvested in facihties for the re-
tarded. Again, this will definitely be done.
I appreciated the remarks from the hon,
member for Prince Edward-Lennox; a very
fine constituency and a very fine member,
Mr. Speaker.
Mr. Martel: That wasn't necessary. The
minister had to spoil it.
Hon. Mr. Brunelle: The member for Rainy
River referred to funding.
468
ONTARIO LEGISLATURE
Mr. J. E. Stokes (Thunder Bay): That's a
fine riding, too.
Hon. Mr. Brunelle: Will funds for the
mental retardation programme in health be
transferred to our ministry? Definitely the
funds will be transferred. I was looking at
this new policy brochure for the fiscal year
of 1971-1972; and the amounts for the Minis-
try of Health, I believe, were about $83,680,-
000. The funds for those programmes that
were in Health and are coming over to our
ministry will definitely be transferred.
The hon. member for Peel South-
Mr. Martel: Forget about him.
Hon. Mr. Brunelle: —asked about the num-
bers of person who could be rehabilitated
and it is estimated that about half of those
who are now in institutions could be re-
habilitated within a community setting.
The hon. member for Windsor- Walkerville,
Mr, Speaker, brought many matters to my
attention and I believe I may be omitting
some of the matters he brought up. I
would like to assure all the hon. members
that on those matters they brought to my
attention I will write to them and give them
answers. In the meantime, I will do my
best to try to reply to some of the matters
he brought out.
In my remarks I referred to the age of
18; 18 years of age is the age eligibility for
assistance under the Family Benefits Act.
Therefore, all the adults who are 18 years
of age and over in the institutions will be
eligible for a pension or assistance imder the
Family Benefits Act. This does not mean
that we will be considering those adults
first for rehabilitation, those who can be, of
course, into a community setting.
Children certainly merit every considera-
tion and quite a large number of those
children will be rehabilitated within their
own communities. When I say within their
communities, some could go back to their
families. Some may go to foster homes.
Others could go to group homes. The 18
years old age reference is mainly for eligi-
bility under the Family Benefits Act.
Mr. B. Newman: Will there be financial
provisions for the parents who take their
children back?
Hon, Mr. Brunelle: On this whole ques-
tion, as I said, with adults there is no prob-
lem; the problem is with the children. This
is the area we are giving consideration to
and where we are working closely with the
parents and with the local associations. It is
our intention, once we have arrived at some
agreement, that there would be agreements
with the families and with our ministry, and
it will depend on the financial ability of
those families.
There will be some sort of an income
test whereby those families will contribute
what they normally would contribute for a
normal child. In some cases, say low wage
earners or persons who are on pensions, they
may not make any contribution except,
maybe, for the minimum of the family
allowance, which is now $20 a month. So
this whole area is one of concern, one where
we certainly need the full co-operation of
the parents and the local associations and
one upon which there has been no decision
made.
Mr. Martel: It won't have anything to do
with the father's income but rather the cost
of the care provided.
Hon. Mr. Brunelle: Well, under the CAP
there has to be a needs test, and for many
parents there is no problem; many parents
of low income earners and those who are
on pensions will qualify, except that they
may have to pay the $20 family allowance.
With reference to graduates of colleges
and universities, they certainly will be con-
sidered for employment in facilities and ser-
vices for the mentally retarded. The hon.
member may be familiar with the group of
young Canadians — I forget what they call
themselves— who are very interested in assist-
ing the mentally retarded. They operate
across Canada, but I forget the ofiBcial name
of the group. We do now employ graduates
of colleges and universities and there prob-
ably could be an expansion of courses in this
area.
With reference to Canada Manpower,
again we certainly agree that we will work
very closely with Canada Manpower in trying
to place those retarded who can obtain em-
ployment. We also intend to work closely
with industry in this area. More should be
done; there should be incentives to industry
in order to provide employment to those who
can work in an industrial area.
The hon. member referred to capital grants
for residential facilities. As I indicated earlier,
I am in agreement that there should be an
improvement; our present grant of $5,000
per bed under the Charitable Institutions Act
is not adequate in this day and age.
As I indicated earlier, Mr. Speaker, I am
sure that I missed some of the matters that
MARCH 26, 1974
the hon. member brought to my attention,
and I will be pleased to send him written
reply to all the matters that he did bring
up and that I have missed at the present
time.
The hon. member for Kitchener brought up
the areas of concern to the parents with
respect to the funding and, as I indicated
earlier, this has not yet been decided. I agree
with him also about residential facilities, that
although they should meet the health and
the fire standards, they should be such that
they provide a home-like atmosphere. There
also should be provision so that when a
person leaves an institution and goes to a
group home, eventually he could go from
there to a regular apartment or home of his
own. Certainly it is our intention to provide
as much of a home-like atmosphere as pos-
sible.
Mr. Speaker, again I thank the hon.
members for their contribution, and I wish
to assure them that it is definitely our in-
tention to improve the facilities and the
services to the mentally retarded.
Motion agreed to; second reading of the
bill.
r Mr. Speaker: Shall the bill be ordered for
third reading?
Agreed.
' Clerk of the House: The first order, resum-
ing the adjourned debate on the amendment
to the amendment to the motion for an ad-
dress in reply to the speech of the Honour-
able the Lieutenant Governor at the opening
of the session.
' THRONE SPEECH DEBATE
Mr. I. Deans (Wentworth): Mr. Speaker,
before you proceed with this order, I wonder
if I may ask for the concurrence of the House.
The hon. member for Sandwich-Riverside
(Mr. Burr) was speaking when the debate
was adjourned. He is unfortunately required
to be with the select committee this after-
noon dealing with the preparation of the re-
port and is unable to be in the House. If the
House could grant unanimous consent to
permit him to complete his speech at a sub-
sequent sitting, it would certainly be appre-
ciated by the hon. member and by me on
behalf of the party.
Mr. Speaker: I would say that there is an-
other hon. member, in addition to the hon.
member for Sandwich- Riverside, who had
moved adjournment of the debate previously.
It was my intention, if either of these hon.
members wishes to pursue his participation
in this debate, that I would ask for the
concurrence of the House. I am sure tbere
will be no difBculty at that time. With our
provisions in the standing orders, no member
may speak twice; and I would need concur-
rence, which I will seek if and when the time
arises.
Mr. J. Root (Wellington-Dufferin): Well,
Mr. Speaker, I had hoped to complete my
remarks tonight, but I have been sitting here
for two afternoons and I am afraid that I
am not going to get very far into what I
want to say, but if you want me to proceed,
I will start.
Mr. Deans: Why doesn't the member tell
a couple of jokes or something?
Mr. Root: All right, I will. Mr. Speaker,
I welcome the opportunity to make some
comments regarding the speech that was
delivered by his Honour, the Lieutenant
Governor, at the opening of this session on
March 5.
First of all, let me commend you, sir, on
the fair manner in which you preside over the
debates in this House, endeavouring to give
everyone a fair chance to be heard.
I realize that your task is not easy, because
I must say that having sat in this House
for over 22 years I have seen Legislatures
that were more orderly than the present
Legislature.
I have wondered sometimes whether mem-
bers of the opposition, in particular the NDP,
are hard of hearing. I note when you call
the leader of that party to order, he quite
often turns and faces the other way and goes
right on talking. It may be that he has diffi-
culty hearing, or it may be that he wants to
interject into other members' speeches-
Mr. Deans: No way.
Mr. Root: —so that he can get his com-
ments out in the Hansard and destroy the
effect of the other member's speech.
Mr. Deans: If I had known the member
was going to be that nasty-
Mr. Root: Well, I am trying to accom-
modate the member.
Mr. Deans: Is this part of the member's
speech?
Mr. J. R. Breithaupt (Kitchener): This is
one of the jokes.
470
ONTARIO LEGISLATURE
Mr. Root: At any rate, Mr. Speaker-
Mr. Deans: Did he write that into his
speech?
Mr. Root: At any rate, Mr. Speaker, I
favour a two-party system-
Mr. Deans: I bet he does.
Mr. Root: —where you have a government
and you have an opposition that has the
responsibility of keeping the government on
its toes. I used to wonder why we had a
third party, but sometimes when I look
across and see members of that third party
sitting with their feet on their desks, with
their coats off, interjecting, and sometimes
their language-
Mr. Deans: He means when he is here
he looks across and he sees that.
Mr. Root: —in my opinion, is not appro-
priate language for a parliament, I can see
where perhaps there is a useful purpose by
having a third party to attract that type of
member.
Mr. Deans: It's such a pleasure to hear
from him.
Mr. Root: Mr. Speaker, I wish you well
in the days— this is the type of thing, Mr.
Speaker, that I am referring to, that con-
tinual interjecting to get into my speech.
Mr. Deans: That's right. It is the unpro-
vocative nature of the member's comments.
Mr. Root: Mr. Speaker, I wish you well in
the days that lie ahead. I know we are all
pleased to see you back in the chair. I know
that you will do your best to deal fairly
with all members.
I want to pay tribute to the Honourable
W. Ross Macdonald, who has been a worthy
representative of the monarchy here in On-
tario. He has been a credit to that institution
and retires with the respect of all members
of the House.
With regard to the Speech from the
Throne, I was interested to note that despite
projection of slower economic growth this
year, it is still hoped that the level of em-
plovinent achieved in 1973, which produced
a record of 149,000 new jobs, will be main-
tained.
I also note that for the second consecutive
year dwelling starts in Ontario have exceeded
100,000 units, a rate of construction which
is consistent with the government's overall
objective of one million new d'welling units
in 10 years.
These two comments indicate the effect of
the sound progressive policies that have been
pursued by the Progressive Conservative
Party during the years this party has been
charged with the responsibility of govern^
ment.
Mr. Deans: Oh, balderdash.
'Mr. Root: Look at the record of some of
our sister provinces. I noted in the Globe
and Mail on Sept. 27, 1973, that the popu-
lation of Saskatchewan had dropped by
52,000 from 1968 to 1973-
Mr. Deans: Isn't there a rule that members
are not allowed to read in the House, Mr.
Speaker?
Mr. Root: —or at the rate of 10,400 a year,
while in the same period, from 1966 to
1973-
Mr. B. Gilbertson (Algoma): No oppor-
tunity there!
Mr. Root: —Ontario's population had
grown by some 956,000 or an increase of
136,590 per year. This shift in population
reflects the confidence that people ha\e in
this dynamic province, which has become a
land of opportunity imder the soimd policies
of this government.
I'm sure that the thousands of people who
are getting out from under the dfead hand
of socialism in Saskatchewan are pleased that
there are provinces like Ontario that are pro-
viding up to 140,000 or more new jobs in
one year and 100,000 new housing starts.
Interjections by hon. members.
Mr. Root: I know that all fair-minded
people realize that in expanding an economy
at times we have to go into deficit financing.
I have heard hon. members complaining
about our debts, and, really, no one likes
debt. But when you realize, Mr. Speaker,
that this province has become so prosperous
that, according to last year's budget, our
revenue went up to over $6 billion and the
debt was less than $3 billion. We can realize
also that if we stopped all the programmes
we could wipe out our debt in less than six
months.
Mr. Deans: What programmes?
Mr. Root: Well, maybe the hon. member
will start telling us what programmes he
wants wiped' out.
Mr. J. E. Stokes (Thunder Bay): If the
member believes in deficit financing why
doesn't he say it?
MARCH 26, 1974
471
'Mr. Root: That's the way I bought my
farm, absolutely.
Interjections by hon. members.
Mr. Root: In addition to financing our own
programmes and providing the job oppor-
tunities for a population that has grown by
nearly four million since the party took office,
we are providing almost half of the national
budget. I am sure that Mr. Trudeau and
his finance minister are pleased that Ontario
has prospered as no other province has
prospered, so that from us they can get the
revenue to help provinces-
Mr. Deans: Come on now! British Coliun-
bia has done pretty well. The member
shouldn't be so niggardly in his praise.
Mr. Root: I am sure that Mr. Trudeau
and his finance minister approve that Ontario
has prospered as no other province has pros-
pered, so that from us they can get the
revenue to help provinces that haven't had
the good fortune to live under Conservative
policies for the years that we have in Ontario.
Mr. Deans: BC can finance its own projects.
'Mr. Root: I agree with the statement in the
Throne Speech that, if we are to alleviate
the causes and eflPects of inflation, the prob-
lem can only be dealt with in the national
context with all governments co-operating. 1
am sure that everyone in Ontario will appre-
ciate a comprehensive programme to improve
essential services in remote areas of the
province.
During the years I served on the Ontario
Water Resources Commission I had the
privilege of visiting many of the remote
areas of the province. I sometimes wonder
whether our people realize the expanse of
this great province, I wonder if we reahze
that the most northerly part of Ontario is
many hundreds of miles south of the Arctic
Circle, and, at the same time, the Soviet
Union has hundreds of thousands of people
living north of the Arctic Circle.
•Mr. Deans: Even with that knowledge what
would the government do with it?
Mr. Root: I think it is forward thinking
to make every possible effort to develop that
part of our province. I note that there are
plans for a road link to James Bay through
Moosonee—
Mr. Deans: Again?
Mr. Root: —and that a power line will be
constructed into that area and studies will be
made regarding the establishment of a port
facility in the James Bay area, to bring poten-
tial supplies of gas, oil and mineral from
sources in the eastern Arctic.
Mr. Deans: The Lieutenant Governor read
all that three weeks ago.
Mr. Root: I remember the first time I visited
Moosonee about 20 years ago and rubbed
out clover seed fully matured in September.
I predicted at that time that there would be
great developments in the northern part of
the province-
Mr. R. F. Nixon (Leader of the Opposi-
tion ) : Was the member around the first time
they predicted that?
Mr. Root: —that will affect not only ship-
ping and transportation but agriculture. The
north is grass country. I want to commend
the Minister of Agriculture and Food (Mr.
Stewart ) and his ministry on their programme
to develop a cow-calf operation in that part
of the province. I think there can be a great
future for that type of industry and the feeder
cattle can come south into the com belts
where they can be finished.
The development into the northern part of
the province is a continuation of the policies
that have been pursued by the Conservative
Party. During the time I have served in this
Legislature I have seen the government build
a new highway on the north shore of Lake
Superior and on through to Atikokan.
An hon. member: The Trans-Canada.
Mr. Deans: He must have been here for
a long time.
An hon. member: Not long enough.
An hon. member: He's going to be here
a lot longer, too.
Mr. E. M. Havrot (Timiskaming): Just
listen to the words of wisdom.
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet ) : Members opposite
needn't be jealous.
Mr. Root: From there we went on through
to Fort Frances, where the Noden Causeway
was built to shorten the traffic route from Fort
Frances in that part of the province to the
head-of-the-lakes. I have travelled the new
highway that was built by this government
to Red Lake. I remember the first time I
was in Hornepayne; we went in by train
and people wanted a road out. I remember
stopping at one station in the morning— in-
472
ONTARIO LEGISLATURE
cidentally, there were no liberals on that
trip; they didn't seem to be interested' in the
north.
Mr. J. N. Allan (Haldimand-Norfolk): All
good Tories.
Mr. Root: The people wanted a road out.
That was a members tour. That road has
been built. There are new highways into
Manitouwadge and Elliot Lake; improved
highways from Espanola to Little Current;
a bridge giving access to St. Joseph's Island.
Mr. Stokes: Did the member ride over
Highway 11 between Beardmore and Gerald-
ton?
Mr. Root: I have mentioned but a few of
the developments that have taken place in
northern Ontario. I remember the first time
I was in Moosonee I drove from Cochrane
to Kapuskasing on a dirt road which was
under construction. There was no bridge at
Smooth Rock Falls.
Mr. Stokes: They're still building it.
Mr. Root: We had to go over the dam. All
of these improvements have taken place and
I must say I get a little weary when I hear
some people saying that this government has
done nothing for northern Ontario. I sug-
gest this government has a record of service^
Mr. R. F. Nixon: This government has done
nothing for northern Ontario.
Mr. Root: —that has not been equalled' by
any government at any time in the province.
I am sure the northern people will appre-
ciate the fact that following the success of
the norOntair air service this is to be
extended into more communities in north-
western Ontario. Air service means a lot in
the northern part of the province, with the
great distances that have to be travelled. I
remember one day just a few weeks ago
when I had to sit in on a meeting
ks ago
of the
Environmental Hearing Board at Sioux Nar-
Mr. Deans: That's something else we want
to change.
Mr. Root: Because of the air service pro-
vided in, the north, I was able to Ifeave
Toronto in the morning, fly to Dryden,
travel on a ministry plane to Sioux Narrows,
hold the hearing and be back in Toronto in
time for supper. This is the type of service
that is bringing our province together in a
compact, easily-served community.
Mr. Stokes: Unfortunately, there are not
too many people who can fly with the minis-
try.
Mr. Havrot: The member does.
Hon. Mr. Winkler: The member for
Thunder Bay gets his fair share; dWt com-
plain.
Mr. Stokes: No more than what's due.
Mr. Deans: Was the member for Welling-
ton-Dufferin also being paid at the same
time?
Mr. Root: Mr. Speaker, we will await with
interest Ontario's policy on the control and
develt>pment of uranium as a provincial
natural resource. I must say I was pleased
to hear the leader of the Liberal Party come
out in support of the CANDU-type reactor.
This is a complete about-face from some of
his speeches in the past when he was pro-
moting other forms of power generation.
However, that is not the first time, nor prob-
ably the last time, that the leader of the
Liberal Party will right-about-face
Mr. R. F. Nixon: Where does the member
stand on the denturists? Is he going to
change with the government this week?
Mr. Root: However, I think the leader of
the Liberal Party is an honourable member.
He may have diflBculty in getting support
from some of his members, and that may be
the reason he changes course from day to
day.
Mr. Speaker, it's 6 o'clock. With your per-
mission I wili move the adjournment of the
debate and I will be pleased to resume my
remarks at a later date.
Mr. Root moves the adjournment of the
debate.
Motion agreed to.
Hon. Mr. Winkler: Mr. Speaker, before I
move the adjournment of the House I will
say we'll return to this debate on Thursday
when we'll have the pleasure of listening to
the concluding remarks of the member for
Wei lington-Dufi^erin .
Hon. Mr. Winkler moves the adjournment
of the House.
Motion agreed to.
The House adjourned at 6 o'clock, p.m.
MARCH 26, 1974 473
CONTENTS
Tuesday, March 26, 1974
Uranium and associated nuclear fuels policy, statement by Mr. Davis 429
Uranium and associated nuclear fuels policy, questions of Mr. Davis: Mr. R. F. Nixon,
Mr. Deans, Mr. Bullbrook, Mr. Lewis, Mr. Singer, Mr. Shulman 431
Inquirv into hospital employees' remuneration, questions of Mr. Davis: Mr. R. F. Nixon,
Mr. Lewis 433
Seatbelts, question of Mr. Rhodes: Mr. R. F. Nixon 435
Supermarket food prices, questions of Mr. Davis and Mr. Clement: Mr. Lewis,
Mr. R. F. Nixon, Mr. Shulman, Mr. Roy 435
Maple Mountain development, questions of Mr. Welch and Mr. Bennett: Mr. Lewis ... 438
Trailwind Products, questions of Mr. Cuindon: Mr. Lewis 438
Ontario Hydro employment policy, question of Mr. McKeough: Mr. Sargent 439
Ambulance services, questions of Mr. Miller: Mr. Pattdrson, Mr. Roy, Mr. Sargent,
Mr. Ruston, Mr. Reid 439
Police raid on recreation club, questions of Mr. Kerr: Mr. Shulman 441
Use of criminal records, questions of Mr. Kerr: Mr. Roy 441
Presenting report, standing procedural ajffairs committee, re applications for private Acts,
Mr. Morrow 442
Presenting report, re uranium and associated nuclear fuels policy, Mr. McKeough 442
Motion re sitting of House, Mr. Winkler, agreed to 442
City of Orillia Act, bill respecting, Mr. G. E. Smith, first reading 443
City of Niagara Falls Act, bill respecting, Mr. Momingstar, first reading 443
Tara Exploration and Development Co. Ltd. Act, bill respecting, Mrs. Scrivener,
first reading 443
Diamond and Green Construction Co. Ltd. Act, biU respecting, Mr. Singer, first reading 444
Root's Dairy Ltd. Act, bill respecting, Mr. Allan, first reading 444
City of Hamilton Act (1), bill respecting, Mr. J. R. Smith, first reading 444
City of Hamilton Act (2), bill respecting, Mr. J. R. Smith, first reading 444
Ontario Bill of Rights Act, bill to establish, Mr. Roy, first reading 444
City of Belleville Act, bill respecting, Mr. Taylor, first reading 444
Town of Walkerton Act, bill respecting, Mr. Sargent, first reading 444
Town of Ingersoll Act, bill respecting, Mr. Parrott, first reading 444
City of Toronto Act (1), bill respecting, Mr. Wardle, first reading 444
474 ONTARIO LEGISLATURE
Niagara Peninsular Railway Co. Act, bill respecting, Mr. Deacon, first meeting 444
Incorporated Synod of the Diocese of Ontario Act, bill respecting, Mr. Nuttall, first
•reading 444
St. Catharines Slovak Club Ltd. Act, bill respecting, Mr. Johnston, first reading 445
Developmental Services Act, bill intituled, Mr, Brunelle, second reading 445
Resumption of the debate on the Speech from the Throne, Mr. Root 469
Motion to adjourn debate, Mr. Root, agreed to 472
Motion to adjourn, Mr. Winkler, agreed to .^ 472
No. 13
Ontario
Hegtslature of Ontario
OFFICIAL REPORT — DAILY EDITION
Fourth Session of the Twenty-Ninth Legislature
Thursday, March 28, 1974
Speaker: Honourable Allan Edward Reuter
Clerk: Roderick Lewis, QC
THE QUEEN'S PRINTER
PARLIAMENT BUILDINGS, TORONTO
1974
Price per session, $10.00. Address, Clerk of the House, Parliament Bldgs., Toronto
CONTENTS
(Daily index of proceedings appears at back of this issue.)
477
LEGISLATIVE ASSEMBLY OF ONTARIO
The House met at 2 o'clock, p.m.
Mr. Speaker: Statements by the ministry.
OIL PRICES
Hon. W. G. Davis (Premier): Mr. Speaker,
yesterday I met with the Prime Minister of
Canada and the premiers of the other nine
provinces in Ottawa on the price of crude
oil in Canada. As the hon. members know,
a new price had to be decided upon by
April 1 to replace the $4 a barrel price
which had been in effect since September
last.
In order to avoid what I would consider
a serious confrontation throughout this coxm-
trv at a very critical point in its history, some
consensus simply had to be reached yester-
day. This was impressed upon me very deep-
ly as I participated yesterday afternoon. In
the final analysis, I felt that the only reason-
able course of action for a Premier of On-
tario was to modify his initial position to
accept a somewhat higher price than I would
have preferred, bearing in mind the infla-
tionary effects of any increase.
I believe that the agreement finally arrived
at recognizes to a considerable degree the
very different interests of the different re-
fions of the country and will be to the bene-
t of Canada as a whole. For that reason,
perhaps rather than reasons of eventual price
determination, I am not unhappy with the
results. The consensus arrived at provides for
a wellhead price of oil of $6.50 a barrel,
effective on April 1 and lasting for at least
12 and possibly 15 months. Prior to the end
of this initial period the price will be re-
viewed and may be then continued, raised
or lowered.
The price will be uniform across Canada,
but subject to an equitable transportation
cost differential. The federal government will
continue to levy an export tax on the differ-
ence between this domestic price and that
price which our oil commands on the Chicago
market. The proceeds of this tax will almost
entirely be used to bring down the price of
oil for eastern consumers, 800,000 of whom
are in eastern Ontario, who now depend on
Thursday, March 28, 1974
imported oil. Any federal revenues not need-
ed for this cushion, as it has been described,
will be applied by the federal government
to equalization payments to the "have-not"
provinces, which will be increased by a
rough estimate by some 10 per cent. The
proceeds of the price increase for domestic
oil will be divided between the producing
provinces and the oil companies as deter-
mined by the producing provinces.
This agreed price is somewhat higher than
the price advocated by the Ontario govern-
ment, but is much lower than that originally
sought by the producing provinces. After all,
$6.50 is some $4 less than the current world
price and some $2 less than the average
American price. The effect of the agreement
will probably result in an increase of ap-
proximately seven cents a gallon for gasoline
and heating oil, and an increase of somewhat
more than one percentage point on the con-
sumer price index. The exact timing of retail
price increases to Ontario consumers has not
been determined, but we could fully expect
the federal government and the industry will
be able to maintain existing prices until
present stocks are exhausted.
In spite of this cost which will have to
be paid by consumers in Ontario, I am con-
vinced that we have preserved for Cana-
dians the benefits of this country's vast en-
ergy resources. The increased price will per-
mit rapid development of new energy re-
sources; the lower-than-world price will
maintain a competitive advantage for Cana-
dian industry; consumers in the eastern prov-
inces will be protected from the high cost of
imported oil, the western provinces will have
a base on which to diversify their economic
development, Canadians will have a stable oil
price for at least a year while the rest of the
world faces uncertainty, and Canada will be
spared a potentially divisive constitutional
confrontation.
I would hope that oiu: efforts since Janu-
ary to come to grips with a national oil
policy will prove to have paved the way
for the next steps, which must include ar-
rangements for natural gas, and a more
permanent federal-provincial mechanism that
will make unnecessary the crisis bargaining
478
ONTARIO LEGISLATURE
of the last few days. In this regard, we will
continue to work together with the federal
government and our sister provinces.
All in all, Mr. Speaker, I think yesterday
was a reasonable solution for this province
and for Canada.
BUDGET DATE
Hon. John White (Treasurer, Minister of
Economics and Intergovernmental Affairs):
Mr. Speaker, the budget will be brought
down Tuesday, April 9.
Mr. A. J. Roy (Ottawa East): Good for the
Treasurer!
Mr. P. G. Givens (York-Forest Hill): What
time?
Mr I. Deans (Wentworth): Why did the
Treasurer have to change the date?
Mr. Speaker: Oral questions.
The hon. Leader of the Opposition.
OIL PRICES
Mr. R. F. Nixon (Leader of the Opposi-
tion): I'd like to ask the Premier for some
further information on yesterday's important
conference.
Is the figure of approximately $100 million,
which will be Ontario's share of the so-called
cushion, going to be allocated entirely to
that area of eastern Ontario directly con-
cerned, or could it possibly be government
policy to use that fund or some additional
fund, perhaps something from the gas tax
fund, to assist in equalizing the price in the
northern part of the province, which is not
included in the geographic division but cer-
tainly is an area suffering from seriously
inflating gas prices?
Hon. Mr. Davis: Mr. Speaker, the intent is
to provide a cushion, as we have begun to
use the term, for consumers in the eastern
part of Canada, and that includes the 800,000
in eastern Ontario, who even today are pay-
ing something higher than the price in the
rest of Ontario, including northern Ontario.
The whole policy, Mr. Speaker, is to have
a degree of equality, exclusive of transporta-
tion costs, for all of Canada. The funds that
will be made available from the export tax
by the federal government will be used to
offset the differential that has existed for a
period of time. It would be very horrendous,
I think, if this were not the policy for the
800,000 people in eastern Ontario.
Mr. R. F. Nixon: Supplementary: Since I
am sure the Premier would agree that even
with the unnatural dislocating pricing effects
in the eastern part of Ontario, which are
going to be compensated for by this cushion,
would he not agree that the prices in the
north are already higher than those paid in
the east and that we .should have some pro-
vincial programme to provide that sort of a
cushion for the good of our citizens living in
that part of the province?
Hon. Mr. Davis: Well, Mr. Speaker, I
think it is a very commendable objecti\e, to
the extent that it is practical and equitable,
to have equalization of prices within Onta-
rio. This government has been endeavouring
to come to grips with it. We have done it,
as I recall, with beer-
Mr. Deans: It is not a necessity— not yet
anyway.
Hon. A. Grossman (Provincial Secretary for
Resources Development): You're kidding!
Hon. Mr. Davis: Well, some say it's almost
a necessity.
Mr. Deans: It may almost be in the Pre-
mier's house, but in mine it isn't.
Hon. Mr. Davis: The Minister of Trans-
portation and Communications (Mr. Rhodes)
has been endeavouring to do this with re-
spect to some commodities in the northeast-
ern corridor.
Interjections by hon. members.
Hon. Mr. Da\'is: The question of being able
to have, shall we say, the same price for
other commodities in the north or in other
sections of the Province of Ontario, of course,
is of interest to the government. But I have
to say to the Leader of the Opposition, as it
relates to the moneys that will be coming
from the export tax, they are to be allocated
for the consumers who at present are in the
eastern area, and I guess that line will tend
to disappear because of the now uniform
price. That is the intent of the cushion al-
lowance.
Mr. R. F. Nixon: Supplementary-
Mr. Speaker: The hon. member for Went-
worth, I believe, should have a supplementary
Mr. Deans: Supplementary question: I
would like to ask, is the answer then that
the government is not going to do anything
for northern Ontario? And, secondly, what
kind of mechanism does the government in-
MARCH 28, 1974
479
tend to set up to make sure that no price
gouging takes place in Ontario as a result
of such things as heating cost increases,
which will be passed on by landlords to ten-
ants right across the province?
Hon. Mr. Davis: Well, Mr. Speaker, I am
sure the member for Wentworth likes to use
the term "gouging" whenever he possibly
can-
Mr. Deans: Only when it is appropriate.
Hon. Mr. Grossman: It makes headlines.
Hon. Mr. Davis: I can only say to the hon.
member that this government does a great
deal for the north, will continue to do so
and has a far greater interest than have-
Mr. E. W. Martel (Sudbuiy East): Try to
convince the people of northern Ontario of
that!
Hon. Mr. Davis: But I think it is fair to
state, Mr. Speaker, that we have demonstrated
this rather conclusively, and certainly the
contents of the Throne Speech have been wel-
comed' as a very real recognition of what we
are prepared to do, even by some of our
critics in the north.
Interjections by hon, members.
Mr. Speaker: The hon. Leader of the
Opposition.
Mr. R. F. Nixon: Thank you, Mr. Speaker.
I have a supplementary pertaining to the
Premier's statement. I realize the meeting
in Ottawa was in private. Can he tell the
House whether, on behalf of Ontario, he
indicated some concern that under the federal
policy an additional $1.5 billion is going to
accrue to the treasury of Alberta on the
basis of the present circumstances, even
though it is going to be shared v^dth the
producers on^ the basis of provincial decision?
Is he of the impression that this sort of an
allocation of funds is going to be dislocating
now, and will be increasingly dislocating?
Did he suggest .that we in Ontario were
prepared to leave the jurisdiction of uranimn
resources at the federal level if, in fact, the
advantages to the, let's say, specially-inflated
prices of oil were going to accrue to all of
Canada rather than just one provincial juris-
dic'ion?
Mr. J. E. Bullbrook (Sarnia): A great ques-
tion.
Hon. Mr. Davis: With great respect, of
course, Mr. Speaker, the Leader of the
Opposition has once again not totally ap-
preciated what has happened, or the
mathematics of it. The last person to say that
the Province of Alberta and the Province of
Saskatchewan are not going to do well out
of tliis would be myself. But to say that all
of these funds are accruing to the two pro-
ducing provinces for their resource is just
categorically incorrect.
Mr. R. F. Nixon: Of course not— who said
it? Did I? I did not!
Hon. Mr. Davis: Yes, the Leader of the
Opposition did.
Mr. R. F. Nixon: I did not-
Hon. Mr. Davis: And I would say, Mr.
Speaker, that it has to be recognized-
Mr. R. F, Nixon: On a point of order, Mr.
Speaker. I expressed specifically when I saw
the statement that obviously— and you've got
to do this— the funds would be allocated by
the Province of Alberta to its own direct
consolidated revenue fund or to the pro-
ducers, as it saw fit. And surely, Mr. Speaker,
it is well understood that a half of the budget
of that province is going to be met from
these extraordinary sources.
Mr. Roy: Right. Did the Premier under-
stand the question?
Hon. Mr. Davis: Mr. Speaker— and I know
the Leader of the Opposition would like us
to be fair— I would Hke to point out-
Interjection by an hon. member.
Hon. Mr. Davis: —that while Alberta will
receive substantially increased revenues, the
total amount of the export tax, which comes
from provincial revenues, the provincial re-
source, all of that tax^and it's in the hun-
dreds of millions of dollars— is going to
cushion many thousands of Canadians in
the Maritime provinces, the Province of
Quebec, and 800,000 citizens of the Province
of Ontario.
Mr. R. F. Nixon: That's the export tax.
Hon. Mr. Davis: Well, the export tax is
on a provincial resource; and I think it is
fair to state that a couple of provincial
premiers would like to see the export tax
funds going to their provinces. That has not
happened. The federal government says,
"This is ours; we are going to use it." And
the fact remains that as of April 1, hundreds
of millions of dollars flowing— literally flow-
ing—from a provincial resource will be used
to equalize oil prices right across the coimtry.
480
ONTARIO LEGISLATURE
And I think, Mr. Speaker, this is some-
thing that the Province of Ontario advocated
some many months ago, and which I think
Ls one of the significant steps forward that
this country has made in the past several
years. To me it is a fairly basic and a fairly
important principle, and I give the Prime
Minister of Canada some credit.
Interjections by hon. members.
Mr. R. F. Nixon: What about the
uranium? What about the uranium situation?
Mr. Speaker: Order.
Interjections by hon, members.
Mr. Speaker: The hon. member for Port
Arthur.
Mr. BuIIbro(^: The Premier has a com-
mitment in connection with uranium. It's
the same thing as far as uranium.
Mr. J. F. Foulds (Port Arthur): A supple-
mentary, Mr. Speaker, referring to the answer
the Premier gave to a supplementary-
Mr. Speaker: Is this a supplementary
question?
Mr. Foulds: It is a supplementary to the
main question.
Mr. Speaker: All right, proceed to ask
the question,
Mr. Foulds: Has the Premier, in eflFect,
said that he and his government are power-
less to equalize prices of oil, gas and other
commodities in northwestern Ontario— that
58 per cent of the land mass in the province
that lies west of Sault Ste. Marie, which was
not mentioned in the Throne Speech and
which he has not mentioned today?
Hon. Mr. Davis: iMr. Speaker, I have not
said this government is powerless. This gov-
ernment is not powerless. And I have not
said-
Mr. Foulds: Why hasn't the Premier done
anything?
Mr. M. Cassidy (Ottawa Centre): Just gut-
less, that's all.
Hon. J. R. Rhodes (Minister of Trans-
portation and Communications): Look who
is talking, the island resident,
Hon. Mr. Davis: —that we will not be
making an attempt to see if we can't ration-
alize certain things in the northwest as
well as the northeast.
Mr. V. M. Singer (Downsview): Mr.
Speaker, by way of supplementary—
Mr. Speaker: There have been five. I will
permit one last supplementary. The hon.
member for Downsview.
Mr. Singer: Mr. Speaker, in view of the
fact that fuel oil is going to increase some-
where in the vicinity of 15 per cent and gas-
oline about 10 to 12 per cent, I wonder if the
Premier could tell us if the government of
Ontario has any plans at all to enable those
people on fixed incomes and on low incomes-
pensioners, welfare recipients and so on— to be
able to cope with yet another phenomenal
increase to their cost of hving? Is the govern-
ment going to do anything about helping
those people to carry on in face of what is
going to be for them a shocking increase for
absolute basics?
Hon. Mr. Davis: Mr. Speaker, this govern-
ment is very cognizant of the inflationary-
pressures on people on fixed incomes or low
incomes, and if the hon. member for Downs-
view will be patient-^as I know he is used to
being— the Treasurer has indicated that his
budget will be forthcoming and that of course
is when the financial programmes of this gov-
ernment will be stated to the hon. members of
this House.
Mr. Speaker: Has the hon. Leader of the
Opposition further questions?
DENTURE THERAPISTS
Mr. R. F. Nixon: I would like to ask the
Minister of Health if he can dispel some of
the uncertainty about the status of the den-
turists. Is it true that in fact he has decided
to reverse the government jwsition and is
supported in that by his cabinet colleagues
but somehow can't get the support of the
backbench members of his party? If that is
true he can look to us for support.
Hon. F. S. Miller (Minister of Health):
Mr. Speaker, I am sure that a reasonable
member like the Leader of the Opposition
would support almost anything that I brought
forward. However—
Interjections by hon. members.
Mr. Singer: On the same day that he said
he likes Trudeau, Trudeau said he liked him,
Hon. Mr. Miller: I can assure the member
that I tried to make my position relatively
clear in the fact that I was giving this a great
deal of consideration as a new minister, that
there were a number of options open to me,
if in fact any changes were required at all, that
MARCH 28, 1974
481
either I should make a change in the near
future or I should not, depending upon the
conclusion Which I may reach.
Interjections by hon. members.
Mr. Singer: Did he swear that oath to
answer like this before he went into the
Cabinet?
Hon. Mr. Miller: I have not yet reached
that conclusion, but I hope to very shortly.
Interjections by hon. members.
Mr. J. R. Breithaupt (Kitchener): Change
if necessary, but not necessarily.
Mr. Speaker: The hon. Leader of the
Opposition.
COST-SHARING PROGRAMME RE
MENTALLY RETARDED
Mr. R. F. Nixon: I would like to ask the
Minister of Community and Social Services if
it is tnie that the ministry will be imple-
menting a so-called cost-sharing plan for resi-
dents of psychiatric institutions, under which
the parents of the children in institutions suCh
as Cedar Springs will be required to pay a
part of the cost that has so far been met
completely from public funds?
Hon. Mr. Brunelle ( Minister of Community
and Social Services): Mr. Speaker, I would
be pleased to send to the hon. Leader of the
Opposition another copy of my remarks on
second reading of that bill, where I indicated
that no decision has been reached and that
there are ongoing discussions with the parents
and with the local associations.
Mr. R. F. Nixon: Supplementary: May I
assure the minister that I followed the debate
very carefully on that bill because it had
very far-reaching significance. Can the hon.
minister assure the House that it is not going
to be a part of government policy that the
parents of retarded children are going to have
to pay directly the costs, or even a part of
the costs, of the care and education of these
young people?
Hon. Mr. Brunelle: Again, Mr. Speaker, I
would like to reiterate what I said, that no
decision has been reached, that everything is
being done in full-
Interjections by hon. members.
Mr. Speaker: Order.
Mr. T. P. Reid (Rainy River): He hasn't
even considered it.
Hon. Mr. Brunelle: Sit down and listen.
Everything is being done in full consulta-
tion with the parents of the retarded and with
the local associations and there will be no
decision reached in this area for se\eral
months.
Mr. R. F. Nixon: Supplementary: Can the
minister undertake to teU the House what
possible rationale would lead him to sa)- that
he is even contemplating such a programme?
Hon. Mr. Brunelle: Mr. Speaker, I would
be very pleased to make available to the hon.
Leader of the Opposition a resolution that
was passed by the Ontario Association for the
Mentally Retarded and sent to the local
associations, whereby they are in agreement
with—
Mr. Reid: They are not in agreement.
Hon. Mr. Brunelle: They are in agreement
that we do consider assistance under the
Canada Assistance Plan, with the provision
that the money that would be received would
be used for enriching and exp^anding cm"
facilities and our services to the mentally
handicapped.
Mr. Speaker: The hon. member for Went-
worth on behalf of the New Democratic Party.
INCORPORATION APPLICATIONS
BY US BOOK PUBLISHERS
Mr. Deans: Mr. Speaker, I have a question
of the Premier. In view of the statement of
the commission, on book pubhshing that addi-
tional Ontario-based publishing enterprises
owned or controlled by nonresidents should
no longer be permitted in Ontario without
prior approval, and in view of the govern-
ment's seeming rellictance to move in this
field, will the Premier order that there be an
inquiry into the proposition that Houghton,
Mifflin, a US based company, has applied for
incorporation in Ontario to establish a pub-
lishing firm, and' that Allyn and Bacon is in
the process of doing similarly? This is not in
keeping with either the intent of the recom-
mendation or the stated intent of the go\"ern>-
ment at the time the recommendations w ere
released.
Hon. Mr. Davis: Mr. Speaker, I am rela-
tively famihar with the contents of that par-
ticular report. I can only say to the hon.
member that we wiU be taking a look at both
of those applications. I think we have made it
abundantly clear that, certainly to the extent
it is practical, this government is very com-
mitted to the concept of the publishing indus-
try being Canadian, and I think we have
demonstrated this rather conclusively.
ONTARIO LEGISLATURE
Mr. Deans: A supplementary question:
What prt>cess is there whereby anyone
attempting to set up a publishing firm in
Ontario must make application to the govern-
ment in any event? What process is there
that guarantees the government would even
be made aware that it was going to be set up
until after it's set up?
Hon. Mr. Davis: Mr. Speaker, I can only
assume, not being involved with the legal
field any more, that if they are going to do
it by way of a new corporation, they will
have to get approval. If they were, in fact,
purchasing an existing publishing house, of
course, there would be certain approvals re-
quired, if not ours, certainly of the federal
government. I think we are going to be
familiar with it and are in a position to deal
with it.
Mr. Foulds: A supplementary.
Mr. Speaker: Has the hon. member for Port
Arthur a supplementary?
Mr. Foiilds: Is the minister aware that
Houghton, Mifflin has, in fact, applied' for in-
corporation in Ontario? What response has
the government formulated in reply to the
letter sent to the Premier on March 25 by
the Independent Publishers Association?
Hon. Mr. Davis: Mr. Speaker, I haven't
checked the records of application but I am
aware it has made application.
Mr. Foulds: What response is he going to
make?
Hon. Mr. Davis: I will tell the member
when we decide.
Mr. Foulds: When another firm-
Mr. Speaker: The hon. member for Went-
worth.
URANIUM AND ASSOCIATED
NUCLEAR FUELS POLICY
Mr. Deans: With regard to Tuesday's
policy statement on uranium I would like to
ask the Premier whether, instead of relaxing
the degree of foreign ownership that cur-
rently is involved in the uranium field in
Canada, the Province of Ontario might con-
sider taking up the 10 per cent which is
currently permitted to be sold to foreign
investors, for the purposes of exercising some
degree of control over the use of uranium and
the future of uranium as a valuable energy
source in the Province of Ontario?
Hon. Mr. Davis: With great respect, Mr.
Speaker, I thought this would be abundantly
clear to the member for Wentworth; the
control as to its use is now very much there.
That is not the problem.
Mr. Reid: A supplementary.
Mr. Speaker: The hon. member for Rainy
River with a supplementary.
Mr. Reid: The Premier's remarks seemed
to indicate that it was a problem of explora-
tion and development; would he consider a
consortium, perhaps such as al^ng the lines
of Panarctic, with the involvement of the
Ontario government and the involvement of
Canadian mining firms to carry out the ex-
ploration and development of uranium in
Ontario?
Mr. Foulds: Heaven forbid.
Mr. F. Laughren (Nickel Belt): Save us
from that one.
Hon. Mr. Davis: Mr. Speaker, that's one
of the things already under consideration.
Mr. Speaker: The hon. member for Went-
worth.
Mr. Deans: A supplementary question:
Does the Premier feel-
Mr. Reid: Why doesn't he at least do away
with—
Mr. Speaker: Order! The hon. member for
Wentworth.
Mr. Deans: Does the Premier feel, with re-
gard to the discussions he left in Ottawa
yesterday, that it's time we got out from
under the private developer in the field of
energy and in the field of fuel oil, and that
we in the Province of Ontario attempt for
the first time to exercise some degree of con-
trol so the taxpayers' money isn't funnelled
through the government into the pockets of
major corporations owned almost wholly in
the US?
Interjections by hon. members.
Hon. Mr. Davis: Mr. Speaker, the basic
discussion yesterday did not refer to that
vvhatsoever.
Mr. Deans: No, it didn't refer to it but
that's what happens.
Hon. Mr. Davis: It referred to the price
that was to be paid to the producing prov-
inces.
Mr. Deans: And it is going back to the
producing pockets of the country.
MARCH 28, 1974
483
Hon. Mr. Davis: Those producing prov-
inces make their own determination. I gather
the member for Wentworth is saying that be-
cause of their great philosophical association
the Province of Saskatchewan will use all
the funds in the provincial process. I would
doubt it. He may even find some of them
going to the private sector. It may come as
a great shock to him but they just may.
Mr. Speaker: The hon. member for Sarnia
with a supplementary.
Mr. Bullbrook: By way of supplementary,
would the Premier clarify for me, in connec-
tion with his statement made two days ago,
the following words:
We are not, however, convinced that
equity requirements with respect to the
ownership of uranium mines and the grant-
ing of exploration permits should be sig-
nificantly different from those that apply
to oil, gas and coal.
Does the Minister of Energy concur and does
that sentence mean what it says?
Hon. Mr. Davis: Mr. Speaker, I think it
depends to a certain extent on how one reads
it.
Interjections by hon. members.
Mr. Singer: He couldn't claim to be mis-
quoted because it's all here.
Mr. R. F. Nixon: Was the Premier smiling
when he said that?
Hon. Mr. Davis: I think the Minister of
Energy, in discussions with the press both
the same day and subsequently, has clarified
it-
Mr. Singer: Has clarified what the Premier
really meant to say.
Hon. Mr. Davis: —so that the members
will understand specifically.
Mr. Singer: Yes.
Mr. Speaker: Order.
Interjections by hon. members.
Hon Mr Davis: So that there will be no
confusion, if the hon member for Sarnia
would like to ask the Minister of Energy
specifically as to his statement, which I think
is in the neighbourhood of 51 per cent Cana-
dian ownership, he would be delighted to
answer.
Mr. Singer: The Premier should not make
these statements. He should let the Minister
of Energy make them for him.
Hon. Mr. Davis: Yes, he would be de-
lighted to do so.
Interjections by hon. members.
Mr. Bullbrook: By way of supplementary,
would the Minister of Energy assist the
Premier—
An hon. member: No!
Mr. Bullbrook: —in understanding what that
sentence means, and conveying to the House
what it means?
Mr. Singer: Yes, what it really means.
An hon. member: Out of order.
Hon. W. D. McKeough (Minister of
Energy): Mr. Speaker, if there's anyone in
this House who doesn't need assistance, it's
the Premier of this province.
Interjections by hon. members.
Mr. Bullbrook: I withdraw the question.
Let the Premier answer it. He says the
Premier doesn't need any help.
Mr. Speaker: Order!
Hon. Mr. McKeough: Mr. Speaker-
Mr. Speaker: Well, the question has been
withdrawn. The hon. member for Wentworth.
Mr. Deans: Mr. Speaker, I have a question
of the-
Mr. F. A. Burr (Sandwich-Riverside):
Supplementary?
Mr. Speaker: All right, a supplementary.
The hon. member for Sandvdch-Riverside.
Mr. Breithaupt: Supplementary? The ques-
tion was withdrawn. Supplementary to a
withdrawn question.
Mr. Singer: Better get a new statement
writer like the Minister of Energy.
Hon. Mr. McKeough: No, I wrote it. That's
the problem.
Mrs. M. Campbell (St. George): He admits
Mr. Burr: Does the Premier feel at ease
with the fact that in promoting further ex-
ploration and mining of uranium, he is con-
demning to premature and painful death many
of those unfortunate men who will have to
do the mining of that uranium?
484
ONTARIO LEGISLATURE
Hon. Mr. Davis: Mr. Speaker, of course
we're concerned about the position of miners
in any capacity-
Mr. Martel: When did that start?
Hon. Mr. Davis: —but I think it is fair to
state that we are interestedr-and' I make it
abundantly clear, and that was the real pur-
pose of the statement on Tuesday— in having
further exploration and development of the
uranium resource of this province. We happen
to regard it as being one of the major poten-
tial energy sources in not only Ontario, but
Canada and, the rest of the world. Quite
frankly, we think that the rules should be
altered so there can be greater encouragement
so that we can have this resource utilized for
the broad general public.
Mr. Burr: As a supplementary-
Mr. Speaker: The hon. member for Went-
worth. There have been a reasonable nimiber
of supplementaries now. The hon. member for
Wentworth.
Mr. Laughren: They're received no answer.
Mr. Speaker: There have been a reasonable
number of supplementaries.
COST OF DENTAL CARE
Mr. Deans: Good questions, no answers.
Mr. Speaker, I have one question of the
Minister of Consumer and Commercial Rela-
tions. Is the superintendent of insurance still
in his department?
Hon. J. T. Clement (Minister of Consumer
and Commercial Relations): Yes.
Mr. Deans: Will the minister-
Mr. Breithaupt: That's a supplementary.
Mr. Deans: —request that the superinten-
dent of insurance investigate the policies cur-
rently in operation with regard to dental care
with a number of major companies, such as
Dofasco and Steel' Co. of Canada, to deter-
mine the basis upon which the fee schedule
was arrived at, and to find out why dentists
are charging more to patients who are in-
sured than they charge for similar services to
patients who are uninsured?
Hon. Mr. Clement: Yes, I will make that
inquiry to the superintendent.
Mr. Speaker: Does the hon. member for
Wentworth have further questions? The hon.
Minister of Health has the answer to a ques-
tion asked previously.
Interjections by hon. members.
Mr. Reid: Let's hope he has.
PREVENTIVE MEDICINE
Hon. Mr. Miller: Mr. Speaker, on March 8
the hon. member for High Park asked me a
question concerning the availability of well-
female examinations and our policy on it.
There was an OHIP bulletin that went out.
Mr. M. Shulman (High Park): I have it
here.
Hon. Mr. Mfller: It's number 4008, Aug. II,
1972. It said, as the member knows, that well-
female examinations, as such, are not a bene-
fit and should be treated and accepted as
oflBce visits. If Pap smears, etc., are necessary,
charges should be as specified in the OMA
fee schedule.
This simply means that if, in the physician's
judgement, a Pap smear should be done, it
will be paid for by OHIP. The previously
designated well-female examination, the OMA
felt, was an anomaly, as it is exactly the same
as any other checl^ of a patient presently
without symptoms. There has been no change
in OHIP policy relating to payment for Pap
smears or for frequency of this test. In fact,
our staff have indicated that there are prob-
ably more being claimed now than ever be-
fore.
Mr. Shulman: Supplementary, Mr. Speaker:
Does the minister recall the pronouncement
made by his second predecessor back, when
he brought in this co-called well-female
examination every six months which he said
would be a great step forward? Does he also
recall the statement made by OHIP at the
time that they cancelled this, that in future
it would be paid for only once a year instead
of every six months, unless there was a
medical reason for it? Is he not aware that
this is an abandonment of the preventive
medicine aspect of that?
Hon. Mr. Miller: Mr. Speaker, I simply
reiterate my statement that we are doing
these as frequently as we ever did. W^e have
not changed the time limits on them.
Mr. Shulman: I have one other supplemen-
tary, if I may, Mr. Speaker. Will the minister
elaborate on who the physicians are to whom
he referred in the House the other day, who
do not believe in the value of the Pap smear?
Hon. Mr. Miller: I think the member
simply needs to do a bit of the research that
MARCH 28, 1974
485
he's so good at by looking through the
papers.
An hon. member: Pap is back.
Mr. Shulman: Does the minister know of
any better way?
Mr. Speaker: The hon. Attorney General
has the answer to a question asked previously.
MAPLE MOUNTAIN DEVELOPMENT
Hon. R. Welch (Provincial Secretary for
Justice and Attorney General): Mr. Speaker,
on Tuesday last the hon. member for Scar-
borough West (Mr. Lewis) directed a ques-
tion to me concerning a caution that had
been registered under section 48 of the Land
Titles Act with the master of titles at North
Bay in respect to all unpatented land in the
110 townships in the district of Nipissing.
This matter was brought to the attention of
the Ministr)' of the Attorney General, and
we have commenced studies in order to have
a very careful evaluation of the historical
facts and indeed the legal content of the
claim upon which the cautions are based.
As the hon. members wiU appreciate, this
will involve a fairly thorough review of the
files of the Ministry of Natural Resources and
the federal Department of Indian and Nor-
thern AflFairs concerning the Bear Island
Foundation. We will be conducting a study
of all the relevant constitutional law relating
to native rights and treaties in Canada. This
would be ail the information which I could
provide to the hon. member at this time.
Mr. A. J. Renwick ( Riverdale ) : By way of
a supplementary, would the minister be good
enough to table a copy of the caution in the
House so that we could have a look at it?
Hon. Mr. Welcjfa: Yes.
Mr. Singer: By way of a supplementary,
Mr. Speaker, is the Attorney General going
to hire special counsel or is this investigation
going to be done within his department?
An hon. member: At overtime costs?
Hon. Mr. Welch: The investigation to
which I refer will be conducted within the
ministry,
Mr. Speaker: The hon. Minister of Housing
also has the answer to a question asked
previously, and then the hon. Leader of the
Opposition.
HOUSING PROGRAMMES
Hon. S. B. Handleman (Minister of Hous-
ing): Mr. Speaker, the hon. member for
Wentworth asked a supplementary question
concerning the status of the OHC holdings in
the Saltfleet area and whether or not they
could be expedited to be serviced and put on
the market within the next two years.
As the hon. member is aware, there has
been considerable servicing done in the area
in preparation for the start of construction in
the first phase of the Saltfleet land assembly
and there is currently a tender call out for
additional underground services and roads.
However, it would be physically and eco-
nomically impossible to compress the develop-
ment of the OHC's 1,600-plus acres, let alone
the entire development area, into the two-year
period suggested by the hon. member.
Staging of the community has been estab-
lished in accordance with the ofBcial plan for
the regional municipality. There are many
other bodies, such as the city of Hamilton,
the town of Stoney Creek, other local organ-
izations and provincial ministries, which have
committed considerable resources to future
development on a phased basis.
OHC itself is doing everything possible to
accelerate the Saltfleet community consistent
with the constraints imposed by other agen-
cies on the rate of growth. Without going
into detail on the other agencies' restrictions,
there are a number of them. Some of them
are rudimentary and some of them are funda-
mental. I would add that, in addition to the
Saltfleet land, OHC also expects to market
something in the order of 800 lots in the
city of Hamilton this year.
Mr. Deans: A supplementary question:
Isn't the minister saying two things: One that
the plan conforms with the ofiBcial plan of the
region, because there is no oflBcial plan of
the region yet; and, secondly, that he cannot
find either the money or the will to service
that land in order to meet the needs of the
people of the area to provide low-cost hous-
ing?
Hon. Mr. Handleman: First of all, I sup-
pose I should have said the draft oflBcial plan,
as our oflBcials know of it in its present stage.
Secondly, no, there is no unwillingness on
the part of the ministry or the government.
It's simply a question of physical capacity.
The number of acres which are normally
developed in the Hamilton-Wentworth area
in a year are slightly over 1,000 acres. This
would, in fact, add about 150 per cent to
that, and it's physically impossible.
486
ONTARIO LEGISLATURE
If I might just mention to the hon. mem-
ber, one of the problems that we ran into
was the requirement by the town of Stoney
Creek concerning underground transformer
vaults. That has been ironed out. But it's
just the type of thing that is time-consuming
and one of the kinds of things that I am
committed to eradicate in the planning and
development process.
Mr. Deans: One final supplementary ques-
tion: What does the minister intend to do
by way of compressing the 10- or 12-year
time period that has been allocated down to
a reasonable number of years in order to
ensure that there is going to be housing
there, for young people who are coming into
the housing market and for those already in
the market, at a price they can afford to
pay?
Hon. Mr. Handleman: Mr. Speaker, I sup-
pose the first thing I can do is pledge my
ministry to compress the time period the
hon. member mentioned, without having a
specific goal in mind. Certainly we want to
reduce the time for development and con-
stniction. There is nothing that I would like
better than to be able to reduce that to the
two years the hon. member has suo;gested. I
am told, and I am inclined to accept, that it
is physically impossible. However, we will do
everything possible to expedite it.
Mr. Cassidy: Supplementary, Mr. Speaker:
In view of the minister's comments that it is
physically impossible to accelerate develop-
ment of those lots, as was suggested by the
hon. member for Wentworth, can he assure
the House that it will be physically possible
to increase the supply of lots by approximate-
ly half in Toronto, Hamilton. Ottawa and
some oth»r centres such as in Thunder Bay,
as is proposed in the housing action pro-
gramme for the next two years?
Hon. Mr. Handleman: Mr. Speaker, first
of all, I didn't say it was physically impossible
to accelerate; I said it was impossible to com-
press it within the two-year time period the
hon. member had suggested.
Mr. Deans: I will give the minister an
extra six months.
Hon. Mr. Handleman: As for announcing
our production targets under the housing
action programme, discussions are still going
on with municipalities and developers. I hope
to be in a position to make a specific an-
nouncement within a very short period of
time.
Mr. Cassidy: Supplementary, Mr. Speaker-
Mr. Speaker: I think there has been a
reasonable number of supplementaries on
that question.
The hon. Leader of the Opposition.
KINGSTON TOWNSHIP SERVICES
Mr. R. F. Nixon: A question of the Treas-
urer, who has been busily walking in and
out and conferring with his friends.
Was he the cabinet minister responsible
for ordering the Ontario Municipal Board to
reopen hearings and further consideration into
the provision of water and sewage disposal
facilities in Kingston township after the ap-
provals and the hearings had been com-
pleted? And was he motivated in doing so
by special advice given to him by his col-
league, the member for Ottawa South (Mr.
Bennett)?
Hon. Mr. White: Well, sir, I commend the
Leader of the Opposition for asking a ques-
tion of me while I am here and not while I
am out of the city.
Mr. R. F. Nixon: The Treasurer is very
seldom here.
Hon. Mr. White: It is the first time this
year he has done that
Interjections by hon. members.
Hon. Mr. White: It shows a certain en-
hancement of ethical standards or courage— I
am not sure which.
Interjections by hon. members.
Hon. Mr. White: If I did sign such in-
structions to the OMB, I have forgotten
about it. I will double-check and see whether
or not I did so.
Mr. R. F. Nixon: Supplementary: Is the
Treasurer aware that the council of Kingston
township feels, and with some justification,
that the cabinet has unduly and forcefully
interfered with any impartiality of the Muni-
cipal Board in this regard to the detriment
of the taxpayers in Kingston township and
for the unwarranted extension of the time
required to provide the facilities that the
hon. gentlemen have been working on so
assiduously?
Hon. Mr. White: No.
Mr. Roy: He is playing politics.
Mr. Cassidy: Supplementary, Mr. Speaker.
MARCH 28, 1974
487
Mr. Speaker: Supplementary? All right.
Mr. Cassidy: What steps is the province
prepared to take to compensate Kingston
township for the estimated' extra cost of
$500,000 to $1 million of building the water-
works in view of the fact that at present
tenders expire on March 30 or 31 before the
final OMB hearing is ordered by the cabinet?
Hon. Mr. White: I have had an instant
memo relating to the question from the Leader
of the Opposition, saying I gave no such in-
structions. The OMB is the responsibility of
the Attorney General.
Mr. Cassidy: Supplementary, Mr. Speaker-
Mr. Speaker: In view of the fact that the
question was misdirected or was improper or
incorrect there can be no supplementary.
Mr. R. F. Nixon: It was very proper.
Mr. Speaker: The hon. member for Coch-
rane South.
SUMMER EMPLOYMENT AT HOSPITALS
Mr. W. Ferrier (Cochrane South): Mr.
Speaker, I have a question of the Minister of
Health.
What progress, if any, has he made in re-
storing some of the 52 summer student jobs
that were cancelled this year at the North-
eastern Regional Mental Health Centre as a
result of budget constraints?
Hon. Mr. Miller: Mr. Speaker, I have dis-
cussed this matter with the member pre-
viously. I requested that the budget be re-
viewed for that hospital and for other hos-
pitals that had similar budget cuts. I am in-
formed that that review is in progress right
now and there is a good possibility of the
reinstatement of some budgetary moneys to
provide summer employment opportunities.
Mr. Speaker: The hon. member for Downs-
OPERATION OF TRAVEL AGENCIES
Mr. Singer: Mr. Speaker, I have a question
of the Minister of Consumer and Commercial
Relations.
In view of yet another collapse of a travel
agency - Four Seasons Travel Agency I
think it is — is the minister prepared to take
any steps to provide hcensing, trust funds and
control of advance deposits, or to exercise the
type of controls that his department presently
uses for plumbers, real estate agents, used
car dealers, mortgage brokers or people enter-
ing into pyramid schemes?
Also, shouldn't the people of Ontario be
entitled to look to this minister for some kind
of protection in view of the great series of
scandals that has befallen good ordinary citi-
zens who pay their money in advance to take
trips, then the money disappears and they
don't even get their trips?
Mr. Roy: And the minister just throws up
his hands.
Hon. Mr. Clement: Mr. Speaker, the asso-
ciation of travel agents, a group representing
a substantial number of agents in this prov-
ince, have advised me that they will be sub-
mitting a brief within the next three to four
weeks in connection with this, pursuant to
my invitation last January— that is January of
1973— to look into this particular matter.
May I point out that licensing of travel
agents does not resolve the problem. If travel
agents make arrangements tiirough chartered
Canadian carriers their deposits are insured
under the federal legislation dealing with
charter trips. It's when they initiate charter
trips with non-ordinary carriers operating in
and out of Ontario, or operating in and out
of the State of New York, that the diflBculty
arises. The licensing does not ensure that the
person who makes the deposit wdll automatic-
ally have his money , refunded.
Mr. Shulman: But bonding does.
Hon. Mr. Clement: Bonding does if the
travel agent-
Mr. Singer: Control of trust funds does.
Hon. Mr. Clement: —defaults because of
his own theft or the theft of a member of his
staff. But bonding does not cover inept oper-
ators.
Mr. Deans: That frequently has been the
problem.
Mr. Singer: Mr. Speaker, by way of supple-
mentary, if the systems of licensing and
control's and testing seem to work for real
estate agents, for mortgage brokers and for
several other groups of people the ministry
supervises, why can't it put something on the
statute books of the province to protect these
Ontario citizens who are suffering because
there is no government control whatsoever?
Hon. Mr. Clement: The only way, Mr.
Speaker, that something like that can arise
would be for a substantia] compensation fund
to be developed by perhaps the travel agents
488
ONTARIO LEGISLATURE
themselves, and this is the very matter to
which we have turned our minds. I am not
going to see the Province of Ontario allo-
cate several millions of dollars for a compen-
sation fund for this particular segment of
industry.
Mr. Singer: I didn't suggest a compensa-
tion fund.
Mr. Deans: Where does the government
come into protecting these people?
Mr. Shulman: Why in the world can the
minister not put in legislation requiring a
combination of bonding and insurance from
every travel agent? What's so diflScult about
that?
Hon. Mr. Clement: One of the diflRculties
is in resolving the problem and defining ex-
acdy how it would operate. This is the very
question I directed to the industry 14 or 15
months ago.
Mr. Singer: What about qualification tests?
Mr. Renwick: No problem at all.
Mr. Shulman: What is so difficult about
that?
Mr. Renwick: They do it in ever>' other
market.
Mr. Cassidy: That's right.
Mr. Shulman: Even do it for lawyers.
Mr. Speaker: Did I hear the word "supple-
mentary"?
All right, the hon. member for Windsor-
Walker\-ille.
Mr. B. Newman ( Windsor- Walkerville):
Mr. Speaker, I have a question of the—
Mr. Foulds: Point of order, Mr. Speaker.
Mr. Speaker: Point of order.
Mr. Foulds: The previous question was
asked by the hon. member for Downsview.
Mr. Speaker: Well I'll call two members
of the New Democratic Party next. The hon.
member for Windsor-Walkerville.
An hon. member: Besides there are very
few members-
Mr. R. D. Kennedy (Peel South): Mr.
Speaker, point of order.
Mr. Speaker: A point of order over here.
An hon. member: Proportionately we
have-
Mr. Speaker: Order, point of order please.
Mr. Kennedy: The point of order is, I had
asked a supplementary but you couldn't hear
it because of the several members over there
speaking.
Mr. R. F. Nixon: Got to speak up.
Mr. Speaker: Was that a supplementary to
the original question asked by the hon. mem-
ber for Dovmsview?
Mr. Kennedy: Yes it was.
Mr. Speaker: All right, I'll permit a sup-
plementary.
Mr. Reid: Just walk down five chairs and
talk to him.
Mr. Kennedy: Could I ask the Minister of
Consumer and Commercial Relations, with
respect to Cardinal Travel Ltd. and the acti-
vities of the fraud squad in investigating that,
is the investigation complete or is the min-
ister awaiting further detail, or is that phase
of it closed?
Mr. Roy: Tell him to mind his own busi-
ness.
Hon. Mr. Clement: I don't think the in-
vestigation has been completed in its en-
tirety, Mr. Speaker. I was advised by my staff
on Monday or Tuesday of this week that I
could anticipate further information with ref-
erence to this particular agency to which the
member refers. When I have that informa-
tion I'll make it available to any member of
the House who wants it.
Mr. Speaker: The hon. member for Wind-
sor-Walkerville.
REFUSAL FOR CARDIOVASCULAR
UNIT IN WINDSOR
Mr. B. Newman: Thank you, Mr. Speaker,
I have a question of the Minister of Health.
Is the minister aware that a committee of
concerned citizens in Windsor raised well
over $16,000 more than a year ago to pur-
chase a coronarj' bypass unit, and that unit
subsequently had to be returned to the
manufacturer because the ministry refused
permission for the development of a cardio-
vascular surgery unit in one of the hospitals?
Mr. Shulman: And quite rightly so.
Mr. B. Newman: Has the minister now re-
considered the decision of the previous Min-
ister of Health and is he prepared to have
the cardiovascular surgery unit established
in one of the Windsor hospitals—
MARCH 28, 1974
489
Mr. Shulman: Sheer waste.
Mr. B. Newman: —in view of the fact that
Windsor residents must now travel to the
city of London for such treatment?
Mr. Givens: Now we know the NDP posi-
tion.
Hon. Mr. Miller: Mr. Speaker, I will be in
Windsor tomorrow-
Mr. Roy: That should help.
Hon. Mr. Miller: —and I am fully aware
of the problem that has just been mentioned
by the member. There is no justification-
Mr. Roy: Does the minister mean to say
he is presenting his bill tomorrow?
Hon. Mr. Miller: —for the cardiovascular
unit being placed in the hospital of Windsor.
In fact, in the opinion of a medical team that
was set up to determine where in fact such
resources should be available, it could be
potentially dangerous.
Mr. Roy: I thought he was presenting a
bill here.
Mr. Speaker: The hon. member for Port
Arthur.
Mr. B. Newman: Supplementary.
Mr. Speaker: Supplementary, yes.
Mr. B. Newman: Mr. Speaker, am I correct
in stating that there are three heart transplant
units in the city of Toronto within two miles
of one another?
Mr. Shulman: Oh, that is waste too,
Mr. B. Newman: And is there not need for
such a unit in the city of Windsor, rather
than have Windsor residents travel to the city
of London?
Mr. Shulman: No. They should shut down
two of the ones in Toronto; that is What they
should do.
Hon. Mr. Miller: Mr. Speaker, I wouldn't
want to try to justify three heart transplant
units within two miles of each other in the
city of Toronto.
Mr. Shulman: Shut them down.
Hon. Mr. Miller: I can only say that that
is one of the major duties I have as the
Minister of Health of this province, to make
sure that there is not duplication of facilities,
or that in fact costly facihties are not put
where they should not be. I will try to do
that to the best of my ability with the advice
I get from within the ministry.
Mr. E. J. Bounsall (Windsor West): Sup-
plementary, Mr. Speaker.
Mr. Speaker: One more supplementary.
Mr. Bounsall: Yes, Mr. Speaker, of the
Minister of Health: Would he consider then
as part of his health programme paying at
least the travel costs, if not the accommoda-
tion costs, of one member of the family being
able to visit a patient who is imdergoing the
use of these units in his centralized locations?
Mr. Roy: What does the member for High
Park thmk?
Mr. Shulman: Good idea.
Mr. Deans: He says that is a good idea.
Hon. Mr. Miller: I am quite willing to
listen to that suggestion.
Mr. Speaker: The hon. member for Port
Arthur.
Mr. R. F. Nixon: Staying out of bed.
QUETICO PARK
Mr. Foulds: Thank you, Mr. Speaker. I
have a question of the Minister of Natural
Resources. Has his ministry had any negotia-
tions or conversations with Domtar Ltd. about
possible reopening of cutting rights for them
in Quetico Park in 10 years' time?
Hon. L. Bemier (Minister of Natural Re-
sources): I didn't hear the first part.
Mr. Roy: Forget it. Go on to the next
question.
Mr. Foulds: Has the ministry had any
conversations or negotiations with Domtar
Ltd. about possible reopening of cutting rights
for Domtar in Quetico Park in 10 years' time?
Hon. Mr. Bemier: No, Mr. Speaker, we
have not.
Mr. Foulds: Supplementary then, Mr.
Speaker: Is the minister aware of a statement
by Mr. A. S. Fleming, the vice-president of
woodlands for Domtar Ltd., that he made
publicly in Thunder Bay, that he is optimistic
that such rights will be granted to them in
a 10-year period? I think his exact words, for
the minister's information, are: "We may have
lost the battle but we shall win the war in
Quetico."
490
ONTARIO LEGISLATURE
Mr. Roy: Just yes or no.
Hon. Mr. Bemier: Mr. Speaker, there is
no intention to allow cutting in Quetico
Park.
Mr. Roy: Good!
Hon. Mr. Bemier: Now or in the future.
Mr. Speaker: The hon. member for Ottawa
Centre.
KINGSTON TOWNSHIP SERVICES
Mr. Cassidy: A question of the Premier,
Mr. Speaker: What steps is the cabinet
prepared to take in view of the fact that
two appeals from OMB rulings granted by
the cabinet have delayed the acceptance
of waterworks tenders in Kingston township
past the end of March and will therefore
raise the cost of the project by more than
a half million dollars?
Mr. R. Haggerty (Well and South): The
member asked that question before.
Hon. Mr. Grossman: There's a switch.
Hon. Mr. Davis: Mr. Speaker, I have a
f eling that question was asked earlier in
some other form by somebody.
Mr. R. F. Huston (Essex-Kent): He asked
that; the same member.
H-^n. Mr. Davis: I can only say this, Mr.
Speaker, that we are obviously concerned
with respect to the problems in Kingston
township. I met with some of the council-
lors there some time ago when I was in
Kingston. The member from that consti'tuency
has expressed his concern as well.
The problem facing the cabinet, of course,
in its determination on appeals, is to deal
?s equitably with these matters as we can.
The cabinet made a certain decision; as to
what the effect will be and whether there
are any solutions for Kingston township I
can't tell the hon. member on this occasion.
While I am on my feet, Mr. Speaker, I
would like, on behalf of the member from
the riding, to welcome to the Legislature the
••e»"ve and members of Kingston township
^ounc'1 who I understand are in the gallery
here tiiis afternoon.
Mr. Cassidy: I am glad to hear that, Mr.
Speaker.
Mr. Speaker: Supplementary.
Interfections by hon. members.
Mr. Speaker: The hon. Leader of the
Opposition on a supplementary.
Mr. R. F. Nixon: Supplementary, Mr.
Speaker, of the Premier: Since he is con-
cerned about this, and very properly, would
he not undertake to see that the approvals
that had been granted are maintained and
kept in force so that the time limits are not
going to elapse and the cost will escalate
Further? Is he not prepared to assume that
Kingston township has the proper right to
go forward without any further delay?
Hon. Mr. Davis: Well Mr. Speaker, of
course obviously when people wish to make
an appeal these things have to be con-
sidered. The problem of keeping the ques-
tion of the approvals open, and I am not
totally familiar with the situation, is not the
sole issue. The question is tenders have
been submitted, and whether one can extend
the figures in those tenders is I think another
part of the problem. I can only say that we
are concerned and we will make an effort
to see if we can be helpful.
Mr. Roy: Is the Premier himself con-
cerned?
Mr. Cassidy: I have a supplementary, Mr.
Speaker. Can the Premier explain why the
only citizens' group in the province to ever
win tvvo appeals from cabinet on the same
issue is a citizens' group headed by Prof.
James Bennett, brother of the Ministry of
Industry and Tourism (Mr. Bennett)?
Mr. G. Nixon (Dovercourt): Oh, get off
that stuff.
Hon. Mr. Grossman: Shame.
Mr. Cassidy: That's true, that's true.
Hon. Mr. Davis: Mr. Speaker, I can't
give the hon. member any record of the
number of appeals and who is successful
and who is not.
I hate to confess this to the hon. mem-
ber, because I know it will come as a great
shock to him and I happen to be in the
cabinet: I had no idea, first, that Prof.
Bennett was head of the organization; and
second I had no idea that a Prof. Bennett
was a brother of the very distinguished
member of the executive council, the Min-
ister of Industry and Tourism.
Interjections by hon. members.
Hon. Mr. Davis: Well all right, so I know
now but I didn't know before. I think it is
quite improper to phrase a question in that
way, quite frankly.
MARCH 28, 1974
491
Mr. Cassidy: The Premier knows he has
been had now because of the favouritism the
Tory party plays.
Hon. Mr. Grossman: What has the mem-
ber got against professors?
Hon. Mr. Rhodes: Does the member think
professors are all like that?
Mr. Speaker: The time for oral questions
has now expired.
Petitions.
Presenting reports.
Interjections by hon. members.
Mr. Cassidy: When the member for Fron-
tenac-Addington (Mr. Nuttall) walked into
the restaurant, he wouldn't say hello to him
until the Premier—
Hon, Mr. Welch: Mr. Speaker, I have the
honour this afternoon to present to the House
two reports of the Ontario Law Reform Com-
mission. The first is the third and final part
of their study on the administration of On-
tario courts, which was released by my pre-
decessor in January and copies of which were
provided to the members of the House. The
second is a report on the Solicitors Act.
The third part of the report on the adlmin-
istration of the courts deals with a wdde
variety of practice-oriented matters relating
to the operation of the Master's office, the
rules committee, court interpreters, court re-
porters, special examiners, pretrial confer-
ences, the role of the legal profession, law
reporting and' the small claims court.
Like the two preceding volumes which
were the subject of a very lengthy statement
of govenmient policy^ to which as Attorney
General I am committed, part three vdll re-
ceive careful and considered attention by
members of my ministry-
Mr. Singer: Is the government committed
to the first two volumes in their entirety?
Hon. Mr. Welch: —and will be inclu(fed
within the consultative process already imder-
way with members of the judiciary, the pro-
fession and the public at large.
As indicated in the Speech from the
Throne, we will proceed with the develop-
ment of a programme of implementation
which will result in the estabhshment of a
system of court administration that will
accommodate the need for an independent
judiciary with an effective administrative
structure responsible to the people, to the
service of whom it is dedicated.
Mr. Singer: Is it going to be an independent
administration?
Hon. Mr. Welch: Mr. Speaker, the report
on the Solicitors Act is of a more precise and
limited compass.
Up until 1970, the Solicitors Act contained
many rules of general application to a number
of different aspects of the legal profession
with respect to its internal arrangements and
its service to the pubhc. In that year, much
of the Act's content was transferred to the
Law Society Act, 1970, leaving a rather frag-
mented version of the Solicitors Act which
dealt only with solicitor costs, collection of
fees, and methods of review and control of
these, and remuneration practices for pro-
fessional legal services. The Act was recog-
nized as awkward after being divided and
the Law Reform Commission undertook the
task of revising and up-dating it.
In this report, Mr. Speaker, the commis-
sion presents proposals for clarifying the way
in which a member of the public or a lawyer
can have an accoimt or agreement for legal
services reviewed by an appropriate judicial
ofiBcer in a way that promises to be simpler,
faster and fairer than the system which we
adopted in Ontario from the English practice
many years ago.
Mr. Singer: Good idea, good idea.
Hon. Mr. Welch: The commission has pro-
posed preservation of the desirable features
of the present practice, the modernization of
the legislation in line with current legal'
thought-
Mr. Singer: How about the elimination of
the undesirable pieces?
Hon. Mr. Welch: —and development in case
law and the addition of some innovative
arrangements which will help to ensure the
law maintains an even hand in the financial
arrangements between a solicitor and his
client.
(The report is receiving careful! study by
officials of my ministry and will, I trust, re-
ceive the same from the legal profession and
the members of the pubhc. Although this sort
of subject matter is sometimes characterized
as "lav^T^ers* law," it is no less true to say
that is is "people's law" as well. I look for-
ward to a moughtful public and professional
response to this report so that in this area, as
in all other areas of law reform, we can en-
sure that appropriate and timely changes can
be made.
Mr. Singer: Mr. Speaker, on a question of
clarification, there was one phrase in the
492
ONTARIO LEGISLATURE
minister's statement I didn't quite follow. He
talked about an independent system for ad-
ministering the courts. Did he mean that the
system was going to be independent of his
ministry, or independent of the courts; or in-
dependent to what extent?
Hon. Mr. Welch: Mr. Speaker, I will
simply repeat that sentence. I was referring
to the need for an independent judiciary with
an effective administrative structure that will
be responsible to the people.
Mr. Singer: Does that mean responsible to
the minister?
Interjections by hon. members.
Mr. Speaker: The question period has ex-
pired. We are on reports.
Hon. Mr. Guindon presented the annual re-
port for the Ministry of Labour for the year
ended March 31, 1973.
Mr. Speaker: Motions.
Introduction of bills.
FARM PRODUCTS GRADES AND
SALES ACT
Hon. Mr. Stewart moves first reading of bill
intituled, An Act to amend the Farm Products
Grades and Sales Act.
Motion agreed to; first reading of the bill.
Hon. W. A. Stewart (Minister of Agricul-
ture and Food): Mr. Speaker, the bill pro-
vides for the hcensing under the Act for
various persons engaged in dealing in farm
produce. It provides for a licence review
board under the Statutory Powers Procedmres
Act and it also provides for a produce arbitra-
tion board to arbitrate disputes arising out of
contracts entered into in respect to the
marketing of farm products.
AGRICULTURAL SOaETIES ACT
Hon. Mr. Stewart moves first reading of
bill intituled. An Act to amend the Agricul-
tural Societies Act.
Motion agreed to; first reading of the bill.
Hon. Mr. Stewart: Mr. Speaker, it has been
seldom that I have introduced a bill that I
think will provide more interest to the rural
communities of Ontario through the agricul-
tural societies than does this amendment. The
bill-
Mr. Haggerty: There are not toe many
left.
Hon. Mr. Stewart: Oh, indeed there are;
268 of them to be exact. If the member
doesn't consider that "many" in rural Ontario
I think that indicates the lack of interest of
his party in rural Ontario.
An hon. member: He doesn't like the
farmers.
Hon. Mr. Grossman: Shame, shame.
Interjections by hon. members.
Hon. Mr. Stewart: Among several other
amendments to update the Act to modem
times, Mr. Speaker, the bill allows our gov-
ernment to provide grants to the local agri-
cultural society to sponsor amateur contests
within the orbit of their own agricultural
society. We think this is a great opportunity
to develop talent among the young people of
rural Ontario, and we feel very keenly that
this is something that would be of great
benefit. The bill also provides for farmstead
improvement competitions to be carried out
by local agricultural societies. It pro\'ides as
well substantial grants for the carrying out
of light horse shows in connection with agri-
cultural society activities.
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): Very good.
Mr. W. J. Nuttall ( Frontenac-Addington ) :
Mr. Speaker, before the orders of the day, I
would like to announce the 1974 centennial
year of the Ontario Veterinary Association. By
the way, this is the oldest association in the
Province of Ontario. I would like to introduce
in the members' gallery. Dr. Brian Sorrell, the
president of the Ontario Veterinary Associa-
tion, and his good wife.
With yoiu" indulgence, Mr. Speaker, I
would like to give a little history; I don't get
very much opportunity to give a history on
the veterinaries in this province. In 1862 the
charter of the Ontario Veterinary College was
granted with the first classes hdd in 1864.
The first lecture was in the agricultinal hall
of the University of Toronto on Yonge St.; the
anatomical clinics were held in an old shed
on Temperance St. As members know, it was
moved to Guelph in 1922 because of the
inability to get clinical analysts. On May 8,
1964, the University of Guelph incorporated
the Ontario Agricultural College and Ontario
Veterinary College and other facilities.
I would like to read the Ontario Veterinary
Association's centermial announcement:
MARCH 28, 1974
493
1974 is the centennial year of the On-
tario Veterinary Association. Veterinarians
across the province have justifiable pride
in their association which has, in large part,
helped to foster the competence and eflFec-
tiveness apparent today in so many vet-
erinary disciplines.
The Ontario Veterinary Association was
founded by 27 veterinarians in 1874, and
received its provindal charter the same
year. The chirf aims then as now were to
promote the welfare of animal patients and
the competence of practitioners.
Presently 1,400 veterinarians serve On-
tario. Each year they must register with
their association in order to practice. The
Ontario Veterinary Association includes
within its membership regulatory employees
working in meat inspection and infectious
diseases control, research and diagnostic
personnel, veterinarians who have made a
career in the care and treatment of pets,
livestock or wildlife of every description,
and others employed as teachers, in indus-
tr\' and in fields of public health.
All Ontario veterinarians as well as many
colleagues throughout Canada and many
foreign countries are proud to proclaim
centennial' year, 1974. They are pleased
and humbled to have your recognition of
this milestone as a second century is antici-
pated.
Thank you.
Mr. Speaker: Orders of the day.
THIRD READING
The following bill was given third reading
upon motion:
Bill 7, The Developmental Services Act,
1974.
Clerk of the House: The second order, re-
suming the adjourned debate on the amend-
ment to the amendment to the motion for
an address in reply to the speech of the Hon-
ourable the Lieutenant Governor at the open-
ing of the session.
THRONE SPEECH DEBATE
Mr. Speaker: The hon. member for Wel-
lington-Duff erin.
Mr. J. Root (Wellington-Duff erin): Mr.
Speaker, when I was speaking for a few
moments on. Tuesday evening or afternoon,
I was paying tribute to the work that has
been done in northern Ontario by this gov-
ernment, and the various programmes for
future development in that area — highways
through to James Bay and the possibility of
a port on James Bay.
Mr. R. Haggerty (Welland South): Will
that be ready-
Mr. Root: As well as a power line through
to James Bay. These are just continuations
of die programmes that have been followed,
as I said, since the Progressive Conservative
Party assumed office. I refer to the many
highways that did not exist when I first came
into this House. We built a new highway all
the way from the Soo around the head of
the lakes through to Atikokan, to Fort
Frances, into Red Lake, into Manitouwadge,
Elliot Lake and Hornepayne, just to mention
a few, there are many others.
I think it's a wonderful record of achieve-
ment, what the government has accomplished
in that part of the province, and it intends
to continue those programmes. I mentioned
the norOntair air service which is bringing
the province really close together as I know
myself. I have left Toronto in the morning,
been as far as Sioux Lookout, held a hearing
and been back that evening. I've been to
Red Lake and back the same evening.
And so with better roads, a better air
service, Ontario is becoming a compact unit—
and we don't hear this talk about northern
Ontario wanting to set up a separate prov-
ince.
Mr. Haggerty: Tell us about the condition
on Highway 3 from Fort Erie to Windsor.
Mr. Root: Mr. Speaker, I am interested in
the suggestion that tourist operators, small
business and service industries will benefit
from improved loan programmes and financial
assistance. This is from the Throne Speech.
Operators of small business will receive more
help and advice in solving management prob-
lems.
I know that everyone will be interested in
seeing this programme develop. Our smaller
businesses are having difficulty competing
with some of the large business and indus-
trial operations. It is my hope that more as-
sistance will be given in the way of more
incentives for industries to move out of the
large urban areas into the smaller centres
and make it possible for people to obtain
employment and a good living in these
smaller centres, instead of being forced to
drive into the heavily congested areas of large
cities to find employment.
494
ONTARIO LEGISLATURE
For a number of reasons I feel these
smaller centres should be developed. We
know that in the large cities great problems
are developing with regard to the movement
of traffic, at times air pollution, and the high
cost of housing— to mention but a few. I often
think that if we ever had a national emer-
gency, such as a war, it would be a great
asset to this province and to this nation if
we had our industry and population decen-
tralized as much as practical.
I want to make another suggestion, and
that is with regard to the collection of the
sales tax. I feel the small businessman should
receive a reasonable remuneration for his
efforts. I think we all realize that he has to
keep accurate records, since we have inspec-
tors going around from time to time to see
that the tax is being collected and sent on to
the government. The people who do the in-
spection are paid. I realize there may be a
problem with the large corporations receiving
the lion's share of any payment that might
be made, so I would suggest that payment
would be considered on a percentage basis
with a ceiling on the amount that any one
merchant could receive. In that way there
would be a full recognition of this important
service that these small businessmen are
rendering to the province.
I can never understand why the opposition
came out against sales tax. Everyone knows
that we have to get revenue somewhere. I
think if we look at the fact that some 20
million visitors come to the province annu-
ally, most of these people are coming from
areas where they have sales tax. So that
on sales tax we collect a large amount of
revenue that does not come from our own
people.
An hon. member: Poppycock!
Mr. Root: I suppose the member wants to
collect it from our own people.
We collect revenue from the rent of rooms,
for meals over $4, liquor revenue, gasoline
revenue— to mention but a few, and there are
many other purchases that are made. So I
feel that the people who argue that we should
not have sales tax are really saying they feel
we should collect all of our money from oiu-
own people, and then when we leave the
province pay sales tax in other areas. To me
that is simply ridiculous. Here is a source of
revenue, much of which comes from people
who are in the habit of paying sales tax and
have no objection to paying it. We would not
have 20 million visitors in Ontario each year
if they objected to our tax.
I was pleased to see in the Throne Speech
that legislation will be introduced concerning
negotiations between the teaching profession
and school boards.
Mr. Speaker, there has to be a better way
of resolving disputes that cannot be settled
without closing dov^m the schools and turn-
ing the children— the greatest asset this prov-
ince possesses— out on the street.
I think we are all concerned about com-
pulsory arbitration. Perhaps some of the
teachers and school boards do not like the
thought of compulsory arbitration, but at the
same time there is compulsory membership
in the teachers' federation.
I think we have to find some way to re-
solve these differences of opinion in a fair
and equitable manner. The taxpayer has put
up billions of dollars to support our school
system. Last year we voted over $2 billion
for the three levels of education, and in
addition the local taxpayers paid over $1.2
billion. Having put up that kind of money
to build schools, the people having elected
boards, the boards having hired staff and
teachers, the public will not tolerate having
this system closed down because some teach-
ers and some boards cannot reach a satisfac-
tory agreement. There has to be a better
way.
When I look at our budget for education-
last year over $2.2 billion— and I think back
to what the budget was when the Conserva-
tive Party took over after nine years of
Liberal administration, we can be proud of
what we have done for education in this
province. When I ran in my first election
the total budget for everything in the prov-
ince was around $100 mfflion. Last year we
voted over $87 million for the teachers' pen-
sion fund alone, and over $2 billion for the
educational programme.
I am sure that everyone will support the
suggestion in the Throne Speech that an
income support programme be proposed
which will assist in achieving a greater meas-
ure of security for Ontario's older citizens and
for the disabled. A proposal also will be
made for a prescription drug plan for senior
citizens.
I am pleased to know that a health educa-
tion programme will be prepared, providing
information on such health hazards as alco-
hol, tobacco and other drugs, and to encour-
age better use of our public health care sys-
tem. I feel that too often we may have been
swayed in our judgement by the clamour of
opposition members and others asking for
more liberalized liquor policies. We may have
MARCH 28, 1974
495
been swayed by the smooth advertising that
we see on television and in the press. I can
only say that that advertising does not con-
form with what I have in my files when I am
trying to help solve the problems that are
created by the extensive use of alcoholic
beverages.
The Ontario Safety League released in-
formation in February this year pointing
out that alcohol is involved in approximately
50 per cent of the fatal automobile accidents
in Canada. It plays a role in causing other
types of aucidents-in the home, skiing, snow-
mobiling, boating, and so forth. These mis-
haps bring the total accidental death toll
in Canada to some 12,000 each year and
injuries to more than four million, leading
to r.n estimated economic loss of $2 billion.
Du'-ins; the discussion of the estimates
at th'^ last session I raised the question of
the cost of alcohol problems to the health
system or programme. The Addiction Re-
search Foundation provided certain informa-
tion, estimating that the expenditures at-
tributable to alcoholism, about the normal
expectancy, were calculated at $89 million
in the public hospital. svstem. In the psychia-
tric hospital system the figure was $16.8
million. Studies among social agencies have
calculated, expenditures at $8.5 million at-
tributable to alcohol in the welfare pro-
'^'■amme under the Family Benefits Act.
Under the children's aid programme, ex-
penditures attributable to alcoholism were
$11 million. Some $8.6 million was given to
the Addiction Research Foundation.
In other words, an expenditure of some
$134 million in the fields that I have men-
tioned is attributable to alcohol. I think that
we should realize that the above costs do
not include such items as physicians' fees,
municipal welfare payments, traffic accidents
and deaths associated with alcohol use, loss
of productivity and manpower in business
and industry, jail and correctional institution
costs, and a number of other indices that
should be calculated to arrive at a reasonable
approximation of the total costs.
The Research Foundation confirms the
figures of the Ontario Safety League that
approximately 50 per cent of deaths through
traffic acidents are associated with the use
of alcohol. It also points out that approxi-
mately six per cent of the employee force
of a number of major industries is alcoholics,
and the death rate of alcoholics is approxi-
mately double that of the normal population.
I put these figures in the record to In-
dicate that health and social costs to our
population should be weighed very care-
Fully when matters of policy in regard to
alcoholic beverages are being considered. I
think that we all realize that alcohol,
tobacco and drugs do create a health prob-
lem. I can understand when some groups,
and I could refer to the Mennonite people,
wonder why they are forced into a com-
mon insurance scheme to finance the pro-
grammes that have accelerated costs be-
cause of the consumption of alcohol, tobacco
and drugs. This affects not only our health
insurance costs; it also affects automobile
insurance premiums.
I am sure that everyone will want to
support the government in any steps that
are taken to make the public aware of the
problems and costs that are associated u^ith
th'-s'^ matters. I noticed in the Toronto Star
on f uesdav, March 19, that teen car deaths
have doubled since the drinking age was
lowered.
I was quite interested in the suggestion
that the Ministry of Correctional Services
is endeavouring to have a private business
operate the packing plant at the correctional
centre at Guelph. I made a lot of effort to
have that new packing plant established as a
training institution for inmates and as another
market for farmers in the area. I will be
greatly interested to see how this experiment
works out. It seems to me that if we can
provide a training for the people who serve
time in these centres and fit them to go out
and take their place in life, it will be a
worthwhile experiment, and no doubt can
be carried through into other phases of the
correctional institutions programme.
I note that we will be asked to consider
provision for mandatory use of automobile
seatbelts.
I served on the select committee on high-
way safety, and at that time it was pointed
out that in certain types of accidents, par-
ticularly head-on collisions, seatbelts could
save lives. But at the same time, in another
type of accident where a car is hit broadside
and turned over, a seatbelt could be the
cause of a fatality. I would suggest that
very careful consideration should be given
to the suggestion that it be mandatory to use
seatbelts. I have had people come to me
and say: "If I had had a seatbelt on in the
accident, I could have been killed."
I am pleased to note that we will be
asked to approve legislation which will
require an environmental assessment of
major new development projects. I have
always favoured public hearings to inform
the public what is in mind and to get their
reaction before final decisions are made
on these major projects.
496
ONTARIO LEGISLATURE
During the years that I have served on
the Ontario Water Resources Commission
and the Environmental Hearing Board, I
ha\e sat on over 350 pubhc hearings from
one end of this province to the other; and
I have found that at the public hearing the
applicant is more conscious of his responsi-
bility' if he has to face the public and explain
what he has in mind.
In the main the public want information
regarding the project that is the subject of
the hearing before a decision is made. Most
reasonable people accept sound projects if
they at least have a chance to express their
views and have the project explained.
Mr. Speaker, to establish a corridor from
Bradley junction to the Kckering-Nantiooke
line, Hydro held three series of meetings to
get the reaction of local people. However, the
meeting opened up to include an area iFrom
part way across Waterloo county, over
Wellington county and over most of the
county of Dufferin.
These meetings were held in the first place
to get the environmental impact of lines run-
ning through the area. The first series of
meetings was to get the environmental im-
pact on the whole area, regardless of where
the lines might go. The second series was
held on the basis of the input of the first
series and showed possible corridors. Now, in
the third series, they have come out with a
pretty definite proposal as to where the power
should go through.
I have attended six of these meetings and
have watched the reaction of people. In the
main, the farm people are reasonable people.
Until they had some idea where the lines
might go, they had little to say. But on the
other hand the environmentalists, who are
not particularly interested in the production
of food but are more interested in maintaining
the eco^logy, the wildlife, the recreational
areas, were quite vocal.
I think that this had some effect on Hydro's
second series of meetings, when they came
back with a number of suggestions on pos-
sible corridors. When the farm people began
to realize that these corridors in many areas
were going over good agricultural land, they
began to become more vocal.
An engineer in my home township of Erin,
Mr. John Schneider, who had given a lot of
thought to how best to get the connecting
links built, made a suggestion that they bring
all the power down in one corridor to join
the Xanticoke-Pickering line at Highway 401
and c;o through the gap adjoining Highway
401. ^
Hydro objected this suggestion, indicating
they did not want all their lines together in
case of storm or sabotage, or perhaps an air-
plane crash, which could reaUy disrupt the
whole system. They said they would like to
have two lines. A suggestion was made that
one hne might cross the escarpment at Lime-
house instead of bringing all of the power
through west of Guelph.
Mr. Schneider made another proposal, that
they take the power across from Bradley
junction to Essa and bring it down to the
Pickering-Nanticoke line on an existing cor-
ridor that goes north from Woodbridge and
Kleinburg. Apparently at the present time
there is space in this corridor for the line.
This proposal would have widened the gap
between the two lines and provided the pro-
tection that Hydro wanted.
Mr. Speaker, you will find the reference to
the Bruce to Essa proposal on page 54 of the
Solandt commission report. It was argued that
the use of this route would greatly increase
the security of the power transmission from
Bruce to Toronto load centre, and it would
make it reasonable to concentrate the rest
of the Bruce power and the power from
Nanticoke in one corridor parallel to Highway
401.
Solandt goes on to say that this proposal
received considerable popular support at the
hearings. As far as the commission knows
there was no one in the area affected by the
Bruce to Essa line at the meeting, so it was
unlikely there would have been any opposition
expressed. Ontario Hydro looked at the pro-
posal very carefully and discussed the pros
and cons in presentation and cross-examination
before the commission. They say Ontario had
repeatedly expressed its opposition to system
R on both security and aesthetic grounds.
During the cross-examination they did agree
that the proposal— this is the Bruce to Essa
proposal— would improve the security system
for the short-term future, but felt that the
Bruce to Essa proposal had no other advan-
tages. Hon. members can read the comments
regarding the Bruce to Essa proposal on pages
54 and 55 of the Solandt report.
I am interested in the last paragraph on
page 55, where Dr. Solandt says:
Following the close of the commission
hearings, the group submitted a final paper
on their proposal. Further studies of the
proposals convinced me that it would not
be easy to find a socially and environmen-
tally acceptable route for the Bruce to Essa
line, because it might have to traverse some
of the most popular scenic and recreational
terrain in southern Ontario. Since Ontario
MARCH 28. 1974
497
Hydro presented convincing evidence that
the Bruce to Essa hne would not produce
useful improvement in the transmission
system, the commission concludes that no
further consideration should be given to the
Bruce to Essa line.
Mr. Speaker, that comment really disturbed
me. The opposition to the hne was because it
would traverse some of the most popular
scenic and recreational terrain in southern
Ontario. I think it is time that the government
and Hydro realized that the production of
food and good agricultural land are just as
important, or in my opinion more important,
than preserving popular scenic and recre-
ational terrain in southern Ontario.
On pages 26 and 27, Mr. Speaker, you will
read Dr. Solandt's comments regarding the
Limehouse crossing. Keep in mind that to
reach Limehouse the power line wiU have to
come over some of the finest agricultural land
in Wellington and Dufferin counties. Indeed
in the southern part of this line, as you come
in to my home township of Erin and go on
through into Halton Hills, you will find very
scenic recreation areas that will either have
to be aflFected, or the lines in my cases go
across class 1 and 2 farm land.
You will note on page 27 where Dr.
Solandt says all available alternatives were
carefully considered before the commission
reluctantly came to the conclusion that on
balance this was the route that the trans-
mission line should take. That statement indi-
cates to me that Dr. Solandt had some doubts
that on balance the Limehouse crossing was
the right crossing. So I suggest, Mr. Speaker,
before any final decision is made regarding
where the second hne will go that very careful
thought be given with regard to priorities.
This province has an abundance of recrea-
tional areas. It has a limited amount of choice
agricidtural land. In, my opinion to put the
preference on the scenic and recreational
areas above choice agricultural land is a
wrong decision. And so, Mr. Speaker, I would
ask that a very careful analysis be made of
the impact of bringing a line from the Brad-
ley junction to Limehouse as one of thei pro-
posed routes in Wellington and Dufferin
counties, funnelling them to the scenic town-
ship of Erin to cross the border into the
Halton Hills to approach the Limehouse
crossing to join the Nanticoke-Pickering Line.
I can only say, Mr. Speaker, that the farm
people of Wellington county are greatly con-
cerned. The various lines that may lead into
Erin township cross practically every munic-
ipality in the area that I have the honour to
represent. I would be remiss in my duties if
I did not say the government had better take
another look at crossing over on low-grade
agricultural land and coming down on the
Essa^Kleinburg corridor which we are advised
has space for another line. I know that Hydro
feel that sometime in the future they may
want that space, but with advancing tech-
nology and the possibiUty of underground
lines in the future, surely we don't have to
criss-cross over choice agricultural land when
there are other alternatives available.
Mr, Speaker, I want to be fair and say that
the farm people appreciate what Hydro has
done in the way of rural electrification. Hydro
has completely changed the rural way of life.
One of the reasons that I ran in my first
election was that after nine years of Liberal
administration we were still farming with the
same! lamps and lanterns that our parents and
grandfathers had used. In Dufferin 81 per
cent of the farmers had no power, and 75
per cent in Wellington.
All of that has been changed and we appre-
ciate that. We know it is in the interests of
everyone to have this grid system established.
Since we are producing power by nuclear
energy, from fossil fuels and from hydraulic
power there has to be the ability to move
power back and forth, but we are not happy
to see the lines go over choice agricultural
land if there are any reasonable alternatives.
I realize that HydTo is in a difficult spot,
having to conduct its own public hearings;
and I can see the advantage of having an
environmental assessment board looking at
these projects instead of asking Hydro itself
to hold the hearings.
iMr. Speaker, I hope the explorers of Hydro
corridors and other matters affecting the farm
people in Ontario will receive very careful
consideration in the Natural resources policy
field. I would hope the peoplte of Ontario will
realize they are going to have to pay more
attention to the people who work seven days
a week producing the food theiy conisume, or
they will find that fewer and fewer people
will stay on the farm.
(Six years ago, in 1968, members will find
in Hansard certain comments I mad^e regard^-
ing agriculture. At that time the government
had come out for a 48-hour week and an
eight-hour day, and the opposition tried to
suggest it should be a 40^hour week. I said
I was surprised to see the Leader of the
Opposition, the hon. member for Brant (Mr.
R. F. Nixon), supporting this idea because, I
said, we had never developedi cows that
would stop milking Friday nights and come
back into production on Monday. No way
ONTARIO LEGISLATURE
can that be done. Hens persist in laying eggs
over the weekend; and if a fanner didn t look
after his livestock and feed them he would
have the Humane Society breathing down his
neck.
The hon. member for York South (Mr.
MacDonald), who was then leader of the
NDP, ridiculed me and said: "Just try that
horse-and-buggy Tory policy in the next elec-
tion and we'll see what happens." I want to
say to him that I tried it and^ I had more
votes than the candidate for his party, the
Liberal Party and an independent had com-
bined. The farm people want to be fair. They
don't mind people expressing their views-
Mr. G. Nixon (Dovercourt): Great stufiF.
Interjections by hon. members.
Mr. Root: But they realize that the position
taken by the NDP, and at that time supported
by the Liberals, would wipe out the family
farm and would also wipe out a lot of small
businesses. The only way anyone could oper-
ate a farm on a 40-hour week would be to
have a corporation^type farm with enough
labour to stagger the labour force.
I will say this; it is very hard to secure
competent labour on a farm today when in
many industries there are 40-hour weeks. The
farmer has to bid in the same labour pool.
And make no mistake about it, young people
on the farms today are getting the same edu-
cation their city cousins receive. Because of
the advanced policies of this government, we
have open roads 12 months of the year, we
have large, fine new schools and buses to
deliver the children to the schools.
Now if the NDP members think they are
going to get the farm vote with their policies,
I think they will be badly disillusioned. How-
ever, these policies could create a very serious
situation as far as the production of food is
concerned. Young people are not going to
invest the kind of money necessary to estab-
lish a viable farm operation and buy the ex-
pensive equipment needed to operate it since
labour costs have got so high— and the cost
of money is very high. So the young people
are leaving the farm.
In my own area I see farms being picked
up by people from the cities— some of them
wealthy— but the production of food is going
down and the cost of food to the consumer
is going up. I suggest that unless there is a
change in these policies or greatly added in-
centives are given to the farmers, this whole
situation will be aggravated.
I understand the average dairy farmer to-
day is about 58 years old. He can't find young
people to take over the operation so he sells
o£F his herd, sells his farm and goes out of
production. The same is happening in my
own area with regard to beef farmers, hog
breeders and so on.
Many of the farms which two years ago
were turning out herds of fat cattle today are
growing grass, and some of them growing
weeds. They are owned by people who are
hoping to see development in the area, by
people who are in some form of activity
other than the production of food.
Mr. Speaker, I want to congratulate our
Minister of Agriculture and Food (Mr. Stew-
art) for the many forward-looking program-
mes he has presented to the Legislature-
including capital grants to help farmers be-
come more efficient; paying half the farm
taxes to get the cost of education off land,
which will be a great help to legitimate
farmers; and the legislation that lets a par-
ent make a $50,000 once-in-a-lifetime gift
to make it possible for a son to carry on the
farming operation. These are some of the
programmes making it possible for some of
our young people to stay on the farm.
I want to say, Mr. Speaker, a very serious
situation is gradually developing. It was
brought home to many of our people in re-
cent months when we saw the cost of meats
go up, as well as milk and potatoes. These
products used to be produced all around me,
and today the same farms are not in pro-
duction.
The government, and by all means the
federal government which controls our inter-
national trade, must pay more attention to
the welfare of the agricultural industry or
the consumer is going to find the pension he
thought he could live on will not buy the
food he needs.
At the present time we are not producing
enough butter to butter our bread; the price
of milk goes up as well, and so it goes. We
haven't seen the end of this unless some more
positive measures are taken to protect good
agricultural land and to encourage yoimg
people to stay on the farm.
I am pleased to know that the government
is taking a look at the framework of a revised
Planning Act. I hope in the proposed changes
they will not lose sight of the fact that many
farmers could be on a sounder financial basis
if they were able to secure a severance for
points of land on the farm that are not fit
for agriculture. In recent weeks I have had
serveral farmers come to me and say: "If
I could just get a severance and sell that
point of land that I can't farm I could get my
financing in better shape and continue to
MARCH 28, 1974
farm." Some of these men have said: "Since
I can't get a severance, I'm going to sell the
farm and quit."
I would say the same about subdivisions
in villages and towns, and I would commend
the Ministry of the Environment for its pro-
gramme to help finance needed services. I
would hope the subdivisions plans would not
be held up, but these smaller towns and vil-
lages would be allowed to grow to a point
where they could economically supply water
and adequately treat wastes. To keep these
towns and villages too small creates a situa-
tion where they can't attract the needed
ser\ices, such as doctors, dentists, lawyers,
and small industry.
I am concerned about the size of some of
our cities. We are building these cities, in
many cases, on some of the best farm land
in Canada. They are getting so large we are
creating traffic problems, pollution problems
and housing problems. But people have to
live somewhere, so I would hope that we
would make it possible for people to estab-
lish their homes in other parts of the prov-
ince if they would like to live there; and
perhaps give incentives to move certain types
of industry out of the large centres. Restrict-
ing development in some areas plays into the
hands of a developer in the unrestricted area.
I think the old law of competition, supply
and demand, would solve some of the prob-
lems that are not being solved under the
present Planning Act.
I think it is a good move to get the plan-
ning and subdivision controls back to the
local municipalities. I am hopeful this will
help resolve the problems and congestion in
the large centres, allow these villages and
towns to become viable units; and perhaps
let some of the farmers get on a sounder fi-
nancial basis by separating and selling, for
estate-type homes, points of knd on the farm
that will never be farmed.
Mr. Speaker, I am interested in the sugges-
tion of a home renewal programme, with
grants to homeowners and municipalities for
preserving and up-grading the quality of
existing housing in rural as well as in urban
areas. Many of the fine old homes that were
built a century or more ago can be rehabili-
tated and used. In fact the home my grand-
father built in 1865 is where I still live. The
bricks were made across the road on the
Awrey farm. The Awreys pioneered in my
part of Erin township, put a dam on a
stream, operated a mill, opened a brickyard
and made the brick for five or six houses in
the same area.
I am sure that as time goes on we will
learn a lesson from the European countries
where the older buildings are now a major
tourist attraction. So I would say that
wherever possible, buildings that are sound
and can be renewed should be renewed,
rather than knocking them down and putting
up some of the newer buildings, which be-
cause of the high cost of living and material
do not have the same type of material and
workmanship in their construction.
Mr. Speaker, I have talked longer than I
originally intended, but still I have many
more things I would like to say. Perhaps at
some time in the future I will put my
thoughts on record.
I want to thank you, sir, and the members,
for the opportunity of making a few remarks.
Mr. Speaker: I miderstand by agreement of
the House the hon. member for Sandwich-
Riverside, who adjourned the debate on the
previous day, will complete his remarks at
this time.
Mr. F. A. Burr (Sandwich-Riverside): Thank
you, Mr. Speaker. As you realize, of course,
most of the remarks I made on Monday and
the ones I am going to make today are
addressed primarily to the Minister of Energy
(Mr. McKeough) although, of course, he
wasn't present and isn't present now. He is the
one I must convince. Although I gave a some-
what similar speech during the debate on the
establishing of the Ministry of Energy back on
Jime 14 last year, the new Minister of Energy
failed to get my message from what I was
saying at that time. I summed up my remarks
on that occasion with these words:
There are two points I am trying to make. The
first is that the nuclear fission system is a controver-
sial, hazardous one and in any event uses an ex-
haustible source of fuel. The other is that it is un-
necessary to resort to nuclear fission because there
are so many kinds of power that can be developed
and, with a little expenditure on technology, these
could be brought into use on a wide scale in a rela-
tively short time.
This seemed to me to be a fairly clear
statement that I wanted nothing to do with
nuclear fission. Although the minister was
present on that occasion and even made some
unusually humble remarks to the effect that
he was not qualified to debate the subject
wdth me, nevertheless a month later he con-
cluded a letter to me by saying, and I quote:
"As you have said, I believe, nuclear genera-
tion must fit into the system in a balanced
way." Mr. Speaker, I have never said such a
thing.
Until I became aware in the last couple of
years that there were alternatives— alternative
feasible sources of energy; far better alter-
500
ONTARIO LEGISLATURE
natives in fact— I had become reconciled, re-
luctantly of course, to living with more and
more nuclear power. But now that I know
that many reliable scientists have assured us
of the feasibility of the other sources of
energy, I cannot remain silent on this subject.
I am sure that my reaction is a normal human
reaction: Tolerate what cannot be changed
but try to change what cannot be tolerated.
Someone has asked me whether I am ex-
pressing oflBcial NDP policy. At the federal
NDP convention in July, 1973, there was a
lengthy discussion out of which a three^page
policy statement on energy emerged. Included
was the follovdng:
There are serious unresolved problems in
nuclear energy production. We believe that
the federal government must undertake ex-
tensive research into, first, various types of
reactors; second, methods of disposal of
tnuclear wastes; third, thermal pollution,
and fourth, radiation hazards.
Mr. Speaker, as long as we have any nuclear
power plants in operation I agree with this
position wholeheartedly. But I go further and
say: Now that it is no longer necessary, for-
get the whole thing; phase it out. Under the
topic of energy research, the federal NDP
convention recommended that the federal gov-
ernment should undertake the chief research
role in the energy field, and I quote:
We need research in areas such as, first,
mew sources of energy including solar, geo-
thermal and tidal power. We should seek
soiu-ces which are least harmful to people
and the enviroimient.
What better description of solar power or
wind power could one want than that, Mr.
Speaker?
Just a month ago, on Feb. 27, the Montreal
Star interviewed Sir George Porter, a British
1967 Nobel Prize winner in chemistry. He
warned of the perils of going miclear and said
that the siui's rays could be hamessedi to
meet man's needs for power. He was not
worried so much about the clandtestine making
of atomic bombs by unauthorized persons as
he was by sabotage of a nucltear plant by the
use of a simple conventional bomb. I quote
him:
Ordinary miclear reactors have more than
enough plutonium in them to poison count-
less people. What really worries me is the
possibility of sabotage and the fact that the
Kvorld is as anarchic as it is. We now have
more sabotage and terrorism in the world
than we have ever had in the past.
Sir George Porter said that if one-tenth of
one per cent of the effort in manpower and
money already devoted to the development
of nuclear power had been allocated for
solar energy research, the energy problem
would have been solved by now.
An award-winning series of articles began
in the Windsor Star of June 25, 1973, en-
titled, "Nuclear Power: A Blessing or Even-
tual Curse?" I don't know whether the
Windsor Star or their writer, Brian Vallee,
took any bow^ for this article but 1 should
like to extend my belated congratulations
to them both.
This is an objectively written article, pre-
senting as one can tell from the tide, both
sides of the controversy. I quote:
When you talk about peaceful uses of
the atom, such as power plants, the
argument becomes more subtie because
there are seemingly intelligent well-mean-
ing people on both sides of the nuclear
argument.
On the one side, you have people in
industry and government, hailing nuclear
power as the only means of rolling back
the impending energy crisis and as a boon
to a cleaner environment.
On the other hand, you have responsible
ecologists, scientists and people like con-
sumer advocate Ralph Nader, deploring
proliferation of nuclear power plants.
Later, the article says:
But Dr. Fred Knelman, a prominent
nuclear critic, whose department at
Montreal's Sir George Williams University
studies the social consequences of tech-
nology, says that serious accidents at
nuclear power plants are inevitable.
Dr. Knelman says the Pickering plant is
reasonably safe compared to other indus-
trial installations, with one basic exception:
"The risk involved in an accident is
totally out of proportion with the risk
in any other kind of plant."
He says that a United States Senate
committee has estimated that if an air-
plane hit a nuclear power plant roughly
the size of Pickering, or if there were some
other major accident which caused radio-
active material to be spewed out over a
residential area, the cost would be [accord-
ing to this Senate committee] $5 billion
as well as hundreds or even thousands of
lives.
I should mention, Mr. Speaker, that the
accident estimates that have been made by
the authorities are based on the assumption
that nuclear plants are at least 30 miles
from metropolitan areas, which accounts for
the rather low estimate of immediate fatalities.
i
MARCH 28, 1974
501
The Windsor Star article reported that
Dr. Knelman said the United States is hav-
ing serious problems in two of its plants
in the United States itself and in a third
built by the Americans in Switzerland. I
quote:
"The cylindrical materials that hold the
fuel have cracked and they don't really
know why. This is terribly serious because
they are getting a direct leak of hot fuel."
Dr. Knelman said there had also been
a continuous series of accidents at the
large atomic dump where all the waste
materials from all the United States nuclear
plants are sent. The dump is located in
Hanford, Wash., on the Columbia River.
"The accidents have involved the escape
of hot radioactive materials, and the
Columbia River is now the most radio-
active body of water in the world."
Dr. Knelman referred with shock to what
he termed "the bland statement" of Dr.
Alvin Weinberg, and AEC researdh director,
who "hopes that science will have solved
the problem of disposal of long-life radio-
active waste by the year 2020, at which
time he expects one nuclear plant to
come into operation each day, somewhere
in the world.
"Dr. Weinberg is a technological
euphoric who believes that technology will
solve all the problems it creates. It's what
I cal the theology of technology. It's pure
faith. It has not worked in the past and
why he expects it to work in the future, I
don't understand."
The Atomic Energy Commision has been
forced by independent scientists to eat its
own pronouncements so often that I think
it must suffer from verbal indigestion.
Dr. Knelman also said that when strontium
90 was first mentioned, the Atomic Energy
Commission said there was no hazard in-
volved at all, imless a person accidentally
swallowed a bone splinter which would be
highly unlikely. They didn't acknowledge at
all the biological route that strontium takes.
When it lands on grazing grass and cows
eat it, it gets into milk and then into children.
The chairman of Ontario Hydro made a
public statement in the early part of 1973,
defending Hydro's promotional advertising
policy. One of his arguments was that if
Hydro stopped advertising there would be
an acceleration in the demand for scarce
fuels, such as oil and natural gas. Now
obviously this does not refer to lighting;
therefore, it must refer to heating. What
Mr. Gathercole seemed to be saying is that
greater use of electricity for heating is a de-
sirable goal. If Ontario Hydro produced all
its power from water— that ever-renewable
source of energy— who could disagree? But
as it is, any further increase in electricity for
heating purposes in Ontario uses up power
derived from one of the fossil fuels, all of
which are unrenewable.
Because electric heating makes use of only
30 per cent of the fossil fuels that produce it
—in other words 70 per cent of the energy is
lost in making electricity from fossil fuels
—we are merely using fossil fuels much more
ineflBciently when we increase our use of
electricity made from those fossil fuels for
the purpose of home heating.
It is true that greater reserves of coal
exist than of oil and gas, but coal is still con-
sidered a dirty fuel at the station where it
is converted into electricity.
The great fallacy in Mr. Gathercole's argu-
ments lies, of course, in the fact that he
ignores those alternative sources of energy
which are aU renewable, and in most in-
stances unpoUuting. I refer to solar radiation
power. All are 100 per cent safe, all are non-
create electric power; organic methane gas is
a fourth source.
On a continental basis there are also geo-
thermal power, sea thermal power and tidal
power. Ail are 10 per cent safe, all are non-
polluting and ^1 are renewable. Ontario
Hydro ignores these sources. It hands out to
visitors at the Pickering nuclear power plant
literature published by the Canadian Nuclear
Association. It has these opening words:
"Question: Is nuclear power necessary?
Answer: In fact there is today no alternative
if we are to conserve the world's resources of
fuel." Now if one can swallow this trans-
parent falsehood, one can swallow everything
else one is told by the literature handed out
by Ontario Hydro and published by the
Canadian Nuclear Association.
Nuclear energy itself is a non-renewable
source of energy. Nuclear power might con-
serve other sources of fuel temporarily but it
uses up xmrenewable uranium in the process.
Ontario Hydro has a pubhc rdations divi-
sion paid to hand out or produce misleading
statements of this kind. Apparently carried
away by its own rhetoric, which I have just
quoted, it repeats the statement by para-
phrasing it as follows: "Only by substituting
nuclear fuels for fossil fuels can we meet the
increasing demand for electricity." Then it
adds: "And not only preserve Ijut enhance
our environment."
502
ONTARIO LEGISLATURE
There, Mr. Speaker, is a most remarkable
flight of imagination— to avoid using unparHa-
mentary language.
On the contrary, nuclear power is the one
source of energy capable of destroying our
environment beyond redemption. The other
forms of energy, especially solar energy, and
including wind energy— to avoid repeating a
whole list— are 100 per cent safe and 100 per
cent perpetually renewable. Yet the public
relations division of Ontario Hydro tells us,
and I repeat it: "Only by substituting nuclear
fuels for fossil fuels can we meet the increas-
ing demand for electricity, and not only
preserve but enhance our environment."
These are falsehoods, Mr. Speaker, that I
shall try to expose wherever the occasion
presents itself. It matters not that the PR
people attribute these words to Dr. G. M.
Shrum. They are manifestly false no matter
who says them. The PR men then produce a
third gem:
Question: Does nuclear power pollute?
Answer: Nuclear power plants do not dis-
charge smoke, sulphur dioxide, or oxide of
nitrogen to the atmosphere and there are
no unsightly piles di fuel and fuel handling
equipment. The plants require less space
than a fossil fuel plant and are more
architecturally acceptable.
As far as it goes that statement is accurate.
Nuclear power plants do not produce visible
air pollution and they are aesthetically more
pleasing to the eye, but this is a very narrow
interpretation of pollution. What happens to
the spent fuel? What happens to the moun-
tains of uranium tailings at the mine, a by-
product of the process that produces fuel for
nuclear power plants? Both before it is used
to boil water and afterwards, this fuel is the
worst of all possible pollutants.
Nuclear power does pollute. Thermal pollu-
tion and radioactive emissions are unavoid-
able when nuclear fission is in operation. In
Par Pond, where the Oak Ridge laboratory
dumps some of its low-level wastes, it was
found that even when the concentration of
cesium 137 was only three-hundredths of a
millionth of a millionth of a curie, the flesh
of bass caught in the pond contained 1,000
times this amount. Similarly, strontium 90 in
the bones of bluegill was 2,000 times the level
in the water and radioactive zinc was 8,720
times the level in the water. In the Columbia
River, into which the Hanford nuclear plant
discharges, larvae of a certain kind achieve
concentrations 350,000 times that of the level
in the water. Birds also concentrate radio-
activity, and being higher up the food chain
they end up with correspondingly higher con-
centrations.
In the United States there are now 30
million tons of sand-'like radioactive uraniimi
taihngs usually lying in uncovered heaps be-
ing washed and blown by rain and wind into
various water systems. In Colorado, the San
Miguel River was found to contain 30 times
the acceptable level of radiation as the result
of uranium tailings washed into its waters.
Uranium miners, at least in the United
States, according to a publication "The
Atomic Establishment," have consistently
suffered almost three times greater incidence
of lung cancer than the rest of the population,
although the onset of cancer may be delayed
from 10 to 12 years after initial exposure
often after the men have retired or turned to
other forms of employment. So what price the
lives of the Elliot Lake miners?
These then are some of the terrible costs
we must pay to use nuclear fission. They can-
not be figured in cold cash, but we must take
them into consideration.
Let us, to avoid further argument, assume
that during the boiling of the water— out of
which comes steam and eventually electricity
—there may be no significant escape of radio-
active eflfluent into the environment. In other
words, let's just assume that the operation of
the nuclear plants is harmless to the environ-
ment.
We come then to the possibility of a major
accident at a nuclear plant. Keep in mind that
the nuclear fission promoters plan in the next
30 years 100 new nuclear power plants in
Canada— all the size of the one at Pickering.
The Atomic Energy Commission in the
United States plants to license about 1,000
large nuclear power plants in the next 30
years, a plan that would produce the radio-
active equivalent of one million Hiroshima
bombs every year— plus 600,000 lbs of plu-
tonium 239 annually. Just one pound of plu-
tonium— which has a half life of 24,360 years
—escaping into the environment and inhaled
eventually by human beings, could cause
several billion cases of lung cancer.
Is it any wonder that many atomic scien-
tists are appalled by the consequences of
unsuccessful containment of radioactivity. Dr.
Harmes Alfven, the 1970 Nobel laureate for
physics, says: "In a full-scale fission pro-
gramme, the radioactive waste will soon
become so enormous that a total poisoning
of our planet is possible". That is in the
bulletin of the Atomic Scientist of Septem-
ber, 1971.
Soon afterwards, in the December, 1971,
issue of Nuclear News, the director of the
MARCH 28, 1974
503
AEC's Oak Ridge national laboratory, Dr.
Alvin Weinberg, said: "Technical deficiencies
in a plutonium economy, if unremediable,
could mean catastrophe for the hmnan race."
In Science, Feb. 25, 1972, the former direc-
tor of the AEC's Argonne National Labora-
tory, Dr. Albert Crewe, after discussion of
the medical foresight, the engineering skill
and the administrative controls required by
nuclear technology, summarized as follows:
"Should any of these three lines of defence
fail, then the entire population of the world
would be in serious danger".
Mr. Speaker, we spank little children for
plaving with matches. What should we do
to those human beings who are foisting upon
us the unthinkable hazards of nuclear power?
Let us return to the consideration of the
possibilities of a major accident at a nuclear
plant as described by Gordon Edwards, a
mathematician at the University of British
Columbia, to whom I am indebted for this
and some other sections of my remarks. He
says:
A single, relatively small, 100 megawatt
reactor, after one year of operation con-
tains more radioactive cesium, strontium
and iodine than all the nuclear weapon
tests ever conducted.
In his famous Brookhaven report of 1957,
he says:
The AEC indicated what the results of a
single major accident at a relatively small
-reactor 40 miles from a city might be:
3,000 to 4,000 deaths immediately from
radiation poisoning; 50,000 deaths later on
from radiation-induced injuries; up to 150
square miles of land contaminated— not to
mention contamination of water supplies
and evacuation of half a million people.
The Brookhaven report goes on to say that
the probability of such an accident occurring
is so low as to be almost inconceivable. This
is a most unscientific statement, as the prob-
ability of most accidents is so low as to be
almost zero.
Gordon Edwards asked:
How do you compute the probability of
an accident? Do you include or do you
exclude the possibility of sabotage? Do you
include the possibility of war? Do you
exclude the possibility of an undeclared
war? What would happen if an old-fash-
ioned conventional bomb were dropped
on a reactor? Do you include the possi-
bility of an airplane crashing into a re-
actor? Remember, Pickering is going to
be the site of a huge airport as well as
the site of the huge reactor. As recently as
November, 1972, we witnessed the spec-
tacle of a band of hijackers threatening to
crash a plane into a nuclear installation at
Oak Ridge.
As a matter of fact, Mr. Speaker, the nuclear
installation was evacuated but the hijackers
changed their minds for which we should all
be very thankful. But it could happen acci-
dentally, too.
All this does not begin to consider the
very real possibility of a large industrial acci-
dent occurring within the plant as a result
of mechanical and/or human failure. Acci-
dents have occurred at Chalk River, resulting
in the release of 10,000 curies of fission prod-
ucts; at the Enrico Fermi plant between
Toledo and Detroit leading to a partial melt-
down of the core and fears of explosion; and
at the Windscale plant in Great Britain
which spewed out vast quantities of radio-
active debris; and at others.
In 1970 there was a close call at the huge
Hanford reactor and a failure at the Oak
Ridge research reactor. The latter involved
an almost imbelievable combination of three
separate human errors, two installation er-
rors and three design errors. According to my
mathematics, Mr. Speaker, that is really eight
human errors.
There is another danger after the fuel has
served its purpose— the very serious problem
of waste disposal. Where tnis involves trans-
portation to a disposal site, we have the
eventual, inevitable railway or highway acci-
dent to face. Another problem is that plu-
tonium, the essential ingredient for making
atom bombs inexpensively, will almost cer-
tainly become a black market item. When
one thinks c>f the possibilities for terrorists
and demented persons, this one reason alone
should force the abandonment of the entire
nuclear programme involving plutonium 239.
On Oct. 10, 1972, Sen. Mike Gravel, who
is leading the call for a nuclear moratorium
in the United States, summed up the matter
briefly as follows:
I would point out that nuclear safety in-
volves far more than just the reactors.
Necessarily involved are the nuclear fuel
reprocessing plants; nuclear waste storage
and burial practices; radioactive transport
practices; anti-sabotage measures; plu-
tonium processing hazards; routine leak-
age of radioactive poisons all along the
line; plutonium diversion prospects; and
the preservation of national security.
When the radioactive fission products
and plutonium are shipped out of the
504
ONTARIO LEGISLATURE
power plants where they are produced,
nuclear safety problems spread far and
wide. Man cannot get rid of long-lived
radioactivity once he has created it. He
can move it around but it will always be
somewhere. Some of it will have to be
kept out of the environment for more than
100,000 years.
Because humans are fallible, careless and
sometimes demented [and he might have
added, Mr. Speaker, venal, malicious and
stupid! it is unreasonable to assume that
we shall achieve a miraculous 99.99 per
cent success in the radioactive containment
operation, year in and year out. Further-
more it is reckless to count on some spe-
cial immunity for nuclear facilities when
it comes to earthquakes, sabotage or war.
Because the literature handed out by the
Canadian Nuclear Association and the public
relations division of Ontario Hydro is pre-
pared by persons skilled in public relations—
which often means in deceiving people or in
brainwashing the public— it is not surprising
that the publication handed out in Pickering
entided "Nuclear Power and Our Environ-
ment in Canada" should give scarcely a hint
of the immense dangers involved. Consider
page 12 where we find:
One Canadian scientist's reply to the
question, "Is it safe to develop nuclear
power?" was, "Safer than not developing
it." He meant that if we do not use nuclear
energy we will have to use other means
to provide power and thus compound our
pollution problem.
Perhaps the PR men are not really dishonest;
perhaps, in fact probably, they are just ig-
norant of the several other pollution-free
methods of harnessing energy without deplet-
ing our unrenewable, polltiting, fossil fuel
resources. Because of their ignoring the al-
ternative forms of energy, they are preparing
the public to support politically the danger-
ous and irrational pohcies of the relatively
few people who have now become the nu-
clear establishment. The PR men's job is to
build prestige for the nuclear establishment.
Report No. 3 of Task Force Hydro goes
about this task with great vigour, especially
in the name-dropping passages from pages
17 to 28. First of all it blithely assumes that
nuclear power is the only alternative to fos-
sil fuel, and having killed oflF all the good
guys— that is by eliminating from its terms
of reference the genuinely clean and per-
petually renewable forms of energy power,
namely, solar, wind, wood, geothermal sea-
thermal, tidal and organic methane— it berates
the present obvious air polluting disadvan-
tages of fossil fuel power plants and touts,
all-out, the nuclear power plant. In other
words, it carries out a mock battle with the
other bad guys— the fossil fuels— and ignoies
the existence of the really good guys whom
I have listed.
In its enthusiasm, report No. 3 fails to
mention the huge quantities of energy needed
to support the whole nuclear reactor scheme
itself, the energy needed to mine uranium,
the energy needed to refine uranium, the
energy needed to produce heavy water, the
energy required in reprocessing spent fuel,
the energy required to built the nuclear
reactors and to operate the generators, the
energy required to transport spent fuel, and
the energy- required to entomb forever the
radioactive wastes.
A part of this speech, Mr. Speaker, was
prepared almost a year ago, while we were
awaiting the appointment of our Minister
of Energy. The following sentence should
perhaps be dropped from my remarks today
because I have since obtained part of the
answer. However, I'll quote it:
It would be interesting to find out whether all the
nuclear reactors in the United States and Canada have
yet produced as much energy as they have already
consumed to date.
As I pointed out in the first part of my
speech on Monday, March 25, it was not
until near the end of 1971 that the United
States plants finally produced as much elec-
trical energy as had been used in the
uranium-enrichment plants. Of course, if all
the other energy costs enumerated above
were taken into consideration, it would be
many more years before nuclear fission pays
off its energy debt to society.
Paragraph 2 of page 33 of the task force
report refers to the extra costs of reducing
air pollution from fossil fuel generators, im-
plying that economic advantages thus accrue
to nuclear plants. Yet paragraph 4 admits
to the extra costs that will be incurred in
attempting to improve protection from
radiation hazards in nuclear stations. So I
ask: Where is the saving?
Task Force Hydro does take a brief look
at the issue of radioactivity. Paragraph 5
reveals the absurdity of attempting to estab-
lish a so-called "safe level" of radiation. The
International Commission on Radiological
Protection has merely reached a consensus
on a limit it is willing to recommend. The
last sentence of the paragraph is an honest
assessment— as far as it goes. And I quote:
It should be noted, however, that since
there is in effect no safe [in italics]
threshold of radiation, there is an inherent
MARCH 28. 1974
505
difficulty in establishing protection stand-
ards.
That's what it says. To be completely honest,
the sentence should have added the words,
"and still remaining in the nuclear reactor
business."
So I shall repeat the basic sentence as
amended to give the completely honest
assessment. "Since there is in effect no safe
[italicsl threshold of radiation, there is an
inherent difficulty in es.tablishing protection
standards and still remaining in the nuclear
reactor business.'
The propaganda sheet continues, "Is it
safe?" and answers:
Nuclear power reactors have been in
operation in the United States and Britain
since the 1950s and in Canada since 1962.
There has not been one single, fatal acci-
dent in any of them.
Now actually, an Idaho reactor exploded in
1961, killing three workers and discharging
radioactivity into the atmosphere. For-
tunately for others, the reactor was in an
unpopulated part of the state.
On Dec. 13, 1950, the Chalk River plant
had an accident with an explosion, killing
one and injuring five others. Only a small
amount of material was involved in the ex-
plosion. According to reports, and I quote:
"Only through good luck, 45,000 lb of the
same material in an adjacent room did not
detonate."
On Dec. 12, 1952, the NRX reactor at
Chalk River suffered a "power surge" acci-
dent. Very high radiation was involved for
workers— between 20 and 100 roentgens an
bour. An engineering magazine said at the
time:
If 100 people were to receive a total
body radiation of 400 roentgens, at least
50 would definitely have received a lethal
dose. For this reason the normal health
tolerance is limited to 300 milliroentgens
per week per employee. However, had we
attempted to apply this standard when
working on this accident, we would have
\ery quickly run out of manpower.
One wonders about the health status of
these workers now, 21 years later.
On May 23, 1958, an NRU reactor at
Chalk River suffered what was called a
"pow er burst" as a result of a fuel rod
failure. Very wide contamination occurred
inside the plant. It took 600 men, including
men from the armed forces, over two months
to clean it up. Mr. G. C. Laurence, fornier
member of the Atomic Energy Control Board,
said it was very fortunate that no one was
hurt or suffered an overdose of radiation in
that accident. I quote:
The material damage, however, was an
impressive reminder of the latent energy
and of the radioactive substances that
icoul'd be released! by accident. I was chair-
man of a small committee that inquired
into the causes of that accident and it made
me very dissatisfied! with the reactor safety
philosophy that prevailed tliem.
On May 3, 1973, the Wall Street Journal re-
ferred to a recent accident at the Virginia
Electric Power Co. atomic plant in which two
men were killed. This "recent" accident may
be the same one that took place at the Surrey
Plant in Virginia ini July, 1972. On that occa-
sion, two workmen were inspecting sets of
malfunctioning valves when yet another valVe
exploded and killed them.
So the statement, Mr. Speaker, that there
has not been a single fatal accident at nuclear
power reactors in the United States, Britain
or Canada is simply not true. This propa-
ganda, which I picked up at Information
Canada last week, should be withdrawn. It
deceives the public, as of course it is intended
to do. As long as the public thinks that
nuclear power is safe and cltean, the public
will accept it. When the pubhc realizes that
it has been deceived, that may be another
story. This government must come clean with
the public.
In 1970 Consolidated Edison of New York
had a pipe burst in its atomic plant. It took
700 men seven months to repair the pipe. In
order to avoid exceeding radiation! exposure
limits. Consolidated Edison called in every
one of the 700 welders in its whole system,
its whole empire. A comparable repair in a
conventional plant would have taken only
two weeks and only 25 men.
The president of Consolidated Edison spoke
quite candidly to the Atomic Industrial Forum
conference on Nov. 19, 1972. He said:
"Nuclear power has not fulfilledi its golden
promise." After referring to the exceptional
number of delays, defects and breakdowns,
he said: "Repairs have required inordinate
amounts of time, manpower and money." And
he noted that radiation hazards slow the
work.
After this conference there were five can-
cellations of orders for nuclear plants,
followed by at least two more important re-
versals, while Pacffic Gas and Electric Co.
seems to have renounced any future nuclear
power involvement.
The section on costs in the task force re-
port, pages 39 to 42, contains all the units' of
506
ONTARIO LEGISLATURE
normal accounting practice in dbll'ars and
cents and' quotes projections for future per-
formance. But there is not a word assessing
the real costs of nuclear fission, which I shall
try to summarize briefly:
1. Costs to uranium miners in the threefold
increase in incidence of lung cancer.
2. Costs to human health because of the
escape of radioactive effluent from uranium
tailings into the food chain through air or
water.
3. Costs in suffering and lives in the event
of a major in-plant accident.
4. Costs in sufi^ering and lives resulting
from sabotage of a nuclear plant.
5. Costs in suffering and lives in the event
of acts of war or dementia or even acts of
God.
6. Costs of dismantling or perpetually en-
tombing and guarding the 30- or 40-year-old,
worn-out and abandoned plants.
The list could be continued. For example,
we could add the cost of providing poison
gas shelters^ near heavy water plants in case
of leakage of deadly hydrogen sulphide, as
has been done near the Bruce plant at Inver-
huron, near Kincardine.
iTask Force Hydro's report number 3 is, of
course, entitled "Nuclear Power in Ontario."
It is a propaganda report of the most blatant
type. If it were scientific it would at least
acknowledge the existence of the other
superior sources of energy— superior simply
because they are non-polluting, non-hazardous
and perpetually renewable.
Is it not incredible that anyone is willing
to run all the risks and, in the words of
worried atomic scientists, "to jeopardize the
human race just to boil water"? TTiere are so
many good, clean, safe ways of boiling water
to produce electricity.
What possesses men to devise such a
stupidly clever, polluting, dangerous method
called nuclear fission? There must be some
reason, but the only one of which I have
heard is the oft-repeated explanation that it
results from the feeling of guilt on the part
of the scientific community and/or those
scientists who first split the atom.
Its first use was for war, destroying as it
did tiiousands of Japanese civilians. To ap-
pease their consciences, the scientists worked
out the theory that splitting the atom, despite
its initial misuse, would turn out to be of
immeasurable benefit to mankind. In view of
man's well known propensity for justifying
his own behaviour, this theory makes con-
siderable sense. It is thought also that man
has, in addition to his ability to rationalize,
another characteristic, the abiUty to learn
from his mistakes, to admit them, to change
his mind and to change his course of action.
Task Force Hydro has issued three reports,
all reflecting the sell, sell, sell philosophy of
Canadian Tire Corp. I can find no suggestion
in any of them that Ontario Hydro should
change its policy of selling electricity in
favour of a policy designed to save and con-
serve it. It was more with amusement than
with surprise that I reached the last two
pages of report No. 3 and noted that the
chairman of the steering committee of Task
Force Hydro was none other than the presi-
dent of Canadian Tire Corp. Ltd. whose
philosophy is sell, sell, sell.
It's high time that Ontario Hydro got itself
some new guidelines, abandoned its blind
commitment to nuclear power, cancelled its
membership in the nuclear club and returned
to the straightforward course of putting the
public good first.
Ontario Hydro began with water power, a
non-hazardous, non-polluting, perpetually re-
newable sotnce of energy. Eventually it ran
out of convenient hydro sites and turned to
the polluting, unrenewable, but only slighdy
hazardous, fossil fuel. With the advantage of
hindsight to guide us, we can see that it was
at this point, when water power seemed to
require supplementing, that we should have
developed such alternatives as solar power,
and especially wind power. Unfortunately, we
took the easiest path and used coal, thereby
adding to the pollution of the air of many
cities.
We have again reached the stage at which
we feel it necessary to find alternative sources
of energy. Again we have looked in the
wrong direction, turning to nuclear power
with all its difficulties and dangers and the
unforgivable risks that are being incurred.
The question we must ask ourselves is
whether the nuclear establishment is setting
policy for this Legislatine or whether the
Legislature is still strong enough to reverse
the pohcy that is being relendessly promoted
by the nuclear interests.
Just because we can build huge supersonic
transports does not mean that we should, and
just because we can travel to the moon does
not mean that we should. Just because we
can build nuclear power plants does not mean
that we should. The question of using nuclear
power is, of course, partly a technical one
but it is primarily a moral one. Are we justi-
fied in committing our descendants to almost
unthiiJcable risks when better, safer wavs of
MARCH 28, 1974
507
providing energy are available? It is as simple
as that.
Although President Richard Nixon is a
great advocate of nuclear power despite his
admitted ignorance of the subject, his former
science adviser, Dr. S. David Freeman, now
head of the Ford Foundation's energy project,
was reported in Nucleonics Week as telling a
meeting in Washington:
Plants aren't all that safe and what wor-
ries me especially is that any corporation
can own and operate a reactor. I don't
think there is that much specific compe-
tence, technical competence. Someone will
make the wrong weld and those plants need
near-perfect engineering. We have not had
mudh operating experience and inadequate
allowance for human weakness is being
made.
He recommended an independent nuclear
safety board to study and oversee the whole
situation:
If consumers don't get involved in the
fight for a sane and fair energy policy, they
will end up victims of undesirable power
technologies, high bills and a seriously pol-
luted environment.
Incidentally, Freeman advocates a $1.5 biUion
to $2 billion research and development pro-
gramme so that by 1985 the United States
would be developing and operating at least
seven new, really clean energy sources.
The Atomic Energy Commission oflBciais
are becoming upset by public resistance to
the proliferation of nuclear power plants, and
at a December, 1972, hearing the counsel for
the AEC became quite impatient and said
if public health and safety requirements were
to be met, there would be no power. That is,
for the plant to operate at a level insuring
public health and safety, it couldn't operate
economically. Obviously, economies real or
imagined are given authority over safety of
the environment and man.
Dr. Edward Teller, usualy known as the
father of the atomic bomb and never known
as a timid soul, has stated that nuclear plants
should never be built above ground. To this
the nuclear establislmient replies: **If large
nuclear plants had to be built underground,
the price would be so prohibitive the utilities
wouldn't buy them." And those are the words
of Mr. Reg Hayden, spokesman for Atomic
Energy of Canada Ltd.
Dr. Teller was also quoted in Nuclear
Industry in a 1969 article entitled: "Fast
Reactors: When Will We Have Them?
Maybe Never." He said: "I do not l^e the
hazard involved." His special worry is that
no one can tell where "a portion of the
plutonium will find itself."
Whose opinion should weigh more with
us— Edward Teller's or that of our Minister of
Energy?
Remember, Mr. Speaker, it takes only 11
pounds of plutonium to make a Nagasaki-like
atom bomb. About one ton of plutonium 239
is contained in a breeder reactor core. If
released and distributed evenly around the
earth, there would be no human survivors.
Yet the proponents "feel sure," or "are
confident," or "think" that the problems of
containment and disposal will be solved at
some time in the future. With so many safe,
clean and inexhaustible alternatives, the only
conclusion one can reach is that some men
like to do things the hard way, the danger-
ous way. If the hazards were to them alone,
we might say "go ahead." But when all man-
kind has to share the hazard, we must say
"stop" with several exclamation marks.
George Weil, a nuclear consultant and
former Atomic Energy Commission chief of
the reactor branch, and United States tech-
nical director of the First International Con-
ference on Peacetime Nuclear Energy, offers
a warning in his 1972 article: "Nuclear En-
ergy—Promises, Promises." He says as fol-
lows: "Breeders wall present far greater radio-
active risks than we now face. With groviirh
of nuclear fission we are committing ourselves
to nightmarish possibilities."
Nobel prize winner Hannes Alfven, whom
I mentioned before, states that "any pro-
gramme to develop fast breeders should be
revised." That's in the Bulletin of Atomic
Scientists, May, 1972.
John Gofman, the distinguished nuclear
researcher and professor of medical physics,
calls the AEC's plans for a plutonium econ-
omy "insanity" and "the ultimate hazard".
These are harsh words, Mr. Speaker.
"Nightmarish"; "insanity;" the "ultimate haz-
ard. But they are the words of men who
have deep insight and have had long experi-
ence in this field. Is it not folly for politi-
cians such as ourselves to ignore their words
and meekly swallow the assurances of the
nuclear establishment? Especially when there
is absolutely no necessity to run any further
risks.
The various forms of solar ener^ can
supply so much energy that we could have
far more on tap than we would ever need,
and be able to save our fossil fuels, espe-
cially oil, for all the special uses that have
508
ONTARIO LEGISLATURE
been invented by the petrochemical indus-
try, which of course will have to disappear
when the oil resources of the earth are used
up.
The choice is clear. Go nuclear at our
peril. Go solar with guaranteed safety, guar-
anteed cleanliness and guaranteed eternal
supplies. Buckminster Fuller has said that
wind energy is the most promising form of
solar energy by 99-to-l, so when I refer to
solar energy, I have in mind chiefly wind
power.
Why are our governments ignoring solar
energy? Chiefly because of lack of knowl-
edge. Scarcely anyone is yet aware that solar
energy could completely solve our energy
problems. Very few people yet realize that
some day, not too far off, solar energy must
be man's sole source of energy. In the late
Fifties there was a world-wide attempt to
revive interest in solar heating, solar distilla-
tion and wind-generated power. But the rosy
pictures then painted of cheap nuclear power
left only a small group of hard-core devotees
working in the solar energy field.
Technology and industry plunged into the
nuclear field. As a society, we forgot about
research and development, both for solar en-
ergy and for a cleaner method of using coal.
Nuclear power was in. All other forms of
energy were out. A quarter of a century of
research and development in solar energy
processes was literally lost for lack of scien-
tific interest and financial support.
Prof. William E. Heronemus, professor of
civil engineering at the University of Massa-
chusetts, recently described three solar-driven
processes that can be implemented quickly if
the public demands them. The fuel establish-
ment, of course, is not likely to show any
favourable interest. Only a government, prod-
ded by public opinion, is likely to do that.
First, the photo-thermal method: Briefly,
as I, a layman, understand it, heat from the
direct rays of the sun is collected in so-called
flat plate collectors using air or water as the
working fluid. The warmed working fluid is
then used to heat buildings and water for
domestic purposes. In areas and seasons re-
quiring cooling rather than heating, the
warmed working fluid is used to drive absorp-
tion-type refrigeration machines.
This low photo-thermal process could be
added on to an existing fossil-fuel heating
plant. If required to do no more than 75 per
cent of the heating task over the course of
a year, it would be competitive economically
as well as ecologically superior. This type of
a building heating system on a rather large
scale has been proposed for the new Massa-
chusetts Audubon Society office in Lincoln,
Mass., where it will be watched with con-
siderable interest.
The second method, the ocean thermal dif-
ferences process: This is of no immediate
interest to us in Ontario. I shall not describe
it.
Third, the wind-power process: Since the
beginning of recorded history man has ex-
ploited wind power, not only for travelling
by sailboats, but also for other jobs the
energy from windmills can perform. The ef-
ficiency of wind txurbines has increased from
as littie as five per cent to 10 per cent for
the Dutch type of windmill to as high as 55
per cent for some modem high-speed pro-
peller-type machines.
In the last three years an entirely new
look has been taken at wind power. Wind
power is now considered within a total, self-
contained system able to deliver electricity
upon demand by virtue of including a stor-
age sub-system. Several very large wind-
power electricity systems of this kind have
been devised and costed.
The most ambitious of these proposals is
the offshore wind power system which could
take over the entire job of providing elec-
tricity for the six New England states. Each
element of the system was carried through
preliminary calculations and is based on
technology demonstrated at that size some-
where in the past. The storage sub-system is
based on the generation of hydrogen by
electrolysis and on the storage of that gas in
pressure-balanced tank farms beneath the
sea.
As first presented, the offshore wind power
system was a 100 per cent hydrogen gas
system to be distributed throughout New
England in pipelines. This gas would then
be converted at a fuel cell substation in
which hydrogen and air are used at the local
distribution level to generate electricity. By
a later concept, however, capable of deliver-
ing 300 billion kilowatt hours per year, the
method would be electricity in cables rather
than energy in pipeline gas.
Prof. Heronemus has conceptualized wind
power systems for the Lake Ontario region
off the shore of Oswego, NY, for New York
shoals, for the state of Wisconsin, for the
state of Vermont, and for the prairie states.
These studies have all shown that competitive
electricity on demand in vast amounts could
be generated by wind power in regions where
winds are moderate to strong.
Heronemus says, however, that because
winds are much stronger several hundred feet
above the surface than they are within 100
MARCH 28, 1974
509
feet of the ground, we must be prepared to
put our wind generators where the wind is
best. If we don't Hke the sight of them, then
we can put them on floats out of sight on
the Great Lakes. This would be a much bet-
ter solution for Goderich than the building
of another dangerous "nuke".
Heronemus estimates that the United States
can harvest at least two trillion kilowatt hours
of electricity a year. Wind generator systems
could be in action within four years. If On-
tario is in a hurry to produce more power
to export to the United States, wind turbines
could be the quickest and best answer.
Heronemus recognizes that nuclear fusion
may eventually be perfected and that it could
replace other heat-generating processes. But
he realizes also that there is a limit to the
amount of global heating and weather modi-
fication the earth or man or the environment
can tolerate. He says that that limit may be
not much higher than that which we have
already reached. He warns:
The often enunciated concept that nu-
clear fusion will bring unlimited energy to
man is a very dangerous and irresponsible
concept. Perhaps the major tragedy we
could sustain from this current energy crisis
would be the long-term disadvantages that
would accrue to accelerated non-regulated
proliferation of fission power plants. The
real questions here are far more deeply
seated than those of present comfort, profit
and loss, or material well-being. They are
questions of radical degradation of national
security. [That is another way of saying
sabotage and hijacking.] They are questions
of basic morality. For example, what is this
generation's obligation to all future gen-
erations?
Professor Heronemus, probably the best-
known authority on the conversion of wind
energy, will be speaking in May, a few weeks
from now, at the University of Sherbrooke
in Quebec at a seminar on the subject. At
both McGill University and the University of
Sherbrooke there are groups of professors
keenly interested in wind power conversion.
In a personal communication of Feb. 11,
Prof. Heronemus refers to Canadian data pre-
pared by T. C. Richards and D. W. Phillips
of the Department of Transport, meterologi-
cal branch, Toronto, and says:
Based on these data and our local
method of assessing the utility of a wind
field we have concluded that the winds in
the Canadian portion of Lake Huron and
farther to the east over Georgian Bay
would be an excellent field in which to
place shallow draught, floating wind plants.
That same strong westerly persists and
indeed intensifies as one moves eastward
over Quebec and Labrador. Wind power
over Labrador may be one of your richest
natural resources. [That's speaking to me
as a Canadian.] There is also an excellent
wind field off-shore of the whole of Nova
Scotia, of far greater long-term significance
than even the richest of gas and oil de-
posits in that shelf. [He concluded his
letter with these remarks—] Canada is
blessed with one of the most productive
wind power resources in the world. You
would be well advised to develop its use
and save your petroleum for nothing other
than a sustained, intelligently-operated,
long-lived, petro-chemical industry.
If you were to move that way, maybe
some of the less imaginative members of
the United States establishment might start
moving, too.
In closing, Mr. Speaker, I wish to state
that, in view of the Minister of Energy's oft-
repeated appeal for citizen input and ideas as
well as his advertised need for greater depth
and greater breadth of knowledge in areas
such as wind power, he should attend this
seminar personally, and take with him or
send observers who have some expertise in
this field.
Here is an opportunity for Ontario to show
leadership in this most socially acceptable
of all energy fields. Let us seize this oppor-
tunity for the benefit not only of Ontario
and Canada but of the rest of the world.
Mr. Speaker: The hon. member for York
Centre.
Mr. D. M. Deacon (York Centre): Mr.
Speaker, I am pleased to have the opportun-
ity to rise in this Throne Speech debate and,
of course, very honoured by the fact that
you are in the chair at this point. Together
with everyone else, I v^^as very shaken by
that experience last December. There are
few people around this city or in this prov-
ince who have earned more respect from the
members of the Legislature and others than
you, and we are delighted to have you in
your position.
I was quite shaken when I read this Throne
Speech to see that the government states that
although it will employ all practical means
at its disposal to alleviate the causes and
effects of inflation, "nevertheless it bears
repeating that the problem can only be dealt
with in a national context with all govern-
ments co-operating."
510
ONTARIO LEGISLATURE
Surely there is nothing that has been more
inflationary, nothing that has added more to
the fires of inflation than the housing costs.
Surely anyone will agree that the housing
costs in Toronto— the heart, the capital of the
Province of Ontario— have been rising faster
than anywhere else in Canada. What has
been happening in Toronto, unfortunately,
has also been happening even close to Coch-
rane North, Geraldton, and other towns all
over; even in Smooth Rock Falls. I hear
about these costs. We have a shortage of
building sites which makes it impossible for
the ordinary individual to buy a home even
in those parts of Ontario where no one can
say we have a shortage of land. As a matter
of fact, of course, no one can really say we
have a shortage of land even in this area.
Land is the major culprit in the housing-
cost rise. I feel there have been 20 years of
uninterrupted opportunities for profiteering by
speculators which we provided by having the
shortage of building sites year after year.
Therefore, there was an opportunity for
those selling in a sellers' market to keep on
demanding higher prices. That has backed up
to afrricTiltural land and, as the member for
Wellington-DufFerin (Mr. Root) said, is caus-
ing our agricultural land to disappear at an
alarming rate.
It's not iust the problem of the cost of
nroducins: food today on the farms, and all
the expenses related to it, but it's the fact
there is such a temptation to say: "To
heck with it all. I'd rather get out and
enjoy the revenues from clipping the bonds
nther thin cret in there and work day after
day to produce food. When the land prices
around me are escalating, why should I
carry on slugging it out day after day?"
The government has tried to solve the
nroblem by Malvern— first of all, Malvern.
Whit success did that have? In the 20
years it took to get Malvern from the original
nurchase of land in that area to where the
first houses were built, land prices in this
^'•ea have risen at a rate at which they
have never risen before. We have not
solved a bit of it. And yet we have gone
ahead with land-banking — the purchase of
thousands of acres of land by this government
—in the Cambridge area, in Pickering, in
the Whitby area; all over they are buying
vast acreages. Those who are selling, of
course, say: "By gosh, we can make money
on land. The best thing we can do is buy
some other land." And so all we are doing
is fuelling the fires of inflation instead of
dealing with the problem. The problem is
the shortage of building sites.
I was interested in the fact that in many
counties around the province they have said:
"Let us have the right to develop some of
our building sites. It would not cause any
pollution; it would not cause any strip
development; it would not be using any
good agricultural land." In Northumberland
county, for example, the planning board
there said, "We could give you 2,000 lots
and put them on the market tomorrow and
not cause any of these undesirable planning
results."
But, no, because of the policies here at
Queen's Park of restricting development to
traditional -type subdivisions, such as the one
between Cobourg and Port Hope which is
using up hundreds of acres of good agricul-
tural land— because we are restricted to that
type of development, we are just continuing
to feed the fires of inflation as we are con-
tinuing to destroy hundreds of acres of our
best agricultural land a day.
There are answers to this and the answers
primarily involve servicing the land, I was
interested to see that in this Throne Speech
there is a mention of the fact that the
government is going to increase its activities
in servicing of land. But then when I read
that it's moving from around $81 ;million
of capital expenditures to $115 of capital
expenditures, I say they've got to be
kidding. Those people running this govern-
ment have got to be kidding to think that
a $30 million increase will solve the problem.
What is needed is a major programme, a
$350 million to $450 million programme for
the next year, or two, or three, or whatever
is required to beat the shortage, to eliminate
the cause of the inflationary fires, to en-
sure there is an over-supply of buflding
sites available. This is not money that is
wasted, because this is an investment in very
valuable, revenue-producing construction—
revenue-producing because it is possible for
the province to sell the services to the mu-
nicipalities where the development is going
to occur.
It's important that we recognize that the
way it has got to be done is that it has to
be completely different from the traditional
system of financing, where each municipality
enters into a contract so that the mimici-
pality pays back the cost of the construction
over a certain period of time. Imagine how
much development of power we would have
seen in Ontario had we had to have each
municipality go to the Ontario Hydro and
say, 'We would like to have you develop
and provide power to us," and if Ontario
Hydro had made them sign a contract on
MARCH 28, 1974
511
a take-or-pay basis over a 30- or 40- or
whatever-the-number-of-years basis to fully
repay the cost of that development. It just
never would have happened.
The reason it wouldn't have happened is
because the municipalities could not have
stood that debt burden. And the reason the
municipalities today are not entering into
large contracts to provide the service in the
region of York, the region of Durham, and
all these other regions, the reason we are
not moving ahead is because they can't get
these projects worked out with the govern-
ment. They can't afford them.
But the government of Ontario, were it to
undertake a province-wide programme where
the cost to each of these municipalities that
require services was similar to the cost that
Metro Toronto charges its' boroughs; no
different— were it to use that standard of rate
across the province, we would then not be
making a differentiation in cost between easy
areas to construct services, such as the
southern area where the soil is deep and easy
to dig, and the north.
We wouldn't be differentiating between,
say, London and St. Thomas. London' is buy-
ing its water at 18 cents a thousand; and of
course St. Thomas got a little better deal after
a lot of haggling, but they were asked to pay
54 cents when their project was put in.
This silly, ridiculous policy of having each
project stand on its own feet just won't work.
The other thing that is so silly and so wrong
is expecting municipalities to enter into a
contract that burdens the municipality and re-
stricts its ability to do other projects, because
it's a burden on its borrowing capacity, when
that contract does absolutely nothing for the
province in enabling it to borrow money from
the market at better prices.
The province is borrowing the money on its
own credit, and Ontario Hydro uses the prov-
ince's credit; it has nothing to do with the
actual revenues that made Hydro— certainly
on the original basis— the attractive borrow-
ing instrument that it developed' into. It cer-
tainly is possible for the Ontario government
to set up a utihty concept for water and
sewers along the same hne, which would then
enable the municipalities to really have avail-
able to them, without burdening them, the
verv' essential services of water and sewers.
As for the actual annual subsidy that the
taxpayers might have to carry to subsidize
these rates I talk about— the uniform rates
across Ontario— calculations we've done, on
the basis of estimates of what the market de-
mand might be for 120,000 lots a year, show
that this might be as high as $30 million a
year in the provincial budget o£ $7 billion.
But to be sure that this province-wide utility
builds up, that subsidy of $30 million a year
could save $500 million a year to the home
buyer and the tenant. And that is where we,
as a government, can really help the economy.
We can decrease the inflationary pressures
that have caused housing to go out of sight.
We can enable municipalities in areas where
the land and the soils aren't as attractive for
buildings as they are in southern Ontario, to
get the services they need. And we can do it
without putting those municipalities in a debt
position that is absolutely without any reason,
uimecessary and does no good for them— and
certainly does no good for the province.
I remember well when, as the chairman of
the committee of the Markham council I
negotiated contract No. 1 with the Ontario
Water Resources Commission, what a dis-
appointment it was at that time to Dr. Berry,
the first chairman, when he realized that he
had to have each of these contracts on a self-
supporting, self-liquidating basis, instead of
the concept that was originally discussed in
1954 of forming the "Ontario Hydro" of water
and sewers.
If the province really is interested in solv-
ing the servicing problem of the regions—
they were supposed' to do it themselves, but
they can't— and other municipalities, it should
immediately adopt that programme and not
with a little increase of $30 million, as it is
proposing in this budget, but maybe $300
million or, $350 million— that's much more
like it.
There is another way that the province can
help cope with people's problems, such as
those described by the member for Welling-
ton-Duflferin, with regard to servicing in rural
areas. That is, in many of these areas a major
problem has been how to service a few houses
in a cllister in an area where perhaps the land
is not good for agricultural purposes. It's idteal
for some houses but how do we provide the
services but not have pollution?
The province decided some years ago that
upstream sewage plants weren't good, even
though modem technology has proven that
they actually are excellent and, by making
use of sprinkling systems there is the poten-
tial to recover the phosphates and nitrates
and to actually eliminate the need to buy
fertilizers.
We can actually recycle the fertilzers that
are in the sewage affluent and greatly increase
the productivity of our agricultural lands for
com, wheat, and grasses. GoH courses, of
which we have 90 around the Toronto area,
could be irrigated by this means, but instead
512
ONTARIO LEGISLATURE
of doing anything in these modem ways, the
government of Ontario through its controlling
authorities has been discouraging or has been
giving no leadership in these matters.
I was shaken to find that, although three
years ago there was supposed to be a new
experiment in this sprinkling and irrigation in
the AlBston area, nothing has happened,
nothing has gone forward. I suppose they'll
blame the municipality but the municipality
probably got a little frustrated.
There is a new development in the
London area, I was pleased to hear, with
regard to septic tanks. In some areas septic
tanks just don't work. The reason they don't
work is because tile beds and certain types
of soils just aren't satisfactory. But if one
adopts this system that is being proposed—
and I think it has finaly got approval in the
London area— of taking the effluent of septic
tanks and treating it, you can then remove it
not through big sewers but through pipes that
are easy and inexpensive to install. You can
treat it in a very, very small building, prac-
tically a hut, so 50 or 60 houses can be
handled in a very, very small type of instal-
lation and very inexpensively.
It would make it possible for us to permit
the development of clusters of houses in very,
very attractive, very desirable rural settings,
giving people the maximmn flexibility instead
of forcing tfiem to buy in high-cost traditional-
type subdivisions close to the urban areas.
They are right against each other, covering
over tlie finest agricultural lands of the prov-
ince with these developments— easily serviced
but very costly for future purposes. The
provincial government should take an aggres-
sive and leading role to solve a problem
which is of such a serious nature from one
end of Ontario to the other, and not leave it
up to the municipalities and developers to
find some maimer of getting their lands into
production.
There is a major element of interruption
in housing development that has been raised
on many occasions by housing ministers. The
previous minister at one time made a strong
statement saying that we are going to have
to do something to force municipalities to
accept low-cost housing. Now, if the Attorney
General had at that time had much experi-
ence in local councils he would realize that
the problem is not that they don't want low-
cost housing in their municipalities, but they
don't want the problem of the increased
burden of taxes on other residents that low-
cost housing brings with it. That is because
of the dependence of municipalities on prop-
erty taxes to pay for people services.
The one way that this can be overcome is
by the province providing municipal financial
assistance to eliminate the financial drain
imposed on existing taxpayers by low assess-
ment housing. Such a programme must assure
municipalities that new, small houses will
yield as mudh total revenue on a per capita
basis as the established areas of the munici-
palities. The programme would be of a
temporary nature because experience shows
that within 10 years of the establishment of
low-cost housing, industrial and commercial
construction can be developed wliich will
bring previous assesment ratios back into
balance. In other words, the per capita
income in the established areas will be the
same as, or even less than, in the new areas
where low cost assessment, low cost housing
is allowed to come in.
It's a real plus for a municipality and there
would be no resistance if the province pro-
vided a 10-year programme on every low
cost house which would ensure that the total
revenue on that house was up to the per
capita revenue of other residences in the area.
Another point is the government should
introduce changes to the Assessment Act to
provide for market value assessment on all
land on which development is permitted.
Many people have had the feeling that spec-
ulators hold back land and don't put it on
the market— won't put it on the market— and
they in themselves add to the inflationary
fires. This can easily be discouraged if the
Assessment Act is changed so that it's pos-
sible to assess land at ftill market value for
development purposes if approval can be ob-
tained for immediate development by the
municipalities.
Another point is we should reintroduce the
system of segregating land from structures
with regard to assessment. If we do so, we
can introduce a gradually decreasing percent-
age factor on structures so that there is a
reduction in the current penalty we now im-
pose on improvements to property. There are
many examples in the Toronto area when
buildings are torn down and parking lots
established in order to reduce taxes and they
can still get a very satisfactory revenue. This
is true in other areas when a man makes an
improvement to his home and finds his assess-
ment jumps. He says, "Why do I pay more
because I have improved my property and
taken care of it when my neighbour, who
has an identical structure, doesn't pay atten-
tion to it and lets it depreciate?"
If we had segregation in value for assess-
ment purposes in the assessment roles be-
tween the land and the buildings, we could
MARCH 28, 1974
513
•apply a factor of maybe 60 per cent or 50
per cent to the improvement to the structure,
and have the taxpayers paying full rates on
the land but half rates, in effect, on the
structures.
Another programme I believe the govern-
ment should introduce is to eliminate the
discrimination now imposed on owners in
greenbelt areas or in areas where a minis-
terial order has been imposed, as it has
along the parkway or in the airport noise
zones. There is a procedure which I think
shoidd be adopted, as is recommended by the
blueprint commission on the future of New
Jersey agriculture. This provides for the
segregation of development rights on all
lands, and owners are compensated at market
value for the development rights they are
deprived of. In this manner, the owner will
not be penalized because he happens to be
on the wrong side of the road. The pro-
gramme of compensation has been funded in
New Jersey by a percentage tax on real
estate transfers which means that those who
are getting the benefit of the higher market
values are, in effect, paying the cost of the
assistance or the compensation being paid
to those who are not in a position to benefit
from it.
Another thing the government should do
is introduce legislation requiring house war-
ranties of a year on all visible defects in
a house and five years on other defects. This
would eliminate a lot of the problems which
homeowners have which add to the in-
flationary fires.
Still another matter is a provincial build-
ing code, modifications to which can be in-
troduced by municipalities to meet special
needs, subject to provincial approval. The
government should continue its programme,
which hasn't seemed to have had much effect
so far, to streamline municipal and provincial
planning procedures in order to minimize
delay in development approvals. It is really
ridiculous for any group coming up with a
sound subdivision proposal or a development
proposal to have to wait five or six years; it
shouldn't be more than five or six months.
It can be corrected by giving assistance to
municipalities to enable them to do a better
job; perhaps by giving them $50 toward
their planning costs for every approved
building site, or some incentive which sees
that the work is done and done quickly.
The last point I want to suggest in this
matter of dousing the inflationary fires in
housing is that the government move very
quickly into the type of programme of
renovation of old house? adopted by the city
of Toronto in the Niagara St. community.
I thought that was one of the best examples
I've ever seen of what remarkable achieve-
ments can be experienced when a com-
munity itself is given the money to carry
out-in this case $300,000 to deal with 600
homes that were considered beyond repair.
At an expenditure of around $400 per
home, and by cleaning up the lanes and
fixing up the parks, that community looks
like a first-rate area. Painted up, fixed* up,
the community is itself very proud of its
achievements because it wasn't left to in-
dividuals.
It wasn't some grand scheme imposed
from on top where some individuals went
in to get a grant to improve their houses.
No, the community itself was given the
money. It decided how to allocate it. It
worked out a co-operation scheme for the
residents, and) as a result a remarkablfe
amount of work was done for very little
money. The community itself has strengthen-
ed in its own morale and heart, and for
people who don't have large incomes has
become a very attractive part of Toronto in
which to live.
Those, I hope, are some suggestions that
are alternatives to this crazy approach of
land-banking that this government has adopt-
ed over the last several years-investing the
moneys of this province in land and doing
nothing to douse the fires of inflation. Real
estate is not a beneficial type of investment.
The money is far better put into producing
housing or producing goods, but certainly
not into buying land in the hope that the
land prices will continue to rise. There's
been no reason to doubt prices wouldn't
rise because of the pohcies of this govern-
ment - or lack of realistic policies — for so
many years.
I've been wondering just why it is that
for year after year, despite the fact we've
been talking about this different approach,
why this government hasn't taken action. Is
it worried about the decline in values of the
land it already owns? Surely not. Surely the
government isn't worried about that. Or is it
worried about the land investments of the
government's friends and where they'll get
hurt?
Let's think of the benefit and the real
interests of the people of this province and
get to the root of the cause of the major
inflation in this province, and that is land
speculation. Let's douse those fires and let's
not fiddle around with these little program-
mes that are suggested in the Throne Speech,
because there's no real action indicated.
514
ONTARIO LEGISLATURE
A second subject I'd like to say something
about, Mr. Speaker, is the environment, and
particularly with regard to garbage. I've been
in on several of these environmental board
hearings— Port Hope, Maple, Pickering— and
I've listened to the arguments put forward by
citizens who say, "We really don't want
Toronto's garbage."
I recall, Mr. Speaker, it was three years
ago, I think, when some citizens in the
StoiifFville area became concerned about the
fact that some 50,000 gallons of liquid waste
a day were being dumped in an area that
was very close to the source of the village of
StoufFville's water supply. The provincial gov-
ernment waste disposal people said: "Well,
that won't cause any problem. You don't need
to worry about those liquid wastes because
it's sealed. The land is clay and it won't
allow anv of the liquids to penetrate to the
source of the water. You'll be fine." It's also
close to the sources of the water for the
Holland River.
Rut the fact that the liquid wastes kept on
disappearing, going somewhere, naturally
caused some concern to the citizens. Finally
the municipality took action and closed it
down, after the government failed to do
something.
I rem'^mber the ministrv of the dav said
to me. "It's going; to cause real problems.
Those liquid wastes might be dumped down
the sewers in Toronto and eo out into the
lake." Of course, it's a question of whether
the jTovernment is really worried about the
nollution threat, or worried about the num-
ber of people who are going to be hurt by
the pollution threat.
T^iit thev finallv acted because the munic-
ipality had the right to close down that opera-
tion, and when they acted they put up a plant
that looks after these liquid wastes. They put
UD a plant in Oakville and it is operating and
it has dealt with the problem. Why can't
the same approach be taken with regard to
the disposal of Toronto's garbage wastes?
There are plants all over Europe and all
over North America which are working to
recycle garbage. They're making use of it in
a way that the benefits of the garbajre are
not lost by being buried; they're being util-
ized. And the plants making use of it are
doina; it in such a way that they're not pol-
lutine the air and they're not causing noise.
Thev're doing it in a way that is very, very
satisfactory.
^Vhv are we trying to take trainloads of
garbage out to somebody else and dump i^
their
Why
goi
to pol-
lute the land for generations to come to have
to put up with? We can be developing prob-
lems and that they'll face that will be abso-
lutely unforgivable on their part because we
could have done things in a much l>etter
way.
I suggest that this government has to
stop considering landfill and must immedi-
ately get busy on programmes to deal with
garbage recycling. The technology is avail-
able. Stop toying with these little pro-
grammes which are going on in the To-
ronto area now. Get into it, because the
problem is right on our doorstep and has to
be dealt with.
The next item I want to cover, Mr. Speak-
er, is that of transportation. I was pleased
to see that there was at least a token start
on northern Ontario's highwax' needs— im-
provement of the highway between the Soo
and Sudbury. Rut that's only a minor start
on a major northern road problem.
It's interesting that for years some 75 per
cent of highway traffic between Winnipeg
and Toronto has been moving through the
States. Even though the route is longer, it
takes less time to cover the distance. When
one thinks of the economic benefits that come
from movement of traffic— the meals, the ac-
commodation, the servicing — one realizes
northern Ontario.
When you realize also that of the two
major problems that northern Ontario people
keep bringing to our attention are those of
transportation access and of services, at least
we could deal with the first by a major pro-
gramme for a new northern Ontario high-
way across the top of Lake Nipigon, through
the clay belt, bypassing Timmins and Kap-
uskasing — particularly Timmins and major
centres such as Timmins— to be sure that
that in itself would be a great benefit for
there's good access between east and west
with bypasses around these major centres.
Its construction, together with more north-
south links, would attract really effective,
important, year-round economic activity, as
well as providing the people who are al-
ready living there with good access that
they really need; good access for their goods
and services that they can export, as well as
good access for themselves to other parts of
the province.
I would also urge that the problem with
regard to transportation in the Toronto area
and other parts of Ontario would be greatly
alleviated were the province, along with the
western provinces, to press the federal gov-
ernment to take over the railway rights of
MARCH 28, 1974
515
way. For years we've been having problems
with the declining rail service in areas such
as Huron, the Bruce Peninsula and the To-
ronto area. Wherever you go around the
province, people are complaining about rail
service. In northern Ontario there are few-
er and fewer trains, and yet the need seems
to be increasing all the time.
The best way to be sure that there will
be competition in rail service as in road
service is to do with rail what we did with
roads, and that is to make the rails common
carriers. We make those rail rights of way
common carriers so that not just CP or CN
have the right to use what are now CP or
CN lines. We make it that the government
of Canada owns those lines; make it that the
government of Canada maintains and im-
proves those lines in the way that the Prov-
ince of Ontario has the responsibility for
maintaining and improving our highways.
Mr. W. Ferrier: (Cochrane South) Is the
member advocating the nationalization of the
CPR?
Mr. Deacon: There is a lot of difference
between nationalization of the CPR with
its trains and nationalization of the
CPR with its trains and nationalization of
the rail lines. I am talking about having the
rail lines handled in the same way as our
highways. They are available for the use of
the CN or they are available for the use
of Greyhound or they are available for the
use of the Ontario Northland Railway sys-
tem. The government of Canada maintains
the rights of way and charges for their use,
but operates them just as it does the airline
terminals.
Mr. J. E. Bullbrook (Samia): Isn't the mem-
ber sorry he asked that?
Mr. R. F. Nixon (Leader of the Opposi-
tion): Give him a handcart.
Mr. Deacon: You can nationalize the CPR
and all you have done is given us another
situation where we have a monopoly, this
time a government monopoly, supposedly
providing service. We wouldn't be any better
off in having Air Canada as our only airline
carrier in Canada. I don't think that is de-
sirable. I would rather have a choice.
Mr. J. A. Renwick (Riverdale): I think we
will nationalize their rolling stock and give
them their track.
Mr. Deacon: I like to see free enterprise
operate, but free enterprise doesn't operate in
the railways today. They have a monopoly on
the lines that they now have and they don't
allow those lines to be useed by others
who might want to provide service over
these invaluable rights of way. It is time that
we got that straightened away.
Mr. Bullbrook: Continue to provoke him.
(Mr. P. D. Lawlor (Lakeshore): He is mov-
ing ahead.
Mr. Speaker: Order, please. The hon. mem-
ber for York Centre has the floor.
Mr. Renwick: How would it be if we
nationalized the airways too?
Mr. Lawlor: Stick aroimd here for an-
other four, five or maybe 15 years and we
will all be together.
Mr. Renwick: That's right, still fighting
the Tories.
Mr. Deacon: Mr. Speaker, the fourth point
I want to bring up is the question that I
am sorry the government hasn't shown in
the Throne Speech some realistic approach
to deal with increasing confrontation between
labour and management. The York county
teacher dispute presented a need for a change
in our whofe basis of labour negotiations and
legislation. I think it is important we start
to move toward the direction of final offer
selection. Even though that was a principle
that was suggested' by an NDPer, I think we
have got to give Val Scott credit for the
fact that in this country he was the one
who started to talk about final offer selec-
tion, though it was already proven just south
of the border and other places to be one of
the finest approaches one can bring to labour-
management negotiations-
Mr. Lawlor: Just because he's a colleague
of ours I'm not going to say anything against
him.
Mr. Deacon: —an emphasis on reason, and
an emphasis on justifying positions instead of
presenting extreme positions in the hope that
some mediator will draw a middle line be-
tween two impossible extreme claims.
Mr. Renwick: That's what mediation is.
Mr. Deacon: I don't call that mediation.
That is just confrontation. I do hope that
the government will soon move to improve
the whole basis of negotiations and eliminate
many of the aggravations that are caused by
delays in negotiations, and this can be done
by good labour legislation.
The last point I want to cover, Mr.
Speaker, is that of ways to increase occu-
516
ONTARIO LEGISLATURE
pational opportunities and improve the whole
system of social assistance that we have in
this province. As long as our basic govern-
ment policy is one of work or welfare, we
will never cope with nor will we ever solve
the major social problems of this province.
We shall continue to frustrate those who
would like to work, but cannot afford to
work, and those who need workers and can't
afford them. The one way of doing this, and
I think the most feasible way, would be to
introduce a guaranteed annual income for
every individual. It may vary according to
the age, but it would be one that is in
universal application, and it should replace
our present costly and frustrating maze of
assistance programmes.
It is time we eliminated a system whereby
a parent and three children face a tax rate
of 75 per cent on their earnings over $4,500.
That is what the situation is today with a
mother with three children who is trying to
improve her situation. She faces a 75 per
cent rate of tax when you see that on any-
thing over $4,500 she loses 75 per cent of
what she earns in the form of assistance. In
other words, 75 per cent of what she earns
over and above $4,500 is taken away horn
her assistance— so in effect it is a 75 per cent
rate of tax. It is no wonder workers are in
short supply and welfare rolls are bulging,
because we say it is either one or the other.
Just this afternoon I was talking to a con-
stituent who faces this problem. Really, the
only way to solve it is to give up. Stop
struggling to work and to cope with the
problems— just let welfare look after it. And
this is no way for any society to survive.
If we do this we can eliminate the need for
minimum wages, because minimum wages
were required to protect workers against
being forced to work in sweat shops in order
to provide their food and shelter. If we had
a guaranteed annual income we wouldn't
need that.
But a guaranteed annual income would
provide for their basic needs; and then addi-
tional earnings can be received without an
onerous penalty— and many satisfying and
useful jobs can be created, which cannot
economically warrant payment of the mini-
mum wage.
There are many types of work. Just think
of the carvings in this building that we see
around us right now. How many people
would love to do this fine work, but can't
do it because there is no way it could be
paid for— and yet it is a very, very satisfying
form of work.
There are lots of people, including some
of my youngsters, who don't care about a
large income. They want to have enough to
get by on, but they also want to be sure
of doing something that satisfies them and
gives them a feeling of contributing some-
thing worthwhile to the society around them.
I think it is important that we get away from
our present system, which kills initiative and
frustrates those who would like to contribute
to our society.
So Mr. Speaker, with those words-
Mr. Lawlor: At what levels would the
member guarantee an annual wage?
Mr. Deacon: Mr. Speaker, with those
words — I didn't quite get that.
Mr. R. F. Nixon: Adequate.
Mr. Lawlor: What level would the member
for York Centre set?
Mr. Deacon: You see, these levels are
things that would have to change as inflation
comes along.
iBut I do know that the cost of living in
Prince Edward Isltod is a lot less than the
cost of living here. I think perhaps we have
got to set the cost at levels which are ade-
quate in those parts of the country and
make it possible for people to find a place
to live in those parts of the country.
This area isn't the be-all and endi-all where
people are all piled into this part of the
country. I think we can provide much more
attractive opportunities, much more satisfy-
ing ways of life in other than just the
Toronto-centred region. I think it is import-
ant in providing a guaranteed armual income
that we also at the same time ensure that
we are providing opportunities for people to
do satisfying jobs — jobs that will augment
their incomes and make it possible for them
to do other things.
So, Mr. Speaker, I appreciate this op-
portunity to present some of these ideas and
I hope that die government of this province
will start to take some action along these
lines, as I'm sure it will result in an improve-
ment in the quality of life in this province.
ROYAL ASSENT
Mr. Speaker: Before we proceed with the
debate I beg to inform the House that, in the
name of Her Majesty the Queen, the Honour-
able the Lieutenant Governor has been
pleased to assent to a number of certain bills
in his chambers.
MARCH 28, 1974
517
Clerk of the House: The following are the
titles of the bills to which His Honour has
assented:
Bill 7, The Developmental Services Act,
1974.
Bill 8, An Act to amend The Municipal
Act.
THRONE SPEECH DEBATE
(continued)
Mr. Speaker: The hon. member for River-
date.
IMr. J. A. Renwick (Riverdale): Mr, Speaker,
I basically want to deal only with one topic,
but there are two other matter that I do
want to briefly refer to before I enter upon
a rather difiicult topic for discussion in' the
Legislature.
There were two anniversaries in the last
while which, in a sense, have gone unmarked;
and both of which are significant for those
of us in this party and certainly those of
us in the Legislature who have any concern
for human freedom and human liberty.
In place of the leader of the New
Democratic Party (Mr. Lewis) I was
present at Nathan Phillips Square on March
21, about 5:30 in the evening, to join with
a small group of some 20-odd people who
were commemorating as members of the
Canadian Federation of African Citizens in
Canada the anniversary of the Sharpville mas-
sacre in 1960. And I thought, as I joined
that small group on behalf of the leadter of
the New Democratic Party, that we really
have extremely short memories. On March
21, 1960, as a result of the protest by the
Pan^African Congress against the pass laws
which are still in force in South Africa,
South African police opened up on the crowd,
and as many of us will recall, 69 people
were killed and another 170 or so were
wounded in what has become known as the
Sharpville massacre.
I simply mention it because I think, in a
House such as this, it does not hurt on
occasion for us to recall the kinds of in-
cidents which should have both a double-
edged thought that we are indeed fortunate
to be free from that kind of violence in our
society, and, at the same time, that we
should not forget the very humanitarian need
to support the peoples in those countries who
are endeavouring to free themselves from
iniquitous laws in fascist regimes, particularly
those countries which are based, in' their gov-
ernment philosophy, on the principle of
racism.
!I simply want to sav to the government
that I was very proud that in this Legis-
lature the government did move to eliminate
the trade missions to South Africa, even
though it was perhaps dLfficult for those who
think only in terms of trade to understand
the reasons. I was certainly proud of the
fact that it was the leader of this party who
raised the question in the Legislature which
led to the decision by the government to
eliminate South Africa from the trade mis-
sions of the Province of Ontario.
The other event which I wanted to re-
fer to was the March 25 national celebration
of the Greek community about the over-
throw of the Ottoman regime in 1821, which
has become a national liberation day for
those persons who belong to, come from,
and live in Greece. It was very strange in
the Globe and Mail of that day while people
celebrate national celebrations in different
ways, Zena Cherry's column was devoted
to the vice-consul of Greece in the city of
Toronto and the reception which he was
holding on behalf of the government to cele-
brate that national liberation of the Greek
community from the Ottoman rule in 1821.
Yet at the same time, in the same issue of
the Globe and Mail, there was on page 7
a very brief excerpt from an editorial which
had appeared just about the same time in
in the New York Times, in which it pointed
out:
A US study mission for the House For-
eign Affairs Committee believes Greece is
facing its worst crisis since the civil war
of 1946-1949.
"Indeed, a renewal of large-scale civil
conflict is one of the real possibilities
in Greece today," says the mission's re-
port, presented by Rep. Donald Eraser
of Minnesota after an on-the-scene investi-
gation.
This sombre conclusion, fraught with
grim implications not only for the long-
suffering Greeks but for Greece's partners
in western defence, seems to be sup-
ported by every new action of the ob-
viously insecure military jimta that over-
threw Col. Papadopoulos last Novem-
ber, The brutal arrest of George Mavros,
a former government minister and leader
of the Centre Union Party, is only the
most recent exhibition of the junta's in-
stability.
Military police in civilian clothes
smashed in the door of his Athens home
518
ONTARIO LEGISLATURE
with a crowbar at 6 a.m. and hauled Mr.
Mavros off to jail after he defended the
cancellation by Britain's Labour govern-
ment of a visit to Greece by two Royal
Navy ships.
Well. I don't need to go on any further,
but to make the same point that we here
are indeed fortunate to be free from that
kind of oppression in our society to the
extent that we are and the tradition that
we live by, but also to remember that there
are many Greek people in Canada at the
present time, many of them living in my
riding, who are supporters of those organ-
izations which are engaged in endeavouring
to restore democracy in Greece. I have a
letter from one of the men in my area to say
that March 25 is Greek National Day,
which commemorates the Greek revolution
of 1821, which overthrew the Ottoman re-
gime.
Greeks all over the world celebrate this
important date in their history in a num-
ber of ways. Today, the situation in Greece
is not a cause for celebration; a savage
dictatorship still exists, as may be observed
from the recent wave of arrests and ter-
rorism.
That is a letter to me from a friend of mine,
a supporter of our particular political party
but a Canadian of long standing and a man
of immense personal prestige in the Greek
community, Mr. John Limnidis, the president
of the Committee for the Restoration of
Democracy in Greece.
'Having said those two things, I want to
turn to a matter of concern to me in the
time which I have had an opportunity to
study it— and it hasn't been all that long—
and, as we now say fashionably, I'd like to
share a few thoughts with the members of
the assembly on the question of family prop-
erty rights and family property law.
The report of the Ontario Law Reform
Commission, Part IV, dealing with this topic,
is a very interesting report. As I read it and
tried to understand what the commission was
saying and the way in which they were say-
ing it, I found it became more and more
confusing. So I took a little bit of time to
try to sort out my thinking about the family
property law report in the hope that others
in the House might have occasion to think
about it and give consideration to it and so
that it will not become the monopoly of
those members of the legal profession who
happen to sit in the House when the time
comes to debate any recommendations which
are set forth as proposed law by the govern-
ment of the province.
It was quite interesting, and perhaps it
would be helpful to members if I could
simply point out that it's a very lengthy
report, even in this mimeographed form;
it runs close to 500 pages. The interesting
part of it is that the last chapter, which sets
out seriatim all of the recommendations set
out elsewhere in the report, refers to chapter
4 as the first chapter which has any parti-
cular recommendations about it. I dtm't think
it is necessary for anyone, other than a per-
son interested in all of the detailed intri-
cacies of this kind of property law and
suggestions of recommended reform, to read
anything more than about the first 35 pages
of the report and then about 10 to 15 pages
around page 100.
What concerned me at the very beginning
and led to my confusion in what the report
was trying to say, is that the foreword of the
report had certain statements of the prin-
ciples which the members of the commission
believed were guiding their deliberations.
They stated rather succinctly what they be-
lieved to be the conclusions they were going
to come to about this whole question. If I
may refer just very briefly, Mr. Speaker, to
what they had to say:
Few other ideas have so fundamentally
influenced civfl law during the last few
decades as the principle of equality be-
tween husband and wife.
They went on further to say:
More and more, marriage is being recog-
nized as an economic partnership in which
both husband and! wife have an equal
stake. How to give practical effect in law
to this conception was the main task of
the commission in its work on reform of
Ontario's matrimonial property law.
They went on to say:
Other areas of western jurisprudence
have also been endeavouring to seek a
solution to the problem of protecting the
economically weaker spouse by their matri-
monial property rules.
They referred to the rather generalized state-
ment that.
The aim has been to combine the best
features of a system of separation of prop-
erty—autonomy of the spouses — with the
spouses — with best protective features of
a community system — potential for mutual
sharing in the assets of the marriage.
They then go on to refer again — and I will
advert to it very briefly — to the new law
that came into force in the Province of
Quebec on July 1, 1970, and which for prac-
MARCH 28, 1974
519
tical purposes, with certain distinctions, is
what is recommend'ed by the Law Reform
Commission of the Province of Ontario.
But then we came to this statement:
We have not only made proposals for
reform of Ontario's matrimonial property
law but have made proposals for a radical
departure from existing principles; nothing
less will suflSce.
Further on in the report it is reiterated
that, in its family law project generally and in
the present report in particular, the com-
mission has tried to adhere to the constant
tlieme of law as a means of achieving de-
sirable ends.
It makes the further statement:
In this report the commission recom-
mends legislative changes in the property
relations between married persons that will,
at times, involve a radical departure from
contemporary arrangements. With respect
to the particular subject matter of the re-
port, the commission is convinced that
sound law reform requires such depar-
tures.
Scattered throughout those first 34-odd pages
of the report and reiterated elsewhere, as it
comes to the point in law where it is going to
make its proposals, are words to substantially
the same eflFect; that in some way or other
the Law Reform Commission is recommend-
ing something called radical change in the
matrimonial property relationships between
spouses and proposing changes in the law in
the Province of Ontario.
The fact of the matter is, Mr. Speaker, that
the changes as proposed by the Law Reform
Commission are very minor, are not likely to
result in any substantial change in the system
and appear to result from a strange kind of
conceptual confusion which the rhetoric of
the report appears to justify as being a
philosophy which should be accepted by the
province, bringing about some kind of funda-
mental changes in the property relations be-
tween spouses. I may say, one can make the
obvious remark that the Law Reform Com-
mission dealing with the family law project,
of course, does not have any women members
of the commission. I think it is fair to say,
without suggesting for a moment that there
is any conscious bias in the commission, some
of its references with respect to the married
relationship, usually of the female spouse to
the male spouse— there are other situations in
which it is reversed— but in the majority of
cases they refer to the relationship of the
female spouse in language which is a little
less than is really acceptable as understand-
ing today what I conceive to be the prime
concern of women who are interested in
establishing an economic equality in their
marriage relationships.
For example, the report states that while
the women of Ontario are free to choose
whether or not to marry and thereby accept
the conventional role of non-earning wife and
mother, there is a further reference:
However, when it comes to some of the
salient legal results of having accepted such
a role within the institution of matrimony,
the women of this province will find that
they have no further real alternatives.
When a woman marries she must accept a
legal regime respecting property matters
within the marital relationship that is
fundamentally the same scheme as was
conceived in the middle of the Victorian
era as an acceptable means for ending the
chattel status of married women.
The report goes on at some lengths to deal
again with the same conception of the role of
the woman partner in the marriage relation-
ship in language which would appear to in-
dicate a very deep concern by the Law
Reform Commission about the condition,
which is not carried out in the proposals
which the commission puts forward.
Let me, if I may Mr. Speaker, deal with
a couple of further statements in the report,
to give the conception which apparently the
Law Reform Commission has about the re-
lationship in the Province of Ontario:
The right to property and money amassed
during the marriage, following traditional
rules of property law, remains solely with
the spouse who originally acquired it.
Of course, if I may interpolate, in most cases
that means that the title to that property
acquired during the marriage remains with
the husband— I emphasize "in most cases."
There are of course other situations where
that is not true.
Although it cannot be said fairly that
the institution of matrimony exists for the
economic benefit of one sex to the ex-
clusion or detriment of the other, the usual
division of labour within a majority of
marriages results in the husband being the
breadwinner or primary source of support.
This phenomenon is reinforced not only by
the obligation imposed by law upon a
husband to maintain his wife, but also by
the difficulties facing women, wbo notwith-
standing that they are able and willing to
work, find themselves facing the very real
forms of prejudice and pecuniary disad-
520
ONTARIO LEGISLATURE
vantages that exist for women in the
modem labour market.
The acquisition of a substantial separate
estate and financial independence during
matrimony are now, legally speaking,
theoretical possibilities for any married
woman the same as for any married man.
However, the attitudes and traditions of a
culture which for centuries regarded mar-
ried women as social and economic satellites
of their husbands, still make this in reality
and in the great majority of cases a prac-
tical impossibility. To date, the Ontario law
respecting matrimonial property, unlike the
corresponding doctrines of many other legal
systems, has not been adjusted to cope
properly with the harsh realities of the
economic aspects of marriage as they aflFect
married women.
. . . The entitlement to and management of
most of the money and property acquired
during marriage is vested in the husband . . .
The interest of the husband is an over-
riding one— the proprietary interest that the
law attaches to formal title. In the absense
of title [and I want to come back to this
point] the wife has no standing to advance
a claim to existing assets as she would
were she a partner or an equal, but rather
can only present a suppliant's request for
maintenance.
The fact of economic dependency of a
wife upon her husband during the cur-
rency of a normal marriage is perhaps the
surest guarantee that she will have need
for support if the parties separate.
And it again refers to the English report of
the royal commission on marriage and divorce.
Two distinct lines of criticism were re-
ported: First, that "the law still regardis
the wife as her husband's dependant, that
is to say as a person of inferior legal and
economic status . . ." and that the wife's
economic dependence on her husband was
not only doing her grave injustice, it was
also 'one of the basic and the most in-
sidious factors contributing to the stresses
and strains of married life.' "
The second line of criticism had to do with
the questions relating to the matrimonial
home and household goods and I don't in-
tend to deal with those recommendations of
the commission's report, because I assume
that they will be ones which are accepted.
I want to deal specifically with the solu-
tion which the Law Reform Commission
came up with when it said that it was going
to treat the relationship of a man and wife
in a married state from an economic point of
view as a partnership, and the way in which
they concluded that this could be accom-
plished was to make a recommendation— and
I quote from the report:
The commission therefore proposes tliat
under the matrimonial property regime) the
spouses be separate as to property during
'the currency of the marriage and be en-
titled to an appropriate equal sharing in
family assets upon the termination of the
marriage by death, or divorce, or upon
termination of the matrimonial property
regime in certain circumstances other than
upon death or divorce. Subject to the
commission's subsequent recommendations
respecting restrictions on dealing with the
matrimonial home and on the making of
gifts that are other than reasonable or
customary, the property position of the
spouses during marriage will be the same
as under the present law of Ontario. Each
will be free to hold and dispose of his or
{her own property.
In other words, each will be separate as to
property.
Mr. Speaker, without going into the long
history of the position which had de\eloped
with the introduction into Ontario of the
Married Women's Property Acts in the last
century, what the report is saying that during
the currency of the marriage there will be
no changes in the rule of the separation of
property of the spouses and that the only
change will take place on the dissolution of
the marriage, by death or through divorce or
by application to the court in a certain num-
ber of ways which are set out.
It seems to me that that is where the
Law Reform Commission is flawed in its con-
ception of the problem. If the basic problem
is the economic dependence during the mar-
riage of the one spouse, usually the wife on
the husband, then it doesn't seem to me that
it strengthens marriage as an institution in
the province to say that the only soltition
to the economic relations between the two
will take place upon the dissolution of the
marriage.
It's very interesting that the onl>' aspect
of partnership which they talk about, relat-
ing it to our conceptions of partnership in the
traditional business partnership sense, is on
the dissolution of the marriage. Then there's
to be an accounting for the married assets
and there's to be an equalizing claim granted
to the spouse who had less of the assets,
and that is to be not a claim to title to
property, but simply a debt claim. So the
spouse who is economically dependent, hav-
ing come to the dissolution of the marriage.
MARCH 28, 1974
521
finds herself not in entitlement to any assets,
but has only a claim for a debt against the
economically superior partner, as I've said on
more than one occasion in the last few
minutes, usually the husband.
You cannot really say, Mr. Speaker, that
the Law Reform Commission, speaking as it
does about giving vitality to the principle of
ec-onomic partnership, has done anything
about the fundamental question of the
economic partnership during the marriage.
What they propose at the end of the mar-
riage is to say that property acquired during
the marriage, other than property which comes
to either of the spouses by inheritance or
bec|uest, and income from property that each
of them may have as they enter upon the
marriage — the income of that during the
marriage will be part of the family prop-
erty, leaving aside the special considerations
related to the matrimonial home. They pro-
pose that there'll be an accounting, an
equalizing claim, to be asserted only in debt
— no transfer of title to property; no formal
questions of a clear division of the property
on an equal basis at the end of the mar-
riage—only the debt obligation again, which
presumably a wife would have to take to a
court to enforce.
I want to leave the question of the dis-
solution of marriage and simply say, Mr.
Speaker, that you cannot now talk about
an economic partnership in the way in which
the Law Reform Commission pretends to talk
about it, unless one thinks about the con-
ception of the relationships between the
spouses during the whole course of the mar-
riage. It would appear to be perfectly clear
that the way in which that is accomplished
is to insist that the assets of the marriage
and the decisions with respect to their use
will be by mutual agreement. The disposi-
tion, investment or other use of capital as-
sets or the disposition or use of the in-
come, that is, whether income coming into
the family partnership will be used to be
turned into capital for investment, will be
used for a holiday vacation, will be used
for some frivolous expenditure or whatever
it's going to be used for have to be done
on a mutually agreed basis. Failing a mu-
tually agreed basis, each of the parties could
at that particular point in time with re-
spect to the number of dollars that they're
concerned about and unable to reach agree-
ment about say "We'll each take ours. We'll
each take ours during the course of our
marriage and we'll do with it as each of us
sees fit."
Marriage, as everyone knows, is a series,
I suppose, of mutual reconciHations. That
kind of decision, the possibility, the conno-
tation that a man and a wife in a true
partnership could discuss and have decision-
making authority mutually about the use of
the income from the marriage, about the
use of the assets of the marriage and about
the use of the income from property which
had been brought into the marriage, but
what was not necessarily part of the ma-
trimonial property, and that aspect of mu-
tuality seem to me to be the very key that
the Law Reform Commission should have
insisted upon as being an integral part of any
change in the law which might take place
in the Province of Ontario. It can only be
in that way that we can deal with this basic
question of economic dependency which,
in my judgement and, I think, in the
judgement of the philosophy or thesis put
forward by the Law Reform Commission,
has had a very destructive effect upon the
relationships between man and wife under
the present regime of married property law
in Ontario.
I want to make the point that the Law
Reform Commission is under no illusions
that the very nature of the institution of
marriage is affected in a fundamental way
by the property relations which are estab-
blished in law. If we're not going to change
the property relationships as they now ex-
ist during marriage, it seems to me that the
institution of marriage is going to be subject
to the same flaws whch it is presently sub-
ject to, so far as that economically depend-
ent relationship is concerned, rather than
the kind of equal partnership which it is
fashionable, in the language of the day,
to speak of when one speaks of a marriage.
What I think, Mr. Speaker, and I am
endeavouring to put it before the assem-
bly, is that when you read the report and
read the first 35 pages of the report and
then, perhaps, pages 90 to 125— which only
take a very few minutes —do not be taken
in by the rhetoric and the language which
is used by the Law Reform Commission to
justify what it is speaking about. They are
not changing titles of property. They are
using, in a specious sense, the conception
of a partnership but only in terms of what
happens on the dissolution of the partner-
ship, and in no sense has any connotation
appeared in the report with respect to the
conception of a partnership, economically,
during the course of the marriage
The net result, even on disposition, is
nothing but the creation of a debt claim
which is certainly not an adequate way to
provide for a partitioning of assets at the
522
ONTARIO LEGISLATURE
time when a marriage is terminated. Through-
out the whole of the report, it seems to con-
note that somehow or other the separate
property regime, during the currency of an
existing marriage, is a good system. It throws
out the community of property regime and
it throws it out for the very reason which
I have endeavoured to express. That is that
the community of property regime, which
is the community of property regime in the
Province of Province of Quebec imtil July
1, 1970, was subject to the flaw that while
both spouses have rights in the community,
the husband normally, either in law or in
fact, will have the administration and con-
trol of it.
Therefore, what they're saying is wrong
\\'ith the community of property regime in its
traditional sense is that one of the partners
in the so-called partnership has the adminis-
tration and control of it. Instead of discard-
ing the conception of community of property,
instead of trying to correct the community
of nrooerty conception, to establish that there
will be real community of property with
respect to decision-making control, in a
mutual relationship, over assets and income
of rniTTiaorp — instead of Duttine that for-
ward as the solution to the problem, they
have opted for this rather hybrid version
that the separate propertv will continue dur-
in<r marriage and that there will be some
accounting procedure at the end which will
result in the wife having something called
an equalizing claim in debt in order to
enualize her claim when the marriage is
over.
"What it would appear to me that the com-
mittee's report should have recommended is
that if there was to be a radical change, they
should have pursued the conception of the
economic partnership of the marriage re-
lationship fully and completely during the
currency of the marriage in order to analo-
gize it to a business partnership with what-
ever necessary ameliorations had to be made,
because such anal'ogies never fit completely,
and also to provide in addition, but not as
the primarv concern, for what happens on
the dissolution of the marriage.
Then they should have set up, in my
judgement, that kind of matrimonial property
regime we are recommending as the kind of
matrimonial regime which we believe the
public interest requires — in the interests of
the stability of marriage, in the interests of
the improvement of the marriage relation-
ship, in the interests of the equality and
mutuality of the relationship.
iThen they should have said that if in any
particular case a man and a wife want to go
before a judge and opt for separation as to
property, or some other contractual relation-
ship, they would' go and make their presenta-
tion to the judge. In certain circumstances
it might be very necessary that there be
separation as to property, or that there be
some kind of a regime with respect to the
property relationships.
iBut to have made it possible to have said
that this hybrid will be the keystone of our
married property law in the Province of
Ontario, subject to the parties contracting
out on their own at any time, without any
reference to a court or anyone! else, seems to
me to defeat the very purpose that the family
law project in this particular area of law
was designed to come to grips with.
I am simply saying, Mr. Speaker, that I
would hope that these conmients — and per-
haps there will be another occasion to
elaborate on them a little bit more — are to
be, as I say, something of a caution and a
warning to the other members of the Legis-
lature that it is possible for us in this prov-
ince to design a marriedi property relation-
ship with respect to family property, family
assets, matrimonial home, bearing in mind
the true principle of the economic partner-
ship which the report itself says was the
object of their exercise.
Until we look at it that way, then it seems
to me that we are not really making any
significant or substantial change with respect
to those relationships.
I make the last comment, Mr. Speaker,
that I somehow have the feeling that some-
where in the way in which I have en-
deavoured to express a conceptionally diffi-
cult problem is the core of what in fact
is causing a great deal of concern among
women in the community— whether they stay
at home and perform a traditional role or
whether they are part and parcel of the
work force— that somehow or other during the
currency of the marriage and conception of
an economic partnership is one which is
both in the private interests of the parties
and reflects the public interest of the prov-
ince in the stability of marriage and in the
enhancement of the particular relationship.
I would suggest that I would hope that
perhaps on another occasion when the At-
torney General's estimates are before the
House, we may have an opportimit\- to pur-
sue this kind of conceptual problem. Thank
>ou, Mr. Speaker.
MARCH 28, 1974
523
iMr. Speaker: Does the hon. member have
further comments in this debate?
Hon, Mr. Winkler moves the adjournment
of the debate.
Motion agreed to.
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): Mr. Speaker, I
would just like to say that tomorrow we wall
continue wdth this debate.
Hon. Mr. Winkler moves the ad'joumment
of the House.
'Motion agreed to.
The House adjotumed at 6 o'clock, p.m.
524 ONTARIO LEGISLATURE
CONTENTS
Thursday, March 28, 1974
Oil prices, statement by Mr. Davis 477
Budget date, statement by Mr. White 478
Oil prices, questions of Mr. Davis: Mr. R. F. Nixon, Mr. Deans, Mr. Foulds, Mr. Singer 478
Denture therapists, question of Mr. Miller: Mr. R. F. Nixon 480
Cost-sharing programme re mentally retarded, questions of Mr. Brunelle: Mr. R. F. Nixon 481
Incorporation appUcations by US book publishers, questions of Mr. Davis: Mr. Deans,
Mr. Foulds 481
Uranium and associated nuclear fuels policy, questions of Mr. Davis: Mr. Deans,
Mr. Reid, Mr. Bullbrook, Mr. Burr 482
Cost of dental care, questions of Mr. Clement: Mr. Deans 484
Preventive medicine, questions of Mr. Miller: Mr. Shulman 484
Maple Mountain development, questions of Mr. Welch: Mr. Lewis, Mr. Renwick,
Mr. Singer 485
Housing programmes, questions of Mr. Handleman: Mr. Deans, Mr. Cassidy 485
Kingston township services, questions of Mr. White: Mr. R. F. Nixon, Mr. Cassidy 486
Summer employment at hospitals, question of Mr. Miller: Mr. Ferrier 487
Operation of travel agencies, questions of Mr. Clement: Mr. Singer, Mr. Shulman,
Mr. Kennedy 487
Refusal for cardiovascular unit in Windsor, questions of Mr. Miller: Mr. B. Newman,
Mr. Bounsall 488
Quetico Park, questions of Mr. Bemier: Mr. Foulds 489
Kingston township services, questions of Mr. Davfe: Mr. Cassidy, Mr. R. F. Nixon 490
Presenting reports, Ontario Law Reform Commission, Mr. Welch 491
Presenting report, Ministry of Labour annual report, Mr. Guindon 492
Farm Products Grades and Sales Act, bill to amend, Mr. Stewart, first reading 492
Agricultural Societies Act, bill to amend, Mr. Stewart, first reading 492
Third reading, Bill 7 493
Resumption of the debate on the Speech from the Throne, Mr. Root, Mr. Burr,
Mr. Deacon 493
Royal assent to certain bills, the Honourable the Lieutenant Governor 516
Resumption of the debate on the Speech from the Throne, Mr. Renwick 517
Motion to adjourn debate, Mr, Winkler, agreed to 523
Motion to adjourn, Mr. Winkler, agreed to 523
No. 14
Ontario
Hcgt^Iature of Ontario
OFFICIAL REPORT — DAILY EDITION
Fourth Session of the Twenty-Ninth Legislature
Friday, March 29, 1974
Speaker: Honourable Allan Edward Renter
Clerk: Roderick Lewis, QC
THE QUEEN'S PRINTER
PARLIAMENT BUILDINGS. TORONTO
1974
10
Price per session, $10.00. Address, Clerk of the House, Parliament Bldgs., Toronto
CONTENTS
(Daily index of proceedings appears at back of this issue.)
527
LEGISLATIVE ASSEMBLY OF ONTARIO
The House met at 10 o'clock, a.m.
Prayers.
Mr. B. Gilbertson (Algoma): Mr. Speaker,
I would like to bring to the attention of
the hon. members a class of students from
central Algoma. I would like to take this
opportunity to introduce them to the House.
They are in the west gallery.
Mr. P. D. Lawlor (Lakeshore): Mr. Speaker,
my students have not yet arrived, but they
are on their way in and will form, I'm sure;
a vociferous claque in favour of the member
who happens to be standing here. They are
from Franklin Horner Public School in
Etobicoke. Thank you, Mr. Speaker.
Mr. F. A. Burr (Sandwich-Riverside): Mr.
Speaker, I should like to introduce 20 third-
year students from the St. Clair College of
Applied Arts and Technology with their
instructors, Mr. Victor Burgess and Mr.
Graham Jones, who happens to be a member
of the Tecumseh town council and a former
pupil of mine. I should like the members to
welcome these students.
ESTIMATES
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): Mr. Speaker, I
have here a message from the Honourable
the Lieutenant Governor signed by his own
hand. Rise, gentlemen.
Mr. Speaker: By his own hand W. R.
Macdonald, the Honourable the Lieutenant
Governor, transmits estimates of certain sums
required for the services of the province
for the year ending March 31, 1975, and
recommends them to the legislative assembly,
Toronto, March 29, 1974.
Statements by the ministry.
OPP AGREEMENT
Hon. Mr. Winkler: Mr. Speaker, I am
pleased this morning to announce that a
one-year memorandmn of understanding has
been negotiated between the government and
Friday, March 29, 1974
the Ontario Provincial Police Association.
The agreement covers the period from April
1, 1974 to March 31, 1975, and provides
improvements in salaries, employee benefits
and other terms of employment for approxi-
mately 3,700 uniformed staff in this bar-
gaining unit. The maximum salary for a
constable under the new agreement will be
$13,536 per year.
It is a particular pleasure to note that
the parties in these negotiations have main-
tained their enviable record of having
always reached agreement in direct negotia-
tions since collective bargaining for mem-
bers of the Ontario Provincial Police was
initiated more than 10 years ago.
Mr. F. Laughren (Nickel Belt): One could
say the same for the community college
teachers now that the government has done
something.
TRAILWIND PRODUCTS
Hon. F. Cuindon (Minister of Labour): Mr.
Speaker, earlier in the week after meeting
with the Steelworkers and the employees of
Trailwind Products in Weston, I undertook
to speak to the management of the company
and look into the lay-off of the 41 employees.
I am pleased to inform the House, Mr.
Speaker, that there are openings for all those
who were laid off and that Indal has under-
taken that these vacancies will be kept open
until Wednesday. I should also add that these
positions have been offered by the company
at no loss in pay or benefits to those em-
ployees laid off. In fact, Mr. Speaker, the
company is offering a $7-per-week extra
travel allowance for those employees who
accept jobs in Brampton.
I must stress, however, that the employees
interested must seek those jobs very soon
and I would think by next Wednesday that
the company will be forced to seek em-
ployees elsewhere.
There are presently 10 jobs still open in
Brampton, where five employees have already
accepted positions. In the Toronto operations
there are six jobs open at the Alumiprime
division in Downsview; 10 positions offered
528
ONTARIO LEGISLATURE
and six still vacant in the Marine division
in Weston; there are four jobs open in the
Indalex division in Weston; and one person
has filled the position at the Rebmec division
in Weston.
Mr. Speaker, this amounts to 36 positions
ofiFered, with only 10 filled by the 41 persons
laid off. The remaining five laid-off employ-
ees will also receive jobs if they wish to apply
to the company.
The company has undertaken to hire all 41
of the affected employees if they apply be-
fore Wednesday. After that date the em-
ployees may still be hired, but the under-
taking by the company lapses on that day.
The company has been extremely co-oper-
ative, Mr. Speaker, and has fully explained
its reasons for the lay-off. I hope that those
employees seeking jobs will avail themselves
of these openings.
Mr. S. Lewis (Scarborough West): It re-
quired a picket line and the ministry's inter-
vention to make them co-operative. Don't be
so generous to the company.
Mr. M. Cassidy (Ottawa Centre): They sure
weren't co-operative when they set those
guys down.
Mr. Speaker: Oral questions. The Hon.
Leader of the Opposition.
Mr. R. F. Nixon (Leader of the Opposi-
tion): I'd like to ask a question of the Pre-
InterjectioiLS by hon. members.
Mr. Lewis: All right, but look at what it
required.
Mr. Speaker: Order please. The hon.
Leader of the Opposition has the floor.
Mr. R. F. Nixon: Oh, I'm sorry to interrupt
the member for Scarborough West.
Hon. A. Grossman (Provincial Secretary
for Resources Development): Would the mem-
ber like to give us a few more minutes?
GLOBAL TELEVISION NETWORK
Mr. R. F. Nixon: I'd like to ask the Pre-
mier if he has been approached by the man-
agement of Global Television for any assist-
ance in their present financial difficulties
through any ODC programme or any other
programme that might be available through
the province.
Hon. W. G. Davis (Premier): Well, Mr.
Speaker, there have been some communica-
tions with the government, including the
Ministry of Industry and Tourism.
The difficulty with the situation as far as
the government is concerned, of course, is
the concept of government assistance for the
type of institution, such as Global which is
really part of the news system. I remember
discussions in this House with respect to the
Toronto Telegram, for instance, as to whether
government should become involved in finan-
cial assistance where the institution or the
company is involved in the news field.
At the same time, Mr. Speaker, we are
very interested in seeing that Global remains
in business. And while I can't report any-
thing specific to the House, I do know there
have been a number of discussions, some of
them reported in the press this morning.
It is our hope, of course, that Global can
find the financing to remain in business, but
it is something of a complex problem for
government because of the nature of the
industry. While we would like to be help-
ful, and certainly we will be to the extent
possible, I certainly don't want to hold out
hope that funding through ODC would per-
haps be an appropriate way.
Mr. R. F. Nixon: Supplementary: Would
it be possible for the Premier to indicate at
this time the urgency of the situation? Is
there any possibility, for example, that the
organization will not be able to meet its
payroll and therefore be under those types of
pressures? And about how much money is
needed to keep them operating?
Hon. Mr. Davis: Well, Mr. Speaker, I'm
really only going by second-hand information.
I sense that the situation is relatively urgent.
I can't tell the hon. member the extent of the
financial problem or the lack of financing,
although quite obviously it is significant as
well.
Mr. M. Shulman (High Park): They gave
me a bum cheque this morning.
Mr. Lewis: This is now a scandalous emer-
gency. This is the crunch!
Mr. Speaker: The hon. member for High
Park.
Mr. Shulman: Is the Premier aware that
Global has issued a number of bum cheques
that bounced in the last 24 hours, one of
which was to me, to which I object strenu-
ously?
MARCH 29, 1974
529
Mr. J. R. Breithaupt (Kitchener): Which
one?
Mr. R. F. Ruston (Essex-Kent): Reply to
that.
Hon. Mr. Grossman: They didn't get their
value.
Interjections by hon. members.
Hon. Mr. Davis: Mr. Speaker, I hadn't
heard of the misfortune that has befallen the
member for High Park. I can only assume
that of all the members in the House, he
perhaps can withstand that kind of misfor-
tune more than the rest of us. I would say
further that if they are looking for further
financing, knowing his great capacity and
perhaps his own resource, the Global direc-
tors might approach him for some form of
participation in the organization to keep it
alive.
Interjections by hon. members.
Hon. Mr. Davis: He's looking for a new
career— there it is.
Mr. Lewis: Supplementary, Mr. Speaker-
Interjections by hon. members.
Mr. Lewis: Considering the size of the
government's deficit, has the Premier con-
sidered approaching the member for High
Park?
Hon. Mr. Davis: Well, Mr. Speaker, I
would approach him and the hon. leader of
the New Democratic Party as well. I mean,
any contribution they might want to make
would be gratefully received.
Mr. D. C. MacDonald (York South): This
government always has to get bailed out by
the private sector.
Mr. Speaker: The hon. Leader of the Oppo-
sition.
TTC SUBSIDY
Mr. R. F. Nixon: I would like to ask the
Minister of Transportation and Communica-
tions if he is now prepared to make a state-
ment on the level of the subsidies that the
government is prepared to pay to the Toronto
Transit Commission to assist them in their
deficits for this year?
Hon. J. R. Rhodes (Minister of Transporta-
tion and Communications): No, Mr. Speaker.
Mr. R. F. Nixon: Supplementary: Can the
minister indicate why, when he said that in-
formation would be available this week, it has
been postponed again?
Hon. Mr. Rhodes: Mr. Speaker, my com-
ment to the press at that time was that hope-
fully we might have something to say tnis
week. That is not possible. I think the hon.
member knows, as it has been in the press,
that there is to be a meeting of representa-
tives of Metro and the Premier. I am sure that
no statement prior to that meeting would be
proper.
Mr. D. M. Deacon (York Centre): Supple-
mentary, Mr. Speaker. Has the minister con-
sidered making assistance to these municipah-
ties for their public transit purposes in such
a form that it actually doesn't penalize the
improvement in business that has been en-
joyed by the Toronto Transit Commission; in
other words getting away from subsidizing
losses to giving an incentive to get more
traffic?
Hon. Mr. Rhodes: Mr. Speaker, that incen-
tive is already there in the form of a subsidy
per ticket in the existing formula. I am assum-
ing that it is a subsidy there.
Mr. Deacon: Oh no; it is a subsidy on
losses.
Hon. Mr. Rhodes: No, Mr. Speaker; there
is a subsidy that is paid to the TTC, based
upon the number of tickets that are sold.
Interjections by hon. members.
Hon. Mr. Grossman: They should print
that on the ticket.
Mr. Lewis: With a picture of Allan Gross-
man for senior citizens.
Interjections by hon. members.
Mr. R. F. Nixon: Have we decided whose
picture is to go on the blooming ticket?
Hon. Mr. Rhodes: It isn't going to be mine.
Mr. R. F. Nixon: It couldn't be the min-
ister's.
Hon. Mr. Rhodes: Why?
MINISTER'S PERSONAL POSITION RE
KINGSTON TOWNSHIP COUNCIL
Mr. R. F. Nixon: Because then nobody
would buy them.
I want to ask the Minister of Industry and
Tourism if he attended at any time in his
capacity as a member of the administration,
530
ONTARIO LEGISLATURE
a meeting where the council of the township
of Kingston came to Toronto in order to see
why certain aspects of their business had been
delayed by government decision.
Hon. C. Bennett (Minister of Industry
and Tourism): Mr. Speaker, I did not attend
any meeting with the reeve of the township
of Kingston or any member of the township
of Kingston while a minister of the govern-
ment. I had the opportunity of meeting with
the reeve when I was then parliamentary as-
sistant to Hon. Charles MacNaughton. We
were discussing some of the problems relating
to zoning and so on in that township, but not
relating to the subjects that are currently in
the press.
Mr. R. F. Nixon: Supplementary: Can the
minister give his assurance to the House that
his personal relationship with at least one
citizen in the area, who is very much con-
cerned with the policies of the reeve and
council of Kingston township, in no way in-
terfered with his judgement, nor let's say
allowed him to recommend to his cabinet
colleagues, that certain actions be taken with
regard to that council?
Hon. Mr. Bennett: First of all, Mr. Speak-
er, any decision I shall make as a minister
of this government would be in the best in-
terest of the taxpayers of the Province of
Ontario, regardless of what overriding influ-
ence there might be. This private citizen in
the township of Kingston, whom I happen to
be related to and pleased to be so, is one who
has an interest in the contracting rights of
that municipality relating to services to be
extended to those taxpayers.
Mr. Lewis: The minister doesn't have to
be pleased,
Hon. Mr. Bennett: Mr. Speaker, I have not
participated in discussions relating to any of
the problems that relate to Kingston township
in the current issue.
Mr. Lewis: The minister knows it and I
know it, only they don't know it.
Hon. Mr. Bennett: At a meeting of cabinet
which I attended at the time the item was
brought forward, I openly and clearly indi-
cated to the members present at that time
that the individual who was leading the at-
tack or approach on the township of King-
ston council was related to me and was my
brother. I see no reason to go any further
than to say that I withdrew from any discus-
sions that would take place relating to that
item.
Mr. Speaker: The hon. Leader of the Op-
position.
Mr. Lewis: It is not safe to have relations
in politics.
Interjections by hon. members.
GASOLINE TRAVEL ADS
Mr. R. F. Nixon: I would like to ask the
same minister if he can explain further to
the House the situation that led him to in-
struct his advertising agency, that is his minis-
terial advertising agency, to change any
references in our travel' advertisements to be
used in the United States to the ready avail-
ability of gasoline here? Was that on instruc-
tion of the external affairs people in Ottawa?
How did his own advertising agency make
the serious error in judgement to include that
matter?
Hon. Mr. Bennett: Of course, Mr. Speaker,
it's entirely up to the leader of the Liberal
Party as to whether it is an error in judge-
ment. We thought it was an announcement
advising the people of this country and the
United States of the availability of gas and
the type of holiday they could have here in
the Province of Ontario.
As far as we are concerned, Mr. Speaker,
when government at the federal level sug-
gests to the province it might reconsider its
position because of some political overtones
the ad might have for our friends in the
United States, we accept that as good judge-
ment and good advice. We decided, after
talking to some of the other provinces in Can-
ada, that it would be as well for us to recog-
nize the request of the federal government
and not to cause it any difficulties in the
United States. It already has enough in
Ottawa.
Mr. R. F. Nixon: A supplementary: Was
the advertising agency informed by Ottawa or
by the ministry here in Ontario that the
change should be made? Was there no con-
sultation before all the television trailers and
the ads had been established? What was the
reason for the delay in that matter?
Hon. Mr. Bennett: I am not sure, Mr.
Speaker, whether or not the Liberal leader
is trying to be facetious. As far as any com-
munications go between the government of
Canada and the government of this province,
I do not think the advertising agency repre-
senting the federal Liberal Party in Ottawa
really contacts the advertising agency related
to the Ministry of Industry and Tourism for
MARCH 29, 1974
531
the Province of Ontario. They likely work
at the same commission rate and likely get
their contracts in the same manner, both
federally and provincially.
Mr. MacDonald: That's been traditional.
They operate the same way. No information
in thai.
Hon. Mr. Bennett: As far as the advertis-
ing is concerned, Mr. Speaker, withdrawing
the portion related to the availability of
petroleum in the Province of Ontario did not
cause any real difficulty in reworking our ads.
It was put in last year and retained in the
ad this year and there was very little diflB-
culty in removing it. It was a decision made
within the ministry and not by any outside
organization.
Mr. Speaker: The hon. member for Scar-
borough West.
RENT SUBSIDIES FOR SOCIAL
ALLOWANCES RECIPIENTS
Mr. Lewis: Mr. Speaker, a question of the
Minister of Community and Social Services.
In light of the report to Metropolitan To-
ronto's social planning council describing the
consequences of rent increases as possibly
catastrophic for those in receipt of social al-
lowances from the government, will he as
minister make available the several millions
of dollars required to provide a form of rent
subsidy for everyone in this province in re-
ceipt of a social allowance to compensate for
the extraordinary rise in shelter costs over the
last year, both extraordinary and unexpected
in some ways?
Hon. R. Brunelle (Minister of Community
and Social Services): Mr. Speaker, certainly
in our ministry we recognize the grave prob-
lem of the rising cost of rent and I think all
members agree that housing is probably one
of the most important components of social
assistance. As hon. members know, on Jan. 1
this year, we did increase our food and our
rental assistance; nevertheless, costs have been
rising continually since. We are at present,
with the Ministry of Housing, looking into
this very aspect. We have amended our regu-
lations, as the hon. members know, so that
under existing regulations for supplementary
and special assistance, we pay 80 per cent
for recipients of the Family Benefits Act and
elderly people to municipalities which, at
their discretion, wish to give increased as-
sistance for rents.
Also I have asked my people, and we
should have this information soon, to let me
know how many recipients are presently pay-
ing more than their increased allowances.
Again, Mr. Speaker, we have responded in
the past and we will respond in future to
this very pressing problem of increasing costs.
Mr. Lewis: A supplementary-
Interjections by hon. members.
Mr. E. W. Martel (Sudbury East): What are
they jabbering about?
Mr. Lewis: Even with the Jan. 1 increase,
the minister will know that fully 84 per cent
of the recipients surveyed were paying in ex-
cess of 25 per cent of income on rent and
a quarter of them surveyed were paying more
than 50 per cent of their social allowances
on rent, which destroys the food component
of the social allowances entirely. Has he,
therefore, made a survey of the kinds of per-
centages being paid? Is the government pre-
pared to assume, for those on social allow-
ances, the full cost of rental payments by
supplements at this time when there is abso-
lutely no alternative accommodation any-
where else?
H<Mi. Mr. Brunelle: As I indicated, Mr.
Speaker, I am getting this information. At the
same time, the hon. member will appreciate
this is a complex factor. Often, when we raise
our maximum shelter allowance, what happens
is that the landlords raise their rents.
Mr. Lewis: Oh I see.
Hon. Mr. Brunelle: So it is a very difficult
area.
Mr. Martel: That's free enterprise.
Hon. Mr. Brunelle: Now rent control is
something that has been advocated. I don't
know the member's views on that, but it is a
very difficult area.
Mr. MacDonald: We have been advocating
it for years.
Mr. Lawlor: Our views on it are weU
known.
Hon. Mr. Brunelle: But again, Mr. Speaker,
I'd like to reiterate what I said before: We
have responded in the past and: we will re-
spond to this increasing cost.
Mr. Lewis: Why penalize this group so
severely?
Mr. Cassidy: Supplementary question, Mr.
Speaker.
Mr. Deacon: Supplementary.
532
ONTARIO LEGISLATURE
Mr. Speaker: Yes, supplementary.
Mr. Deacon: Would the minister not agree
that in view of the fact so much of the in^
crease is taken advantage of by landlords, this
show^s the need for a rental review board?
Mr. Lewis: Oh!
Interjections by hon. members.
Mr. Deacon: Before which the province can
bring those who, wdthout justification, do in-
crease the rents and—
Mr. Martel: If it's anything like the prices
review board in Ottawa scrap it!
Interjections by hon. members.
Mr. Deacon: —and alleviate by increased
grants those situations where the recipients
are being deprived of any opportunity to pay
for increased costs other than just shelter?
Mr. Lawlor: Is this Liberal policy this
morning?
Interjection by an hon. member.
Hon. Mr. Brunelle: Mr. Speaker, there may
be merit in the hon. member's suggestion, but
there are other provinces that have review
boards and I'm not too sure whether their
results have been that satisfactory.
Mr. Deacon: Well maybe this province can
do better!
Mr. Speaker: The hon. member for Ottawa
Centre.
Mr. Cassidy: I just want to ask the minis-
ter, Mr. Speaker, why is it that the ministry
is only now investigating the degree to which
recipients pay more than the shelter allow-
ances in rent, when figures have been avail-
able to the ministry as long as three years-
and I'm sure five and ten years, but certainly
in the last three or four years— from Ottawa
and other mimicipalities, that show equally
that 70, 80 or 90 per cent of recipients pay
well in excess of the shelter allowances for
their rent? Why didn't the government act
then when those figures were available?
Hon. Mr. Brunelle: Mr. Speaker, again, we
have responded. We did increase our allow-
ances on Jan. 1.
Mr. Lewis: The government is falling
further and further behind!
Hon. Mr. Brunelle: We did amend our
regulations and we are prepared to do more.
Mr. Lewis: They let the landlord take the
Mr. Speaker: The hon. member for Scar-
borough West.
COST OF LIVING CLAUSES
IN LABOUR CONTRACTS
Mr. Lewis: Question, Mr. Speaker, of the
Minister of Labour: Is he aware of the factors
surrounding the dispute in Hamilton between
the United Rubber Workers and the Firestone
company?
Hon. Mr. Guindon: No, Mr. Speaker. At
this time it really hasn't come up to my Itevel.
Perhaps some of my officials are. I could find
out.
Mr. Lewis: At what point is a strike, that
has gone on for a month now, at what point
are strikes and the issues in strikes reported
to the minister? Is there no apparatus for a
report to the minister after a week or two
weeks or three weeks of a prolonged dispute?
Hon. Mr. Guindon: It all depends, Mr.
Speaker. There are so many different cases.
It all depends on the timing. It depends on
the parties and it depends on their reading
of the whole thing. So I cannot give the
member a definite answer. Nobody can.
Mr. Lewis: Well, there aren't that many
strikes in the province at any given moment.
I mean, does the ministry not report to the
minister on a strike that's gone on for a
month over a matter of a cost of living index?
Hon. Mr. Guindon: They report to me, and
as a matter of fact not only do they report
I ask for a report. The member claims there
are not so many strikes, well we have perhaps
seven or eight going on at the present time.
Mr. Lewis: Seven or eight? Well, you know
Mr. Speaker, the minister can manage that.
Seven or eight strikes at one time are not
beyond human capacity. But can I ask the
minister, would he consider—
Mr. Lawlor: I've got three in my riding
alone.
Mr. Lewis: Would the minister consider
amending the Employment Standards Act in
Ontario to provide the requirement that
every negotiated contract have a clause which
provides for an escalated cost of hving in^
crease as a part of that contract?
Hon. Mr. Guindon: Mr. Speaker, we always
accept suggestions. We are always glad to
look at it. But I make no commitment right
now.
p
MARCH 29, 1974
533
SPENDING CEILINGS IN EDUCATION
Mr. Lewis: Question, Mr. Speaker, of the
Provincial Secretary for Social Development,
if I could. When are the regulations govern-
ing the ceilings and the weighting factors
for education in the Metropolitan Toronto
area to be issued' by the Minisfay of Educa-
tion?
Hon. M. Birch (Provincial Secretary for
Social Development): Mr. Speaker, the Min-
ister of Education (Mr. Wells) is out of the
city at the present moment. I would imagine
there will be some information when he
returns.
Mr. Lewis: By way of supplementary, has
it been brought to the attention of the pro-
vincial secretary's poHcy development com-
mittee that a large number of jobs associated
with the Metro Toronto boards-several
hundred, in the caretaker and support staff
area— may be lost unless the regulations re-
lated to the ceilings appear immediately?
Why the delay? Has she any idea of the
reason for the delay? Is she about to increase
the ceilings significantly? Is that the reason?
Hon. Mrs. Birch: Mr. Speaker, the ques-
tion is one that is under consideration in the
policy field at the moment.
Mr. Lewis: Well, since my question was
so convoluted, perhaps I can ask the pro-
vincial secretary which part of it is under
consideration— the loss of jobs or the increase
in the ceilings?
Hon. Mrs. Birch: The whole question of
the impact of inflation on the ceilings.
FOOD PRICES
Mr. Lewis: Could I ask the Minister of
Consumer and Commercial Relations whether
he has discussed with the Minister of Agricul-
ture and Food (Mr. Stewart) the possibility
of the four- or five-cent increase in milk
prices which has been prophesied! being re-
ferred entirely to the producer, being em-
braced entirely by the farmer, and this time
eliminating many of the middle men and
those who retail milk?
Hon. J. T. Clement (Minister of Consumer
and Commercial Relations): No, Mr. Speaker,
I have not discussed that particular matter
with my colleague.
Mr. Lewis: Has he yet noticed the most
recent increase in profits reported by the
Becker company?
Hon. Mr. Clement: Yes, I have, Mr.
Speaker; and I think the House will be
pleased to learn that some time next week
I will be filing a study prepared by my
ministry which I referred to in a discussion
between the leader of the New Democratic
Party and myself about two weeks ago.
Not only does it deal with that particular
industry but with several other retail stores
—major chains, and I'm thinking of Maple
Leaf Mills, which is included there too. I
think the member vdll find it of great in-
terest. I'll have that available some time next
week for the hon, member.
Mr. Speaker: The hon. member for Scar-
borough West.
AUTOMOBILE INSURANCE RATES
Mr. Lewis: I want to ask one last question
of the same minister and that's all. May I
ask him, has he considered calling in the
various insurance companies— the automobile
insurance companies in particular— to take a
look at their premium rates as a way of
effecting reductions which would eliminate
the inflationary costs for all of those who
drive; to bring the rates in Ontario, let us
say, in line with the rates of a province lik^
Manitoba?
Mr. V. M. Singer (Downsview): They've
just raised their rates at least 20 per cent.
Hon. Mr. Clement: Mr. Speaker, I have
just two comments there. The oflBce of the
superintendent is always concerned vwth
rates and discusses rate structures and re-
quested increases with the industry each
and every year.
With reference to the other province men-
tioned, I had the opportunity of being in
British Columbia some three weeks ago
and the government system there provides for
$14 per hour for labour bestowed on an
automobile in repairing it. The programme
started, I believe, three or four weeks ago
today. When I read an article in the paper
two or three days later the complaints of
the public out there were that the repair
industry would not accept $14 per hour,
but in fact added to that somewhere in the
neighbourhood of $1.50 to $3 per hour in
addition to the provincial plan.
I bring that to the attention of the House,
not as a criticism of that particular plan, but
to show some of the realities of the cost
increases that in fact the consumers are
facing. I can only assure the House that the
superintendent's oflBce will continue to be
vigilant insofar as rate increases requested by
the industry are concerned.
534
ONTARIO LEGISLATURE
Mr. Levds: Has the minister done any
rate comparisons of the three provinces?
Hon. Mr. Clement: Yes, the superintend-
ent has.
Mr. Lewis: Well, we will provide them to
the minister next week.
Hon. Mr. Clement: Add in the $9 a year
driving-licence charges to that, too.
Mr. Speaker: The hon. member for Wel-
land South.
RAPID DATA CORP.
Mr. R. Haggerty (Welland South): Thank
you, Mr. Speaker. I would like to direct a
question to the Minister of Consumer and
Commercial Relations. Has the minister taken
any steps to ensure that the $6.5 milhon in
Eaton's employees' pension fund that was in-
vested in Rapid Data Corp. is protected now
that the company has gone into receivership?
Hon. Mr. Clement: I'm sorry, I didn't hear
the entire question, Mr, Speaker.
Mr. Haggerty: Has the minister taken any
steps to ensure that the $6.5 million in Ea-
ton's employees' pension fund that was in-
vested in Rapid Data Corp. is protected now
that the company has gone into receivership?
Hon. Mr. Clement: Mr. Speaker, I will be
meeting with the director and two members
of the pension commission at 11 o'clock this
morning.
Mr. Speaker: The hon. member for High
Park.
ALLEGED MAFIA ACTIVITIES
Mr. Shulman: I have a question of the
Solicitor General, Mr. Speaker. Has his de-
partment been asked by the American police
to co-operate in the investigation of the
murder of one Harvey Leach? In the course
of its investigation, has it looked into the
activity of the Toronto lawyer who financed
Mr. Leach through a Queen St. investment
corporation? What is he doing about that par-
ticular problem of laundering money which
is being used in Detroit, through Toronto?
Hon. G. A. Kerr (Solicitor General): Mr.
Speaker, I haven't any direct information at
this time involving one Mr. Leach. It is quite
possible, of course, that the Ontario Pro-
vincial Police have some information, as well
as the Police Commission, the Metropolitan
Toronto Police, and our police information
agency. I personally haven't any information
at this time.
Mr. Shulman: Will the minister inquire
and inform me?
Hon. Mr. Kerr: What does the member
particularly want to know?
Mr. Shulman: I am interested in what the
Solicitor General is doing about the launder-
ing in this city of Mafia money, which is
then being sent back to the United States
for criminal activities.
Hon. Mr. Kerr: I'll inquire if that is a
problem.
Mr. Speaker: The hon. member for Huron.
RAYFIELD LAND DISPUTE
Mr. J. Riddell (Huron): Thank you, Mr.
Speaker. I have a question of the^ Minister
of Natural Resources.
Considering there has been an ongoing
dispute over the legal ownership of land on
the river flats in Bayfield, which is in Huron
county, and considering that the town of Bay-
field has served an injunction on the alleged
owners for the dredging and removal of sand
on the land in question, w'hy did his ministry
oflBcials do a complete about-face within a
matter of one week and allow the alleged
owners of the land to cut a channel into the
river, which is contrary to sections 3 and 4
of the Beach Protection Act?
Hon. L. Bemier (Minister of Natural Re-
sources ) : Mr. Speaker, I will have a complete
report prepared on this particular matter and
report to tlie member.
Mr. Speaker: The hon. member for—
Mr. Lawlor: Lakeshore.
Mr. Speaker: I'm sorry— Lakeshore.
Mr. Lawlor: We will have to get acquaint-
ed one of these days, Mr. Speaker.
Interjections by hon. members.
CONDOMINIUM SPECULATION
Mr. Lawlor: I want to ask a question of
the Minister of Consumer and Commercial
Relations and other forms of alienation.
Is the hon. minister aware that certain
lawyers in particular, but others as well, are
ripping off his condominium legislation in the
MARCH 29, 1974
535
way of pure speculation by buying up units
which they have no intention of moving into
and selling them off at gross profits?
Hon. Mr. Rhodes: Lawyers are doing that?
Mr. Singer: Just lawyers?
Hon. Mr. Clement: Mr. Speaker, I am not
aware of any such practice pertaining to any
particular group.
Insofar as the speculation in condominiums
is concerned, I suppose it is like any other
asset and people will continue to speculate
in it in the hope of making fast profits. But
I am not aware of any practice that is con-
tinuing.
Mr. Lawlor: Why doesn't the minister plug
it in his new legislation?
Mr. Lewis: No, not any assets, just hous-
ing.
Mr. Lawlor: Supplementary, Mr. Speaker:
Has the minister heard that, as a matter of
budget, his government intends to introduce
a 75 per cent capital gains tax on such forms
of speculation?
Hon. Mr. Clement: Have I heard that?
Mr. Lawlor: Yes, has he heard that?
Hon. Mr. Clement: No.
Mr. Lawlor: Oh.
Mr. Speaker: The hon. member for Rainy
River.
INSPECTION OF LICENSED PREMISES
Mr. T. P. Held (Rainy River): Mr. Speaker,
I also have a question of the Minister of
Consumer and Commercial Relations.
Does the minister not feel that his oflBcials
in the Liquor Licence Board of Ontario made
a booboo, if I may use that word—
Hon. Mr. Rhodes: Watch your languagel
Interjections by hon. members.
An hon. member: That was the wrong
word.
Mr. Held: —in their instructions this week
to the liquor inspectors to investigate the
shows or entertainment, whatever words one
wants to use, in licensed lounges? Does the
minister not feel that perhaps the tactics of
the LLBO, the way they go about almost
blackmailing the people holding liquor li-
cences in this province, should be something
that should be looked into— that and their
arbitrary methods?
Hon. Mr. Clement: Mr. Speaker, I must
object to the tenor of the question put by
the member of the Liberal-Labour Party for
Rainy River insofar as his reference to black-
mail is concerned. I am also grateful for his
question on this matter of great public ur-
gency with reference to the Liquor Licence
Board of Ontario directive, which went for-
ward this week.
The directive was issued this week, arising
out of a series of complaints. I can assure
the House that the basis of one of the com-
plaints was extremely valid; that particular
matter has not been completely resolved by
the courts, and I can make no further com-
ment on that particular thing.
I asked the board to review its directive,
which was objective, for the simple reason
that there were entertainers appearing, ac-
cording to my information— and not in loung-
es; I'm not referring to the straight lounges,
I'm talking about dining lounges only— there
were entertainers appearing in dining loung-
es, described as go-go dancers, who in fact
did not remove any particle of their clothing;
and the directive as it went forward would
preclude that type of entertainment where
children were present.
As far as the other type of entertainment
is concerned, there is a valid point to be
made that this sort of entertainment should
not be available where children under the
age of 18, accompanied by their parents, are
having a meal.
Mr. Breithaupt: They would do better to
watch it on Global.
Mr. Reid: Supplementary, Mr. Speaker:
Does the minister not feel that the LLBO is
one of the most arbitrary emanations of
government in the Province of Ontario?
Is he aware for instance of a directive that
went out some time ago to private clubs in
the province saying that they could no longer
hold a happy hour and give their members
reduced prices on drinks between the hours
of five and seven; and that they were not
allowed to serve hot hors d'oeuvres to their
members. Now, it is things like that that are
completely arbitrary and asinine.
Does the minister not think it's time that
he looked into the whole matter and set
down some guidelines for the LLBO, instead
of letting them think these things up over
coffee or from wherever they come?
536
ONTARIO LEGISLATURE
Hon. Mr. Clement: The hon. member has
asked three questions— and my answer to the
first two is "no"; and the third one is "y^s."
We are in fact reviewing in depth the policies
and legislation affecting the LLBO and the
LCBO.
Mr. MacDonald: Supplementary question.
Mr. Speaker: The hon. member for York
South.
Mr. MacDonald: In this critical area of
consumer protection that the minister is ob-
viously so preoccupied with at the moment,
does the minister not feel that if you want
to enforce the law it should be enforced by
the front door rather than using liquor regu-
lations to enforce it by the back door?
If there is a violation of the Criminal
Code, whatever the minister's interpretation
or the government's interpretation of the
moral implications of it are, shouldn't it be
enforced through the Criminal Code rather
than through the back door on hquor regu-
lations?
Hon. Mr. Clement: Mr. Speaker, I do feel
that the provisions of the Criminal Code are
most predominant and that charges dealing
with indecency or morality should, of course,
flow from the Criminal Code and be a matter
of jurisdiction for enforcement by the local
police. There is no question that my feeling
Mr. MacDonald: Why is the government
operating through the back door?
Hon. Mr. Clement: —that is number one.
In the criminal courts the test, of course, is
beyond a reasonable doubt. The standards,
insofar as they are imposed by the Liquor
Licence Board of Ontario, are not quite as
stringent; there is a question of public taste.
When we receive complaints, through that
board, from bona fide members of the public
objecting to certain performances-
Mr. Reid: What is a bona fide member of
the public?
Hon. Mr. Clement: —in a dining lounge
where children are present, I take the posi-
tion the board has every right to demonstrate
through its directives and instructions the
standard that it expects from a person holding
a licence in this province.
Mr. Reid: Supplementary, Mr. Speaker.
Mr. Speaker: The hon. member for Rainy
River.
Mr. Reid: Can the minister explain what
a bona fide member of the public is; and
alternately what a non-bona fide member of
the public is?
Mr. MacDonald: The president of the local
Tory riding association.
Hon. Mr. Clement: I will demonstrate that
by saying a complaint which is not originated
or encouraged by, perhaps a competitor; that's
what I mean by a bona fide member of the
public. Sometimes complaints come in and
we check them out and find that in fact they
have emanated from someone who has a vest-
ed interest in a similar tj'pe of organization.
Mr. Lewis: Like the police.
Hon. Mr. Clement: Therefore I don't, as an
individual, place as much credibility on that
type of complaint as I would on one originat-
ing from a member of the general public.
Mr. Shulman: Supplementary, Mr. Speaker.
Mr. Speaker: The hon. member for High
Park.
Mr. Shulman: Can the minister explain how
the Liquor Licence Board of Ontario has as-
sumed authority, without anything in the Act
giving it that authority, not only on censor-
ship but also on building standards and on
advertising?
Does the minister know that Chief Mackey
—"Boss" Mackey— has issued instructions that
people who have licences under the Liquor
Licence Act may no longer advertise that they
sell liquor? Is he aware of that? And that
the owners of Maxwell's Plum were called
down because they used the word "drink" in
their advertisement. What authority do they
have to assume these: "I am the law; I am
the law," tactics of "Boss" Mackey?
Hon. Mr. Clement: Mr. Speaker, any com-
mission board or ministry operates on the
basis of statutory legislation, regulations made
under the statute and by policy directives.
Mr. Shulman: There are no regulations for
that.
Hon. Mr. Clement: There is nothing unique
about this; and if a policy is codified and is
inflexible then it has to apply to all. Very
often some of these things must be slightly
inflexible because of particular problems in
a particular area.
Therefore the policy matters are within the
scope of the board, and if policy directives
go forward and work very well and the pub-
lic is aware of the policy— and I think this
MARCH 29, 1974
537
is the root of the problem; that often policy
goes forward from boards and commissions
and the public are not aware. I am sympa-
thetic to the public. I would like to see most
policies resolved into regulations if at all pos-
sible. Sometimes it is impossible to do that.
Mr. Shulman: These policies come out of
Mackey's wet dreams.
Mr. Speaker: The hon. member for Kent.
APPROVAL OF OFFICIAL PLANS
Mr. J. P. Spence (Kent): Mr. Speaker, I
have a question of the provincial Treasurer.
Is the minister aware of the large number
of municipalities that have sent in official
plans— some of them as far back as October,
1973— and have not had approval as yet? As
this is causinor delay in work in towns, when
will these official plans be approved by the
Treasurer's department?
Hon. J. White (Treasurer, Minister of Eco-
nomics and Intergovernmental A.ffairs): Well,
sir, as of Jan. 8 this responsibility went to
the Ministry of Housing, so I guess the pre-
cise answer to the member's question is
never, insofar as I am concerned.
Mr. Reid: That's the Treasurer's answer to
everything.
Hon. Mr. White: The member might re-
direct the question to the Minister of Hous-
ing (Mr. Handleman) and get a better answer
than that though.
Mr. Spence: Well, I refer my question to
the Minister of Housing.
An hon. member: He's not here.
Mr. Speaker: I think the hon. member
might put his question at another time when
the minister is here.
The hon. member for Sudbury East.
AIR MANAGEMENT BRANCH
INSPECTOR
Mr. Martel: A question of the Minister of
the Environment. Has he found a replacement
yet for Mr. Ross MacKenzie in the Sudbury
area?
Hon. W. Newman (Minister of the En-
vironment): No, we haven't replaced him as
yet.
Mr. Martel: I think they are getting some-
body from Algoma.
Mr. Speaker: The hon. member for Kit-
chener is next.
REDISTRIBUTION OF ELECTORAL
BOUNDARIES
Mr. Breithaupt: Mr. Speaker, a question of
the Premier: Can the Premier give us any
preliminary information or a progress report
on the operation of the commission dealing
with redistribution within the Legislature?
And can he advise us if there is any con-
sideratiou' being given for the holding of
public hearings, at least on a regional basis,
and the amending of the terms of reference
for the commission in that regard?
Hon. Mr. Rhodes: I hope Hansard got that.
Hon. Mr. Davis: Mr. Speaker, I can only
report to the members of the House that the
commission is obviously making progress. I
think the general pattern that will be followed
will be for their preliminary report to be
made available to the House, after which
time there will be opportunities for discus-
sion, by some members I am sure and mem-
bers of the public, before it is then returned
here for final passage. I can't tell the hon.
member the exact date, but I think it is per-
haps only three or four weeks away.
Mr. Speaker: The hon. member for Sand-
wich-Riverside.
ENFORCEMENT OF LIQUOR
REGULATIONS ON TRAIN
Mr. Burr: Mr. Speaker, I have a question
of the Minister of Consumer and Commercial
Relations. Has the minister any plans for
maintaining law and order on tonight's train
from Windsor—
Hon. Mr. Grossman: Did the member for
Scarborough West hear what he said? Law
and ordfer!
Mr. Lewis: What? Yes.
An hon. member: The member for Sand-
wich-Riverside caused the problem.
Mr. R. F. Nixon: From Windsor or to
Windsor?
Mr. Burr: —from Windsor to Toronto-
Mr. Breithaupt: What are the minister's
plans there?
Mr. Burr: -by enforcing the province's
liquor regulations?
538
ONTARIO LEGISLATURE
An hon. member: Oh!
Interjections by hon. members.
Hon. Mr. Clement: I am astounded to learn
from the tenor of the hon. member's ques-
tion that law and order is not being applied.
I just received a complaint, as I take it from
the member for High Park, regarding the
application of law and order. I am not aware
of any breaches of the Liquor Control Act.
Interjections by hon. members.
Hon. Mr. Clement: If the member will
draw them to my attention-
Mr. Shulman: No, no; the misapplication
of law and order— the misapplication.
Hon. Mr. Clement: —I will certainly under-
take to see that they are looked into. Could
the member let me know what the matters
are of which he complains on that particular
train? I have never been on the train; I may
want to go on it.
Interjections by hon. members.
Mr. Lawlor: That will only compound the
diflBculty.
Mr. Ruston: Must have been streakers
through the bar.
Interjections by hon. members.
Mr. Burr: As a supplementary question, Mr.
Speaker-
Interjections by hon. members.
Mr. Burr: —does the minister forget the
correspondence we have had on this matter?
Interjections by hon. members.
Hon. Mr. Clement: Mr. Speaker, I forget a
lot of things and if I have overlooked it I
apologize to the member. I don't recollect it
at this particular moment and I will look into
it. I am sorry but, no, I don't recollect it.
Interjections by hon. members.
Mr. Martel: The minister had only 12
letters. One of the minister's parliamentary
assistants has taken over.
Mr. Speaker: The hon. member for York
Centre.
NORTH PICKERING DEVELOPMENT
Mr. Deacon: A question of the Premier:
Since the imposition of the ministerial order
on the noise lands in the proposed' Pickering
airport was a provincial action, does the
Premier intend to require the federal govern^
ment to pay owners aflFected for the rights
that have been denied them for the last two
years or to lift the order now that this form
of discrimination is becoming such a burden
on the people affected?
Hon. Mr. Davis: Mr. Speaker, I would only
pass an uninformed legal opinion. I would
suggest the hon. member might ask the ques-
tion of the Attorney General (Mr. Welch), who
I think would take it as notice. I question
whether this province can order the federal
government to pay compensation to anybody.
Mr. Deacon: Supplementary: Since the
action is a provincial action that was taken
only by the province and is its own decision;
and since that is a form of discrimination and
the province has the right to lift that order
any time it wishes, will the province lift the
order since the federal government has not
provided for compensation?
Hon. Mr. Davis: Mr. Speaker, contrary, I'm
sure, to the view of some on occasion, this
government does try to co-operate with our
federal government.
Mr. Deacon: The Premier is talking out of
both sides of his mouth,
Hon. Mr. Davis: The federal government
has asked that these orders be placed on, if,
by some chance, that area does become an
international airport. I think there is wisdom,
not for a prolonged period of time but for a
period of time, in having this form of order
there.
It's very diflBcidt. We would prefer not to
do it. We would prefer that the federal gov-
ernment, quite frankly, assume the respon-
sibility, but it doesn't have, I assmne, the
legal right to do so. If the hon. member is
saying to us lift the order and let the federal
government then solve its own problems, I
find that an interesting suggestion.
Mr. Deacon: Supplementary: Does the
Premier not realize that, in view of his power
to impose this order, he has the right to de-
mand of the federal government compensa-
tion for those affected? Why doesn't he talk
through just one side of his mouth instead of
two sides at one time?
Interjections by hon. members.
Hon, Mr. Davis: Mr. Speaker, I would only
say to the hon. member opposite that if there
is anybody who knows how to talk in a hypo-
critical sense on certain very important issues
it is that particular member. He can talk to
MARCH 29, 1974
539
us about this diflRcult issue where we are try-
ing to co-operate with the federal govern-
ment, but he shouldn't come into this House
and say that I am talking out of both sides
of my mouth after what he did in relation to
the York county school situation^
Interjections by hon. members.
Hon. Mr. Davis: —seize the board one day
and local autonomy the next day.
Mr. Speaker: Order.
Mr. Lewis: It shouldn't be allowed'.
Mr. Speaker: Order, please.
Mr. Lewis: The Premier pays him. I know
he pays him.
SHINING TREE PHONE SERVICE
Mr. Laughren: Mr. Speaker, I have a ques-
tion of the Minister of Transportation and
Communications, although under standing
order 27(j), he might wish to refer the ques-
tion to the member for Fort Wilham (Mr.
Jessiman), the chairman of the Ontario North-
land Transportation Commission.
In view of the fact that the government's
intentions in the Throne Speech indicated an
end to the commimications problems in the
remote communities in northern Ontario; in
view of the fact that the minister made a
statement very recently in which he said:
"Once and for all, a communications remote-
ness of the communities of northern' Ontario
will be ended"; in view of the fact that the
Northern Telephone Co., a private enter-
prise—
An hon. member: Owned by the Bell.
Mr. Laughren: —has agreed to establish an
exchange in the community of Shining Tree
in the riding of Nickel Belt; and in view of
the fact that Ontario Hydro have agreed to
let the Ontario Northland use their lines if
they wished; how is it then, that the Ontario
Northland has refused to establish the toll
lines into the community of Shining Tree so
that people in the community could have
communication, not only among themselves,
but with the outside world as well?
Hon. Mr. Grossman: It is like an amend-
ment to the Throne Speech.
Mr. E. M. Havrot (Timiskaming): It is like
communicating with smoke signals.
Hon. Mr. Rhodes: Mr. Speaker, could the
hon. member repeat the question?
Mr. Speaker: There are only 30 seconds
remaining.
Hon. Mr. Rhodes: Mr. Speaker, obviously
the answer to that would take more than 30
seconds and I would like to take time to get
the information. I'm not famihar with the
problem he is talking about.
Mr. Speaker: The hon. member for Downs-
view, 25 seconds.
SAVINGS FROM ONE MINISTER
HOLDING TWO PORTFOLIOS
Mr. Singer: Mr. Speaker, I have a question
of the Attorney General. Could the Attorney
General tell us what savings he has been able
to effect since he became at the same time
the Provincial Secretary for Justice and the
Attorney General, since now there is only one
minister instead of two, and since now there
is only one deputy minister instead of two?
How much of the $358,000 set aside for the
oflSce of the Provincial Secretary for Justice
has been saved since this great event took
place?
Mr. Speaker: There are 10 seconds re-
maining.
Hon. R. Welch (Provincial Secretary for
Justice and Attorney General): Mr. Speaker,
I woiJd be very glad to share that informa-
tion with the hon. member when we go
through our estimates.
Mr. Speaker: The time for oral questions
has expired.
Petitions.
Presenting reports.
Hon. Mr. Welch: Mr. Speaker, yesterday
I gave an answer to a question asked earlier
by the hon. member for Scarborough West
dealing with a caution filed with respect to
certain lands in some 110 townships in the
district of Nipissing by the Bear Island Foun-
dation. The hon. member for Riverdale (Mr.
Renwick) asked if I would table a copy of
that caution, which I am very pleased to do
this morning.
Mr. Speaker: Motions.
Hon. Mr. White moves, seconded by Mr.
Winkler, that the Treasurer of Ontario be
authorized to pay the salaries of the civil
service and other necessary payments pend-
ing the voting of supply for the fiscal year
commencing April 1, 1974, such payments to
540
ONTARIO LEGISLATURE
be charged to the proper appropriations fol-
lowing the voting of supply.
Mr. R. F. Nixon: Mr. Speaker, briefly on
the motion, I would like to point out to you,
sir, as I have in the past, that I am not
aware that all other democratic jurisdictions
use this procedure. In fact, it simply means
that our discussions of the estimates for the
next many months tend to be somewhat aca-
demic since the approval of the estimates and
the right to pay the moneys out of them are
granted by way of this fairly routine motion
—or it has been routine in the past— to the
Treasurer.
In other jurisdictions, as I understand it,
there is approval given but not for the full
year's expenditure. It is on a monthly basis,
I believe, in the House of Commons and it is
therefore necessary for the Treasurer or a
representative of the government to come
before the House at regular intervals to get
an extension of the authority to pay if the
estimates have not, at that time, been ap-
proved.
I am not prepared to off^er any substantial
objection other than that, Mr. Speaker, and
other than that perhaps the Treasurer might
do a survey of the procedures in other legis-
latures and parliaments, because it seems to
me that the rights of the House are somewhat
seriously infringed when we pass a blanket
motion of a routine nature, such as this,
which gives the right to spend the whole
blooming $7 billion to $8 billion without any
power to hold back by the House in the
long run.
Hon. Mr. White: Sir, I am interested in
these comments. I thought this was the prac-
tice in the British parliamentary system
throughout the world. I do not see any ob-
vious advantage to bringing in a motion like
this once a quarter or once a month. I do
point out that the estimates, while they won't
be concluded until perhaps next October or
November, will be approved progressively
and to that extent the dependence upon this
motion is thereby diminished. However, I
will accept the suggestion made by the
Leader of the Opposition to see what the
practice is elsewhere and see if this can,
indeed, be improved upon.
Motion agreed to.
Mr. Speaker: Introduction of bills.
Orders of the day.
Clerk of the House: The first order, re-
suming the adjourned debate on the amend-
ment to the amendment to the motion for an
address in reply to the speech of the Honour-
able the Lieutenant Governor at the opening
of the session.
THRONE SPEECH DEBATE
Mr. Speaker: The hon. member for Al-
goma.
Mr. B. Gilbertson (Algoma): Mr. Speaker,
it is a privilege for me this morning to par-
ticipate in the Throne debate. I must say I
wasn't really anticipating coming on so soon.
But Friday mornings sometimes are a little
bit difiicult— some of the speakers are not
ready— so I thought I would get up and make
a few comments.
First, Mr. Speaker, I am very pleased that
you are back in the Speaker's chair. I knew
you had a difficult time; you had a period
of illness but I know I express the views of
this House when I say how pleased we are
to see you back in the chair and performing
your function in a very eflBcient way, as usual.
Then, Mr. Speaker, as we all realize, there
has been quite a shufiling in the cabinet-
Mr. S. Lewis (Scarborough West): Yes, of
course.
Mr. Gilbertson: —and I want to congratu-
late everyone who has been promoted to
cabinet posts.
Mr. P. D. Lawlor (Lakeshore): Congratulate
those who have been demoted.
Mr. Gilbertson: And also I want to con-
gratulate those who didn't get promotions who
have taken it so well, I don't see anybody
disgruntled around here at all.
Mr. Lawlor: I have never seen so many
unhappy faces. They wept for two days.
An hon. member: There is more than the
one who is disappointed.
Mr. Lawlor: They are not even here this
morning.
Mr. Gilbertson: Mr. Speaker, I have been
very interested and quite enthused about
some of the rumblings that I have been hear-
ing about nuclear plants being established
through the various parts of the Province of
Ontario. I have invited one of these nuclear
plants to be established somewhere along the
north shore in the riding of Algoma.
Mr. E. P. Momingstar (Welland): Great
stuff.
MARCH 29, 1974
541
Mr. Gilbertson: It is something that we
know would be quite a boon to the economy.
And it is something that we need, because
certain parts along the north shore are rather
depressed areas where we need some more
labour incentives and so on. I am sure that
the minister will look favourably on establish-
ing a nuclear pl'ant in the Thessalon-Blind
River area. They can even come up to Bruce
Mines, Desbarats, or right over to St. Joseph
island.
Now that we have such an extensive maple
syrup industry there, we could use a sec-
ondary industry such as a nuclear plant.
Mr. H. C. Parrott (Oxford): Where are the
samples?
Mr. Momingstar: No samples?
Mr. Gilbertson: And I am pleased with vari-
ous things that are happening in the riding
of Algoma. Not very long ago I had the
privilege of announcing a sawmill operation
that's going into White River. It is a $9 mil-
lion enterprise and is needed up in that part
of the riding. I am very pleased that this is
going to become a reality.
Mr. Morningstar: Good government.
Mr. Gilbertson: And there are rumblings
from other industries-
Mr. F. Laughren (Nickel Belt): There are
rumblings in the PC Tory organization.
Mr. Gilbertson: Well, I think the rumblings
in the PC organization are not too bad. They
are favourable rumblings.
Mr. Lewis: We are just hoping they are
not too bad. We don't want any palace revo-
lution in Algoma, thank you very much. We
are supporting the member. We have signed
a lot of people into the Tory party to make
sure he gets the nomination.
Mr. Gilbertson: Well, I am going to tell the
members something. I appreciate any sup-
port, whether it comes from the NDP or the
Liberals-
Mr. Lewis: I can understand that.
Mr. Gilbertson: —or whoever it comes from.
I am sure—
An hon. member: And the member for Al-
goma gets it all, too, doesn't he?
Mr. Gilbertson: When you get a plurality
like I got in Algoma, there have got to be
some NDP and some Liberals who vote for
me.
Interjections by hon. members.
Mr. Gilbertson: You know there's the old
saying that the brass is getting too far away
from the grass. Well, you can't say that in
the Algoma riding, because I am right with
the grass roots of the people.
Mr. Momingstar: Great.
"Where is he? What
Mr. Lewis: They ask:
has he been doing?"
Mr. Gilbertson: Oh, yes, well, of course
this is a good opportunity for the leader of
the NDP to throw in a little flak because he
knows that the interjections go into Hansard
and he is trying to discredit me.
Mr. Lewis: Oh, no. Shame, shame. I love
the member for Algoma.
Mr. Gilbertson: Yes, I know he does. He
loves me but he would hate like everything
for me to get re-elected again.
Mr. Lewis: That's exactly right. I would
like that in Hansard. I think there should be
a change in Algoma.
Mr. Gilbertson:
Scarborough-
Does the hon. member for
Mr. Lewis: West.
Mr. Gilbertson: —West— realize how close
he was to not being in here at all?
Mr. Lewis: I won by 170 votes.
Mr. Gilbertson: That's right. But in the
previous election I think the member got
a plurality of about 6,000 or 7,000.
Mr. Lewis: Just about. Well, I like the
rhythm of fluctuation.
Mr. Gilbertson: Yes.
Mr. Speaker: Order.
Mr. Lawlor: He wants to live dangerously.
The member for Algoma is too safe.
Mr. Lewis: Imagine talking about a nuclear
plant for Blind River when the Minister of
Energy (Mr. McKeough) said a couple of
months ago that it was Hydro's decision. It
was 10 years away. What about the—
Mr. Speaker: Order, please. The member
from Algoma has the floor.
Mr. Lewis: What about a serious thing for
the people of the members' community? Come
on, now. Let's talk about real things.
542
ONTARIO LEGISLATURE
Mr. Gilbertson: The leader of the NDP is
always so pessimistic.
Mr. Lewis: Talk about reality.
Mr. Gilbertson: He is too pessimistic.
Mr. Speaker: Would the member for Al-
goma speak to the chair, please?
Mr. Lewis: Call him into line.
Mr. J. H. Jessiman (Fort Wilham): The
member for Scarborough West will be leav-
ing.
Mr. Lewis: I hope so.
Mr. Gilbertson: Mr, Speaker, I am pleased
that one of the cabinet ministers who was
appointed just recently was the hon. member
for Sault Ste. Marie (Mr. Rhodes). It couldn't
be more appropriate than to have "Rhodes
for roads."
Mr. Lewis: That's another desperate efiFort
to hold a seat.
An hon. member: He will, though.
Mr. Gilbertson: Well look, one has to be
poHtical and astute. The member knows that
himself. Does he think we're stupid?
Mr. Lewis: As a matter of fact, I think
the member is a smart executive director. I
mean it in a generic sense.
Interjections by hon. members.
Mr. Gilbertson: The hon. member for Scar-
borough West thinks that way because I'm a
backbencher from up in the north, the place
where he's going to try to get votes. The way
he treats me will be the way he treats the
people up in Algoma.
Mr. Lewis: The way I treat the member?
Mr. Gilbertson: I'm their representative.
Mr. Lewis: I treat you aU right, my friendl
Mr. Gilbertson: I'm the representative-
Mr. Lewis: He certainly isl
Mr. Gilbertson: —for the riding of Al-
goma, and I'm representing the people.
Mr. R. D. Kennedy (Peel South): And a
good one.
Mr. Gilbertson: I think I'm doing a fair
job and the people know it.
Mr. Lawlor: I think my leader treats the
member for Algoma with a commendable
courtesy, considering everything.
Mr. Gilbertson: Now, we have quite a lot
of things that we want to get accomplished
up there in the north. Weve got a lot of
things done, but the north is just now start-
ing to really get into its own.
Mr. Lawlor: Oh, it's really moving ahead.
Let's hear it!
Mr. Gilbertson: We've got some good cabi-
net men up there. We have the hon. mem-
ber for Kenora (Mr. Bemier) in Natural Re-
sources.
Interjections by hon. members.
Mr. Gilbertson: And the people over there
have always been saying that we should have
people from the north representing the north.
Mr. Lawlor: He is pretty much of a dis-
aster, too.
Mr. Lewis: That's right.
Mr. Gilbertson: Now, I couldn't think of
a better setup than to have the hon. mem-
ber for Kenora there as Minister of Natural
Resources.
Mr. Lawlor: I could, without any imagi-
nation at all.
Mr. Gilbertson: Because we have all the
lumbering-
Mr. Lewis: If the member takes our views
he will be all right.
Mr. Lawlor: He's in the pocket of the big
guys up there.
Mr. Gilbertson: —and logging operations
and the minerals and all that up there.
Mr. Lawlor: He's a big guy himself.
Mr. Gilbertson: And then I couldn't think
of a better person than the hon. member for
Cochrane North (Mr. Brunelle) to represent
Community and Social Services.
Mr. Momingstar: Doing a good job!
Mr. Gilbertson: The north is getting on the
map.
Mr. Lewis: Is this the epitaph for the
Tories in northern Ontario? Is this the last
word?
Mr. Gilbertson: And then I think of the
hon. member for Fort William, chairman of
Ontario Northland, another northerner.
Mr. Laughren: He has done enough for
their image.
MARCH 29, 1974
543
Mr. Momingstar: Good job! A great mem-
ber!
Mr. Lawlor: A sinecure if I ever heard
of one.
Mr. Laughren: He even put a telephone
in Shining Tree.
Interjections by hon. members.
Mr. Gilbertson: And then I also think of
the-
Mr. Lawlor: They even have a special box-
car he rides in!
Mr. Gilbertson: Mr. Speaker, another
prominent member, too, is the hon. member
for Algoma-Manitoulin (Mr, Lane).
Interjections by hon. members.
Mr. Gilbertson: What is this fellow doing?
He's getting a great big new ferry to service
the Bruce Peninsula from South Baymouth
to Tobermory—
Mr. E. R. Good (Waterloo North): The
member for Grey-Bruce (Mr. Sargent) ar-
ranged that. Don't be so stupid.
Mr. Gilbertson: —just to bring more
tourist dollars up into that area there, and
it's a great thing.
Mr. Good: The hon. member for Grey-
Bruce arranged that.
Mr. Lawlor: Hey, did the member ever
get a bridge to get the people off Manitoulin
Island? He got one to get them on.
Mr. Momingstar: Oh, yes. He got it.
Mr. Gilbertson: No, no. The member is
talking about St. Joseph Island.
Mr. Lawlor: Oh, yes.
Interjections by hon. members.
Mr. Gilbertson: Mr. Speaker, I want to
speak on behalf of the people of Algoma,
and especially of St. Joseph Island. And a
big thank-you to this government for that
bridge across to St. Joseph Island.
Mr. R. Haggerty (Well and South): What
did they do with the ferry?
Mr. Gilbertson: I must say, Mr. Speaker,
that that was a political football. It didn't
matter what politician came over to St.
Joseph Island-
Mr. Lewis: Indeed it was.
Mr. Gilbertson: —to solicit votes. It started
back in 1890 when we first had our bridge
committee there. And after that, when an
election came up, every politician said St.
Joseph Island was going to get a bridge. It
never materialized until we finally got a
member from St. Joseph Island in the Legis-
lature of Ontario. The bridge is there. We're
using it. And we all appreciate it very much.
Mr. Momingstar: "Bernt Gilbertson,"
"Bemt Gilbertson."
Mr. Gilbertson: By the way—
An hon. member: It's called the "Bemt
Gilbertson" span.
Mr. Lewis: Does my friend know he left
one of his northern members out?
Mr. Gilbertson: I'm going to get back to
him too.
Mr. Lewis: The member is going to get
back to him?
Mr. Gilbertson: I think my friend is
thinking of the member for Thunder Bay
(Mr. Stokes).
Mr. Lewis: No, I'm not. The member left
one of his Tory members out. It's kind of an
interesting oversight. Tuck it away and think
about whom he missed.
Mr. Gilbertson: Let's see now— I started
at Kenora, and I kept coming down to Fort
William-
Mr. Lewis: Right. He's stuck up there on
Maple Mountain somewhere. Remember that.
Mr. Gilbertson: I know who the member
means.
Mr. Lewis: Yes?
Mr. Gilbertson: He's sort of from north-
eastern Ontario.
Mr. Lewis: I see. So is the Minister of
Community and Social Services.
Mr. Gilbertson: All right. I'd say that the
hon. member for Timiskaming (Mr. Havrot)
is doing a terrific job.
Mr. Lewis: Oh good, good.
Mr. Gilbertson: He's doing a terrific job
—and I'm sure hon. members will agree with
me.
Mr. Lawlor: Now the member loses credi-
bility. He had been doing pretty good until
now, but he has lost contact with the grass
roots again.
544
ONTARIO LEGISLATURE
An hon. member: No, he's got contacts
with the grass roots.
Mr. GUbertson: I might say, Mr. Speaker,
that in my seven years in the Legislature
I've seen a lot of things accomplished. There
have been a lot of changes in northwestern
Ontario and in northern Ontario.
I think, for instance, of the various high-
ways that we have established there; there is
one in particular that helps me out and I
use considerably, Highway 631 from White
River to Homepayne. It runs from High-
way 17 right through to Highway 11. Home-
payne is located right in the middle between
those two highways. Before that highway
was established, I would either have had to
fly in or drive 265 miles around from White
River. Now it's only 61 miles across. In an
hour and a quarter or so I can make it
over into Homepayne.
I think also of the various hamlets in my
riding. I don't have any big towns. I'm very
concerned about the economies of places like
Homepayne. They have to depend mainly
upon the CN railway, but they have a very
prominent lumbering oneration there and, to
a certain extent, it's the lifeline of Home-
payne. I would appreciate very much seeing
that this lumbering operation continues for
years to come. This company is working on
a sustained yield. They're working on the
basis of perpetuation. One can go over
some of their cut-over limits and see the
second growth coming up. This is the way
we should operate—
Mr. Laughren: Who planted them?
Mr. Gilbertson: —and I'm sure the min-
ister agrees with me, that this sustained yield
and the perpetuation of our forests are things
of which we should be more aware. I think
we should be more aware of the perpetuation
of our forests, not just in the type of opera-
tion we have in northwestern Ontario, where
they depend mainly on jackpine, spmce and
other softwood species but also, I think, in
our hardwoods operation.
I think we should operate with the per-
petuation of the forests in mind. We should
take care that we don't go in and just ruin
the forest without being concerned about the
upcoming younger growth, because in that
area it would probably take 50 years I would
say, for a tree to grow to 6 in. in diameter. We
need to be careful that we don't set back 50
years of growth when we're harvesting the
forests. I think this is something of which
lumber operators should be very much
aware, and we should be sensible about the
way we take out our timber and look after
our resources.
I might say that another thing which I
think is very good is that, as members know,
a few years ago a lot of the gold mines
closed down because they couldn't operate.
They were just marginal, they weren't making
any profit and many of the mines had to
phase out. But now, with the price of gold,
several of these gold mines are being re-
vived and this is a good thing because in a
riding such as mine we depend on the
natural resources.
There is an awful lot of good potential
in the copper ore deposits up there. There
may not be anyone big enough to set up
a large operation but if we had some type
of a smelter located where we could take
these small deposits it would help out the
little fellow. I can't help thinking about the
member for Welland; he often brings it up
when he gets up to speak. He says we have
got to look after the little fellow and this is
what we need to do in a riding such as
mine. We may not have very many big
fellows but we have a lot of little ones.
Mr. J. P. MacBeth (York West): The mem-
ber is a big fellow.
Mr. Gilbertson: These are the kind of
people I like to take care of and like to
assist.
Mr. Momingstar: You bet.
Mr. Gilbertson: I don't know how long I
have been speaking, Mr. Speaker-
Mr. Momingstar: More, more; he is doing
well.
Mr. Gilbertson: —but I don't mind it a bit
because I think my people in my area want
their member to get up and represent them.
It is one thing to do a lot of constituency
work but one has to be heard from time to
time in the Legislature and make it known
to the members and the whole of Ontario
what our government is doing, and to present
our needs as well.
Mr. Lawlor: And what it is not doing.
Mr. Gilbertson: I believe in the saying,
"Ask and ye shall receive; seek and ye shall
find. Knock and it shall be opened unto you."
I do knocking on doors and I do seeking and
I must say that I do some finding.
Mr. Lawlor: The Premier (Mr. Daxis) is
not the member's heavenly father.
Mr. Gilbertson: Would he repeat that?
MARCH 29, 1974
545
Mr. Lawlor: No, I won't.
Mr. Gilbertson: I believe in a heavenly
father.
Mr. Lawlor: I said the Premier is not his
heavenly father.
Mr. Gilbertson: No, but he comes next.
Mr. Lawlor: That's pretty good.
Mr. Gilbertson: That is something I was
almost omitting. One of the most important
things is to compliment our Premier for the
great job he has been doing. It is a very
diflBcult job and it is very hard in this day
and age when people are so unsettled and
it seems as though we are all getting greedier
all the time. We want, we want, we want.
Let us not forget that the tax money we
are working with comes out of the people's
pockets and whatever we want has to be
paid for somewhere along the line. I think
we have a Premier who, I feel, is running
this province in a very efficient way.
I want to congratulate our Minister of
Education (Mr. Wells) for the wonderful job
he did through the difficult situation that
arose with the teachers-
Mr. Haggerty: Which he created.
Mr. Gilbertson: —especially in North York.
I am pleased that so many teachers and school
boards got their grievances settled.
Mr. Lawlor: He needs a little congratula-
tion.
Mr. Gilbertson: I felt that the minister con-
ducted himself very well through a difficult
job.
Mr. Haggerty: The member must be look-
ing for a cabinet post.
Mr. Gilbertson: Now I am only a back-
bencher-
Mr. MacBeth: He is in the front bench
now.
Mr. Gilbertson: —but I have been impressed
—there are certain things that a cabinet min-
ister does which will impress one, either fa-
vourably or unfavourablj'- and I say in this
particular case, the minister went away up
in my estimation with the way he handled
the situation.
Our government, from time to time, will
have to take stands and make decisions which
may not be the popular things to do but are
the right things to do. I am pleased when a
member will stand up and say, regardless
of what the consequences are, "I feel that this
is the right thing to do. Whether it is going
to affect us adversely politically or not, we
are going to do it because it is right."
That is the kind of government that the
Conservative government has been.
Mr. Lawlor: They won't do it again before
the next election.
Mr. Gilbertson: This is the way we have
performed for over 30 years. I believe that
the people of Ontario are convinced that we
are doing a good job. How do we prove it?
Because we have been re-elected.
An hon. member: Year after year.
Mr. Lawlor: The government is beginning
to wind down a bit now.
Mr. Haggerty: It is going to go the other
way.
Mr. Gilbertson: I'm sure there are enough
sensible people in Ontario who know when
the government is doing a good job and when
it is not.
An hon. member: The member is right.
Mr. Lawlor: The government just spends
more money than anybody else; that's all.
Mr. Gilbertson: I just happened to notice
across the way the member for Armourdale
(Mr. Carton), who has decided that he is not
going to continue in politics too much longer.
Mr. T. P. Reid (Rainy River): Neither will
the member for Algoma.
Mr. Gilbertson: I must say that I must con-
gratulate the former Minister of Transporta-
tion and Communications for the fine job that
he was doing in his department.
Mr. Lawlor: If only the government had
recognized it.
Mr. Gilbertson: There is one thing that I
am pleased about and I'll never forget it. On
that bridge going across to St. Joseph Island
there is a beautiful bronze plaque and it
has on it "the Hon. Gordon Carton and MPP
Bemt Gilbertson."
Mr. Good: Which is more important?
Mr. Lawlor: We'll put a wreath up under
Mr. Gilbertson: And that is a monument
for years to come. I thank the minister for
finding the time to come up and help us to
celebrate the official opening of that bridge.
546
ONTARIO LEGISLATURE
Mr. Haggerty: But did the member for
Armourdale get the oil painting in his ofiRce?
Mr. Gilbertson: There will be projects that
are similar to that and we'll continue to do
these kinds of things for the people of the
north.
So, Mr. Speaker, without any further ado,
I think I'll just take my seat and thank you—
An hon. member: Tell us about the Algoma
Central Railway.
Mr. Good: That's a good idea.
Mr. Gilbertson: —for this opportunity to
speak this morning.
Mr. Speaker: The member for Waterloo
North.
Mr. E. R. Good (Waterloo North): Thank
you, Mr. Speaker. It seems I always get the
tough acts to follow. When I made my maiden
speech I had to follow the member for High
Park (Mr. Shulman) back about seven years
ago. Today it is the member for Algoma (Mr.
Gilbertson). I don't know which is the worse.
Mr. H. C. Parrott (Oxford): Does the mem-
ber ever think of himself as a loser?
Mr. Good: There are just three things, Mr.
Speaker, about which I would hke to speak.
First of all, I would like to say something
regarding one aspect of the second report of
the Ontario conmiission on the Legislature.
There is only one section of this second
report about which I would hke to say a few
words, and that deals with services for the
caucuses. The commission says it recognizes:
The reahty that there could be no prac-
tical way of equalizing the resources avail-
able to a government caucus with that of
an opposition caucus. [It goes on to say] In
the determining of allocations of resources
between government and opposition, this
allocation should not preclude however,
steps being taken which at least create a
greater equity in the matter of resoiu-ces.
It is the commission's conclusion, based
upon an analysis of the present caucus
grants, that they are deficient in providing
opposition parties with adequate funds re-
lating to their functional requirements. It
could be said that the present grants allow
the opposition parties to employ secretarial
help for members, that they allow some
administrative staff but do not provide a
suflBcient range of services.
The funds allow the caucuses to estabhsh
some research facilities but not of suflBcient
depth and professional competence and that
the grants enable the opposition parties to
offer some communications facilities to their
members but of a primitive and restrictive
nature and inferior to that enjoyed by gov-
ernment members.
Presently, Mr. Speaker, as you know, Mr.
Speaker allows $11,000 per member for each
of the opposition parties for all members'
services, plus a fixed' fee to run a Iteader's
oflfice. And I might say, Mr. Speaker, that the
fixed fee to run the leader's oflBce is about
comparable to one public relations oflBcer's
salary in the Premier's department.
The commission believes, however, that the
opposition parties in the Legislature should
have a research capability considerably
greater than that which they presently man-
age to achieve out of their caucus allotment.
The commission states:
We reach this conclusion not simply be-
cause the parties themselves have earnestly
argued it, but because we believe it is in
the interests of the legislative process and
the general pubhc interest that the research
capacity of opposition members be im-
proved.
It is unfortimate, Mr. Speaker, that the mem-
bers' allowances must be reduced suflBciently
to run other services— that is research facil-
ities, as well as other administrative personnel.
Present research budgets for the opposition
parties run between $40,000 and $50,000. I
am sure it is obvious to all that, of necessity,
opposition parties' research budgets must be
considerably higher than that of the govern-
ment members' caucus because, as the com-
mission states, the government caucus has
available to it the research resources of the
ministry wherever reasonably required, just as
it enjoys the value of ministerial briefings
supported by the experts or consultants who
have been employed in the process. This,
then, results in the amovmt of information
available to government members being more
or less equal to their need for it. It is imder-
standable that opposition members lack such
access, and, indeed, it would be questionable
if they would wish it, even if it were avail-
able.
"It is surely basic to their function," the
commission states, "that they have indepen-
dent resources which, if unequal in number,
need not lack in quality."
Finally, Mr. Speaker, the commission pro-
posed that each of the opposition cauciises be
provided with funds specifically designated
for the purpose of improving their research
capability:
MARCH 29, 1974
547
We would recommend that the caucus of
the official opposition be given, for research
purposes, an annual budget of $125,000,
and the NDP caucus be given an annual
budget of $90,000 for comparable piuposes
in the research field.
While I am not here to justify or argue the
specific amounts recommended by the com-
mission, I think it must be obvious to the
cabinet and to government that if the opposi-
tion parties to the provincial Legislature are
to fulfill the purposes for which they have
been elected, increases in the research grants
must be made as soon as possible.
Mr. Speaker, it is unacceptable to us, as
members of an opposition caucus, and I am
sure it would be unacceptable to the electors
of the Province of Ontario, that in order to
provide proper research facilities we must
reduce our secretarial allowance by a sub-
stantial amount. I make this plea as the
caucus member of the Liberal Party respon-
sible for the organization and operation of
our research department. While there are
other equally important and valuable recom-
mendations in the second report of the On-
tario commission on the Legislature, I feel
that the expansion of research facilities by
opposition caucuses must rank high in priority
for government action.
Mr. Speaker, I would like to make short
reference in my speech as well to the matter
of hydro transmission lines across the Prov-
ince of Ontario.
As most of us now know, Ontario Hydro
is in the midst of planning a new transmis-
sion system across southern Ontario which
will eventually connect to northern Ontario.
This system will be completed by 1978 and
will have a tremendous environmental impact
on the areas through which it passes. It will
include a transmission corridor running from
Lennox, near Kingston, on the east to the
Hamilton area on the west. From this cor-
ridor lines connect to generating stations at
Nanticoke and Bruce, to consumption areas in
the vicinity of London and Kitchener, and
to northern Ontario. This power transmission
system will interconnect with the major gen-
erating stations and centres of consumption
and also with power systems of Quebec,
Manitoba, New York and Michigan.
One can scarcely resdize the seriousness
of this tremendous project. One needs only
to look at a map of the existing power cor-
ridors to realize that Ontario Hydro's trans-
mission lines always went the shortest route
between two points that were to be con-
nected.
This method of construction, of course, is
no longer good enough. It is only about six
years ago that Ontario Hydro first realized
that transmission lines could be bent and be-
cause of their environmental impact, Mr.
Speaker, they must be bent and made to go
through areas where they will do the least
amount of damage— visual, ecological and
physical— to agricultural areas.
The main emphasis regarding finding a
suitable route has been that from Nanticoke
to Pickering. The environmental assessment
impact of this route has been under study
for some time by Dr. O. M. Solandt who
headed a royal commission to inquire into the
best possible route for this transmission line.
His report was tabled just a few weeks ago
in the Legislature and he does in fact recom-
mend a considerably different route from that
which was the choice of Hydro. He has, as
we ail had hoped, recommended the passage
of the line through a great deal of the park-
way belt area.
Other routes, Mr. Speaker, and particularly
the Bradley junction to Georgetown route,
have not been so favourably designated and
the environmental studies have been of an
in-house nature done by Hydro itself. The
impact and effect of this route in Hydro's
procedures thus far were well documented the
other day by the member for Huron-Bruce
(Mr. Gaunt).
The inadequacies of existing procedures is
alarming. One finds many discrepancies in
their maps which show potential routes for
transmission lines.
Mr. Speaker, the need for a permanent en-
vironmental impact assessment body is most
apparent, especially when one considers these
huge hydro corridors of 500, 600 and 700 ft
wide, cutting across our province from one
end to the other, connected by interconnect-
ing Unks.
In 1971, that's over three years ago, the
Environmental Protection Act was passed and
provision was made for a similar agency
called an environmental council. Again, in
1973 in the Speech from the Throne the gov-
ernment said that it would place before us
"legislation to establish a permanent agency
for environmental protection, having the re-
sponsibility for a comprehensive system of
assessment and evaluation of the environ-
mental significance of activities of ministries
of the government, utilities, projects funded
in part by the government and related activi-
ties in the private sector which have compar-
able environmental implications."
548
ONTARIO LEGISLATURE
This, Mr. Speaker, is a fine-sounding
phrase, but once again the government only
talks about protecting the environment and
has done notliing with public involvement up
to this present time.
An hon. member: That's very true.
Mr. Cood: To add insxilt to injury, Mr.
Speaker, again this year the Throne Speech
said we will be asked to approve legislation
which will require an environmental assess-
ment of major new development projects.
How this government can come before the
people three times in four years with
promises of this nature still to be fulfilled
is beyond belief. The Premier (Mr. Davis),
indicated in the Legislature a few weeks ago
that the Bradley-Georgetown transmission line
would not come under study by any outside
environmental body; that the Amprior dam
project would be excluded from independent
environmental impact assessment. So only the
Solandt commission has had any independent
influence on Hydro's actions thus far in this
great, important corridor grid that it is
planning, for completion by 1978.
Mr. Speaker, this is just not good enough.
The least that the people of Ontario should
expect and should receive is that the Ministry
of the Environment would take a look at
the environmental studies done by Hydro on
the Georgetown-Bradley route. The farmers
and conservationists alike are convinced that
the proposed routes are not being designed
in the best possible maimer to conserve our
good farmland.
As an example the proposal for a connect-
ing link between the transformer station
marked as No. 60 and the Detweiler trans-
former station cuts in a straight line through
the best farming land in Wellesley township.
While this is just one proposal it is incon-
ceivable to me that Hydro should ever even
consider such a route. As I said before, Mr.
Speaker, Ontario Hydro is a novice at de-
signing transmission lines which will least
affect our environment. It was not until six
years ago at the Six Nations Indian Reserve
that it first met a group of people who said,
"You cannot put your line across our prop-
erty." That line was the first one that had
to be bent.
I would most sincerely request, Mr.
Speaker, that the Ministry of the Environ-
ment take immediate steps to review and,
where necessary, amend the work that has
already been done in the proposal through
the study area, Bradley to Georgetown.
Mr. Speaker, the third area about which
I would like to speak is that of the housing
crisis in the Province of Ontario at the
present time.
Not many years ago about 85 per cent of
the people in the cities of Waterloo and
Kitchener owned their own homes. Now,
of course, this is a thing of the past. These
municipalities had, perhaps, the highest per-
centage of home ownerships of anywhere in
the province. Ownership of a home is a
social benefit which should be available to
any working person who so desires and, of
course, we know there are many reasons
why this is no longer possible.
Mr. F. Laughren (Nickel Belt): Yes. like
the federal government refusing to make
available-
Mr. Good: Cost is now prohibitive except
for persons with above-average incomes.
Interjections by hon. members.
Mr. Good: A single-family home is for
many, I think, the most desirable type of
accommodation. A rec*ent survey of the
social planning council of Metro Toronto
said-
Mr. Laughren: Talk about hypocrisy— the
Liberal Party talking about housing problems.
How ridiculous! Let them freeze the mort-
gage rate at six per cent if they are so con-
cerned.
Mr. Good: —that 67 per cent of persons
living in highrise—
Interjections by hon. members.
Mr. Good: Do the members want to listen
for a while?
Mr. T. P. Reid (Rainy River): The NDP
voted for it this week in the House of
Commons.
Mr. Good: A single-family home, Mr.
Speaker, for many is the most desirable
type of accommodation. Recent surveys of
the social planning council of Metro Toronto
said that 67 per cent of persons living in
highrises at present had grown up in the
homes owned by their families.
Mr. Laughren: None of them is going to
vote Liberal.
Mr. R. F. Ruston (Essex-Kent): They
won't vote for characters like the member
anyway.
Mr. Good: People have been forced into
highrises because other types of suitable hous-
ing are simply not available. In the survey
57.5 per cent of persons wanted to move out
of highrise accommodation within two >ears,
MARCH 29, 1974
549
they hoped. The most frequent reason given
for having to stay in highrise was because
it was the best type of accommodation they
could afford.
In this same survey 75 per cent of the
famihes agreed that the family is under more
stress and there are more problems concern-
ing children, they felt, while living in high-
rise accommodation and apartment accommo-
dation than there would be if they were liv-
ing in their own single, detached, family
home. Of those people wishing to vacate high-
rise— or hoping to— within the next two years,
82.5 per cent said they would prefer a single-
family detached house and this is especially
true among families where there were chil-
dren.
The report reads as follows regarding the
highrise environment for children: One of the
most persistent criticisms of the highrise en-
vironment is its alleged unsuitability for chil-
dren. This aspect of the common stereotype
of apartment living was confirmed to some
extent by the respondents. A majority of
respondents indicated that their aoility to
supervise their children was not affected by
living in an apartment particularly, and half
said that the building created no difficulties
for their children in their present life-style.
However, the restrictions on children's noisy
activity; the feeling that children would be
freer and less restricted in a single family
home; the worry about their children's safe-
ty; the negative attitudes towards raising
children in apartments; the suggestion that
children's facilities and programmes would
improve the building for family living— all
point to a dissatisfaction with the highrise
apartment as a setting for raising children.
The report, in another section, indicated
that two-thirds of pre-school children living in
highrise aparments had to play in their own
unit. Of the children in an older age group,
the percentage was somewhat less, about 50
per cent.
There are many social benefits, I feel, for
living in a single-family home. Community in-
terest is much greater. It has been shown that
people living in highrise apartments live more
to themselves. There's no fraternization among
people living in highrise apartments such as
exists with people living in single-family
homes.
Mr. M. Cassidy (Ottawa Centre): The mem-
ber obviously has never been to St. James
Town.
Mr. Good: It has been shown by many
surve>s that many people living in highrise
apartments want to retain their own privacy.
a desire which does not exist among those liv-
ing in neighbourhoods.
Open space is something which is very
important when we talk about children. The
report states as follows:
Supplementary interviews reflected the
opinions generally current in the commu-
nity that living in highrise apartments can
be harmful to social and family life. The
image of the isolated and alienated apart-
ment dweller, with children physically and
emotionally affected by an unnatural life-
style, is commonly held by both profes-
sional and lay people and voiced in journals
and the daily press.
Mr. Speaker, I know that everyone cannot and
does not want to live in a single-family home.
As the situation now is, those who wish to
live in a single-family home can't afford it.
Apart from the social benefits, which I per-
sonally and many other agree do accrue to a
person living in other than highrise apart-
ments, there are other benefits which are of
an economic nature. While it is true that one
can scarcely afford to buy a home, I believe
it is equally true that one can scarcely afford
not to be buying a home. For many people,
the only heldge they can have against infla-
tion is the ownership of a home.
Home ownership represents a combination
of rent and savings plus an increase in the
equity position that that owner will enjoy as
values rise. Employees moving from one city
to another can hardly afford not to have a
house to sell if they wish to buy one in a
new location. The unfortunate condition
which exists here, Mr. Speaker, is the wide
disparity in housing costs from one part of
the country to another.
A report recently released showed that it
was almost impossible for a person who was
transferred to Metropolitan Toronto, say, from
Saskatoon or some other smaller community,
to begin to buy a house when he arrived in
Toronto with the equity position he had in
his house in the smaller commimity.
We have all seen the ads of a few years
ago, reading: "Own a piece of Canada." Well,
it's a very appealing slogan; I think it's some-
thing everyone would like to do but very
few people can afford to do. It warms the
heart of any person who has never enjoyed
that position. I think it should be our right,
here in Ontario, for more people to own a
piece of Ontario.
I think a personal residence is the one
piece of property that is the most desirable
and it is the one asset that a person
can have legitimately. It provides a roof over
550
ONTARIO LEGISLATURE
his head. It provides him with a hedge
against the inflation that is going to take
place. It's just very unfortunate, in my view,
that this should be the preserve of the
wealthy. I feel that more, if not all people
should reap the benefits of prosperity and
have at least one buffer against inflation
which is going on.
I would like to refer, Mr. Speaker, to an
article of March 28, 1974 in the Kitchener-
Waterloo Record. It says:
Pity the family with three or four chil-
dren in the market for a two- or three-
bedroom single family dwelling. Their hor-
ror reading these days consists of scanning
the properties for sale in the Record want
ads. In 70 per cent of the cases new
houses are beyond their financial reach.
Those who waited for prices to drop or
wanted to save a little more before plunk-
ing their nest eggs as a down payment
for a house were horrified to learn that
housing in this area [this is the Kitchener-
Waterloo area] went up 28 per cent in 12
months.
In some local cases, single-family dwell-
ings rose 50 per cent. And there's more
to come. Real estate people and house
builders say single-family dwellings and
semi-detached houses will likely rise be-
tween 10 and 15 per cent again this year.
There are a number of reasons why
house prices have been skyrocketing in only
one year. They include the lack of ser-
viced land, lengthy delays and miles of
red tape required in subdivision approval,
rising costs of lots, material and labour.
Among the greatest contributing factors,
according to Joseph Silaschi, president of
Reliable Construction, a house building
company, are the shortage of serviced land
and the time required to register a sub-
division plan. The developer has to pay
additional interest and pay his staffs. This
all adds to final cost of lots and buildings.
Mr. Silaschi's company is now building
homes in Guelph, and since last September
he says the price of a lot has risen $4,200
to $18,800 now for a 50 by 100 ft lot.
He said Kitchener- Waterloo's scheme to
slow down residential growth by failing to
expand sewage treatment facilities and
holding up subdivision is hurting a lot of
small people. Surely the people in au-
thority knew five years ago that Kitchener-
Waterloo would grow and need additional
sewage facilities. Why weren't plans made
at that time?
Well, this is something I'd like to get to a
little later.
John F. Halsworth, president of the KW
Housing and Urban Development Associa-
tion, describes the red tape and delays in
registering plans of subdivisions today as
"phenomenal." Dutchman Homes, he said,
applied for registration of its 125-acre Lau-
rentian Hills single-family, three- and four-
bedroom home subdivision on Ottawa St.,
south of Westmount Rd., four years ago.
The stamp of approval finally came, and
the company wfll be starting to put up
$35,000 to $50,000 homes this year. The
longer the delays the more the homes will
cost.
Mr. Halsworth and others in the house
building and real estate business say the
fastest way to make a dollar these days is
to buy any kind of single-family home and
turn around and sell it the next day.
And he gives a few examples, and this is
something I'd hke to make some reference to
here; the matter of speculating on residential
property, both before and after the houses
are built.
A three-bedroom home with fireplace and
garage in Cambridge was recently sold by
the builder for $34,000. The buyer didn't
even bother moving in. He listed it, and five
days later sold it for $46,900.
Mr. R. Haggerty (Welland South): Where's
the capital gains tax?
Mr. Good: He said there are dozens of
examples of this happening all over the
Kitchener-Waterloo and Guelph-Cambridge
area. People themselves are inflating house
prices. It's not caused by the builder. The
average Joe is a speculator today.
Mr. Speaker, this is something that has
been going on in our area, and you being a
resident of the Waterloo region are as well
aware of it as I am.
Mr. Laughren: Don't bring liim into the
politics of it, he's the Speaker.
Mr. R. F. Nixon (Leader of the Opposi-
tion): No slum landlord.
Mr. Good: There is much frustration among
the municipalities who tried to provide low-
cost housing in the private sector b\ special
agreements with developers. These are called
special development homes.
Kitchener and Elmira have both l)een
quite successful in building these de\elop-
ment homes. They will draw up an agree-
MARCH 29, 1974
551
ment with the developer and say that in his
plan of subdivision they want him to provide
I a certain number of 40-ft lots with somewhat
1% fewer services and build houses— and with
f^ the maximum sale price of the houses to be
established before the agreement was reached.
'This operated quite satisfactorily up imtil
the past year, but since there is such an
extreme housing crunch at the present time
we find that people are buying these houses
on speculation, never moving in and reselling
them within a matter of daysi and making
profits of $5,000 to $10,000.
One home on Strathcona Cres. in Kitchener
—a special development home built on a
smaller lot and at a fixed maximum price-
was sold for $24,480 by the builder. It was
immediately resold for $35,000. Two other
units in Forest Heights which were special
development homes were sold by the builder
for $22,100 and resold shortly after, one at
$27,700 and the other one for $27,900.
I understand the city of Kitchener is bring-
ing in a private bill which, hopefully, can stop
this practice and make some claim on that
property so that the person buying it is buy-
ing it as a bona fide resident of that home.
Ontario Housing Corp., I understand, is the
only agency at the present time which can
have this particular guarantee when they sell
a house. I understand that some loophole has
even been found around their hold on that
property. I think, Mr. Speaker, it's just un-
acceptable that there shoidd be ways by
which people can speculate on private resi-
dences when we are in such an emergency
situation, especially in our low-cost housing.
It was about a little more than a year ago
when the housing prices in Toronto were first
brought to my attention. A young lawyer,
who happens to work in government, told
Mr. Cassidy: Where has thei member been
since 1967? It has been a problem all that
time.
Mr. Good: He told me how bad the situa-
tion was in Toronto. When a house was
advertised for $49,900, he and his wife went
out to look at it. They took a look at it and
said that they would like to make an offer.
The realtor suggested to them that he thought
their bid should be about $52,000 or $52,500,
then they might have a chance to get it.
He related to me that he could scarcely
believe that this is what was going on. If you
want to bid on a house you don't bid on it
at the advertised' price, or below the adver-
tised price— which was normal for many years.
Now you have to bid somewhat above the
advertised' price to even have a hope of
getting it.
He put in a bid, I think, for $52,500, but
the house was sold for $54,500 and, un-
fortunately, he didn't get it.
The cause of this type of situation which
now exists in the "twin city" is very apparent.
It's simply a lack of housing. Instead of the
situation which existed a few years ago in my
own area where you had two or three houses
for every buyer, you now have three or four
buyers for every house that's available on the
market. People are desperate. And, of course,
they are most desperate in the city of Toronto.
But this spill-over has now come into the
Kitchener- Waterloo area.
Mr. Speaker, in the Peel Village develop-
ment in the city of Cambridge, I understand
that 70 per cent of the sales in that area are
to persons who are working in Metropolitan
Toronto. The crunch is coming in the
Kitchener- Waterloo area for several reasons.
First of all, it is estimated presently that
homes in the Kitchener-Waterloo region are
at least $10,000 below a comparable home in
Metropolitan Toronto. Many people say that
the difference is closer to $15,000.
Mr. Speaker, the Toronto-centred^ region
plan, in my view, was a farce. It has done
nothing for the decentralization of popula-
tion from Metro. It has only been talk, cheap
government talk, and hasn't done one thing to
take the housing squeeze off Metropolitan
Toronto. And those of us in the outlying
areas are now feeling the results of the Metro
housing squeeze, which has been on for some
years.
The Kitchener-Waterloo area was desig-
nated in the Toronto-centred region plan as a
normal slow growth area; nothing would be
done to stimulate the growth in the Kitchener-
Waterloo area because it presently was big
enough. We were told the K-W area was not
going to be a dormitory community for Metro-
politan Toronto. However, there has been no
effective government action to do anything
about relieving the pressures here, so con-
sequently we in the Waterloo region are now
very quickly becoming a dormitory community
for Metropolitan Toronto, and with that situa-
tion a whole new set of problems has de-
veloped.
The Cedarwood' development in North
Pickering is certainly not an answer to taking
the expansion off Metropohtan Toronto. It
will just expand Metropolitan Toronto, be-
cause it is simply an attachment to one side
of it.
552
ONTARIO LEGISLATURE
The idea was good, but the OHC land
assemblage generally has not been doing the
job of providing housing. We look at the
3,000 acres of farm land that was assembled
in Waterloo region. The land, has been
assembled: for over five years. There hasn't
been one house built. There has been three-
quarters of a million dollars spent on a study
which would decide what was to be done
with the land, but as yet all that has been
accomplished is that the assembly of that land
has driven up the price of adjacent land.
I believe the government has its priorities
in the wrong place. There is a crying and
desperate need for serviced land. Serviced
land in Ontario is more important than proj-
ects like Maple Mountain. It is more im-
portant than Ontario Place and more im-
portant than large new government oflBces. If
we are going to adequately provide housing
for the people in Ontario, if we are going
to give the average working person in On-
tario the opportunity to own a piece of
Ontario, to have a little equity in the prov-
ince, to have a little hedge against inflation,
we have got to give an opportunity to the
average working person to be able to buy
his own house. If the $9 million that was
spent on the OHC's land assembly in Water-
loo region five years ago had been used to
provide services we would not be in our
present position.
This, Mr. Speaker, is an emergency situ-
ation. Any price can be asked for a com-
modity that is in short supply. Speculation
on residential houses is unacceptable. Specu-
lation on residential land is unacceptable in
our present emergency situation. I feel that
those who develop land and provide services
need to hold land. They certainly can't oper-
ate without an inventory of land.
Mr. Cassidy: Why doesn't the member get
his buddies to get a tax on in Ottawa?
Mr. Good: My quarrel is with the turn-
over of land, the shuffling of paper, and the
passage of money before development takes
place. This must be controlled, either by the
employment of a windfall tax or through a
special classification regarding property taxes,
to discourage sales except by bona fide farm-
ers to people who will develop and provide
houses. There are areas, Mr. Speaker, _in
southern Ontario wTiich I think could and
should be used for residential development.
There are still areas that have never been
touched by a plough.
I don't think we have to continue to de-
velop our cities, which are generally situated
in the best farming land witliin the province.
The government must take immediate action
to preserve our farm land and promote de-
velopment areas in other than class 1 and
class 2 agricultural land. The present method
of providing services is unacceptable. The
credit of the province must be what is at stake
to provide service, and services can only be
provided if the province is ready to infuse
large sums of provincial money into the pro-
vision of services. There has to be control on
the low-price residential housing so that
speculation in low-price residential housing
will cease and so that the people of Ontario
can have their rightful position— that is, of
owning their own home or owning a piece of
Ontario.
Mr. Speaker: The hon. member for Ottawa
Centre.
Mr. M. Cassidy (Ottawa Centre): Thank
you, Mr. Speaker. I want to talk about hous-
ing as well and I will wind up this portion
of my speech by talking a bit about some of
the things that we consider should be done.
I would say to the member who has just
spoken that it surprises and alarms me that
he has only recently become aware of the fact
that there is a housing problem in Metro
Toronto and other parts of the province.
Mr. R. Haggerty (Welland South): Where
was the member in 1968?
Mr. Cassidy: In 1968? In 1968 I was in
Ottawa trying to get a New Democrat elected.
Mr. Haggerty: He didn't say that.
Mr. Cassidy: Well, he says he just learned
about it. Secondly, his party in Ottawa has
got taxing powers which would allow the kind
of taxes that he has just begun to talk about.
The kind of dramatic conversion that we
heard today from the Liberal Party, which is
for the first time advocating rent review or
rent control and in the second place is be-
girming now to talk a much tougher line on
speculation, is welcome but is very belated,
Mr. Speaker.
May I just start out by congratulating you
in the regular way for the manner in which
you carry out your office, Mr. Speaker. I think
we'll look forward with interest, not only to
your work in the House but also to the way
in which you carry on your new responsi-
bilities under the Camp commission report.
Now that you have full control or will be
gaining, I understand, ful control over the
legislative precincts, I would hope on behalf
of all members of all parties in the House
MARCH 29, 1974
553
that that control will shortly extend to the
restaurant as well as the other facilities of this
particular building.
Mr. Speaker, the Throne Speech was a
grave disappointment, particularly because of
the degree of pre-selling that had been done
in the area of housing. The government in the
Throne Speech, as it wound up, had nothing
to offer and nothing to say. They indicated
that they were complacent and that they ac-
cepted the fact that since housing was going
ahead at a rate of over 100,000 per year in
the province that that was fine and there
wasn't any real particular problem. The gov-
ernment reiterated its view that it will trust
the private sector to handle Ontario's housing
problems such as they exist.
The private sector, the Throne Speech
said, would be encouraged to increase the
supply of serviced lots and to work towards
stabilization of land and housing prices. The
government looks to the private sector for
even greater co-operation than in the past
in the construction of public housing and
in involvement with rent supplement and in
greater community housing programmes, and
so on and so forth.
But the gist of the whole thing was that
this goverimient doesn't believe there is a
real housing problem. It doesn't believe in
the near crisis that was referred to by the
Comay task force. It doesn't believe in the
reports, such as the recent one that has come
in from the social planning council on the
rent race and the effects it is having on
low-income families, both those on public
assistance and those who are simply earning
a low income because of inadequate incomes
in this city and in this province. It doesn't
believe there is any problem.
The members of the government are
clearly insulated from the problem. They
live very comfortably, I suppose, in houses
that they bought some years ago. They en-
joy handsome incomes and they are above
the whole situation. The government, Mr.
Speaker, is locked in, I would maintain,
with the private development industry. It is
displaying an iniquitous degree of over-
gratitu-^le for the contributions that have
been made to the Conservative Party in the
past by the development industry and it is
simnly incapable of taking any effective
action as far as housing.
This came after promise after promise that
indicated something bold, brave and new
would be coming forward in the field of
housing. The Ottawa Citizen's response to
that after the Throne Speech was, "Well,
where is it?" We are at a loss to know where
it is. We know where the problems are in
every major city in the province, Mr.
Speaker, but we simply don't know where
the solutions are from this government.
It is unusual and rather intriguing that
iust shortly after the Throne Speech when the
new minister gave his first address as Min-
ister of Housing (Mr. Handleman) that one of
his fellow speakers was the president of a real
estate company and the president of a de-
velopment company, Mr. Brian Magee, who is
also president of the Canadian Real Estate
Association. And that fellow who is locked
right inside the whole system is now telling
the government that there is a crisis and that
somebody had better get his finger out and
do something about it. But the last person
to act, the last person to believe that action
is necessary, Mr. Speaker, is the new Minis-
ter of Housing.
It is a housing price crisis, he says, in
the first interview he gave to the Globe and
Mail, that organ of the government, the
kind of Pravda of Ontario society. It is a
housing price crisis and it stems from
psychology and not shortages, says the new
minister. It isn't like 1948, he says; 1948
being, I presume, the year that he first
established with his family and began to look
for a house.
The government isn't going to take over
Meridian, it isn't going to move into the
development industry, but it's going to do
something about land speculation. And if one
wants to sum up what the new Minister of
Housing intends to do about speculation it goes
like this: He is going to go up and down the
province, and every time he can get two or
three land speculators together, he is going
to pull them into a comer and say, "Boo!"
He is going to hope that somehow that will
have an effect on land speculation.
That, Mr. Speaker, is the limit and the
end of the programme that seems to be
advanced by the minister. He says that he
hopes he can scare people into getting out
of land and getting stocks and bonds and
other kinds of investment instead of into
land.
I think that there are a couple of funda-
mental problems with that. One is the
tenaciousness of the land speculator, which
seems to me to have been proven over the
last 25 years in Ontario. We have had these
creatures with us for a long time, and they
have been becoming particularly objection-
able and particularly active over the last two
or three years.
In the second place, Mr. Speaker, we hap-
pen to be, as I know some of the members
554
ONTARIO LEGISLATURE
on that side are aware and as I am sure
the member for High Park (Mr. Shulman) is
aware, in a period of rampant, two-figure in-
flation—9, 9^, 10 per cent a year. It's a period
when people from Vancouver are writing best-
sellers telling the public to put their money
into Swiss francs and other currencies that are
heavily backed by gold because currencies
like the Canadian dollar, they claim, are
not backed by gold and therefore are weak
and subject to even greater inflation.
It's a period, classically, when people with
assets, with money, are looking for an infla-
tion hedge. The three classic hedges against
inflation, Mr. Speaker, are gold, works of art
and real estate. Since gold and works of art
are items or artefacts that are basically not
available to the average investor in Ontario,
he turns to real estate. And so long as there
is not just a speculative philosophy or psy-
chology in the housing market but an infla-
tion psychology in the country, which is
backed by rampant inflation, people wfll be
going into real estate at a tremendous kind
of pace.
It takes far more than a minister to say
"Boo!" and to hope that somehow these nasty
boys will go away and we will return to pre-
crisis or pre-inflation conditions. It just isn't
going to happen. In fact, Mr. Speaker, the
need for tough action is doubled and re-
doubled at the present time because there
are so many people, be they doctors, law-
yers, Conservatives, former transportation
ministers or whatever, who have some spare
dollars and are looking for safe havens for
them and see the real estate market as a
place to put them.
The minister, in his psychology as well,
has repeatedly indicated several things. He is
very surprised to have the job. He didn't
want it. He has no knowledge about it. He's
not even aware, I noticed, of the housing
market in his own municipality. He said
the other day, in one of the early interviews,
that as far as he was concerned, he wasn't
familiar with tenant problems, because he
didn't have that many apartments in his own
riding.
The minister has something over 10,000
people living in apartments in his own rid-
ing, in areas such as along Meadowlands Dr.
and in Bayshore, and as I understand it,
apartments are increasingly a part of his rid-
ing. He also has a large number of townhouse
developments which are rental projects, which
are also within his riding. But he obviously
doesn't mix with that group in society.
He says that as far as he is concerned one
of the fundamental areas of concern to On-
tario citizens in housing— that is, their situa-
tion as tenants and their protection from
rapacious landlords— is not a housing problem
but is a consumer problem and he s going
to shuffle it off to the Minister of Consumer
and Commercial Relations (Mr. Cltement). I
really don't accept the fact, says the minister,
that the people who live in apartment units
should control them. They shouldn't call the
shots. But when you look at it in detail, what
the minister is saying is not just that they
shouldn't call the shots but thev should have
no protection at all', and that for a consumer
to buy housing it is in no different a light,
as far as he is concerned, as the same chap
going down the road to buy a bunch of
bananas or to decide which bicycle to buy
for his teenage son or perhaps to buy a new
automobile.
The market is everything. The market will
deliver. He puts his trust in the free market
and that's it, baby. That's as far as we are
going to get with this particular minister.
One would hope that somewhere within the
goverrmient, Mr. Speaker, perhaps in the mind
of the Treasurer (Mr. White), perhaps in
the mind of the Premier (Mr. Davis) him-
self, there is a recognition that whatever
the basic ideology of the government
is — and we all know that the ideology
is to leave things up to the private sector—
the housing crisis has gotten too far and that
what is now needed is very, very massive,
substantial public intervention in order to en-
sure to every Ontario citizen the right to
housing at a price that he can afford.
Look what the minister himself admits in
the speech he gave to the real estate board.
Five hundred and sixty thousand Ontario citi-
zens, he says, are earning less than $8,000
a year and are paying more than half of that
income for housing. That means that one
family in 12 — possibly more, depending on
how those figures are put together— in the
province pays more than one-half of its in-
come in housing.
It makes the figures that the social plan-
ning council came up with today pale by com-
parison. These are Housing ministry figures.
The minister admits that their own figures in
the government indicate that land costs have
gone up by 200 per cent in the 12 major
cities of Ontario between 1961 and 1971. And
anybody who follows these things knows that
the big escalation of land costs has occurred
since the re-election of the Davis government
in October of 1971.
That's the basic position. What's the gov-
ernment doing about it? Well, says the min-
ister, we are going to widen die housing
MARCH 29, 1974
555
advisory committee. It will still predominantly
represent developers but we're going to put
a few architects and people like that on it.
Well, he says in conjunction with the
Treasurer, when we get all the p's and
q's ready and the t's crossed and the i's
dotted, we may permit some municipalities
land banking powers. That comes, what?— a
year and a half, two years after those powers
began to be sought by various municipalities
around ths province. In fact, it's much longer
that the idea has been broached by various
municipal leaders. They haven't been able to
get very far because they knew the ideology
of this particular government.
Ironically, land banking has been permitted
and encouraged by the government for many
years when it was municipal land banking to
create industrial estates or industrial parks. A
subsidy to get a new industry was okay as
far as the government was concerned, but a
move to control land costs for the housing
consumer wasn't okay because it interfered
with the sacred property rights of the de-
velopers w'ho were the government's friends.
Now, the third thing is the housing ac-
tion programme. This is where the govern-
ment intends that the private sector will be
enlisted in order to solve the housing prob-
lem. Well, we've been waiting, Mr. Speaker,
since September for something on that hous-
ing action programme. And the delays go on
and on and on, and as yet we have nothing
at all. During that period from September
until March, a period of seven months— as
my leader was reminding the Legislature the
other day— the cost of housing in Toronto has
gone up from about $43,000 on resales to
about $47,000; that's $500 to $1,000 a month.
I'm not sure what the rate is now. It has been
zooming up at an incredible rate; and that
has been happening elsewhere across the
province.
When the minister spoke to the real estate
boys he said, "Don't worry, guys. We are not
going to be nasty to you." He said:
I am quickly perceiving that our goals
within the ministry and the goals within
the private sector are to a great degree the
same. We are confident that enough serv-
iced land can be brought into readiness
for production this year, 1974, through
1976, to remove land supply as a price in-
flation factor.
It would need a Kremlinologist to understand
just what that means. The gist I get from it is
that the minister intends that the housing ac-
tion programme currently under way within
the bowels of his ministry will stabilize lot
and land prices at the present levels of be-
tween $12,000 and $20,000 a lot, depending
upon which large city of the province one
happens to be in; let's say $15,000 to make
it easy.
Now that, Mr. Speaker, is simply not a
price which is within reach of the average
Ontario family. It means we are going to have
houses on the market on this stabilized land
produced by the ministry which will be cost-
ing about $40,000— let's say at about the cur-
rent level in most Ontario cities— which will
cost about $400 a month to own and ob-
viously will be out of reach of the average
Ontario family.
There was a leak in the Toronto Star a
while ago which purported to give some
other indications of what is happening with
the housing action programme. I regret hav-
ing to use it, but we haven't had anything
else but leaks, hints, whispers and that kind
of thing. In this particular case it was leaked
or suggested that the province would lean
on developers to ensure that serviced lots
were brought onto the market at 15 per cent
below the prices which prevailed in the fall
of last year. That means, Mr. Speaker, at, let's
say between $12,000 and $15,000-an ac-
complishment if it is achieved, but a minimal
accomplishment because it still means we
don't have housing people can afford.
A freeze on the price of such lots? Well,
the price of those lots has been sky-rocketing
during the very months when the housing
action programme has been going ahead.
A system of preventing speculation and re-
sale of such houses and lots? Well, which
houses and lots?
When the minister spoke he suggested one
of the things which would be done would
be to ensure that, as part of the whole pro-
gramme, developers whose land was being
accelerated into the market would be asked
to undertake to the ministry that a percent-
age of units in the subdivision would be
directly related to the needs of moderate in-
come families. Moderate income is undefined,
but the former minister was speaking the
other month of the needs of families in the
$12,000 to $18,000 a year category.
The moderate income families have been
getting the short end of the stick for God
knows how many years, Mr. Speaker. Their
needs are overwhelming, but what the minis-
ter is talking about is apparently 10 per cent,
15 per cent, 25 per cent or 30 per cent of
the lots to be made available for the group
which makes up 65 per cent of the popula-
tion of the province. On those particular lots
556
ONTARIO LEGISLATURE
there may be some effort to prevent specula-
tion on the resale over a Hmitedi period of
time, such as we have with the Ontario Home
Ownership Made Easy plan, but that doesn't
get to the root of the problem. In all of this
effort there is a relaxation of environmental
standards, and God knows what eke the min-
isters can come up with. All this effort is
nibbling away at the fringes, eating away at
the corners, trying to give the illusion that
something wall happen. Yet the Provincial
Secretary for Justice (Mr. Welch), just a
month before the present incumbent became
Minister of Housing, was specifically attacking
the private sector for its refusal to co-operate
and its refusal to get involved in the pro-
grammes that had been announced by the
present Provincial Secretary for Resources De-
velopment (Mr. Grossman) the previous year
that were designed to ensure greater integra-
tion and that were designed to give the
private sector its opportunity to be involved
in the provision of housing.
•The integrated community housing pro-
gramme, Mr. Speaker, in the course of about
eight months or nine months, attracted two
proposals for Toronto, totalling 206 units; one
for Ottawa with less than 100 units; and
nothing at all for Thunder Bay, Hamilton or
Burlington— despite a continuing call for pro-
posals.
The rent supplement programme, which
was also announced by the same minister a
year or so ago, had attracted only 2,630 units
from the private sector. In fact, this was only
part of the way to the target of 3,300 and
represented an increase of only approximately
700 units from the time that the OHC began
to peddle the pragromme actively in the
spring of 1973.
In other words, that wasn't working either;
and yet these were the means by which the
private sector was being asked to show that it
could do the job. And as far as the former
Housing minister was concerned— I don't see
him in the House here— but so far as the
member for Lincoln (Mr. Welch) was con-
cerned, the private sector wasn't doing a job
and he was sufiRciently up tight about it that
he was willing to talk about it publicly and
castigate that sector— but the new minister
simply goes ahead.
We have had a lot of talk in housing. We
have had the member for Lincoln, and then
we had the member for St. Andrew-St. Patrick
(Mr. Grossman)— and we shouldn't forget
Stanley Randall and Robert Macauley and the
Premier himself. And yet despite all of these
statements, the housing crisis keeps on getting
worse and worse. What we are simply being
asked to put up with is a series of trade-offs
with developers in order to make their busi-
ness a bit more profitable and maybe bring
a few more units onto the market.
Well I want to take issue with the minister
specifically, Mr. Speaker, when he says,
"There is no housing supply crisis," because
there very clearly and very definitely is a
housing supply crisis and it exists in Ottawa
and Toronto. It exists in Hamilton and St.
Catharines. It exists in London and it exists
in Windsor, Thunder Bay, Sudbury, Sault Ste.
Marie— almost every major municipality you
care to mention, Mr. Speaker.
The government prided itself on the fact
that the housing starts in 1973 looked fairly
good compared to 1972. The total starts in
1973 for Ontario were 110,536 units, a seven
per cent increase over 1972. And that's what
the Minister of Housing has been referring to
and saying: "Look, we are building enough
housing. Something else is the problem; we
are not sure what it is, but our housing action
programme is going to solve it."
But if you look more closely, Mr. Speaker,
those housing starts in urban areas which
have got a population of over 10,000 rose by
only one per cent in 1973, from 91,114 to
92,211. In other words, the increase in hous-
ing starts was all there in small towns and
villages— away from the census metropolitan
areas; away from the Toronto commuting
zone; away from the Hamilton or Ottawa
commuting zones.
In addition, the starts in areas of over
50,000 population actually fell from 84,740
to 82,730, a drop of 2.4 per cent. In other
words, while the small towns between 10,000
and 50,000— Comiwall is an example and
Brockville— had some increase in housing
starts, there was a drop in those communities
of over 50,000.
When you look at the communities of over
100,000, Mr. Speaker, there was a drop in
housing starts of 3.9 per cent, from 80,475 to
77,361. And when you look at the figures
city by city, you find that the pattern' of de-
cline goes on for the relatively smaller urban
centres right up to Metro Toronto.
In Toronto, housing starts were down 2%
per cent last year. I beg yom- pardon, that's
in the Toronto census metropolitan area. That
includes Pickering, it includes Markham, it
includes much of the borough of York, it
includes Mississauga and the rest of Peel
County which is being developed. Housing
starts in the Toronto area weren't up seven
per cent— that was the provincial average—
they were down 2% per cent in the area that
we know is the area of greatest housing
MARCH 29, 1974
557
demand. In Metro Toronto, housing starts
were down 10 per cent.
In the city of Hamilton, housing starts
were down 15 per cent, although they were
up slightly in the Hamilton census metro-
politan area. In Kitchener, down 5% per cent;
in the London census metropolitan area— and
take that, John Robarts— housing starts were
down by 28 per cent for the region and by
30 per cent for the city proper; in St. Cath-
arines and Niagara, the whole Niagara Penin-
sula, housing starts were down by 6.7 per
cent; and in the Windsor census metropolitan
area they were down by 32 per cent.
The only area of the province, Mr. Speak-
er, where there was any substantial increase
in housing starts was, in fact, the Ottawa
area, where starts were up by 10% per cent.
And if I could find the figures quickly enough
—which I can't— I was having another look at
them, and as it happened housing starts were
down in Hull last year. So the overall in-
crease for the Ottawa-Hull housing area,
which is one housing market, was negligible.
That is the real position, Mr. Speaker,
about the housing supply crisis. Not enough
housing is being lauilt in the major cities of
the province, and that's one of the reasons
why we've had such extraordinary increases
in housing costs.
The hon. member for Scarborough West
(Mr. Lewis) has already read into the record
some of the figures for housing price increases
across the province: 23 per cent in Ottawa,
25 per cent in Toronto, etc., over the past
year.
I want to give some other figures, though,
to indicate that this isn't just a Metro Toronto
problem and that it isn't something that has
only cropped up in the past year. If I can
take the figures for my own city of Ottawa,
we find there that single-family residential
prices, as calculated by the Ottawa Real
Estate Board average $24,700 in the first half
of 1972 and rose about 10 per cent to $27,000
in, the first six months of 1973.
But in the first nine months of 1973 they
were up to $37,000, Mr. Speaker, and for 1973
as a whole they were up to $38,000. The
annual average for 1973 was 40 per cent
higher than the average for the first six
months. What that means, if you do the
arithmetic, is that the average price of ho^'s
ing being sold in Ottawa today is something
well over $40,000-probably $41,000 or $42,-
000— whereas 15 months ago it was around
$26,000. That's the degree of escalation or
inflation that we've had in Ottawa.
Just the other day the city of Ottawa put
on the market a number of lots that it hap-
pened to own in a good residential area. The
lots were nothing sensational. They were 60
by 100 ft lots. Mr. Speaker, the bids that
were received by the city on those lots
ranged between $19,200 and $35,000. That
was what people were willing to pay for
lots because of the shortage, and because of
the grip that the developers have got on land
costs in the Ottawa area.
And yet, faced with that kind of escala-
tion the minister and the government talk
airly about a phased delegation of municipal
land banking powers when they're satisfied
that the regional municipalities are prepared
to take it. And they are going to delay and
delay and delay because they don't want that
kind of interference with the private land
market.
In October, 1971, Mr. Speaker, a house at
489 Sunnyside changed hands for $9,200; a
very modest house. In March of 1973, that
same house was sold for $19,000.
These are figures from Teela, which is
the standard reference for property sales
in all major portions of the province. The
estimated value now, or rather at the end
of 1973, is $23,000. That is probably low
because of the increase in values that is now
taking place.
On the same street, 187 Surmyside sold for
$12,000 in September, 1968, and was resold
for $45,000 in March, 1973-a 275 per cent
increase.
No. 360 Sunnyside sold for $16,000 in
August, 1968; in March, 1973, that same
house had gone up to $29,500. Its estimated
value now is $35,000— a 120 per cent in-
crease over the course of five years.
No. 2476 Alta Vista Dr.-I don't know
the house personally-it sold for $14,750 in
November, 1972, resold in the same month
for $15,250, sold in March, 1973, for $34,500
and is now worth $41,000.
No. 2090 Alta Vista Dr. sold for $35,000
in AuOTist. 1972; and 11 months later, in
June, 1973, sold for $42,000-an increase in
less than a year of 20 per cent.
In my riding, 91 Rochester St. sold at
$19,000 in February, 1968, at $29,500 in
March, 1973, and probably is worth $35,000
today.
No. 137 Balsam, a working-class house
that ought to be kept for low-income
families, was worth $18,000 in June, 1970,
had gone up to $25,000 in June, 1973, and is
still climbing.
558
ONTARIO LEGISLATURE
No. 488 Gilmour sold for $25,000 in
September, 1972, and $35,000 seven months
later in March, 1973, and is probably worth
$42,000 today.
No. 284 Flora St.— again, an area in the
working-class part of my riding, Mr. Speaker
-changed hands for $24,000 in May, 1971,
for $33,000 in Decem'-er, 1971 and for
$42,000 in January, 1973. In less than two
years, Mr. Speaker, that is an increase of
$18,000, or of about 75 per cent. The esti-
mated value of th,t house now is double
what it was worth in May, 1971.
No. 151 Goulboum St., in the area of
Sandy Hill, experienced a similar kind of
escalation-$24,000 in March, 1971, and
worth $35,000 in December, 1973. And those
current estimates are probably veiy con-
servative and very cautious, according to the
people who did the figures for me in our
research department.
That's Ottawa, Mr. Speaker, and Ottawa
is known to have had a very intiatJonary
housing market, thanks to the policies of
this government.
But take London, good Tory countn-. I've
got a number of figures from there. They
show the same kind of thing. Let me select
some of them:
No. 492 Wellington St. was worth $24,000
in 1966, $29,000 in 1968, $33,000 in 1971;
it's currently on the market for $68,000 and
presumablv will sell for double what it sold
for in 1971.
No. 559 Waterloo-$25,000 in 1970 and
$33,000 in 1971, an increase of a third in
one year.
No. 27 Yale St.-$15,000 in 1968, $19,000
in 1972, $25,000 when it changed hands
again in 1972, and $33,000 in 1973.
No. 492 Talbot St.-$1 1,000 in 1972,
$30,000 in 1973.
Here are houses that sold a couple of
times during 1973 alone: No. 8 Christie
St. in London sold in March, 1973, for
$23,000 and resold for $31,000 four months
later. No. 10 Elmwood sold in May, 1973,
for $22,000 and in June for $29,000. No.
32 Emery St.-$ 15,000 in June, 1973, and
$18,000 later in the same month. No. 89
Hillsmount sold for $21,000 in June, 1973,
and was resold in the same month for
$48,000. That is what is happening under
the Conservatives. It is clear that people who
can afford to protect themselves against that
kind of inflation are doing so with a ven-
geance. They are leaving up to the forces of
a market which has absolutely no mercy,
that enormous group of Ontario residents
who cannot afford and can't get into that
kind of protection. Half of the population oi
our urban areas, Mr. Speaker, are tenants,
and more and more of those tenants are
tenants because they have no choice; they
can't break out.
Ted Harvey's study for the social planning
council indicates that there is increasing
competition for lower and lower standard
accommodation among people on low in--
comes. I can vouch for that. I have watched
it in my own riding of Ottawa Centre, and
I am sure that it takes place in this area
as well. Six to seven years ago when 1
first lived in Ottawa it was possible for a
low-income family to rent a large home for
maybe $80 or $100 a month, and that was
big enough to raise a substantial kind of
family. Nowadays those same families are
jammed into two- or maybe three-bedroom
apartments if they are lucky, and pay far
more than what the shelter allowance from
the welfare department, if they are on social
assistance, happens to be. There has been
an increase in the number of people who are
forced to live in single rooms and have been
forced out of small apartments and other
kinds of accommodation, if they are single.
The same thing is happening with families.
And the pressure goes on and on.
The social planning council here in To-
ronto says specifically that it believes that
very shortly we will see an outbreak of
homelessness, that is, we will have people
on the streets because they have no place
to go in the housing market which has been
created by the Conservative government of
this Premier.
Is it only happening in Toronto and Ot-
tawa and London? The answer, Mr. Speaker,
is no. In Orillia, two years ago in a subdivi-
sion, there were fots selling for $3,000 apiece.
They have now sold at $6,000, $7,000, $8,000
and $12,500, and are currently on the market
for $15,000. Both in Barrie and in Orillia,
where the wage level in industry tends to
be as much below $3 an hour as above it,
new houses are currently selling for around
$40,000 apiece. In Guelph, the paper the
other day indicated the prices for homes in
Guelph were $25,000 to $30,000-that was
one to two years ago— and now they have
gone up by $10,000 to $35,000 or $40,000.
If you listen to your radio, Mr. Speaker,
here in Metro you will find an increasing
number of advertisements by developers say-
ing, "come to the quiet tranquillity of Guelph,
only 50 short miles from Metro." In other
words, Metro residents are being forced to
Guelph in order to get housing at a price
MARCH 29, 1974
559
that they think they can afford. Before long
they are going to be crowding out the mem-
ber for Brant (Mr. R. F. Nixon) on his farm
in order to find accommodation within com-
muting distance of Metro.
Lots in Guelph right now are around
$18,000, Mr. Speaker. There are 300 serviced
HOME lots in Kingston township, I learned
from the reeve and members of his council
yesterday. That is equal to about half a year's
production of housing in the Kingston town-
ship area, and that has been the major site
for new housing in that region. There are
300 lots with paved roads, sidewalks one side,
underground wiring, water, sewer and all
other services. They are ready to go, Mr.
Speaker.
The government is simply sitting on these
lots. It called a tender, the tenders were un-
acceptable, and it is now saying it will call
a new tender, but there has been no action
by the government yet to call a new tender.
In addition, the people in Kingston township
who ought to know are aware that those lots
were brought on to the market by the pro-
vincial government at a price of around
$4,000 or $5,000. In the last year and a half
in Kingston township, for a number of rea-
sons, including those that we traded in the
House yesterday, the price of a lot has gone
up from about $7,000 or $8,000 to about
$15,000.
Apparently, from the best information that
the local people can get, the province is go-
ing to charge $15,000 or $12,000-that range
of price— to people on these HOME lots if,
as and when it gets them. In the meantime
it is holding them back from the market and
is itself contributing to the housing price
problem in the Kingston area.
Brantford: The Expositor says prices are
up by 20 per cent during 1973. The council
out there is going ahead with a very inno-
vative and I believe successful programme of
public land development, but with not a
penny of assistance from this particular gov-
ernment.
Fergus: The range of new house prices is
$30,000 to $40,000. It was $20,000 or $25,000
two years ago.
Kitchener: The price of a 50-ft lot has gone
from $3,500 in 1965 to $11,000 today.
Windsor: The average price of houses is
up from $20,000 four years asro to $28,000,
and in 1973 the increase was 27 pe- cent.
What kind of lunacy is this taking place
around the province, Mr. Speaker? What kind
of lunacy? It is just plain iisane, and it is
insane not only in what is happening but it
is insane in the fact that the government
believes that the private sector is going to
solve the problems.
I want to point out to the House, Mr.
Speaker, that one of the problems we have
is the increasing concentration within the
development industry. One day, it may have
been that when you went out to Ajax or
went out to North York and; wanted to buy
a house, there were any number of devel-
opers who were competing for your business.
They were basically house buildfers. Many of
them built a dozen, two dozen or five dozen
homes a year. They owned a bit of land
and. they were hungry like wolves, but when
you have that kind of situation in the free
market sometimes it works not badly. In
other words, if you had a classical free
market situation and you had something
like that, it started to work.
But that situation has disappeared now, be-
cause the big ones have been eating up the
little ones and the process has become in-
exorable to the point where even the giants
are being eaten up by firms even larger than
they.
Take Markborough Properties, which I be-
lieve Mr. Magee in fact has an interest in.
Its profits have risen from $984,000 in 1972
to $6 million in 1973, and its revenues from
land operations had risen from $7 million
the previous year to $29 million in the cur-
rent year. It is one of the companies which
has got a major stake or a major land bank
in the Toronto area, and lo and behold, last
fall some bigger fish descended upon Mark-
borough in order to try to gobble it up.
Campeau Corp. of Ottawa came along and
sought to take over Markborough and then
there was a corporate fight, a boardroom
fight, and idtimately Hudson's Bay Co. was
successful in taking over Markborough. The
takeover by Campeau was thwarted. Perhaps
that means that temporarily a certain con-
centration between those particular industries
was thwarted, but other people came in
again instead.
Currently, Mr. Speaker, there is a merger
going on in Ontario among Cadillac, Cana-
dian Equity and Fairview Corp. I want to
read a couple of figures about these com-
panies into the record.
To take Cadillac first, their assets are worth
$332 million, Canadian Equity's assets are
worth $72 million and Fairview Corp. assets
are worth $125 million— and that does not in-
clude the fact that it has a controlling stake
in a number of very large developments, in-
cluding the Toronto - Dominion Centre, the
Galerie d'Anjou in Montreal and the big
560
ONTARIO LEGISLATURE
Eaton's Fairview development here in down-
town Toronto.
Not only that, but these companies have
an engaging habit of not valuing their
assets at market. Canadian Equity, for
example, which hsts $73 million of assets in
fact has got a heck of a lot more, because
of the fact that they have the Erin Mills
property and that is a very large investment
whose value is going up literally week by
week and month by month, because there
is no control on land costs in the Toronto
area.
Cadillac's operating revenue went from $35
million in 1971 to $60 million in 1972 and
for the first nine months of 1973 it earned
more than it had in all of 1972.
Canadian Equity's operating revenue was
up by half from $8 mfllion to $12.5 million
in 1972.
Fairview — I don't seem to have exactly
how it has done. It earned $13.5 million in
1971 and its revenues have also been going
up very rapidly.
'What is it in the housing and develop-
ment market that companies of this size
would need to get together? Where is the
free competition of the private sector of
which the Tory ministers are so fond of
prating? It surely doesn't exist when three
companies of that size and with such tremen-
dous land holdings and such tremendous in-
fluence in the land market — let's talk par-
ticularly about Metro Toronto — need to
join.
Here we have Cadillac, a big apartment
owner, a big landowner in the Toronto area;
Canadian Equity, which owns Don Mills and
Erin Mills; Fairview, with the Toronto-
Dominion Centre and the Eaton's centre— an
enormous chunk of downtovsoi land— all sorts
of shopping centres all over the place and
probably some residential properties, already
linked very closely by controlling sharehold-
ings but not by majority or complete share-
holdings and now deciding to combine.
I called somebody in the stockmarket and
he told me I should ignore the fact that
Eddie Goodman is a director of Cadillac and
that there are all sorts of other links between
the Conservative Party of this Premier and
the development industry as represented in
this particular merger. Then he said, "The
institutional investors are nasty to the real
estate industry." There are economies of scale
of some sort involved when firms of this size
get together and when they concentrate.
The smaller developers simply carmot carry
the extended development times now required
for approvals. It is very useful for a big
development company to balance its risks by
having office and commercial development,
land development, apartment development,
you name it, and this new corporate giant is
going to have it.
The stocks are undervalued in relation to
their value and part of the reason for that is
because the income stream from these big
property companies is not as great as their
ultimate gains from the capital gains they will
make on their property holdings and on their
landholdings. Finally, the true values of the
companies aren't reflected in their income
statements where there are partially owTied
subsidiaries whose revenues don't get grossed
in the consolidated statement of the parent
company.
I hope everybody understands that; I find
it a bit difficult to usderstand. Basically, what
he was telling me— this is an expert in the
market and a guy who knows real estate— is
that the aim of that merger is not to make
any more houses, it is to make a lot more
money. The Bronfmans who control Cemp
who control Fairview, the Ephraim Diamonds
and other people who have a stake in Cadillac
and all the other people— including, I am
sure, people on that side of the House— who
have a substantial stake in these companies
simply want to see their shares valued at
much higher values in the market. They want
access to that kind of super-money and, by
God, they are going to get it.
The member for Riverdale (Mr. Renwick)
made a very interesting comment the other
day about this question of concentration
whether it be in the property industry or
in other industries. We have a curious
situation in Ontario law, Mr. Speaker—
or in Canadian law— by which, federally,
combines legislation can only be carried
out under the Criminal Code. It is not
a civil matter at the federal level. Provincial
jurisdiction covers property and civil rights
and therefore the Province of Ontario very
clearly has jurisdiction in a merger such as
the merger of Cadillac, Fairview and Cana-
dian Equity, and has the right and the power
to step in when such a merger is contrary to
the public interest. I would suggest, Mr.
Speaker, that this particular merger is very
definitely contrary to the public interest.
Any further consoHdation, any further
creation of monopolies and oligarchies in the
housing and development industry is clearly
against the interests of every tenant, of every
citizen of the province who wants to have a
place of his own or wants to be assured about
MARCH 29, 1974
561
having housing at reasonable cost. I would
suggest, Mr. Speaker, that one of the things
that should be announced as part of a really
vigorous housing policy, if this government
means business, is that there will be legisla-
tion shortly in order to prevent further con-
solidations within the Province of Ontario
and that the goverimient will step in now in
order to stop mergers such as the Cadillac-
Fairview-Canadian Equity merger.
That merger should be stopped because
that merger will hurt people who want hous-
ing in the Province of Ontario. The govern-
ment should take every measure necessary,
whatever it does to the private sector, in
order to ensure that housing becomes avail-
able at reasonable costs. And it is not doing
it.
I want to point out further, Mr. Speaker,
that the current estimates that we have had
from the province indicate that maybe 35,000
or 40,000 new lots or space for new housing
units are to be created in Toronto, Ottawa
and one or two northern centres over the
next couple of years under the housing action
programme. It's very hard and very amor-
phous. Ori^nally it was a 50 per cent increase
in lots and then it became 25 per cent be-
cause it was spread over two years. But at
any rate there is meant to be a substantial
increase of lots. When you look at that
though, Mr. Speaker, you find that that in-
crease in lots is to be achieved by simply
speeding up the flow of subdivisions that are
currently locked in the approval process.
Obviously, if it takes a year and a half to
get approvals through and you can cut that
time to six months, then you can find 30,000
or 40,000 lots that are sitting in the pipeline
right now and you can bring them forward
and you can have some effect on the current
housing situation. The problem with that is,
though, that that is a one-shot eff^ort. It's
obviously going to take, say, six months to
get approvals through, no matter what gov-
ernment we have and no matter what bill
it has to bring land for housing on to the
market. It's going to take at least six months.
So the government's 35,000 or 40,000 lots
are a one-shot eflFort.
But when it does that, it takes away from
the development industry, who are the people
who carry these things through, their reserve
of land that they had intended to bring on
the market in 1976 and 1977. That means
that we will go through the election of 1975
— let's say, that's in October — with possibly
some marginal benefits from the extra lots
that the government intends to bring in.
However, there is no action currently being
taken by the government in order to ensure
that after that, in 1976 and 1977, a con-
tinued high rate of housing construction can
proceed. Nothing like that is being done at
all. In other words, there is no phase 2 to
the housing programme that the government
has talked about in general terms, and we
aren't convinced there is a phase 1 either.
If phase 1 comes through, we don't know
what's going to happen on phase 2. The
government needs to start acting now be-
cause it does take time to get all of these
things done. If the government doesn't start
to act, there will be no housing built, and
the escalation in prices of 1975, 1976 and
1977 will make even the last year's record
look like child's play.
What we're being guaranteed, Mr. Speaker,
is $50,000 homes and $280-a-month family
apartments for the next two years and noth-
ing more. I would like to suggest that there
is something deeper involved. I would like
to suggest as well that the province is mis-
understanding the situation if it says that
there isn't a supply problem as well as every-
thing else.
We've looked at the demographics and the
demographics indicate that if the government
were building about 95,000 houses a year
it ought to keep up with the increase in
demand over the next two or three years.
Therefore, one can' argue that if we are
building 105,000 or 110,000 houses a year,
we ought to be catching up a bit with the
backlog and helping to ease off the situation.
Clearly though, the demand for the new
housing is in the major urban areas and
that's precisely where the starts are drop-
ping. It is not in the rural areas. That's
where the number of new houses built is
actually increasing.
It seems to us that that increased flow of
housing that we need has got to start now
and it has to be continued. And if the private
sector won't or can't do it, then the public
sector has to do it.
I also think that if the new minister is
to display any credibility about housing he
has got to take urgent action about land.
We have talked already, Mr. Speaker, about
the NDP programme for land. Very briefly,
we believe that land should be in the public
sector in and around development areas like
Toronto; that the bulk of development land
should be publicly-owned or publicly-control-
led, because that is the only way that you
can stop the kind of ripoffs that are taking
place right now.
562
ONTARIO LEGISLATURE
But we admit that it takes a certain amount
of time to bring that land into the public
sector. In the meantime you have to ensure
that the ripofFs of the private sector are stop-
ped. Not just slowed down, not just tinkered
with, but stopped and stopped dead. And if
you can stop it so dead that the public has
to come in and start buying the land, be-
cause that is the only way that you can get
land going, that is just fine; because that
means that you will get to the situation of
public control of the land market that much
sooner — and that is the only fimdamental
answer to getting the housing.
Mr. F. Laughren (Nickel Belt): Can we get
to the Tory cabinet on this one?
Mr, Cassidy: Well, it is a pity that the
Tory cabinet lost some of its expertise on
these matters during the last shuffle.
Mr. Laughren: Yes, it has.
Mr. Cassidy: However, I am sure that we
will find that it has returned. As a matter
of fact, I have heard of a certain northern
member who is developing some first-hand
expertise in these matters, Mr. Speaker. I
understand that he has bought a new house
in Metro Toronto and intends to sell it in
a few months when there is a handsome
profit to be made. He does not intend, I
understand, to live in that particular house.
Mr. Laughren: He didn't make it into the
cabinet, though.
Mr. Cassidy: He didn't make it into the
cabinet, though; that is right.
We \\'0uld like to suggest, Mr. Speaker,
that right now not only do we need a tax
of 75 per cent in speculative gains in devel-
opment lands, but we need to go beyond
that to talk about speculative gains about
anybody who was clearly buying and selling
houses for a profit rather than for their o^ti
particular use.
If you want to play psychological games,
you have got to play hardball, and this gov-
ernment isn't even playing softball. They
are just playing patsies.
We would recommend that probably start-
ing back in October of 1971 — that is a good
psychological moment to start with — the
increase in value of any development land
that is sold be taxed at the rate of 75 per
cent. Now that means that if the land has
been in one hand over that period of time
and is sold, the owner would pay a specula-
tive gains tax of 75 per cent. If the owner
happened to have so bought the land re-
cently at a very inflated price, he would
find that in fact he couldn't afford to do it.
Well, that is fine. People who play that sort
of game deserve to get caught.
We would say that on development land
where that prevails, then the only way out
of paying that 75 per cent tax for the owner
would be for him to sell to the Ontario
government at something around the price
which he actually paid for the land— whether
it was two months or 10 months or two or
three years ago. If the ovnier chooses not
to do that, and to wait for some favourable
change of government, as far as we are con-
cerned there should be no allowance in that
gains tax, Mr. Speaker, for any cost of hold-
ing that land after the date that the an-
nouncement of intention is made by the pro-
vincial government.
Mr. Laughren: How will the Tories make
any kind of nest egg for their old age?
Mr. Cassidy: Well, that is right. That is a
problem, as a matter of fact, for the mem-
ber for Bellwoods. That would hurt him
rather badly, because I think that he had
some other different intentions.
Mr. J. Yaremko (Bellwoods): That is very
unfair.
Mr. Cassidy: No, it is not unfair.
Mr. Yaremko: That is not fair.
Mr. Cassidy: The member was making a
nest egg for his old age, correct?
Mr. Yaremko: What is the member for
Ottawa Centre doing with his savings? Drink-
ing it up?
Mr. Cassidy: No, I am devoting some of
my savings to my riding office in my riding
in order to ensure that people have good
representation. I'll do my best to change this
government, because that is the biggest con-
tribution that anybody could make.
Mr. Yaremko: I have served in office for
23 years.
Mr. Cassidy: Yes.
Mr. Yaremko: Just ask the man beside the
member— former leader of the NDP, who is
smiling— where he put his savings. Specula-
tive stock! I have never owned a single share
of speculative stock since.
Mr. D. C. MacDonald (York South): Oh,
nonsense— speculative stock.
Mr. Cassidy: Nonsense, nonsense. The
member for Bellwoods has been speculating
in land for the last 20 years, Mr. Speaker.
MARCH 29, 1974
563
That is one of the reasons he is out of
cabinet. It should have happened far sooner.
Mr. Speaker: Order, order.
Interjections by hon. members.
Mr. Cassidy: I just want to say, Mr.
Speaker, that where speculative housing is
involved, and where the housing is not
owner-occupied and has a value of more than
$100,000, we would apply the same tax. If
it is a fellow who lives in the bottom of a
duplex and he happens to sell it, obviously
that woiJd be exempted. But anybody who
is playing the kind of big money games that
have been encouraged by the Conservatives
ought to pay the same kind of taxes, and
that means 75 per cent of the gain since
1971 or something along that line. If we
want to make it the beginning of 1972 for
convenience, that's okay. But we needi that
kind of step, Mr. Speaker, if this government
is going to show any credibility in the minis-
ter s determination to get the speculators out
of the market.
Very simply, Mr. Speaker, right now the
upside bonus or benefits that a speculator can
expect from land are very high. The down-
side risk is very low because after all, among
other things, half of it is paid for by govern-
ment because of the tax system.
1^ We would suggest that any losses on land
speculation not be permitted deductions as
far as the Ontario tax system is concerned,
and that the provincial government recom-
mend that the same step be made by the
federal government. In view of the com-
ments by the member for Waterloo North
(Mr. Good), I suggest that perhaps the op-
position party might suggest that to their
friends in Ottawa as well.
If the housing programme announced over
the next month doesn't include steps at least
that tough, if it doesn't include steps to
acquire a very substantial portion of land for
public control, public development and pub-
lic leasing, if it doesn't include an adequate
programme of rent regulation or rent control
in order to protect those millions of tenants
across the province who are now subject to
insecurity, to rent ripoffs and to the kind of
situation that was documented in' the report
tabled in Ontario this week, then there will
be no credibility in that housing programme
whatsoever.
My great concern is that the new minister
is simply ideologically incapable of taking
those kinds of measures, which are the kinds
of measures that are needed for housing.
I think, Mr. Speaker, I have reached' a con-
venient break in my remarks. I would like
to resume next week to make a few com-
ments about the Amprior dam.
Mr. Speaker: Perhaps the hon. member
would move the adjournment of the debate.
Mr. Cassidy moves the adjournment of the
debate.
Motion agreed to.
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabuiet): Mr. Speaker, on
Monday we will proceed to item No. 2, BiU
1, and then we will return to this debate.
Hon. Mr. Winkler moves the adjourmnent
of the House.
Motion agreed to.
The House adjourned at 1 o'clock, p.m.
564 ONTARIO LEGISLATURE
CONTENTS
Friday, March 29, 1974
OPP agreement, statement by Mr. Winkler 527
TraUwind Products, statement by Mr. Guindon 527
Global Television network, questions of Mr. Davis: Mr. R. F. Nixon, Mr. Lewis 528
TTC subsidy, questions of Mr. Rhodes: Mr. R. F. Nixon, Mr. Deacon 529
Minister's personal position re Kingston township council, questions of Mr. Bennett:
Mr. R. F. Nixon 529
Gasoline travel ads, questions of Mr. Bennett: Mr. R. F. Nixon 530
Rent subsidies for social allowances recipients, questions of Mr. Bnmelle: Mr. Lewis,
Mr. Deacon, Mr. Cassidy 531
Cost of living clauses in labour contracts, questions of Mr. Guindon: Mr. Lewis 532
Spending ceilings in education, questions of Mrs. Birch: Mr. Lewis 533
Food prices, questions of Mr. Clement: Mr. Lewis 533
Automobile insurance rates, questions of Mr. Clement: Mr. Lewis 533
Rapid Data Corp., question of Mr. Clement: Mr. Haggerty 534
Alleged Mafia activities, questions of Mr. Kerr: Mr. Shidman 534
Bayfield land dispute, question of Mr. Bemier: Mr. Riddel] 534
Condominium specidation, questions of Mr. Clement: Mr. Lawlor 534
Inspection of licensed premises, questions of Mr. Clement: Mr. Reid, Mr. MacDonald,
Mr. Shulman 535
Approval of official plans, question of Mr. White: Mr. Spence 537
Air management branch inspector, question of Mr. W. Newman: Mr. Martel 537
Redistribution of electoral boundaries, question of Mr. Davis: Mr. Breithaupt 537
Enforcement of liquor regvdations, questions of Mr. Clement: Mr. Burr 537
North Pickering development, questions of Mr. Davis: Mr. Deacon 538
Shining Tree phone service, question of Mr. Rhodes: Mr. Laughren 539
Savings from one minister holding two portfolios: question of Mr. Welch: Mr. Singer 539
Tabling copy of caution re Maple Mountain development, Mr. Welch 539
Motion re interim payments pending voting of supply, Mr. White, agreed to 539
Resumption of the debate on the Speech from the Throne, Mr. Gilbertson, Mr. Good
Mr. Cassidy 540
Motion to adjourn debate, Mr. Cassidy, agreed to 563
Motion to adjourn, Mr. Winkler, agreed to 563
No. 15
Ontario
Hegtglature of d^ntario
OFFICIAL REPORT — DAILY EDITION
Fourth Session of the Twenty-Ninth Legislature
Monday, April 1, 1974
Speaker: Honourable Allan Edward Reuter
Clerk: Roderick Lewis, QC
THE QUEEN'S PRINTER
PARLIAMENT BUILDINGS, TORONTO
1974
Price per session, $10.00. Address, Clerk of the House, Parliament Bldgs., Toronto
CONTENTS
(Daily index of proceedings appears at back of this issue.)
567
LEGISLATIVE ASSEMBLY OF ONTARIO
[
The House met at 2 o'clock, p.m.
Prayers
Mr. D. A. Evans (Simcoe Centre):
A. Evans
to you, and
Mr.
Speaker, to you, and through you to the
members of the Legislature, I'd like to intro-
duce, in the west gallery, 25 first-year law
students from Georgian College of Applied
Arts and Technology along with Mr. W^anan.
Mr. J. E. Stokes (Thunder Bay): Mr.
Speaker, I would like to announce to the
assembly that we have two groups of students
from the riding of Thunder Bay. The first one
is 57 students from Marathon Public School
under the sponsorship of Mr. William
Springer, and along with them we have 17
students from Nakina Public School under the
direction of Mrs. Swanson. I hope that the
members of the Legislature will join me in
welcoming them here this afternoon.
Mr. Speaker: Statements by the ministry.
REFUSE-FIRED STEAM PLANT
PROPOSED FOR TORONTO
Hod. W. Newman (Minister of the En-
vironment): Mr. Speaker, I'd like to make a
statement on the refuse-fired steam plant
proi)osed for Toronto.
Earlier today, Toronto Mayor David
Crombie annoxmced a proposed phase-out of
Toronto Hydro-Electric's Pearl St. steam gen-
erating plant, replacing it with one fuelled
primarily by garbage.
This new plant is part of a plan connecting
five existing heating systems in the central
area of the city. This plant would bum 1,200
tons of garbage each day and supply a steady
source of steam for heating in the area. Peak
demands would be handled by existing heat-
ing systems: the Toronto Hydro-Electric
system c>f Terauley St., the Toronto Hospitals
plant, the University of Toronto system, plus
the Queen's Park facility operated by the
Ministry of Government Services.
The province played a role in the prepar-
ation of this plan. The method used to cal-
culate resulting changes in air pollution was
developed by the Ministry of the Environ-
MoNDAY, April 1, 1974
ment. An interministry committee is being
established to evaluate these proposals. The
committee will be composed of the Ministries
of the Environment, Energy, Government
Services, Consumer and Commercial Relations,
Housing, Health, and Treasury, Economics
and Intergovernmental Affairs, plus repre-
sentatives from Ontario Hydro.
Under the chairmansliip of Wesley William-
son of the Ministry of the Environment, the
committee will co-ordinate the preparation of
a provincial response to this proposal and
eventual reply to the city. The city's report
suggests that six months be set aside for
submission of briefs from all interested parties,
since the report, based on five volumes of
technical data, would entail extensive policy
decisions and changes in existing legislation.
I would Hke to emphasize that this is a
detailed analysis of the situation and I would
like to commend the city of Toronto for its
initiative in bringing forward this exciting
approach. The Ministry of the Environment
and the government of Ontario as a whole
have tried to encourage this type of solution
to waste management problems. It is hearten-
ing to note the development of proposals such
as this by the city of Toronto that help
accomplish resource recovery and refuse.
Mr. Speaker: Oral questions, the hon.
Leader of the Opposition.
REFUSE-FIRED STEAM PLANT
PROPOSED FOR TORONTO
Mr. R. F. Nixon (Leader of the Opposi-
tion): Mr. Speaker, I would like to ask the
Minister of the Environment if this announce-
ment, together with the consideration that he
must have been giving other factors associated
with the circumstances, would now lead htm
to make an announcement here in the House
that he is not going to approve the applica-
tion from CPR to dump Toronto garbage in
Hope township?
Hon. W. Newman: As I said before, Mr.
Speaker, we are stiU waiting for a lot of
technical data to come in on that site at this
time. We are still studying it.
568
ONTARIO LEGISLATURE
Mr. E. R. Good (Waterloo North): Sup-
plementary: Was not 1976 the time schedule
for this steam plant operation on a crash
course erection programme; or what is the
proposed time schedule? Will the six months
study delay the construction of it until people
forget about it?
Hon. W. Newman: Mr. Speaker, this is a
new report which has just been handed to
the city of Toronto. They have just released
it this morning. We have set up an inter-
ministeri^ committee to study it to make
recommendations back to the city.
Mr. Speaker: The hon. member for Scar-
borough West.
Mr. S. Lewis (Scarborough West): I am
sorry, I may have missed it in his ministerial
statement. Did the minister mention the
quantity of garbage which would be used for
the plant?
Mr. Good: Under 75 per cent.
Hon. W. Newman: Yes, Mr. Speaker, about
1,200 tons a day.
Mr. Lewis: Twelve . hundred tons a day.
What happens to the other 7,500 tons?
Mr. Speaker: The hon. Leader of the
Opposition.
WORLD FOOTBALL LEAGUE
Mr. R. F. Nixon: I would like to ask the
Premier, who is a noted and an accepted
expert in sports, particularly football, if the
siGrmnc; of those three well-known Dolphins
bv the Northmen is ?oingj to prompt him to
chancre his public stand on this matter? Does
the Premier feel that he has a responsibility
as the Premier to indicate a further review of
this situation, or is he going to come down,
as he has said previously, on the nationalism
side?
Interjections by hon. members.
Hon. J. R. Rhodes (Minister of Transoorta-
tion and Communications): Ask Lalonde.
Hon. W. G. Davis (Premier): Mr. Sneaker,
I sensed that when the hon. member for
Sarnia (Mr. Bullbrook) asked me about this
the other day he was really speaking in
opposition to what the federal grovemment
was doin^. At least that was the impression
that I got from his question. My public
posture, I think, has been, however, fairly
clearly understood, and that is that I am
a great supporter and have been for many
years of the Canadian Football League. I
think I have also said that, if the federal
minister wishes to become involved in this
matter and to restrict the franchise opera-
tion of the Northmen here in Metropolitan
Toronto, that is a decision that he apparently
has made and one for which he will ha\e to
assume the responsibility. It is not my intent
to become involved as head of this govern-
ment in that particular debate.
Interjections by hon. members.
Mr. Lewis: Does the Premier think John
Bassett Jr. will find something else to play
with?
MINERAL EXPLORATION
CROWN CORPORATION
Mr. R. F. Nixon: Mr. Speaker, I would
also like to ask the Premier if he can add
anything further to the statement made by
the Minister of Natural Resources (Mr.
Bemier) when he announced over the week-
end there was going to be a policy announced
in the budget on April 9 which would estab-
lish a mineral exploration Crown corpora-
tion. Is there any further detail which
could be provided in that regard and would
it, in fact, mean that some of the tax re-
ductions, which our natural-resource indus-
tries have been enjoying on the basis they
would be used to increase their own resource
explorations, would no longer be necessary?
Hon. Mr. Davis: Mr. Speaker, really there
is only one gentleman who is privileged to
know what is going to be in the budget
statement next week. In that the Treasurer
(Mr. White) is not here this afternoon but
will be tomorrow, perhaps the Leader of the
Opposition might put that question to him.
I could only say this to him: I doubt that
the Treasurer will answer the question in
advance of the budget.
I can only say that the government has
been considering various ways and means to
develop further the northern part of the
Province of Ontario, particularly the mining
industry. Whether the Minister of Natural
Resources actually said that it would, in
fact, be in the budget, I haven't discussed
with him. I can only say that the Treasurer
really is the only one who at this moment
knows what will be in there for next week.
Mr. R. F. Nixon: A supplementary: In
that the report said the Minister of Natural
Resources said that the Crown corporation
was approved and will be announced in the
budget, does the Premier not feel it is in-
APRIL 1, 1974
569
cumbent upon him to bring to his colleague's
attention the fact that the matters in the
budget are, in fact, privileged until such
time as the Treasurer sees fit to release
them?
Mr. Lewis: No, he is just flying a kite.
Hon. Mr. Davis: I don't think, Mr. Speaker,
that this is a matter which is necessarily
privileged. I think, quite frankly there is
some merit in consideration of this proposal.
Mr. E. W. Martel (Sudbury East): We
have been pushing it for years.
Hon. Mr. Davis: I would be very surprised
if the Minister of Natural Resources weren't
somewhat enthused. I think it is premature
though, to say it has been approved and will
necessarily find itself in the budget next
week although that possibility, I am sure,
does exist.
Mr. R. F. Nixon: A supplementary: The
minister was either misquoted or was in-
correct in making the statement?
Hon. Mr. Davis: It might have been
either.
COMMUNITY COLLEGE COURSES
Mr. R. F. Nixon: Sir, I would like to
direct a question to the Minister of Colleges
and Universities. Is he aware that at Loyalist
College in Belleville the scarce assignments
for certain special courses are being approved
by a lottery rather than approval being given
to those student applicants with the best
qualifications? Has he been informed of those
circumstances and is he concerned about them
in any way?
Hon. J. A. C. Auld (Minister of Colleges
and Universities): No, I haven't, Mr. Speaker.
It sounds like an unusual method to me.
Mr. R. F. Nixon: I thought so myself. A
supplementary with further details; it has
to do with the selection of nursing students
and if the minister could inquire into that
it would be of great usefulness as far as we
are concerned.
Mr. Speaker: The hon. Leader of the
Opposition.
KINGSTON TOWNSHIP SERVICES
Mr. R. F. Nixon: A further question of the
Premier having to do with the Kingston
township situation: How can he square his
statement on Thursday last, that he was un-
aware of the association of the present Minis-
ter of Industry and Tourism (Mr. Bennett)
with the dissident group and the I'eader of
the dissident group in the Kingston area, with
the minister's statement on Friday that he had
informed cabinet of his relationship and had
not participated in the discussion in cabinet
while it was before that body?
Hon. Mr. Davis: Mr. Speaker, the answer
to that question is very simple. I wasn't at
cabinet when that was determined.
Mr. R. F. Nixon: Okay. That's all.
Hon. Mr. Davis: And I checked.
Mr. Lewis: Touche.
Mr. Speaker: The hon. member for Scar-
borough West.
OIL PRICES
Mr. Lewis: A question, if I may, of the
Premier, Mr. Speaker: How does the Premier
explain the discrepancy in the intended fuel
and gasoline price increases to the consumers
of Ontario, between' the 7.14 cents per
gallon which the increase he agreed upon
actually represents, and the 10 cents per
gallon figure which the oil companies are
now talking about?
Hon. Mr. Davis: Mr. Speaker, I can't
reconcile them at all nor do I intend to. I
can only say to the House that the estimates
prepared by the Ministry of Energy related
to the increase incurred at the wellhead price
and oiu- estimates were three cents per dollar
—I think it was— which would mean 7^2 cents
going to $6.50. I would assume— and I can
only assume— the rationalization being put for-
ward by the oil companies, that this might
meani something more than 6% or seven cents,
would relate to any other costs they were
bearing related' to the production or the manu-
facture of the fuel. I can' only assume that;
we have no way of knowing. I want to make
it clear that from our standpoint the well-
head price increase should be reflected, we
say, by approximately 6% to seven cents.
Mr. Lewis: Well, fine. That's interesting.
Thert since Energy, Mines and Resources in
Ottawa has indicated that the oil companies
would be entitled to perhaps an a-Triitional
one-half cent per gallon to cover the non-
crude related price increase, why are the oil
companies talking of a jump to 10 cents,
which is up to 2% cents more per gallon than
they are entitled to? And why has the govern-
570
ONTARIO LEGISLATURE
ment of Ontario not yet called the oil com-
panies to an accounting for what is clearly
going to be an additional ripoff of the Ontario
consumer? That's explicit in their figures.
Hon. Mr. Davis: Mr. Speaker, we have de-
bated this here before, and I know the next
supplementary question will be, why doesn't
this government employ the device of price
controls on the oil companies-
Mr. Lewis: No. Certainly rollbacks on the
oil companies.
Hon. Mr. Davis: I can only say this to the
hon. member, that if the Ottawa figures now
represent another half cent-
Mr. Lewis: Right!
Hon. Mr. Davis: —for the non'-crudie in-
creased cost as part of the oil companies'
additional cost, that's fine, that's their deter-
mination. Our determination was seven cents,
and it still remains that. I can only assume,
and I am only assuming this, that if there is
something more, by one or two cents, it re-
lates to the oil companies' own increase in
cost for other reasons-
Mr. Lewis: But I've allowed for the half
cent.
Hon. Mr. Davis: —besides the question of
the increase in crude.
Interjection by an hon. member.
Hon. Mr. Davis: Now, Mr. Speaker, if the
hon. member is saying the oil companies are
overcharging or adding two cents per gallon—
Mr. Lewis: Yes, I am. I am.
Hon. Mr. Davis: —that's fine. I am sure
that he will be prepared to document this,
and I'll be very interested to see that.
Mr. Lewis: Has the Premier looked at
their profit statements?
Hon. Mr. Davis: We don't have any of
this documentation as of this moment.
Mr. D. C. MacDonald (York South): Supple-
mentary question, Mr. Speaker— double-
barrelled, really: The Premier will recall that
his parliamentary assistant last June recom-
mended that the Energy secretariat should
examine the question of whether or not the
powers of the Ontario Energy Board should
be extended to involve price review. Pre-
sumably that is now being studied in the
ministry. Has the Premier or the government
received any recommendation as to an exten-
sion of those powers? And if not, why won't
Ontario now— like, for example, Nova Scotia-
give price review powers to a provincial body,
to get into precisely this kind of clarification
of alleged ripoff in prices?
Mr. T. P. Reid (Rainy River): Especially
since they are doing it for Hydro.
Hon. Mr. Davis: Mr. Speaker, I believe the
minister made some observation about this,
and this was a matter of internal considera-
tion by the ministry. I don't beUeve any policy
determination has been made. If there is,
of course, it will be announced here to the
House. But at this moment there hasn't been
that decision.
Mr. Reid: Supplementary, Mr. Speaker, if
I may: Does the Premier not feel it would
be consistent, in view of what the govern-
ment has done and is doing with the price
review and justification of Hydro rates-
Mr. MacDonald: And review of natural
gas prices for a long time.
Mr. Reid: —and natural gas, that it's surely
only an extension of a rational policy to
extend it to the review of gas and oil rates?
Hon. Mr. Davis: Mr. Speaker, this is a
very complex subject, and while on the sur-
face it might appear to some that it was,
shall we say, a logical extension, or the
same-
Mr. Reid: How can the Premier stand
there and presume things?
Mr. Speaker: Order. Order.
Hon. Mr. Davis: Does the member want
an answer, or does he not?
Mr. Reid: I want an answer, but I won't
get one from the Premier.
Hon. Mr. Davis: All right then. If he'll
sit back patiently, I will try to give the hon.
member an answer. I think there is some
degree of distinction. We are dealing with
Ontario Hydro, with a public utility in the
total sense of the word, whose activities are
confined to the Province of Ontario-
Mr. MacDonald: What about natural gas?
Hon. Mr. Davis: —whose task is to produce
hydro at cost. We're dealing, with respect to
gas, with public utilities that are licensed
here by the Province of Ontario where we
do regulate rates. With the "gas" that is
used in automobiles, etc., we're dealing with
oil companies which are part of the private
sector, which have not traditionally had their
APRIL 1, 1974
571
increases reviewed, and which are operating
on a national level. It's not confined just to
the Province of Ontario.
Mr. Lewis: It is time to change tradition.
Hon. Mr. Davis: And I think that while
there may be some merit— and obviously the
ministry feels this, because it is looking at
it— to say that they're on all fours with On-
tario Hydro is not totally logical.
Mr. Beid: May I-
Mr. Speaker: The hon. member for Thun-
der Bay.
Mr. Stokes: Can the Premier give an as-
surance that any increase as a result of the
recent announcement in Ottawa will be no
greater in northern Ontario than it is else-
where in the province?
Hon. Mr. Davis: Mr. Speaker, I would
certainly like to give the hon. member that
assurance. And, certainly from our stand-
point, to the extent that all that was agreed
upon in Ottawa was the increase in the cost
of crude at the wellhead, I can see that de-
cision not affecting the price on any, shall
we say, percentage basis in northern or
southern Ontario. I can't see where the price
of wellhead crude afiFects that differential.
Mr. Lewis: Supplementary, if I may, Mr.
Speaker-
Mr. Speaker: I think that we should alter-
nate the supplementaries.
Mr. Reid: Is the Premier saying in effect,
in answer to my original question, that he
feels that Ontario Hydro, which is a public
corporation, should have its rates reviewed
when supposedly it is operating purely in
the public interest, and the corporations
dealing with oil and gas which are not op-
erating in the public interest but in the
private sector and to maximize their profits,
should not have their rates and prices re-
viewed? And does he not feel that it's really
time, in this period of inflation, that the On-
tario government got off its seat and did
something about these matters— break with
the tradition?
Hon. Mr. Davis: Mr. Speaker, we are
making a far greater effort to get off our
seats with respect to inflation than the mem-
bers opposite and their federal colleagues.
Interjections by hon. members.
Mr. Reid: What has this government done?
Hon. Mr. Davis: I don't want to get into
a debate here on inflation, but I think there
is no question about it.
Mr. E. J. Bounsall (Windsor West): Yet
it's a much tougher job.
Mr. Speaker: Order.
Mr J. R. Breithaupt (Kitchener): This gov-
ernment couldn't deal with it.
Hon. Mr. Davis: If those people across the
House really want to come to grips with in-
flation why don't they talk to their friends
and relatives in the federal government and
show the world they can do something about
it?
Interjections by hon. members.
Mr. R. F. Nixon: As a last resort.
Mr Lewis: That's a good phrase— I like
that. It's all-encompassing.
Interjections by hon. members.
Mr. Speaker: Order.
Hon. Mr. Davis: Now, what did the mem-
ber really ask me?
The answer, I think, is very simple: No,
I did not say that. All I said was the base
for such a consideration or review as it re-
lates to Hydro would in logic be different
from gas.
Mr. Lewis: Mr. Speaker, one last supple-
mentary: Given the year's profit increases of
Shell Canada of 42 per cent, Texaco 30 per
cent. Imperial Oil 45 per cent, BP 45 per
cent, Gulf 39 per cent, Home Oil 115 per
cent— given those increases in profit struc-
ture and the announced intention of the oil
companies to raise the prices by 10 cents in
the middle of May—
Hon. Mr. Rhodes: He shouldn't support
them. Right on.
Hon. S. B. Handleman (Minister of Hous-
ing): He shouldn't support it.
Mr. Lewis: —why is the Premier not pre-
pared to ask them to justify those increases,
in the name of the Ontario-
Interjections by hon. members.
Mr. Speaker: Order.
Mr. Lewis: Why is the Premier not pre-
pared to ask them to justify those increases
in the name of the Ontario consumer, since
there is a discrepancy on the basis of the
government's own figures?
572
ONTARIO LEGISLATURE
Hon. Mr. Rhodes: The member for High
Park (Mr. Shulman) hangs his head in shame.
Mr. J. A. Renwick (Riverdale): The Pre-
mier knows the member has got him.
Interjections by hon. members.
Mr. Speaker: Order, please. Order.
Mr. Lewis: Mr. Speaker, that the NDP
strikes such fear in the hearts of the govern-
ment I can understand.
Interjections by hon. members.
Mr. Lewis: But I offered to calm them.
The election is 18 months off, let them be
calm.
Interjections by hon. members.
Mr. Lewis: Can the Premier answer why
he will not call them to justify their in-
creases?
Hon. Mr. Davis: Of course, Mr. Speaker,
fir tly I didn't say that we wouldn't. Second-
ly, I would only make this observation— and
I would hope the member would be suffi-
ciently knowledgeable to recognize that he's
dealing with national and international oil
companies, but they're dealing on a national
basis. It's fine to call them for review here
in the Province of Ontario-
Mr. Renwick: But they're selling their gas
in Ontario.
Hon. Mr. Davis: Certainly they're selling
here—
Mr. Lewis: They're selling it here in On-
tario.
Hon. Mr. Davis: —but they're selling in
our sister provinces and I say with respect-
Mr. Lewis: The Premier is supporting
them.
Interjections by hon. members.
Mr. Speaker: Order. Order.
Hon. Mr. Davis: —such a review has to
he done on a national basis.
Interjections by hon. members.
Mr. Speaker: Order. Order, please. Order.
I'm sure that further questions will only
constitute a debate on this matter. I think
we've had quite suflBcient.
The hon. member for Scarborough West.
ENVIRONMENTAL IMPACT OF
PUBLIC WORKS
Mr. Lewis: I have a question that comes
to mind as a result of the Premier's declara-
tion of support for Hydro. If he feels that
Hydro is such a public-
Mr. F. Laughren (Nickel Belt): He doesn't.
Mr. Lewis: —corporation, publicly account-
able, subject to review, then why will he not
have tabled the engineering feasibility study
done to justify the Amprior dam? That's also
part of Hydro.
Hon. Mr. Davis: Mr. Speaker, the Minister
of Energy (Mr. McKeough) has already dealt
with this matter on a previous day.
Mr. Laughren: No, he hasn't.
Mr. Lewis: By way of a supplementary:
The Minister of Energy has thumbed his
nose at the House and said that Hydro is not
accountable. I'm asking the Premier, in view
of his declaration about Hydro as a public
corporation, will he have the report of the
engineering feasibility study on the Amprior
dam tabled in the Legislature?
Hon. Mr. Davis: Mr. Speaker, that ques-
tion should very properly be directed to the
Minister of Energy who answered this ques-
tion for the hon. member for Ottawa— what-
ever it is and the islands— some few days
ago.
Mr. Lewis: What's the point? There's no
point to asking, he has indicated the position
he takes.
Mr. Renwick: Hydro is just as arrogant as
the Minister of Energy.
Mr. Renwick: The Premier is free to do MAPLE MOUNTAIN DEVELOPMENT
Mr. Lewis: He let's them walk all over
him.
Mr. Stokes: The Premier intervenes when
Bell Canada makes application for a rate
hike.
Mr. Lewis: A question, if I may Mr.
Speaker, of the Minister of the Environment:
Has the Minister of the Environment looked
over his internal memoranda and correspond-
ence within his ministry relating to the Maple
Mountain project; and if he has, can he indi-
cate why a memorandum dated Oct. 12, 1973,
APRIL 1, 1974
573
obviously worked on the premise that protec-
tion in the field of the environment would
have to proceed during the construction phase
of Maple Mountain; that is worked on the
premise that Maple Mountain would proceed?
Has the minister been informed already that
it will proceed; and if so what does he know
of it?
Hon. W. Newman: Mr. Speaker, I have not
been informed that it will proceed. The mem-
ber talks about a memo of Oct. 12; the memo
I have is dated Oct. 16. I hope we are talking
about the same memo.
Mr. Lewis: I guess not.
Mr. Breithaupt: He got an earlier draft.
Hon. W. Newman: I think we are; but ii
the member would like to check it out, check
the memo he has in mind.
Mr. Lewis: I have the date in front of me
for what it is worth.
Hon. W. Newman: The memo I have is
of a different date.
Mr. Lewis: Okay, all right.
Mr. Renwick: How about the minister
tabling his?
Hon. W. Newman: This is strictly an
internal memo which recommends things that
should be done. Members will recall we put
out a green paper last year in which we
indicated we will be bringing forward legisla-
tion to deal with matters such as this if they
do orocecd. This is just an internal memo With
a lot of recommendations of things that
should be done.
Mr. Lewis: Okay.
Mr. Renwick: That is a non-answer.
Hon. W. Newman: It doesn't indicate any-
thing at all. I am surprised, really, the hon.
member opposite would make statements like
he made in the paper, in the Globe and Mail
or whatever paper it was in. If he has the
same memo that I have I am surprised he
would make statements like that.
Mr. Lewis: Fine, We'll sit and wait for the
ever-present announcement on Maple Moun-
tain.
Mr. Breithaupt: He predicted the election
as well.
Hon. Mr. Davis: He made statements refer-
ring to it as being dishonest. It is not dis-
honest.
Mr. Lewis: May I ask the Minister of
Natural Resources this question: In the memo
within the Ministry of the Environment it
says that Lady Evelyn Lake is "a relatively
large and scenic lake presently used for
wilderness canoeing, hiking and hunting." It
then says: "At the same time. Lady Evelyn
is considered to be the major fishing resource
for the Maple Mountain development."
Nothing equivocal about that. "A marina with
docking and fuelling facilities for power boats
and for float planes is proposed. The potential
of petrochemical and noise pollution is a
concern"— and so on.
Can I ask the minister what has his min-
istry to say about this intrusion on Lady
Evelyn, given the policies the ministry is
adopting in Algonquin Park for the preserva-
tion of lakes, precisely opposed to this?
Mr. E. M. Havrot ( Timiskaming ) : The
member better get his facts straight. Get the
facts.
'An hon. member: The minister better pro-
tect the lady.
Hon. L. Bemier (Minister of Natural Re-
sources): Mr, Speaker, I would tell the hon.
member that we are asked to comment on a
number of proposals that come forward and
this is just a comment that we give as we do
in a normal case.
TRANSLATION SERVICE PRICES
Mr. Lewis: Mr. Speaker, one last question,
then, of the Minister of Government Services:
Does the minister realize that he has sent out
a price hst, eff^ective April 1, 1974, for trans-
lation services from his ministry which will
provide a cost per word, in the translation of
English to French, of nine cents a word for
general translation, 12 cents a word for spe-
cialized translation, 15 cents a word for rush
translation? Is this the government's contribu-
tion to policies of bHingualism and bicultural-
ism in Ontario? Is this part of his commit-
ment?
Mr. Havrot: In Ottawa it is $1 a word.
Hon. J. W. Snow ( Minister of Government
Services): Mr. Speaker, I am not famihar
with the exact per-word rates that are being
quoted by the hon. member, but I would
just say this is carrying out the policy of the
government and the policy of my ministry of
providing these services on a charge-back
basis, or a zero budget basis, for that service.
Mr. MacDonald: What does all that mean,
zero budgeting?
574
ONTARIO LEGISLATURE
Mr. Lewis: What does that mean?
Hon. Mr. Snow: If we do translation work
for other ministries of the government, or
other bodies, we charge at a rate that will
cover the cost of operating that branch of
my ministry.
Mr. Laughren: Supplementary, Mr. Speak-
er: Would the minister not agree that charg-
ing for translation service is in effect a
deterrent, surely, to both ministries and mem-
bers of this Legislature using this service?
Hon. A. Grossman (Provincial Secretary
for Resources Development ) : It's bookkeeping
within the ministry.
Interjections by hon. members.
Mr. Lewis: It is bookkeeping?
Hon. Mr. Snow: No, Mr. Speaker, I
wouldn't agree with that at all. It is part of
the policy of carrying out that type of service
on a charge-back basis and having each min-
istry responsible for the cost involved for their
translation.
Mr. Lewis: What about membears?
Mr. Stokes: Supplementary.
Mr. Havrot: Can't members opposite pay
for something?
Mr. Stokes: Mr. Speaker, I received' that
notice from the Ministry of Government Ser-
vices this morning. Is the minister aware that
as the result of a letter I sent to the trans-
lation branch-
Mr. Lewis: To have translated.
Mr. Stokes: —to have translated from
French into English— a letter that I received
from a constituent— I got back a reply say-
ing they are going to charge me a minimum
of nine cents per word for that translation?
Am I going to pay that out of my own allow-
ance in order to be able to communicate with
one of my constituents?
Mr. Havrot: It's cheap.
Interjections by hon. members.
Mr. Speaker: Order.
Mr. Laughren: The pressures are coming
from the back row.
Mr. Speaker: Order.
Mr. Lewis: The minister is submitting to
the pressures from his back row; that's why
he is doing it.
Mr. Speaker: Order.
Interjections by hon. members.
Mr. Breithaupt: We can take care of it for
them, if they like.
Hon. Mr. Snow: Mr. Speaker, this again, as
I have stated, is the policy of the charge back
within the ministry.
Mr. Lewis: Zero budget charge-back.
Hon. Mr. Snow: A zero budget charge-back
for services within my ministry. These poli-
cies are set down by Management Board. We
administer those policies. There are are some
instances of services that are provided to the
member where there's no charge for the
service.
Mr. Lewis: That is quite a phrase.
Hon. Mr. Rhodes: Let the member's party
get a Frenchman elected. The Liberals have
Roy.
Hon. W. A. Stewart (Minister of Agricul-
ture and Food): He is not even here.
Hon. Mr. Snow: It has not been brought to
my attention that this was going out to
members.
Mr. Lewis: But the minister is setting a
charge now.
Hon. Mr. Snow: It certainly should have
gone out to all government boards, commis-
sions and ministries.
Mr. Lewis: What about members?
Hon. Mr. Snow: I will inquire into how it
came about that this went to members.
Mr. Lewis: Why anybody? Why put a
charge on?
Hon. W. Newman: Doesn't the member's
party have someone who can translate French
into English?
Mr. Speaker: Order. A supplementary over
there?
Interjections by hon. members.
Mr. Speaker: Order, please. Does the hon.
member for Scarborough West have further
questions?
Mr. Lewis: No.
Mr. Speaker: The hon. Minister of Housing
has the answer to a question asked previously.
APRIL 1, 1974
575
FIRE HAZARDS IN SENIOR CITIZEN
HIGHRISE BUILDINGS
Hoa. Mr. Handleman: Thank you, Mr.
Speaker. I have the answer to a question
asked by the hon. member for Sudbury (Mr.
Genua) ' concerning the installation of com-
munication systems in senior citizen buildings.
Systems of this nature are not required imder
the National Building Code. However, the
National Research Council is considering the
possibility and is now looking into the pos-
sibility of installing them.
iln OHC senior citizen buildings there is a
communication system between the lobby,
the apartments and the resident caretaker's
unit. However, if we installed a public address
system which was accessible, there could be
some problem because there could be misuse
and disruption and confusion. If it is not
accessible, of course, it couldn't be used under
certain circumstances.
Our senior citizen housing is designed for
persons who are able to care for themselves.
However, we always try to consider the
special needs of this segment of the! popula-
tion, and the safety of the tenants is of the
utmost importance. I have instructed the
board of directors of OHC to review the
matter and to advise me as quickly as' possible
and also to look into the practice of other
jurisdictions where these systems are manda-
tory, such as in the publicly supported senior
citizen housing in the United States.
Mr. Speaker: The hon. Minister of Colleges
and Universities.
COMMUNITY COLLEGE COURSES
Hon. Mr. Auld: Mr. Speaker, subsequent
to the question from the Leader of the Op-
position-
Mr. R. F. Nixon: Great to have him backl
Hon. Mr. Auld: —I was going through my
mail and I came across the copy of the press
clipping of the Globe of March 28 and the
memorandum of Feb. 1, 1974, of the ministry
to all colleges of apphed arts and technology
requiring admission requirements.
Apparently— and I'll get further detail on
this— since 1966 the legislation governing re-
quirements for nursing has specified only
grade 12 plus two credits in science. Pre-
viously some hospitals apparently had a
grade 13 requirement and some went with
grade 12, which is that which the profession
recommends and which the colleges have
now adopted.
Selection is the responsibility of the col-
leges, and I gather that there has been a
large number of applications at Belleville.
I think the lottery that the hon. Leader of
the Opposition referred to has to do vvdth
what the press referred to as a computer
lottery. In the ministry's memorandum, we
set out assessment of the suitability, 19 years
of age, likelihood of successful completion,
and background, as well as the academic
record. What I assume from this memoran-
dum and the material in the press story is
that there was a large number of applica-
tions, that they are being put through a
computer to pick out all those who would
qualify under the directive, then there would
be the personal assessments and so on.
I think that what is referred to as a lot-
tery is really a preliminary screening, and
the basis of part of the problem is that the
teachers of a number of people with grade
13 thought those students should have pref-
erence over those with grade 12, and the
college and the ministry have said that if
they have grade 12 and two science credits,
which are the requirements that students
would know about, then they should have
the same opportunity as students with grade
13.
Mr. R. F. Nixon: It's great to have him
back.
Mr. Breithaupt: Supplementary question,
Mr. Speaker: Is the minister advising us that
his ministry is unable to attend to prelimi-
nary screening with a personal interest, and
are these things to be done by computer in
future?
Hon. Mr. Auld: Well, I am delighted to
respond to that. It seems to me that com-
puter selection of specific written require-
ments is a faster way of doing it than hav-
ing a person go through a pile of papers.
I would say that the personal assessment is
still important, though, but the ministry, as
I say, is not responsible for the selection
other than the broad guidelines.
Mr. Speaker: I think the hon. member for
St. George was up first.
WARRANTY ON NEW HOMES
Mrs. M. Campbell (St. George): Mr.
Speaker, my question is of the Minister of
Consumer and Commercial Relations. Could
he advise whether he proposes to have any
of his staff present at the meeting on April
8 to discuss the matter of house warranties,
576
ONTARIO LEGISLATURE
as requested, I understand, by the federal
government?
Hon. J. T. Clement (Minister of Consumer
and Commercial Relations): Yes, I do intend
to have staff present, Mr. Speaker, in the
person of my head legal officer, Mr. Cie-
miega, in the person of Mr. Graham Adams,
the man who has been involved in the build-
ing code, which has been a subject of dis-
cussion between the hon. member and
myself for some time, and one additional
member who has not yet been selected.
Mr. Speaker: The hon. member for Wind-
sor West.
ADMISSION STANDARDS FOR
GRADUATE STUDIES
Mr. Bounsall: A question of the Minister
of Colleges and Universities, Mr. Speaker:
In light of the Canadian-American psy-
chology graduate student admission situation
at the University of Windsor, does he not
think that there should be some overall,
province-wide criterion of admission for
graduate students, perhaps discipline by dis-
cipline, to determine whether the GREs
apply or do not apply, or in what percen-
tage? If the answer is yes to that, would
he ensure that the various disciplines are
brought together for the purpose of devising
and deciding upon common admission stand-
ards to the various graduate departments?
Hon. Mr. AuH: Mr. Speaker, I do have
a comment on that one.
Hon. Mr. Grossman: Oh yes? The minister
planted the question, did he?
Hon. Mr. Auld: No, but I was aware of
it.
Basically, as the hon. member is aware,
this is an internal matter that the university
would handle. However, I am informed by
the university that the process of selecting
applicants for the clinical psychology pro-
gramme, which is the one to which the hon.
member refers— and I understand that he
was at a meeting on Saturday afternoon with
some of the students— the process of selecting
applicants for that course has not yet been
completed.
A subcommittee of the psychology depart-
ment has forwarded its recommendations to
the department's admissions committee. I am
informed that when they have been reviewed
by the admissions committee, they will be
forwarded for final approval to the dean of
graduate studies.
There are 16 places in this clinical psy-
chology programme, not 11 or some of the
other things that one of the students indi-
cated in the press. The subcommittee has
recommended acceptance of seven students
for the master's programme and nine for the
PhD programme, a total of 16.
The seven students recommended for the
MA, the undergraduate programme, are all
Canadians. Of the nine students recommend-
ed for the PhD programme, five are Cana-
dian, three US and one British. Five recom-
mended PhD candidates are graduates of the
University of Windsor.
In addition, six students, including five
Americans, were accepted for a makeup year
to bring their qualifications to the level re-
quired for entry to either the MA or the
PhD programme. However, successful com-
pletion of the makeup year provides no guar-
antee of subsequent acceptance into post-
graduate programmes.
The subcommittee itself— this is the one
that I referred to about recommending in the
first instance the successful candidates — is
composed of four faculty and four graduate
students in psychology from the university.
Of the four faculty members, three are land-
ed immigrants and one is a US citizen. The
four student members include one Canadian,
one landed immigrant and two Americans.
Applicants for admission to the programme
are judged on the basis of a graduate record
examination set in the United States and
marked there, I understand, and their marks
as undergraduates. Their graduate record ex-
amination is given a weight of one and their
undergraduate marks are given a weight of
two.
In addition, applicants are required to pro-
vide two letters of recommendation from
professors in their undergraduate program-
mes.
Interjections by hon. members.
Mr. Bounsall: I almost dare not ask it
after such a detailed reply, but I was asking
in a general way because of the furore that
happened to arise here in this particular
situation, most of the facts of which the
minister has related to the House in his
answer, but not all.
Mr. Speaker: Question?
Mr. Bounsall: My question is, would the
minister not ensure that in every discipline
within the universities across Ontario— as has
been done in several of them— those disci-
plines meet and determine among them-
APRIL 1, 1974
577
selves what would be a final criterion for
admissions of students to each and every
discipline, which has not been done in the
discipline of psychology?
Hon. Mr. Auld: Well, Mr. Speaker, I will-
An hon. member: Take it under advise-
ment.
Hon. Mr. Auld: Let's say that I'll con-
sider that, because I'm not really conversant
with exactly what it is the hon. member is
getting at.
Interjections by hon. members.
Mr. Speaker: The hon. member for York-
Forest Hill.
INTERMEDIATE CAPACITY
TRANSIT SYSTEM
Mr. P. G. Givens (York- Forest Hill): Would
the Minister of Transportation and Commu-
nications please tell us what the reasons were
for the rejection by the Province of Quebec
of the Krauss-Maffei rapid transit system and
for the rejection by the city of Edmonton
of the Krauss-Maffei system in that city from
the downtown area to the suburbs? And how
does he feel his posture as a salesman to the
world of rapid transit hardware is affected
by these two rejections by two major juris-
dictions in Canada?
Hon. Mr. Rhodes: Mr. Speaker, first of all
I think the word "rejection" is probably a
little strong— it's just the fact that they've
chosen some other system for some other
purpose.
Mr. Breithaupt: The minister will go far.
Hon. Mr. Rhodes: The truth of the matter
is that in the case of Quebec we've looked
at their programme. We knew that they were
looking at the particular system that they
have recommended. I point out that it has
not been accepted. It is a recommendation
to the government. They've looked at it. It's
still in the concept form. It's an entirely dif-
ferent service that they want to provide. It's
actually an intercity commuter service that
they are talking about and not an inner-city
service.
There are all kinds of reasons, I suppose,
we could lay out here, but as far as we are
concerned we are going to continue on with
the project that this government has brought
forward-
Mr. Lewis: Blindly, expensively, absurdly.
Hon. Mr. Rhodes: —and Montreal and Ed-
monton can certainly continue on as they
are presently doing.
Mr. Lewis: Imagine being brought down
under the wheels of the train.
Mr. Givens: Isn't it a fact that the mag-
netic levitation system, if it is to work,
will work better in an intercity system from
Montreal to Ste. Scholastique with very few
stops, than it would work in Edmonton
where there are many stops and which is
more or less comparable to what Toronto is?
And we've had these two rejections. How
does the minister explain that?
Hon. Mr. Rhodes: Mr. Speaker, I am not
for a moment going to attempt to explain
the theory of magnetic levitation to the
hon. member or anyone in this House. I
don't believe I'm competent to do so. Nor
do I think the hon. member is.
Interjections by hon. members.
Mr. Speaker: The hon. member for Thun-
der Bay.
Mr. Lewis: What about ordinary levitation?
What about non-magnetic levitation?
Mr. Speaker: Order.
Interjections by hon. members.
Hon. Mr. Rhodes: Mr. Speaker, with
respect to ordinary levitation, t!he expert on
that is the leader of the New Democratic
Party in the federal House.
Mr. Speaker: The hon. member for Thun-
der Bay. .'
GREAT WEST TIMBER CLOSURE
Mr. Stokes: Mr. Speaker, I have a question
of the Minister of Natural Resources. Is the
minister aware that Great West Timber, one
of the largest users of saw logs in north-
western Ontario and a company that just
completed a major expansion, is going to
have to close down in May because of a
lack of saw logs?
Hon. Mr. Bemier: Mr. Speaker, I am
very much aware of that particular company.
I can say to the hon. member that we have
a third party agreement with a number of the
major licensees in the Thunder Bay area
and we have outlined to them that they
must supply to Great West Timber 100,000
cunits on an annual basis. It is my under-
standing that this has not been fulfilled
578
ONTARIO LEGISLATURE
and I am meeting with the principals of the
company on Wednesday next to discuss it
further.
Mr. Stokes: Supplementary: In view of the
fact that there are well over 200 jobs and
several million dollars of capital expenditure,
will the minister take steps to assure all of
the people involved that the company won't
close down for the lack of saw logs?
Hon. Mr. Bemier: I realize there may be
certain problems related to that particular
part of the question, Mr. Speaker, because
of half-load regulations that may be imposed
in that particular area, but I can assure the
hon. member that we will use all the pressure
we can muster to keep those jobs going and
that operation going full tilt.
Mr. Speaker: The hon. member for Rainy
River, I believe.
GUIDELINES ON UNIVERSITY CAMPUS
ACTIVITIES
Mr. Reid: Thank you, Mr. Speaker. I have
a question for the Minister of Colleges and
Universities. Acknowledging the minister's
concern about local autonomy in the uni-
versities, does he still not feel concerned
about the actions that have taken place at
the University of Toronto in the last week?
I am referring to the actions of the SDS.
Does he not feel concerned that the civil
rights of the people on that campus have
been abrogated by the actions of that group
and that perhaps his ministry should set
some guidelines in that regard?
Mr. Laughren: I wonder what the Liberals
would do?
Hon. Mr. Auld: Mr, Speaker, the only
thing I can say is that I believe in the
rule of law, as I assume most students and
most people do.
The activities on the campus are apparent-
ly being looked at pretty carefully and, I
gather, controlled as they are supposed to
be by the governing body of that university.
Again, as has been traditional from the first
university, the matters that the universiy
has as its responsibility are dealt with by it.
As I understand it, if universities in the past
have required outside assistance in some
form or another, they have initiated re-
quests for it. This has happened in the past
generally on an administrative basis or an
administrative problem, but it would appear
to me that the board of governors, the senate,
the governing people at the U of T seem to
be taking appropriate action.
Mr. Reid: Does the minister think what
they are doing is appropriate?
Mr. Speaker: The hon, member for High
Park.
ALLEGED MAFIA ACTIVITIES
Mr. M. Shulman ( High Park ) : A question
of the Solicitor General, Mr. Speaker: In
view of the OPP having completed its in-
vestigation, is the minister now able to con-
firm or deny the story in yesterday's Detroit
News that one Joseph Burnett of Toronto has
been supplying financing for niunerous
activities of organized crime in the northern
USA?
Hon. G. A. Kerr (Solicitor General): Mr.
Speaker, there is nothing in the story that
I recall or any information that I have that
Mr, Burnett was involved with organized
crime in washing or laundering money— and
this is what our investigation has shown at
this time. We are not aware of any illegal
activity conducted by Mr, Burnett in his
activities as an investment broker or as a
lawyer. As a matter of fact, he has also been
investigated by the Law Society of Upper
Canada— of which he is a member— and they
have no reason to disbar him for any of his
activities.
Mr. Speaker: The hon. member for
Huron-Bruce,
Mr. Shulman: Supplementary, Mr. Speaker.
Mr. Speaker: All right, we will permit a
very short supplementary.
Mr. Shulman: Is the minister aware of the
story in yesterday's Detroit News whic'h says
he is currently being investigated by the FBI
for the very activities which the minister says
he is not involved in?
Hon. Mr. Kerr: He is being investigated.
There is a difference between investigation
and conviction or guilt. The member doesn't
seem to know that. The member doesn't know
the rules of evidence.
Interjections by hon, members.
Mr. Speaker: Order, The hon, member for
Huron-Bruce,
U.S, BEEF SHIPMENTS
Mr. M. Gaunt (Huron-Bruce): Mr.
Speaker, I have a question of the Minister
of Agriculture and Food, Is the minister con-
APRIL 1, 1974
.579
templating seizing all beef containing DES
coming into the province from the United
States, as Alberta has threatened to do? Inci-
dentally, when will he answer my question of
March 14?
Mr. R. F. Ruston (Essex-Kent): That is
just a supplementary.
Hon. Mr. Stewart: I will have to look that
question up, Mr. Speaker.
Mr. Stokes: Answer the last one first.
Hon. Mr. Stewart: No, we haven't any
notion of seizing beef coming in from the
United States containing DES, because neither
we nor, in my himible opinion, the Province
of Alberta has any right to seize that beef.
All matters of crossing of provincial or inter-
national borders is a responsibility of the
federal government. The health of animals
branch, in this case, would be fully cognizant
of it. We have assurance from discussions we
have had with Ottawa that there is no beef
carrying DES coming into Canada. Frankly,
I took the position that the federal govern-
ment should either close the border to beef
which contained DES or allow our cattlemen
to use it in Canada.
We are advised that the American cattle-
men are not using DES because it was found
to be— it was banned illegally on a technical-
ity but that technicality does not upset the
law under which it was banned originally.
The legal position, as we understand it, Mr.
Speaker, is that the United States government
will likely continue the ban on DES, having
taken care of the rather minor technicality on
which the Supreme Court found that it was
illegally banned in the United States; it is a
very complex legal matter.
Mr. Speaker: The time for oral questions
has now expired.
Mr. Gaunt: What about my question on
March 14?
Mr. Speaker: In fact, the time has been
exceeded.
Hon. Mr. Stewart: I will get it for the
member.
Mr. Speaker: Petitions.
Presenting reports.
Motions.
Introduction of biUs.
Orders of the day.
UNIVERSITY EXPROPRIATION
POWERS ACT
Hon. Mr. Welch moves second reading of
Bill 1, An Act to amend the University Ex-
propriation Powers Act.
Mr. Speaker: The hon. member for
Kitchener.
Mr. J. R. Breithaupt ( Kitchener ) : I believe
this bill is worthy of two brief comments, the
first particularly because of the historic ap-
proach this House has always taken to the
introduction of a bill before the House deals
with the reply to the Speech from the Throne;
more particularly I think it's worthy of com-
ment because this is likely to be the last bill
to which His Honour will give royal assent.
'Mr. Speaker: Order, please. There seems
to be a large number of private conversations
taking place. It is diflBcult to hear the speaker.
Mr. Breithaupt: It is particularly of interest
that His Honour will be called upon to give
royal assent to this bill because of His Honour's
particular interest in this university. As mem-
bers of the Legislature will recall. His Honour
served some eight years as chancellor of
Waterloo Lutheran University, the name of
which was changed as a result of an Act in
this last session to Wilfrid Laurier University.
This is one of the further bills which will
complete that changeover and I think it is
perhaps of interest to the members that as
His Honour's last formal act, he will give
assent to this bill, something with which he
has been personally familiar, for the university
he served as chancellor and, I might add, as
chancellor with great distinction.
Mr. Speaker: Do any other members wish
to participate in this debate? If not, the hon.
minister.
Motion agreed to; second reading of the
biU.
Mr. Speaker: Shall the bill be ordered for
third reading?
Agreed.
Clerk of the House: The first order, resmn-
ing the adjourned debate on the amendment
to the amendment to the motion for an ad-
dress in reply to the speech of the Honour-
able the Lieutenant Governor at the opening
of the session.
THRONE SPEECH DEBATE
Mr. Speaker: The hon. member for Ottawa
Centre.
Mr. M. Cassidy (Ottawa Centre): Thank
you very much, Mr. Speaker. I thank the
members of my own party as well.
580
ONTARIO LEGISLATURE
Mr. Speaker, today I want to put on the
record a number of comments about the Am-
prior dam project of Ontario Hydro. It's some-
thing which has been in the news off and on
since last fall when it first became an issue
and it's a project which cries out for public
inquiry in order to satisfy the doubte and
confusions which have been raised by Hydro
and by the actions of Hydro and the actions
of the ministers of the Crown in relation to
that project over the past few months.
This is a diflBcult speech to make because
of the volume of material which has come in
and because of the fact that, despite all of
the material which has come in and the
material which has been denied by the gov-
ernment, there are still no clear answers.
What appears to be the case, however, is
very simply this. A political decision was made
in 1971 to build a dam in order to re-elect
the member for Renfrew South (Mr. Yaka-
buski); that Ontario Hydro was made the
political arm of the government; that this de-
cision was made despite the great uneasiness
of many people both in the senior bureau-
cratic level of the government and in the
planning and administration of Ontario Hydro.
But the decision having been made and
the project having commenced, everybody on
the government side— including the member
for the area, the Minister of Energy (Mr.
McKeough), the Premier (Mr. Davis) himself,
today, in refusing to table documents, and the
staff of Ontario Hydro— all of them have be-
come engaged in a mass coverup because they
do not want to recognize or admit that poli-
tical considerations prevailed in building a
dam which is othenvise imjustified. And I
would suggest, Mr. Speaker, that the political
considerations that may have motivated' the
dam are not Justified either, that the member
for the area does not make a significant con-
tribution wortliy of $78 million in investment
for one re-election.
Mr. Speaker, I would also like to call your
attention and the attention of the House to
the fact that the investment we are discuss-
ing today, on the Amprior dam, is very sig-
nificant in size. It began somewhere around
the $40-million mark— I'm sorry to see the
Minister of Energy leaving; I hope he will
return for the rest of this speech— and it is
now estimated to be $78 million for the Am-
prior dam. That happens to be equal to $10
for every man, woman and child in the Prov-
ince of Ontario. Or, at current interest rates,
it's equal to something approaching $1 every
year, in interest alone, for every man, woman
and child. Or $4 or $5 a year in Hydro rates
for every family in the province.
We're not talking about a small investment.
We're not talking about a few miles of black-
top in order to get a member re-elected and
that kind of patronage. We're talking about a
lot of money, Mr. Speaker, and it's a lot of
money that's being wasted.
I want to make it clear too that from the
very beginning Ontario Hydro's determination
to go ahead with this dam has been closely
linked with the government. And the govern-
ment has consistendy been involved in the
decision-making about the Amprior dam from
the day it was originally announced to the
time that it was confirmed by the then Pro-
vincial Secretary for Resources Development
(Mr. Lawrence) and on until today.
Back on June 6, 1972, the provincial secre-
tary announced that an analysis had been
done by Hydro, that the information had gone
forward to the govemment, that one of the
conditions for Hydro going ahead was that it
had to have the blessing of the province and,
in effect, that the province was giving its
blessing. He implied at that time that people
in govemment, including the environment,
water resources management, recreation and
agriculture people in the provincial govem-
ment, had been involved in assessing the
project. He promised that chronic problems of
erosion on the Madawaska River, upstream
of the Amprior dam, would be eliminated' and
that the lake behind the dam, about 10 miles
long, would provide a valualDle new recrea-
tional resource for the Amprior area.
The themes, Mr. Speaker, are consistent
through the piece, that is that the dam would
provide power, it would correct an erosion
problem on the Madawaska River and it
would create an important new recreational
resource in that particular part of the area.
Well, Mr. Speaker, during the election
campaign itself, I can recall raising my eye-
brows at the announcement of an $80-mil-
lion dam in one particular area, particularly
since it was known that Hydro had admitted
on a number of occasions that that particu-
lar dam was marginal in economics and
therefore not justified. However, there were
other things that pressed, particularly the
affairs of my own ridine: and mv own city,
and it was not until the fall of this year
that I became closely connected again with
the questions of the Amprior dam.
I may say that although people in the
area were expressing concern, in letters and
by other means, to the Minister of Energy
and to other ministers, generally the member
APRIL 1, 1974
581
from the area was not particularly bothered,
and he was keeping everybody else in line.
I guess it's fair to say that up until recently
the people of Renfrew county have not felt
that they really could get action through
the political system and therefore they
weren't anxious to tr>'.
It's probably fair to say, as well, that of
the people of the area directly affected two
groups stood to benefit from the proposal
for the dam regardless of whether it was
justified or not. One group were the cottage
owners along the river, some of whom were
upset by the proposals. They were quickly
bought out by Hydro at fairly generous
prices and presumably went to establish
themselves in cottages elsewhere where
there was not a regular fluctuation of water
levels over the summer.
Another group were the municipal offi-
cials, the businessmen, the merchants and
people like that— the governing group, if
you will— of the town of Arnprior, a town
of 8,000 within whose limits the dam is
being located.
Now, Mr. Speaker, whether you establish
a new factory, whether you start a major
new economic development that will create
jobs forever and ever, or whether you build
a dam, anv expenditure of $40 million, $50
million or $60 million within the town limits
of Arnprior obviously has short-run benefits.
This is what the people of the area could
see.
I think it is fair to sav they didn't feel it
was for them to assess whether or not Hydro
really needed this particular project. After
all, didn't Hydro have a very good reputa-
tion for being pre-eminent among electrical
utilities around the country? Hadn't it been
in business for a long time? Didn't it really
know what it was doing? Wasn't it the cus-
tom that one simply accepted what Hydro
said as gospel?
I think that's a fair kind of summary of
the opinion that many people in the area
had of Hydro. And, as far as the merchants
and businessmen in the area were concerned,
if it meant extra business for a few years
that was great. That was fine. I'm afraid
that as far as the rest of us in eastern On-
tario were concerned, the fact that $80 mil-
lion was going to go into this particular
project when the provincial government
wasn't willing to spend a nickel on economic
development throughout most of the region,
we were rather slow to cotton on to that
particular insult to eastern Ontario on the
part of this particular government.
At any rate, one dark, rainy, late evening
in November I was asked on a very urgent
basis to meet with some representatives of
fanners from the Arnprior area and we did
meet in a cafe in Perth. It all sounds rather
clandestine but at any rate their concerns
were so urgent that they decided that they
would come down and see me directly
rather than wait for a few days until they
could find me in Arnprior, or in Ottawa.
You know, Mr. Speaker, a number of
charges about misrepresentation have been
made against myself, in particular by Hydro
and by the government, over the course of
the debate over the Arnprior dam since No-
vember. I want to say that of all the infor-
mation that has come in about the Arnprior
dam the very best and most accurate infor-
mation was that which came from the local
field man for the Federation of Agriculture
and from the one or two farmers that he
had with him about what they had gleaned
informally about the Arnprior dam and what
was then raising their concern and the con-
cern of farmers in that area. They gave me
about six or seven pieces of information on
the dam all of which were fit subjects for
concern and all of which proved to be dead-
ly accurate. Not only that, but the informa-
tion they had was consistently much more
accurate than much of what has come since
from Ontario Hydro.
They told me that the estimated capacity
of the dam had been reduced by 10 per
cent from 87,000 kw to 78,000 kw. They told
me that the power output from the dam
would be available for only two to four
hours a day because of limited reservoir
capacity. Now Hydro had never said any-
thing else, but certainly the implication
when the project was announced in this
House was that it would be available day
and night.
They told me that similar dams in other
parts of the province had cost considerably
less. And, in fact, when we checked we
found that the Lower Notch dam in the
riding of the member for Timiskaming (Mr.
Havrot) which was completed only three
years ago, had cost about $75 million, was
producing power for many more hours per
day than the proposed Arnprior dam and had
approximately three times the capacity of the
Arnprior dam for something less than the
same amount of money.
They told me that about 2,000 acres of
agricultural land would be flooded by the
dam and that hundreds of additional acres
would be taken from production because of
creek diversions, railway locations and other
582
ONTARIO LEGISLATURE
projects connected with the dam. That was
accurate and in the context of 1974, now that
people have become much more concerned
and much more aware of the dangers and
loss of agricultural land everywhere within
the province, obviously it is a matter for
concern such as it may not have been three
or four years ago.
They told me there was no action planned
by Hydro to prevent erosion of the banks
of the proposed new lake which would be
made behind the dam but that the banks of
this lake would be made of Leda clay, the
same material which is currently being eroded
to a certain degree by the Madawaska River
because of the changes in its levels. As they
pointed out, the safest way to protect that
clay from erosion is by ensuring that the
banks are heavily wooded. The banks of the
new reservoir would be bare and Hydro
crews were then already engaged in taking
the timber from the banks of the existing
river where they would be flooded.
They told me the construction contracts on
the work to date had been let to C.A. Pitts
Ltd. without any open tendering. That hap-
pened to be correct and they were aware of
a certain amount of hankypanky between
the consulting engineer and the contractor;
that has turned out also to be deadly ac-
curate in view of the conflict of interests
involved in having the president of Pitts
sit on the controlling company in the Acres
group which controls the engineering com-
pany which, in turn, has been recommending
that contracts be let to C.A. Pitts. It is a
full circle situation and one that would not
be tolerated to any extent under the conflict
of interest rules which now apply both in
cabinet and to senior bureaucrats within
the government.
Mr. Speaker, let me try to put down in
the records some of the chronology behind
the project. I am glad to see that the mem-
ber for Renfrew South is here to listen to
this. May I say I would be happy to provide
copies of anything I quote from in this
Legislature to any members of the Legis-
lature who seek it. We do not believe in the
kind of policy of exclusion and of suppression
of documents which is practised by the
government.
The dam was annoimced in 1971, about
two weeks before the election, by Mr,
George Gathercole who was then and still is
the chairman of Ontario Hydro. It was stated
at the time that the dam was being announc-
ed in response to complaints from cottagers
and farmers about erosion along the 10-mile
stretch of the river between the Hydro dam
at Stewartville and the town of Arnprior.
If one wants to go back into history a
bit, sometime in the early 1960s Hydro de-
cided to redevelop the Madawaska River, a
river with a fairly substantial vertical drop
but not too substantial cubic footage or
volume of water, into a river which would
be used for peaking power. In other words,
it would be used for power at the times of
peak demand such as between 4 o'clock
and 6 o'clock when everybody is turning
on the lights in winter, cooking on the
stoves, the factories are still running and flie
streetcars and subways are drawing a lot
of power. That was Hydro's intention and,
in fact, over the course of the 1960s it re-
developed or developed three sites, I think it
was, upstream on the Madawaska River in
order to create a very sizable amount of
power. I believe the programme in those
three dams amounted to something like
330,000 kilowatts, or 330 megawatts to use
the language of the trade.
When that redevelopment of the river was
proposed two other dams were suggested to
be part of it. One was Highland Mountain, I
think it is, which is somewhere up in the bush
country along the Madawaska River and has
not, to this date, been developed for eco-
nomic reasons; and the other was at Arnprior
itself, a mile or two from the place where the
Madawaska River joins the Ottawa River.
That particular site, which would develop
about 80 megawatts or an additional 20 per
cent or 25 per cent of the peaking capacity
of the river, was examined on a number of
occasions bv Hydro, but on each occasion was
judged to De uneconomic and therefore not
justified. In fact, to this day. Hydro says that
"considered alone, the Arnprior dam is un*-
economic and should not be proceeded with."
Now Mr. Gathercole went up there and in
response to the complaints and so on, he
said: 'We are going to build a dam and it is
going to cost $50 million. But we have to be
sure that there are adequate footings, we
have to be sure that there is municipal con-
sent and we have to have the approval of the
government,"
I guess in the chronology I had better con-
tinue on this line first and then come back to
those particular points that were raised by
Mr. Gathercole.
The issues raised by the dam were, I would
say, not clear at that time. I have mentioned
the kind of frame of mind of people in Ren-
frew county. I believe it is fair to say that
at that time the farmers were not aware they
could get anywhere in fighting with Hydro
APRIL 1, 1974
583
and that they had consented to being trampled
and having their rights trampled by Hydro in
ever>- comer of the province, for year after
year after year, and there wasn't the same
concern as now with agricultural land. I
suspect that there may have been an assump-
tion, too, that Hydro, as a kind of big brother,
a big daddy in Ontario, would be reasonable
in its compensation to the farmers. I think it
is fair to say, too, that had Hydro come in
within' six months after the initial announce-
ment and made generous and reasonable offers
to the farmers, including offers for all of their
land where they would have farms split up
and that kind of thing, probably most or all
of the farmers would have consented and
they would have sold out to Hydro and there,
quite likely, the matter would have rested.
The power of the purse would have led us to
a situation where Hydro was going ahead
with a fait accompli.
In fact, though, Hydro played the most
incredible games, games that the member for
Scarborough West (Mr. Lewis), the member
for Huron-Bruce (Mr. Gaunt), and other mem-
bers have described, in offering ridiculous
amounts of compensation.
It came in, it had sent its appraisers in, it
told the farmers to make an offer, it wouldn't
make it clear what on earth it was doing and
to this day, Mr. Speaker, almost none of the
farmers involved have settled. I believe about
three or four of the farmers with any appre-
ciable amount of land which is to be taken
over by Hydro have, in fact, settled.
Hvdro settled very quickly with the cot-
tagers, offering them sums of up to $4,000 or
$5,000 for their acre or so of land. But the
farmers then found that Hydro was offering
them $100 or $200 an acre for land that had
equal cottage potential as the developed land
on the other side of the river had they
decided to go ahead and allow cottages on
their land.
One of the issues, which is a very specific
issue whidh needs to be raised, Mr. Speaker,
is that the protections of the Expropriations
Act that were meant to apply to farmers and
everybody else don't appear to be applying in
this particular case.
Hydro is going ahead by force majeure,
has now had built or has contracted for
$15 million worth of construction work on
site, and the intent and I think the effect of
that work will be to flood land owned by
farmers which it does not currently own, nor
to which it has currently applied expropri-
ation orders.
Hydro has been very delinquent in apply-
ing those expropriation orders in order to even
indicate its intent. The farmers in the area,
who were guaranteed under the Expropria-
tions Act a hearing of necessity into the
desirability of having that particular project,
haven't yet had their day in court. And at
the time they have their day in court— be-
cause it is clear they are going to go ahead
to a hearing of necessity— they will be con-
fronted with a fait accompli in the form of
$6 million, $8 milHon, $10 million or maybe
$15 million worth of work carried out by
Hydro on the dam with the clear intent of
taking over their land.
Now it's my understanding that when the
Expropriations Act was amended several
years ago, the protection of the hearing of
necessity was not meant to be after the fact
but before the fact. It was not permitted, for
example, for a municipality to build a road on
land for which a hearing of necessity had not
been held when that hearing of necessity was
applied for. And clearly, if the municipality
brought its bulldozers on to somebody's land
to build a highway without ownership of that
land, then the OMOier could go ahead and
seek an injunction for trespassing and kick
them out.
In this particular case, it's a bit more com-
plicated. Hydro is not physically trespassing
on the land which is threatened by flooding
from the dam that is currently being built. It
is doing it morally, if you will, but it is not
doing it physically. And when the farmers got
together with their federation in order to
decide to take legal action-
Mr. R. Haggerty (Welland South): Hydro
had the support of the cabinet, though.
Mr. Cassidy: Oh, of course. It's clear that
Hydro intends to flood that land. It's clear
that Hydro intends to take that land.
But when the farmers consulted legal coun-
sel, they were told that if they went to seek
an injunction from the courts to stop Hydro
building the dam on a temporary basis, to
get the project stopped now, and if they were
then subsequently found to be in t!he wrong
by a higher court or at the time that a
permanent injunction was being sought, then
Hydro could claim not just damages but
double damages against the farmers for hat-
ing a project where the expenditure was of
the order of, say, $25,000 or $30,000 a day.
Mr. D. C. MacDonald (York South):
Sounds like blackmail.
Mr. Cassidy: It is blackmail. It means that
for every day that the farmers successfully
stopped the project by a temporary injunction,
584
ONTARIO LEGISLATURE
they were at risk for maybe $50,000 or
$60,000 in double damages. And no matter
that the courts might be unhkely to do that,
that risk was obviously too great for farmers
to take when in fact the u^hole net worth of
the farmers affected might be, let's say, only
$1 million, and the net worth of the one or
two farmers who might actually bring this
suit might be no more than a day or two
days' double damages that Hydro would pur-
sue.
It was very clear from the actions of Hydro
up until that point that Hydro was going to
stop at nothing in order to get those farmers.
If it requires the ruining of a farmer, if it
required bankrupting him and taking every
penny he had in order to teach the farmers in
the area a lesson, it was clear that Hydro
was quite willing to spend $50,000 or
$100,000 in legal fees and go right up to
whatever court was necessary in order to seek
those kinds of damages in order to punish
farmers who chose to try to take out an
injunction.
Interjection by an hon. member.
Mr. Cassidy: Therefore, when it comes to
the procedure that allows, say, an industrialist
to go running into court for an ex parte
injunction to stop picketing in a legal strike
situation— the procedure that is so often on the
side of people with power in this society— it
turned out that when people who were
affected by the actions of a powerful body
like Hydro wanted to use the same procedure,
they were penalized to the point where they
simply couldn't do it. There was no legal
recourse that the farmers could safely take,
Mr. Speaker, until the time that Hydro finally
deigns to take out expropriation orders.
I have checked into the Act, and the Act
says specifically that the Minister of Energy
has got to give his approval before those
expropriation orders can be issued. I have
been unable to find out whether in fact even
that approval has now been given. And it
may be that Hydro is planning to flood the
land without even having sought general
approval from the minister, although it is
clear and obvious that the minister when
asked \s willing to give it.
If one wants to sum up the attitude that
is represented by this on the part of Hydro
and of the minister himself, it is to say that
this is simply a matter of money as far as
the corporation and the government are
concerned. As far as they can see, any prob-
lem in the province, where people object
to the actions of government, can be reduced
to money and nothing more. Therefore, all
it needs, according to the thinking of the
minister and his people and the corporation
and their people, is to find enough money
to pay off the farmers so that they'll stop
riding on Hydro's back. And, of course, if
the farmers do settle, then the local opposi-
tion effectively ends and presumably Hydro
can go ahead.
My experience with the farmers, though,
is somewhat different. They are saying, "It
doesn't matter what we are compensated,
we don't want to move. We want to see
compelling evidence that Hydro has no other
course but to do this particular project,
which involves resolving an erosion problem
by simply flooding out every last fanner
and cottager whose land was being eroded
or stood in danger of being eroded."
Mr. Speaker, the next thing to look at in
the chronology is to ask what did Hydro do
in order to get people in the area involved,
in order to sound out their feelings and
in order to let them participate in consider-
ing the alternatives? After all, even at $50
million, this was considered to be a mar-
ginal project, and the price has been escalat-
ing every time the cash register rings. If it
was marginal at $50 million— I don't care
what has been happening with the cost of
fuel and other things like that— it can't be
anything more than marginal at $80 million,
and I would suggest that it is grossly un-
economic.
Until the Minister of Energy went up into
the area in January of this year, at which
time in his mind the project was a fait ac-
compli, there had been no public meeting
with people of the area to acquaint them
with the facts of the project and to seek to
explain what it was all about; how Hydro
was going to proceed; what the benefits to
the area would be; and, for that matter quite
honestly, what the disadvantages to the area
were going to be.
Mr, D. J. Wiseman (Lanark): What about
the Kaison committee?
Mr. Cassidy: We'll talk about the liaison
committee as well. The member for Lanark
points out that there is a liaison committee.
I happen to have a letter from the chairman
of the liaison committee that I intended to
read a bit later during this speech. A liaison
committee has been established since the
summer of 1972, and that liaison committee
includes the reeves of the three townships
involved, plus the mayor of Arnprior. As I
understand it, that body has met in camera.
The editors of both the newspapers in-
volved in Arnprior have sought again and
APRIL 1, 1974
585
i
again to be present at meetings of the liai-
son committee and on almost every occasion
they have been rebuffed. It is only in the
last few weeks, as the Arnprior question
became more of an issue and as Hydro
realized just how badly it was alienating
people in the area and in the province, that
on one or two occasions journalists have
been able to attend the liaison committee
meetings. Yes, there has been a liaison com-
mittee, Mr. Speaker.
However, Hydro has never sought or re-
ceived approval from the councils of the
three rural municipalities affected, that is,
the townships of Pakenham, McNab and
Fitzroy. It has not, nor has it soueht, ap-
proval from the regional municipality of
Ottawa-Carl eton, which has territory affect-
ed; from the county of Lanark, which has
territory affected; or from the county of
Renfrew, which has the largest portion of
the territory affected.
The liaison committee tended to be muz-
zled because its members were told that in-
formation they were receiving was confi-
dential', or that some of it was confidential,
and they were enjoined not to go and talk
aroimd in the area. I'm afraid, as a fact of
life in the area, if people are told that there
isn't a tradition of rocking the political boat,
therefore people would be very wary of dis-
regarding the instructions that Hydro had
given.
Mr. Speaker, let me go on now and talk
about some of the facts that I have received
from Hydro. I want to say— the member for
Simcoe Centre (Mr. Evans) was here a few
minutes ago, but I don't see him now— that
at the initial few contacts between myself, as
a sort of spokesman for people in the area
and as a concerned member of the Legisla-
ture, and the hydiro commission were maybe
not always completely as— what's the word I
want?— as satisfying on both sides as one
would have liked but at any rate they were
cordial. The member for Simcoe Centre
sought to be helpful in providing information
and the same is true of Mr. Tyndale, one of
the project engineers, and other people who
were involved. This, in fact, was the case up
until approximately the end of January. Over
that period of time as well I want to say that,
with some diflBcuIty and gradually, there was
nevertheless, a flow of material about the
project which has come forward and which
has provided much of the underpinning for
this particular speech.
One of those documents which came in
attached to the letter from the member for
Simcoe Centre related' specifically to the costs.
It gives you very graphically, Mr. Speaker, a
picture of what has happened to the costs of
this particular project.
In September of 1971 when the hydro com-
mission first gave its general approval for the
project, the estimated cost was $51.5 million.
In March of 1972, after some preliminary in-
vestigations had been carried out, it was $60.3
million. In late 1973, it was $78 million.
Then there is the introduction of the
possibility of a plus or minus five per cent
margin for error. And cJearly, in view of the
escalation of costs, that would be plus five
per cent, at the very least. This particular
undated memo says that the estimated total
cost of the project is now $82,742,000, as
compared to the work order estimate of $60.3
million.
What is illuminating about this document
as well, Mr. Speaker, is that in addition to
documenting an increase of $22 million or 37
per cent, it ako states that the engineering
costs were going to be more than previously
estimated because of the soil problems en-
countered, but that they would remain at
approximately the same percentage of total
cost. The estimated increase in engineering
costs is $4 million out of a total increase of
$22 million. Now, that happens to be 20 per
cent, approximately, of the increase in cost.
If what is stated here is to be believed,
that means that the engineering costs overall
are of the order of about $16 or $17 million.
That is pretty high, and I asked Hydro about
that and their people say no, that is too high,
and talk in other figures. I am afraid I can't
recall whether it was $8 million, $10 million
or $12 million that Acres Consulting Services
stands to receive in engineering costs for the
work that it will carry out for Hydro on this
particiJar project.
I think it is interesting, though, that the
sum is that high, because Acres has been con^
sultant to Hydro on this project from the very
beginning. One of the things that I have been
most critical about is that nowhere does it
appear that an adequate study of the alter-
natives was ever carried out.
lOne wonders whether there was not some
kind of a conflict vidthin Acres there because
of the fact that they stood to make $8 million
or $10 million or $12 million if they went this
route and built a dam— whether or not people
needed it— that therefore it was in their in-
terests to go along with a political decision
made by the government to protect the hon.
member for Renfrew South; whereas the alter-
native meant $500,000 or $1 milHon in fees
whiclx. would allow them to advise the gov-
ernment that there was just no way that it
586
ONTARIO LEGISLATURE
should go ahead with this gross misuse of
money and that there were other and there
were cheaper alternatives.
Now, the second document that came to me
from the member for Simcoe Centre is en-
titled "Madawaska River Development." It is
also apparently a background document pre-
pared for senior officials of Hydro, possibly for
the commission; I am afraid I can't say ex-
actly which. This report gets to the core of
the whole question, which is: Was the Ami-
prior dam needed in order to protect the up-
stream capacity of the Stewartville peaking
dam, which was completed in 1969?
You see, up until 1969, Mr, Speaker, the
river was nm for about 10 hours a day— if
I can use some technical words here— at a
flow of about 6,000 cubic feet per second.
And that was enough to give 60 megawatts
of power 10 hours a day during the daytime
hours when demand was greatest, from the
Stewartville dam. When it was rebuilt, the
capacity of the dam was increased from 60
mw to approximately 150 mw. Subsequently,
instead of being run for 10 hours a day, it
was run for approximately four hours a day.
And when it was running, the water went
gushing through there at a rate of 15,000
cfs-instead of 6,000 cfs.
Prior to 1969 and for a period since the
war, I think, the river's level downstream
of Stewartville used to fluctuate by around
two or 2\^ feet a day because of the fact
that the river was miming at above its
normal 24-hour pace during the daylight
hours and then it was simply shut off— they
turned off the tap— for the 14 hours from,
say, 6 p.m. until sometime in the morning.
Once they began to run it for only two
hours at a time and at a much greater
flow of water, then the increase and decrease
in water levels tended to get greater— to
what extent I am afraid I have been imable
to establish and apparently Hydro has never
made a hydrological survey of the lower
river in order to find out itself. The scare
stories that they have spread indicate that
the river now fluctuates in level by eight feet
or so a day. My calculations indicate that
that may be as low as 3%— more likely per-
haps four or five. The fact is though that
there is no clear information which Hydro
has yet provided to me in response to in-
quiries about just what was happening with
the river after they started to use this
Stewartville dam for peaking power.
At any rate, it was after that that Hydro
began to get worried about possible en-
vironmental consequences— consequences— and
public complaints from the 10-mile stretch
of the river below the Stewartville dam. Not
only were they worried, they showed the
most tremendous kind of reaction that you
have ever seen, Mr. Speaker. The only citi-
zen's group that's had equal impact on the
government has been the Kingston Township
Ratepayers' Association when it was led by
the brother of the current Minister of In-
dustry and Tourism (Mr. Bennett) and came
down to look for OMB information.
I am told that when Mr. Gathercole went
up to Amprior in 1971 he was presented
vdth a petition with about 25 names on it
and that this struck such terror into his
boots that he went around for two hours
mulling over the dam and the dam site and
everything else. He came back and an-
nounced, much to the surprise of his officials,
that a $50 million dam would be built. If
the story is true, that means that each
signature was worth about $2 million, if you
will.
However, the record by Hydro itself would
indicate that there wasn't exactly an over-
whelming kind of outcry at the way the river
had been run. After all, it had had this 2
ft fluctuation every day for 15 or 20 years
—for 25 years I guess— and that appeared to
be reasonably acceptable in the area. They
were used to something happening in the
river.
Well, the official record said that Hydro
had bought all the land from Stewartville
to Clay Bank, about four miles of the total
10-mile stretch, because it anticipated that
there might be complaints in that area. They
didn't get complaints in that area. Then it
says:
A number of complaints have been re-
ceived since Stewartville began operating
in the peaking mode [that is since 1969].
Four or five complaints have been received
from the 34 cottage owners between Clay
Bank and Amprior regarding water level
fluctuations, erosion and very low water
levels on weekends.
If I can say this again, Mr. Speaker— "four
or five complaints from cottage owners.**
Minor improvements were made where
possible, but generally the complainant re-
ceived only an explanation of why the
variations were necessary and was told
that we were studying the situation.
That is, that Hydro was studying the situa-
tion, which is fair enough.
There is no mention of complaints from
fanners whose land adjoined this particular
section, just from four or five cottage owners
APRIL 1, 1974
587
in the area, all of whom have since been
bought out. Then it goes on and I quote:
A petition signed by 36 names of resi-
dents was received from the reeve of
McNab township complaining about water
level variations and low water levels above
Stewartville where Hydro has rights to the
river frontage. An explanation of the rea-
sons for these flow variations was sent to
the reeve. A complaint was received from
owners of the Amprior marina regarding
variations in water level, flooding and gen-
eral diflBculties in operating this marina
with this marina with the daily changing
flows. The commission authorized improve-
ments to this marina property in July,
1970, at the approximate cost of $50,000
and this work has been undertaken.
There was a complaint in the spring of
1971 from Amprior regarding wear of their
pumps because of a certain amount of par-
ticulate matter. This would be eroded soil in
the river and it was wearing out the pmnps
on the water intake for the pumping station
of Amprior. This complaint was still under
investigation at the time this memo was
prepared.
Then, in the summer of 1971, Amprior told
Hydro that the sewage main across the lower
Madawaska had failed twice since the new
river control plan was initiated, and sug-
gested that Hydro was partially responsible.
At the time of writing, that complaint had
not been settled.
In June, 1971, a law firm representing four
people who had land on the east bank of
the Madawaska, just near the Amprior ma-
rina, filed a complaint with Hydro. Concerns
have also been expressed regarding erosion
at other areas in this vicinity— in this vicinity
means downstream from the dam currently
under construction which I'm discussing to-
day.
If I could review those complaints, Mr.
Speaker, there were three or four cottagers
in the 10-mile stretch between Stewartville
and the new Amprior dam who complained.
They have all been bought out. The other
complaints filed in Hydro's own compendium
of who was concerned came from residents
of an area along the reservoir, upstream from
the Stewartville dam, who were obviously
not affected by the Amprior dam or by any
erosion problems on the Madawaska River
in that area; from people at the marina which
is downstream from the new dam and where
Hydro has already spent $50,000 to give
them a floating dock. In fact, Mr. Gathercole
personally went to Amprior that sunny day
in October— it was a sunny day for the mem-
ber—in order to launch or open the new
docks on the marina and that was the occa-
sion at which he armounced the dam.
As for the city of Amprior's pumps, it was
simply a matter of getting slightly better
quality equipment for a few thousand dollars;
I'm not sure how that one has been resolved.
I know that Amprior itself has fixed its sew-
age pipes. I don't think it's had compensatioii
from Hydro for them but the cost of fixing
those sewage pipes across the area which
will be the tail race for the new dam was
in the order of $10,000 or $11,000 and cer-
tainly not an expenditure which was worth
$78 mfllion to avoid.
Likewise, the other downstream problems
near Amprior are basically not particularly
affected by the dam because the rationale
for the dam has always been power genera-
tion, erosion problems upstream from the
site of the dam and the recreation possibili-
ties.
But then Hydro goes ahead and there are
some dirty photographs here, some dirty pic-
tures. They show dirt falling into the Mada-
waska River. There are three pictures which
have been taken and which have appeared,
I think, three or four times in the documents
I have been shown concerning this particular
dam.
One is of a particular property, which
definitely shows a shde of maybe several hun-
dred square feet, maybe a couple of thousand
square feet, between April, 1970, and May,
1971. A second picture is of bank erosion,
again maybe several hundred square feet on
a bank about 25 ft high, about a mile up-
stream from the Amprior site. I guess that's
it. That's the documentary evidence, in terms
of visible evidence, which was being passed
around to the senior people from Hydro. At
no place have they indicated where these
massive slides, which apparently have been
taking place, actually took place. In fact, the
doumentary evidence, to the contrary, indi-
ates that about 80 per cent of the river
frontage in the area affected is not prone to
serious erosion. There is substantial erosion
in other parts but the degree, the extent, the
timing, the way in which it has accelerated
and so on has never been studied, to my
knowledge, in any scientific way by Hydro, as
one would expect, before it committed a
$78 million investment.
The report from Hydro, "People to Hydro,"
goes on:
It is the general opinion of those in-
volved in dealing with those complaints
588
ONTARIO LEGISLATURE
that there will be continuing and probably
increasing complaints from residents in the
lower Madawaska River area which will
lead to restrictions on the operation of
Stewartville if measures are not taken to
relieve the situation.
That, Mr. Speaker, is the nub of the argu-
ment for expending $78 million. Although
the complaints until the time the dam was
committed weren't particularly great, never-
theless the complaints were bound to get
greater and therefore Hydro had to build a
$78 million dam.
If I can find the document here— I have to
quote as a counterpoint to that particular
judgement of the Hydro people a comment
which, I must say, shocked me but which
came from the environmental assessment re-
port which was prepared for Hydro as one of
the major documents connected with the
dam.
On page 10 of that document the con-
sultants state— it may have been Acres or it
may have been Hydro. Tm not sure who
carried out this environmental assessment:
Shortly after the commission announced
its intention to investigate this project
[meaning the Amprior dam] the town of
Arnprior offered their endorsement of the
project, followed by a similar endorsement
by the county of Renfrew.
I might state, incidentally, that there has been
no such endorsement by the county of Ren-
frew, according to a letter to me from the
clerk-treasurer of the county. To continue:
This indicates that the environmental
ethic prevalent elsewhere in North America
which abhors any river development is not
prevalent among residents of the Mada-
waska Valley.
On the one hand, Mr. Speaker, you have
Hydro people advising their superiors that
they had to build this dam, because otherwise
the environmentalist complaints would be
such that the operation (rf the Stewartville
dam would have to be curtailed or cease.
Yet, on the other hand, environmental con-
sultants to Hydro were telling senior people
in Hydro that there was no kind of environ-
mentalist ethic in Renfrew county such as
you find elsewhere on the continent and,
therefore, they could "go ahead and damn
the torpedoes" and build any kind of dam
they wanted.
If that's the case, Mr. Speaker— in other
words, if Hydro's judgement was that the
people in the area didn't give ^a damn about
the enviroimient— then one could argue— I'm
not going to raise this one particularly
strongly— that Hydro could have saved about
$60 million, $70 million or $80 million by not
building the dam, seeing that in its judge-
ment the people in the area didn't give a
damn either way about the environment.
Obviously, I don't accept that and I think that
envirormientalist concerns are important in
this whole ajffair.
Nevertheless, the cost being incurred by
Hydro, apparently with the intention of curing
an erosion problem, is gross. The alternatives
have not been adequately explored. They have
not been explored, partictdarly with people
who own shorefront property and who, there-
fore, would have been the most likely to
launch any complaints.
In other words, alternatives that might have
been acceptable to people in the area in
reasonable environmental terms, plus being
much more reasonable in cost, were never
adequately explored. Hydro's alternative was
simply to buy out the cottagers who had, in
fact, complamed, and to abuse the farmers to
the extent that they have now protested and
are fighting hard in return. In other words,
it's no different than some dictatorial govern-
ment in some country that I care not to
mention which takes its critics and puts them
into a jail or shoots them. You simply remove
the source of the problem rather than seeking
to sit down with people in an adult, re-
sponsible, democratic fashion in order to
work out any kind of a reasonable solution.
The environmental assessment also states
that the present river downstream from
Stewartville offered virtually nothing to the
economy or recreational opportunities with-
in the area. On the other hand, it said that
the project for the head pond and tail pond
improvement offered a great deal of social
value to the area within easy commuting
distance.
The area within the most easy commut-
ing distance contains the 15,000 or 20,000
people who live within a small radius of
Arnprior. They already have White Lake,
they already have the Ottawa River and they
have tremendous recreational facihties with-
in a very short distance. I hope that the
member for Renfrew South doesn't go along
with the judgement of the Hydro consultants
that the present river valley offers virtually
nothing either to the economy or the recrea-
tional opportunities within the area. I hap-
pen to consider that that 10-mile stretch of
the Madawaska Valley is one of the most
beautiful pieces of landscape within the rid-
ing of the member, and the riding of the
APRIL 1, 1974
589
member is one of the most beautiful parts
of the province.
Mr. P. J. Yakabuski (Renfrew South): My
friend hasn't travelled very much in my
riding. It is beautiful, but there are many
areas in that riding-
Mr. Cassidy: I agree, I agree. But I am
saying that this is one-
Mr. Yakabuski: He is referring to a certain
section of that riding— the lower Madawaska
—and he knows that.
Mr. Cassidy: Okay, but I am saying that
this particular stretch of valley is particu-
larly beautiful and particularly in relevance
to the fact that the rest of the Ottawa Valley
plain around there is flat. There is very
little topography, apart from that particular
valley, for maybe 15 or 20 miles to the south
and 15 or 20 miles to the north. So we
should think twice before replacing it with
a large lake with flat banks and no trees—
pro\iding what? Incidentally, it now is clear
that the area has very little recreational po-
tential because the shoreline is unusable for
any kind of intensive recreational use for
most of its length. This has been established
pretty conclusively in the studies that have
been prepared.
At any rate, that is a very funny contra-
diction. On the one hand, Hydro was so
paranoid about environmentalists' com-
plaints that it decided that it had to move
now and, on the other hand, its environ-
mental consultant could find that the people
of Renfrew county didn't give a damn about
the environment and therefore would toler-
ate anything that Hydro cared to bestow
on them.
Mr. Speaker, in trying to go through the
chronology of this thing, I guess the first
thing to deal with is the comments from
people in the area in terms of what they
thought about it. As the member for Lanark
has pointed out, the four municipalities di-
rectly affected with frontage along the 10-
mile stretch of river did get together at
Hydro's request to form a liaison committee.
And Mr. H. T. Cranston, the mayor of Am-
prior, who was the one of the four who
was still completely, adamantly, four-square
in favour of the dam, wrote on Aug. 31 to
the hydro commission to state that the mu-
nicipalities welcomed most sincerely the de-
cision of Ontario Hydro to construct a
generating station on the Madawaska River.
It goes on to say:
The four municipalities recognize the
benefits accruing from the project, namely
the formation of a new lake with all its
recreational possibilities, the levelling of
the fluctuations of the Madawaska River,
the increase in employment in the entire
area, the added eff^ects of the necessary
increase in the service industry, the assess-
ment arising from the further development
of the area.
And then he goes on to say:
The municipalities recognize their own
responsibility to the citizens of the area
in that the elected officials of the munici-
palities cannot abdicate their responsibili-
ties to their citizens but can make certain
that the problems that will arise will be
settled in a sound businesslike manner.
Frankly, what that means to me, Mr. Speak-
er, is that the people in Renfrew South were
conned by the sharpies from University Ave.
who came up from Hydro. Let's look at this
in detail— and I will be talking later about
the recreational benefits of keeping the valley
and developing it as opposed to what will be
created by the dam.
"The levelling of the fluctuations of the
Madawaska River"— well that's open to some
dispute too, because it is clear that the level
of the new reservoir may also vary by as
much as 2 ft a day.
"The increase in employment in the entire
area"— you know, one of the almost curious
things about this is that since it is peaking
power that is to be created for the grid,
there will be no particular advantage to
Arnprior and surrounding communities in
terms of cheaper power to provide to in-
dustry. And since the plant will be run by
remote control from the generating station
on the Ottawa River, I think, there will not
be a single fulltime permanent job created
as a result of this project once the dam is
actually built.
The people in the area have been told
repeatedly that a great amount of the em-
ployment will be done locally, that 75 per
cent of the jobs will come locally and so on.
However, if that is the case, they have not
seen the results so far.
I spoke the other week with the manager
of the Canada Manpower Centre in Arnprior,
and I said, "Are you getting the jobs for the
project?" He said, "No, they are being han-
dled by the unions. The unions are giving
priority to their unemployed members from
other parts of the province. We are having
to tell people locally who want jobs that they
are going to train up on particular skills and
that may take some time and because of the
590
ONTARIO LEGISLATURE
risks of not even then getting a job we really
are not encouraging them wildly to do it."
Mr. Yakabuski: Pay exorbitant union dues.
Mr. Cassidy: Wait a minute. Hydro says
that 75 per cent of the jobs will be provided
locally, but when you get down to it you
find that no arrangements have been made
by Hydro, either through discussions with
the unions, through discussions with the local
Manpower centre or through discussions with
the government in order to ensure that that
particular promise is carried out. It is simply
a dream. It is simply a matter of a wish
which is never fulfilled, because Hydro knows
the government has never done anything to
actually carry it out. So therefore the bulk of
the jobs are being filled by people from
other areas than Renfrew county.
There is, in fact, as anybody who knows
the way in which these things work, a travel-
ling force of skilled, competent men who
msJce their hving on heavy construction proj-
ects sue h as this one. Some of them may be
at work in the Bruce right now, and when
work tails off there a bit and work picks up
in the Madawaska, they will look for work
up there.
A number of them worked up at Lower
Notch, on the generating station on the
Montreal River. Some of them I believe
worked out at Nanticoke and so on. They
are skilled, they are known to the contrac-
tors, they are competent, able men. I don't
even particularly object to their being hired.
What I do object to though, is Hydro giving
promises to local people in order to try and
get their consent and support, and then in
fact not fulfilling them.
In fact, if you will, it was a misrepresen-
tation by Hydro that 75 per cent of the jobs
would be filled locally. It is one of a num-
ber that have been carried out by Hydro
over the course of this whole affair, which
is one of the reasons as I stated before, why
I feel rather resentful to having Hydro charge
me with misrepresentation when I have done
my best to stick to the information and facts
that have been provided and when Hydro
has consistently misrepresented information
in order to try and bull ahead with this
particular project.
The other point to be raised about the
liaison committee, Mr. Speaker, is that it is
fair to say that they went along when Hydro
said, "Look, let's just keep it very chummy,
please. We don't want the information to
get out. After all we want to bounce ideas oflF
you, knowing that it is going to be secure
and confidential. You wouldn't like the hoi
polloi to know what all this is about, would
you?" I'm afraid that the reeves and mayor
said, "Yes, we agree" and they went along
with that.
They did, to their credit, propose that
Hydro provide funds for the municipalities
affected to hire engineering help so that they
could independently assess the proposals be-
ing made by Hydro. Hydro, true to its big
brother image, said, "No. Despite the fact that
we are spending $60 million to $80 million
on this project we can't find $20,000 in order
to give you the services of a consultant for
50 or 100 days a year, or we can't find what-
ever it would cost to let you hire somebody
and leave them work full-time on vour behalf
in order that you are adequately prepared to
come and discuss the problems with Hydro"—
with all of the resources that it had at its
command.
It simply said, "Look, if you have a prob-
lem and you don't have the answer, come to
us." A statement which is equivaltent to the
boss, who when challenged by his workers,
says, "Look, my door is always open" and it
is with equal amount of benefit.
They were refused in that and they didn't
go on. Mr. Speaker, Mayor Cranston has been
a supporter of the project from the beginning.
He wrote this letter on behalf of Hydro.
Hydro then assumed apparently that if the
mayor approved then everybody in the area
approved. In fact, when I went to check I
found out that the township of Pakenham
has never received any formal kind of com-
munication from Hydro asking for the town-
ship's consent. The council has never dis-
cussed or accepted any motion or bylaw in
regard to the dam project.
The township of McNab has no record of
formal approval ever being requested by On-
tario Hydro or given for the project. Lanark
county council has taken no part in dis-
cussions and decisions concerning the dam.
The regional municipality of Ottawa-
Carleton— well, in fact, they requested of the
province that representatives of the original
mimicipality take part in some of the dis-
cussions, specifically the task force on recrea-
tional possibilities. And had that taken place,
Mr. Speaker, it may be that the regional
municipality of Ottawa-Carleton might have
woken up to the fact that a prime recrea-
tional resource, 45 minutes' drive from down-
town Ottawa, was being squandered by
Hydro, and that there was no reason for it.
But, at any rate, there was some discussion
with the task force and nothing more; at no
APRIL 1, 1974
591
time was the regional municipality asked' for
nor did it give its approval.
iThe county of Renfrew dredged up one
reference to the dam, which says that in
June of 1972 the committee of ARDA in-
tended to discuss the Hydro development at
Amprior at its subsequent meeting, but there
is no further discussion recorded in the
minutes.
Around about the same time, in fact, there
was an expression of concern from Warden
George Matheson of the comity of Renfrew,
who was saying to Mayor Cranston that,
"Look, the priorities right now are the dam
first, the Highway 417 bypass around Am-
prior second— but delayed until 1977— and the
new Highway 17 bridge into downtown Am-
prior third." And he was saying to the mayor,
"Look, don't you think those priorities ought
to be changed about?" That may have had
some response because, in fact, the priorities
were subsequently changed about.
That's the amount of local involvement,
Mr. Speaker. One meeting to annoimce the
project; one committee meeting in private;
one meeting with the Minister of Energy in
January of this year-and I'll talk about that
a bit later.
I want to go back a bit though to this
document that the member for Simcoe Centre
had sent me about the alternatives, because
this is the fullest explanation of the alter-
natives that were considered before Hydro
undertook to build this particidar dam. And
the importance of this is that at no time have
I been able to establish that any further or
deieper study of the alternatives was actually
carried out.
The report to the senior Hydro people
states that the following measures were in'-
vestigated to reduce the efFective flow varia-
tion in the lower Madawaska River from Clay
Bank to the Ottawa River. One was to pur-
chase or obtain easements on river frontages;
that is, that Hydro would buy the river front-
age that was affected on both sides of the
river. The cost was estimated at $1.2 million
if they had bought some land and bought the
rest as easements; or $2 million for buying
all of the land. Hydro states:
Neither of these altematives was con-
sidered a satisfactory solution to the prob-
lem if, in fact, it was even possible to
obtain all the river frontage. We would
expect to continue to receive complaints
about a disregard for the environment.
And that's that point again— that Hydro re-
acted to some kind of anticipated complaints,
when elsewhere in the province it won t even
hsten in situations of gross disregard for the
environment. And it says that it might not be
possible to obtain all the river frontage, Mr.
Speaker. Now, clearly Hydro has always en-
joyed expropriation powers and if it needed
to use expropriation to get the river frontage,
that was not any substantive kind of objection.
The next proposal was to oonstmct a weir
upstream of Waba Creek. That, they say,
would reduce the maximum fluctuations in
level from 7 ft to 4 ft and raise the minimum
water level at a cost of about $900,000.
They state that it would be a partial solution
to the river level variation problems. And
then they go on to elaborate:
Although it would reduce level changes,
it would prevent access up the river by
boat and might increase downstream flow
variation difficulties. It may also cause
difficulties with ice, or be eroded by
spring breakup. Further study of resulting
river conditions would be required before
this alternative could be considered as a
partial solution to the existing problems.
I would point out first, Mr. Speaker, that
that weir could be reconstmcted every year
for far less money than it would cost in
interest to maintain the dam that is currently
being built. Secondly, that the objections
raised to it are objections which are worth
balancing against the costs of the $78 million
project now under way.
Is it worth $78 million less $900,000 in
order to ensure that boats can go along a
10-m ile stretch of the river rather than being
confined to a four-mile stretch of the river
before they have to portage around a weir?
Is that particular difficulty for boats so over-
whelming that the government has to spend
$78 million? I don't think so, Mr. Speaker.
Downstream, in the two-mile stretch be-
tween the dam and the Ottawa River, Hydro
originally intended to let boats go right up to
the foot of the dam. That was one of the
advantages played to the town of Amprior
as one of the reasons it should support the
project; apparentiy that isn't possible right
now because there is a weir there. In fact,
a new weir will be constmcted because Hydro
found that its original intention of lowering
the tail race to the level of the Ottawa River
just wasn't feasible. Without even talking
about it Hydro has interfered with boat
access to the foot of the dam and made
about three or four miles of river front be-
tween the weir and the dam inaccessible to
boats from the Ottawa River.
Fair enough; it was a decision which was
obviously economically inevitable but it didn't
seem to matter to Hydro that boats were be-
592
ONTARIO LEGISLATURE
ing cut ofF from a section of river front
there. If that is the case, surely the question
of whether or not boats had the full run
of a 10-mile stretch of the river upstream in
an area which has good boating access, par-
ticularly on the Ottawa River, could not or
should not have been overwhelming.
There has been no further study, to my
knowledge, of the resulting river conditions
which would ensue if the weir were to be
built instead of a dam. They talk about the
possibility of reducing the peak operation
at Stewartville in order to reduce the de-
gree of fluctuation in water levels and to
raise the minimum water level in the area
of cottages downstream of Clay Bank.
The need to raise the water level for the
cottages would be obviated if the cottages
were not there. In other words, if one buys
up the cottages as Hydro has done one
doesn't need to worry about their needs for
recreational swimming and access. As far as
the farmers, hikers, day-trippers and so on
are concerned they are a rather different
problem from the cottagers. At any rate,
they state that as far as the possibility of
reducing the peaking of the Stewartville plant
is concerned none of the alternatives there
would solve the problem completely and all
the arrangements, of course, would reduce
the peaking potential of the Madawaska
system. They talk about the ability to bring
all the capacity of the Madawaska River into
full operation in a short period of time, as
something which can be used to displace the
need for gas or steam turbines in the Ontario
or other systems.
Mr. E. W. Martel (Sudbury East): The
member for Renfrew South is going to sup-
port them, isn't he?
Mr. Cassidy: I don't know. I think the
member for Renfrew South has been
notoriously quiet on this particular subject.
I don't think he has really involved himself
udth the people there. Possibly it will be not
forgotten at the next election that when there
was a local issue which affected the people
of Renfrew county, particularly the farmers
with whom the member has been so close—
they are very disillusioned with the member
for Renfrew South, Mr. Speaker. Not only
has the member not been around very often,
he has not said a word— he has not even had
the guts to come out and say publicly, if he
believes it, that he thinks Hydro is doing the
right thing and he agrees with Hydro com-
pletely and to say that he thinks the far-
mers in the area are full of manure or some
other substance.
If he really believes that, he ought to say
it but the people in the area of Amprior, for
example-
Mr. Yakabuski: I have made my views
known.
Mr. Cassidy: He has?
Mr. Yakabuski: I think I have made my
views known.
Mr. Cassidy: I haven't heard them very
loudly and neither have the people in the
An hon. member: It is amazing how the
member worries about him getting re-elected.
Mr. Cassidy: I can tell the members that
the membership of the NDP in Amprior in-
creased by 800 per cent in the last two weeks
and it was directly as a result of the member
for Renfrew South.
Mr. J. A. Taylor (Prince Edward-Lennox):
Eight members.
Mr. Cassidy: We are going up from there,
too.
Mr. Martel: That's called progress. We
used to have only two seats in this Legisla-
ture.
Mr. Cassidy: That's right.
An hon. member: That sounds like those 10
seats the member for Scarborough West-
Mr. Cassidy: If I can comment on that,
Mr. Speaker. There is a lot of eastern Ontario
where we haven't had many members until
now and it is actions by the govenmient and
actions by members like the member for
Renfrew South Avhich are alerting people to
the fact that they simply cannot get political
change or political action with their present
representation. They very definitely need a
change-
Mr. Yakabuski: The member's mouth will
not get anyone elected.
Mr. Cassidy: What is that?
Mr. Yakabuski: The member has a big
mouth. That is all.
Mr. Martel: Don't get personal.
Mr. F. Laughren (Nickel Belt): Don't get
personal.
Mr. Yakabuski: The member's big mouth!
Mr. Laughren: Don't get personal.
APRIL 1. 1974
593
Mr. Yakabuski: Just keep it up and we are
all safe.
Mr. Cassidy: Okay.
Mr. Martel: That is what Gaston used to
sa)-.
Mr. J. E. Stokes (Thunder Bay): I never
heard him say anything.
Mr. Martel: Gaston used to say that, too.
Mr. Yakabuski: The member is in real
trouble right now where he is.
Mr. Cassidy: Is that right? Well if the
member thinks so.
Mr. Martel: The Tories have had it.
Mr. Cassidy: The Tories have had the
course.
Mr. Yakabuski: Most members live in their
riding. But not the member for Ottawa
Centre, he lives on Toronto Island.
Mr. Cassidy: Yes?
Mr. Yakabuski: Yes; it is true.
Mr. Cassidy: Sure, I know. I live in my
riding;, too. I just spend a lot of time around
here.
I would point out, Mr. Speaker, that the
Tories have had three search committees
working to find a candidate to oppose me in
1975. The\ haven't found any up until now
and they will be very happy to consider the
application of the present member for Ren-
frew South.
Mr. Martel: Stay there; the member better
stay where he is.
Mr. Yakabuski: The way the member
marches all around the province, he won't
even hold his seat.
Mr. Cassidy: Well, Mr. Speaker, just let
me go on with this document, which is ob-
viously a key document in the whole plan of
Hydro, at least in so far as information which
is available to senior Hydro people and the
government for making a decision and for
justifying a decision once it has been made
is concerned. It says toward the end that the
Ministry of Transportation and Communica-
tions is planning a new limited-access high-
way right over the proposed site of the Am-
prior dam and may pre-empt Hydro use of
the site unless this project is committed now.
Well you have to picture to yourself, Mr.
Speaker, a bunch of Hydro engineers who
came out of university after the war, had
never worked for anybody else but Hydro and
for 25 years their job has been to build dams.
They are nearing retirement right now, and
as well Hydro has told them: "Look, we
have given up building dams, we are going
to be going nuclear."
This was in the late Sixties, early Seven-
ties. The hydrauhc programme had come to
an end; I think that is being reconsidered
now in view of changes in the energy econ-
omy, but nevertheless at the time that the
project was being considered it was felt that
hydraulic projects had come to an end. The
engineering team in Hydro that had built so
many dams was being disbanded. That was
one of the reasons why Acres was involved
in the engineering up at Lower Notch, and I
guess that was why they were called in to
engineer the project at Arnprior as well.
So here are these guys who want to build
another dam. It is in their life-blood and
they find out that the site may be pre-
empted, by highway engineers of all people,
and that they may not get to build their
dam because there is not another site on
which to build a generating dam around
there. So because the transportation people
are proposing a $1 million bridge they rush
in and say: "Come on now, we had better
move quickly; and they commit themselves
to a $78 million dam in order to keep Trans-
portation and Communications from building
a $1 million bridge; not thinking that maybe
Transportation and Communications could
be induced to spend ^VA million to slightly
relocate their bridge so that Hydro would
still have the option of the dam at some
future date.
Then they say: "If we don't proceed now
with the Arnprior generating station and
subsequently want to develop the Arnprior
project, then the CPR line will have to be
rerouted and a new highway cloverleaf will
be required; and there may be diflBculties
in building the dam under or adjacent to
the new highway bridge."
Well, for the sake of a cloverleaf, for
the sake of having to fit the dam under the
bridge, and for the sake of relocating the
CPR, they decided they had better rush
ahead. It so happens, Mr. Speaker, that they
found that they have to relocate the CPR
anyway; in fact their financial estimate in-
cludes about an extra $1 million or $2 mil-
lion for further relocation of the CPR, be-
cause they found that they had to move it
further than they had initially—
Mr. Martel: They are moving it to Barry's
Bay.
594
ONTARIO LEGISLATURE
Mr. Cassidy: That is right; well that is
not a bad idea.
Then they stated that Transportation and
Communications was also planning to re-
place the bridge over the lower Madawaska
where Highway 17 now goes into the town
of Arnprior. "If Hydro wanted", and I quote,
"to subsequently widen the discharge chan-
nel from the Arnprior dam, this bridge would
have to be replaced again at an estimated
cost of $250,000."
In other words, Mr. Speaker, if Hydro
delayed making a decision about the dam
and MTC rebuilt the bridge, then it would
cost an extra quarter of a million dollars to
lengthen the bridge to get it over the new
tail race that would have to be built below
the dam. Those are hardly compelling rea-
sons for going ahead.
Well, let's go on. In their conclusion they
say that:
The construction of the generating sta-
tion would eliminate a number of prob-
lems and complaints mostly anticipated
due to water level variations of the lower
Madawaska. It would provide additional
peaking energy. [Yes it would — but at
grossly uneconomic cost.l It has been con-
cluded [by Hydro people] that if Arnprior
is not constructed then restrictions in
peaking operation of Stewartville will be
required. [And that, Mr. Speaker, is the
statement that nowhere is proved].
In addition, the project would provide
10 to 15 miles of shoreline on a man-made
lake which would be suitable for cottages,
sailing, boating and fishing. This facility
should be of significant val^e to local resi-
dents and to the city of Arnprior.
The shoreline is actually about 48 miles.
The estimate is that something like 90 or 95
per cent of it is unsuitable for cottages and
that the recreational demands to be foreseen
in the area up until the turn of the century
are not large enough to justify more than
one campsite there. There are many areas
along the Ottawa River nearby which are
equally pleasant and where a new campsite
of that size, or greater, could easily be built.
Mr. Speaker, let me try and get up to date
now on some of the chronology. This be-
came an issue in the Legislature I think
about last November and from the very be-
ginning the attitude of the government on
this whole question of the Arnprior dam
has been to seek to deny information, or
to seek to cover up, or to seek to simply
refuse to recognize the statements that are
being made from this side of the House,
both from the New Democratic Party and
also on occasion from the Liberal Party.
In fact, the Minister of Energy has, from
the very beginning, taken the attitude of
stonewalling. He will never see anything
wrong with the project. And may I say that
while the member from— Simcoe North is
it?-
Mr. Taylor: Centre (Mr. Evans).
Mr. Cassidy: Centre, I am sorry— was up
until the end of January very co-operative in
providing information, he, too, at no time was
willing to recognize that there might be any-
thing wrong with the particular project. If
anything, one might say that they, too, have
been conned by the sharpies from University
Ave., the same sharpies that gave us the
Gerhard Moog Canada Centre.
Mr. Martel: That is why George Gather-
cole is singing his swan song.
Mr. Cassidy: And it's a very long swan
song, may I say. One would wish, after what
I have learned from this, that Mr. Gather-
cole would take his flight a bit sooner. It's
the only argument I can think of whv we
should have a second chamber in this par-
ticular province; it would be to find a safe
resting place for people the likes of Mr.
Gathercole who have outlived their useful-
ness.
Mr. Martel: Hear, hear. I support that.
Mr. Cassidy: Mr. Speaker, the first ques-
tions about the dam that I can find here are
some questions that were filed by the mem-
ber for Downsview (Mr. Singer), in fact, that
specifically requested details of the first con-
tract and the value of the first contract, which
was not at that point even available from
Hydro. Recause Hydro, believe it or not, in
1973 and 1974 had a tendering procedure
which came from the dark ages, in \\'hich
they would not even reveal the value of
winning contracts let alone do what every
other government agency in this province
does— reveal the value of ever>' tender sub-
mitted and the names of all the bidders.
That's how bad the tendering procedure of
Ontario Hydro was. It was quite autocratic
in fact.
At any rate, on request, that information
was given, justified I think by the fact that
there had been a negotiated contract with
Pitts, given on the advice of Pitts' corporate
relative Acres, who were the engineering
consultants to Hydro. The question was also
asked, though, whether the Minister of En-
APRIL 1, 1974
595
ergy or Hydro would release the unit prices
in that first contract. It seemed like a reason-
able kind of thing to do, in view of the fact
that Pitts would obviously be bidding on the
second contract and that it would know both
its ovNTi costs in carrying out the first contract
and also the unit prices in its successful bid,
and that information was denied to every
other bidder, but Hydro didn't see anything
wrong with that and neither did the min-
ister.
I asked whether the minister could explain
why Ontario Hydro was continuing to favour
Pitts by making it the only contractor on the
subsequent contract privy to the detailed in-
formation gained on the first contract.
The Minister of Energy said that those
allegations of mine were simply not correct.
Well, I am afraid that the statement by the
minister was simply not correct.
Mr. Martel: The ministers nose is out to
here.
Mr. Taylor: He is the most correct person
in the House.
Mr. Cassidy: I suspect that my statement
is as unparliamentary as the statement made
by the minister— only I happen to be right
and he happens to be wrong.
Interjections by hon. members.
Mr. Cassidy: It's clear that Hydro was very
embarrassed about this from the beginning,
and in early January there suddenly came
the revelation from Hydro of not only the
names of the people who had been invited
to bid on the second contract of the dam,
which was for about $9 million or $10 mil-
lion, but also, for the first time in the history
of Hydro, the amounts of the bids were
revealed. Believe it or not, Pitts had the
inside track, as we had predicted, and its
bid \\as substantially below the bids of the
other firms that had been invited to bid.
Mr. Yakabuski: Why doesn't the member
read out those bids? Read out the figures on
those bids. Tell the whole story. The member
says "substantially," but it was $7 million
lower than the high bidder.
Mr. Cassidy: What?
Mr. Yakabuski: Approximately $7 million
lower than the high bidder.
Mr. Martel: That's what he said. That's
substantial.
Mr. Yakabuski: That's a lot of know-how—
$7 million worth. That's a lot of inside track.
Mr. Cassidy: If I may read the bids-
Interjection by an hon. member.
Mr. Cassidy: I'm glad to know, Mr.
Speaker, that the hon. member for Renfrew
South is finally getting engaged in the Am-
prior dam issue for the first time in his life.
Mr. Yakabuski: Just tell the whole story;
don't twist the facts.
Mr. Cassidy: The lowest bid received, was
tendered by C. A. Pitts of Toronto at $9.4
million. You will recall, Mr. Speaker, that
Pitts had knowledge of the unit prices of the
first contract-
Mr. Yakabuski: What was the highest?
Mr. Cassidy: —and had knowledge of its
actual cost, because it had been given what
amounted to a cost-plus tender on the first
job, in which it was able to settle the price
with Hydro, some six or eight months I think
it was, after it moved its equipment onto the
site.
The second lowest bid was from Armbro
Materials and Construction Ltd. of Brampton,
$11.9 million; McAlpine of Rexdale, $12.7
million; then they go up to Peter Kiewit of
Weston, $16.7 million. Pitts' bid was $2.5
million below that of the next lowest bidder.
'The hon. member for Renfrew South would
probably say that it made eminent sense for
Pitts to be chosen in view of that bid. What
I'm suggesting is that in government and) in
tenderiag, where there are conflict-of-interest
situations, these must be shown to be non-
existent. It's a matter of being seen to be free
from conflict of interest, as well as being free
of conflict of interest.
I've had some very angry reactions from
people who work for the Acres consulting
firm, saying: "Look, I've been involved in this
job. I wasn't influenced by the fact that
people on the board of my parent company
sit on a board with Mr. Cooper of Pitts.
What do you mean that my integrity is being
involved? I am free from it."
(The answer though, Mr. Speaker, is very /
simply that they're not free from the appear-
ance of it so long as there is a corporate link.
And you certainly, Mr. Speaker, or the hon.
member for Simcoe Centre or the hon.
member for Renfrew South, would not
tolerate learning that the Deputy Minister of
Government Services, for example, was in-
volved in the tendering of contracts to a firm
with which he had a corporate link— where
he or his wife was a director or there was
some other kind of direct link between him
andi that firm.
596
ONTARIO LEGISLATURE
The sensible, logical, established thing to
have done in this particular case would have
been for Acres to say to Hydro: "Look, we
cannot assess these bids because of a conflict
of interest. Therefore, we ask you to either
get your own staff or another consultant to
come in to decide which bid should be
accepted." That would have cost $5,000 or
$10,000, and it would have eliminated the
appearance of conflict of interest, which is
just one of the problems that has been in-
volved. Hydro was very embarrassed, though,
because of the fact that it did— and it showed
it by revealing these figures for the first time.
Hydro obviously also went along -with the
conflict-of-interest situation— they didn't see
anything wrong, and the minister apparently
has not seen anything particularly wrong.
The next round in this, Mr, Speaker, was
the Minister of Energy's visit to Amprior;
the hon. member for Renfrew South and the
hon. member for Lanark, I think were both
present. As it happened, I was ablfe to get up;
and, as it happened too, it was faithfully re-
corded in the Globe and Mail. I must say that
the reaction of the people in the area was, to
put it mildly, very negative.
Here they had been trying since June of
the previous year, when Reeve Stewart of
Pakenham township first wrote to the Min-
ister of Energy, to get somebody senior in
government up to Amprior to look at the
project, to look at the very serious objections,
to reconsider it and to decide whether or not
it should be pulled back. That's what the
people in the area wanted. They were con-
cerned. About 80 or 90 of them gathered
in the hall and the Minister of Energy said:
The dam will go ahead no matter what. He
didn't just say it, Mr. Speaker; I mean to
say the reaction of the local press was that
the minister had struck out on that par-
ticular occasion.
My own respect for the minister went
down very substantially on that particular
occasion, because the rather endearing
arrogance that I had known of him, when
he was the Treasurer and when he was the
Pooh-Bah of the government, striding over
an enormous area of government, seemed to
have changed to a petty autocracy in which
he would brook no criticism and brook no
conflicting opinions.
He went up to Amprior, got on a heli-
copter, wandered around the site by air to
have a quick look at it and arrived in the
local hall at 10 o'clock, not to meet with the
farmers but to hold a press conference. Dur-
ing the course of the press conference, Mr.
Speaker, he let it be known that Hydro had
let the contract for the dam to Pitts; and
during the course of the press conference
as well he made it clear that he was not
there to reconsider the project, he was
simply there to have a look around and
nothing else.
In fact, the CP wires carried the report
of Hydro's award of that contract, Mr,
Speaker, It reached me and other people
in the area by telephone midway through
the subsequent meeting between the minister
and 80 or 90 or 100 angry farmers, towns-
people and others from that particular area.
By the end of the day, Mr. Speaker, the
heavy equipment, which Pitts had put just off
the site in the hope of getting the new
contract, was rolling back in to recommence
work on the $9,4 million award that it had
that day.
Mr. Martel: Just as though they had never
left,
Mr. Cassidy: Tliat, Mr. Speaker, was the
way in which this particular govemment was
willing to listen to the people of Renfrew
on that particular occasion in connection
with the Amprior dam project. That is a
height of arrogance such as I've never seen,
to go in to tell the press rather than listen-
ing to the people first, to have the announce-
ment made midway through the meeting and
then to have the trucks and the bulldozers
rolling back on the site as the people are
leaving, unhappily, to go to their homes.
He wouldn't even stay for lunch; and it
was a very good lunch, Mr, Speaker. At any
rate, it was very clear that the whole thing
was a cut-and-dried affair,
I had a very curious docmnent that came
to me from a broker down on Bay St. It was
one of these investment reports on C.A,
Pitts,
Hon. S. B. Handleman (Minister of Hous-
ing): He sent one to the member?
Mr. Cassidy: I think I asked for it. He
wouldn't have sent it to me, naturally.
But what it said was: "C.A. Pitts; good
company; lots of profits ahead; doing very
well; increase in workload;" and so forth.
Then when you got into the details, there
they had $30 million of work listed for C.A.
Pitts on the Amprior dam project. This was
months before the tenders had even been
called for the second phase of that par-
ticular contract.
Hon. Mr. Handleman: A prett\- good fore-
caster.
APRIL 1, 1974
597
Mr. Cassidy: A pretty good forecaster,
that's right.
Mr. Martel: Especially if the contract had
already been signed.
Mr. Cassidy: Mr. Speaker, that was the
last attempt that I know for Hydro to come
clean-
Mr. Martel: Is Pitts in the Tory party?
Mr. Cassidy: Or for the Minister of Energy
to come clean with people in the area. At
that meeting, the minister, Mr. Jackson and
the other people from Hydro kept insisting
it was a matter of compensation and noth-
ing else. Yet, in fact, a number of the farm-
ers got up and made it clear they wanted
to keep their farms first. If they couldn't
keep their farms, then they would argue
for good compensation, but they wanted to
keep their farms. The member for Renfrew
South, I think, knows that.
I was concerned, Mr. Speaker. By this
time I had collected a fair amount of in-
formation which indicated to me that at no
time had Hydro done adequate studies to
assess the alternatives to building the $78-
million dam; and in view of the concern of
the farmers in the area over the loss of
their farmland, in view of the loss of recrea-
tional potenti^ of the valley, and in view of
the excess expenditures which would have
the effect of driving up uimecessarily oiu:
Hydro rates across the province, that the
whole project ought to be reconsidered.
In the Legislature and through other
means I was asking the government to stop
construction and to hold a full public in-
quiry to see what the alternatives were, and
we were also seeking as much information
as possible to see what the alternatives were.
Around this time, I wrote a detailed letter
about the project to the Minister of Energy.
I sent a copy to Hydro and I sent copies to
the Minister of Agriculture and Food (Mr.
Stewart) because farmers were concerned; to
the Minister of Labour (Mr. Guindon) be-
cause workers in eastern Ontario weren't get-
ting the jobs; and to the Minister of Industry
and Tourism because he is also the minister
responsible for eastern Ontario. I could see
there would be more advantage in spending
$50 million in economic development than in
building a dam that wouldn't create any jobs
after it was built. In other words, the letter
had fairly wide currency.
I also sought a meeting with senior people
from Hydro in order to discuss statements I
had made in the letter. By this time it began
to appear to me, and in fact I had had
information from Hydro, that the power com-
ing out of this project was going to cost
something hke 50 mills a kilowatt hour. A
mill is one-thousandth of a dollar or a tenth
of a cent. For the sake of comparison, the
revenue that Hydro gets from its industrial
and municipal consumers— municipal utilities—
for the power it sells to them is between
seven and about nine or 9.5 mills. In other
words, the power coming out of this project
was going to cost anyone from five to seven
times the price at which Hydro actually sells
its power to retailers and to industrial con-
sumers.
On the face of it, something might be
wrong. At the very least, in view of the
marginal prospects of the project, one de-
served better than to be fobbed off with
bland assurances such as we had from the
Premier today that Hydro really knew what it
was doing. All of the evidence indicated that
Hydro didn't know what it was doing, that
it was hell-bent on building the dam and not
hell-bent on looking at all the alternatives to
see whether something couldn't be done much
more cheaply in order to resolve erosion prob-
lems on the river to the satisfaction of the
people concerned, while still preserving the
peaking use of the dam upstream.
Then there was a very furmy kind of suc-
cession of things where the chairman, Mr.
Gathercole, said: "Yes, of course, you can
meet and we will have our technical people
there. All of your difficulties can be explained
and sorted out." I was to get it sorted out
from the member for Simcoe Centre's oflSce at
such and such time on such and such a
date, early in February; around Feb. 3, 4 or 5,
I can't remember. That meeting was set, was
confirmed by letter and then was cancelled
at the last minute. Not only was it cancelled,
but a week or so later when my secretary
phoned the member's office to find out
whether they had managed to get their people
together for the subsequent meeting that had
been agreed upon, she learned directly from
the member for Simcoe Centre that he hadn't
been aware of it, or wanted to continue the
idea of the meeting.
Finally, once that one was resolved, and
there was certainly an implication that Hydro
was doing its best not to meet, on Feb. 25 I
think it was— no, it was a bit earlier than that,
around Feb. 24 or 23—1 was invited down to
the member's oflBce to meet, not with Mr.
Gathercole because he didn't want to get
involved— he only started the thing off and he
left it to other people to pick up the pieces-
but, with the now president of Hydro, Mr.
Gordon; with the member for Simcoe Centre;
ONTARIO LEGISLATURE
with a Mr. Morrison, director of generation
projects; and with the man who has been most
intimately involved with this particular
project, Mr, Jackson, Mr. Morrison's boss; and
with two or three other people who were
concerned with property and public relations.
I don't want to go into that meeting in
any detail. In fact I would wish that every-
body involved could just forget that meeting,
because frankly it was a fiasco. It was a
disaster.
I had sent material to Hydro and said, in
effect: "Can you comment on this, please?"
We arrived and I said: "Wbat are your com-
ments?" And they said: "Oh, we didn't bring
your letter to the meeting. We will go and get
it."
Then when we had the five or six-page
letter, Mr. Morrison said: "You have been
misrepresenting what we are doing. You say
you don't know whether it is for erosion con-
trol or for generation of electricity. In fact it
is for both." So I said: "I don't know which it
is for. Is it for erosion control or is it for
electricity;" because I hadn't been very clear
about that?
At no point was it possible to get any sub-
stantive answer from Hydro. At no point was
there any effort by Hydro to explain this
craziness that power was going to cost 50
mills per kilowatt hour from this particular
project, according to figures that had been sent
to me by Mr. Gathercole. At one point tfiey
said: "Look those figures are irrelevant, here
are our fiejures"— and proffered figures in a
form which I'm afraid is not possible for a
hyman to understand imless the working
papers are provided.
I was told that they didn't want to give
information because it wasn't possible for a
layman to understand. Yet we live in a system
of government which says that lay people in
the Legislature and in the cabinet will make
the decisions on the advice of the experts; and
I would have thought that applies to Hydro
as much as it applies to other subjects. Cer-
tainly one notices that a number of lay
people have been appointed to the board of
directors of the Hydro corporation, because
that tradition applies within business and
within public corporations as well as within
politics and within private business.
Having been told I was misrepresenting
things, I was then told by Mr. Morrison that
he should take legal action against me; he
was really very up tight. At the very end of
the meeting, Mr. Speaker, the president, Mr.
Gordon, indicated that he supported the com-
ments that had been made by this particular
rather foolish senior executive of Hydro.
Over an hoiu"-and-three-quarters all I could
gather was that Hydro didn t have any studies
of any depth on the present or the future
course of erosion along this stretch of the
Madawaska. There are the erosion problems
of the dam reservoir— and that's pretty im-
portant. If you are going to build a dam to
solve one erosion problem by drowning it, you
ought to know whether the sensitive marine
or Leda clay which surrounds the reservoir
will still be subject to erosion, and if so by
how much.
Now the reports that have come in indicate
generally that there will still be stability
problems. There will be an improvement
from the present erosion problems, okay; but
by how much nobody knows, because the
studies haven't been done. They just say:
"Don't worry, boys, it is going to be better;
and if it isn't better we can spend a bit more
money to stabilize the banks of the new
reservoir."
^At one point Hydro referred to this as
being a final solution to the erosion problems.
But more recently they indicated that it is
only a partial solution, that the lake level will
fluctuate by up to two ft a day. Some of the
people admit that there may be wave action,
which will add to erosion.
There will still be some erosion problems,
but there is no detailed- study about what
those erosion problems might be. There is no
model of what would have happened in' the
the way of erosion if you leave the riveJr as it
stands, or with some minor improvements.
There is no model of what that would be,
and there is nothing about the costs and
benefits of alternative schemes of river man-
agement.
Now, Mr. Speaker, I believe the reason
Hydro was covering up right now and refus-
ing to present any further documents is simply
because they haven't got them— they don't
exist. Because it is a political dam. It was
brought in to re-elect the member for Ren-
frew South. They didn't do-
Mr. Yakabuski: That's a lot of "you know
what."
An hon. member: What!
Mr. Cassidy: They didn't do their home-
work.
Mr. Martel: It is called "oompah."
Mr. Cassidy: That is right.
APRIL 1, 1974
599
Mr. Yakabuski: That is just stupid. The
member for Ottawa Centre just doesn't know
the facts.
Mr. Cassidy: I hope the member for Ren-
frew South then, who appears to know the
facts, will try and elucidate to the Legislature
during the course of this Throne Speech de-
date.
Hon. Mr. Handleman: How can he be
elected if nobody is in favour of it?
Mr. Cassidy: Well, I call on Hydro and
the government and the member for Renfrew
South to get up in this Legislature and pro-
vide evidence mat this is not a political dam.
Because all of the evidence that we've had so
far indicates—
Mr. Yakabuski: It is not a political dam.
Mr. Cassidy: —that since it is not good for
anything else, Mr. Speaker, it must be for
political reasons.
An Hon. member: The vote got him elected.
Mr. Cassidy: Another thing is, though—
look, I'm a noisy kind of individual as a
politician.
Interjections by hon. members.
Mr. Martel: That's better than some of the
deadweight over there.
Mr. Cassidy: On occasion I get a bit nasty
with the members opposite, the ministers and
people like that. If somebody gets angry with
me, Mr. Speaker, in this Legislature for
example, that's fair enough. If somebody gets
angry with me as a private citizen, that's fair
enough. But it raises certain questions in my
mind when in the presence and with the
support of the now president of a large
public corporation, a senior executive threat-
ens a member of this Legislature with legal
action if he continues to voice criticism of a
rather controversial decision or set of deci-
sions by Hydro. It seems to me that is a
deliberate attempt to muzzle this Legislature.
Hon. Mr. Handleman: A member is privi-
leged inside the House. Privilege ends when
a member walks out the door.
Mr. Cassidy: It's a matter of concern for
the member for Carleton, the member for
Renfrew South, the new parliamentary assist-
ant to the Minister of Agriculture and Food
and everybody else on the government side
of the Legislature as well as people in the
Liberal Party and in my party. When people
in a government agency seek to threaten legal
action against one member of the Legislature,
the rights and privileges of all members of
the Legislature are affected.
Mr. Martel: That was Ross Shouldice, the
Tory bagman.
Mr. Cassidy: It's an aspect, though, Mr.
Speaker, of the very defensive way in which
Hydro has reacted to the criticism of all this.
Mr. Yakabuski: Maybe if we had the other
side of the story, the member would be
defensive.
Mr. Martel: Why doesn't that member give
the other side of the story?
Mr. Cassidy: I asked Mr. Morrison-
Mr. Yakabuski: The other side of the
story is that perhaps legal action should have
been taken against the member for Ottawa
Centre.
Mr. Martel: Then stand up and give it to
Mr. Cassidy: All right; I would suggest the
member for Renfrew South join in this de-
bate. I have asked the people from Hydro;
okay, the member says I am misrepresenting.
Give me chapter and verse; I hare not had
chapter and verse.
They could' ve written me a letter if they
felt like it; they could' ve told me in my
presence at that particular meeting. I have
not had it. I have done my best to try to
stick to the facts that are available on the
public record; or where I have had to work
out facts and figures on my own, to indicate
and to provide to those who are interested
the means by which it was arrived at.
Mr. Speaker, in this affair not only has
Hydro reacted very defensively but also the
government has. It was during the course of
that meeting that I asked for an engineering
feasibility study on the Amprior dam which
had been prepared in July, 1970, for Hydro.
I have a letter from Mr. Evans in response
to a letter of mine concerning that feasibility
study. I said: "Could I please have any over-
all feasibility studies?" Through some mis-
take that came through to him as, "Could I
have a regional feasibility study?" He was
puzzled by that; I am puzzled by it. Any-
way he said, "We haven't got that, but we
do have the following studies: Two technical;
"Community Impact;" "Environmental Im-
pact"; and "Development Engineering." He
said: "You can have any one of them if you
ask."
600
ONTARIO LEGISLATURE
I subsequently asked. I thought that b)
act'ident the engineering study didn't cxjme
to me and I say that quite honestly to the
member for SimciK* Centre. I thought it was
purely by accident that the engineering study
did not come to me at the time of the initial
request. At any rate, I phonetl un in early
Febniar)' to say: "I forgot to get tnLs or \ou
forgot to send it to me. Can I please have
it. I was told I wouUI get it when I would
go over to the meeting with Mr. Evans.
I asked for it at that time. I was tcild by
Mr. Gordon himself that I had had all the
infonnation I was going to have and he was
damned if I wus going to get any more.
That, of ct)urse, was the at! vice he gave to
the Nfinlster of Energy as well, that no
further information should l)e tjiven.
Mr. J. R. Breithaupt (Kitchener): That's
not ver>- ci\il.
.Mr. Cassidy: I'hat's not ver> ci\il: and it
su;jgest«'(! that the emrineeriiiij study is ;i
much more important dcKument than, in
fad. I thoMsiht. The other (ioctune'iits I ha\e
h..|--
Int'
tion I)
hot).
niemixT.
Mr. Cavsidy: — inchcat*' inadefpi.itc stiii!>-
and jiurnile or puerile thinkinii ;»s i" the
quote from the en\ iroiunental study I icad
a frw rTiintitrs aijo. The only thint: thry in-
ditatr really is that Hydro didn't do an\
.uh-quate homework.
Mavlx' thf en£rinf»erintf study is l.einij
suppp-ssrd by thf gf^vernment because it
expiises the fact that there werr altcrn.ttives
whi( h \**ere rejet ted by Hydro because tliey
wotdfl have cfjst onlv $1 million or S2 mil-
lion anrl wotilfln't ha\e le I to the re-eh'ction
of the meml>er for Henfrew .South.
Nfr. L. Macck (Parry Sound): As s(K)n as
the NDP wins the next election, the memlx-r
will lie able to gft that stopped.
Mr. Ca.*sidy: That's right I see, the mem-
ber doesn't think it should happen now? Let
him think about it.
Interjection by an hon. member.
Mr. Cas«i'dy: I wrnt and .ittnally had an
Interview with the then Provincial Secretary
for Resources Development.
Interjection by .^u hon. mrmln'r.
Mr. Cawidy: -in order to talk about this
particular project. This was as a follow-up
to the h'ttrr. I thoucht tliat since he had
annoimced the project in 1972. he still miaht
be involved in it; but as we lnf)w thr then
Provincial Secretary for Resources Develop-
ment hasn't been involved in ver>' much. I
had an hour's interview with him in his ver>'
pleasant office here in this building, at the
end of which he said he wiis sorr>' but he
could not get inxolved in the questions IxMng
raised by the farmers about the Ainprior
dam Ix'cause they o\\iu*tl land that would l>e
flotnled by Hydn) and therefore, said he, they
had a conflict of interest.
He would not get involved because the
farmers who were objecting had a conflict of
interest. This is like sunResting that the gov-
ernment will never listen to the lalxiur mo\'e-
ment al)out labour legislation Ijecause
obviously workers have got a conflict of
interest in talking about lalxiur legislation.
I suppose the government won't listen to
tenants in talking about landlord and tenant
law because tenants have a cimflict of in-
terest.
Nfr. Mnrtcl: The\ listen to doctors, though.
Mr. Cassidy: The\ listen to doctors, that's
right. Of coinse it doesn't make sense; it's
totally inane.
Then lie went on to say: "Rut of course,
if you had a broker who was concerncKl
about the bond ratings for Hydro or .some
fellow from the University of Toronto whf)
knows what our experts know, then we'll
listen to him." Rut he woiddn't listen to
people who were directly involved.
Mr. Speaker, the response from the other
members was most illuminating. The Minis-
ter of ,\griculture and I'ood didn't u'ant to
go to the defence of his own jx'ople and he
simply said he had forwarded copies of my
correspondence to the meml>er for Simcoe
Centre. The Minister of Libour .said he had
referred it to the member for SimcxK* Centre,
and his letter was dated a day later than the
letter from the Minister of Agricnilture and
FockI. The Minister of Energ>' has sent my
correspondence to him about this affair to
the memlx'r for Simcx>e Centre. The Min-
ister of Industrv' and Touri.sm .said the facts
would be thoroughly re\newed. He advised
that as recently as Feb. 12 a meeting had
l>een held on the subject and the contents
of my letter were taken Into consideration.
Clearly there was a joint decision by
people in the cabinet who might have been
in\olved tliat they were simply going to join
in the covcT-up by not replying and by not
l(K)king into the facts, but by taking the
words and opinions of the meml>er for Sim-
ccH- Qntre and of the people from Hydro
as gospel. So as a con.sequcnce, among other
APRIL 1. 1974
601
things there has lieen no examination by
those people, those ministers, in view of the
valid questions raised about the Amprior
project. Further information has been sup-
pressed by the government as far as mem-
bers of the Legislature are concerned. That
was confirmed today after a paean of praise
to Hydro by the Premier himself. It appears
that the government has simply taken the
view that we shouldn't have the facts.
Wen now what's curious about that, Mr.
Speaker, is the fact that the flow of infor-
mation has not been cut oflF completely. In
fact, on one hand we had the Minister of
Energy speaking to the municipal electrical
association a while ago about the Amprior
dam and saying that he had reviewed the
facts and found that Hydro has not failed
to 1^ guided by public policy and therefore
he had concluded it would be inappropriate
to interfere. If any damage existed to the
local farmers, said the minister, then the
correct procedure was an appeal to the courts
rather than to the ministry. That was the
Minister of Energy on March 5.
It was only days later, Mr. Speaker, that
the Minister of Energy, the new Provincial
Secretary for Resources Development (Mr.
Grossman) and the Minister of Agriculture
and Food were holding a meeting with rep-
resentatives of the Federa'ion of Agriculture.
In other words, the minister was not saying
privately what he was saying publicly.
During the course of that meeting, I un-
derstand, Hydro changed its tune as regards
compensation and now the sky is the limit.
It has decided under prodding from the
Minister of Energy— who apparently is still
interfering, or is involved— that Hydro will
tr>- to buy the farmers out because it
simply can't afford to keep on with the
kin 1 of flak it has been receiving on this
particular subject.
Not only that, Mr. Speaker, I understand
that certain documents from Acres and from
Hydro have been given to the Federation
of .\gri culture concerning the Amprior dam.
1 would suggest that is also a matter of
concern for members of this Legislature—
if we don't get the documents, such as this
feasibility study, and yet other people get
them. I have no objection; I think it's prob-
abl\ a good thing that that document goes
forward to the Federation of Agriculture.
What I resent, Mr. Speaker, is the fact that
that same information is not being given to
the Legislature; that Hydro and that the
Minister of Energy and that the whole
gON-emment, are playing games with this
Legislature when they are meant to be
accountable to the parliament of the Prov-
ince of Ontario.
Mr. Speaker, let me talk very briefly. I
don't know if I can finish thii by 5 o'dock
or not; HI do my best, though.
Mr. Martel: No, give it to them.
Mr. Cassidy: Mr. Speaker, I have said that
Hydro has misrepresented the situation. Let
me give you a few examples, Mr. Speaker.
One example is simply the statement that
Hydro has had the approval of the local
communities, and the fact is that apart from
the council of the town of Amprior that Is
not the case. It has had a letter from the
mayor of Amprior saying that the other
three municipal heads agree, but it has never
even asked the other municipalities to be
involved.
In an article in Hydro News, Mr. Speaker,
Hydro summed up the opposition to the
dam by referring to one 86-year-old farmer
who didn't welcome Hydro's property asses-
sors—implying that only old fogies, people in
their 80s and 90s who were sort of tradition
bound, could oppose themselves to progress.
Interjections by hon. members.
Mr. R. G. Hodgson (Victoria-Haliburton)
Oh, come on.
Interjections by hon. members.
Mr. Gassidy: Mr. Speaker, in this docu-
ment on the Amprior power project, which
is sent out to every schoolboy or anybody else
who inquires about the i>articular project-
Mr. Yakabuski: Tell the truth now.
Mr. Gassidy: —Hydro refers—
Mr. Yakabuski: What about the munidpal
councils? Did they pass resolutions object-
ing to the project?
Mr. Gassidy: No, they did not pass resolu-
tions, but they—
Interjections by hon. members.
Mr. Yakabuski: So they did not object.
Evidently they approved of the project.
Mr. Gassidy: They have never been asked
by Hydro for their opinion and Hydro itself
simply said: "Look we want these guys on
the committee; and that is it, baby, that is
it."
Interjections by hon. members.
Mr. Gassidy: The whole public participa-
tion in that area by Hydro has been a total
602
ONT.\RIO LEGISLATURE
tiisastcr. The whole pul)iic participation has
\K-ti\ a total disiister.
Nfr. Yakabuski: Finally, the fmstrateil
Liinark Lihtrals saw an opportunity to raise
hell, it's that simple. Straight politic-s.
Mr. Speaker: Order.
Mr. Cassidy: It is a hunch of farmers who
are fnistratctl because they can't get justice
fn)m this government; and their problems
in getting justice-
Mr. Yakabuski: How many of them haven't
reached an agreement?
Mr. Speaker: Order.
Mr. C'assidy: Tlieir pn>l)lems in pettinp
justice fn)m thi<; pjvenmient are parallelf<l
by fanners in oth<T parts of the pnnint^, are
paralleltxl bv welfare nvipients. are parallehxl
by tenants, are parallehxi by any miml>er of
fH'ople. Tlie entire population of the north
has been trying to tjet justicx* from this gov-
ernment for 30 vears and hasn't been able to
get it.
Mr. Havrot: Well we have got a comedian
in the House.
An hon. member: Tlie member is u-asting
his time.
Mr. Cassidy: Boy, the hon. member for
Timiskaminij shouM wait until we get going
on Maple Mountiiin. becaus<' the mistakes
thcN' made-
Interjections by hon. members.
Nfr. Speaker: Order; order please.
Mr. Havrot: The memlxr is the biggest mis-
take one cotild make-.
Mr. Yakabuski: You know, some of his own
meml)ers f«"ar for his re-election.
Mr. Cassidy: Is that right? Okay; occasion-
ally I frar for it myself.
IntcTJeiiions by hon. members.
Mr. Cassidy: I \nll grant to the hon. mem-
ber there is still n strong Liberal contingent
in my ri<ling. but we hope to <li.spose of them
in the next fetleral election.
Mr. Speaker, since tl>e hon. m»'mber for
Renfrew Smith wants to talk about public
{larticipation. I want to say that totlay I was
>efore the Flnerj^' Board .s««eking thrir per-
mission to—
Mr. Martel: He is not a fij^htrr though,
like some people.
Mr. Havrot: Pardon?
.Mr. Martel: He is not a fighter like some
|x*ople.
Mr. Speaker: Order, onk*r.
Interjection by an hon. member.
Mr. Cassidy: M the Energ)' Boanl this
morning, Mr. Speaker, I pres^mtetl a motion
to submit to the F,nerg\' Board a dossier on
the Amprior dam and on the implications of
the (Umi for Hydro's management procedures
and financial policies.
One of the things that came »ip there u-as
a discussion that was held in the last couple
of days of the Hydro hearings, phase one,
before the P3nerg\ Boanl, at which time the
general manager of Hydn> was being ques-
tioned by coimsel from Pollution Prol>e. The
questioning from counsel for Polhition Probe
was on public participation.
And what was said at that time. Mr.
Speaker, by the Hydro people, was: "But of
course we ha\e a commihnent to public par-
ticipation. W'e have leametl our lesson and
for tho last t\\-o or three years we have been
doing it. Look at the Solandt inquiry into
the transmissifm lines. I^ook at what we are
doing un at Nanticoke or other pla«*s." Then
the Pollution Probe counsel said: "If that is,
the case, why has there been no participation
with the Amprior project?" Right a>\'ay, Mr.
S|x»iiker, coimsel for Hulro was on his feet
ami ho said, "I object"—
Interjections by hon. members.
Nlr. Cassidy: He didn't u'ant it discu-ssed,
because Hydro is paranoid about this par-
tictilar project and it knoN\'s of the way in
which it has fuiUxl with any kind of mean-
ingful public participation.
Interjections by hon. members.
Mr. Cassidy: Mr. Speaker, in Its nrejsenta-
tion to the Ontario Energy Board, HyAno
statetl:
In keeping with its jwlicy of informing
or a>mm»micaling with the public. Ontario
Hytlro is engage*] in holding public meet-
ings to ascertain the vies\-s and feelinqs of
local citizens' groups arwl municipal officials
Nvith regard to the impact which nrojecte<l
facilities might have on partictdar localities.
Tliere is increasing interaciion between
Hydro and the government and between
Hy<lro and the community in the planning
prf)cess.
They talk, in other u-onh, a fairK' good game
about the way in which they want to encoiir-
age public participation.
APRIL 1, 1974
003
The chainnan of Hydro, on Jan. 18, sent
around an outline of its programme for the
participation of citizens in tlie expansion of
electric power facilities. He said that Ontario
Hydro has pioneered the programme, imply-
ing that this has already bt*en umler way for
some time. The letter states specifically that
the procedures were intended to be flexible
in their application, that greater participation
of the public in planning would occur with
respect to those projects in which there was
a strong public interest indicated and this
would be modified for projects less contro-
versial.
Well I have to ask you first, Mr. Speaker,
what project is there in the province right
now that could be more controversial among
Hydro generating stations than the Amprior
project? Second, where else, on the face of
the evidence available so far, is Hydro going
to speiKl so much— $70 million still to spend
—to get so little in actual return?
If Mr. Gathercole is sincere in stating that
the participation by the public will increase
in areas where there is great public interest
indicated, then clearly Hydro, without pres-
sure from the government, should agree now
to suspend the work on the Amprior dam, to
look at the alternatives, to hold an inquiry
and to get the local community participating
in looking at the alternatives.
Well, Mr. Speaker, when one looks at the
brochure they have sent around about pro-
cedures for public participation— and one has
to assume this is current Hydro policy— one
finds that after public announcement of the
route or the site— this would be in 1971 in
this particular case— there then should have
been meetings with the public and with
special interest groups. But they haven't been
held.
There should have been internal study to
identify alternatives; that study does not
appear to have taken place. There should
have been continued meetings with the
public and special interest groups to talk
about the alternative generating sites and to
provide details of environmental factor ratings
and to provide economic comparison of the
alternatives. As far as I can see. that economic
comparison has not been validly done, even
for internal use within Hydro.
They also should have determined public
opinion on the evaluation of the alternatives;
again this has not been done.
After the submission to the Minister of
Energy, there should then have been a de-
cision on a public hearing by the Minister
of Energy in conjunction with other minis-
tries. Yet the ministry and the government are
rejecting any kind of a public hearing before
the Environmental Hearing Board or before
any other Ixxly.
That's the amount of public participation
tliat is actually taking place, Mr. Speaker.
And it's a concern because the people who
got to know Hydro l)est from the outside
were the people who did the Task Force
Hydro study; among them, unfortunately, the
present president, Mr. Gordon. They make a
number of criticisms about the way in which
Hydro has worked in the past, but then they
say: "We urge that the efforts now under way
increasingly to involve the public in Hydro
affairs be continued." Fair enough. I con-
tinue to quote:
We urge this while recognizing that the
procedures used will produce little in the
way of positive results, in the absence of a
widespread commitment to the principles
involved and a response to the changing
social enviroimient by a majority of those
responsible for Hydro's operations."
The acid test of Hydro's commitment to pub-
lic involvement over recent months has been
the Amprior dam. If you look at it, Mr.
Speaker, you get the president of Hydro re-
fusing information. You get senior executives
threatening legal action. You get the Minister
of Energy backing up the suppression of
information. You get the minister flying in and
refusing to listen to local requests that the
project be reviewed or halted, and sending
the bulldozers in on the day that he is there.
There is clearly no commitment there, Mr.
Speaker.
It is very difficult to expect that Hydro is
going to change its stripes or suddenly turn
over a new leaf, if that's the way it has been
behaving as recently as not just six months
ago, but as recently as today when the
Premier backed up his ministers on this
particular subject.
Those comments about Hvdro were made
on Aug. 15, 1972, when the first report of the
task force was presented to the ministry. At
that point, there were recommendations
specifically about improving the liaison be-
tween Hydro and the citizen, including estab-
lishing a channel where representation from
citizens could go forward to senior bodies in
Hydro, that there be talk, and that Hydro
consider establishing citizens' task forces so
as to provide for citizen participation in the
location of generation and transmission
facilities.
If there was any commitment, Mr. Speaker,
we should surely have seen some response
604
ONTARIO LEGISLATURE
bv now. But I am afraid that we ha\'en't seen
that up until this time.
Nfr. Speaker, I want to go l>ack to the point
I was making when I was interrupted hv the
rn#*tnl>er for Renfrew S<njth antl that was on
thf question of misrepresentation. Ilvdro goes
ah'*ad savinij it has coinmunitv appro\-al. That
is a matter in dispute. H\(lro sa\s th«*re are
problems of bank erosion and turbiditv in the
reser\'oir, ami it savs that to provide a final
solution it has decided to build a dam on
the lakr. It is cU'ar from siibsequf'nt e\"idence
that that will not be a final solution.
Hvdro states that there wi'l ho \H miles
of sh »r'lin»* for (-ano<'inc, sailing and other
'••♦creafional »is<»s Tliis u-as in April of last
year. Mast of that shore land will not be of
use for thf>se piirnoses. Power boats wnlT
have to bf kept off the lake: and it is simplv
not suitable, much of it. for septic tanks, and
therefore for an\- kind of residential \%'ork.
Hvdro savs the peak work force of 1.600 or
1.700 will be mostlv drawn from the local
area— atjain a misrepresentation. Mr. Speaker.
Then we get into material which was sent
to me bv the member for Simcoe Centre and
material which has been sent to me and
made available localh*. Nfaybe the member
for Renfre^^' 5>outh was on hand the other
week when a meeting was held — a piiblic
meeting this time— bv Hvdro in Amprior to
unveil plans for development of the river
front area dowTistream from the dam. Hvdro
put up a prettv terrific shmv. There are a
swimming pool and senior citizen accom-
modation predicted. Thev are going to have
-let's see now — plavgrounds. park benches,
all sorts of facilities there.
Mr. Takabuski: Is the member opposed to
parks there?
Mr. Casjridy: Of course I am not opposed.
I wotiW have thought that that kind of
fle\elapment micht have been one of the
kinds of things that Hvdro might have con-
sidered. Even steam batKs. who IcnoviTs.
But when n-ou looked at the plan in detail
though, Mr. Speaker, vou fotmd nut the fol-
lo\^'ing: What Hydro had given to the to\%n
of Amprior — a town which recently, about
a vear or two earlier, had reiectcfl in ref-
erendum a proposal for a debenture for a
ne\v sAvimming pool complex — was a bhie-
print for a recreation area for which Amprior
wmild pay most of the cost. Hvdro said
specifically that it would pro\*ide green gntss.
the contours, a handful of park benches, a
harnlfid of picnic tables, and a children's
playgronml which cost S4.000 or $5,000.
The contribution of Amprior would be to
find funding for the senior citi/en housing
and the other housing, would he to find fimd-
ing for the sAvimniing pool, antl — get tliis,
Mr. Speakt*r — would l>e to nwne its sewage
treatment plant to the other side of towii at
an expenditure frf at lea.st $1 million. mayl)e
more, but something in that particnilar onler.
The swinnning p<M>l, in fact, would Im' locatetl
in plac;' of the present sewage treatment
plant. Clearly, the plan was completely un-
feasible so long as there was a sewage treat-
ment phuit in the middle of it.
Tliat's nusrepr<*sentation, when IlNtlro does
a great PR effort, Mr, Speaker, to tn- to
convince Amj>rior it Is going to have thi.s
magnificient park — and conceals in the fine
print the fact that it's only willing to put a
few thousand dollars into anything except the
gra.ss and trees.
I have a few more comments, Mr. Sj^eaker,
but I wantetl to get this matter on the rec-
ord; and perhaps now is a convenient time
to adjourn the clebate; I so move.
Mr. Cassidy moves the adjotimment of the
debate.
Motion agree<l to.
PRIVATE MEMBERS' HOUR
HOUSE Bl^YERS* PROTECTION ACT
Nfr. Givens moves second reading of Bill
11, An Act to provide for the Prc)ti*ction of
Hou.se Buyers.
Mr. P. G. Givens (York-Forest Hill): This
bill establishes a commi.ssioner of housing and
provides for the licensing of builders.
Mr. Speaker: The motion is now l)efore
the House. The hon. member may proccetl.
Mr. Givem: Mr. Speaker. I %%rmld like the
hon. members to appreciate the fact that, in
dis^^l.ssing this bill, I really want to discuss
the principles of the bill rather than the
terms of the bill .section by section.
This has been a C»ordian knot, a very
difficult problem that people have 1x»en wres-
tling with at all levels of government. I
unnerstand that there has been a federal
govemment invitation extended to the pro-
vincial Minister of Consumer and Commercial
Relations ( Nfr. Clement ) to a meeting in
Ottawa on April 8 on the question of con-
sumer protection s\-stems and to discuss
warranties for housing in Canada. I don't
know if the minister has replied to this
in\'itation, but that is what they are going to
be discussing in Ottawa.
APRIL 1. 1974
605
I do think that under the property and
civil rights section of the British North
America Act, this is really a matter that
comes within the purview of the province.
So I want to discuss these principles involved
in the bill, rather than section by section, be-
cause maybe the "i's" weren't dotted properly
or the "t's" crosse<l properly; but it is the
essence, the pith and substance that I wLsh to
accomplish and I want to place before the
members of this House.
Mr. Speaker, we all know that the purchase
of a house by any citizen in most cases is
probably the biggest investment that that
person will make in his lifetime-and par-
ticularly todav. We've heard evidence given
in this chamber that the average hotise in
the citv of Toronto is worth something in
the nature of $50,000, and that within the
next 15 or 20 years the average house in
Metrr>i)olitan Toronto will probably be worth
$100,000— and new houses will be worth
considerably more than that.
Under the terms of our law, common law,
when a person buys a house— particularly an
old house-the doctrine of caveat emptor
prevails, which means "Let the buyer be-
ware." And when you buy a house you're
supposed to see all the defects— all the patent
defects and all the latent defects. You are
responsible. The purchaser is responsible for
what he buys. It is up to him to satisfy him-
self that the property is in good condition.
When a person buys a new property, tihe
law that substantiallv applies is that the work
should be completed in a good, workmanlike
manner. He sometimes buys the house as
plans. He sometimes doesn't see the house
before it's completed: or he probablv closes
the de^ before the house is completed.
If the deal is closed and the purchaser
assumes the ownership of the house, all he
has left is perhaps an undertaking which is
given to his solicitor on closing which en-
ables him to have a cause of action in the
law courts.
What generally happens is that the day for
closing comes to pass. The person's made
an investment; he's paid a deposit to the
agent. The deposit money is impounded in
a tnist account which the agent is supposed
to hold until the deal is closed, and generally
his commission of about five per cent comes
out of that deposit.
The man goes to a lawyer who searches the
title. All the lawyer is responsible for are
the legal aspects of searching the title and
satisfying him that he has a clear title. The
lawyer invariably will not go out to visit the
house. In 09 per c«nt of the cases, I don't
think a lawyer acting for a purchaser ever
goes out to visit the house.
The purchaser may kid himself that because
he's assuming a large mortgage or because
he's been approved by a large mortgage-
lending company this means that <wmehow
the mortgage company or the insurance com-
pany or the tnist company or whoever the
lender happens to l>e bears some responsi-
bility or is conscientiously concerned with
whether or not the house is in good condition.
Nothing could be further from the truth.
The date for closing comes; the house isn't
really finished. The purchaser takes a look
at it and he's just about ready to have a fit
because certain things have not taken place.
I don't know whether any members have
ever attended a registry office on a day
when a deal is closed. Generally, deals are
closed on the first of the month, the middle
of the month and the end of the month and
when one goes down to the registry ofiice, it's
just like going to the Calgary Stampede.
There are probablv as many people in the
registry office on those usual closing da\s as
at the Stampede. This does not mean one
can't close a deal on any other day but usually
these are the days when the deals are closed
and when one goes down, it's a madhouse.
Usually the lawyer to whom one is paying
the fee is not there to close the deal. He
either sends a law student, which is like hav-
ing a medical student take out your appen-
dix, or one of these new title searchers that
most law offices have — some of the bigger
oflRces may have several of them — who close
the deal. Of course they are under the
direction or supervision of the la%^'yer but
90 per cent of the time the lawyer doesn't
know what's going on whai the deal is
being ck)sed. He gives his student or his
clerk instructions as to how to close it and
he says, "If you can't close it, if there are
things that are unfinished, get an under-
taking." The undertaking is generally worth
the paper it's written on; and sometimes it
isn't even worth that.
Of course, the purchaser has this option:
or the solicitor's clerk has this option; or the
solicitor himself. He can say to the vendor-
builder, "Go jump in the lake. You haven't
finished these things and I'm not going to
close the deal." In which case the purchaser,
his client, feels verv bad because he's told
the whole world hes buying a house - his
family, his mother, his wife and his children
—and he's ready to move in. He's borrowe<l
a first mortgage; he's borrowed a second
mortgage from a finance company and a third
606
ONTARIO LEGISLATURE
niort^a^e fn>!n Uncle Joe to pay for the
furniture and he wants to move in. He's
always afraid that if he ckn-sn't close the deal
he's going to lose the house, esjx'tially nowa-
days when we've all heard there's a terrific
sellers' market going on. No purchaser wtints
to be put in that terrible posiliim.
He says to the lawyer, "You're my legal
adviser; tell me what to do." Tlie lawyer
invariably says, "All right, well take an
undertaking fnxn J<x^ Blow Construction Co.
that he'll fix the drainboard and cement up
the crack in the joists arKl fix the plaster
tliat's coming aj>art in the bedroom and so<l
your lawn and grade your driveway and all
that sort of thing, ami we will hope for the
l>cst. If he doesn't finish this work, God
dam it, we'll sue him! We'll take him to
court; we'll drag him right through the
anirts."
Usually, the law\-er who handles a real
estate deal is a person who's not involved in
litigation practice. He generally doesn't know
how to i.ssue a writ or a statement of claim
and he wants to avoid a legal action like
the plague. He takes the undertaking and
he figures he'll hopo for the best. What
he's got for himself with a signed under-
taking, even from the best of legal firms,
i; the right of action.
There are still those people, Mr. Speaker,
who think that a trial in court is an im-
partial investigation into the tnith, into the
facts. Nothing could l>e further from the
tnith. We hope that it's an impartial inves-
tigation ami that justice will be done but
this isn't necessarily what happens in a court
of law. As we all know, we have the ad-
vetKarv' system ami sometimes it's a matter
of how one adduces evidence, what one
draws mit of witnesses and what happens in
c<7urt; who falls down on the job; wno tells
the tnith and who appears to tell the truth;
ami who tells the truth l)etter than somebody
else tells the truth. All these things come
into play. Sometimes one will institiite an
action and it may conceivably take two years
or more Iwfore the case comes to cotirt l>e-
caii.sr the courts are so crowded today.
Tins man and his family have move<l in
ami the house hasn't been finishetl properly
and ho has rm protection at all. Kvrn nmler
the Law Society's errors and omissions in-
surance, for which all we lawyers who l>elf)ng
to the l^w Society have born circulari/.od.
where we have to pay so mtuh mone>- into
an in.suranco fimd to see that clients are prr>-
tectetl from errors and omissions that we may
make, the only thing that they are pro-
tectetl from, by our taking out this insurance
is for damages because of the lawyer's pro-
fessional negligence or l>ecause of the negli-
gence of any other person for wliose act he
is legally responsible, committed in the p«r-
fonnance of professional ser\ices for otners
in the instirea's capacity as a lawA-er.
The lawyer is not responsible nor is the
purchaser, his cHent, protecte<l from any
error or omission which a lawyer might make
with respect to the actual c^ompletion of the
physical work that is done on the house.
Tliis Is something aside and apart from a
lawyer's respon.sibilit\'. So he nas no pro-
tection. Yet when he gix-s out and bu)'s a
household appliance, whether it is a vacuum
cleaner or wnether it is a television set, in-
variably ho gets a piece of paper, a warranty,
which says that the X company will protect
him for malfunctions in this particular piece
of ecjuipment. But for the house in which
he is sinking $50,000 over the course of a
hfetime— or what is probabK' more close to
the tnith, $80,000 or $90,000 or $100,000
nowadays— he has no protection at all.
Generally, the builder is a company man
who has incorporattxl himself and builds 10
or 15 hoiLses in a subdivision. He has a way
of disappearing after he has built the hou.sc
Tliere is no firm that I know of in the house
building business that can be considered to
be in the nature of General Motors or Ford
or Chrvsler. No matter what one wants to say
about these tximpanies, these companies can
sometimes be embarrassed, if on© nas a case
again.st them, into .solving the problem for
one. Tliere are no home builders that I know
of that are in that position.
Of course, some of them are good buildcn,
and reputable builders. But I'm talking about
a lot of builders who are in the l)iLsiness
who afford no protection to a purchaser at
all. He is in the driver's seat, particularly
in a seller's market. He sa>-s. "If vou don't
want the house, Nfr. Jones, don't taVe it. HI
give >'nu back votir money. I can sell it next
we«-k' for another $2,000 or $.1,000 or $5,000.
The purchaser is in an awful position under
these circumstances.
Then there is the expense that is involved
in tr)ing to get the house finished, in dun-
ning the vendor-builder to complete the
house properly, to build the thing in a
proper and workmanlike manner. Tlien even
after one has gmie to court, and maybe got
a judgement after two, or two and a half or
three years, it could very well be a worth-
less judgement, becau.se by this time the
builder may be out of business and may be
nowhere to be found ami one has got one-
APRIL 1. 1974
607
self a piece of paper that really doesn't mean
anything.
Under its terms, this bill would provide
protection for purchasers of ncNv homes. I
don't want to talk about old homes for the
moment, because that has to do iwth other
prinoples of law, although the parameters of
this bill c"ould also serve the purpose of
protecting people when they ouy (rfder
homes.
This bill will appoint a commissioner of
housing, who will administer the Act. It will
provide that new homes built in Ontario
should be built to the minimum standards
of an Ontario building code, which we
haven't seen any signs of yet, but which the
Minister of Consumer ami Commercial Re-
lations has promised will be forthcoming.
There is no piece of legislation which is as
vital and as important and which is as emer-
gent and necessary to be passed by this
Legislature as the new Ontario building code.
Under this bill these houses are to be
inspected at least four times during the con-
struction period. They are to be warranted
by the builder against all hidden defects
which are described in law as latent defects
for a period of five years after completion of
construction. How is a person to find hid-
den defects when he doesn't know about
looking into the footings or looking into the
joists or looking into the foundations of the
building, when people today aren't used to
this sort of thing and are not equipped to
be able to make these inspections on their
own?
So it will protect against all hidden de-
fects for a period of five years after com-
pletion of construction, and against all ob-
vious defects for a period of one year after
completion of constniction. By obvious de-
fects I mean what are called patent defects.
When you walk in and see a crack in the
plaster that is pretty serious, you can demand
that it be fixed, and it should be fixed over
a period of one year.
Further, the vendor, the builder of a new
house, must point out all obvious defects to
the prospective purchaser which will be noted
on a form, agreement of purchase or sale of
the house, prescribed by the commissioner.
After all, he is building the house, he has
known what he has done wrong, unless he
has done it accidentally, and he should be
required to list in the offer to purchase—
which is the offer both the purchaser and the
vendor sign, which forms the contract of the
purchase or sale— what the obvious defects
are for the prospective purchaser.
Any grievances that the purchaser has for
the njonev that he is putting into this house—
of $50,00(). $60.CXX), $70,000 or $80.000-m«y
l)e brought forward and heard by the com-
mUsioner, who will thereby render a decision
which, if not agreeable to the parties con-
cerned, mav be handed over to a court of
law as a fast resort if this is necessary, if
something has to be adjudicated between the
parties.
And lasdy— and what to me is of vital im-
portance—the commissioner shall provide for
an insurance fund into which all builders
must contribute in the event that a builder
may not be able to compensate the house
owner, such as in the case of bankruptcy.
This isn't so unusual. It isn't so outrageous.
Those of us who are lawyers pay into what
I call the thieves' fimd of the Law Society
of Upper Canada, for defalcations and for
things that lawyers do wrong, deliberatelv or
not so deliberately, to hurt their clients, where
the clients suffer damage on a client-solicitor
relationship. So it is no different than it is
in that case.
I think it is highly necessary that at long
last the doctrine of caveat emptor, and the
common law applying to fixing a house in a
good workmanlike manner, should be tossed
into the ashcan. The law should be revised
and reformed to bring it into what is required
in the present day, protection to the con-
sumer when he buys a house and makes the
biggest investment of his life. He should be
protected by this Legislature. We owe it to
him.
The people who will object will say this
will increase the bureaucracy. I suppose in a
way it will, but it won't increase it anv more
than the amount of litigation that you find in
the courts today on the part of purchasers
who find themselves in court because of
builders who have ripped them off. Reputable
builders have nothing to fear about harass-
ment. They will continue to be reputable
builders. But protection must be afforded to
people who suffer from those who are ille-
gitimate in the business and who try to get
away with things.
People will say, as another objection, that
costs will increase, that the cost of this in-
spection and the cost of this adjudication and
the cost of nmning the insurance fund will
increase. I suppose it will, and it will prob-
ably be passed on to the buyer in certain
cases, Mr. Speaker. But I suggest this: If you
are walking along the street and voii are
assaulted and somebody steals your wallet or
your purse and you happen to have $500 or
$1,000 in it, the law goes to a great deal of—
608
ONTARIO LEGISLATURE
Mr. F. Young ( Yorkview ) : That much in
\oiir purse?
Mr. Given*: Well, thus Ls after payday,
when \oii have cashed vour chetjiie and you
are walking home. The law is Roing to spend
an awful lot of money to get the iK»lice force
out to find this crook, or this burglar when
\our house is ransacked and thev take your
cash or vour jewels or whate\er you happen
to have there. You e\j><'ct the law to stretch
out its dragnet and then catch the burglar
who has robbed >ou.
I don't see any <lifFerence betwtM'u that
situation, to tell you the truth. Mr. Speaker,
anil the builder who sells a house to an un-
suspet ling buyer and tries to get awav with
tit is same kind of ripofT or this same kind
of burglarv. So I think, whatever increase
in bureaucracv there mav 1m*. or whatever
increase in costs there would l>e, that it is
verv essential that this kind of protection be
affordet! to the people who are sp<'nding
thousands and thousands of dollars on the
purchase of a home and are taken advantage
of from day to day.
It is almost a daily occurrence. It has
b« come so prevalent and the outcrv for this
kind of legislation is so universal at every
level of go\emment. that I think if we don't
take cognizance of this problem and come in
uith some intelligent form of legislation —
such as the bill that I presented here — the
House Buyers' Protection .Act, 1973— we will
be doing a very serious and grave injustice to
the people of this province who biiv homes.
Mr. Speaker: The hon. member for Peel
South.
Mr. R. n. Kennedy (Peel Sor.th): Mr.
Speaker. I am pleasetl to have the oppor-
tunity to join in this d<*bate and to commend
the memlxT for York-Forest Hill for bringing
his bill forward.
I'm n(»t so sure we agree on the details,
.mfl he made reference to that point btit the
fact is that it is an issiie — and an important
issue. To those who have experierwfHl con-
fusif>n and concern alx>ut what is probably
the major purchase in their whole lives. I
Hunk such action in bringing this forward is
\»rv timely, if not a bit late.
Hrg,»rrhng the bill itsi'lf. the hon. meml)er
<li'l mention the risk r»f btireaucracv. and I
would have to a^ree, on reading this most
( ompr» hcnsixe bill, that inclee<l there w(Mild
have to l>e quite an empire built to ad-
Tuinister it.
I uoiijfl like to touch on a couple c>f sec-
tions, then I want to make «>me reference
to some exjHTiences I have liad. I notice by
the roster of sjH'akers, .Mr. Speaker, that tliis
is more or less a lawyers* hour—
.Mr. P. D. Lawior (Lakeshore): Not really
-it's half and half.
.Mr. Young: He will bring some common
seiise into the situation.
Mr. Kennedy: -and I feel as if I'm intrud-
ing into the adjudication of thLs item.
Mr. H. Worton (Wellingtcm South): It's
nice to have some conuncm sense.
Mr. Kennedy: Yes, we'll bring in some-
thing from the consumer's point of view
rather than the ethereal heights of the legal
profession.
Mr. Lawlor: The word is not "ethereal."
Mr. Kennedy: In section 4(a), I can see a
problem there in as.sessing what is reason-
able. I can see somecMie getting hit on fairly
weak grounds.
On the matter of integrity and honesty in
section 4(b), I think the licensee, the buifdcr,
has to demoivstratc integrity and honesty. He
should need to do this whether we have a bill
or not. If he has been in tnnible and is
reformed, well, let him prove it. V\'c don't
want to deter a person from earning a legi-
timate living.
Mr. Lawlor: The government does it with
respect to the rest of its lic^ensing legislation.
That's a nonnal clause.
Mr. Kennedy: Oh no. No. No. Tlicre is op-
portunity-
Mr. Lawlor: We nassixl 15 bills last spring
with that clause in tncin.
Mr. Kennedy: The hon. member for I^ke-
shore is ven.- hot on this matter of appeal-
he and McRuer— and I go along with that.
But in the first part of the bill, the thrust
is tfnvar<l financial stabihty and capacity, and
mrhaps there's an excessive demand in this
bill for demonstrating that. A |K«rson can l>e
p<M)r but honest. Would the member for
Likc^shore agree?
Mr, (.ivcns: He is both.
Mr. lawlor: Mv friend doesn't care
whether he ran build or not. as long as he
has lots of mfinry?
Mr. Kennedy: \r%, he can have both.
But settion 10 makr^ reference to the in-
spector going in to seize the bcxiks and ac-
counts and so on. l"nless the member has
APRIL 1. 1974
608
some other qualifications in mind, and widi
all respect to the abilities of the building
inspectors I know, it is a pretty professional
person who will be needed to go in and
make a meaningful assessment
The five-\-ear period mentioned in section
21, the warranty section, is really the key
to the purchaser having that protection. Five
years Is a fairly long time, and often we
can't catch the builder or the sub within five
days after he has done his work; I don't know
how we'd get him after five years.
My few comments in stimmary are that I
think that this bill goes too far, it's pretty
harsh and it would require a bureaucracy
to administer. And I would like to think that
we can get a more simplified method of
ensuring quality workmanship.
The city of Mississauga has been involved
with this and I have had correspondence
from disappointed, disgusted purchasers. The
rit\- of Mississauga came up with some-
thing through its building inspector, based on
the two problems we seem to have.
I am not aware that there have been a
great many bankruptcies. I think this tvpe of
builder is gone, as the small builder is, and
anyway if there have been bankruptcies I
haven't heard of them. The complaints thev
f'o get are about shoddy workmanship and
that the builder will not deliver the home
on the promised completion date.
This is reflected in a report by the com-
missioner that suggests we establish a f'Vm
completion date and failure to fulfil that
contract would bring a levy of $30 a dav
against the contractor. The other provision,
to make sure there is quality workmanship,
so when he does come back to get it done,
is a $1,500 hold-back. Maybe the sum
i.sn't important, but it seems to me some pro-
vision such as this would avoid all the
draePing thronch the courts which the hon.
member mentions.
We had a court case a couple of weeks
ago based on violation of the local buildin«T
bylaw. It went before a court and I don't
believe the builder offered a defence, at
least not a lenal defence. He appeared him-
self and the JP, a sitting justice, slapped a
$500 fine on him. He now has that under
appeal and it will go to the countv court, as
I understand it. So you may get the fine in,
as the hon. member may very well say,
btit this doesn't do anything for the poor
purchaser who is still left with defective
workmanship.
I have a couple of letters here explain-
ing some of the problems. They are minor in
that they don't come within the terms of the
building bylaw-for instuncc, the porch
railings are not properly insUllcd. or the
cnipboards are crooked, or the paint is the
wrong colour or there is no paint at all,
things as those, which aren't covered under
the bylaw. This ii what bothers people.
They go in on the expectation tliat tney
will have certain things. But they aren't there.
I wrote to these builders Oct. 29 and I still
await a reply. I am not going to get one.
Whether there has been remedial action
taken I am not sure. So those are some of
points that are raised.
When this resolution came forward it in-
terested the Toronto Builders' Association. I
will say that they were rather receptive to
it; they weren't hostile. They did think that
this practice of optimistic estimates of com-
pletion dates could be misleading and they
didn't object that provincial legislation
might be brought do%vn. They squealed a
bit on the suggestion that they would have
to provide a hold-back or a licence or some
such fee as that.
There was a suggestion there would be a
$50 fee to cover inspection costs, and they
pointed out that if there are 7,000 homes
built, this multiplied by $50 is $.350,000,
which is going to cause great escalation
of house prices. Do the members know what
those 7,000 homes might sell for? If my
zeroes are right, something like $280 mil-
lion, and they are talking about one-tenth
or one-fifteenth of one E>er cent. They can
change a levy even for the permit or for the
installation of one of the services, water or
sewers. They can change those levies. There
is no validity to that argument at all.
It seems my time has run out, Mr. Speak-
er. I had some other notes here but I think
the remedy could be in the areas I have dis-
cussed—a possible hold-back fee, or maybe
the insurance fund would be the answer. I
can see a little bit of difficulty with the
fund— just that it takes time and a certain
amount of work to make it effective and final-
ly resolve the problem. A person has to put a
claim in and get it inspected and all of this.
I think money seems to have a ver\', very
effective effect, if I can use that term, in
bringing this into line. Maybe this, along with
the fact that the loser would pay the costs,
would ensure there would be no frivolous
claims and there could be a reasonable
meeting of the minds,. Certainly Mr. Speak-
er, the situation isn't satisfactor)' now and I
think action should be taken.
610
ONTARIO LEGISLATURE
Mr. Speaker: The hon member for Lake-
shore.
Mr. Lawlor: Thank you, Mr. Speaker.
You know, Mr. Speaker, that if the hon.
member who introduced this legislation were
ever initiated into an Indian band, I would
give him the high recommendation to desig-
nate himself Chingachgook. He is truly the
last of the Mohicans.
The tenor of his remarks, the general slant
in the House by and large, is that he like
Chingachgook, wishes to live in some kind
of remote and primeval forest and espouse,
as the archpatriarch, all things connected with
the free-enterprise system. But when the shoe
pinches— even if you wear Dacks— then sud-
denly they come forward with some monstros-
ity whereby to rectify a very great evil in-
deed. No one questions the impact of the
chicanery of house builders and the very
machinations they send both their clientele
through and in which they involve them-
selves. We are up against them all the time.
Mr. J. E. Stokes (Thunder Bay): Aided
and abetted by the legal profession.
Mr. Lawlor: It is the legal profession that
seeks to rectify and straighten these things
out, except for that portion which represents
these beggars. But I wonder if this is the
way to do it. I would like to scout the legis-
lation and spend a few moments on it.
I am sure that if the member for York-
Forest Hill saw legislation which was as
onerous and intricate and bureaucratic as this
introduced in the House, he would be the
first on his feet to find it obnoxious and
basically repellant. I can only point out in
bemusement and irony that these curious
twists occur in this House. Consider the
clause that the hon. member mentioned a
few moments ago, clause 4, with its very
great emphasis upon the financial integrity-
the position and capability from a financial
point of view— of people in the building game
and the inquisition that would go on in that
particular respect.
But that's not what bothers me. He sets
up a commission of housing under govern-
mental auspices which is to inspect every new
house in this province. That would, I sup-
pose, include condominium units, co-opera-
tive apartments, apartment buildings them-
selves, and not just residences as far as I
can see. There are literally thousands and
I would hope there would be a dam sight
more— and there would be were this govern-
ment not in power. But the figure of 7,000
was mentioned here, and I am sure that
doesn't cover all the condominium units in
the Metropolitan area of Toronto alone and
that's 28,000 inspections.
In other words, you are going to get a
little contingent-
Mr. Kennedy: That is just one municipality.
Mr. Lawlor: —a little contingent! A very
massive contingent indeed— of inspectors, a
bureaucratic paraphemaha of such girth,
depth and height that it would be quite ap-
palling. It may be necessary at some time
to call' it into being, but other nostrums have
been put forward and not mentioned in the
course of this debate. The Conservative
member for Peel South sees it very fit to
ignore the negligence and total irrespon-
sibility of his own government.
In 1968, as one of the first steps in the
work of the Law Reform Commission of this
province, they moved and brought forward to
this House and to the consideration of the
government a report called "Trade-sale of
New Houses; the Doctrine of Caveat
Emptor." Where are the proposals? They
were far more modest proposals that are
made here. They didn't involve a monstrous
spawning of the bureaucratic structure as tlie
present proposals do.
I give the member great credit for having
the social conscience and the sense that this
is a great affliction in our midst. It is, but
we don't want on the whole to cure the dis-
ease by a form of diarrhoea. It just doesn't
help in that way.
If you look at the nostrums contained' in
the report— I have fundamental disagreements
with this document too, but it concerns
special kinds of trades which are defined
very acutely in the legislation in new houses
too. The hon. member's legislation, while it
fails in terms of scope to provide in a delib-
erate way, except in certain of its para-
graphs, a coverage for and a protection for
the older houses— leaving that aside— the same
fallacy exists within the dimensions of these
particular recommendations. In the course of
these recommendations, six different ap-
proaches were outlined and most of them
discounted.
The first discount was precisely the over-
tures being made by the hon. member for
York-Forest Hill today. The first was regis-
tration of builders. The second was inspec-
tion during construction. The third was
insurance. Let me pause there because I
think there is validity in the insurance con-
cept and in a fund being set up.
APRIL 1, 1974
611
As has been pointed out, the amount of
money is not really inflationary in terms of
the overall market. That would give some
repository, some defence and some place to
which people could advert, instead erf neces-
sarily going to the courts, in order to get
some relief from what builders pull on
peoplte. The fourth is quality control by
mortgagees or guarantors. The fifth is war-
ranties implied by law and the sixth is ob-
ligations imposed by statute. Tliis commis-
sion comes down squarely on the last, the
sixth, that is obligations imposed by statute,
dismissing all the rest.
If I may just advert to what was said in
1968 by the commission, which gave it some
thought, and which, I think, are very sage
proposals. They run through a preamble in
which they say that the free enterprise system
would be placed in jeopardy. I would have
thought that the Law Reform Commission
was above these particular policy considera-
tions but it does go to the trouble of quoting
some benighted judge who is in favour of
that particular system.
Then the members got down to practical
matters and said this was not enough; a
registration scheme would have a number of
practical drawbacks affecting its advisabiHty.
For instance, as a result of the number of
builders, the amount of new house con-
struction and the sheer size of our prov-
ince, the inspectorate which would be
required to make a registration scheme
work would have to be very large. The
registrar or the body charged with the
duty to register builders, discipline them and,
in proper cases, suspend or revoke their regis-
tration would be fixed with an enormous and
highly contentious task. The programme that
would probably have to be undertaken would
involve first the registration of any and all
applicants and then a systematic weeding out
of those builders who did not keep up what-
ever standards were required. The result of
this would probably be a good many appeals
from the registrar's decision with consequent
additional expenditure of public and private
money. The commission said, "At this stage
such a drastic solution does not recommend
itself." What recommended itself in their
case was a retention of the court apparatus
but strengthening the position of the in-
dividual if he is forced into the court.
I would think, in my rather narrow prac-
tice of law, that we ran into this situation
with new houses once every 50 houses,
maybe. There are all kinds of contentions
with the others, I admit, but I mean really
a crux case; a case where one wants to take
it to court. Maybe it is even less than one
in 50; one can usually bring them to heel
by talking.
Mr. Kennedy: It is one in 10 builders.
Mr. Lawlor: If one can't one has to resort
to the courts. The trouble at the moment,
and it is not very much rectified in the pro-
posed legislation, is the warranty involved.
There ought not be a warranty concept at
all first of all because that involves damages
only. It ought to be a conditional concept
that the house is such and such so that the
contract can be rescinded. If one doesn't
want to rescind it one can go on suing for
damages and get it. Their recommendations
contained precisely the kind of conditions
which would be imposed. A new house built
should be fit for habitation— that would be
one of the terms, not an implied warranty
term but a statutory obligation.
Mr. Speaker: There are 60 seconds remain-
ing.
'Mr. Lawlor: Members would be pleased to
know that the other three major proposals
would very much strengthen the hand of a
plaintiff and would keep most cases out of
court as it exists at the present time. Please,
I say to the government, let it bring in its
own legislation and it won't have to adopt
some monstrosity in order to rectify a great
ill.
Mr. Speaker: The hon. member for St.
George.
Mrs. M. Campbell (St. George): Mr.
Speaker, following the member for Lakeshore
and his passionate and impassioned speech
on this matter is very difficult. There is no
question that legislation of this kind is not
an ideal. Certainly, on a clause by clause
provision, I think the proposer himself made
it clear that he was speaking to a principle.
At this point in this province we are head^
ing into a situation of homelessness. Cer-
tainly in some areas this is very clear. When
we're facing that situation, to talk about other
forms of legislation, to talk about the long
road to legislation which will protect the
individual without setting up any kind of
bureaucracy and to talk about all of the
things that could be done, which after 30-
odd years of this government haven't been
done, seem to me to be speaking of an ideal
rather than, with respect, facing the situa-
tion as it is today.
Much has been said by all of the speakers
up until now about the matter of new houses.
I would like, if I may for a moment, just
612
ONTARIO LEGISLATURE
look at the situation as it exists in some of
our major urban areas, and particularly this
one, where we have a new type of entre-
preneur who is buying up old and existing
stock and renovating it.
I am concerned deeply about the standards
of renovation. I'm not suggesting these
people are not doing a good job for the most
part. But when one knows what the con-
struction was in a city such as this where
we had row housing with open third floors;
when one tries to find out what provision
is being made for firewalls between those
third floors on renovations; when it isn't too
clear that this is a requirement; and when
we're faced with the fires we've been faced
with, it seems to me that we have to take
some steps— not ideal perhaps^to indicate
that we are concerned about the person who
is purchasing property, not at an inflated
value but at an inflated price in our market
today and who has literally no protection.
Many of them have no alternatives, be-
cause there isn't a sufficient stock of hous-
ing they can afford available in an area
where they feel, for one reason or another,
they must live. It is to be hoped, Mr. Speak-
er, as time goes on, if we get an enlightened
government in this province that is con-
cerned about the scarcity of housing and
prepared to service land so that people can
get building lots at prices they can afford to
pay and can curb the inflationary effect of
the policies of this government, this will no
longer be such an urgent requirement be-
cause people will have choices.
When we come to the five-year war-
ranty section, it takes some time as a rule
to find the hidden defects in a building, par-
ticularly if one is not very expert in the
building of houses or in any of the trades
that go into the building of houses. I am
reminded of a time some years ago when
my mother who was one of the first women
builders in Toronto was completing 18 houses
in the north end of the city of Toronto and
was having a great deal of trouble with in-
spectors. Across the street, a gentleman was
building a pair of houses. While he had taps
in and he had other equipment in his house,
he had nothing connecting either sewers or
water in his house nor did he insulate the
roof.
This is the kind of thing that, of course,
nucrht not to happen with the usual inspec-
tions of a municipality. But in those days
there were elements oJF choice. Today there
are not.
I too am concerned that our buildin<T code
has not been brought forward other than in
a draft form, because I don't know what
provisions there will be in this whole new
area of rehabilitation of existing housing. But
I would have to assume, at this point in
time, that this code will have sufficient
enlighteiunent that these various matters
would be covered, and that people would not
have to rely on the fact that they'll take
it at any price and in any circumstances, be-
cause they have nothing else they can do
to provide housing for their families.
Mr. Speaker, it is true that those of us in
this caucus have been opposed to the es-
calation of bureaucracy, and it may seem
somewhat illogical for us to support this.
But in a time when this is probably the one
investment that a person makes, it is desper-
erately important that there be some pro-
tection.
I was interested the other day in looking
at an area in Toronto which used to be a
pocket of blight. It was called Trefann Court.
I think most of the members have heard
about it. There are properties selling tliere to-
day at $70,000. For the poor? No, of course
not. The poor are gone because of our policies,
but the people who are there, who are going
in, nevertheless need housing, too. And they
simply have to have some protection while
we await the philosophical direction of a gov-
ernment which, up until now, has not been
concerned with curing the disease of a lack
of housing, but rather has been concerned
with looking at the symptoms of it.
Mr. Speaker, I support this bill in principle.
Thank you.
Mr. Speaker: The hon. member for Fort
William.
Mr. J. H. Jessiman (Fort William^: Mr.
Speaker, it's a privilege for me to rise and make
some comments on this bill. To start out,
I think the hon. member for York-Forest
Hill has got a damn good bfll here. It needs
possibly some modifications, very few amend-
ments.
One amendment I'd like to suggest to him
is that a short form of specifications be at-
tached to an offer of purchase so that the
purchaser will know about the basic items
involved. This would also be evidence at anv
subsequent hearing before a referee or re-
view board.
It's a fact that most people buy a liasic
house but actually expect a custom built
house. I agree with the hon. member in his
preamble that the suggested short form
could be part of the deal. In this way pur-
chasers would be assured that they would
APRIL 1, 1974
613
receive in good faith exactly what they
paid for.
Now, Mr. Speaker, I'm not going to at-
tempt to go item by item, or clause by clause,
through the bill. It's been veiy well handled
by the hon. member for Latceshore, in his
jolly criticism, and also the hon. member for
Peel South. I think his bill is very timely,
Mr. Speaker, because in the Thunder Bay
Times-News of March 28 there is an item
out of city hall that says:
The city HVDA president John Budick
touched on a proposed nation-wide home
warranty setup presently being studied by
the federal government,
Ottawa planners have been looking into
putting a fonn of warranty on new homes
for over a year. Now Mr. Budick says it
will be at least another year or a year and
a half before such a plan would be avail-
able to prospective home buyers at the
municipal level.
It goes on to say:
The city building inspector, Mr. Bert
Lambert, was also present at the meeting
and he said Urban Affairs Minister Ron
Basford has already proposed legislation
on warranties or, as Lambert put it, certi-
fication.
It's very timely having this bill brought be-
fore us today. But I must say, Mr. Speaker,
that before we guarantee a house we have
to build one— and we in Thunder Bay cer-
tainly don't have a hell of a choice in houses.
I'm going to refer to statistics that have been
produced for me over the last year and
records of land acquired by Ontario Housing
Corp. in Thunder Bay (Fort William and
Port Arthur), the location of the land, the
size of the land and the year it was bought.
We bought 6.67 acres in 1967, in 1968
2.90 acres— this goes on— 1.83 acres in 1970,
1.85, 1.60 and 3.50 acres in 1971 and in
1972 we hit the jackpot; we bought 158
acres for Ontario's proposed HOME develop-
ment programme— and 37 lots in 1973, with
an additional 0.85 acres pending develbp-
ment.
Over the same period of time, Mr. Speaker,
we built 46 units of senior citizen housing in
1969, 48 units in 1970, none in 1971, none
in 1972, and 181 units in 1973.
Mr. Stokes: Not a very good track record.
Mr. Jessiman: I'm not verv happy with it,
really. It starts at the local level, I might
say to you, sir.
The same article reported on March 28
that we are planning 600 housing units for
Thunder Bay. The corporation presently
hopes to build 200 to 273 senior citizen
residences. Seven hundred new imits in 40
northern Ontario localities also are expected,
and we are looking to start up to 600 new
housing units in the city over the next 18
months.
Mr. Speaker, I think we would be luck\'
if we could build houses the way we are
building reports. Here are some from the
Advisory Task Force on Housing Policy;
Working Papers, volume 1; "Land for Hous-
ing and Housing Assistance," "Government
and Housing; Public Participation Program-
mes," "Background Report, The Housing; Pro-
duction Process in Ontario."
Might I say to you, Mr. Speaker, that
about five years ago in the city of Thunder
Bay we extended the city water line at a
price of $158,000 or $168,000. The Ontario
government assisted the city of Thunder Ba\
to extend this water line to the then munic-
ipality of Neebing to the indiistrial farm,
which housed some 100 detainees, a herd of
cattle and many acres of potatoes and what
not. But since that time, 1,200 acres of this
1,800-acre plot have been declared surplus.
I would suggest to you, sir, that we've got
lots of land to build on; it is owned by the
govermnent and it is damn well time we
started building houses on it. Thank >ou.
Mr. Speaker: The hon. member for Wind-
sor West.
Mr. E. J. Bounsall (Windsor West): I
would start out, Mr. Speaker, by assuring
the member for Peel South that I too am not
a lawyer and will be giving a consumer's
view. Maybe that was why, not being a
lawyer, I was so surprised when I received
my first constituent case with respect to
house building, one which I could hardl\
believe.
This constituent phoned me up and said
his roof wasn't tacked dovm to the rest of
his house. I thought I wasn't hearing him
right. I went out and, sure enough that was
the cose. This was a house at 6170 \\'ales,
in Windsor.
Both the man and his wife were in a situa-
tion where both of them were working dur-
ing the day at places from which the\- could
not phone. They could not phone the build-
ing inspector in order to get a hand in seeing
that some of the things were rectified.
614
ONTARIO LEGISLATURE
I don't have the time now to detail the
many and various rotten occurrences with
respect to this house. But let's just say there
was water everywhere. The eavestroughs
didn't slope to the downspouts; they all
sloped to the middle. The roof wasn't tacked
down at any point. The wind would blow it
up and the wind and rain had soaked the ply-
wood. In fact, the plywood was warping. It
was warped as much as 3 in. or 4 in. Ho
took me up to the roof of one portion of
this tri-level, and you could bounce up and
down 4 in. or 5 in. on various parts of the
roof— so on and so forth.
So there is a very great need in this area,
which the bill speaks to and where action
drastically needs to be taken.
The question is how best to rectify it.
Just in the few minutes left, let me say,
speaking in detail to the bill I am a little bit
worried about the large bureaucracy which
this bill would engender. It would require
four inspections per house and a gigantic
team of inspectors would be required under
this Act.
I am convinced the cost of these inspectors
and the cost of this bureaucracy, should we
set up a thing like this, should not be paid
from public funds. However, the insur-
ance scheme that's set up in order to rectify
the programme should, in fact, be a suffi-
cient collection and assessment scheme on
all builders in the province to pay for the en-
tire bureaucracy.
In this way we could get the builders who
know how to build and are in the field
building, to exert influence and pressure on
other builders who they see are doing shod-
dy work because it will come out of their
pocket if it is allowed to continue.
I would suggest this is one way, if we are
going to have this bureaucracy or some-
thing like it, to pay for it and deal with it.
In fact, I would suggest a somewhat dif-
ferent system as well to reduce the bur-
eaucracy. You would only deal with com-
plaints, not those nine out of 10 completed
houses which the buyers find satisfactory.
The other point that I had on the bill
when I first read it was the preoccupa-
tion that the bill seemed to have with the
financial structure and the financial capabilities
of the builders or the developing company
rather than the product— the house or the apart-
ment or the condominium or the co-opera-
tive. In the bill there is the power to go in
and seize and search the financial documents
and books in the middle of the night.
There is undue stress placed on this rather
than the product, when it comes to the
clause-by-clause reading of the bill.
And finally, the caveat emptor principle of
"let the buyer beware." In this bill it ap-
plies only to new housing and on first sale.
The let-the-buyer-beware principle was not
going to be applied to all of the older hous-
ing without any rectification or assessment
on the sales of those homes— and, in fact,
applies after the point in this bill. So a guy
doesn't get licensed because he built a poor
house; so he is fined $2,000 if he builds an-
other. His profit is more than that. He keeps
on going till they finally jail him— if they fi-
nally jail him.
Well, the need is great, Mr. Speaker. I
don't think this bill meets the need but it
certainly is valuable to have thoughts of this
sort put before us so that we can discuss
them, and yet again make clear to the pub-
lic that the need is there and some good
way must be found to fill it.
Mr. Speaker: This completes the private
members' hour.
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): Mr. Speaker, be-
fore I move the adjournment of the House,
I would like to say that tomorrow we will be
dealing first with Item No. 5, Bill 13. And
then we return to the Throne Speech de-
bate. I have also reasonable agreement that
we will sit tomorrow evening to accommo-
date those who wish to participate in the
Throne Speech debate prior to the intro-
duction of the budget,
Hon Mr. Winkler moves the adjournment
of the House.
Motion agreed to.
The House adjourned at 6 o'clock, p.m.
APRIL 1, 1974 615
ERRATUM
No. Page Col. Line Should read:
13 501 2 26 power, wind power, the use of wood to
13 501 2 31 power. All are 100 per cent safe, all are non-
13 514 2 31 that in itself would be a great benefit for
13 515 1 28 rail lines. I am talking about having the
616 ONTARIO LEGISLATURE
CONTENTS
Monday, April 1, 1974
Refuse-fired steam plant proposed for Toronto, statement by Mr. W. Newman 567
Refuse-fired steam plant proposed for Toronto, questions of Mr. W. Newman:
Mr. R. F. Nixon, Mr. Good, Mr. Lewis 567
World Football League, question of Mr. Davis: Mr. R. F, Nixon 568
Mineral exploration Crown corporation, questions of Mr. Davis: Mr. R. F. Nixon 568
Community college courses, questions of Mr. Auld: Mr. R. F. Nixon 569
Kingston township services, question of Mr. Davis: Mr. R. F. Nixon 569
Oil prices, questions of Mr. Davis: Mr. Lewis, Mr. MacDonald, Mr. Raid, Mr. Stokes 569
Environmental impact of public works, questions of Mr. Davis: Mr. Lewis 572
Maple Mountain development, questioivs of Mr. W. Newman and Mr. Bemier: Mr. Lewis 572
Translation service prices, questions of Mr. Snow: Mr. Lewis, Mr. Laiighren, Mr. Stokes 573
Fire hazards in senior citizen highrise buildings, question of Mr. Handleman: Mr, Germa 575
Community college courses, questions of Mr. Auld: Mr, R. F. Nixon, Mr. Breithaupt 575
Warranty on new homes, question of Mr. Clement: Mrs. Campbell 575
Admission standards for graduate studies, questions of Mr. Auld: Mr. Bounsall 576
Intermediate capacity transit system, questions of Mr. Rhodes: Mr. Givens 577
Great West Timber closure, questions of Mr. Bemier: Mr. Stokes 577
Guidelines on university campus activities, questions of Mr. Auld: Mr. Reid 578
Alleged Mafia activities, questions of Mr. Kerr: Mr. Shulman 578
U.S. beef shipments, question of Mr. Stewart: Mr. Gaunt 578
University Expropriation Powers Act, bill to amend, Mr. Welch, second reading 579
Resumption of the debate on the Speech from the Throne, Mr. Cassidy 579
Motion to adjourn debate, Mr. Cassidy, agreed to 604
Private members' hour 604
House Buyers' Protection Act, bill to provide for, on second reading, Mr. Givens,
Mr. Kennedy, Mr. Lawlor, Mrs. Campbell, Mr. Jessiman, Mr. Bounsall 604
Motion to adjourn, Mr, Winkler, agreed to 614
Errata 615
No. 16
Ontario
Hcgisflature of Ontario
OFFICIAL REPORT — DAILY EDITION
Fourth Session of the Twenty-Ninth Legislature
Tuesday, April 2, 1974
Afternoon Session
Speaker: Honourable Allan Edward Reuter
Clerk: Roderick Lewis, QC
THE QUEEN'S PRINTER
PARUAMENT BUILDINGS, TORONTO
1974
10
Price per session, $10.00. Address, Clerk of the House, ParUament Bldgs., Toronto
CONTENTS
(Daily index of proceedings appears at back of this issue.)
619
LEGISLATIVE ASSEMBLY OF ONTARIO
The House met at 2 o'clock, p.m.
Prayers.
Mr. Speaker: Statements by the ministry.
LINEAR INDUCTION MOTORS
Hon. J. R. Rhodes (Minister of Trans-
portation and Communications ) : Mr. Speaker,
I wish to make a statement concerning the
article which appeared in last week's Sunday
Sun regarding the development of linear in-
duction motors being researched in Britain.
We have been watching the British work
by Dr. Eric Laithwaite on his "magnetic
river" concept since he announced it last
August in a British electronics journal. We
will continue to examine this concept and see
what applications of it may be made to urban
transit. To date, Dr. Laithwaite has not pub-
lished technical details or the basic principles
of how it will work.
The staff of the Ontario Transportation De-
velopment Corp. has been in direct contact
with Dr. Laithwaite as recently as yesterday
and, by his own admission, he has not studied
the applicability of his concept to low-speed
urban transit. He is, however, quite inter-
ested in interacting with our OTDC on ways
in which his concept might be fitted into the
GO-Urban technology as a future develop-
ment. We are, of course, interested in en-
couraging such co-operation with his team
and we are following it up.
We do not intend to stop any of our
present work because there is no basic con-
flict between his work and ours at this time,
but we are even more encouraged that our
efforts in research and development will pro-
vide meaningful solutions in our urban mobil-
ity requirements of the future. Canada has
begun a development process in transit, and
far from abandoning it when other promising
breakthroughs may appear, we are dedicated
to continuing development.
We are quite prepared to recognize and
adopt future developments from others
throughout the world, but it should be recog-
nized that Dr. Laithwaite's concept exists only
as a scale model version for exhibit purposes.
Tuesday, April 2, 1974
On the basis of our existing knowledge of
his system and the committed development
for it, it is not responsible to suggest that we
stop our present development programme
which has progressed past the full-scale vehi-
cle stage.
Prof. Eric Laithwaite is a distinguished and
dedicated scientist and should be recognized
as such. We are very interested in the British
development and will keep as close to it as
possible. We know that his variations on the
linear induction motor have in some respects
been incorporated in the low-speed intercity
technology being developed in the US by
Rohr Corp.
Indeed our own linear induction motor pro-
gramme has been advanced by the recent
federal government contribution to the SPAR
Corp.'s dynamic test track. This programme
includes looking into various propulsion imits
including some adaptation on the motors de-
signed for the current transit demonstration.
The Ontario government has committed it-
self to being in the forefront of transit tech-
nology and the Ontario Transportation Devel-
opment Corp. congratulates Dr. Laithwaite on
his work to date. We recognize change as a
continued part of the research and develop-
ment process, and if we are to stay at the
front of development, we will continue our
development, constantly assessing the work of
others around us, and that includes discussions
with Dr. Laithwaite to consider how the
corporation may participate in his work as
well. It is an irresponsible to suggest develop-
ment work be stopped as it is to ignore the
work of others in the field.
To characterize the development presently
under way at the CNE and in Germany as a
"$1 billion lemon", is both unfounded and
gross misrepresentation. The work to date has
provided a valuable fund of development that
shows substantial promise of providing
efficient, attractive and environmentally sensi-
tive transit to many urban areas, and is
capable of substantial further development
and innovation. To characterize the develop-
ment programme to be a $1 billion pro-
gramme is to misrepresent the present com-
mitment and to confuse both the development
programme and an on-going implementation
620
ONTARIO LEGISLATURE
programme. The $1 billion is the govern-
ment's commitment to finance innovative
transit in Ontario cities in all of its forms.
Mr. F. Laughren (Nickel Belt): Not all
cities.
■Hon. Mr. Rhodes: Anyone who suggests we
should abandon our present work, and con-
fuses a "Disneyland project" with the serious,
committed research that is going on in
Canada, in Germany and in the UK, is only
denying the very development effort that
creates technical breakthroughs and progress.
If we are serious about the mobility needs
of our urban areas in the future, we will not
only not discontinue our present development
efforts, but we will expand them. If we have
any insight and commitment to the future of
Canada, its cities, our engineers and our
science community, we will reject the narrow,
short-sighted approach of our opposition
sceptics. Investment of the kind that the UK,
Germany and the Ontario government have
undertaken provides a meaningful programme
for continued advancement.
Mr. Laughren: The minister would have
no goodies at all, would he?
Hon. Mr. Rhodes: At the present time,
Dr. Laithwaite is proceeding: to build a dem-
onstration model of his research work.
Mr. J. E. Bullbrook (Sarnia): We know
whom the $1 billion limit is for.
Hon. Mr. Rhodes: We, like the rest of the
world, will be anxious to review the demon-
stration as he attempts to make all existing
forms of high speed technology obsolete. It
would appear there is a substantial distance
between the current state of development
and an operating capability. It would also
appear that Dr. Laithwaite's research work
would find its greatest application in high
speed intercity services where constant ac-
celeration and deceleration as a result of fre-
quent station spacings, the requirement for
frequent switching and a complex control
system for close headway maintenance will
not be as important as in low speed urban
applications.
We have consistently stated that one of
our principal motivations is to initiate and
continue a hiffh technology development
process in Canada. This will involve a con-
stant review of all developing technologies.
It should surprise no one that there will be
a constant adaptation and improvement in
the technology.
Development in such an important area is
a responsibility of government and not a
waste of money. The Ontario government is
the one agency in Canada that has led in
this field with its dedication to development
programmes to solve domestic problems.
Mr. J. E. Stokes (Thunder Bay): Except in
the north.
Mr. A. J. Roy (Ottawa East): The minister
doesn't understand a word he is reading.
Hon. Mr. Rhodes: It will continue to do so
by pursuing its present development program-
me, continuing the programme of the OTDC,
co-operating with other developers and juris-
dictions in solving the urban mobility prob-
lems and expanding its monetary and research
commitment to this important area.
Mr. P. G. Givens (York-Forest Hill): The
minister said he didn't know anything about
electromagnetics just yesterday, now he is
an expert.
Mr. J. R. Breithaupt (Kitchener): Great
commercial.
Mr. Speaker: The hon. Minister of Health.
Mr. R. F. Nixon (Leader of the Opposi-
tion): This will be another great one.
Interjections by hon. members.
Mr. Speaker: Order.
Mr. R. F. Nixon: What jokes does the
minister have for us today?
Hon. F. S. Miller (Minister of Health): I
don't need any jokes as long as the member
is here.
Mr. V. M. Singer (Downsview): He should
be on stage instead of representing the min-
istry.
Mr. Speaker: Order.
Mr. E. M. Havrot (Timiskaming): Caught
the member right between the eyes, didn't
it?
HEALTH DISCIPLINES ACT
Hon. Mr. Miller: Mr. Speaker, today I am
introducing the first six parts of the Health
Disciplines Act dealing with five major
health disciplines— dentistry, medicine, nurs-
ing, optometry and pharmacy. Legislation
covering other health disciplines will l>e in-
troduced later.
Mr. Stokes: That is in alphabetical order,
isn't it?
APRIL 2, 1974
621
Mr. Roy: Is the minister going to put in
a denturists' bill?
Mr. Speaker: The question period will fol-
low.
Hon. Mr. Miller: As the hon. members
know, this bill has resulted from a number
of years of intensive work by many groups
and has benefited by considerable public in-
volvement. In April, 1970, the report of the
Committee on the Healing Arts was tabled
in the Legislature. At the request of the
Health Minister of the day, the Ontario
Council of Health reviewed this report and
made certain recommendations in November,
197C.
As a result of these two reports, "The
Guiding Principles for the Regulation and
Education of the Health Disciplines" were
made public in January, 1971. Based on
these guiding principles, discussions were
undertaken between the Ministry of Health,
health disciplines and other interested bodies,
which resulted in draft legislation in June,
1972. These legislative proposals were tabled
in this House as a discussion document en-
titled, "Legislative Proposals for a Health
Disciplines Act." Since then, many months
of discussions with the health disciplines
involved and other interested groups, includ-
ing the public, led to the legislation being
introduced today.
This Act, Mr. Speaker, ensures that the
activities of health disciplines are effectively
regulated and co-ordinated in the public in-
terest. It also ensures that appropriate stan-
dards of practice are developed and main-
tained and that rights of individuals to ser-
vices provided by health disciplines of their
choice are safeguarded. The legislation now
before us embodies some changes from the
earlier proposals. All of these changes have
resulted from information and advice gained
through public discussion.
Essentially, the bill proposes that each
health discipline covered by this Act will be
regulated by a college. The membership of
the college's governing council will comprise
both professional members of the discipline
and lay representatives.
Mr. Roy: The member is learning well.
He is coming along.
Hon. Mr. MiUer: Depending on the numer-
ical strength of the council of an individual
college, the mandatory number of lay mem-
bers has been increased and varies from a
minimum of two to a maximum of eight.
The legislation also provides that lay repre-
sentatives will be included on the registra-
tion, complaints and discipline committees of
the respective colleges.
The government believes that as much as
possible, each health discipline should be
responsible through its governing council for
the conduct of its members and should be
permitted to carry out that responsibility
independent of government interference. This
determination was based on the principle
that the public interest is best served when
the government does not interfere in the
activities of well-run and responsible private
institutions.
The government does have an interest,
however, in seeing that a high standard is
maintained by each health discipline with
regard to its relationships with the public,
its membership and with other health disd-
plines.
Based on the principle that an appeal from
the rulings made by a health discipline's
governing council should be made to a sep-
arate and appropriate body, an independent
health discipline board will be set up, com-
posed entirely of representatives of the pub-
lic who are not members of any of the
health disciplines under this Act. This board
would conduct hearings and reviews with
respect to complaints, from either the public
or from members of the health disciplines,
which in the opinion of the complainant, have
not been satisfactorily dealt with by the regu-
latory bodies.
Mr. Roy: Is the minister going to thank
them for this advice? Is he going to thank
them for telling him this over the years? Say
thank you.
Hon. Mr. Miller: In addition, persons ap-
plying to the colleges for registration, who
have had their applications refused by the
regulatory bodies or have had limitations
placed on how they may practice, may re-
quest a hearing by the health disciplines
board.
Under this bill, the Minister of Health
has the responsibility for overall policy de-
velopment and for the co-ordination and
development of health disciplines with the
rest of the health care system. The legislation
also provides for advisory committees to the
minister for necessary and desirable involve-
ment of various health disciplines and the
public in the co-ordination and development
functions.
The bill also provides that the Lieutenant
Governor in Coimcil may make regulations
when the minister has requested a college
622
ONTARIO LEGISLATURE
to make, amend or revoke regulations and
has not done so.
In essence, then, Mr. Speaker, this bill sets
out the scope of practice for four health
disciplines. It also defines "registered nurse"
and "registered nursing assistant."
It provides for self-regulation by each
health discipline, subject to the views of
mandatory lay representatives on their gov-
erning council and for an independent, lay
health disciplines board to which appeals can
be made. The Act provides for the licensing
of some practitioners and the certification of
others.
Licensing involves the conferring on a
particular person, the exclusive provincially
granted right to practise. Practice by any
person to whom such a right has not been
granted is prohibited and made a punishable
oflFence.
Certification involves the provincial en-
dorsement of competence, but not the exclu-
sive right to practise. By applying a provin-
cial standard, a stamp of approval is con-
ferred on persons as competent to practise a
specified occupation. Practice by an uncerti-
fied person is not prohibited and, of course,
is not a punishable offence.
Mr. Roy: That should be interesting.
Hon. Mr. Miller: The parts relating to
medicine and dentistry continue a broad
scope of practice for these disciplines
which is commensurate with their educa-
tion and clinical training, and which pro-
vides for their licencing.
The part on pharmacy identifies the role
and responsibilities of pharmacists, and also
provides for licensing.
The part on nursing recognizes the dif-
ferent roles of registered nurses and regis-
tered nursing assistants in their particular
fields of practice, which call for certification
as contrasted to licensing.
The part on optometry recognizes that
optometrists provide services that are also
within the broad scope of medicine. In
this bill, therefore, their scope of practice
requires definition, which is included.
Mr. Bullbrook: That will take a couple
of hours.
Hon. Mr. Miller: In bringing in this bill,
then, Mr. Speaker, members will appreciate
that a significant amount of effort has been
directed over the past few years toward
rationalizing the roles of various disciplines.
This Act will form the basis of defining
those areas in which the health disciplines
will provide their services to the public.
Mr. Roy: This had better be good, or
the minister is going to be on his way out.
He will join the previous minister.
Mr. Speaker: Oral questions. The hon.
Leader of the Opposition.
HEALTH DISCIPLINES ACT
Mr. R. F. Nixon: Thank you, Mr. Speaker.
I would like to ask the Minister of Health,
in relation to the statement he just made,
if the bill that he introduces this afternoon
will in anv way change the status of the
practice of the denturists— presently illegal
—and, if not, does he contemplate additional
legislation in that connection?
Hon. Mr. Miller: No, Mr. Speaker.
Mr. R. F. Nixon: A supplementary: I'd
like to ask the minister if that then is a
statement that the present policy, which has
prevailed since the passage of the statute
and the proclamation of the present law,
will remain unchanged and that is then
established by his backbench colleagues?
Hon. Mr. Miller: I do not think, Mr.
Speaker, that the Leader of the Opposition
should jump to that conclusion. The present
Act was drafted progressively over a num-
ber of months. It allows for the present
status of the practice of dentistry and den-
ture therapists. As such, it wiU have a
section in it similar to the present Dentistry
Act defining that role.
Mr. Roy: A supplementary, Mr. Speaker:
Why doesn't the minister stop playing
games with the public and with these two
professions and let the public know exactly
where they stand in relation to the den-
turists and the dental situation? He's been
going around saying-
Mr. Speaker: Order. Order.
Interjections by hon. members.
Mr. Speaker: Order. Order.
Mr. Roy: Very simply, why doesn't the
minister shape up and let us know where
he's going with that?
Mr. Speaker: The hon. Leader of the
Opposition.
Mr. R. F. Nixon: He has not answered
the question.
APRIL 2, 1974
623
Mr. Speaker: The hon. member for
Downsview.
Mr. Singer: Is the minister through with
my friend from Ottawa East? I don't think
he got an answer.
Mr. Speaker: It was not a proper ques-
tion. It was a statement for the most part.
Mr. Singer: The minister was up to
answer.
Interjections by hon. members.
Mr. Speaker: It would have been im-
proper for him to answer it.
Interjections by hon. members.
Mr. Singer: I yield to my friend, who
wants to rephrase his improper question.
Mr. Speaker: He may ask a proper ques-
tion.
Mr. Roy: Does he not feel, as Minister
of Health, that it is time he let the public
know exactly where the government, of
which he is a member, stands on this ques-
tion, and that the denturists and the dentists
are entitled to know exactly where they're
going with this plan, especially in light of
the statement that he has made here today?
Hon. Mr. Miller: I think that is a fair
question, iMr, Speaker. I fully intend, if any
change is made in the present legislation,
to let members know that.
Mr. Roy: The minister has been saying
that for weeks.
Mr. Speaker: The hon. member for Scar-
borough West.
Mr. S. Lewis (Scarborough West): Supple-
mentary: I would like to ask the Minister of
Health, would it not be necessary within the
ambit of the health disciplines legislation to
bring in the denture therapists bill again for
either amendment or confirmation by the
Legislature in light of the other revisions of
medical career lines? Does he not think it is,
therefore, somewhat provocative to bring in
the dentistry legislation without at the same
time saying anything about his intentions as
regards denture therapists?
Hon. Mr. Miller: Mr. Speaker, I gave that
a great deal of thought. If, in fact, the policy
was firm and formulated at this point in time,
I think the member's reaction may be per-
fectly right and this bill should contain those
parts. The denture therapist part of the health
disciplines bill will came up in due course, as
will a number of other parts. When it comes
up, of course, the scope of practice for that
S articular part of the health field will be fully
efined and open to discussion. But this bill
has been a long time coming. We had a lot
of public discussion.
Mr. Roy: Which one?
Hon. Mr. Miller: I think it is only proper
that we should have it here, regardless of
future changes in the roles of the health dis-
ciplines which may aflFect many groups, not
just one.
Mr. Roy: If the minister is going to be
consistent.
Mr. Speaker: The hon. member for Downs-
view.
Mr. Singer: Mr. Speaker, by way of .supple-
mentary, will the minister's bill include this
independent health disciplines board or will
that be the subject of a separate bill? And if
it does include it, will it extend limitation
periods and will it give the board the power
either to order rectification or award damages?
Hod. Mr. Miller: First of all, it wili estab-
lish the board. To answer the member's ques-
tion, yes it will.
Mr. Singer: This bill will?
Hon. Mr. Miller: Yes. There are time limita-
tions for actions specified in the first part of
the bill, the omnibus section, for action to be
taken. As to the punitive e£Fects, I would like
to check them, but I know that there are some
measures in the bill for that.
Mr. Speaker: The hon. member for High
Park.
Mr. M. Shulman (High Park): In the min-
ister's statement he said that persons applving
for registration who have had their applica-
tions refused' may apply to the health dis-
ciplines board for a hearing, but he doesn't
say whether the health disciplines board has
the power to overrule.
Hon. Mr. Miller: Yes, it would.
Mr. Speaker: The hon. Leader of the Op-
position.
Mr. R. F. Nixon: I have a question of the
Minister of Transportation and Communica-
tions further to his statement.
Mr. Roy: May I first ask a supplementary,
Mr. Speaker?
Mr. Speaker: I think perhaps one more
would be reasonable.
624
ONTARIO LEGISLATURE
Mr. Roy: Pursuant to the minister's state-
ment, what is the reason for introducing the
bin, the Healtib Disciplines Act, with only four
or five professions? In his statement, on page
4, he mentions that he wants to regulate and
co-ordinate all these in the public interest.
Why did he not include all the professions,
physiotherapists and people like this?
Hon. Mr. Miller: We are intending to do
so. It is an open-ended bill. At this point in
time there is no final determination of what
is not a health discipline and what is. When
the members realize the amount of time it
took to get these five very important health
disciplines to this point, I am quite sure they
would not want us to wait for the next 21
discipHnes that are already known before we
had any legislation afi^ecting any part of the
health field.
Mr. Shulman: When are the chiropractors
coming in?
LINEAR INDUCTION MOTORS
Mr. R. F. Nixon: I have a question of the
Minister of Transportation and Communica-
tions. Can he assure the House, in as
vehement a term as he used in his statement,
that his ministry is prepared to consider
technology that is already proved, like the
light rail transit technology-as an alternative
to magnetic levitation?
Hon. W. D. McKeough (Minister of
Energy): Its the horse and buggy.
Mr. Lewis: Oh, the minister is back in voice
again.
Mr. R. F. Nixon: Has he dismissed the
present modes of technology?
Hon. Mr. McKeough: The horse and buggy.
Mr. Lewis: Nobody will ask the Minister
of Energy questions about energy, so he is
hollering about transportation.
Mr. Bullbrook: Why doesn't he levitate?
Hon. Mr. Rhodes: Mr. Speaker, I think it
is very fair to say that the government is pre-
pared to look at all types of technology. De-
spite the comments that have been made by
the Leader of the Opposition, it has always
been the intention that we would use all
forms of rapid transit tied together in one of
the most integrated systems m all of North
America.
Mr. Singer: Oh, but it is horse and buggy,
he savs.
Hon. Mr. Rhodes: We may not go back to
the horse and buggy that the member is used'
to, but I think we will stay with what we
have.
Mr. R. F. Nixon: That would be faster
than the minister is prepared to travel. I have
a supplementary for clarification and certain-
ly for the edification of those people involved
with the surveys that are not under the min-
ister's control. Can the minister assure the
House that the funds that are predicted to be
available for urban transportation— $1.5 bil-
lion—could, in fact, be spent for light rail
transportation if the municipalities concerned
opted for that alternative?
Hon. Mr. Rhodes: Mr. Speaker, as was
said in the statement, the amount of money
that the Leader of the Opposition has been
referring to is the amount of money that we
have said would be committed to developing
a proper and complete urban transit system
available to the municipalities of this prov-
Mr. R. F. Nixon: Would it be spent for
light rail transportation? Did the minister
answer that?
Mr. Givens: No.
Interjections by hon. members.
Mr. M. Cassidy (Ottawa Centre): Supple-
mentary, Mr. Speaker.
Mr. Speaker: Does the hon. minister have
any further answer to the supplementary, I
presume by the Leader of the Opposition?
Mr. Roy: Poor show.
Mr. Speaker: If not, the hon. member for
Ottawa Centre.
Mr. Cassidy: Supplementary, Mr. Speaker,
in view of the minister's comments on this:
What discussions have been held between
the ministry and the regions of Ottawa or
the new municipality in Hamilton-Wentworth
about alternative kinds of rapid transit as
opposed to the Krauss-Maffei system?
Hon. Mr. Rhodes: Mr. Speaker, I really
can't answer that. Those discussions would be
going on at the official level through repre-
sentatives of the Ontario Transportation De-
velopment Corp. and I cannot answer as to
what discussions are being held at this time.
Mr. Roy: Is he the minister or not?
APRIL 2. 1974
825
MAPLE MOUNTAIN DEVELOPMENT
Mr. R. F. Nixon: I have a question, Mr.
Speaker, of the Minister of Industry and
Tourism. Can he justify to the House his
approach to the business community of the
province, on a confidential basis, for advice
on the pending decision on Maple Mountain,
without at least first having tabled in this
House some of the feasibility studies which
have now cost the taxpayers a quarter of a
million dollars, so that the people concerned
in the Maple Mountain area arnl the people
concerned in the province who are going to
pay for this— if in fact we go forward with it
—can have something to say about the deci-
sion?
Hon. C. Bennett (Minister of Industry and
Tourism): Yes, Mr. Speaker, I can.
Mr. Lewis: Well do it then.
Mr. R. F. Nixon: Do so.
Mr. Lewis: Well then do it.
Hon. Mr. Bennett: Mr. Speaker, in the
opinion of the minister and those in the
government, we wanted some outside input
to the situations that were being brought for-
ward by our consultants-
Mr. R. F. Nixon: That's an elected trans-
port-
Interjections by hon. members.
Hon. Mr. Bennett: Mr. Speaker, it is fine
for them to sit on the other side and con-
tinue to yak. Let's look at the situation very
frankly and honestly—
Mr. Breithaupt: Does the minister mean
they have no rights at all?
Mr. Cassidy: What about the people in the
area who have a right to know?
Hon. Mr. Bennett: We looked to outside
organizations to give us some indication as
to whether they felt there was any reason the
government should continue to advance other
studies on the Maple Mountain project, and
if we came into this House and tabled the
reports without some background, the very
members who are now voicing their opinions
on the direction we've taken would have
expressed exactly the opposite point of view.
I do justify on behalf of the government that
we had—
Mr. Lewis: Oh, Mr. Speaker, that's not so.
That's what we've asked the minister to do.
Hon. Mr. Bennett: —outside opinions ex-
pressed to us, yes.
Mr. R. F. Nixon: Supplementary: Would
not the minister agree that every member of
this House has a responsibility to have an
opinion on this matter? Opinions have been
expressed by the member for Timiskaming
urging that it be accepted and in his opinion
that is fine. Why should we either damn it
or support it, when there is no information
available of the type that is presently in the
hands of the minister, a quarter of a million
dollars' worth? That's what we are here for,
to assist in making these decisions.
Interjections by hon. members.
Hon. Mr. Bennett: Mr. Speaker, I'm not
asking the opposition at this point to either
support or reject the plan. It is our position
as government to recommend—
Mr. Roy: Try us some time.
Hon. Mr. Bennett: —to this House the
procedure or direction we are going to take,
and if this is the way we see best to do it
those reports, as I said to the leader of the
NDP on one or two occasions, will be tabled
in this House.
Interjections by hon. members.
Mr. Lewis: As a supplementary, apart from
the total contempt the minister shows for the
whole legislative process, for everybody in
this House-
Interjections by hon. members.
Mr. Lewis: He shows contempt for the
whole process, because that's the way he
operates. But leaving that aside for a moment,
how does he justify the complete repudiation
of any public participation at all in the
formulation of plans which are intended to
aflFect the economic livelihood and future de-
velopment of an entire region of the province,
which he has presented as an accomplished
fact, and instead go to his friends in the
private business community? How does he
justify that kind of repudiation?
Hon. Mr. Bennett: First of all, Mr. Speaker,
we value their opinion a great deal more than
we do the NDP in this House, and if the
leader-
Interjections by hon. members.
Hon. Mr. Bennett: Obviously, Mr. Speaker,
the leader of the NDP-
Mr. Cassidy: The minister used to be the
same way at city council in Ottawa.
626
ONTARIO LEGISLATURE
Hon. Mr. Bennett: That's very true, Mr.
Speaker, and I always had the encouragement
of the member for Wellington ward, who
wasn't much better there than he is here. A
great deal worse, likely.
Now, Mr. Speaker, to get back to the ques-
tion of the NDP leader— because obviously he
has a short memory; he has asked: the ques-
tion several times— he has placed the position
before this House that we are not going to
allow for public participation.
Mr. J. A. Renwick (Riverdale): He got no
response.
Mr. D. C. MacDonald (York South): No
answer.
Hon. Mr. Bennett: I have said very clearly
to him— and I will repeat— the reports we have
are preliminary reports to give us some indi-
cation of whether Maple Mountain is—
Mr. Lewis: Audio- visual demonstrations to
the business community.
Hon. Mr. Bennett: If the member would sit
and hsten for a minute— but he yahoos all the
time. The NDP leader is not much better
herei than he is outside in Timmins, so
he couldn't even read the memo.
Interjections by hon. members.
Hon. A. Grossman (Provincial Secretary for
Resources Development): You don't learn any-
thing, Stephen.
Interjections by hon. members.
Mr. Stokes: Is the minister going to let the
same thing happen at Maplte Mountain as
happened with the Minaki problem?
Hon. Mr. Grossman: Wait till daddy finds
out.
Hon. L. Bemier (Minister of Natural Re-
sources): He will wish Minaki was in his
riding.
'Interjections by hon. members.
Hon. Mr. Bennett: So, Mr. Speaker, we
have said— and I repeat— that it is the opinion
of the government that we should proceed
with the project-
Mr. Stokes: Minaki is just a white elephant
and the minister knows it.
Hon. Mr. Bemier: Jasper Park all over
again.
Hon. Mr. Bennett: We have made our posi-
tion clear to the members of this House that
we will have full pubhc participation.
Mr. Lewis: After the event.
Interjection by an hon. member.
Hon. Mr. Bennett: Well, that's fine. You
see, the leader of the NDP still misreads the
memo, because this government has never
said that they were advancing. They said
they had preliminary reviews of the situation;
but if the member wishes to—
Mr. Lewis: I heard what the* minister said.
Hon. Mr. Bennett: —make his own inter-
pretation he is welcome to it.
Mr. Lewis: Well, yes I am.
Hon. Mr. Bennett: That's right, because this
government has not made a positive position
in regard to Maple Mountain as to whether it
will advance or not.
Mr. Lewis: Well, that's what we'd like to
know.
Hon. Mr. Bennett: That's correct, and the
member will know in doie course— all in the
fullness of time.
Mr. Stokes: After the fact.
Interjections by hon. members'.
An hon. member: Has he ever seen the
mountain at night?
Hon. Mr. Bennett: We will then, at that
point, sir, if it's the decision the government
go further, to make all of the reports-
Interjections by hon. members.
Hon. Mr. Bennett: —that we have had
made available to government made available
to the public, and we wall look for those
organizations across this province that wish
to express an opinion on a merger develop-
ment.
Mr. Lewis: No, this government is too
arbitrary. Much too arbitrary.
iHon. Mr. Bennett: Well, of course, practi-
cally everything is arbitrary when it's coming
from the member's direction-
Mr. Speaker: Order. Order.
The hon. Leader of the Opposition.
Hon. Mr. Bennett: We intend to be the
government and provide leadership.
Mr. R. F. Nixon: Supplementary, Mr.
Speaker: Can the minister then assure the
House, which is, I suppose, inherent in what
he has said, that no decision will be made
APRIL 2, 1974
627
until the facts are available publicly to the
members of the House and otherwise; and
also until public hearings have been held, so
that the people directly concerned can express
their views?
Mr. Lewis: He won't give that assurance.
Mr. Roy: Yes, give us that.
Hon. Mr. Bennett: Mr. Speaker, I have said
in the past, and I repeat, that the position of
the government will be made very clear to
this House and at that time the reports that
we have will be tabled.
Interjections by hon. members.
Mr. Speaker: Order.
Mr. Lewis: Well, by way of supple-
mentary, what the minister is saying then, if
I understand him, is that he may well an-
nounce a decision to go ahead— that is one of
his options— which means game over. Then
he'll set up an apparatus for the public to talk
about those things that are already accom-
plished. Does the minister think that's an
appropriate public route?
Mr. Havrot: What is the leader of the NDP
afraid of?
Mr. R. F. Nixon: That's like the airport.
Mr. Roy: That's participation, yes.
Mr. Lewis: Is that called participation?
Hon. Mr. Bennett: Mr. Speaker, we will
take the direction that we think is in the best
interest of the province. I have clearly—
Interjections by hon. members.
Hon. Mr. Bennett: I have clearly indicated
there are three options.
Interjection by an hon. member.
Hon. Mr. Bennett: Obviously, Mr. Speaker,
the leader of the NDP wishes to accept only
one of the three options. But if he read the
Globe and Mail article of this morning, he'd
see there are three very clear options avail-
able to him.
Interjection by an hon. member.
Mr. Lewis: I understand that.
Hon. Mr. Bennett: One of those likely will
be decided on this week and this House will
be informed of the direction we are going to
take.
Mr. Stokes: Why do we have to read it
in the Globe? Why doesn't the minister tell
us?
Mr. Speaker: The hon. Leader of the Op-
position?
The hon. member for Scarljorough West,
a new question?
Interjections by hon. members,
Mr. Speaker: Order, please,
OIL PRICES
Mr. Lewis: A question of the Premier, Mr.
Speaker: Is the Premier aware that the total
amount represented by a one-cent-per-gallon
increase in Ontario for gasoline, diesel and
heating fuels works out to $46.4 millions,
and if the additional 2Vz cents is placed by
the oil companies in their price increases
within the next month to six weeks, that
means an additional $116 million for those
companies; roughly $14.50 for every man,
woman and child in the province? And how,
in the light of that, does he refuse to inter-
vene and say: "No, we will abide by the
agreement—"
Mr. R. Haggerty (Welland South): He just
is not concerned.
Mr. Lewis: "—that I entered into at the
premier's conference, but we will not allow
the oil companies to increase it beyond that"?
Why can he not give that commitment?
Hon. W. G. Davis (Premier): Mr. Speaker,
we get back to the same discussion, which
is not just confined to the question of gaso-
line price, oil price or any other price, or
wage escalation. The position of the govern-
ment is, I think, relatively clearly understood,
and I don't want to get into any sort of
provocative statement here today.
Mr. R. F. Nixon: Laissez-faire.
Hon. Mr. Davis: But it's fine for the leader
of the New Democratic Party to come in
here and talk about gasoline — we are con-
cerned about gasoline price. Whether the
figures are accurate or inaccurate is not rele-
vant.
Interjection by an hon. member.
Hon. Mr. Davis: Obviously, if the price
goes up another penny per gallon, it means
one cent per gallon to the consumer — no
question about that; no argimient.
Mr. I. Deans (Wentworth): At least, at
least.
Hon. Mr. Davis: As I said yesterday, our
calculations were on the basis of the price
628
ONTARIO LEGISLATURE
of a crude oil increase; it would be roughly
seven cents.
Mr. Lewis: Right.
Hon. Mr. Davis: Whether the gas com-
panies will impose a further price increase
related to other costs time alone will tell.
I say this, and I don't want to be provoca-
tive, but while we are very interested— far
more interested than I sometimes think the
opposition people are-
Interjections by hon. members.
Hon. Mr. Davis: —in curbing inflation in
this province, no provincial jurisdiction can
do it in isolation. If the NDP is really serious
about it, why, for Heaven's sake, doesn't the
party do something about it on a national
level? Because that's where the problem has
to be solved— has to be.
Interjections by hon. members.
Mr. Deans: We want the same price all
across Ontario.
Hon. Mr. Davis: That is quite right.
Interjections by hon. members.
Mr. Deans: But the government doesn't.
Interjections by hon. members.
Mr. Lewis: Yes, I am being— some of the
rump group is asking me to be non-provoca-
tive which is my nature anyway so I will
put it as placidly as I can— what is he say-
ing as Premier of Ontario? As I hear him,
he is saying that if the oil companies— as
already announced even by Donald Mc-
Donald in Ottawa— indicate that the total
increase to the consumer will be 10 cents
and the amount the Premier and his Minister
of Energy agreed to enter into was seven
cents and, let us say, a half cent more for
non-related costs, he is going to allow them
that extra 2% cents per gal, $116 million
to the consumers of Ontario, without ever
once intervening to protect the public in-
terest because of this peculiar fetish he has
for the free enterprise rights of big cor-
porations.
Mr. P. J. Yakabuski (Renfrew South):
Nonsense. Absolute nonsense.
Mr. Lewis: Why not?
Hon. Mr. Davis: Mr, Speaker, once again
I will try to be very placid, as is my nature
as well-
Mr. MacDonald: I vdsh he would be
active.
Mr. Roy: Let him try for modesty for a
change.
Mr. R. F. Nixon: That is his nature, too.
Hon. Mr. Davis: I am very modest.
Mr. Bullbrook: He has reason to be.
Interjections by hon. members.
Hon. Mr. Davis: I agree with the mem-
ber for Samia. I have reason to be modest
but at least I acknowledge it. If some of
the members opposite would do the same
thing we'd be a lot better off.
Interjections by hon. members.
Hon. Mr. Davis: I know the member for
Samia is about ready to paraphrase
Churchill— I think he is the wrong one to
start doing so; he doesn't quite have the
knack. However, getting back to the ques-
tion.
Mr. Bullbrook: I don't steal anvbody's
spiel.
Hon. Mr. Davis: No, he doesn't.
Mr. Bullbrook: Except the Premier's once
in a while.
Hon. Mr. Davis: Yes, he has borrowed
some of mine on occasion.
Mr. MacDonald: Don't let him get side-
tracked. That means he has no answer to
this question.
Hon. Mr. Davis: No, I don't say we have
no answer to the problem.
Mr. MacDonald: He has no action.
Hon. Mr. Davis: Except to make the
general observation that when one talks
about the gasoline price— and we are as
concerned as anyone about the price of
gasoline— we are also concerned about the
prices of a lot of other consumer products.
If we are going to get into this— and per-
haps we should in the budget debate have
a discussion of—
Mr. Lewis: We should.
Hon. Mr. Davis: —what jurisdiction a
province has in the area-
Mr. MacDonald: No, the Premier doesn't
need to confuse the issue.
Hon. Mr. Davis: —of wage and price
control. One can't divorce the one from
the other.
APRIL 2, 1974
Interjections by Hon. members.
Hon. Mr. Davis: No, one can't.
Interjections by hon. members.
Hon. Mr. Davis: One can't divorce one
from the other.
Mr. Lewis: Don't muddy the waters. We
are dealing with corporate profits.
Hon. Mr. Davis: I think, Mr. Speaker,
I can be very frank. We are not prepared
at this moment at the provincial level to
get into a programme of general wage and
price controls. It's as simple as that.
Mr. Lewis: Right. So he welcomes the
oil companies. He has—
Mr. MacDonald: This is calculated ob-
fuscation.
Hon. Mr. Davis: What has their national
leader been doing for two months?
Interjections by hon. members.
Mr. Speaker: Order!
Mr. R. F. Nixon: Would the Premier
consider adjusting the gasoline tax on a
regional basis so that those people who
would otherwise be hardest hit, particu-
larly in the north and certain other areas,
would not have to carry such an unfair
share of the burden of these increased
costs about which the Premier said he can
do nothing?
Interjections by hon. members.
Mr. Roy: He can't say he has no juris-
diction for that.
Hon. Mr. Davis: There are two issues
here. One is the overall cost of gasoline,
diesel or heating fuel related to whatever
the wellhead prices are and whatever the
cost is of refining the product. What the
Leader of the Opposition is referring to is
the possibility of a programme for equaliza-
tion of whatever that price may be aroimd
the Province of Ontario which we have
discussed here.
Mr. R. F. Nixon: That is right. What
about that?
Hon. Mr. Davis: This government is not
unsympathetic but one has to have a de-
gree of equity and the problem of equaliz-
ing prices between the various regions of
the province is not a simple issue to re-
solve.
Interjection by an hon. member.
Hon. Mr. Davis: We are not opposed
to the concept. We have done it in some
areas.
Mr. MacDonald: But he is opposed to
doing anything about it.
Hon. Mr. Davis: At the same time, Mr.
Speaker, one can't artificially say the price
will be less than it is now in northern
Ontario without accepting the fact that
people in southern Ontario in one way or
another, are going to pay a portion of that
equalization.
Mr. Lewis: No, the government just con-
trols the oil companies. That's not true.
Hon. Mr. Davis: What I said is true. It's
the only way one can do it.
Interjections by hon. members.
Hon. Mr. Davis: That's right— and so there
Mr. Lewis: If it was not for the NDP— ^^■
Mr. MacDonald: The government has done
it on liquor. Eaton's and Simpson's do it all
the time, but the government can't.
Mr. Speaker: There have been about three
or four supplementaries. I will permit one
more supplementary, and I think it should
be the turn of the Liberal Party.
Mr. Singer: Mr. Speaker, do I gather from
the Premier's remarks that inflation is uni-
versal, that there is nothing that can be done
about it except wage and price controls and
that Ontario will not enter into w^ge and
price controls and that is the end? Is nothing
going to be done by the Province of Ontario
to help those people on fixed incomes or
pensions, other dian saying it is universal and
we don't want wage and price controls?
Interjections by hon. members.
Mr. Lewis: There wiH be a tax credit in
the budget.
Hon. Mr. Davis: Mr. Speaker, I don't think
I said that at all. In fact, if anything, I think
I may have created the impression to the con-
trary. There are two aspects to the problem—
and I don't want to become an economist
again—
Interjections by hon. members.
An hon. member: He never has been one!
Hon. Mr. Davis: Well, I tried the other
day. One is the question of inflation; the
630
ONTARIO LEGISLATURE
other is what we can do to ease the problem
of inflation as it affects certain groups of
people.
An hon. member: Right,
Hon. Mr. Davis: But, Mr. Speaker, I think
that we have to differentiate between the two.
The hon. member for Downsview asked me
what we can do as a government with respect
to the overall problem of inflation. I am
telling him that we have been doing some-
thing, which the members opposite are not
supporting-
Mr. Singer: That's right. Throw your hands
up.
Interjections by hon. members.
Mr. Speaker: Order, order.
Interjections by hon. members.
Mr. Speaker: Order, please. Order.
Hon. Mr. Davis: I will quote the hon.
member for High Park: "There is no ques-
tion that the level of government expenditure
has an impact on inflation." But I will say, as
I said here the other day-
Interjections by hon. members.
Mr. MacDonald: And this goverrmient's ex-
penditures have gone up more than any other
in the country.
Mr. Speaker: Order.
Hon. Mr. Davis: —that this government,
with its programme of constraints, including
ceilings on educational expenditures, has an
anti-inflationary approach. If the members
opposite weren't so hypocritical, they would
support it.
An hon. member: And they know it's true!
Interjections by hon. members.
Mr. MacDonald: It's a good thing the gov-
ernment members waken up between 3 and
4 o'clock.
Mr. Speaker: Order. There have been a
reasonable number of supplementaries.
Mr. Lewis: In the choice between protec-
ting the oil companies and protecting the
public, the government chooses the oil com-
panies. They have made that choice.
Hon. Mr. Davis: That is not true.
Hon. Mr. Davis: Stephen, you know it is
not true.
Mr. Lewis: I do know it is true. And don't
call me Stephen, William.
Interjections by hon. members.
Mr. Speaker: Order, order.
Hon. Mr. Davis: You're lucky I don't call
you something else.
Mr. Lewis: Never mind. You won't seduce
me on a first-name basis, I'll tell you.
Mr. Speaker: Order, please.
Interjections by hon. members.
Mr. Lewis: Don't you make comments on
David's bed partners when you think of those
with whom you consort.
Mr. Speaker, may I ask the Minister of
Agriculture and Food-
Mr. Speaker: Yes, you may.
FUEL COSTS OF GREENHOUSE
GROWERS
Mr. Lewis: Thank you. What is the Min-
ister of Agriculture and Food going to do
about protecting the greenhouse growers in
southwestern Ontario in particular, against the
increase in fuel prices that is now imminent
because of the Texaco announcement that the
price of fuel for the greenhouse operators
would go to 26 cents per gallon, which is
double what it was in 1972? Is there anything
that tha province can do to prevent the
greenhouse growers of southwestern Ontario
spending up to half their total income on fuel
costs?
Hon. W. A. Stewart (Minister of Agricul-
ture and Food): Well, in the first place, Mr.
Speaker, the greenhouse growers of western
Ontario, as I understand it, have been assured
there will be no increase in those fuel prices
for about a month.
Mr. Lewis: No, they haven't been assured.
They hav^en't been assured!
Hon. Mr. Stewart:
assured.
Well, we have been
Mr. Lewis: Oh, a month. Excuse me.
Hon. Mr. Stewart: For a month.
Interjections by hon. members.
Mr. Lewis: Everybody is assured of that.
APRIL 2, 1974
631
Hon. Mr. Stewart: So that means, as I'm
sure my hon. friend is well aware, that there
will be very little requirement for the use
of fuels for heating greenhouses after May 1.
Hon. Mr. Grossman: Didn't the member
know that? Didn't he know that?
Hon. Mr. Stewart: I would think he would
be aware of it. Some behind him might not
be aware of it, but 1 am sure the hon.
member would be aware of it.
Mr. Lewis: I am. What about next year?
Interjections by hon. members.
Hon. Mr. Stewart: Mr. Speaker, I would
also suggest that because of the type and
variety of cucumbers that our greenhouse
growers are growing— and that is really the
problem of concern at this time— they are of
such a type that they command a premium
in the market today and are selling, not at
what I would say are exorbitant prices at all
but at prices I think reflect more accurately
the cost of production and a more reasonable
return than has ever been the case before.
Mr. R. F. Ruston (Essex-Kent): The NDP
wants to stop all that.
Hon. Mr. Stewart: Now I don't think that
our friends would want to see them take
less for their product. I believe that it is
sufiBciently rewarding to help oflFset some of
the admittedly increased costs we have to-
day.
Mr. E. J. Bounsall (Windsor West): Not if
the minister lets the imports in.
Mr. Speaker: Does the hon. member for
Scarborough West have further questions?
Mr. Lewis: Well, yes and no.
An hon. member: Mr. Speaker, I have one.
Mr. Speaker: I should inform the hon.
members that I have just received an anony-
mous letter.
Interjection by an hon. member.
Mr. Speaker: It says: "Mr. Speaker, you
have lost control."
Mr. Roy: I didn't send that.
Mr. Speaker: The hon. member for Ottawa
East.
Mr. Roy: If I might, Mr. Speaker—
An hon. member: Who introduced that
obscene literature into the House?
GASOLINE TRAVEL ADS
Mr. Roy: Mr. Speaker, if I might ask a
question of the Ministry of IndvLstry and
Tourism: Some time ago the mini.stry had
an advertisement in the US, which he had
to withdraw because of bad taste since it
was taking advantage of their gas shortage—
An hon. member: Question.
Mr. Roy: Would the minister advise us if
he reprimanded this firm for giving the min-
istry bad advice— that is the advertising firm?
Secondly, seeing the ministry had no contract
with them in any event, did he get rid of
their services?
An hon. member: What is the minister
doing about this matter?
Mr. Roy: Is the minister not going to
answer that? Is he going to sit there and
suck his thumb?
Hon. Mr. Bennett: Mr. Speaker, I can
assure you, if I answered by sucking my
thumb, sir, the member who asked the ques-
tion would be right at home because the
question is just alDout that intelligent. His
leader asked just about the same question on
Friday and if the member for Ottawa East
had been present he might have heard the
Mr. R. F. Nixon: No; it was a different
thing and the minister reprimanded him.
Hon. Mr. Bennett: I said very clearly on
Friday that on the advice of the federal
government to us we withdrew the part of
the ad that seemed to be offensive to them.
The firm that gave us the advice, sir, was
oiu-selves, because we believe that it was in
the interest of the province to put this in-
formation before our friends coming to the
Province of Ontario.
Mr. Speaker: Order.
Mr. Lewis: You could give them both a
pacifier, Mr. Speaker.
Hon. Mr. Bennett: We have an advertising
agency that does an excellent job for us.
They gave us advice and we accepted it. We
sat down and reviewed it, and we are still
of the belief that it could do some good for
the Province of Ontario. Now that the petro-
leum situation seems to have rectified itself
to some degree in the United States, the ad
seems to be well withdrawn.
May I also say, Mr. Speaker, that as a
result of the CBC and a few others objecting
632
ONTARIO LEGISLATURE
to the advertising, we have now secured more
free publicity right across this continent as a
result of the withdrawal; so the advertising
message that we were paying to put forward,
sir, is now being publicized as a courtesy of
the shareholders of the various news medias.
Mr. Roy: Mr. Speaker, can I ask just one
quick supplementary?
Mr. Lewis: Has the minister applauded his
advertising agency?
Mr. Speaker: Order.
Mr. Roy: Could the minister advise how
much money was wasted because of this mis-
take?
Hon. Mr. Bennett: None, Mr. Speaker.
Mr. Speaker: Supplementary?
An hon. member: No, it was a question.
Mr. Speaker: A new question should go to
the hon. member for Sandwich-Riverside.
WIND ENERGY SEMINAR
Mr. F. A. Buri- (Sandwich-Riverside): Mr.
Speaker, a question of the Minister of Energy
about the Very iniportant serhinar 6n wind
energy which is to be held next month in
Quebec: Has the minister yet been able to
secure permission from the Management
Board to leave the province for a day, or
to send some advisers or engineers to attend
this convention?
Mr. Bounsall: The rriinister is afraid he
may have too much wind.
Hon. Mr. McKeough: The matter has not
yet been decided.
MEETING WITH PRESS
Mr. Singer: Mr. Speaker, I have a question
of the Premier: Could the Premier advise us
whether or not the meeting planned on April
5 next with certain selected members of the
press, which will be a private meeting and
which is described by one McPhee as being
a frank and two-way discussion of problems
concerning coverage of provincial government
activities, is really another way of saying
that the Premier is trying to manage the
news because the papers haven't been too
kind to him and his government.
Mr. Breithaupt: It is another version of
"Laugh In."
Hon. Mr. Davis: Well Mr. Speaker, the
hon. member for Kitchener would know far
more about that than I would.
Mr. Breithaupt: I watch it every day.
Hon. Mr. Davis: I am sure he does and if
he spent more time, perhaps, studying what
he should be saying on the budget, he might
perhaps make a better contribution there
later on. It will be an interesting one for the
member to tackle.
Mr. Singer: In the meantime, back to the
news.
Hon. Mr. Davis: Mr. Speaker, I think I am
the last one who can be accused of ever at-
tempting to manage the news.
Mr. Lewis: I think that is right, if he does
try he does very badly at it.
Hon. Mr. Davis: I don't make the effort,
unlike the leader of the New Democratic
Party. I make no effort in that at all.
I would say that I am looking forward to
discussion with the managing editors of a
number of newspapers. It has been suggested
by two or three of them that it would make
sense, and I expect that I will learn' some-
thing from that particular meeting.
Mr. MacDonald: This is an effort to repair
the image of the government, and it desper-
ately needs it.
Mr. Singer: By way of supplementary, does
the Premier not think that he should have a
little chat with James McPhee and tell him
that if he is giving interviews they should
appear a little less damaging and not give
the appearance that the government is trying
to manage the news?
Hon. D. R. Timbrell (Minister Without
Portfolio): The member's question is quite
irrelevant.
Hon. Mr. Davis: Mr. Speaker, I am not in
a position to comment on any interviews
given by Mr. McPhee. In my humble opinion
he has given no interview that is at all dam-
aging to anyone.
Mr. Singer: It is certainly damaging over
there.
Hon. Mr. Davis: Well, not at all.
Mr Speaker: The hon member for York-
view.
Mr. Lewis: Is he on the Premier's personal
staff?
APRIL 2, 1974
633
Hon. Mr. Timbrell: I really don't know
what the relevance is of the question.
Mr. Singer: That's what the Premier hired
him for.
Mr. Speaker: Order.
Mr. Singer: The great new wave!
Mr Speaker: Order.
Hon. Mr. Davis: What did the member's
party hire Phil Ross for?
Mr. Speaker: Order, please!
Interjections by hon. members.
OIL PRICES
Mr. F. Young (Yorkview): Mr. Speaker, if
I could direct a question to the Minister of
Energ)', I'm sure he and I could discuss in a
quiet, reasonable way one phase of this energy
problem.
I would like to ask the minister, in view of
certain rumours that oil companies have very
large stocks of heating oil now in inventory
which might take them through the next six
months or so, is he planning to acquire from
the oil companies a list of their inventories,
which \\ill be used in the Province of Ontario,
so that he might think in terms of how the
increasing value of those inventories might be
applied to the benefit of the people rather
than of the corporations?
Hon. Mr. McKeough: Mr. Speaker, the
stocks of heating oil are high because they
were not used this winter because we had
such a mild winter. But I doubt very much-
Mr. R. M. Johnston (St. Catharines): The
sun shines on Ontario.
Hon. Mr. McKeough: —if there's anything
like six months' stock. There simply isn't. I
think that's one of the problems with the
industry and I don't know the solution to the
problem. There aren't storage facilities. The
time from wellhead to either the automobile
tank or to the consumer's heating oil tank is
something in the neighbourhood of 45 to 60
days— 45 on the average. If somebody did go
out to buy heating oil today, Lord knows
where they would store it, there simply isn't
that kind of storage.
Storage is very expensive, very diflScult to
build and is normally considered, I think, to
be poor economics and counterproductive.
Ideall)-, you get it from the wellhead through
the refinery to the consumer as quickly as
you can. There simply isn't that kind of stor-
age available. This may well manifest itself
in some marginal shortages, although we're
hopeful there won't be gasoline snortages.
They will be marginal shortages, if any, and
perhaps there will be none this spring, be-
cause heating oil was carried on for a longer
period and is in storage and wasn't used.
Mr. Speaker: The hon. member for York
Centre.
Mr. D. M. Deacon (York Centre): Mr.
Speaker, I have a question of the Minister of
Transportation and Communications.
Mr. MacDonald: I have a supplementary.
Mr. Speaker: Well, if the hon. members
would say supplementary so that I could hear
it, then we would recognize them.
Mr. Singer: Let the member for York South
speak up. He hasn't had enough experience
around here!
Mr. MacDonald: Is the minister in a posi-
tion to give us an independent assessment of
reserves in this instance and othervdse, instead
of accepting the self-serving provision of
statistics which has characterized the petro-
leum industry down through the years?
Hon. Mr. McKeough: Mr. Speaker, no, I
am not. I am prepared to accept— not the self-
serving interest-but the views put forward
from time to time and the statistics gathered
and evaluated by some 300 or 400 people at
the National Energy Board who are in that
business and who interpret the statistics.
Mr. MacDonald: Don't they get them from
the oil companies?
Hon. Mr. McKeough: We have no inten-
tion of duplicating that kind of information
gathering or statistics analysis in this province
or in my ministry.
Mr. Lewis: Well-
Hon. Mr. McKeough: I recognize that the
hon. member would like to expand the
bureaucracy and have information directors
everywhere.
Interjections by hon. members.
Mr. MacDonald: Supplementary question:
Does the Energy Board in Ottawa, whose ser-
vices the minister is willing to accept, get
their statistics by their own analysis and their
own investigation, or do they accept those of
the industry?
634
ONTARIO LEGISLATURE
Mr. Laughren: Never mind the red her-
rings.
Hon. Mr. McKeough: The hon. member
would employ, I suppose, the RCMP and go
out and search everybody and collect statis-
tics-
Mr. MacDonald: Answer my question.
Hon. Mr. McKeough: —because he doesn't
believe anything except what he wants to
believe. Well, we're not built that way over
here.
Interjections by hon. members.
Mr. MacDonald: He won't answer my ques-
tion because the minister knows they get
them from the industry.
Mr. Lewis: Well, since the minister is the
Minister of Energy and has all of these
figures, how would he like to tell the House
what the current inventory of home heating
fuel is in the Province of Ontario?
Hon. Mr. McKeough: I don't have those
figures with me, Mr. Speaker. They are avails
able.
Mt. Lewis: Where?
Hon. Mr. McKeough: They're available
from the National Energy Board and we are
led to believe that the country presently is
in good shape.
Mr. Lewis: This is the Province of Ontario.
Hon. Mr. McKeough: Perhaps the hon.
member would be perceptive enough to real-
ize that we've had a mild winter.
Mr. Renwick: Let the minister get the
figures.
Mr. Speaker: The hon, member for York-
view.
Mr. Young: A final supplementary: Could
I ask the minister if he will table those
figures in this House within the next couple
of days?
Mr. Lewis: The inventory figures.
Mr. Young: The inventory figures.
Hon. Mr. McKeough: We'll try and get
them for the member, yes,
Mr. Speaker: Now, the hon, member for
York Centre.
COMMUTER TICKET
INTERCHANGEABILITY
Mr. Deacon: I have a question of the Min-
ister of Transportation and Communications.
In order to make better use of an already
proven mode of public transportation by in-
creasing its flexibility, will the minister in-
struct GO Transit to arrange for the
interchangeability of commuter tickets on
common routes with CN and CP so that com-
muters can either use the trains or the GO
buses with their monthly commuter passes?
An hon. member: Good point.
Hon. Mr. Rhodes: Mr. Speaker, we'll have
to look into that proposal. I'll be glad to
receive it from him.
Mr. Roy: The minister doesn't understand
the question.
Mr. Deacon: A supplementary: Will the
minister arrange to confer with the chairman
of the railway transport committee, who is
very anxious that this type of interchange-
ability be brought about?
Hon. Mr. Rhodes : The oflBce is always open
to meet with anybody who would like to meet
with us. My door is open.
Mr. Speaker: The hon. member for Went-
worth.
INFORMATION SERVICES FUNDING
'Mr. Deans: Mr. Speaker, I have a ques-
tion of the Minister of Community and Social
Services. Is the minister aware that the fund-
ing for information services expired at the
end of March? Notwithstanding the state-
ment of his colleague the provincial secretary,
is the minister prepared to say categorically
that he will, or will not, continue to fund
information services groups across the Prov-
ince of Ontario? If he's not going to, how
does he propose that this very valuable service
be continued in areas like Hamilton?
Hon. R. Brunelle (Minister of Community
and Social Services): Mr, Speaker, we have
been funding somewhere around 15 informa-
tion services on an interim basis. If the hon.
member will give me the names of those that
he's inquiring about we will be pleased to
look into it,
Mr. Deans: Is the minister aware that the
interim financing ended at the end of March?
That was the day before yesterday.
APRIL 2, 1974
635
Is the minister aware that in spite of the
best e£Forts of the group involved in the
Hamilton area to get information with regard
to either further interim or permanent finan-
cing, they have come against a brick wall?
And is ths minister aware that their service
will be discontinued as of the end of this
month unless there is a clear indication from
the government of its intention?
Lastly, is the minister aware that he has
been procrastinating on financing in this field
for the last three years and it's time to make
it clear where he stands with regard to in-
formation services across the province?
Hon. Mr. Brunelle: Mr. Speaker, our policy
will be announced in due course.
Mr. Deans: A supplementary, Mr. Speaker-
Interjections by hon. members.
Mr. Speaker: Order.
Mr. Deans: —what is the purpose of due
course? How do they carry on beyond the
end of April?
Mr. Speaker: Order, please. There are just
a very few moments left. Two or three of the
other members would like to get a question
in. Perhaps we could restrain the supplemen-
taries.
Mr. Deans: How does that help?
Mr. Speaker: The hon. member for Lanark.
Mr. Deans: The money has run out.
CROP INSURANCE
Mr. D. J. Wiseman ( Lanark ) : Mr. Speaker,
I have a question of the Minister of Agricul-
ture and Food. Is it true, as I have heard,
that the crop insurance people are considering
dropping the planting date in eastern Ontario
or across the province and, if so, when will
our farmers know about it and by what
media?
Hon. Mr. Stewart: I will have to take the
question as notice, Mr. Speaker. I haven't
heard anything about it.
Mr. Speaker: The hon. the Solicitor Gen-
eral has the answer to a question asked
previously.
ALLEGED MAFIA ACTIVITIES
Hon. G. A. Kerr (Solicitor General): Mr.
Speaker, on Friday, March 29 last, the mem-
ber for High Park asked a two-part question
concerning the Ministry of the Solicitor Gen-
eral's co-operation witn American police au-
thorities in the investigation of the death of
one Harvey Leach in Michigan and the steps
being taken concerning any problem of the
washing, or laundering of criminal funds in
Toronto.
The Ontario Provincial Police were asked
by the Southfield, Mich., police department
for assistance in investigating the death of
Harvey Leach in Southfield. Investigation
continues and the Ontario Provincial Police
will continue to co-operate as they always do
in such cases.
The washing, or laundering of funds does
occur in Toronto. What this expression means,
simply put, is that money is transferred from
one point to another in order to hide the
identity of its source. This could be from
one province to another or from one country
to another. It is sometimes simply from one
business or account to another. The term
laundering is used when the transfers are
made to hide a criminal source of the funds.
However, such transfers are sometimes made
for the purpose of evading taxes on funds
earned from quite legitimate businesses or, on
occasion, such transfers are made to conceal
business information for competitive reasons.
Toronto is a sophisticated financial market
of international scale. For this reason it is an
attractive place for persons wishing to make
such financial transfers. It should be remem-
bered that the laundering transaction itself
is not illegal. Generally speaking, it is im-
possible to identify organized crime money
which may be washed or laundered in Can-
ada and then returned to the United States
as clean money or invested in legitimate Ca-
nadian or foreign enterprises.
It should be borne in mind that cash or
bank funds are, by their nature, anonymous in
themselves. To trace a laundering operation
we must first identify the source of the funds
and then prove that this money represented
the proceeds of criminal activity. We may
well be suspicious of a particular financial
transaction but to prove that the funds in-
volved were the proceeds of an illegal activity
is extremely difficult, indeed almost impossible.
Mr. Singer: Who wrote that?
Hon. Mr. Kerr: Presumably if the crim-
inal activity which yielded the revenue were
clearly identifiable the appropriate authori-
ties in the jurisdiction involved would have
ended the operation, making the subsequent
laundering and financial transaction impos-
sible.
636
ONTARIO LEGISLATURE
Mr. Roy: Are they still washing by hand?
Hon. Mr. Kerr: As members know the
OPP and other law enforcement agencies
continuously investigate suspicious activities
of this kind where an illegal activity can be
positively identified as such.
An hon. member: That's the trouble.
Hon. Mr. Kerr: The appropriate charges
are laid and the matter is dealt with in the
courts.
Mr. Shulman: One brief supplementary,
Mr, Speaker.
Mr. Speaker: There are about 30 seconds
remaining.
Mr. Shulman: If it is true, as the minister
says, that laundering of illegal money is not
illegal in this province would he consider
bringing in legislation to make it illegal?
Hon. Mr. Kerr: If the hon. member would
consider drafting legislation of that kind I
would be happy to consider it.
Mr. Speaker: That was a short 30 seconds.
I'll permit the hon. member for Waterloo
North.
HOUSING COSTS
Mr. E. R. Good (Waterloo North): Mr.
Speaker, a question of the Premier. Would
the Premier comment on the statement by Mr.
Shabera on W5 Sunday night, who stated that
if there were 10,000 serviced building lots
available in Metro Toronto it would bring
the price of lots down by $10,000 to $25,000?
What is he going to do? In view of the fact
that this opinion is held by many people
across the Province of Ontario what is he
going to do to provide more serviced building
lots in the areas of the province where there
is an emergency situation? In case I don't get
my supplementary in, Mr. Speaker, this is it:
Mr. Shabera stated that friends of the gov-
ernment-
Mr. Speaker: That is not a question.
Mr. Good: —and supporters of the govern-
ment would not allow this to happen. Does
the Premier agree that friends and supporters
of the government would not allow this to
happen because the values of buildings would
go down below the mortgages presently on
them?
Mr, Speaker: This will have to be a
short answer.
Hon. Mr. Davis: Mr. Speaker, in that I
didn't have the pleasure of seeing Mr.
Shabera and really am only familiar with
what the hon. member has said here, I will
read very carefully what he has said. I
don't want to presume to extend the ques-
tion period and I or the Minister of Hous-
ing (Mr. Handleman) perhaps will have a
fairly lengthy answer for him on Thursday.
Mr. Roy: Does the government have any
friends left?
Mr. Speaker: That completes the question
period.
Hon. Mr. Davis: I will find out how many.
Mr. Roy: I look forward to that.
Mr. Speaker: Petitions.
Presenting reports.
Mr. Morrow from the standing procedural
affairs committee, presented the committee's
report which was read as follows and
adopted:
Your committee has carefully examined
the following applications for private Acts
and finds the notices, as published in each
case, sufficient.
Waterloo- Wellington Airport;
City of Chatham;
Savings and Investment Trust;
Lake of the Woods District Hospital;
Town of Oakville;
Presbyterian Church Building Corp.;
City of Windsor;
City of Toronto (No. 2);
City of London.
Mr. Speaker: Motions.
Introduction of bills.
TOWN OF STRATHROY ACT
Mr. Eaton moves first reading of bill
intituled, An Act respecting the Town of
Strathroy.
Motion agreed to; first reading of the
bill.
HEALTH DISCIPLINES ACT
Hon. Mr. Miller moves first reading of
bill intituled, the Health Disciplines Act,
1974.
Motion agreed to; first reading of the
bill.
APRIL 2. 1974
637
BOROUGH OF NORTH YORK ACT
Mr. Bales moves first reading of bUl
intituled, An Act respecting the Borough
of North York.
Motion agreed to; first reading of the
bill.
VICTORIA HOSPITAL CORP. AND
THE WAR MEMORIAL CHILDREN'S
HOSPITAL OF WESTERN
ONTARIO ACT
Mr. Walker moves first reading of bill
intituled. An Act respecting Victoria Hos-
pital Corp. and the War Memorial Chil-
dren's Hospital of Western Ontario.
Motion agreed to; first reading of the
bill.
DOMINION CARTAGE LTD. AND
DOWNTOWN STORAGE CO. LTD.
ACT
Mr. MacBeth moves first reading of bill
intituled. An Act respecting Dominion Cart-
age Ltd. and Downtown Storage Co. Ltd.
Motion agreed to; first reading of the
bill.
Mr. Speaker: Orders of the day.
REGIONAL MUNICIPALITIES
AMENDMENT ACT
In the absence of Hon. Mr. White Hon.
Mr. Irvine, moves second reading of Bill
13, the Regional Municipalities Amendment
Act, 1974.
Mr. Speaker: The hon. member for Water-
loo North.
Mr. E. R. Good (Waterloo North): Mr.
Speaker, this bill deals with many of the
regional governments and it is legislation that
should have been put into the regional gov-
ernment bills, which I presume was over-
looked and forgotten, and consequentiy I will
just deal with it generally, taking tJhem aU
together rather than individually.
As you are aware, Mr. Speaker, when' a
municipality passes certain bylaws, approval
of those bylaws is required from some external
body, a minister of the Crown or a provincial
ministry, the Ontario Municipal Board, or a
provincial body or agency. In some instances,
during the process of waiting for approval
from the external body these municipalities
have ceased to exist and have become part of
a regional government.
I suppose, then, that when the regional
government has been formed, provision to
allow these procedures to continue had not
been made previously and the amendments to
these various regional governments will permit
this to happen. So we would find that if a
municipality had passed a zoning bylaw
which required approval of the ministry, and
during that approval stage that municipality
went into a regional government and ceased
to exist in its present form or continued to
exist in an alternate area government form
within the regional government, the bylaw
would not legally apply to the new govern-
ment, because it probably would have been
made out in a different municipahty's name
and would not become legal when it was
given approval by the external body.
This amendment, Mr. Speaker, will allow
the same bylaws that were awaiting approval
by the external body to become law in the
new jurisdiction in which that municipality
finds itself after the coming in of regional
government. There is one interesting case in
existence which this legislation pertains to
very vividly. If you will remember, Mr.
Speaker, Metropolitan Toronto had purchased
a considerable amount of land in Pickering
township— 600 acres originally, and eventual^
about 1,300 acres— and had applied for zoning
changes on the land and had also applied to
the Ministry of the Enviroimient for a licence
to establish a landfill site in this particular
area.
The OMB hearing on the zoning change
started and stopped because of the fact that
the OMB realized that what was their use of
allowing the zone change when at that point
in time there had not been an Enviroimiental
Hearing Board decision on the establishment
of the landfill site; neither had there been, of
course, a licence issued by the Ministry of
the Enviroimient. So the Ontario Municipal
Board proceeding stopped some time last year
and as yet has not been proceeded with, be-
cause of die fact that the minister's decision
for licensing tfiat particular area has not been
made.
The Environmental Hearing Board in that
particular case did recommend to the minister
that certain portions of the 1,300 acres, that
is, the southerly portion known as the— I am
sorry, I have forgotten the name-the southern
part of the part that was asked for, has been
recommended to get a licence. So in the
meantime, if the minister does decide to
license that area, there vill still have to be
638
ONTARIO LEGISLATURE
the OMB hearing to decide whether the land
should be rezoned for landfill sites. So I can
see that this legislation is of utmost import-
ance to the Metropolitan Toronto area in
order to get their landfill sites completed.
We in this party have very definite views
on this. And while we support the passage
of this legislation, which wall allow these by-
laws to continue through their normal pro-
cess for approval by an external body, we
want to go on record once again as support-
ing the position that only enough land should
be permitted to be developed for landfill sites
that will tide Metropolitan Toronto over until
there is a more satisfactory solution to the
subject, which of course is reclamation and
recycling and the use of garbage for steam.
Mr. Speaker, we will support the amend-
ments on that basis, hoping that the Minister
of the Environment will act prudently when
he is permitted by this legislation to issue a
licence and that the OMB will also act
prudently when they decide whether or not
to allow the rezoning bylaws to proceed in
Pickering tovwiship.
Mr. Speaker: The member for Ottawa
Centre.
Mr. M. Cassidy (Ottawa Centre): I just have
a couple of comments about the bill, Mr.
Speaker.
We are going to support the bill as well. I
think that when the various regional mimic-
ipalities were legislated into existence, what-
ever our feelings about those particular bills
in general, we had always assumed that any
bylaws from the preceding municipalities that
were dissolved or whose boundaries were
changed by legislation would automaticdly
continue and that the same would be true
for any proceedings that were currently imder
way before various boards, commissions,
agencies or ministries of the government.
Effectively, as the member for Waterloo
North has indicated, the purpose of this bill
is simply to permit Pickering's application
before the OMB for the garbage site, which
Metro Toronto wants to go forward, after
the restructuring of Pickering in the new re-
gional municipality of Durham. If you will
permit me, Mr. Speaker, I just want to make
one or two comments about that, because
while we support this and we feel that what-
ever the merits of Pickering township's deci-
sion, they have made their decision, it has
been approved now by the Environmental
Hearing Board and should go forward.
I think that the incentives that are still
available to large municipalities like Metro
Toronto and, for that matter, the regional
municipality of Ottawa-Carleton, to go dash-
ing across the countryside looking for land-
fill sites out in the surrounding rural areas,
are still tremendously high.
A few years ago it was simply a matter of
going and finding a site, talking to a local
reeve or two and then going ahead with the
plan. More recently it has also been a matter
of persuading the Environmental Hearing
Board and the Ministry of the Environment
that it was all right. But that is all.
For example, when the CPR went dashing
around looking for another site for Metro
Toronto, we saw that there was no real gain
for the local township involved, apart from
very small amounts of taxes and so on. In
fact, therefore, the economic system is not
working effectively to encourage municipali-
ties like Toronto to do what they should,
which is to process their landfill themselves,
as the city of Toronto has recently proposed.
Mr. Speaker, what I am saying, in other
words, is that for a party and a government
that believe in using the market, there may
be an instance here where, they could use-
fully—and vidth the agreement of this party-
find some application of the market system.
If Metro Toronto had to pay Pickering, in
addition to the costs of the applications to
the OMB and the Environmental Hearing
Board— if it had to pay Pickering not just the
cost of the land plus some local taxes at a
very low rate, but if there was in effect a
royalty on garbage that was taken out of
Metro Toronto's boundaries, one can imagine
that there would be a tremendously increased
incentive to Metro Toronto to accelerate its
experiments and projects in order to process
and deal with and dispose of and recycle its
garbage within Metro Toronto's boundaries
rather than taking it ouside. There would
be a greater incentive to find landfill sites
which could be used within the boundaries
of Metro Toronto rather than taking the
garbage outside.
However, Mr. Speaker, right now there is
not that incentive. Therefore, since nobody
particularly wants the garbage, what happens
is that these municipalities simply continue
to look wherever there is the least resistance
—in a local neighbouring municipality, some
township, or some sparsely populated area.
I think there even was the suggestion once
that the garbage be put on a train and be
sent up to northern Ontario, and since north-
ern Ontario had been getting the garbage
from Toronto for many, many years why that
was nothing new to them.
Mr. Speaker, I think it would be useful
if the ministry would indicate what other
APRIL 2, 1974
639
applications there are for this particular bill
besides the application that has been men-
tioned already, which is these garbage appli-
cations in Pickering township. That would
be useful when we get to that part of the
debate.
Mr. Speaker: The hon. memlx^r for Ottawa
East.
Mr. A. J. Roy (Ottawa East): Just one brief
question to the minister, Mr. Speaker. I no-
ticed in a cursory review of the bill that the
region of Niagara is not included in this bill.
Could the minister give some explanation as
to why that is the case?
Mr. Speaker: Any further members wish
to speak to this bill?
Mr. J. R. fireithaupt (Kitchener): Mr.
Speaker, I would just like to inquire of the
minister who is bringing the bill forward
if he is able to give us some additional
examples of other particular areas of legis-
lation that are involved beyond those of the
landfill sites, which I think are the most
particular items that are being stressed un-
der this legislation. I presume there were
other areas— and they could be, indeed, very
broad and general— in which certain munici-
palities may have had bylaws under way
but which were cut off at the time of the
amalgamation into regional municipalities.
I realize, of course, that the landfill sites
are the greatest particular area, but I am
just asking the minister, really, since there
is no real principle otherwise to be debated,
if he can advise us of any other particular
concerns that this bill is intending to
remedy?
Mr. Speaker: Any other hon. members
wish to speak to this bill?
Mr. S. Lewis (Scarborough West): Ob-
viously the principle of this bill will receive
support from around the Legislature. It was
prompted, I think— spawoied, I think— by
the confusion in a number of regional mu-
nicipalities, but particularly triggered by
the landfill reference that has already been
made.
What is implicit in this is the irony that
the passage of this bill to give effect to
the bylaws that existed prior to regional
government may well result in the Ontario
Municipal Board hearing the application
for the Pickering site and then approving
that application, since the Environmental
Hearing Board has already approved it
and since the Ministry of the Environment
has given it its certificate of approval. So,
Mr. Speaker, in coming before the Legis-
lature this bill should have some kind of
ministerial guarantee that the immediate
use of the bill will not be to turn more of
Pickering into a major sanitary landfill
operation.
That is the paradox of this legislation.
Inherently it makes sense. Paradoxically its
initial use will be to take 1,300 acres of
land in Pickering township and try to turn
them into a sanitary landfill area.
Mr. Speaker, as the hon. members know,
the so-called Liverpool site has been aflfirm-
ed without qualification by the Environ-
mental Hearing Board. The Brock south
and Brock north sites have been approved
with certain technical qualifications, and
Brock north is partly contingent on the
question of the airport and the efiFect that
birds around the Brock north site may have.
But the Liverpool site itself will provide
enough sanitary landfill disposal for the
Metropolitan Toronto area for the next three
to five years.
So it would really come back as a piece
of irony were this bill to be passed in the
House, given royal assent, and then rushed
into use to provide OMB approval for
Brock south and Brock north and do exactly
what every member of the government
alleges he doesn't want to do, which is
to deter the development of recycling and
reclamation by encouraging sanitary land-
fill in Pickering township.
I say to the minister responsible— and he
will say to me it is not his authority, I sup-
pose—in his reply, since we talk enough
about generalities in this House, he might
talk about the specific reality of how this
bill will be used immediately, and give
some kind of understanding to the Legis-
lature that the Minister of the Environ-
ment (Mr. W. Newman) or the cabinet will
step in to prevent Pickering township from
becoming a sophisticated garbage landfill
area and to prevent it from being turned
over to that kind of usage and to allow no
more than the Liverpool site to be thus ex-
ploited. It is a small matter perhaps but
absolutely central to the question of social
priorities in Ontario about recycling,
reclamation, recovery of energy-producing
goods and services. I think that's probably
a legitimate fact to introduce on second
reading in principle. I do so in the hc^>e
that the minister may carry it back to some
of his colleagues and perhaps make com-
ment on it himself.
640
ONTARIO LEGISLATURE
Mr. Speaker: Are there any further
speakers to this bill? If not, the hon. min-
ister.
Hon. D. R. Irvine (Minister without Port-
folio): Mr. Speaker, the intent of the bill,
as was stated previously, is to proceed with
any bylaws which haven't obtained approval.
We didn't specifically leave out Niagara. We
felt Niagara was covered by the Act we
have now in force; we also felt that the
regional bills covered the intent of this
particular amendment at the present time.
However, some of the regions we have
recently created have been in the process of
some discussions with solicitors as to the legal
intent of the regional Acts. What we are
doing by way of this legislation is supplemen-
ting the regional Acts and not in any way
whatsoever applying it only to the regional
municipality of Durham or to Pickering town-
ship, as has been mentioned by a couple of
the hon. members. This is to apply to all by-
laws which had been processed up to a
certain point but hadn't received final ap-
proval, as the member for Waterloo North
said. I think he has interpreted it quite
correctly; we feel that the area municipalities
must have this authority. We felt they did
have it.
However, we are bringing this forth so as
not to have the cost of having the bills de-
bated in court. We feel it is in the best
interests not only of the people in the area
but also of all solicitors to make sure there
isn't any doubt as to why and how the
regions may proceed with bylaws.
Motion agreed to; second reading of the
bill.
Mr. Speaker: Shall this bill be ordered for
third reading?
Agreed.
Clerk of the House: The second order, re-
suming the adjourned debate on the amend-
ment to the amendment to be motion for an
address in reply to the speech of the
Honourable the Lieutenant Governor at the
opening of the session.
THRONE SPEECH DEBATE
Mr. Speaker: The member for Ottawa
Centre.
Mr. M. Cassidy (Ottawa Centre): Thank
you very much, Mr. Speaker. I wanted to
thank the member for Simcoe Centre (Mr.
Evans) for his letter, which arrived on my
desk today in response to a lengthy letter I
had sent to Hydro, to the Minister of Agri-
culture and Food (Mr. Stewart), and a
number of members of cabinet. As I men-
tioned yesterday, the members of cabinet to a
man sent the letter to the member for Simcoe
Centre and told him to bail them out. He has
given me a letter which is helpful in a num-
ber of respects. I thank him for that.
Perhaps it is predictable that it doesn't
answer all the questions which I had raised,
and I am going to take issue with two points
in the letter. Before doing so, though, I
want to make it clear that as far as the mem-
ber's intervention in this is concerned, I am
doing this in a good spirit and not in an
attempt to nit-pick, point by point.
The first major area in the letter relates to
the questions of alternative means of con-
trolling or living with erosion on the 10-mile
stretch of the Madawaska River above the
Arnprior dam. I had stated in my letter that,
according to infomiation I had seen from
Hydro reports, there were a number of alter-
natives, costing between $1 million and $8
million, to buy up easements, to buy up the
shoreline, to build control weirs, to build a
control dam and so on. The member states
he was informed that these measures had
been considered by Hydro engineering and
geologists during their study of means of con-
trolling the bank erosion and stability prob-
lems, and later by the consultant, and that
each was rejected as unacceptable or in-
effective. He goes on to state, for example,
that the acquisition of easements or buying
of the river banks was diflBcult and was
rejected on the grounds of safety and en-
vironmental consequences. I quote:
It is very difficult to predict the extent
of consequences of future instabilities in
steep marine clay banks which are subject
to unbalanced forces, but there are hazards
both locally and downstream of a land-
slide.
Mr. Speaker, by themselves those may be
valid points, but one of the fundamental ques-
tions about this whole Arnprior dam is that,
faced with a project that was on the face of
it grossly uneconomic, there were never any
adequate studies that I have yet seen or had
drawn to my attention, to indicate that Hydro
really did look into the alternatives with the
kind of depth that one would wish.
These studies should have included hydro-
logical studies; a log of the level of the river
water during the various times that it was in
use; a log of the rate of erosion prior to
1969; a record of the remedial measures that
APRIL 2. 1974
Ml
were experimented with by Hydro subsequent
to 1969, when the river began this peaking
action, in order to curb erosion; a comparison
of the rate of natural erosion and any addi-
tional erosion that may have been created by
the fluctuations in river levels caused by
Hydro; a study of the erosion on the river
that was apparently created over the previous
20 years, when the level of the river varied
by two feet a day because of Hydro's oper-
ation of the plant for 10 hours a day; and
an exaluation of the public's aesthetic re-
sponse to leaving the river valley as it stood
with some erosion as opposed to obliterating
a very beautiful river valley and creating a
flat lake surrounded by flat terrain without
trees, without features and virtually unusable
for cottages.
Those are all questions that, in fact, I
raised at a meeting with Hydro some time
ago, and 1 have been unable to get any an-
swers to those questions. It appears that
those kinds of studies were not male. 1
wanted to know and I haven't found out
whether Hydro had ever built a major dam
to control erosion before; and if not then
why this particular time? I wanted to know
the log of the complaints, because the only
record that 1 could find from Hydro itself
indicated that only three or four complainants
had contacted Hydro from the area to be
flooded, from the area to be protected from
erosion, and that they were cottagers who
were quickly and expeditiously bought out.
I wanted to see some more documentary evi-
dence about the erosion.
This is a very curious thing. The member
for Simcoe Centre quite rightly raises the
point that Hydro had rejected alternatives,
such as those that I've been discussing, as
unacceptable or ineffective. But he and the
Hydro people who work for the commission
ha\e not provided the kind of satisfying evi-
dence that one would look for as a normal
kind of operation in a corporation as big and
presumably as competent as one expects
Hydro to be.
W'e have a project on which the engineer-
ing fees are running anywhere between $10
million and $20 million— 1 apologize that I
can't remember what the figure was, I believe
it was $12 million— and yet there's no evi-
dence that maybe half a million dollars, if
that was what was required, was spent in
order to make a detailed study of all of the
alternatives. The study of alternatives that
I've seen, Mr. Speaker, seems to indicate that
it was done in-house by people dovMi here,
and that they were simply playing around
with figures on the back of envelbpes rather
than getting up there looking at the ."site in
detail. The on-site investigations have been
admitted in a number of reports by Hydro
to have been very limited and to have been
mainly confined to whether the banks of the
reservoir would in fact contain the water,
and whether there were adequate founda-
tions for the dam.
That's fundamental to the whole question,
because if Hydro had done an exhaustive
and definitive study to show there was noth-
ing else that could be done than build the
dam, then clearly the Legislature wouldn't
be listening to me for two or three hours.
Hydro would have had the evidence. They
would have brought it out when the farmers
started to object. They would have .sat down,
months if not years ago, to discuss adequate
compensation with the farmers; and every-
body would have quickly agreed that there
was no other course than to build this
wretched dam. But Hydro has yet to provide
that convincing evidence and I would con-
tend, Mr. Speaker, that's because that con-
vincing evidence simply isn't there.
The second point on which I want to take
issue with the people who presumably pre-
pared this letter in conjunction with the mem-
ber for Simcoe Centre, that is with Hydro
direction, is on economics. In this letter of
March 29, the member for Simcoe Centre
states, and this is the first time that it's
stated:
Look, if we looked at fuel costs today
with the rising escalation since last fall,
in fact the Amprior project considered on
its own would be an economic source of
peaking power; and in fact it would be
about 30 per cent more economic than
any alternative, which would be an addition
to a large thermal or coal-fired pfent.
That's the first time that allegation has been
made. It is not supported by any kind of
working papers or other studies. I would
suggest, Mr. Speaker, that here too Hydro
has yet to provide any convincing evidence
that the peaking power at the Amprior plant
was: (a) required; and (b) that it is really
economic.
In fact taking from this particular docu-
ment, I would note that, for example, the
member for Simcoe Centre bases the com-
parison with coal-fired generation on the
basis of $1 per 100,000 btu's, which is 50 per
cent higher than the price that Hydro has
been using as the cost of US coal delivered
into Ontario as recently as Decc^mber, 1973.
That is after those major escalations and at
the time Hydro was committing, for 30 years.
642
ONTARIO LEGISLATURE
the production of that new and large plant.
This is Alberta coal, but obviously if Ameri-
can coal is available more cheaply you would
compare it against that.
The questions that need to be asked as far
as this is concerned, Mr. Speaker, are: First,
during the decade of the 1960s Hydro had,
on average, no more than about 10 per cent
excess capacity and it got through that period
of time quite well, except for the period' of
about 1966 or 1967; maybe it was 1965, at
that point it was very low in excess capacity.
It was down to a negative position at one
point, and that may have been around the
time of the great blackout which affected all
of the northeastemi United States as well as
Ontario.
The average level of excess capacity during
that period was 10 per cent. Yet during the
1970s it's going to be between 25 and 30 per
cent, which is something quite different, Mr.
Speaker. Moreover, not only is the margin of
spare capacity, which is now being questioned
by the Ontario Energy Board, something like
three times the margin of the 1960s, but dur-
ing most of the year that margin of excess
capacity is much higher than the 25 or 30
per cent one finds at the peak in December
when demand on Ontario Hydro is the
greatest. In fact it goes as high as 50 or 55
per cent margin of spare capacity in the
summer months.
In other words, if pealdng power was abso-
lutely essential, from the Stewartville plant
for example, but if the rush of water in the
spring and the summer was causing problems,
well there is a tremendous amount of excess
capacity in the Hydro system that would
permit the Stewartville plant to be used for
peaking power at the times of year when
most needed, which would be during the
three or four winter months.
Moreover, if hydraulic capacity had sud-
denly become so attractive, why is it that
there was no other new hydraulic capacity
coming on stream within Hydro as far ahead
as its planning extends, that is up until the
early 1980s? On the other hand, if hydraulic
capacity has now become so attractive, there
are approximately 35 sites around Ontario of
base load or of peaking hydraulic capacity.
When the Lower Notch plant was com-
pleted in 1971 Hydro said: "That's it. That's
the last hydraulic plant we're going to build."
And then as a sort of a stutter, as an after-
thought, it was decided to commit this plant
at Amprior. Now, suddenly. Hydro was put-
ting forward timetabled in its presentation to
the Ontario Energy Board that indicate that
during the 1980s it may be possible, it may
be desirable, to install a lot more hydraulic
capacity. Given the exceptionally high costs
of the peaking power coming from the Am-
prior plant, and given the fact that the power
from the Amprior plant is clearly not needed
when you have a 25 to 30 per cent excess of
capacity, then the question has to be asked:
Surely somewhere around the s\stem, some-
where around the province, there is deliver-
able peak power available from hydraulic re-
sources that are not yet developed, which
can come in and be useful at far less than
the price of the Amprior power?
Among other things, there are about 500
megawatts of power which can be cranked
out of the Niagara generating station for peak-
ing purposes with the necessary investment;
and when you are talking in chunks of power
that great, Mr. Speaker, it would suggest to
me that that is going to come in a lot cheaper
than the power from Amprior.
The next point is that to say that Amprior
power is cheaper than coal now clearh- begs
the question of whether it was economic
initially, and I am afraid that the information
that I have had from Hydro indicates that
the figures have been consistently stacked in
order to favour the Amprior project. I have
given information about that to Hydro and to
Mr. Evans, I don't want to read a lot of it
into the record— I have spoken a lot about
this— but the figures have been stacked and
I can provide evidence to prove it. In other
words, the alternatives have been down-
graded in order to make Amprior look more
attractive.
In his letter— which presumably had the
approval of the engineering people at Am-
prior, Mr. Evans talked about the use of Am-
prior pealdng power four hours a day. five
days a week, that is 1,040 hours per year.
Mr. Speaker: Order please. I might suggest
that it is customary to refer to the hon.
member by his riding rather than his name.
Mr. Cassidy: I apologize to the hon. mem-
ber and to you, Mr. Speaker.
The member for Simco© Centre, in his
letter, refers to this 1,040 hours of operation
for this plant, which we know is going to
cost $78 million if it doesn't go up from that.
Now the minimum cost at eight per cent
interest rate of running that plant, even if
you don't pay a nickel back in capital, is
about $6.3 million a year. And if you only
mn it for a thousand and a few hours at a
capacity of 78 megawatts you get about 81
or 82 gigawatt hours— I am leaming about
my technical terms— and if you want to cost
that out, Mr. Speaker, then the cost of that
APRIL 2. 1974
643
pealdng power is 77 mills per kilowatt hour,
7.7 cents per kilowatt hour— just about nine
or 10 times the cost of Hydro's bulk salfes to
industrial consumers and to the municipal
utilities.
Obviously, if we are going to be putting
up a project which is being justified because
it is cheaper than coal, and yet is going to
cost 10 times as much as the average price of
power— I admit that is the average— and if we
are going to do it on a system that basically
doesn't have the really high peaks and valleys
of demand that other power systems are con-
cerned with, then we are in a pretty desper-
ate crisis.
It does suggest, however, that one looks
at alternatives pretty closely. What the mem-
ber's letter on behalf of Hydro was saying
was that coal-fired power is going to cost
something over a dime per kilowatt hour, if it
is 30 per cent more expensive than this par-
ticular power; and frankly that just doesn't
square with the information which has been
made available by Hydro in the submissions
to the Ontario Energy Board.
If you want to take one example take
nuclear power, which you can generate for
nine or 10 mills per kilowatt hour. Run a
nuclear plant for a day and you get 240 mills
per 24 kilowatt hours over the course of a
day, and that means you get power all the
day long for less than the cost of generating
power from the Amprior plant for only four
hours. In other words, you get free power for
20 hours a day, and I am sure there is some
kind of market that could be found for it.
These kinds of economics, Mr. Speaker,
are not absolutely compelling. I admit that,
because I am not an engineer. I am simply
a layman with some knowledge of figures
and some understanding of this particular
question and maybe the ability to put a few
probing questions. It certainly does beg the
question about system alternatives, though,
and as to whether they have been looked at.
Hydro has something like 5,000 megawatts
of capacity of hydraulic power scattered
around the province. It doesn't take too much
thinking to imagine that perhaps some of that
existing hydraulic capacity could be changed
to peaking capacity if there was such a des-
perate need. Then the base level that would
be lost would be replaced by bringing in a
new nuclear plant, by accelerating the nu-
clear programme, by accelerating the thermal
programme, or perhaps by trying to find
somebody to buy it from elsewhere, although
I accept that's pretty diflBcult.
If pealdng power is going to be so ex-
pensive to Hydro, then one can also ask:
What would be the cost of an advertising
campaign to get people to turn off their
lights between 4 and 6 o'clock in the after-
noon in order to shave the peak by the extent
that's needed in order to prevent the need
for the Amprior plant and other similar plants
that would be as expensive?
Or what about the possibiilty of finding
industries that are willing to run their plants
for 20 hours a day but not to run them
between 9 and 11 and between 4 and 6—
that is the four peak hours— in order that the
power diverted from industry could be turned
into the general system to meet the peaks;
and therefore again prevent the need for
building this very expensive peaking power
plant.
Or for that matter, Mr. Speaker, what
about gas turbines, which run on oil— dare I
say the word? They are not a particularly
attractive solution right now in view of what
has been happening with oil prices, but the
governments of this country, provincial and
federal, have just made a decision about
future oil prices that says we will have rela-
tively moderate escalation from $6 a barrel.
And Hydro itself estimates that by the time
the price gets up to the equivalent of $1 per
million Btu, synthetic oils can be produced
to be competitive with natural oil. In other
words, there is a point at which the tre-
mendous reserves of the oil sands will be-
come available for firing, among other things,
gas turbines in this particular province.
People in the industry have announced
contracts which indicate that gas turbines are
available for about $100 per Idlowatt-hour
capacity, about one-tenth of the cost of the
Amprior plant, and that the cost of operating
them at current oil prices is of the order of
25 mills per kilowatt-hour on a peaking basis.
It is not very attractive, but when we are
looking at power that costs three times as
much, as in the Amprior project, then it does
look pretty attractive.
Less than a year ago, in April, 1973, Task
Force Hydro estimated that the old-fashioned
steam turbines had a marginal cost for pro-
ducing electricity of four to seven mills, and
that the costs of emergency supplies, such as
power produced by turbines, which accounted
for only one or two per cent of Hydro's
needs, were up to 30 mills. Again, Mr.
Speaker, that is a long shot short of the cost
of power from this Amprior dam.
As I say, I'm not in a position to con-
clusively prove anything about the dam. I
am in a position to raise these questions
because they have not been satisfactorily
644
ONTARIO LEGISLATURE
answered, and the questions are sufficiently
compelling that I think Hydro has a responsi-
bilit\- to indicate to the public, to this
Legislature and to the Energy Board that
the people who made its decision and the
people who recommend projects to its senior
management are not a bunch of nincom-
poops and fools, because frankly there is
a grave suspicion that they've been acting
just in that manner,
Mr. Speaker, I want to suggest a couple
of alternatives as far as the Amprior pro-
ject is concerned. In the first place I want
to point out to the House that there has
not l^een any major investment by the pro-
vincial government in infrastructure in
eastern Ontario in order to help its develop-
ment during the last two or three years.
The most that we've seen is some continued
work on Highways 417 and 416— and that's
it; nothing else. As usual, Metro Toronto
and the Toronto-centred region gets most
of the government's attention.
Now if $50 million or $60 million had
been made available for the creation of in-
dustrial parks, for the improvement of rail
and road transportation facilities, for invest-
ment for year-round tourism, say in Ren-
frew county and so on, it would have been
a terrific shot in the arm to a region of
the province second only to northern On-
tario in its degree of underdevelopment
and which, apart from the Ottawa area, is
in some pretty serious economic straits from
time to time. That is an alternative use of
the money which, instead, is going into an
Amprior dam and will not create one
single continuing job.
I am sorry the government hasn't thought
in those terms. I am sorry that when it
was contemplating through Hydro the in-
vestment of such a large sum in the region,
that it didn't go to the people in the area
and say: "Look, given the alternatives of
this for the Madawaska River, or this for the
economic development in the region, which
would you prefer"— and get some kind of
indication of public feeling. Because I don't
think the public feeling, if the question had
been posed that way, would have been all
that positive for the Amprior dam.
The only reason it was positive for the
dam when it was first broached in the area
was: First, that people were given no
alternative; second, only a very limited
number of people were consulted, and they
were mainly people in a position to benefit
directly to the temporary creation of jobs;
third, there was no information made avail-
able to them about the deleterious or harm-
ful consequences of the particular project.
I would like to suggest that in a pro-
gramme of public participation, that Hydro
could have been quite frank with the people
of Renfrew county and the other areas
affected in the lower stretch of the Mada-
waska River about the problems that it knew
existed with erosion on that part of the
Madawaska River.
Officials could have said: "Look, we think
that we may have made a mistake when
we built that dam at Stewartville and de-
cided to use it for only four hours a day. We
want to explore with you the means by
which we can get maximum benefit out of
the dam while causing the minimum dis-
ruption and damage in the area down-
stream. We are prepared to act as good
public, corporate citizens in this area and
we are prepared to try to find some satis-
factory solution which will enhance the
area and will compensate for any erosion
damage that the Hydro dam may have
been causing"— an open and frank kind of
admission that something needed to be
done.
I would suggest, for example, what Hydro
might well have done would have been the
following:
In the first place, it made a lot of sense
that it should acquire the cottages— because
obviously for cottage owners along that
portion of the river it was not tenable to
have water levels which might vary by as
much as 4 ft or 5 ft during the course of
a day or a weekend; and they were the
ones who were generating the complaint.
Second, as far as the farmers in the area
are concerned, they should have been
offered the alternative of either selling their
riverfront land to Hydro or else selling ease-
ments to Hydro. This, in effect, would allow
Hydro use of the shore frontage and would
also protect Hydro from claims for damages
in the case of any slumping of the banks.
Third, it's clear that the cost of a weir
across the river is something less than
$900,000. You may be able to build them
for maybe $400,000 or $500,000; the figures
from Hydro aren't very clear. It would there-
fore have been possible to go forward with
the proposal for a campsite near Waba
Creek— just near the site of the dam which
is now being built— for a small amount of
money.
It would have been possible to put in
maybe two or three weirs in order to pro-
vide a measure of control of the river,
APRIL 2, 1974
645
to slow down its velocity and to create
better recreational facilities for boating and
so on and in order to slow down the way
in which any of the water was attacking
the riverside. Now those weirs might have
cost, say, $2 million together with the
campground investment and other recrea-
tional facilities.
Again, I don't know; I throw out the
ideas. But I do know that the cost of the
weirs themselves was very modest, was less
than $1 million dollars for each one, because
those are figures that were estimated by the
Hydro people.
And thirdly, in the area below where the
dam is being built, there were complaints
from the town of Arnprior about its water
intake on a sewer line, and from the marina
operator; things like that. I suggest that Hy-
dro could have come forward and been very
generous with the town of Arnprior in offer-
ing, let's say up to a couple of million dollars
for major recreational development of the
waterfront along that two-mile stretch for a
transfer of the pollution control plant and
the sewage plant to the other end of town,
along with the related costs that would be
involved in order that there could be a major
river-front park that would be a tourist at-
traction and be of service, not just to people
of the area but also to people from Ottawa-
Carleton only a 40 or 50-minute drive away.
Those three items, Mr. Speaker, would have
cost about $6 million.
I suggest, in addition, that Hydro could
have made a commitment to people in the
area that it was prepared to spend on sum-
mer employees up to maybe $200,000 to
$250,000 a year in order that they would
develop, maintain and repair from erosion
the banks of this 10-mile stretch of river. 1
think that the whole valley could then have
been developed for recreational purposes, or
what is known as linear recreation now.
There is a tremendous movement concerned
>vith trails in the province right now. Wheth-
er snowmobile trails that snake sometimes for
dozens of miles between various points in
the north, cross-country skiing trails or hiking
trails, like the Bruce and Rideau trails;
there s a tremendous attraction in trails now-
adays. This particular valley, which is par-
ticularly beautiful and very accessible to
Ottawa, would have been a good place to
have experimented with that.
There would still have been some erosion
in the valley. The valley has been naturally
subject to erosion since God created it, and
if you will, Hydro might have had even an
interpretative programme which would have
talked among other things about the way in
which erosion takes place.
In view of the fact that the peak demands
for Hydro are in the wintertime, Hydro could
have cut back or even shut down its gen-
erating plant at Stewartville and kept the
level of the river relatively constant during
the months of high recreational use without,
really, any particular loss, because there are
ample other economic sources of peaking
power available to Hydro during the months
of the spring, summer and the early fall.
In other words, for maybe $6 million or
$7 million Hydro could have created a tre-
mendously attractive recreation area. It
would have involved local people in a de-
termination of what they wanted to do with
their valley. It would possibly have had their
understanding and acquiescence in measures
which would have mitigated the erosion, par-
ticularly when it became clear that the $78
million alternative is also an alternative to
mitigate erosion and not to end it entirely.
As I know the former \'ice-chairman is aware,
Hydro has been saying again and again that
this is not a final solution to erosion, but
that the proposed lake behind the dam will
greatly improve slope stability and greatiy
reduce erosion.
The measures I'm suggesting could also
have greatly improved the stability and
greatly reduced erosion, not perhaps to the
same extent but to an extent that might have
been acceptable to the people in the area,
given the fact that for 20 years they've had
the river going up and down and apparently
there haven't been any particular complaints
about it. If there had been, they weren't
noted in the documents that Hydro has been
preparing. It may be that people in the area
would have rejected this whole idea out of
hand.
It seems to me, though, that it would have
been a prudent thing for Hydro to do, to
have studied in detail the hydrology and the
geology of the erosion and to have full de-
tails available for local people to imderstand
and to have helped Hydro to assess the risks
of any major slumping or major landfalls such
as was referred to in the member for Simcoe
Centre's fetter. Then it would have been
prudent for them to consider an alternative
that would develop a valley which, in fact,
has tremendous recreational potential into a
recreational resource; and which would have
at the same time allowed the farmers in the
area to have retained their farmland, to have
retained their pasture, and their timber land,
and to have kept their farms, which in some
646
ONTARIO LEGISLATURE
cases have been in the same families for more
than a century.
If you wanted to cost that kind of pro-
gramme, Mr. Speaker, very simply the cost
of protecting all or part of the peaking ca-
pacity of the Stewartville plant upstream
would have been minimal compared with the
costs projected for this full dam now being
built. Since one of the justifications or ration^
ales for the Amprior dam has been that it
protected the Stewartville dam, it seems to
me it would have been prudent that other and
cheaper measures to protect the Stewartville
dam might also have been explored.
Unfortunately, they were rejected out of
hand by a bunch of damn builders who could
see nothing else in sight but to build a big
dam and who didn't understand there were
other and more sensible alternatives which
ought to have been thoroughly and com-
pletely explored. They are throwing away $60
milhon or $70 million. If the alternative I am
talking about would have been acceptable to
people in the area— I would suggest that if
the people in the area were taken into Hydro's
confidence, as they haven't been, they would
have been prepared to accept a reasonable
kind of alternative like that. If Hydro said to
them at the outset: "We have a problem. We
think we blew it but we really can't justify
spending $80 million or $90 million on only
10 miles of river," a lot of people would say:
"Okay, that is a reasonable position."
Didn't Hydro itself make some rather
pejorative comment about the environmental
ethics of the people in the area? Let us leave
that by the by. There were alternatives and
they have never been adequately explored'.
Mr. Speaker, I want to go back briefly over
the main points here which would back my
contention that even though $7 million or $8
million have been spent on this particular
project, it is time to stop it now. It is time to
stop it; to suspend the existing contract to
Pitts; and to run the risk of having to pay them
a million or so for cancellation because the
major part of this investment, some $70
milhon, has yet to be spent. That $70 million
is not an economic or desirable investment
for the province or for Hydro by any of the
evidence which we have before us.
I would suggest, Mr. Speaker, there have
been so many unusual or irregular things
about this particular project that there is a
compelling case for Hydro to cany out its
commitment to public participation now, and
for either Hydro or the government to hold a
full public inquiry at which all of the alter-
natives can be explored.
If we look at the record we start out with
untendered contracts to Acres; an un tendered
contract to Pitts; the conflict of interest be-
tween the consulting firm and the contractor
who has the two major contracts; the political
ramifications of the timing of this particular
project announced two weeks before the re-
election of the member for Renfrew South
(Mr. Yakabuski); the loss of farmland at a
time when people across the province are con-
cerned with the loss of farmland; the cavalier
attitude of this government, and of Hydro in
particular, to agricultural land; the unneces-
sary loss of farmland in view of alternatives
which have not been adequately explored; the
incompetent handling of land acquisition on
the part of Hydro; the compelling and over-
whelming evidence of inadequate study of
erosion, of the hydrology of the alternatives
to the scheme; the suppression of information
by the president of Hydro, by the former vice-
chairman of Hydro, now by the member for
Simcoe Centre, and by the Minister of Energy
(Mr. McKeough), which has been subse-
quently in fact endorsed by the Premier (Mr.
Davis) himself; and the fact that on the
figures now available the power is going to
cost something like nine to 10 times more
than what power is being sold for by Hydro.
Surely, somewhere, in the people's sensi-
tive antenna, the alarm bells will start to
ring when that kind of thing is happening,
Mr. Speaker, and they will say: "We've got
to stop." I urge the government to stop the
project, to hold an inquiry, to table all the
facts, to make them available to the Legis-
lature and to other people who have a con-
cern with this matter and to come clean on
this particular project because otherwise the
charge that this is a political dam brought
into being purely for the re-election of the
member for Renfrew South will stand as
proved throughout his political record.
Mr. P. J. Yakabuski (Renfrew South): That's
a lot of nonsense. On a point of order, we
listened to that nonsense all yesterday after-
noon and again today; and he knows as well
as I know that not one voter in Renfrew
South would believe one word of it. It is
absolute garbage.
Mr. Roy: That is not a point of order.
Sit down.
Mr. Speaker: Order please.
Interjections by hon. members.
Mr. Speaker: The hon. member for Ren-
frew South will have every opportunity to
speak later.
APRIL 2. 1974
647
Mr. Yakabuski: It is absolute earbage. He
knows that. The member either knows it or
he is very far away from the pulse of the
people.
Mr. Speaker: Order please.
Mr. Yakabuski: It's utter garbage. That is
what it is.
An hon. member: He should get his own
hall.
Mr. Cassidy: I would suggest that possibly
the member for Renfrew South himself might
be the best person to provide the evidence
which has been suppressed and denied to
the House, to provide the proof that Hydro
did do the studies beforehand, to get a public
inquiry into this matter-
Interjections by hon. members.
Mr. Speaker: Order please. The hon. mem-
ber for Ottawa Centre has the floor. The
member for Renfrew South may reply later
if he wishes, in his turn in the debate.
Interjections by hon. members.
Mr. Cassidy: I just simply suggest, Mr.
Speaker, that unless there is an inquiry to
get all the facts on the table, and unless all
the information is tabled to prove otherwise,
we can only assume that this is a political
dam built for the member for Renfrew South.
Interjections by hon. members.
Mr. Speaker: The member for Scarborough
Centre.
Interjections by hon. members.
Mr. Speaker: Is it the member for Scar-
borough Centre or the member for Prince
Edward-Lennox next?
Mr. F. Drea (Scarborough Centre): The
what? No, I was next, Mr. Speaker.
Mr. Speaker: It was my understanding
that the member for Prince Edward-Lennox
was to be allowed to continue his remarks,
which were interrupted at an earlier date.
Mr. J. A. Taylor (Prince Edward-Lennox):
Thank you, Mr. Speaker, for permitting me
to continue with my remarks. I was inter-
rupted at an earlier date, as you stated, and
I was thinking for a moment that interruption
might become permanent.
Mr. Roy: By whom?
Mr. Taylor: If you had sat here for the
last Neveral days, Mr. Speaker, I think you
would understand the significance of my
remarks.
Mr. E. W. Martel (Sudbury East): It em-
barrassed him, that's all.
Mr. Taylor: As a matter of fact, now that
the member raises this, and before I get on
with some of the points I would like to
make, there is an old Arab proverb and it
might be worthwhile just reciting it. "He
who knows and knows that he knows is wise;
follow him. He who knows and knows not
that he knows is asleep; wake him. He who
knows not and knows not that he knows not
is a fool; shun him."
Mr. Roy: That is good stuflF.
Mr. Taylor: Yes. As a matter of fact there
is just one little bit left that members might
want to use some time, and it says: "He
who knows not and knows that he knows
not is a child; teach him."
Mr. Martel: This is just like my Sunday
school class.
Mr. Taylor: Is that too subtle for the
member?
The Speech from the Throne stated in part
that tourist operations, small businesses and
service industries will benefit from improved
loan programmes and financial assistance
from the three provincial development corpo-
rations.
Mr. Martel: That's been said for the last
five years.
Mr. Taylor: Operators of small business
establishments will receive more help and
advice in solving management problems. I
must say that I am sure the intent of that is
to further amplify the existing government
programmes, because we have had govern-
ment sponsored programmes to assist the
tourist industry in the past. As you know,
Mr. Speaker, tne maximum amount of a loan
for a tourist operator was $75,000 and it is
my understanding that the ceiling has been
raised so that as of now loans up to half a
million dollars can be made by the province-
Mr. Martel: With a million dollars in
funds!
Mr. Taylor: —at a very attractive interest
rate of six per cent and rejxayable over a
term of 15 years. I think that is certainly an
incentive to the development of our tourist
industry. And when I say development I am
not only speaking in terms of new capital
works but also the upgrading of existing
648
ONTARIO LEGISLATURE
establishments, such as the hotels, inotels and
marinas and that type of thing. I also say that
this includes special attractions such as minia-
ture golf courses, restaurants in conjunction
with these tourist establishments and so forth.
Members may realize it wasn't long ago
that tourist operators had a very very difficult
time in raising any conventional money at all,
and if they could it was in the realm of at
least 14 per cent interest per annum.
It certainly is a programme that should be
accelerated, if anything, and additional assist-
ance given to the tourist industry.
In speaking about the tourist industry, I
would like to say that for some time a num-
ber of the members from the eastern parts of
Ontario have been trying to get a tourist
information centre established somewhere on
Highway 401, east of Toronto. If such a
centre were established— and I'm talking in
terms of a centre much like the centre just
south of Barrie— then that centre would pro-
vide information and a stimulus to the travel-
ling public to further explore the various facil-
ities and attractions that we have in eastern
Ontario, and it would be a boon to at least
30 ridings.
Mr. J. E. Stokes (Thunder Bay): Did the
member speak to the minister about it? Did
the minister travel there last summer?
Mr. Taylor: I must say, Mr. Speaker, in
response to my friend from the Lakehead
area, that I have spoken to the minister on a
number of occasions-
Mr. D. M. Deacon (York Centre): Thunder
Bay.
Mr. Taylor: —as he may also have done. I
have spoken to him in conjunction with a
number of the members from the eastern
ridings.
Mr. Stokes: I'd be happy to put in a good
word for the member.
Mr. Taylor: We've had many good words,
and we hope that the opposition will further
assist—
Mr. Martel: By all means.
Mr. Taylor: —the representations we have
made in this direction, for the simple reason
that it would be a great boon, as I say, to the
eastern part of the province, and I think it
should be carried out as soon as possible.
Mr. Martel: When does he want it?
Mr. Taylor: Well, that's one item, Mr.
Speaker, for which we have the wholehearted
endorsement of the NDP. I'm sure that will—
An hon. member: Carry a lot of weight.
Mr. Martel: When does he want the fund-
ing?
Mr. Taylor: —add some credibility to that
party's stance in my particular area,
Mr. Martel: There'll be money next week.
Mr. Taylor: The Throne Speech also men-
tioned the operators of small business estab-
lishments receiving advice in solving manage-
ment problems, as I said a few moments ago.
I might say that the Ministr>- of Industry
and Tourism, in conjunction with the Ministry
of Colleges and Universities, now has a pro-
gramme which is underwriting a university
advisory group to the extent of some $400,000
and utilizes the expertise and training of uni-
versity students in senior years. These stu-
dents—who would be from administration,
finance and similar disciplines-could go into
the countryside and assist small business oper-
ators to analyze their particular operations
and to determine where changes might best
be made in order to further facilitate their
business operations and make it more profit-
able for them to carry on.
I think the programme has worked out very
well, and I might say that Imperial Oil put up
some $80,000 this past year to assist with that
programme, and should be commended for
doing this. The programme, in my view,
should be further encouraged and ex-panded.
I might also say that the appointment of
James Joyce as the first fulltime chairman
of the Ontario Development Corp. is an
excellent move and an excellent choice. I
think he will lend a great deal of back-
ground and business experience to that par-
ticular post, and I think it will certainly
assist the corporation in its objectives.
Before moving on, I would like to com-
ment on the food establishments in the
service centres on Highway 401. It is my
understanding they are establishments that
are rented out, or tendered out, by the
province through the Ministry of Trans-
portation and Communications. I think
greater attention should be paid to the
particular facilities that they have, and more
specifically to their food operations and the
service they render to the public. After all,
they are really on the frontier of our tourist
industry. The travelling public first comes
into contact with many parts of our area
APRIL 2, 1974
649
through dropping in for gasoline and for a
bite to eat.
In some cases, I think, these facilities
could be improved a great deal. It may be
that the amount being extracted in terms
of payment for these facilities is too great
because it is bound to be reflected, and I'm
sure it is reflected, in the food and the
service that one experiences at these places.
Mr. Speaker, mention was made in the
Throne Speech of proposed legislation with
regard to consumer product warranties and
guarantees to order to provide better pro-
tection for consumers, new redress pro-
cedures and more flexible means of ad-
ministration. Legislation, it was stated, will
also be introduced to protect the consumer
from unfair and unacceptable trade and
business practices. It is my view this move
is long overdue.
I think the dollar is fast losing its in-
tegrity, and I think the consumer's pur-
chasing power is shrinking, and it's shrinking
for a number of reasons. First of all, we have
the erosion of the dollar itself through in-
flation. Secondly, we have the production of
inferior products and the passing off^ of these
products without a reduction in the price.
Mr. Stokes: Proctor-Silex.
Mr. Taylor: In other words, we have
shoddy workmanship and we have poor
materials.
If one, for example, looks at the evolu-
tion of the garbage bag in this province-
it may be a rather simple example— but the
members may recollect that the industry
did quite a selling job in order to intro-
duce plastic garbage bags in lieu of the
normal garbage container or the garbage
can. Most municipalities had municipal by-
laws that specified the type of garbage con-
tainer—normally a metal container with a
tight-fitting lid. These bylaws provided for
this particular facility.
Of course, the industry had to convince
the municipalities the garbage bag would
be a suitable alternative, and as a matter of
fact would have many advantages. It under-
took a programme of distributing plastic
garbage bags. As a matter of fact, they were
delivered to many households free of charge
in order to induce the householder to use
these containers.
At that time, the thickness of the bag was
such that it would actually hold what one
was putting into it. If you look at the
evolution of that bag, it's like the evolution
of the automobile in terms of the amount
of metal that's being put into a car these
days. It's deteriorated to such an extent
that the thing is worn out l>efore you can
get it on the street.
That's a deterioration in the dollar, really,
])ecause while the price is going up the
quality is going down. That's just one ex-
ample.
You have a cutting back— whidi is a third
way in which we experience the dollar shrink-
ing—a cutting back of the contents in the
package or in the container. The candy bar
is an example of this.
Again, one can see what has happened to
the ordinary chocolate bar. There is a big
wrapper and a piece of cardboard to give it
some form, ancl of course the contents are
very small. One can maintain the qualit\', but
at the same time, they are shipping air.
Cereal boxes are another exampfe. They
may be only two-thirds filled. Opaque con-
tainers are another example, insofar as they
are used for products that people purchase;
whether they be single-wallea or double-
walled containers.
We have seen these products advertised on
television, but it applies to any type of
opaque container where one really cannot see
the contents. The weight may be put on as
the number of fluid ounces contained, but that
becomes even more complicated for the con-
sumer with conversion to the metric s\-stem.
Instead of the public experiencing an
economy with rising expectations, I think they
are experiencing the biggest ripoff, since
probably Gypsy Rose Lee first disrobed on a
public platform.
This whole question can be extended into
housing. Yesterday we discussed a private
member's bill dealing with warranties on
houses; and I think there is merit in the con-
cept. But in my estimation the problem goes
deeper.
The member for York-Forest Hill (Mr.
Givens) gave as an example the motor indus-
try projecting an image of stability, with pur-
chasers having some satisfaction in that they
were dealing with a corporation that was large
enough and sensitive enough of its image to
produce a proper product or a product that
was not shoddy.
I question whether that premise can reall\
be accepted. I think if one looks back on the
evolution of the automobile, not only in
styling but contents, one can see how the
material has really evolved— the thickness of
the metals; the workmanship; the way cars
are put together in terms of fittings, trim and
650
ONTARIO LEGISLATURE
It is a very diflBcuIt area, because we are
really dealing with attitudes. We are dealing
with workers; we are dealing with the people
who put these things together; we are deahng
with some manufacturers who are not keen
to produce a quality product.
The green paper on Ontario consumer
product warranties says on page 26, paragraph
13, that the Consumer Protection Bureau Act
should provide the establishment and execu-
tion of a programme of consumer product
testing, and performance evaluation should be
a function of the bureau.
I think this is really vital to any legislation
that is introduced. If one is talking about
consumer product warranties, it is not just
a question of amending the existing Sale of
Goods Act and making more conditions or
warranties mandatory or part of the contract
and doing away with disclaimers. I think it
goes further than that.
It is really a matter of testing the products
—seeing what is made, seeing what is
marketed, seeing how the products are ser-
viced; probably going around and making
independent investigations of how these
products stand up and what type of product
servicing is available.
We are confronted today with the idea that
you don't fix anything; you throw it out and
replace it.
Mr. Martel: The member's corporate friends
are doing that.
Mr. Taylor: The planned obsolescence con-
cept has taken over to such an extent that
there is very little that is being repaired.
It's so complicated a consumer doesn't
know. If he is going to get his automobile
fixed, for example, even if he stood over the
mechanic while he did it, the owner would
wonder what he was doing. He'd probably
see a sign before he got as far as the
mechanic saying: "The public is not permitted
past this particular point." So the member
of the public is discouraged from seeing what
is being done on his automobilte.
He is further kept in the dark as to what
in fact has been done, or whether in fact it
was done. The automobile owner may have
a representation in some cases that certain
repairs are being performed when in fact they
are not being performed.
Again we have this type of activity or con-
sumer ripoff that I think must be looked
into. It must be investigated. It's implicit in
the marketing of any product that the repair
service follow that particular product. I think
we have to start with these bigger products.
Mr. Martel: Not too many from the cabinet
listening to that.
Mr. Taylor: My friend from York-Forest
Hill mentioned that the biggest purchase a
person may make in his lifetime is a home.
The biggest single purchase probably is a
home, but when one figures the turnover of
cars because, as I say, of the inferior quality
of materials and workmanship that goes into
those cars with their planned or built-in ob-
solescence, then over a lifetime I dare say
a person would spend more on automobiles
than he would on a home.
The same principle applies in cases such
as this. I think that one has to look to the
merchandiser and have someone whom one
can put the finger on and say: "I bought this
product from you. You have represented that
it is a good product or that it will perform
in this way. Now I'm holding you responsible
to see that it is."
If one has to bring in the manufacturer
or we have to legislate that the manufac-
turer is brought in and is jointly and severally
liable or primarily liable for the production
of the product and the accountabiliy to the
consumer, then that legislation should be
brought in so that the people are not con-
tinually harassed and frustrated in tr>ing to
get satisfaction after they first buy the par-
ticular product.
We are seeing more and more of that kind
of thing, and people are more and more be-
coming victims of the slick ads and the fast
merchandising that is taking place. As I say,
we have the combination here of an attitude,
along with merchandising that says: "Well,
it doesn't matter." It is an attitude of not
being too concerned with making anything
that is too perfect.
Mr. Cassidy: It is the private enterprise
system that does that, isn't it?
An hon. member: What's wrong with pri-
vate enterprise?
Mr. Taylor: May I just say to my friend
from Ottawa Gentre, he tempts me to re-
spond because not too many years ago I was
in Russia and I've seen some of the workman-
ship that is done in that particular country,
which can hardly be termed a capitalistic
system or a free market system. As a matter
of fact, they had just completed the new air-
port and some of the workmanship there I'm
sure could have been done by a child of six
years of age. Not that they are not capable
of doing fine workmanship, but it is just in-
credible the type of workmanship that's turn-
ed out.
APRIL 2, 1974
651
Furthermore I was looking at some hous-
ing projects. At least in this system we can
go and look at ou- housing projects; we can
see what s being clone, we can go through an
apartment building. In Moscow I was taken
into an exhibit of building achievements
where one could see the plaque to Comrade
Somebody-or-other who had invented the
waffle system for mass-producing sides of
modular units.
Again, if the member went through one
of those model apartment units where prob-
ably two families would be sharing, he would
realize there would be a revolution if that
was introduced in this country and given
to our populace rent-free or at a very minimal
rent.
So don't talk to me about the free enter-
prise system and the capitalistic system,
where the means of production are owned
by the individuals and not by the state.
Mr. Martel: What individuals?
Mr. Taylor: And if he would go and see
some of that type of workmanship, I think
he would probably have second thoughts
about making a remark such as he made be-
fore.
Mr. Cassidy. The means of production
aren't owned by the other people. They are
owned by five per cent of the population-
Mr. Taylor: Oh, well, they say that figures
don't lie, but liars figure. I'm not suggesting
any impropriety; I am just saying that if the
hon. member looked into his facts before he
spoke, I think he would become more learned
and a more credible person.
Mr. Martel: All the widows and orphans
own the shares. Is that what the member is
saying? The widows and orphans have all
the shares?
Mr. Cassidy: For purposes of necessity.
Imperial Oil and—
Mr. Martel: It's all very well for them to
rip us off.
Mr. Taylor: Well it's all very well for
my friend to consume the benefits of our
system and, being a fat-cat, to criticize it.
But if he had to get along in some of these
other systems where the state controls so
much, I think he'd be very glad to come
here, where he has the opportunity.
Mr. Cassidy: But the hon. member was just
criticizing our system and the quality of the
workmanship and saying there is a need for
protection from the government in order to
protect people from these marvellous free
enterprisers.
Mr. Martel: The member can't have it both
ways.
Mr. Taylor: Again, I hate to credit my
friend with anything, but being a master of
distortion— and I am tempted to give him
that badge of questionable distinc-tion— but
what I have been trying to point out, and
what he fails to understand, is that no matter
how many regulations we have, we can't
produce a quality product unless the people
who are actually producing that product have
the will to do so.
Mr. Martel: That's not the workers' fault.
Mr. Taylor: It's the same concept as work-
ing to rule and so on. We can have all the
rules we like, and think we have legislated
perfection, but what we're doing is legis-
lating a slowdown if people follow those
rules to that degree. It's the pride of work-
manship, the attitude of the worker, that
matter; and I think the attitude has shifted
in our particular society today to the point
that there isn't the same pride that there used
to be— and that comes from within the pro-
ducer himself.
Now, Mr. Speaker, getting back to the
Throne Speech— and I would like to confine
my remarks to the Throne Speech, unlike
those who wander so far afield—
Mr. Martel: The member is so personal.
An hon. member: He's right on.
Mr. G. Nixon (Dovercourt): Carry on,
Jim.
Mr. Taylor: I would comment that when
we are dealing with consumer product war-
ranties, we might consider not only the
aspect of chattels, which is really the subject
matter of the green paper, but also the
question of housing-
Mr. Martel: Who plans built-in obsoles-
cence, by the way?
Mr. Taylor: —which was debated yesterday
under a private bill, because it might very
well be that legislation could also deal with
that particular area.
What I am concerned about, of course, is
that when we get into housing, as was men-
tioned yesterday, we have to be careful that
we don't get into a whole new bureaucratic
regime where people start inspecting for the
sake of inspection.
652
ONTARIO LEGISLATURE
As you know, Mr. Speaker, housing has
been built and is being built under the
National Housing Act, where there are direct
loans to the people who will be occupying
their homes; in those cases there are prob-
ably a dozen inspections by government in-
spectors. In the bill yesterday it was sug-
gested that there be four inspections. I don't
think a dozen inspections will ensure a fault-
free home, nor do I think that four inspec-
tions will ensure that. I think we are into an
area that is going to be very difficult to
legislate.
When we talk of homes, Mr. Speaker, we
are also talking of people moving into those
homes. If we look at some of the contracts
used by commercial carriers who move furni-
ture, we see that there are disclaimers in
those contracts. At one time we thought that
a commercial carrier was virtually an insurer,
so that if he damaged a person's goods then
he would be made responsible. But today
there are many exclusions as to his responsi-
bilitv, and for those items that aren't ex-
cluded there is often a provision that com-
pensation is confined to something like 30
cents per pound.
I think that if the vendors of furniture can
move that furniture from their store or
warehouse to your home, surely a person in
the moving business should be able to move
that furniture from one home to another
without damaging it. I think it's that area as
well that may very well be investigated and
included in the legislation that would be
drafted to protect consumers.
Mr. Speaker, the Speech from the Throne
also made mention that there would be meas-
ures for the control and reduction of litter
and solid waste. This is really an area of
the environment and today the thrust seems
to be more to matters of the environment.
I think the provincial thrust has been away
from the simple creation of an appropriate
climate for private investment and now the
philosophy seems to be of using govern-
ment as a deliberate instrument of social and
economic guidance.
So we are really getting into this area of
ecology and environment and lifestyles, call
it what you will. Our concerns are directed
to traffic and transportation, water and sewer
facilities, the parks systems, the problems
of solid waste disposal. I think it's time we
started showing something more on the
ground in terms of solid waste disposal.
I know that a tremendous advance has
been made in the financing and construction
of waste purification plants and sewage dis-
posal plants, trunk sewer mains and trunk
water mains and the laterals and so on.
This is a big area and it's an on-going pro-
cess. It's vital. It's probably more essential
than anything.
As I say, there are hundreds of millions
of dollars being spent in this direction, but
we haven't really solved or hardly begun
to solve the problem of garbage disposal.
There have been many papers and many
suggestions for creating a plant that would
use modern techniques in the disposal of
garbage.
We've heard for some years about a pro-
posal by two professors at Queen's Uni-
versity, Messrs. Brown and Clark, to con-
struct a plant which would utilize garbage
and also sewage sludge and produce certain
byproducts and a compost. We haven't seen
much progress in connection with the physical
establishment of that particular plant. There
have been many representations, I am sure,
to the Ministry of the Environment in the
past in order to obtain its assistance, finan-
cial and otherwise, in the establishment of
pilot plants to see just what we can do
along this line.
As a matter of fact, I made representa-
tions myself on a number of occasions in
connection with Prince Edward county.
Here we have a geographical area which
lends itself to a small plant which could be
so situated that it could service the city of
Belleville as well.
We have the technology, but there seems
to be a philosophy that you have to make
money from your byproducts. It is my view
that we have to dispose of garbage and not
make money from our byproducts. So let us
not be too concerned right now about what
we are going to do with the compost, be-
cause I can tell some people what to do
with it. I know what I would do with it in
Prince Edward county-
Mr. M. Gaunt (Huron-Bruce): Don't be
obscene now.
Mr. Taylor: —would be to use it on some
of the shallow-soil areas. As a matter of fact,
it might assist in those areas where tree
plantings have taken place in an efi^ort to
stabliize some of the dunes, because as
members know there has been a tree-plant-
ing programme for many years there in an
effort to stabilize that particular area. I
am sure we have many sites where we could
utilize the compost, which is really a soil
material and which would benefit the
countryside.
It is not essential, Mr. Speaker, to make
a profit on something like this. I think it
APRIL 2, 1974
653
is essential to solve our problem. That is
number one.
This type of plant has been functioning
quite well for years in some European
countries, in Switzerland for example, and
it may be that it would function equally well
here and in smaller communities. We know
we do have a pilot plant in the city of
Toronto, which really isn't going to con-
tribute very much to the solution of its
gigantic waste disposal problem. But if a
plant such as this were put in an area
where it could adequately dispose of the
problem, then it would really be function-
ing in some worthwhile and constructive
fashion.
We may have to make a few mistakes,
but that is all right. We must make mistakes
to learrj. I think the sooner we get a series
of these pilot plants under way the better.
I think it is going to be essential that the
go\emment bankroll the capital construc-
tion of these plants, because that is the only
wa>- we are really going to get it off the
ground.
I know the municipalities will argue that
the ideas are great if they can get someone
else to finance them, but they may be
willing to finance a part. Then the problem
conies, of course, in the on-going expense
of operating these plants. Who is going to
guarantee that the plant will function in
perpetuity and who is going to finance the
cost?
These are some of the problems that have
slowed down the establishment of this type
of plant. But I think we have to take some
bold steps. If that means making some
mistakes then we will make some mistakes,
but let's get the plants off the paper and
on to the ground and see how they function.
Let's either see if they work or if they
don't work here. If they work, fine; if they
don't work, we will wTite it off and get on
with something else. I think that it is
essential that something be done in this
direction.
An hon. member: Right away.
Mr. Taylor: Mr. Speaker, those are some
of the remarks I wanted to complete. I
wish to thank you for the wise manner in
which you have ensured order in the House
and the very fair rules. I see that you always
seem to have the facility for assisting the
sneakers, keeping order and ensuring that
the House is very attentive, and I want to
thank you in this case.
Mr. Speaker: Before the next hon. member
proceeds, I might take a moment to inform
the House that, in accordance with standing
orders 27 and 28, I have received notice
from two hon. meml)ers that they were dis-
satisfied with the answers given to questions
during the oral question period today. In
accordance with those standing orders, the
hon. member for Wentworth (Mr. Deans)
shall have, at the adjournment of the Hou-se
this evening, five minutes to present his views
regarding the partiailar question and the
minister will have five minutes to reply if he
so wishes. The hon. member for Scarborough
West (Mr. Lewis) shall also have the same
opportunity to present his case in connection
with the question he had asked.
These questions will take place at the ad-
journment hour and at 10:30 this evening a
motion to adjourn shall be deemed to have
been made.
Now, the hon. member for Ottawa East.
Mr. A. J. Roy (Ottawa East): Thank you,
Mr. Speaker.
Mr. P. D. Lawlor (Lakeshore): How did he
manage not to get in on that debate?
Mr. Roy: I want to make the point very-
clear, Mr. Speaker, that you advise the
people involved in Hansard and all the staff
and people who are working around the
House that I am not the one who is keeping
them late this evening. I hope you make that
very clear.
I am not going to accuse my colleagues
of plagiarizing, because I think it's a rule
which is open to all members of the House.
I think it quite proper, Mr. Speaker, that if
ministers of the Crown see fit not to answer
our questions, we use that rule with probably
more regularity.
Mr. I. Deans (Wentworth): He answered,
but I was not happy.
Mr Roy: The member wasn't happy with
his answer?
Mr. Martel: It was a non-answer.
Mr. Roy: Then he is abusing the rule, ob-
viously.
Mr. Deans: I am not.
Mr. Roy: In any event, Mr. Speaker, may
I make some comments in line with my col-
league who preceded me, the member for
Prince Edward-Lennox, and say how pleased
we are to see you back in the chair. We were
somewhat concerned for a while following
the Christmas recess but we are extremely
pleased to see that you are in good health.
654
ONTARIO LEGISLATURE
that your sense of humour and your objec-
tivity continue to rule from the chair.
There are times I suppose, Mr. Speaker,
when we feel you should possibly he a bit
tougher with the government, especially the
ministers, but again I know this is a difficult
task which you have. We on this si^^e feel
you are exercising it with fairness and objec-
tivity and we are extremely pleased to see
that you are in good health. We sincerely
hope you will continue to be with us and in
that capacity for many years to come.
Mr. F. Young (Yorkview): The member is
not expecting to take over?
Mr. Roy: Pardon me?
Mr. Lawlor: Oh, yes.
Mr. Roy: If we took over, we would have
no objection to keeping the same Speaker. I
think possibly this House should give con-
sideration to having some permanency in the
chair as well. I think it would be—
Mr. Young. In that case, we will agree.
Mr. Roy: Do you see that, Mr. Speaker?
I have my colleagues on my left agreeing
with me. Your objectivity and fairness are
exuding to all sides of the House here.
Now, Mr. Speaker, if I might make a few
comments. I will not make a few comments
about the Throne Speech because I think
there was so little in it I would be wasting
everybody's time even to discuss it except
to point out that as a member of this House
looking at the approach of the Conservative
government to various problems which exist
in this country, I find it indeed ironic that
the national leader of the federal Conserva-
tives should be enunciating certain policies
at the federal level on which one of his col-
leagues in the same party, who is in a posi-
tion to do something, apparently does not
agree with him. One wonders what sort of
unanimity or rapport exists between certain
members of that party.
For instance, Mr. Stanfield has covered the
length and breadth of this country talking
about the question of inflation and saying it
is a cancer in our society. It is something
which has first priority with him and some-
thing that should be dealt with and he has
suggested certain measures to take care of
that problem.
It is ironic that in the Throne Speech by
his colleague, the Premier of the province,
very little should be mentioned about infla-
tion at all; secondly, nothing was mentioned
about what steps this province is taking first
of all to curb the inflationary spiral or to curb
the governmen's own appetite for deficit
spending; an 1 thirdly, what helpful measures
he might take to help those who are on fixed
incomes and suffering so badly from the
question of inflation.
The federal' leader as well suggests wages
and price controls and this does not seem to
sit well with the Premier of this province.
He has continually dodged whether he is in
favour of that, in favour of die policy from
his leader.
Mr. O. F. Villeneuve (Glengarry): Put the
responsibility where it belongs.
Mr. Roy: Well, is he against it or not?
Mr. G. Nixon: He is twisting words again.
Mr. Roy: The third thing which I find ex-
tremely ironic, Mr. Speaker, is that I think
since 1972 the federal Conservatives have
been suggeesting that the federal sales tax
on building materials should be removed.
They have been consistent on this, in sug-
gesting that the federal government should
be removing the federal sales tax on build-
ing materials, whereas the Premier here in
this province increased the sales tax on
building materials by 40 per cent just last
year.
That just points out the inconsistencies and,
I suppose, the difficulty which the federal
Conservatives have to take power. Their ap-
proaches to the problems are inconsistent
within their own party.
Mr. Speaker, you may recall that last year
in my reply to the Throne Speech I dealt
with a problem involving the opticians in this
province, the problem of the controls by one
company called Imperial Optical. I might say,
Mr. Speaker, that after speaking on it in the
Throne Speech and after bringing in a pri-
vate member's bill, and raising it in esti-
mates, and raising it on a number of occa-
sions with the then Minister of Health (Mr.
Potter)— who at first kept mentioning that
I was wrong, that there was no conflict of
interest— I am happy to report that continual
badgering of the minister has produced some
results, and as you know, the board of oph-
thalmic dispensers has been changed. Four
of the five members from the board have
been replaced, and been replaced by two lay
members.
I was pleased to see as well, Mr. Speaker,
that the present Minister of Health (Mr, Mil-
ler) has accepted our suggestions on partici-
pation by the public in these professional
boards, disciplinary committees and such, I
APRIL 2, 1974
655
was very pleased to see mention of this in
the statement on the Health Disciphnes Act,
as presented by the minister here today.
Interjection by an hon. member.
Mr. Roy: Mr. Speaker, I want to speak
briefly on the question of law reform in the
courts, and the attitude taken by the gov-
ernment, especially in the area of adminis-
tration of justice and the administration of
the courts. I want to mention that as one
who has participated in the administration
of justice in various capacities in this prov-
ince I am most disappointed by the priority
that is given to administration of justice by
the Premier of the province.
First of all, by the very individuals that
he has involved in the administration of jus-
tice, the result has been, to say the least,
chaotic and a mark of incompetence. You
recall, Mr. Speaker, following the 1971
election, the former member for St. George
was Provincial Secretary for Justice, Mr. A.
F. Lawrence. The first thing that the Pro-
vincial Secretary for Justice did, for no ap-
parent reason, was to decide to present a
bill that would, for all intents and purposes,
cut the salaries of certain levels of judges—
the Supreme Court judges and the county
court judges.
He would cut, in fact, the provincial re-
muneration and for no apparent reason. There
was no public pressure to do this. In fact,
the trend had been to try to encourage com-
petent people from the profession to accept
posts to serve as judges to improve our
standard of justice. And he comes along, for
no reason, and antagonizes all the judges
at these various levels.
He talked a bit as well about ofFtrack
betting, and he left for greener pastures.
He says, "I've had enough." He left and
he's now in the federal House still making
a fool of himself up there in the federal
House.
Mr. G. Nixon: Get ofi^ that stuflF.
Mr. Roy: Mr. Speaker, he was replaced
as the Provincial Secretary for Justice by
the hon. member for Halton West ( Mr.
Kerr). The first thing he did was bring in a
bill to repeal the bill that his predecessor
had brought in about judges, and he de-
cided to compensate the judges, or at least
bring them back to the previous level. Then
his biggest contribution as provincial secre-
tary was chasing across the province talking
to housewives about Sunday shopping and
this type of thing. For one who was involved
in as important a post as Provincial Secretary
for Justice, it was indeed really a worthless
contribution.
His final volley was (Hrected against the
judges, especially the provincial judges, for
being lazy and he succee<led in antagonizing
that group of people who at that time were
labouring under very difficult circumstances.
In the Justice secretariat, Mr. Speaker, we
had the member for York Mills (Mr. Bales),
who very early as Attorney General of the
province unfortunately lost all credibility as
senior law officer for the Grown when he was
involved in a conflict of interest involving
land. Then he showed absolute failure of
sensing any pulse of what his role was as
Attorney General in the Fidinam afi^air where
evidence clearly indicated that there might
have been a prima facie case. He could not
understand, and he had to be pressured by
the opposition members even to investigate
this situation.
It was obvious, Mr. Speaker, that he had
no sense of the administration of justice and
that he really had no feel of what a senior
law officer of the Grown should be in this
province. Unfortunately, he relinquished the
position as the chief law officer to his senior
officials who were really making the decisions
for him.
I intend to come back to this to show
what happens when an Attorney General is
not able to censure or is not able to control
the officers that work within his department,
officers who have great powers. Very few
people hear about these special prosecutors
that they have, but these people have all the
resources of the Grown at their disposal.
Their decisions are seldom challenged and
there is really no one to check on them unless
the Attorney General is there to keep them
in line.
If I might mention the member for Bell-
woods (Mr. Yaremko) who was Solicitor Gen-
eral, he gave a pathetic performance as well.
Mr. Speaker, after he was named Solicitor
General, I recall a great article in one of the
newspapers that said he was going to be a
fantastic crime fighter. His biggest contribu-
tion was chasing after pinball machines when
he should have been looking at organize<l
crime in this province. In fact, this was a
pathetic situation. He was seizing pinball
machines in the riding of the Provincial Secre-
tary for Justice who kept telling him, "Stay
away from my riding and quit seizing those
machines." It was, in fact, Mr. Speaker, a
ridiculous situation. It was obvious, as well,
that the Ontario Provincial Police had very
little confidence in him.
656
ONTARIO LEGISLATURE
It's unfortunate, Mr. Speaker, that since
1971 the lack of excellence and the lack of
calibre in the Justice section have really done
irreparable damage to the administration of
justice in this province. This excellence was
established by the former Attorney General,
Mr. Wishart, who had the confidence of
the judges and the confidence of the law
enforcement people. In fact, he must have
been a genius since he was at the same time
Solicitor General, Attorney General and Pro-
vincial Secretary for Justice. Things used to
work pretty smoothly there. Everybody
seemed to be relatively pleased at the ad-
ministration of justice at the time. All of this,
Mr. Speaker, has really gone down the drain.
It's very unfortunate that there has not been
more talent and more capability in the Justice
section.
One of the major mistakes, Mr. Speaker,
made by the hon. member for York Mills as
Attorney General was his lack of sensing
the pulse of the importance of some of the
recommendations of the Law Reform Com-
mission. First of all, he sat on the report of
the Law Reform Commission for something
like eight to 10 months. Then finally, when
he presented it, if you recall, Mr. Speaker,
he made a lengthy statement. One of the
things that he was very categorical about was
the fact that in the administration of justice,
the administration of the courts and the in-
dependence of the courts was something that
should be kept under the Attorney General.
I might just read some of the things that
were said at the time by the Attorney Gen-
eral and some of the replies made by cer-
tain groups of individuals involved in the
administration of justice. I recall, Mr.
Speaker, back at the opening of the Supreme
Court, at the 1974 assizes, the member for
York Mills was reported to have made this
statement:
Attorney General Dalton Bales has told
the province's judges and lawyers that the
administration of the province's courts will
continue to be under the control of his
ministry. Speaking at the formal opening
of the 1974 Supreme Court assizes yester-
day, Mr. Bales confirmed the government's
decision that the administration of the
courts should remain under government
control, despite recent suggestions that a
quasi-independent body be set up to assume
the function
The reason I suggest it is especially important
that the courts be absolutely independent,
Mr. Speaker, has become obvious, I think,
in the US. I think very few people will doubt
the courage of, for instance, individuals like
Judge Sirica, who was prepared to stand up to
whatever pressures were exerted from above.
I think the finest hour of the independence
of the judiciary was pointed out in that situ-
ation, and it is extremely important here. If
I might go on to read:
The treasurer of the Law Society told
the assizes, however, that the structure of
court administration must be viewed as
long-range. Mr. Robins recalled that the
Law Reform Commission recommended in
its report that the court administrator
should not be part of Mr. Bales' ministiy.
Mr. Robins said the benchers and Law
Society have expressed concern that Mr.
Bales' proposal would not adequately pro-
tect the independence of those who will be
responsible for the administration of the
courts.
The Attorney General had said at the time,
Mr. Speaker:
In making this decision [in other words,
to keep the courts under his administration]
we were mindful of the obvious need to
maintain an independent judiciary, and
have on several occasions stressed that it
is not our intention to interfere with, or to
attempt to influence in any way, adjudica-
tive functions of a judge.
Well, that's a sham, Mr. Speaker, and I in-
tend to point out how in a trial in Ottawa
the Attorney General of the time, the mem-
ber for York Mills, abused the great powers
that are given to him under the Criminal
Code, and in fact used the judge and the pro-
vincial court as a tool of the prosecution when
they are supposed to be independent.
Mr. Speaker, if I might show how he
abused this process, this trial involved the
prosecution conducted by the special Crown.
In other words, these people are working
right out of the department in Toronto. The
special Crown in this case was Ian Cartwright.
I intend to show, Mr. Speaker, that through
the administration, the whole process, and
the conducting of this particular trial, the
Crown was biased; that this, in fact, turned
into a personal vendetta between the Crown
and one of the accused in the case, and that
the Attorney General was used in the case—
or I should say, misused in the case— in the
sense that, as I suggested before, the ofHicals
of his department, not knowing what was go-
ing on, used the powers that he had to try
in fact to further the trial.
Mr. Speaker, the trial involved the Queen
versus one Leopold Neilsen, one Jason "the
Wolf" Wentzell, and one Warren Joseph
APRIL 2, 1974
657
Smith. This involved 37 counts of fraud
against Neilsen and one count of possession of
a cheque obtained by fraud; 18 counts of
fraud; 18 counts of fraud against Wentzell,
and 17 counts of fraud and one count of
possession against Smith. This was a joint
charge with Neilsen. This was all in one
information.
Wentzell was well known in Ottawa. He
was a lawyer, a well-known practitioner in
Ottawa and he has been a former alderman
in the city of Ottawa. Wentzell had acted as
a lawyer for a company called All Grads
Group; in fact, this company was involved
in a scheme whereby it was organizing
university scholarships.
Mr. Speaker, I don't intend to challenge
in any way the fact that there might have
been a prima facie case to lay this charge in
the first place, and that lawyers or former
aldermen or anyone else are subject to prose-
cution like anyone else. But in this particular
case, Mr. Speaker, I intend to show how,
in fact, the provincial courts were abused, the
provincial judge was used by the Attorney
General's department, it turned into a per-
sonal vendetta, immunity was granted to
certain individuals, which does not exist imder
our judicial system, and there were certain
other matters. I intend to point these things
out as I go on with the trial.
First of all, the accused got involved in
the preliminary hearing. Two of the accused,
Mr. Speaker, elected to proceed by way of
judge and jury, and of course, the provincial
judge at that point holds the preliminary hear-
ing. The other accused elected to proceed by
way of judge alone— the provincial court
judge. But the provincial court judge in this
case had jurisdiction to send the three on to
the preliminary hearing.
The preliminary hearing was held in front
of one Judge Michel who is a provincial
judge in North Bay I think. Judge Michel
is a fellow I know personally; he is, in fact,
a former member of the Crown attorney's
office.
It would appear obvious, Mr. Speaker, at
the outset of this trial that Cartwright, the
special Crown attorney, was out to get
Wentzell. One of the ways to be sure of
getting Wentzell involved or get a conviction
against Wentzell was to taint Wentzell with
the evidence of the other two, to try to keep
the three accused together, especially one Neil-
sen who was obviously involved in this.
Keeping Neilsen along with Wentzell would
help in the prosecution because the jury
would hear the evidence against Neilsen and
would make some inference against Wentzell.
The preliminary hearing began, Mr.
Speaker, and at the outset of the preliminary
hearing, three counsel were representing
these individuals. They were well-known
counsel in Ottawa: Mr. Arthur Cogan rep-
resenting Mr. Wentzell; Mr. Ed Houston
representing Smith; and a Mr. Shore rep-
resenting Neihsen.
Right from the outset of the trial it was
obvious to counsel involved in this case
that this was going to be a lengthy case and
so they approached Cartwright and said to
him: "Rather than get involved in a very
lengthy preliminary hearing, why don't \ou
prefer an indictment? Why don't you get
the Attorney General to prefer an indictment
now? We could go on to trial; we could
save a lot of expense."
Unfortunately Cartwright was having noth-
ing of the offer made by the three defence
counsel. He felt that a preliminary hearing,
if not helpful to the accused, would be at
least helpful to his case. He used the pre-
liminary hearing as a form of disclosure for
himself.
Th? preliminary hearing got going and
they heard 14 days of evidence which is ex-
tremely lengthy for a preliminary hearing.
What happened was that after 14 days the\'
had an adjournment and one of the ac-
cused, Neilsen, was in custody. They forgot
to bring him back every eight days for a re-
mand and so lost jurisdiction over Neilsen.
With Neilsen being charged jointly with
the other two, and having lost jurisdiction
over him, the Crown found itself in a real
predicament. In fact, it looked as though the
14 days of evidence was going to go down
the drain.
But not for Cartwright. What he de-
cided to do at this point was to present the
new information and proceed with the new
information against the three. Of course, both
counsel for the other two accused objected to
this. They said, "We've already heard 14 days
of evidence in relation to our clients and there
is no reason why we should have to start
over; because with new information, if coun-
sel did not consent, you would have to start
the proceedings all over again.
He tried to force this on and counsel
brought a motion for prohibition in Supreme
Court and before the motion was heard
the special Crown attorney, Mr. Cartwright,
was heard the special Crown attorney,
withdrew the new information and decided
658
ONTARIO LEGISLATURE
to lay the new information against Neilsen.
What he decided to do was to proceed with
the other two accused, in whose case they
had already had 14 days of evidence, and
side by side put in Neilsen. It's a procedure
I'd never heard of but this was challenged
right up to the Supreme Court of Canada
and the court felt there was nothing im-
proper about it.
In any event, they proceeded side by
side on both informations. Throughout this
matter, Cartwright himself suggested to
defence counsel that if there were 38 counts
in this case he would not be proceeding
to trial with more than seven or eight counts.
I have correspondence, Mr. Speaker, which
I intend to enter into the record which
clearly shows this. He told counsel that even
after two days or eight days of preliminary
hearing or 14 days of preliminary hearing.
These people kept saying to him— first
of all the counsel for Neilsen, who had been
in custody for two years, said, "I'm prepared
to plead guilty to these counts." One would
think, Mr. Speaker, that it would be a right
in this society today for the accused, if he
so decides, to plead guilty; he is entitled to
that. But not in this particular situation
because to plead guilty he would have to get
the consent of the Crown to re-elect to plead
guilty before a provincial court judge.
Cartwright was not having any of this be-
cause he wanted to keep Neilsen along with
the other two so he could taint them again
—keep the three together so that the evidence
would be more overwhelming against the
other two. He consistently refused this.
Counsel for Smith as well was prepared to
enter a plea of guilty but Cartwright, as I
say, was not having any of this. In fact,
counsel for Smith suggested that he plead
guilty to one count and make restitution for
$12,000, and, in fact, this will become signi-
ficant when we see the sentence that was
given to Smith at the end of the trial. In
any event, Mr. Speaker, what happened was
the preliminary hearing continued and they
had 37 days of preliminary hearing, if you
can imagine the cost, the length of time in-
volved—37 days of preliminary hearing.
At that point, Mr. Speaker, the provincial
court judge, Michel, adjourned the matter
to nile, first of all, on whether Neilsen, one
of the accused, could plead guilty and sec-
ondly to rule on certain evidence and on
whether the accused should be committed for
their trial. He ruled that all evidence heard
against Smith was actually not admissible
and, in fact, only the evidence in relation to
the one count— the one count he had offered
to plead guilty on— was admissible. So he
put the decision over for a few days to con-
sider this.
At that point counsel for the defence
suspected that something was up. I got a
phone call from his counsel who said, "I
think the Attorney General is considering pre-
ferring an indictment."
What preferring an indictment means, Mr.
Speaker, is that at that point that the At-
torney General decides, and he has this power
under the Code to say, "We say that these
people are going on to trial. Never mind the
preliminary hearing or anything else, we
prefer an indictment before a grand jury."
The Attorney General has this power. Even
before an election is made or anything else
he can say, 'We are preferring an indict-
ment," and take it up before grand jury and
on to trial.
But preferring an indictment is improper
when you decide to embark on a course of a
preliminary hearing. Once you decide to
have a preliminary hearing it is highly im-
proper to get involved in this; because you
gave it to a provincial judge, he is the one
who is going to rule on the evidence. I con-
sider it unwarranted interference in a judi-
cial process even to consider this.
When I got word from defence counsel
on this point I spoke to the member for
York Mills. That was before he decided to
prefer an indictment. I said to him, "I under-
stand that this Mr. Cartwright is^ trying to
get you to prefer an indictment." And he
said, "Yes, they are."
I said to him at that point-this was right
in the House-Tt's highly improper for you
to get involved in preferring an indictment
at a time when you have heard 37 days of
evidence, and a provincial judge has put the
matter over to make certain rulings on the
evidence to decide whether he should commit
or not."
He said, "Yes, I consider it a highly
volatile step-a step that I will give serious
consideration to." He said, "You can rest
assured that I'll be looking at the situation
very closely.
Well, two days later he preferred the
indictment. I couldn't believe it when coun-
sel called me back and said, "He has decided
to prefer an indictment."
Preferring an indictment, generally speak-
ing, Mr. Speaker, happens at the outset. If
the Attorney General decides at that point
he is not going to have a preliminary hear-
ing, he says, "Let's prefer an indictment."
Or it happens sometimes, Mr. Speaker, when
APRIL 2, 1974
659
the magistrate discharges an accused and the
Attorney General feels that he should go on
to trial in any event.
But preferring an indictment is a pretty
bold step in any case; it's seldom used. But
preferring an indictment in the middle of a
preliminary hearing is what I consider to be
an unwarranted interference in the adminis-
tration of justice.
Mr. Speaker, this summer, I recall, there
was a preliminary hearing in Kingston involv-
ing a murder where two accused were
charged with murdering of another indivi-
dual, and there was a lot of press about this
situation. I recall reading the transcript of
that. But what happened in that particular
case, Mr. Speaker, was that the inmates who
were witnesses against the accused were
afraid to testify, and the Crown had not
promised them either to try to hide their
identity or to get them moved to other peni-
tentiaries. And, of course, wdth the people
refusing to testify at the preliminary hearing,
the magistrate had no choice at that point
to discharge both accused.
So, at that point I wrote the Attorney Gen-
eral and said this is a case where he should
prefer an indictment, because he could grant
certain security to these witnesses from the
other inmates; tell them that they can be
sent to another penitentiary and then they
will give their evidence. In fact what hap-
pened, Mr. Speaker, was that an indictment
was preferred by the Attorney General, they
had the trial and the accused were convicted.
But in this particular case, it was after 37
days of preliminary hearing, Mr. Speaker.
Can you imagine the cost of something like
this? You have three accused, you have the
whole administration of justice involved—
the judge, all the officials-and he decides
at that point to prefer an indictment.
I asked the Attorney General, "Why did
you do such a thing?"— I walked right into
his office and said, "I consider this highly
improper. Why did you decide to prefer an
indictment?"
He said, "First of all, defence counsel were
stalling proceedings by motioning us to
death." He said defence counsel were bring-
ing on too many motions. And he said, sec-
ondly, "Some of the witnesses we were
concerned about were not in good health
and we were afraid that these witnesses
would not be around and then—"
Mr. Gaunt: They would die.
Mr. Roy: Yes, well that was what he was
afraid of— that is what I thought. He said:
"We are concerned that time is of the es-
sence. We have to proceed on with this."
And so, I want to deal with these two mat-
ters. There is the question of the health of
the witnesses and the question of whether
counsel were in fact abusing the process by
bringing on these motions.
Now, Mr. Speaker, if I might just bring
some of these matters to the attention of the
members here about these questions. First
of all, there is counsel wanting to plead
guilty, which I consider to be extremely un-
fair on the part of the Crown not to allow
an individual to plead guilty on certain
counts. And I want to read into the record,
Mr. Speaker, a letter sent by Mr. Shore, who
is counsel for Neilsen. The indictment took
place some time in the early part of Novem-
ber, 1973. This is a letter written in May,
1973, to the Ministry of the Attorney Gen-
eral, 18 King St. E., Toronto, Ont., attention
of Mr. Ian Cartwright.
Dear Sir:
Re: Leopold Neilsen versus Regina.
This will confirm our conversation out-
side No. 2 courtroom, 60 Waller St., Ot-
tawa, on May 29, 1973, wherein you ad-
vised me that in the event of a formal
committal, the Crown would proceed to
trial on the count alleging illegal posses-
sion of a cheque [That's one count.] ob-
tained by fraud from William Shawley and
five or six counts alleging fraud against the
individual complainants.
Now, recall this is in May and the prelimi-
nary hearings weren't for quite some time
and at that point it's on record that Crown
counsel had said he was only proceeding with
seven or eight counts. To continue with the
letter, he said:
Due to Mr. Neilsen's predicament, I
advised you that I am prepared to seek
instructions now with regard to a plea
of guilty to these six or seven counts. You
indicated that if Mr. Neilsen wishes to
plead guilty, you are not prepared to with-
draw any of the 37 counts which he is
presently facing.
And of course, what defence counsel wanted
at that point, Mr. Speaker, is to say: "Look,
he's going to plead to seven or eight counts.
You withdraw the other 30 or so counts."
But you know, plea bargaining is something
that is frowned upon. But in this case it was
not really plea bargaining, because Crown
counsel had advised that they would not be
proceeding with the 30 counts at the trial
in any event. He goes on to say:
660
ONTARIO LEGISLATURE
As the trial is not likely to take place
until at least the fall, some four months
hence, and because Mr. Neilsen has been
in custody since June 2, 1972, it is grossly
unfair, in my opinion, to prosecute my
client on 37 counts when he may be pre-
pared to plead to the six or seven counts
on which you will be proceeding a trial.
In the event that Mr. Neilsen does plead
guilty at a later stage, I intend to introduce
into evidence this letter in mitigation of a
sentence.
Well, obviously Cartwright refused this. What
happened in fact, Mr. Speaker, is that the
election that he wanted to make to plead
guilty, which the provincial judge was sup-
posed to rule upon, was annulled by the pre-
ferring of the indictment by the Attorney
General.
What Neilsen had done originally was that
he had elected to be tried by a provincial
judge.
And Mr. Shore goes on to say in the
letter to myself dated March 4, 1974:
His election was declined and he was
ordered to undergo a preliminary inquiry,
although he was in custody at the time and
has been in custody since June 2, 1972,
when he was arrested in Florida. On Oct.
25, 1973, a formal application for re-
election in order to plead guilty to a draft
indictment which had been prepared by the
Crown . . .
In fact, the Crown had prepared the draft in-
dictment for trial. And so, having seen the
draft indictment, he said "I'll plead guilty
before the provincial judge to these counts."
The presiding judge adjourned the ap-
plication one week for a decision when the
Crown would not consent to same. The
next day the Hon. Mr. Bales, then Attorney
General, preferred an indictment against all
three accused, thereby effectively nullify-
ing Mr. Neilsen's application to plead guilty
l)efore the fudge who had heard over 30
days of evidence on a preliminary inquiry.
It seemed to make sense that he would plead
before the provincial court judge who had
heard all the evidence.
So, Mr. Speaker, this is one of the first
things that I consider highly improper in not
allowine an accused to plead guilty. I consider
that highly unfair.
Now, the second point made on this is the
health of the witnesses. I intend to read into
the record, Mr. Speaker, certain letters written
by the special prosecutor in this case to his
chief witness, whose health he was concerned
about. The chief witness was Robert J.
Clendenin, a corporation lawyer in Mon-
mouth, 111., who was involved in the scheme
in the United States; and, of course, he was
a very valuable witness for the Crown in
the prosecution.
On Sept. 6, 1973, Cartwright, counsel for
the Attorney General, wrote this man a letter
trying to get him to come and give evidence
in Ottawa. One of the things he said to Mr.
Clendenin at that time was:
I am deeply concerned about the ques-
tion of your health [I am reading from the
tetrel dated Sept. 6, 19731 and I wonder
if I could impose upon you to ask if you
would outline to me, in a letter, your age
and your current state of health and also
any difficulties that you encountered when
you came to Ottawa last November.
My reason for it is that I would like to
draft an affidavit and send it down to you
to be sworn and returned to me so that I
may put it before the court on Oct. 30 on
my motion to have the trial proceed at
that time. Could you please provide me
with the particulars of your jurisdiction
in order that I may properly draft this
affidavit?
I hope that you do not feel that this is
an imposition. I am certainly very grateful
for your assistance.
He is trying to get Clendenin to sav that
he is not well so he can have an affidavit
and thereby sort of justify to the Attorney
General the preferring of the indictment and,
secondly, justify to the Supreme Court judge
that this trial should proceed expeditiously
because he has some sick witnesses.
Mr. Clendenin replied to Mr. Cartwright
on Sept. 28, 1973, in a letter from Mon^
mouth. 111. He stated as follows, Mr. Speaker;
Dear Sir:
Since your letter of Sept. 6, 1973, I
have not received volumes one and two of
the transcript of my testimony taken in
Ottawa in November, 1972. As soon as the
date has been firmed for the trial involving
the records of Educational Development
Services Inc. [this was one of the com
panics involved in the scheme] and you
have determined when my testimony will
be taken, I would respectfully request that
you send me by registered, certified mail
a subpoena requesting my attendance at
the hearing.
APRIL 2, 1974
661
He went on to say:
At present my health is good for a man
of 69 years of age, and I would be reluc-
tant to sign an affidavit for the sole pur-
pose of attempting to accelerate any trial.
The only diflBculties I had with the hearing
liist November was the necessity of stand-
ing on my feet for several days in a wit-
ness box, since my circulation is not as
good as in my youth. I also managed to
catch a bad cold and possibly the flu,
\\ hich winds up later with some congestion
dn my lungs.
Mr. Clendenin clearly stated at that point
that there was nothing really wrong with his
health and that he was not prepared to sign
an affidavit to play into the special prosecu-
tor's hands. Tnis was one of the reasons
given to me by the Attorney General for
preferring the indicbnent, the health of a
witness. To my knowledge there was no
other witness who was sick or had any prob-
lems in this case. He must have been refer-
ring to Mr. Clendenin, but it is obviously
not the case that there is something wrong
with the health of that witness.
Mr, Speaker, if I might point this out,
Cartwright clearly stated in a letter of Sept.
11 that he did not intend to proceed on
38 counts but only on seven or eight counts.
In his letter to Mr. Clendenin of Sept. 11,
1973, he stated:
I have decided that for a trial only a
certain number (probably about seven) of
charges of fraud vdll' be heard, and one
charge of possession of a cheque fraudu-
lendy in the United States will be heard.
My reasoning is that it is senseless to have
a trial of some 38 counts when, if anyone
is convicted, he will get the same sentence
for seven charges as he would for 38.
[Well, that seems to make sense.] Another
effect of this would be to shorten the
overall length of the trial, which should
make it considerably easier for a jury to
understand the evidence.
What had they been doing, Mr. Speaker,
wasting their time at the preliminary hear-
ings? They had gone 37 days on 38 counts,
and the Cro\\Ti counsel himself admitted that
he had no reason to go on to the trial on
this many counts. He just intends to go on
with seven or eight counts. He has refused
to plead guilty by counsel or be prepared to
plead to some of these particular offences,
because it appears very clear that what he
wants to do is keep these three cases to-
gether on for trial. He has successfully ac-
complished this by getting the Attorney Gen-
eral, as I said earlier, to prefer an indictment.
Just to give you some idea at the attitude
of Crown and defence counsel in this partic-
ular case — and I suupose that there was
some animosity on both sides— Cartwright on
page 2 of his letter of Sept. 11 states:
I anticipate that on Tuesday, Oct. 30,
counsel for all three acctised will make
numerous and lengthy objections as to
everything under the sun, including per-
haps the absence of any coat racks for them
in counsels' changing room.
So you can see there is animosity going on
between Crown and defence counsel in this
case.
In any event, Mr. Speaker, the other
reason given for the Attorney General for
preferring the indictment is that he was being
motioned to death by counsel. The only
motions brought by counsel, Mr. Speaker,
were, first of all, a motion brought by the
two counsel, when Cartwright attempted to
get these people on a new information, and
that seemed like a valid motion because at
the time they already had 14 days of pre-
liminary hearing and why should they start
all over again on a new information? In fact,
that motion was granted. That was one of
the motions that the member for York Mills
was talking about.
The second motion was brought by coun-
sel for Neilsen when they tried to put a new
Information against this man and run it joint-
ly with the other information because you
will recall that he was starting afresh after
14 days of evidence. In fact, the judge said,
"We will just continue on as we have al-
ready heard 14 days of evidence," although
they had lost jurisdiction on him. They
went right up to the Supreme Court of Can-
ada on this. I have the transcript or the
factum from the Supreme Court on this par-
ticular motion. In fact, three judges of the
Supreme Court of Canada granted the appeal.
I shouldn't say they granted the appeal but
they allowed a motion for an appeal. So
there was no merit whatsoever in the mo-
tion. Why would three judges of the Su-
preme Court of Canada even let the full
court hear this particular appeal?
The third motion, Mr. Speaker, was dis-
missed with reluctance. It involved another
motion which was pending before the Su-
preme Court when the Attorney General
decided to prefer his indictment. As I said
before, Mr. Speaker, after all this work was
done by the pro^/incial court, after the pro-
vincial court judge was seized with this
matter and the matter had been put over
for adjudication, the Attorney General de-
662
ONTARIO LEGISLATURE
cided to prefer the indictment. As I said
before, Mr. Speaker, I consider it highly
improper to have done so.
The next step then is that they go on for
30 days of trial, if you can imagine that, Mr.
Speaker. They have already had 37 days of
preliminary hearing in this case. They went
on for another 30 days of trial. The result of
the trial, I might point out at this point,
was that Wentzell, the person who Cart-
vwight was after, was acquitted. He was
acquitted completely. Neilsen, who had at-
tempted to plead guilty on seven counts,
was allowed to plead guilty at that point
because Cartwright could no longer deny
him the right to plead guilty when he got
him before the Supreme Court. He pleaded
guilty to the seven counts and was sen-
tenced, I think, to two years. Smith was
found guilty on just the one count of pos-
session, a count that he said he was pre-
pared to plead guilty on, and was asked to
make restitution for $2,000.
One asks, what was this whole procedure
of 37 days of preliminary hearings and 30
days of trial all about?
It is clear that what happened in this
case was a personal vendetta. It got out of
hand. Crown counsel should always approach
cases with respect, Mr. Speaker. He should
approach cases from an objective point of
view and never on a personal basis. It ap-
peared that in this case it was a vendetta.
It appeared to be an obsession on the part
of special counsel to get Wentzell. Can you
imagine the terrific cost of prelminary
hearings of 37 days and 30 days of trial?
I would think that this trial would have
cost somewhere upwards of $500,000.
In this information, Mr. Speaker, from cer-
tain information that I have here appar-
ently the Crown would only enter evidence
favourable to the Crown, and that should
never be done. Crown counsel's role is to
present the evidence to the judge, or to the
jury, but he should never withhold evi-
dence which might be favourable to the
accused. I understand that this was done in
this case.
More important, Mr. Speaker, if one was
charged as a lawyer acting for the com-
pany, why was not the accountant who
signed all the cheques and was very much
involved with the administration of the com-
pany also charged? The accountant in this
case was named Robert Murray. He was a
very important witness in this case.
What happened was that he was brought
in to testify, and of course he testified un-
der the protection of the Canada Evidence
Act. His counsel, at that point, said, "What
about any charges that might flow against
Mr. Murray?" — because he was involved
with all these people— and Crown counsel
said, "I assure you that there will be no
charges laid against Mr. Murray."
In fact, what he was doing was grant-
ing him immunity. Well, immunity is not
something that is known under our system
of justice, Mr. Speaker. It is done in the
US— you had a situation where you had
Dean testifying before a committee — but
it's not something that is germane to our
system of justice. If a witness co-operates
with the Crown, obviously this is a factor to
be taken into account if he is charged, and
is a factor to be taken into account on
sentence only, not whether he's going to be
charged or not. Because this is a prima facie
case against him. But apparently the Crown
in this particular case granted him immun-
ity and I suggest, Mr. Speaker, there is no
authority for this.
The part that is frightening, Mr. Speaker,
and it comes back to my original point, is
that when you have a weak Attorney Gen-
eral who is being bossed around—
Interjections by hon. members.
Mr. C. E. Mcllveen (Oshawa): Where has
the member for Grey-Bruce (Mr. Sargent)
been.
Mr. Martel: We'll have some order around
here now.
Mr. F. Laughren (Nickel Belt): Here's a
kw and order Speaker if ever I saw one.
Mr. Mcllveen: The member for Grey-
Bruce will keep some order around here.
Mr. Speaker: Order. Do you want to vote
now?
Mr. Roy: Mr. Speaker, I am coming to the
end of the anatomy of this trial. The point
I was trying to make was that these special
Crowns working out of Toronto— and I have
great respect for many of them. Very com-
petent individuals, Mr. Manning, Mr. Powell,
all very capable individuals we've heard
about— have great powers and have the re-
sources of the whole Attorney General's de-
partment. Decisions made by them are seldom
challenged because they're always working
on special prosecutions, prosecutions which
are very complex. But it's important that the
Attorney General keeps an eye on these
people, because nobody is really there to
check on them.
APRIL 2, 1974
The only check that there is, Mr. Speaker,
is an independent court, a court that will
keep them in line. And when the Attorney
General participates, and when you have a
situation like this, with the help of the At-
torney General you really abuse a process
that you embark on at a preliminary hearing.
I can't emphasize this enough, that when a
judge is seized with a case and he's going to
hear it, then our courts should have the in-
dependence to hear the evidence and make
a decision on it, and the Attorney General
should not interfere at that point. It's highly
improper.
So I think this matter should be looked
into, and, obviously, not looked into by
someone in the Attorney General's depart-
ment. They shouldn't be investigating them-
selves. We've had that happen too often. I
think the matter should be looked into by
either a judge of the Supreme Court or a
judge of the county court, because, as I say,
there is really no one to check on these indi-
viduals. First of all, very few people even
know they exist or that this area exists. They
have this great power and there's no check
on it unless you have a very competent and
capable Attorney General.
Mr. Speaker: It sure ain't easy,
Mr. Roy: Right. Thank you, Mr. Speaker.
And so, I think there should be a judicial
inquiry into this whole case, to look at this
and to bring these matters out, as to what
happened in this case. And I would suggest
first of all, in the investigation of this case,
that they look into the attitude of the Crown.
Because it's important that the Crown keeps
his objecivity throughout. The minute that
the Crown loses his objectivity and it becomes
a personal vendetta, there's no room in our
system of justice in Canada for this.
We've seen too many DAs in the US who
are packing a gun and trying to look like
hotshots, trying to be effective to make sure
that they're going to be re-elected the next
time. Because, as you know, Mr. Speaker,
these people down there are elected, whereas
here in Canada these people are named and
they won't be jeopardized whether they get
a conviction or whether they don't get a
conviction. And because of that system, Mr.
Speaker, complete objectivity should rule on
the part of the Crown.
The judicial officer or the judge looking
into this should look into the question of
preferring indictment. This is a fantastic
power that the Attorney General has, and
if it is abused— and especially if you have
a weak Attorney General and these indivi-
duals talk the Attorney General into the
abusing of this— then it hurts the administra-
tion of justice.
We should be looking at the question of
granting immunity. Since when does that
exist in our system of justice, granting im-
munity to individuals? Not in .so many words;
he's not saying 'Tou're granted immunity,"
but he's saying, "There will be no charges
laid against you."
We should look as well at the question
of offering evidence which is only favourable
to the Crown. This is a very bad practice
as well. The Crown counsel is an officer of
the court. He should be offering evidence
which is favourable not only to the Crown
but to the defence. It's to be remembered
again that the- Crown has all the resources
of the OPP and investigators at its fingertips.
Money is no question. If it uncovers evidence
which might be favourable to the defence it
should let the defence know about this.
Finally, Mr. Speaker, what I consider to
be highly improper is the Crown refusing to
allow an accused to plead guilty. In other
words, refusing to let an accused plead guilty,
when he is prepared to plead guilty on
counts the Crown intends to prefer in any
event. I consider that to be an abuse of the
process, and I think this matter should be
looked into fully.
I know one shouldn't make comments
about individuals who find it extremely diffi-
cult to defend themselves but, on the other
hand, these practices are going on and I
think it's in the public interest, especially
when taxpayers' moneys are being used and
when the administration of justice is at stake,
to let the public know exactly what happens.
It comes back to my point that it's important
our courts be completely independent.
Members will recall some time ago we
decided to split the question of police and
prosecution. We put the police under the
Solicitor General. This was a very positive
step in my opinion, Mr. Speaker, because we
were separating this function.
What does it appear like to the public
when the same boss is the boss of the judges
and the boss of the prosecution? I have
talked to provincial court judges and they feel
uncomfortable in this situation, especially
with some of these special CrouTi attorneys
who say to the judge, "I think you should
convict" or "I think you should commit
someone for trial." The judge doesn't agree
and the special Crown attorney goes back and
talks to his boss in Toronto or to the deputy,
Mr. Callaghan, or somebody and says, "This
character in Sudbury" — or somewhere else —
664
ONTARIO LEGISLATURE
"is not co-operating with us. He gives me
a bad time every time I go there."
What do members think the deputy At-
torney General or the boss says when these
fellows come back and ask for a pay raise or
want to talk about their pension or some-
thing; or they want to talk about attending a
convention somewhere? These people feel
they are in' a very uncomfortable situation
when we don't have the split. I think it's
important, Mr. Speaker.
1 was glad to hear that the new Attorney
General is giving certain consideration to
having it split and to having a situation as
they have in the federal courts of Canada,
where the administration of the courts is
something which comes under the chief judge.
They keep their complete independence and
we've seen wdth Watergate, how important
that can be and how important it is to have
a judge who could act completely inde-
pendently and not submit to pressures from
above.
Mr. Gaunt: Hydrogate.
Mr. Roy: Mr. Speaker, I would like to
mention-
Mr. Gaunt: Cartwright? A good' start.
Mr. Roy: Pardon me?
Mr. Gaunt: Cartwright was on this? He's
got a bad record. He handled the raspberry
case and he lost that one.
Mr. Speaker: Order.
Mr. Roy: Thank you, Mr. Speaker.
Another reason I think it's extremely im-
portant to have this independence aside from
this trial and aside the fact that we have a
situation in which provincial court and
county court judges have the same boss^at
least county court judges' salaries or their
pension are not dependent on the provincial
govemanent but the provincial judges' are-
is we have a bill which is going to come into
force in this country called^I don't really
know- we call it the wiretapping bill. As
you know, Mr. Speaker, it's probably going
to come into force around June 1 or some-
time in the month of June. Great powers
are given in this bill to pohce and to certain
judges and this power must be exercised
wisely.
1 had occasion to attend the seminar on
this bill at Osgoode Hall some two weeks
ago. We had probably one of the reigning
experts in the world on wiretapping, Sam
Dash, who was special counsel on the Irwin
committee. His views of the bill were that
in this country we are embarking on a very
dangerous experiment because in the US
they have had such a bill since 1968 which
gives less power than our wiretapping bill.
After Watergate they're having second
thoughts on whether priorities should be
given to privacy.
In 1968, when Nixon came in he thought
that privacy was not important and that
security was the important thing and they
passed this particular bill. It was called a
safe streets Act or bill— something along this
line. Dash says they are giving serious con-
sideration in 1974 to doing away with this
particular bill because of the powers given.
One of the problems under the bill, as Mr.
Dash said, was that too man}- powers were
given. W4iat happens after a while is that
that the judges who are granting the police
jurisdiction to tap become a rubber stamp,
and they are granting permission as a matter
of course.
The reason that it can happen in this par-
ticular province, Mr. Speaker, is this. First
of all, under the vdretapping bill— and I have
had the occasion to go through it in depth
—is that the people at the federal level don't
seem to have appreciated the fact that we
have made a split here, that the Solicitor
General is in charge of investigation here.
They keep talking about the Attorney Gen-
eral being the one who is going to designate
people to do the tapping of phones or what-
ever method they use. He says that it is the
Attorney General, so that has not been
recognized by the federal level.
The second thing about this that concerns
me greatly, Mr. Speaker, is that you must
remember that approval for wiretapping is
just like giving a blank warrant. The basis
of obtaining permission for wiretapping is
the basis of getting what is called search
warrants. When you get a search warrant
you are looking for something specific. You
go into somebody's home on June 12 and
you are looking for a gim; you are looking for
something else, and that is it; that is the
finish of this warrant. If you want another
warrant you have to go out and get one.
Permission for wiretapping on the other
hand is like a general warrant. You put the
tap on and you leave it there for 30 days and
you can hear conversations about all sorts of
things. And if you haven't heard something
for 30 days you get an extension; you get it
for another 30 days. So it is extremely dan-
gerous to give police that kind of power.
For the police to be able to tap they are
going to have to go to either a Supreme
APRIL 2, 1974
665
Court judge or to a county court judge. Now
what happens if they go to a county court
judge?
Half of the county court judges across this
province are sitting on police commissions,
and when the police force wants a particular
warrant to go out and tap they go before the
judge who sits on their commission. Now what
sort of enthusiasm is the judge going to have
to refuse them this particular warrant? Con-
sider that, Mr. Speaker.
We have raised it in this House before—
and I notice the former Solicitor General, the
member for Bellwoods (Mr. Yaremko) is
here. We have raised that matter before— the
inherent conflict that exists in having county
court judges, or provincial court judges for
that matter, sitting on police commissions. But
it is extremely important in this wiretapping
bill, because if our county court judges who
are going ot be granting these things are
sitting on police commissions, and they refuse
a warrant, at the next meeting of the police
commission the chief is certainly going to tell
the judge about maybe having missed out on
a prosecution because he didn't allow him to
tap.
So the only safeguard that the public is
going to have under this particular bill, Mr.
Speier, is that we have astute and inde-
pendent judges, and that they look very
closely at each particular application, and
that these applications be detailed. Because,
as I say, when you put a tap on somebody's
phone, when you decide to use that type of
method of prosecution, really you have given
a blank cheque to the police.
I do not say the police in this coimtry have
abused this power but, you know, it was
interesting because Sam Dash gave an in-
dication at the meeting that the police very
often don't reveal how many taps they have
made. They don't reveal that at all. He gave
as an example a very professional, very
competent district attorney in New York. His
name escapes me for the moment, Mr.
Speaker, but this man is well known right
acioss the US, and he used to continually re-
port that there were about 300 taps in the
cit\' of New York in any given year. As it
turned out he said that what, in fact, the
police were reporting were only successful
taps. In other words, when a tap was not
successful they would not report and in fact,
there w^re something like 20,000 to 25,000
taps in the city of New York.
So if the police don't decide to reveal this
particular information, we are giving them a
blank cheque. As I say, it is great powers that
are given to them.
Sam Dash, who I was extremely impressed
with— and as I say, he was an authority on
this particular subject-was explaining that
wiretapping is not something that is a recent
phenomenon. He said the overhearing of
conversatioas, or the delving into the privac)
of people, started in the Bible; and, as he
explained, when the first telegraph pole went
up a wiretapper probably climbed it as well.
So one generation has a tendency to forget
the mistakes of the other. He says we are
embarking on a dangerous experiment. The
point has to be made, Mr. Speaker, now
that we have the report on the police and the
police commissions that has just come down.
I would like the Solicitor General give us an
undertaking— in fact, I think he has given
such an undertaking— that judges no longer
will be sitting on police commissions, but I
also think that the judges who are presently
sitting on police commissions should be asked
to leave,
Mr. E. Sargent (Grey Bruce) : Right.
Mr. Roy: They should be taken off the
police commission. That is all I have to say
at this time about the independence of the
courts in terms of matters that are of great
concern to me and that certainly should be
looked into.
If I might, Mr. Speaker, I would like to
speak briefly in French on a problem that
is of concern to me, and one that is also of
great concern to other people especially in
certain areas of the north and eastern On-
tario as well as Ottawa, It is the matter of
the use of French in the courts.
You will recall, Mr, Speaker, that in the
1972 Throne Speech this government prom-
ised to encourage the use of French in the
courts. I was extremely disappointed to read
about the member for that great northern
riding— what's the riding?
Mr. Stokes: Thunder Bay.
Mr. Roy: Thunder Bay— when, subsequent
to asking a question, he was advised that
people would be charged for translation.
Well, that really encourages people to com-
municate with their members in their own
language! In fact, it is a great deterrent.
Mr. D. A. Paterson (Essex South): The
NDP has no bilingual secretaries?
Mr. Stokes: It shows the degree of com-
mitment that they make.
Mr. Roy: Yes, the real degree of commit-
ment on the part of this government. I
think it is such a retrograde step that I can't
ONTARIO LEGISLATURE
find words to condemn such a practice. What
does one tell an individual who wants to
communicate with his member or with the
government in his own language?
Mr. Good: We've got lots of bilingual
secretaries.
Mr. Roy: Consider what would happen if
they tried to do something like that in Que-
bec. Imagine the hue and cry in the Province
of Quebec if an English Canadian wrote to
the provincial government or his member and
was told that he would have to be charged
for his letter to be translated into French.
Can you imagine what would happen, Mr.
Speaker? This government seems to be pre^
pared to accept that approach. I can't find
words to condemn something as retrograde as
this.
iMr. Laughren: Most offensive.
Mr. Roy: The other problem, of course,
Mr. Speaker, is that it is especially ironic in
the area of the city of Ottawa. An accused
person in the city of Ottawa who is charged
with an offence might be French-speaking,
often the officer will be French-speaking, as
will the judge and the Crown and defence
counsel— but they can't speak a word of
French in that court because the language
of the courts is English only.
But should that person cross the river into
Hull, in the national capital— and we con^
sider Ottawa- Hull as the national capital —
there he would have a choice of languages:
he could have his trial in French or in Eng-
lish. It is a ridiculous situation.
In the riding of Prescott and Russell,
where 85 per cent of the population is
French-speaking and many of them have dif-
ficulty speaking English, the witnesses, the
judge, the Crowns and all the court officials
speak French. But because of this ruhng,
which I consider to be an idiotic ruling— it's
the Judicature Act which says all proceedings
shall be in English only — these people, who
can hardly speak English, are breaking their
mouths trying to testifying in English. And
those who cannot speak English must have a
translator to put it down in English for the
record, although everybody understands what
they are saying in the first place in French.
It is an absolutely ludicrous and ridiculous
situation.
I have pointed this out a number of times.
In 1969, in fact, as a defence counsel I chal-
lenged this section of the Judicature Act.
Unfortunately, when I got into court to chal-
lenge, the Crown withdrew the charge against
my client and I had no further case. That
took care of that problem.
In any event, Mr. Speaker, at the federal
level, an Act called the Official Languages Act
was passed; and at the time this Act was
passed the provinces were told that French
would be allowed in the criminal courts
when the provinces were prepared to allow-
French in their civil courts. So this prov-
ince has decided not to allow French in its
civil courts, and of course we don't have any
French.
I come back to the promise made by the
Premier in the Throne Speech of 1972: When
is the government going to do something
about this absolutely ludicrous and ridiculous
situation? We have officials who are capable
of doing things. What's the purpose of ap-
pointing bilingual judges or French-speaking
judges if they are never going to hear any
evidence in their own language? Isn't that
a ridiculous situation?
And we continually keep doing that. We say
we have problems if they should go to the
court of appeal. None of these problems,
Mr. Speaker, do I consider to be of sufficient
importance to deny the people in that area
their rights, you know. How in the hell are
you going to convince the people in Quebec
that advances are being made over here when
they come into Ottawa? In Quebec they can
have a trial in either language, but not if they
come into Ottawa.
And so, Mr. Speaker, this is the reason I
\nl\ be presenting this bill which is going to
be an amendment to the Judicature Act to try
to assist the government in keeping their word
and enforcing their policy which was in the
Throne Speech.
Mr. Deacon: Long overdue.
Mr. Roy: Mr. Speaker, if I might briefly
mention some of these matters in French.
La question du frangais dans les Cours est
une question qui me taquine depuis assez
longtemps. M. I'Orateur, je trouve absolument
ridicule qu'en 1974 on attend encore, nous
les francophones de Test de I'Ontario, ou du
nord de I'Ontario, pour avoir le franyais dans
les Cours quand il n'y a aucune raison justi-
fiable pour ne pas nous permettre cela.
Si vous vous rappelez, M. I'Orateur, dans
le discours du Trone de 1972, le Premier
Ministre de la province avait mentionne qu'on
encouragerait I'usage du frangais dans nos
Cours de justice. Moi j'avais I'lmpression que
ce n'etait pas quelque-chose qui devait
prendre trop de temps, parce que dans la
region d'Ottawa, dans la region de Prescott-
APRIL 2. 1974
667
Russell, peut-ltre dans certaines regions du
nord de la province, on en a des franco-
phones.
On a des juges qui sont bilingues, on a
des procureurs qui sont bilingues, on a des
oflBciers qui sont bilingues. Et cependant tout
le monde parlait en anglais dans les Cours,
c*6tait une situation absolument stupide. Je
n'ai jamais pu comprendre pourquoi on ne
pemiettait pas I'usage du frangais ici.
Je voudrais dire, M. I'Orateur, que ce qu'on
pr^conise n'est pas une question de changer
la province de I'Ontario, demander qu'une
personne dans la region de Durham ici en
Ontario, ou au centre de Toronto ait un
proems en frangais. Mais c'est un fait que dans
certains secteurs ou on a 50, 75, 85 pour cent
de francophones et qui se trouvent pres des
frontieres de la province de Quebec, on ne
pent meme pas avoir un proces en frangais.
Je trouve cet 6tat de chose, M. I'Orateur,
absolument ridicule.
A ce sujet je voudrais mentionner qu'en
1969 je defendais un individu, un franco-
phone de Vanier. Le procureur dans la cause
etait frangais; moi-meme je parlais frangais.
Le juge etait bilingue, le procureur est devenu
juge plus tard, cest M. Vincent. C'etait la
police de Vanier ou tous les officiers parlaient
frangais. Je me suis dit: "Je ne vois aucune
loi qui m'empecherait d'avoir un proces en
frangais, k part la loi que j'ai deja mentionee,
la loi sur nos statuts qu'on appelle Judicature
Act."
De toute fagon, M. I'Orateur, j'ai d^cid^ de
proceder en Cour avec cette cause-1^ et de-
mander au juge pour avoir un proems en
frangais. Ce qui est arrive c'est que, au mo-
ment ou j'allais plaider ma cause en frangais,
la couronne a retire I'accusation centre I'ac-
cus^ et comme de fait je n'avais plus de cause.
Ce qui arrive depuis ce temps-la, M.
f Orateur, c'est qu'en 1970 on a pass6 une loi
qui s'appelle la loi sur les langues oflBcielles.
Vous savez que le Federal a juridiction en
matiere criminelle ici et permet I'usage du
frangais dans toutes nos Cours federales. Ce
qui arrive c'est que la Province a juridiction
sur la procedure de nos Cours et le Federal
a la juridiction sur la question des lois.
Les provinces se sont objeclees, certaines
provinces peut-etre avec raison. En Colombie
ils ont dit: "Ecoutez, en Colombie britanni-
que, ou peut-etre a Terre-Neuve, on ne pent
pas avoir un proems en frangais, on n'a pas les
oflBciers on n'a pas le personnel qui permet-
trait d'avoir un proems en frangais." Ce qui
est arrive, M. I'Orateur, c'est que le Federal a
fait une concession aux provinces. Et on leur
dit au Federal: "On ne passera pas le frangais
dans nos Cours de justice au Criminel tant
que vous ne serez pas prdts a i>ermettre
1 usage du frangais dans vos Cours civiles."
Malheureusement, ici en Ontario, on attend
toujours qu'une decision soit prise par la
province pour changer la loi que j'ai men-
tionnee, le fameux Judicature Act. II n'y a
aucune raison, M. I'Orateur, pour qu'on ne
change pas cette loi et qu'on ne permette pas
I'usage du frangais dans nos Cours.
Une autre chose, M. I'Orateur, qui m'a
extremement pein6, c'est de voir un de mes
collogues, en Chambre ici, le depute de
Thunder Bay, qui avait mentionn^ qu'il avait
regu une lettre d'un de ses 61ecteurs et que
pour faire traduire cette lettre ici a la Pro-
vince, on le forgait k payer. Pouvez-
vous imaginer une situation aussi ridicide
que quelqu'un qui veut communiquer avec
son gouvemement provincial, qui vent com-
muniquer avec son depute, ne pent pas le
faire dans sa langue quand on dit ici dans
la Province qu'on permet I'usage des deux
langues en Chambre. Je trouve cette situa-
tion absolument ridicule et j'espere que le
gouvemement va la clarifier pour que si un
individu veut communiqer avec son gouver-
nement dans une langue, il ne soit pas oblige
de payer pour faire traduire cette lettre.
Je peur imaginer ce qui arriverait, M.
I'Orateur, si dans la province de Quebec un
anglophone ecrivait a son gouvemement et
qu'on lui repondait: "Si tu ne veux pas tra-
duire ta lettre de I'anglais au frangais, on
va te charger quelque chose." C'est absolu-
ment ridicule, M. I'Orateur, et je voulais
souligner cette situation et esperer que le
gouvemement va changer ce fameux r^gle-
ment.
J'espere qu'U va aussi accepter le dicton
de mon bill pour I'usage du frangais dans
nos Cours.
Mr. Speaker, having talked about the
courts, I intend to embark briefly on the
question of minority rights. There are a few
I should mention. I have a number of things
to say about women's rights, for instance, and
I was just wondering, it being 6 o'clock,
whether I should move the adjournment of
the debate and resume at 8 o'clock.
Mr. Speaker: If the hon. member finds this
a convenient place for the member to break
his remarks a motion is not necessary; he
can resume at 8.
It being 6 o'clock, p.m., the House took
recess.
668 ONTARIO LEGISLATURE
CONTENTS
Tuesday, April 2, 1974
Linear induction motors, statement by Mr. Rhodes 619
Health Disciplines Act, statement by Mr. Miller 620
Health Disciplines Act, questions of Mr. Miller: Mr. R. F. Nixon, Mr. Roy, Mr. Lewis,
Mr. Singer, Mr. Shulman 622
Linear induction motors, questions of Mr. Rhodes: Mr. R. F. Nixon, Mr. Cassidy 624
Maple Mountain development, questions of Mr. Bennett: Mr. R. F. Nixon, Mr. Lewis 625
Oil prices, questions of Mr. Davis: Mr. Lewis, Mr. R. F. Nixon, Mr. Singer 627
Fuel costs of greenhouse growers, questions of Mr. Stewart: Mr. Lewis 630
Gasoline travel ads, questions of Mr. Bennett: Mr. Roy 631
Wind energy seminar, question of Mr. McKeough: Mr. Burr 632
Meeting with press, question of Mr. Davis: Mr. Singer 632
Oil prices, questions of Mr. McKeough: Mr. Young, Mr. MacDonald, Mr. Lewis 633
Commuter ticket interchangeability, questions of Mr. Rhodes: Mr. Deacon 634
Information services funding, questions of Mr. Brunelle: Mr. Deans 634
Crop insurance, question of Mr. Stewart: Mr. Wiseman 635
Alleged Mafia activities, questions of Mr. Kerr: Mr. Shulman 635
Housing costs, question of Mr. Davis: Mr. Good 636
Presenting report, standing procechiral affairs committee, Mr. Morrow 636
Town of Strathroy Act, bill respecting, Mr. Eaton, first reading 636
Health Disciplines Act, bill intituled, Mr. Miller, first reading 636
Borough of North Yorfc Act, bill respecting, Mr. Bales, first reading 637
Victoria Hospital Corp. and the War Memorial Childten's Hospital of Western Ontario
Act, bill respecting, Mr. Walker, first reading 637
Dominion Cartage Ltd, and Downtown Storage Co. Ltd. Act, bill respecting,
Mr. MacBeth, first reading 637
Regional Municipalities Amendment Act, bill respecting, Mr. White, second reading 637
Resumption of the debate on the Speech from the Throne, Mr. Cassidy, Mr. Taylor
Mr. Roy 640
Recess, 6 o'clock 667
No. 17
Ontario
Hegiglature of (J^ntario
OFFICIAL REPORT — DAILY EDITION
Fourth Session of the Twenty-Ninth Legislature
Tuesday, April 2, 1974
Evening Session
Speaker: Honourable Allan Edward Renter
Clerk: Roderick Lewis, QC
THE QUEEN'S PRINTER
PARUAMENT BUILDINGS, TORONTO
1974
Price per session, $10.00. Address, Clerk of the House, Parliament Bldgs., Toronto
CONTENTS
(Daily index of proceedings appears at back of this issue.)
671
LEGISLATIVE ASSEMBLY OF ONTARIO
The House resumed at 8 o'clock, p.m.
THRONE SPEECH DEBATE
Mr. Speaker: When we rose at 6 o'clock I
believe we were being favoured with a few
remarks from the member for Ottawa East.
Mr. A. J. Roy (Ottawa East): Yes, Mr.
Speaker, when one-
Mr. E. R. Good (Waterloo North): The
member can take on the government.
Mr. Roy: Yes, I'd love to take on the gov-
ernment.
Mr. E. Sargent (Grey-Bruce): Let's let the
crowds in now.
■Mr. Roy: I don't particularly care for the
competition, though. I'm one who is sporting
and it's hardly sporting, to me, Mr. Speaker,
to be talking to just one individual across
the way.
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): It's quality, not
quantity.
Mr. Good: There isn't an NDP member in
the House tonight.
Mr. C. E. Mcllveen (Oshawa): The mem-
ber had better turn this way.
Mr. Roy: To my left— oh, we've got one.
The next speaker, one member of the NDP.
Mr. N. G. Leiuk (Humber): Let the mem-
ber talk over here.
Mr. R. Haggerty (Welland South): We
could defeat them tonight if we had a couple
more in here.
Mr. Roy: Mr. Speaker, I think one of the
matters the government dealt with some time
ago, and I suggest is only giving lip-service
to, is the status of women and women's rights
in this province. I think it's obvious, Mr.
Speaker, that women have now established
themselves as a permanent and essential part
of the Canadian labour force.
The old stereotype of working women as
marginal workers — young, single, and out
Tuesday, Apkil 2, 1974
looking for a husband - is slowly being shat-
tered. Todav women of all age groups, both
married and single, are filling jobs in our
society at an ever-increasinj/ rale. In 1972,
Mr. Speaker, there were 1.2 million women
in the Ontario labour force.
In other words, one out of every three
workers in Ontario is a woman. This is sub-
stantially higher than 10 years earlier when
working women in Ontario numbered 692,00
or only 29 per cent of the labour force. 'The
rapid changes that have occurred in Canada
since the end of the Second World War
have profoundly affected the lives of women.
Technological developments, increasing ur-
banization and industrialization and the prog-
ress in science and medicine have changed
the way we Hve and will continue to change
our lives. Canadian women have benefited
greatly from this progress.
Women can now expect to live longer
and healthier lives. Two hundred years ago,
Mr. Speaker, the average life expectancy was
not more than 35 years, but today a Cana-
dian woman can expect to live almost to the
age of 76. There used to be two cycles in a
woman's life; the pre-marital stage and the
period given over entirely to bearing and
raising of children. Today most women have
a third cycle between the ages of 35 and
76 in which time many want to work or
pursue their own interests. In comparison
with the life span of—
Mr. Sargent: Men do the same.
Mr. Roy: —our great grandmothers this
represents the ecjuivalent, really, of a second
life.
Another change in the last 100 years has
been the increasing education available to
women. Little by litde the doors of nearly
all educational institutions have been opened
to women; yet many areiis of educational
endeavour are still male-orientated, especially
in law, medicine, dentistry and engineering.
In Canada we regard these as male profes-
sions, yet there are substantial clifFerences in
the way these professions are regarded in
other countries.
It is interesting that in the USSR the
majority of doctors are women. In Finland
672
ONTARIO LEGISLATURE
most dentists are women and architecture is
considered as suitable tor women as it is for
men. Until the development of obstetrics
only women assisted other women in child-
birth and it was considered wrong for men
to assist. Really there are few feminine or
masculine occupations. It just depends on
the place one lives and the town m wliich
one lives.
The labour force study by the Ontario
provincial government found that generally
working women were better educated than
men. In 1970 it was estimated that 30 per
cent of the female labour force in Ontario
had completed high school compared to 18
per cent of the working men. Men overtook
women slightly at post-secondary level, since
15 per cent of working men and 12 per cent
of working women had some or complete
university education. Despite this, average
earnings of females are consistently lower
than the average earnings of men.
The survey conducted by the Boaixl of
Trade, which I intend to go into in more
depth, Mr. Speaker, was described as con-
fidential and only for the use of the Board
of Trade. It showed gross discrepancies in
the average weekly salaries: of male and
female employees in various industries.
Briefly, for example, and I intend to go
further into depth on this, Mr. Speaker, a
senior male clerk in a retail establishment
earned an average salary of $145 a week,
while the senior female clerk earned an aver-
age salary of $115 or 79 per cent of the
man's salary. The junior male clerk in the
construction industry earned an average
weekly salary of $100, while the junior female
clerk earned $84 or 84 per cent of the man's
salary. When these differences are examined
it is no wonder they were labelled as con-
fidential.
The Employment Standards Act states:
No employer . . . shall discriminate be-
tween his male and female employees by
paying a female employee at a rate of
pay less than the rate of pay paid to a
male employee, or vice versa, employed
by him for the same work performed in
the same establishment, the performance
of which requires equal skill, effort and
responsibility and which is performed un-
der similar working conditions.
However, it is well known that this type of
discrimination still exists in quite a number
of Canadian industries.
Some people still use the argument that
men should be paid more than women be-
cause thev are breadwinners and have a
family to support. Carrying that type of
reasoning to its local conclusion, Mr. Speak-
er, you would have to say that a man sup-
porting five children should be paid more
than a man supporting one child, and that
is obviously ridiculous in our society.
Most people have accepted the idea that
a person should be paid according to his or
her merit regardless of sex. In many cases
women have to work because they are the
breadwinners. Thirty-nine percent of all
women workers in Ontario are self-sup-
porting because they are either single, wid-
dowed, divorced or separated. Among mar-
ried women, some of them are the sole
breadwinners of the family because their hus-
bands are unemployed, disabled or stu-
dents. Even if the husband is employed, his
wife may have to work to supplement his
income. The wife's decision to work often
raises the family to a much better standard
of living.
In the past, once a woman was married,
she was considered as having lifelong eco-
nomic security. Today, this is simply not
true. Many marriages no longer last a life-
time and marriage breakdown is on the in-
crease. As an example, Mr. Speaker, in 1961
there were in Canada 36 divorces per 100,000
population. In 1970 this had increased to 136.
Quite apart from those women who are di-
vorced, there are those whose husbands
have deserted them, frequetly leaving them
with children for whom they have to care.
There are those, of course, who are sep-
arated. In fact, over a quarter of a million
working women, or almost one-tenth of the
female working force in Canada, are either
separated, divorced, deserted or widowed.
Add to these over one million single wom-
en who make up more than one-third of the
female laboiir force and the assumption that
female employees have no real need starts
to crumble.
In the past the family had been the cen-
tral focus of the woman's life. However, the
position of a woman in relation to her fam-
ily has already changed enormously if you
look back a few generations. Our great-
grandmothers spent a great deal of time
cooking and sewing for the family. A signifi-
cant part of her day was involved in the
large household and the work required to
maintain it. The large number of children
that she bore in her short lifespan, all made
life for our great-grandmothers very differ-
ent from what it would be like today.
For the maiTied woman 200 years ago,
life was often hard, with little time for
APRIL 2, 1974
673
leisure, but she would experience a sense of
being central to the survival of the mem-
bers of her family. Today modernization of
the smaller home and a flood of goods
and services have reduced this work. The
size of the family has decreased significantly
and women consistently have more leisure
time than ever before.
In the past a Canadian woman usually
spent most of her adult life caring and
looking after six or seven children. Today
the average is three children and the wom-
an's lifespan is much longer.
I firmly believe, Mr. Speaker, that wom-
en will have an increasingly important role
to play in our labour force. Much still
needs to be done to change outdated at-
titudes toward women who work but this is
slowly being accomplished. More women
must be attracted to the political world as
well, and I am sure I would probably get
the approval of the member for St. David
(Mrs. Scrivener). In this House of course,
Mr. Speaker, we have three female MPPs.
Considering the fact that 50 per cent of the
inhabitants of this province are women, I
feel there should possibly be more female
representation.
Just to digress for a moment, Mr. Speak-
er, I note that one of the outstanding wom-
en politicians of this countr}% Agness Mc-
Phail, was in fact the first woman elected
to the Canadian parliament. She was well
known across Canada and the US for her
wit and her compelling demand for social re-
form at a time, of course, when women's
lib was not all that popular. To a child
who was the eldest daughter of a back-
woods Ontario farmer born in a log farm-
house in 1890 and educated in a small
rural school, nothing could have seemed
less probable than a political career. She
was elected at age 33 to the House of
Commons.
In those days women's liberation had not
>et been invented, but Agnes McPhail sin-
cerely embraced the philosophy of equality
for the sexes. Throughout her life she had to
consider many times the opposite attractions
of marriage and a political career. Politics
consumed her life and attention but she felt
she could make room for the traditional
hnme, husband and family.
Mr. Speaker, if I might just read some-
thing that she said in parliament one day
v.hen she spoke on the subject of women's
rights and the diflRculty of acceptance by the
male, she wrote as follows:
'When I hear men talk about woman
being the angel of the home, I always.
mentally at least, shrug my shoulders in
doubt. I do not want to be the angel of
any home. I want for myself what I want
for other women, absolute eciuality. After
that is secured, then men and women can
take turns at being angels.
Mr. Speaker, I should briefly go into the
Roard of Trade figures which were publishe<l
—these figures came out in 1973. As I
mentioned before, the equal pay provisions
of the Employment Standards Act, one would
think, would correct this situation but in
spite of the legislation the figures rcleas^cl—
well, first of all, the figures JFrom the Minis-
try of Labour, women's bureau, in 1971 show
us, for instance, that with accounting clerks
the difference between male and female is;
male $111 a week, female $94; bookkeeper
senior, male $162 a week, female $124; cost
accounting clerk, $137 for a male, $104 for a
female; material record clerk, $133 for a
male, $94 for a female.
I can go on. For instance, the Board of
Trade figures which were released in Septem-
ber, 1972, show the following: In industr)-,
for a clerk the average male was making
$120 a week, a female $98; wholesale inter-
mediate clerk, male $130, female $105; and
so on. The figures range for all positions,
whether we talk about publishing, marketing
sales, construction, service trade, transporta-
tion. On average, the figures for females, as
a percentage of the male salary, range from
about 74 per cent to about 86 per cent
throughout.
Mr. Speaker, it appears obvious that the
Employment Standards Act either is not
being enforced or is just being given lip-
service. I think it's going to take some initia-
tive on the part of this government to see
to it that this situation is corrected.
For instance, Mr. Speaker, in fringe bene-
fits granted to female employees, I read
in a news release dated Feb. 7, 1973, that
the Ontario Minister of Labour (Mr. Guindon)
appointed a task force to examine the prac-
ticality in bringing into force section 41(g)
of the Human Rights Code; it read as fol-
lows:
The Ontario Human Rights Code
Amendment Act, 1972, does not apply to
any bona fide insurance plan that provides
life, accident, sickness or disability- insur-
ance or benefits that discriminate against
an employee because of age, sex, marital
status, until the day to be named b\ the
Lieutenant Governor or by his proclama-
tion.
The release went on to say that a task force
was being formed and said:
674
ONTARIO LEGISLATURE
This section is designed to eliminate
existing differentials in fringe benefits
•which today play an important part of the
total pay package. Women have been
badly discriminated against with regard to
pensions, especially in pension plans. This
discrimination must end quickly. It has
been and is still wrongly assumed that
women employees do not need pension
plans and that they do not have financial
responsibilities for dependants or that a
single female employee has no need for
any form of pension security'.
Mr. Haggerty: They survive their depend-
ants.
Mr. Roy: In view of the statistics that nine
per cent of the female labour force is separ-
ated, deserted, divorced or widowed, in view
of the dramatically rising divorce rate and in
view of the fact that 33 per cent of the
female working force is single, there is ob-
viously an imperative need for security for
these women that equal pension benefit rights
can provide.
Miss Sylvia Gelber, director of the wom-
en's bureau, Canada Department of Labour,
said in a speech in February 1973, that it
has almost been a tradition to set a so-
called normal retirement age for women
which was lower than that for men. A 1970
survey, "Pension Plans in Canada" by Sta-
tistics Canada, indicated that 23.2 per cent
of women now under pension plans are re-
quired to retire at an earlier age than men
under the same plans. Miss Gelber stated
that in many plans a man may have been
entitled to enter the pension plan after
one year of employment while the woman
in the same organization would only be
entitled to enter the same plan after five
years of employment.
When it is realized that the level of a
pension is generally calculated on the basis
of the number of years of employment, the
extension of the period before entitlement
at the beginning coupled with the shortening
of the period at the end, when an earlier
retirement age was fixed, would adversely
affect the level of a woman's pension.
It would be interesting to know what
the Department of Labour has done to
change some of these statistics in relation to
the pension plan.
Finally, Mr. Speaker, as of February, 1974,
statistics from the women's bureau, Canada
Department of Labour, show that in mana-
gerial occupations women make up three
per cent of the total average earnings, yet
the average earnings of men exceed those
of women by over 100 per cent.
In clerical occupations women make up
nearly 75 per cent of the work force, yet
the annual earnings of men exceed those of
women by more than 50 per cent. In the
service industries, into which much of the
rapidly increasing female labour force has
been absorbed, women account for almost
60 per cent of the total work force, but the
average earnings of men are more than twice
those of women.
In sales occupations, as in managerial
occupations, women make up a relatively
smaller proportion of all employees— about
one-third of the total. The earnings of men
exceed those of women by one to 1% times.
In the professional and technical occupa-
tions women make up more than 40 per
cent of the total. Teachers, nurses and li-
brarians account for about three-quarters of
all the professional women. This category
also includes doctors, lawyers and dentists,
the great majority of whom are men. The
earnings of the men exceed those of women
in these categories by something like 66
per cent.
Mr. Speaker, it appears obvious that in
spite of legislation which exists here at the
provincial level, a more vigorous and en-
thusiastic enforcement, not only in words
but in practice, must be done by the Min-
istry of Labour so that the women of this
province reach equal status with men.
The final thing I would like to say about
the problem of the status of women is that
the Law Reform Commission recently pre-
sented a report in relation to the status of
women and their rights in marriage and that
type of thing, and we would encourage the
government to look at this problem as early
as possible.
One of the things I have always found,
as a lawyer, to be an anachronism— some-
thing that's out of the past, something that
should no longer exist in today's generation
—is the matter of dower. Women have been
complaining about the matter of dower for
some time. As you know, Mr. Speaker, dow-
er relates to a married woman and involves
a one-third life interest in real estate upon
the death of the husband. Am I right?
Mr. J. R. Breithaupt (Kitchener): Yes.
Mr. Roy: I don't handle real estate
transactions very much, Mr. Speaker, so I'm
just rephrasing something that I learned in
my law school days.
^ _.
APRIL 2, 1974
675
Many provinces have done awav with
this question of dower, and I would sug-
gest that if the government seriously looks
at the question of law reform in the area
of women's rights, dower can be done away
with as well; the corresponding benefits can
be given to women, be it under the De-
pendants* Relief Act or another Act involv-
ing succession for women and we can do
away with this problem.
Everv time transactions take place in real
estate, they've always got to get somebody
to sign the documents. It's a problem that
causes difficulty in drafting and executing
documents.
If this problem were looked at by the
government from a total package point of
view, women would be the first to say that
this right of dower is something that is a
relic of the past, is no longer necessary in
1974, and in fact, probably hasn't been
necessary for the last 25 years.
Mr. E. \V. xMartel (Sudbury East) How
much longer?
Mr. Roy: What's that?
Mr. Martel: How much longer?
Mr. Sargent: We're not going to say. We've
got the women's vote now.
Mr. Martel: I don't care how long.
Mr. Roy: If you keep bugging me, I'll
repeat all this in French.
Mr. Martel: I don't care how long. I just
want to know how long the member is going
to be so that I have time to go the wash-
room.
Mr. R. F. Ruston (Essex-Kent): There's
time.
Mr. Roy: In any event, Mr. Speaker, this
party wants to go on record as looking at
this question of the status of women and
paying more than lip-service to it. We in
this party not only have candidates and mem-
bers of the other sex, we are in vigorous and
enthusiastic support of the status of women.
We do not simply pay lip-service to it, like
some of the male chauvinists on the other
side. These are basically my comments, Mr.
Speaker, and I thank you for your generosity.
Mr. Speaker: The member for Sudbury
East.
Mr. E. W. Martel (Sudbury East): Mr.
Speaker-
Mr. A. Carruthers (Durham): Well, let's
have it.
Mr. G. Nixon (Dovercourt): Stand up, Elie.
Mr. Martel: Shall I get on the chair?
An Hon. member: Get under it.
Mr. E. Sargent (Grey-Bruce): Is this the
same speech as last year
Mr. J. E. Stokes (Thunder Bay): I think
he should go and see a chiropractor.
Mr. Marteh It's obvious, Mr. Speaker, that
the chiropractors* dinner has got to some of
my friends across the way.
Mr. G. Nixon: How about you, Elie?
Mr. Martel: I wouldn't even associate with
anyone who was at that type of function.
Mr. Carruthers: Where's that chiropractor?
Mr. Martel: Let me say that I, like everyone
else in this chamber, am absolutely delighted
at the recovery of Mr. Speaker, whom all of
us know has given this House some of the
fairest type of rulings that we have seen in
here in many a year. I well remember his
predecessor, and I only take my own term in
this House in making my remarks, because I
wouldn't want to go back beyond that stage.
Mr. F. Young (Yorkview): The member can't
talk about the member for Ottawa West (Mr.
Morrow).
Mr. Martel: No, my colleague says I cannot
talk about the member for Ottawa VV^est
who served as the Speaker, and certainly I
wouldn't. I only take it from the time I
came here.
Mr. Young: He was a very good Speaker.
Mr. Martel: And I found a tremendous dif-
ference in what Mr. Speaker's approach was.
There was a fairness about his rulings that
allowed this House to work in a better atmos-
phere, despite the tense situations that pre-
vail from time to time.
It is unfortunate, Mr. Speaker, that we in
this Legislature, where the inmates are the
only people who run the institution, have
never really moved to improve the condi-
tions for members. We put so much stress
on the members that we, in the last session
for example, would have four or five of our
members very badly afilicted, all of them
ending up in hospital with very serious con-
ditions. It has always amazed me that 117
of us, in fact, could put ourselves through
this type of torture when in fact we should
be here ordering the business of the House
in the best interests of people of Ontario.
676
ONTARIO LEGISLATURE
That backbenchers in particular would find
themselves so underserviced in tenns of staff
and assistance has always amazed me. I
guess it has amazed me because Tory back-
benchers are willing to accept it, where in
fact the cabinet — we didn't see any of the
cabinet members collapsing last session, al-
though we saw five or six backbenchers who
were understaffed and overworked — had a
great deal of staff to do their reserach.
Mr. Sargent: They'll all eventually be re-
cycled in the cabinet, don't worry about it.
Mr. Martel: Maybe they are so busy try-
ing to get to the cabinet they haven't got
the fortitude to demand what is necessary
for a backbencher to carry on his function as
a member in this Legislature, but I want to
tell vou, Mr. Speaker, that the backbenchers
in this Legislature are very important. The
cabinet minister isn't short of staff. "Billy the
Kid," with his complement of 90, isn't short
of staff.
Mr. Speaker: Order please.
Mr. Martel: Don't interrupt me, Mr.
Speaker, at this stage. "Billy the Kid" has
got about 90. He's got about 90.
Mr. Speaker: Order please.
Mr. Martel: And I have spoken to nearly
every Conservative backbencher in this House,
who agree with me; and there isn't one of
them that has the courage to say it. In fact,
Mr. Speaker in his present capacity was in
Quebec not long ago, when the select com-
mittee visited Quebec, and the Quebec mem-
bers of that Legislature said to Mr. Speaker
that if they didn't have a riding secretary and
a secretary in Quebec City they just didn't
know how they could function.
We in this Legislature think we can go
on carrying the tonnage for the cabinet, who
have all of the services at their disposal; we
are willing to go on, and the Cabinet doesn't
even know the problems of the members of
this Legislature. They don't even recognize
them. The Camp commission, which was set
up to make it possible— I am not saying to
favour the members— to make it possible for
members to work in a meaningful way as
members of a Legislature, not ombudsmen,
has bombed in totality. We paid Dalton
Camp $260 a day or so to come up with
that type of report. We might as well have-
Interjections by hon. members.
Mr. Martel: We gave Doug Fisher and
Farquhar Oliver $160 a day each and got
recommendations a kindergarten class could
have come up with, really.
Hon. S. B. Handleman (Minister of Hous-
ing): I thought it was pretty good.
Mr. D. C. MacDonald (York South): Who
is that cabinet minister over there?
Interjections by hon. members.
Mr. R. G. Hodgson ( Victoria-Haliburton ) :
A good minister.
Mr. Martel: I'm not interested in red
herrings. I'm interested in the type-
Mr. P. J. Yakabuski ( Renfrew South ) :
Tell us about Manitoba then.
Mr. Carruthers: Tell us about B.C.
Mr. Yakabuski: Fishing co-ops, $50,000 in
the black to $50,000 in the red after the
socialists touch them.
Interjections by hon. members.
Mr. Martel: This, Mr. Speaker, is precisely
what I said a few moments ago when I said
the Tory backbenchers didn't have the guts
to say what had to be said. They will now
bring in the red herring. Why don't they talk
common sense?
Mr. R. G. Hodgson: The member is a
mackerel fisherman.
Mr. Martel: I'm some other type of fisher-
man too.
Mr. C. E. Mcllveen (Oshawa): He's a frog
fisherman.
Hon. Mr. Handleman: Watch out, the
member for Grey-Bruce says it's a good
speech.
Mr. Martel: Mr. Speaker, when one looks
at the five or six members of the back bench
who collapsed during the last session, includ-
ing Mr. Speaker, one has to wonder why we
get stupid remarks from that side of the
House. It reminds me of teachers, Mr.
Speaker—
An hon. member: Oh, don't bring them up!
Interjections by hon. members.
Mr. Martel: —who do all of their quibbling
in the teachers' room. Most of those people
who have just commented do all of their
quibbling in the back alleys, in the corridor
or in this chamber. When it comes time to
talk about the realities they try to run a red
APRIL 2, 1974
677
herring into it. There isn't a Tory over there
who doesn't know I'm right.
Mr. Camithers: Oh, I don't agree.
Mr. R. K. McNeil (Elgin): I didn't think
he was, but if the member is right, it is the
first time.
Interjections by hon. members.
Mr. Martel: Mr. Speaker, I am delighted,
might I say, that the real Mr. Speaker is
very much better and I hope the government-
Mr. Sargent: He is repeating himself.
An hon. member: Yes, he is wandering.
Hon. Mr. Handleman: He was admiring
the member for Sudbury East up until a
moment ago.
Mr. Martel: The member for Grey-Bruce
can call it as he likes, I'm still delighted to
see Mr, Speaker is in good health; and if some
of the other Tories want to collapse from
exhaustion that's fine. I'm not too sure they
are interested.
An hon. member: That's terrible.
Hon. Mr. Handleman: He is not very kind.
Mr. Martel: Well it is true though. I can't
help it if it isn't kind, it is truthful.
Mr. MacDonald: It is the truth we want
more than kindness.
Mr. Martel: My friend the Minister of
Housing makes a comment. The Minister of
Housing would support, I know, a riding
oflBce so that his constituents who don't hap-
pen to be within the confines of Queen's
Park can phone him daily and would in fact
obtain the same type of service in their area
as those members from Toronto can provide
for their constituents because their secre-
taries are in Queen's Park every day. That
is in fact what I am speaking about—
Mr. Camithers: I have no difficulty.
Mr. Martel: —that my constituents in the
riding of Sudbury East are as entitled to be
able to be in constant contact with their
member as are those constituents of members
in the immediate vicinity of Toronto.
Mr. McNeil: The member will have to be-
come more available to his constituents.
Mr. Marteh —who can phone Queen's
Park daily to talk to a secretary of a member
who happens to be here. That service isn't
available to our constituents-
Mr. Camithers: The member will have to
pay some attention to his constituents.
Mr. Martel: —those of us who Uve beyond
the confines of Toronto.
Mr. Speaker, I want to speak at some
length on one specific topic-
Interjections by hon. members.
Mr. Martel: —but before I do there are
three or four minor topics I want to talk
about.
Hon. Mr. Handleman: It is contagious. He
sits right behind the member for Ottawa
Centre (Mr. Cassidy).
Mr. Martel: I want to talk about my friend
the Minister of Financial and whatever it is—
they change that name so frequently I can't
keep up with the changing of the name.
An hon. member: Consumer and Commer-
cial Relations (Mr. Clement).
Mr. Martel: Well, whatever it is.
An hon. member: His memory is not very
good.
Interjections by hon. members.
Mr. Martel: Sometime ago I presented to
to the minister two catalogues-
Mr. Yakabuski: Eaton's and Simpson's
Mr. Martel: — from Sears — one catalogue
from Windsor and one catalogue passed out to
the residents of northern Ontario in the Sud-
bury district. As I looked through those
catalogues I found great price differentials
for the people of the city of Sudbury and
in the area of Sudbury.
It used to be that we were told that it
was freight rates that made the difference
to northern Ontario, but I remind this House
that in fact the distance from Toronto to
Windsor is approximately the same distance
as the distance from Toronto to Sudbur>-,
about 265 miles, and I have to ask myself
why is there article after article that ranges
from a difference of $1 to $40 for the
people of the city of Sudbury.
Mr. McDveen: More expensive going
through the snow.
Hon. Mr. Handleman: They make more
money up there.
678
ONTARIO LEGISLATURE
Mr. Martel: Is that it? I would suspect
the Minister of Housing is right.
Interjection by an hon, member.
Mr. Martel: Whatever the traffic can ab-
sorb, that's what you charge them. I guess
that is the free enterprise concept. When we
questioned the minister he was not really able
to justify the price for his corporate friends,
And in both catalogues, even on motors of
the same size, the same weight, we had a
differential of anywhere from $5 to $10 to
$15. But I can only suggest that it's a cor-
porate rippoff.
Interjection by an hon. member.
Mr. Young: Just see how the tie and dress
go well over there.
Mr. Martel: Yes, right; that red tie yes. My
colleague draws my attention to that red tie
and that flaming red dress across the way.
Hon. A. Grossman (Provincial Secretary for
Resources Development): Is the member in
trouble again?
Mr. Young: That's what you call harmony.
Mr. Martel: Well, I just wanted to make
sure the member for St. Andrew-St. Patrick
(Mr. Grossman) was awake.
Hon. Mr. Grossman: Well, with the mem-
ber for Sudbury East speaking he'd have to
make sure.
Mr. Martel: Well, right; because with the
minister sitting there I am not sure much pen-
trates.
Hon. Mr. Grossman: Watch that language.
Mr. Martel: Well, I've got the seven-year
itch.
Well. Sears rip us off and I would .suspect
if this government were interested, one might
check the other groups of dealers and find
out that Eaton's and Canadian Tire, and all
these corporations in fact, do the same thing.
And what really bothers me is one point:
I have listened in this House for five years
and we have always been told it's transporta-
tion; but when you find that there is no
difference in distance, now what the hell is
it-
Hon. Mr. Grossman: Mr. Speaker, watch
Mr. Martel: —that allows them to charge us
S25 more per item-
Mr. R. Haggerty (Welland South): It is
government buying.
Mr. Martel: —except that the corporations
know full well that this Tory government
doesn't do a thing to equalize prices; except
equalize the price of beer, and that is a
farce.
Mr. Yakabuski: Working man's drink.
Mr. Martel: Well it might be the working
man's drink.
Mr. Yakabuski: You see, the member for
Sudbury East has no regard for the working
man.
Interjections by hon. members.
Mr. Haggerty: The member for Sudbury
East is not a working man, is he?
Mr. Martel: I want to address to my friend,
the minister, some remarks about Morrow,
Wickett and Ross A. Shouldice. I spoke in
this House two years ago about that holy
triumphant of three Tories.
Mr. J. P. MacBeth (York West): "Trium-
phant," there's a good word.
Mr. Martel: The Tory bagman for the
Sudbury area, Ross A. Shouldice, has been
charged by Ontario Housing Corp. And
within the next 13 days. Morrow and Wickett,
because no charges have been laid against
them by the Ministry of the Attorney Gen-
eral or by the Ministry of Consumer and
Commercial Relations, will apply for another
licence to go on their merry way to con-
tinue to ripoff the people of the Sudbury
area.
All the evidence was gathered in that
investigation two years ago. Morrow and
Wickett were allowed to surrender their
licence without having it taken away from
them for real estate purposes. They will be
in a position as of April 13 or April 15 to
ask to have their licence reinstated.
In another 12 or 13 days we will have
that Tory hack group— and they are all well
known Tories— continue to sell houses in the
Sudbury region, fleecing people left, right
and centre; as they did in the member for
Algoma's community of Blind River. They
will be able to go on their way ripping
people off. This is despite the fact that every
investigator from the Ministry of the Attor-
ney General and the Ministry of Consumer
and Commercial Relations has felt there
should be charges laid. There will not have
been a charge laid by this government, not
a charge.
APRIL 2. 1974
679
Mr. MacBeth: Triumphant!
Mr. B. Gilbertson (Algoma): They won't
get away with it.
Mr. Martel: And those thieves, those thugs,
within two weeks will be back seUing real
estate-
Mr. Gilbertson: There's going to be no
ripofF in my riding.
Mr. Martel: —with the blessing of the
former Attorney General, who was the former
Minister of—
Interjection by an hon. member.
Mr. Martel: —Municipal Affairs, the mem-
ber for York Mills (Mr. Bales).
Mr. Yakabuski: Does the member for Sud-
bury East allow ripoffs in his riding?
Mr. Martel: So far we can't catch up to
them.
I want to tell you, Mr. Speaker, that it's a
disgrace that this government would not have
laid charges against those groups; and I want
to tell you that it's my intention again at
some later date to bring a good deal more
new material to this debate on these things.
I make that charge here as I would outside
this House if someone doesn't think I would.
As members know, they have already sued
me once for $100,000. Within the last six
months I have been threatened with another
law suit by a close connection of that group
but when we start putting our lawyers on to
testing the validity they immediately back oflF.
I suspect their case isn't very strong.
Mr. MacDonald: It's what one calls a
blufiF.
Mr. Martel: Yes, that's right. They want to
keep us quiet. It's interesting, though, that
every time a Tory cabinet minister—
Hon. Mr. Grossman: Imagine making the
member shut up; imagine that.
Mr. MacDonald: What a dreamer.
Mr. Martel: Every time a Tory cabinet
minister came to Sudbury, Mr. Morrow was
out to pick them up. That might tell mem-
bers why.
Oh, yes. Every time Mr. Lawrence— re-
member the white knight of Ontario, when
he was the Attorney General?— every time he
came to Sudbury Mr. Morrow was there to
pick him up at the airport. He ferried him
around the city. All the Tories in that area
now disclaim any acknowledgement of Mor-
row, Shouldice and Wickett, but in fact, every
cabinet minister from the former Attorney
General down, when they came to Sudbury,
were picked up by Mr. Morrow.
Hon. Mr. Grossman: That's wrong.
Mr. Martel: No, it's not wrong.
Hon. Mr. Grossman: I don't think I've ever
met Mr. Morrow.
Mr. Martel: Well, I'm telling the minister
he is dead wrong.
Hon. Mr. Grossman: There must be some-
thing wrong with me.
Mr. Martel: There is. Senility has set in
Hon. Mr. Grossman: I must be way down.
Mr. Martel: Yes, but I don't think the
minister ever came to the area.
An hon. member: We weren't going to say
anything about that.
Hon. Mr. Handleman: Are we supposed to
let the member know when we are coming?
Mr. Martel: Some do.
Hon. Mr. Handlenvan: Why doesn't he pick
us up?
Mr. Martel: I have picked the occasional
cabinet minister up. Mr. Speaker, I have-
Interjections by hon. members.
Mr. Martel: —one last point I want to talk
about before I get into the major topic.
An hon. member: We thought he was on
it.
Mr. Martel: I was just fencing here a little.
It's the annoimcement by the Minister of
Natural Resources (Mr. Bemier) who, some
time ago in a press release, said "Ore Search
to Receive Tax Breaks." In other words, we
are going to give more tax concessions not
only for mining companies but for anyone
else who might want to explore or try to
discover the natural resources in northern
Ontario.
An hon. member: That was in September
last year.
Mr. Martel: No, this was within the last
month.
Interjection by an hon. member.
680
ONTARIO LEGISLATURE
Mr. Martel: I don't know when they are
going to give it to them but that's what the
minister wants to do. That flies in the face of
everything the select committee on economic
and cultural nationalism has been studying.
The select committee on economic and cul-
tural nationalism-
Mr. Sargent: Did they go to Europe?
Mr. Martel: Yes, we went to Europe and
we found out that no European country
allows its natural resources to be developed
by outside interests.
Mr. Sargent: Is that right?
Mr. Martel: That's right. The member
might learn that, but his Liberal friends have
been giving it away just as the Tories have.
The minister wants-
Mr. Haggerty: What is Barrett going to do
in British Columbia, a sellout with Japan?
Mr. Ruston: They are going to take it over.
Mr. Martel: I understand—
Hon. Mr. Handleman: He has taken every-
thing else over.
Mr. Martel: I suggest the minister might
read what Barrett has advised the mining
industry on what they are going to do. In
Ontario we are going to give more tax con-
cessions. I'm just wondering—
Hon. Mr. Grossman: How did the member
get into Europe?
Mr. Martel: The minister should have come
with us.
Mr. I. Deans (Wentworth): He doesn't get
to go anywhere.
Mr. Martel: It's interesting, Mr. Speaker,
that the select committee discovered the main
reason the Americans were here was the
cheap source of natural resources for Ameri-
can production. And here we have the Minis-
ter of Natural Resources in Ontario suggest-
ing we should give more tax concessions to
allow the Americans to come in and take
more out.
I hope the Minister of Housing, when that
comes before cabinet, prevents that, because
he happened to sit on that select committee.
He should be in a position to take on the
Minister of Mines over this nonsense of his to
give more tax concessions to more outsiders
to exploit and discover the natural resources.
Hon. Mr. Grossman: He is going to have a
hard time finding a Minister of Mines.
Interjections by hon. members.
Mr. Martel: No, that's right, he didn't.
That's what I'm saying— I hope my friend the
Minister of Natural Resources is taken on
by my friend, the Minister of Housing.
Hon. Mr. Handleman: He is far tougher
than I am.
Mr. Martel: He is tougher than the minis-
ter? Not with the mining companies he ain't.
He's right in the hip pocket of those boys.
An interesting article on mining appeared at
the same time, Mr. Speaker.
Mr. Speaker: Order, please.
Mr. Sargent: How long is the member
for Sudbury East going to speak?
Mr. Martel: Does the member want to
leave? I won't miss the member for Grey-
Bruce at all.
Interjections by hon. members.
Mr. Martel: There is an interesting article
in the Sudbury Star.
Mr. Sargent: That's the same speech the
member made last year.
Mr. Speaker: Order, please.
Interjections by hon. members.
Mr. Martel: There was an article in the
press recently, Mr. Speaker, with respect to
why people weren't exploring or out to ex-
plore. This article by Richard Anco said:
Is it an oversimplification to blame NDP
governments and stiffer taxation for the
marked drop of exploration dollars spent in
Canada? Or have the boom years accounted
for most of Canada's easily accessible
mineral deposits?
The Prospectors Association was told
that exploration expenditure for all mining
companies declined 22 per cent in 1972
and 30 per cent in 1973.
Despite record-making profits by most of the
mining companies in Ontario in 1973, their
exploration dropped by 30 per cent. The
stupidity that comes from this government is
that we had better give more companies, not
even those involved in mining, more tax
concessions to explore. They reduced it.
For example, my friends at Falconbridge's
profit was up 1,100 per cent. At Inco their
profit was up at over 100 per cent. We have
APRIL 2. 1974
the minister responsible for mining in Ontario
saying we have to give more tax concessions
so they will explore. Well that is a lot of
garbage.
If that is all the Tories have for policy,
then I say they are bankrupt. If the mining
companies simply have to reduce their ex-
ploration year after year to extract from this
government more in the way of tax con-
cession, then I say that the government is
sick.
What, my colleague, the hon. member for
Wentworth and I have been trying to get
in the select committee is a development
corporation sponsored by the government,
a Crown corporation. I don't think we have
to buy these beggars to come in here to
exploit our natural resources. I don't think
we have to give our shirt away and we are
doing that today.
Interjections by hon. membe: ;.
Mr. Martel: This government is so enam-
oured of the corporate people like Powis.
There are some interesting statements that
come from Powis, the head of Noranda. They
recently said that workers don't want to work
in the mining industry. Members will recall
about a month ago the mining association
said that workers were lazy and didn't want
N to go to the mining communities.
It is obvious why. They say the people are
lazy. That has nothing to do with it. When
they cut back the mining industry is never
hurt; but cut back and guys lose their jobs
and their homes. We have had a reduction of
5,000 workers at Inco alone in the last 18
months and Inco's profits doubled during that
time. We have Powis and representatives from
Inco saying, the workers are lazy and they
don't want to go work in a mining com-
munity.
But would you, Mr. Speaker? Would you
go into a mining community and buy a home
with the type of boom-bust economy that
these beggars play around with where they
hire and overhire and overproduce and then
layoff up to 5,000 men because of attrition
and so on? One can't expect workers to go in
and face that type of crisis. But Powis makes
those statements.
There was an interesting statement by
William Mahoney recently about the reaction
of Powis. In fact I will tell members whom
he was talking to; Boise of Quebec Cartier
Mines and Norman Wadne. We had a good
deal of experience with Norman Wadce. He
used to be with Inco until they dumped him.
Now he is with the Ontario Mining Associa-
tion and he is making all kinds of platitudes
on their behalf. Dome Mines and Kerr-Addi-
son have never worried about a community
they were in. My colleague, the member for
Nickel Belt (Mr. Laughren) and my colleague
the member for Sudbury (Mr. Germa) and my-
self were at a meeting recently with Inco
and Falconbridge and we said to them: "Lx)ok,
you have got to tell the regional ct)uncil and
the local municipal councils about your lay-
offs and your over-expansion .so that in fact
the municipal councils can make read>- for
these sort of conditions." The PR man from
Falconbridge, Norman Green, said to us: "You
people don't have a right, nor do the city
fathers have a right, to know when we are
going to over -expand or when we are going to
hire or when we are going to lay off."
Interjection by an hon. member.
Mr. Martel: We reminded him that those
natural resources belong to us and not to
Falconbridge. And if this government had any
courage, it would insist that Falconbridge and
Inco tell the municipal fathers, who have to
put in the new subdivisions and who have
to add onto the new schools and who have
to make all the arrangements. This can't be
tolerated, because in Sudbury in 1971 we
had the highest number of people looking
for housing in Canada.
Mr. Sargent: That's right.
Mr. Martel: The vacancy rate was zero. It's
22 per cent today in the apartments and in
total it's 9% per cent in the city; and every-
body is losing their shirt except Inco and
Falconbridge.
The municipality put in new subdivisions.
They put in new sewer and water systems,
as we did in my municipality of Capreol, to
allow for this expansion. And when Inco got
finished and Falconbridge got finished, they
laid off and we have moved from 19,000
hourly-rated men in Copper Cliff to less than
14,000.
And who has suffered the hardship? Inco?
They doubled their profits last year, from
$109 million in 1972 to $227 million. I am
right. The minister, the think-piece over there,
doesn't believe me. He can ask his friend
the Minister of Housing.
Interjection by an hon. member.
Hon. Mr. Grossman: I have an idea that
wasn't a parliamentary remark even though I
didn't hear it.
Mr. Sargent: That's the way it is supposed
to be.
682
ONTARIO LEGISLATURE
Mr. Martel: It's the municipality that picks
up the pieces, and the local taxpayer who
picks up the pieces, and it doesn't cost Inco
or Falconbridge a cent. It's the federal gov-
ernment that pays to bring workers in and
then pays to take workers out.
Mr. F. Laughren (Nickel Belt): But their
contributions to the Tory party go up.
Mr. Martel: Yes; and you know, our type
of municipality can't support that, and that's
why people don't go into mining municipali-
ties to work, regardless of the irresponsible
statements by Powis and Norm Wadge. Be-
cause if they go into a municipality like that
and they buy a home and there's a reduction
in staff, these people lose their shirt.
The company doesn't lose a cent. They
never have, and this government has never
had the courage to say: "Wait a minute, let's
get some rationale in the development of
these natural resources. Let's get a handle on
the way we will produce and the amount we
will produce, in a steady continuous growth
pattern but not boom and bust." We from
the north have experienced the boom-bust
economy for years and the Tories have never
had the courage to say to industry: "Now
wait a minute gentlemen. That type of opera-
tion and that type of performance simply can-
not be tolerated by those communities any
longer, because it's the general taxpayer who
pays the shot."
Mr. Laughren: No guts,
Mr. Martel: That's right.
I want to say that I was delighted to hear
that the government was considering a Crown
corporation. Hopefully nert week we will see
it in the budget.
Mr. Laughren: I can imagine.
Mr. W. Ferrier (Cochrane South): That will
be some Crown corporation.
Mr. Martel: I have a suspicion that all the
Tories will do is do the exploration on behalf
of the mining companies and then turn it
over to them.
Mr. Laughren: That's right. They are giving
them serviced lots and they develop their
serviced lots and make more money,
Mr. Martel: Right. In fact as one planner
told me, he said with serviced lots it won't
go down one cent. They won't pass the sav-
ing on to the consumer. Just increase their
profits.
Mr. W. Hodgson (York North): Who told
the member that?
Mr. Martel: A planner told me that within
the last week.
Well the real topic I want to talk about—
Mr. W. Hodgson: Come on. The member
has to back up these statements.
Mr. Martel: I suggest that if the member
wants to take pen in hand he should write
one Mr, Herb Akehurst, who is the regional
engineer for the regional municipality of
Sudbury. Would the member do so?
He asked me to put it on the line and I
put it. Would he check it out now? No.
Mr. Laughren: No, of course not. He'd
rather not hear the truth,
Mr. Martel: No. He shoots his mouth off!
What I want to talk about really at some
length, is this government's response to the
community-based services.
Mr. W. Hodgson: The member has come a
long way, but now he's spoiling it.
Mr. Martel: Why doesn't the member
leave? If he has nothing positi\e to contri-
bute, why doesn't he leave?
Mr. Laughren: He's a flannel mouth,
Mr. Martel: I want to talk about the com-
munity-based services at some length. These
emerging services are not only in Metro To-
ronto or in my community, my colleague
from Wentworth has a question tonight of
the Minister of Community and Social Serv-
ices (Mr. Brunelle). The deception which
has been perpetrated on those groups by
this government is something to behold.
For three years information services have
been waiting for a reply. It's being studied;
three years and no answers. That's what my
friend and colleague, the member for Went-
worth, is going to speak to the Minister of
Community and Social Services about, so I
don't want to get involved in that.
Mr. Ferrier: Is that the government there?
Mr. Martel: Community services started
developing a good long time ago. They de-
pended on the United Fund-
Mr. Laughren: Is that the government
there? Is that what represents the Province
of Ontario over there?
Mr. Martel: They did it through the Red
Feather—
APRIL 2, 1974
683
Mr. Speaker: Order, please.
Mr. Laughren: They've got to be sick.
Mr. Ferrier: It was a disaster.
Mr. Martel: They did it through private-
Mr. Laughren: Why don't they whip the
government members into the House? It's
ridiculous. How many cabinet ministers?
There are only three cabinet ministers in
the House tonight for this debate.
Hon. Mr. Grossman: We have three cabi-
net ministers, the member has only six mem-
bers there. What does he want?
Mr. Laughren: How many members has
the government got?
Mr. Speaker: Order, please.
Mr. Laughren: It should ha\ '■ at least as
many cabinet ministers.
Mr. Ferrier: It should have 25 membersi
Interjections by hon. members.
Mr. Speaker: Order, please!
Mr. Laughren: The Tories have no respect
for the legislative process.
Hon. Mr. Grossman: We have one minis-
ter for ever\- two NDP members. Come on
now; that's not bad.
Mr. Ferrier: The minister's colleagues are
still up at the chiropratic do.
Mr. Speaker: Order. The hon. member
for Sudbury East has the floor.
An hon. member: We've got more in our
rump than the NDP has in the whole party.
Interjections by hon. members.
Mr. Speaker: Order.
Mr. Ferrier: Get that rowdy member
under control, Mr. Speaker.
Hon. Mr. Grossman: Where's his leader?
He can't even be here.
Mr. Martel: Where's the minister's?
Mr. MacDonald: Where's his leader?
Mr. Martel: Where's his?
Mr. Ferrier: Where's his leader?
Hon. Mr. Grossman: I asked the member
first.
Mr. W. Hodgson: If they haven't got
Donald MacDonald, they've got nothing!
Mr. MacDonald: Thank you.
Mr. Ferrier: Is this the government, really?
Mr. Laughren: Is this the government?
What a bunch.
Interjections by hon. members.
Mr. Laughren: Come on, get us some
government members over there. Get us
some cabinet ministers.
Mr. Speaker: Order, please.
Interjections by hon. members.
Mr. Laughren: What a pathetic represen-
tation!
Mr. Martel: Mr. Speaker, these various
groups started to develop because the
government failed—
Hon. Mr. Grossman: Isn't the member
glad I came in? I woke everybody up.
Mr. Martel: —to meet the social needs
in certain fields of service to people.
Mr. Laughren: In all fields.
Mr. Martel: We saw the Metro emergency
shelter come into development. We saw the
community information centres come in. We
saw the drop-in services come in. We saw
the daycare services come in. We saw the
church groups come in. All were trying to
pick up the pieces of the delivery of social
services to people and this government failed
in totality-
Mr. Laughren: The Band-Aid government!
Mr. Martel: —to develop the types of
services for people. We saw volunteer groups
try to pick up the pieces all over. The minis-
ter—the think-piece— knows full well that
he met with an information group last week
which is providing a tremendous service in
his community.
Hon. Mr. Grossman: At first I thought he
was saying pink piece.
Mr. Martel: That might have been closer to
the truth, but I don't want to insult the
minister.
Mr. MacDonald: Don't he self-conscious.
Hon. Mr. Grossman: Isn't the member glad
I gave him a line? It's the brightest line he
has had all dav.
684
ONTARIO LEGISLATION
Mr. Mattel: Right. Most of the services
which developed were volunteer in nature.
They had no funding.
Mr. Laughren: No thanks to this govern-
ment.
Mr. Martel: They had no permanent fund-
ing and their staff wasn't on a continuity
basis, so that although they realized the
necessity for services, they just couldn't pro-
vide them. This government certainly wasn't;
and if the Ministry of Community and Social
Services is saying it's meeting the needs of
this community, that's a lot of bunk! There
isn't a person in this Legislature who doesn't
realize that. The Ministry of Community and
Social Services is so full of holes and so full
of an inability to deliver the needs of the
people in this community, in this province,
that it's sick.
Mr. W. Hodgson: He isn't nearly as good
an actor as the member for Port Arthur ( Mr.
Foulds).
Mr. Gilbertson: Wrong again.
Mr. Martel: Wrong again?
Mr. Gilbertson: The member is wrong
again.
Mr. Martel: Mr, Speaker, I only suggest to
the member for Algoma—
Mr. Gilbertson: He is wrong again.
Mr. Martel: —if he were to pick up the
report-
Mr. Gilbertson: Wrong again.
Mr. Martel: —and I'm sure he never reads
it— from the northern affairs oflBcers he would
find that of the complaints and problems
which come to northern affairs officers by far
and away the largest number are in the field
of Community and Social services. Now, I
suggest he reads the report.
Mr. Gilbertson: Same old jargon.
Mr. Martel: I suggest the member reads
the report before he shoots his mouth off.
Mr. Laughren: He doesn't care.
Mr. Martel: He's never read a report in
his life.
Mr.^ Laughren: The member for Algoma
doesn't care about that,
Hon. Mr. Grossman: Don't strike that man!
Mr. Laughren: He needs striking.
Mr. Martel: Would the minister tell him to
read something? Just for once?
Hon. Mr. Grossman: He knows more
without reading than with all the reading the
member has done in his life.
Mr. Martel: He knows zilch.
Mr. MacBeth: What has the member for
Sudbury East read recently?
Interjections by hon. members.
Mr. Martel: It said, Mr, Speaker, these
in fact were volunteer groups who lacked
funding and didn't have the permanent staff
and couldn't provide the continuity of service
that was necessary. Those who did, in fact,
were provid'ng services very sincerely, but
the commun ly didn't know that the services
were availal e in many instances. I'm going
back a numl ^r of years now as I pick up the
chronology of this problem.
Mr. Sargent: The member is not com-
municating.
Mr. Laughren: The member for Sudbury
East is right again.
Mr. Martel: The churches, for example,
catered to their own particular congregation,
but in fact the people beyond that congrega-
tion didn't know that the services were avail-
able, so that they weren't meeting a com-
munity need. I'm not being critical of the
churches; I'm saying that they tried. They
just didn't know. They didn't have a per-
manent staff. It was all voluntary.
The services often became very inflexible,
very tightly knit around any particular re-
ligious denomination.
An hon. member: Why was that?
Mr. Ferrier: A lack of funding.
Mr. Martel: What occurred, despite this,
was that the need continued to escalate with
the lack of funding.
Mr. Ferrier: It was the lack of funding.
Mr. Martel: The attitude of these people
was genuine, if somewhat paternalistic, but
they were attempting to fill the void created
by the failure of this government, through
Community and Social Services, to be able
to deliver services to people.
Two or three years ago the federal gov-
ernment panicked. They had a high unem-
ployment rate and they really didn't know
APRIL 2, 1974
685
what to do to prevent these people showing
up on the unemployment insurance rolls so
they provided Opportunities for Youth fund-
ing and they provided LIP funds.
But interestingly enough, the criterion laid
down was that people could only go into the
field of delivering services, because what the
LIP people were faced with was that they
couldn't compete with the business commun-
ity. That was one of the guidelines laid down
by the federal government, that if you got a
LIP fund you couldn't, in fact, compete with
the free enterprise system. So where in fact
could they go? They were actually forced into
services to people.
Having that happen really started to show
the loopholes, or the total lack of program-
ming by the ministry. Contrary to wnat Tory
cabinet minister after Tory cabinet minister
has said, those who attempted to obtain the
funding were not young people. In fact the
people who made immediate use of LIP
grants were people like the YMCA, the settle-
ment houses, the multiple service centres
which had developed, such as the Woodgreen
community centre. The Metro Social Plan-
ning Council-
Mr. Laughren: Good example.
Mr. Martel: —immediately started to pick
up the funding that was available for LIP.
It wasn't the youth that the minister respon-
sible for the Youth Secretariat (Mrs. Birch)
talks about, not at all; in fact, it was those
long-established community services, the
YMCA and so on. They knew how to apply,
and they were aware of the needs of the
community.
What most of them did, of course— the
YMCAs and the YWCAs in Toronto-was
they sponsored all kinds of groups; they
helped them to fill out the forms and to
obtain the LIP grants that were necessary
in order to get federal funding, because for
the first time there was funding to provide
services to people.
Mr. V. M. Singer (Downsview): Mr. Speak-
er, I wonder if the member would allow me
to interrupt to tell you about the election
results in Nova Scotia tonight?
Mr. Martel: Oh, that would be great!
Mr. Singer: Thirty-one Liberals, 12 Tories
and three NDP.
Interjections by hon. members.
Mr. Martel: How many did the NDP win?
Mr. Singer: Three.
Mr. Martel: Well, that is an increase!
Mr. MacDonald: They're on the way up.
Interjections by hon. members.
Mr. MacDonald: Mr. Speaker, that's a 50
per cent increase— greater than any other
party.
Hon. Mr. Grossman: Imagine-another 35
years and they'll be right in there.
Mr. MacDonald: There was a 50 per cent
increase in members and a 100 per cent
increase in popular vote.
An hon. member: They gained one seat,
one lousy seat.
Mr. Martel: Well, I would prefer to win
an extra one than lose one.
Hon. Mr. Grossman: That's brilliant.
Mr. MacDonald: That's what the Tories did
—they lost.
Mr. Martel: How many did the Tories
lose?
Hon. Mr. Grossman: We lose all the battles
and vnn the wars.
Interjections by hon. members.
Mr. Speaker: The hon. member for Sudbury
East has the floor. I suggest that he continue.
Mr. Martel: I am trying to, Mr. Speaker.
I want to make the point very clearly that
contrary to what a number of Conservative
cabinet ministers have attempted to portray,
it wasn't the young people who went out
initially and got the grants from LIP. It was,
in fact, the long-established community serv-
ices in Metro Toronto that were able, because
they knew how to get the funding. They were
the people who made use of the LIP grants.
It wasnt the youth, as was implied by the
minister responsible for the Youth Secretariat,
the Minister of Community and Social Serv-
ices and a few more over there. It was the
long-established ser/ices.
Hon. Mr. Grossman: I don't think they im-
plied anything of the kind.
Hon. D. R. Timbrell (Minister without
Portfolio): What has the member got against
young people?
Mr. Martel: I have nothing against them;
and I'll come to that. The point I make to
my friend across the way is that the attack
on the LIP programme and the government
ONTARIO LEGISLATURE
refusal to fund it have always been directed
against the youth—
Hon. Mr. Grossman: Who said so?
Mr. Martel: I'm going to quote— and I hope
the minister is here in a few moments when
I quote some of the statements of the minis-
ter responsible for the Youth Secretariat—
Hon. Mr. Timbrell: Go ahead:
Mr. Martel: I just hope he stays around.
Mr. J. A. Taylor (Prince Edward-Lennox):
He'll be around longer than the member.
Mr. Martel: Well, he has got to catch up
by four years— and I don't think he had 55
per cent of the vote last time.
Hon. Mr. Timbrell: I only had 51 per cent,
it was my first election.
Mr. Martel: That's all right. Eat your
heart out.
Hon. Mr. Timbrell: It Mali be 65 per cent,
next time.
An hon. member: Oh, 75 per cent.
Mr. Gilbertson: He'll be the Premier of
the province some day. Mark my words.
Hon. Mr. Handleman: That's what is
called overkill.
Mr. Martel: Mr. Speaker, I am never over-
confident.
An hon. member: What did you get in by
last time?
Mr. Martel: Fifty-five per cent.
Mr. Speaker: Would the hon. member for
Sudburv- East address his remarks to the
Chair? ■
Mr. Martel: I am saying that the longest-
established groups provided the basis on
which the emerging services obtained their
expertise to gain funding.
Hon. Mr. Grossman: The member means
the Conservative groups. Why doesn't he
say it?
Mr. Martel: No, no. Is the minister saying
that the YMCA is a Conservative group?
Hon. Mr. Grossman: Yes, of course.
Mr. Martel: Why don't the Conservatives
fund them, then?
Mr. Laughren: Why don't the Conservatives
channel some of their election funds to the
YMCA in that case?
Mr. Martel: In any case, Mr. Speaker,
maximum use was made of LIP to obtain
funds and, for the first time, there was
developed a whole range of social services
that had been missing before— services which
the government was not able to fund and
will never be able to fund because, as I said
during the minister's estimates because it
calls on volunteers, although they need full-
time workers. For the first time these services
developed— and I am going to list some of
them. They included such things as the free
interpreter service for immigrants — for the
Chinese, the Italians, the Greeks, the Portu-
guese, who make up a third of this city— and
to which this cruddy government puts
$100,000 for the total province, $100,000.
Mr. Laughren: CRiddy. Hear that? Cruddy.
Mr. Martel: Cruddy. I'm going to come
back to that, too.
Hon. Mr. Grossman: That's unparliamen-
tary.
Mr. Laughren: It's appropriate, though.
Mr. Martel: I don't care whether it is
parliamentary or not. The trick that this gov-
ernment laid on these young people and the
other groups in avoiding funding them is
something to behold and that is what I am
going to document.
Another group was Adjustment into Society
Inc. The former one was dealing with immi-
grants; the next one deals with health. It is
a community-supported programme— no sup-
port from the Tories— which takes people out
of 999 Queen and is an intermediate step in
getting them back into the community. The
funding from the Ontario government to that
group is zilch.
That is in Health. I just want to point out
that there are seven fields which are in-
volved here. Daycare centres— one of the few
daycare centres in Toronto is one of these,
which in fact provides daycare service beyond
4 o'clock. It provides daycare service at
night— not funded by this government; no
way. But that is just a third of the seven
types of services provided.
The birth control and the VD information
centre— do the members know what is done
there? They are asked to go to the hospitals
to provide translation services to the ethnic
community. They are asked to go to the
high schools and so on. They work in the
APRIL 2, 1974
687
ethnic community. And unlike Ae former
Minister of Health with whom I used to
argue all the time— maybe that is why he was
canned— they believe in family planning. The
former Minister of Health didn't agree with
family planning. He said that should be left
entirely to the family physician. He didn't
believe in community clinics to help people
plan their families; he said the family physi-
cian did that. Well, that's a lot of gobblede-
gook. This group was trying to provide that
service in the high schools, in the hospitals
and so on— no funding.
Eastview Neighbourhood Association is a
nuilti-service centre. This government has
now started another study, after three years.
They are going to study multi-service centres.
That was in a recent statement by the think
piece for social services. These people deal
with children after school and in the evenings,
and they deal with senior citizens; but there
is no funding.
There is another group called Smile: It is a
cultural group made up of 11 people and
they go into hospitals for the aged and the
crippled and so on. This group of 11 pro-
vides entertainment. I have their schedule for
the next couple of months. It is interesting
that this government will willingly fund the
Toronto Symphony, the opera, you name it.
For whom— the wealthy? Who else can go to
the O'Keefe Centre?
Mr. Taylor: The member would be sur-
prised.
Mr. Martel: These groups of professional
actors are playing for only the poor people
but they can't get funded. We provide all
kinds of funding for 11 or 12 programmes
down at the minister's favourite bastion,
Ontario Place— free concerts.
Hon. Mr. Grossman: No, my favourite
place is the Brunswick Hotel.
Mr. Martel: I wouldn't be surprised.
Hon. Mr. Grossman: It is the greatest
place in the city.
Mr. Martel: This group called the Smile
cultural group play for senior citizens, they
go into homes, they go into schools and a
whole range of things; no funding. For ex-
ample, on March 4 they were at the Leisure
World Nursing Homes; on March 5 they
were at the Young at Heart, another nursing
home; on the sixth they were at the Centre
for Creative Living on Bathurst in the after-
noon and the Hilltop Acres in the evening;
on the seventh thev were at the Cliffcrest
Friendship Club; on the eighth they were at
the Edgeley Apartments; on the lllh they
were at Falstaff Community Centre; on the
12th— it just goes on and on as they provide
a type of culture that most of the people
we are talking about would never obtain.
Yet the government is constandy willing to
pour funds into recreational facilities, into
the Royal Ontario Museum, and so on, that
many many people can never get to see.
Many people in senior citizen homes could
never get out to see these things
Mr. Laughren: Right.
Mr. Martel: We won't fund them; but
we'll fund the bloody Toronto Symphony
where every rich banana can get down to
the O'Keefe Centre to attend.
Mr. G. Nixon: Shame.
Mr. H. C. Parrott (Oxford): How can the
member say that?
Mr. Martel: What?
Mr. Parrott: How could the member say
that to us.
Mr. Martel: Well.
Mr. G. Nixon: Discrimination.
Mr. Martel: Listen to the troglodytes.
An Hon. member Oh, the member should
not be so crude.
Mr. Martel: Right out of the dark ages.
I wonder how those people in the—
Mr. G. Nixon: When did the member at-
tend his last symphony?
An hon. member: Did he ever attend?
Interjections by hon. members.
Mr. Martel: Yes, I have been at a sym-
phony. It's interesting, you know, Mr.
Speaker.
Mr. MacBeth: The member knew what
they were doing, did he?
Mr. Martel: I wonder how the people in
the senior citizens'—
Mr. MacBeth: Did he know what they
were doing when he went there?
Hon. Mr. Grossman: How does he spell
it? He is the teacher.
Mr. Martel: I don't know how.
Interjections by hon. members.
688
ONTARIO LEGISLATURE
Mr. Martel: I just made up a new word.
An hon. member: Did he enjoy the play?
Hon. Mr. Grossman: I think he tried to
pronounce an old one,
Mr. Martel: What bothers me, Mr. Speak-
An hon. member: The member for Lake-
shore.
Mr. Martel: —and what my friends don't
want to recognize is that people in the
senior citizen communities cannot get out.
Many are incapacitated and they can't get
out to see these things. And surely if we
are going to fund the Toronto Symphony,
surely if we are going to fund them, we
could fund a group like this to go in and
provide entertainment for groups.
Hon. Mr. Grossman: No wonder kids can't
spell.
Mr. Martel: And if the government is that
stupid that it can't see the need-
Mr. Parrott: Some senior citizens do have
these opportunities.
Mr. Speaker: Order please, order.
Mr. G. Nixon: Control yourself.
Mr. Martel: And shut up for God's sake.
Interjections by hon. members.
Mr. MacBeth: The member for Sudbury
East shouldn't get uptight.
An hon. member: What's the matter vwth
him?
Mr. G. Nixon: Can't he take it?
Mr. MacBeth: Can't he take a little heck-
ling?
Mr. Martel: I can take more than any of
the members opposite can give,
Mr. G. Nixon: He's the greatest.
Interjections by hon. members.
Mr. Martel: Mr. Speaker-
Mr. MacBeth: The member doesn't know
what he is talking about,
Mr. Martel: Well, I suggest I know a good
deal more of it than the member for York
West.
An hon. member: Ah, I'll say that.
Mr. Martel: In fact, I suspect I've forgotten
more about it than he'll ever know.
An hon. member: We sure appreciate his
remarks.
Mr. MacBeth: Not the way he is talking
now.
Hon. Mr. Grossman: I think we'd better
find a cultural mission for the member for
Sudbury East.
Mr. Speaker: Would the members please
keep order. Let the speaker for Sudbury East
have the floor and let him say his little piece.
Mr. Martel: Mr. Speaker, I would appre-
ciate that.
An hon. member: Listen to him.
Mr. Martel: Well, the other-
Mr. Yakabuski: He is wandering all over.
Mr. Parrott: He has just started.
Mr. Martel: Couple of hours. I've just
started, that's the first sheet.
Mr. Leluk: Just warming up.
Mr. Martel: I'm just warming up.
Mr. MacBeth: Why doesn't he say some-
thing?
Mr. Martel: Well, Mr. Speaker, we also
have information centres. And the government
has been sitting on information centres-
Mr. Laughren: Right.
Mr. Martel: —for three full years.
An hon. member: We know that,
Mr. Martel: They have been devising a
policy now for three years. That is in—
Hon. Mr. Grossman: That's not true; that's
not true.
Mr. Martel: Well, would the minister get
up and challenge me on that then?
Hon. Mr. Grossman: Well', in the first place,
Mr. Speaker, the government has had, through
the Ministry of Labour, in my riding alone,
an information centre that has been in exist-
ence for years.
Mr. Speaker: The minister is out of order.
An hon. member: Order, order.
Mr. MacBeth: He was asked to respond,
Mr, Speaker.
APRIL 2. 1974
Hon. Mr. Grossman: He asked me, Mr.
Speaker.
Interjections by hon members.
Mr. Martel: Mr. Speaker, I'll come to how
much funding the government has given to
them. The\' ha\e been devising a policy for
information centres across this province—
Hon. Mr. Grossman: The member has got
it all confused. Have a talk to me after the
session; I'll tell him what he is trying to talk
about and make it clear.
Mr. Martel: No, no.
An hon. member: Put him straight; put
him straight.
Mr. Martel: No, no.
Interjections by hon. members.
An hon. member: The member for Sud-
bury East is reading it all.
Mr. Martel: Mr. Speaker, the government
has been developing a policy on information
centres for three years. They have funded the
odd one in Toronto. In fact, I tell the minister
that they funded $18,000 last year, but they
have not got a policy on it yet.
Mr. MacBeth: It obviously hasn't reached
the members.
Mr. Martel: What? Well mine has the
highest-
Mr. MacBeth. It obviously hasn't reached
the member.
Mr. Martel: I want to tell the member for
York West that the information centre that
got one of the highest grants last year was
the one in Sudbury. Now the member can put
that in his pipe and—
Mr. MacBeth: Why doesn't the member for
Sudburx East go to it and find out some-
thing? ■
Hon. Mr. Grossman: They always get the
biggest investment in Sudbury. They get the
biggest investment in everything.
An hon. member: He should check it.
Mr. Martel: Mr. Speaker, they have not
been able to devise a policy regarding in-
formation centres in three years.
Mr. Laughren: Right. No policy.
Mr. Martel: They have misled every group
that has appeared before them; and the min-
ister who just spoke had a group into his
o£Bce last week.
Mr. Laughren: Yes, last week.
Mr. Martel: Right. And they are concerned,
as the minister knows, that there is no policy.
There might have been some funding, but
there is no policy.
Hon. Mr. Grossman: Now the member for
Sudbury East is changing.
Mr. Martel: No, I am not. That's what I
said in the beginning. The minister had better
check Hansard. The minister is wrong and
now he has admitted it. There is funding but
there is no policy; and that's what I've said.
Hon. Mr. Grossman: I don't get it, when—
Mr. Martel: Three years, no policy. And
what does the Bloor-Bathurst group do? They
have a walk-in service.
Hon. Mr. Grossman: They do a very good
job.
Mr. Martel: They have a legal assistance
clinic. They have a free clothing store for
the pK)or, and they have English-Spanish staff
to assist the group.
Mr. Laughren: More than the Tories have
ever done.
Mr. Martel: But unfortunately, there is no
policy yet on how the government funds it.
An hon. member: It's ad hoc.
Mr. Martel: The Minister of Community
and Social Services has been sitting on it for
three years, and every time he is asked he
gives the same statement as he gave to the
member for Wentworth today— "We are look-
ing at it." For how long?
Mr. Laughren: He's looking at it through
closed eyes.
Mr. Martel: How long? Well, most of the
programmes in those seven areas that deal
with health, information centres, culture, im-
migrants, and so on, are supportive in nature,
they are preventive in nature, and they han-
dle crisis cases. And these groups have
pointed out beyond a shadow of a doubt the
great number of loopholes in the government
programme, over and over again in area after
area, and have pointed out the total lack of a
programme by the government.
Unfortunately, despite delivering these valu-
able services, this group has had to spend
most of its time looking for funding. They
690
ONTARIO LEGISLATURE
have had to scramble for two years at least
in an effort to obtain funding. Interestingly
enough, at the same time that they are beg-
ging this government for funding-
Mr. Laughren: They are bailing it out.
Mr. Martel: —they are bailing it out. Yet
this government's agencies continue to send
people who need services to the centres de-
veloped by the LIP funds.
For example, when people are leaving the
Vanier Institute, when the young ladies are
leaving Vanier to return to Toronto, they are
given the name and a card to contact the
information centre in Toronto. Not a govern-
ment-funded one; not one that the govern-
ment even puts a cent in; but they tell the
young ladies and give them the card saying,
"Please go and see this group if you run into
snags."
Hon. Mr. Grossman: Anything wrong with
that?
Mr. Martel: Except if the government
would fund it.
Hon. Mr. Grossman: Anything wrong with
volunteer groups doing these jobs?
Mr. Martel: No, no. Yes, there is, if they
don't have the adequate funding to continue
at least with some regular staff permanently,
then there is something wrong with it.
Mr. Laughren: They are doing the govern-
ment's job.
Mr. Martel: Because it's ad hoc. Doesn't
the minister see that?
Mr. Taylor: Is it working?
Mr. Martel: No, it is not.
Mr. Taylor: It is not working?
An Hon. member: That's a great recommen-
dation.
Mr. Martel: The Children's Aid Society in
Toronto continues to send children to the
West End Parents' Association, which is a
daycare centre to help mothers and children
when a crisis situation occurs. But the govern-
ment funds the Children's Aid Society and
has the Children's Aid Society sending people
who are in need of help to a volunteer or-
ganization which the government refuses to
fund on any permanent basis. In fact, this
government even refuses to fund it on a
short-term basis.
It has the free interpreters' service. The
hospitals continually draw on this service.
I just have two quick examples to show
what's happening. There was a Chinese
woman who was to have a caesarean section
and they didn't have anyone in the hospital
who could tell her what was happening, what
they were doing. They went to the inter-
preters' service, a free voluntary service, and
they found someone to come into the hospital
to tell the woman what in fact the\- were
going to do. They didn't have anyone to tell
her.
Hon. Mr. Grossman: Which hospital?
Mr. Martel: I can find out all the details
if the minister wants.
Mr. MacBeth: The member doesn't know?
Mr. Martel: Oh, don't give me that garbage.
Mr. MacBeth: He doesn't know. He is just
talking.
Hon. Mr. Grossman: Which hospital?
Mr. Martel: I'm not going to name the
hospital here. But if the minister is sincere in
wanting that information, I will obtain it for
him. I will write it down right now, Mr.
Speaker.
Hon. Mr. Grossman: Please do-
Mr. Martel: I want to put this down-
Mr. MacBeth: Put it on the record.
Mr. Yakabuski: First, go ahead and finish
this speech.
Hon. Mr. Grossman: —because in the
Chinese community we have the Mount Sinai
Hospital, which has a great many Chinese
on staff.
Mr. Martel: I am talking about Metro
Toronto, Mr. Speaker. I am not talking about
one area; I am talking about Metro Toronto-
Mr. MacBeth: Whereabouts in Metro?
Mr. Martel: —and I will provide the in-
formation.
An hon. member: I'm sure he will.
Mr. Martel: We also had the case of an-
other woman— ff the member doesn't believe
me, he can phone Kay Brown of immigration
services.
Mr. MacBeth: The member is the one w'o
is doing the talking, Let's have it from him.
APRIL 2, 1974
691
Mr. Laughren: It is the member's govern-
ment.
Mr. Mart el: There was a woman in a To-
ronto hospital whose child was bom prema-
turely, which meant they kept the child in
tlie hospital' when the mother was released.
But there was no one there to tell the mother
what was happening. They again called on the
free interpreter .service to come in and explain
this to the mother, because she thought they
were taking the child away from her.
It's no secret that the Don Jail also uses
the services of this group. The courts use the
services of this group, as do the public health
mrses, the VON and the police. And if my
friend wants to check it out, I suggest he
does so. If he is so obtuse as to not belieVe
it, then I suggest he check it out and come
into the House and tell me I am wrong.
Mr. Laughren: He is hypocritical too.
Mr. Leiuk: He's not questioning the service-
Mr. Martel: Because, like most of the
Tories, Mr. Speaker, he doesn't want to accept
that this is happening in Metro Toronto today.
Mr. MacBeth: I think they are probably
providing a pretty good service.
Mr. Laughren: Ignorance is bliss, John
MacBeth.
Mr. Martel: You hide it, John.
Mr. Laughren: Ignorance is bliss.
Mr. Martel: Another group that calls on
these groups of volunteers, Mr. Speaker, are
the birth control centres. I have a case— and
I am going to read some of the cases for my
friend before I am finished tonight; I will
read the specific cases. I hope he stays around.
Mr. LeIuk: Oh, we'll be around.
Interjections by hon. members.
Mr. Martel: The hospitals in Toronto are
requesting the birth control centres to go into
counsel immigrant people in Toronto with
respect to preventing unwanted families and
so on. They are calling on a volunteer group,
without government funding, which is pro-
viding a social service that should be pro-
vided by the government of Ontario. They are
calling on this group, because as I say On-
tario puts in $100,000 towards the total immi-
gration service for the whole province—
$100,000 for the immigrant community in
Ontario. The government members should be
ashamed of themselves.
Hon. Mr. Grossman: Are you sure?
Interjections by hon. members.
Hon. Mr. Grossman: There are hundreds
of thousands more that they have.
Mr. Martel: A hundred thousand dollars.
Hon. Mr. Grossman: There are hundreds of
thousands more.
Mr. Martel: Nonsense, nonsense.
Hon. Mr. Grossman: It is not nonsense, I
happen to be involved in it.
Mr. Martel: Well, I am coming to it. I
will explain my case, and when I am finished,
the minister can get up and explain his gov-
ernment's position. Okay?
Mr. Laughren: They haven't got one. They
haven't got a position on that.
Mr. Martel: Another group that is called
upon, Mr. Speaker, is the senior citizen volun-
tary group. For example, most of the trans-
portation for senior citizens to get to and from
hospitals is arranged by the voluntary entities.
Again, they dont' have funding.
Interjections by hon. members.
Mr. Martel: The real problem is that we
have these seven areas where, as I have
demonstrated, government agencies turn to
these voluntary agencies, which are not
funded, to provide services which the govern-
ment is incapable of providing or doesn't
want to provide.
How in God's name does it go on? If the
government is going to provide services to
people, how in God's name can it do it with-
out funding?
Mr. Laughren: For a Tory, it is easy.
Mr. Martel: I guess it is. Now, as to the
salaries— and in a few minutes I am going to
come to some of the statements of the minis-
ter responsible for the Youth Secretariat. The
group that has been working for the last
couple of years worked for $85 a week in
take-home pay. They have no holiday pay.
They have no fringe benefits. They have no
job security. There is no permanent funding.
They do it as a service to people. .And the
government asks them to continue to provide
those types of services without an adequate
remuneration.
Mr. Taylor: Why does the member want to
institutionalize everything?
692
ONTARIO LEGISLATURE
Mr. Martel: Don't institutionalize it. Fund
it. That is all I'm asking. Fund it.
Mr. Taylor: He wants everything institu-
tionalized-like US Steel.
Mr. Martel: God, he is right out of the
dark ages. How can a young man be so
obtuse and so much in the dark ages?
Interjections by hon. members.
Mr. Parrott: Wrong on both accounts.
Mr. Martel: He is one whose education was
provided by and was paid for by the federal
government, and he shoots his mouth off like
that.
Hon. Mr. Grossman: So was the member's—
Mr. Martel: No, I paid for it myself. I paid
for my own.
Mr. Parrott: So did I.
Mr. Martel: No, you didn't. No, that was
funded, Harry.
An hon. member: You're not kidding— out
of the public purse.
Mr. Martel: You're bloody well right it was.
You're darn right it was, buddy. You guys-
Mr. Speaker: Will the hon. member for
Sudbury East turn around and address the
Chair, please?
Mr. Martel: Ah, Mr. Speaker-
Mr. Speaker: If the hon. member wants the
floor, he must turn around and address the
Chair.
Mr. Martel: Mr. Speaker, don't get so
rangy-tang on me.
Mr. S. Lewis (Scarborough West): Are you
going to take that?
Mr. Martel: Well, last May the crisis came
—and this was just the beginning-
Interjections by hon. members.
Mr. Martel: Mr. Speaker, we have all of
these voluntary organizations which devel-
oped, which the government of Ontario's
agencies call on to provide services, but
which the Ontario government has refused to
support in any way, shape or form.
Last May the crisis came. The federal gov-
ernment decided that they were cutting oflF
LIP funding at that stage.
Hon. Mr. Grossman: Why?
Mr. Martel: Well, they figured the unem-
ployment crisis was beaten.
Interjection by an hon. member.
Mr. Martel: The Ontario government had
refused to contribute all along, even though
all the services which were developed were
in the field of community and social services—
which is a provincial responsibilty, by the
way, if the minister isn't aware of it. I have
seen so many discussions in this place about
whose responsibility under the constitution
this field is or that field is. Well, social serv-
ices is this government's responsibility. It
doesn't come under the federal government.
Maybe this government should start to look
after that field, but it has never ranked very
high with this government.
Hon. Mr. Grossman: How many millions
did we spend on it?
Mr. Martel: This government spent $241
million last year.
Hon. Mr. Grossman: That's practically
nothing?
Mr. Martel: That's right, in terms of what
the total budget was. In fact last year was
the first time that this government matched
what the federal government's contribution
was in this province to services to people—
for the first time.
Hon. Mr. Grossman: Not bad considering—
Mr. Martel: Not bad. Not bad considering
what?
Hon. Mr. Grossman: Considering how much
money we had.
Mr. Martel: That it ranks lowest on the
totem pole? That Tom Eberlee who used to
feel that he was a powerful civil servant left
this jurisdiction because he couldn't get the
necessary funding in that field?
An hon. member: Not true.
An hon. member: The member doesn't
believe that?
Mr. Martel: When that crisis came the
number of agencies fell from 258 to at most
160. The government of Ontario was really
delighted, Mr. Speaker. It really was. It
was hoping they would just all die out and
that would eliminate the problem, but that
hasn't happened. In fact, despite the diffi-
culties, they continue to spring up.
Remember the former Minister of Reven-
ue, he used to talk about the faces of the
APRIL 2, 1974
693
crowd? Well, these people are the same way.
The\ continue to spring up. They continue
to be faces in the crowd as they see the
pressing need for services to people in so
niany areas that this government will not
even try to recognize.
There were staff cutbacks and there was
a whole host of problems, but out of this
there developed in Metro Toronto a work
group. And do you know who is on that
Metro work group? Let me tell you the
agencies: Community Care Services Incor-
porated; community daycare committees;
Inter Agency Council tor Services to Immi-
grants and Migrants; the Metro organiza-
tions of LIP; Project 73; St. Christopher
House; the Social Planning Council of Metro
Toronto; the University Settlement House;
the YMCA; the YWCA. You know, Mr.
Speaker, a pretty responsible group developed
and what it was developed for, of course,
was to find permanent funding.
Hon. Mr. Grossman: Is the member sug-
gesting they don't get any funds from us?
Mr. Martel: Very little.
Hon. Mr. Grossman: Oh, what is he talk-
ing about?
Mr. Martel: Well, the provincial secretary
will have his day in court.
Hon. Mr. Grossman: University Settlement
House alone got thousands.
Mr. Martel: Not thousands, hundreds of
thousands, millions— millions, not thousands
of dollars. Tell me about the millions.
All of these groups came together to form
a 'Metro work group to try to get the On-
tario government to contribute and I have
indicated the groups involved. Because of
the pressures of the necessity of funding,
it led to a demonstration in Queen's Park.
There was a meeting with the present At-
torney General (Mr. Welch)— who used to
be the think-piece in those days— and he
took them up to the fourth floor in the
building at the back. I happened to be in
attendance and when the minister got all
finished conning them I said to them, "You
know, friends, you've just been seduced.
They won't give you a cent." They said,
"Oh, no." And I said, "Yes. They don't in-
tend to give you a cent. They intend to mis-
lead you. They intend to bring you on in the
all-embracing arm of the Tory, but they're
seducing you. They won't fund you."
I think some of them were sceptical of
what I said on that day.
An hon. member: I don't blame them.
Mr. Martel: Well, I'm glad the member
said that, because we're going to find out
what the government did give them. I hope
he stays around for that, too.
Mr. G. Nixon: Don't forget what you're
talking about.
Mr. Martel: At that time, the minister
said, "We'll take from our existing funding,
the existing programmes, to assist." Well,
let me tell you what the existing funding is
in those areas that I mentioned. Community
development grants— the total amount for the
entire province, $84,000. The entire prov-
ince. Immigrant services in the budget,
$100,000 for all of Ontario. Do you know
where most of that is spent? I checked with
immigrant services today before I came in.
Do you know where the majority of that is
spent? In nice little ethnic culturad pro-
grammes.
But in the needs to the people in the
community, the permanent funding promised
by the government of Ontario is $100. Per-
manent funding, $100. That's what immigra-
tion services gets in Ontario in the way of per-
manent funding. The other $100,000, I'm
told by the ethnic community, is in fact for
cultural demonstrations and so on. But to
help the people in their translation prob-
lems and so on there is virtually nothing.
In fact, my friend the member for— oh, I
forget where he's from— Mr. Leluk.
Mr. Leluk: Humber.
Mr. Martel: Humber. We were in Quebec
recently and he was amazed to learn that in
the city of Montreal alone there was three-
quarters of a million dollars for the ethnic
community. At least three-quarters of a mil-
lion they said?
Mr. Leluk: I think so.
Mr. Martel: Yes. Ours is $100,000 for all
of Ontario, through the Minister of Com-
munity and Social Services' department;
$100,000.
Grants to community-based senior citizens'
services in Ontario, $900,000. Information
centres, Metro got $18,000 last year— and
this is for the minister from Toronto— but no
programme after three years. Daycare serv-
ices; there's limited use of the Canada As-
sistance Plan. The federal government has
made provisions which would allow this
government to make use of the Canada As-
sistance Plan for daycare centres, but. In
fact, this government has refused. Social
694
ONTARIO LEGISLATURE
art services, there's no meaningful alloca-
tion. Oh, we'll get from the ministry that
UPOCA gets the money and that's used"
but, in fact, the greater amount is not to
meet community needs.
In August of last year— you will recall, that
meeting was held in June with the then Pro-
vinicial Secretary for Social Development, and
for the next two months nothing happened—
then on Aug. 15 this group finally managed
to get a meeting with "Billy the Kid," and
he listened very sympathetically to them and
he told them that he thought he would see
the then provincial secretary to see if, in fact,
funding could be provided. In fact, he said,
the government of Ontario wasn't concerned
with the short-term funding, but in fact it
^vas concerned with the programme over the
long haul, which would cost the Ontario
government on an annual-basis funding.
From that meeting with the Premier they
were told that one Mr. Bruce Fountain would
set up another series of meetings. They
thought that was going to go ahead, the Metro
work group, and they talked to a Mr. Sirman
from the Social Development policy branch.
They had received a letter from Mr. Sirman
saying that these meetings would go on.
But, unfortunately, when Mr. Sirman found
out they had the letter he said, "That letter
should never have gone out. That was an
unauthorized letter, and we really weren't
looking at that sort of thing at all. Some
secretary sent it out inadvertently and there-
fore we're not sure."
Well, after a lot of harassment and calling
of various ministries the group finally got a
series of meetings. They were to meet with
people under the jurisdiction of one David
Cole and a group of civil servants from the
daycare department, the citizenship depart-
ment, the senior citizens' department, infor-
mation centres and social services. Sure
enough, these meetings with respect to perma-
nent funding started to transpire in Novem-
ber. However, at the same time that these
meetings were going on the then Minister
without Portfolio who certainly by her re-
actionary statements deserved a full cabinet
post started on her merry way. And in Novem-
ber, the member for Scarborough East (Mrs.
Birch) indicated—! just quote from an article
in the Globe and Mail: "Mrs. Birch Denounces
LIP as Game for Non-jobs."
I want you to take very careful note of that
"non-jobs," Mr. Speaker, because some time
later the minister also made a statement
about youths who didn't want to take jobs
that were dead ends. She \\'ants it both ways.
but she's critical in November of non-jobs.
Here is what she says:
Ontario's cabinet minister responsible
for youth yesterday denounced Ottawa's
opportunities for Youth and Local Initia-
tives Programmes. "They have created
large groups of professional grant-get-
ters—"
I want to remind you, Mr. Speaker, that the
grant-getters were the very volunteer organi-
zations which have been in your community
and my community for years, such as the
YMCA and the Social Planning Council of
Metro Toronto. These were the people who
went out and got the funding. To con!:inue:
"—who have become very skilled at writing
briefs to the government, at getting more
funds to create more non-jobs."
And as I said, there's a statement by the
Minister without Portfolio later on, about
January, about the youths who refused to
take dead-end jobs. She wants it both ways. 1
think she was trying to qualify for the cabinet
by these statements and she certainly did; she
got a full cabinet post. She's a think piece
now.
"These people are active all across Can-
ada playing what really looks like a nice
shiny new game invented by the federal
government, a game called 'Invent the
Social Service' or 'Find a New Need'."
Well, my God! You know, that that woman
who now hoMs the rank of a cabinet minister
in this province could make a statement like
that is irresponsible, because one only has to
work in the field of the needy in this province
to find the total lack of services available
to the needy. And she got a full cabinet post
for that statement, I'm convinced. Find a new
need!
If this government started to fund the social
programmes necessary to provide the services
to people, or accept its responsibilit\- under
the constitution of this country, we wouldn't
have that statement. We wouldn't find people
trying, on a shoestring of $85 a week, to pro-
vide services to the needy in this community
and in the rest of the communities across this
province because there is such a void, there
is such a need for services under the Ministry
of Community and Social Services, that its
absolutely almost to a point that one can't
believe that it's so devoid of neec!\ pro-
grammes.
But the new Provincial Secretary for Social
Development was, in fact, the patsy. She was
the patsy for the government of Ontario
which, in fact, eventually wanted to sa\- no to
LIP funding or those groups of LIP pro-
grammes which had developed. She was going
APRIL 2, 1974
695
to become the person who was going to tell
the public that all of these services were not
necessary, were useless, and so on. And she
was willing to do it, obviously.
Hon. Mr. Grossman: The member doesn't
believe that?
Mr. Martel: She said:
Ottawa made a number of basic mis-
lakes with the OFY and the LIP grant
programmes. The money handed out in
grants was never adequately managed by
the federal government. There was never
adequate super\'ision of accountability
within the project. Without clear account-
abilit>, the money paid out resembled
allowances more than it did salaries.
I want to tell this House that she lied to
the public. Because it happened and I am
saying-
Mr. Taylor: Well, the member shouldn't.
Mr. Martel: I happened to be on a pro-
gramme with the director of—
Mr. Taylor: She can't reply to the member
tonight.
Mr. Martel: No. She is deUberately deceiv-
ing-
Mr. R. D. Kennedy (Peel South): That's
imparl i amentary.
Hon. Mr. Grossman: The member can dis-
agree with her but he doesn't have to call her
a liar.
Hon. Mr. Winkler: The member cannot
call any other member a liar.
Mr. Martel: I didn't call her a liar, I just
said she was deceiving the public. Well, I
want to tell the members why. Would they
listen long enough so I can tell them why?
Hon. Mr. Grossman: He doesn't have to
call her a liar.
Hon. Mr. Winkler: If he has something to
say to her let him tell her.
Mr. Martel: Don't give me the nonsense.
Hon. Mr. Grossman: She was entitled to
her opinion.
Mr. Martel: Xo, not that opinion. Because
in fact it was a distortion of the facts, and
she knew it.
Hon. Mr. Grossman: Retract it.
Mr. Martel: I was on a radio programme
with Cam Mackie, who Is the director of the
LIP programme from Ottawa, and the fed-
eral government and the provincial govern-
ment of Ontario have a right to say no to
every LIP programme in Ontario, and they
in fact are asked that information.
Hon. Mr. Timbrell: Mr. Speaker, on a
point of order. If the hon. member would
care to check with the federal authorities he
would find that the Province of Ontario has
the right to comment— just to conrmjent— not
to have the final say.
Mr. Martel: What in fact Mr. Mackie in-
dicated to me and to the bright new young
minister was that if Ontario criticized the
programme or indicated that Ontario did not
want that programme to be funded, that is
what in fact Ottawa would do.
Hon. Mr. Grossman: What's that got to do
with lack of accountability?
Mr. Martel: And the minister said that
Queen's Park had no input, and that was a
distortion of the facts.
Hon. Mr. Grossman: What has that got to
do vvath lack of accountability which the
member says doesn't—
Mr. Martel: No, no, I'll go back.
Mr. P. D. Lawlor (Lakeshore): The gov-
ernment has power over it and then it turns
around and says it has no responsibility.
Hon. Mr. Timbrell: Our government has
nothing to say about the way they ac-
counted for it.
Mr. Lawlor: It had some veto powers.
Mr. Martel: It had veto power over the
programme.
Hon. Mr. Grossman: That's nonsense.
Mr. Lawlor: Name me one programme that
went through that this government put its
thumbs down on.
Mr. Martel: They can pretend that it
didn't occur and that the Provincial Secretary
for Social Development didn't make these
statements, but I was on a programme with
Mackie when he said that if Ontario did not
want that LIP programme to be funded, that
in fact Ottawa would recognize that request
by Ontario and turn it down.
Hon. Mr. Grossman: The member is
squirming around.
696
ONTARIO LEGISLATURE
Mr. Martel: And the government had the
provincial secretary go out and say that pro-
grammes—in fact, I will quote her again.
" 'Invent the Social Service', or 'Find a New
Need'." "The moneys handed out in grants
were never adequately managed by the fed-
eral government." That would mean to say
that they weren't managed by the Ontario
government either because it had veto power.
Hon. Mr. Grossman: Oh, nonsense. The
member had better apologize.
Mr. Martel: There was never adequate
supervision or accountability within the
projects.
Mr. MacBeth: The member doesn't believe
that. Who told him that? What is he reading
from?
Mr. Martel: The director of the programme.
Mr. MacBeth: Well, the member doesn't
necessarily take that as gospel, does he?
Mr. Martel: Would I take what emanated
from her mouth as gospel?
Mr. MacBeth: The member is pretty gul-
lible.
Mr. Martel: Oh, and if I accept her state-
ment that makes me less gullible, is that
right?
Mr, MacBeth: Far above yours.
Mr. Martel: Oh, right. Your gullibility is
Mr. Taylor: What is the member quoting
from?
Mr. Lawlor: A pure piece of blandishment
on the provincial secretary's part.
Mr. Martel: Yes.
Mr. Taylor: What is he quoting from?
Mr. Martel: What in fact she was doing,
Mr. Speaker, that she made these statements-
Mr. Taylor: Newspaper comments.
Mr. Martel: No, she made the statement;
the member can check it out.
Mr. Taylor: What is the member quoting
from?
Mr. Lawlor: She did very great harm.
Mr. Martel: She accused all of these groups
of being professional grant-getters. Most of
them came from long-established community
services.
Mr. MacBeth: Does the member endorse
all the LIP programmes? Does he endorse
them all?
Mr. Martel: If I had the veto power I
would veto those I didn't want, and Ontario
had that power.
Hon. Mr. Grossman: Nonsense.
Mr. Martel: Yes, they did.
Mr. MacBeth: Come on, does the member
endorse them all or not?
Mr. Martel: And they were non-jobs, Mr.
Speaker. Two months later Mrs. Birch will
make the statement, in Januar}', that all these
young people don't want to take jobs.
Mr. Speaker: I'd like to remind the hon.
member that he should refer to the hon.
minister either from her riding or her port-
folio.
Mr. Martel: I am quoting from the press.
Well, the new think-piece then. Two months
after that statement the new think-piece,
when she's decrying these non-jobs, will come
out with statements to the youth, she says,
who don't want to to take dead-end jobs. So
she can't have it both ways, can she? But
these two statements made her a prime candi-
date for the cabinet. What she was doing in
fact was setting the stage for the Ontario
government's refusal to fund emerging serv-
ices.
That this minister could even suggest, in
the same article, which I could read, that
there were no gaps in the social services in
Ontario, is nonsense. It is nonsense. There are
so many gaps in the Ministrv of Community
and Social Services it looks like a sieve.
An hon. member: He doesn't mean that.
Mr. Martel: There is no rehabilitation to
speak of, there is just nothing. It is just so
full of loopholes it's pathetic. If some Tory
cabinet members would at least read some
of the reports prepared by Swadron, the
Senate report on poverty and so on, instead
of going back to preconceived notions about
what people on welfare are all about, then
in fact we might have a different attitude in
the cabinet with respect to that ministry.
In fact a couple of young aspirants to the
cabinet who didn't quite make it said to me,
"That's the last ministry I'd want, because it
has got such low priority in government
circles."
Mr. Taylor: Who said that?
APRIL 2, 1974
697
Mr. MacBeth: Who were the young aspir-
rants who said that?
Hon. Mr. Grossman: A couple of members
of his party.
Mr. Martel: No, no.
Mr. Ferrier: The member wouldn't want to
embarrass them.
Hon. Mr. Grossman: It has not a bad
budget for a low priority.
Mr. Martel: It is interesting, Mr. Speaker,
that as I said, the minister was really pre-
paring the way for the province to opt out.
We spoke to Mr. Mackie on a programme
called the "Alan Anderson Show, ' an hour-
long programme on the CBC in which Mr.
Mackie commented— you can check it out—
that Ontario could effectively prevent a grant.
She then made another statement some time
later about youth. What the hon. minister
failed to recognize, Mr. Speaker, is that it
isn't youth that's primarily in those groups.
That's the intriguing part. The government
hasn't really looked into that.
In fact, Mr. Speaker, in the Alexander
Park group the age range is from 25 to 54.
If one looks into the Smile company, the
theatrical group I spoke about that was going
all over, the average age is 32. That hardly
sounds like a bunch of irresponsible youth.
But that's what the game has been played
on.
That was the same game played by the
former Minister of Community and Social
Services (Mr. Wells) when he made the state-
ment that all long-haired young people don't
want to work. The Swadron report totally cut
that to pieces and said that the people who
wouldn't take jobs in the long-haired group
that the minister was speaking about at the
time were the exception, not the rule.
The Swadron report, which the government
set up, which not a cabinet minister has read,
said that these are the myths and the mis-
conceptions that decisions are made on, and
it said it is the exception to the nile who
doesn't go to work between the ages of 16
and 24.
Mr. Lawlor: And that government deliber-
ately spawns them.
Mr. Martel: In 1971, prior to that election,
that is exactly what the government was
doing; it was taking on the youth. And now,
to avoid getting out of funding in the area
that is totally its responsibilty, social services
to people, it allows her to come out with
statements in November that they are para'
sites and they are only interested in pro-
fessional grant-getting and the services Are
dead end.
Mr. G. Nixon: No. The member is wrong
there.
Mr. Marteh The member for Dovercourt
should read the paper once in a while.
Mr. Leiuk: Don't believe everything vou
read.
Mr. G. Nixon: That garbage is off base.
Somebody is telling the member this. He
doesn't know himself.
An hon. member: I think he believes ever\'-
thing he reads.
Hon. Mr. Grossman: That is what we call
NDP hyperbole. Or exaggeration, other
people call it.
Mr. Speaker: Order.
An hon. member: That's right.
Mr. Lawlor: The minister should see his
fan mail. Every blue-eyed reactionary in the
province has written congratulating him.
Mr. Martel: When I speak to Cam Mackie
and he tells me, "You have input," and the
minister says, "Oh no," well the minister
could have vetoed any of them. This was
stated categorically on radio.
Hon. Mr. Timbrel!: Mr. Speaker, on a point
of order if I may, the member is misconstru-
ing my words. We have-
Mr. Deans: What is the point of order?
Interjections by hon. members.
Hon. Mr. Timbrel!: We have input and we
have the right to comment, but the decision
properly is made by the federal administra-
tion whose budget is being spent.
Mr. Marte!: Right on! But the minister of
the day, the former youth minister did not
say that in her statement. In fact, she deliber-
ately misled by indicating Toronto had no
input whatsoever. The minister knows it and
I know it.
Mr. MacBeth: No, we don't know it. Re-
tract.
Mr. Marte!: I won't retract it.
Mr. MacBeth: No, we don't know it.
Mr. Marte!!: Interestingly enough, Mr.
Speaker, at the same time that she was taking
off on these information centres and so on
698
ONTARIO LEGISLATURE
that were a dead end, she was also respon-
sible a number of years ago in the establish-
ment of an information centre in Scarborough.
Do members know the type of funding for
her information centre?
Mr. MacBeth: No.
Mr. Martel: Well, would they be interested
in knowing?
Mr. MacBeth: No, not from the member for
Sudbury East.
Mr. Martel: Would they be interested in
knowing where the funding came from for
the information centre in her riding?
Mr. MacBeth: Nope.
Mr. Martel: LIP.
Mr. G. Nixon: She's pretty smart, eh?
Mr. Martel: Yes, the government takes
on the LIP programme left, right and centre
and is helping the group. She's a very dainty
lady. The government goes out and gets
LIP funding and then takes on the rest. But
her information centre receives LIP fund-
ing. Isn't that intriguing?
Interjections by hon. members.
Hon. Mr. Timbrel!: And they did that
many years before.
Mr. Martel: They shoot off from both sides
of their mouth at the same time, because
she was preparing for the day the Tories
would make their final statement, which was
made on March 15, and which I will come
to in a little while.
Well, anyway, from the meeting, I'll just
show you, Mr. Speaker how the government
was preparing itself to say no in the public's
eye. The Provincial Secretary for Social
Development, as she is now, made the two
statements. She took on youth in one breath
and she took on the LIP in the other, be-
cause the government thought they were all
youth which they aren't, and she covered
the whole waterfront. The government was
really trying to find a way to say no. They
really were. They have been trying to find
a way to say no since last June. I advised
the group last June they wouldn't get a cent
out of this government.
Mr. G. Nixon: How does the member
know?
Mr. Martel: I am coming to that. I hope
the member stays around. I knew from the
meeting with Cole and company. Those
were the various groups that met with the
Metro work committee. Cole drew up a list
of recommendations. To his credit, he recog-
nized, as the Minister of Community and
Social Services is well aware, that most of
the programmes in Toronto that were provid-
ing services were indeed needed and pro-
viding a valuable service in the field of
delivery of services to people.
Mr. Taylor: Why is the member knocking
it?
Mr. Martel: The government hasn't
funded it. That's why I am knocking it.
The minister is well aware of it, because
David Cole in the ministry's department
drew up a set of recommendations which the
now new Attorney General (Mr. Welch) ac-
cepted, recommendations that David Cole
submitted to the former Provincial Secretary
for Social Development who was then the
think piece. Cole's recommendations are as
follows:
"It is recommended that the Provincial
Secretary for Social Development request
that the senior citizens' bureau examine
the Elderly Persons' Centres Act and
other programmes of assistance currently
available with a view to making immedi-
ate alterations which might enable these
programmes to more eff^ectively meet com-
munity needs.
It is recommended that the Provincial
Secretary for Social Development request
that the Ontario Council for the Arts de-
velop a submission dealing with the ques-
tion of programme assistance to what are
here termed as social service art projects,
and which was loosely known as communi-
ty theatre, for special consideration by the
cabinet committee on Social Development
before March 31, 1974.
It is recommended the Provincial Secre-
tary for Social Development ascertain the
status of the community information cen-
tre proposal currently before Management
Board, [Currently? It's been there for
three years! and urge quick action to re-
solve this long-standing policy and pro-
gramme question.
It is recommended that the Provincial
Secretary for Social Development inquire
delay in the completion of regulations for
Bill 160 and seek assurance that these
regulations will enable direct funding
assistance to be made available to com-
munity daycare centres, or services such
as those in question, by April 1, 1974.
[Mr. Cole is from the Minister of Com-
munity and Social Services' staff.l
APRIL 2, 1974
899
It is recommended that the Provincial
Secretary for Social Development request
that the citizenship bureau submit a pro-
posal for consideration by the cabinet
committee on social development which
would enable direct financial assistance to
be made available for special immigration
and migrant ser\ices at a reasonable level
and on a sustaining basis beginning April
1, 1974.
It is recommended that the Provincial
Secretary for Social Development request
the establishment of a Social Development
policy field committee on multi-service cen-
tre support to be immediately convened by
the Deputy Provincial Secretary for Social
Development for the purpose of co-ordi-
nating response to all such requests for
programme and funding assistance within
that policy field, and to report to him on
their activities and make whatever appro-
priate recommendations as seem required
on this subject within six months
What that means is that Mr. Cole and repre-
sentatives from six different agencies went out
in Toronto and looked at the programmes
offered— as I attempted to outline them at the
beginning— in the health field, in the com-
munity and social service field, in the immi-
gration field and so on.
Mr. Cole and the group of civil servants
met with the work groups from Metro To-
ronto, who are just a representative group,
really, of what is going on in the province.
Over a number of months Mr. Cole, who
works for the Minister of Community and
Social Services, presented this to the provin-
cial secretary, who accepted it as his pro-
posals, not something the group asked for.
Those were the proposals the then provin-
cial secretary would take to cabinet. He
agreed with them. Based on the assessment
by Mr. Cole, of the minister's staff, the then
provincial secretary accepted them as valid
and necessary to the delivery of services to
the residents of Metro Toronto. As I say,
they are just a representative group for the
total province.
Mr. MacBeth: The member has been
dreaming.
Mr. Martel: I am sorry, if the member
doesn't believe me, he can walk across the
floor and ask the Minister of Community and
Social Services if I'm right That is, if the
member has the courage to do it; he's flapped
his gums long enough.
Mr. LeIuk: The member sounds like a
denturist.
Mr. Marteh Would he go across the floor?
Maybe the minister would allay the fears of
the member for wherever-it-ls as to whether
or not Mr. Cole did make those six recom-
mendations; and did the then provincial secre-
tary not accept them as his own? Would the
minister indicate for the member if that is
correct or not? He is going to have a night-
mare tonight. He might have something else
besides but I'm not .sure.
Mr. MacBcth: I've already had three or four
of them listening to the member.
Mr. Martel. Would the Minister of Com-
munity and Social Services assure him the
facts are right so that he doesn't develop a
case of ulcers or something like that?
Mr. MacBeth: I could very well do that if
I listen to him much longer.
Hon. R. Brunelle (Minister of Community
and Social Services): Mr. Speaker, the mem-
ber must know that the Social Development
policy committee is an extension of cabinet
and all matters are most confidential.
Mr. Martel: That's callted verbal gymnastics.
Mr. MacBeth: How does the meml^er know
so much of what goes on in cabinet?
Mr. Martel: The minister knows the then
provincial secretary told the committee, "We
accept those as our recommendations." I'm
not asking what went on in cabinet. I'm
asking whether the then provincial secretary
did, in fact, accept those because a member
of the minister's staff recommended them? It
went that far. That's all I want my friend to
know.
Mr. Stokes: He presented them to cabinet.
Mr. MacBeth: How does the member know
that?
Mr. Martel: Because he is having fits of
grandeur over there.
Mr. MacBeth: How does he know that?
Mr. Martel: Mr. Speaker-
Mr. MacBeth: He has no idea at all He is
just talking.
Mr. Martel: Mr. Speaker, we know that
the then provincial secretary accepted them.
Mr. MacBeth: How does he know?
Mr. Martel: They weren't the same requests
by the—
Hon. Mr. Crossmao: They have a good
relationship with Xerox.
700
ONTARIO LEGISLATURE
Mr. Martel: Has the minister of— well what-
ever it is—
Mr. G. Nixon: Think about it.
Mr. Martel: What is his new portfolio?
Whatever it is?
Mr. Stokes: He is Provincial Secretary for
Resources Development.
Mr. Lawlor: He is the minister who heads
Natural Resources— with human resources.
Mr. Martel: There is a spy— he has got
those guys whose faces always appear— you
know, some of his staff.
Well it wasn't what the group asked for,
but after 6y2 months of trying to get funding,
they were willing to go along with what Mr.
Cole recommended and what the former
Provincial Secretary for Social Development
said he would take to cabinet.
Mr. MacBeth: How does the member know
that?
Mr. Martel: Well, we know.
Mr. MacBeth: He has no idea. He is just
talking to hear himself talk.
Mr. Lawlor: We know what goes on in the
government party. Even the way they look in
the morning tells us a lot of things.
Mr. Martel: Well, Mr. Speaker, it was diffi-
cult, I expect, for the member for Lincoln
and the Minister of Community and Social
Services to accept that. You have to recall
at the same time that these are being accept-
ed, the new think piece, the Provincial Secre-
tary for Social Development, was going
around taking on the various programmes.
Everything she said really flew in the face
of what Mr. Cole discovered as he— having
been sent out by the Minister of Community
and Social Services— made an analysis of the
programmes. He was reporting back to the
minister that the programmes were necessary
and were needed. And the new "think piece"
over there, she is taking the programmes on.
Now there is a kind of conflict and the staff
finds one thing. And the hon. member for
Scarborough East, she without even know-
ing-
Interjection by an hon. member.
Mr. Martel: Without even knowing, she
carries on with her terrible statements. After
the member for Lincoln—
An hon. member: The member for Sudbury
East hasn't been called a think piece in his
life, has he?
Mr. Martel: After the member for Lincoln
accepted these—
Interjection by an hon. member.
Mr. Martel: —as his proposals, he indicated
that maybe they should have some more
discussion; and that maybe he should take
them to cabinet for cabinet approval. Once
cabinet approved, there would be a series of
ongoing meetings with the work group and
there would be discussion at cabinet. If the
two forces came together, then the whole
problem would be resolved— and another
series of meetings were scheduled. Now, we
have had a series of meetings since last June
to get funding. Well, the member for Lincoln
was supposed to take this to cabinet on Feb.
15; however, cabinet didn't apparent have
time to discuss all the recommendations, all
six of them—
Hon. Mr. Grossman: The member is keep-
ing better track of the cabinet than I do. I
can't remember all the time.
Mr. Martel: Well-
An hon. member: Isn't the member going
to go to cabinet?
Mr. Martel: They didn't have time to dis-
cuss all the recommendations, so it was sug-
gested to the groups that they would have
to postpone the other set of meetings.
Mr. MacBeth: Where did the member for
Sudbury East hide? Under the carpet?
Mr. Martel: I have a link in the cabinet.
Mr. MacBeth: I think he must hide under
the carpet with other people.
Mr. Martel: The member can eat his heart
out. I know more about what is going on
than the member for York West, and he only
belongs to the Tory party.
Hon. Mr. Grossman: What the member for
Sudbury East doesn't know he invents.
Mr. Martel: He won't be able to take on
one statement I've made. Why doesn't he
take his little lawyer beagle inquiry kit and
go around to see where I am wrong.
Mr. Taylor: That wouldn't be difficult.
Mr. Martel: Try it. Try it. Play Sherlock
Holmes of the Legislature, okay?
Mr. Ferrier: He is Dr. Watson.
APRIL 2, 1974
701
Mr. Martel: Well, anyway, the cabinet was
supposed to meet on Feb. 15, and decided it
couldn't. So the meeting with the Metro
group had to be postponed and that was the
nrst of yet another series of postponements—
as the Minister of Community and Social
Services is aware.
Mr. MacBeth: Come out from under the
rug.
Mr. Martel: They started in June of 1973
and by Feb. 15, 1974, they haven't been able
to reach a consensus. Well, David Cole
phoned the Metro work group and he said,
"Why don't we cancel this meeting from the
first week of March, which is very close to
us, to the second or the third week of
March?" And the group said, "Now wait a
minute. \\> have had a number of postpone-
ments ahead \ and we want to meet with
the minister who is responsible before the
budget is struck."
Hor». Mr. Grossman: Isn't that a long
story?
Mrs. M. Campbell (St. George): Yes.
Mr. Martel: It has been a lot longer for
those people who have been working without
funding, I want to tell the minister— a lot
longer for those people who have tried to
provide ser\-ices the government hasn't been
able to provide and do it without funding.
Hon. Mr. Grossman: I think the member
has made his point.
Mr. Martel: They objected to the meet-
ings. David Cole went back to someone and
they agreed to meet with the provincial
secretary on March 7. Members will recall
that about that date a great number of
aspirants were deflated — those aspirants to
cabinet posts who didn't get them had their
alter egos totally destroyed and they sulked
for two or three days.
Mr. MacDonald: Their real egos not their
alter.
Mr. Martel: Their what? Their real ego?
Mr. MacDonald: Not their alter.
Mr. Martel: A number of them didn't show
up for meetings for three days after the an-
nouncement. They didn't show up for three
days at select committee meetings. They
were a litde upset with "Billy the Kid."
be a further delay. With a cabinet shuffle,
they had to delay it and the reason, of
course, was they were going to have to meet
with the new think-piece.
The new think-piece for social develop-
ment should really have been familiar with
it. She shouldn't have needed any type of
delay, Mr. Speaker, because she had been
making pronouncements about those groups
back in October, November, December, Jan-
uary and February. She didn't need anv time
—she had her sights set on shooting them
down in the beginning. But that is what the
Metro work group was told— "We have to
let the provincial secretary have time to
adjust to the new portfolio." I found that a
bit amazing because the statements she had
been making on the LIP groups and so on
indicated to me beyond a shadow of a doubt
that she knew all there was to know about it.
Mr. Lawlor: No, there was a maladjust-
ment there.
Mr. Martel: That's right; it was mal, all
right. Be that as it may-
Mr. Lawlor: The ministerial responsibility
changes a person.
Mr. Martel: It rests heavy on her, does it?
Mr. Lawlor: Yes.
Mr. Martel: Yes, she has to move from
irresponsible statements to total-
Mr. Lawlor: To ministerial statements.
Mr. Martel: Right, to ministerial statements.
The March 7 meeting was scheduled. We have
had a whole series of dates with the Minister
of Community and Social Services and the
think-piece for that field, who were going to
advise the Metro work group about funding.
This has gone on from June, 1973. We are
now down to March 7, 1974, almost a year.
On March 7, they were advised that they
would be granted a hearing on March 15.
Mr. MacBeth: His own members are leav-
ing him.
Mr. Martel: I don't need my members to
support me. I want them to go and feel free.
I think I can take on the others. It doesn't
really matter.
An hon. member: In what way does he
mean that?
Mr. Lawlor: Talk about being in the rump. Mr. Martel: Relating the facts as they are.
Mr. Martel: What happened to the Metro
group was that in the process there had to
Mr. MacBeth: There are two members be-
side himself.
702
ONTARIO LEGISLATURE
Mr. Martel: Mr. Speaker, they finally got a
meeting on March 15. Before I go into what
was announced on March 15, I told the group
when they came to see me on March 7 that
I could predict again, as I did in June of last
year, what the government would give them.
It wasn't hard to predict; one only had to
look at what they were doing. I want to in-
dicate what other groups have done for the
emerging services in Metro Toronto, Mr.
Speaker, if I can just find it here. I must find
that.
Mr. MacBeth: Did he lose his date book?
Mr. Martel: No, I just lost a piece of
paper and I think I have to find it. Here
we are.
Mr. Speaker, it is interesting— if you recall,
I indicated how much the Ontario govern-
ment had contributed to immigration serv-
ices and so on. Well, here's what the groups
in Toronto have done to fund the Metro
work group.
The United Fund provided $23,000 in
interim support in 1973 for 20 services, and
has anticipated an additional $294,000 for
1974, for one staff member on each of 35
services.
The council of Metro Toronto provided
$130,000 as interim support for 59 services
in Metro Toronto during the months of
November and December.
Recently the Department of the Secretary
of State announced an allocation of $99,500
for immigration services. The Ontario con-
tribution up until that date? Zilch. I want
the member for Dovercourt to be proud of
himself, because it's his community that
we're serving.
Mr. MacBeth: Is this a provincial matter?
Immigration?
Mr. G. Nixon: More services there than
any place in Toronto.
Mr. Martel: Right. It's the members' com-
munity that we're serving.
Mr. MacBeth: Since when did immigra-
tion become a federal-provincial matter?
Mr. Martel: Well, the Tories managed to
tax them to death.
Mr. MacDonald: The government opened
a welcome house to welcome the immigrants.
Mr. MacBeth: To help the situation, yes.
Mr. Martel: Yes, right.
Mr. MacDonald: So they assumed some
responsibility.
Interjections by hon. members.
Mr. Martel: Mr. Speaker, before I get
into the final statement on March 15, I want
to spend some time with this material just
outlining the various services being offered
in Toronto. I intend to take a little time
doing that.
An hon. member: Well, don't let us rush
the member.
Mr. Martel: There are seven groups—
don't go away mad, boys. Just stay around.
Mr. MacBeth: It's all right for the mem-
ber to punish his own party, but not us.
Mr. Martel: Well, I want to punish the
government members for the way they've
responded to the needs of the emerging
services and the people of Metro Toronto.
There are seven services; infonnation
services are one. Most of the centres have
received grants from their area municipalities
from Metro, or from both levels. Their func-
tion "has been built upon the basis of local
community support; to in fact assist people
to obtain information which the government
of Ontario is not in a position to provide."
Well, that's unfortunate, eh? They're not
in a position to provide.
I want to just show a couple of cases to my
friend, the hon. member from somewhere. I
can't use his name, so I have to say-
Mr. Ferrier: York West.
Mr. Martel: The member for York West.
I hope he stays around.
Mr. MacBeth: The member for Sudbury
East is the member for nowhere.
Mr. Martel: Here are a number of cases
provided assistance for by an information
centre. These can actually be documented;
I just asked for summaries. They can actu-
ally be documented if the government of
Ontario wants them.
A call came into a centre from a woman
who was calling from a phone booth. Her
husband had just thrown her and her four
children out on the street. Her husband was
an alcoholic, she was a woman who had
never been on welfare and who had been
used to being on a secure income until this
year when her husband's problem became
worse. She had no place to stay and now had
to get emergency assistance.
APRIL 2. 1974
703
Well, you know it's interesting, if one
were to try to turn to any government
agency after 5 o'clock at night in Toronto,
or in Sudbury or the Soo, it becomes almost
an impossihihty to find a Community Social
Services oflBce open, or a general welfare
office.
Mr. G. Nixon: That's wrong. We have
them in the city of Toronto.
Mr. Martel: Oh, I'm saying there are one
or two, but—
Mr. G. Nixon: Well, all right. Let the
member make up his mind. One thing or
the other.
Mr. Deans: He said it was almost im-
possiljle.
Mr. Martel: Well, how do people know?
Mr. G. Nixon: Well, an agency will tell
them.
Mr. Martel: What agency?
Mr. G. Nixon: The police can tell them.
Interjections by hon. members.
Mr. Martel: Well, it's interesting, Mr.
Speaker, that the member for Dovercourt
would make that statement that "the police
would tell them."
Do you recall the case of a young girl
iust about a month and a half ago, who was
held over in jail and who ultimately com-
mitted suicide? The judge said that he didn't
Inow any other place to send her, a girl of
16. There are five or six centres in Toronto
which she could have gone to, but the judges
and the police didn't know about them. And
a 16-year-old girl committed suicide. A dis-
grace, a total disgrace, because there are no
real linkups of the information which is
available— and that's why information serv-
ices are important.
Mr. MacDonald: Touche.
Mr. Martel: They're important and we
ha\'e stupid remarks that are never checked
out. I hope this member can tell me why
some judge in a court in Toronto didn't know
that there was some place other than the Sally
Ann, or the local jail, to send a girl of 16—
who ultimately committed suicide in her cell—
who was a ward of the Children's Aid Society.
Maybe others can rest easy with that, I can't.
I just can't.
There are no information centres. This is
^ just a t>'pical case Most government agencies,
as all of us know— there's the exception— work
from 9 o'clock on Monday morning until
5 o'clock on Friday afternoon. And the real
problems, the crisis cases, develop on the
weekend or at night. You try to find assistance
and you can't.
Does a young person in Metro Toronto even
know where to turn to find a.ssi.siance at
night? Or on the weekend? But these informa-
tion centres are manned by people for a
measly $85 a week. There's no holiday pay.
The government has had a study for three
years and it .still doesn't have a programme.
It still doesn't have a policy.
In the second case, the centre received a
call from a family \vho was in arrears in rent
and was being evicted. The hiisbanrl hal
been at work for three months, but had Ix-en
unemployed for a long time previous to this.
He was having difficulty in getting caught up
in paying his rent. No agency in the com-
munity was able to help. We've all come
across this type of problem.
The man did not want to give up his job
and there was his fear of garnishee, and so
forth. And so, with the help of the centre the
family was placed in Metro emergency shelter.
It wasn't done by a government agency. This
is the point I make. This is done by volunteer
agencies and the government could never
even start to fund the great number of people
involved in these volunteer groups. Certainly
they have permanent staff, but an overwhelm-
ing majority of their staff are volunteers.
What they need is funding, permanent
funding, for the permanent staff who help
to bring in the voluntary staff who then in
fact will provide the service. But if the gov-
ernment of Ontario had to pay for all of the
staff to provide the services that the.se ijroups
are providing, it would banknipt the province.
There must be permanent funding for the
permanent staff which is ongoing and then
they can, in fact, draw in the volunteers. Not
the same ones all the time, because you can't
expect the same voKmteers to do it. But with
permanent funding, where they didn't have
to spend all their time looking for funding,
we might be able to intermesh the .services
offered by the Ministr>' of Communit> and
Social Services with those that are partially
funded and work in conjunction with the
bulk of the people who arc willing to do it-
some of it on a volunteer basis.
If there is no penuanent funding, the whole
thing is going to collapse. You can't expect
people to spend 90 per crnt of their time
trying to find funding. And community and
social service is a provincial re.sponsibilit\-. It
is not Metro Toronto that is responsible. It
704
ONTARIO LEGISLATURE
is not the federal government's responsibility.
It's a provincial responsibility.
This government can't simply dump it on
the municipality, or the federal government
and opt out, and that's what it has done.
It has allowed the volunteer groups, the com-
munity-funded groups, the federal govern-
ment and the municipal governments to fund
these across the province, and this govern-
ment has opted out of its com.mitment in
totality.
Let me tell the members of another case.
The centre received a call from a woman, a
widow who had a difficult nine year old son.
She had called 14 places— and you tell me
it's available-she had called 14 places to find
a list of private schools that might take the
boy. A worker at the information centre sug-
gested that that might not be the best solu-
tion and suggested that the woman contact
the counselling agency, the Big Brothers
organization. The woman said she wanted to
try this first solution and so the worker gave
her the information. They tell me that there
was no arguing. She called 14 places— 14
places!
Another case: The centre received a call
from a hospital. The hospital was referring
to a volunteer group a former patient who
did not have money and didn't have a place
to stay. It was up to the information centre,
on the release of this individual, to find a
place for the person to stay. Why didn't a
government agency pick it up? Why wasn't
there a government agency that the hospital
could phone and say, "Find a place for this
individual to live until he gets re-established
in the community"? Why wasn't there a gov-
ernment agency? Well, that's information
centres. If members want to read them I
have nine cases here which were submitted
to me by one information centre alone. Just
one. And it goes on. Well, I will continue,
Mr. Speaker.
The second field of service, of course, is
the immigrant centres, and I want to list, Mr.
Speaker, if I might, the immigrant centres
that have developed with LIP funding: Arab
Community Centre, Centre for Spanish-
Speaking People, Italian Centre, Chinese
Information and Interpreter Service, East-
minster Community Service, Greek Informa-
tion and Social Services, Greek Free Interpre-
ter Service, Information Centre for West
Indians, New Canada, North York Birth Con-
trol and VD Information Centre, Portuguese
Information and Interpreter Service, Toy
Lending Centre, West End Assistance, and
Working English. Then there are those which
Sidn't start with LIP funding, the immigrant
services, but, in fact, which are now receiving
LIP services. They include the Filipino Asso-
ciation in Canada of Toronto, Grange Com-
munity Storefront, Indian Immigration Aid
Services, Italian Immigrant Aid Society, Inter
Agency Council for Services to Immigrants
and Migrants, Mobility Counselling Services,
St. Christopher House, St. Caspar Community
Centre, University Settlement, WoodGreen
Community Centre— this is a Chinese outreach
programme— the YMCA and the YWCA have
used LIP funding. These are all ethnic serv-
ice centres and this government's contribution
on a permanent basis is $100 a year. Just
$100 a year permanent funding. And for all
of these groups, which desperatelv need help,
the total commitment by the Ontario govern-
ment is $100,000 and most of it, I am told by
the people who are actually working in the
field, goes for little soirees of cultural develop-
ment and so on. The basic understanding, the
basic translation and the basic rules of com-
munication are totally avoided, are totally
neglected, and most of the funding has come
from the federal government, from the Minis-
ter for Cultural Affairs, and Ontario's contri-
bution on a permanent basis is $100 a year.
Mr. Speaker: Perhaps in view of the hour
the hon. member would like to move adjourn-
ment of the debate?
Mr. Martel: Yes, Mr. Speaker, I would be-
cause I'm—
Mr. Laughren: He's just warming up.
Mr. Martel: —just warming up really.
Hon. Mr. Grossman: Sounds like he was
burning up.
Mr. Martel moves the adjournment of the
debate.
Motion agreed to.
Mr. Speaker: In accordance with the pro-
visions of standing order 28, I now deem
that a motion to adjourn has been made. In
accordance with the provisions of standing
orders 27 and 28, the hon. member for Went-
worth has filed proper notice with me that
he was dissatisfied with the answer given to
a question by the hon. Minister of Commun-
ity and Social Services. He may now debate
that matter for a period of five minutes. The
minister may then reply if he so wishes.
The hon. member for Wentworth.
APRIL 2, 1974
705
INFORMATION SERVICES FUNDING
Mr. Deans: Thank vou, Mr. Speaker. Be-
cause there are only nve minutes I want to
get directly to the meat of what dissatisfies
me. The minister seems unaware of the fact
that over the last three years he has procrasti-
nated with regard to permanent funding for
information services centres. The one in
Hamilton, as I tried to bring to his attention
during the question period, has run out of
funds. The funds they currently have will
not allow them to continue this very valuable
service beyond the end of April.
If it were the first time it had been raised
with the minister I could well understand his
answer. His answer to one part of my ques-
tion was, and I quote from page 563-3
Hansard of today, Mr. Speaker, our policy
will be announced in due course."
I want to point out to the Minister of
Community and Social Services that is exactly
the same answer he gave in a letter of Oct.
13, 1972, to the information services centre
which I'm asking about, in which he said:
"Pending an Ontario government decision as
to a possible ongoing role for the government
in the organization and operation of centres
such as the Hamilton and district central in-
formation service," he had sent them a
cheque for $6,665 which he called a non-
recurring grant.
That was Oct. 13, 1972. On March 20,
1973, he wrote again to the same group and
said "I'm pleased to enclose a cheque for
$8,300". He went on to say:
It is a non-recurring grant from my min-
istry to Central Information Services, Ham-
ilton and district, pending an Ontario gov-
ernment decision as to a possible ongoing
role for the government in the organization
and operation of centres such as Central
Information Services.
On Dec. 14, 1973, he again wrote to the
same group, saying:
I'm pleased to inform you that a non-
recurring grant totalling $6,000 has been
approved ror the Central Information Serv-
ices, pending [again] an Ontario govern-
ment decision as to a possible ongoing role
in the organization and operation of centres
such as yours.
It has a familiar ring. Today, when the minis-
ter stood up after having brought to his
attention the fact that this extremely vital
service is going to have to be discontinued at
the end of April because this government has
been unable or unwilling to come forward
with an ongoing programme of financing, he
has the gall to stand in his place and say,
"Our policy will be announced in due course."
An Hon. member: He didn't even give the
member a cheque, did he?
Mr. Deans: No.
Mrs. Campbell: He didn't give a cheque?
Mr. Deans: Let me tell the House some-
thing. This Ls a project in Hamilton which
not only I consider vital. The member for
Hamilton West (Mr. McNie), the minister
without portfolio, wrote to that service and
said he wholeheartedly endorsed their efforts
and would bring to the attention of the Min-
ister of Social and Community Services the
value of their project and the need for
funding.
The member for Hamilton Mountain (Mr.
J. R. Smith) said he, too, supported their re-
quest for funding and would bring the matter
to the attention of the Minister of Com-
munity and Social Services.
I have supported the efforts put forward
by the group. The group dealt with 1,500
requests for information in January; 1,300 in
February, and 1,300 in March. There is a
need which is being filled; it is a need which
ought to have been filled by government, but
which has not been filled by government.
Let me go on to tell the minister that even
though he wants to disregard the support of
the member for Hamilton West, the member
for Hamilton Mountain, my support, and
perhaps that of my colleagues and other col-
leagues from Hamilton, let me read to him
what the Premier says about this group.
On Jan. 25, 1973, he said:
I am well aware of the valuable service
that agencies such as yours provide for
the citizens of Ontario and I look forward
to a continuing harmony between govern-
ment and non-government infonnation
agencies.
Hon. Mr. Grossman: What's wrong with
that?
Mr. Deans: I am going to tell the minister
something— it is going to be pretty damn
hard to have a continuing hannony with this
agency after the end of April.
Mr. Lewis: He is not kidding.
Mr. Deans: Because unless the go\ernment
is prepared to say something concrete about
the way in which it is going to be funded
there will be no agency with which to have
any harmony.
706
ONTARIO LEGISLATURE
Mr. Speaker: The member's time has ex-
pired.
Mr. Deans: I say to him, that as a minis-
ter of the Crown, if he is prepared to back
up his Premier it is time he came out and
made a statement to the effect that he is
either going to fund them or is not going to
fund them, and let them know where they
stand.
Mr. Speaker: The minister may now reply
and may take five minutes to do so if he
wishes.
Hon. Mr. Brunelle: Mr. Speaker, I entirely
support what the Premier said, that the com-
munity information centres do provide very
worthwhile services.
Mr. MacDonald: Let the minister's actions
match his words.
Mr. Ferrier: Actions speak louder than
words.
Hon. Mr. Brunelle: The figures I have, Mr.
Speaker, are a little different from the hon.
member's; maybe his are more accurate. The
figures I had been given show that in the
fiscal year 1972-1973 we provided funding
to 11 centres for a total of $55,000. Out of
that amount Hamilton centre received
$15,000. In this year 1973-1974, we provided
a total funding of $42,300, and out of that
amount Hamilton received $6,000.
Mr. Deans: What's that going to do at the
end of April?
Mr. Speaker: Order.
Hon. Mr. Brunelle: I'd like to say to the
hon. member that certainly, it's aU very well
for him and his colleagues to be able to say
that money is no object, because they haven't
got the responsibility to provide it. But this is
a very expensive programme and, therefore,
we must establish criteria and we must have
controls.
Mr. MacDonald: How long?
Hon. Mr. Brunelle: I'd also like to say to
the hon. member-
Mr. Ferrier: What about human needs?
Hon. Mr. Brunelle: —that we have re-
organized our ministry. As the hon. member
knows, we sent them copies of our task
force reports and this is an ongoing procedure.
We feel that in our reorganization of our dis-
tricts, the main purpose is to provide more
information, more decentraHzation and more
authority to the district. We want to make
sure that the implementation of this com-
munity information services programme is in-
tegrated with our district offices. And also
what about northern Ontario? The northern
affairs branch provides a very important infor-
mation service in the north.
Mr. Deans: What happens at the end of
April?
Hon. Mr. Brunelle: Therefore, we must
have as much as possible a uniform pro-
gramme. In conclusion, I would like to tell
the hon. members that our policy is under
very, very active review and sometime in the
near future it will be announced.
Interjections by hon. member.
Hon. Mr. Brunelle. In the meantime, we
are not standing still. We are funding several
of the centres. The member for Wentworth's
centre received $6,000 a few months ago.
Therefore, they should not be in that dire
position.
Mr. Deans: But it runs out. What is the
minister going to do at the end of April?
Mr. Speaker: I should point out to the hon.
members that the other debate of which I
have received notice is that from the hon.
member for Scarborough West, in which he
notified me that he was not satisfied with
the answer given to his oral question which
had been directed to the Premier ( Mr. Davis )
regarding gasoline and fuel oil prices.
I was not aware of any other arrangements,
and I have been informed that the hon. Min-
ister of Energy (Mr. McKeough) is present
to deal with this particular question and this
particular debate. There is nothing in the
standing orders, I must say, that permits
another minister to respond.
Section 27 ( i ) says : "A minister may in his
discretion decline to answer any question."
Section 27 ( j ) says : "A minister to whom any
oral or written question is directed may refer
the question to another member who is a
member of a board of commission." But it
does not apply, in my opinion, to another
member of the ministry.
Therefore, if the hon. member for Scar-
borough West wishes to take his five min-
utes, and there is nothing that I can find
that would prevent his doing that, I point out
that at the same time there is no provision
that would compel the minister, in this case,
the first minister, the Premier, to reply.
APRIL 2, 1974
707
Hon. Mr. Grossman: The member for Scar-
borough West just looked dissatisfied. He was
really satisfied.
Mr. Lewis: It is the Minister of Energy's
ministry we are discussing, althouKh I am
discussing a kind of governmental approach
that flows from this. I obviously don't mind
a debate, and obviously the Minister of
Energy could reply. I am a little concerned
about the precedent that we are then estab-
lishing, I don't really know where to go,
because it means that one minister can step
in for another minister on almost anj- count
if he is so surrogated.
Hon. Mr. Winkler: May I interject? With
respect, Mr. Speaker, there is precedent to
cover this particular point, I believe, in the
last session, and I think I participated myself.
Mr. Lewis: Is there?
Mr. MacDonald: I think there might be too.
If I may say, Mr. Speaker, I think there is
legitimacy in the minister dealing with the
topic which falls within his portfolio when
the question had gone to the Premier. It's one
thing to shift from one minister to another
minister in a different ministry. It's another
thing to shift from the Premier, who speaks
for the whole government, to the minister in
whose jurisdiction that issue falls.
Mr. Lewis: Okay.
Hon. Mr. Winkler: The circumstances were
exactly the same.
Mr. Speaker: I am informed that there is,
in fact, a precedent. I was not aware of that
precedent. If there is a precedent, we are
bound to follt)w that precedent.
OIL PRICES
Mr. Lewis: Good. That's just fine. Mr.
Speaker, the Premier's answers to my ques-
tions this afternoon were unacceptable on
every conceivable ground. Let me try very
quickly to set the context.
The mere act of negotiation which the
premiers of Canada and the Prime Minister
of Canada entered into last week is recogni-
tion of the need to control prices in the area
of oil and fuel and gasoline costs. The mere
act of negotiation presupposes that. Now,
during the negotiating process, the oil com-
panies were well looked after by the increase
to $6.50. Who then protects the consumer?
That leads me to the second point. Was
there a need to protect the consumer from
exorbitant or additional costs levied by the oil
companies? Their record in this arf-a, Mr.
Speaker, speaks for it.self. Thi-y :ire not to be
trusted. They abu.se the constnncr. They ap-
preciate inordinate profits without justification.
Immediately after the conference was over
the suggestion was that the incrcasrs to the
consumer in Ontario would be approximately
seven to 7¥i cents per gallon of gasoline or
home fuel oil. Forty-eight hours later it was
jmnounced authoritatively, both by the in-
dustry and by the federal government, that
the increase would be up to 10 cents. VV^uj is
to protect the consumer against the addi-
tional increase of 2% cents per gallon?
Mr. Speaker, during the course of the da>
the NDP research department at Queen's Park
has compiled certain interesting statistics, cer-
tain figures in terms of what it will mean for
individual oil companies in Ontario if we
apportion a certain share of the market to
them based on previous years. F"or Esso,
using their share of the market in 1973, it
will mean an additional $3.3 million from
the consumer. For Gulf, an additional $19
million. For Texaco, an additional $14 million.
For Shell Oil, an additional $21 million. For
those four oil companies alone, an additional
$87 million from the consumers of Ontario,
out of the total package of about $116 million
additional paid by the people of this province
to the oil companies.
Mr. Speaker, I point out to you that that
$87 million to those four companies alone
would be enough to provide the provincial
share for a minimum income scheme for
everybody in Ontario over the age of 60.
When the Premier is asked why he will not
intervene to prevent this happening he has a
variety of arguments.
The first argument he uses is that it is a
federal matter rather than a pro\ incial matter.
Well, it may have been in the national in-
terest to set a wellhead price, but then it's
in the provincial jurisdiction to protect the
consumers of Ontario.
That is why Saskatchewan is lowering the
price. That is why Alberta is low< ring the
price and that is why Xova Scotia inde-
pendently had a commission of inquiry into
the oil companies. And the default (m the
part of the Province of Ontario to pro'ect
the consumers is a default on the agreement
which the Premier entered into with the
federal government, because there they were
setting national wellhead prices, with the
provinces to look after their own consumers.
Then, Mr. Speaker, the Premier goes on to
argue that it is all right to regulate the public
sector in Ontario, but not the private sector.
708
ONTARIO LEGISLATURE
Because Ontario Hydro is a Crown corpora-
tion it is all right to govern its rates, but it's
not all right to intrude on private multi-
national corporations in the private sector.
Well, let it be pointed out, Mr. Speaker,
that Ontario regulates Consumers' Gas and
Union Gas. The government requires them to
come before the Ontario Energy Board for a
rate application. They are in direct competi-
tion, particularly in the home fuel business,
with the multi-national corporations.
Now, isn't that the irony of irons? We
discriminate against our own Canadian-owned
companies. We prejudice their position by
forcing them to take rate applications to the
Ontario Energy Board while we will not force
the multi-national oil companies to justify
their rate increases. It conforms with the gov-
ernment's policy on the invitation to further
control and ownership of the uranium indus-
try, but it's an absurd anomaly and inconsis-
tency in the Province of Ontario.
Finally, Mr. Speaker, the Premier of On-
tario says that this government fights inflation
generally in overall terms and he talks about
constraining the public sector. Well, that's all
a matter of looking at the way in which the
public sector is used. If one looks at the
amount of money the government is going to
spend on GO-Urban transit or the conse-
quences for the hospital workers of its hospi-
tal ceilings, then we say to the government
that its constraints on the public sector are
invalid on one hand and perverse on the
other and that, in fact, in the area of cost of
living and inflation — whether it is food,
whether it is housing, whether it is automo-
bile insurance or whether it is increases in
gasoline fuel oil and diesel fuel-
Mr. Speaker: The hon. member has had
five minutes now.
Mr. Lewis: —there is absolutely no evidence
on the part of the Province of Ontario of
protecting the consumer. The attitude is, the
consumer be damned. It has abdicated in
total, and frankly that is a betrayal of the
public trust.
Hon. W. D. McKeough (Minister of En-
ergy): Mr. Speaker, I must say that having
been dragged away from a very pleasant per-
formance at the theatre tonight to come here—
Interjections by hon. members.
Mr. Martel: He might have stayed there.
Mr. MacDonald: If he had answered this
afternoon he wouldn't have needed to be
back.
Mr. Stokes: Please accept our humble apolo-
gies on behalf of the people of the province.
Hon. Mr. McKeough: —I was delighted that
you followed the precedent and I am able
to reply to this question. One comes to the
conclusion that the NDP don't want answers
to questions; they want to go on grandstand-
ing, they want to make statements and they
don't wimt to hear the facts. They sit there in
their smugness and they don't want the
answers.
Mr. Lewis: We are waiting for the facts.
Interjections by hon. members.
Mr. Martel: Does the minister remember
some of his statements about the money-
grubbing companies? Remember his state-
ments about them ripping off the public?
Hon. Mr. McKeough: Well, Mr. Speak r.
having sat quietly and trying to be as unpro-
vocative as I normally am, I would just like
to review certain facts.
First of all, the price of oil \A'as frozen h\
action of the federal government on Sept. 4
last, at $3.80 at the wellhead and at $4 at
Edmonton, which is determined to be the
frozen price. The agreement last Wednesdav
raised that frozen price from $4 to $6.50 at
Edmonton and we would have translated that,
and do translate that, into about a 7V2 cent
increase.
It is well to remember that during the
last six months while the freeze has been on,
to my knowledge east of the line because
of imports and to some extent west of the
line, prices have risen or have been adjusted
at least three times. Because of variables
other than simply the cost of cnide oil, be-
cause of the cost of shipping, because of
the cost of transportation there have been
adjustments. There have been adjustments
during the last six months. The history of
those adjustments was that in each case the
companies went to the Minister of Energy,
Mines and Resources and to the National
Energy Board and asked for certain adjust-
ments, as they have now.
They have now asked, as I understand
and read the papers, for another two, 2% or
three cents, depending on which paper you
read, and I suppose that there is a variable
between the companies. I think it is reason-
able to assume that during the last six
months, and I am not justifying what they are
asking for—
Mr. Lewis: The minister certainlv is.
APRIL 2. 1974
709
Hon. Mr. McKeough: During the six
months I am assuming that it is reasonable-
Mr. Stokes: Is he going to intervene?
Hon. Mr. McKeough: —to assume that
there have been increases-
Mr. Lewis: One half-cent per gallon. Their
figures.
Hon. Mr. McKeough: I am assuming that
it is reasonable to assume that there have
l/oen increases in transportation costs, in
labour rates, in refinery costs, in the costs
of goods and services.
Interjections by hon. members.
Mr. Lewis: What an apologist for the oil
companies the minister is. What an apologist
for the oil companies.
Interjections by hon. members.
Hon. Mr. McKeough: Mr, Speaker, I am
not justifying one-tenth of one per cent. That
is not my job.
Mr. Lewis: It certainly is his job.
Hon. Mr. McKeough: It is the job of the
companies to go to the NEB—
Mr. Lewis: No, it is the job of the com-
panies to come here.
Hon. Mr. McKeough: Well, Mr. Speaker, if
the hon. member wants an answer I will
carry on.
Mr. Speaker: There are 60 seconds re-
maining.
Interjections by hon. members.
Mr. MucDonald: .Mr. Speaker, it is sym-
bolic that the Minister of Enerjo' is situatctl
in the Sunoco buildinjj.
Interjections by hon. meml>ers.
Mr. Speaker: Forty-five seconds remaining.
Hon. .Mr. .McKeough: It lost the member
for York South his job as leader of that partv
and he's destroying the new leader.
Interjections by hon. members.
Mr. MacDonald: The minister spent five
minutes justifying the actions of the oil com-
panies and I think it's more than symlK)lic
that he is situated in an oil company's
building.
Mr. Speaker: Order, order.
Interjections by hon. meml>ers.
Hon. Mr. McKeough: That's a cheap shot
Mr. Speaker: Time has now expired. In
accordance with the provisions-
Interjections by hon. members.
Mr. Speaker: Does the hon. House leader
have some comments before the House is
adjourned?
Hon. Mr. Winkler: No, Mr. Speaker; except
to say that on Thursday we will continue
the debate on item No. 2 on the order paper.
Mr. Speaker: I deem the motion to adjourr.
to have been carried.
The House adjourned at 10:50 o'clock, p.m.
CONTENTS
Tuesday, April 2, 1974
Resumption of the debatt on the Speech from the Throne, Mr. Rc)\ , Mr. Mirtcl 671
Motion to adjourn debate, Mr. Martel, agreed to '04
Debate re answers to oral questions, Mr. Deans, Mr. Brunelle, Mr. Lewis.
Mr. McKeough
Adjournment
705
70<)
No. 18
iidk
Ontario
Hegtsilature of Ontario
OFFICIAL REPORT — DAILY EDITION
Fourth Session of the Twenty-Ninth Legislature
Thursday, April 4, 1974
Afternoon Session
Speaker: Honourable Allan Edward Reuter
Clerk: Roderick Lewb, QC
THE QUEEN'S PRINTER
PARUAMENT BUILDINGS, TORONTO
1974
Price per session, $10.00. Address, Clerk of the House, Parliamer^t Bldgs., Toronto
CONTENTS
(Daily index of proceedings appears at back of this issue.)
713
LEGISLATIVE ASSEMBLY OF ONTARIO
The House met at 2 o'clock, p.m.
Prayers.
POINT OF PRIVILEGE
Hon. M. Birch (Provincial Secretary for
Social Development): Mr. Speaker, on a point
of personal privilege, on April 2 at approxi-
mately 9:45 the hon member for Sudbury
East (Mr Martel) made a statement in which
he suggested, and I quote: "and I want to
tell this House that she lied to the public."
I have drawn this to your attention, Mr.
Speaker, and I would like to have the hon.
member retract this statement.
Mr. E. W. Martel (Sudbury East): Mr.
Speaker, I think I suggested that the hon.
member did, in fact, deliberately mislead the
public in some of her statements surrounding
LIP funding and the fact that the province
did not have any input—
An hon. member: Withdraw.
Mr. Martel: —I am not about to withdraw
into the way the LIP funds would be allo-
cated in this province.
Interjections by hon. members.
Mr. Speaker: Order, please.
Mr. J. E. Bullbrook (Samia): Withdraw
the statement. It is the easiest way.
Mr. Speaker: I must say to the hon. mem-
ber that he may have thought he said that
the hon. minister had deliberately misled the
House. Even if this is what took place, that
is not permitted in this House. I have re-
viewed Hansard and the words are: "She
lied to the public." I read that in Hansard
myself. I would ask the hon. member if
he would kindly withdraw that remark.
Mr. Martel: I will withdraw the remark
but she lied and, Mr. Speaker, I just-
Interjections by hon. members.
Mr. Speaker: Order!
Mr. Martel: —add that in my opinion she
deliberately misled the public.
Thursday, April 4, 1974
Mr. Speaker: The hon. member mu.st either
withdraw the remark or refuse to; one of
the two. Does the hon. member withdraw
the remark?
Mr. Martel: I will withdraw the remark,
Mr. Speaker.
An hon. member: That's the boy, that's
the boy.
Mr. J. R. Breithaupt (Kitchener): Mr.
Speaker, I would like to call to the attention
of members of the House the fact that in
our galleries today we have with us some
100 students from the Eastwood Collegiate
Institute in Kitchener. I hope all the mem-
bers will join with me in welcoming them
to the Legislature.
Mr. Speaker: Statements by the ministr>-.
SPENDING CEILINGS IN EDUCATION
Hon. T. L. Wells (Minister of Education):
Mr. Speaker, I would like to inform members
of the House that we have mailed today to
every school board in the province copies of
the 1974 general legislative grants and ap-
portionment regulations.
An hon. member: About time.
Hon. Mr. Wells: The new regulations con-
tain a number of important refinements and
I would like to draw the members' attention
to these.
Last August, when the 1974 expenditure
ceilings were announced, it was very clear
that inflation was having a significant im-
pact on school board spending. For many
boards, despite their best efforts to budget
wisely, it was becoming increasingly diflRcult
to cope with rapidly rising costs which were
beyond their control. Thus the 1974 ceilings
a.s announced in August were increased by
7.9 per cent over the ceilings of the year
previous.
At that time, after evaluation of the pre-
dicted impact of inflation, it was felt that
the 7.9 per cent increase would adequately
accommodate unavoidable cost increases en-
countered bv school boards.
714
ONTARIO LEGISLATURE
In the ensuing six months, however, the
eflFects of inflation have continued. Now, in
the face of rising costs over which school
boards have httle or no control, we are con-
cerned that boards may be forced to make
budget decisions which could have a detri-
mental effect on educational programmes.
We do not want this to happen. Thus the
regulations released today include provisions
for an increase in the 1974 expenditure ceil-
ings of a further 2.6 per cent, making the
total increases in 1974 ceilings over 1973's
approximately 10.5 per cent.
The revised 1974 ceilings are $704 per
elementary school pupil, up 11.75 per cent
over 1973; and $1,231 per secondary pupil,
up 8.94 per cent over 1973.
Upon careful analysis we believe that the
revised ceilings will permit all school boards
to maintain the level of quality which they
have achieved in their schools, and avoid
decisions which might have a detrimental
efiFect on children in the classrooms.
It should be emphasized, however, Mr.
Speaker, that any decision by a school
board to increase its spending to the new
ceiling levels is strictly a local board de-
cision. The ceilings are merely upper spend-
ing limits and they still require boards to
seek economies in their operations.
The fact that we are today adjusting the
1974 ceilings does not in any way alter
the principle of the ceilings which con-
tinues to be the policy of this government.
The impact of inflation, which has been
greater than foreseen earlier, has created
a unique situation and we are taking this
action to ensure that the ceilings continue
to be fair and equitable and reflect the
actual conditions faced by school boards.
There are two other changes in the 1974
regulations which deserve mention at this
time.
One is that the method of calculating
grants for French-language instruction has
been changed and simplified and will re-
sult in increased assistance to most boards
in this province for their French language
educational programmes.
Secondly, more grant assistance is also
being provided to school boards toward the
cost of unapproved debt assumed from the
pre- 1969 school boards. The maximum mill
rate for this purpose will be reduced from
0.75 equalized mills to 0.2 equalized mills
for elementary schools and 0.6 equalized
mills for secondary schools. Any excess will
be met by provincial grants.
It continues to be government policy that
provincial grant support be maintained at
60 per cent of the total cost of elementary
and secondary education in Ontario and
this policy is embodied in the 1974 regula-
tions.
The refinements which have been incor-
porated into the regulations will permit
boards to make financial and educational
decisions which wdll benefit their schools
in a tangible way. As always, Mr, Speaker,
pupils are our prime concern.
Mr. S. Lewis (Scarborough West): That
was a dignified retreat— as usual. The min-
ister finally came to his senses.
RYERSON RADIO STATION
Hon. J. A. C. Auld (Minister of Colleges
and Universities): Mr. Speaker, hon. mem-
bers will recall that on Dec. 3 the Premier
(Mr. Davis) advised the House of the
government's decision to establish CJRT-FM
as a separate and independent corporation
with the capability to operate the present
CJRT radio station and to continue its
educational broadcasting activities.
At that time the Premier also stated that
a managing board, including members of
the private sector and representatives from
Ryerson, would be established.
Mr. Speaker, it is the government's in-
tention during this session of the Legis-
lature to introduce legislation that will
establish the new corporation to run CJRT-
FM. In the meantime, I'm pleased to be
able to advise hon. members of the estab-
lishment of an interim board to help set
up the new corporation. The interim board
is expected to become the new corporation's
managing board.
Until the new corporation is established,
the interim board will work with Ryerson's
board of governors and keep the minister
informed of matters aff^ecting the radio
station.
Members of the interim board are:
Mr. Donald B. McCaskill (chairman),
president, Connlab Holdings Ltd., Toronto;
Mrs. Mary Alice Stuart (vice-chairman); Mr.
John Twomey, chairman, radio and TV arts,
Ryerson Polytechnical Institute; Mr. Frank
C. Buckley, vice-president, W. K. Buckley
Ltd.; Mr. Cosmo J. Catalano, assistant vice-
president, public affairs, Bell Canada; Dr.
Abbyann D. Lynch, professor, St. Michael's
College, University of Toronto; Mr. Fred
Pollard, principal. Tabor Park Vocational
School; Mr. Peter Hunter, president, Sigmun
APRIL 4, 1974
715
Communications Ltd. and McConnell Ad-
vertising Co. Ltd.; Mr. James Pearce, Pearce
Audio- Visual Presentations; Mr. John T.
Ross, Robert Lawrence Productions Ltd.;
Mr. Jack R. Gorman, assistant to the presi-
dent, Ryerson Poly technical Institute; Mr.
Edward J. Brisbois, president, Challenger
Manifold Corp. Ltd.; and Mr. C. R. Fin-
ley, acting station manager, CJRT-FM.
HEALTH PLANNING TASK FORCE
REPORT
Hon. F. S. MUler (Minister of Health): Mr.
Speaker, in late 1972 and early 1973, as
you may remember, the Ministry of Health
embarked on an extensive programme to
integrate and restructure the ministry itself
and to develop a single comprehensive
health care programme. And, at much the
same time— actually in January, 1973— a
health planning task force was established
by cabinet directive to develop a compre-
hensive plan to deliver services to meet
the health needs of the people of Ontario;
in other words, a plan to complement the
internal reorganization of the ministry.
The man appointed as chairman of this
health planning task force was Dr. Fraser
Mustard, dean of the faculty of medicine at
McMaster University and vice-president of
the McMaster Health Sciences Centre, who
has considerable experience in heading task
forces on major projects. His task force was
made up of members of health professions,
universities and the field of economics, to-
gether with senior ministry officials. All these
members brought to the meetings a wide
background of individual knowledge and
accumulated experience in their own fields.
Their report, which will be tabled at the
appropriate time this afternoon, is a com-
prehensive study of health care delivery in
Ontario. It makes proposals and recom-
mendations that could bring about wide and
fundamental changes afi^ecting the entire
health care system— changes in roles, struc-
tures and practices at all levels.
These proposals now require close exam-
ination and wide discussion before any other
action is taken since, if they are implemented,
they could, directly or indirectly, affect the
lives of every individual in the province.
The government has decided that the sub-
ject matter of the report makes it desirable
that this publication, despite the colour of
its cover, should be regarded strictly as a
green paper.
Mr. J. F. Foulds (Port Arthur): For Health,
that's a nice colour.
Mr. V. M. Singer (Downsview): That is
clever.
Hon. Mr. Miller: Well, one of our patients
bled on it.
We are committed to the principle of pub-
lic involvement in the planning of health
services. Changes on so wide a scale as the
report proposes could not be undertaken by
the government without the understanding,
co-operation and full support of the public,
health professions and health agencies. We
want to make sure that these are the issues
and that these are the best ways of approach-
ing them. Also we want to find out whether
these proposed solutions are the right ones
or whether there may be either equally valid
or better answers.
We consider a period of, say, three or four
months from the date of publication of the
report should be allowed for discussion and
proper feedbacks by all interested parties.
After that, when we have been able to ana-
lyze the respK)nse, a comprehensive policy
will be formulated.
Mr. Foulds: Making up for lost time.
VALIDATION STICKERS
Hon. J. R. Rhodes (Minister of Transpor-
tation and Communications): Mr. Speaker,
there has been a press report from Ottawa
indicating that charges against motorists for
failure to display 1974 validation stickers
have been dismissed. At this time we do not
have all the particulars of the decision of the
court.
Prior to the implementation of the multi-
year licence plate there were two require-
ments: firstly, that the registration be renew-
ed annually and, secondly, that the plate
issued for the current year be displayed. The
implications of the introduction of the vali-
dation stickers were considered, including
their validity.
However, since the decision of the court
in Ottawa has been brought to my attention,
I am satisfied after further examination of
the Act and regulations that they do not
clearly relate the validation sticker to the
multiyear plate in respect to the reqtiire-
ments of display. Amending legislation will
be introduced at this session to clarify the
matter.
Mr. Breithaupt: They bungled again.
Hon. Mr. Rhodes: There is no defect in
the Act and regulations-
Mr. Singer: No, no. None at all I
716
ONTARIO LEGISLATURE
Mr. Foulds: Just in the minister.
Hon. Mr. Rhodes: —insofar as vehicle own-
ers being required to renew the vehicle
registration and pay the prescribed fee.
Mr. Breithaupt: Is the government going
to give them their money back?
Mr. Singer: Only in the mind of the judge.
If he thinks so we will change the Act.
Hon. Mr. Rhodes: Also there is no impair-
ment in the identification of vehicles and
their owners. In these circumstances, I am
prepared to recommend refund of fines levied
in respect of convictions for failure to display
the validation stickers where the registration
fee has been paid.
Mr. Foulds: The hon. member for Armour-
dale (Mr. Carton) is the most relaxed mem-
ber of the House.
Mr. J. E. Stokes (Thunder Bay): He didn't
have to resign over that.
Mr. Lewis: Oh, oh, now we will hear it.
Hon. C. Bennett (Minister of Industry and
Tourism): Mr. Speaker, I am delighted that
the member has been waiting for it.
Mr. Lewis: Now here it is.
MAPLE MOUNTAIN DEVELOPMENT
Hon. Mr. Bennett: I should like to advise
the House today of the government's inten-
tion as a result of evaluating feasibility stu-
dies for a recreational complex at Maple
Mountain in northeastern Ontario. Over the
past several months there have been much
sneculation and comment on what is essen-
tially a normal and continuing programme of
my ministry to encourage and support the
development-
Mr. Breithaupt: That is the problem.
Hon. Mr. Bennett: -and improvement of
Ontario's tourist industry, an industry which
is a major source of jobs and income in this
nrovince. A key consideration which led to
the investigation of the feasibility of this pro-
ject was the economic benefits and develop-
ment which could accrue to northeastern
Ontario.
Mr. E. J. Bounsall (Windsor West): Move
it to Windsor.
Hon. Mr. Bennett: Tourism is big business
and in 1973 it produced over $2 billion in
revenue for Ontario business firms.
Mr. Lewis: Oh, the justification!
Hon. Mr. Bennett: Tourism is the third
largest industry in this province and tourist-
related businesses account for over 200,000
jobs,
Mr. E. Sargent (Grey-Bruce): The minister
will change that.
Hon. Mr. Bennett: We have a potential
for more and it is my ministry's responsi-
bility to seek out and explore opportunities.
Mr. Lewis: What do they pay?
Hon. Mr. Bennett: During the past few
months my ministry has been criticized in
connection with this programme for being
innovative and for seeking ways to improve
and enhance Ontario's tourist facilities. That
kind of criticism, Mr. Speaker, I welcome.
My ministry has also been criticised for
having feasibility studies prepared on a
recreational complex. That kind of criticism
is less easy to accept for, as many good
businessmen know, before one invests a lot
of money in an idea one also has to be very
careful and in addition invest a great deal
of hard work and a sufficient amount of
money to determine its economic feasibility.
Mr. Stokes: Like Minaki.
Hon. Mr. Bennett: Yes, like Minaki, a
very valuable project in northwestern On-
tario.
Mr. Martel: Bailing out the government's
bankrupt friends again.
Hon. Mr. Bennett: Accordingly, Mr.
Speaker, over the past several months we
have been testing the idea of a Maple
Mountain recreational complex to determine
how feasible that specific project would be
and to provide a more general assessment
of the types of tourism-related programmes
which show greatest promise for the north.
We have also been exploring the various
ways a recreational complex like Maple
Mountain would develop wdthout govern-
ment participation.
There have also been suggestions that the
government has not made known its in-
tentions clearly enough and has not per-
mitted the public to participate in the
planning process. Mr. Speaker, with all due
respect for such suggestions, my ministry
has been quite explicit that to this point
APRIL 4, 1974
717
it has been studying the feasibility— and I
would like to repeat for the information of
those in the opposition, the feasibility of the
project only. Policy decisions with regard
to whether the project would proceed, and
how, would be appropriately left to sub-
sequent phases of the overall decision-mak-
ing process— and of course include public
participation.
Mr. F. Laughren (Nickel Belt): What does
that mean?
Hon. Mr. Bennett: Indeed, the Provincial
Secretary for Resources Development (Mr.
Grossman) last Saturday at the resources
conference for the Ontario delegations made
this very statement.
Mr. Foulds: After the fact— hold an in-
quest after the fact.
Hon. Mr. Bennett: It would be irrespon-
sible for the government to have raised ex-
pectations by making premature announce-
ments.
Mr. Lewis: Raised expectations?
Hon. Mr. Bennett: The members opposite
have been doing a pretty good job at it.
Mr. Lewis: What is he talking about?
Mr. E. M. Havrot (Timiskaming): Why
doesn't the NDP leader dry up?
Hon. Mr. Bennett: As hon. members know,
Mr. Speaker, the Maple Mountain concept
has its supporters and its detractors— that is
not unusual for a project of this kind.
There have also been those who have sug-
gested alternative projects for enhancing the
economy of the north; or, indeed, for utiliz-
ing the land and water around Maple Moun-
tain for non-economic purposes. Such alter-
native suggestions are neither right nor
wrong— they are just diflFerent.
An hon. member: Right.
Hon. Mr. Bennett: Based on usual differ-
ent premises and values.
Mr. Lewis: By public participation instead
of pubhc exclusion.
Hon. Mr. Bennett: Obviously, all of the
different points of view cannot prevail, given
their conflicting nature and the limited funds
available for the development.
Mr. Breithaupt: How would he know un-
less he knew?
Hon. Mr. Bennett: Mr. Speaker, our evalu-
ation of the preliminary studies into the
economic feasibility of Maple Mountain is
now complete, and the government has de-
cided that there is sufficient support for it
to widen the basis of its investigation and
to proceed into the next phase.
Of immediate importance, of course, will
be the registration of caution by the Bear
Island Foundation against all ungrantc-d
lands-
Mr. Lewis: I should think so.
Hon. Mr. Bennett: —in the 110 townships
in the North Bay, Sudbury and Haileybur\
areas, within which Maple Mountain is lo-
cated. The caution is against the disposition
and registration of the land by the Crown
and before any further activity can proceed,
this matter will have to be satisfactorily
resolved.
At the present time the question of the
validity of the caution is in the hands of
the director of titles who, pursuant to the
Land Titles Act must hold a hearing con-
cerning the validity of the registration of
the caution.
I can advise the House that the director
of titles has asked the Bear Island Founda-
tion for particulars regarding its caution.
These have now been received and a hear-
ing will be convened at an early date. When
the title of the land has been decided, and
if the tide is shown to be in the hands of
the Crown, then and only then will my min-
istry proceed with the second phase of the
project.
The second phase will involve a number
of studies including environmental impact
study, socio-economic study, an attitudinal
study, and a mechanism for all interested
parties to express their views on the Maple
Mountain project.
Mr. R. F. Nixon (Leader of the Opposi-
tion): What is the point of that— after the
government has decided?
Hon. Mr. Bennett: Many groups and indi-
viduals have expressed their interest in par-
ticipating in the discussions regarding the
feasibility of such a project, such as the On-
tario Ski Resorts Association, the municipal
cotmcils in the area affected, the Save the
Maple Mountain Association, the general tax-
payers of the province of Ontario— and, of
course, the Indian bands in the local com-
munity.
The second phase of this project will also
involve direct approaches to the federal
718
ONTARIO LEGISLATURE
government to find out the interests of the
Department of Regional Economic Expan-
sion in providing development grants for
northeastern Ontario— similar to the federal
investment of $13 million made in Quebec
for the Mont St. Anne resort complex in
the eastern part of that province.
Mr. J. A. Renwick (Riverdale): He wants
the federal government to finance it for him.
Mr. Breithaupt: We are going to get an
airport, too.
Hon. Mr. Bennett: Approaches in greater
depth v»dll also be made to the private sector
to ascertain their interest in investing in the
Maple Mountain recreational complex.
Mr. Lewis: The government has already
done that.
Hon. Mr. Bennett: The cost of the studies
in the second phase is estimated at $160,000.
My ministry will be asking the federal gov-
ernment to share, on an equal basis, the
costs of these studies.
I should like to stress, Mr. Speaker, that
Maple Mountain is not a fait accompli.
There are many decisions still to be made,
and many points of view still to be con-
sidered. I believe, however, we are now in
a position based on the work initiated by my
ministry and subject to the hearing respect-
ing the Bear Island caution, to proceed into
the second phase.
As promised, Mr. Speaker, I am filing with
the Clerk of the Legislature today a copy
of the consultants' reports prepared to date
—and these are available to the public for
its evaluation.
Mr. Lewis: A great exercise in public ex-
clusion.
Mr. Speaker: Oral questions. The hon.
Leader of the Opposition.
MAPLE MOUNTAIN DEVELOPMENT
Mr. R. F. Nixon: Thank you, Mr. Speaker.
I would like to ask the hon. minister who
just made the statement regarding Maple
Mountain, if we are to expect, since he has
accepted only phase one— I see he has pro-
vided me with considerable documents in that
regard-
Mr. Havrot: Got all the phases there.
Mr. R. F. Nixon: Since he has accepted
'only phase one and has armouncedi public
hearings from the people concerned, pre-
sumably in the community of Maple Moun-
tain, in the Tritown area and elsewhere—
Mr. Havrot: They're all for it.
Mr. R. F. Nixon: —is it possible that those
hearings could recommend to the miriister the
abandonment of the programme if those views
are expressed with force, authority and fact
from people concerned? Or are we to accept
the minister's statement that all of these hear-
ings are just a fagade, and a fraud and that
the basic decision has been made and the pro-
gramme will go forward? If the latter is true,
how much money are we committed for?
Hon. Mr. Bennett: Mr. Speaker, I indicated
very clearly in the statement that we would
have the full hearings-
Mr. R. F. Nixon: What's the use of the
hearings?
Hon. Mr. Bennett: —once we have the
cautions cleared and the title of the land
vested in the hands of the Crown.
Mr. R. F. Nixon: What is the point of those
hearings if a decision has been made?
Hon. Mr. Bennett: The hearings? Well, if
the Leader of the Opposition would read the
statement and the report, he might under-
stand. Obviously he wasn't listening to the
statement; he was trying to figure out what
kind of annoying question he could ask—
Mr. R. F. Nixon: I was listening to the
minister, and he said he had decided to go
forward and have those hearings later.
Hon. W. G. Davis (Premier): He didn't say
that.
An hon. member: The Leader of the Op-
position should try again.
Interjections by hon. members.
Hon. Mr. Bennett: No, no. Obviously, Mr.
Speaker, the leader of the Liberal Party likely
is trying to interpret something he's heard
from some other party and not the statement
that was made in the House today.
Inerjections by hon. members.
Hon. W. A. Stewart (Minister of Agricul-
ture and Food): He's just catching up.
Mr. Havrot: He hasn't got a clue what he's
talking about.
Hon. Mr. Bennett: I said very clearly that
we will be holding the hearings and that all
parties in this province— those who wish to
APRIL 4, 1974
719
invest, the municipal council, the general
public, the Indians bands—
Hon. Mr. Stewart: Even the Liberal Party.
Hon. Mr. Bennett: —would be given the
right and the opportunity of expressing their
views. And if, in the opinion of those listen-
ing to the hearings and eventually the cabinet
of this province, the project should not go
forward for obvious reasons given, that's a de-
cision this cabinet will make.
Mr. R. F. Nixon: Good. Will the minister
then answer the second part of the question?
What is the commitment in dollars if we go
forward with the full programme?
Hon. Mr. Bennett: Mr. Speaker, if we go
ahead with the full programme, the commit-
ment in dollars will be determined at that
time. Obviously if the clearing of title takes
some period of time and if the hearings
should take a period of time, I hope my
friend can appreciate that there will be an
inflationary effect on the cost of the project.
Interjections by hon. members.
Mr. R. F. Nixon: Surely there is an esti-
mate in this pile of stuff as to what the com-
mitment would be if we were to go forward
now?
Hon. J. White (Treasurer and Minister of
Intergovernmental Affairs): Read it over and—
Mr. A. J. Roy (Ottawa Centre): Yes, sure,
read it over-
Interjections by hon. members.
Mr. Speaker: Order.
Hon. Mr. Bennett: Mr. Speaker, that is
why I supplied the Leader of the Opposition
and the leader of the New Democratic Party
( Mr. Lewis ) with the complete documenta-
tion—so they might read it and find out.
Interjections by hon. members.
Hon. Mr. Bennett: But to answer the ques-
tion, in case the Leader of the Opposition
cannot understand the report, we feel that
the investment by the Province of Ontario—
An hon. member: Well, that's possible.
Mr. R. F. Nixon: You're a real beauty.
Mr. R. F. Ruston (Essex-Kent): The min-
ister doesn't understand very much about any-
thing, the pipsqueak.
Mr.: Speaker: Order.
Hon. Mr. Bennett: —for a complete opera-
tion, for phase one and phase two of con-
struction—would be in the range-
Interjections by hon. members.
Mr. Roy: The minister should have a cau-
tion against himself—
Hon. Mr. Bennett: Well, I would just take
caution if I were the hon. member.
Mr. Speaker: Order please.
Interjections by hon. members.
Hon. Mr. Bennett: It would be in the
range of about $13.5 million by the Province
of Ontario— and these are projected figures—
and $13.5 million is anticipated from the
federal government as well. The balance
would come from the private sector.
Mr. T. P. Reid (Rainy River): Supplemen-
tary-
Mr. Lewis: Supplementary, if I may, Mr.
Speaker.
Mr. Speaker: The hon. member for Scar-
borough West.
Mr. Lewis: I have just read through the
studies-
Interjections by hon, members.
An hon. member: Anything I can do-
Mr. Lewis: Well, it's pretty insubstantial
stuff, I'll tell you. It's pretty insubstantial.
Interjections by hon. members.
An hon. member: The member is not per-
suaded?
Mr. Lewis: I'm not persuaded, no.
Hon. Mr. Davis: Does the member still
think it is a hotdog stand?
Mr Lewis: Now that the minister is
through the process of public exclusion and
he has been dragged, kicking and screaming,
into phase two, can I ask him if it is his
intention to go ahead if he does not get the
federal funding and the private sector fund-
ing?
Hon. A. Grossman (Provincial^ Secretary
for Resources Development): We've got to
hear what the public says first.
Hon. Mr. Bennett: First of all, Mr. Speak-
er, let us clear up a situation that seems to
be prevailing in the mind of the leader of
the NDP: Not so many days ago he said, "Are
you going to have public participation in the
720
ONTARIO LEGISLATURE
second phase if you should go forward with
it?"
Well, if he would read the statement again
he would understand why we are going into
a second phase-
Mr. Lewis: This is a commitment-
Mr. Speaker: Order.
Hon. Mr. Bennett: —but obviously he
doesn't understand English either.
Interjections by hon. members.
Hon. Mr. Bennett: I very clearly stated
that, firstly, the government will do its feas-
ibility study number one and, secondly, we
will have participation by all interested par-
ties.
Mr. Lewis: Okay:
Hon Mr. Bennett: And we're not being
dragged into this. This government has al-
ways asked for public participation and input
into the Design for Development programme.
Interjections by hon. members.
Hon. Mr. Bennett: But before we find
ourselves—
Mr. R. F. Nixon: That is a ridiculous posi-
tion.
Interjections by hon. members.
Mr. Havrot: Why don't you give up with
your programme?
Interjections by hon. members.
Mr. Speaker: Order.
Mr. Lewis: The minister is a laughing-
stock—
Hon. Mr. Bennett: No, the member is—
and we'll show the public of northeastern
Ontario that he is the laughing-stock-
Interjections by hon. members.
Mr. Speaker: Order please.
Hon. Mr. Bennett: —because obviously in
Timmins last Saturday it was he who couldn't
understand English-
Mr. Lewis: What did I do in Timmins last
Sunday?
Mr. R. F. Nixon: He certainly made a
speech.
Interjections by hon. members.
Hon. Mr. Bennett: Obviously, sir, if we
are to have public participation, we'd like
to do it from a knowledgeable point of view,
and not just complete input from an un-
known source of what we intend to do or
would like to do. I think that something
should be done for northeastern Ontario in
a financial way.
Mr. Reid: A supplementary, Mr. Speaker.
Mr. Speaker: Yes, the hon. member for
Rainy River with a supplementary.
Mr. Reid: Thank you, Mr. Speaker. I won-
der if the minister could tell us if public
input from only the business sector of the
community is what he considers public par-
ticipation? My primary supplementary, Mr.
Speaker—
An hon. member: Did the member read
it?
Mr. Reid: Yes, I'm a speed reader, too.
Can the minister indicate to the House if
there are funds to be allocated in the up-
coming budget of April 9 and if those funds
will, in fact, be earmarked for this project?
If tiiis project does not go ahead, will he
consider such a project Mdth public participa-
tion for the people of northwestern Ontario?
Mr. Havrot: They have got Minaki
Lodge.
Mr. Reid: We don't want that kind.
Hon. Mr. Bennett: First of all, Mr.
Speaker, it is our intention-
Interjection by an hon. member.
Hon. Mr. Bennett: —to seek not only the
business community's expression of opinion
on Maple Mountain recreational complex but
indeed that of all the people, the Indian
bands included, which is most important.
Mr. Reid: Why ask the business com-
munity first?
Mr. Speaker: Order.
Hon. Mr. Bennett: Because we value the
business community's opinion when we are
trying to do a feasibility study. I would
think-
Interjections by hon. members.
Hon. Mr. Bennett: Mr. Speaker, one
would think that the business community
was not the public of this province. To my
understanding, they are taxpayers of this
APRIL 4, 1974
721
province, the same as you and me. Their
opinion, to us, is very valuable.
Interjections by hon. members.
Hon. Mr. Bennett: Secondly, in regard
to the funds provided in the 1974-1975
estimates, sir, there are funds in there under
special projects.
Mr. Lewis: Yes, to what extent? How
much?
Hon. Mr. Bennett: That will come all in
due course, sir, when the estimates are
tabled.
Mr. W. Ferrier (Cochrane South): A
supplementary, Mr. Speaker.
Mr. Speaker: Yes, the hon. member for
Cochrane South with a supplementary.
Mr. Ferrier: Does this commitment to
proceed to phase 2 mean the minister is not
interested in pursuing any other projects of
major tourist interest in northeastern Ontario,
namely the science centre in our area or
some other projects, which might be spread
throughout the northeast?
Hon. Mr. Bennett: Let me assure all mem-
bers of this House that because we happen
to be now proceeding with phase two of
Maple Mountain it does not cut ofiF—
Interjection by an hon. member.
Hon. Mr. Bennett: —our consideration of
other developments in the Province of On-
tario from a tourist point of view.
An hon. member: I should say not.
Hon. Mr. Beimett: That includes, sir, the
science centre in Timmins, for which we
now have consultants working on its feasi-
bility and whether we can advance it. I
hope we will have a report for this House
in a matter of six to seven months.
Hon. Mr. Rhodes: And a hotdog stand in
Sudbury, too.
Mr. Renwick: Will the minister advise us
in advance of the date on which the local
registrar is to hold his hearing under the
Land Titles Act?
Hon. Mr. Bennett: I think that question
would be better placed to the Attorney
General of the province (Mr. Welch).
Mr. Renwick: Perhaps the minister could
ask his colleague to let the House know.
Hon. Mr. Benn^: I would suggest the
member ask him.
Mr. Renwidc: Thank you.
Interjections by hon. members.
Mr. Speaker: I think there have been oulte
a large number of supplementaries. The non.
Leader of the Opposition.
INQUIRY INTO HOSPITAL
EMPLOYEES' REMUNERATION
Mr. R. F. Nixon: Thank you, Mr. Speaker.
I would like to ask a question of the Premier.
Now that the ceiling levels for education have
been announced, would it be possible for tiie
Premier to make a statement indicating what
will be the budgetary controls on the hos-
pitals of the province, particularly the 11 in
Metropolitan Toronto which face a strike
which, imder the law of the province, would
be an illegal strike? Could the Premier, either
himself or through the Ministry of Health or
the Ministry of Labour, allow one of his col-
leagues to attend the negotiations so that the
good faith of the province on behalf of the
provision of money for hospitals would be
made clear and we could avoid what would
be an illegal strike by a statement of govern-
ment policy in this regard?
Hon. Mr. Davis: Mr. Speaker, I think that
is perhaps an oversimplification of the prob-
lem. This government obviously is concerned
about the possibility of an illegal strike. We
will be discussing this with my colleagues, the
Minister of Health and the Minister of Labour
(Mr. Guindon), in cabinet and quite franldy
at this precise moment, Mr. Speaker, I don't
wish to make any further awnment.
I would just say that we recognize the
situation, and with great respect, I think the
point of having somebody go to indicate what
the ceilings may or may not be is something
of an oversimplification of the issue.
Mr. R. F. Nixon: A supplementary: I realize
the Premier said he doesn t want to say more,
but would he not say, surely, that since the
ceilings for education have been established it
is quite possible, vrith the budget now only
a few days off, to give the specific informa-
tion to the people concerned so that at least
they know tne parameters in which they are
negotiating?
He doesn't want to say more, Mr. Speaker.
Mr. Lewis: A supplementary: The govern-
ment has just increased the education ceilings
quite significantly bevond what most assumed
it would increase tnem; whether they are
adequate or not is another matter. Can the
Premier at least indicate to those hospitals
72:
ONTARIO LEGISLATURE
which have just begun the bargaining process
—the two Scarborough hospitals— the kind of
plan he might have available for them as of
May 1, which would set a pattern for the rest
of the province? Surely that would make
sense?
Hon. Mr. Davis: Mr. Speaker, I think there
are a number of things the government will
be considering. I'm interested in the observa-
tions from the members opposite but quite
frankly I'm not prepared to comment any
further here this afternoon.
Mr. Speaker: The hon. Leader of the Op-
position.
HOUSING PROGRAMMES
Mr. R. F. Nixon: I have a question of the
Minister of Housing. Is he prepared to let
stand his words as quoted in this morning's
Sun indicating that he said that "families earn-
ing less than $17,000 don't have much to look
forward to in the way of owning a home."
Surely this flies in the face of his so-called
housing action programme, which is designed
to provide housing facilities and, we presume,
at least some independent housing facilities
for those people with earnings well below
that level, since the minister's statement has
really put about 60 to 65 per cent of the
people in the province out of any hope of
owning a home of their own?
Hon. S. B. Handleman (Minister of Hous-
ing): Mr. Speaker, I am grateful to the hon.
member for raising the question, because
obviously the statement quoted in the Sun is
correct but out of context. I made that state-
ment saying that, at the time I made the
statement, there did not appear to be any-
thing for people of that income category to
look forward to. However, the whole tlirust
of our programme was to make it possible for
people in that income category to look for-
ward with some degree of confidence to own-
ing a home.
Mr. R. F. Nixon: When?
Hon. Mr. Handleman: In the near future.
We are talking in terms of 1974, 1975, 1976.
Mr. Breithaupt: Like at Malvem?
Mr. R. F. Nixon: Supplementary: Is the
minister aware— and I am sure he is— that
the only approvals for single-family dwel-
lings in the Metropolitan Toronto area re-
cently have been in Etobicoke, where I un-
derstand that 302 approvals have been
granted for homes selling for no less than
$100,000 with a top limit, at present prices,
of $150,000? Surely the minister, if he is
prepared to support a programme called
"action housing," is going to have to say
something more than action will be available
soon? Is there something he can say to the
House now, in view of the statistics that
come day after day in the local press and
media, which are, in fact, increasing the
pressures on housing prices in the absence
of any kind of concrete policy from the gov-
ernment?
Hon. Mr. Handleman: No, Mr. Speaker,
I can't make a specific statement today and
possibly not tomorrow either. We are meet-
ing with regional councils, with area mu-
nicipalities and with the private sector. We
are developing agreements which will be
announced, because they will be specific in
terms of production targets, production dates,
prices, the amount of the developments which
will be in the public sector and those which
will be in the private sector. I hope that
when those announcements are made the
hon. Leader of the Opposition will join in
the general acclaim for the programme, which
I have great confidence in.
Mr. R. F. Nixon: Well, I will when I have
a look at it.
Mr. Lewis: Supplementary, Mr. Speaker:
How is it that the Ontario housing action
programme is emerging in such fits and
starts? Has the minister no overall plan?
Secondly, of the four projects announced in
Mississauga— which suddenly emerged from,
I think, one of the directors of the ministry-
it was said that 30 per cent of the lots re-
quested from the private sector should be
put aside for those earning up to $18,000 a
year, but since more than 70 per cent of the
province earns less than $18,000 a year, why
is the minister asking for only 30 per cent
of the lots to provide housing for 70 per cent
of the people?
Hon. Mr. Handleman: Mr. Speaker, first of
all, the announcement in Mississauga is not
the announcement of a specific programme.
It is part of negotiations that are ongoing
with the municipality and with the de\elop-
ers. I believe that our director, Mr. Strachan,
did say, "Say 30 per cent and you may get
40 or 45, depending on our negotiations."
Mr. Lewis: Or 20, or 15.
Hon. Mr. Handleman: There must be an
oversupply of serviced lots and the one way
to bring that oversupply about is to enable
developers to bring their developments on-
APRIL 4. 1974
723
stream quicker tlian under the normal pro-
cedures.
Mr. Breilhaupt: The ministry is not doing
that.
Hon. Mr. Handleman: Well, we will be,
Mr. Speaker. That is the whole thrust of
the programme.
Mr. Lewis: It is not happening. It is just
not happening.
Hon. Mr. Handleman: In the aggregate,
we will create an oversupply of serviced
lots, which will automatically have a depress-
ing eflFect on the market.
Interjections by hon. members.
Hon. Mr. Handleman: We do not pretend
and never have claimed that this is the an-
swer to all of the housing problems, and
there are other activities which vsdll take
care of other income groups.
Interjections by hon. members.
Mr. Martel: They will not pass it on to
the consumers. They will pick up a big
profit.
Mr. Speaker: The hon. member for St.
George.
Mrs. M. Campbell (St George): Mr. Speak-
er, a supplementary: Are we to take it, then,
that the minister is now telling this House
that the economic forecasts which have been
made, which indicate a major slowdown in
the private investment area, are not true?
Or what is he, in fact, saying about these
forecasts, since he is relying so heavily on
the private sector?
Hon. Mr. Handleman: I don't quite un-
derstand the hon. member's question but I
will hazard a guess. If there are economic
forecasts about a slowdown in investments,
that slowdown has not surfaced in the hous-
ing field or in the building field. There may
be other areas where there is a slowdown.
Mr. Lewis: It hasn't slowed down in the
speculation field.
Mr. Speaker: The hon. member for High
Park.
Mr. M. Shulman (High Park): Can the
minister explain why, since he made his ori-
ginal statement about forcing prices down,
there has been another five per cent rise in
housing prices? Was there any connection
with his statement?
Hon. Mr. Handleman: Mr. Speaker, ob-
viousK- if there was any connection with the
statement it dfd not have the desired eflFect.
What I did .say was that we are embarking
on a number of programmes which we hope,
in the aggregate, will help to solve the prol>
lem of housing in Ontario. There is no way
that any single programme is going to ac-
complish that; nor will it be accomplished
overnight. We have given ourselves two to
three years and we hope the effects will be
seen this year and next year.
Mr. Breithaupt: The people aren't going
to give the government that long.
Mrs. Campbell: The situation is hopeless.
Mr. R. F. Nixon: Supplementary, Mr.
Speaker, since the minister seems to have
some information that he would like to put
forward: He says two or three years. What
is he going to do when the vacancy rate in
the apartments of Metropolitan Toronto falls
to zero, as is predicted for this fall, if his
programme is simply going to provide some
relief within two to three years? We talk
about a crisis now. What is he going to do
to handle the situation when in September
there is simply no accommodation, no matter
how much money you have, as far as an
apartment is concerned?
Hon. Mr. Handleman: Mr. Speaker, first
of all it's the opinion of my ministry that
some of the predictions about zero vacancy
rate are self-serving predictions. We are try-
ing to check into the validity of those, because
they do come from a group which would
benefit by a zero vacancy rate. We do not
believe that prediction is valid.
Mr. Lewis: Good point.
Mr. Speaker: The hon. member for Went-
worth.
Mr. I. Deans ( Wentworth ) : Is it then-
Mr. Speaker: I am sorry, I believe the hon.
member for Sudbury East was up first.
Mr. Martel: May I ask the minister, if we
put more land on stream, what assurance has
he that savings that are going to accrue to
the developer will in fact be passed on to the
consumer in the form of reduced housing
costs?
Hon. Mr. Handleman: Well, Mr. Speaker,
the answer to that is quite simple. Before it's
done we will have binding undertakings from
the developer which are actionable and en-
forceable.
Mr. Speaker: Well now, this is developing
into a debate, but in order to equalize it I
724
ONTARIO LEGISLATURE
will allow one more question from the Liberal
Party. The hon. member for Ottawa East.
Mr. Roy: Mr. Speaker, might I ask the min-
ister: In view of the fact that the minister is
talking pretty tough to the land speculators,
recently and again yesterday, and in fact just
echoing what his predecessor in the depart-
ment had said, and in fact what the Premier
had said with no apparent improvement in the
situation, does he plan to bring on legislation
in relation to land speculation or does he
plan to continue the charade of his pre-
decessor?
Mr. Mattel: Put a 100 per cent tax on it.
Hon. Mr. Handleman: Well, Mr. Speaker,
I have come to the conclusion that the cries
of anguish and pain which are arising indicate
my words are having some effect.
Interjections by hon. members.
Mr. Roy: Yes, prices going up.
Mr. Breithaupt: And the prices go up.
An hon. member: He is like Daniel in the
lions' den,
Hon. Mr. Handleman: There has been
some reaction; but obviously any legislation
to be brought before this House in that regard
will be announced in due course.
SEPTIC TANK INSPECTIONS
Mr. R. F. Nixon: Mr. Speaker, through you
to the Minister of the Environment, I wonder
if he can explain the delay in bringing for-
ward the regulations under the statutes that
give him the authority, as Minister of the
Environment, to supervise the inspection of
septic tanks across the province? This author-
ity passed to his ministry, I believe on April
1, and the lack of a procedure which is
understood across the province is holding up
the approvals and once again affecting the
supply of serviced lots.
Mr. Ruston: Especially in Essex county.
Hon. W. Newman (Minister of the En-
vironment): Mr. Speaker, the member is talk-
ing about part VII of the Environmental Pro-
tection Act and its proclamation, which will
be done very shortly. AU our MOHs have
been notified in this province to carry on—
Mr. Singer: In the aggregate, yes.
Hon. W. Newman: —in the way they are
now doing things until this Act has been pro-
claimed, and it will be proclaimed momen-
tarily.
Mr. R. F. Nixon: Supplementary: Is it
considered that even when it is proclaimed
the inspection procedure will increase in cost
and also increase in the time required for
approvals?
Hon. W. Newman: If the Leader of the
Opposition waits until my statement comes
out next week he will get the answers to
those questions.
Mr. R. F. Nixon: We can hardly wait.
Mr. Speaker: The hon. member for Scar-
borough West. I am sorry; all right, one
supplementary.
Mr. D. A. Paterson (Essex South): Will
the minister check with his oflBcials to make
sure that the medical officers of health in
each county health unit are notified to carry
on with the procedure as it exists today,
specifically Essex county where they are re-
jecting everything?
Hon. W. Newman: Mr. Speaker, we have
no jurisdiction until we do proclaim the Act.
We have notified all those who have phoned
in requesting information to carry on until
the Act is proclaimed.
Mr. R. F. Nixon: What is the delay?
Mr. Speaker: The hon. member for Scar-
borough West.
Mr. E. R. Good (Waterloo North): Supple-
mentary, Mr. Speaker: Does the ministry
have the staff to take over next Wednesday
—I am sorry, on April 9— when the Act will
be proclaimed? Does the ministry have the
staff to take over or is it being assumed
that the medical officers of health are going
to continue on as before but charge the
minister's increased rates of which he wants
to take a portion?
An hon. member: One hundred and
twenty-five dollars?
Mr. Roy: And bungle it like the Minister
of Transportation.
Mr. Good: Does the minister think $125
is not an excessive fee to pay for inspection
of a private sewage system?
Mr. Breithaupt: More of the government's
mess.
Hon. W. Newman: If the member is talk-
ing about the MOHs, they were all called
into a meeting some time ago. They are
fully aware of what we plan to do.
APRIL 4, 1974
725
An hon. member: No they're not.
Hon. W. Newman: Oh, yes they are.
Interjections by hon. members.
Mr. Speaker: Order.
Hon. W. Newman: As far as the timing
of the fee structure goes I will be making
an announcement in the House at the first
of the week.
J Mr. Speaker: The hon. member for Scar-
S borough West.
LAND BANKING
Mr. Lewis: I would like to ask of the
Minister of Housing, amidst all of the specu-
lative land development in Ontario gener-
ally and southern Ontario particularly, why
did he fasten on the purchase of 4,000 acres
in the regional municipality of Durham? I
guess it would be in the area between
Brooklin and Whitby. How much did the
government pay or what form did it take
in terms of government acquisition? What
exactly does the minister intend to use the
land for?
Hon. Mr. Handleman: Mr. Speaker, first,
since the assembly is not complete, I don't
believe it would be in the public interest to
speak about specific prices or total acreage
or even exact locations. There is no ques-
tion whatsoever, and many of the people in
the area know, that Ontario Housing Corp.
is engaging in landbanking in the area. It's
part of the long-range landbank plans of
Ontario Housing Corp. It will be kept in
agricultural production where it is suited
for that use. There are no immediate plans
for the use of that land in the housing ac-
tion programme.
Mr. R. F. Nixon: A supplementary, Mr.
Speaker: Would the minister explain then
why he has banked land some years in the
past if not to service the land and use it
for housing now? What about the 3,000
acres in Waterloo region and the 1,000
acres right beside Brantford? What's the
sense of having a bank if when we're in a
crisis situation the government doesn't serv-
ice the land and sell the lots?
An hon. member: Get on with it.
Interjection by an hon. member.
Hon, Mr. Handleman: Mr. Speaker, the
hon. Leader of the Opposition asked a
question a few days ago and I had the
answer prepared. In regard to the first ques-
tion, "Why we don't ser\ice it?" it is be-
cause the servicing has to be feasible and
economical.
Interjections by hon. members.
Hon. Mr. Handleman: It would seem to
me, Mr. Speaker, that the hon. leader would
recognize the fact that by servicing isolated
landbanks—
Mr. Breithaupt: Isolated land; 3,000 acres
of land?
Interjections by hon. members.
Hon. Mr. Handleman: It Ls isolated in the
sense that there are private developments in
between which are not slated for early de-
velopment. There would be speculative
gains by those people. In the ordinary
course of events land would be developed.
However, if the hon. leader really expects
the 3,000 acres in Waterloo and the 1,000
acres in Brantford township to be developed
immediately, perhaps he should speak to the
municipal ofiicials in the area because there's
simply no demand for it.
Interjections by hon. members.
Mr. Lewis: A supplementary, if I may
come back to it. Doesn't the minister see
the folly inherent in the policy of grabbing
4,000 acres here— incidentally without ever
speaking to the regional municipality of
Durham about it? He didn't tell them in
advance. They read about it in the Globe
and Mail. But the government grabs 4,000
acres here, which—
Mr. Breithaupt It happened in Waterloo
in the same way.
Mr. Lewis: —may, or may not be main-
tained in agricultural production. The min-
ister can give no undertaking of senicing
or housing. There are 3,000 acres some-
where else which he now says were in-
appropriately acquired for current housing
needs. How hapless is the programme? Has
the government no coherence in the acquisi-
tion of land—
An hon. member: Not him.
Mr. Lewis: —in the public sector for the
provisions of housing?
Hon. Mr. Handleman: Mr. Speaker, I'm
surprised at the hon. member, who decries
the speculation being carried on in this
province, when—
726
ONTARIO LEGISLATURE
Mr. Lewis: The government is the chief
speculator in Ontario. It is driving the land
prices up.
Hon. Mr. Handleman: —he suggests that
we advise him—
Mr. Lewis: The minister has become the
king of speculation.
Interjections by hon. members.
Mr. Speaker: Order.
Hon. Mr. Handleman: —we advise the
House, and we advise the municipal officials
in advance of landbanking activities.
Interjections by hon. members.
Mr. Speaker: Order please.
Hon. Mr. Handleman: Any consultation
of that nature would simply play into the
hands of the speculators and we're not
about to do that on this iside of the House.
Mr. Lewis: What is the minister talking
about?
Mr. P. G. Givens (York-Forest Hill): The
minister is helping them.
Mr. Singer: A supplementary, Mr. Speaker:
Would the minister tell us why he is going
to be any better than Macaulay or Randall
or the member for St. Andrew-St. Patrick
(Mr. Grossman) and why he and none of the
three have been able to produce houses on
the 1,700 acres in Malvern since 1954?
Mr. Lewis: He's worse.
up.
Hon. Mr. Grossman: Hundreds have gone
).
Mr. Breithaupt: That is 20 years ago.
Hon. Mr. Handleman: Mr. Speaker, I'm
flattered by the hon member's remarks. I
hope I can be as good as my predecessors in
this Housing ministry.
Mr. Breithaupt: That was so long ago that
that w as a new government.
Mr. Roy: The minister should have a tete-
a-tete with the member for Carleton East
(Mr. Lawrence).
Mr. Lewis: I have two supplementaries; I
would really be interested in what the min-
ister has to say. Doesn't the minister believe
that when he sets up a regional municipality
and decentralizes power and authority, as the
Treasurer would have it, that it makes some
sense to speak to them, if necessarily private-
ly, in advance about the Ontario govern-
ment's intention to acquire a massive acreage
for landbanking purposes so that the govern-
ment's purposes can mesh with theirs in the
planning of a community?
The second supplementary to that is,
doesn't he realize that in all his so-called
scare statements without action, he is driv-
ing the speculators—
Hon. Mr. Grossman: Why scare state-
ments?
Mr. Lewis: —on to an exchange of land
which is increasing the speculative price? The
minister has become the chief inducement to
speculation in Ontario, has he not?
Interjections by hon. members.
Mr. Speaker: Order.
Hon. Mr. Handleman: Mr. Speaker, there
are two questions here. In regard to the first
part of the question, no, I do not believe
that, if you wish to acquire land on a confi-
dential basis, you can involve people outside
the ministry, including staff of the municipali-
ties who would have to be involved in the
planning process.
Mr. Lewis: What happens to their plan-
ning?
Mr. Deans: What does the minister do?
Plan around their decisions?
Hon. Mr. Handleman: They will be able
to be involved in the plan when the land
acquisition has been completed. I have made
a commitment to the Leader of the Opposi-
tion to table land assembly as soon as it has
been completed and I will continue to do so.
With regard to the second part I have no
evidence whatsoever that any threats or words
that we have been directing at the speculators
have increased speculation. In fact, some
people are drawing back from it.
Mr. Lewis: Oh yes, no evidence of nrice
increases!
Hon. Mr. Handleman: Mr. Speaker, I start-
ed these statements about three weeks ago.
If the hon. member can complete a land
transaction in three weeks he has a secret
that many people would like to have.
Mr. R. F. Nixon: Supplementary, Mr.
Speaker: Can the minister assure us, even
though he didn't talk to the officials in the
areas where he has bought these lands, that
he had somebody look at the official plan
to see if the purchases fitted in with the
APRIL 4, 1974
727
decisions that had been made publicly? I
don't believe the minister even did that.
Hon. Mr. Handleman: Mr. Speaker, I stat-
ed in answer to a previous question that
much of this land is agricultural. It will be
maintained in agricultural production, which
it might not have been if it had been bought
by private developers.
Mr. Lewis: Is this government policy to
buy up land privately to keep it in agricul-
tural production?
Hon. Mr. Handleman: In my view, the
government is as good a landbanker as is any
private organization.
Mr. Roy: We are going to send this Han-
sard to the minister's riding. They will love
it.
Mr. Speaker: The hon. member for Scar-
borough West.
PICKERING AIRPORT
Mr. Lewis: I have a question, Mr. Speaker,
of the Treasurer. Since the federal govern-
ment's submission to the Pickering airport
inquiry shows that if the airport is built
Oshawa's employment will decline in abso-
lute terms, doesn't the minister think it is
now time for the Ontario government to
intervene and indicate that that would truly
destroy the intent of the Toronto-centred
region plan and it must, therefore, oppose
the airport?
Hon. Mr. White: This comment is inter-
esting and perhaps helpful, but I haven't got
the leadership in this matter of Pickering.
That is the Minister of Housing.
Mr. Lewis: The Minister of Housing?
Hasn't he enough to do?
Mr. Singer: That he is not doing.
Mr. Lewis: May I ask the minister a supple-
mentary? Surely a matter which destroys the
Toronto-centred region plan, and it deals with
the federal airport, is rather more his bailiwick
than that of the Minister of Housing?
Mr. Stokes: What happened to the Design
for Development?
Mr. Lewis: What has happened to the
Design for Development now that this kind of
proposal will destroy it utterly? Oshawa was
a growth centre.
Hon. Mr. White: As the member may recall,
last Sept. 13 the Premier announced that the
Toronto-centred region plan was being re-
considered and revamped and modernized.
Mr. Reid: He should have thought of doing
that to the cabinet.
Hon. Mr. White: He said that a sum of
money— I think $1,500,000— was being made
available to the municipalities in this very
large and important region. That study is go
ing on. Factors, such as the one the member
mentioned, will no doubt be considered and
we will have a point of view which may be
expressed at a later time to the federal gov-
ernment.
Mr. Speaker: The hon. member for York
Centre.
Mr. D. M. Deacon (York Centre): Since the
whole matter of dispersing and directing
growth to the east was a major platform and
a major principle of the Toronto-centred
region plan, would the Treasurer not consider,
in his responsibility for the economic growth
and direction of the province, that it is im-
portant immediately to prepare a new plan
and a new location for the airport or any type
of growth incentive far to the east so Oshawa,
in fact, will be helped?
Hon. Mr. White: Your friends in Ottawa
are the people who decided upon that second
airport.
Mr. Deac(Mi: "Your" friends? They are your
friends.
Hon. Mr. White: That was not our de-
cision,
Mr. Breithaupt: In this case, they are your
friends.
Mr. Roy: How about a statement from the
Premier?
Hon. Mr. White: The hon. Premier is per-
fecdy correct in saying we are doing every-
thing humanly possible to increase develop-
ment in eastern Ontario-
Mr. Good: The government hasn't done a
thing, not one thing.
Hon. Mr. While: —as evidenced by the
very large DREE agreement signed in Corn-
wall a few weeks ago by me and witnessed
by the Mim'ster of Labour.
Mr. Breithaupt: A good thing.
Mr. R. F. Nixon: Yes, our friends arc pro-
viding that money.
Hon. Mr. White: I think we signed the
deal on a Tuesday, and only a few days later
728
ONTARIO LEGISLATURE
on the foll'owing Friday a very large company
announced' they were creating a very large
new plant there employing more than 1,000
employees.
Mr. Breithaupt: Excellent.
Hon. Mr. White: We are moving ahead in
this and in a variety of other ways. I suppose
there is no point in this answer to recapitulate
the improvements made to the Ontario De-
velopment Corp. plans. No doubt, as time
goes by, the fruitful imaginations of members
on this side will create additional innovative
plans to create development and employment
in eastern Ontario.
Mr. Deacon: What about the airport? That
is the key one.
Mr. Breithaupt: This government's plans
and federal money! A great team.
Hon. Mr. White: I haven't heard a decent
idea out of that side of the House for 15
years, not one.
Mr. Breithaupt: Come in more often.
Mr. Speaker: Order please.
CORPORATION INCOME TAX PAID
BY OIL COMPANIES TO PROVINCE
Mr. Lewis: Can I ask the Minister of
Revenue, could he indicate to the House
whether he knows how many of the major
oil companies with operations in the Province
of Ontario paid a provincial corporation in-
come tax last year?
Hon. A. K. Meen (Minister of Revenue):
I don't have that information, Mr. Speaker,
but I think I could get it for the hon. mem-
ber.
Mr. Lewis: Would he indicate which com-
panies paid a provincial corporation income
tax and in what amount— even in total?
Hon. Mr. Meen: I am not prepared to
disclose information as to individual com-
panies, Mr. Speaker. I think I might be able
to obtain some general information.
Mr. R. F. Nixon: Surely that is public in-
formation?
Mr. Singer: But that is public knowledge.
Mr. Lewis: Sorry, I didn't hear that. The
minister is not prepared to disclose the
amounts of corporate income tax paid by the
oil companies to the Province of Ontario-
public oil companies operating in this prov-
ince?
Mr. Bullbrook: Does the minister under-
stand the distinction between a private com-
pany and a public company?
Mr. Lewis: Now surely we are entitled to
that information. Who is the minister pro-
tecting?
Mr. R. F. Nixon: The minister had better
think about that again.
Hon. Mr. Meen: There are certain restric-
tions under the Income Tax Act, Mr. Speaker,
that I must be bound by. I'll look into the
question.
Mr. Lewis: I am talking about— what did
he say at the end? I'm sorry.
Hon. Mr. Meen: I said I will look into the
question.
Mr. Lewis: Thank you.
Mr. Speaker: Does the hon. member for
Scarborough West have further questions?
Mr. Lewis: No, sir.
Mr. Speaker: The hon. Minister of Agricul-
ture and Food has the answer to a question
asked previously.
JUDGEMENT AGAINST MINISTRY OF
AGRICULTURE
Hon. Mr. Stewart: Mr. Speaker, the ques-
tion that was asked by the member for
Huron-Bruce (Mr. Gaunt), which I took as
notice, was:
Because of the judgement plus costs awarded today
against the Ontario Ministry of Agriculture and Food
in the Hartman raspberry case, and because the
Ontario taxpayers are going to have to pay for this
mistake, could the minister tell me if there have been
any changes in personnel at the Vineland research
institute by way of resignations or firings; and what
does the minister intend to do to see that this
doesn't reoccur?
Mr. Speaker, the question was raised
shortly before 3 o'clock on Thursday, March
14, 1974, and refers to "the judgement plus
costs awarded today." The facts of the matter
are as follows:
1. The Ontario Court of Appeal issued its
judgement in the Hartman case on Nov. 9,
1973;
2. The judgement directed a reference to
the local master at St. Thomas for assessment
of the damages in the case;
APRIL 4, 1974
729
3. The report on assessment of damages
was signed, and therefore issued, by the
local master, Mr. Justice J. A. Winter, a local
master of the Supreme Court of Ontario, St.
Thomas, on Friday, March 15, 1974;
4. The report was received by the Crown
law oflBce, Ministry of the Attorney General
through the mail on Monday, March 18, 1974.
Mr. Sargent: Why doesn't the minister
answer the question? Answer the question.
Hon. Mr. Stewart: HI get to the answer.
Mr. Sargent: Not all that doubletalk.
Hon. Mr. Stewart: I'll get to the answer;
and if the member for Grey-Bruce were smart
enough to listen he would see the implications
in what I am saying.
Hon. Mr. Grossman: The member for Grey-
Bruce just got the raspberry.
Hon. Mr. Stewart: I am not in a position,
therefore, Mr. Speaker, to deal with any
judgement plus costs in the Hartman case. It
was awarded on Thursday, March 14, 1974,
and I wonder how the member for Huron-
Bruce could have been in possession of such
information on which to base his question.
That is very peculiar to me.
Mr. Sargent: It is in the paper. All the
papers carried it.
Hon. Mr. Stewart: However, if the question
relates to the report on assesment of damages,
a document of the Supreme Court of Ontario
that had not been signed by the local master
until the day following the day on which the
question was raised, my information is that
the Ministry of the Attorney General, by
notice of appeal dated March 25, 1974, has
undertaken an appeal from the report of the
local master. Accordingly, the case is sub
judice and I am not prepared to comment on
any aspect of the Hartman case while it is
still in the hands of the court.
Mr. Roy: What is the minister doing now?
Mrs. Campbell: Sub judice.
Mr. M. Gaunt (Huron-Bruce): Supplemen-
tary, Mr. Speaker.
Mr. Lewis: Explain the manipulations of
the courts.
Mr. Gaunt: May I ask the minister, on a
slightly different matter related to the Hart-
man case, why Mr. Hartman was refused
plants in 1973? Does this represent govern-
ment policy, not to do business with anyone
who has a law suit or—
Mr. Givens: Who doesn't happen to be
a Conservative.
Mr. Gaunt: —who is undertaking a suit
against the provincial government?
Mr. R. F. Nixon: Anybody the minister
doesn't like.
Hon. Mr. Stewart: I have never met Mr.
Hartman; as a matter of fact I have never
seen him, in answer to the question of my
hon. friend the Leader of the Opposition.
To say I don't like him-I've never met the
man.
An hon. member: There are lots of people
one doesn't know whom one doesn't like.
Mr. R. F. Nixon: Why doesn't the minister
sell him some raspberry' plants?
Hon. Mr. Stewart: For the simple reason
I didn't even know he wanted any.
Hon. Mr. Grossman: We tried to give the
Leader of the Opposition the raspberry for a
long time.
Mr. Lewis: Would anyone buy raspberries
off a man like that?
Mr. R. F. Nixon: Not even a used rasp-
berry.
Mr. Bullbrook: Not from the member, but
I would from him.
An hon. member: He's an arch Tory.
Mr. Singer: A supplementary: Would the
Minister of Agriculture clear my confusion
with regard to his answer? Is he telling the
member for Huron-Bruce in that long recital
that he'd done something improper? Is he
not aware that the member for Huron- Bruce
could legitimately get that information on
which he based his question by reason of
the fact that the formal order may not have
been taken out on the d;iy he put the ques-
tion, and the local ma.ster could well have
announced it without the formal order hav-
ing been signed?
Mr. Bullbrook: Yes, an.swer that one; let
the minister get some help.
Mrs. Campbell: Yes.
Hon. Mr. Stewart: I suppo.so there is no
significance in the fact that the matter was
transferred to the court at St. Thomas and
was handled by a lawyer who was a former
Liberal member for Elgin—
730
ONTARIO LEGISLATURE
Interjections by hon. members.
Mr. Bullbrook: Right on.
Mr. Lewis: A former Liberal member?
Mr. Singer: A supplementary: Why was it
necessary for the Minister of Agriculture to
get so incensed about legal procedures which
he doesn't understand, and to make nasty
innuendoes about my honest and sincere col-
league, the member for Huron-Bruce?
Interjections by hon. members.
Mr. Speaker: Does the hon. minister have
an answer to another question?
Mr. Lewis: Why is the minister appealing?
Just because it was a Liberal lawyer?
Mr. Singer: That's the only reason.
Mr. Sargent: A supplementary.
Mr. Speaker: A supplementary.
Mr. Sargent: Am I to understand that the
minister has done $100,000 damage to one
citizen and that no one will be fired or no
one will be questioned as to the damage
done? Will this go on like this or is he going
to investigate the whole matter?
Hon. Mr. Stewart: Mr. Speaker, the matter
is before the courts on appeal to determine
what action shall properly be taken.
Mr. Sargent: A supplementary: I'm asking
if the minister is going to investigate the
fact that someone has erred in his job— to
the extent of $100,000 to a citizen-and is
the minister not going to investigate it?
Hon. Mr. Grossman: It is out of order.
Hon. Mr. Davis: Get the member for
Downsview to give some legal advice.
Mr. Speaker: I think the hon. minister has
indicated that this is before the courts.
Mr. Sargent: I don't care if it is before
the courts. What is he going to do about
it?
Mr. Speaker: Nothing, it is before the
courts.
Does the hon. minister have the answer
to another question? I was informed that he
had.
Mr. Roy: Answer the question.
Hon. Mr. Stewart: The hon. member for
Lanark (Mr. Wiseman) is absent today and I
think I'd best wait until next week.
Mr. Speaker: The hon. Minister of Con-
sumer and Commercial Relations has the an-
swer to a question recently asked.
COST OF DENTAL CARE
Hon. J. T. Clement (Minister of Consumer
and Commercial Affairs): Mr. Speaker, the
hon. member for Wentworth asked' a question
in this House on March 28; really there were
two questions. Firstly, and I'm paraphrasing
his question directed to me, what was the
basis on which dental rates were determined;
how were they determined; and secondly why
were dentists— and he referred to a certain
plan or plans— charging more for their ser-
vices to people imder those plans than to
those who were uninsured?
'I'm advisedi by the superintendent of in-
surance, Mr. Speaker, that the premium rates
for health insurance plans, such as dental care,
covering major companies are negotiated by
the insurers, the employer companies and, to
a great extent, the union representing the
employee group. The rates and coverages
offered are determined by the vmderwriting
and claims experience and the extent of
coverage subject to deductibles and co-insur-
ance elements. If the hon. member has any
specific complaint in regard to the rates relat-
ing to one or both of the companies he re-
ferred to in his question, I would be glad to
discuss it with him.
Insofar as the professional fees charged' by
the dentists are concerned, this is not within
the responsibility or jurisdiction of my minis-
try but is related to the Ontario Dental Asso-
ciation's schedule of fees. The insurance con-
tracts usually provide for payments based on
this fee schedule. If the member has any other
question relating to that—
Mr. Deans: A supplementary: I was under
the impression, perhaps mistakenly, that the
minister was going to ask the superintendent
of insurance to inquire into the schedule be-
ing paid at the Steel Co. and the Dofasco
plants in the city of Hamilton.
Hon. Mr. Clement: I am sorry, I didn't
understand it that way. If the member would
like us to take a look at the actual schedule
or the agreement to see if it refers to the
ODA schedule of fees, I can obtain that in-
formation very quickly.
Mr. Speaker: The hon. Minister of Energy
has the answer to a question asked previously.
APRIL 4. 1974
731
OIL PRICES
Hon. W. D. McKeough (Minister of
Energy): Mr. Speaker, on Tuesday, I think,
the member for Yorkview (Mr. Young) asked
questions relating to inventories of niel oil,
arkl I have an answer for him.
Spring inventories of middle distillates in
Ontario have been more or less constant for
the past three years. In other words, there
has been no apparent buildup this spring by
the oil companies; nor has there been a de-
cline from previous years. Warmer-than-usual
weather is the main factor in these inventories
not bedng lower than in previous years.
Statistics are not available for heating oil
per se; onl\' middle distillates are reported—
which includes all heating oil, diesel fuel and
so on.
"But the predominant factor in changes in
this total middle distillate inventory is the
amount of heating oil, and we assume and can
assume that the percentages are reJatively the
same.
The figures cover all the refinery tankage
and major terminals in Ontario west of the
Ottawa Valley. They do not include small
storage tanks, such as bulk plants, which are
assimied to be relatively constant, and there-
fore not significant in looking at relative in-
ventor)' changes.
Tliese are from National Energy Board
sources, not from Statistics Canada, and
Statistics Canada's May figures sometimes
differ slightly when they are published some
months hence.
The figures are, Mr. Speaker: as of March
31, 1972, there were about 7.1 million barrels
in storage; March 31, 1973, 7.3 million
barrels; April 3, 1974, about 7.1 million
barrels.
The member also asked— or perhaps I sug-
gested I would try to find out-the figure as
to storage; and 1 am informed that there is
no meaningful number as to total storage
capability because the oil refineries— where me
large volumes are— swing their storage tanks
from one product to another as various
product levels change.
A more helpful yardstick might be the peak
or the highest middle distillate inventory
attained this season. This occurred in October
or Xo\ ember, at the start of the season when
levels were about 15 million barrels, which is
over tvdce today's. The figures, starting in
June of 1973, 7.1 million; July 8.1; August
10.8: September 13.5; October 14.7; Novem-
ber 15; December 14.8; January 13.6; drop-
ping down to the present 7.1.
Mr. BullbrcxA: May I ask a supplementary?
Hon. Mr. McKeough: The member for
Sandwich-Riverside (Mr. Burr)—
Mr. Speaker: Is this a supplementary?
Mr. Bullbro<^: May I assume that the in-
ventory evaluation that the minister has given
to the House is based on information provided
by the indtistry itself or through the National
Energy Board or Statistics Canada; and does
the minister have any independent method of
monitoring the propriety of these statistics?
Hon. Mr. McKeough: No,
Mr. BuIIbro<4c: Would it be the minister's
intention to establish, as they have in the
United States, some independent monitoring
device?
Hon. Mr. McKeough: No, Mr. Speaker.
Mr. Bullbrook: Could the minister answer
why that wouldn't be in the public interest
to do so?
Hon. Mr. McKeough: Because the statis-
tics are gathered both by the National Energy
Board and by Statistics Canada. There is
some large stadff involved in that process.
Mr. Reid: Dependent on them.
Hon. Mr. McKeough: We have no reason
to believe that they are not as accurate as
they can be— and we have no intention of
duplicating that process.
Mr. Speaker: Time for oral questions has
expired.
Mr. Shulman: Not a single private member
got in today, not at all.
Mr. Speaker: Petitions:
Presenting reports.
Hon. Mr. Bennett presented the report on
the Maple Mountain recreation complex.
Hon. Mrs. Birch presented the report of
the health planning task force.
Hon. Mr. Clement: On behalf of the At-
torney General, I have the honour to present
to this House the report of the Ontario Law
Reform Commission on motor vehicle acci-
dent compensation.
This report, which covers 197 pages, con-
tains an extensive review of the existing
system of automobile insurance and sets out
the recommendations of the commission for
732
ONTARIO LEGISLATURE
chaises in the system. The commission re-
commends:
That an integrated scheme specifically
concerned with compensation to motor ve-
hicle accident victims, not dependent upon
the fault principle, should replace the exist-
ing system.
As Minister of Consumer and Commercial
Relations I will be giving these recommen-
dations careful consideration in developing
the most appropriate form of automobile in-
surance designed to provide economic and
efficient compensation to victims of motor
vehicle accidents.
Mr. J. A. Taylor, from the standing private
bills committee, presented the committee's
report which was read as follows and
adopted:
Your committee begs to report the follow-
ing bills without amendment.
Bill Prl, An Act respecting the City of
Belleville.
Bill Pr2, An Act respecting St. Catharines
Slovak Club Ltd.
Bill Pr7, An Act respecting the Niagara
Peninsular Railway Co.
Bill Pr8, An Act respecting the Incorpo-
rated Synod of the Diocese of Ontario.
Bill PrlO, An Act respecting Root's Dairy
Ltd.
Bill Prl4, An Act respecting the Town of
Walkerton.
Bill Prl9, An Act respecting the Borough
of North York.
Your committee would recommend that the
fees, less the actual cost of printing and
penalties, if any, be remitted on Bill Pr8, An
Act respecting the Incorporated Synod of
the Diocese of Ontario.
Mr. Speaker: Motions:
Introduction of bills.
REGIONAL MUNICIPALITY OF
HALDIMAND-NORFOLK ACT
Hon. Mr. Irvine moves first reading of bill
intituled, An Act to amend the Regional
Municipality of Haldimand- Norfolk Act, 1973.
Motion agreed to; first reading of the bill.
Hon. D. R. Irvine (Minister without Port-
folio): Mr. Speaker, this bill provides for
some minor changes in the work of the new
regional council which, incidentally, assumed
its important responsibilities this past week-
end.
It allows the new regional committee of
adjustment and the land division committee
to complete any matters not disposed of by
the local committees.
This bill also provides that members of the
council of the village of Jarvis be deemed a
commission under the Public Utilities Act
for the purpose of hydro distribution in the
Jarvis area.
TOWN OF OAKVILLE ACT
Mr. Kennedy moves first reading of bill
intituled. An Act respecting the town of
Oakville.
Motion agreed to; first reading of the bill.
PRESBYTERIAN CHURCH BUILDING
CORP. ACT
Mr. Carruthers, in the absence of Mr.
Dymond, moves first reading of bill intituled.
An Act respecting the Presbyterian Church
Building Corp,
Motion agreed to; first reading of the bill.
CITY OF TORONTO ACT
Mr. Wardle moves first reading of bill
intituled, An Act respecting the City of
Toronto.
Motion agreed to; first reading of the bill.
CITY OF CHATHAM ACT
Mr. Spence moves first reading of bill in-
tituled. An Act respecting the Cit>' of
Chatham.
Motion agreed to; first reading of the bill.
CITY OF WINDSOR ACT
Mr. B. Newman moves first reading of bill
intituled, An Act respecting the Cit\' of
Windsor.
Motion agreed to; first reading of the bill.
CITY OF LONDON ACT
Mr. Walker moves first reading of bill
intituled. An Act respecting the City of
London.
Motion agreed to; first reading of the
bill.
APRIL 4. 1974
733
JUDICATURE ACT
Mr. Roy moves first reading of bill in-
tituled. An Act to amend the Judicature Act.
Motion agreed to; first reading of the bill.
Mr. Roy: Mr. Speaker, if I might give a
brief explanation of this bill, under the
Judicature Act in this province, English is
the only language permitted in the courts.
This hill proposes an amendment which is
in line with the 1972 Throne Speech pre-
sented by the govemment, which said it
would encourage the use of French in the
courts, and this is what this bill does.
UNIVERSITY OF WESTERN
ONTARIO ACT
Mr. Walker moves first reading of bill
intituled, An Act respecting the University
of Western Ontario.
Motion agreed to; first reading of the bill.
Mr. G. W. Walker (London North): Mr.
Speaker, I will just serve notice that I will
move in committee that the board of gov-
ernors in that particular bill be made
Canadian, although it does not now say so.
WATERLOO WELLINGTON
AIRPORT ACT
• Mr. Good moves first reading of bill in-
tituled, An Act respecting the Waterloo
Wellington Airport.
Motion agreed to; first reading of the
bill.
Mr. Speaker: Orders of the day.
THIRD READINGS
The following bills were given third read-
ings upon motion:
Bill 1, An Act to amend the University
Expropriation Powers Act.
Bill 13, The Regional Municipalities
Amendment Act, 1974.
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): Mr. Speaker, before
the next order is called, I would like to
inform the members of tihe House that to-
morrow His Honour will join us in the cham-
ber for the last time.
Clerk of the House: The third order, re-
suming the adjourned debate on the amend-
ment to the amendment to the motion for an
address in reply to the speech of the
Honourable the Lieutenant Governor at the
opening of the session.
THRONE SPEECH DEBATE
Mr. E. W. Martcl (Sudbury East): Mr.
Speaker, before I pick up from where I left
oflF the other night, I want to go back to
the point of order or the point of personal
privilege raised by the Provincial Secretar>'
for Social Development (Mrs. Birch)—
Mr. Speaker: Order please. That matter
has been resolved in the House. The hon.
member may not raise it again.
Mr. Martel: I am not going to raise it, Mr.
Speaker. I just want to clarify the press re-
lease that I was quoting from and just draw
to Mr. Speaker's attention what was behind
the comment. In a press release, a prepared
statement by the minister, which was carried
in the Globe and Mail on Nov. 21, 1973-
and I quote the hon. minister— it states:
The moneys handed out in grants were
never adequately managed by the federal
goverrmient. There was never adequate
supervision or accountability within the
projects, and without clear accountability
the money paid out resembled allowances
more than it did salaries. The projects se-
lected seemed to be picked on the basis
of how they would sound in the Ottawa
press releases rather than by hard scrutiny
of the benefits.
Mr. Speaker, the Ontario government did in
fact have an input, or could have had an
input, on each and every grant handed out
by LIP. I was on a programme with Mr.
Mackie, the director for the distribution of
these grants, wherein Mr. Mackie indicatetl
that Ontario had an input on each grant and
that if the Ontario government did not want
a grant to be paid, Ottawa would not have
given it.
Mr. F. Drea (Scarborough Centre): The
Church of Satan. How about the Church of
Satan?
Mr. Martel: Well, the member's govem-
ment had a say in it— they had the oppor-
tunity to have a say in it and veto it, and
if they had not taken that opportunity-
Mr. M. C. Germa (Sudbury): What's wrong
with the Church of Satan?
Mr. Martel: —if the govemment of Ontario
had not taken that opportimity then that
simply cannot be blamed on Ottawa. To me
that is dissembling-I think that is the term
734
ONTARIO LEGISLATURE
that is used around here occasionally. It is
dissembling, because one could have gone on
to give the full story to the press so that in
fact the public would have been well aware
of how the grants were handed out, Mr.
Speaker.
By the minister's failure to indicate that
to the public, what in fact the minister was
doing of course was starting the long road
to finally saying no, we are not funding any
of the emerging services. That was the first
in a series of statements by the minister
which sounded the death knell to the emerg-
ing services starting last Noveml>er. Whether
or not the minister took exception to what I
said, I still make the point it was dissembling.
I want to go on, Mr. Speaker, and pick
up from where I left off the other night. I
was talking about the amount of funding
provided by the provincial government for
immigrant services in this province. The total
funding, permanent funding, for immigrant
services in Ontario, where in Metro Toronto
alone one-third of the populace is made up
of immigrants, is $100 a year. That's the total
funding.
Last year the services involving the Chi-
nese, the Greeks, Italians and Portuguese,
and there is three staff on each, went to the
federal government, to Metro Toronto, and
to the province, and asked each of the three
levels to put up $10,000 each for the various
services. Ultimately the federal government
gave $10,000; ultimately Metro Toronto gave
$10,000. Finally in June— the request was
made early in the year— the province wrote
back to the immigrant services and said,
"Gould you cut that back to $5,000?"
This didn't help the four groups in ques-
tion and they said no. Ultimately come Jan-
uary 1974, almost a year later, each of these
groups received a grand total of $750 each
or $3,000. That was Ontario's contribution.
Despite the fact that one-third the population
of this city is made up of immigrants, we
funded those services to the maximum tune
of $750 each, or $15 a week-$15 a week-
to help in translation for the immigrant com-
munity. The chiselling that this government
does when it comes to services to people is
more than the mind can understand.
The third group that started to emerge
some years ago was the multi-service centre,
Mr. Speaker. These groups have developed
like the rest out of necessity— the inability of
the Minister of Gommunity and Social Serv-
ices (Mr. Brunelle) to get adequate funding
to hire adequate staff to do the job necessary.
He just hasn't got the money to hire the
staff.
As I said to the minister during his esti-
mates, if we are going to lose al of the
emerging services and the thousands of vol-
unteer workers, then in fact we are in trouble.
We are in serious trouble, because what most
of the emerging services are asking for is a
funding for the permanent staff. Beyond that
they then start to draw in all kinds of volun-
tary staff— people who are committed to
assisting others less fortimate. But we are
going to lose those work groups and as I have
told the minister on many occasions, he will
not get enough money from Treasury Board.
Treasury Board will not cough up nearly the
money necessary to provide the services that
are presently here, because they rely heavily
on volunteers.
The government has got to fund the per-
manent staff. Is that too hard to understand?
Otherwise, it's not only going to lose them
but it's going to lose the thousands upon
thousands of volunteer workers, and as a
province we simply will not have the money
to fund the necessary staff the Ministry of
Gommunity and Social Services is going to
need in order to meet the needs of people
as society becomes more complex.
The multi-service centre takes a family and
looks at its total needs, it tries to cut through
the red tape and get the total need of the
family resolved. The government agencies
don't do that.
A welfare worker goes into a family that
has problems. It doesn't have to be a welfare
case, it can be any other type of problem in
a family, but whatever the agency is it only
looks at the one problem. If there's an
emotionally disturbed child they simply look
at the problem of the emotionally disturbed
child, they don't look at the total problem of
the family. So we end up with 12 or 13
agencies looking after the needs of one family.
This sort of thing is on record. The minister
has it documented over and over again. His
staff does one job only. The Ministry of
Labour staff will go in and they'll send
another worker in, the Ministry of Health
sends a worker in; there's no co-ordination.
There's nobody there to look after the total
need or to make sure that the tot^ need is
being looked after by one person who might
send the person off in the right direction or
get them in touch with the right people and
then do the follow-up necessary, looking at it
as a total need.
We'll send them in. We send them in by
the hundreds; frequently there are 10 or 12
agencies working with the same family and
none of them even know it. They don't even
APRIL 4, 1974
735
know there's another agency involved. That's
where the duplication is, right within govern-
ment circles; the duplication starts there, not
where the minister placed it later on in one
of her further statements which I'll read in
a few moments. This is where the duplica-
tion is.
Multi-service centres are trying to cut
through some of that and look after the total
need. Every member of this Legislature
knows when he goes home on weekends the
number of cases he gets, and I suspect the
overwhelming majority are in social needs.
Not necessarily welfare or more money on
welfare, but a whole range of social needs
that we're not meeting. The Metro work
groups which have started to develop are
filling the gaps in the ministry's own jurisdic-
tion.
I just want to read you, Mr. Speaker, what
the Metro work group on community services
is:
Many of the human services projections
initiated through the Local Initiative Pro-
gramme reflect a trend in service delivery
which deserves particular attention. Experi-
enced service workers indicate recipients of
service in communities are often most eflFec-
tively served when a cluster of services are
provided in one community location. These
could be recreation or leisure services, or
interrelated services ofi^ered in one setting
such as education and counselling or in-
formation and referral, food relay, daycare,
creative play and parental education. More
and more commimity-based services are
multi-faceted in the programmes and serv-
ices they provide.
There is not, anywhere in government, an
agency that does that. It's totdly lacking, and
everyone over there knows that. Until we start
to pull these pieces together we're going to be
squandering money uselessly.
The first group that developed out of these
emerging services two years ago was one in-
volved with daycare centres. The nJes and
regulations that surround daycare centres, Mr.
Speaker, almost boggle the mind. iTiey are so
restrictive that in ^ct they hamper, really
hamper, the development of daycare centres.
In the city of Toronto it would be diflScult
to find those that are funded by the govern-
ment in any way, shape or form remaining
open at night. Yet we have many people who
work from 4 to 12, including mothers who
might be working 4 to 12 and single-parent
families, with no daycare services at night.
Those that have the daycare centre service at
night are the ones that are looking for fund-
ing from the government of Ontario so that
in fact they can provide services contrary to
what goes on in this province, where most of
the services are from 9 o'clock on Monday
morning to 5 o'clock on Friday afternoon.
What one does for services beyond those
hours is diflBcult to understand. That is when
most of the services are available. The crisis
situation, the evening services are not there.
But this group, because they are grass root,
realize that there has to be flexibility in the
daycare services. But not so. The government
just sits and waits.
They have been led a merry chase too. You
will recall the group first met and tried to
get funding from the government a year ago
May, but on March 15 the crunch came. They
haa been misled all along into thinking some-
thing was coming. Here is part of their state-
ment:
We find it incomprehensible that approxi-
mately nine months later, in Feoruary,
1974, the daycare community still has no
indication of what to expect from the regu-
lations, whether it will turn out to be a
token gesture or a redefinition of the con-
cept of daycare and its implications for
parents and children in general. If the regu-
lations will prove to be restrictive in rda-
tionship to emerging community services,
these closely budgeted groups will still be
economically harassed from one month to
the next and the quality of daycare, an
apparent concern to educators and parents,
will inevitably suffer.
The Social Arts Services was the sixth group
that developed. I read to the House the other
night the performances by Ae Smile Com-
pany alone.
In over two years of operaHon we have
played more than 500 performances to a
total audience [I hope the minister is listen-
ing to this] of 75,000 senior citizens in
Metro Toronto alone.
These are people who couWn't afford to go to
the O'Keete Centre, or people who coiudn't
afford to go to see the Toronto Symphony.
This group of 11 people took their company
into the homes and provided entertainment
for over 75,000 senior citizens. Their fund-
ing? Well they will die in a couple of weeks.
We as a province spend more mone\- on
the fine cultures, the stuff that the upper crust
enjoys, than we do funding things for the
masses, for the ordinary people. How many
of the ordinary people go to watch the ballet?
There is a growing interest in it, and I am
not saying we shouldn't fund it, but culture,
I am sure, shouldn't be denied to the other
groups. If we are going to fund one level
why can't we fund them all?
736
ONTARIO LEGISLATURE
The statement from the minister several
\veeks ago was, "Well we fund through the
Ontario Arts Council." That is great. They
fund through the Ontario Arts Council. I
would like the minister to be able to tell
me why the groups that were providing
some theatre for 75,000 senior citizens in
the last couple of years, and schools and
so on, shouldn't be adequately funded? I
would like to ask the minister how in fact
we get the senior citizens out to any of
these forms of entertainment? Many of them
are not totally bedridden— many of them are
—but they can't make the great trek half-
way across Toronto, Why shouldn't the en-
tertainment come to them? That's what's
happened; they are not getting funding
either. In fact nothing is getting to the
senior citizens. He is going to put the panic
on there. Interestingly enough, the ministry
—the statement I'm going to read in a few
minutes is going to help— is giving a one-shot
deal, $150,000, for senior citizens. That is
a magnificent sum. All it is going to do,
really, is get a lot of groups active in the
province for one year and without a con-
tinuing funding. In fact, he is going to over-
extend the funds already available in the
$900,000 for senior citizens.
After 10 or 11 months, surely to God this
government—
Hon. R. Brunelle (Minister of Community
and Social Services): The funds will be there
next year.
Mr. Martel: No, it is a one-shot grant.
Hon. Mr. Brunelle: Give them time to
conform.
Mr. Martdl: The Ministry of Community
and Social Services, to help the emerging
services, gave a one-shot grant— and it is
only one-shot, for one year— of $150,000.
That is insuflBcient and the minister knows
that full well; he has had it researched from
top to bottom. He has had David Cole and
a whole number of civil servants from his
ministry on it; those programmes have all
l>een checked out and the recommendations
have been positive that the programmes be-
ing offered are superb.
Contrary to what the think-piece thinks,
fhey are superb; the minister knows it from
David Cole's report. All the reports the
minister has indicate that there isn't duplica-
tion of service and that they are providing
a much needed service.
The former provincial secretary accepted
the recommendations laid down by David
Cole. I'm sure the minister must have.
Where did the crunch come? Before Treasury
Board, as usual, when it said services to
people are irrelevant. The minister and I
both know there is no way he is going to
be able to provide the services, if these
various services fold, which are going on
in this city and across Ontario today.
I want to describe some of the pro-
grammes very briefly. One is entitled "For
a Better Tomorrow", from Bathurst St., and
the objectives are:
We hope to aid the youth of immigrant
families in acclimatizing themselves to a
new environment and a new language by
offering a programme which encompasses
both educational and recreational ac-
tivities.
Members will recall that for immigration,
for the newly arrived immigrants, we have
$100 permanent funding; we had a total
fund last year from the Minister of Com-
munity and Social Services of $100,000. The
people out there to whom I've spoken of
late tell me most of the $100,000 goes for
cultural events; but to really help those
people adjust— not just the children— it is
going to have to go much beyond children.
It is going to have to go to the adults
because they come from a different type of
background from the one we know here.
The young children are going to be raised
in our type of environment, and the rift
growing between those groups is almost in-
tolerable; what do we provide for services
to overcome it? They are good enough to
pay approximately one-third of the tax, I
suppose, in Metro Toronto and the govern-
ment puts in $100 of permanent funding.
It's a disgrace.
Here is the second programme. I could
go through 160 of these; I have them all
here. I am going to pinpoint a few items
from each of the various services.
The Brrchcliffe Community Concern
Office and its objectives:
To unite the members of the com-
munity, those that have and those that
need. To give knowledge to all members
of the community, to make them better
citizens and make their community a
better place in which to live.
What does this service provide, for example?
Domestic, handyman and volunteer service
to the elderly and shut-ins. We talked
about that during the minister's estimates
—if we hope to keep senior citizens out of
institutions we are going to have to bring
groups together so that those who are ca-
pable can assist the elderly to stay in their
homes.
APRIL 4. 1974
737
\\ ell, what better way? We are not going
to have the staff, and does the minister think
volunteers can ha\e an ongoing programme
if there isn't some permanent staff? Surely
to Cod the minister must realize that to have
ongoing progrannnes we have to have people
who are there constantly— not all of them—
then we draw on volunteers to do work for
these people. But if we are not even going
to provide funding, then we are going to
have to build more nursing homes and more
homes for the aged and put people in places
the\ don't want to be in. Most of them, if
the\ couM get a little assistance, would love
to stay in their homes as long as possible,
l:>ecause most of them are very independent.
Community on the Move is just another
one. This is a social service for and by the
residents of Lawrence Heights, an Ontario
Housing development; it provides leadership
training, recreational programmes, hot lunch
programmes, information centre and a com-
munity newspaper.
Agincourt Community Services Association
was established to provide an ongoing refer-
ral service responding to local needs by insti-
tuting programmes to meet various needs in
the community and to facilitate information
exchange among people living and working
in Agincourt.
Community Meals, at 240 Wellesley St.,
has as its objective to provide nutritious and
sociable meals for senior citizens and handi-
capped persons. That's going to go down the
drain. The meals-on-wheels programme is
going to collapse or the govenmient is going
to have to eventually fund the whole thing
itself— and it is not going to have the money.
What else does the service provide? In
addition to nutritious and sociable meals for
senior citizens and handicapped persons, it
is interested in expanding into programmes
on nutrition and budgeting and an emerging
programme of preparing meals for bedridden
persons seven days a week. That'll keep them
in their homes. It'll give them company and
make their lives less lonely. But no, this gov-
ernment will watch it go down the drain.
The LIP project. Phase two for Excep-
tional Adults, aims to introduce and train
mentally handicapped adults to enter into
society. What does this service provide? It
teaches mentally handicapped adults, not ac-
ceptable at existing workshops, the basis of
home economics, manual workshop skills and
elementary office procedures, and trains in
speech therapy, social behaviour and physical
education. Well, there is another one going
down the drain.
Call-A-Service provides social service for
the elderly and the handicapped, such as
transportation, keeping the elderly independ-
ent as long as possible. The transportation
is to take senior citizens to see doctors, to
go to the hospital, to go shopping, to go
visiting, to attend church events, and there
is a telephone service for shut-ins.
Inter-City-Angels was established to expose
and involve children in the multitude of art
forms available in society. Artists in different
media are employed to provide workshops
for children, mainly in the inner-city elemen-
tary schools. And if we know anything about
the problems in the inner-city schools in To-
ronto, we know that those are some of the
most deprived schools in Metro. Sonoe of the
hardest problems, the toughest sledding is
in that area. That doesn't matter?
Future Opportunity: The objective of this
service is to provide an in-depth free tutorial
service of high quality to those who would
be unable to avail themselves of such as-
sistance due to financial consideration. The
service provides tutorial aid in remedial read-
ing, remedial English, English as a second
language and mathematics primarily for
school-age children and adolescents of immi-
grants and low-income families. Adults are
also accepted if aid is needed for employ-
ment or correspondence high school courses.
One service to seniors was set up to help
senior citizens in any way— health, informa-
tion, transportation, visitation.
The Kuriov Metro Housing Project Youth
Service has as its objective to work with the
children and the youth in the Ontario Hous-
ing area. It provides clubs, sports, craft$, bus
trips for children and youth and a summer
camp. One has only to have lived in a high-
rise for a while or gone out to visit some of
the Ontario Housing Corp.'s developments,
before they became somewhat more enlight-
ened, to realize the vital need for that type
of programme. One only has to go over to
St. James Town, where my colleague and I
Kved for a while, where there are 10,000
or 20,000 people in a knothole to see the
total lack of programmes for children.
Interval House is a residential distress
centre for sole-support mothers and diiWren.
Service is directed to women in emotional,
financial and housing crises. But does this
service provide basic food, shelter, clothing
needs, baby sitting, children's activity, coun-
selling, residence with referral and follow-up
programme and distress calls?
Mr. Speaker, the list is endless. One gets
almost to a point of despondency over the
reaction of the government of Ontario with
738
ONTARIO LEGISLATURE
respect, as I said the other night, to the ser-
vice that comes under provincial jurisdiction.
Under the constitution of this country, this
government is responsible for social needs.
The people that are funding it are the federal
government, the United Fund and the munic-
ipalities. And where in God's name is On-
tario? It's out in the woodwork. It hasn't
funded a cent.
I've seen the game go on in here year and
year. I've watched it played with the Indian
community as the government banters back
and forth over who is constitutionally respon-
sible for the Indians. They are the pawns in
the game. The minister knows this. Like my-
self, he comes from northern Ontario where
we know the plight of the Indians and what
they have been put through and continue to
be put through as we play the game of who
is responsible.
We know who is responsible in the field of
social services in Ontario. We know whose
constitutional responsibility it is. And we also
know who hasn't provided the funds to keep
these services which everyone, including this
minister's staff, has indicated are absolutely
vital and necessary services.
I could go on, Mr. Speaker, with these. I
won't. I want to turn now to something else,
if I might. By the way, this whole bundle is
the programmes just in Metro Toronto alone
that are going to go down the drain. It is
surely going to be an interesting day to see
what the minister is going to do for staff, if
he has to put staff in to meet the demands
that have been created by the type of
complex society we are in.
I want to turn to the minister's statement
though. You will recall, Mr. Speaker, before
I introduce this, that I mentioned that from
June on last year-I guess it was June we met
with the then Provincial Secretary for Social
Development (Mr. Welch)-that the minister
started to dangle the bait in front of these
groups. As I indicated the other night, after
we left the minister's oflBce I said to them,
"You have just been seduced. The minister
will hot give you a cent." But I said, "You
try." It went on, and there was a whole series
of meetings which I put on the record the
other night, a whole series of delaying tactics.
The whole ball game was all there.
'It's hke the information centres. My col-
league mentions letters about them for three
years. I understand that information centres
have actually been studied by the ministry
for 13 years, not three; 13 years ago was the
first report on information centres. And now,
the crunch comes. There is no policy. As my
colleague indicated the other night, he had
three identical letters from the minister. The
only thing changed was the date, as the\' up-
dated the letters. The ministry said, "\\'e're
studying it, and we'll announce a policy
shortly.'
The government doesn't have a policy.
From June to March 15 would be nine or 10
months. It was a merry chase ansAvay before
there was a statement of Ontario govenmient
pohcy in reference to LlP-initiat^ projects.
Well, this is some statement. This, after
months of study, after acceptance b\- the
former think-piece, after having them analysed
and accredited and approved, we get this
statement of government policy from the
ministry:
As you know, for something more than
a year the secretariat for social develop-
ment has been considering the role that
the government of Ontario ought to play
in financing the project started under the
federal government's LIP grants pro-
gramme.
Our discussions have invoked many non-
governmental groups, including the Metro
work group. Since the decisions we have
taken owe much to these discussions [Yes,
the decisions we have taken have owed
much to these discussions] I think it is
appropriate that these decisions be an-
nounced, in the first instance, to you people
as representatives of that group.
Well, that is an insult to anyone's intelli-
gence, because what they are about to an-
nounce is nothing. After all of the input and
the approval by David Cole and the various
government people. Listen to this:
From the first we have said clearly that
the government of Ontario is willing to
provide support and assistance to LlP-ini-
tiated projects— within our existing pro-
grammes and priorities.
Well, I listed the other night the amounts
that the goviemment of Ontario had really
contributed. As I said, $100,000 totall\' for
immigrant services. There was nothing in
there for the immigrant needs. Community
development; $84,000 for the total province.
Information centres; really zero. The go\em-
ment managed to give $18,000 in Metro To-
ronto, but without any policy. It is just a
disaster.
From "our existing programmes." Well, the
government has done nothing from its exist-
ing programmes to meet the need. Reall\, it
hasn't. Just look at this material concerning
the agencies; the government gave $84,000
in total for community workers— $84,000. That
is the salary of eight people for Ontario.
APRIL 4, 1974
739
"But we are not prepared to abandon our
normal criteria calling for extensive volun-
tary involvement. . . ." What this government
wants, in fact, is all voluntary involvement,
or they want the federal government to pay
the shot, or they want Metro Toronto or the
various municipalities or the community or-
ganizations to pay the shot. This govern-
ment's commitment is zero.
Mr. E. P. Momingstar (Welland): It is a
good government, and a great minister over
there.
Mr. Martel: Good for whom? The wealthy?
T go on: ". . . invoheinent in some pro-
gramme areas and for significant local par-
ticipation in the funding of many projects."
We have the significant contribution. I put
those on the record the other night too, to
show you that the community fund had al-
ready invested heavily— very, very heavily—
but in fact the only one who had failed to
invest any money was the province. They
are on the record anyway, Mr. Speaker, I
haven't got them with me.
"We are not prepared to distort the priori-
ties that we have set for the development
and maintenance of social services in On-
tario." That is a lot of gobbledygook, too,
because there are no policies.
Using those criteria and within those
priorities I am happy to announce that we
have committed $150,000 for grants to help
programmes serving senior citizens across
Ontario to make the transition to normal
financing under the Ontario Elderly Per-
sons' Centres Act. Clearly these grants will
benefit a number of LIP projects. The
grant will be made on a one-time-only
basis.
One time only; $150,000 for the province.
That is not going to do anything to meet the
needs. It just isn't. .
. I go on then to the next one:
In order to make transitional period eas-
ier, we will instruct the senior citizens'
bureau to encourage homes for the aged
throughout Ontario . . .
I am also happy to announce that the
regulations under Bill 160 have now been
approved so that we wHl be able to pro-
vide limited direct provincial government
assistance to community daycare services
by early this year. We anticipate that some
LIP-initiated projects may qualify for the
assistance. . . .
No one has seen the regulations yet. As I
say, that's 10 months after the legislation was
Eassed; we are still waiting to see the regu-
itions.
Your group and others that we spoke to
have expressed a concern that the nnilti-
service approach to social services is not
being actively enough explored and de-
veloped in Ontario. To reassure you that
this is a matter of major concern to us, we
are appointing a committee to study [it].
Well, yet another committee. How long do
these studies go on? We now have another
study with respect to multi-service centres.
Your group also asked us to look at
additional financial support for . . . "social
service arts." Many programmes of this
nature were financed, in whole or in part,
through LIP grants. We would recom-
mend that these projects make application
to the Province of O^itario Council for the
Arts. [Isn't that a magnificent suggestion?]
This agency is able to support a limited
number of high quality efforts in the area.
Mr. F. Laughren (Nickel Belt): That's Tor\'
charity.
Mr. Martel: Yes, and here from my friend-
no, I haven't got to the point of my friend,
the hon. member for Wentworth (Mr. Deans).
To continue:
You asked, too, that we consider com-
munity assistance over and above existing
programmes. Both these areas are already
marked, particularly in Metro Toronto, h\
a large degree of duplication. . . .
Well, we know what that means.
Mr. Laughren: No.
Mr. Martel: Well, if there is duplication,
they don't fund anything.
Mr. Laughren: Oh, I see.
Mr. Martel: You see— and that's information
centres. After three years, in a recent letter
to our colleague, the member for Wentworth,
the Minister of Community and Social Serv-
ices is telling us it's again being studied. Here,
in fact, is what the minister has to say:
Both these areas are already marked,
particularly in Metro Toronto, oy a large
degree of duplication of service.
Mr. Laughren: It is almost deliberately
misleading.
Mr. Martel: It's called dissembling: dis-
sembling, yes.
We agree that such services might be
worthwhile, particularly in rural Ontario,
and we agree that information centres that
740
ONTARIO LEGISLATURE
are accessible and objective already play an
important role in the provision of services
in the province and, indeed, the provincial
government is already involved in the
financing of such services.
It was $18,000 last year; 18,000 bucks. You
know, the whole charade for 11 months; it is
absolutely nauseating.
Your group has asked us for a number of
things. We are taking specific action to
help the projects you have started to aid
senior citizens [It is $150,000 for the whole
province] to meet the requirements of our
existing programmes. Our new legislation
for day care may benefit. . . We will con-
tinue on a more formal basis to examine
the potential for multi-service delivery . . .
For your "social service arts" [your com-
munity information centres and your im-
migration services]. We can only recom-
mend that you continue to examine the
possibility of working through programmes
that already exist in Ontario.
They have been trying for three years— and
there is nothing there to work through.
Mr. Laughren: Well, cabinet is listening
today.
Mr. Martel: She says:
I would like to add one personal word.
I worked many years as a volunteer in the
development of social services in my own
community.
And that's the point I drew the other night.
Her information centre is operating on a LIP
^nt. Isn't that interesting? "I know some of
the sacrifice you people have made"-$85 a
week for three years, no holiday pay, no in-
creases, no fringe benefits, no medical pro-
tection. Some sacrifice!
Mr. R. Gisbom (Hamilton East): Would
the member say she is an unprogressive Tory?
Mr. Martel: Yes.
Mr. Gisbom: The hon. lady is not a pro-
gressive Tory.
Mr. Laughren: She's no red Tory.
Mr. Martel: And finally:
We have looked carefully at your pro-
posals. We have considered carefully the
decisions we have made and I hope that— to
some extent at least— they meet with your
approval.
Well, can you imagine— can you imagine that
junk meeting anyone's approval?
An hon. member: Yes.
Mr. Martel: Can you imagine—
Mr. Laughren: It meets the approval of
the anti-labour member for Timiskaming (Mr,
Havrot).
Mr. Martel: —the unmitigated gall of a
minister of the Crowai to come before a
group, after that ministry had said in fact all
of these programmes were worthwhile, after
months of research by the ministiy staflF
recommending that they be funded, the think-
piece says: "No, we will put $150,000 in."
Well, the Metro work group has just
recently put out a statement, they make a
comparison-
Mr. Drea: Where do they get the money
for all of these things they keep maihng out?
Mr. Martel: LIP.
Mr. Drea: LIP mailed that out?
Mr. Martel: I don't think they mailed this,
not to me anyway; they delivered it person-
ally. Well, the member might want to run a
red herring into it to cover up his own
embarrassment, but please don't interfere with
Mr. Drea: I am not running a red herring
over it at all, I just wonder about the money
problems. If they're broke, how come the big
mailout?
Mr. Martel: Most of it is being funded by
the UFO-the who? Well, that would be
more than the Tory bagmen would give.
Mr. Drea: Well, we are subsidizing it, too.
Mr. Laughren: The member might take
some of the land speculation profits of the
member for Fort William (Mr. Jessiman) and
fund a few LIP projects.
Mr. Martel: If I could sell on© aci« of knd
and make $90,000 profit, I could assist a
group, I could fund the organization.
Mr. B. Gilbertson (Algoma): The member
wouldn't want anybody to have an acre of
land. Give us something constructive now.
Mr. Laughren: We just want to tax the land
speculators. Nothing wrong with that. It's a
good social programme, progressive taxation.
The member is not against that surely.
Interjection by an hon. member.
Mr. Martel: Community funding? I put all
the lists on the record the other night when
the member stormed out because it wasn't his
APRIL 4, 1974
741
turn to speak. I put them in the Hansard and
if the member wants to go back-
Mr. Drea: I wasn't here the other night,
Mr. Speaker, I had engagements elsewhere.
Now let's keep the record straight. I am not
going to be insulted in here by some clown.
Mr. I. Deans (Wentworth): Tell the truth
now; the member got up and stomped out
because he couldn't get the floor.
Mr. Cilbertson: He is wasting the time of
the House.
Mr. Drea: That's not true and the member
knows it.
Mr. Martel: The figures were put on the
record the other night, if the member wants
to check them out, the community funding.
The federal government and Metro Toronto
have put in large amounts of money. The
only one who hasn't put any money in any-
thing is the member's own government.
Well, Ifet's see the response of the Metro
work group to this.
Mr. Laughren: We understand the mem-
ber's embarrassment.
Mr. Drea: I am not embarrassed.
Mr. Laughren: Well he should be.
Mr. Deans: We don't understand why he is
not.
Mr. Martel: If he is not embarrassed I can't
understand why he is not.
Well on the first position, the minister's
statement of March 15 says:
As you know, for some time, more than a
year, the secretariat for social develapm«it
'has been considering the role.
The response of the group:
The Metro work group has been ddscuss-
'ing the problems of responsibility in fund-
ing of social services. Mrs. Birch persists in
discussing LIP. The real issue is the crisis
in Metro Toronto of new services, but
Tnostiy of the entire commimity and social
service field.
In other words we have been digressing, as I
said much earlier. The attack started on the
LIP funding so that in fact the province
would be in a position to say no. But many
of the organizations involved in the Metro
work group never received LIP grants, never.
There is a whole wide range: The 'Toronto
Social Planning Council, 3ie YMCA, the
YWCA; they are all pushing these emerging
services if they meet the ne^'. But the th^k-
piece from over there, as she triea to prepare
us for the shock of saying no, kept attacking
LIP because she was trying to soften up the
public to accept the inevitable, that the On-
tario government wasn't going to fund emerg-
ing services.
(The second point from the minister's state-
ment:
From the first we have said clearly that
the government of Ontario is willing to pro-
vide support and assistance to LIP-initiated
programmes.
And their response:
It is the continued inadequacy of pro-
vincial policies in programme funding
which has created the present crisis. There-
fore an offer to fund emerging services
from within existing programmes and poli-
cies is tantamount to refusing any support.
For example, there is only $84,000 for com-
munity development programmes in the
whole of Ontario and not even a policy for
information centres (after three years of
study).
The minister's whole statement was a lot oi
rubbish.
The third point that the work group made
rebutting the minister's statement-
Mr. Laughren: Don't buy that.
Mr. Martel: "We are not asking you to dis-
tort your govemmttit's priorities.'
Mr. Laughren: The minister mustn't buy
that. I wouldn't buy anything from the mem-
ber.
Mr. Martel: "We are merdy asking you to
finance them."
Interjections by hon. members.
Mr. Martel: Their response goes oo:
An unreleased report of the provincial
Ministry of Community and Sodal Services,
compiled in June, 1973, indicated that most
'emerging services in Metro rank very high
relative to programme priorities of various
ministry departments.
I say that to my friend from—
Mr. H. C. Parrott (Oxford): Sudbury East?
Mr. Martel: No. I wanted the other mem-
ber to get that.
An hon. member: Oxford.
Mr. Martel: Oxford. I wanted him to get
that because a ministerial report said this.
He will file that away, will he?
742
ONTARIO LEGISLATURE
We endorse the two criteria of volun-
terism and local participation [And this
has been there. The only commitment we
haven't got is anything from the Tory
government]. We meet both of them con-
sistently. However, where local funding
is unavailable, often in the area of greatest
need, the province must accept its just
financial responsibility.
And it hasn't accepted any.
In the minister's statement she makes that
great announcement of $150,000. Here's
their response to that:
The total operational funding available
under the Elderly Persons' Centres Act
in 1973-1974 was $900,000, This level of
funding was totally inadequate for existing
groups eligible for funding. To activate
more groups to compete for this limited
funding is an exercise in futility.
The regulations of the Act are them-
selves unduly restrictive. They prevent thie
implementation of the full intent of the
Act.
We go on as the minister talks about
transitional periods:
Tying senior citizens to institutionalized
services run from homes for the aged
when they are able to function in the
community is not an alternative.
The minister has heard me say this for two
years, at least. We have got to assist but
the government is not assisting. The minister
goes on to say:
Mr. A. Carruthers (Durham): Was that a
message from Garcia or was that an inter-
departmental communication?
Mr. Martel: The recent communique-
Mr. Carruthers: Interdepartmental?
Mr. Laughren: We're giving him some
ammunition.
Mr. Afiartel: No, I won't comment because
he's not here. I wouldn't do it without his
attendance.
Mr. Laughren: That would be any labour
member.
Mr. Martel: That's what I was thinking
about but I wouldn't do it The minister
said, "I'm also happy to announce that the
regulations under Bill 160 have now been
approved." The group responded:
Limited financing of Bill 160 is not a
responsible answer to untold daycare
needs of working people in Metro Toronto.
The province obviously has no sense of
urgency for the daycare needs of
children.
Mr. Laughren: They have no sense.
Mr. Martel: They go on: "Bill 160 was
passed almost 10 months ago and as yet no
child nor working mother has benefited."
It was a good Act 10 months ago. The
only trouble is that it is not working yet.
Mr. Laughren: Tory commitments.
Mr. Martel: As I said when the minister
brought that bill in, Mr. Speaker, and dur-
ing his estimates, if we only had an election
every year we'd get all kinds of daycare
centres and so on because that's the year
we fund. I suspect that's \\'hy we're putting
it off and we can bring it in in time for
next year and make full implementation of
the bill.
Mr. Laughren: It is like the freight rate
reductions in northern Ontario.
Mr. Martel: Yes, on the e\e of an elec-
tion.
Mr. Laughren: The ONR has done a lot
for them.
Mr. Gilbertson: What would the member
do if he was in?
Mr. Martel: Does the member want me
to say we would do what the Tories are
doing? What they're doing is nothing.
Mr. Gilbertson: The member will never
get the chance.
Mr. Carruthers: The member for Sudbury
East can't say that. It's the most progressive
government this province ever had.
Mr. Martel: Mr. Speaker, point 7: The
multi-service approach began in 1967. A full
study was made on 10 such projects in 1969.
Mr. Carruthers: Is this a reading pro-
gramme?
Mr. Martel: The hon. member might learn
something if he listens long enough, because
he won't do any research on his own.
Mr. Parrott: The hon. member for Sud-
bury East doesn't have all that long, though.
Mr. Carruthers: This is carrying it too far.
When the hon. member reads, I cannot un-
derstand him.
Mr. Martel: Mr. Speaker, Tor>^ after Tory
reads his speech in its entirety in this House
APRIL 4, 1974
743
and no one over here says a word. No one
sa>s a word as they read their entire
speeches.
Mr. Cilbertson: The NDP members are
the biggest hecklers in here.
Mr. Camithers: The hon. member is not
reading his own speech.
Mr. Martel: I'm just reading to make sure
that these notes that were prepared are
precise.
Mr. Laughren: Yes, and to cut down on
time.
Mr. Martel: To get back to the point:
The multi-service approach began in
1967. A full study was made on 10 such
projects in 1969. The province is present-
1\- assisting one such project in York.
Sometimes studies are a good idea—
\\hen you honestly do need more facts.
What have we got here on multi-service
centres in the announcement by the hon.
minister? He is going to study it again. He
is going to have a look at it. We will set
up another committee. Well, we have had
studies from 1967 to the present, and we
are going to have an interdepartmental
committee set up and study it again. What
are they going to study? More procrastina-
tion? How they can avoid it?
Hon. Mr. Brunelle: Is the hon. member
not aware of the funding on the one in
North York?
Mr. Martel: Right, since 1967. My God, if
the rest of the province has to wait that
long, we'll never see it. We won't live
so long.
Mr. Laughren: The minister won't be in
government so long.
Mr. Martel: Well, Mr. Speaker, the eighth
point: The minister suggested the group go
to POCA to get funding for providing pro-
grammes in the senior citizens' homes and
so on. Their response:
POCA has already indicated that it is
sexerely underfinanced. Ontario shows ht-
tie concern in making cultural arts acces-
sible to all people, not just the affluent
minority."
That is what I have been saying. We provide
all kinds of funding for the affluent minority
to enjoy culture, but we don't provide fund-
ing so that the ordinary people can enjoy
culture. What is it, is it a sick system we
ha\e got over there? Maybe the Speaker
could tell me.
As for the immigration and information
centres, there is supposed to be overdupli-
cation; that's what the minister said— there
were too many and there was duplication.
Where is the evidence [and this is the
question they pose to the minister] to sub-
stantiate the claims of duplication?
The United Community Fund has sent
out assessment teams of volunteers and
professionals, as did the federal Secretary
of State, who did not find any duplication.
I hope the minister heard that. The federal
Secretary of State did not find any duplica-
tion in immigration services, and neither did
the United Community Fund. How does the
think-tank tell us then that there is duplica-
tion? Would the minister tell us some day
where there is duplication, instead of making
carte blanche statements with no substance?
In fact, both the United Community
Fund and the Secretary of State are par-
tially financing many of these services.
If "the provincial government is already
involved in the financing of such services,"
from where is the funding coming? There
are no provincial policies nor budgets to
finance information centres or immigration
services [none].
We know that over half of the com-
munity development budget was raised
last year to fund a few information centres.
Such cynicism seriously undermines the
province's credibility [in the whole field].
Getting down to the last four points, Mr.
Speaker, part of the minister's statement said,
in relation to senior citizens' groups— and I
quote: "Your group has asked us for a num-
ber of things. We are taking specific action
to help the projects." Their response to that
particular paragraph of the minister's state-
ment is:
We also asked you a number of other
tilings. In particular, we asked you to
begin using the Canada Assistance Plan-
as do Alberta and BC.
This government only uses the Canada As-
sistance Plan when it can extract a fair
largess without really putting comparable
fimding in.
The sudden transition of the mentally re-
tarded from the Ministry of Health to the
Ministry of Community and Social Services-
questions were put in debate last week, ques-
tioning the sincerity of that move. By doing
that they were able to get an additional $35
million from Ottawa. If tliat hsuln't l>een
forthcoming there are many people in the
community who believe that the treatment
for the mentally retarded would have stayed
744
ONTARIO LEGISLATURE
in the Ministry of Health. It wasn't the con-
sideration of the needs of people at all, it
was the consideration of picking up $35 mil-
lion more from Ottawa — that is what was
really behind it all.
The minister says. "I would like to add
one personal word; I worked many years as
a volunteer in the development of services
in my own community." And their response:
"As a former vokmteer and community
worker, we would expect you to be assisting
us in our proposals and ending our sacri-
fice."
I suspect her financial sacrifices weren't
too great. In my experience I've seen people
working in the community; these profes-
sional do-gooders that salve their conscience
by going out and doing a little canvassing
one night a year for the cancer or for the
blind — that's their contribution to society.
It salves their conscience.
Mr. Gilbertson: Better than nothing.
Mr. Mattel: Yes, these do-gooders, we
would be better off without tliem— some of
them.
Mr. Gilbertson: The member doesn't know
how much good the do-gooders do.
Mr. Martel: Oh yes, right.
Mr. Gilbertson: Why doesn't the member
for Sudbury East try it sometime? It is not
as easy as he says.
Mr. Martel: My friend — no, I can't be
bothered talking to him.
Mr. Deans: The member for Algoma is in
enough trouble; they've moved him from the
other sid-e of the row.
Mr. Gilbertson: Yes, but I'm in the front
bench.
Mr. Deans: The member for Algoma is
back where he started.
Mr. Gilbertson: I know, but I'm in the
front row— I started at the back.
Mr. Laughren: Don't forget, they are look-
ing in the Algoma riding to find another can-
didate.
An hon. member: Don't forget that.
Mr. Deans: They called to see if we could
provide someone.
An hon. member: We said: "No, leave him
where he is."
Mr. Martel: Here is the final statement I
want to quote, Mr. Speaker:
The response of the Ontario go\ern-
ment does not meet with our approval,
nor does it meet with the approval of the
wider community concerned with human
needs in our city. Clearly, the area of pro-
vincial policy and unmet community needs
must be reviewed by Premier Davis.
Interestingly enough, they've been trying to
get a meeting with the Premier (Mr. Davis)
since March 15 or 16— almost the day after
they were told "no way."
Mr. J. H. Jessiman (Fort William): Stand
in line.
Mr. E. M. Havrot ( Timiskaming ) : Join
the club.
Mr. Martel: They tell me that even the
Conservative backbenchers have difficulty in
getting to see the Premier, so we shouldn't
feel too badly. "Billy the Kid"-
Mr. Carruthers: The member for Sudbury
East is way back at the end of the line.
Mr. Martel: He is not very receptive, and
there is a line-up of Tory backbenchers.
Mr. Gilbertson: Why doesn't the member
show some respect toward the Premier instead
of calling him "Billy the Kid."
Mr. Martel: What should I do, pay homage
to him?
Mr. Gilbertson: The member is supposed to
honour those in authority.
Mr. Martel: Am I?
Mr. Gilbertson: And not be so ridiculous.
Mr. Martel: I've always had a great deal
of faith in law and order men. I look at
Spiro Agnew and Richard Nixon today— two
of the greatest law and order men in the last
decade,
Mr. Gilbertson: Did the member ever look
at himself? Did he ever look at himself?
Mr. Martel: Their law and order perform-
ance—those great law and order men.
Mr. Laughren: They moved crime from the
streets into the White House,
Mr. Martel: They've robbed everybody
blind, Spiro is going to be disbarred, but he
was a great law and order man—don't give
me that nonsense.
If you see a social need you move in to
help it.
APRIL 4, 1974
745
Mr. C. E. Smith (Simcoe East): Come on,
the member for Sudbury East should give us
the message.
Mr. Martel: This group has been waiting,
Mr. Speaker, almost two full weeks to meet
with the Premier— two full weeks. I checked
again today with my friend, the former
Attorney General, Arthur Wishart, to see if
that date had been finalized. It still isn't
finalized.
I checked with Arthur yesterday to see
about it. The group has phoned almost daily
to get a meeting.
Unless we get serious, Mr. Speaker, and
start to fund the groups, they in fact are
going to go down the drain. And maybe the
member for Durham would like to read these
services that are being offered and he
wouldn't sit there with such cynicism.
Mr. Camithers: I am in one myself; I am
dealing with one right now.
Mr. Martel: Yes, well I am dealing on
behalf of 160 of these groups right now.
Mr. Camithers: I am getting results, too.
I am getting results.
Mr. Martel: Yes, so am I, without a policy.
That's called the all-embracing arm of the
Tory. Well put another patch on the old
tube. We don't resolve the total need, we
just keep patching it.
Mr. Camithers: The member doesn't go
after things the right way.
Mr. Martel: Mr. Speaker, if these groups
don't meet with the Premier and if the
Premier doesn't see to it that adequate fund-
ing is immediately established, the vast
majority of these groups will disappear— and
that's what the government wants, I am con-
vinced—and the community of Metro Toronto
and the area outside of Metro Toronto, the
people who need services, will not have those
services. I suggest to the government that
this is, first and foremost, directly a provincial
responsibility, social needs, and it simply can-
not ignore it any longer. Thank you, Mr.
Speaker.
Mr. Speaker: The hon. member for Oxford.
Mr. H. C. Parrott ( Oxford ) : Mr. Speaker,
I don't know whether it is the fate of the
House to be subjected to discussions from
those sitting so close together, but let me tell
you, though we may sit together, there is a
great gulf between us.
Mr. Laughren: I would hope so, I would
hope so.
Interjections by hon, members.
Mr. Parrott: Let me assure vou, too, that
there is going to be a great gulf in the length
of our discussions. Before I comment on that
further, I hope that you will convey to the
member for Waterloo South (Mr. Renter),
who is indeed the Speaker of this House, the
best wishes of not only the member for Ox-
ford but indeed all of the people that I rep-
resent. As a neighbouring municipality, I think
we perhaps have had the privilege of know-
ing the hon. Speaker perhaps better than
some other people of this province, and we
have always felt it a great privilege to count
on his friendship.
Mr. Laughren: That's you, Mr. Speaker.
Mr. Parrott: As I see it, one of the rather
strange things that occur in this House is
that the remarks that I hear in the chamber
and the remarks that I hear outside the cham-
ber about the good humour, about the great
respect and alwut the fine character of the
Speaker are consistent. That is a ver\ rare
thing to see happen. Usually what is said in
the House doesn't necessarily reflect the same
kind of comments that we hear in the cor-
ridors. But in this instance I am sure that all
of us say with a great deal of sincerit\- how
much we respect you, Mr. Speaker.
There is another area that perhaps is \vr\-
seldom mentioned, and I would like to dwell
on for just a minute, and that is, indeed, the
attendants to the Speaker. I think that we
are served here in the House by the pages
and the other attendants with a great deal
of care and consideration and I think we see
in these young people probably the finest
examples of the youth of Ontario. I, for one,
would like to say thanks to them. Just last
week I was in my riding and a page who
had served in this House just last term was
at a meeting and put on a show. He did
ventriloquism, some magic, and spoke as well.
He did a tremendous job. It is a great
experience. I know from those who have
served here in this House what a great
stimulus to their lives the six-weeks' service
in this House has been, and I hope that all
of those who are currently serving and those
who have served before will continue and
that some day they, too, may serve in this
chamber or the chamber in Ottawa. But
whether they do that or not I am sure the\
will, indeed, serve in their communities.
A little comment on the previous speaker.
They tell me that if one is going to speak
746
ONTARIO LEGISLATURE
for an hour you need about 30 seconds' prep-
aration. If it s for five minutes you need about
an hour's preparation. I don't know what a
three-hour speech might take, but on that
basis I suspect 30 seconds' preparation and
three hours delivery is perhaps a ratio. There
were comments from the member for Sudbury
East that illustrate, as I suggested at the
beginning, that there is a great difference
between his position and mine, and there is
one area that, believe it or not, I would like
to follow up on. There is some agreement.
I would like to comment a little bit in
these next few minutes on how we, as mem-
bers, should service our ridings.
Quite frankly, this is not a personal com-
plaint. I knew full well the terms of the
contract when I was elected. The terms
weren't quite as good as I had been experi-
encing prior to my election.
Mr. M. Gaunt (Huron-Bruce): I am sure of
that!
Mr. Parrott: But I didn't consider that any
great problem. In fact, I thought it was the
greatest thrill of my life to have been so
honoured. And I still think that way.
Mr. Gaunt: What a price to pay for a
thrill!
Mr. Parrott: Well, it may be. Thank you,
that's exactly the point I'm coming to. That
was a very apt line, sir.
An hon. member: You can always count on
the member for Huron-Bruce for assistance.
Mr. Parrott: Before I get into that par-
ticular point, I feel that the recommenda-
tions of the commission on the Legislature
headed by Dalton Camp have given to us
many things of which I am personally appre-
ciative.
I think the difference in salary was accept-
able. I certainly think the ability to travel in
our ridings now is most acceptable and was
most necessary. Perhaps all of us have not
made any great changes in our methods of
going about our ridings. Perhaps most, if not
all, of the members considered that a part
of the duty, but it seems logical and reason-
able that we should be recompensed for that
expense. I think for those of us who are from
out of to\\Ti to be recompensed for our ac-
commodation while here is just a logical busi-
ness approach.
Unfortunately that's where the business
approach stopped as far as I was concerned.
It fell very far short when we start to think
in terms of how we should service our ridings.
The Camp commission, if I can call it that,
did recognize a difference in ridings. And I
think it should have done so when it got into
the area of how we as membeirs could
properly look after those people that we try
to serve. I guess the reason^ it hasn't is that
neither that commission nor indteed ourselves
have come to the problem of what our basic
role is in this assembly and in this province.
'I've asked myself, and I'm sure many of
the members have, am I mi ombudsman or
am I a legislator? Quite frankly, I would like
to think of myself as both. But if indeed' I
am an ombudsman, it seems to me that I am
grossly understaffed and shghdy underpaid.
If I am a legislator, I think I am perhaps
overpaid and have suflBcient staff. But we must
answer that basic question in my mind, what
is our basic role in society?
Mr. Deans: How did the member come to
that conclusion?
Mr. T. P. Reid (Rainy River): Which does
he consider the most important?
Mr. Deans: Surely his primary function is
as a legislator,
Mr. Parrott: I agree that my primary func-
tion is a legislator.
Mr. Deans: Well, why woidd the member
say that he is overpaid and understaffed?
Mr. Parrott: As an ombudsman.
Mr. Deans: No. He said that he is overpaid
and suflBciently staffed as a legislator.
Mr. Parrott: That's right. If I had no con-
stituency work to do wnatsoever, I honestly
believe that I could, with the staff that our
caucus research supplies, do a reasonably
adequate job as a legislator, provided I was
not too encumbered vvdth all of the other de-
tails that I am now encumbered with within
my riding and within this House. I'm talking
about the purism of a legislator with no
ombudsman rolfe to play.
Let me tell you, Mr. Speaker, that I think
I should be both and for these reasons. First
of all, I would like to keep in touch with
reality in both roles. I would use the ex-
ample, perhaps in my professional life, of
someone teaching in a medical or dental
school who has not had the great advantage
of serving part of his time at least in private
practice. I think he loses that sense of reality,
of urgency, and of relevance to what he is
trying to say to his students. If I had my way,
I would like to see in many areas that those
in the academic world woiild have to spend
APRIL 4. 1974
747
at least a portion of their week within the
confines of the work-a-day world.
Secondly, I don't think the role of the om-
budsman is the job of a civil servant. I would
like to see him an elected official. Therefore,
again I think that is another argument
that I should be both an ombudsman and a
legislator. I think, in addition, if we were only
legislators we would perhaps fail to see to the
same degree the needs of our community. If
we serve in the dual role, I think legislation
could normally be expected to follow, in that
we were attempting to serve the needs of our
community. As a legislator I would I expect
that I could, with some research help, discuss
what is necessary for the future, but as an
ombudsman I would see very clearly what is
necessary today. Again, I submit those as
reasons why I think we should be both.
Of recent date, as members well know, the
federal government has seen fit, indeed, to
provide its members with riding offices. Nov/
just because the federal government has seen
fit to do it doesn't necessarily make it right
in my mind for a lot of reasons. I think the
fact it has done it has put us, as members of
this assembly, in an extremely untenable posi-
tion. Whether we like it or not, we are go-
ing to be in a direct comparative position with
our federal counterparts.
Mr. Martel: Quebec has had it for three
years.
Mr. Parrott: That may be but in Ontario it
is going to be here for us. When one con-
siders that perhaps the provincial member
deals far more directly with the problems of
people than do the members of the federal
House-
Mr.^ J. E. Bullbrook (Sarnia): The member
doesn't have to say perhaps.
Mr. Parrott: All right, I will amend that
with the member's approval. Indeed, we do
deal with the problems of people far more
direcdy than do our federal friends and that
is the great joy of being a member of this
House. We are dealing with people and I
would not have it otherwise.
I am very mindful of this particular prob-
lem right now because, as the members of this
chamber well know, I have had the great mis-
fortune to lose my federal friend and mem-
ber of long-standing for Oxford, the great
Wally Nesbitt.
An hon. member: He was a great fellow.
Mr. Parrott: It has given me a new per-
spective on what the two roles might be.
I know there are a lot of problems with
unemployment insurance, but apart from
that one the real people problems of this
province are related to the activities of this
chamber. There is no way that a member,
under the present conditions, can even re-
motely c-ope with the problem:
I would like to say a word or two about
my great friend, Mr. Nesbitt, the member for
Oxford for some 20 years. When one looks
at the election results of his various terms-
there were seven, eight or nine of them in
total; one of the safest .seats, I guess, in the
Dominion of Canada— one would have to ask
himself why? The reason was very obvious.
He served his people well. That record is
without question and they knew it on the
day of election. That is the way it should be,
in my mind, and I think we all lost a great
servant of the people when Mr. Nesbitt
passed away last Christmas.
If it had worked well for him— not in the
process of being re-elected; if that is the
point I have made, I'm sorry, it has been
made badly— it was not that Mr. Nesbitt
could be re-elected but, indeed, we could
recognize that he was serving the people. One
would only need to walk the streets of our
communities to know just how deeply he was
missed and how greatly he was needed, which
is more to the point and right on. He was
needed because without a man of his calibre
and of his standing there are many injustices
in this society which will not be remedied.
It seems to me that we must play this dual
role. If that were the case, I felt I had, per-
haps, to try an experiment and if I could
take a few minutes of the time of this House,
I will tell members what we have tried in
Oxford. We have simply put the secretary'
who was normally associated with my ofiice
here in Queen's Park, in the riding on a full-
time basis. Let me assure members that ex-
periment is working, if we can measure it by
the number of calls she is receiving. I feel
sorry for her. Quite frequently, I can't get the
line to get home. She is on that telephone
almost incessantly, but there are still some
unanswered problems.
What am I able to do here in Queen's
Park? Well, sometimes I am able to scrounge
a few typed letters, and I go to the coffee
machine and make my own coffee. Indeed, I
lick my own envelopes.
Mr. Deans: Oh, heavens, no.
Mr. Parrott: Exactly, "Oh, heavens, no."
It's a crime—
An hon. member: Gee, that's tough.
748
ONTARIO LEGISLATURE
Mr. Parrott: —that a member who is
attempting to serve the people of his area is
reduced to an occupation— and I hope that the
members won't interject here and suggest that
I am making derogatory remarks about that
type of occupation, not at all; but I think—
Mr. BuUbrook: The hon. member has better
things to do with his time than lick envelopes;
that's what he is saying.
Mr. Parrott: Precisely, and I appreciate
that comment from the member for Samia.
He knows what I am saying and I feel that
he is agreeing with the comment, at least in
part.
Mr. Bullbrook: I'd like the hon. member
to recognize the legislative responsibility of
the opposition members. Much more onerous
tasks are superimposed upon the opposition
member's responsibility.
Mr. Parrott: I am not suggesting that our
roles are identical. I recognize that they are
different. I am going to come to that in just
one minute, but before I do, I am wondering
if the i)eople of this province fully recognize
that if one does try an experiment, such as
the one I am presently attempting in Oxford,
someone still has to pay the rent on that
oflBce. Someone has to pay for the phone;
indeed, if a person wants to call into that
oflBce, the citizen has to pay for the long-
distance call. That's not fair. I think that the
people of this province should be able to
contact their members at will on a direct
basis, without cost to themselves. I enjoy
that contact with the people of my ridina,
and I am sure the other members of thTs
House do.
There's another alternative that we could
take: We could consider the possibility of
staffing our offices with volunteers. There are
many jobs within a member's oflSce that might
be done by volunteers, but I have attempted
that experiment and it has failed. I think
there is a necessity to have a continuity of
secretarial help-help that a member can
count on, that will be there and that will do
as he asks and will continue to do so. Volun-
teer help might be fine for an election, but it
doesn't help the member to serve the riding
he represents.
In conclusion, Mr. Speaker, I would like to
ask Mr. Camp and those members associated
with him on the commission on the Legisla-
ture to look again at their recommendations.
As I understand it, we still have a report to
receive and I think it is not too late. To be
a little more specific, I would like to see
something similar to what our federal con-
freres have.
I am not asking for any great change here
in the provincial assembly but, following up
on the point made by the member for Samia,
I would say that we can't treat each riding
the same. I think it's a mistake to try to do so.
Some of us are within commuting distance
of our ridings. Some of us have to leave on
Monday morning and not see our ridings
again. Others are home every evening. So
we have got to treat our ridings differently—
the report said so— but there are still some
areas where they haven't recognized the great
differences that we are faced with as mem-
bers.
I am not asking that the commission should
not hold us accountable. I am saying, how-
ever, that the members could perhaps present
themselves to the Speaker's office with the
proposals that they felt were needed to serve
his area; and having done so, within certain
broad general limits such as our travel
allowance, that staffing problem would be
solved.
I think that to do less means we cannot
properly serve in our role and, secondly, it
will keep a lot of people who are more than
capable of doing so from serving in this
chamber when they see the workload. Not
that I think any of us is complaining par-
ticularly about that workload; as I said be-
fore, we knew it, we asked for it, and many
of us are enjoying it. But I think that many
of us are still concerned that we are not able
to provide the type of service to the people
of our ridings that we would like to do, and
I hope that those members of the commission
on the Legislature may well reconsider their
position and give us some individual deter-
mination within our ridings, let us be account-
able, but let us be able to do a job for the
people of Ontario. Thank you, Mr. Speaker.
Mr. Speaker: The hon. member for Perth.
Mr. H. EdighoflFer (Perth): Thank you, Mr.
Speaker. I am very happy once again to take
part in this Throne debate. I guess the usual
custom is to, first of all, offer congratulations
to the new ministers and to the new parlia-
mentary assistants. As I look around the
chamber I see one parliamentary assistant here
and I just hope that he will pass those con-
gratulations along to the rest.
I also, Mr. Speaker, would like to say that
I am pleased to see you back in your position,
hale and hearty and presiding over this House
with your usual good wit and firm hand-
Mr. E. Sargent (Grey-Bruce): The member
had better qualify that.
APRIL 4. 1974
749
Mr. EdighofiFer: —and I hope you continue
to enjoy your duties. I might also say that I
am very glad to see that Uie acting Speaker
is looking well today.
In reply to the Throne Speech, Mr.
-Speaker, I looked it over carefully once,
twice, even a third time, and it is really most
difficult to explain to anyone really what is
<x>ntained in those historic 15 pages. The
newspapers carried many stories with lots of
predictions of what might be contained
therein, and it again served the usual purpose
for the government, I presimie.
It is interesting that after the Throne
Speech was read the editorials in many of the
papers the next day tried to outline some of
the programmes. But the headlines really told
the story. One stated, "A Far from Dynamic
Programme." Another one said, "Many Good
Proposals in Bland Throne Speech." Another
one said, "Throne Speech General But Not
Specific." And just to be more specific, one
editorial stated that when Vincent Massey
was Governor General of Canada he noted
that his public utterances were confined to
"Governor Generalities."
That same editorial, Mr. Speaker, went on
lo say:
Many of the proposals are laudable, such
as the increase in aid for elderly and dis-
labled persons and for regions such as the
northern part of the province which feel
that they have been neglected. However, it
will be necessary to wait until more details
are given to learn the full extent of the
proposals. Efforts will be made to make
nousing more readily available, particularly
for those with low incomes, although again
the specific details are withheld.
In response to the concern over the grow-
ing shortage of good land for agricidtural
purposes, proposals are advanced to help
tensure that land acquired for development
•will be kept in agricultural production until
the development occurs.
Interesting suggestions for improving
safety on the highways include compulsory
use of seatbelts and new measures against
drunken drivers. Presumably a drunk driver
With an unfastened seat belt will be in
double jeopardy. All in all, it is a pro-
igramme which should keep the Legislature
busy for some months and may well prepare
the ground for a new provincial election
campaign.
Then it finished off by saying: "Like the
federal Throne Speech before it, the provin-
cial one didn't say very much."
It is interesting, Mr. Speaker, that just
prior to the Throne Speech here in the
Legislature one of our colleagues was in the
city of Stratford talking to a group of
students and a service club. Naturally the
people in the audience, because of their
active interest, wanted some up to date
information on the operations of govern-
ment and they questioned the parliamentary
assistant to the Minister of Revenue about
what might be in the Throne Speech. Accord-
ing to the newspaper report the headline
said: "MPP Drops Some Hints." But as I
looked over the column, he was not too ac-
curate and did not cover too many problems
mentioned in the Throne Speech. The article
did mention that he was questioned about
finances for political campaign and he did
say that he thought there would be legisla-
tion calling for disclosure of contributions.
He also said:
I would like to cut down on election
spending as much as you would, but we
have to spend what we think we must to
get elected. We don't like to take chances.
And for your—
An hon. member: The member for Lon-
don North (Mr. Walker), was it?
Mr. Edighoffer: I'm sorry he's not here,
but I did send out a questionnaire last fall,
and on that questionnaire I asked: "Should
there be limits on spending by candidates in
election campaigns?" The answers that came
back were 92.3 per cent yes, and 5.8 per
cent no. So it really shows that the govern-
ment is not fully aware of what the grass-
roots opinion really is.
Mr. R. F. Nixon (Leader of the Opposi-
tion): Once more.
Mr. Edighoffer: Mr. Speaker, there is one
sentence in the Throne Speech which really
intrigued me and it is this: "You will be
asked to approve legislation which will re-
quire an environmental assessment of major
new development projects."
I like that sentence very much, because
after what has been taking place in our area
with Ontario Hydro I'm just sorr>- that this
wasn't in the Throne Speech last year.
My colleague, the member for Huron-
Bruce, has spoken ver>' recently and placed
in the record of this House his concern and
the concern of the people in the area, for the
manner in which Ontario H>clro has decided
to acquire transmission line rights of way
over western Ontario, and particularly over
class 1 and 2 farmland. I really fed it's my
duty to add my few words to express the
750
ONTARIO LEGISLATURE
objection of many residents of Wallace
township who want to continue farming
without huge towers on their property.
I have much faith in the intellect and the
reasonableness of farmers; they are in busi-
ness and want to produce food for us.
Mr. J. M. Turner (Peterborough): That's
pretty weak.
Mr. Edighoffer: If Ontario Hydro could
show that this power is necessary and that
there is no other feasible way to get it
to the market, I know they would not de-
prive other people of this source of power.
Last year, Ontario Hydro exported 5.36
billion kw hours to the US at a profit of
$31.7 million. It's expected that this will
increase in 1974. These farmers do not see
why all this power export is necessary, par-
ticularly if it reduces agricultural production.
In this regard, the editor of the Listowel
Banner recently commented as follows— and
I think this is important to put on the rec-
ord. I quote from the editorial dated Feb.
28, 1974:
Hydro might be absolutely right when
it states that the amount of land cost to
production because of transmission lines is
minimal, but a farmer faced with losing
a 600-ft wide strip from a 100- or 200-
acre farm can hardly be expected to wel-
come the prospect.
While it might be hard for Hydro en-
gineers and lav/yers to understand, most
farmers have an attachment to their land
bordering on human relationship. Their
land, especially if it is a family farm, rep-
resents a lot more than soil, trees, crops,
or even dollars and cents. It is the result
of years of effort, planning, sacrifice, toil
and sweat, and to be forced to sign away
a foot, let alone a wide strip of such land
to make way for monstrous structures of
cement and steel is a bitter pill.
It is not that farmers do not realize the
value of hydro. They do. Indeed many of
them are among Hydro's best customers.
On a day-to-day, man-to-man basis, no
one has more respect for the Hydro line-
man than does the farmer. But as far as
the farmer is concerned, the men at the
top of Ontario Hydro are something quite
different. They are the people who double-
talked their fathers years ago and who are
now forcing their neighbours to face land
expropriation. Given such a situation, plus
the fact that its own maps are not abso-
lutely according to Hoyle, Hydro can
hardly be surprised to find good, respon-
sible farmers lining up on the other side
of the fence. If Hydro has changed its
method as it claims, it is going to take
more than words to convince the fanner.
So ends the quote.
Mr. Speaker, this subject is very prominent
in the minds of many people in the nortli
part of my riding and in many parts of
ridings to the east and to the west. Recently
there was a letter in many of the newspapers
in Ontario written by a member of a veter-
inary clinic who, I think, is very much aware
of what our land in our area is used for, and
how important it is for the production of
food.
Just in case the Minister of Energy ( Mr.
McKeough) or the Premier or members of
Ontario Hydro have missed this, I feel it
should go on the record because it shows
what will take place if this Hydro line goes
as Ontario Hydro wants it to. It states:
As individuals who live in and serve the
portion of Perth county being affected by
the proposed Ontario Hydro corridor from
Bradley junction to the Georgetown-Guelph
area, we would like to express our grave
concern. We serve the farming community
at Wallace township as well as adjacent
portions of Wellington and Huron counties.
In this area we find a high percentage of
farms stocked to capacity with, predomi-
nantly, cattle and hogs. In fact, they rely
on a large volume of their grain needs to
come from other areas. Fanners in this
area, with 100 acres of land, would lose
13.6 acres, with the exception of approxi-
mately six who would lose 60 of the 100
acres.
Mr. R. Haggerty (Welland South): It's
also bean country, too.
Mr. Edighoffer: To continue:
This would constitute a loss of 13.6 per
cent of their resources to provide adequate
feed for their livestock. We are certain that
a large portion of farmers would have to
reduce the number of livestock kept on
these farms.
Perth, Huron and Wellington counties
are among the most productive agricultural
counties in Ontario. A: Perth county's
total milk production annually is second
only to Oxford county in Ontario; B: In
1973 Perth county shipped 78,263 head of
cattle, which was more than any other
except Waterloo. Perth county shipped
331,049 hogs in 1972 and was second to
none. The preferred corridor through Wal-
lace township by Ontario Hydro will re-
APRIL 4, 1974
751
(juire 1,200 acres. In the total length of this
one corridor crossing Bruce, Huron, Perth
and Wellington counties over 9,000 acres
will be required.
Ontario Hydro suggests that if all facets
of construction proceed perfectly a mini-
mum of 1V4 years per tower line would be
refjuired, a total of 4'/^ years minimum for
the construction of the three lines. There-
fore, upwards of 9,000 acres, a good portion
of which is No. 1 and No. 2 grade agricul-
tural land, will be out of production for at
least five crop years. Besides removal of this
large acreage temporarily, over 40 acres of
prime No. 1 and over 100 acres of No. 2
land would permanently be removed from
production by tower line bases.
With consumer food prices climbing at
an alarming rate, we caimot justify the re-
moval of this type of land from production.
It isn't that we are self-suflBcient. During
the dairy year commencing April 1, 1973
to March 31, 1974, we will import approx-
imately 47 million pounds of butter as
well as a large amount of cheese. It is
commonly accepted that American beef is
continuously flowing into Canada.
This letter continues on and compares pro-
duction and shows how it has increased in
the last three and four years regarding milk
and beef. The final sentence in this letter is
most important. It says:
We feel that the agricultural contribu-
tions of Perth county and its neighbours are
important and hereby request an in-depth
objective look at the long-range effects of
such a corridor.
This letter was submitted to many newspapers
by the Listowel veterinary clinic.
Mr. Speaker, I feel Ontario .Hydro should
have its policy in black and white well ahead
of construction. Because of past experience
many land owners feel that they are dealing
with a giant steam-roller. Many editorials
have been written in this regard. Many peo-
ple have discussed this. They feel that the
people who are working for Hydro out in
the area are responsible people, but they are
only working on orders from head office here
in Toronto and feel that they cannot count
on the decisions that are made out there.
Ontario Hydro has spent thousands and
maybe hundreds of thousands of dollars ad-
vertising how to live better electrically. As
people have pointed out on many occasions,
maybe we have been brainwashed and mavbe
we expect too much of Hydro. But now they
are reversing their stand. I just read in one
of the papers the other day that Ontario
Hydro, along with the Ministry of Industry
and Touri.sm, has planned 11 seminars acio^
Ontario. They are alerting companies on how
to cut out electricity costs. That article stated
they were sending out 7,000 letters to com-
panies across the province telling them about
these seminars and how to cut out thc-se elec-
trical costs. It says:
The courses will be designed to con-
vince businessmen that savings of up to
30 per cent are not uncommon with rela-
tively minor investment and new e<|uip-
ment. [Then the article goes on to savl
The ministry [and I presume that is the
Ministry of Industry and Tourism] will in-
troduce new products aimed at cutting
heating costs. One is a thermostat that
automatically turns back when plants are
empty at night. Another is an infra-red
heater that is electrically economical.
However, they will have four lectures and
are holding 11 planning seminars. I think the
cost will be $5 for the members of industry
to be present. It states in the paper the
registration will naturally include lunch, be-
cause this government loves lunches, and
audio-vision displays.
Mr. A. J. Roy (Ottawa East): Nobody is
going to pay $5 to listen to the Minister of
Industry and Tourism. They are wasting their
money if they do.
An hon, member: Wining and dining them.
Hon. C. Bennett (Minister of Industry and
Tourism): In that area, yes.
Mr. Roy: The minister should send a tape.
Mr. Haggerty: Wine them and dine them.
That's the government policy. Maybe on
Jordan wines.
Mr. Edighoffer: Maybe, Mr. Speaker, Hy-
dro prefers power before food, and that is
what a lot of other people may have to live
on if Hydro doesn't change its thinking.
Mr. Haggerty: Or Moog and Davis.
Mr. Edighoffer: Just before I leave the
subject of Ontario Hydro, I wish to say that
there are a group of concerned farmers of the
united townships of Tumberry, Howick, Wal-
lace, Maryborough, Peel, Woolwich and Pil-
kington who really reject Hydro's proposal
and suggested that these lines could go fur-
ther north, which would be shorter and prob-
ably cheaper. I hope that Ontario Hydro
and the cabinet take a good look at their
proposal and agree with their wishes.
752
ONTARIO LEGISLATURE
Mr. Speaker, I would just like to say a
few words about land-use planning. I was
hoping to see something substantial in the
Throne Speech regarding land-use planning.
In 1973 the Throne Speech stated that there
would be major new programmes designed to
ensure sound planning, and particularly to
preserve the land resource for the use and
advantage of future generations. That was in
1973, but in 1974 the government has com-
pletely forgotten this need.
Last year, as I mentioned earlier, I sent
out a questionnaire; and on that question-
naire I asked two questions that had to do
with land-use planning. One question was:
"Should Ontario have an overall land-use
plan?" Again, the people answered with a re-
sounding "yes," 78.2 per cent for and 9.2
per cent against. I also went a little further
and asked: "Should agricultural land be des-
ignated and accompanied by a special re-
duced tax rate?" Again, 67 per cent said
"yes," 21 per cent "no," and 11 per cent
had no comment.
I think the people are really looking for
direction, Mr. Speaker, but to date nothing
substantial has been offered. If the amount
of energy and money that has gone into the
government policy regarding regional gov-
ernment had been expended on land-use
planning, we would not be in the predica-
ment we are in now.
I also have a word or two to say about
nursing homes, Mr. Speaker—
An hen. member: Yes, good idea.
Mr. Edighoffer: I was glad to see the new
Minister of Health (Mr. Miller) appointed be-
cause, of course, he was parliamentary as-
sistant to the previous Minister of Health;
I have had experience with him when he
was parliamentary assistant, and he took a
great interest in extended health care.
With this experience, I hope he will take
time to assess the further need for more
nursing homes in many areas. To date,
though, it appears that the ministry has been
approving additions to present homes or ap-
proving new facilities and looked at the need
only on a statistical basis. That is, if the
area has four beds per 1,000 of population,
then another area can't have more beds if
they have four beds per 1,000.
I hope that the minister looks a little
closer at the need and gives consideration
to each area of the province on its own con-
ditions. Many areas find that they are per-
haps more dormitory areas or have a bigger
percentage of retired people. Naturally, if
this is the case, the need could be greater.
And if there are a number of good homes
in the area, 1 suggest that he look very
closely at updating or adding to the present
homes. I know from my own experience in
visiting nursing homes in my area, that the
smaller nursing home gives the kind of care
that those patients and their families appre-
ciate, because of the more home-like and
human attitude.
Not too long ago, Mr. Speaker, on March
27, there was an announcement in my ridinj?
regarding transportation. I have talked about
transportation in this House since 1967, per-
taining particularly to better access to High-
way 401 from the city of Stratford. On that
date, March 27, the Ministry of Transporta-
tion and Communications armounced that
they were considering a new highway from
New Hamburg to Stratford; that's Highway
7 and 8. I'm sure that when you've gone up
to the festival, Mr. Speaker, you've noticed
how clogged that road really is. But I have
to say that in announcing this highway the\'
stated that we would not have it until 1980
or 1982, and it might not even be con-
structed until 1985.
An hon. member: Shame.
An hon. member: Terrible.
Interjections by hon. members.
Mr. Edighoffer: Now, they have had a
study team there for about 14 or 16 months.
I saw a figure of the cost in the newspaper,
but I won't repeat it because I'm not certain
that it's exactly correct. But they've had that
team working for over a year— mind you,
with some public participation— trying to sort
out the best route. And they finally decided.
However, I found it most interesting— and
I attended many of the public meetings in
the area— that a member of the study team
stated specifically at many of the meetings
that the minister had the final say and that
the local member would have input. I would
just like to record at this time that, as far
as I am concerned, the representative of the
study team was not exactly correct; I've
talked to the previous minister and to the
present minister and to date, after offering
my services, I have not been asked for any
particular advice on this highway.
This route, Mr. Speaker— and I am sure
you are aware that part of this route is con-
structed from Kitchener to New Hamburg at
the moment— this route is planned for four
lanes. But then that is for 1991. Imagine—
1991.
This really shows how fast this particuLir
ministry really works.
.\PRIL 4. 1974
753
Hon. W. A. Stewart (Minister of Agriail-
ture and Food): Does the hon. member want
a four-lane highway?
Mr. R. G. Eaton (Middlesex South): The
minister will give him one.
Mr. R. F Nixon: I'll bet they call it
"Stewart Highway."
Interjections by hon. members.
Mr. Edighoffer: I'm just coming to that
now.
Interjections by hon. members.
Mr. Edighoffer: Well, the minister certain-
ly has been up in Perth quite a bit; he should
have heard that.
An hon. member: No, he has never got
over losing Perth.
An hon. member: He won't get over Huron
for a long time either.
Mr. Gaunt: We're pulling the net tighter
and tighter.
Mr. R. F. Ruston (Essex-Kent): He's in the
wringer.
Mr. EdighoflFer: Well, Mr. Speaker, it's in-
teresting that when this study team was in
our area on March 27, they of course tried
to soften things a bit and stated that they
now would be doing a study to see whether
they should upgrade the present Highway 7
and 8.
I know the Minister of Agriculture and
Food is most interested in how I feel on this
subject, and I would say, first of all, that
they should have upgraded the present High-
way 7 and 8 five or 10 years ago. So they
are way behind time in that respect.
I would also like to say, Mr. Speaker, that
from my experience of driving on the present
two-lane highway from New Hamburg to
Kitchener, which is designed to be eventually
a four-lane highway, it's a very badly de-
signed highway for two lanes and, I think,
it's very dangerous. So if this particular high-
way is going to be built, Mr Speaker, I
would have to say that this highway should
be built as a four-lane highway immediately.
The only thing else I would add to that is
that, since that we have a new Minister of
Transportation and Communications (Mr.
Rhodes) and because the announcement came
from his oflBce, I would like to invite him
to come up to our area as soon as possible.
I can't supply a chauffeur, but I would be
glad to take him over the route and discuss
it further with him personally.
Hon. Mr. Stewart: Why doesn't the mem-
ber get the Women's Institute group and
take them along with them?
Mr. Haggerty: That is by hovercraft so
he won't get all the bumps.
Mr. Edighoffer: They are all right now. I
was out to see them the other night.
Mr. Speaker, just before closing I wotild
like to say that many areas were covered in
the Throne Speech. Mind you, we didn't get
many details, but there was one point I no-
ticed which was left out of the Throne
Speech. It seems as if these types of points
are quite often left out of government pro-
nouncements. Not too long ago— I believe it
was on March 15— the London Free Press
had an editorial. I am always interested in
the editorials of the London Free Press be-
cause generally they are quite favourable to
the government. But this one here was en-
titled, "Lose Your Job At A Profit." I would
just like to quote from this editorial.
The Ontario government has evidently
adopted an intriguing programme of job
renewal made easy. When it is desired to
mov«e a high civil servant out of a job and
replace him with the government's latest
choice, just make certain that it is worth
his while to leave. It is very simple. It
smooths the way for everybody and no
one is hurt. It is an even simpler proce-
dure when it is all done with public
money.
The latest example of the government's
regime of high-mindedness in job replace-
ment is the disclosure that A. A. Rowan-
Legg was paid a total of $42,000 to termi-
nate his employment as Ontario Agent
General in Britain and turn the job over
to former Londoner Ward Cornell.
Mr. Bullbrook: Who is that?
Mr. Edighoffer. Well, he was also distin-
guished as Mr. Hockey Night in Canada.
Interjections by hon. members.
Hon. Mr. Stewart: He is really selling On-
tario products and food produce.
Mr. Bullbrook: Does he still do those Avco
Finance commercials?
Mr. Edighoffer: To go on with the edi-
torial, all that was in there was that he was
knows as Mr. Hockey Night in Canada and
he was the campaign manager of the Treas-
urer (Mr. White).
Interjections by hon. members.
-54
ONTARIO LEGISLATURE
An hon. member: Could he stick handle?
Mr. EdighofFer: It said he was most inter-
ested in supplying public relations expertise
to various enterprises of the Ontario Con-
servative Party.
Hon. Mr. Bennett: Let me tell the member
he has been excellent at all those,
Mr. EdighoflFer: It could be.
Hon. Mr. Bennett: Yes, sir.
Mr. Deans: Financially at least.
Mr. EdighoflFer: I am coming to that.
Hon. Mr. Bennett: That's good.
Mr. EdighoflFer: The editorial said:
There was a new twist to the procedure.
Mr. Rowan-Legg received $35,000 in sever-
ance pay and also $7,000 for job relocation
in Toronto. It is logical enough when you
think of it. Relocation payments have been
in order for urban renewal. Why not for
job renewal?
The system was established in a more
celebrated case with the Workmen's Com-
pensation Board. It worked so well then
that the Ontario government probably de-
cided to use it regularly. In that instance,
a Workmen's Compensation Board member.
Jack Cauley, was, according to testimony
at a public hearing, paid handsomely for
simply withdrawing from the board two
years early, but there was a misunderstand-
ing. Mr. Cauley understood that, in,
addition to sick leave and vacation credit
of $62,000, he was to be paid his regular
salary of $27,000 a year. He made quite a
fuss.
Then later it was the turn of Mr.
Cauley's boss in the Workmen's Compen-
sation Board, Brig. Gen. Bruce Legge, to
be offered a year's salary to resign. Mr.
Legge had been coping with a series of
administrative problems at WCB. He was
replaced by Michael Starr, a former federal
Conservative labour minister.
It may well be that the province has
been a beneficiary in all of these moves.
Both Mr. Starr and Mr. Cornell are emi-
nently capable men. It is the implications
of the replacement system that are in-
teresting. The discovery may have been
made by now in the high echelons of the
Ontario civil service that the best way to
achieve a profitable retirement or relocation
is to find a friend or functionary of the
Ontario Conservative Party and make it
essential to have him installed in your job.
And that ends the editorial from the London
Free Press.
An hon. member: Right on.
Mr. R. F. Nixon: The London Free Press?
Hon. Mr. Stewart: Great paper.
Mr. R. F. Nixon: That's distributed in
Middlesex too.
Mr. EdighoflFer: I think it's a most inter-
esting editorial. They call it, "A Job Renewal
Made Easy programme," and when I look at
the initials, they spell JRME. I really don't
know how you pronounce that, Mr. Speaker,
but it sounds like some kind of a germ. I
just hope, though, that the people of Ontario
will soon see how the taxpayers' money is
being wasted.
Mr. Speaker, in closing, I have to say that
the Throne Speech again was too general. It
has not really shown the widest desire to
relieve any of the immediate problems relat-
ing to inflation, housing or land-use planning,
and I am certainly ready to support the
meaty amendment placed by my leader.
Mr. Speaker: The hon. member for Windsor
West.
Mr. E. J. Bounsall (Windsor West): Thank
you, Mr. Speaker. My opening remarks are
going to be a personal reference to you, sir.
Occasionally my oldest daughter, who is now
nine years old, makes an appearance in the
galleries of the legislative building and, need-
less to say, your dress and attire and general
deportment have convinced her that you are
absolutely the No. 1 person in the Province
of Ontario.
Interjections by hon. members.
Mr. J. F. Foulds (Port Arthur): She shows
soimd judgement, Mr. Speaker.
Mr. Bounsall: She thinks that you control
everything, run everything and that you are
scrupulously fair. I have assured her; on all
three counts that that is true.
She was therefore very upset at the end of
the session last December to find that Mr.
Speaker had taken ill. And although she
wasn't down for the opening this time, she
was very relieved, satisfied and happy, as we
all were, when I reported to her that you
were indeed in good health, looking firie and
everything was well with the Provihce of
APRIL 4, 1974
755
Ontario. She says she certainly hopes that it
will continue, as we all do.
My opening remarks in terms of an in-
dividual area of concern this year relate to
the Americanization, if you like, or the de-
Americanization of our universities. I am
concerned by a recent incident at the Uni-
versity of Windsor, my old university, with
respect to the non-aclmittance of graduate
students— students who have A averages—
from one section of clinical psychology into
the graduate programme, the master's pro-
gramme.
One cannot convey to the Minister of
Colleges and Universities (Mr. Auld), in a
question in the House, all of the detailed
concepts which I would hope could be car-
ried out in this field. But my question to him
earlier this week was to ask if he would see
that all of the individual disciplines in the
universities of our province devised, by
themselves and on common agreement
amoHgst all of these departments from all
universities a rational graduate student
admission policy that would take into account
the differing backgrounds and the diflFerent
training of students who apply.
When I was department head of chemistry
at the University of Windsor, which I be-
came back in 1968, my predecessor and the
other department heads of chemistry across
this province had already decided that this
was what they should do within the discf-
pline of chemistry right across this province.
In this way, if they were called upon at any
time to justify the numbers of graduate stu-
dents they were admitting or why they ad-
mitted those particular graduate studen*^s,
there would be common agreement as to the
actions taken and why they were taken. By
talking to each other, through the experience
we had, we attempted to devise what is in
effect a rational policy in this area.
It was not an easy thing to do, as we
found. It had been going on for about a
year before I occupied that particular chair
as a representative from the University of
Windsor, and it carried on for another year
and a half before we could say we had a
policy, which we then kept testing each and
every year.
The policy was very simply this. No stu-
dent can be admitted to graduate school in
any university in Ontario unless he has a
B average. Our experience, and experience
at other universities, had shown that if stu-
dents had a B-plus or better average they
performed, with the odd exception, remark-
ably better in graduate school; the simple B
average cutoff point was in fact too low.
So within our ov^m universities, for our
own graduates, we established that the mini-
mum would be B-plus. We then said that
all those students who have backgrounds
with which we are unfamiliar will be re-
quiretl to take the American set, the Ameri-
can-marked graduate record examinations.
iThese examinations are very important for
students in American universities oecause of
the vast background difference from one
American university to another. This situa-
tion is not true in the universities of the
Province of Ontario, One can be fairly well
assured that a graduate in chemistry from the
Lakehead has an equivalent background to
a graduate in chemistry at the University of
Toronto or at the University of Windsor or
any other university. From experience look-
ing around the rest of Canada, we found
this also to be true for the rest of the univer-
sities in Canada, There was not, in the field
of chemistry, what one would call a weak
university in terms of its undergraduate pro-
gramme. So we could take a student with a
B-plus average from Dalhousie University
who applied and know that B-plus average
was in fact-
Interjection by an hon. member.
Mr. Bounsall: That strikes a responsive
note.
We would know that was in fact equiva-
lent to a B-plus average from the University
of Manitoba or from our own institution.
•So in terms of Canadian students we were
happy. Anyone who had a B-plus or better
was accepted if we had the positions avail-
able.
At our own university from time to time—
and this occurred as far as I can recollect in
1965 and 1966- we asked our own graduating
class in honours chemistry who were think-
ing of going on to graduate school to write
the GR examinations, the graduate record
examinations produced for Princeton so that
we could compare their scores with those we
were getting on other apphcants who were
let in, from the United States primarily.
We wanted to compare their progress
through graduate school. We found a situa-
rion that would not surprise anyone. We
found the scores attained by the Canadian
graduates, those from our department, were
not as high as the graduate record examina-
tion scores of the Americans.
However, in graduate schocJ there was no
measurable difference between the groups.
756
ONTARIO LEGISLATURE
It confirmed to us what we suspected, that
the GREs were needed as a test for Ameri-
can graduates because of the wide diversity
of universities and the wide differences in
programmes. The GREs were needed down
there and have been in use for some years.
Chemistry departments at most American col-
leges and universities geared their under-
graduate programme around material given
to pass a graduate record examination. After
the graduate record examinations are given—
and they can be taken three or four times
in the course of a given year— one can get
a copy of the examination that had been
given in the immediate past. We used to
obtain copies of these, and when we looked
at them we found they were repetitious in
their testing of material in a certain area.
That is, one exam did not differ vridely in
the area it covered from another examina-
tion. The questions would differ, but not in
the area.
When we looked at those examinations,
we could see that by and large they asked
no questions in the area of what we would
call theoretical chemistry, which we gave
all across Ontario and Canada generally as
one of our fourth-year subjects. No questions
like that appeared. They were more heavih-
weighted in the area of factual inorganic
chemistry than any Canadian or Ontario
university was.
We adopted the attitude here in Canada-
and I think it's a right one— that there's no
point in burdening one's mind down with a
whole bunch of facts provided one knows
where to look for those facts. That was not
the attitude, generally speaking, in the
United States. So one had a lot of factual
material appearing on those examinations.
If we were going to make it a require-
ment that our graduates take those examina-
tions and we were going to use them as a
basis for entering graduate school, we would
have had to rearrange our undergraduate
programmes in order to see that they were
at least exposed to that material. This we
were unwilling to do.
We were well aware, by comparison of
examinations from year to year, that in fact
one could plan an undergraduate programme
geared to passing those examinations. This
we did not and would not do in Ontario,
and therefore we knew that our students
writing those same examinations would not
score as highly as students taking those ex-
aminations in United States universities.
We said that graduate record examinations
will not be a test of admittance to graduate
school for a Canadian student, but for any
student whose background we didn't know,
we would have them take the GRE and ase
that as a score.
We also knew that those students apply-
ing to us from the British Isles also had an
aptitude towards chemistry that was rather
similar to ours. Their programmes again were
not geared to assimilating data but rather
to attaining concepts. And because, again,
those institutions could be rated as good or
better, relative to Ontario ones, we simply
said that an upper second class from any
British Isles university is acceptable as
equivalent to a Canadian student in terms
of admission, and we did not require them
to take that examination.
We found, by trial and error over the
years, that graduates in chemistry from some
of the Oriental universities— the University
of Hong Kong, the University of Korea, the
University of South Vietnam and the Uni-
versity of Taiwan — were as good as those
from the British institutions. Again, we did
not require a GRE from students from those
universities, and we were never disappointed.
A B-plus or certainly an A average in chem-
istry from those universities honestly grading
students — and we never found that they
didn't— was identical to our students. With
the US students it was very applicable, as ?t
was with students from India, Pakistan and
South America, and we required those stu-
dents to take the GRE.
By the way, we also policed ourselves very
carefully. We always had a meeting in tl'e
first week of October, at which time we all
brought in the lists of graduate students
whom we had accepted and what their GRE
scores were if they were in the categories
that I've outlined; or if they were Canadian
students, British or from the University of
Hong Kong, we also listed what their grades
were. We brought enough copies for every
department head in Ontario and laid them
on the table. And if there were any ex-
tenuating circimistances, if somehow we had
let someone in with a B average or with
a GRE score of less than 720, which was the
cutoff point in the chemistry scores, they
really had to justify to us why they had let
that particular student in. On the odd time
there were good, solid extenuating circum-
stances why a student who, on the surface
of things didn't meet up, was admitted. We
really put the pressure on our coUeagites,
when, as would happen from time to time,
it appeared one institution was gettiiig a.
little soft.
APRIL 4, 1974
757
I am suggesting to the Minister of Col-
leges and Universities that because in On-
tario the province, through its grants to the
universities, pays $8,000 a year in round
terms for a stuaent on a master's programme
and $12,000 a year in roimd terms for a
student on a PhD programme, those disci-
phnes in the Province of Ontario which have
not agreed they should have some common,
completely clear, sorted out admission standi
ards, should be told by the minister: "You
had better get together and you had better
sort them out pretty promptly because we
want to ensure that in the Province of On-
tario Canadians stand a good chance of get-
ting into graduate school in those institutions,
and so that we know a graduate student ad-
mitted to the University of Windsor is ad-
mitted on the same fair, equitable terms as a
graduate student admitted to the University
of Toronto or the Lakehead or anywhere
else."
With the department heads working around
the province with whoever in their depart-
ments helped them with the graduate ad-
missions—the committees on graduate admis-
sions—they will be able to devise a common
admissions standard which will be fair, and
then they apply it. The minister shouldn't
be saying to the separate disciplines, such as
psychology which is the case in dispute at
Windsor at the moment: "This must be your
standard;" but they might w^U be interested
in seeing what the results of those discus-
sion were.
I am suggesting it isn't going to be a par-
ticularly easy task. They can look and see
what has happened in other disciplines and
how they arrived at their standards, such as
the chemistry one I have outlined. In a
sense the disciplines do differ from one to
another so one leaves it to those disciplines
to work out those standards and leaves it
to the disciplines to police them, but the
minister must say: "This should be done."
This should and must be done so the
public of the Province of Ontario knows it is
getting good value for the $8,000 spent for
a master's student and good value for the
$12,000 spent for a PhD student. I do not
wish to be unduly or subtly anti-American
here but if the Province of Ontario is going
to be subsidizing masters' students by $8,000
and PhD students by $12,000 a year for the
few openings there are, and because of the
tightness of money for colleges and univer-
sities in the province, there must be an op-
portunity for those qualified Canadian under-
graduate students to enter into the graduate
programme. The Ontario taxpayers' money
must be used to further the education of
Canadians first and students of other
nationalities second.
'We do not drop the standards for graduate
student admission to ensure that the pro-
grammes are entirely fiHed with Canacuans
out we ensure that Canadians get in. If a
choice has to be made it should be the Cana-
dian, in general terms, who is accepted first
so that, across the province, there can be
no charge of the type we have seen in the
last week surrounding the clinical psychology
division at the University of Windsor.
Before I leave this topic, I might say that
some of the discipUnes in Ontario have been
very keen to do things of this sort. It hasn't
been just the chemistry which has done it,
the mathematics disciplines have done it;
geography and political science have done
it. I believe geology has done it. There are
five or six dSciplines which have met, set
up and reached this common agreement on
the admissions standards. Enough have done
it to show the other disciplines how they
have done it and why, so they may not take
2% years to arrive at some policy which
wouM' be acceptable in this area.
In the statements that were given prior
to the question' period today, I was rather
interested to hear about the licence sticker
situation that exists in the province. It oc-
curred to me to make one comment in the
Throne Speech debate on those stickers.
iThe idea of four-year plates with stickers
that go on them is a good one. When the
stickers came out, however, I was rather dis-
appointed. When I put mine on mv car, if
I stood 30 feet away from it I couldn't see
it.
There was a difference, there was a sticker
on that licence plate but if I took my glasses
off I couldn't see it 10 ft away.
And I'm only short-sighted in one eye, Mr.
Speaker, the other is fine. I am tempted to
wear a monocle of course.
However, to return to the point, one of the
things which always reminded people, as
January wound its way into February and
so on, to get their new licence plates was
that they could see the starding difference;
and here we have a sticker which one really
can't see.
•Mr. C. E. Mdlveen (Oshawa): Maybe the
member should get his eyes tested.
Mr. Bounsall: Maybe the one good eye
isn't functioning quite up to par. TTie mem-
ber is not saying, surely, that these stickers
markedly show themselves, that they jump
758
ONTARIO LEGISLATURE
out and say that the hcence plates have
changed?
I lived for a year in Los Angeles doing
some graduate work and they had the same
system. They have had it all through the
sixties. A licence plate lasts for four years,
but their stickers, when put on the comer,
are markedly different. They glow in the
dark, and when the time of year comes when
one needs to put that sticker on, one can
see that sticker as one drives dowTi the street;
you are constantly reminded of it.
In that period when you have to purchase
the new stickers, by the very way in which
they visually present them to you, one says:
"Ah, I haven't got mine yet."
I think that contributed very much this
year to the vers' slow sales that progressed
through almost to the end of February, that
fact that people were not reminded by see-
ing a marked difference in licence plates.
That marked difference could be achieved by
having a sticker fixed to that plate which in
fact would catch the attention.
I suggest to the new Minister of Trans-
portation and Communication that next year's
sticker be one which glows in the dark; black
on blaze orange would be very acceptable
on licence plates in this province, Mr.
Speaker.
I want to sav a few words in the area of
health. The Minister of Health (Mr. Miller)
relying very much on an internally-produced
report from one of the departments, has said
there should not be a heart-lung pump
machine at lODE Windsor Western Hospital.
Well, I tend to agree with some of
the thinking that led "to that recommen-
dation; the thinking being that where
these machines have been in operation in
other narts of the province it has been shown
that the first 10 or 11 times these machines
are used the patients in fact died, that it takes
a little use of the machine by the team that
has been collected to use it before the exper-
ti'^e is arrived at where the patient survives.
They have very legitimate concern in Wind-
sor there may not be enough use of that
heart-lung machine— really it is a heart by-
pass pump— so that the team would be ade-
quately experienced.
In the input on that decision they went
back into OHIP records to see how manv
people from Windsor had been treated with
a heart-lung pump or a bvpass pump in other
centres in Ontario or the United States and
were billing OHIP for it. Then they said:
"Look, the use of Windsor people of this
device is only 20 or 25 cases a year, and on
that basis the demand is not large enough—
to give a team in the city of Windsor any
expertise. Therefore the results of the opera-
tions using this pump would not be highly
satisfactory."
The counter-argument from the medical
staff most concerned with this at lODE
hospital was that there were many instances
—and their guess was 100 a year— when that
pump would be used. Because there was no
pump in the area, the patients died, or the
hospitals knew they were in such poor shape
they could not be transported to London or
Toronto or Cleveland where that machine
could be used. They subsequently died, per-
haps not as a result of not having used it,
but they were never in good enough shape to
get them to a place where it could be used.
If all those patients were counted, we would
have a per patient use of about lOO-a-year
at Windsor and that would certainly give the
team using this device enough expertise that
the patients would not be dying as the result
of an inexperienced team.
The disagreement really came do^vn to do
we have 20 or 100 patients a year who'd use
it in the Windsor area? The ministry just said
no, it said no also for another reason. It had
two other reasons and one of them, I think
was fairly valid, one of them was invalid.
One reason was that internal medicine had
advanced to the stage where the internists
were saying that most of the operations in
which a heart bypass pump was used could
now be corrected by chemical treatment.
The internists were saying this but the heart
specialists were disagreeing with the in-
ternists on that point. It appeared that the
Ministry of Health bought the argument of
the internists but it still isn't proved that
chemical treatment can replace the use of
a heart-lung pump machine.
The second reason is the one which is
invalid; that first one was invalid enough
but one could say it's at least a philosophical,
intellectual argument the ministry adopted.
The other one was that wherever there
has been a heart-lung pump machine-<ir
rather we fear that if there is a heart-lung
pump machine the same team which be-
comes expert in the usage of that heart
pump bypass would want to get into open-
heart surgery. Therefore we don't want to
take the risk of putting in this type of ma-
chine in Windsor because they might use it
for a couple of years; then the team gets
expert at it and says, "Here we are, expe-
rienced with a heart bypass machine; we
want now to start operating on the heart."
APRIL 4. 1974
759
Where are the giits in the ministry? If it
says: "No, it is not going to be expanded
to open-heart surgery and that is the only
use we are going to let you put it to," it
should be able to say that at any given time
and not fear a request of that type coming
in. It should have approved the heart-lung
machine.
The ministry goes around and savs; "We
really want co-operation from the public. We
want to give decision-making powers to the
regional health councils and what-have-you."
In the Essex county committee there were
great disagreements within the committee for
a while, once the money for this machine
was raised by a group of individuals, as to
whether nor not they should have it.
They finally said: "We'll try it for a year.
If the medical staff at lODE thinks there
are 100 in the course of the year, okay, let's
give it a year's trial. If the first 10 or 11 die
until that team gets used to each other, so
be it. That's the choice of the people on
whom the machine will be used; the team
will have time with the patients after that
to become expert on it and after a year's
time we'll know whether there are 100 pa-
tients and whether there are enough people
around to use the machine for a valid use
so the team becomes expert on it; and wheth-
er the team, in fact, is a good team to be
using it."
They said: "We approve it. Let's put it on
a one-year trial basis."
So help me, I can't see why the Ministry
of Health could not have said: "Okay, on a
year's trial basis. We know your concerns
down there in Essex county regarding its
use, and we'll be watching along with you."
There is no excuse, in my mind, why they
could not have bought the decision of that
Essex county medical advisory committee.
By not so doing what the ministry hasn't
seemed to grasp is that they have pretty well
killed forever co-operation by citizen groups
in Windsor around health projects becauire
of this experience. They have certainly ojot
a much more cynical group of people, a
much more suspicious group of people with
respect to the Health Ministr)' sitting on the
Essex county health advisory committee. And
it has not given them any encouragement to
proceed along new lines with respect to
other medicine and other medical events m
that county.
If I was a member of that committee and
had fought through the decisions and listen-
ed to all the arguments from both sides—
the heart people in Windsor and the internists
in Windsor— and then had the health minis-
try cancel the dc-cision just like that. I would
have been pretty disappointed; and prelly
put off by the ministry officials.
I'm still saying to the ministry oflBcials, nut
it back in— let it go for a year's trial and
then see.
One of their arguments is money; that
they are going to have to pay so nmch each
time that machine is used. There is a certain
fee submitted to OHIP for it. Well let me
tell members what happens when a Winds()r
patient has to be taken to Detroit. After a
lot of letter writing to the Ministry of Health,
it is determined that only 90 per cent of the
Ontario medical rate is paid to the doctor-
but somehow they always end up payin-^ a
fair amount of the hospital bill, thank God,
on behalf of the patient.
If one patient was in hospital in a month
in Detroit, and that is not an undue length
of hospital time for a patient— the size of the
bill would pay the entire operating costs of
the use of that machine for a whole year at
lODE Western hospital in Windsor.
So on economic terms they have absohitely
no argument whatsoever in having a trial
period for that machine in Windsor.
•When the point came up the other day in
the House I suggested to the Minister of
Health that — and this is where a cnmch
really comes, personally— if a patient is taken
to London, is taken to Toronto, is taken to
Montreal, is taken to Cleveland in order that
one of these heart bypasses be used, you
have the family very concerned. At least one
member of that family wants to be with
them. That's not a surprising attitude for
the member of that family to take. But we
find that the cost of the transportation down
and the cost of the accommodation for at
least the three or four critical days around
the time of its use is high— and in many cases
they can't afford it.
I mad© a suggestion to the Minister of
Health, not just for the Windsor situation
but for any other community across the prov-
ince, that if the family has to go— and it's
reasonable that they should— to a different
city because the Ministry of Health in its
economizing policy say: "We are not going
to scatter these things around in a way that
you all might like to see;" then the Ministry
of Health should at least pay their transporta-
tion costs— and go a long way to pay most of
their accommodation costs as well.
That is the humane thing to do in this
situation. They might not want to pay for
eight members of \& family for three or four
760
ONTARIO LEGISLATURE
days, but they should be able to pay it for
one for three or four days.
It's a tense enough situation anyway — an
emotional situation. The patient is going in
to imdergo heart surgery, or heart bypass
surgery, and the family should not have the
economic burden as well.
'There is one other small point with respect
to health in the city of Windsor. A couple
of years ago a group of people came to see
me who were all rehabilitated alcoholics.
Many of them had been through that excel-
lent treatment centre, the Donwood' Institute
in the Metro Toronto area. They had run
across a particular problem which they
brought to me to see if I could help them
out.
They are now off alcohol. They are ex-
alcoholics. They are making a good attempt
to stay off it. However, all their old friends
still exist. Whenever they go over to visit
any of their old friends socially they find
they are offered a drink. I mean, their old
friends aren't alcoholics, but they are still
drinkers and in the com-se of the evening
they have a drink.
They feel very embarrased because they
can't, though very tempted I suppose in many
cases, and they found that they were tending
to stay at home and not visit any of their
old friends because their old friends always
had drink around. Or their old friends, in
their presence, would not haul out a beer
because they knew it might upset them. They
were making their friends uncomfortable and
they found that they had to really terminate
their old friendships and there was not much
way in which they could easily establish new
They said to me: "Is there some place in
the city of Windsor where we could get
together and set up a social centre for re-
habilitated alcohohcs, where we can go and*
have a social evening and not experience any
pressure to have any akohol and alcohol wiK
not be there?"
I gave them a hand in tracking down
some places and they got very admirably
set up in the old library in the Adie Knox
Community Centre, which is very centrally
located on a bus line in Windsor. They got
some funding at that time through LIP
grants, but they have all run out. They
need about $15,000 to $18,000 a year to
keep that centre in operation as they have
in the past. It has worked remarkably suc-
cessfully. There are a lot of people who
are getting a lot of strength and sustenance
from coming to that centre and knowing they
can come there and associate, on a social
basis pure and simple, with people who have
had the same problem that they have but
are in no danger of encountering any alcohol
on the premises.
I would suggest to the Ministry of Health,
or to any other ministry that might be inter-
ested, that this is a project worth funding.
It has become very satisfying and is reaching
and serving a real need in Windsor.
Mr. Speaker, I have further remarks. I
could start them now for half a minute or
wait until 8 o'clock.
Mr. Speaker: Well, if the hon. member
finds this a convenient spot to break his
remarks I think it would be appropriate.
It being 6 o'clock, p.m., the House took
recess.
APRIL 4, 1974 761
Page
Col.
ERRATA
No.
Line
Should read:
13
501
1
37
"The Atomic Energy Commission has been
13
501
1
40
it must suflFer from verbal indigestion."
13
503
1
30/31
In its famous Brookhaven report of 1957,'*
he says:
13
503
1
42
"The Brookhaven report goes on to say
that
13
503
1
47
almost zero." /
13
503
2
11
"All this does not begin to consider the
13
503
2
28
rors and three design errors."
13
503
2
31
"There is another danger after the fuel
has
13
503
2
43
nuclear progranmie involving plutonium
239."
13
507
1
43
imagined are given priority over safety of
762 ONTARIO LEGISLATURE
CONTENTS
Thursday, April 4, 1974
Spending ceilings in education, statement by Mr. Wells 713
Ryerson radio station, statement by Mr. Auld 714
Health planning task force report, statement by Mr. Miller 715
Validation stickers, statement by Mr. Rhodes 715
Maple Mountain development, statement by Mr. Bennett 71C
Maple Mountain development, questions of Mr. Bennett: Mr. R. F. Nixon, Mr. Lewis,
Mr. Reid, Mr. Ferrier 718
Inquiry into hospital employees' remuneration, questions of Mr. Davis: Mr. R. F. Nixon,
Mr. Lewis 721
Housing programmes, questions of Mr. Handleman: Mr. R. F, Nixon, Mr. Lewis,
Mrs. Campbell, Mr. Shulman, Mr. Martel, Mr. Roy 722
Septic tank inspections, questions of Mr. W. Newman: Mr. R. F. Nixon, Mr. Paterson,
Mr. Good 724
Land banking, questions of Mr. Handleman: Mr. Lewis, Mr. R. F. Nixon, Mr. Singer .. 725
Pickering airport, questions of Mr. White: Mr. Lewis, Mr. Deacon 727
Corporation income tax paid by oil companies to province, questions of Mr. Meen:
Mr. Lewis 728
Judgement against Ministry of Agriculture, questions of Mr. Stewart: Mr. Gaunt,
Mr. Singer, Mr. Sargent 728
Cost of dental care, questions of Mr. Clement: Mr. Deans 730
Oil prices, questions of Mr. McKeough: Mr. Young, Mr. Bullbrook 731
Presenting report. Maple Mountain recreation complex, Mr. Bennett 731
Presenting report, health planning task force, Mrs. Birch 731
Presenting report, motor vehicle accident compensation, Mr. Clement 731
Presenting report, standing private bills committee, Mr. Taylor 732
Regional Municipality of Haldimand-Norfolk, bill to amend, Mr. Irvine, first reading ... 732
Town of Oakville Act, bill respecting, Mr. Kennedy, first reading 732
Presbyterian Church Building Corp. Act, bill respecting, Mr. Dymond, first reading 732
City of Toronto Act, bill respecting, Mr. Wardle, first reading 732
City of Chatham Act, bill respecting, Mr. Spence, first reading 732
City of Windsor Act, bill respecting, Mr. B. Newman, first reading 732
City of London Act, bill respecting, Mr. Walker, first reading 732
APRIL 4. 1974 763
Judicature Act, bill to amend, Mr. Roy, first reading 733
University of Western Ontario Act, hill respecting, Mr. Walker, first reading 733
Waterloo Wellington Airport Act, hill respecting, Mr. Go<k1, first reading 733
Third readings, Bills 1 and 13 733
Resumption of the debate on the Speech from the Throne, Mr. Martel, Mr. Parrott,
Mr. Edighoffer, Mr. Bounsall 733
Recess, 6 o'clock 760
Errata 7hl
Na 19
Ontario
Hesijslature of d^ntario
OFFICIAL REPORT — DAILY EDITION
Fourth Session of the Twenty-Ninth Legislature
Thursday, April 4, 1974
Evening Session
Speaker: Honourable Allan Edward Renter
Clerk: Roderick Lewis, QC
THE QUEEN'S PRINTER
PARLIAMENT BUILDINGS, TORONTO
1974
10
Price per session, $10.00. Address, Clerk of the House, Parliament Bldgs., Toronto
CONTENTS
Oftily tadex of proceedings appears at back of this issue.)
767
LEGISLATIVE ASSEMBLY OF ONTARIO
The House resumed at 8 o'clock.
p.m.
THRONE SPEECH DEBATE
Mr. P. D. Lawlor (Lakeshore): Have the
Conservative members decided to leave per-
manently?
Mr. Speaker: When we rose at 6 o'clock,
I believe the member for Windsor West had
the floor. He may continue.
Mr. Lawlor: Quite a remarkable pheno-
menon; hour after hour, day after day, no-
body here. Don't they like the place? Why
don t they get themselves dis-elected?
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): Quality matters.
Mr. Speaker: If we could hear the member
for Windsor West.
An hon. member: The quality of the rest
is pretty poor.
Mr. E. J. Bounsall (Windsor West): I
would endorse those remarks by my colleague
from Lakeshore, Mr. Speaker. I feel that
none of my speeches is really a success unless
the member for Lakeshore has added some-
thing to it. I hope he does as we go on. He
often gives me ideas for them, anyway, so
he can contribute vocally at any time.
Mr. Lawlor: It's talking to a vacuum at the
best of times so they may as well be away.
Mr. Bounsall: That's the agreement we
have.
Interjection by an hon. member.
Mr. Bounsall: The other side would say
that's why my speeches are so non-humorous
at times, because of the contribution of the
member for Lakeshore, but that's obviously
said with tongue in cheek by those who know
him.
il am going to speak at the moment on the
auto trade pact and the responsibility which
the Premier of this province (Mr. Davis) and
at least the Minister of Industry and Tour-
ism (Mr. Bennett) have in pressing the view-
point of Ontario home to the federal govem-
Thursday, April 4, 1974
ment. It is a responsibility which in my
opinion, they have been abrogating because
the auto pact strikes right at the heart of
Ontario's economy.
In August, 1973, there were 88,800 work-
ers employed in Ontario in the auto industry;
10.9 per cent of all the manufacturing work-
ers in Ontario are in the auto industry. That
is up slightly from the figures of March,
1973, a year ago. Obviously there are many
communities in Ontario which are — indeed
the entire province is — very dependent upon
this industry and would be adversely afi^ected
by any downward revision of the auto pact
or, what's very clfear now, a continuation of
the status quo in the auto trade pact
Quite briefly, as all members perhaps know,
the pact became a necessity because of the
deplorably depressed state of the Canadian
auto industry in the late 1950s. Prof. Bladen,
an economics professor at the University of
Toronto, headed what became known as the
Bladen commission which was established to
investigate the entire situation in the auto
industry in Ontario, essentially. There was
no auto industry at that time in Canada out-
side Ontario.
•The members considered all points of view
of the commission and reported in the early
1960s. At that time Canada was running
an enormous trade deficit with the US in
automotive products. The vv^ges were lower
than those paid in the US industry and the
prices of the automobiles were higher. In
addition, due to the short production runs
in Canada and the small Canadian market,
the Canadian auto industry was protected by
tariflFs and was highly inefficient, productively.
There appeared to Bladen to be two main
alternatives and the Bladen conmiission, in
the reports, discussed them both thorou^y.
They said rationalize the industry behind
tariff walls and in Canada produce only a
small number of models for the Canadian
market only. The other models brought in
from other countries would therefore be
much, much more costly; their price would
be exorbitant. Or, they said, rationalize the
entire auto industry on a continental basis
which guarantees a minimum level of produc-
tion in Canada. At that time very few, if
any, of the North American models or parts
768
ONTARIO LEGISLATURE
for those models were produced in any other
country. Of course, that is not the case today.
As we know, the second alternative was
chosen and the auto pact become operative
in January, 1965.
Mr. R. Haggerty (Welland South): The
sweetest deal for Canada.
Mr. Bounsall: It seemed at the time that
the plan would benefit Canadian workers and
consumers-
Mr. Haggerty: It has.
Mr. Bounsall: —in both increased jobs and
rates of pay, or at least about the same
number of jobs.
Mr. Haggerty: It has.
Mr. Bounsall: If the member for Welland
South will just hold his comments rmtil later
on, I will produce the figures and the facts
that show in a lot of areas that this was not
a deal that we cotJd have or should have
entered into.
The second alternative was chosen and
the auto pact came in. It seemed that it
would benefit the workers in both increased
jobs and pay, or at least about the same
number of joIds was the hope if increasing
automation eliminated jobs at the ever-
relentless rate it appeared to be about to do.
The expectation, of course, by all Canadians
—make no mistake about that— was that the
price differential would disappear com-
pletely between US and Canadian models or
at least the factory retail price differential
would disappear completely as a result of
the greater efiBciency of production and the
rationalization of the entire industry on long-
run models with one plant producing all of
the models of a given land for a huge section
of the market in both the US and Canada.
It was clear the main benefit, in a mone-
tary way though, would be to the automobile
manufacturers themselves. The US govern-
ment agreed to the scheme primarily on the
grounds of what is good for CM is good for
the US, and indeed it has been quite a golden
harvest for the US auto makers themselves.
By rationalizing the production, as they have
done right across North America, they have
definitely maximized the profits.
What actually was the agreement in 1965,
because it is hard for a casual reader of the
newspapers to actually keep in mind what
the agreement was? What were the safe-
guards that we hear mentioned that were
inserted into the auto pact? What, in fact,
was it? There were, very simply, two things.
They said that the ratio of finished assembled
automobile units to sales would not be ever
less than the 1964 ratio of 0.92 to 1 or 92
per cent. As long as the assembly of autos
in Canada did not fall below 92 per cent
of sales— the 1964 figures— that was one of
the main safeguards.
Then the Canadian added value was the
second point. That would be not less than
the 1964 figure in monetary terms, which
was 60 per cent of the Canadian sales, that
is, the production in dollar amounts from
all sources. This includes parts, depreda-
tion on capital equipment and buildings, as
well as the labour in assembling the vehicle,
which should be no less than 60 per cent of
the sales. Another way of saying it is that
the Canadian content in terms of parts and
labour should be no less than 60 per cent
of the Canadian sales which, in effect, put
a base figure on auto production, a figure of
$774 million for Canadian labour and parts.
In return for these safeguards, of course, all
tariffs were abolished by both coimtries on
new parts, and new cars are transferring
back and forth across the border.
In addition, and completely separate from
the pact— these two points were the only
points of the pact— the automobile companies
gave letters of intent to the Canadian gov-
errmient, letters of understanding between
the four auto-makers and the Canadian gov-
ernment, in which the manufacturers prorn-
ised to increase production facilities in
Canad by $268 million by the year 1968.
In the preamble to the pact itself, the ob-
jective of what was sought to be achieved
in this US-Canada auto pact was quite clearly
and categorically stated.
It says:
That the trade barriers are to be lib-
eralized to enable the industries in both
countries to participate on a fair and
equitable basis in the expanding market of
both countries.
The keys words are "a fair and equitable
basis" in the ever-expanding market.
What effect has the pact had since 1965?
It certainly appears on the surface to be a
success for all concerned. The car manufac-
turers have certainly rationalized production
and maximized their profits. They, above all
others, would hate to see the pact discarded
or cancelled, which of course can be done by
one year's notice on the part of either the
United States or Canada. The big losers
would be the people who have maximized
their profits, the auto companies.
It appears to be a success in terms of
providing jobs for the Canadian workers, but
APRIL 4, 1974
769
this is slightly misleading. Since 1965 em-
ployment has increased in the automobile
field in Canada, in spite of the automation
that ever relentlessly reduced the jobs, but
so have the sales increased tremendously.
The percentage increase in jobs has not come
anywnere near to matching the increase in
sales, the units assembled and so forth.
It is therefore ver\' diflBcult, if not im-
possible, to determine if the pact itself has
resulted in an increase in jobs or a decrease
in jobs, because without the pact one can-
not tell what the employment in the indus-
try' would be since the market has expanded
so much since 1965. There really is no way
one can prove that.
in 1965, in dollar terms, Canada con-
sumed 7.5 per cent of the North American
output and produced four per cent. In 1973,
Canada consumed eight per cent of the
North American output and, in the terms of
the dollar value going into those cars from
all sources, produced six per cent. So we
still haven't reached that fair and equitable
basis whereby our production from all sources
in terms of dollar value has expanded to
meet the sales that are made here in Canada.
In 1970, mainly because of the commit-
ment by the auto industry to expand and the
addition of new plants— first in Ste. Therese,
Que., by CM, then at Talbotville by Ford
to produce the Pinto and the Maverick in
1970— as well as a lot of sales of Pintos and
Mavericks, it looked as if the dollar value of
sales for the first time would equal the dollar
value of production and that perhaps they
had caught up. But that, Mr. Speaker, was
the only year in which the dollar value in
production ever got close to equalling the
dollar value in sales. That was a peculiar year
in which compacts sold well.
Also contributing to that situation in 1970
was the fact that snowmobiles were added
to the auto pact, something not anticipated
at the time of the embarkation on the pact.
At that time, Canada enjoyed, and still does
enjoy, a large balance of trade in snow-
mobiles with the United States, which helped
to even out the 1970 figures and helped to
make the figures not look any worse than
they are at the present time.
In terms of other benefits, wage parity has
been negotiated; so, for the workers who
are employed, wage parity has been achieved.
It's been a success for the US workers as well.
Although they haven't experienced the same
percentage increase in jobs in assembly as
have the Canadian workers, it is the type
of job created in the United States as a result
of the pact that has benefited the United
States worker. In the auto industry, all of the
design, all of the research and development,
and virtually all of the purchasing, exc-ept for
a small amount still done by General Motors
at their Oshawa plant, are being transferred
to the United States. All of the top mana-
gerial positions and all of the related secre-
tarial positions are all in the United States—
and some of the positions in all those areas
have disappeared from Canada. It is also the
quality of the job as well, particularly, in
which the US and the US worker has bene-
fited.
Along with these positions that I have
mentioned, those areas for the vast majority
of all the skilled workers, there are the
technical and managerial positions requirini^
persons of either advanced education or ad-
vanced training.
Indeed, it is clear that since 1965 the jobs
created in Canada— in the Talbotville plant,
the St. Therese plant— have all been in the
labour-intensive area, in the assembly area,
but not in any area that requires any skills.
So this means that Canadian workers as a
result of the pact are again just one step re-
moved from being hewers of v/ood and
drawers of water. We have become screwers
and drivers— and that is all we have become
in the auto industry as a result of the auto
pact.
At a time when our society is producing
highly trained, more educated people from
the youth of our nations who could be em-
ployed in the auto industry, we find in
Canada they do not have that opportunity.
The Liberal government has said that the
auto industry is capable of standing on its
own two feet without any safeguards— and
we are well beyond the 1964 level anyway.
Well, that couldn't be more wrong. As I said
in a speech about two years ago, in terms of
expansion there is nothing now to prevent all
of the expansion in all areas of the auto
industry occurring solely and simply in the
United States. And this, in fact, is what has
happened.
Automotive investment in 1973 was only
five per cent of US investment, compared
with the norm of around nine per cent. It
has been below this norm ever since 1970.
This suggests that the US government is
succeeding in getting the auto makers, in
terms of dollar value in all of the areas, to
expand and produce in the United States.
This expansion is not taking place in Canada
and this is quite easily seen in these figures.
Back in 1965, 1966, 1967, 1968 we were
always aroimd eight per cent to 11 per cent.
770
ONTARIO LEGISLATURE
We are now down to five per cent of the
expansion in the auto field. So if the safe-
guards are not negotiated upward we cannot
leave the status quo as it is. We will simply
find that the dollar value of Canadian con-
tribution will continue to shrink.
The 1965 floor level will in fact become
a ceiling, because no one is saying to the
auto makers that they must go by the spirit
of the wording in the pact— a fair and equit-
able share of all expanding sales.
Expansion in both plant and equipment
was needed, starting in 1972, so that now in
1974 there would be plant production facili-
ties here to meet the 1974-1975 consumer
demand.
Canadians no longer produce. This pro-
duction drop wiU be at an ever-increasing
pace from here on in. And the preservation
of the present safeguards is no solution
whatsoever. This represents the status quo,
and we will continue to fall behind.
In fact, if we return to the 1964 level—
which was supposed to be the floor but which
is now becoming the ceiling— 35 per cent of
Canadian workers now employed would be
jobless. Production facilities shifting to the
US, and all the expansion taking place there,
is causing this to happen.
In 1972 Canadian content in a car was
44.2 per cent. In 1973 it had fallen to 43.7
as a result of expansion in the industry tak-
ing place in the US; and this will continue
to be the case.
The Canadian content of North American
new vehicle production as a percentage of
the Canadian motor vehicle sales in 1972
was 103.2 per cent but in 1973 it had fallen
to 95.7 per cent. So Canadian content of
North American produced vehicles declined
as a percentage of Canadian new vehicle
sales from 103 per cent to 95.7 per cent in
one year. Exports of cars and trucks from
Canada grew by only 11 per cent to 12 per
cent between 1972 and 1973, and at the
same time Canadian sales, increased at more
than twice that rate.
Our sales increased by 25 per cent; our
exports grew between only 11 and 12 per
cent. In this situation, Ontario, because of
the large work force— over 10 per cent of ovir
work force in Ontario is associated with the
auto industry — should really be making firm
proposals to the federal government, in any
and all negotiations on whatever subject,
that they must quit taking a laissez-faire
attitude and get out there and see that the
safeguards in that auto pact are increased.
Retaining the safeguards certainly doesn't
represent, as I've said, nearly enough. They
must be drastically increased. As the auto
industry expands in North America — and
there is no reason to assiune that it won't
still continue, in spite of a gigantic scare
over an energy crisis this winter — the expan-
sion of facilities that must take place in
Canada should take place almost entirely
in the non-assembly area. It should take
place in the skilled employment area, the
area of tool and dye makers and the auto
parts industry.
Canada, in fact, has a vast assembly capa-
city and very little else. Again, my concern
is that all we've become, because we simply
assemble, is a nation of screwers of nuts and
twisters of bolts.
In 1970, the ratio of passenger car pro-
duction in Canada— that is, the assembling of
them— to sales, was 1.9 to 1. In other words,
we assembled 90 per cent more cars in
Canada than we sold. How is it that our
dollar value is so much less? It means that
virtually all the parts going into all those
automobiles that we assemble are produced
in some other country. There were new
plants being built in the last year in Portugal
and in Brazil and over the last two or three
years in Japan. All of these parts coming in
are going into the auto companies. I think
it is the Pinto that is assembled at the Talbot-
villfe plant— not one part in that entire Pinto
car is made in Canada or Ontario. Every
part is imported^— the ball-bearings from Ger-
many, the motors from Japan, etc.
Ill 1972, the ratio of passenger car pro-
duction to sale of North American cars went
to 1.77 and in' 1973 fell to 1.57. You might
say we are getting back on the proper side
of things; the ratio of cars assembled to cars
sold is decreasing. In fact you could say,
simple-mindedly, with our car assembly not
so far outstripping our sales in North Ameri-
can cars, we must be catching up in some
way.
Well, exactly the reverse turns out to be
true, because our assembly capacity has in
fact stayed the same; all that has happened
is that our sales have gone up and we have
not increased' in any area of the parts manu-
facturing industry. In fact those figures
simply reflect the fact that we are not
expanding in the Ontario or Canadian field
because no one is forcing the auto companies
to do that expansion here. Of course we
should demand that we transfer to Canada,
as part of an increased, updated auto pact,
some of the research, design and the develop-
ment work.
Canada's sales, as I've said, equalled eight
APRIL 4, 1974
771
per cent of the North American market for
North American vehicles of all kinds. Re-
search and development should occur in
Canada and design should occur in propor-
tion to the Canadian sales. Doubt may be
expressed by some people as to the feasibility
of this, but I simply point out that the
Unitetl States government has forced General
Motors to keep all its design and entire
managerial section separate. Buick is not
supposed to know what Chevrolet is doing
in design. What I am saying is that one sec-
tion of all these different designs of all these
cars and all its design components and team
could very easily be moved to Canada and
done here in Canada with Canadian design
people.
And, of course, the factory retail price
must be equalized. There is no conceivable,
no defensible reason why the factory retail
prices should continue to exist as a differ-
ence. I have some interesting figures on that.
Mr. Speaker, two years ago it was clear,
when you subtract the difference in Cana-
dian taxes and you subtract the value of the
Canadian dollar vis-a-vis the American dollar
so you can actually see what the factorv
retail differences are, on the larger model
of cars, 75 per cent of the actual price dif-
ferential, amounting to as much as $400,
came from a difference in factory retail price.
In the smaller cars it fell to 25 per cent.
But there is no justification for either of those
figures being different.
I have some 1973 figures at the moment,
and I have got a long list of them here, that
came into my hands. I can mention some of
the models. After taxes, a two-door Pinto,
assembled in Talbotville and shipped to anv
place in the US, has a factory price in the
US of $1,968. That same car, after subtrac-
tion of taxes, amounts to $2,319 in Canada.
They are all assembled in Talbotville, Ont.
After taxes and monetary values are sub-
tracted, there is still $343 difference in the
price, and there is no possible way that can
be justified in any way. It is absolutely
ridiculous, and you can go on and on and
on. That represents a 19 per cent difference
in factory price. The Pinto three-door has a
20 per cent difference and the Pinto wagon,
18 per cent.
As you go further up the scale, Mr. Speak-
er, in size of car, it gets even worse. The
Ford Torino, four-door, has a 23 per cent
difference and the Lincoln Continental, 25
per cent difference in factory retail price.
In no way can it be explained and in no way
should it be tolerated.
In General Motors the small Vega two-
door has a 15 per cent difference in factory
retail price after subtraction of taxes and
US-Canadian dollar differences. The Chevro-
let Impala sedan, has 21 per cent and the
Oldsmobile Delta, 24 per cent. In the Chrys-
ler products, the Chrysler Newport has a 19
per cent difference; the Plymouth Valiant
four-door, 20 per cent difference and tho
Dodge Polaris, 16 per cent. In the American
Motors field, the little Gremlin has a 17 per
cent difference in the factory price; the Am-
bassador wagon, 19 per cent and the Matador
four-door sedan, 23 per cent difference. None
of them are justified whatsoever.
The argument that the auto companies
tried to use for years was the simple-minded
one, that there's a difference in taxes. We
have subtracted the taxes. The vahies of
the Canadian-American dollar can be easily
adjusted, and we subtracted those out. They
had to search for something else.
They came out with the appallingly in-
credible line once, that it's because in Can-
ada we have to translate our brochures which
are used across the rest of the North Ameri-
can continent into French. It has been
estimated that the total cost of effecting all
these translations, the difference in cost to
the companies in having a French and Eng-
lish one, if you add all the costs of the
French translations chargeable to Canada, is
about $30,000 a year per company. If they
pay more than that they are getting taken.
So the four major companies were talking
about $120,000 total attributable to that.
That was the single explanation they gave
at one time. If you take the number of
vehicles produced and divide it into $120,000,
it works out to about 10 cents per vehicle.
Mr. Speaker, yet the prices have a $323
difference. It's a ludicrous argument they
made. And let's say that my estimations are
out by a whole factor of 10 in terms of the
cost of translations. Then it's $1 a car differ-
ence, not $323 a car difference. There is just
no justification for it whatsover.
Now for the last couple of years we've
had negotiations with the US where the
federal government has feebly suggested
that there should be tariff-free transfer of
all vehicles by individuals. The answer is
sure. Not one Canadian would object to
automobiles being transferred across the
border by individuals. If you live in Toronto
go down to Detroit and buy yourself a car
and drive it back. Go down to Alabama
or Florida on vacation, buy a car down
there and drive it back to Canada; no duty.
That would be completely acceptable if the
772
ONTARIO LEGISLATURE
factory retail prices were equalized. We
would have nothing against that whatsoever.
The only difference would therefore be the
taxes. Even in the border towns, with service
now being a very important factor in buying
a car, I cannot see my fellow residents of
Windsor flocking across to Detroit— it isn't
very safe over there anyway— to buy theii
new cars to avoid a one or two per cent
difference in sales tax, or something of this
sort. It just would not be done in sufficient
numbers to give automobile dealers great
cause for concern.
In addition, the US government has taken
it to the next step; they've said: "What about
used cars?" I say sure, let tariff-free transfer
of used cars take place two years after the
introduction of tariff-free importation of new
cars, when from the dealers' point of view
the auto sales market has adjusted to what
they can expect.
I made a suggestion that there should be
a logbook provided with each car in which
the name, the address and the occupation of
each and every owner is listed. That logbook
must stay with the car. That's a complete
record of that car and if a car has that log-
book with it, then that car can be sold in
Ontario irrespective of from where it comes
and there need be no duty charged. Or,
provided there is a logbook with that used
car, an Ontario resident visiting any other
province or state or any other country should
be able to bring that car back into Canada
duty free.
One conclusion about the auto pact that I
have come to is that we've taken a terrific
hosing. The factory retail price has not been
equalized and no government of Canada
seems to have put any pressure on these auto
companies to ensure that that occurs. Be-
cause of that, we in this party would strongly
oppose any further continentalization of any
other product or rationalization of any other
segment of the North American industry so
that, as has happened with the Canadian auto
industry, the Canadian industry comes wholly
under US control.
With the auto industry firmly and entirely
in US hands anyway, we have little to lose
due to rationalization. We simply needed
to monitor this pact so that we in Canada
were sure we were getting all of the benefits.
And I say to the Premier of this province
and I say to the Minister of Industry and
Tourism-
Mr. J. F. Foulds (Port Arthur): In their
absence.
Mr. Bounsall: In their absence, that's very
true— that they should be going to Ottawa
over its negotiations on other points and
saying to them in the strongest possible
terms. "You update the auto pact agreements
so that we in fact end up with our fair and
equitable share of the expanding market
here in Ontario and Canada." They have not
done this; they have not taken that seriously
and they are under an obligation to do so.
Let me tell you one other thing that we in
Ontario here can do, Mr. Speaker. It's very
galling that whenever I want to get anv of
these figures that I've talked about and pro-
duced here tonight I have to go to the
annual reports of the Present of the United
States— to the Congress and its annual reports
on the operation of the automotive products
trade agreement. That's where I have to go
to get my figures because these are not even
collected in Canada by our federal govern-
ment. There is no monitoring of that auto
pact of any sort done by the Canadian
government.
The Province of Ontario, to safeguard its
own workers' jobs, to safeguard the 10 per
cent of all manufacturing jobs done in this
province by the auto industry, could and
should set up its own monitoring of this
auto pact. The government then would have
the figures to show Ottawa how it has been
abrogating its responsibilities. If Ontario
doesn't do at least this in the area which is
fully open to it to do so it is abrogating
a responsibility to the workers and to the
economic success and prosperity of this prov-
ince. We would have some Canadian figures
we could wholly trust to use in our
negotiations.
With respect to the Speech from the
Throne, Mr. Speaker, there was one other
area I was very disappointed in, beins; the
labour critic for our party. I was a little bit
disappointed but not unduly—
An hon. member: Was the member?
Mr. Bounsall: —because I reall)- didn't ex-
pect much, but to find absolutely nothing in
the Speech from the Throne in the area of
labour was a little bit disconcerting. There
was no reference at all to the minimum wage
in the Province of Ontario; no reference at
all to an increase in the minimum wage in
this province. Of course, the standard position
has now prevailed in Ontario as it has always
prevailed; we are always behind every other
province. As we stand right here todav, in
terms of minimum wages across Canada,
either in effect or annoimced, we are, of
course, tied for fifth place in terms of prov-
APRIL 4, 1974
773
inces. The Provinces of Saskatchewan, British
Columbia, Quebec and Manitoba are now
ahead of us, or will be ahead of us very
shortly, and the federal government is now
ahead of us for its employees.
Mr. Foulds: We didn't even make the
playoffs.
Mr. Bounsall: There is a $2.20 minimum
this month for a federal employee and we sit
here in Ontario at $2. This is the most in-
dustrialized area in Canada and we are
content to stay tied for fifth place with the
other provinces and the federal government
has even outstripped us.
I have made the arguments many times
before. I said the government should have
started a couple of years ago; it shoidd have
fixed a fair base rate and adjusted that base
rate semi-annually according to the percent-
age increases in salaries and wages. If it
took the Manitoba formula for adjusting its
minimum wage, based on a percentage of the
industrial wages prevailing in the province,
the minimum wage that should be paid in
the Province of Ontario right now would be
$2.63 an hour — and we sit content at $2
an hour.
There was not a reference to it. Maybe
the announcement will come just in time for
Christmas, as if the workers who are receiv-
ing it don't know ahready exactly what that
attempt is. It is a simple move to bamboozle
them and they are not buying that any more,
Mr. Speaker, in terms of the minimum wage.
There was no reference at all to increased
workmen's compensation benefits. We heard
so much about that workmen's compensation
task force report. We had a bill in this
House, which we debated last December,
which implemented that task force's recom-
mended, reorganization. With all that dis-
cussion, the workers across the province who
heard of something going on in the Work-
men's Compensation Board were convinced^
or thought— they might be getting increased
benefits. Oh, no! Not for our Workmen's
Compensation Board recipients, those people
who were injured in the workplace. Not at
all.
Now, we have another Throne Speech in
March, 1974, and not a mention of work-
men's compensation pension benefit increases.
It is appalling. People are still on pensions
based on the earnings they made 15, 25, 30
years ago in this province. No adjustment
has ever been made for per cent increase
in salaries and wages or the cost of living
in this province. It is nothing shy of chican-
ery, really, and not a mention this time
again.
All of us here in this House get workmen's
compensation recipients contacting us, saying,
"This is what I nave been offered. I nave
been on this pension for 17 years and never
an increase. When are you going to do some-
thing?" Every member in this House gets
this and nothing is done. Nothing was men-
tioned in this Throne Speech with respect
to workmen's compensation benefits.
The holiday situation is rather interesting,
Mr. Speaker. Last December we passed a
bill in this House, which was a step forward;
that is why we voted for it finally. We
couldn't oppose legislation coming in in
Ontario which gave an extra week's holiday
for someone in his or her first year. Some-
one in the first year of employment in On-
tario is now guaranteed two weeks holiday.
iWell, it might be interesting for the House
to know that on March 13 legislation was
introduced in Saskatchewan which guaranteed
everybody three weeks vacation in their first
year of employment. And Saskatchewan isn't
industrialized. Here's Ontario— with the great
industrial work force we have here, in the
many routine boring production jobs that
require time off from that just for the worker
to retain his sanity— and we are happy to say
there is two weeks holidays. Here is Saskat-
chewan with three weeks holidays already.
One other point that is rather interesting.
I got a call just last week from a super-
intendent of an apartment building here in
Toronto. This is one of the areas which we
said would not be subject to statutory holi-
days and vacations in the Province of Ontario.
He pointed out that he is manager of an
apartment building that has 224 units and
why cannot he have a right to a vacation.
He and the rest of his colleagues in the
apartment management business get no vaca-
tion in the Province of Ontario. A 224-
apartment unit building keeps him on the go
all the time. He gets a vacation only by
being able to make a deal witli the apart-
ment manager of the one next to him so
that that guy does double the work for a
week while he gets away.
In other words, if he wants a holiday he
has to work double and take over the man-
agement of a second apartment building for
somebody else in return for his time off.
That's a discrimination in our holidays that
has got to be removed. There may well be
a lower limit you want to put on the number
of units. You might say a manager w^ho is
a manager of a 20-unit building has really
only a part-time job anyway and he can
774
ONTARIO LEGISLATURE
always get away a few hours a day or maybe
two or three days at a time. In a 20-unit
building you may well have tenants who
know each other and they may well have
someone within the building who would be
happy to manage it for a week and hold off
their problems until he comes back.
But in a 200-unit apartment building that
situation is an impossibility. Yet we say to
this guy, "No, sir, you don't have any right
to any vacations at all in tliis province." That
and other holiday anomalies have got to be
removed from that legislation.
'I am going to speak very briefly on the
situation of Hydro tonight, Mr. Speaker, very
briefly. I have been deeply involved with
the Hydro transmission corridors and the
expansion of the problems involved with and
the public concern over the expansion of the
nuclear generation plants, particularly up at
Douglas Point in Bnace county, and other
concerns about other nuclear plants being
built across Ontario.
I had a very productive meeting today
with some of the top workers— not the top
management, but some of the top department
workers of Hydro— with respect to how they
go about, and how they are going to go
about in the future, treating the farmers
across whose land the Hydro transmission
corridors occur, and how they will go about
seeing that they get a fair offer. In the
situation that arose in getting the power hnes
and buying up the land for the power trans-
mission lioes down from Douglas Point, from
Bradley station down to Wingham station
particularly, it was absolutely appalling the
way in which the purchasers for Hydro
treated those farmers.
iWe fully understand that if you have a
farmer who does not want to sell any bit of
his property, who is concerned about the
value which his farm now has in producing
food which is in short supply in this world,
that farmer is seeing himself now as a rather
more important person in the economic life
of om- country, something which he hasn't
been for a few years. If he is utterly op-
posed to that hydro line going across his
farm, the Hydro person going in to try to
negotiate a sale can't ever be right in those
farmers' terms. But they have just been in-
credibly screwed about by the Hydro nego-
tiators.
Hydro have realized this. They have
realized some of their errors. At least, they
said they did today. They have said the way
in which they are going to set about redress-
ing this for the future. But just a word to
Hydro: You had better train the people in
this field very carefully. You had better have
them spend five, six, seven hours if need be
with the farmer on first contact so that he
absolutely knows all the parameters in terms
of the purchase. He knows all of the situa-
tions in which he can lease it back or not
lease it back.
lOne of the other options as well, if the
farmer therefore finds the whole thing intoler-
able, would be to sell his farm to Hydro
and let Hydro lease it out or lease it out
through ARDA; or sell it again on the open
market if that particular farmer doesn't want
to get involved.
We will be looking very closely at this
because of the conversation I had today, as
to just how much Hydro will live up to its
commitment to treat the people, particularly
farmers, whose lands and livelihood they are
playing around with — how well they treat
them in the future in the land purchases they
obtain from them.
I was up in Kincardine a couple of weeks
ago at a public meeting put on by Hydro
to explain the safety or lack thereof, and
the reasons for the expansion of their nuclear
generating plant at Douglas Point. I was
very impressed with that meeting. Their
technical staff was there and no matter how
emotional the comments were from the floor
they took the time to explain the situation
in laymen's terms as carefully as they could.
Being a research chemist, I can assure the
House that in terms of the operation of these
nuclear generating plants — this CANDU
system which Canada has developed for
nuclear power generation — they are abso-
lutely safe. Short of bombs landing directly
on the plants, there is no way mat these
reactors can either get out of hand or can
be easily sabotaged.
If you think of a nut trying to come into
the plant to do something which will sabo-
tage that plant or cause vast leakages of
radiation, that just can't occur.
Mr. Foulds: Not even the member for
Scarborough Centre (Mr. Drea).
Mr. Bounsall: So that indeed is reassur-
ing.
Several other points, though, need to be
of concern to the Canadian public. They still
have not yet solved what to do with the
radioactive waste materials. At the moment
they are keeping them in concrete containers
under guard. When I asked at that meeting
what was the volume of radioactive waste
that needed to be stored, because they had
not mentioned any volume, they said by
APRIL 4, 1974
775
1990, based on what they had and the plants
they have set up, it will be only a rather
small total volume. I pressed them again on
it and they said "from our calculations it is
a six-storey building the size of a football
Beld."
Now one can look at that in two ways. One
can say that's pretty big, or that's not so
big in terms of what you can find around the
country in underground storage facilities and
lead-lined concrete containers to hold a
volume of material equal to a six-storey
building the size of a football field. In all of
Ontario one might be able to find that
capacity.
But the problem is the half life of radia-
tion is about 7,000 years— meaning half of
the radiation level will have decreased in
7,000 years. For radiation to be nil takes
about six or seven half lives. We are talking
about that stuff being held in those con-
tainers for 40,000 to 50,000 years.
Mr. Haggerty: That's no problem.
Mr. Bounsall: I can see our great, great
grandchildren, ever so far removed, cursing
our generation for handing a storage problem
of radioactive waste on to them in the way
that we are doing it. With each nuclear
generating station that we build we are going
to be producing more radioactive waste which
is going to have to be stored for this length
of time; and that is a real concern to me in
terms of what we are handing on to future
generations.
The storage facilities themselves present
diflBculties. They wear out in about 50 years.
So we are always going to have to be going
through a continuous process of transferring
these stored raioactive wastes from one place
to another; from one storage tank which is
starting to wear out into another one. And
we are going to hand this problem on for
40,000 or 50,000 years from the volume
which we will have in 1990. I am not so
sure we have the moral right to do that.
I would really question that whole area
of proceeding blithely ahead with nuclear
power generation, even though the pro-
duction of it, as far as the operation of the
plant goes, is safe, 10 times as safe in its
operation, as any other nuclear design, par-
ticularly the system in the United States.
Whenever you bring this up to Hydro—
and I must admit that Hydro oflScials don't
make these decisions; these decisions are
going to be made by, essentially, the Minister
of Energy here in Ontario (Mr. McKeough)
—their reply is: "Well you know, what's the
alternative, going back to coal-steam genera-
tion?" I say no, that's not the alternative,
that's the bogeyman which they bring out,
that by 1990 we're going to be dependent
upon coal for energy generation.
The present Minister of Health (Mr.
Miller), one of the two other engineers in
the House, I forget whether it was a year ago
in his speech in the Throne Speech debate,
or last fall in a budget address, laid out the
technology of hydrogen production from
water. And he is right on, his figures were
correct; we are only 15 years away from it
being technologically feasible, in economic
terms, to take water and extract from it the
hydrogen that's going to be replacing natural
gas as our main source of heat and energy
from 1990.
What I'm saying is if a nuclear station is
not to be built and some other form of energy
is used in that plant it will be a hydrogen-
operated plant; and the only product of
hyroden's combustion is the very clean water
vapour itself. That's the type of thing to
which we can be looking forward and to
which we should be looking forward.
Let me say something else: If the Province
of Ontario really wanted to be serious in this
whole field, Mr. Speaker, they would, in fact,
give funds and approve research projects to
speed up that process of technological ad-
vance. They would give funds to the Ontario
Research Foundation so that the 15-year
period on feasibility could be reduced to
possibly eight or 10 years so that we wouldn't
have to build colossally costly pipelines from
BaflBn Island to get some natural gas down
here.
We could be producing hydrogen gas and
replacing natural gas in this province in eight
to 10 years if this Minister of Energy and
this cabinet wanted to make that commit-
ment in research funds. Give it to the Ontario
Research Foundation and get the patents on
the process, the same as was done with the
CANDU nuclear plant. There's a forward
step which the province can take and get
for itself a product which can be marketable.
In those terms I have something to say
about the Ontario Research Foundation.
Mr. F. A. Burr (Sandwich-Riverside):
Yes, but the cabinet isn't listening.
Mr. Foulds: Sure he is.
Mr. Bounsall: There are some prospective
cabinet ministers over there, perhaps.
Mr. Foulds: Possibly some recycled ones.
776
ONTARIO LEGISLATURE
An hon. member: Stick around a while.
Mr. Bounsall: We can trust those gentle-
men over there to pass the good word along.
The Premier is always prone to say he al-
ways reads Hansard.
Mr. Foulds: See the member for Carleton
East light up at that suggestion.
Mr. A. B. R. Lawrence (Carleton East):
I don't think I have ever seen one recycled
in here.
Mr. Bounsall: I want to say a word about
the Ontario Research Foundation. You know,
Mr. Speaker, Ontario has reneged completely
on its commitments to do any sort of re-
search or have any sort of research endeavour
in this province. Let me give the members
some of the figures.
In 1964-1965, through the Ontario Re-
search Foundation, the Province of Ontario
spent $4,753 million. From there it started
to taper off, and then picked up again so
slowly it's not even worth remarking. I won't
give you all the figures, Mr. Spe^er.
In 1970-1971 there was $1,485 million; a
little bit of a jump between 1970-1971 and
1971-1972 in which the figure reads $2,215
million.
What was the jump between that year and
1972-1973, in spite of the cost of living going
up tremendous: $2,224 million. That, if my
calculations are correct, represents about half
of one per cent increase in research-fund
spending by this province.
Members say what might be a proper ex-
penditure level on research in this province?
The Province of Ontario is rougWy about
five times as large in population as the Prov-
ince of Alberta. The figure for 1972-1973 in
Ontario was $2,224 million to our Ontario
Research Foundation. In Alberta, in that
same year, the amount was $3,935,000. Al-
berta has a commitment to the Alberta Re-
search Council to put funds in there to see
that some original research is done as well
as applied research that will be of benefit
to the people of the Province of Alberta.
They have put a lot of funds into the petro-
leum research section of the Alberta Re-
search Council.
We are producing electrical energy by
nuclear means in this province, and we have
got a means of replacing that energy with
hydrogen. We could well put those kinds of
funds for that type of research into the On-
tario Research Foundation or farm it out to
other places if it can be bought more cheap-
Iv elsewhere in Ontario. And if those funds
go to corporations in the United States, do
it here. We should see that that is done.
If we funded research on the same per
capita basis as the Province of Alberta, in
the fiscal year 1972-1973 we would have
spent over $20 million on research into prob-
lems in which this province is interested, as
opposed to the $2 million that we did spend.
In other words, we are spending a factor
of 10 less than we should be spending rela-
tive to the per capita expenditure in the
Province of Alberta. And we have vastly
more government funding at our disposal to
do this than has the Province of Alberta.
What I am saying is that the $4 million
expenditure in Alberta costs the taxpayer of
Alberta a hell of a lot more in sweat and
tears than the same per capita amount would
in this province. We, as a government, could
spend twice as much as that on research-
even $40 million—before we would even start
feeling the pinch. We have certainly abdi-
cated our entire responsibility in this field.
Mr. Foulds: Absolutely.
Mr. Boimsall: Mr. Speaker, I wanted to
say a few remarks tonight about the arrange-
ments—not so much the arrangements, but
the distribution of the food in the members'
cafeteria, down below. Having reached this
time of night, I don't think I will spend
much time on this subject, except to relate
one incident.
A party of us went in there once, shortly
after it was opened, and the waitress was
serving 23 different locations. No wonder it
took an hour and 20 minutes to get in there,
gulp down our lunch when it finally arrivedi,
and then leave. She was overworked.
It seems to me they have slightly increased
their staff, but let me tell you, Mr. Speaker,
part of their problem is the menu. I walked
in there once last week, and because I am
from Windsor I said to the waitress, "I'll
take the Windsor soup." She said, "Well,
the Windsor soup is. . . ."
"Don't bother to tell me, I'll just take it."
Presumably, because the menu said,
"Windsor soup," she felt impelled to tell
everybody who ordered Windsor soup what
it was. This was at lunch time, and it cer-
tainly would take up some time.
The Windsor soup happened to be old
chicken gumbo with some noodles tossed in.
That's Windsor soup! I wouldn't advise any-
one to try it. I can't see why chicken gumbo
with noodles added somehow is a connota-
tion of Windsor— but there it was, Windsor
soup.
APRIL 4, 1974
777
Mr. Foulds: That is what they do in Wind-
sor Casde.
Mr. Bounsall: Add noodles to the chicken
gumbo soup? Ah yes.
When I got to the main portion of the
meal, I said, "I'll take the omelette of the
day." She said, "The omelette of the
day. ..." I said, "Don't bother telling me.
I'll just take the omelette of the day. I'm in
a hurry." Well, the omelette of the day
turned out to be the omelette that was feat-
ured on the left-hand side— the omelette with
kidneys in it.
Mr. I. Deans (Wentworth): Kidneys in the
omelette!
Mr. Bounsall: On the left-hand side, in
the dinner section, it was described as
"omelette with kidneys and mushrooms." On
the other side, where I ordered it from, it
was the "omelette du jour." It was the same
thing that was on the left. I thought, "Well
I have gone this far ..." so I said, "For
dessert, give me the coupe St. Jacques." She
said, "The coupe St. Jacques is " "Never
mind what the coupe St. Jacques is. What-
ever the hell it is, 1 11 eat it." On every item
I ordered she was prepared' to give me a
two-minute explanation as to what it was.
Peoplfe were lined up out the door of the
members' dining room waiting to eat, and
we had to go through these explanations!
Mr. J. R. Breithaupt (Kitchener): That's the
personal touch.
Mr. Bounsall: Well, if anyone wants to
know what coupe St. Jacques is, just go down
and try it. I'm not even going to tell what
coupe St. Jacques is.
Mr. Foulds: Or ask the Minister for Com-
munity and Social Services (Mr. Brunelle).
Mr. Deans: But it certainly has prompted
this speech.
iMr. Bounsall: One other thing: I had a
couple of complaints. We were all upset in
this House when the ground rules were being
set up for that dining room, that staif were
going to be excl'uded unless accompanied by
a member. And although there were enough
remarks and petitions that that proposed rule
was changed, I am not not sure the attitude
has changed one iota.
I have had two or three complaints come to
me about staff not being allowed in there
unless they were able to be seated at a table
by themselves. A couple of times I sat there
and watched, and sure enough, there are two
MPPs at a four-person table or three MPPs at
a four-person table and there is the staff lin-
ing up outside. No way will that employee
who is on the door let them come in and
find their place with an MPP. If there are
two other staff people at a table, and two
staff people lining up waiting to get in, they'll
be usnered in and .seated with the other staff.
In no way is that guy going to let them sit
with MPPs. I think that attitude had better
disappear.
In fact, there is one incident I noticetl in
particular, having watched for it. There is
a lady who has been employed around here
for a great many years wno walked in to be
seated by herself. She is well known to all
the MPPs. She is employed in a capacity in
which she does work for us all and is in con-
tact with us from time to time. There were
three MPPs and four chairs at our table and
the same was true over lunch at various other
tables. She was not allowed the freedom to
walk in and even ask MPPs with vacant
chairs at their table if she could join them.
There wouldn't have been one of us who
would have turned her down. Because she
couldn't take the time to wait until presum-
ably a table opened up in some other loca-
tion, she left.
I don't think that attitude, that was writ-
ten down in black and white and which we
thought we had changed so that staff could
eat Siere, has really been carried through.
Someone, the Speaker preferably, or the
Minister of Government Services (Mr. Snow)
secondarily, should talk to whoever is man-
aging that place and see that that type
of attitude is not continued.
Thank you, Mr. Speaker.
Mr. Speaker: The hon. member for Scar-
borough Centre.
Mr. F. Drea (Scarborough Centre): Mr.
Speaker, in rising at this time, I would like
to go through a few of the formalities asso-
ciated with the Speech from the Throne.
Rather than congratulating you, Mr. Speaker,
and adding to your already imposing list of
credits from this session, I would like to offer
my congratulations at this time to what I
would like to call your unsung help, that is,
the member for Northumberland (Mr. Rowe),
who so capably served as deputy Speaker. I
think that he deserves a special plaudit, sir,
because rank of course always has its privi-
leges. I think there is usually a tendency to
reserve the better debates for oneself and,
unfortunately, the deputy gets those of a
lesser light.
Mr. T. P. Reid (Rainy River): Not in this
particular case.
778
ONTARIO LEGISLATURE
Mr. J. E. BuIIbrook (Samia): Is that why
we have the Speaker in the chair now? Is
that what the member is saying. Is that the
implication?
Mr. Drea: I hadn't even thought of it. I
was going to be peaceful tonight. I started
off in a nice way and the member for Samia
has now provoked me.
Mr. V. M. Singer (Downsview): Oh, dear!
Mr. BuIIbrook: The member said the Speak-
er reserves the best debates for himself and
he is in the chair now.
Mr. Drea: I did not say that.
Mr. Reid: That is what he said. He said
rank has its privileges.
Mr. Drea: I said rank had its privileges,
and there was a tendency, Mr. Speaker, I
suggested, for your deputy-
Mr. Breithaupt: Try to carry on.
Mr. R. D. Kennedy (Peel South): It is
difficult.
Mr. Drea: Mr. Speaker, to come back to
my congratulations to your deputy, I think
he does an outstanding job, particularly be-
cause it is upon his shoulders there are
inflicted the numerous tedious operations in
this chamber, particularly—
Mr. M. Shulman (High Park): He would do
a better job if he could count.
Mr. Drea: —the number of endless replies
to the Speech from the Throne and, I sup-
pose, commencing the week after next a
seemingly endless number of replies to the
budget address. I would also like to offer my
congratulations to the member for York North
(Mr. W. Hodgson) who serves as assistant to
the deputy Speaker and also as chairman of
the committee of the whole House.
Mr. Shulman: He can't count either.
Mr. Drea: I also offer my congratulations
to my colleagues who are not on the oJQBdal
roster but nonetheless do sit in, particularly
during the time of the estimates— the member
for Beaches-Woodbine (Mr. Wardle) and the
member for Victoria-Haliburton (Mr. R. G.
Hodgson).
Mr. Speaker, I would also like to point out
that since the last session two of oiur attend-
ants have retired, Mr. Cy Saunders and Mr.
Stan Stevens. When I had guests or other
members had guests both of tifiose gentlemen
were most courteous to them. Tney were
most helpful to them in the Speaker's gallery,
sir, and I certainly hope that they—
Mr. BuIIbrook: They didn't retire. They
were told to retire.
Mr. Reid: They didn't do it voluntarily.
Mr. BuIIbrook: Does the member realize
that, that they were told to retire?
Mr. Drea: The member is stealing my line.
Would he just hold for a moment?
Mr. BuIIbrook: Oh, I am sorry. The mem-
ber had said "retired."
Mr. Drea: Well, we were coming into some-
thing else.
Interjection by an hon. member.
Mr. Drea: I would wish them well in what-
ever endeavours they are doing now. But I
would point out to you, sir— and I suppose it's
because I have perhaps an aversion for uni-
forms—I for one do not think that having
attendants dressed up as some kind of a
policeman or some kind of a security guard
either lends any dignity or any decor to
to something as traditional, as peaceful and
as symbolic to the citizens of the province as
this chamber.
Now, sir, I realize there is a tendency in
government, particularly this government— and
if I recall the words of my friend from the
press gallery, Mr. O'Heam, correctly, it seems
to be the last watering place for every retired
general that is around— there seems to be a
growing tendency here to put all kinds of
people into some type of uniform. I suggest
to you, sir, and most respectfully, I would—
Mr. Shulman: Wait until the member sees
the uniforms they are getting for the NDP.
Mr. Drea: I didn't get it; what was it?
Mr. Shulman: They are going to put us all
in imiforms next year.
Mr. Drea: Oh, I think they'd like to; I
think they'd like to.
Mr. Deans: Some of us will be in strait-
jackets.
An hon. member: It may be; it may be.
Mr. Drea: Speak for oneself. But, Mr. '
Speaker, with the deepest of respect, I submit
to you, sir, that it is a discordant note in this
chamber to have attendants in that paricular
style of uniform. I would suggest to you, sir,
perhaps a blue pin-striped suit, or something
of that calibre.
APRIL 4. 1974
779
Mr. Singer: With a vest.
Mr. Reid: As long as it's blue.
Mr. Drea: I think that the presence of a
uniform in the comers here, to me is a very
discordant note-
Mr. Deans: A sword?
Mr. Drea: Discordant.
If you would take a sampling of opinion,
Mr. Speaker, I think that perhaps some
changes in that area might be accomplished.
And since it was brought to my attention
about the fact-
Mr. Shulman: That's an important one.
Mr. Drea: —that Mr. Saunders and Mr.
Stevens were asked to retire-
Mr. Deans: Because they couldn't a£Ford to
buy uniforms.
Mr. Drea: —well, I wish them well. I wish
that they hadn't been asked to retire be-
cause I think, quite frankly, that we are
getting to be too security conscious around
here. In fact, I think we are on the verge of
becoming security nuts. The old system
seemed to work very well in this chamber,
when a rather middle-aged or senior gentle-
man could make sure that people were seated
in the proper gallery. With all due respect
to everyone, sir, I really don't think there
is a threat to life and limb every day in this
chamber. I think we are going the way of the
United States and other jurisdictions without
any reason to do so.
Mr. Bullbrook: The member should come
to the question period.
Mr. Singer: The changes in public life
are misconstrued.
Mr. Drea: Yes.
Mr. Shulman: We'll die of boredom, that's
the only thing we'll die of in here.
Mr. Drea: Mr. Speaker, as is usually my
custom in the Throne debate, I would like
to say a few things about some problems in
my riding-
Mr. Reid: That's unusual.
Mr. Drea: —in the borough of Scarborough,
and as they relate to other matters across this
province.
Mr. Bullbrook: Does the member mean
he is going to retire?
Mr. Reid: Retire again.
Mr. Drea: Vint of all, sir, I would like to
talk about electricity. Over the past year we
have been mesmerized to some degree that
supposedly in Canada we have an energy
crisis. I have yet to find that in this country
we really have any kind of an energy situa-
tion, sir, that justifies the use of the word
"crisis." However, that is not to say that in
the future we will not reach the point where
other industrialized nations found themselves
last year where, because of increased con-
siunption and increased demand, the inability
of the existing systems to carry the load for
that consumption and demand would place
us in a situation where there is somediing of
scarcity.
Mr. Speaker, I would just like to point out
to you something from the annual report of
the utilities commission for the borough of
Scarborough— and I think this has some sig-
nificance. I want to talk for a few moments
after this about a rather insidious movement
toward eliminating the elected members from
either public utilities commissions or hydro
commissions, whatever they are called in par-
ticular areas.
Mr. Speaker, in the last seven years in
Scarborough the population has increased by
37 per cent but there has been a 59 per
cent increase in the domestic usage of electric
power. And I think that is of some signifi-
cance. As they point out here, this reflects
the greater use of electricity by borough
residents for space heating as well as in
utilizing many more electrical appliances. And
the trend is expected to continue, due to the
energy crisis and the scarcity of fossil fuels.
Now then, Mr. Speaker, with an increase
in electric power consumption that is run-
ning far ahead of a population increase there
would be a tendency to believe that a public
utilities commission, like the one that so ably
serves the borough where my riding is, would
have a tremendous increase in the number
of its employees. Yet, Mr. Speaker, despite
the 37 per cent increase in population and
the almost 60 per cent increase in domestic
electrical consumption, the staff has increased
only 22 per cent.
Mr. Speaker, two of the commissioners on
the Scarborough public utilities commission
must face the electors every two years. The
third commissioner is the mayor serving in an
ex oflBcio capacity; to remain there he also
has to face the electors every two years. I
suggest, Mr. Speaker, that one of the reasons
for the remarkable record of the Scarborough
pubhc utilities commission is that those people
are elected. They have to face the people. If
they go to the electorate and say, "We are
780
ONTARIO LEGISLATURE
going to run your public utilities in a busi-
nesslike and efficient manner," and the rates
go skyhigh then there will be replacements,
and rightfully so.
But, sir, we are only about a year away in
this province from concerted drives by local
municipal councils that there become a pro-
vincial policy to amalgamate hydro commis-
sions and, as the price of amalgamation, that
commissioners be appointed. The argument
somehow goes-
Mr. Shulman: It's a Communist plot.
Mr. Drea: —that the public is not really in
a position to determine the quality of the
commissioners who put themselves up for elec-
tion, that it would be better done in a calm
and meaningful discussion by the council.
Sir, I suggest to you that the record of
Ontario Hydro in bringing electricity to this
province and keeping abreast of increasing
consumer and industrial demand, of meeting
the challenges of a technological society, of
being able to provide you with electricity,
whether for industrial or domestic use any-
where in the province, that while they may
get the glory for this, it has been the local
public utilities commissions that have been
doing the work over all the years. It may be
all very well to honour Sir Adam Beck. It
may be all very well to honour every Hydro
chairman down through the years. But were
it not for the local hydro or public utilities
commissions nothing very much would have
been accomplished.
'Now, I suggest to you that what the mu-
nicipal councils want to do is to raid the
treasuries of the hydro commissions and they
also want to make it a sinecure for retired
politicians, rather than allowing the public
a direct voice in the operation of their local
public utility. And I think this has deep sig-
nificance for us, sir, because there is a differ-
ence between the lifestyle in Ontario and that
of other jurisdictions. One of the primary
differences is that electricity long ago was
recognized as a public utihty, owned by and
operated for the pubhc; and the public is
provided power at probably the most reason-
able rate on the continent. I suggest to you,
Mr. Speaker, that to begin to tamper by
merging, by amalgamating, by getting rid of
elected officials, we are eoing the road, which,
in some other areas, other jurisdictions have
gone. Bigness, efficiency and appointments
may sound very well on paper, but when it
comes down to it I have pretty basic faith in
people to determine and to elect the kind of
person who can represent them.
Mr. E. Sargent (Grey-Bruce): Now he is
talking; now the member is talking sense.
Mr. Drea: I was just pointing out that
record of accomplishment. I know of no gov-
ernment under which population has increased
37 per cent or production by 60 per cent that
has increased its staff by only 22 per cent and
still can meet the need. When government
gets into the game with appointments, sir, the
staff goes far beyond any type of production,
any type of service, any type of anything.
Perhaps a little bit later in my remarks
tonight, while I read to members some of the
development courses for our civil servants for
which they and I are paying, we may see the
reason why more and more buildings appar-
ently are required to house the bureaucracy.
Secondly, sir, on a matter that, while I
think it is in need of immediate attention in
the borough of Scarborough, I think it is also,
because of economic trends and because of
the situation in housing, going to become a
significant problem for urban dwellers in the
very near future; and I am referring to the
old question of the invisible population or the
hidden population, the ones who live in base-
ment apartments. Primarily because of zoning
and secondly because of taxes, these people
are never reported.
The reason they are called hidden, of
course, is that they are there. Their children
are using the schools. They are contributing
to the waste disposal problem. They are de-
manding and crowding the recreational fa-
cilities.
I think if the people who live in that base-
ment apartment had their options they have
no intention of cheating the municipality;
they would pay their taxes, they would pay
their way. But it is the owner of the home
who tells them they should keep it the way it
is or they will have to get out.
With the present shortage of housing, par-
ticularly for lower income groups or for older
people, there is a tendency, sir, for more and
more of these basements to be converted into
living quarters without the knowledge of the
provincial assessors; or indeed without any
knowledge by the local fire departments or
other people who are and should be con-
cerned about this situation.
Now of course the history of the basement
apartment is one that I suppose was brought
about by zoning. In the after-the-war years
people wanted— well I don't really know if
they wanted, they were once again taken in
by the planners. Planning doesn't appear any-
where in this province in regard to housing
until well after World War II. I somehow
APRIL 4. 1974
781
think that in a lot of ways the unplanned
portion of the province is better than the
planned one.
However, the planners brought in this
zoning and everyone was supposed to live in
the same kind of house on the same kind of
street, with the circular drive; you were
going to be with the same kind of families
and this was going to really reorganize society,
and so on and so forth. Of course 25 years
later we know that it didn't work.
But in any event, there was a tendency in
the day of the high basement, the full base-
ment which no longer exists, that that coidd
be converted into living quarters and that
was how you helped ease the cost of the
second mortgage. Of course you were at the
mercy of your neighbours, Mr. Speaker, be-
cause if they called the zoning inspector he
could order you to remove those tenants
because you were breaking the zoning law.
So therefore you wouldn't pay taxes because
the mere payment of taxes would be a prima
facie case that you had broken the zoning
law and a mere reading of the names of the
occupants of the household would be sufB-
cient for a zoning inspector or a bylaw en-
forcement person. They could simply call at
the door and say that either the people moved
and the basement was converted from rent-
able tenants' quarters into what it was in-
tended for in the house, or they would have
to take action. Over the years there has de-
veloped an underground style of life in To-
ronto and now, particularly, in the suburbs.
Older people, Mr. Speaker, are finding it
very difficult to keep up with taxes and there-
fore they put somebody into the basement
apartment. That person's rent, since it is
never declared, helps defray the cost of taxa-
tion, so on and so forth, and this really
enables them to keep their home. But now,
sir, I suggest we are at the crunch in this
situation.
I think the time has come when the prov-
ince has to get really tough and take some
decisive action. I think, quite frankly, we are
going to have to come up with some type of
legislation or progranmie which will oflFer
amnesty to those who have been renting base-
ment apartments. We are now in a situation
in which many of these homes are older,
probably more prone to fire than they were
in the beginning, and, Mr. Speaker, there's an
awful lot of concern about rooming houses in
Toronto now and the number of people who
have been burned to death in them.
I know of no basement apartment which
has more than one exit. If anything happens
in that basement, there is only one stairway
out and I suggest this is indeed a dangerous
situation, particularly when the people who
use this type of accommodation most are
either older persons— and therefore less able
to race up a flight of stairs to l>eat the fire—
or families with a number of young children.
Of course, the problem has been that the
assessment officer— or the assessor when he
was a municipal employee— supposedly had
Eowers to come into one's home. He does
ave the power. However, there are a great
number of people who take a certain amount
of umbrage at that. They do believe that their
home is their own casde and therefore there
has been a kind of resentment, particularly in
the new round of assessments.
The fire department, of course, if it really
wants to, does have the right to come in and
inspect one's home. It may, by necessity, have
to go and obtain a court order but it can do
this. Unfortunately, the fire departments have
more than enough work to ao and if they
find homes where people do not answer the
doorbell for them, as I say they have more
than enough work to do, therefore they do
not bother.
Sir, there are two questions in this. One,
udth municipal taxes, particularly in Metro-
politan Toronto going to soar in the next
month or so— and I mean really go just about
out of sight— there is the question of taxes.
If these establishments were legahzed, we
could put a levy on the owners and thev
would pay their proper tax to the municipal-
ity. I don't really think that after the neigh-
bourhood has been accustomed over the years
to two families living in that supposed one-
family home there is going to be any demand
in the neighbourhood for mass evictions or so
on and so forth. They have kno^^^l for years.
They know the situation is there but they are
powerless to do anything about it. So one,
there is the question of taxes; two, there is
the question of the enormous costs of schools.
Mr. Speaker, I have an area in my riding
where, according to the official count— accord-
ing to the census coimt, according to the
assessment, according to everything— there are
sufficient schools, there are sufficient play-
groimds, there is sufficient everything - but
everything over there is jammed to death
because about one-third of the people in the
area are from that hidden population
It is also very difficult, Mr. Speaker, to
turn back the tide of some rather rutliless
developers, because after all they take the
figures and they say: "There are X number
of people living in this area. According to
the standards there can be this number: we
are well within the limit, we should have the
782
ONTARIO LEGISLATURE
maximiim density permitted by law." When
you go to argue that, Mr. Speaker, you are
confronted with those figures. Everybody
admits that the figures are erroneous, that of
course there is a hidden population in those
basements, but nobody can do anything about
it and you are stuck with those figures. There-
fore you wind up getting highrise apartment
houses, 60 residents to the acre; stacked town
houses 30 to the acre, in an area where there
shouldn't probably be anything more than
single homes.
And you can't fight it, sir. You cannot fight
it before the planning board because they
read you those erroneoous figures. You cant
fight it before the council because once again
it is the matter of record of those figures.
You can't fight it before the OMB because
they say according to the figures that area is
not overcrowded. So once again the bureauc-
racy has triumphed.
It was the plaiming by the bureaucrats of
particular kinds of houses that got people into
the basement apartment situation in the first
place. It was the lack of planning by all the
bureaucrats who were suppyosed to be able to
do something to provide houses. And I say
all the bureaucrats— municipal, provincial and
federal. It was their lack of planning that has
landed us in a situation where there aren't
enough houses for people even if they could
afford them.
Now it is the bureaucrats who are rattling
off official figures whife saying of course they
are not really official, that there is a hidden
population. Once again the whole burden
passes back on to the individual who went
into a neighbourhood, who bought or who
rented accommodation in good faith and
wanted only to be left alone. Now he is
finding out that because of some peculiar
arithmetic and the refusal particularly of the
assessment branch of our Ministry of Revenue
to face up to the situation, that there really
is no remedy for them.
I suggest to you, sir, as I mentioned a few
moments ago, I think three steps are needed
—and by the Minister of Revenue (Mr.
Meen).
The first step is that the assessment officers,
particularly at this time when everything is
being reassessed, go down and inspect those
basements and if they are equipped as a base-
ment apartment, regardless of whether there
is someone in there, that this is drawn to the
attention of the municipality.
Secondly, it is necessary that the fire de-
partment inspectors be given more power that
will give them the right to look into those
homes. You know, Mr. Speaker, the fireman
is a pretty nice guy. He is really not inter-
ested in what you are doing in that house,
he just doesn't want you to bum to death
in the middle of the night. Certainly he
doesn't want to be there when some poor
little kid couldn't get up the stairs and no-
body knows there is a little kid in there
because there really isn't any population in
the basement of that house, it's single family
residential. I think the fire department should
have far more power.
Finally, I suggest that the Minister of
Revenue makes it abundantly plain to the
municipalities through his assessment people
that we are going to allow them to impose
the full burden of municipal taxes upon that
dwelling, regardless of whether that base-
ment is rented out or not. Because, Mr.
Speaker, if you have a basement apartment
equipped to rent, sir, you will rent it sooner
or later. It is like buying a licence for an
automobile; it may be parked in a field, but
sooner or later you are going to put it on the
road and that's why we want the licence on
it.
I realize that this is a bit of a local problem
but I suggest to you it is going to spread
across this province. It is going to spread into
the smaller communities. And I think the
final crunch is you can imagine people saying,
"We are overcrowded in this area. We don't
want to be dumped in with another huge
highrise," and the figures that show this area
is underpopulated come back to haunt them.
Of course, it's one thing for me to know
that, Mr. Speaker, and it's another thing for
you to know it, but it doesn't do one a
single bit of good before the Ontario Muni-
cipal Board. That fellow just leans over and
says, "I've got the figures and that's what we
go with."
I think it's unfair to the people who own
houses, Mr. Speaker. I think it's unfair to the
people who, by economic or social circum-
stances beyond their control, reside in base-
ment apartments. I think they have a stake in
this. This is a Legislature which is supposed
to be responsible to all the people of Ontario
including those who are in this type of
accommodation. I think it's about time the
Minister of Revenue— I congratulate him on
his new post— stopped hiding behind a bureau-
cratic screen, passing the problem to some-
body else, and came up with a policy that
the buck stops here and we're going to do
something to bring out the underground popu-
lation of the Province of Ontario.
I don't think there would be a revolution,
Mr. Speaker. In fact, for the tax coffer, munic-
ipalities might be able to lower the mill rates
APRIL 4, 1974
783
a bit if we end the Idnd of nonsense that's
been going on for a number of years.
Now, sir, turning to the contents of the
speech itself, for the second year I am some-
what disilhisioned, but only in one regard
and that is a rather parochial matter. Mr.
Speaker, I am a little disillusioned again be-
cause my friend, the Minister of Education
(Mr. Wells), has not accepted my request that
there be an assistant Deputy Minister of Edu-
cation for separate schools in this province.
Mr. Bounsall: Good idea.
Mr. Drea: Mr. Speaker, I suggest to vou
that the time has come, particularly witn a
piece of legislation which we are going to
consider in this session, the consolioation of
the school boards Act, or whatever the title is.
Mr. Bounsall: How about one for the
French schools, too?
Mr. Drea: What?
Mr. Bounsall: How about one for the
French schools?
Hon. R. Brunelle (Minister of Community
and Social Services): There is one.
Mr. Drea: There is one but not for the
separate schools.
Mr. Bounsall: Oh.
Mr. Drea: I'm going to come to that. Before
the assistant deputy minister for French educa-
tion was put in there was an identical prob-
lem. I think that since the appointment of
that person— and it's my understanding that
that is not the title but it is clearly imder-
stood that is the status so it's the same thing
—this has certainly proved a great shot-in-the-
arm for the educational aspirations of Franco-
Ontarians in this province.
Mr. Speaker, the reason I raised this— about
an assistant deputy minister for separate
schools— is that we are consolidating the
school Acts and we shall probably achieve
that consolidation in this session. Of course,
in that consolidation, sir, the very words
"separate schools" are going to disappear.
You know and I know, because of the fact
that we belong to the party which has done
more for separate schools and for Catholic
education than any other political party in
North America.
Mr. Bounsall: What about Quebec?
Mr. Drea: We have done more. I have chil-
dren in the separate schools and they were
broke until this government put money Into
them. The Premier at that time was John
Robarts and the Minister of Education was
the present Premier. The NDP's 80 per cent-
Hon. A. Grossman (Provincial Secretary for
Resources Development): Even Father Mat-
thews says that.
Mr. Drea: Its blank cheque p>olicy of paying
80 per cent of whatever the boards of educa-
tion decide to do would be taking money
away from a great many separate school
boards because they are subsidized far more
than 80 per cent.
Mr. Breithaupt: That is ridiculous and the
member knows it. That is absolutely ridicu-
lous.
Mr. Reid: He is getting paranoid.
Mr. Drea: As I said, Mr. Speaker, you know
and I know the tremendous advances of
separate school and Catholic education in this
province because of this government. With
the consolidation that title separate schools
is going to disappear.
Mr. Deans: Great government, great prov-
ince, super world to be in.
Mr. Drea: Secondly, Mr. Speaker, there is
the continuing question of the status of separ-
ate school education after grade 10. Since I
have children in the system and I am a
product of the separate school system-
Mr. Deans: They deny that.
Mr. Drea: No, they are very proud of me.
Mr. Deans: Oh I'm sorry. They are proud
of the member. I beg his pardon. Just watch
his arm doesn't break patting himself on the
back.
Hon. Mr. Grossman: He is patting his
children on the back. Nothing wrong with
that.
Mr. Dreaj Well, the suggestion that was
made to me by my hon. friend was that my
children weren't very proud of me.
Mr. Deans: No, no. I said the system was
not proud. I am sure the member's children
are quite rightly proud of him.
Mr. Drea: Mr. Speaker, regarding the sepa-
rate schools and coming back to the point
that I was makinjf. There is the continiiinir
diflBculty in finding a mutually acceptablr
solution to the problem of separate school
education in grades 11, 12 and 13. The sepa-
784
ONTARIO LEGISLATURE
rate schools— and I really don't want to
reopen that particular question, although I
want to make it abundantly plain that I
support the decision of the party to which
I belong and the position of my leader, the
Premier. But there is that question, and
there is the overview in it that sooner or
later we are going to have to get into the
sharing of facilities.
Mr. Deans: It is causing a lot of problems.
Mr. Drea: I just don't think there is
enough money in this province to nm two or
perhaps even 2% or £¥2 school systems side
by side all the way from kindergarten to
grade 13.
I also frankly don't think it would be very
fair to a number of children because, of
course, the separate school education does
not include vocational education anywhere
in this province. Therefore, even if it was
to continue on through grades 11, 12 and 13,
it would be academic education and would
benefit only a small minority— I shouldn't say
small minority— a minority of the children
who are in those grades.
But because of this consolidation, sir, and
the elimination of separate schools as a title
in the law, I think the time has come that
we allay all the fears and suspicions. I know
those fears and suspicions are unfounded, Mr.
Speaker, and I think that so do you.
This government has no intention of de-
stroying the separate school system in this
province. As a matter of fact it is the stated
policy of this government to enhance all
forms of education in this province.
But I think the appointment of the assistant
deputy minister at this time would do for the
separate schools in this time of change exactly
what the appointment in the French education
field did for the Franco-Ontarians when the
great change was l:)eing made in their edu-
cation. And after all, Mr. Speaker, that was
a very significant change because most of the
French-language schools came out of the
separate school system. And because they
were dealing in the French language from
kindergarten to grade 13, they in essence
became part of the public school system.
Above and beyond the question of just a
different language as the language of instruc-
tion, I think that question also was taken into
account in the appointment of the person
with the status of assistant deputy minister as
a focal point for people who were concerned
or interested in that particular aspect of edu-
cation in Ontario. I suggest to you the same
would happen in the separate schools.
There was a newspaper article in the Globe
and Mail .last week by Father Matthews,
which incidentally pointed out the rather
remarkable financial contributions of this gov-
ernment to the separate school system. But
it was also pointed out that there was fear,
and there was uncertainty, and there was
some apprehension.
I think the appointment of a person to this
post in the Ministry of Education would ease
that and would provide, I would hope, a
climate whereby men and women of good-
will from the public school system, from
the separate school system, and from the
ministry, could work out a system of shared
facilities which would I would hope perma-
nently solve the question of funding of sepa-
rate school education in grades 11, 12 and 13.
I suggest to you, Mr. Speaker, that this ques-
tion was worked out at the university level
many, many years ago and their sharing of
facilities certainly has enhanced education.
iMr. Speaker, I say to you and I say to the
Minister of Education— I wish he was here
tonight— that I don't particularly care what
title you give this appointment, provided there
is the clear understanding that whatever this
person or oflBce is to be called he has the
status of at least an assistant deputy minister.
Now, sir, to point out some of the things
that are in the Throne Speech, once again the
Throne Speech indicates the tremendous con-
cern this party and the Premier have for the
people of Ontario, because again our No. 1
concern is jobs. You will see every early on
in the Throne Speech 149,000 new jobs. This
party is not content with Ontario remaining a
hewer of wood and a drawer of water. This
party is concerned about creative, meaningful,
technical, brain-work jobs for young people.
Mr. Deans: Like the ones that will be
created at Maplte Mountain.
Mr. Drea: No, like the ones that will be
created by the GO-Urban and in the develop-
ment of the GO-Urban system.
Mr. Deans: Five hundred out of the 800
jobs will be menial, meaningless, boring jobs,
paying $1.60 an hour. I am sorry about that.
Mr. Drea: Well, the only difficulty with
that thesis is that Maple Mountain hasn't
been approved. I had to sit through a very
boring half hour today while they went
through all the aspects of Maple Mountain
and whether we had approved it without any
public hearings or not. All of you over there
today were so confident that it would be
approved. Then why do you worry about jobs
APRIL 4, 1974
785
that will ncN-er be created? Let me come back
to my 149,000 jobs that are there now.
Mr. Deans: Because it is an indication of
the willingness of this government to see
people in servitude, that's what it is.
Mr. Drea: There is no government on this
continent that has created more new jobs
through its ec-onomic policies than this one,
and the member kiK)ws it and I know it and
they are the best paying jobs in the country.
Mr. B. Newman (Windsor-Walkerville):
The federal government in Ottawa has.
Mr. Breithaupt: The federal government in
Ottawa.
Mr. Drea: The only thing the Liberal gov-
ernment in Ottawa ever created was unem-
ployment insurance and they can't even run
that properly.
Mr. Breithaupt: They pay this government
the money and it takes the credit.
Mr. Drea: I may say, Mr. Speaker, I
thought that two of the points that were
raised by the preceding speaker were in the
area of ver\' excellent constructive criticism.
I don't really think that we have the juris-
diction to do much more than to push and
prod on the auto pact revisions. Having asked
our Ministry- of Industry and Tourism and our
provincial Treasurer (Mr. White) to get crack-
ing and get down to Ottawa and shake up
Mr. Gillespie and friends concerning the re-
visions—particularly revisions that would bring
down the price of automobiles as well as
create more jobs, more industrial production
in Ontario— I would have thought that per-
haps he could have seen another role for him-
self in that; that perhaps he could have got
on the phone— if he hasn't already— and called
his national party, because according to what
is in the press, the federal leader of the NDP
is what makes the Liberal Party in Ottawa go
round.
Hon. Mr. Grossman: And round and round
and round.
Mr. Drea: In the case of the uranium situa-
tion it was pointed out very, very dramatically
by the phone call from Timmins to Ottawa
that there is that situation. So while I feel
that his remarks about the auto pact are very
constructive criticism— I agree with most of
them— I would say that besides urging our
ministers to go to Ottawa and get something
done, there is also responsibility upon the
people in the provincial NDP, that tney can
phone Ottawa and put some pressure on their
federal counterparts.
I was also impressed by tlie constructive
criticism about research. I think that he made
excellent points. It concerns ine tliat we are
in a paradox in research in Canada. At a time
when science is demanding more research,
public and government have so little regard
for research that it is the area that is being
cut and trimmed.
Mr. Speaker, it was all very well for every-
one to pound their desks here today when the
rather substantial increases to education ceil-
ings were announced. I would have felt a lot
more confident if some rather substantial con-
tributions to research grants were announced.
I suggest to you, Mr. Speaker, that the person
who does the research and develops the tech-
nology controls not only the jobs but the
economy of tomorrow. The reason that I am
impressed with the 149,000 new jobs is that
they are the result of projects underwritten
by this government, such as CANDU. This
government underwrote the development of
the Canadian nuclear reactor because it isn't
a Canadian nuclear reactor. If we were really
patriotic or chauvinistic, we would say it is
the Ontario nuclear reactor-
Mr. Singer: Oh, come oflF it!
Mr. Drea: —because it was Ontario that
developed it.
Mr. Singer: Half the money was federal
money, and the member knows that.
Mr. Breithaupt: This govenunent al^^'ays
take the credit, but they put up the money.
Mr. Singer: Yes. The plan was written in
Ottawa and paid for by Ottawa. The member
knows that.
Mr. Drea: I don't know that. In fact, the
only thing that Ottawa did in the whole thing
was to try and make a heavv water plant that
didn't work. And we are still bothered by the
fact that they haven't got heavy water.
Mr. Singer: How much of the $2 billion
that first went in came out of the Ontario
government? Not very much.
Hon. Mr. Grossman: And 45 per cent of
the taxes.
Interjections by hon. members.
Mr. Drea: Now that my favourite automo-
bile man is back in the House, mayl)e per-
haps I can come back to my thing about
Go-Urban. The thing that fascinates me so
much about Go-Urban, Mr. Speaker, is the
786
ONTARIO LEGISLATURE
fact that these will be the kinds of jobs that
are created in development, in research and
in technical areas for people who are the
product's of our educational system.
Mr. Deans: Who is the member's favourite
automobile man?
Mr. Singer: I have a car.
Mr. Drea: Mr. Speaker, I suggest to you
that this is the record of accomplishment by
this government, that we are not providing
routine, drudge, dreary and other types of
jobs for people. We are offering them the
opportunity for exciting, creative, meaningful
jobs.
Mr. Deans: Like cutting dead elm trees.
Mr. Drea: Mr. Speaker, I don't ever want
to be in a position where I appear to knock
work. When I talk about a drudge job or a
dreary job, I respect the person who does it.
I respect the person who goes to work and
does the job that he doesn't particularly like,
that he accepts his role in society and doesn't
come with his hand out to the government
begging for some money because he doesn't
like his working conditions. I respect him a
great deal.
But the future of a country is not built
with repetitious, dreary, drudge jobs like that;
it is built vAth the creative, the exciting and
the technical. While I respect both types of
employment, as I respect all kinds of emplt)y-
ment, I would suggest to you, sir, that we
are far better off with the creative jobs that
will produce the kind of economy that wdll
make for the Ontario of the future as high a
standard of living as we enjoy now.
Mr. Speaker, I have heard for about two
hours this afternoon what a despicable opera-
tion the Ministry of Community and Social
Services is. Mr. Speaker, I intend to spend a
few moments tonight setting the record
straight. The first thing I would like to do is
offer my congratulations to the minister, my
friend from Cochrane North, in that that
ministry bears a significant new look this
session, and that is by the appointment of
Miss Dorothy Crittenden as deputy minister,
the first female deputy minister in Ontario.
I suggest that that is only typical of the
new look in that ministry since this minister
has taken over. I think it is indicative of the
new paths that he is going to pioneer. I think
that Miss Crittenden deserves an enormous
amount of applause and admiration because
she is a female who triumphs over a male-
dominated system. She was a school teacher.
but when she went to work for the minister's
department back in the 1930s she had to
accept work as a typist because a female
simply did not aspire to higher executive
positions in those days. She has worked her
way up step by step till now she is at the
summit of her professional career. She is the
first woman deputy minister in this province
and I certainly hope that she has many years
of productive service in this ministry.
Mr. Deans: Is there nothing higher?
Mr. Drea: Pardon?
Mr. Deans: Why is she at the summit? Is
there nothing higher than deputy minister?
Mr. Drea: Well, of course, I would think
she'd be admirable as the deputy Premier, but
that may be because I am prejudiced.
Hon. Mr. Grossman: Or Premier.
Mr. Drea: But I don't really think she has
any ambitions in that direction.
Interjection by an hon. member.
Hon. Mr. Grossman: To go any higher, she
is going to have to run for oflSce.
Mr. Drea: But that is only typical of the
Brunelle touch in that ministry.
Interjections by hon. members.
Mr. Drea: Will the hon. member behave
himself?
Mr. Sargent: That's the kiss of deiath.
Interjections by hon. members.
Mr. Drea: Mr. Speaker, I would also—
Mr. Sargent: Why doesn't the hon. member
say something intelligent?
Mr. Drea: If I said anything intelligent
with my friend in this room, it would be lost.
Mr. Deans: If anyone over there said any-
thing intelligent, it would be amazing.
Mr. Drea: No, it would be routine.
An hon. member: Right on.
Mr. Drea: Mr. Speaker, I would also like
to thank the minister on behalf of some other
females in this province, those who are not as
fortunate to have had the success as his
deputy minister.
Mr. Deans: The mothers' allowance re-
cipients!
APRIL 4, 1974
787
Mr. Drea: No, they are going to be mothers,
but they are not going to be on mothers'
allowance, because they are women who are
not married, who are residing in maternity
homes, sir, because for one reason or an-
other—
Mr. Deans: The hon. member surely isn't
blaming the minister for that?
Mr. Drea: No, I am going to thank him,
because after only two representations from
me the whole scale of benefits in that par-
ticular programme has been changed in a
most remarkable manner. I think that a min-
ister who does that deserves the credit of the
whole House, because it is a very small part
of our population. It isn't the kind of thing
that represents a lot of votes or gets a lot of
headlines, but it takes a man who is a real
humanitarian, a man who cares and a man
who is willing to do something for those who
are less fortunate than him in a way that he
could— and he did it.
Interjections by hon. members.
Mr. Drea: I'm talking about my friend from
Cochrane North, the Minister of Community
and Social Services. There is a maternity
home in my riding, sir, and, as you know, I
feel very strongly that there have to be alter-
natives provided to females, other than the
OHIP-paid abortion route when there is a
child-
Mr. R. G. Eaton (Middlesex South): Why
doesn't the member for High Park leave, then
the NDP benches will be empty?
Mr. Shulman: The member has driven out
the whole press gallery.
Hon. C. Bennett (Minister of Industry and
Tourism): Go on— soon there will be no NDP
members in the House.
Mr. Shulman: I volunteer to stay and be
bored.
Interjections by hon. members.
Mr. Speaker: Order, please. Allow the
member to continue.
Mr. Sargent: This is not one of the mem-
ber's better efforts.
Mr. Drea: Oh, I am only warming up.
Mr. Kennedy: It's one of the better efforts
of the member for Grey-Bruce; he is staying
fairly quiet.
Mr. Drea: Yes, he can go if he wants. I
won't tell.
Interjection by an hon. member.
Mr. Drea: Okay. I'd never say there u-as
nobody in the NDP benches exc>ept the mem-
ber for High Park.
Mr. Kennedy: He's not a member, he's an
independent.
Interjections by hon. members.
Mr. Drea: Well, I'm pleased that he is stay-
ing. I hke his audience.
An hon. member: He's getting out of the
NDP anyway.
Mr. Drea: Now then, can I just come back
to the matter of maternity homes, because I
think it is a great credit to the minister.
Mr. Speaker, I was approached on this sub-
ject some many months ago, because there is
a maternity home for unwed mothers in mv
riding. They face enormous financial diflBcuI-
ties because over the years, for financial pur-
poses, that type of home has been placed
under the Charitable Institutions Act. And
one of the difficulties was the peaks and the
valleys, because to be in a residence like that
required special circmnstance. And unfortu-
nately pregnancies do not go along on a regu-
larly sdiediiled, stable, organized basis.
Mr. Sargent: They are still nine months.
Mr. Drea: Pregnancies occur and no one
has real control over the number that there
will be at any time. Yet the facility is needed.
If there are a number of women who are in
that position at that particular time then, of
course, the place is filled and again there may-
be two months when the place is relatively
emtpy. This is very diflBcult to plan for, Mr.
Speaker, because quite frankly you can't plan
it. It is very difficult for a minister to ha\e
to plan this.
In this province of almost eight million
people there are only at any one time prob-
ably, in homes like this, somewhere between
150 and 175 women. We had financing.
There was the usual per diem programme
and so on. I think it shows the mark of a
ministry and its minister when he can take
time out from the enormous administration of
the very large programmes that he has, and
he can literally spend about three days find-
ing out about the finances, not only of the
maternity home in my riding but ijideed
every one across the province, of immcdiateK
raising the per diem, of also ordering a new
cost formula programme to be studied and
worked on, for the first time in about 15
years offering new hope to people who
788
OxNTARIO LEGISLATURE
thought there was no hope for the continua-
tion of the maternity home.
Mr. Shulman: How is sycophant spelled?
Mr. Drea: Mr. Speaker, I suggest to you
that with this one action, which has provided
an alternative for the supposedly unwanted-
child problem— because the alternative of
abortion has been there for some time and
was becoming increasingly attractive because
the decks were stacked in favour of the
decision to have the abortion rather than to
have the child and either to raise it or place
it out for adoption— that with this one major
change in the maternity homes programme of
this province, the Minister of Community and
Social Services has done more to come head-
on into this problem than all of the speeches,
all of the programmes and all of the machina-
tions of the federal Minister of Justice-
Mr. Sargent: Who is this guy?
Mr. Drea: —in trying to pass the buck on
abortions back to the provinces. I commend
him for it, sir, because there were so few
people involved. I know the personal amount
of work that he put into it and again I suggest
to the House again that that is the mark of
the hon. member for Cochrane North as the
Minister of Community and Social Services in
this province. I think that augurs well for
people who are less fortunate than ourselves
and who have to depend upon that ministry
for their sustenance.
I think the fact that they can do some-
thing for so small and so specialized a group
in this province indicates that he is capable,
and when the numbers are big he can do
the same thing. I salute him for it, and I am
sure that there will be thousands of children
who will owe a great many things to him,
and they will never know and they will never
be able to thank him for it. But that is a
magnificent contribution to the future of this
province which he has done for the maternity
homes in this province.
Mr. Speaker, I wouM like to come to the
Ministry of Health. I am not so happy with
the Ministry of Health as I am with the
Ministry of Community and Social Services.
Mr. Speaker, something has to be done about
the administrative nightmare over at OHIP. I
have had two incredible experiences with
tlie lunatics who operate out of there today.
Mr. H. C. Parrott (Oxford): Yield the floor
to the hon. member for Waterloo South.
Mr. Drea: I have had two incredible expe-
riences with the lunatics who operate today
out of there, on Overlea, that rival what
happened to the preceding speaker with his
coupe St. Jecques and so forth in that bit of
wasteful, sinful extravagance that is known
as the members' dining room in the basement.
Now I had two problems with constituents
concerning OHIP. The first was the refusal
of OHIP to pay a bill. This woman had gone
in for her annual checkup-
Interjection by an hon. member.
Mr. Drea: While she was in the physician's
ofiice, after having her annual physical ex-
amination completed, she pointed out to him—
Interjection by an hon. member.
Mr. Drea: That's a dreadful thing to say
about the member for High Park; I guarantee
you.
Mr. Speaker: Order, please.
Mr. Singer: Okay, I have to wait and
watch.
Mr. J. Riddell (Huron): The member for
Scarborough Centre will never make it.
Mr. Drea: I haven't even got my first
breath yet.
Mr. Riddell: We have been waiting for a
year and—
Interjections by hon. members.
Mr. Drea: As the remnants of a once proud
party they sit there. I am sorry for them, but
I guess that's the way it is.
Interjections by hon. members.
Mr. Drea: In any event, Mr. Speaker, this
woman had had her annual physical examina-
tion completed in the doctor's ofiice, and she
had a small cyst on her arm. She complained
to her physician that that small cyst was caus-
ing her some difficulty, catching on clothing
and so on and so forth. I am given to under-
stand it was not medically hazardous or any-
thing like that.
In any event, the doctor agreed to remove
that piece of tissue, and of course she re-
ceived the bill. There was a bill for her
annual examination and there was a bill for
the removal of that particular piece of tissue.
When she sent the bills into OHIP they
wouldn't pay her. They sent her only the
money for the annual examination.
When she called up OHIP they told her
she should have had the date changed or
should have done something else, because as
long as it was done at the same time in the
office they wouldn't pay the two bills. She
APRIL 4, 1974
789
said: "Do you mean if I went back the next
day you would have paid it?" And they said:
"Of course."
Now Mr. Speaker, they have just confirmed
that in writing to me, in the most incred-
ible letter I have ever received. Unfortunate-
ly, I left it in my oflBce downstairs. Perhaps
I may refer to it a bit— no; no, I am glued
here, I am glued for another 27 minutes.
Mr. J. P. MacBeth (York West): He is
starting to sound like the member for High
Park now.
Mr. Drea: In any event, Mr. Speaker, the
clerk-
Mr. Shulman: Why doesn't the member
suggest the Minister of Health resign?
Mr. Drea: I suppose it's a bit different from
a cattle auction, but you know we all have
to change a little bit.
Mr. Sargent: That's a new one.
Mr. Shulman: He's not at his best tonight,
that's what the member of the left said.
Mr. Drea: There's nobody from the left
over there.
Interjections by an hon. member.
Mr. Speaker: Order, please.
Mr. Drea: All right, Mr. Speaker; so in
other words, apparently if the physician is
efficient and accomplishes two medical tasks
in the same visit to the office, he cannot be
paid even though to me it would seem quite
simple. The annual examination was medical
and the removal of that particular bit of
tissue was surgical. In any event, I am still
fighting with OHIP on that one.
However, I have another woman who was
operated on on Feb. 7 for removal of a gall
bladder and who was charged $250 by a
surgeon. The bill was sent into OHIP to be
paid and she hasn't received any money yet.
Since she has to go back and see that doctor
for some treatment, she feels rather badly
because she would like to pay him; and un-
fortunately at the moment she doesn't have
a bank account of any size because she is
unemployed.
She called OHIP and after giving about
the third person who talked to her the name
of the particular surgeon, she finally got a
clerk. The way they work over there, appar-
ently, is that you have to find the right clerk
who is responsible for payments to the right
doctor.
The mind is already beginning to get sus-
picious. This is another one of the triumphs
of bureaucracy.
In any event, she gets to the woman and
the woman says: "Oh surgery, that's dif-
ferent." The woman says, "Why?^'
"Well," she says, "bills for surgery we put
into the computer, but the computer rejects
them so we have to do it all over again
manually." The woman says: "Well, if you
know the computer is going to reject the bill,
why do you put it in?" And the j?ir! says:
"I know it sounds silly, but that's what the>
tell us we have to do."
Now, Mr. Speaker, when I heard this from
this woman, I simply wouldn't believe it. I
called up OHIP; and you know that's true.
Do you know, Mr. Speaker, that they have
a marvellous system over there for payment
of surgeons' bills? They say that because
there is post-operative care and there prob-
ably will be a claim coming in after that,
they will not pay for the original surgery
until the claim for the post-operative care
comes in; they want to pay it in a package.
They say to me "You should tell this woman
not to worry because everybody understands
the system. The doctor won't ask her for
money; the doctor won't even look at her and
his niu-se won't bother."
But, you see, Mr. Speaker, everybody
understands this marvellous system over at
OHIP except the people who have to deal
with it. When you find a clerk who says "We
put it into the computer but if there is sur-
gery the computer rejects it and then we do
it over manually." Mr. Speaker, I would sug-
gest to you, as a taxpayer, right at that
moment you would hke to get your hands
around somebody's throat. If the computer
is going to reject it why not do the thing
manually in the first place? Or why not
arrange for these things to be paid or at least
acknowledged?
Surely, if the doctor understands what the
method of payment is— and I have a doctor
who lives by me and I hear a lot about OHIP
payments, so I am not so sure that doctors
go along with all of this as happily as OHIP
lets on— if this is a bookkeeping transaction
type of thing between OHIP and the physi-
cian, surely when one is supposed to pay the
bill a little card could be produced from that
awesome computer over there which would
come back to one and say "This amount N\nll
be paid to your physician and he will recei\e
the cheque shortly" or "it will be paid to
you" so that at least one has the acknowl-
edgement on it.
790
ONTARIO LEGISLATURE
It would seem to me, Mr. Speaker, that a
bureaucracy which can produce the recent
change in regulations which allows a 16-year-
old girl to have an abortion without parental
consent or to be sterilized without parental
consent, the eflBciency of a bureaucracy which
could do that should be able to set up a
system by which one can have hospital or
medical claims paid on a little more efficient
basis than, "The computer rejects it all the
time so we would have to do them manually
and that's what takes the time."
It would also seem to me that a medical
bureaucracy which finds that lifeguards are
no longer needed in private swimming pools
—and it was very efficient about getting rid
of that one, Mr. Speaker— if it is so efficient
about that, it seems to me that one of people
could go over and put a little bit of his or her
brain power into straightening up OHIP's
payment procedures.
Mr. Speaker, this question about the swim-
ming pool lifeguards bothers me a great deal.
When I was in the newspaper business I
campaigned for a very long time— about
three or four years— for those regulations
which ensured that people in private swim-
ming pools would have lifeguards. It strikes
me as very peculiar that with no fanfare, no
discussion, nothing of any kind, they were
suddenly removed— and don't tell me it was
the apartment owners who wanted them re-
moved. They have so many insurance struc-
tures they are keeping the lifeguards there.
Mr. Singer: Who removed them? The gov-
ernment removed them, not the bureaucracy.
The member should not blame these name-
less, faceless civil servants; it was the govern-
ment which made the change.
Mr. Shulman: It was the minister's orders.
Mr. Breithaupt: The member has to take
the credit.
Mr. Drea: I'm not taking any credit. That
one has to be changed, I will tell the member.
Mr. Singer: All right, then beat the cabinet
minister over the head. He did it.
Hon. W. A. Stewart (Minister of Agricul-
ture and Food): He is not doing that badly.
Mr. Drea: I suggest to you, Mr. Speaker,
that a medical bureaucracy which can pro-
duce that kind of efficiency in fields where
it wants to make sudden changes, can do
something about the pavment procedures over
at OHIP.
Mr. Speaker, I would also urge the Minis-
ter of Health either to drag the city of
Toronto into a district or regional health
council or else to allow the other municipali-
ties which are being held back from a much
greater health subsidy by the contrariness of
the city of Toronto, to have a regional or
district health council without the participa-
tion of Toronto.
When it is a question of the amounts of
moneys involved, the amount of money my
own borough would receive in provincial
subsidies which is now being provided
directly by the taxpayers there, I suggest that
allowing Toronto to hold up the formation
of this district health council because of its
concerns— and some of the concerns may be
justified- 1 cannot see why, for instance, Scar-
borough, North York and East York might
not form a viable district health council: or
perhaps Etobicoke, the borough of York, and
another part of North York. There are all
kinds of ways. It may very well be that be-
cause of its own particular and peculiar prob-
lems, the city of Toronto might very well
have a district health council of its own. But
I suggest we not delay the formation of the
health councils throughout Metropolitan To-
ronto because there cannot be unanimity.
Mr. Speaker, this is not the kind of thing
that promotes good government or efficient
development of health services. It's ridicu-
lous. By the same token, if we needed a
unanimous vote in this House we would never
pass the legislation.
I certainly like unanimity and I think
people of good faith and of good conscience
can get together and solve many of these
things, but sometimes there is a balky mem-
ber.
This situation has been going on not just
a month or two months; it has been going on
years and years and years.
In other areas of the province the Ministry
of Health has made some accommodations. In
my brief time in the House, for instance, I
think we've changed the scope and dimen-
sions and programmes and outlook of those
district health councils about five or six times
because they came to the conclusion there
wasn't one happy formula that could be
applied across the entire province.
Now, why this head-in-the-sand attitude
over Metropolitan Toronto is beyond me—
unless, of course, the Ministry of Health
wants to save some money. If they want to
save some money by not paying out the subsi-
dies, then why don't they say so instead of
saying: "Well, get Toronto to come in with
APRIL 4. 1974
791
you and we will pay the 75 per cent on these
programmes."
Once again, Mr. Speaker, a ministry that
has a bureaucracy that is so eflBcient in
changing regulations should certainly be able
to move into this field very eflBciently and
very quickly.
Mr. Speaker, I want to come to my old
friend, the c-ensor; the one who is in the
Ministry of Consumer and Commercial Rela-
tions-the film censor. Mr. Speaker, frankly I
would like to see the theatres branch in this
province follow the lead of British Columbia.
I personally think that the operation of the
censor in that province is positive. I think it
makes a contribution to the entertainment
industr>- and I think it also protects the public,
if indeed anybody wants to be protected these
days, from the indulgences or extravagances
of the film industry.
The reason I suggest that, Mr. Speaker, is
that in the Province of British Columbia it is
mandators for the advertisement of a film to
carry the censor's comments about it. So you
see in the theatre pages of the Vancouver Sun
or Province the short, terse comments of the
censor in the film ads. They say that, frankly,
the language may be very profane, or the
language may be very crude, that there be
rather explicit scenes of violence and, to a
lesser degree, that there may be some nudity
or what-have-you.
I'm not so much concerned at this time
with the nudity, Mr. Speaker, but I think
what a growing number of people in this
province are concerned about in the film
industn,' is the cult of violence. There are
more and more films being produced that,
frankly, sir, I would think might rather be
shown in an amphitheatre with psychiatrists
taking a look at the products of people who
have either an obsession or a penchant for
masochism or sadism.
Mr. Speaker, in this province it is virtually
impossible for a person who does not read
movie reviews to know whether or not when
going to see a film just how violent it is going
to be. Mr. Speaker, I would suggest to you
that some of the technological innovations of
the film industry have made violence some-
what attractive. It is much easier, for instance,
to produce blood and gore in a rather drama-
tic and impressionable way these days than it
was a number of years ago. Also, you find
a great number of particular occasions of
violence. Apparently these days— and because
these examples are from the United States
it mav indeed he the situation there— in terms
of law and order the police have to break
the law in order to punish the criminal.
I find that kind of thing that is permeating
a society like our own particularly dangerous
to young people, because young pt*ople are
the product of a total environment. They get
a taste and a penchant for violence, then it
shouldn't surprise us in later life, not that
they become an aberrant or anything, but that
we have a society that accepts the brutaliza-
tion that apparently is the hallmark of a great
many movie productions.
Mr. Speaker, I have long ago given up
asking the censor to do something about sex
and nudity in films. I have gone the route
with the fellow who retired there; to ask
him about the ads, did he pass them? He
couldn't see anything the matter with them.
I am surprised that newspapers ran them. So
I don't really care about that aspect of it
any more.
I have surrendered to the apparent hires
of Yonge St. I guess that is what people want,
or at least the people whom we hire as
censors want. But I do suggest to you that
the time has come when we start taking a
look at the violence or the language.
Mr. Speaker, there are a couple of films in
Toronto right now that franidy my wife
would have been very uncomfortable at and
she would probably have fainted at some of
the language in them. There is no question
that these are first-class films. I don't quarrel
with the technique or the artistry or anything
else. But I think, Mr. Speaker, in fairness to
people who do not want to get into that kind
of a scene, that the adoption of the British
Columbia policy might be a good one in this
province, because it would compel the adver-
tisement in the newspaper to state that the
language is very profane and offensive.
If you go in afterwards you have no com-
plaint. If you choose not to go in I think you
have been protected, because you are not left
in the theatre until the middle, had no idea
this was coming and there it has come; what
do you do about it?
Nfr. Singer: Get up and walk out.
Mr. Drea: I think it works very well in
British Columbia. I think it is something that
we should study here. If we are not going
to do it then let's save the taxpayers some
money and let's clean out the whole theatres
branch.
I have never wanted anybody fired. I am
sure we can get them horizontal transfers
within our mammoth and magnificent civil
792
ONTARIO LEGISLATURE
service. But we must do something, because
we don't censor the fihns any more, we don't
do anything. If we can't even put in Httle
pockets of protection for people then why
do we have to employ all of those people?
As I say, I don't like to fire anybody, but
I do like a bit of efficiency. Perhaps if they
aren't interested in going into this and still
want to go on with a job that apparently
has no meaning, has no beginning, has no
end, then I think perhaps v^e should get
them some horizontal transfers within the
civil service.
Speaking of the civil service, Mr. Speaker,
I have a magnificent book here called the
Staff Development Course Calendar 1973-
1974. It is a very humorous book, very
humorous until you figure out that we as
taxpayers paid for it. It deals with such things
as the secretarial seminar, interpersonal rela-
tions programme, the communications work-
shop, the internal consultants course, the
power play, effective speaking, instructional
techniques, problem employees' seminar.
I would like to deal just for a few moments
with good old power play here, because it
is magnificent. We paid for this. Do you
know they actually sent people to take this
course? We have to subsidize them to take
it. If I had to operate with this kind of a
book I would lock it up. But apparently they
find that it is a very-
Mr. Shulman: The Premier isn't going to
be happy with the member's speech tonight.
Mr. Drea: The Premier is happy with all
my speeches.
Mr. Shulman: Not this one.
Hon. Mr. Grossman: Why not?
Mr. Drea: There isn't one thing in it with
which he would disagree.
Mr. Speaker, the purpose of power play,
is — and why have these silly courses? — "to
improve the awareness of public administra-
tors of various manipulative communication
techniques and faulty reasoning processes
which may influence the decision-making
process."
Mr. Shulman: What ministry is that under?
Mr. Drea: The Civil Service Commission.
Mr. Shulman: Who is the minister?
Mr. Drea: I would take it the Chairman
of Management Board is the minister.
Mr. Shulman: All right, thank you.
Mr. Drea: May I continue?
Mr. Shulman: Please. I am sorr\' the min-
ister isn't here to hear it.
Mr. Drea: Oh, I'm sure I don't think he's
probably ever seen the book. I'm drawing it
to his attention.
Interjections by hon. members.
Mr. Drea: In any event, this workshop does
not utilize lectures, films or other traditional
teaching methods. Instead, participants com-
pete as members of teams in a series of games
which analyse such power plays as appeals
to superior authority— Mr. Speaker, I guess
that's me to you on most occasions; faulty
generalization; personification; reification—
whatever that may mean; analog>', confusing
all and some; cultural bias—
Hon. Mr. Grossman: That's the opposition.
Mr. Drea: —emotional words. Duration is
four days in residence and eligibility is de-
signed for managers, professionals, public re-
lations officers, government representatives
who deal with outside clients, and internal
consultants.
Mr. Speaker, the taxpayers of Ontario are
paying for this nonsense. If you can't hire
somebody who knows his job and you have
to send him away for four days to play games
called power plays, this is really a bit much.
Mr. Shulman: Does the member think that
minister should resign?
Mr. Singer: Don't they listen to this mem-
ber in the caucus?
Mr. Drea: Oh, I save it just for the member
for Downsview.
Mr. Singer: Well, we can't really help him
too much. It is his fellows o\er there he
should watch.
Mr. Drea: Oh, somehow I get help.
Mr. Shulman: Why doesn't he tell the
Premier to fire the minister he is talking
about?
Mr. Drea: I don't think this is the minis-
try's thing. This is the Civil Service Com-
APRIL 4. 1974
793
mission. I wish he would do something about
the Civil Service Commission.
Mr. Shulman: Does the member mean the
minister doesn't know what is going on in his
jurisdiction?
Mr. Drea: No, that is not what I ssdd.
Mr. Singer: A terrible admission of defeat
Mr. Drea: I'm just drawing this to his
attention.
An hon. member: Maybe the minister is
taking the course. Are members eligible?
Mr. r>rea: No.
Mr. Singer: This is a terrible admission of
defeat. The member's influence in the Tory
caucus isn't very great. ^
Mr. Drea: We have the commimication
workshop. The thing that fascinates me, Mr.
Speaker, is the fact that this is for PR men,
because it says:
The purpose is to improve the process of
interpersonal communication in the accom-
plishment of work within the government
of Ontario.
Content: overcoming barriers to effective
interpersonal communication; communica-
tion of one-to-one relationships; listening
and understanding; communication at meet-
ings; feedback techniques, team-building
techniques.
iDuration: five days in residence.
Now here is the eligibility.
Preference will be given to inctunbents
of positions where communication skills are
particularly emphasized, such as staff en-
gaged in public relations.
Mr. Speaker, if you hire a public relations
man, surely even in the civil service he should
be able to talk to you. That would be the
same as getting a politician who was tongue-
tied. It wouldn't work. We now have a pro-
gramme where we take the public relations
man in the government of Ontario and send
him away to some weirdo commimication
workshop which the taxpayer has to pay for
so that he can overcome his barriers to effec-
tive interpersonal relationships.
Mr. Speaker, when the taxpayers hear
about things hke this and they see there is
actually such a book, they will begin to get
ideas. My criticisms of these are remarkably
mild compared to what they would say.
We have another little one in here, the file
supervisor seminar. This one really moves me.
Mr. Shulman: The member has driven the
chairman of Management Board to the other
side of the House.
Mr. Drea: This is to familiarize file super-
visors with current record management prac-
tices in the Ontario public service.
Mr. Singer: Why doesn't the member talk
to the member for Halton East (Mr. Snow) as
he is in charge of that one?
Mr. Drea: No, no; it is not him.
Mr. Singer: It is not him?
Mr. Drea: Nope. Nope.
Mr. M. Gaunt (Huron-Bruce): He's driven
the House leader to the other side of the
House.
Mr. Singer: That's right. The member has
driven him to the other side. He can't stand
it any more.
Mr. Drea: Oh, I think he'd find it very
fascinating.
Mr. Shulman: He has taken the course.
Mr. Drea: No, I don't think he has taken
this one because, after all, it says: "Content:
Objective of the Ontario government's records
management programme.' Well, if a person is
hired and doesn't know what the objective is,
why do we have to send him away up to that
school in Barrie for five days? Why do we
have to feed him? Why do we have to sub-
sidize him by getting someone else to take
his job?
Mr. Shulman: It's a beautiful summer
resort.
Mr. Drea: And then it says, down at the
bottom: "Eligibility: This seminar is open to
personnel presently employed as file super-
visors or file coders." Well, they are hired and
they don't even know the objective of the
place they work in. If I didn't have the
book, even with my profound distnist of the
bureaucracy, I wouldn't really believe that
they could produce such a thing.
Mr. Speaker, I think that we ought to send
one of these books to every household in
Ontario and say, "Here it is, the pnxluct of
the civil service mind."
794
ONTARIO LEGISLATURE
Mr. Shulman: That's what the Tory gov-
ernment has done.
Mr. Singer: Oh, it's the product of the Tory
government.
Mr. Drea: It is not the product of the Tory
government; it is the product of the Civil
Service Commission.
Mr. Singer: Oh, come on. How can we
separate the two?
Mr. Drea: Is the member saying the civil
servants are all Tories?
Mr. Singer: No, I am saying the Tories
control them. And if they can't, they should
quit.
Mr. Drea: I certainly wish we did. That's
a very interesting thought, that we own the
civil service,
Mr. Shulman: That programme was de-
veloped' by the minister, and Tory MPPs have
been up there.
Mr. Singer: The Tories run the govern-
ment. If they can't do it properly, they should
quit.
Mr. Drea: My friend, there are two gov-
ernments. We are one of them. There is
another goverrmient of many thousands.
Mr. Singer: Oh, come on.
Mr. Drea: And just because my friend may
have some influence in there, it doesn't neces-
sarily mean that we own it.
Mr. Shulman: The minister's deputy de-
veloped, that contract.
Mr. Drea: Mr. Speaker, the reason I raised
the question of this staff development course
calendar-
Mr. Singer: Yes, that's a good question.
Mr. Drea: —is that, until things like this
are brought to light, they tend to perpetuate
themselves.
Mr. Singer: Leslie Frost used to stop them
when he saw them.
Mr. Drea: Pardon?
Mr. Singer: Leslie Frost used to stop them.
John Robarts stopped them. If Premier Davis
can't, well, get rid of him.
Mr. Drea: I suggest that it would probably
be a very happy day for the Liberal Party
if the Premier of this province was not to be
in office or was no longer going to continue
in his job, because the member has a party
and a leader that can't even tie the Premier's
shoelaces and will never be able to if it takes
100 or 200 years.
Mr. Singer: His shoelaces are tied. I just
looked.
Mr. Drea: Because it can take a century,
and as long as the Liberals are around, the
Premier of this province will still be Premier,
with an ever-increasing margin.
The member and his leader are our great-
est allies, the two of them together.
Hon. Mr. Grossman: That's why the Leader
of the Opposition doesn't wear laces.
Mr. Eaton: "Blank-cheque Bob."
Mr. Breithaupt: Well, I guess that's the
end-
Mr. Drea: When people criticize us, I just
say, "Would you like the member for Downs-
view?" and they say, "Oh, God, no, we'll vote
for you again." I may use his picture in my
campaign, and say "Do you want him?" I
may not even have to knock at the door.
Interjections by hon. members.
An hon. member: Why doesn't he move the
adjournment?
Mr. Singer: "The Perils of Pauline."
Mr. Speaker: Perhaps the hon. member
would observe the hour and move the ad-
journment.
Mr. Drea: Well, I have been trying to, but
I have been so rudely interrupted, sir.
Mr. Singer: "Will she fall off the cliff or
not?"
Mr. Drea: And it's very difficult for me.
with the shading of the light on the clock-
Interjection by an hon. member.
Mr. Drea: Mr. Speaker, I would adjourn
the debate.
Mr. Singer: "Or will fearless Frank come
to the rescue?"
APRIL 4, 1974
795
Mr. Breithaupt: Can we hope for more
tomorrow?
Mr. Drea: Oh, yes, until tomorrow.
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): We'll look forward
to it.
Mr. Singer: In breathless anticipation, we
shall wait.
Mr. Drea: Well, as our greatest ally, I
would hope that the member has breathless
anticipation.
Mr. Singer: Yes.
Mr. Drea: It would be a novel form of
levitation—
Mr. Deans: The member has moved the
adjournment, will he sit down?
Mr. Drea: —and that member doesn't like
any levitation.
Hon. Mr. Grossman: Very breathless.
Mr. Drea moves the adjournment of the
debate.
Motion agreed to.
Hon. Mr. Winkler: Mr. Speaker, tomorrow
we will continue with this debate.
Hon. Mr. Winkler moves the adjournment
of the House.
Motion agreed to.
The House adjourned at 10:30 o'clock, p.m
796 ONTARIO LEGISLATURE
CONTENTS
Thursday, April 4, 1974
Resumprion of the debate on the Speech from the Throne, Mr. Bounsall, Mr. Drea 767
Motion to adjourn debate, Mr. Drea, agreed to 795
Motion to adjourn, Mr. Winkler, agreed to 795
No. 20
Ontario
Hesisflature of Ontario
OFFICIAL REPORT — DAILY EDITION
Fourth Session of the Twenty-Ninth Legislature
Friday, April 5, 1974
Speaker: Honourable Allan Edward Renter
Clerk: Roderick Lewis, QC
THE QUEEN'S PRINTER
PARUAMENT BUILDINGS, TORONTO
1974
10
FHce per session, $10.00. Address, Clerk of the House, Parliament Bldgs., Toronto
CONTENTS
(Daily index of proceedings appears at back of this issue.)
790
LEGISLATIVE ASSEMBLY OF ONTARIO
The House met at 10 o'clock, a.m.
Prayers.
POINTS OF PRIVILEGE
Mr. M. Shulman (High Park): Mr.
Speaker, I rise on two points of privilege.
The first one is it is my understanding
that tradition says that every backbench
member of the House who wishes may
participate in the Throne debate. It has now
been indicated this morning that some of the
members may not be allowed time to par-
ticipate.
Mr. R. F. Nixon (Leader of the Opposi-
tion): Indicated by whom?
Mr. Speaker: There has been no such
tradition established, nor is there anything
in standing orders to that effect; nor does
custom in this chamber indicate so.
Mr. Shulman: Is it not in May, sir? Is it
your ruling that everyone does not have to
be given an opportunity to participate?
Mr. Speaker: I don't think that a ruling
is necessary. I am just confirming the facts
to the hon. member.
Mr. Shulman: Sir, is it not possible to
extend the hours of the House to allow those
members who wish to participate time to do
so?
Mr. Speaker: It is beyond my control.
Mr. Shulman: In whose control is it, sir?
Mr. E. Sargent (Grey-Bruce): Why
doesn't the member attend the sessions once
in a while?
Interjections by hon. members.
Mr. Shulman: Do I have any comment
from the House leader? Will he make any
comment on this?
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet ) : Ask me a question
during question period.
Mr. Shulman: The second matter, sir, is
that I believe it is a privilege of the mem-
Friday, April 5, 1974
hers of this House to receive correspondence
and communication from members of the
public who are incarcerated in our prisons
without those persons being punished for so
doing. Back on June 27, 1973, one Daniel
Brenner, an inmate of Guelph Reformatory,
wrote me a letter complaining about the
medical facilities in that institution, which
I subsequently raised in the House.
As a result of that letter, many months
later— in fact last week after he had been
transferred up to Burwash— he applied for
permission to transfer to Camp Bison, which
is a portion of Burwash where people may
take classes. He was refused.
As his record was clean, he asked why he
had been refused and they then produced a
copy of my letter, the letter which he had
sent to me in June, 1973, and said that as
a result of this letter they didn't like his
attitude. Sir, he is being punished for com-
municating with his MPP, and surely this
is a breacn of privilege?
Mr. Speaker: I presume the hon. member
is complaining of the suggested procedure
wherein they had taken a copy of his con-
fidential letter and certain consequences
resulted.
Mr. Shulman: One can't punish a man for
that.
Mr. Speaker: I believe perhaps the hon.
member does have some grounds for com-
plaint, but certainly I do not, in any way,
see where this is a parliamentary privilege
extended to members of the Legislature and
not extended to members of the public
generally.
The hon. member may have some cause
for complaint. He has put his point across
on the floor of the chamber. I do not believe
it is anything that would constitute parlia-
mentary privilege. However, he's made his
point.
Hon. A. GrosSVnan (Provincial Secretary
for Resources Development): He must keep
in mind that at the moment it is only an
allegation.
Mr. Speaker: Statements by the ministry.
800
ONTARIO LEGISLATURE
MINAKI LODGE
Hon. C. Bennett (Minister of Industry
and Tourism): Mr. Speaker, on Feb. 7, I
announced that an agreement had been
reached with the owner of Minaki Lodge
for the voluntary transfer of ownership of
Minaki Lodge Resorts Ltd. and its associ-
ated companies to the Northern Ontario De-
velopment Corp.
At that time, I made it very clear the
government of Ontario is prepared to assure
that Minaki flourishes, not only for its own
sake but for the good of northwestern On-
tario. I pointed out that the name of the game
is not just the creation of an improved and
important facility at Minaki, but also it is
the building of new opportunity in north-
western Ontario.
It is the government's firm conviction that
an expanded and improved facility at Minaki
can act as a magnet to draw additional peo-
ple into northwestern Ontario and that this
facility will complement others which are
located in this important area of our prov-
ince.
Mr. Speaker, this morning I am pleased to
announce that a knowledgeable board of
directors has taken ofiice to direct the affairs
of Minaki. This board will develop policies
aimed at providing a. facility designed to
attract Canadian and international visitors to
northwestern Ontario.
The seven-member board is sitting in the
Speaker's gallery this morning and will be
holding meetings throughout the day here in
Toronto. The board of directors consists of:
Mr. Tom Spence, an experienced motel oper-
ator of Dryden; Edwin Fahlgren, manager
of a Red Lake mining company; Ben Ratuski,
a Keewatin businessman known for wild
rice; Brian O'Brian, owner of a Thunder Bay
real estate company and president of the
associated Chambers of Commerce, north-
eastern and northwestern Ontario; David Cas-
well, a well-known northern Ontario hotel
operator; Rolland Doucette, a Perth restaura-
teur; and the seventh is Fred Boyer, execu-
tive director of the division of tourism in the
Ministry of Industry and Tourism.
This board, Mr. Speaker, has been given
the dual responsibility of appointing expert
management and preparing the physical con-
cept of the Minaki Lodge to emerge in the
near future. I have every reason to believe
that through these actions we shall produce
a facility that will be of real benefit to
Ontario.
Mr. Speaker, I wish to inform the House
that Minaki Lodge is now in the hands of
Canadians. It is the intention of the govern-
ment of Ontario to get the affairs of Minaki
Lodge back into excellent condition and
then to take the necessary steps to put this
superb resource in the hands of the Cana-
dian private sector.
Mr. Speaker: Oral questions.
The hon. Leader of the Opposition.
CORPORATION INCOME TAX PAID
BY OIL COMPANIES TO PROVINCE
Mr. R. F. Nixon: Mr. Speaker, I would
like to ask the Premier a question if I can
have his attention for a moment. Does he
agree with the statement made by the Min-
ister of Revenue (Mr. Meen) yesterday that
it is not within the minister's competence or
power to reveal the tax returns submitted to
him by public corporations in this province?
His answer was in response to the leader of
the NDP (Mr. Lewis) who was requesting
specific information in this regard.
Would the Premier not agree that these
matters are a matter of public record and,
particularly since the situation is going to
have to be made public, he should instruct
his Minister of Revenue to make public this
information without any further delay?
Hon. W. G. Davis (Premier): Mr. Speaker,
the Leader of the Opposition is presuming on
my knowledge of the law. This is something
I would have to discuss with the minister and
perhaps even with the Attorney General (Mr.
Welch).
Quite frankly, I don't know what the stat-
utes provide with respect to disclosure of
tax information. If the statutes provide that
it can't be disclosed, obviously we must be
bound by the statutes. If the statutes do not
so provide, of course, I think the minister
would consider it.
I cannot give the Leader of the Opposition
the legal opinion here this morning because
I haven't had an opportunity to check the
statutes myself. Quite frankly, even if I had,
I think I would want to get some advice
from the chief law officer of the Crown in
any event.
Hon. J. White (Treasurer, Minister of
Economics and Intergoverrmiental Affairs):
That's a good, tough question though.
Mr. R. F. Nixon: I'm glad the Treasurer
is here; I have a question or two for him,
since this is the first time he has been in for
APRIL 5. 1974
801
a question period for a number of days. Will
he just stay for a little while?
Mr. R. D. Kennedy (Peel South): The mem-
ber is lucky he was away.
Hon. Mr. Davis: He was here yesterday.
Mr. R. F. Nixon: Mr. Speaker, I wonder if
the Premier would simply state, as a matter
of principle, that if the law does not forbid
it— and no one here knows of any such law
or regulation— and if it is just the reluctance
of the Minister of Revenue, as it appeared
yesterday, that he will correct that reluctance
and see that the public information is pro-
vided without delay.
Hon. Mr. White: Hard-hitting "Bob Nixon"
is on the warpath, by George.
Mr. R. F. Nixon: I hear the Treasurer is
getting out of politics. I hear he can't stand
the heat. I hear that he and Ward Cornell
are going to move to London and see what
they can stir up.
An hon. member: There's no challenge
here.
Hon. Mr. White: I can't stand looking over
there any longer.
Hon. Mr. Grossman: The Liberals have
been out of politics for years.
Hon. Mr. Davis: Mr. Speaker, I have almost
forgotten the question; I wonder if the Leader
of the Opposition can remember what he
asked and then maybe I can answer it. I
have a feeling my answer is the same as it
was to the first question.
Mr. R. F. Nixon: I would put it to the
Premier, if his exuberant friend can contain
himself for a moment-
Mr. I. Deans (Wentworth): Has he been up
all night?
Mr. R. F. Nixon: Will he instruct the Minis-
ter of Revenue to give this information if in
fact it is just his reluctance rather than any
regulation which prohibits it?
Hon. Mr. Davis: Mr. Speaker, the Minister
of Revenue, being one of those very capable
men on this side of this House, doesn't need
any instructions from me—
Mr. R. F. Nixon: Yes, that's two— the Minis-
ter of Revenue and the Treasurer.
Hon. Mr. Davis: If it is proper to release
this information, I am sure he will do so. But,
as I said a few moments ago, it depends on
what the statutes provide.
RESTORATION OF OLD FORT WILLIAM
Mr. R. F. Nixon: Mr. Speaker, since the
question I have for the Treasurer is not of
such great importance, I would direct my next
question to the Minister of iNatural Resources,
who seems to be in the news again concern-
ing the government policy with regard to the
construction of Old Fort William.
Is he prepared to appear before the public
acxjounts committee to justify once again the
charges in the Globe and Mail by Gerald
McAulifFe that substantial contracts have been
let without tender, even though the statement
has been made through other members of the
ministry, that wherever possible, tendering
procedures will be used? Is he prepared to
explain as well why the basic contract was
let without tender to National Heritage and
Pigott Project Management, without even the
requirement of a performance bond, although
they in turn require 100 per cent performance
bonds from the subcontractors who are doing
the work for them?
Basically, is the minister prepared to appear
before the committee on public accounts to
justify what appears to be a policy that flies
in the face of the stated policy of the admin-
istration?
Hon. L. Bemier (Minister of Natural Re-
sources): Mr. Speaker, if I may explain one
little point regarding the article that appeared
in the Globe and Mail this morning— and I
might say it is the third one-as I read it this
morning, it reminded me, I suppose, of sau-
sage—some bad sausage.
Mr. R. F. Nixon: Bad sausage?
Hon. Mr. Bemier: The casing was good but
the stuffing was terrible, and I think my friend
will have to agree with that. Just one point,
though: I was shocked that this session is now
into its third or fourth week and this is the
first question that the opposition members
have directed to me in connection with what
will be the most fantastic tourist attraction in
northwestern Ontario. This will be a milestone
in the development of tourist attractions.
Don't ever forget it.
Mr. J. A. Renwick (Riverdale): It should be
at what it cost at public expense.
Hon. Mr. Bemier: I might say further that
I am in Thunder Bay at least once a week.
My telephone lines and my mail communica-
tions to northwestern Ontario are excellent-
Mr. Renwick: That doesn't excuse the way
in which the contract was let, and the minis-
ter knows it.
802
ONTARIO LEGISLATURE
Hon. Mr. Bemier: —and I might say that to
this day I have not received a phone call of
complaint or a—
Mr. Renwick: Answer the question.
Hon. Mr. Bernier: —letter of complaint. The
news media are supporting our project up
there. And all of northwestern Ontario is
excited about this particular development-
Mr. R. F. Nixon: The minister received a
question this morning. What about the fact
that no tenders were let?
Mr. Speaker: Order.
Mr. Renwick: Let's deal with the question
of the expenditui-e of public funds. Let's deal
with the improper use of public funds.
Mr. Speaker: Order.
Mr. J. E. Bullbrook (Samia): Answer the
question! The minister can't get away with
that; he doesn't have the talent.
Mr. Speaker: Order.
Mr. Renwick: We will try it in the pubhc
accounts committee where the minister won't
be able to make his propaganda statements.
Mr. Speaker: Order.
Hon. Mr. Bemier: I haven't received a
complaint from northwestern Ontario about
the construction of Old Fort William— not one
complaint— and I am there looking for it all
the time.
Mr. R. F. Nixon: We have over here.
An hon. member: What's so special about
the member?
Hon. Mr. Bemier: The former Minister of
Industry and Tourism (Mr. Auld) explained it
very well with regard to the question raised
by the Leader of the Opposition, and I don't
think there is any need for me to delve into
that further. But I would say to the Leader
of the Opposition that with regard to the call-
ing of tenders and specifically the placing of
performance bonds-
Mr. Sargent: What a bunch of clowns!
Hon. Mr. Bemier: —this is not a require-
ment within the contract itself, and many of
the contracts that were called—
Mr. R. F. Nixon: Why isn't it? Surely
it should be.
Mr. Renwick: It is required by public
accounts.
Hon. Mr. Bemier: —were all subcontracts
awarded by the contractor himself, and
they are not necessary-
Mr. R. F. Nixon: Then the minister is to
blame.
Hon. Mr. Bemier: I tell the member
that dealing with such picayune things as
birch bark, as cedar bark-
Mr. Renwick: As public funds, such
picayune things as public funds.
Mr. J. R. Breithaupt (Kitchener): But 10
times as big!
Mr. Speaker: Order.
Hon. Mr. Bernier: —for all picayune little
contracts, it is not necessary to ask for a
performance bond. But I would be pre-
pared to look into it further.
Mr. D. C. MacDonald (York South): Tories
trust Tories when they are handling public
Treasury.
Interjection by an hon. member.
Mr. R. F, Nixon: I asked the minister if
he would agree to appear before the public
accounts committee, where this must be
gone into in detail; will he give his under-
taking so to do?
Hon. Mr. Bemier: Mr. Speaker, if I get
a request from the public accounts com-
mittee, certainly I'll be glad to appear.
Mr. R. F. Nixon: A supplementary: How
can the minister justify, simply by referring
to what his colleague said in answer to a
question some months ago, saying that it is
not necessary to call tenders? Surely if the
government is going to spend public money
in the most effective and fair way it is
necessary to call tenders?
Hon. Mr. Bernier: I just explained that,
Mr. Speaker. Many of the contracts called
were subcontracts by the contractor himself.
It's not necesary for them to place per-
formance bonds for contracts which may be—
Mr. Renwick: But the major contract is
and the accounting for it is.
Hon. Mr. Bemier: -for $1,000 to $2,000
and are very small and picayune in nature.
Mr. J. F. Foulds (Port Arthur): A supple-
mentary: Is the minister not aware, in view
of his answer to the first question asked by
the Leader of the Opposition, that he has
received complaints from northwestern On-
APRIL 5, 1974
803
tario and there has been on the order paper
since the first week of this session a detailed
question on Old Fort William? If the min-
ister had the courage to answer that de-
tailed question, he might in fact clear up
a lot of the misunderstanding surrounding
Old Fort William, instead of giving these
vague wishy-washy answers.
Hon. Mr. Bemier: Mr, Speaker, those
cjuestions placed on the order paper will be
answered in due course.
Mr. Foulds: A supplementary, in view of
the minister's answer: Is he not aware that
I am surprised he hasn't had time to answer
it in three weeks, if he thinks nobody has
asked him questions on this matter for three
weeks?
Hon. Mr. Bemier: Mr. Speaker, I have
to point out to you that the member for
Port Arthur is the only one who has raised
any question about the development of Old
Fort William. I am surprised, if he is a
true northwestern Ontarian, that he should
be against a development of that magnitude.
Mr. Breithaupt: No one is against it!
An hon. member: Sure he is.
Interjections by hon. members.
Hon. W. A. Stewart (Minister of Agricul-
ture and Food): He doesn't want it at all.
Mr. R. F. Nixon: That's what we asked,
that's what we want.
Hon. Mr. Bemier: Surely he is not repre-
senting his people as they would want him
to represent them.
Mr. R. F. Nixon: That is a weak defence
by the minister.
Mr. Foulds: A supplementary, Mr.
Speaker: Is the minister not aware that if
the government spent the amount of money
it is spending on Old Fort William on
genuine secondary industrial development in
northwestern Ontario, it would have a much
stronger economic infrastructure than with
the Disneyland tourist trade it is now build-
ing?
Mr. E. M. Havrot (Timiskaming): Let the
member take it up in public accounts and
stop wasting question time.
Mr. Foulds: That is the Tories for you!
Interjections by hon. members.
Hon. J. R. Rhodes (Minister of Trans-
portation and Conmnunications ) : He doesn't
hke tourists.
Hon. Mr. Bemier: I would ask the mem-
ber for Port Arthur to inform himself on
what the tourist industry means to north-
western Ontario. If he would do a little bit
of background research and find out what
it really means—
Hon. Mr. Rhodes: He doesn't like tourism.
He and the member for Sudbury (Mr.
Germa) want hot-dog stands. What has the
NDP got against tourism?
Hon. Mr. Bemier: —and the employment
it provides; the dollars and the traflBc it will
generate will be fantastic, beyond his wildest
dreams.
Interjections by hon. members.
Hon. Mr. Grossman: Without smoke-
stacks.
Hon. Mr. Bemier: He should bring him-
self up to date on those plans.
Interjections by hon. members.
Mr. J. H. Jessiman (Fort William): He
doesn't know a boathouse from a dog
kennel.
Mr. Foulds: I woidd ask the minister him-
self what it means to labour in industr\' and
the sweat shop industry itself?
Mr. Speaker: Order. The hon. Leader of
the Opposition on a new question.
RESTRUCTURING OF RENFREW
COUNTY
Mr. R. F. Nixon: I'd like to ask a ques-
tion of the Treasurer, since he is so anxious
to participate in the debate this morning. In
his capacity as Minister of Intergovernmental
Affairs, he does have some responsibility for
the municipalities to some extent; how did
he reply to the mayor of the town of Ren-
frew who complained that the Treasurer has
established an inadequate base for the com-
mittee to look into the restructuring of Ren-
frew county, in that the terms of reference
were going to be established by two people,
not elected, from only one community in the
area? Has he amended his position on the
basis for that examination into a possible
restmcturing, or is he just going to let it go
and bull it through as is his custom?
Hon. Mr. White: I think the mayor's
letter has reached the Leader of the Opposi-
804
ONTARIO LEGISLATURE
tion before it reached me. At any rate, I
haven't seen it.
Mr. R. F. Nixon: It is addressed to the
minister and is dated March 26.
Hon. Mr. White: I haven't seen it yet.
Mr. R. F. Nixon: Why doesn't he read his
mail? Isn't he ever in his oflBce?
Mr. Speaker: Order.
Hon. Mr. White: I have been vv^orking on
the budget.
Mr. R. F. Nixon: Come on!
Mr. BuIIbrook: There is the hard-hitting
Treasurer.
Interjections by hon. members.
Mr. R. F. Nixon: A supplementary: As
the minister has not read his mail, and the
letter must have been on his desk probably
for five days, can he undertake to the House
that he will review the establishment of the
committee which is to set up the terms of
reference for the restructuring of Renfrew
county to see that it is distributed more
widely across the communities of the county
and to give an answer to the mayor who
says in his third paragraph: "Since you have
chosen not to answer two previous com-
munications on this matter", probably the
man, in some desperation, is communicating
with somebody else?
Hon. Mr. White: I'll certainly read the
letter and I'll certainly reply to it. Whether
I can meet the substance of his request, I
cannot tell at the moment.
Mr. R. F. Nixon: And really, essentially,
the Treasurer doesn't give a damn.
Mr. Speaker: Has the hon. Leader of the
Opposition further questions?
OIL PRICES
Mr. R. F. Nixon: I would like to ask the
Minister of Energy if he had any part to
play in what appears to be a substantial
mistake in the establishment of the base
price of the oil from Alberta, or if he is
prepared to say the blame lies entirely else-
where? Were his statisticians Involved in the
computations which we read about, leading
to a fairly serious error involving an extra
$30 million at least in the costing of this oil?
Hon. Mr. Rhodes: Wliat about the 99
cents a gallon on oil?
Hon. W. D. McKeough (Minister of
Energy): No.
Mr. R. F. Nixon: I didn't hear the
answer, Mr. Speaker.
Mr. Speaker: The answer was no.
Mr. R. F. Nixon: Supplementary: Is the
minister having his statisticians look into
this matter to see if, in fact, it will have
a direct effect on the consumers in this
province, who seem to have their prices
dictated by the agreement of the Premiers,
based on, in this case, inadequate informa-
tion?
Hon. Mr. McKeough: Mr. Speaker, since
the meeting of a week ago last Wednesday
we have been having our statisticians and
others examine all aspects of the matter,
including the differences between the well-
head price and the Edmonton price and
transportation costs. I'm not entirely clear
as to the references to the differences be-
tween synthetic crude and other oil, for
example, as contained in this morning's
paper. We are looking into that.
We are, of course, looking into the matter
of the other increase of one or two cents
requested by the companies and we are
assured by Ottawa they are looking into all
these matters and hope to come to a resolu-
tion.
I should also point out one inaccuracy,
if I may Mr. Speaker, in what the Leader
of the Opposition has said. He implied that
this was an agreement reached by the
Premiers of the provinces-
Mr. R. Haggerty (Welland South): Why
wasn't the minister at that meeting?
Hon. Mr. McKeough: He is overlooking
the fact that the agreement in effect was-
and I don't think it's too strong a word-
dictated by the Prime Minister of Canada.
Mr. Breithaupt: He would have a small
part to play.
Mr. R. F. Nixon: Supplementary: Would
the minister not agree with the Premier,
who stated after the agreement was com-
pleted that he had accepted— I wish I
could remember the exact words— but with
some equanimity and that it was the best
he could get?
Hon. Mr. Davis: With reluctance. Does
the member want me to repeat what I said?
Mr. R. F. Nixon: Sure.
APRIL 5. 1974
805
Hon. Mr. Davis: 'Mr. Speaker, just so
there is no misunderstanding, I said that I
was pleased there had l)een an agreement
reached so that there wouldn't be a con-
frontation, that with rehictance we accept-
ed the $6.50 price, which was the price
suggested by the Prime Minister of Canada-
Mr. R. F. Nixon: There was an agree-
ment?
Hon. Mr. Davis: —but if we didn't reach
agreement they would impose the price by
legislation. Ontario preferred a $6 price,
and still would; some sister provinces pre-
ferred $8, and some were somewhere in
between. Ontario would still like to have
had $6, but the Prime Minister of Canada
made it abundantly clear— and I understand
the position he had to take, because he
had to have it solved— when he said:
"Gentlemen, we agree or it's $6.50 to-
morrow afternoon by way of legislation."
Mr. R. F. Nixon: Supplementary: The
Premier then, in clarification of what the
Minister for Energy has said, did not really
feel the decision was imposed upon him
and that he accepted it under circum-
stances somewhat different than the minister
describes?
Hon. Mr. Davis: Mr. Speaker, I think
that one can use whatever interpretation
one may want to use.
Mr. R. F. Nixon: Try to get it both ways.
Hon. Mr. Grossman: It was an offer he
couldn't refuse.
Hon. Mr. Davis: The first minister of this
country, who had to make a determination
because April 1 was coming, said, very
politely but very firmly: "If we can reach
an agreement, fine. If we can't, it's $6.50
by legislation;" I think he said "tomorrow
afternoon." It's as simple as that. One can
use whatever interpretation one wants.
Hon. Mr. Grossman: Sounds like "The
Godfather."
Mr. Bullbrook: Supplementary of the
Premier, if I may: Notwithstanding whether
the agreement was reciprocal or imposed,
may we properly assume from the response
given by the Minister of Energy that the
first ministers of all the provinces and the
Prime Minister of Canada, on behalf of the
people whom they represent, have entered
into an agreement in connection with the
base rate without taking into consideration
the wellhead price of synthetic crude?
Hon. Mr. Davis: .Mr. Speaker, I can only
tell the member for Samia that we were
discu.ssing the price per barrel of oil coming
into the sister provinces of Canada; and
we were discussing a price-and there was
whatever terminology one might wish to
use— a price of $6.50 plus transportation.
Mr. Bullbrook: I take it the answer is
yes?
Hon. Mr. Davis: No. There was no men-
tion-
Mr. Bullbrook: By way of final supple-
mentary, is the Premier saying in effect
that he did or did not take into considera-
tion in his base rate agreement the wellhead
price of synthetic crude? If he did, would
he please tell us he did? If he didn't, why
didn't he? And who advises the Premier
in connection with these things?
Hon. Mr. Davis: Mr. Speaker, I can only
say that neither the first minister nor any
Premier there distinguished between syn-
thetic or non-synthetic crude. It's as simple
as that.
Hon. Mr. McKeough: Mr. Speaker, if I
might just add to this, I think the member
is suggesting that the Premier was not
properly advised. May we say that it would
have been much easier-
Mr. Sargent: Sit down.
Mr. Speaker: Order.
Mr. Sargent: How can he do it?
Mr. Speaker: The original question was
directed to the hon. minister and the hon.
members directed it to the Premier after.
The hon. Minister of Energy has every right
to complete his answer.
Hon. Mr. McKeough: The member has
suggested that proper advice was not given
to the Premier of this province, and I think
we can say that we were not able to give
him all the advice which we would like to
have given him because of the fact that from
the January meetings the government of
Canada did not consult with the other prov-
inces. They entered into certain bilateral dis-
cussions, which Ontario was not necessarily
part of. We didn't know what was going to
be put on the table because of the secrecy
surrounding the federal government's plans.
Interjections by hon. members.
Mr. Bullbrook: This government entered
into an agreement and didn't know what the
contents were.
806
ONTARIO LEGISLATURE
Mr. Speaker: Order, order. Has the hon.
Leader of the Opposition further questions?
The hon. member for Wentworth on behalf
of the New Democratic Party.
Mr. Deans: Mr. Speaker, I have a question
of the Minister of Consumer and Commercial
Relations.
Interjections by hon. members.
Mr. Speaker: Order please. The hon. mem-
ber for Wentworth has the floor.
Interjections by hon. members.
Hon. Mr. McKeough: Members opposite
are just patsies for Ottawa.
Mr. Bullbrook: Can you imagine signing
that agreement, Mr. Speaker, and not know-
ing what was in it?
Mr. Speaker: Order. I have recognized the
hon. member for Wentworth.
TORONTO REAL ESTATE BOARD
PROPERTY SALES NEWS BLACKOUT
Mr. Deans: Thank you, Mr. Speaker. This
family squabbling is getting a bit much.
I would like to ask the Minister of Con-
sumer and Commercial Relations if he be-
lieves that the recent action of the Toronto
Real Estate Board, where it decided not to
publish the sales figures for property sales in
Metropolitan Toronto-
Interjections by hon. members.
Mr. Speaker: Order, please. I can't tell
whether the question is in order or not.
An hon. member: It is out of date but it
is in order.
Mr. Deans: Yes, it is out of date. I am
asking the minister whether he feels that
action is in the public interest or whether
he feels that it is simply an attempt by the
real estate board to hide the rapidly rising
prices of housing in Metropolitan Toronto.
Doesn't the minister think it might be in the
public interest for his ministry to take over
and to publish such figures on a monthly or
weekly basis in selected areas of the Province
of Ontario to ensure that the public is aware
of the kinds of escalating prices that are
taking place?
Hon. J. T. Clement (Minister of Consumer
and Commercial Relations): I read with in-
terest the matter to which the hon. member
refers. I was also somewhat ironically amused
to note that it was the subject of a press
release, which of course would have the eff^ect
of drawing all sorts of attention to it. It might
well be in the public interest that this infor-
mation be made available. I haven't con-
sidered it yet, Mr. Speaker. I was somewhat
surprised when I read the announcement my-
self.
Mr. Deans: By way of supplementary ques-
tion, can we anticipate that the minister might
be making a statement with regard to the
possibility of his ministry assuming some
role in the field and making sure that the
public of Ontario is made aware of the kinds
of price increases, not only the rate of in-
crease but the justification for the increases
that are occurring in the Province of Ontario
in the housing field?
Hon. Mr. Clement: Mr. Speaker, I have
been advised by my staff that the board re-
versed the decision, apparently this morning,
and is now going to release those figures.
Mr. R. F. Nixon: Supplementary.
Mr. Deans: Supplementary.
Mr. Speaker: I think the hon. member who
asked the original should have the first supple-
mentary.
Mr. Deans: Regardless of the decision by
the Toronto Real Estate Board to release the
figures, does the minister not feel that it is a
public responsibility and that it should apply
not simply to Toronto but to other centres in
the province that are feeling the effects of in-
creased prices for housing? Does he not feel
that it might be in the interest of bringing
down the price of housing if he were to
undertake the responsibility?
Hon. Mr. Clement: Mr. Speaker, I do feel
that it is in the public interest to make as
much information available to the public as is
possible. I would like to point out to the hon.
member that this is an independent associa-
tion and I, per se, have no jurisdiction over
it. But I do think it is in the public interest
that the public be advised of the trends, not
only in real estate but other commodities over
which we have some interest or some control.
Mr. R. F. Nixon: I have a supplementary
having to do with the other commodities. I
was wondering, if the minister believes this
information should be public, as others
obviously do, would he include, in a housing
price index in that we might develop some-
thing like that, a reference to the apart-
ment rates, particularly in the Metropolitan
areas and the urban areas of the province?
APRIL 5. 1974
807
The predictions are that the vacancy rates are
now at one per cent and are going to be
zero in the fall. I think the pubhc should be
kept informed as to how these rates are chang-
ing as well.
Hon. Mr. Clement: Mr. Speaker, my col-
league the Minister of Housing (Mr. Handle-
man) made a statement touching on this sub-
ject yesterday. I just can't recall his entire
statement as to whether this information was
going to be looked into or not.
Mr. R. F. Nixon: He said he didn't think
the shortage was as substantial as indicated.
\fr. Speaker: Supplementary? The hon.
member for Wentworth.
RENT INCREASES
Mr. Deans: Mr. Speaker, I would like to
ask the same minister another question related
to a similar field. Does the minister feel that
information' in the following statement: "When
increases occur, most customers want to know
what the extra dollars are buying. The answer
is unfortunately next to nothing," is suflBcient
justification for increasing apartment rentals
by 10 to 15 to 20 per cent right across Metro
Toronto and in other metropolitan centres?
Hon. Mr. Clement: What's the question?
Mr. Deans: I am asking the minister
whether he feels that the following statement
is sufficient justification for the recent in-
creases in rental; I will read it to him again:
"When increases occur, most customers want
to know what the extra dollars are buying.
The answer is unfortunately next to nothing."
That's the justification being given for rent
increases right across the province and I am
asking the minister whether he feels that's
sufficient justification for the kinds of rent
increases that we are seeing in the province.
Hon. Mr. Clement: Mr. Speaker, I am not
aware who made that statement and I really
have no comment to pass other than that it
seems to be somewhat innocuous. I don't even
know who made the comment or under what
circimistances.
Mr. Deans: Supplementary question, may
I ask the question of the minister, then, in
another way. Recognizing the rapidly in-
creasing rental costs in the Province of
Ontario, does the minister feel that it is now
time to demand that those who are renting
provided adequate justification for rental in-
creases in order to ensure that there is not
the kind of— and I use the word again-
gouging that takes place as a result of a
decrease in the numbers of rental units
available?
Hon. Mr. Clement: Mr. Speaker, if you
had rent control you could legislate for that
very thing. We have no rent control in this
province at this time and I couldn't legislate
and make it mandatory, with any sanctions
applied if the person didn't obey it, that
every landlord is under an obligation in this
province to give a breakdown on any cost
increase. I don't know under what legislation
I could make that mandatory.
Mr. B. Newman ( Windsor- Walkerville ) :
Supplementary, Mr. Speaker: The hon. min-
ister just replied that he has no plans for
rent control at this time. Are plans being
undertaken by the ministry for rent control
at some future date?
Hon. Mr. Clement: I have no such plans,
Mr. Speaker.
Mr. Speaker: The hon. member for Ottawa
Centre.
Mr. M. Cassidy (Ottawa Centre): A sup-
plementary: Is the minister famihar with the
rent regulation legislation of the Province of
Quebec, both the new legislation and that
which has been in force for the last 20
years? What studies of that programme has
the ministry got to see whether it would
apply in Ontario?
Hon. Mr. Clement: Yes, I have heard of
the rent programme in Quebec. I should
point out to the House, Mr. Speaker, that
the Landlord and Tenant Act is under the
jurisdiction of the Attorney General. I really
have more than a passing interest in it as
a tenant, but other than that I have no
legislative authority behind me relating to
tenancies and the rentals of properties with-
in this province.
Mr. Cassidy: Well, a final supplemen-
tary-
Mr. Speaker: There have been a reason-
able number of supplementaries.
The hon. member for Wentworth, a new
question?
COMMUNITY USE OF SCHOOLS
Mr. Deans: Mr. Speaker, I have a question
of the Minister of Education. Is the minister
in a position to indicate whether the ministry
intends at some point to proceed with the
808
ONTARIO LEGISLATURE
recommendations of the select committee in-
vestigating community use of schools, in
order to allow the Hamilton board to make
some reasonable and rational determination as
to what schools might be closed, or what
schools can be used? And can the minister
say whether or not the ministry is prepared,
at some point in the near future, to fund to
any degree other than for direct educational
use of school buildings?
Hon. T. L. Wells (Minister of Education):
That is all under consideration, Mr. Speaker.
Mr. Deans: Well, a supplementary ques-
tion: Doesn't the minister understand that the
situation he is creating in Hamilton, both by
demanding that there will be an integration
of the separate and public schools, and sec-
ondly by insisting there be a closing down
because of his financial arrangements, is going
to put the board in a position of not having
facilities for community use within the next
two years, unless there is a clear indication
from the government as to its intent?
Hon. Mr. Wells: My friend, Mr. Speaker,
has got that all twisted around.
Mr. Deans: No, I have not.
Hon. Mr. Wells: The minister isn't forcing
anybody into anything, but I will just tell
him what's happened. For two years this
ministry has asked if the separate school
board and the public school board in the
Hamilton-Wentworth area can't get together
and share accommodation.
I have sat patiently at many meetings and
I have looked at what's there. There are
vacant classrooms in schools and there are
other school boards who want classrooms. I
think the two parties working together in co-
operation should be able to solve their prob-
lems. They haven't, unfortunately, to the dis-
credit of both of them.
Although I think both of them have tried
very hard, they haven't been able to come up
with any solution. It is not because of fault
on our part. All we have done is to say they
should get together and try to work out their
problem and share accommodation.
I must tell the hon. member I met with
the separate school board last night. They
indicated to me their very real concern that
they had to move ahead because in good faith
they tried to make some accommodation with
the public school board and to come to some
conclusion. Everything that had been sug-
gested has been turned down to date and
hasn't been accepted.
Based on my meeting last night, as I said,
I am looking at that. We are going to have
to make some special determinations on what
is going to be done in the Hamilton area in
order to solve some of the problems of those
boards. I am not sure that it relates at all to
the report of the select committee on utiliza-
tion of school facilities, because as I under-
stand it that's an interim report and that
committee is going to bring in further reports
which may modify some of the things that
they have indicated in their earlier reports.
Mr. R. F. Nixon: Supplementar)', Mr.
Speaker: Has the minister been approached
by anyone, from either a school board or from
the community where the sharing of facilities
has been undertaken, I believe in the Toronto
area, complaining that where the public facili-
ties have become redundant by population
changes it is often the low quality facilities
that are declared redundant, and that the
separate school supporters feel that they are
being put into, let's say lower quality facili-
ties because of the minister's policy that does
not permit them to build on their own? Has
he heard that complaint?
Hon. Mr. Wells: I have heard that com-
plaint, but I would just point out to the hon.
member that there is no law that sa}s they
have to accept those facilities.
Mr. Deans: The ministry won't let them
build their own.
Hon. Mr. Wells: All we have done is said
to them to start taking a look at these facili-
ties and see if they can be of any use to
them. In places where they have taken them,
they have done so on their own free volition.
Mr. R. F. Nixon: Supplementary-
Mr. Speaker: Order, please. I wonder if I
might remind the hon. members that yester-
day 35 minutes of the question period was
taken by the two leaders of the opposition.
Today two-thirds of the time has already
passed. There has been no opportunity for
the ministers to give replies to previous ques-
tions or for any of the backbenchers to ask
questions. I think the hon. leaders should
perhaps control the number of questions
they ask. Now the hon. Leader of the Opposi-
tion with a supplementary.
An hon. member: They are suppressing
their backbenchers.
Mr. Kennedy: Ours too.
APRIL 5. 1974
Mr. Speaker: If the hon. Leader of the
Opposition did have a supplementary, I am
sorr)' I interrupted him.
Mr. R. F. Nixon: Under the circumstances,
Mr. Speaker, I will probably get the informa-
tion privately from tne minister.
Mr. Speaker: Does the hon. member for
Wentworth have further questions? If not,
the hon. Minister of Energy has the response
to a previous question.
Mr. R. F. Nixon: Oh, I am so glad he
came this morning.
WIND ENERGY SEMINAR
H<Mi. Mr. McKeough: Mr. Speaker, the
hon. member for Sandwich-Riverside (Mr.
Burr) has asked on two occasions whether
we plan to send observers or participants to
a conference on wind energy at Sherbrooke
University, I think in May or June.
Mr. Speaker, the answer is no. That deci-
sion has been made. Let me just say that we
follow with interest the interest of a number
of people in wind energy. We don't think
that its day has arrived; we think it is some
distance in the future.
I ran across this item this morning; actu-
ally it came from British Columbia. It gives
us some idea, if I can put it this way, of how
far out the situation is at this moment.
In a 10 mile per hour wind, which is
probably about average for most parts of the
east coast of Vancouver Island, and I under-
stand it is about the same here, an efficient
50-ft diameter windmill can generate about
12 kilowatts of electric power. To equal the
power of a single 600 megawatt nuclear sta-
tion—and I should point out that for example
the Clark Keith station in Windsor is about
half that size— would require about 50,000
very large windwills— when the wind is blow-
ing!
Mr. Breithaupt: One might get rid of the
whole province that way.
Mr. E. J. Bounsall (Windsor West): What's
stopping him?
Mr. V. M. Singer (Downsview): I don't
know how the minister can provide statistics
on wind if he can't figure out the price of
gas.
Interjections by hon. members.
Hon. Mr. McKeough: To avoid interfering
with each other's wind, if I can put it that
way, they would have to be spaced out at
least 300 ft from each other anci the installa-
tion would then cover 160 square miles of
land with at least 2,800 miles of transmission
cable.
We vdll continue to follow closely develop-
ments in wind energy, but I think we would
have to say at this moment it does not pre-
sent a practical solution to the energy prob-
lems of Ontario.
Mr. Speaker: Does the hon. member have
a supplementary? The hon. member for
Sandwich-Riverside.
Mr. F. A. Burr (Sandwich-Riverside): Mr.
Speaker, a supplementary: Has the minister,
by any chance, read my speech from last week
directed entirely to him?
Mr. Singer: Does little eke.
Mr. Deans: He read it last night.
Hon. Mr. McKeough: I have not seen a text
of the member's speech— perhaps he woidd
be good enough to send it to me and I would
enjoy looking at it over the weekend— but I
have seen press reports of it, yes.
Mr. Burr: Mr. Speaker, a supplementary: If
I may answer the minister, it appears in
Hansard-
Mr. Speaker: This is a question period.
There is no answer by the hon. member.
This is a question period.
Interjections by hon. members.
Mr. Speaker: The hon. member may not—
Mr. Burr: Mr. Speaker, a supplementarj^
question: Would the minister be kind enough
to consult Hansard of March 25 and March
28, in which this subject is dealt with at con-
siderable length?
Mr. Sargent: Good for you!
Mr. Burr: Another supplementary: Does the
minister not reahze that the statement he has
made this morning shows how greatly in need
he and his advisers are of going to the seminar
and finding out what has oeen devised in the
last couple of years?
As another supplementary, does the minister
not reahze that the people who are going to
be at the seminar have said they could de-
vise a system in four years that woiJd eive
the equivalent energy of the nuclear plant
that he is going to take 11 years to build at
Goderich?
Hon. Mr. McKeough: Mr. Speaker, I accept;
and I will read the member's speech of March
810
ONTARIO LEGISLATURE
25 with a great deal of interest. I undertake
to do that over the weekend. I frankly admit
that I am not an expert on this subject. I
have found out enough about the conference
in May that I understand, by reputation, some
of the world's leading wind experts are to be
there and—
Mr. Breithaupt: Then the minister should
be there.
Mr. Foulds: Why hasn't he been invited?
Hon. Mr. McKeough: —on that basis I
assume that whether we send anybody from
the ministry or not, there will be representa-
tion there from this House.
Mr. Speaker: There have been enough
supplementaries. The hon. member had three
supplementaries. The hon. Minister of Con-
sumer and Commercial Relations has the
answer to a question asked previously.
VEHICLES ON CONSIGNMENT
Hon. Mr. Clement: Mr. Speaker, the hon.
member for Perth (Mr. Edighoffer) asked the
following question some days ago:
Does the Motor Vehicle Dealers Act
allow the registrar to issue a directive pro-
hibiting a dealer to place on his premises
a vehicle on consignment?
I'm advised that the registrar, under the Motor
Vehicle Dealers Act, recently ordered a dealer
to remove approximately 40 vehicles from his
premises. Tliese were the property of two
other dealers who were also registered under
the same Act. His authority for so doing is
that under section 3, subsection 3 of the Act,
it clearly states:
A registered motor vehicle dealer shall
not carry on business in a name other than
the name in which he is registered or in-
vite the public to deal at a place other than
that authorized by the registration.
Two-thirds of the vehicles on this lot were in
the name of another dealer registration and
therefore should not be offered for sale from
a place other than the dealer's premises.
Further to this, Mr. Speaker, I would like
to advise that the principle of dealers offering
vehicles that they do not ovm to the public
is very questionable where a previously un-
disclosed lien may arise and the purchaser
may lose possession of a vehicle that he has,
in fact, purchased in good faith.
Mr. Speaker: The hon. member for Grey-
Bruce.
FREIGHT RATES
Mr. Sargent: Mr. Speaker, I have a question
of the Premier, since the Minister of Trans-
portation and Communications is not here. In
view of the fact that every trucking company
in Ontario sets it own freight rates, how long
do we have to wait for this government, and
this new minister, to correct this scandalous
situation? This is an important part of our
economy and has much to do vdth the high
cost of living in my part of the province and
the rest of the province. Why can't we have
the Highway Transport Board get down to it
and demand that these rates be reviewed on
behalf of the people this year?
Hon. G. A. Kerr (Solicitor General): Doesn't
the member believe in competition?
Mr. D. M. Deacon (York Centre): There is
no competition when you have restricted
leases.
Hon. Mr. Davis: Mr. Speaker, I will be de-
lighted to discuss this matter with the Minis-
ter of Transportation and Communications.
Mr. Sargent: A supplementary: We've had
this type of response from the former minis-
ter (Mr. Carton), and Tm fed up wdth you
fellows saying you're going to loolc into it. A
further supplementary-
Interjections by hon. members.
Mr. Breithaupt: Is that not so?
Mr. Sargent: That's all right. The back-
benchers are talking, Mr. Speaker, but I want
to say that I'm fed up with—
Mr. Speaker: Well where is the question?
What is the supplementary?
Mr. Sargent: The question is, how long
is the Premier going to allow former Min-
ister of Highways Charlie MacNaughton, a
director of Laidlaw's, and John Robarts, to
sit with their brief cases before the High-
way Transport Board on behalf of trucking
companies? Where are the ethics involved
in this deal? Where are the ethics there?
Hon. Mr. Davis: Mr. Speaker, I won't
get into a discussion of ethics here this
morning, because the member and I might
get into some discussion where perhaps
he might assume that he should himself
question his own.
Mr. Speaker: The hon. member for Lake-
shore.
Mr. Sargent: Mr. Speaker, I would ask
the Premier to say what he means by that.
APRIL 5, 1974
811
Interjections by hon. members.
Mr. Sargent: The buck doesn't stop here;
it stops in—
Mr. Speaker: Order.
Interjections by hon. members.
Mr. Sargent: And the Premier should
know that himself.
Interjections by hon. members.
Mr. Sargent: Of all people, he tells me
that!
Mr. Speaker: Order.
Mr. Sargent: The Moog and Davis-
Mr. Speaker: Order please. The hon.
member for Lakeshore.
Mr. P. D. Lawlor (Lakeshore): I want to
ask something too!
Interjections by hon. members.
ONTARIO RACING COMMISSION
Mr. Lawlor: I have a question of the
Minister of Consumer ond Commercial Re-
lations.
In light of the public revelations made
last year on the Windsor race track and the
race fixing done there, has the minister
under consideration revising the investi-
gative procedures utilized by that commis-
sion, which are highly questionable, and
the basis upon which they penalize in-
dividuals?
Hon. Mr. Clement: I wouldn't want the
hon. member to think I was speaking too
loudly for him, so perhaps if he could read
lips I could give him the answer.
The investigative processes conducted by
the Ontario Racing Commission are, I might
suggest, being improved upon almost con-
stantly. I am aware that some of the prac-
tices, because of the nature of the industry,
might lead some as learned in the law as
is the hon. member to question them as to
their validity.
I should point out that the Racing Com-
mission has already conducted hearings in
public, which is contrary to the policy that
prevailed up to some short time ago—
Mr. Lawlor: Which is a great improve-
ment.
Hon. Mr. Clement: —and I think one of
the advantages of having these matters dealt
with in public is that people such as the
hon. member and I can have an opportunity
to look into these investigations and know
what is going on in the hearings, and in
that way the general improvement will be
beneficial to all.
Fm very much in favour of such matters,
except under certain circumstances, being
dealt with in public so there can be the
public scrutiny I think is in the best in-
terests of justice, and I hope to see con-
stant improvement in that particular area.
Mr. Lawlor: Supplementary, Mr. Speaker:
Since they have their own investigative staff,
as the minister knows, and they don't use
the regular police apparatus, doesn't the
minister, as a lawyer, find somewhat ques-
tionable the laying of some nebulous concept
called "specifications", which are in effect
really criminal charges, and the way in
which they are bandied by the commission?
Hon. Mr. Clement: I should point out to
the House, Mr. Speaker, that while they do
use their own investigative resources, they
do under certain circmnstances work very
closely with police forces both within and
without of this province. As the hon. mem-
ber knows, a number of participants of the
racing industry who are racing in this prov-
ince are in fact moving back and forth
across the international border. I am ad-
vised that they utilize these resources that
are available in the United States in certain
instances, as well as resources here in the
form of other police forces, particidarly the
Ontario Provincial Police in certain circum-
stances.
Mr. Lawlor: What about investigation?
Mr. Speaker: The hon. member for York
Forest-Hill.
FEDERAL BANK LEGISLATION
Mr. P. G. Givens (York-Forest Hill): I
would like to ask the Treasurer what his
position is with respect to the impending
federal legislation to amend the Bank Act,
which will enable provinces to buy into
new and existing banks, and which may en-
able new banks to be established by letters
patent? I consider this very far-reaching
legislation. Does the Treasurer intend to en-
courage its passage or to discourage its
Hon. Mr. White: Well, sir, some parts of
Canada think they have not been as well
served by the chartered banks as their eco-
812
ONTARIO LEGISLATURE
nomic needs warrant. What the facts of the
matter are I am not entirely sure, because the
banks in their turn provide statistical evi-
dence to indicate that they are lending more
money into those parts or the country than
moneys placed on deposit from there. They
conclude that they are providing extra special
stimulus to those parts of the country where
economic development has been somewhat
slower than here in Ontario.
At any rate, at the urging of those parts
of Canada and particularly western Canada,
the federal government has decided to enable
provinces to own up to 25 per cent of a
chartered bank. I have no particular objection
to that, but I think we in Ontario will not
have to utilize that federal legislation because
I do believe we are well served by the
large banks which have, I think, about 4,000
branches across this province.
We received requests from the Ontario
Federation of Agriculture to do what we
could to increase the supply and lower the
cost of farm credit. The Minister of Agri-
culture and Food and I have been
meeting with the chartered banking as-
sociation and we have had a very sympa-
thetic response from them. It seems to me
that, in preference to our starting our own
bank or purchasing part of an existing bank,
our cause is best served by going to the
chartered banks, when we have requests of
this kind, and eliciting their special co-
operation in these extraordinary needs of one
kind or another. That is our position at the
present time.
Mr. Givens: A supplementary: Well, is the
Treasurer-
Mr. Speaker: The time for oral questions
has expired; we have exceeded the time
actually.
Mr. Shulman: Oh yes, I made the rulesl
Mr. Speaker: I would point out to the hon.
member that—
Mr. Shulman: They agree with me.
Mr. Speaker: —the question period has
developed that we rely upon the leaders of
the two opposition parties to regulate their
number of questions. I try to limit the number
of supplementary questions without being too
restrictive.
As I did announce today, the time taken
yesterday by the leaders of the two parties
was quite excessive; it left practically no time.
I brought it to the attention-
Mr. Shulman: No diflFerence today. It's no
different any day.
Mr. Speaker: Oh yes, it's quite different
some days. I brought it to the attention of the
House today and both members did co-
operate. Now I regret that the hon. member
for High Park did not have an opportunity,
but I assure him that it was not his turn. I
recognize the hon. members in turn. Perhaps
he might direct that question in the next
question period.
Hon. Mr. McKeough: His are better ques-
tions, too, that is the pity.
Mr. Speaker: Before proceeding I should
announce to the hon. members that His
Honour the Lieutenant Governor will be in
the chamber just before adjournment time
at 1 o'clock to give royal assent to certain
bills. I have also been asked to inform the
hon. members that His Honour extends a
cordial invitation to all members to visit with
him in his chambers at the adjournment hour
of this House.
POINT OF PRIVILEGE
Mr. Shulman: But, sir, on a point of priv-
ilege. I rose earlier today on a question of
the privileges of the backbench members to
participate in this debate. I asked for re-
sponse from the minister responsible; he said
ask it in the question period. But because the
backbench members have so few chances to
ask questions in this House, I didn't get a
chance to ask him.
Now surely it is a privilege of the members
of this House to participate in the debates,
and surely the government should answer?
Hon. Mr. Grossman: The member made
the rules.
Petitions.
Presenting reports.
Motions.
Introduction of bills.
LAKE OF THE WOODS DISTRICT
HOSPITAL
Mr. Maeck moves first reading of bill
intituled, An Act respecting Lake of the
Woods District Hospital.
Motion agreed to; first reading of the bill.
Mr. Speaker: Orders of the day.
APRIL 5. 1974
813
Cleric of the House: The first order, resum-
ing the adjourned debate on the amendment
to the amendment to the motion for an
address in reply to the speech of the Honour-
able the Lieutenant Governor at the opening
of the session.
THRONE SPEECH DEBATE
Mr. Speaker: The hon. member for Scar-
borough Centre:
Mr. F. Drea (Scarborough Centre): Thank
you, Mr. Speaker. In the time that has elaps-
ed since I adjourned this debate we have
entered into a very historic day in this Legis-
lature, for today marks the final oflBcial visit
of a man who has accomplished something
that very few in their lifetime can. That is,
by his own personal magnitude, his own
dedication to office and his coiLstant example
of standing for the very things which are the
finest in this province; he has surpassed the
institution.
Sir, it was a couple of weeks ago when
this Legislature tendered a dinner to His
Honour. On that occasion, a journalist ques-
tioned me particularly along the lines of "do
we need that kind of symbol any more in
Canadian society?" Of course, I suggest to
you, Mr. Speaker, that had he known a little
more about the parliamentary system he
would have realized we do need that office
if our system is to continue.
Beyond that, it seems to me that His Hon-
our over the years has not only brought great
dignity to his office, he has been an example
to the people of this province. Mr. Speaker, I
don't think any member of this assembly,
present at his dinner, was not touched by
his final remarks. His Honour talked about
the great love he has for this province and
how he had travelled this province. I would
like to point out that His Honour, in the
finest sense of the word, is this province be-
cause to me he symbolizes all of the things
that are great and all of the opportunities
that are available to people in Ontario.
Sir, this is indeed an historic day and I
don't think it should be marked with sad-
ness. I think the last thing His Honour would
like is for people to feel at all sad that he
has completed his assignment for he has
completed it so marvellously and, indeed, he
has been a great inspiration not only to the
senior portion of our population because he
has not allowed the infirmities which come
vdth advancing years to interfere with his
duties, he has also been a great source of
inspiration to young people in this province.
Mr. Speaker, I have deviated a bit from
the normal speech in the Throne Speech
debate because, with the way the schedule
reads, I will be the last speaker representing
the government party on this day of His
Honour's last official visit to the chamber.
Now, Mr. Speaker, I would like to raise
with you a matter of privilege and I would
hope, when I am done with the matter of
privilege, we shall have another historic day
in this chamber.
The matter of privilege that I wish to raise
with you concerns the denial to me by an
arbitrary ruling upon your part, with great
respect, which denies me my full privilege
as a member to communicate with my con-
stituents. The nature of your ruling, sir,
also denies me the basic privilege of im-
munity from lawsuit-
Mr. J. A. Renwick (Riverdale): Mr. Speak-
er, on a point of order. Is the hon. member
for Scarborough Centre challenging the rul-
ing of the Chair? Is this a device by which
he is going to challenge the ruling of the
Chair? If so, I ask you to rule if the hon.
member is in order or out of order.
Mr. Drea: Mr. Speaker, the privilege has
to be considered-
Mr. Speaker: No. Order, please. I have no
idea whatsoever what the hon. member is
going to refer to. Certainly it is highlv un-
usual, to say the very least, to raise what is
termed a matter of privilege during the
Throne debate. It is quite correct that any
hon. member may speak about any matter
he wishes to speak about during his Throne
debate as long as he stays within the con-
fines of parliamentary procedure. Now, it
seems to me that to raise a point of privilege
in this manner— as the hon. member kno\%'s
the Speaker has no opportimity to respond-
as part of the Throne debate, I woulci think
is out of order.
Mr. Drea: Mr. Speaker, I don't want to
challenge you, sir, but I would hke to give
an explanation. The matter of privilege which
I wish to raise concerns the Throne debate
and that is why I bring it up when it is my
turn to speak in the Throne debate. It is my
only opportunity to raise the matter of privi-
lege concerning the Speech from the Throne.
Mr. Renwick: No it isn't. No it isn't.
Mr. Speaker: Privilege, as referred to in
connection with what the hon. member is
saying, refers to parliamentary privilege con-
ferred upon members of Parliament. Now the
814
ONTARIO LEGISLATURE
privileges referred to consist of certain rights
conferred upon members of Legislatures and
of the House of Commons or any parliament,
which are not conferred upon any member of
the public. Anything that falls within the
ambit of that description is a point of
privilege.
There have been many, many hon. mem-
bers over the past years who have attempted
to rise on a point of privilege when, in fact,
it was not a point of privilege at all. It might
have been properly construed as a point of
order.
It occurred to me that there were certain
matters that perhaps could be raised and
should be raised and I therefore did make a
ruling at one time, not too long ago, that
where an hon. member does have something
to bring up in the chamber, by way of ex-
planation or further indication to clarify cer-
tain matters, if he consulted with the Speaker's
ofiBce this would be permitted. But certainly
during the Throne debate it is improper to
raise a point of privilege.
Mr. Drea: Then with great respect, sir, may
I ask the question of when I would be
allowed to raise a question of privilege re-
garding the Throne Speech?
Mr. Speaker: Not at this particular time.
Mr. P. D. Lawlor (Lakeshore): The member
knows the rules.
Mr. M. Shulman (High Park): Before the
orders of the day.
Mr. Drea: The member for High Park has
great luck v^dth that.
Interjection by an hon. member.
An hon. member: Don't use the word
privilege.
Mr. Drea: I am getting some advice, Mr.
Speaker, but I don't want to try to circum-
vent your ruling. I am not that type of per-
son. I will bring it up at the proper time.
I am not not going to play games. I respect
your ruling. I dont agree with it, but I am
not going to play games and try to circima-
vent it by dropping the word or the expres-
sion privilege.
Mr. Renwick: Very good.
Mr. Drea: But perhaps, sir, I might have
the opportunity to consult with the Clerk
and get an idea of when one can raise the
question of privilege concerning one's parti-
cipation in the Throne Speech debate, if
indeed it can't be raised at that time.
Mr. Renwick: Is the member going to con-
sult him now?
Mr. Drea: I must say to my friend from
High Park, we haven't done very well. That's
three strikes today, two on him and one on
me. Mr. Speaker, to return to the matter of
the Throne Speech-
Mr. V. M. Singer (Downs view): Why don't
the two of them start a football league?
Mr. Drea: Well he has the money and I
suppose I have the mouth. We might do very
well.
Mr. B. Newman (Windsor-Walkerville):
Well, the member was honest there.
Mr. Drea: If he had as much luck in specu-
lating with football talent as he does with
commodities, why we might get to be a rather
famous duo.
Mr. Renwick: Famous passing team.
Mr. Drea: Mr. Speaker, it seems to me that
the pubhc reaction to the Throne Speech has
been that it is rather a marking time event;
that it is a kind of a pause before a rather
significant Speech from the Throne to be de-
livered next year, because it will form the
basis of an election platform for this party.
(I would sincerely wish, Mr. Speaker, that
the editorialists who pontificate this view
would read the Throne Speech in its entirety
and that they would go back into the history
of this government. This government did not
commence in the spring of 1971 after the
leadership convention when the member for
Peel North (Mr. Davis) became Premier of this
province. Where this government has its
origins is when George Drew took power in
this province in the 1940s.
Mr. Speaker, if you look at Throne Speech
after Throne Speech you will see that this
party and this government has constantly been
building.
In the time of George Drew we were over-
seeing the transformation of a society from
an all-out war effort and a recovery from a
depression into the beginnings of modem
urban and industrial Ontario. Aiid the Throne
Speeches and the action of that government
reflected that overview; and that pohcy was
carried on as well by Mr. Kennedy dming his
brief tenure.
In Mr. Frost's time, it was the supervision
of the overseeing of the transformation of
Ontario from a largely rural to a largely urban
society. In Mr. Robarts' time, it was oversee-
ing the change from an occupationally-
oriented society into a very technologically-
APRIL 5. 1974
815
oriented society. We could see that in the de-
velopment of the universities, of the voca-
tional high schools and the community col-
leges and in the great emphasis upon the need
for education in our society.
Again, when we come to the present
Premier we see the overseeing of the trans-
formation of a burgeoning, pioneering, ex-
panding society into one that is going to be
aware of the limited amount of resources,
of the problems of population movements
and mobility, of the particular problems of
the elderly in our society, of the particular
problems of younger people having to face
a society that literally changes every two
or three years instead of after a couple of
generations.
I suggest to you, Mr. Speaker, that the
Throne Speech of 1974 is not one that is
marking time. Rather, sir, it is a new
plateau, for it boldly states the pledge of
this government that we are not only pre-
pared to meet the challenges of urban
Ontario, substantial as they may be, but
that we are going to roll back the last
undeveloped frontier of this province, the
north.
I suggest to you, sir, there has been no
more ambitious programme annoimced by
an\- government in this country than those
programmes announced in the Throne
Speech of this year, for we are taking
dead aim on the housing issue. Despite the
fact that the federal government has bungled
housing for more than two decades through
the inability of the Central Mortgage and
Housing Corp. and its ancillaries to come
to grips with the basic nature of the
economic problem, we are saying in eflFect,
"Forget about that, we are going to assume
responsibility for preserving the Canadian
dream." This is the right of young men and
women, of middle-aged men and women and
of older men and women, to save their
money and to buy a home and to have it
as their own.
I suggest to you, sir, that the day that
people in this province cannot buy a home,
then our society is in rather deep and
rather permanent trouble, and the buck
has stopped—
Mr. R. Haggerty (Welland South): Tell it
to the Minister of Housing (Mr. Handle-
man) don't tell us.
Mr. Drea: —in this Throne Speech; the
buck has stopped. The Minister of Housing
has stated it on at least a half a dozen
occasions since then— and the member's only
problem is he can't come to grips with the
fact the minister is speaking with a great
amount of realism. And I am glad-
Mr. B. Newman: We have heard that now
for 15 years from the member's side of the
House.
Mr. Drea: —that the Housing Minister in
his action programme has said the govern-
ment of Ontario isn't going to build all
of the houses, that there is a responsibility
for private industry in this field. I think
it would be a disaster if we were to take
over all housing in this province. We don't
want a communalized society; we don't
want your house to be determined by a
faceless person Mr. Speaker. We want to
let you have the opportunity to buy the
kind of a home you like and the kind of a
home you can afford and to l>e able to seek
alternatives, if you don't like the particular
model that's there.
Mr. Haggerty: The member is not
answering the problem.
Mr. Drea: It would be very easy for
the government to take over the whole
housing industry. Heaven help us if it did!
People would be living in tents within two
years.
Mr. Lawlor: They are going to be in any
event.
Mr. Drea: Mr. Speaker, I would like
also to say that although it is not a radical
programme, we have come to grips with the
last major health cost item for the senior
citizens of this province, and that is the
announcement that we are going into the
provision of prescription drugs for senior
citizens under the normal health insurance
programmes.
Mr. Singer: So much for housing.
Mr. Drea: Mr. Speaker, we will become
the first jurisdiction to do this on thil
continent. I think that is a remarkable
achievement of a government in a society
that supposedly is oriented toward the
young, the efficient and the successful.
Mr. Haggerty: It is 30 years too late.
Mr. Drea: Thirty years too late? Thirt>'
years ago when this party took power in this
province there was a lackadaisical, do-
nothing, stumblebum government.
Mr. J. R. Breithaupt (Kitchener): It has
not improved since.
Mr. Drea: It took us a long time even to
correct the nonsense that had gone on. I
816
ONTARIO LEGISLATURE
suggest to the members that we have brought
in drug care for senior citizens. Members
opposite have had a party in Ottawa that has
dominated the Ottawa scene over those 30
years and I have yet to see it do one single
thing in the way of drugs for senior citizens.
So don't point the finger at us.
Mr. Haggerty: Tell us about it. Where does
this government get the money from? The
federal government.
Mr. L. M. Reilly (Eghnton): Where does
the federal government get the money from?
From Ontario.
Mr. Drea: That is a government that can
give $80 million for LIP and other screwball
projects. Then members opposite ask us where
do we get the money from. The money that
they put in Ottawa into weirdo stuff could
provide prescription drugs for every senior
citizen in Canada in every province as a
matter of right, and don't forget it.
Mr. Breithaupt: Tell that to the immigrant
groups and Injured Workmen's Consultants.
Mr. Haggerty: Tell them.
Interjections by hon. members.
Mr. Speaker: Order, please. The member
for Scarborough Centre has the floor.
Mr. Drea: I will be perfectly glad to tell
anybody. I will also tell them about the
amount of money that went into the Church
of Satan. That has to be a remarkable achieve-
ment by any government.
Interjections by hon. members.
Mr. Drea: If there is that little control over
a programme of that magnitude, then, sir, I
don't really think that I want to have any
part of it, and I think that as a responsible
legislator I have every right to criticize it.
Mr. Speaker, we have come to grips with
the housing problem. We are not going to
solve it overnight: we would be less than
truthful if we said we were. But we have
embarked on the long crusade to meet the
challenge of the rather expensive dwellings in
the urban areas. Now for years there has
been a suggestion that we regulate the move-
ment of people so that they would not all
come to Toronto or the subui^bs, or so that
they would not all go to Kitchener- Waterloo
or to Hamilton, but they would go some
place where there is supposedly a scarcity of
population.
Mr. Speaker, that is a most impractical pro-
gramme. I do not wish to be associated with
any type of programme that tells a person
where he must live. If we are going to have
a society in Canada and in Ontario that we
can be proud of, we have to meet the chal-
lenge rather than impose restrictions and hope
that we can avoid the challenge. That is
precisely what our new housing action pro-
gramme is going to do.
Mr. Renwick: What about the—
Mr. Drea: Again in the field of aging, Mr.
Speaker, we do not treat the health cost pro-
grammes for the senior citizens as a matter
of charity. I am very proud of the Davis gov-
ernment because we have stopped punishing
thrift. If you had saved for your old age or if
you have a pension above and beyond the
guaranteed armual supplement, we don't sug-
gest to you that you are diff^erent from any
other senior citizen and make you pay vour
premimns. We provide premium-free assist-
ance to everyone over 65, because it isn't
charity. It is a dividend to those people in
appreciation of the contribution they have
made to the establishment, the de\elopment,
prosperity and the opportunities that this
province enjoys. We have now brought about
the final health care programme which will
remove the economic sting from the health
problems which do occur more regularly with
the senior members of our society.
When I was first elected to this chamber
people suggested I was a great advocate of
consumerism. When I told them what this
government intended to do in the field of
consumerism, people tended to believe that
it was such an imposing programme it would
have to be introduced over a decade.
In this Throne Speech, there is the un-
mistakable hand of the Minister of Consumer
and Commercial Relations (Mr. Clement).
Mr. Renwick: Where?
Mr. Drea: We are not only going to deal
with the very difficult problem of a Business
Practices Act which will drive the crooks, the
shysters and the fly-by-nights out of business,
we are also going to deal with the very diffi-
cult problem of warranties and guarantees.
It's difficult because of the split jurisdiction
and the international trade ramifications of
our province.
Mr. Renwick: That has nothing to do with
split jurisdiction. It's whether or not this
government is prepared to protect the con-
sumers in the Province of Ontario.
Mr. Speaker: Order, please.
APRIL 5. 1974
817
Mr. Drea: This government protects con-
sumers better than any other province does.
Mr. Renwick: We are sick and tired of the
split jurisdiction.
Mr. Lawlor: The member himself has said
it on innumerable occasions that we have left
it too long.
Mr. Renwick: We have heard him describe
the problems and say that the consumer min-
istry-
Interjections by hon. members.
Mr. Speaker: Order, please.
An hon. member: This is getting into a
debate.
Mr. Drea: I have never said those words.
What I have said— and the member was there,
if he was paying attention at that early hour
of the morning— was that for practical pur-
poses—it was said some time ago— there was
no real meaningful consumer protection in
Ontario.
Mr. Lawlor: How can he say that's pretty
good?
Mr. Renwick: That's what we said.
Mr. Drea: That is not what they said. They
said I accused the minister of having a min-
istry which was in a shambles. If they're
going to quote me, let them please quote me
correctly.
Mr. Renwick: As one goes through his
statement it's the same thing.
Mr. Drea: That is not—
Mr. J. Root (Wellington-DulFerin): They're
hard of hearing over there. They can't hear
what the member says.
Mr. Drea: There's a wide difference and I
would suggest the member has won many a
law case on such a wide difference as that.
. Mr. Lawlor: No meaningful consideration.
Mr. Renwick: Let's not quibble. Let's get
to the specifics.
Mr. Drea: However, Mr. Speaker, I am
very proud of the Ministry of Consumer and
Commercial Relations in this province-
Mr. E. Sargent (Grey-Bruce): Another tacky
job.
Mr. Drea: —for accepting a criticism like
mine and not going off and sulking about it
but going out and doing something about it.
Mr. Renwick: There is no jurisdictional
problem.
Mr. Drea: There is a jurisdictional problem
in this province dealing with warranties and
guarantees. Any practising solicitor, surely,
should recognize that.
Mr. Renwick: There is no problem dealing
with warranties and guarantees as part of the
contracts-
Mr. Speaker: Order, please. The member
is out of order.
Mr. Drea: May I suggest he talk to some
of his federal colleagues because they keep
bringing it up?
Mr. Speaker, to come back to the practical
realities of the proposed new legislation on
warranties and guarantees, I think it is a
mark of this government and of the Minister
of Consumer and Commercial Relations that
we are going to return honesty to the market-
place in an extremely meaningful way.
Mr. Sargent: That's in the green paper.
Mr. Drea: We are going to balance the
scales. We are going to make sure that the
consumer-
Mr. Singer: Meaningful dishonesty.
Mr. Drea: —is protected against the sophis-
tication and complexities of the TV promoter;
against the complexities of modem advertis-
ing; and against the complexities of a nation
which is so dependent upon international con-
sumer trade that we have, for years, been
willing to accept the American style of guar-
antee or the American style of warrantv. I
suggest that the amount of attention paid b\-
our Ministry of Consumer and Commercial
Relations to this problem in its green paper
is indicative of the fact that it means business
and we are now in a position where this
legislation will be coming in in this session.
In the field of transportation, not only in
southern Ontario but in northern Ontario,
this government is determined to open up
this province so its residents may enjoy, to
the maximum, the full opportunities for eco-
nomic and social development.
I suggest to you, sir, the road building pro-
gramme in the north, the feasibility study for
the road to Moosonee, the new extension of
the Ontario Northland Railway which will be
built from Moosonee to deep water-
Mr. Sargent: How was that tendered?
Mr. Reilly: We have a great government.
818
ONTARIO LEGISLATURE
Mr. Drea: I'm glad the member mentioned
that without tender. Could I suggest he read
the Globe and Mail this morning? It holds the
tendering practices of our Ministry of Trans-
portation and Communications out as a model
to any government operation anywhere on the
continent. The member for Grey-Bruce's
problem is that he only reads what he wants
to read. In fact, I wonder if he can read at all.
Mr. Sargent: The government has one thing
that works. There is only one thing and that's
why he is talking about it.
Mr. Drea: I wasn't talking about it. I
accept that as normal. The member is the one
who raised it. If he is going to read a news-
paper, he had better read all nine columns of
it. He gets into an awful lot of trouble stick-
ing with the two columns on the left.
Mr. Sargent: The member was through two
hours ago. Why didn't he stop?
Mr. Drea: I have always taken the posi-
tion that if I can bring out the beast in the
member for Grey-Bruce for public display,
it is worth the effort.
Mr. Sargent: Anybody over there can do
that.
Mr. Drea: Well, anyone may be able to do
it. I realize that, but somehow I do with a
bit more clarity and acerbity than the norm.
Mr. Speaker, the transportation programmes
of this province are indeed indicative of this
new plateau, for we do intend to roll back
the artificial frontier that has been the far
north of northern Ontario, the area beyond
Cochrane, the area beyond the northernmost
of the east-west railroads, the northernmost
of the Trans-Canada Highway routes. There
is an abundance of resources in those areas.
Mr. Sargent: Does the member know that
one trucker has all the rights up there? He
has complete rights to the north country.
Mr. Drea: One trucker?
Mr. Sargent: One trucker.
Mr. Drea: He must be a good one.
Mr. Sargent: Yes, he has got an in for him.
Mr. Haggerty: No tendering.
Mr. Drea: Would that trucking company be
Star Transfer?
Mr. Sargent: Which one?
Mr. Drea: Star Transfer.
Mr. Singer: No.
Mr. Drea: In the north we happen to own
a truck line which is a subsidiary of the On-
tario Northland, but I would hardly expect
the member to know that.
Mr. Root: I don't think he knows what
trucks there are on the highway up there?
Mr. Sargent: What's that?
Mr. Speaker: Order. The member for Scar-
borough Centre is the only one with the floor.
Mr. Drea: It is all right, Mr. Speaker. I'm
enjoying it.
Mr. Sargent: That's free enterprise!
Mr. Speaker: Order.
Mr. Drea: On behalf of my colleague over
there, I'm trying to give him an hour and the
member is ruthlessly interrupting me. I don't
want to get into a conflict of interest between
these two fellows, because that's something
else. But if he would allow me to finish, the
member for Downsview will be next. Thanks.
Mr. Singer: Thank you, I am in no rush.
Let the member take as much time as he
wants.
Mr. Drea: Okay.
Mr. Sargent: And then he will hear some
sense.
Mr. Drea: Mr. Speaker, again and hope-
fully for the final time, to return to the
transportation programmes of this govern-
ment. Transportation and the opening of
new routes in the north, albeit that they
are the more conventional type of trans-
portation, either rail or road, are just as
significant to the development of the
economic and social goals of this province
as is our concern with rapid transit lines
in the urban areas.
Mr. Speaker, I suggest to you that the
decision to go north, both in terms of
road from Cochrane and in terms of rail
from Moosonee, wfll be regarded in the
future years as as much a landmark as that
of the Premier of this province some two
years ago in cancelling the Spadina Ex-
pressway and in introducing the era of
rapid transit in this province. That is already
considered a hallmark in the social develop-
ment in this province.
Mr. Singer: Hallmark in backward steps.
Mr. Drea: I suggest to you, Mr. Speaker,
that the contents of this Throne Speech
with regard to transportation, particularly
APRIL 5, 1974
819
those of the north, will be as much a hall-
mark in years to come.
Mr. Sargent: Is the member going to re-
open Spadina?
Mr. Drea: Am I going to reopen Spadina?
I have no use for the Spadina Expressway
and neither does any thinking person. With
gasoline going to 75 and 80 cents a gallon,
thanks to that magnificent federal Liberal
planning, 1 don't think any thinking person
is concerned about the Spadina Expressway
these days. As a matter of fact, I presume
they are kind of grateful to us for saving
them from about a $250 million blunder.
Mr. B. Newman: Is the member going to
have his government review the fuel taxes
on bus systems-
Mr. Speaker: Order, please.
Mr. Drea: Yes.
Mr. B. Newman: —to enable municipal
bus systems to operate a little more
efficiently?
Mr. Speaker: Order please, will the mem-
ber for Scarborough Centre please continue
liis address.
Mr. Drea: I am dutifully trying. Would
the member write? I didn't get it. I want
to finish. Would he write it, then I'd be
ver>- glad to take it up with the minister.
Mr. B. Newman: I would prefer the
member to answer concerning—
Mr. Speaker: Order, please.
Mr. Drea: Well, if the member would—
you know, the members all sit over there
and snicker, and now they want me to
answer questions in my speech. If they
want me to answer questions, I would
humbly suggest to them that they send me
a note. I would be very glad to reply.
Mr. Sargent: Do it in question period.
Okay?
Mr. B. Newman: Okay, I'll send him a
note.
Mr. J. P. Spence (Kent): The place is
getting so bad, he could wait forever.
Mr. J. P. MacBeth (York West): Put in a
good word for the minister.
Mr. Drea: Mr. Speaker, on a final note, I
would like to discuss some remarks that
were made in this House yesterday. I was
in the unforttmate position of sitting in the
chair as your replacement, Mr. Speaker, so
I could not interject or correct the records
at that particular time, so I am going to
bring it up today.
Mr, Speaker, yesterday the allegation was
made that a minister of the Crown re-
flected the professional do-gooder attitude
of people who apparently go out and knock
on a few doors and coUec-t a couple of
dollars, or many dollars, on behalf of various
charitable causes— 1 think that the one which
was particularly mentioned yesterday was
that of the cancer campaign— and that some-
how, by doing that, that allowed people
like the particular minister of the Crown
who was mentioned to abrogate their other
responsibilities in society.
Mr. Speaker, I think that this is a
dreadful canard. I would like to suggest
to you that there are many tens of thou-
sands of women and men in this province
who go out and solicit funds on behalf of
their churches, on behalf of the Salvation
Army, on Ijehalf of the cancer fund, on
behalf of the heart fund, on behalf of a
great many things. Rather than being pro-
fessional do-gooders, Mr. Speaker, those men
and women are the people who are the
finest and the best in their communities and
they represent everything that the people
of Ontario stand for. And I say that to you
with deep respect, sir.
I want to dissociate myself from the type
of thinking that tries to project the view
that the women who are standing out in
downtown Toronto and other centres to-
day—with the temperature just above freez-
ing—selling daffodils on behalf of cancer
research, are some kind of professional do-
gooders. I want to dissociate myself from
that, sir. I want to say to you, Mr. Speaker,
that those women are the finest in this
province and rather than being the object
of snide remarks with a nasal twang, they
should get the very enthusiastic desk thump-
ing of the members of this chamber.
I am fed up to death with the idea that
unless you believe in some kind of a massive,
collective, expensive and very often wasteful
and bureaucratic solution to individual prob-
lems, then you are somewhat less than a
thinking person. And, Mr. Speaker, just to
ensure that those i>eople who do go out and
do that kind of work— and it is difficult— just
to ensure that they know where they stand
with the responsible members of this Legisla-
ture, I am very glad that the desk thumping
came from both sides of the House when I
made those remarks.
820
ONTARIO LEGISLATURE
I suggest to you, Mr. Speaker, that there
are a great many members of this House who
have knocked on doors and solicited funds for
research, or for churches, or for school pro-
jects, or for a great number of other things.
Quite frankly, Mr. Speaker, I was rather
amazed yesterday that those remarks were
accepted as ordinary statements of fact. Be-
cause certainly to me they strike at the very
fibre of our society, and to let them go on
unchallenged would be a disservice to very
many thousands of extremely fine people.
Thank you, Mr. Speaker.
Mr. Speaker: The hon. member for Downs-
view.
Mr. V. M. Singer ( Downsview ) : Mr.
Speaker, as I've listened to portions of this
debate I've been very interested to hear the
remarks of various members and particularly
the compliments that they have addressed to
new cabinet appointees. One notorious omis-
sion, I thought, was any reference to five
hon. members who have recently left the
ministry.
Mr. Shulman: We have mixed feelings on
some of them.
Mr. Singer: I thought, Mr. Speaker, that
someone at least should have a word or two
to say about the hon. member for Bellwoods
( Mr. Yaremko ) , the hon. member for Armour-
dale (Mr. Carton), the hon. member for York
Mills (Mr. Bales), and the hon. member for
Kingston and the Islands (Mr. Apps). I think
I left one out— the hon. member for Carleton
East (Mr. Lawrence).
Perhaps these words coming from me are
not inappropriate because I've sat in this
House since 1959, a longer period than all
of those five members except the member
for Bellwoods who came in, if my memory
serves me correctly, in 1951.
In my opinion, Mr. Speaker, and without
dealing with each one of these hon. gentle-
men individually, they have served their com-
munity and this province in an outstanding
manner. I felt very badly, personally, that
after the many years of service each one of
them has given, their departure from the
ministry was done in such a cold, abrupt and
apparently unfeeling way.
If there is anyone who should know about
politics and the feelings of politicians, it's
the people who serve JFrom time to time in
this Legislature. While I was in frequent dis-
agreement with these gentlemen from time to
time on points of policy I have no hesitation
whatsoever in saying here in the Legislature,
where it should have been said by someone
else, that the Province of Ontario owes a
great debt to the unselfish service that each
one of these five gentlemen has given.
I feel very badly that, when the time came
and the decision was made by the Premier,
the press release given out couldn't have been
expanded by a few pages at least and a
paragraph or a sentence or two devoted to the
past service of each one of these gentlemen.
I think it's inappropriate. I think it's un-
feeling but perhaps it is a measure of this
government and its new approach.
Mr. Renwick: Of course it is. It is the night
of the long knives.
Mr. Singer: Mr. Speaker, there is more
significance in the departure of these partic-
ular gentlemen and the future of COGP. We
all know about COGP. It was hailed as the
new businesslike approach to running govern-
ment. Where did the advice come from? It
came from the leaders of the business world,
the heads of big and successful companies,
who sat down and said "We are going to tell
you how to run the government as a business."
They really felt the politicians were use-
less appendages. I can recall one evening in
the members lounge dowoistairs, talking to
one of these fellows who didn't quite agree
with some of the views we were putting for-
ward. Finally an argument developed and he
went storming out the door and snarled over
his shoulder, "You political yahoos who waste
your time getting elected when we are the
people who know how to run the business of
the province." That I think, Mr. Speaker, un-
fortunately was the attitude that permeated
the recommendations of COGP— the elected
people really are dumb. We are the political
yahoos who waste our time coming here and
the intelligent people, the successful business-
men, should be running the Province of On-
tario.
One of the great ideas they came for^va^d
with was the establishment of policy secre-
tariats. And with great flag-waving and drum-
thumping we had a group of ministers, some
called them superministers, who were pro-
vincial policy secretaries. There was one who
looked after justice; there was one who looked
after social services; there was one who looked
after treasury and intergovernmental affairs;
and there was a fourth one who looked after
natural resources. These people were going to
sit and think. They were going to come out
with ideas and they had a variet)- of minis-
tries to whom these ideas should be fed.
One secretary had eight portfolios to which
he was to give ideas. Another one had six;
APRIL 5, 1974
821
another one five; I have forgotten the exact
breakdown. Well, it was fascinating. It was
fascinating to watch how it worked in TEIGA
when the present Minister of Energy (Mr.
McKeough) was the provincial Treasurer and
grabbed unto himself the Ministry of Munic-
ipal Affairs. He seemed to be roaming the
field and he was dictating policy to hknself
and to the government and to the people of
the Province of Ontario and, I suppose, advis-
ing other ministries and thinking aixi so on.
It became very diflBcult in the justice field
particularly, and Mr. Lawrence, the one-time
member for the riding of St. George, couldn't
stand it any more and took himself from here
and went to another place. I don't really
blame him because he was caught in a use-
less job. He was given no responsibility,
really. He had no decisions to make. He had
ver\' little to say.
The hon. member for Carleton East tried
very hard to make his job work but it just
didn't seem to fit together and he has now
departed. So the story goes throughout all
these secretariats. With the departure of these
five ministers it was interesting to see what
happened to the secretariats.
In Justice I guess someone has now decided
that the Attorney General (Mr. Welch) can
think as well as do, so he is the Provincial
Secretary for Justice as well as being the
Attorney General. It is fascinating to look at
the estimates that were tabled; the Provincial
Secretary for Justice is asking for some
$400,000 this year and in addition the
Attorney General's estimates are asking for a
very substantial sum of money. I wonder why?
I wonder why the Attorney General wants
that money or why he wanted the $350,000
he was voted last year because there is only
one minister, not two any more.
There used to be a deputy minister. That
was another of the tragedies. Randall Dick
who, to my mind at least, was one of the most
able civil servants we have around Queen's
Park was also hived off in a comer for two
or three years doing nothing. The govenmient
has shown a little inteUigence at least in now
giving him responsibility as a deputy minister
in an operating department and I think that
is all to the good. But there is no deputy
minister in the secretariat for Justice. We
haven't got a minister and we haven't got a
deputy minister and what the $400,000 is for,
Mr. Speaker, escapes me completely.
Why is it not time now for the government
to admit that this major COGP recommenda-
tion has been an abysmal failure? That the
secretariats have gone the way of the horse-
drawn buggy and that we take out even the
small amounts asked for in the estimates and
let's get down to business.
What other secretariats appear to have been
continued? I am not quite sure whether the
Treasurer of Ontario (Mr. White) is a secre-
tary or just the minister in TEIGA. If he is a
secretary some of his thinking doesn't seem to
project very well for the benefit of the people
of Ontario but surely he has a full plate
looking after the responsibilities assigned to
him. TTieTe's Justice suid there's the TCIGA.
Then it's fascinating to note that the hon.
member for St. Andrew-St. Patrick (Mr. Gross-
man) is now a provincial secretary. I watched
his first performance as secretary the day he
made that interesting statement about where
the pipeline was going to go. It was as
though suddenly the hon. member for St.
Andrew-St. Patrick had done little else but
worry about locations of pipelines. Some of
us know him reasonably well, and when he
wants to make a speech about something he
knows something about, he doesn't stumble
through four or five pages of written text, and
he did stumble. Then when the questions
came, he couldn't answer them and he had
to point to the member for Chatham-Kent
(Mr. McKeough). The member for Chatham-
Kent, who obviously was the author of that
great piece of policy, had to come in and take
up the breach.
Well, what's happened to the member for
St. Andrew-St. Patrick? I suppose it was a
nice way of easing him out of the picture,
giving him a title and preserving a min-
isterial salary. What he has to do escapes the
notice of anyone who sits in this Legislature
at all. It's rather a pity, because he has cer-
tain talents that the government has used in
the past. It's a pity to see him hived off.
Now I come to the hon. member for Scar-
borough East (Mrs. Birch), and I think she's
a fine lady. I think her presence in this House
adds a great deal to our proceedings. But I
think again, if the idea of COGP was mean-
ingful at all, the appointment of people as
secretaries involved the selection amongst the
Tory members of people who had had sub-
stantial and varied experience in senior posi-
tions in government.
In saying what I am saying, I am not
being critical of the hon. member. I just
wonder about the basis on which her appoint-
ment was made when her experience in this
House certainly has been very limited and
her apparent knowledge of the various de-
partments which have come imder this secre-
tariat is again very very limited. I think she
has a very important role to play in the affairs
of this Legislature and in the affairs of the
822
ONTARIO LEGISLATURE
Conservative Party, but I wonder again if
this is not just another passing off. I would
predict that the hon. member has a very
bright future in poHtics, but if she is going
to be put in the secretariat and really have
no responsibility, then what is the use? In
efiEect, Mr. Speaker, what I am saying is the
system of secretariats has been abandoned,
and I think it's time that the Premier gave it
an honest burial.
Let me turn to my next point. I want to
talk about Ontario housing at some length.
Mr. Renwick: If it's of any solace to the
member for Downsview, I am inclined to
agree with him.
Mr. Singer: Thank you, sir. I am making
progress. The hon. member for Riverdale
and I are in agreement. I want to talk about
Ontario housing. I had hoped that I could
have attacked the minister. He isn't here, so
we are going to have to expect maybe that
he will read this in Hansard or someone in
his depfutment might want to tell him about
some of my remarks.
The affairs of housing, notwithstanding the
remarks of the last speaker, in the history of
this province have been very, very sad. They
have been very very badly handled. The
government in the time I have been here has
run through some five ministers, Macaulay,
Randall, the present Provincial Secretary for
Resources Development (Mr. Grossman), the
now Attorney General and now the new
member who is the Minister for Housing
(Mr. Handleman). That portfolio seemed to
attract to it people who would be able to
produce on the eve of an election elaborate
plans for new building, which usually got
substantial newspaper coverage— full pages.
I can remember Macaulay building all sorts
of highrise buildings down on the lakefront
in the east end of Toronto. He only built
them in the newspapers, but it sounded good
at election-time. Ajid, of course, we had
Stan Randall.
Mr. Breithaupt: Harbour City.
Mr. Singer: Stan was a great fellow, yes.
Mr. Renwick: And Malvern.
Mr. Singer: Malvern— oh, I am going to
say a word or two. Stan was a great fellow.
He was used to selling refrigerators to Es-
kimos and he thought that was the way you
could build houses. It really didn't matter
whether you built houses as long as you made
a speech about building houses.
And then we had the hon. member for St.
Andrew-St. Patrick whose standard approach
was to dare anybody to criticize him and he
would snarl back and that was that end of
the housing.
Well, the Attorney General, when he was
Minister of Housing, really didn't have
sufficient length of time to have a go at it,
so he didn't do very much. And now we
have the new minister and the new minister
is great at making speeches. In one of the
Toronto newspapers today there is a story on
page 2 that is headed: "All Talk and No
Action From Handleman." I think that is
appropriate.
In another Toronto newspaper there was an
editorial headed: "How To Say Boo To A
Speculator." There were comments on the
remarks of the hon. minister, saying it is all
very fine to make speeches. The last two para-
graphs read like this— referring to the min-
ister's comments in relation to speculation in
land:
Speculation in land or anything else,
come to that, is perfectly legal. Is the min-
ister warning that what is legal may not be
moral and that new regulations are going to
be brought down to give effect to that
view? If not, surely he should desist.
Surely we are past the point where a
species of ritual, Calvinist imprecation does
any good. What is needed from the Hous-
ing Minister is not a verbal flailing in the
temple but a cogently designed series of
measures to take the profit out of specula-
tion. If that is what he believes is necessary
he— and it might be added, Welch, Davis
and all . . .
And I say well said to the editorial writer,
because it is long, long past that we are going
to build houses by the magnificent speeches
of the Macatdays, the Randalls, the Gross-
mans, the Welches, or the newest incumbent
in that office.
The housing situation in the Province of
Ontario is a disgrace. It is absolutely beyond
understanding as to why most of the w'kge
earners in this province are unable to buy a
house. There have been aU sorts of suggested
solutions. My leader, when he first entered
this debate, devoted a considerable section
of his speech to methods that might be used.
Many of my colleagues have spoken frequent-
ly time after time here and outside, and
been reported amply in the press about the
problems of housing.
I remember, Mr. Speaker, in the byelection
in St. George I was at a meeting held in an
apartment house to meet the now member for
APRIL 5, 1974
823
St. George (Mrs. Campbell). Circulars had
been distributed through the apartment house
and it was anticipated that maybe 15 or 20
people would show up. Instead, 100 people
came; they wanted to hear what she had to
say— and the topic of the evening was hous-
ing.
I remember particularly one gentleman who
lived in that apartment building, a nice
apartment building in downtown Toronto. He
was a young man, good looking, well spoken.
He said: "I have a good job; I earn $15,000
a year. I like my bosses and they like me; I
expect I am going to stay with Aem for my
working life. But I am married and I dont
want to live in an apartment for the rest of
my life. What are you politicians going to do
to help me."
That, Mr. Speaker, is the tragedy that exists
in our housing situation in this province today.
There was a report that came across my
desk from A. E. LePage yesterday, and they
do a pretty good statistical analysis. What was
the average sale price of houses in Metro-
politan Toronto in the year 1973? I think
$44,000 was the average selling price of a
house.
Now, Mr. Speaker, you know and I know
that someone earning $10,000, $12,000,
$15,000,^ $18,000, $20,000, $25,000 a year,
just can't afford to go and buy a house at
$44,000. Where are the people of Ontario
going to live and how are they going to be
able to afford it? And what are we going to
get from the government, other than the
speeches of the Macaulays and the Randalls
and the Grossmans and the Handlemans? You
don't build houses with speeches, Mr. Speaker,
and that's aH we're getting.
Mr. Speaker, one of the things that
bothers me is that with this great selec-
tion of gentlemen who have been given
the responsibility for housing— with Ontario
Housing Corp. and now with the Ministry
of Housing— there is something radically,
radically wrong with the way Ontario
Housing Corp. has been run in the past and
the way in which the ministry is being
run now.
Mr. Speaker, you may recall that when
the hon. member for St. Andrew-St. Patrick
was the minister, I mentioned in this House
that certain information had come to my
attention which indicated that perhaps there
was something unusual and suspicious and
possibly very, very wrong about methods
that had been used for purchasing land.
Because I didn't want to make any accusa-
tions addressed against any particular person
until I had evidence— and I won't make an
accusation until I do have evidence— I asked
for an opportunity to look at the minutes
of the Ontario Housing Corp. dealing with
land purchases over a fixed period. I asked
over the telephone and was refused by the
general manager of Ontario Housing Corp.
I \\Tote to the minister and the minister
said: "No, those are private records. You
can't see them." Mind you, Mr. Speaker,
this is public business. We are spending a
lot of public money and one would think
than an elected representative of the public
should be entitled to examine the records
of public business. But the correspondence
is here, and I can read it in length if it
interests anybody today.
The minister said: "No, I'm not going
to let you look at the minutes of Ontario
Housing Corp. I'm not going to let you
try to determine whether or not the in-
formation that you have received is correct
and the suggestions of bad practice are
correct. If you think you have some in-
formation about a particular individual, tell
me and I'll look it up and I'll tell you if
you're right."
Well, I had run into a brick wall, Mr.
Speaker, so I gave up on that one, but I
never really forgot about it. It passed off,
and we noticed no particular change either
in land purchase arrangements or methods,
and we noticed no particular apology from
the ministry. No new systems were an-
nounced and they carried on as they \\'anted
to. That was one incident. There have been
a series of other incidents.
I had some of our staff look at the
number of times that my colleagues and
I had been at Ontario Housing Corp. about
a variety of matters. There was the im-
proper disposal of OHC building materials.
You may remember that one, Mr. Speaker.
We asked about it and we got fobbed off
with a nothing answer. Nothing really was
ever done about it. There was the ques-
tion of gifts, and I'm going to deal a little
longer with gifts.
Mr. Speaker, here are photostats of the
many, many times in the last three or four
years that we have been tr>ing to bring
some public light to the affairs of what goes
on in Ontario Housing. We've had no
answers from any of the ministers. All we
have are the Macaula>'S, and the Randalls
and the whole series of them getting up
and building houses in newspapers, but as
for the actual building of houses on land,
there is none of that.
824
ONTARIO LEGISLATURE
Mr. Speaker, there is another very dis-
turbing incident that happened quite
recently. It turned up sort of as a side
effect of the inquiry conducted by His
Honour Judge Waisberg in the royal com-
mission on certain sectors of the building
industry. His terms of reference were quite
specific, that he should inquire into ques-
tions of violence, possible corruption, and
so forth in the building industry.
During the course of that inquiry, Mr.
A. E. Shepherd, QC, who is well known
to many members of this House, who was
counsel to the commission, appeared before
His Honour Judge Waisberg on Dec. 20,
1973, and delivered a very fascinating state-
ment.
The statement is here and I have it from
the original transcript. I'm not going to read
it in detail but it is here and if anybody
wants to see it I have it. It said in effect
that there were gifts, substantial gifts, in
dollars and other favours given by certain
unnamed persons to senior officials of the
Ontario Housing Corp. and it appeared that
those senior officials were in a position to
make decisions about which pieces of land
Ontario Housing Corp. purchased.
Obviously what Mr. Shepherd was getting
at was that it was about time a careful look
was taken at this to see whether or not the
giving of these gifts did, in fact, wrongly
direct the efforts of Ontario Housing in pur-
chasing certain lands. Were certain people
given favours? Were they given larger prices
than they might have been entitled to and
so on?
One of the things Mr. Shepherd said was,
to give an example:
We found evidence of a gift of $2,000
in a gift certificate made at one time by
one who is a principal in a company deal-
ing with OHC to one of the employees of
that corporation, whose duties required him
to share in the process of decision-making
affecting the fate of the application by the
developers, including a company with
which the donor is associated.
One would have thought that this would be
a matter of great concern to the government.
Mr. Shepherd and His Honour discussed this
at some length and Mr. Shepherd suggested
that the police be called in and the police
were called in. Mr. Shepherd, I understand,
made available to the police the information
which the commission's investigators had
turned up.
The House was still in session I think,
wasn't it, on Dec. 20? Did we go on after
Dec. 20 or did we stop? I tried then and I
tried in the House when it came back early in
March to elicit information from the Attorney
General as to what was happening. The only
reply I've been able to get up to this moment,
Mr. Speaker, is that the matter is under in-
vestigation.
I don't know how long it takes to investi-
gate this kind of charge— it is not one of
suggestion— because one must presume that
Mr. Shepherd, who is a very competent
lawyer, would not likely go before a judge,
who is conducting a royal commission on in-
structions from the government of Ontario,
and make these charges unless he was pretty
sure of the evidence he had available to him.
That was on Dec. 20 and this is April 5.
How long, Mr. Speaker, does this kind of in-
vestigation go on? There were questions
raised both by the judge and Mr. Shepherd
as to what should be done and the matter
was left that the police investigations would
go on. The commissioner is quoted as saying:
The police investigations, I should say,
should continue Mdthout being impeded in
any way by our own investigations.
Mr. Sheperd: That is correct.
And what is your suggestion and recom-
mendation? [that's the commissioner].
Mr. Shepherd: I think the proper course,
Mr. Commissioner, at this point in time is
to allow the police to deal promptly and
vigorously with the matter which is, of
course, very much within their field and
then, in light of the result of police investi-
gation, for you, sir, to reassess the position
which would be appropriate to adopt.
Mr. Speaker, what has happened is the police
investigations, insofar as I've been able to
ascertain, have not led to the laying of any
charges as yet. You know, sir, that it is an
offence for a civil servant to receive gifts and
it is written in our statutes. There have been
no charges as yet laid.
It seems, if I read the papers correctly, that
this royal commission has about concluded its
public hearings, and that the commissioner,
on the advice of Mr. Shepherd and Mr. Mac-
Rae, who was with Mr. Shepherd, is prepar-
ing his report— I am guessing about that; I
don't know. But the whole incident to which
Mr. Shepherd devoted 15 or 18 pages of tran-
script on the morning of Dec. 20 seems to
have faded into the woodwork.
Mr. Speaker, there is something wrong in
Ontario Housing. I know it and many mem-
bers of this House know it. And Mr. Shepherd
certainly spoke about it in a clear and un-
mistakable way before a judge of the county
court of the Province of Ontario. What is
APRIL 5, 1974
825
happening? Not a thing— that's what is
happening. And we are back again to the
problem of how we can build houses. Well,
we are not building houses because we
haven't even got a department that seems to
be operating on an even keel. We haven't
got a department that is prepared to let
members of the Legislature or members of
the public know what's going on. And 1, for
one, frankly am getting sick and tired of
listening to the speeches of Macaulay,
Randall, Grossman, Welch and Handleman
that don't produce any houses.
Mr. B. Newman: Housing by headlines.
Mr. Singer: In 1954, the Malvern land
assembly was done; that is 20 years ago, Mr.
Speaker. For 20 years that land— some 1,700
acres— has been in public ownership, and
there are a handful of houses on it today.
What are we getting? We are getting speech-
es about how it's a bad thing to speculate,
but we are not getting any laws. We are
getting speeches about how we need serviced
land, and if I heard somebody correctly this
morning, perhaps there should be more serv-
ices, but surely it's the responsibility of the
municipality.
We are getting new statutes such as the
parkway green belt statute, which draws an
artificial line around the periphery of Metro-
politan Toronto, stops services from going
across it and stops development. We are
getting freezes imposed arbitrarily, months
ago; and metes and bounds descriptions are
not available, so people don't even know
where the limits are.
We are getting speeches about how we
are going to speed up the process. Now, Mr.
Speaker, you sat on a municipal council; you
know a little bit about the process. I wonder
if the present Minister of Housing or the
present Treasurer or any one of them knows
anything about how tne process works at
all?
And what is the speeding-up going to
mean? I am familiar with one application that
I think was commenced in May, 1973. The
application was in one of the boroughs here
in Metropolitan Toronto. It involves a re-
quest by the ov^mer to turn the land, which
had a specific use, into a use for row houses.
It was no great problem, because a battle
had been hotly fought by the ratepayers
about the land immediately abutting it. The
Municipal Board had a lengthy hearing and
said of the land immediately next door: "Yes,
that land can be used for such-and-such a
purpose and the density is so-and-so."
On this otlxr piece of property, right next
door to it, where they wanted an exactly
similar use, the process has taken already the
better part of a year. There ha.sn't Ix-en one
single objection by any ratepayer, by any
member of any planning staff, by any mem-
ber of any council. It is just the paperwork.
On this piece of land, when it is rezoned,
there will be some 69 housirjg imits. But the
paperwork that is supposedly going to be
speeded up by the ministry, has taken over
a year already— and there have been no ol>-
jections.
Mr. Speaker, surely it's about time that
someone who begins to talk about speeding
up the process began to, from a position of
some knowledge. Maybe the person who is
going to do that should understand what goes
on in municipal councils and municipal plan-
ning boards. The bigger these municipalities
get the more steps seem to be invented for
review and review and review and review
and review. If the government really believes
that there is a way of speeding up the
process, for goodness sake, come in here and
tell us. Come in here and give us some
directions. Come in here and give us some
statutes.
Mr. Shulman: We will. We will.
Mr. Singer: We have a new minister over
there. Things will change immediately. That's
the way you are going to build houses, Mr.
Speaker, not with the speeches of the Macau-
lays, the Randalls, the Grossmans, the Welchs
and the Handlemans.
Mr. B. Newman: And the Robarts.
Mr. Singer: Yes, the Premiers have gotten
into it. The Davises and the Robarts and the
Leslie Frosts didn't build houses either, and
their spokesmen certainly weren't able to
build houses.
Finally, Mr. Speaker, this has been said
so many times it probably isn't worthy of
repetition, but it has been said so many
times, Mr. Speaker, that perhaps we'll tr>
it just once more. The reason that housing
costs are escalating is because there is a
shortage of serviced lots. And the reason
there is a shortage of serviced lots is because
of the various statutes, the various govern-
ment procedures and the lack of sureness
and the lack of money.
The hon. member for York Centre (Mr.
Deacon) has said, and so many of us have said
so many times, put in the services. Let the
government of Ontario put in the .services.
You are not going to have houses unless yoTi
826
ONTARIO LEGISLATURE
have water, Mr. Speaker. You are not going
to have houses unless you have sewers. You
are not going to have houses unless you
have roads. And if the installation of those
services is going to be made dependent upon
the actions of the developers and the hin-
drances and the hurdles put in front of de-
velopment by government, then the process
has to grind to a halt, as it is now doing.
Surely, Mr. Speaker, there must be some
way within the fertile imaginations of all
the people who occupy the treasury benches
that they could devise a system whereby the
government is going to be able to finance
the installation of services. Once we have
serviced land available then we can put
houses on it. Then the plea of the gentleman
I talked about a little earlier— the gentleman
who was earning $15,000 and was happy with
his job and was happy with his employers
and was happy with his future except that he
couldn't buy a house— will be answered, and
then maybe we can get to the point where
we are going to be able to do something
about providing housing for the people, who
are entitled to live in houses.
And then, Mr. Speaker, I think the time
has come to have a very serious look about
the say-noers, not the do-gooders, but the
people who say no to anything that is new.
Somebody suggested yesterday that the
projections of zero vacancies in apartments
was perhaps self-serving and was being in-
stigated by those who presently own apart-
ments so that they can raise rents. One of
my colleagues suggested that in his riding
there were lots of apartments going up, but
what is in fact happening, Mr. Speaker, cer-
tainly in this metropolitan area, is that the
ability to deal with a piece of land and erect
on it buildings for multiple use has almost
ceased. But there are more people who
want to have apartments, there are more
people who want to have houses, and really
the lid is on. So it's not unnatural and it's not
self-seeking to suggest that we are heading
\ery quickly to a zero vacancy rate, that we
are heading for a dramatic increase in rents.
With all of the other factors that are
affecting the cost of living, we are not in the
glorious never-never land that the member
for Scarborough Centre was talking about,
but we are in a time of great difficulty in
this i5rovince and our people just aren't able
to afford any longer the cost of food and the
cost of housing and the cost of many other
things.
And what are we getting, Mr. Speaker,
from the government? We get more Handle-
man speeches. I don't particularly fault the
new Minister of Housing. He is a new boy
and he has what is probably one of the
toughest portfolios in government, but he is
in character with what has happened before.
He is completely in character with Macaulay,
Randall, Grossman and Welch. Surely, Mr.
Speaker, the time has come to stop saying
"in the fullness of time." They used the
phrase yesterday, "in the aggregate we will
build some houses." I don't know what year
"aggregate" is, but he was going to build
some "in the aggregate." "Wait until my
legislation comes in," he says. That is no help
to anybody who finds himself in this very
difficult position.
Mr. Speaker, to sum up very briefly on the
housing thing, we have no policy. We have
no minister who knows how to go about
establishing a policy. We have the history
of Ontario Housing functioning itself which,
to say the least, is not a good history. We
have the remarks of Mr. Shepherd made be-
fore the royal commission. They don't seem
to be clearing up the department and they
certainly aren't building houses. The time has
come to do something about this and that
time is right now.
The next thing, Mr. Speaker, that I want
to make a few remarks aliout is the question
of no-fault insurance. This matter has had
a great deal of publicity in recent months. In
fact, I suppose, publicity began to attach to
this problem when the Premier on Thursday,
Nov. 1, 1973, spoke at the Insurance Institute
of Ontario awards dinner. I have a text of
his press release. On page 7 he said this:
I think it is plain from my remarks that
some form of so-called no-fault automobile
insurance is coming to Ontario, and it is
our hope that it will be run by private
enterprise.
Fascinatingly, the Premier wasn't too sure
at all what he had said, but that is an exact
quote from his remarks.
In the House on March 7, I asked him this
question:
Mr. Singer: I have a question of the Premier. In
view of the Premier's statement not too long ago that
we could expect new no-fault automobile insurance
laws in Ontario, and in view of the recent publicity
given to a proposal along these lines by the insurance
industry, is that the kind of new law that the Premier
had in mind?
And my question goes on. The Premier's
reply was:
Hon. Mr. Davis: Mr. Speaker, I don't intend . . .
[I had asked for a select committee, which
I am going to suggest again today.]
... I don't really recall saying that we are going to
have a new no-fault insurance programme. I do
recall speaking to a group of insurance people.
APRIL 5. 1974
827
I don't know which Premier you believe,
Mr. Speaker. Is it the one who said on Nov.
1, "I think it is plain that some form of so-
called no-fault insurance is coming to On-
tario," or the Premier who spoke here on
March 7 and who said, "I don t really recall
saying we are going to have a new no-fault
insurance programme"?
I don't know that this is of great moment,
but I would think that the Premier, of all
people, should be able to remember what he
said and should at least be consistent. When
he has made that kind of positive statement
which attracted a great deal of media atten-
tion, he should remember what he had in
mind. I have been trying to elicit since that
time, Mr. Speaker-
Mr. J. E. Stokes (Thunder Bay): No-fault
if necessary, but not necessarily no-fault.
Mr. Singer: Well, I s^iess that what it
means— maybe yesterday, yes, and tomorrow,
no. But what it does mean I don't know.
I have been trying to elicit information from
the Premier and the Minister of Consumer
and Commercial Relations. The history of
this whole thing has a fascinating ring.
There is a group called the IBC, the In-
surance Bureau of Canada. They are the
successors to what used to be called the All-
Canada Insurance Associates. They are an
association of insurers. It became apparent
that the Premier's remarks on Nov. 1 were
a setup for the introduction or the an-
nouncement of a plan put forward by IBC.
What puzzles me throughout this whole
story is the way in which the Premier was
either using this or was being used, and how
the details took so long to unfold.
In any event Mr. Speaker, a plan was put
forward by the IBC, a form of no-fault,
which seemed to be just great, depending
on who you listened to. Certainly its advo-
cates touted it. Certainly people from sev-
eral insurance companies thought it was a
wonderful idea.
Then one day, Mr. Speaker, there was a
meeting of a group of lawyers, the .\dvo-
cates' Society, when they discussed the IBC
plan, at great length and bitterly, and then
some of the glow came off the great an-
nouncement. The IBC plan suggested that
there wotild be a quicker loss settlement;
that there would be reasonable settlement
to those who were at fault; that there would
be more dollars back in claims because of
a reduction in investigative and court costs
because there would be fewer fraudulent
and inflated claims; and that public uncer-
tainty would be removed and they would
know exactly what they would l>e getting.
Those were some of the strong points in the
IBC programme.
The criticisms ran along these lines: The
IBC programme removed compensation for
non-economic loss, and non-economic joss
is damage for pain and suffering, damage
for loss of life and a couple of other points.
It is dealt with in more detail in the report
of the Law Reform Commission that we saw
for the first time yesterday. The questions
that were raised, particularly by memljers
of the legal profession, were that the public
was not really prepared, in their opinion,
to accept the taking away of items of dam-
age, compensable items such as pain and
suffering, loss of life expectancy and that
sort of thing. TTie criticisms, as I say, were
lengthy and quite bitter and the discussions
again went forward.
Then, Mr. Speaker, while this presenta-
tion was being made— and this is why I won-
der very seriously about who initiated it,
what kind of power and influence existed
to brine it forward as far as it came— there
came into my possession something that's
called a model bill, which was going to set
up this scheme, the IBC scheme. And while
I have no real knowledge as to who drafted
it, I have seen enough bills in my term of
service in this Legislature to say that the bill
was drafted by someone who knew his way
about drafting— and drafting is a very fine
art— and who knew it sufficiently well to set
up the bill in a form that we often see as
ministers introduce bills into this House. I
have no way of knowing who the draftsman
was, but the job of draftsmanship is of such
expertise that I wonder if it didn't come
from one of the government offices.
What I am trying to figure out, Mr.
Speaker, is where and why the IBC plan
got such great impetus. Well, after the meet-
ing—and the IBC plan too was hopefully
going to come into being on Jan. 1. 197.5;
they even had a time sche<lule-they ran
into the criticisms of the lau^ers, of the in-
insurance agents, of the brokers, of many,
many members of the public and that cool-
ed off.
Then, fascinatingly, Allstate, who had
been a part of the IBC setup originally,
withdrew from IBC because of this p.irticu-
lar proposal and gave publicit>- to their
specific objections to the IBC plan.
There are many, many things wrong, Mr.
Speaker, unth our present svstem of insur-
ance. Some members of this Hoiise will
recall — the hon. member for Haldimand-
Norfolk (Mr. Allan), who was here a little
828
ONTARIO LEGISLATURE
earlier, will certainly recall because he
chaired it— that one of the best select com-
mittees we ha\'e ever had, in my opinion, in
this House was the committee to deal with
automobile insurance which sat in 1961, 1962
and 1963, That committee brought forward
a series of recommendations to which the
committee was able to agree unanimously,
which was supported by the All Canada in-
surance group, which was supported by the
lawyers, which was supported by everjone
who came in contact with it except one
gentleman, Irwin Haskett, who happened at
that time to be the Minister of Highways or
the Minister of Transport. Somehow it be-
came his responsibility as to whether or not
we were going to have the system of no-
fault that the committee recommended along
with a great number of other recommenda-
tions.
It took about seven years, and really the
departure of Mr. Haskett from this Legis-
lature, for the recommendations of the com-
mittee to be implemented in full and they
brought about a very considerably improved
system of automobile insurance, t said the
recommendations were implemented in full;
they weren't implemented in full but the
substantial majority of them were.
The time obviously has come, because of
all of this talk about insurance, to have an-
other look at it. Mr. Speaker, the govern-
ment or the then minister commissioned a
group, David McWilhams and Thomas Bell-
were there only two? I thought there was a
group— to study insurance claims and it was
called the minister's committee on insurance
claims.
They brought forward a report which they
dated August 25, 1972, and they made it
available to the present Chairman of the
Management Board of Cabinet (Mr. Wink-
ler) who was then the Minister of Financial
and Commercial Affairs. By the time it came
forward I think the present minister had
the responsibility, and rather than make this
report available to us, the members of the
Legislature— and I think it is a good report
—we were told about its recommendations.
'Mr. McWilliams is a very capable man
and he pulled no punches at all when he
uTOte about this report. Thomas A. Bell,
who is well known again to many members
of this Legislature, joined in the report. We
saw the recommendations and it took three
months— more, about six months— of battling
in the House to be able to get hold of the
report; and there it is. There are 300-odd
pages in this report dealing with recom-
mendations made by McWilliams and Bell
about how the system of automobile insur-
ance can be improved. Nothing has been
done, Mr. Speaker. Not a thing has been
done to implement any of these recom-
mendations at all.
Mr. Stokes: They didn't even tighten up on
the adjusters.
Mr. Singer: Not a thing. Well, that's one
report. There is a stack of documents, Mr.
Speaker— it nms now about 2 ft high — about
what might or might not be done. That's
the second one.
There is available, and it has been put in
the hands of the minister, the transcript of
the hearings of the Advocates' Society to
which I referred earlier, which took place
on Friday, Feb. 8. The minister has a copy
of that volume and it is available for reading.
Then, Mr. Speaker, we have the latest
document which was tabled in this House
yesterday. That is the report of the Ontario
Law Reform Commission on motor vehicle
accident compensation. It is a radical report;
it is a very different report. The report
admits that the system the Law Reform
Commission is putting forward does not
exist in any common law jurisdiction. They
are a very efficient group and their research
was done well; they talk about New Zealand
law, and law in the other provinces of
Canada, and English law, and law in various
jurisdictions in the United States.
What, in essence, they are now recom-
mending is that the whole system of motor
vehicle accident compensation be taken out
of the courts completely. That there be no
right to go to court if you're injured in an
automobile accident, but that if you are in-
jured you will be given payments in ac-
cordance with a fixed scale. That there will
no longer be damages for pain and suffering.
That there v^all no longer be questions of
who was at fault. That everyone who Was
injm-ed should be compensated and they
should be compensated for their financial
loss and their financial loss only.
The report makes very, very interesting
reading. I think the time has come now to
have a discussion in this Legislature, or by
a committee of this Legislature, along with
members of the public, to see which way
we are going to go in this. Whether or not
the Ontario Law Reform Commission idea
that we deal with motor vehicle accident
compensation in the same method that We
deal with workmen's compensation is a good
idea or not, certainly remains to be seen. I
have very substantial reservations about a
APRIL 5, 1974
829
number of the recommendations in the re-
port.
The Ontario Law Reform Commission
hedges on whether or not its new plan, if it
comes into l)eing, should be done by a pub-
lic body— by the government— or be done by
a pri\ate lx)dy— the insurance companies. 1
think that kind of thing deserves a very
thorough examination and some kind of a
decision from the government of the people
of Ontario.
What is obvious immediately, Mr. Speak-
er, is that all of the things that have been
discussed in the present concern about auto-
mobile insurance, certainly has to indicate
to any alert person that there is something
wrong with the system of insurance. Why
does the Law Reform Commission write a
volume like that and make these sugges-
tions if it hasn't concluded there's some-
thing wrong? And the Advocates Society and
the minister's committee on insurance claims
and many other people. Well, there are
things wrong, Mr. Speaker; there's no ques-
tion in the world there are many, many
things wrong.
The concept of gross negligence goes back
into the dark ages. If a gratuitous passenger
is injured in an automobile, to get at his
own driver — and it's really not his own
driver, it's his own driver's insurer— he has
to be able to establish his own driver was
not ordinarily negligent but was grossly
negligent. Why we continue to have that
concept in the Province of Ontario nobody
has been able to explain.
The president of the Treasury Board said
two years ago when he had the responsi-
bility: "We'll take it out." Well, it's still
there. The select committee that I talked
about in 1961, 1962, 1963, said: "Take it
out." But it's still there. It's unfair. It's un-
reasonable. It's illogical. But the concept of
gross negligence still remains as a part of
Ontario law.
Liability periods. I don't know why the
lawyers are so happy to see, or somebody
keeps being so happy to see limitation
periods put into statutes. Limitation periods
can often work very, very serious hardships.
Let me tell you about a case that I'm in-
volved in as a solicitor.
I'm acting for a passenger, a gratuitous
passenger, who was very seriously injured
in an automobile accident. He initiated pro-
ceedings within the one-year period. Out of
that one accident, seven lawsuits have
grown up; they're about to be tried fairly
soon. The argument is going to revolve
around gross negligence, ordinary negligence
and that sort of thing.
There were three people in the front seat
of the car, the dri\(*r and two passengers.
The two passengers were very, very serious-
ly injured; the second passenger didn't
realize that he was stuck within the limita-
tion period and he didn't seek legal advice
until one week after the limitation period
had expired. He was told, as he had to l)e
told, that he was out of luck. If he had a
valid claim he no longer was in a position
to assert it.
Mind you, Mr. Speaker, that accident had
given rise to five different lawsuits. The
courts are about to determine who was at
fault and how much is going to be paid
and to whom. One gentleman who was in-
volved in the accident, who was seriously
injured and who wasn't aware of the limi-
tation period, is just cut right out of the
picture completely.
Does that make any sense? It doesn't to
me. Surely the time has come to do some-
thing about the limitation period.
These suggestions I'm making now are
things that can be done immediately, but
there is a long-term view and a long-term
approach to what we should do about auto-
mobile insurance.
'The question of insurance company sub-
rogation in property claims is a technical
thing; but it is a nuisance, it is ridiculous
and I think it should be eliminated.
On the question of rate control, Mr.
Speaker, you are probably aware that sec-
tion 367 of the Insurance Act, which has
been on the statute books for over 30 years
and gives power to the government of On-
tario to control insurance rates, remains still
unproclaimed today. You may be aware as
well that committees of this Legislature, in-
cluding the select committee I've talked
about, strongly recommended that it be pro-
claimed.
You may be aware, sir, that many members
in this House have indicated from time to
time that the government surely has some
responsibility to look into, to inquire about
and to have something to do with and about
insurance rates and the various inequities
that they produce.
There is no point in giving a long list of
these inequities at the moment. The fact is
that we have an unproclaimed section of the
Insurance Act, section 367, which is still
unproclaimed after 30 years on our statute
books, and we don't have an adequate staff
in the department of insurance that can in-
830
ONTARIO LEGISLATURE
telligently examine and comment upon insur-
ance rates.
In this time of rapidly increasing costs and
runaway inflation, Mr. Speaker, surely the
government should be turning its attention to
things which it can control. Surely we are
entitled to hear the opinions of the Minister
of Consumer and Commercial Relations (Mr.
Clement) and of his officials, based on ade-
quate research, and the opinions of actuaries
and so on as to whether or not the insurance
rates that people in Ontario pay are reason-
able and fair, or whether or not they add
substantially to insurance company profits.
When we get the old saw that the under-
writing costs balance off the premium profits,
when we get no explanation as to why these
people stay in business if they are losing
money every year, when we get no explana-
tion as to why the companies don't add in
their investment income as part of their over-
all financial position and why they don't add
in interest on prepaid premiums, the time
has come that the government of Ontario
should begin to have an authoritative opinion
and exercise some control over insurance
rates in this province.
On the question of who is responsible for
the mechanical condition of the vehicle, I
think there should be a simple statutory pro-
vision to make the owner responsible.
The question of compulsory insurance is
a small thing in view of the percentage of
people in Ontario who remain uninsured,
but there are still about 70,000 people in
Ontario who we allow to drive on the roads
uninsured. Why should anybody be allowed
to drive on the roads and not be insured?
Why shouldn't automobile insurance be
compulsory? Why can't we do some of those
things right now?
iThen there's the whole question of deal-
ing with claims: Speed, cost, delay, harass-
ment, adjusters, repair services— all of these
things have got to come under government
review and government control. Why can't
we do it now? Why can't we establish all-
industry drive-in claim centres similar to
those in government-run insurance provinces
so that vehicle damage can be quickly ap-
praised and settled? What would be hard
about that?
Well, those are a few suggestions about
what might be done immediately, Mr.
Speaker. This is a problem that is going to be
ever with us, and if the government continues
to just get reports and to turn its back on
suggestions, well it's just causing more grief
and more difficulty for the people of Ontario.
There is a strong segment of the population
of Ontario which believes that the govern-
ment should run all the automobile insurance.
The industry is finally beginning to flex its
muscles. There are legal critics, like James
Chalmers McRuer, former Chief Justice of
the High Court, who say: "Take all automo-
bile litigation out of the courts." There's ai>
argument against that.
Mr. Speaker, the message I am trying to
get through to government is this, let us in
this session of this Legislature have some of
the changes that are obvious, some of the
changes that McWilliams put forward, some
of the suggestions that I made today. Tliat
can be done within the present knowledge of
the government. It can be done and no one
is going to object to it. But then, Mr. Speaker,
the time has come to really get to grips with
this situation.
If we can establish select committees on
drainage and on snowmobiles and on the use
of schools, surely we could establish a select
committee on automobile insurance? Surely
then we could begin to get some feeling from
all sorts of people— the public, insurance
people, the bosses who run and own the
companies, the adjusters, the agents, and then
there is the Legislature— about which direc-
tion we might move in.
Those people are available to us.
McWilliams is available to us and the Law
Reform Commission is available to us and
the lawyers certainly are not going to be
backward about coming forward in this. There
is a suggestion that the lawyers have a vested
interest in the continuing of negligence
actions before the courts— and perhaps there
is some validity in that suggestion— and that
the lawyers are going to fight very hard to
prevent the recommendations of the Law
Reform Commission being carried out in their
entirety.
But the lawyers really aren't the only test
in this. What I am urging the government
to do is, now that we have more reports than
we know what to do with, we start a mean-
ingful public inquiry that hopefully is going
to chart our course for the next six or eight
or 10 or a dozen years in the future.
That's all I wanted to say about automobile
insurance.
Mr. Lawlor: That was very good.
Mr. Singer: Pardon?
Mr. Lawlor: That was very good.
Mr. Singer: Thank you.
Mr. Speaker, do I understand His Honour
is coming in?
APRIL 5, 1974
831
Mr. Speaker: Yes.
Mr. Singer: What time? Do you want me to
move the adjournment of the debate now?
I have another topic.
Mr. Speaker: Not quite yet.
Mr. Singer: All right. Mr. Speaker, I want
to talk for a while about inflation. I suppose
I have become more and more incensed about
what is happening in this province as I sit
and listen to the fatuous statements that
come from the treasury benches, particularly
the ones dealing with gasoline, fuel oil in-
creases and so on.
An hon. member: Name them.
Mr. Singer: I couldn't help but think, Mr.
Speaker, when I saw the Prime Minister of
Canada and the 10 other smiling gnomes
emerge from the conference room in Ottawa
saying: "Look what good little boys we are.
We are only going to raise your gas prices 10
cents a gallon. Aren't you lucky? It might
have been 20"; that somewhere along the line
we have all gone crazy.
We get the Premier, Mr. Speaker, and
we get the hon. Minister of Energy
standing up and saying, "Hurray, hurray,
hurray, we are wonderful." And the Premier,
in one moment of great magnanimity said:
"Even Pierre Trudeau wasn't bad that day."
And 1 thought, what else did we need in
Canada and in Ontario to make it a great
place to live other than Davis saying that
Trudeau wasn't bad that day.
But what happened to the people by reason
of these decisions? Fuel oil has gone up 10
cents— well, we are not quite sure. The
member for Chatham-Kent (Mr. McKeough)
wasn't really able to give us any figures. He
was great on windmills this morning, but
pretty bad on gasoline prices. Gasoline prices
affect a few more people than the windmills
that he was talking about, and yet we got
very little information.
There was an incident here in the House
the other evening, Mr. Speaker. The hon.
member for Scarborough East— Scarborough
West?
Mr. Stokes: West.
Mr. Singer: Scarborough West (Mr. Lewis)
—had addressed a question at question period
to the Premier. The member was dissatified
with the Premier's answer and resorted to the
procedure available under the rules to arrange
a debate on Tuesday evening at the hour of
10:30. The Premier wasn't able to come back
and join in that debate, and apparently some-
body suggested or directed that the member
for Chatham-Kent come here.
I thought the memlx;r for Scarlx)rough
West made a very reastmable, logical and
intelligent presentation at the hour of 10:.30
on that point. What shocked me, Mr. Speaker,
was the reply from the member for Chatham-
Kent. First of all, he complained al>out hav-
ing to come from the theatre to this place
to indulge in the debate. I thought it was just
too bad that his valuable theatre time should
be taken up to participate in the affairs of the
Legi.slature of the Province of Ontario.
Mr. Shulman: Well, they are somewhat
superfluous,
Mr. Singer: He got caught up with a little
heckling as a result of that intelligent open-
ing remark. The barracking got fairly heavy
and he quit in midstream. Well, it's obvious
that he had no answer.
iBut surely, Mr, Speaker, we can begin to
hear somewhere and from somebody what
kind of effect these agreements and plans
and raises and prices are going to have on
the people of Ontario,
It isn't enough to hear speeches like those
we've heard- the one that preceded mine this
morning: "Ontario is great and if only those
guys in Ottawa would do something the
world would be fine," Or the Premier throw-
ing his hands up the other day and saying:
"Inflation is world-wide. If that Isn't good
enough for you, it's all Ottawa's fault. If
you are talking about price and wage con-
trols, I don't believe in it. If you are going
to see what we are going to do, wait— you
will see it in the budget."
Well, we've seen many budgets, and the
last one sticks in my mind. The Treasurer
told us to put on our sweaters and to turn
down the thermostats and the world would be
fine. That didn't help very many people.
Mr. Shulman: Just the beginning of it,
Mr. Singer: I talked about housing prices
earlier this morning. Rent is going up. Fuel
oil is going up. Everything is going up. I've
got some figures here. The latest figures from
Statistics Canada show in one >ear, from
February, 1973, to February, 1974, dairy
products have increased by seven per cent;
these aren't just the other day's headlines,
either. Butter went up six cents a pound just
the other day.
Ice cream, skim milk, cereal and baker)
products have increased 20.5 per cent; beef,
25.2 per cent; pork, 13.1 per cent; miscel-
laneous meats, 23.7 per cent; poultr)-, 34.5
832
ONTARIO LEGISLATURE
per cent; fish, 33.7 per cent; eggs, 26.2 per
cent; fresh fruit, 26.9 per cent; canned fruit,
15.8 per cent; fresh vegetables, 7.4 per cent;
canned vegetables, 13.7 per cent; frozen food,
10.1 per cent; miscellaneous groceries, 8.2
per cent; sugar, 71.6 per cent; honey, 47.4
per cent; peanut butter, 29 per cent; food
away from home, restaurant meals and so on,
17.2 per cent.
Wliat a terrible, terrible tale, Mr. Speaker.
What are we getting? We are getting the
Minister of Energy smiling all his way out
of the theatre and grumbling up here. We
are getting the Premier saying "it's interna-
tional," or "those guys in Ottawa are pick-
ing on us." He says: "Wait for the budget.
There will be good news in the budget."
I don't believe it. I don't believe it.
I don't know, Mr. Speaker, if you have
wandered through a supermarket in recent
weeks— but do it. Do it perhaps over this
weekend. No? Well, look at the faces of the
women who have gone to do their week's
shopping — good, ordinary Ontario residents
who have gone to the store to do their shop-
ping, and notice the look of horror on their
faces as they go from bin to bin and look at
the newest price tags. They know how much
money they have in their pocket and they
are wondering, "How am I ever going to be
able to buy food to feed my husband and
my children next week?"
What are we getting? We are getting the
smiling gnomes emerging from Ottawa. And
I don't apologize for or excuse the federal
people any more than I apologize for or
excuse the provincial people, because Ottawa
is not doing anything to control inflation—
nor is Queen's Park. But I am sent here by
my voters to talk at Queen's Park and I think
that there are things that can be done here
within the Province of Ontario that are going
to begin to control this and give some of the
people of Ontario some kind of a break.
Let's look at the kind of profits that are
originating in corporations who seem to be
able to sell food products, oil products, furni-
ture products, department store products —
whatever it is, corporate profits go up and
up and up.
There doesn't seem to me to be any valid
reason why we can't look most seriously at
the usefulness of writeoffs, the usefulness of
depletion reserves, the usefulness of the cor-
porate tax arm that we have, and no longer
be frightened about the kind of threats that
are being hurled at us.
It isn't enough for a Minister of Housing
to say, "Maybe it is not nice for people to
make lots of money on land, and if you don't
stop we might do something about it." Why
don't we do something about profits on land?
Mrs. M. Campbell (St. George): They're
the biggest profiteers.
Mr. Singer: Why don't we do something
about the inordinate profits that the oil com-
panies are making? Gulf Oil's profits went up
by 360 per cent. Here comes the Premier
now. What is he going to do about the
profits of these companies? What is he going
to do about the cost of living? What is he
going to do about runaway inflation?
Hon. W. G. Davis (Premier): Elect Bob
Stanfield.
Mr. Singer: Well, I don't think that is even
within the Premier's power—
Hon. Mr. Davis: No, it is not.
Mr. Singer: —because he is going to be so
busy looking behind him to try to hold a few
seats over there at the next election. He has
enough work to do without worrying about
Bob Stanfield.
Interjections by hon. members.
Hon. Mr. Davis: Listen, the Liberal Party
in this province will lose, without any question
whatsoever.
Mr. Singer: I am sorry that the Premier
has only come back now, because I did have
some choice remarks for him; and I gather
the arrival of the Premier has nothing to do
with my remarks, that he has come to see
His Honour.
Interjections by hon. members.
Hon. Mr. Davis: I hate to—
Interjections by hon. members.
Mr. Singer: Well, I would commend to the
Premier, for his weekend reading the instant
copy of Hansard, because some of the things
I have said may strike a harmonious chord-
Interjection by an hon. member.
Mr. Singer: —and maybe we can get some
laws that are going to help the people of
Ontario.
Hon. Mr. Davis: There have been things
—like libraries; we always agreed on that.
Mr. Singer: Mr. Speaker, I have talked for
a considerable period of time. I have come to
the conclusion of the remarks that I thought
I should put before the House at this time.
APRIL 5, 1974
833
I hope that the government will do something
about some of the suggestions I have put
forward.
But beyond doubt the most serious prob-
lems facing the people of the Province of
Ontario are the cost of living and inflation.
Unless we come to grips with these kinds of
problems— and I am not a soothsayer— I think
somebody is going to arrive on the political
scene, wnether they be of the far left or the
far right, who is going to promise ridiculous
and untoward solutions. And the people are
going to be so fed up with the fatuous
speeches and the do-nothing promises that
somewhere along the line we are going to
get a kind of government that will take over
the political system and not bother to con-
sult any more.
If the democratic system is worth preserv-
ing, it is time that the Premier and his col-
leagues paid a little real attention to the
major problem that faces the people of
Ontario; and that is, how are they going to
live on their present income. How are they
going to buy houses, food, gas and whatever
else they need? Unless we can do some-
thing about that, we are all in big trouble
—the democratic process is in big trouble.
It isn't enough to hear some of the things
we have been hearing. We want some action.
We have been here a month now, just a
month, and there hasn't been one important
statute yet brought forward by government.
Speeches galore, but not one important
statute. The government has a responsi-
bility and a duty to do something for the
people of Ontario-
Mr. Lawlor: A waste of time.
Mr. Singer: —and we haven't seen it yet.
Mr. Speaker: Perhaps the hon. member for
Dovmsview would like to move the adjourn-
ment of the debate.
Mr. Singer moves the adjournment of the
debate.
Motion agreed to.
Hon. Mr. Davis: Mr. Speaker, the Honour-
able the Lieutenant Governor awaits without
to give assent to certain bills.
The Honourable the Lieutenant Governor
of Ontario entered the chamber of the legis-
lative assembly and took his seat upon the
throne.
ROYAL ASSENT
Hon. W. Ross Macdonald (Lieutenant
Governor): Pray l)e seated.
Mr. Speaker: May it please Your Honour,
the legislative assembly of the province has,
at its present sittings thereof, passed certain
bills to which, in the name of and on behalf
of the said legislative assembly. I respect-
fully request Your Honour's assent.
The Cleric Assistant: The following are
the titles of the bills to which Your Honour's
assent is prayed:
Bill 1, An Act to ameiKl the University
Expropriation Powers Act.
Bill 13, the Regional Municipalities
Amendment Act, 1974.
Clerk of the House: In Her Majesty's
name, the Honourable the Lieutenant Gov-
ernor doth assent to these bills.
The Honourable the Lieutenant Governor
was pleased to retire from the chamber.
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): Mr. Speaker, be-
fore I move the adjournment of the House,
I would like to say that an agreement has
been reached to sit on Monday morning at
10 o'clock. We will break for the lunch hour
at 12, and reconvene for orders at 2 p.m. I
would suggest, Mr. Speaker, that we ter-
minate the general debate possibly by 9 or
9:30 Monday evening, giving the windup
speakers a half hour each before the votes
are called. I think we can allow that to re-
main somewhat fluid to take care ^f who-
ever happens to have the floor at that par-
ticular time.
I would hope that is agreeable to my col-
leagues across the floor.
Mr. J. R. Breithaupt (Kitchener): Mr.
Speaker, I am pleased that the House leader
has made this suggestion. It will l^e certainly
useful, by an earlier sitting on Monday, to
allow additional members to enter the :lo-
bate and perhaps if we also Jecide ;o ut
through the supper hour at that time there
may be another six or eight speakers uho
will get this opportunity.
I think it is fair to suggest at this point
that there may be some useful exchange
that could occur if the rules committee were
to meet to discuss the participation of mem-
bers in the various debates. Mr. Speaker,
as you are aware of course, it is the right
of every speaker who enters the debate to
speak for as long a time as he or she may
choose. I think, though, that we ha\e had
five of our colleagues who have used up a
834
ONTARIO LEGISLATURE
goodly portion of time, as is their right, and
it may be that some consideration could be
given to the members of the House coming
to some agreement as to the length of
speeches within the Throne Speech and
budget debates; that is, of course, with the
exceptions of the leadoflF speeches and the
windup speeches of the respective parties.
I think we would serve ourselves well if
we gave some consideration to that point,
as well as perhaps using the occasional
Wednesday, if the occasion did come up, to
carry on with Throne Speech debate earlier
in the usual month that passes between the
opening of the House and the presentation
of the budget.
With those comments, which perhaps may
be of use to consider in the future, I cer-
tainly thank and commend the goverimient
House leader for accommodating the oppo-
sition in this matter, and I hope that all
those who wish to enter the debate will get
the opportunity to do so.
Hon. Mr. Winkler: Yes, Mr. Speaker, cer-
tainly if we find ourselves confronted with
the situation, at 6 p.m. on Monday, that
there are sufficient speakers remaining who
desire to speak, we will sit through the din-
ner hour.
I would also just say that historically in
the Ontario Legislature it apparently has
not been traditional to place time constraints
or limitations on the speakers. However, It
does have some appeal, in that a larger
number of members would be accommo-
dated and we will have a look at that as
this session progresses.
Hon. Mr. Winkler moves the adjourn-
ment of the House.
Motion agreed to.
The House adjourned at 1 o'clock, p.m.
APRIL 5, 1974 835
CONTENTS
Friday, April 5, 1974
Minaki Lodge, statement by Mr. Bennett 800
Corporation income tax paid by oil companies to province, questions of Mr. Davis:
Mr. R. F. Nixon 800
Restoration of Old Fort William, questions of Mr. Bemier: Mr. R. F. Nixon, Mr Foulds 801
Restructuring of Renfrew county, questions of Mr. White: Mr. R. F. Nixon 803
Oil prices, questions of Mr. McKeough and Mr. Davis: Mr. R. F. Nixon, Mr. Bullbrook 804
Toronto Real Estate Board property sales news blackout, questions of Mr. Clement:
Mr. Deans, Mr. R. F. Nixon 806
Rent increases, questions of Mr. Clement: Mr. Deans, Mr. B. Newman 807
Commum'ty use of schools, questions of Mr. Wells: Mr. Deans, Mr. R. F. Nixon 807
Wind energy seminar, questions of Mr. McKeough: Mr. Burr 809
Vehicles on consignment, question of Mr. Clement: Mr. Edighoffer 810
Freight rates, questions of Mr. Davis: Mr. Sargent 810
Ontario Racing Commission, questions of Mr. Clement: Mr. Lawlor 811
Federal bank legislation, questions of Mr. White: Mr. Givens 811
Lake of the Woods District Hospital Act, bill respecting, Mr. Maeck, first reading 812
Resumption of the debate on the Speech from the Throne, Mr. Drea, Mr. Singer 813
Motion to adjourn debate, Mr. Singer, agreed to 833
Royal assent to certain bills, the Honourable the Lieutenant Governor 833
Motion to adjourn, Mr. Winkler, agreed to 834
No. 21
Ontario
Hcgisilature of (J^ntario
OFFICIAL REPORT — DAILY EDITION
Fourth Session of the Twenty-Ninth Legislature
Monday, April 8, 1974
Morning Session
Speaker: Honourable Allan Edward Renter
Clerk: Roderick Lewis, QC
THE QUEEN'S PRINTER
PARLIAMENT BUILDINGS, TORONTO
1974
Price per session, $10.00. Address, Clerk of the House, Parliament Bldgs., Toronto
CONTENTS
( Daily index of proceedings appears at back of this issue.
839
LEGISLATIVE ASSEMBLY OF ONTARIO
The House met at 10 o'clock, a.m.
Prayers
Mr. Speaker: I understand that routine pro-
ceedings, inchiding question period, will pro-
ceed at 2 o'clock, so we'll call for orders of
the day now.
Clerk of the House: The first order, re-
suming the adjourned debate on the amend-
ment to the amendment to the motion for an
address in reply to the speech of the Honour-
able the Lieutenant Governor at the opening
of the session.
THRONE SPEECH DEBATE
Mr. Speaker: The hon. member for Downs-
view.
Mr. V. M. Singer ( Dovvoisview ) : Mr.
Speaker, it's approximately four years since I
was asking for the resignation of George
Spence, who was then the Provincial Auditor.
One of the main reasons I was asking for his
resignation was the fact that the audit reports
we were getting regularly from him were
pale, thin, unexpressive volumes which con-
tained hardly any criticism at all of the
handling of the finances of the Province of
Ontario by the government of Ontario, by the
various governmental departments and by the
agencies of the Crown.
One of the more fatuous answers that was
forthcoming from the Treasury benches was
that the reports were not elaborate by reason
of the fact that the handling of Ontario's
financial affairs was far better than the han-
dling of the affairs of the government of
Canada and there was really nothing called
for in criticism; that any comparison anyone
might have wanted to draw between the kind
of reporting done here in Ontario and the
kind of reporting done in Ottawa by Maxwell
Henderson, was only because Henderson was
able to rout out those terrible practices up
in Ottawa; all the good Tory practices here
in Ontario were fine and there was nothing to
complain about.
For whatever reason, the criticism of Mr.
Spence's activities mounted. The public ac-
MoNDAY, April 8, 1974
counts committee had a very good look at
some of the things, and in due course Mr.
Spence went on his way before retirement
age. He was replaced by Mr. Richard Groom;
and the first report following that event, al-
though signed by Spence, was authored by
Groom. For the first time— certainly in my
experience here in the Legislature— there was
a real effort made to draw to the attention of
the members of the Legislature, and to the
members of the public, discrepancies, errors,
and sometimes worse, in regard to the
handling of the public moneys of the Province
of Ontario.
One of the real criticisms that was set out—
and we are all familiar with it— was the recital
of the fact of the use of aeroplanes by various
members of government. That certainly had a
salutary effect. Even the Premier ( Mr. Davis )
decided that the time had come when he
should switch from using government planes
at government expense and resort to commer-
cial airlines when he was going off on personal
business together with his family.
Mr. Groom seemed to have made a note-
worthy debut and we were quite pleased
that this kind of investigation was going to
be carried on and pursued with some zeal
and some vigour. Unfortunately, Mr. Speaker,
a tragic accident took place in July, 1973; Mr.
Groom was killed as the result of a motor
vehicle collision, and a vacancy was created
in the position of Provincial Auditor.
This vacancy continued to exist for some
seven months, despite the criticism in the
Legislature and outside by myself and others
to the effect the government, in allowing the
vacancy to continue, and the office to be
carried by Mr. Scott as acting Provincial
Auditor, was creating a system whereby the
acting incumbent was being denied the secur-
ity of tenure and independence guaranteed
the Provincial Auditor by statute, and that it
was possible that any person in that position
would be somewhat less than brave in hi.s
criticism of government before he was made
secure in his position. This was referred to
in some detail in an article written by Bob
Miller in the Star after he and I had discussed
this very point.
840
ONTARIO LEGISLATURE
Unfortunately, Mr. Speaker, my worst fears
were confirmed. The auditor's report for the
fiscal year ending March 31, 1973, is dated
and was signed by Mr. F. N. Scott on Nov.
30, 1973, and was tabled in the Legislature
on March 6, 1974.
Mr. Scott was formally appointed Provin-
cial Auditor and given his security of tenure
for the first time in February, 1974, some
seven months after the signing of his report,
so the report was signed while he was still
acting. While I don't want to attribute mo-
tives or fears or lack of courage to anyone,
I think it is very sad that this hiatus period
of some seven months did in fact take place
and that the government did not see fit to
put forward the nomination of an alternative
Provincial Auditor during that lengthy period
of time. And I point out, Mr. Speaker, that
during that hiatus period, the report of the
auditor was signed on Nov. 30, and that re-
port obviously had some glaring omissions.
We now have, as detailed in the Globe
and Mail stories of Saturday, April 6, and
Monday, April 8, in copyright articles written
by Gerald McAuliffe, a series of sordid events
surrounding the affairs of the Ontario North-
land Transportation Commission and involv-
ing Star Transfer Ltd., a subsidiary of the
Ontario Northland Transportation Commis-
sion. Strangely, it appears that even though
two investigations into the affairs of this com-
mission and Star Transfer were conducted—
one by the Ministry of Transportation and
Communications, whose report was submitted
to the members of the Ontario Northland
Transportation Commission on Dec. 17 and
18, 1973, and the other by the staff of the
Provincial Auditor, which commenced in Jan-
uary, 1973— neither of these investigations
were reported to the Legislature, as there
was an obvious public duty so to do.
Mr. McAuliffe has stated that even though
the government was aware of the serious
shortcomings for some time, neither the gov-
ernment nor the ONTC has firmly laid down
policies and guidelines for management to
follow. The commissioners have met only once
—and their one-time meeting seemed to be
awfully well paid; I'll deal with that in a
moment— in the last three months and the
matter of guidelines was not even on the
agenda.
The following points are made in these
articles: No full inventory of railway assets
and holdings has been taken; inventory pro-
cedures are lacking; accounting practices are
deficient.
The member for Fort William (Mr. Jessi-
man), the chairman of the commission, char-
tered a private plane to fly to a meeting in
North Bay. The plane waited for him and
returned to Toronto. The cost to the tax-
payers of the Province of Ontario was some
$400; by comparison, the commercial econ-
omy fare for that return trip is $52.
The member for Fort William charged the
Ontario Northland Transportation Commission
for air travel between Toronto and Florida
and for a number of trips between Thunder
Bay and Toronto.
Mr. R. F. Nixon (Leader of the Opposition):
Like old times.
Mr. Singer: There is no written policy on
what types of travel or entertainment ex-
penses should be charged; and there was not
always a requirement that those claiming
reimbursements give information to establish
that expenses were properly incurred.
One instance indicates that an executive
of the commission billed his airline ticket on
Air Canada and then charged the fare to his
expense account, that both the billing and
the expense account were paid, and that
apparently this executive was paid twice for
one trip.
The chairman of the Ontario Northland
Transportation Commission, the member for
Fort William, is paid some $7,000 as a director
of the commission; and this, of course, is in
addition to his legislative indemnity and his
expense allowance. The vice-chairman, a
gentleman named Gaston Demers, whom some
of us will remember, a defeated Tory candi-
date formerly representing the riding of Nickel
Belt, is paid some $5,000. A gentleman named
Allister Johnston, whom many of us know, is
also a commissioner; he is paid some $3,000.
The other commissioners are John A. Kennedy
of North Bay— and I am going to mention him
again in a moment; Ian Hollingsworth of the
Soo; Mike Palangio of Cochrane, W. Roy
Thompson of Kirkland Lake, and C. P. Gird-
wood of South Porcupine. Gossip in the north
has it, Mr. Speaker, that the political loyalties
of these gentlemen are readily identifiable,
and they are neither NDP supporters nor
Liberal supporters.
In addition, Mr. Speaker, I find it very
fascinating that when Star Transfer was taken
over by the Ontario Northland Transportation
Commission and came under the ownership of
the Province of Ontario, lo and behold, these
bold and brave commissioners became the
directors of Star Transfer and decided that
since they were doing so much extra work—
and I pointed out to you a moment or two
APRIL 8, 1974
841
ago, that they met once in three months up
to December of last year— they decided they
weren't getting quite enough money, so they
voteil themselves another $9,6()0 in additional
fees as directors of Star Transfer.
The member for Fort William's secretary at
Queen's Park somehow got herself on to the
payroll of the Ontario Northland Transporta-
tion Commission and received, in addition to
her regidar salary, what is variously referred
to as $20 a week or $32 a week. It seems
strange, Mr. Speaker, that with all the facil-
ities of the Ontario Northland Transportation
Commission, it was necessary to bill them for
additional dollars for a member's secretary
here at Queen's Park.
The Ontario Northland Transportation
Commission holds frequent meetings at Pine-
wood Lodge and pays substantial amounts
for services. Pinewood Lodge, believe it or
not, Mr. Speaker, is owned by J. A. Kennedy,
who happens to be the same J. A. Kennedy
who is one of the commissioners of the On-
tario Northland Transportation Commission.
There is, of course, the executive railcar.
It's a most comfortable and elaborate railway
car. It has dining room facilities; comfortable
beds; ample and adequate— perhaps luxurious
—service. But, Mr. Speaker, there apparently
is no detailed accounting of its cost and use.
There are no records of liquor expenses or
other hospitality expenses. Apparently it is
used by people in business and in government
to take dieir families on trips to Moosonee.
'The financial affairs of the commission are
so efficient that they were late in paying their
sales tax. And they had to pay to the govern-
ment of Ontario some $8,000 by way of
penalty. Some $40,000 in legal fees were paid
to a prominent Thunder Bay lawyer for nego-
tiations to buy Lakehead Freightways Ltd.
The talked-about price was some $2.5 million.
The owner of Lakehead Freightways was one
Harvey Smith who is a prominent Progressive
Conservative supporter. The deal was never
consummated but, nevertheless, this very large
amount in legal fees apparently was paid.
Moosonee Lodge owned by the Ontario
Northland Transportation Commission had
spent on its behalf some $8,000 in 1970 to
prepare plans for renovations and the plans
were never, in fact, used. In 1972, Mr.
Speaker, some $35,000 was paid to a Toronto
contractor to do some work on Moosonee
Lodge. There were no tenders. There were no
working drawings and no detailed invoices to
support the expenditures. Apparently some of
the employees of the ONTC draw two pay
cheques. Some also work under contract as
janitors in addition to their regular employ-
ment. If it happens to take them away from
their janitorial obligations, they are able to
arrange to have their work done by their
wivc« and their children.
Apparently over $100,000 was paid to a
small C^ochrane grocer for food use<l in Moo-
sonee Lodge and on dining cars. Tlie prices
were over-the-counter prices. There was no
benefit of wholesale rates. A food consultant
was hired some three years ago. I haven't got
the amount that was paid to him for handling
the food. The commission received the report
and never, in fact, u.sed it.
The Ontario Northland Transportatioi
Commission owns a ship called the Chief
Commanda. It's a cruise ship. This ship has
lost money every year for seven years. Pres-
ently there is being spent some $50,000 to
refurbish it for one year and make it sea-
worthy because the federal authorities have
said it's a danger. However, the refurbishing
at the cost of $50,000 for this money-losing
operation is pending the delivery of a new
ship^ in 1975. There are no logs kept of the
ship's movements and no purchase orders to
support $10,000 a year in food purchases.
Apparently, in relation to the ship, a cleaning
contract involving some $300 a month is pay-
able to Metropolitan Cleaning Services, wnich
is a firm owned by two Ontario Northland
Transportation Commission employees.
Apparently there were 1,000 used railway
ties which normally sell for 75 cents each on
site, shipped from Noranda, Que., and donated
to the North Bay Golf and Country Club.
Senior executives of the Ontario Northland
Transportation Commission are members of
this golf club and the Ontario Northland
Transportation Commission holds shares in
the club.
The government of Ontario lent Ontario
Northland some $30 million some 20 years
ago, and despite the fact that it had profits
during several years none of this amount has
ever been repaid to the Ontario Treasur\'.
One Kenneth Passmore was given $25,000
so he would leave, quietly, his job iLs man-
aging director of Star Transfer. Tlicre is a
long and detailed account in this morning's
Gl{>be and Mail which says there was sud-
stantial mismanagement and perhaps worse
in Star Transfer during the time Kenneth
Passmore was there. Examinations were made
by auditors, by the auditor's office and by
Transportation and Communications, and
again no reports about these events were
ever made to the Legislature, nor was any
reference to these irregularities made in the
auditor's report. The auditor's report has
some 200 words relating to Star Transfer this
842
ONTARIO LEGISLATURE
year; the reference is brief and it is vague
and it is certainly far from condemnatory.
Well Mr. Speaker, I have dealt, rather
briefly, with some of the charges that were
made. Now let me put forward my sugges-
tions in regard to them.
First of all, there must be an immediate
explanation by the Minister of Transporta-
tion and Communications (Mr. Rhodes) as to
why no report has been made to the Legis-
lature about these sordid events and why
there has been no major reorganization of the
Ontario Northland Transportation Commis-
sion. Is there any justification for the further
continuance of this organization as a body
separate and apart from the government of
Ontario, or should it not be taken back into
government and made accountable directly
to the Legislature through the Minister of
Transportation and Communications?
If it is argued there is some validity to its
continuation as an independent body, then
surely, as Camp recommends, the government
should get the politicians off the commis-
sion, get the Tory hacks off the commission;
get rid of the hon. member for Fort William
and get rid of the former member for Nickel
Belt and get rid of the former member for
Parry Sound; get rid of the Tory hacks and
put in some businessmen who know how to
run a commission and who will deal with the
affairs of handling public money in a reason-
able, proper and fair way.
Second, Mr. Speaker-
Mr. D. C. MacDonald (York South): There
is a man in the wings who hopes to get on
next, the hon. member for Timiskaming.
Mr. E. M. Havrot (Timiskaming): I am not
that hungry for power. The member for York
South may be but I am not.
Mr. Singer: The auditor must be imme-
diately questioned by the public accounts
committee and asked to show cause why these
matters were not in his report; and if in fact
the facts are as they appear, and there is no
reason to believe they are not, the auditors
should at least be reprimanded.
I do have a little sympathy for him, be-
cause his unfortunate position was partly the
creation of government, partly the fault of
government neglect and partly the fault of
the Premier's lack of decisive progress in
filling that position as soon as it became
vacant. As I said at the beginning of my
remarks, it was most unfair to put Mr. Scott
in the position of acting as Provincial Audi-
tor after the tragic death of Mr. Groom, not
giving him the security he had to have to do
his job properly and expect him to fearlessly
report on matters that were discovered. In
so doing the public of Ontario has been badly
served and the substantial fault lies at the
door of the Premier and his colleagues for
fearing to fill this appointment; although
again that is no excuse for Mr. Scott, who
apparently had knowledge of these events,
not making some report about them in his
last audit report.
Third, surely there has been enough about
the misuse of planes already. The public
accounts committee has had a lot of sessions
in regard to this, and that information should
have permeated at least as far as Fort Wil-
liam and probably could have been a beacon
in front of the hon. member for Fort Wil-
liam. When the Premier will take commercial
air lines for his own personal use, one must
wonder at the nerve or the callousness of the
hon. member for Fort William.
I would suggest, Mr. Speaker, fourth, that
there must be an investigation by the police
and, if necessary, by the law officers of the
Crown or the Attorney General's department
concerning the allegation that an official was
paid twice by the ONTC for an air flight. We
must remember that three aldermen from the
Metropolitan Toronto area are presently fac-
ing criminal charges for alleged offences that
seem to be of the same calibre.
Fifth, I can't understand, as I once more
read about the awarding of contracts, whv
Ontario does not have some strictly laid-
down, perhaps statutory provision that there
must be compulsory tendering on all contracts
that involve the use of public money. I note
that even the Province of New Brunswick,
just a few days ago, gave third reading to a
statute that requires public tendering for all
contracts involving the purchase of goods
over $750. Since there seems to be constant
abuse and certainly blatant suspicion about
our tendering procedures— and many more
examples are contained in the stories con-
cerning Ontario Northland—hasn't the time
come when we should have a public statute
setting out in clear and unmistakable lan-
guage what the tendering procedure should
be?'
Sixth, Mr. Speaker, I think there should be
an immediate investigation by the law officers
of the Crown as to whether or not there was
sufficient cause to dispense with the services
of Kenneth Passmore for cause. That's a legal
phrase, and if you find that you can dismiss
somebody for cause, then you don't have to
give him pay in lieu of notice. It would seem
that Mr. Passmore received some $25,000, and
it would also seem that there might have
APRIL 8, 1974
843
been su£Bcient cause to dismiss Mr. Passmore
without the payment of that $25,000.
There should be, seventh, Mr. Speaker, an
immediate and detailed report to the public
accounts committee and to the Legislature as
to what steps have been taken to clean up
this mess. The public and the Legislature are
entitled to assurances that the mess is cleaned
up once and for all and that it is unlikely
there will be loopholes and doors left open
that -will allow this kind of abuse to continue
any longer.
Eighth, there should be a report to the
public accounts committee and to the Legisla-
ture as to who has used the private car, say
over the past three years, how long it has
been used by such people, for what public
purpose and at whose expense. Who were
the businessmen who used that private car?
Did they travel with their families? Were
there members of the Legislature who had
exclusive use of that private car? Did they
travel with their families? And what was the
purpose of that kind of expenditure?
Ninth, there should be a report from the
government as to what justification there is to
charge directors' fees— to my mind, it's ab-
solutely inexcusable— to Star Transfer in the
amount of $9,600 in addition to what the
commissioners are already paid. That practice
should certainly be stopped immediately.
Tenth, I would suggest there be a taxation
of the $40,000 legal bill. It seems very large
to me. It may be justified, but I think that
bill should be taxed before the taxing oflRcer
so that we can find out whether or not that
bill was a proper and adequate bill and
whether or not it should have been paid.
Remember, Mr. Speaker, the bill was in
relation to negotiation and advice for a deal
that was never in fact consummated. And
$40,000 for a $2.5 million deal is not a small
fee, but when the deal doesn't go through,
it might very well be a very large fee and
much too large.
These are only; some of the more obvious
matters. There are many more matters that
should be raised, and I am sure the public
accounts committee is going to go into each
and every one of the charges, each one of
which must be investigated, and full reports
and action recommended by the public ac-
counts committee, by the Legislature and by
the ministry.
Mr. Speaker: The member for High Park.
Mr. M. Shulman ( High Park ) : Mr. Speaker,
I have a number of serious matters that I
would like to discuss in this Throne debate.
but before I come to them, I mmy just tftke
a very few moments for one that is not quite
so serious. I think perhaps I have involved
our province in a war, and I thought I should
let members know alx)ut it. Before I bcgin^ I
think we all must have solidarity in here. We
have our diflFerences, but when one of our
members is in trouble, I think we must all
stick together to help him out because the
one who is in trouble is me.
The situation is that some eight yean ago
I wrote a book which caused some surprise
to the publisher and myself in that it sold
remarkably well. There is an organization in
Washington called the Securities and Ex-
change Commission. Two months ago they
discovered I had written this book and they
sent me a very ofiBcial letter in which they
say that they have just discovered my activ-
ities. Although normally they do not insist on
taking into their fold foreigners who write a
single book on the market, to quote them
they say: "Your activities seem to clearly
involve you in being in the business of
advising others for compensation through
publications as to the advisability of investing
in securities." The letter finishes off: "Would
you please inform us in writing of your inten-
tions with regard to registration." It's signed
Allan Rosenblat, chief counsel of the Secur-
ities and Exchange Commission, Washington,
DC.
Hon. J. T. Clement ( Minister of Consumer
and Commercial Relations): It's about time
they caught up with the member.
Hon. A. Crossman ( Provincial Secretary for
Resources Development): The member gets
the message.
Mr. Shulman: Right, that's the way I felt
about it. Well, I was terribly flattered. I
mean if the US government thinks that I am
an investment adviser, I thought that would
he very nice and that I would put that after
my name— Morton Shulman, MD, MPP, lA
for investment adviser. So I wrote them back
and I said: "Thanks very much, that's really
great."
One thing that puzzled me: I received the
letter on Feb. 26, 1974, and it was dated
Jan. 8, 1973. I couldn't figure whether the
mails had really slowed down there, or wheth-
er they were confused which year it was,
but I finally figured out they didn't know
which year it was. The other thing that
bothered me was that it was addressed to
Dr. Morton Shulman, care of the Book of
844
ONTARIO LEGISLATURE
the Month Club, Camp Hill, Pa. That may
have had something to do with the delay in
getting to me.
But, anyway, I wrote them back and said:
"Gee, thanks, fellows, that's great. If you
think I'm an investment adviser, I'd be de-
lighted to register and have those initial's
after my name. Send me the forms."
Well, that was all very well until the forms
arrived. There was a 25-page form to fill out,
and the first question was, "What are your
qualifications as an investment adviser?" Well,
I really have no formal qualifications, so I
wrote down "none." That's right, Mr. Speaker,
you have to tell the truth when you are
dealing wdth a government agency.
I filled out this 25-page form and then I
thought, gee, before I send this down to the
American government maybe I should have
some lawyer see it. He said, "Gee, Morty,
you had better not send it down because as
soon as they see your first answer 'none', they
are going to refuse you registration as an
investment adviser and then you will be a
failed investment adviser, and as a failed in-
vestment adviser they'll be able to get the
US courts to stop you selling books in the
States and that would be bad."
Interjections by hon. members.
Mr. Shulman: I wrote back to them and
said, "Look, under these regulations it says
I don't have to register if I have less than 15
clients. I only really give advice to one per-
son. That's my wife, and she doesn't follt>w
it anyway, so I don't think that counts.
"The second thing is that you are exempt
if you have less than 15 clients and you do
not generally hold yourself out as an invest-
ment adviser. I really don't hold myself out
as an investment adviser. I generally hold
myself out as a statesman. Would you advise
me what I should do?"
That all seemed very well until on my
birthday they sent me this letter, and I
thought it was in very bad form really. Any-
way, it was dated April 2, 1974, and it's from
the Securities and Exchange Commission,
Washington, DC. It is no longer addressed
"Dear Dr. Shulman," it's addressed "Dear Mr.
Shulman."
Hon. Mr. Grossman: They took a couple of
initials away.
Mr. Shulman: It starts oflF: "Compliance
with the federal securities law is no laughing
matter." They then proceed to lay out the
various horrendous penalties that can happen
to me if I don't co-operate with them. Ap-
parendy huge fines are possible and— what
else?— 20 years in jail for each book that's
sold.
Hon. Mr. Grossman: The next thing is
they'll take the member away and give him
a number.
Mr. Shulman: Well, I felt that this was a
hostile act, Mr. Speaker. I wrote back to the
securities commission in the United States
and I said: "I feel that you're carrying out a
hostile act. I'm not quite sure how we're
going to carry out all these things, short of
sending in the Marines. I know what Ameri-
can strategy is and—"
Hon. Mr. Grossman: We don't have
Mr. Shulman: "—unfortunately, my prov-
ince has very little military capability." But
I've been in touch with the Minister of Na-
tural Resources (Mr. Bemier) and he has some
45 planes he uses for fighting fires. I have
requested him to do a pre-emptive water
bombing strike on the SEC building in Wash-
ington. One of the planes has a loudspeaker,
and it's my plan, if members all agree, that
we'll hover over the building, and using a
loudspeaker, we'll yell' down, "Mr. Rosen-
blat." When he sticks his head out the win-
dow, then, plop, we'll let him have it!
Anyway that is my current situation with
the securities commission in the United States.
I hope I'll have the unanimous support of this
House if it does come to war.
Hon. Mr. Grossman: Except don't tr>' to
make any trips to the States now.
Mr. MacDonald: The Minister of Consumer
and Commercial Relations has o£Fered his help
already.
Hon. Mr. Clement: We can take his On-
tario licence away from him.
Mr. Shulman: Well, with that minor prob-
lem hanging over us— and I'm sure that we'll
come to some solution— there's another matter
I want to deal with, and this is the budget
which the Treasurer (Mr. White) is bringing
down tomorrow.
There has fallen into my hands this morn-
ing a certain book. I wasn't going to talk
about the budget today, let me say. I usually
would save that for my budget debate speech,
but under the circumstances I couldn't help
reading this book, which was given to me
this morning. And I must say that I am
bitterly disappointed with the contents. Actu-
ally I'm not really the financial expert for
APRIL 8, 1974
845
this iMirty. This may surprise members. It is
the hon. member for Yoric South, who will
speak next.
Mr. I. Deans (Wentworth): Now why
would that be a surprise?
Mr. Shuhnan: I'm going to pass this vcdume
on to him. He will deal with it in detail in
his speech, but I just want to make one com-
ment about it. Im resJly very upset about
one of the taxes the Treasurer is bringing in
here— a tax on raw land speculation—because
it isn't going to work. Although it is a very
sizable tax, it isn't going to woric, because it's
going to freeze up all the land on the market
and people just aren't going to sell. But any-
way I won't deal with that myself; Hi leave
it for the hon. member for York South, and
Tm sure that he will handle it.
Hon. J. White (Treasurer and Minister of
Intergovernmental AflFairs ) : Well, Mr. Speaker,
on a point of order, I had my picture taken
with that dmnmy this morning.
Mr. Deans: Which one?
Mr. MacDonald: Does the Treasiu-er mean
there are two dummies?
Hod. Mr. White: I mean the document and
not the hon. member.
Mr. MacDonald: Two dummies in the
same picture?
Hon. Mr. White: When I showed it to
some of the oflBcials here earlier today, they
were intrigued with the design, and more
particularly, I think, with the gorgeous Tory
blue.
Mr. MacDonald: The date?
Mr. Deans: Not with the picture.
Hon. Mr. White: I gave the document,
which in fact contains 3ie 1973 budget, to
the hon. member in the hope and expectation
that he would read my budget statement from
a year ago, instead oi punishing us with his
Throne debate speech containing, I have no
doubt, all kinds of misinformation and incor-
rect ^legations.
Mr. Shuhnan: He's right, I confess. I had
intended to read that, but something about it
seemed vagudy familiar, Mr. Speaker, and I
decided under the circumstances I'd let the
hon. member for York South read it.
Mr. MacDonald: It's like most budget
speeches; it sounds like the previous year all
the time.
Hon. Mr. White: When my dear friend
reads that hell find out we were ri^ on in
every respect.
Mr. R. F. Nixon: Ah, the Treasurer is
going to point to the same villains as last
year.
Mr. Shulman: If I may turn to a somewhat
more serious matter-
Mr. R. D. Kennedy (Peel South): How
about a scandal?
Mr. MacDonald: Which does he choose
from?
Mr. Shulman: —I would like to follow up
the remarks made by the previous speaker
from Downsview, in which he was kind
enough to read the front page of the Gbbe
and Mail for the last two editions. There are
just one or two brief comments I would like
to midce.
Fm not too upset by the fact that there arc
one or two crooks on the Tory side of the
House. We know it and they know it. There
are probably one or two crooks on this side
of the House, too. When there are people
who have a chance to dip their hands into
public funds, they will do it. Ultimately it
always comes out and when election time
comes those people will be punished.
That isn't what upsets me. What does upset
me far more is the fact that the House cannot
depend on the auditor. I think the hon. mem-
ber for Downsview was far too mild in his
comments about the auditor. We expect the
worst from the Tories. We search for it all
the time and when we find it we expose it.
The public ultimately will render its verdict
on their behaviour.
Mr. Kennedy: And the member is never
able to prove it.
Mr. Shulman: The auditor does not depend
on the public. He does not go for re-election.
His behaviour is essential to the Legislature.
He is responsible to us, and I cannot see how
the present auditor can continue in his
present position.
There are only two possible courses of ac-
tion that can be followed. He will come up
with a denial of the allegations in the Globe
and Mail story, and that seems impossible
from the detail that has been developed by
Gerald McAuKflFe. If he is unable to come
up with a detailed denial, the fact remains
that he has withheld essential informatimi
from the House. How can the House ever, in
future, trust him? How can members believe
846
ONTARIO LEGISLATURE
that what he is telling is the truth? How can
they believe that what he is telling is the
complete truth?
If he is unable to deny the allegations in
this story he must be replaced. Honour says
he must resign. If he does not resign he
must be replaced. I don't want to belabour
this. It's all spelled out in the Globe. There is
no use my repeating everything that has been
written by the Globe and has been repeated
this morning by the member for Downsview.
But surely, the brunt of this must lie on the
shoulders of the auditor and his head must
roll. It's as simple as that. He must go.
The major subject I wish to talk about to-
day—there is one aspect involving organized
crime which I'll save until the end— is some-
thing which has not been dealt with either
in the Legislature or, to my knowledge, in the
press before. Primarily I want to talk about
the Liquor Licence Board because this is a
major scandal. It's a major scandal' which has
been going on for several years. It has not
been given any public exposure except for a
few articles written in an obscure Toronto
journal. In effect, there has been nothing said
of it either here in this Legislature or, for
that matter, in the greater public media.
The Liquor Licence Board is governed by
the Liquor Licence Act. There is a great deal
of confusion in the public mind and, to my
surprise, in the professional mind between the
Liquor Licence Board and the Liquor Con-
trol Board. I am not today talking about the
Liquor Control Board. Much can be said
about that place but I want to make it quite
clear I'm talking about the Liquor Licence
Board, the one that controls the licences
given out to the establishments in this prov-
ince which serve liquor. It is governed by
the Liquor Licence Act; it is also governed
by certain regulations which have been
brought in by this Legislature. At least, it's
supposed to be governed by the Liquor Li-
cence Act and it's supposed to be governed
by these regulations but it is not.
There are 11 sins committed by the Liquor
Licence Board and let me just itemize them.
1. They exercise blatant discrimination in
the administration of the law. 2. They harass
those establishments and persons which dis-
please them by making up special rules for
one establishment and not another. 3. They
have set themselves up as advertising censors,
advertising censors of some establishments but
not of others. Some are immune to these rules.
4. They make up arbitrary rules which are
not grounded either in law or in legislation.
5. They treat their employees as guilty until
proven innocent.
6. They give the good jobs at the board to
friends of the boss. In fact, I'll come to that
in detail. 7. They have given themselves the
power to act as building inspectors even
though there is nothing in the law which
gives them this power. 8. They've given them-
selves the power to act as entertainment cen-
sors even though they have no legal power
to do this. 9. They use special occasion per-
mits as a present given or withheld depend-
ing on whether they like or dislike the person
making the application.
Up to now I'm going to prove those points
beyond the shadow of a doubt, but on point
10 I'm going to fuzz a bit. There is evidence
—it is not conclusive evidence as to point 10
—that they accept influence in the granting of
licences. There is not conclusive evidence on
that. I have been unable to get the facts to
establish the evidence, the truth or not, be-
cause they will not allow me to have those
facts. Finally, 11, and perhaps most serious,
in certain cases they have actually reversed
the law and given instructions that legisla-
tion which was passed here in this House is
not to be enforced. In fact, they threatened
one establishment that if it actually went so
far as to follow the law as it is stated here by
this Legislature, it would lose its licence. I'll
come to that in detail.
Let's start off with the first point which is
that they exercise blatant discrimination in
the administration of the law. I have a num-
ber of examples of that. The first one was
brought to my attention by a reporter from
the CBC some months ago and this is what
started this investigation. He discovered that,
for reasons which to this day we have not
been able to determine, the Liquor Licence
Board issued instructions to one restaurant in
town, a place called El Cid, that it was not
to be allowed to serve a drink called sangria.
Sangria is a very dilute wine; it is a com-
bination of a Spanish wine and soda water.
Yet at the very same time that El Cid was
given this instruction, the other Spanish
restaurants in town who also sell sangria were
allowed to continue, despite the tact that
actually it appeared in the press tliat these
other restaurants were serving sangria.
I went to the three restaurants involved:
El Cid, which is not allowed to serve it; and
the other two. Cafe Madrid, and Don Quixote,
which are allowed to serve it. I asked them
why at El Cid and they said, "We think we
insulted one of the inspectors." TTiis was their
response. They received a letter saying, "You
may not serve sangria." I asked the other two
APRIL 8, 1974
847
establishments why they were allowed to
serve sangria, and tfiey said, "We have had no
trouble with the board."
Now that is a simple example. And let me
say a word about the minister now that he is
here facing me. He has done very well his
first year. He has received good press; he has
good relations with the members on all sides
of the House— and he's done this by being
fairly straight. He has a good sense of humour
and this is going to be his downfall, because
he gets up ana replies with a quip when
serious problems are brought to him.
Hon. Mr. Clement: What does the member
mean "fairly straight"?
Mr. Shulman: Fairly straight. Now, when I
brought in the problem of this sangria, sir,
nothing happened to the restaurants involved;
but the minister replied, "Who wants to drink
that cheap Spanish vdne?" No, it is not good
enough to jolce about these matters, because
the minister has a scandal sitting under his
seat and it is about to erupt on him.
Mr. F. Drea (Scarborough Centre): How
can the member see the minister's feet under
the desk?
Mr. Shulman: So, I presented these facts to
the Liquor Licence Board and I said to Chief
Mackey, "Would you please explain to me
why El Cid is not allowed to serve sangria?"
He said: "It is very simple. Under regulation
563, item 9, section 4, 'any non-Jdcoholic
liquid that is added to hquor in the prepara-
tion of a drink shall be added in full view of
the customer'." This is Mackey's explanation.
As any member of this House knows, you
can go into any restaurant in town, any
licensed premise in town, and order a Bloody
Mary— and when that Bloody Mary is brought
to you, it is aheady mixed. The non-alcoholic
liquid, the tomato juice, does not go in in view
of the customer.
So I wrote back to Mackey and I said:
"What land of nonsense is this? Why is El
Cid the only one who is forced to follow this
regulation and nobody else is?" He said:
"Well, it is true that you don't actually see
the tomato juice being added to the vodka,
but you could see it if you went up to the
bar. And it is my information that El Cid
was mixing its sangria the night before, so no
one was there and could see it."
So I went up to El Cid again and said, "Do
you mix yoiu* sangria the night before?" They
said "No, we mix it at the time." But that
doesn't matter, the people sitting at the table
couldn't see this mix taking place.
So here is a regulation in the Act that is
quite clear— all mixes must take place in fuU
view of the customer. But Maclcey has de-
cided to ignore that except for one restaurant,
which for some unknown reason has dis-
pleased someone at the Liquor Licence Board.
That's not an isolated example. There are
dozens and dozens of them.
Mr. Speaker, may I just ask you if we go
to 12 or 12:30?
Mr. Speaker: Until 12.
Mr. Shulman: There is a restaurant called
the New Windsor at the comer of Richmond
and Church streets. It wasn't advertised at all,
but it had a thing called a "happy hour," and
this was an arrangement whereby during cer-
tain hours the patrons could get two oeers
for the price on 1% and two drinks with a
mix for $1.50 instead of $2. Well, at noon on
Friday, March 20, I beheve it was, an in-
spector came to their door and ordered them
to cease this practise forthwith or be closed
for six days.
The people who owned the establishment
said "Why, it is done all over the city." The
inspector replied: "We are not discussing the
rest of the city, we are discussing you. Now
if this 'happy hour' continues after today,
six days suspension."
It didn't make any sense because not only
were they being singled out, but there is
another establishment called the Friar's Tav-
ern, just a few blocks away, which has been
running an ad since October. I'm going to
read it in full— it is a very brief ad:
The Drawing Room. Delightful. Jerry
Adams nightly from 9. After theatre menu.
A great place to meet for the "happy
hour." Lunch and buffet $2.50. Dancing.
No cover. The Friar's, 283 Yonge at Dun-
das Square, 362-6693.
We phoned down to the Liquor Licence
Board and asked, "How come one establish-
ment is told it can't have a Tiappy hour/
which is apparentiy bad, and another estab-
lishment has been running this same ad daily
for six months?" Well, the gentleman I spoke
to at the Liquor Licence Board agreed and
said it did seem strange. They responded im-
mediately.
Last Friday, two inspectors arrived at the
Friar's and said, "You may not use the word
'happy' in your ads any more." And he said,
"why can't we use the word "happy' in our
ads any more?" He said, "Damned if I know,
but those are the instructions I've been told
to give you."
848
ONTARIO LEGISLATURE
I phoned down to my contact at the
Liquor Licence Board and said, "Why can't
they use the word 'happy' in the ad?' They
said, "The orders from Chief Mackey are as
follows: 'No words are to be used in adver-
tisements that indicate that patrons may be
having pleasure.' " Just stop and think about
that one-
Mr. MacDonald: They haven't seen TV
beer ads for a while.
Mr. Shulman: Just stop and think about
that one for a minute. We've got a man in
charge of the Liquor Licence Board who is a
teetotaller. He's straight; he is really straight.
He's an ex-policeman, a good policeman. He
was the best chief of police this city has ever
seen. He kept Toronto clean. The fact that he
was a good chief of police does not mean he
is going to be good in another job, and he
is very bad in this job. And. the reason is,
unfortunately, his own personal background.
As a teetotaller he believes that there are
a lot of weak people in this country who
feel they have to drink, and if they must be
allowed to drink, we will allow them to
drink under the law, but they are not to be
allowed to enjoy themselves. Ads that use
the word "happy," ads that use any word
that suggests people are doing more than
getting over this terrible, horrible sin of
drinking must be outlawed.
To give you another example in the same
field, Mr. Speaker, two months ago his in-
spectors descended on all of the restaurants
in this city that have piano bars. Now, what's
a piano bar? It is a piano where someone
plays, and there are stools around it where
the patrons can come and sit down and have
a drink and listen to the music.
Well, Chief Mackey discovered that strang-
ers were talking to each other. People of
different sex, men and women who actually
didn't know each other, were coming into
these piano bars, having a drink and talking
to each other. This upset him mightily, and
the order went dovm immediately: "All piano
bars are to be outlawed at once." And they
went into each and every establishment in
this city that had a piano bar and said, "Out!"
Well, almost each and every establishment.
One or two were immune for some reason-
but they cleaned out the Oyster Bar, La
Strada, AJ's. Why? Because we have got a
very strange man at the head of the Liquor
Licence Board, a man who does not approve
of people enjoying themselves.
And what has he done with that rule?
He has put all sorts of musicians, fine musi-
cians, out of work— people like John Arpin—
the type of good musician who made a tour
of these bars, which have all been closed
down. It just doesn't make any sense; it just
isn't fair.
I went again to the minister involved; I
appealed to him. But apparendy he doesn't
have too much influence; he hasn't been able
to do anything about it.
Well, what other discrimination is there in
the way he runs things? What else does he
do? There is a restaurant called Tanaka of
Tokyo, just a few blocks from here, at the
comer of Bloor and Bay. It is a typical
Japanese restaurant that serves multi-course
meals, and 95 per cent of its business is done
at night. They were told that, according to
the regulations, they had to stay open at
lunch. They wrote a letter to Chief Mackey
and said, "Look, we have no business at
lunch. Do you mind if we close?" He wrote
back, "No, you may not close at lunch." And
no reason given.
I wTote to him and said, "Chief Mackey,
why do they have to stay open at lunch?" He
wrote back: "Section 34(c) of regulation 563
reads that in every dining lounge or dining
room, lunch must be served." WeU, that's
fine; if that's the law, it must be followed.
I wrote to him again and said, "Chief
Mackey, how come Barberian's, just a few
blocks from Tanaka of Tokyo, is allowed to
close at lunch? Don't they have to follow the
same regulation? They have the same licence."
And he wrote back to me again— andi I don't
want to be unfair; let me quote him exactly—
and said, "They have always closed at limch.
The board gave them permission back in 1962
to close at lunch, so since they have always
had the permission, why should we change
it now?" That's what he said.
It didn't make much sense to me. It's like
a chief of police who sees two people speed-
ing at 50 miles an hom- through a 30-mile-
an-hour zone and stops one and let's the
other go. And the one fellow whom he stops
says, ' Why didn't you stop him?" "Oh, he's
always sp>ed through here, even before the
speed limit vras 30-miles-an-hour." There's
no sense, no logic; it's blatant, open discrim-
ination.
Another example— loimge hcences. There
hasn't been a lounge licence given in this
province for years because Mackey does not
approve of lounge licences. But there was an
exception made. The rule is no lounge li-
cences, but when Ontario Place opened the
people there had very good, very close con-
tacts with the government and suddenly we
APRIL 8, 1974
849
ha\ f lounge licences given to Ontario Place.
Nobody else can get a lounge licence but {dl
the restaurants at Ontario Place— those private
restaurants, not the government-run ones-
were given lounge licences. I said how come?
He said he thought that Ontario Place was a
special situation so he should make an excep-
tion in that case.
That's how it is all the way through;
special situations for everything.
Hon. Mr. Grossman: Which private oper-
ator got a lounge licence in Ontario Place?
Mr. Shulman: Pardon?
Hon. Mr. Grossman: Which places in On-
tario Place got lounge licences?
Mr. Shulman: There are four of them.
Hon. Mr. Grossman: They have dining
room licences.
Mr. Shulman: Thev also have lounge li-
cences. I can quote from Mackey's letter, if
the minister likes.
Hon. Mr. Grossman: That's a different ball
game.
Mr. Shulman: Let me read his letters if
there is some doubt.
Hon. Mr. Grossman: I didn't say there was
doubt about them having them. They have
two hcences.
Mr. Shulman: Yes, they have two licences.
They have a lounge licence and a dining
room licence. But no one else can get a lounge
licence. There are all sorts of dining rooms
which would like to get lounge licences but
thcN- can't get them.
Let me give another example of the sort
of thing he does, coming back for a minute
to the piano bar. There is a fellow by the
name of Hy Eisenstadt who owns some
$25 million worth of restaurants across this
province. He's terrified of Mackey. He'll be
ver\' upset that I mentioned his name here
in the House but I mention it for a very
important purpose. Before he built a restaur-
ant in Yorkville, which just opened a few
months ago, he submitted his plans and got
approval. One of the things on those plans
was a piano bar and that Ls marked "approved
by the Liquor Licence Board." But the day
after he opened they came down and said,
"We have changed our minds. Take it out."
He asked for a lounge Ucence. "No." It's run
bv whim!
The next point is the harassment of thoce
establishments and persons which displease.
Let's take the regulation that says there nuy
not be any partitions in places whidi have
restaurant licences. There is such a regula-
tion. What the regulation actually says ii a
patron in any part of the room must oe able
to see all of the other patrons in the rest of
the room. This is a regulation they brought
in. I don't quite understand the point of that
regulation but, anyway, that is the regulation
—but it doesn't apply to everyone. It only
applies to some people.
Thus there are places like Ed's Warehouse
which has these beautiful little courting
parlours where vou can go in and nobody
can see you and you can t see anyone else.
It's quite nice. It's very attractive and they
serve drinks there. I cannot see the world
coming to an end because Ed's Warehouse
does that.
But in another establishment a friend of
mine, Marika Sereny, is attempting to get a
licence. She won't get it. He has oecided he
doesn't like Marika Sereny. She is attempting
to get a licence for Cafe Marika, just here on
Bloor and Bay. They came in and said "My
God, you've got partitions. Those partitions
will all have to come out." They are not en-
closing partitions but just simple partitions
between each booth such as one sees in many
of the restaurants in town.
She said, "But how come Nicchl [and she
mentioned a number of other restaurants!
have partitions and you don't bother them?"
He replied, "We are not discussing Nicdil
and we're not discussing Ed's Warehouse. We
are discussing you. And unless all these parti-
ticMis come out there will be no licence.
It's straight, plain, ordinary harassment I
have a letter here from the board of directors
of the German-Canadian Business and Pro-
fessional Men's Association complaining of the
way they harassed Oktoberfest. I'm not going
to go through this— it's fairly lengthy and the
minister has already seen it and replied to it.
This was not isolated. They sent in a troop of
inspectors and the instructions of the in-
spectors were to look for infractions because
the whole idea of Oktoberfest upset James
Mackey mightily. People were actually putting
up signs with a beer bottle on them. This
really upset him and the regulation went
down, "Get those signs do\Mi or else we close
down the whole Olrtoberfest."
Mr. MacDonald: The Grey Cup festival is
certainl)' doomed.
Mr. Shulman: Thev took down all the signs.
And there is still harassment and shutting
850
ONTARIO LEGISLATURE
down of establishments. It isn't just Oktober-
fest. The leader of the House told me yester-
day—I hope I don't embarrass him by repeat-
ing this— that up his way in Grey North— is
it?— they have a thing called apple blossom—
An hon. member: Grey South.
Mr. Shulman: —Grey South; they have
apple blossom festival and again it is a similar
thing to Oktoberfest. This year their apphca-
tion for liquor licences, which they have had
every year, were turned down. They came to
the leader of the House and said, "Can you
do anything?" and he is not sure whether he
can or not. He is not sure if he has enough
influence. They will have to wait and see.
Well, what else do they do, this Liquor
Licence Board of yours— if it is yours, I'm not
sure?
Point three. They have set themselves up as
advertising censors. They decide what adver-
tisements may be run in the public press and
what may not. But again, they do not set up
the same rules for everyone. Some people
have one rule and other people have another
rule.
iHere, for example, is a book called Key to
Toronto. I don't know if any of the members
have seen it but it is distributed through all
of the hotels and it is meant for tourists who
come to Toronto who want to know what is
on and where they can go to dine. Well, there
was an ad a couple of months ago by Max-
well's Plum and the horrible word in this ad
is apparently "drink." It says: "Early dine and
dance. All you can eat and drink. Gourmet
bu^et dinner."
Well, they summoned the owner of Max-
well's Plum down for a personal appear^ce
in front of James Mackey and Mackey's con-
versation with him went as follows: "How
long have you been in the restaurant busi-
ness?" And he said, "Twenty-^four years."
"Well, by now you should know that you are
in the business to sell food and not liquor
and if that word, that bad five-letter word
'drink' appears again in any ad that you run,
you will lose your licence."
The owner of Maxwell's Plum was a little
upset because in the very same issue here is
a full-page ad for the Old Spaghetti Factory.
Now, the Old Spaghetti Factory ad admitted-
ly does not use the word "drink." In their
ad they use the word, "cocktails." They say:
"Dinner for two with wine for less than $6."
This ad is okay. Figure that one out.
To make things even worse, to' make things
even more ridiculous on Friday night I went
to the Royal Alex to see Gypsy and they give
you a htde programme. I opened the pro-
gramme and on page 5 is an ad for another
restaurant— another favoured restaurant— by
the name of Shakespeare's. Here in Shake-
spear's ad it says: "$1.75 to $4.15 after-
theatre drinks." Now, apparentiy the word
"drink" is no good but "drinks" is allowed.
That is Mackey's rule.
Well, do you think that is the ultimate of
ridiculousness, Mr. Speaker? I have here a
letter from the people who ran the Brazilian
Carnival Ball for Cardinal Leger's work in
Africa. That happened just two weeks ago
and let me just read this because it is the
most incredible— well, if it wasn't the Liquor
Licence Board you would think it incredible,
but being the Liquor Licence Board it is par
for the course. The letter says:
The Brazilian Carnival Ball was held at
the Imperial Room at the Royal York on
Monday, March 25. It was a costume ball
and was well covered by all the Toronto
newspapers. It was a great success. This
year the proceeds of the ball went to Car-
dinal Leger's works in Africa.
We thought the television coverage would
be a natural for this event and it might
help to establish the ball as an ongoing
charitable affair. Heaven knows this city
can always use another charity. But after
TV arrangements had been made the
Liquor Licence Board said: "No television
cameras allowed in the Imperial Room."
I phoned chairman Mackey but he was
away, so I spoke to Mr. T. Gilday, who
is a member of the board, and I asked him
why. He said he' was a little embarrassed
but the board did not want pictures taken
of people drinking. I replied, "But w^ are
not going to take any pictures of anyone
drinking, we are just going to take pictures
of the costumes." Mr. Gilday was very em-
barrassed and said, "Our rule now is that
television pictures may not be taken in any
licensed premises, whether or not the peo-
ple are drinking."
Well, this is rather interesting, Mr. Speaker,
because what this means is that a speech
given by the Premier at the Four Seasons
just a few weeks ago will no longer be able
to be repeated. In the next election campaign
—or for that matter at any other time— all of
us who happen to get television coverage or
all of the government ministers, people like
the Premier, even people like the Provincial
Secretary for Resources Development, people
like Pierre Elliott Trudeau will not be allow-
ed to have television coverage of their
APRIL 8. 1974
851
speeches if the speech is given in any place
that has a Hcence, whether or not liquor is
present.
It's insane; it's plain ordinary insane.
There is no thought given to it. It's a rule
brought down at the whim of the moment.
Obviously, they are not going to descend on
the Premier and say, "You may not have tele-
vision coverage; so what they do is they ex-
ercise their rules as they see fit.
Here's a write-up I took out of the Globe
and Mail business section of Thursday, March
28, 1974. It shows the president of Carling
O'Keefe Ltd. sitting with workers in the
lunchroom at the Carlingview Dr. plant. With
Mr. Tennyson are several workers and, be-
lieve it or not, there's a picture of them
drinking beer. Now, there are several laws
being broken here. First of all, of course,
there is no licence to drink beer in the lunch-
room at Carling O'Keefe. Secondly, it seems
a picture has been taken of the drinkers but
they are not being bothered, because Jim
Mackey picks and chooses his targets very
carefully. We pick on the weak and ignore
the strong. It is as simple as that.
Well, let's go on to the next point— arbi-
trary rulings, rulings that they make on the
spur of the moment. Here is a letter, on the
letterhead of the Liquor Licence Board of
Ontario, which was sent out to a friend of
mine who got a licence after going through
certain routines which I will tell the House
about. Down near the bottom of the rules,
after he got his licence, there is a rule that
reads as follows: "The licensee will not dis-
pose of the premises for a period of three
years from the date of the issue of the li-
cence."
There is nothing in the regulations to give
them the right to say someone cannot sell
his business. You know, things happen. Peo-
ple run into financial difficulties. People get
sick. People have to move. Yet because of
the arbitrary rule, no one may sell his busi-
ness within three years of getting a licence.
I wrote to the board and said, "Would you
please explain to me under what rule or
what regulation you have the power to do
this?" And they wrote back to me that "it's
done under the rule of board policy." So I
wrote them again; I said, "Would you mind
sending me a copy of board policy, because
this intrigues me, and I would like to know
what policy is." Chairman Mackey wrote me
back, saying:
Dear Mr. Shulman:
I am in receipt of your letter asking for
information on l)oard policy, I would sug-
gest that if you have some particular deci-
sion of the board in mind, I would be
pleased to supply the information on that
particular decision.
Yours sincerely,
James Mackey.
Well, the reason is that he couldn't give me
something he doesn't have. Board policy has
never been written down. This is something
that changes from day to day. It depends on
the whim of the chief. It doesn't apply to
everyone— that's why they don't write it down.
It applies to some establishments and not to
others. It is an arbitrary exercise of power
for the sake of the exercise of power.
I will go on to the next point. How do
they treat their employees? Well, in this
country, we are supposed to have the belief
that people are innocent until proven guilty
—and so they are, in our courts, in govern-
ment, everywhere in the province, but not at
the Liquor Licence Board. If someone is ac-
cused of wrong-doing at the Liquor Licence
Board, they will be suspended without pay.
A few weeks ago, one of the inspectors of
the Liquor Licence Board was charged in
the courts with certain offences. I don't want
to discuss that because it's before the courts,
but immediately that this happened. Chief
Mackey suspended the man witnout pay. So
I wrote Mackey and said, "Chief Mackey,
how can you do this? You know we have
the presumption of innocence until proved
guilty? If you feel he should be suspended
until the matter is cleared up, that is your
prerogative. But surely he should be sus-
pended with pay and if, subsequendy, he is
found innocent, he will not have been
punished unfairly and improperly."
That letter was written some weeks ago
but there has been no response to it at all,
and the man is still suspended without pay.
And I have here, sitting in the galler\-, a
representative of the employees at the Liquor
Licence Board; their morale is so low it's
incredible, because of arbitrary acts of this
nature. I have had the opportunity to meet a
number of employees from the board. They
feel that they are trod upon.
I will give you an example of what goes
on there. Two months ago regional govern-
ment was coming to Oshawa and the chief of
police of Oshawa, a fellow named Pilkington
—who is an old acquaintance of Chief Mackey
—was going to lose his job as chief of police;
he was going to have to become a sergeant.
852
ONTARIO LEGISLATURE
He called his old friend up and said, "Buddy,
can you help me out?" Mackey said, "No
problem, we will make you an assistant chief
inspector." And he did.
They didn't advertise the post. They didn't
offer the post to any of the employees who
had been licence inspectors for many years.
One of them came to my oflBce and said, "I
feel so low about this I hate to go into the
ofiBce." When an important post comes up
they don't advertise it; they just give it to
whom they want to.
I went to the minister again and I said,
"What about this?" He said they are not
required to advertise. He then replied with
his usual quip. He said: "First we give the
jobs to the relatives, then to friends, then to
members of the Tory party, and then if we
can't fill them, we advertise." Well, he said
it with a joke and vdth a smile. All very
well.
Then he said seriously to me: "We really
have no control over that." But then he added
the kicker. He said the employees agreed to
that— the employees' association agreed to
that. So I got in touch with the employees'
association and it is not true. They don't
agree to it; they are very upset about it.
They don't like that place being run as a
private fiefdom.
Men who have worked there 15 years have
no chance of promotion because James
Mackey has a long list of friends he wants to
bring in. He has brought in somewhere be-
tween 15 and 20 cops. There is nothing wrong
with having policemen working for the Liquor
Licence Board— but the jobs should be adver-
tised; promotion wherever possible should be
within the board. And just because you are
not a friend of Jim Mackey should not pre-
clude you from advancement.
I was curious as to what pay was given to
the assistant chief inspectors, so I phoned
down and I got a person in the chief in-
spector's oflBce on the phone on Thursday. I
said: "What is the pay range for chief in-
spectors?" He said "I am sorry, I can't give
you that information." I said, "Is it a secret?"
And he said, "No, I have been instructed by
Chief Mackey that any inquiries are to be for-
warded to him." I said, "But I understand he
is away." He said, "Yes, that's a shame." I
said, "Well, does that mean that while he is
away the board shuts down?" He said,
"Maybe you should phone the registrar. I have
been given instructions I am not to say any-
thing."
I phoned the registrar, Mr. Brovm, and his
secretary came on the phone and said, "Who
is this?" I said, "Morton Shulman." She said,
"Just a moment," and she came back and
said, "What is it you want to know?" I said,
"I just want to know the salary range for
assistant chief inspectors." She said, "Just a
moment please," and she came back and said,
"Mr. Brown just went into a meeting and
can't take the call."
So I said, "Who is Mr. Brown's assistant?"
She said, "They all just went into a meeting
and they can't take the call."
I said, "Would you mind having one of
them phone me back? All I want to know is
the salary range for assistant chief inspectors."
I never got a phone call back. However, I
did get a phone call back from the minister's
deputy. He said the salary range for assistant
chief inspectors' is $13,500 to $16,500, or
something like that. I said, "How come you
are phoning me back?" He said, "The registrar
was so frightened he didn't know what to do
because Mackey was away so he phoned' us
and asked if he should give out any informa-
tion. So I am phoning you to tell you."
The morale there right up to the very top,
including two of the three board members, is
low. It is fear; they are frightened. They are
frightened of publicity, they are frightened of
Mackey, they are fearful for their j<x)s. A very
strange way to run a government department.
(Well, Chief Mackey has ambitions. It isn't
enough just to dispense liquor licences and
overlook little things like that. He wants to
be a building inspector. So this I'ast year and
a half he has expanded the functions. Now, if
a place applies for a licence, it isn't enough
to comply with all the regulations that this
government brings in. It isn't enough to
comply with the Act. It isn't enough to
comply with board policy. Now he has set
up his own building regulations.
An establishment on Bloor St. applied' for
a restaurant licence. They got their restaurant
licence. The building was inspected by the
building department of the city of Toronto
and was passed. It is a brand new oflBce build-
ing. Then they applied for a liquor licence
and Mackey 's troopers came down and said,
"No, we can't give you a licence unless you
put in another exit. You have got two exits;
you have to have three exits."
They said, "You know it is a brand new
oflBce building and there is no way you can
put another exit; we would have to blast the
wall out. It is not our building, we are just
renting the premises." They said, "Well, that's
too bad, we can't give you a licence unless
you have another exit."
I couldn't understand this, because there is
nothing in the Act that gives them the power
to do this. I wrote to Jim Mackey and said:
APRIL 8, 1974
853
It is my understanding or perhaps mis-
understanding that vour board's respon-
isibilities are confined to liquor, and that
building inspection was a responsibili^ of
the building inspectors and the Metro
Licensing Commission. Under what author-
ity have you assumed these added powers?
He wrote back to me:
You ask under what authority the board
has assumed these added powers. It's under
section 24, subsection 4, of the Liquor
Licence Act which reads as follows: ' The
board may restrict the scope or eflFect of
any licence and may issue a licence upon
such terms and subject to such further
conditions as it prescribes."
He took that innocuous section and has now
misread it to say it ^ives him the power to
set up building staiK^trds. He exercises that
power and anyone who doesn't go along with
it doesn't get a licence. And anyone who com-
plains is in danger of losing his licence.
He doesn't act just as a building inspector.
B\ the way, the interesting thing about that
building inspector is that these particular
premises which have been refused a licence
unless there is another exit are on the same
site— exactly the same site— as another estab-
lishment which was called the Sandpan Tav-
ern. It had the same number of exits and it
was given a licence. It went broke, the place
closed down and was bought by a new estab-
lishment which was refused a licence. Ex-
actly the same number of exits; exactly the
same physical plant.
I said to him, "How can that be?" He said,
"Until last year we used to accept the Metro
licensing requirements but we've changed it
now. Now, we follow the National Building
Code." Arbitrarily. Who decided? Jim Mac-
key decided.
What else have they done? They've set
themselves up as censors. Mackey has decided
there are certain things, certain entertain-
ments, that people shoiJd be allowed to see
and certain entertainments they shouldn't be
allowed to see. What brought this on? Ap-
parently a young girl danced in one of the
licensed establishments with very little cloth-
ing on, perhaps with no clothing on; I think
she was wearing a G-string. She covered her-
self with whipped cream, of all things, and
she circulated through the audience, inviting
members of the audience to lick it oflF.
Interjections by hon. members,
Mr. Shulman: Admittedly, Mr. Speaker,
this showed a certain lack of feeling for the
weight problems of the guests and, perhaps,
a certain lack of taste.
Interjections by hon. members.
Mr. Shulman: In any case the police came
in and decided this was a lewd performance.
They laid charges against her, quite properly;
it came to court and was dismissed.
Hon. Mr. Grossman: A waste of good food!
Mr. Shulman: Right. The case was dismiss-
ed and in the meanwhile the young lady has
disappeared somewhere down in the United
States where, presumably, she is plying her
trade. But Mackey was so upset about this
case being dismissed that three days after this
ruling came down from the courts, he issued
instructions to all of his inspectors. This has
to be cleaned up. No more naked breasts."
Hon. Mr. Clement: On a point of order,
Mr. Speaker, perhaps the hon. member is not
aware that while a criminal charge was laid
against the young lady to which he refers
and has, in fact, been dealt with, the other
charges against the proprietor are still out-
standing. Perhaps it might be in the best in-
terests of justice for it not to be discussed
any further.
Mr. Shulman: I have no intention of dis-
cussing the charges against the proprietor.
What I want to discuss is Mackey 's ruling
which the minister had to reverse. He decid-
ed that naked breasts were a terrible thing
and that as of that day— there was no warn-
ing—every licensed establishment in the prov-
ince was given notice that as of that night it
must cease such entertairunent on pain of
losing its licence. The minister was embar-
rassed, quite rightly so.
Whether or not he or I wish to go to such
entertairunent is a matter of choice but Mac-
key is not a censor. This government has the
power to set itself up as a censor if it wishes.
The courts have the power to punish those
who break the law. James Mackey is not the
censor for this province and someone should
tell him so. He is not the building inspector;
he is not the ad examiner; he is supposed to
be in charge of liquor licences. That was so
bad the minister had to reverse that rule.
Let's look at another aspect of his mis-
management, if we can use a kind word, of
the special permit. Here is a major scandal
which no one has even discussed at this point.
Special occasion permits are given out by the
thousand for every possible occasion for every
possible reason except, and unless, you get on
ci certain blacklist that is made up and held
854
ONTARIO LEGISLATURE
by the board. If your name gets on that list,
goodbye.
One of the men whose name is on that list
is Roger Eraser. The story of Roger Eraser
is quite a fascinating one because it's a case
example of how Mackey runs the liquor board.
Eraser owns a place called the Cupid Com-
puter Dating Service and he has some sort
of a machine where ladies and gentlemen
who wish to meet people have their various
physical and emotional needs fed into the
machine and then names come out the other
end and you phone them up and you meet
them and you go on a date.
I'm not exactly sure of the great virtues of
the computer in affairs of the heart but, for
whatever reason, Mr. Eraser has had this busi-
ness going for some years and he has had a
number of parties which he has held, where
the people come to meet and where he has
received special occasion permits.
All went along very well until this year
when someone else, no relationship to Eraser
whatsoever, held a singles fest down at the
Eour Seasons which turned out to be a dis-
aster as far as the liquor board was concerned.
It was overcrowded and all sorts of strangers
came and met and went home together. Mac-
key was very upset. He cancelled the Eour
Seasons licence for a week as a result of it,
and he issued the rule, no more singles fests.
The unfortunate thing is, poor Roger Eraser
didn't realize this. He had nothing to do with
the singles fest but he read in the paper about
it, and said: "Look, I'll run a proper singles
fest and I won't let it get overcrowded. We'll
follow all the rules and it will be a great
thing for people." So he applied and, of
course, got turned down because there were
no more singles fests to be allowed, regard-
less. This is understandable.
Unfortunately, his name now got on the
list, so the Cupid Computer Dating Service,
which he had been getting licences for for
some years, suddenly no longer could have
its parties. He didn't know this. He applied
for the regular Christmas party for the Cupid
Computer Dating Service and, bang, they
turned him down, of course, because he was
now on the list. He couldn't understand why,
so he asked why but they wouldn't give him
a reason. They don't have to give reasons.
So he came to me and I asked why and
they gave me a reason. Let me read the
members the reason. It's very interesting. It's
from James Mackey. I quote:
The reason this permit was refused is
that the applicant was applying for a per-
mit to serve liquor to the public and was
a business operation for the purpose of
making a profit.
He said one is not allowed to make a profit
when one runs this type of affair. So I wrote
him back and said: "This doesn't make sense.
You've been giving him licences right along."
He wrote back: "No, we haven't. He has
never had a licence before."
So, two weeks ago I got five of his old
special occasion permits which I have here
and I phoned down to the man in charge of
the special occasion permits department, a
fellow by the name of Gertley, and I said:
"This whole correspondence doesn't make
any sense. Eirst of all, you say he's never
applied for one before and now you're not
going to give him one because he wants to
make a profit. He's been running the same
thing for years." He said: "What are the
numbers on the permits?" I read the permit
numbers to him and he said: "I'll give that
information to Chief Mackey."
I said: "That's all very well, but how about
giving me some information. What's going
on?" He said: "My instructions are that I'm
not to give out any information. You'll have
to speak to Chief Mackey." I said, "Well,
that's fine. Will you ask Chief Mackey to let
me know what the hell you people are do-
ing?" That was two weeks ago and I guess
Chief Mackey decided it was time for a
vacation because I've heard no more on that
subject.
However, that's not the end of this story.
Here, I have this letter from Mackey saying
that the Cupid Computer Dating Service may
not have a special permit because they want
to make a profit. But I have another letter
from Mackey, sent to someone else, which is
quite interesting. On this he asks: "After you
have your special occasion permit, please file
a financial statement indicating costs, total
sales, and profits." Some people can make a
profit and some people can't make a profit.
That's the way it works,
I got in touch with the board again. I said:
"Look, the Cupid Computer Dating Service
would really like to have this afi^air. If you
feel they shouldn't be allowed to make a
profit they're willing to call in a charity to
run the bar. They'll have nothing to do with
it whatsoever, so they won't make any profit.
Whatever profits come in, the charity will
take it in. Eraser won't go anywhere near
the money." They said: "No, the Cupid Com-
puter Dating Service may not have a licence
whether or not they make a profit."
APRIL 8. 1974
855
It isn't just myself who is upset about the
way they run the Liquor Licence Board. You
don't get complaints within the industry bo-
cause they're nrightened. I hope the members
will all go to different licensed establish-
ments in the next few days and ask any one
of them about the Liquor Licence Board.
They will all pour out a tale of woe on con-
ditions that tne member doesn't use their
names, because they are all frightened of
reprisals.
One multi-millionaire said to me when I
asked him if I could use his story: "I want
to open up new premises in Ontario, but HI
never get the licence. They'll keep harassing
me. Don't use my name whatever you do.
There is fear in that industry.
I have a letter here from the St. Cath-
arines city council, which has been endorsed
by the Toronto city council, saying: "The
whole way they run the special occasion
permits is nutty and something should be
done about it." That was sent to the minister.
I won't go through all that, there is enough
of it here.
What about the question of influence in
the granting of licences? Just a moment, be-
fore I leave this special occasion permit, they
do something else. I have a special occasion
permit that was granted to a certain chari-
table organization, or at least it was granted
to an individual to raise money for a chari-
table organization, and he paid the $15. I've
got the receipt here for the $15 he paid.
But they have another gimmick at the Liquor
Licence Board, which I can't find in the law
anywhere. Maybe the minister can help me.
On any liquors that are sold for the purpose
of charities, in other words through these spe-
cial occasion permits, they charge a special
extra tax, a tax of 17 per cent. In other words,
when you go to buy that liquor at the liquor
board, where you and I are going to pay $5,
they'll charge them another 17 jper cent on
top. Why? Is it to punish the charities? I
haven't been able to get an answer to that
one. Nobody seems to know the answer for
that special tax. Maybe the minister knows.
Hon. Mr. Clement: Ontario retail sales tax.
Mr. Shulman: Seventeen per cent?
Hon. Mr. Clement: One dollar a small
bottle.
Mr. Shulman: But this was on the total.
The total bill here is $850 and they put on
17 per cent tax. Figure that one out. Nobody
at the board can figure it out. They said,
'•Well, that's the way it is. That's the way it
Well, what about the question of influence?
Rmnours have gone arouitd for a lone time
that if you go to the right lawyer— and there
are two specific lawyers in this town who,
rumour has it, will solve all your problems. I
don't want to mention the two lawyers, be-
cause one of them at one time was a colleague
of ours and the other is my boss in one of
my arrangements, so perluips I shouldn't
mention their names. In any case, there is a
rumour in the city-I underline the word
"rumour"— that if you go to one of those two
gendemen or to their firms, your problems
will be solved.
I thought it was rather important to find
out whether this was true or not, so I went
around and looked at some of the new estab-
lishments. I went to a place called The
Cossacks. It is a new restaurant that opened
up last year down on Queen and University.
It was run by experienced people, all of
whom had had experience. The owner, the
chap who took it over and who opened it
had been the maitre d' at Captain John's.
There was no question that they knew how to
run a restaurant.
He applied for a licence back on Feb. 8,
1973, well before he opened. There were
some problems getting a licence. There was
nothing wrong, he had carried out all the
rules. He didn't have any partitions. He had
all the exits they asked for. He did everything
they asked, but somehow there was a long
delay, months and months of delay. He had
to wait some seven months after he was open
before he got the licence.
There was another restaurant opened at the
same time, Femando's Restaurant over here
on Prince Arthur Ave. Fernando is an interest-
ing person. Actually his licence was approved
before he opened. His licence was approved
four weeks before he opened. They opened
on Boxing Day and a few weeks later they
had put the liquor in the bar and they were
serving the liquor. No long wait there, and I
was curious.
I went to lunch at Femando's, and I took a
couple of witnesses along just in case, you
never know what people are going to say on
the spur of the moment. I said to Fernando,
"Congratulations on your beautiful new res-
taurant. It is wonderful food. How did you
manage to get your licence so quickly? You
didn't have to wait the way L'Escargot had
to wait, five years, and The Cossacks had to
wait, seven months. Marika's can't get it at
all. They've been waiting a year and a half."
He replied— and we wrote it down— I quote:
856
ONTARIO LEGISLATURE
"I was a good boy and I don't belong to
your political party." That's Femando's ex-
planation.
Well all right, that is still no proof. So I
thought, well there is a very simple way to
establish the truth of this. Let's get a list of
all the establishments in town that got a
licence in 1973, let's see how long they had
to wait for their licence and let's see who the
lawyer was. Simple. It's funny that nobody
has ever done that before.
So I wrote a letter to Mr. Shirley who is
in charge of that particular branch. I didn't
get a reply. I waited a week or so, and still
no reply. So I phoned Mr. Shirley tod I
said to Mr. Shirley: "How about that infor-
mation about the lawyers?" And we thought
we better get this on record. Mr. Shirley
replied: "I passed your letter on to the chair-
man for his decision, because I was concerned
about the names of the lawyers being made
public."
Okay, that's fine. So I said: "When is
the chairman going to make his decision?"
He said: "He will be in touch with you."
Well, the very next d'ay-we had very good
service from the chairman-the very next day
he phoned down and he said:
"Dr. Shulman, there is a lot of work in-
volved in getting that together. We can do
it for you, of course, but we are preparing
our annual report right now and our files
are scattered all over the ofiice. We won't be
able to get you the infomation until after
April 1."
I said, "That's fine. Chief Mackey, that's
just fine, m be quite happy to have it after
May 1." Then he said something else. He said,
"Why do you want that information? Lay it
right on the line." I said, "Well, I'll be
perfectly frank with you. I have the sus-
picion that if you go to a certain lawyer you'll
get your licence without a wait, and if you
don't use the right lawyer, you are going to
have a long, long wait." And he replied to
me "That's nonsense. I don't even know who
the lawyers are." I said, "Well, thank you
very much. I'll look forward to receiving the
information."
The very next day I got a letter from
Mackey saying he had changed his mind and
he wasn't going to give me the information.
He said that there was too much work in-
volved. Well, if there is suspicion, he is nur-
turing it. And if there is nothing wrong, why
do some have to wait for years, some have
to wait for a month and some get their
licences the very day they apply?
I have another letter from James Mackey.
I want to read you this one. The very day
that Fernando was getting his licence, the
day it was approved, four weeks before he
opened, Mackey sent out a letter to another
restaurant that had already been open for
months. It reads as follows:
The board feels that your application
is premature. We suggest your dining room
be in operation for a reasonable period of
time before making another application.
How can you possibly explain that, Mr.
Speaker?
It isn't just that. They don't just make up
their own rules. They don't just use discrim-
ination. They don't just ride roughshod over
those people in their power, and the licence
holders are in their power. They do some-
thing else. They have contempt for the
Legislature, and they have contempt for our
rules. It doesn't matter what we say. The
minister says, "Don't worry. In May I am
going to bring in a new Act and I am going
to change things. We are going to clean it all
up." It doesn't matter what he puts in the
Act; it's what Jim Mackey decides.
Let me tell you another story. When I had
this funny story about Barberian's not ser\ing
lunch— and it's in the Act to have to serve
lunch— I thought I'd better look up the Act
and see what it actually says. The regulation
doesn't just say that. What the regulation
actually says, and I quote:
In every dining lounge or dining room,
meals for which adequate menus shall be
provided, shall be served at regular break-
fast, luncheon, dinner or supper hours.
Not just luncheon, but also breakfast. I
thought, that's strange; the law says they
have to serve breakfast. I phoned Welling-
ton's and said, "I want to make a reservation
for breakfast for tomorrow morning." The
girl had a great laugh, and said, "We don't
serve brealdast." I said, "But the law says
you have to serve breakfast." She said, "Don't
be ridiculous. The law doesn't say we have
to serve breakfast."
I wrote Mackey and I said, "The law says
they have to serve breakfast, and I want to
have breakfast at Wellington's." And he wrote
me back saying, "No, we don't enforce that
law." And he gave me several reasons. First
of all, it was poor economics. It was a great
hardship for the licensees.
He said, "In the three and one-half )-ears
I have been here, yours is the first com-
plaint." Well, that seemed reasonable, but
there was one thing that worried me. I wrote
him back again and I said:
APRIL 8, 1974
857
Dear Chairman Mackey:
Thank you for your letter. I am writing
again to ensure that there is no misunder-
standing. As I understand the situation,
1. The Legislature in its wisdom, or lack
of same, has passed a law requiring that
meals be served at breakfast in our dining
lounges.
2. The Liquor Licence Board for various
reasons, for economics, hardships to licens-
ees, lack of public complaint, has decided
this particular legislation should not be
enforced. The implications to me are stag-
gering and I invite your reconsideration
of the matter.
Yours sincerely,
Mackey wrote me back I think perhaps the
most significant letter in this whole series-
just a one liner:
Dear Mr. Shulman:
I am in receipt of your letter in which
you ask that I reconsider the matter of the
issuance of licences to owners of dining
lounges that do not provide a breakfast or
luncheon service. I think you are quite
right with regard to the enforcement of
the legislation. This matter is now being
studied.
Yours sincerely,
James Mackey.
Just think about that one. He says I am
right. They are now studying whetiier or not
they'll enforce it.
That isn't the end of it. There is a place
called the Cambridge Club down at the
Four Seasons, an all-male club where people
go for exercise. There's a swimming pool and
a sauna and things like that there, and they
can play squash. They have always served
breakfast there. Recently they received their
liquor licence. Three weeks ago one of the
inspectors, a Vem Colby, walked into the
establishment and said, "My God, you are
serving breakfast. We don't want you to serve
breakfast. You must stop serving breakfast.
It's against our policy."
This is not like a restaurant. This is where
people come in the morning to work out and
after they work out they like to have a bite
of breakfast. But he said, "If you don't stop
serving breakfast we'll take your licence
away." They stopped serving breakfast and
they got in touch with me and said, "What
in hell is going on? The Legislature says we
have to serve breakfast. Mackey says we
mustn't serve breakfast." I got in touch again
with the board and I said, "What in hell are
you people doing down there?" They said,
"It's board policy—"
Hon. Mr. Crossman: They are carrying on
correspondence with the member. They don't
have any time to do anything else.
Mr. Shulman: That's about the only thing
they are doing. They said, "It's board polic>'
that breakfast not be served by our licensed
establishments." I said, "The Legislature is
supposed to have something to do with this
province. It says breakfast must be served."
The man on the phone said, "It's board policy
they do not serve it or they lose their
licence. Orders from Mackey."
What does it matter what law the govern-
ment brings in? What does it matter what Act
it brings in? He doesn't pay attention. It's
Jim (I am the law) Mackey. The minister
doesn't count. What does it matter what he
says to him? We don't count. What does it
matter what legislation we pass? There is
nothing in here that governs the things he is
doing.
We've got a teetotaller, who believes that
drinking liquor is sin, in charge of the licence
board. He has become obsessed with his posi-
tion. He has become obsessed with exercising
the power which he became used to as the
chief of police. The minister is never going to
clean up the mess unless he gets rid of that
man.
Let the minister do what he wants Nvith
him. Make him the head of the OPP. Put him
in charge of the Police Commission. He'll do
all those things well, but get him out of the
Liquor Licence Board. Because it is not just
all these stupid things— it's permeating
through. The public is becoming aware of it
and it's not just here in Toronto. It's in Kit-
chener and it's in Grey South and it's all
across the province, everywhere dicre are
licensed establishments.
Those inspectors are going around and I
can't blame the inspectors. Each day they are
given a certain set of instructions and the in-
structions are maddening. They are told,
"You see such-and-such a regulation? Co
down hard on that one. See the other regula-
tion? Ignore that one." What are the inspec-
tors to do? If they don't go along theyll
lose their jobs. And the instructions are com-
ing down, "You will do what I say."
Mr. Speaker, surely we cannot continue to
allow this man to be the law in this prov-
ince? We cannot allow him to continue to do
all of these things which are improper, il-
legal, not based in law. The morale of the
858
ONTARIO LEGISLATURE
employees— I wish the minister, before he
leaves today, would go and speak to the rep-
resentative of the employees. He's here. There
was a whole delegation of them the other
day but unfortunately I couldn't get on and
they are working today. There is a representa-
tive here who is not afraid to speak. They
have been afraid for so long. Go and. speak
to him. Find out what the truth is down
there. They are all frightened. They all hate
going to work there. It's Mackey's fault and
it's the minister's fault and his predecessor's
fault for not exercising control.
All right. I won't belabour it any further.
I think it's quite clear what the minister has
to do and a Kttle facelifting, a new bill, isn't
going to solve his problem. He has to revamp
the board; he has to get rid of all three of
them, I think, because the other two are just
rubber stamps. He has to put in someone
who is going to be responsive (a) to the Legis-
lature and (b) to the public.
Now I just want to say a word about
organized crime. As members know, we were
talking about laundering the other day and
I said I would prepare a bill. That bill has
now been prepared and I gave the first draft
of it to the minister. I have a second draft
prepared here which is a slight improvement
on that and I am going to pass that on to the
minister also. I'm not introducing it until he
has had time for his experts to go over it but
I hope that problem will be under control.
I want to talk about a different problem in
the field of organized crime, one which has
never been discussed in this House. As far as
I know, it has never been discussed in the
public press. It's a growing type of organized
crime and a highly profitable one which now
ranks second only to bookmaking in its finan-
cial importance. That is scamming.
It's a whole new way of raising money for
organized crime and it's in the form of
criminal bankruptcies. It works very simply. A
legitimate business will be bought by a front.
They often come from out of the province or
from the United States. They will often do it
through a lawyer. There is one particular
lawyer who specializes in that in this city.
What happens is that they buy a firm with
a good credit rating, and the new owners then
purchase large volumes of merchandise on
credit and get rid of this merchandise by sell-
ing it at a quick sale. Sometimes they sell it
to the public. Sometimes they sell it to other
stores. Sometimes they sell it to wholesalers
who are aware of what is going on. They
deal in goods which are diflBcult to trace, like
appliances, jewellery, furs, meat, toys, ftimi-
ture and clothing.
What happens is that they buy as much as
they can on credit, 60- or 90-day credit, fill
the stores, and sell it as fast as they can.
And as soon as the material is sold, they close
the doors and never open again and declare
bankruptcy.
According to Henry Jensen, who is the
RCMP superintendent whom I am quoting
here:
The business closes its doors silently and
then fails to reopen. Often financial records
are missing or destroyed. False financial
'statements are prepared to dupe suppliers
into granting credit on favourable terms.
Credit is the key to success in this criminal
venture.
According to Supt. Jensen, there were some-
where over $200 m:Qlion worth of fraudlJent
bankruptcies in this country, most of them in
this province, in this past year. This is big,
big money. It is an unfortunate thing that no
attempt has been made by our OPP, the
Police Commission or the Metro police to
tackle the subject. Perhaps they are not ca-
pable of tackling it. Their basic problem is
that they do not have accountants; they don't
have the university graduates that we need to
fight these highly sophisticated thieves.
I have the details here on one man who
has been carrying out fake bankruptcies— he
has been doing most of them in the construc-
tion field— and in one year he had had 28 of
these phoney bankruptcies right here in this
city. TTie police are aware of his activities, yet
they can't seem to do anything about it.
Obviously my making a speech here is not
going to affect the matter one iota. I am
directing this to the Solicitor General (Mr.
Kerr) and I hope the word will get to him.
We have to have something more done on the
intelligence squad of the OPP. We have to
have trained men brought in— accoimtants,
lawyers, miiversity graduates, people who can
understand a balance sheet just as well as
these criminals can. It isn't good enough to
promote a cop up out of the ranks and say,
"Go after them." He doesn't know what to do
and he doesn't understand what he sees when
he gets into these places.
It is absolutely essential that a proper in-
telligence squad be formed in the OPP. This
has been the complaint I have had now for
some years. For many years they didn't have
a single university graduate on the intelli-
gence squad. I believe they now have one.
While they are very fine in handling things
hke the wiretapping, gangbusters and bank
robberies, they are not competent to handle
APRIL 8, 1974
850
this type of white-colfer crime, which is be-
ing taken over very rapidly by organized
crime.
I don't want to belabour the point, but it
is very important that the Solicitor General
move in this field. I am very phrased with the
Solicitor General— for the nrst time in manv
years we have a Solicitor General who is will-
ing to listen, who is willing to move and who
is willing to act. I hope that this energy will
continue and he will be allowed to remain
at his post for a reasonable length of time.
Mr. Speaker, I just want to say one other
word, then I will quit, and it has to do with
the budget that is coming down tomorrow.
This is a more serious word than the one I
had before. I am terribly upset by the inflation
that is stalking us, and I am terribly upset by
governmental policies which are feeding that
inflation— not just this government, but gov-
ernments right across this country, perhaps
right around the world.
I have here a copy of the Wall Street
Journal of last Wednesday, and the headline
is: "Painful prospect. Big New Price Rises on
Retail Products Expected in the Fall." They
say by fall, for example, that silverware sell-
ing today for $63 will sell at $120; draperies
that sell at $10 will sell at $12; sheets that
sell at $4 will sell at $5; and so on right down
the line. Everything in the clothing field, in
the textile field, in the metal field is going to
show a tremendous jump in price. What
bothers me is that government is doing noth-
ing about it.
I am sorry the Treasurer isn't here. I don't
know what's in his budget but I fear it's going
to include very much of the same mistake
that has been made in Ottawa and which has
been made in Washington for so many years
which is: "Put off the evil day. We will
tamper with it. We will give more money to
the people who are most disadvantaged to
help them solve the problem." But, of course,
by giving more money, you must print more
money and that in fact aggravates the prob-
lem.
All that does is tinker with it and some-
where along the line— and this is not going
to make me popular with any member of this
House but I think somebody has got to say
it— somewhere along the line, sanity must
come back to government and we must live
within our means and this is basically what
the problem is.
In Ottawa, Queen's Park, in Washington,
no one bothers to balance the budget any
more. It doesn't matter. Nobody cares. "Keep
priming the pump, because if we don't, we
are going to become unpopular at the ptJls."
You can keep postponing the evil day, Mr.
Speaker. You can postpone it for some years,
but now we are into two-digit inflation— it is
up over 10 per cent. By fall wc are going to
be at 16 per cent inflation in this city and
the things we are doing now, if we keep
doing them, have to l>e done even faster.
It is like a treadmill, Mr. Speaker. The
faster you go, the faster it goes and you can't
catch up this way. Somewhere we are going
to have to pay the price, come to reason and
live within our means. The longer we wait for
that, the worse is going to be the crash that
comes at that time.
I very much fear if the financial, economic
and fiscal policies that are being followed in
our economy are continued for another three
or four years, we will be in the situation
Germany was in 1923 when people had to
use wheelbarrows full of money to go to a
restaurant to buy a meal.
The situation that came to Chfle just a
year ago— that's what brought Allende down,
not the other things. It was the fact that
finally the ordinary man in the street couldn't
buy the necessities of life for his family. He
couldn't pay the rent. He couldn't pay for
food.
And there is a great temptation in govern-
ment to tinker. We will put in price controls
in one place. We will put in 90-day price
controls. Well, it has been tried in so manv
nations and it doesn't work. It doesn't work
for a very simple reason. We are not self-
sufficient and we have to import so many of
the things we use. If we put price controk
on certain things, the things that continue to
come in will continue to go up in price and
the things we produce here that are selUng
too cheaply will slip out of the country.
They'll be exported because we can get more
money elsewhere. That's why that doesn't
work.
In order to make that work you have to
put in border controls, Mr. Speaker. You
mustn't allow the goods out. People then find
ways of getting the goods out and you have
to have police to punish thorn and you have
to have severe punishments, because the
profits become tremendously high vcr\'
quickly.
It's that whole scheme of things, price and
wage controls, border controls, punishments—
it'll only work if you are prepared to do one
thing and that's kill people. The only time
it ever works is in an absolute dictatorship
when people wlx) break the rules are taken
out and shot. You can't do it. That road is
860
ONTARIO LEGISLATURE
a bad road and I hope that Bob Stanfield
doesn't go down that road, because it leads
to bad places.
But the other scheme, what we're doing
now, is equally bad. This is the horror. We
keep printing the money, more and more
paper money, and the public is waking up.
They recognize now that buying government
bonds is a fool's game. They recognize now
there is no use buying a Canada Savings
Bond that gives you seven per cent or eight
per cent when inflation takes that much and
more away from you as fast as you draw the
interest. They recognize there's no point in
putting your money in the bank. They recog-
nize there's no point in buying government
annuities. They recognize there's no point in
having pension plans. Our pension plan in
here is a joke. So is every other pension plan.
By the time we draw it it's not going to mean
anything.
The whole economy is being ruined be-
cause the dollar is being ruined. We've
fooled the public for a long time, but the
public is waking up as more and more recog-
nize that paper money doesn't mean anything,
that a piece of paper is nothing more than
that, whether it is coloured green and has the
Queen's picture on it. As the flight from
money continues, as the people rush out to
buy goods, to buy real estate, to buy metals,
to buy commodities, there is going to be a
financial panic and there's going to be a
financial collapse in this country and it's not
too late to stop.
I feel like I'm baying at the moon. Nobody
listens. Nobody pays attention. And when you
do say this, the papers criticize you. I made
the mistake of giving a speech like this once
before and the Star ran a series of letters
saying: "That man must be silenced. He's
going to frighten the people. What we want
are politicians who have the cures. We don't
want people coming out and scaring people.
We want Trudeaus and Lewises and Stan-
fields— people who would say: T know what
to do. You follow me and everything is going
to be okay. Well just print more money'."
Mr. R. Haggerty (Welland South): They're
buying the gold.
Mr. Shulman: Same thing. There's a flight
from paper money and it has to be stopped
and the only way it can be stopped is by
sanity in government.
I hope when the Treasurer brings down his
budget tomorrow he won't follow the tempta-
tion which so many others have followed of
trying to put a Band- Aid on here and there;
he has to cut back his expenditures.
And the Premier was right when he said
that the other day. But you see, the Premier
did not quote correctly what I said the other
day. He said, "You should support the ceil-
ings; this is a way of holding it back."
*But there's no point in holding it back in
one spot if you don't hold it back all over.
All government expenditures must be re-
strained—all government expenditures. And,
unless we do that, we are going to have a
most unhappy situation for everyone in this
country.
I hope my contribution has been of some
benefit. Thank you, Mr. Speaker.
Mr. Speaker: The member for York West.
Mr. J. P. MacBeth (York West): Thank you
very much, Mr. Speaker.
Mr. Haggerty: A hard act to follow.
Mr. MacBeth: I will limit my act and I
think I can be through by 12:05, Mr. Speaker,
if you might go that long.
Mr. Speaker: We plan on rising at 12.
Mr. MacBeth: I thought if I could go a few
minutes over, you can be through with me
and the next speaker can be one from the
opposition party.
However, Mr. Speaker, as you know it's
customary for the members of this House to
deal with many matters when it comes to the
Throne debate. I thought this afternoon or
this morning that I would limit mine to one
matter only and that is the distribution of
power under the British North America Act.
As some of the members know, I have been
concerned from time to time with the en-
croachment of the federal authority into pro-
vincial powers.
I have been noticing something in recent
days that has filled me with a great deal of
wonderment. I see, sir, that the federal Min-
ister of Health has indicated what type of
football he will permit us as Canadians to
attend.
Now, sir, I am not sure under what section
of the British North America Act he purports
to acquire his authority, but I suppose it is
under that first general heading of "Peace,
order and good government."
Now, I see this, sir, as a very brave step,
because a less daring minister could possibly
conceive it as a matter of property and civil
rights— particularly in view of the number of
dollars rumoured to be involved— and there-
fore conclude it was a matter of provincial
jurisdiction.
APRIL 8, 1974
861
But not so this brave minister. And I say
what a fortunate happenstance for this coun-
try that such a far-sightecl minister could se<*
the insidious threat that American football
would pose for the ^ood government of this
<:ountry, of the tnie north, strong and free—
and to nip this invasion of American culture
in the bua.
One can hardly imagine the threat to the
x-ulture of this country if its sports enthusiasts
—and 1 must say, sir, in my mind the sports
enthusiasts are one of the most basic forms of
culture we have, even though perhaps they
are a most primitive form of Canadian culture.
So, I say it's a good thing that we are to be
protected from this foreign abuse, and are
censored from a perverse desire to indulge in
this adulterated species of this sport.
I am not generally regarded as a great
sports enthusiast myself. So why am I con-
cerned? In brief, I see it as a constitutional
issue. Is there any more pressing problem for
the Canadian people at this point of time in
our history' than this invasion of American cul-
ture? Surely it is time for a strong federal
government to recognize that the Fathers of
Confederation may have erred in giving such
matters of culture as education into the hands
of the provinces. This has resulted in many
regional differences and permitted Canadian
youth to be stamped in more than one
common mold.
Now is the time to save the purity of Cana-
dian football. One game, one set of rules from
coast-to-coast, with the players completely
interchangeable and fluently bilingual. Now
is the time to fortify our Canadian culture.
Great harm could ensue if each province is
allowed to go it alone.
L<K)k at what happentxl in Quel>ec some
years ago when that province attenipted to
establish cultural tits with Franc-e. It sh(X)k
Confederation to its very foundation. Let's
look at our sister province to the far west-
British Columbia. It is noted for its flirtations
with innovative labour demands. I am in-
formed, perhaps by errmjeous foreign pul)lifa-
tions, that if US labour has a new idea it will
try it on for si7.c in British C^olumbia. Think
how important it is for the peace, order and
good government of C>anada that federal legis-
lation should be forthcoming to siop that
dangerous practice, that pre<liIection and
j>eculiarity of the citizens of British Columbia.
On Saturday afternoon I was travelling in
midtown Toronto when I noticed a show
advertising an Italian film. It didn't even sug-
gest that there would be English subtitles.
The people, sir, were lined up to get into
that film and nearby was another theatre
showing a Canadian picture but it was almost
deserted. Surely, that second theatre nuist 1)€
headed for financial failure. Now with this
new brand of federal censorship our Canadian
film industry could be saved.
(Mr. Speaker, in the matter of entertain-
ment, whether in sports or culture, we Cana-
dians need to be protected from ourselves.
Surely, the provincial prerogatives of prop-
erty and civil rights and education cannot be
allowed to stand in the way of national unity.
Is this not a most commendable erosion of
provincial rights? When the federal Minister
of Health is protecting us, sir, from -American
footbaU I hope he will not overlook those T\^
reams of the Shirley Temple films.
Thank you, Mr. Speaker.
It being 12 o'clock noon, the House took
recess.
862 ONTARIO LEGISLATURE
CONTENTS
Monday, April 8, 1974
Resumption of the debate on the Speech from the Throne, Mr. Singer, Mr. Shulman,
Mr. MacBeth 839
Recess, 12 o'clock noon 861
Na22
&df*
Ontario
Hegisilature of (j^ntario
OFFICIAL REPORT — DAILY EDITION
Fourth Session of the Twenty-Ninth Legislature
Monday, April 8, 1974
Afternoon Session
Speaker: Honourable Allan Edward Renter
Qerk: Roderick Lewis, QC
THE QUEEN'S PRINTER
PARLIAMENT BUILDINGS, TORONTO
1974
Price per session, $10.00. Address, Clerk of the House, Parliament Bldgs., Toronto
CONTENTS
(Daily index of proceedings appears at back of this issue.)
865
LEGISLATIVE ASSEMBLY OF ONTARIO
The House resumed at 2 o'clock, p.m.
Mr. L. M. Reilly (Eglinton): Mr. Speaker,
I'm sure that you and the members of this
Legislature would like to join with me and
welcome the students here today from Law-
rence Park Collegiate, along with their teacher,
Mr. Skeoch.
Mr. J. A. Renwick (Riverdale): What riding
is that?
Mr. R. Cisbom (Hamilton East): North
York.
Monday, April 8, 1974
Mr. E. M. Havrot (Timiskaming): Tlie
Leader of the Opposition can hand it out, but
he can't take it.
Interjections by hon. members.
An hon. member: Oh, what prattle!
Mr. R. F. Nixon: I would like, Mr. Speak-
er, to put before the House the specific fig-
ures that are in question. The government of
Ontario spent 80 per cent more on tourist
promotion within Canada in 1971, an election
year, than it did in 1972.—
Mr. Reilly: The great riding of Eglinton. Interjections by hon. members.
Mr. R. Newman (Windsor- Walkerville): Mr.
Speaker, I have 35 or so students from the
High School of Commerce from the city of
Windsor, Ont., up in the east gallery. They
are accompanied by their teachers, a Mrs.
Lange and a Mr. Maynard. I'm sure that you
and the members of the Legislature extend
to them a most cordial welcome.
Mr. F. Young (Yorkview): Mr. Speaker, I'm
sure you will join with me in welcoming a
very fine group of grade 7 students from St.
Raphael's School in North York, vwfth their
teacher, Mr. Nastasiuk. I'm sure all of us
agree that we are delighted to see them here
today and give them a real welcome.
POINT OF PERSONAL PRIVILEGE
Mr. R. F. Nixon (Leader of the Opposi-
tion): Mr. Speaker, on a point of personal'
privilege, I want to rise in my place at the
first public opportunity to respond to the Pre-
mier's statement on Saturday—
An hon. member: He'd better retract.
Mr. R. F. Nixon: -that figures that I put
forward were incorrect-
Interjections by hon. members.
Mr. R. F. Nixon: —and, in fact, one report
said he called me a liar.
An hon. member: A liar?
Mr. R. F. Nixon: I just have two sentences,
Mr. Speaker. In fact, the Ministry of Industry
and Tourism spent $311,865 for advertising
in Canadian media, including newspapers,
magazines, radio and television, during the
calendar year 1971. During the calendar year
1972, advertising expenditures within Can-
ada, by the Ministry of Industry and Tourism,
dropped to $173,051. The 1971 expenditure
was therefore 80.215 per cent higher than
the 1972 expenditure, and this is what I
stated on Friday. The Premier (Mr. Davis) is,
as usual, misinformed and irresponsible in his
statements.
Mr. J. E. Hullbrook (Samia): Not only
that, he's not here.
Interjections by hon. members.
Hon. J. White (Treasurer, Minister of Eco-
nomics and Intergovernmental AflFairs): The
member is corrupting himself and his party.
Why didn't he advise him?
Mr. R. F. Nixon: Give him advice? It
sounds like the Treasurer's advice. He is talk-
ing through his hat-
Mr. Speaker: Order. Order please.
Interjections by hon. members.
Mr. Speaker: Order please. The hon. Lead-
er of the Opposition has raised two points,
one of which has to do with the apparent
mis-statement of figures. I did read certain
figures and percentages in the morning paper.
ONTARIO LEGISLATURE
Of course, I have no way of determining
which figures are right at this moment.
Mr. Bullbrook: In your heart you know.
Mr. Speaker: I have been told I'm heartless
sometimes. The other point by the hon.
Leader of the Opposition has to do with the
alleged words of the Premier of the province,
in that he was a liar. I am not aware of that.
I will certainly check into it and, in any
event, in the absence of the Premier I think
no response can be made and the Premier
should be given the opportunity to respond
before any such ruling should be made.
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet); Powerless.
Mr. Bullbrook: Look who is talking.
Hon. Mr. White: He waits until those
members are out of town.
Mr. Bullbrook: There were only 13 days.
Interjections by hon. members.
Mr. Speaker: Statements by the ministry.
Mr. S. Lewis (Scarborough West): Well,
for heaven's sake, are these the right figures?
PETROCHEMICAL COMPLEX
Hon. C. Bennett (Minister of Industry and
Tourism): Mr. Speaker, it is my pleasure to
announce to the House a world-scale petro-
chemical complex commitment in Ontario.
The four member companies involved in the
Samia olefins and aromatics project, better
known as SOAP, today jointly announced the
formation of a new company, Petrosar Ltd.
Partners in the new company are Polysar
Ltd. with a 51 per cent interest which makes
it a major holding for Canada; Dupont of
Canada; Koch Canada Fuels Ltd.; and Union
Carbide Canada Ltd., each with a 16% per
cent interest.
Petrosar has been authorized to proceed
with the construction of the world-scale
petrochemical plant once confirmation of the
by-law to rezone the necessary land for in-
dustrial use has been received from the
Ontario Municipal Board. The proposed loca-
tion for the Petrosar facility is in the Moore
township community of Conmna, just south
of Samia. Petrosar will continue to work
closely with the elected and appointed offi-
cials in the community to ensure maximum
benefits to the industrial base and future
plans of the area.
In the aimouncement, Mr. Speaker, the
president of Petrosar pointed out it will be
a major step in Canadian achievement of
petrochemical prominency. The proposed
plant, along with the opportunities for petro-
chemical production that currently exist in
Alberta and the previously announced Quebec
expansion in this field will help Canada be-
come world competitive in these products.
The petrochemical opportunities for Canada
are bright. It is noteworthy that when Petro-
sar is working, the needs of the partners for
raw materials will still require them to seek
further supplies from other sources. The
partners added that improved economic
conditions contributed significantly to their
decision to proceed with the project. They
noted that the current corporate tax rates put
Canada on a comparable footing with pro-
dticers in other countries and that faster
depreciation allowances help ofiFset the risks
associated with today's rapidly escalating con-
struction costs.
Mr. M. Cassidy (Ottawa Centre): The
Tories are in bed with the Liberals.
Hon. J. R. Rhodes (Minister of Transporta-
tion and Communications): Getting crowded
over there.
Mr. Cassidy: On these issues the Tories
are there and we are not.
Hon. Mr. Bennett: F. C. Rush, president of
Polysar, is chairman of the new company.
The president and chief executive officer is
Silas T. Smith, formerly senior vice-president
of the chemical and plastics division of Union
Carbide Corp. Mr. Smith has extensive back-
ground in the planning and start-up of world-
scale petrochemical complexes.
Mr. Speaker, this project is extremely sig-
nificant in a Canadian and Ontario context.
It will develop a Canadian self-sufficiency and
reduce our current $250 million per year
trade imbalance in these products. The re-
finery and downstream operations are ex-
pected to provide at least 1,800 new jobs
with many of them of a highly advanced
technological nature. It will establish a base
for additional growth in the 1980s after com-
ing onstream in early 1977.
In addition, it will assist in developing for
Ontario a balance in our energy requirements
from domestic sources. And it will achieve
a great deal in our efforts to obtain the
optimum upgrading of Canadian resources.
The overall investment, refinery and down-
stream, will exceed $1.25 billion.
APRIL 8, 1974
867
Mr. Speaker, this project would not have
been possible without the thousands of man-
hours put in by the staflF of the Ministry of
Industry and Tourism and the Ministry of
Energy. I would like, at this time to recognize
the energies of the Minister of Energy (Mr.
McKeough) who has been most helpful in
co-operating with my ministry and the prin-
cipals involved in this project.
If I may be permitted, I would like to
point out one individual in the Ministry of
Industry and Tourism, Mr. Frank Plumb, for
the hours he spent in co-ordinating the efforts
of this organization.
The commitment of the member companies
of Petrosar to this project is warmly wel-
comed in Ontario and we believe it will
greatly benefit our citizens and our economy.
Hon. A. Grossman (Provincial Secretary for
Resources Development): What's the matter
with the NDP?
Mr. D. C. MacDonald (York South): It
sounds a little bit too fulsome.
Mr. I. Deans (Wentworth): We will wait
until we see it.
Mr. Speaker: Order. The hon. Minister of
the Environment.
Mr. Bullbroi^: We've known about it-
Interjections by hon. members.
PRIVATE SEWAGE SYSTEMS
Hon. W. Newman (Minister of the Environ-
ment): Mr. Speaker, it is the intention of the
government to proclaim part VII of the
Environmental Protection Act on Monday,
April 15, bringing into force regulations es-
tablishing uniform provincial standards for
private sewage disposal systems and placing
the responsibility for inspection and contr(3
with my ministry.
As the hon. members are probably aware,
there are widely differing standards being ap-
plied at present across the province by the
local medical officers of health. With the proc-
lamation of part VII, this condition will be
rectified.
Before going further, I would like to em-
phasize that these changes will have no effect
on systems already installed and operating.
This measure covers proposed installations of
this type following the day of proclamation.
Initially this new approval and inspection
programme will be carried out in three ways.
One, where possible staff of the Ministry of
the Environment will perform this function.
Secondly, in some cases, due to shortages of
trained staff, the ministry will enter into
a^eements with local authorities to continue
this programme on its behalf. This will be a
temporary measure until the number of min-
istry inspectors is sufficient to perform this
service. We see the maximum length of such
agreements being three years.
Thirdly, in areas where there are regional
governments, we plan to enter into an agree-
ment with the MOH to carry on this function
until such time as the regional government
can acquire the necessary people. It is our
intention that these inspections and approvals
would be handled by the regional govern-
ments concerned.
In each of these cases where the approvals
are delegated, it would be the uniform, prov-
ince-wide standards set by the Ministry of the
Environment that would be enforced by the
local health units and the regional govern-
ments.
Regardtess of which of these three— En-
vironment Ontario, the MOH, or regicwaal
government— administers this programme, the
procedure would be as follows: A certificate
of approval would be required before con-
struction could begin on a new private sew-
age disposal system or any building to be
served by such a system. After construction
the system would be inspected to ensure it
complied with the plans originally approved
and a use permit issued.
There would be a fee of $15 involved in
processing this application for a certificate of
approval. This would include the subsequent
inspections and issuance of a use permit
Also, under part VII and the accompanying
regulations will be provision for the ministry
to evaluate the suitability of land proposed
for subdivision where this land would be
served by private sewage systems. There
would be a fee of $10 per lot for this assess-
ment and evaluation.
At present, both the Ministry of the En-
vironment and the health units are responsi-
ble for various aspects of approval, main-
tenance and upgrading of private sewage
disposal installations. As of April 15 these
duties will be supervised by one agency, part
of the consolidation of environmental pro-
tection services under one roof that began
with the formation of the Ministry of the
Environment two years ago. The health units
have performed admirably in these inspections
and approvals in the past and we will be
drawing on their experience and expertise in
the initial change-over period.
868
ONTARIO LEGISLATURE
Mr. Speaker: Statements by the ministry.
Oral questions.
The hon. Leader of the Opposition.
ONTARIO NORTHLAND
TRANSPORTATION COMMISSION
Mr. R. F. Nixon: Thank you, Mr. Speaker,
a question of the Minister of Transportation
and Communications.
Is he now prepared to dismiss the board of
the Ontario Northland Transportation Com-
mission and replace them with people who
are able to set guidehnes for an administra-
tion with that particular function that would
be in the best interests of the taxpayers of
the province, and particularly the people of
that part of the province who have not been
well served in the past years under the pres-
ent administration?
Hon. Mr. Rhodes: No, Mr. Speaker, I am
not prepared to dismiss the board nor am I
prepared to accept the criticism that has been
levelled by the Leader of the Opposition
which he bases almost entirely on newspaper
reports that are not necessarily factual.
Mr. R. F. Nixon: Because the minister has
not made the reports public.
A supplementary: Will the minister then
explain to the House why the special audit
that was required of the Ontario Northland
Transportation Commission-
Interjections by hon. members.
Mr. Havrot: Prove it.
Mr. R. F. Nixon: —by his predecessor was
never made public, and if in fact the special
auditors from the Ministry of Transportation
and Communications were working with the
audit carried out by the Provincial Auditor in
this special review of the business of the On-
tario Northland Railway and Star Transport?
Hon. Mr. Rhodes: Mr. Speaker, the audit
was an internal audit; the information was
made available to the ministry for its consid-
eration. I think all of the information has
l^een communicated to the Provincial Auditor,
and as I understand it the Provincial Auditor
is prepared to appear before the public ac-
counts committee tomorrow to make a state-
ment.
Mr. R. F. Nixon: Well, I would hope he
would be.
Supplementary: Can the minister then re-
fute the statements made in the two articles
by Mr. McAuliffe in the Globe and Mail and
indicate that they are not based on facts,
since he himself is the only one that we are
aware of who has access to the special audits,
the secret audits, that were carried out by
the Provincial Auditor and by his own min-
istry? Nobody else has it.
Hon. Mr. Rhodes: Mr. Speaker, first of all,
these have not been secret audits as has been
indicated both in the press and by the Leader
of the Opposition. These audits are internal
matters that have been dealt with as they
have been in many other ministries and as
will continue to be done. I would be quite
prepared to answer the particular question
as to the contents of the article. However, I
don't think the Leader of the Opposition
would like me to take the necessary time-
Mr. R. F. Nixon: Oh yes, we would.
Hon. Mr. Rhodes: —to deal with it point
by point. If that is so, I'll take the time right
now.
Mr. Lewis: Yes, do it right now.
By way of supplementary, does the min-
ister not think he owes it to the House, or
at least to his colleagues sitting behind him,
that he set out for the Legislature where the
government disagrees with the copyrighted
stories, and that indeed he should have done
that before the orders of the day by way of
ministerial statement?
Mr. Bullbrook: He shouldn't waste our
time. Mdke it a statement of privtiege.
Hon. Mr. Rhodes: Mr. Speaker, I would
be quite happy to take the individual points
and deal with them. I may not follow them
in—
Mr. R. F. Nixon: Mr. Speaker, on a point
of order. We do want the information. Could
it be possible, sir, that we could revert to
statements and hear the minister's views in
this important matter?
Interjections by hon. members.
An hon. member: Right. That's what he
should have done in the first place.
Hon. Mr. Rhodes: Mr. Speaker, if the
Leader of the Opposition would like a com-
plete and detailed statement, I have not had
adequate time to prepare a complete and
detailed statement as he has requested. I
would be pleased to prepare that and present
it in the form of a statement. If he wishes me
to deal with them point by point, I have had
an opportunity to make some contacts, to
APRIL 8, 1974
discuss some of these problems that have
been brought forth in the Globe and Mail,
and I will be happy to deal with them point
by point at this time if he wishes as a ques-
tion or a statement later.
Mr. Lewis: The Speaker can apply the
appropriate rule.
Mr. Speaker: It does seem to me that the
oral question period is a period in which the
hon. members may direct questions to the
ministry. They should be questions of urgent
current public importance, I believe. There is
a provision in our standing orders that lengthy
replies, of course, should be given as a min-
isterial statement, prior to the oral question
period.
This is precisely I believe what the hon.
minister has undertaken to do. It seems to me
that to answer the numerous items in the
article would be a misuse of the question
period, that it would be a repetition of the
same topic and would occupy a great deal of
the time in this question period.
Mr. Renwick: Revert to statements.
Mr. Speaker: It seems to me that if the
hon. minister is not ready to make a complete
statement, he should be given the opportunity
to do so tomorrow.
Hon. Mr. White: Mr. Speaker, before the
other minister responds to your comments, I
would like to point out that, while the Pro-
vincial Auditor is included in the estimates
of the Treasury ministry, the fact is the
Provincial Auditor is a servant of this Legisla-
ture and reports to this Legislature. The only
vehicle he has for reporting to the Legislature
is through the pufblic accounts committee.
Quite obviously, he cannot be questioned
here. He cannot have an opportunity to refute
the very serious allegations in the morning
paper. My suggestion is, sir, that those allega-
tions should be clarified in the public accounts
committee meeting tomorrow-
Mr. Renwick: The allegations aren't against
the ministry.
Hon. Mr. White: —where he and his
lieutenants will have an opportunity to meet
the criticism, overt and covert, contained in
that document.
Mr. R. F. Nixon: On a point of order, Mr.
Speaker, you are aware, I am sure, although
the Treasurer may not be, that there was a
special audit under the jurisdiction directly of
the Ministry of Transportation and Communi-
cations, and it is the report of that audit we
have asked for specifically here.
Might I say, sir, in your own words, that
you said the question period was to deal
with matters of direct and immediate im-
portance, which obviously this matter Is, since
it is the first time it has come to the atten-
tion of the general membership of the Legis-
lature. For that reason, sir, I would like you
to ask the House if we could revert to state-
ments. That permission may be denied, al-
though it is usually given from this side when
the government asks for it. On the other
hand—
Hon. Mr. White: Not always.
Mr. Cassidy: It is a cover-up again.
Mr. Lewis: Government members will give
it today or they will never give it.
Mr. R. F. Nixon: —if the minister is pre-
pared to give specific answers, then we should
hear them now.
Hon. Mr. White: Well, sir, I think what-
ever questioning may take place here now
should not attempt to clarify the responsi-
bilities and the %vay in which those responsi-
bilities have been fulfilled by the Provincial
Auditor, who quite obviously must be given
his opportunity to respond to these charges
on his own, in that he is not responsible to
this House through either the Minister of
Transportation and Communications or
through me. Therefore, whatever questioning
takes place here should not impinge upon
the Provincial Auditors opportimities to de-
fend himself in the public accounts committee
tomorrow.
Mr. Lewis: Mr. Speaker, on a point of
order, it is however the Minister of Trans-
portation and Communications through whom
the ONTC reports, and therefore he is the
responsible minister. And one does not leave
it yet another dav if it can be avoided. You
have often, Mr. Speaker, applied a rule that
says that after four or five minutes of re-
sponse to questions you deduct the time from
the question period, and I think the minister
should at least endeavour to clear up some
of the matters now.
Mr. Speaker: Well, adding to the com-
ments that I had originally made, it seems
to me that to take the report, which is rather
a lengthy report, and to deal with it in the
words of the hon. minister, item by item,
would probably entail a great part of the
time for oral questions.
870
ONTARIO LEGISLATURE
I have no objections to the hon. members
directing a few questions to the minister,
those of the greatest importance in their
minds, as long as the matter does not de-
velop into a full-scale debate.
If the minister is agreed and he is pre-
pared to answer some of these questions, I
certainly have no objections to some questions
being directed to him; but I should point out
to the hon. members that I will be advised
to cut it oflF when it does constitute a debate.
The hon. Leader of the Opposition.
Mr. R. F. Nixon: Well, in furtherance to
your ruling, Mr. Speaker, perhaps the hon.
minister could tell the House specifically
where the reports were wrong. It did cover
the report in the Globe; two columns did
cover a wide-ranging survey of activities and
serious charges of maladministration, and I
would like to hear the minister's defence of
those areas where he believes the conclusions
were incorrect.
Hon. Mr. Rhodes: I am sorry; where the
conclusions were believed to be incorrect?
Mr. R. F. Nixon: Yes.
Hon. Mr. Rhodes: Yes, Mr. Speaker, well
I will not necessarily follow in the order in
which they have appeared in the articles.
Mr. Speaker, one of the items that was
commented on was that a fee of $40,000 had
been paid to a legal firm. The fee, in fact,
was $3,541.69 and was paid to a firm known
as Cheadle, Bryan and Mitchell from Thun-
der Bay. I believe Mr. David Cheadle is very
well known to the Leader of the Opposition.
Mr. R. F. Nixon: Does that mean he is a
Liberal? I don't know; I haven't got my list
here.
Hod. Mr. Rhodes: It was Ontario North-
land's intent to purchase or subsidize this
company in order to reduce freight rates—
that is the Lakehead freight rates— but the
fee was $30,541.69 and not the $40,000 as
referred to in the article.
Interjections by hon. members.
Mr. Bullbrook: Did the minister say $30,-
000?
Hon. Mr. Rhodes: It was $3,541.69.
Mr. Bullbrook: The first time the minister
said $3,500 and the second time $30,000.
Which is it.
Hon. Mr. Rhodes: My apologies. It is $3,-
541.69.
Mr. Bullbrook: All right. That is one
mistake. He is right.
Interjections by hon. members.
Hon. Mr. Rhodes: On the question of failure
to pay sales tax to the Province of Ontario,
there were interest charges of $7,291 that
were levied against the ONR. That was the
result of a challenge of the sales tax charges
against various items. It was the opinion of
the ONR that they should not have been paid.
They challenged it and they were not success-
ful and as a result they were required to pay
the taxes and the interest charges.
I point out that the same type of approach
was done with the question of passenger fees,
and they dealt with the federal government
in that area.
There was $8,000 referred to as being spent
on plans for a new 100- unit complex to be
staged over a four- to five-year period. That
is correct; there was $8,000 spent. However,
those plans are still in the possession of the
Ontario Northland Railway. It is intended
they will be used. They were paid for and
they have them. The proposal was just too
rich for them to go ahead and develop that.
There was $35,000 spent, and that was on
a renovation programme to the Moosonee
Lodge— and that was very, very much needed.
It is a very old facility. I am sure some
members have been there and will recognize
that these renovations were needed. The
renovations were carried out by a contractor
here in Toronto. In fact no tenders were
called, but I think many of you would appre-
ciate, again, that to get firms to go into the
Moosonee area is not an easy chore. This par-
ticular firm was already doing work in the
area and the price was very, very reasonable.
It was suggested that the Ontario North-
land Railway was operating the ship Chief
Commanda in an unseaworOiy condition. In
fact, there is a certificate of seaworthiness that
has been issued by the federal Ministry' of
Transport. Therefore, to the best of our
knowledge the ship meets the qualifications
as far as the federal ministry is concerned.
Hon. Mr. Grossman: They don't trust the
federal government.
Hon. Mr. Rhodes: Never at any time was
it stated that there would be $50,000 spent
on the vessel to refurbish the ship for one
year's operation.
Hon. Mr. Grossman: They just don't trust
the federal government.
Hon. Mr. Rhodes: We know that there is a
new ship coming. If that new ship had not
APRIL 8, 1974
871
been coming, then there would have been a
substantial outlay of funds, approximately in
the area of $50,000, to keep the ship operat-
ing, but with the fact that a new one is com-
ing that monev was not to be spent. That was
an estimate tnat had been brought forth if,
in fact, they wanted to keep the ship oper-
ating in place of another.
May I comment, Mr. Speaker, on the ques-
tion of railway ties that had been donated to
the North Bay Golf Club? Normally there is
no sale value for used rail ties. In fact, in the
years 1971 and 1972 there had been a request
by the Ontario Northland for ties to be given
to various organizations. These were not avail-
able, but through the good oflBces of the ONR
contacts were made with other railroads which
did in fact supply ties free of charge to
various organizations in the area served by
ONR which had made the request. In 1973
there was a limited market for 3,300 ties to
a firm, I understand, in Whitby and they did
purchase them at 75 cents per ti'e. One thou-
sand ties were donated to the North Bay Golf
Chib. The remaining 1,700 ties were made
available to other interestedi parties. For ex-
ample, the Knights of Columbus, which
wanted ties to help repair their docks at their
boys' camp.
Interjections by hon. members.
Hon. Mr. Rhodes: They were made avail-
able to the crippled children's association and
quite a nimtiber of other organizations in the
North Bay area and in the area served by
the Ontario Northland Railway. Now, if any-
one objects to that, please stand up and say
so. There were 1,000 ties to the North Bay
club. It was suggested in the article that
members of the executive of the Ontario
Northland Railway belonged to the North Bay
club. That is correct. Three of the senior
executive of the ONR belong to the North
Bay Golf Club. I would also point out that
a great many members of that club are em-
ployees of the ONR and are members of the
union and members of the labouring force.
They belong to it and I am sure members
would agree that if anything could be done to
help that club, it would be helping those
individuals as well.
I would like to take a moment, Mr.
Speaker, to comment on the insinuations as to
the irregularities of the travel of the chair-
man. I am sure that, if necessary, he can
reply more competently than I, but he did
make a number of personal trips on Ontario
Northland Railway business. It averaged
about one and a half trips per month during
the period of Januarv, 1973, to March (S
1974, between Thunder Bay, Toronto and
North Bay, plus a Jan. 7 trip from Fort
Lauderdale to Toronto. That was to attend
a management board meeting called on Jan.
8.
There were chartered trips: April 30 to
Timmins for a commission meeting; May 29
to North Bay for a commission meeting; and
Oct. 10 to Timmins for a meeting to deal
with the relocation of the rail in that com-
munity. At no time has there been any
question as to the regularity of these trips,
and it is my understanding that at no time
were they ever questioned either by the com-
mission or by the audit that was done of the
particular books.
Mr. J. R. Breithaupt (Kitchener): It's
about time they were.
Mr. Deans: They are being questioned now,
I will tell you.
Hon. Mr. Rhodes: One other point I would
like to make too, Mr. Speaker, is that there
was reference made to a fee of $9,000 being
paid to the Automotive Transport Association
as dues by Star Transfer. That is not correct.
The fee paid is $1,300. That's an annual fee
of the firm to belong to that association.
Interjections by hon. members.
Mr. Speaker: Order, please. Before the hon.
Leader of the Opi)osition asks further supple-
mentaries, I might say that this answer took
precisely 6% minutes, which was a little
longer than an ordinary reply. I will therefore
add four minutes to the question period.
Mr. R. F. Nixon: A supplementary: Rather
than use up the time, Mr. SpejJcer, under
your former direction, in asking more specific
matters that came out in the report, must we
assume then that the things that the minister
has not referred to directly are in fact at
least parallel with the facts and that he is
not prepared to say that the conclusions were
wrong? For example, in the payments to the
resort facilities owned by Mr. Kennedy, I
believe, a member of the board.
Hon. Mr. Rhodes: Mr. Speaker, that is cor-
rect. There were payments made for the use
of Pinewood Lodge. I believe the incident re-
ferred to in the press was a result of a meeting
that was held in that lodge when the oflBce
facilities of the Ontario Northland Railway
were under repair and there was no area for
them to meet in. They then went to the
Pinewood Lodge to hold their meeting there.
872
ONTARIO LEGISLATURE
Mr. R. F. Nixon: Just a supplementary: For
the procedure on this matter, is it the min-
ister's understanding that he and the chairman
of the ONR will be available for meetings of
the public accounts committee, presumably
along with the auditor, to clarify this matter
and get the facts public? And secondly, is the
minister prepared to table the audit reports
that are under his jurisdiction so that all of
the information will be available to the mem-
bers of this House?
Hon. Mr. Rhodes: Mr. Speaker, I will not
make a commitment that I will table that
audit report at this time.
Mr. Bullbrook: Why not?
Hon. Mr. Rhodes: I will not either neces-
sarily make a commitment as to when I would
be prepared to appear before the public ac-
counts committee until such time as the Pro-
vincial Auditor has made his statement.
May I take a moment, Mr. Speaker, to clear
up one point for fear that it might be con-
sidered that I thought it was correct? It had
been mentioned in the press reports that
$100,000 had been paid to a grocer in Coch-
rane prices for groceries at over-the-counter.
This is not correct; the fee is $59,000-the
total amount is $59,000— and that price to
the Ontario Northland is five per cent over
the grocer's invoice.
Interjections by hon. members.
Hon. W. A. Stewart (Minister of Agricul-
ture and Food): What's right about it?
Mr. Lewis: A supplementary if I could, Mr.
Speaker. Now that all of the material has
emerged and there are some conflicts— pre-
sumably the Provincial Auditor will clear up
his audit before the public accounts commit-
tee, why would the minister not make his
internal audit public now since it is a con-
tentious matter?
Hon. Mr. Rhodes: Mr. Speaker, I have not
referred to the internal audit; I have referred
only to material that I have been able to
gather that touched on items that were dis-
cussed in these two articles that appeared in
the press-
Mr. R. Haggerty (Welland South): It could
be wrong then?
Hon. Mr. Rhodes: —one on Saturday and
one again today. I would be quite happy to
give that consideration after the Provincial
Auditor has appeared before the public ac-
counts committee.
Mr. MacDonald: A supplementary question,
Mr. Speaker: Did I imderstand the minister
earlier to state that all of the internal audit
material had been turned over to the Pro-
vincial Auditor? And if that is the case then
would it not be available to the public ac-
counts committee through the Provincial Au-
ditor?
Hon. Mr. Rhodes: Mr. Speaker, I can't re-
ply to that. My information is that the internal
audit material has been turned over to the
Provincial Auditor for his consideration.
Mr. Speaker: The hon. Leader of the Op-
position has further questions?
Mr. R. F. Nixon: A supplementary, if you'll
permit: Have all of the auditor's findings been
turned over on a regular basis to the Ministry
of Transportation and Communications? That
is, was there a sharing of information both
ways on this supposedly independent double
audit?
Hon. Mr. Rhodes: Mr. Speaker, I cannot
accurately answer that; as you can appreciate
I came into this matter early this morning
and I have been working diligently to get
information that I could have available for
our members opposite at this time. There are
some points I just haven't been able to get
into in detail.
Mr. Speaker: The hon. Leader of the Op-
position.
DEEP WELL POLLUTION
Mr. R. F. Nixon: I would like to ask the
Minister of the Etiviroimient if a study of
Innisfil township just south of Barrie has been
recently made available to him, or made pub-
lic, which indicates that there is a consider-
able amount— in fact a frightening amount—
of deep well pollution rapidly growing in that
area around Lake Simcoe, amounting to— de-
pending upon the community— pollution of 65
to 80 per cent of the wells in that area which
could become a serious public matter, particu-
larly when the weather warms up in the holi-
day season when it gets into full swing this
summer?
Hon. W. Newman: Mr. Speaker, through
you to the Leader of the Opposition, I will
look into this matter and report back to the
member.
Mr. R. F. Nixon: Is the minister aware of
such a report?
APRIL 8, 1974
873
Hon. W. Newman: No.
Mr. R. F. Nixon: He is not aware?
LAKESHORE PSYCHIATRIC
HOSPITAL GRANTS
Mr. R. F. Nixon: I would like to ask the
Minister of Health if the reports that have
been circulating that the grants to the Lake-
shore Psychiatric Hospital, although they are
only slightly reduced in the upcoming year,
will, in fact, interfere with the expanding
facilities that had been planned for that hos-
pital, which cares for the mental illness in a
very large segment of Ontario's population?
Hon. F. S. Miller (Minister of Health) No,
Mr. Speaker, I can't specifically answer that
question. I know the whole role of Lakeshore
Psychiatric Hospital has been under review
by the ministry over the past year. It is one
of the two hospitals in the province that has
an advisory board from the community to as-
sist it in that review.
Mr. R. F. Nixon: A supplementary: Can
the minister dispel any fears that have been
stated by some people associated with the
Lakeshore Hospital that the decision may
have been made to phase it out and repfece
it with other facilities, or is that in fact the
intention of the ministry?
Hon. Mr. Miller: The decision to phase
out Lakeshore Psychiatric Hospital as a psy-
chiatric facility certainly has not been made.
To say that there has not been some consid-
eration of that possibility would not neces-
sarily be correct.
Mr. Speaker: The hon. member for Scsu:-
borough West.
ACTIVITY OF MULTI-MALLS NEAR
TILLSONBURG
Mr. Lewis: I have a question of the Min-
ister of Transportation and Communications,
Mr. Speaker, on a rather different matter, if I
may. Does the minister recall the Multi-Malls
development outside Tillsonburg which is
being fought assiduously by the provincial
Treasurer? And is he aware that Multi-Malls
requires approval by the Ministry of Trans-
portation and Communications for road access
before that shopping centre can proceed?
Mr. Rhodes: Yes, Mr. Speaker.
Mr. Lewis: All right, a further supple-
mentary: Why has the minister apparently
given Multi- Malls— which is, as you know, Mr.
Speaker, a subsidiary of the CNA investors
group— approval in principle, although not yet
in writing, for the shopping centre, when his
colleague has, pretty bitterly and publicly,
climbed aboard them for their efforts to set
up a shopping centre directly in competition
with the redevelopment plans designed for
Tillsonburg?
Hon. Mr. Rhodes: Mr. Speaker, to the best
of my knowledge I have not given any sort
of approval, in principle or otherwise, to an
entrance to this particular development.
Mr. Lewis: Fine. By way of supplementary,
since Multi-Malls must also have a building
permit from the Ministry of Transportation
and Communications under section 31(2)(d) of
the Highway Improvement Act, can the mim's-
ter indicate to the House now and to the
people of the area, who would be immensely
relieved, that he will join with his colleague,
the Treasurer, in saying "no" to Multi-Malls
in that area, thereby killing that particular
project in its place?
Hon. Mr. Rhodes: Well, Mr. Speaker, as far
as I'm concerned, if all of the requirements
of any particular company, be it Multi-Malls
or any other, can meet the necessary criteria
to qualify for an entrance, I don't believe the
ministry has the right to deny them access if
they legally are entitled to it.
Interjections by hon. members.
Mr. MacDonald: What are they clapping
for?
Mr. Lewis: By way of supplementary, when
the Treasurer-
Mr. MacDonald: iTiose boys are really
quite mindless in their reactions.
Mr. Lewis: -talks about Multi-Malls as a
developer who thwarts the plans and inten-
tions of town councils bv building shopping
centres just outside town boundaries; when he
says, "I can think of far worse things to say
about the developers who build shopping
centres just outside the boundaries of urban
municipalities"; when he says, "If our pro-
gramme of persuasion does not bring about
3ie necessary results, we will have to examine
other measures," etc., why would the minister
approve the location of Multi-Malls outside
Tillsonburg, directly contrary to the expressed
opinion of the Treasurer, when it is entirely
within the minister's prerogative to say to
them, "no"?
Hon. Mr. Rhodes: Well, Mr. Speaker, I
would assume that if there are actions to be
874
ONTARIO LEGISLATURE
taken by other ministries of this government
that would not permit the development to
take place, then of course it would behove
the Ministry of Transportation and Commun-
ications not to issue a permit for an access.
Mr. Lewis: He's already taken those actions.
He tried to stop it.
Hon. Mr. Rhodes: My only answer to the
hon. gentleman is that we have not issued
such a permit. We have not permitted access
and, to the best of my knowledge, we have
no intention to do so at this time. But I re-
peat, if there is no legal way that the minis-
try can deny access-
Mr. Lewis: Yes, there is.
Hon. Mr. Rhodes: If there is, Mr. Speaker,
then I'm sure we'll look at it in that light.
Mr. MacDonald: Maybe the minister should
put it on the cabinet agenda and discuss it.
Mr. R. F. Nixon: Supplementary: Surely the
minister is aware that his predecessor gave
the same kind of access to precisely the same
company just outside of Chatham, which is in
the backyard of the former chief planner-
Mr. R. F. Ruston (Essex-Kent): That's right.
Mr. R. F. Nixon: —and presently major
spokesman for the government in most areas?
The same land of access in the same county
was given to Multi-Malls, the same company,
just to the east of Woodstock, off Highway
2. And while it may have gone against what
the Treasiurer says he believes, certainly it
didn't go against—
Mr. Speaker: Is this a question?
Mr. R. F. Nixon: —the policy of the govern-
ment.
Hon. Mr. Rhodes: Well, it may be, Mr.
Speaker, that the Treasurer and I get along
better.
Mr. Lewis: It may be that they should get
along at all!
Mr. MacDonald: Discuss it in the cabinet.
Mr. Speaker: The hon. member for Scar-
borough West.
MINAKI LODGE
Mr. Lewis: A question of the Minister of
Industry and Tourism.
There was a report from the Canadian Press
which indicated that once the Minaki Lodge
facility becomes a successful operation, when
the government has bailed it out and re-
instituted it, that it is then the minister's
intention to sell it back to private enterprise.
Is that correct?
Hon. Mr. Bennett: Mr. Speaker, I have
made that remark on behalf of cabinet that
we are putting some heavy capital invest-
ments into Minaki. Once it's successful, it
would be our intention to make sure that it
goes back into private enterprise Canadian
ownersh^.
Mr. Breithaupt: He's going to recycle it.
Mr. Lewis: By way of supplementary, how
much public money is being spent to bail out
the ODC loan, then to pay off the other loans
and to get the company back into operation?
Why can't we leave it as a Crown corporation
instead of selling it off to private enterprise
again, which failed us once?
Hon. Mr. White: Because we're not So-
cialists.
Mr. Lewis: Oh, come on. It doesn't take
socialism to come to one's senses!
Mr. Deans: What right has the government
to use taxpayers' money to bail out the private
sector?
Mr. Lewis: Exactly.
Mr. Speaker: Order.
Mr. Breithaupt: They're just going to re-
cycle it.
Mr. Lewis: That's not socialism; that's just
common sense.
Mr. Deans: It's a kind of Robin Hood
theory— only it's robbing the people.
Hon. Mr. White: The NDP would like to
be Robin Hoodl
iMr. J. E. Stokes (Thunder Bay): Supple-
mentary: What assurance can the minister
give the entreprenem^ in northern Ontario
who have pretty well paddled their own
canoes that they won't be competing against
an entrepreneur who has been almost totally
subsidized by the taxpayers of this province?
Mr. Dean: Who does the minister have in
mind, and when is he retiring?
Hon. Mr. Bennett: Mr. Speaker, before the
government decided to move in and take over
the operation of Minaki Lodge we had a great
number of talks with people in private oper-
APRIL 8. 1974
875
ations in that part of the province, including
the chambers of commerce, the elected oflB-
cials, and people in the private resort business.
It was obvious from our discussions with them
that it was most important that Minaki be
retained as a prime resort area in that part
of northwestern Ontario, and that without it
there would not be a catalyst that would help
to draw the business into that part of the
province.
Mr. Deans: Those private entrepreneurs
weren't prepared to do it.
Hon. Mr. Bennett: If the member would
listen. Obviously, with his—
Mr. Deans: I am listening and I can hardly
believe what I heard.
Mr. Speaker: Order.
Hon. Mr. Bennett: Sometimes we have
trouble believing it when he is up, too.
Mr. Speaker, we went over the situation
with the private people and we were very
concerned along with them that if Minaki
was not retained it could have a very great
detrimental eflFect on the balance of their in-
dustry. After long discussions with them and
after reviewing it with various people, it was
the decision of government that we should
move in and retain Minaki and build it up, to
be the catalyst to develop the tourist industry
even further in northwestern Ontario, and we
sincerely believe it will succeed in doing
just that for that part of the province.
Mr. Speaker: The hon. member for Scar-
borough West.
ENVIRONMENTAL IMPACT OF
PUBLIC WORKS
Mr. Lewis: A question, Mr. Speaker, of the
Minister of the Environment, if I may: Is the
minister prepared to table the reix)rt of the
inquiry officer under the hearing of necessity,
the Expropriation Procedures Act, applied on
Jan. 23 to, I think, five or six Crown proper-
ties in the area of the Amprior dam project?
Hon. W. Newman: That's a very good
question. At this point in time I can't say
whether there are legal ramifications or
whether I can or cannot table the report, but
I will look into it and let the member know
tomorrow.
Mr. Lewis: May I ask a supplementary?
Has the minister turned the inquiry officer's
reports over to the Attorney General (Mr.
Welch) as yet?
Hon. W. Newman: Not at this point in
time.
Mr. Cassidy: Supplementarv, Mr. Speaker:
Is the minister aware that he is meant to
give approval to further expropriations in the
area, and if he is aware, has he in fact done
so, as required under the Expropriations Act?
Hon. W. Newman: I will give an answer to
all of that tomorrow, okay?
Mr. Speaker: The hon. member for Scar-
borough West.
Mr. Cassidy: May I ask a supplementary,
Mr. Speaker? In view of the intention of the
Expropriation Procedures Act, does the min-
ister not consider that it is at least undesirable
that work on the dam now proceeding wiH
flood land on which no expropriation orders
have been taken out? What pressure has he
put on Ontario Hydro to get them to bring
down the expropriation orders on land whidfi
they now intend to flood?
Hon. W. Newman: I think any pressure on
Ontario Hydro should come from the Minister
of Energy and I would discuss the matter
with him.
HOUSING PROGRAMMES
Mr. Lewis: A question of the Minister of
Housing, Mr. Speaker: Is the minister aware
that the cost per home on the average in
Metro Toronto jumped last month to $50,340,
the single biggest jump in a monthlv period
in some considerable time, and tnat that
means it will now cost the average pur-
chaser over the lifetime of the home some-
thing in the vicinity of $159,563 at current
interest rates? Can he, therefore, indicate to
the House whether there is a single specific
policy, either by way of niunbers of lots or
planned homes over the next period of time,
to do something about the accelerating prices?
Hon. S. B. Handleman (Minister of Hous-
ing): Mr. Speaker, I will have to trust the
hon. membCT s mathematics because I haven't
had an opportimity to check them out. I am
aware that the average price, not the cost, of
single family homes in the Metropolitan To-
ronto area did increase by approximately the
amount stated, which is also a reflection of
the very heavy demand for homes. Appar-
ently people seem to have the money to Duy
them and the builders are charging those
prices.
Mr. MacDonald: Who are they? But some
are speculators, using laimdered money.
876
ONTARIO LEGISLATURE
Hon. Mr. Handleman: Mr. Speaker, we
have announced from time to time a number
of programmes. There is no one single pro-
gramme which is going to solve the prob-
lem. I never pretended that there was.
Mr. Lewis: Can the minister give us a
specific?
Hon. Mr. Handleman: There are a number
of programmes such as LIP, RAP, OHAP,
HOME. All of these, Mr. Speaker, taken in
the aggregate will have an effect on home
prices. If the hon. member vdll just be
patient, I believe in a matter of a week or
two weeks or three weeks I will be able to
actually specify a number of lots which are
being accelerated, the amoimt of money that
that means to the consumers of Ontario and
the areas in which those lots wall be located.
Mr. Cassidy: Supplementary, Mr. Speaker.
Mr. Speaker: The hon. member for Grey-
Bruce was up first with a supplementary.
Mr. E. Sargent (Grey-Bruce): Wouldn't the
minister agree that a large portion of the
high cost of housing is because it takes two
years to get a plan through all the bureauc-
racy? Would the minister agree with that?
Mr. Huston: Three years in most cases.
Mr. Sargent: Does the minister know that
in the United States the FHA programme
guarantees complete project approval in 90
days? Why can't he adapt a programme like
that here in this province? Send a crash
organization down there to find out what is
going on and bring it up here and let's do
something.
Hon. Mr. Handleman: Mr. Speaker, there
is no question that some of the problems
which have occurred in latter years are the
result of demand by the public for a much
stricter planning process, protection of the
environment, road planning and all of the
various infrastructure planning processes
which must take place. It is quite obvious.
Mr. Sargent: They have all those things
in the States too.
Mr. Speaker: Order.
Hon. Mr. Handleman: I think we have
gone quite a bit farther in accommodating
the feeling of the people in that respect than
most other jurisdictions. We recognize the
counterproductive effect this has had on hous-
ing and we are doing everything possible to
speed up the process. The hon. member for
Kent (Mr. Spence) asked the other day about
the number of official plans which have been
brought before the ministry and which he
felt were being unduly delayed. In fact, since
Oct. 1, 1973, there have been 37 official plans
brought before my ministry, and I'm pleased
to announce that since that date there have
been 40 new official plans approved.
Interjections by hon. members.
Mr. Speaker: Order.
Hon. Mr. Handleman: If any member has
any specific-
Mr. Lewis: The Treasurer could not. He
cannot run a peanut stand without public
money.
Interjections by hon. members.
Mr. Speaker: Order.
Hon. Mr. Handleman: If any member has
any specific plan which he feels is being
unduly delayed I would be pleased to look
into it:
Mr. Speaker: I must point out to the hon.
members-
Interjections by hon. members.
Mr. Speaker: I should point out to the
hon. members that there are only 10 minutes
remaining in the normal question period. No
minister, as yet, has had the opportunity to
give replies to previous questions. No mem-
bers other than leaders have asked any ques-
tions. Does the hon. member for Scarborough
West have further questions?
Mr. Sargent: A further supplementary here.
Mr. Speaker: I'll permit one more.
Mr. Sargent: To summarize this, Mr. Speak-
er, if I fly the minister down there, wall he
come dovm and have a look at it? Will he?
Interjections by hon. members.
Hon. Mr. Handleman: Mr. Speaker, it's a
policy in my ministry not to go on unauthor-
ized trips.
Mr. Speaker: The hon. Treasurer has the
answer to a question asked previously.
RESTRUCTURING OF
RENFREW COUNTY
Hon. Mr. White: Mr. Speaker, on Friday,
the hon. leader of the official opposition, not
to be confused with the leader of the real
APRIL 8, 1974
877
opposition, raised a question about some con-
cerns of the mayor of the town of Renfrew.
Mr. Lewis: The Treasurer should just cut
that out.
Interjections by hon. members.
Mr. Speaker: Did the hon. member for
Scarborough West rise on a point of privi-
lege?
Interjections by hon. members.
Mr. Ruston: You fellows have been together
for a long time.
Mr. Breithaupt: The NDP always supports
the government.
Mr. Bullbrook: Is that one of those 28-cent
ties?
Mr. Speaker: Order please.
Hon. Mr. White: I'll tell the House, if the
member for Brant (Mr. R. F. Nixon) doesn't
ruin the Liberal Party here nobody can.
Mr. Ruston: We didn't know the Treasurer
cared.
Interjections by hon. members.
Hon. Mr. White: Well, sir, I now have had
an opportunity to read the letter from the
mayor of Renfrew.
Interjections by hon. members.
Mr. Speaker: Order.
Hon. R. Welch (Provincial Secretary for
Justice and Attorney General): I think the
Treasurer has got them on the run; I think
he's got them on the run,
Hon. Mr. White: Although it must be said
he has got a lot of helpers.
Hon. Mr. Welch: Yes, he's not alone over
there.
Mr. MacDonald: Is the Treasurer trying to
take all the 10 minutes?
Hon. Mr. White: I have now read the cor-
respondence from the mayor of Renfrew. He
has sent me three letters, two very recendy.
Some time ago I answered the first one, not-
withstanding the allegations, and today I sent
out responses to his two more recent letters.
The mayor apparently believes that I've
struck a committee to set terms of reference
for a study. In fact, I have not. In late
January the county and the city of Pembroke
approached me and asked that I consider
assisting them in a study. I aereed to, pro-
vided the c-ounty council, which includes
representatives from all municipalities In the
county except Pembroke, and the dty council
of Pembroke passed a resolution requesting a
studv. The county has since sent me such a
resolution but I haven't received one from the
city.
The understanding I had with the repre*-
sentatives with whom I met was that I would
have a member of my staff meet with which-
ever members of their staff they nominated,
once these two resolutions were received. The
staff would then submit to the council a
suggested study approach. At that time Ren-
frew coimty would follow whatever course it
felt was appropriate in considering die study
outline. If it chose to seek the opinion of
each of the municipalities in the county, that
would be its choice.
The county system is the system of local
government we have and I intend to respect
it.
Mr. Cassidy: This is a speech, Mr. Speaker,
and it is an abuse of the question period,
Hon. Mr. White: I will not interfere with
the prerogative of the coimty council to make
decisions on how to consult its member
municipalities,
Mr. Speaker: The hon. Minister of Hous-
ing has the answer to questions asked pre-
viously.
HOUSING IN WINDSOR AREA
Hon. Mr. Handleman: Thank you, Mr,
Speaker, The hon. member for Windsor-
Walkerville asked a question concern-
ing senior citizen and family dwellings
in the Windsor area. The corporation has just
signed a contract for 300 senior citizen units
on Riverside Dr, which will conmience
shordy. The design is being finalized for 130
more units which will be located on a Mill St
site and a call for tenders will be issued in
April, that is, this month. As well, negotiations
are under way for the acquisition of addi-
tional senior citizen sites.
In respect to the family housing require-
ments, OHC has satisfied all municipal reso-
lutions to date. About 30 to 50 family units
are vacated each month and the Windsor
Housing Authority is satisfied that this turn-
over is suflBcient to service the current wait-
ing list.
Mr, Speaker, while I am on my feet I
would like to answer similar questions.
878
ONTARIO LEGISLATURE
Mr. Speaker: If that was the completion
of one answer, a supplementary will be per-
mitted. The hon. member for Windsor-
WaUcerville.
Mr. B. Newman: Yes. Is the minister aware
that the request for senior citizen housing
has kept increasing since approximately July
of last year, and mat at the rate that it con-
tinues to increase there is very little chance
that the ministry will ever meet the continuing
demand?
Hon. Mr. Grossman: These are great pro-
grammes by this government. More people
are living long.
Mr. R. F. Nixon: It just seems that way.
Hon. Mr. Handleman: Mr. Speaker, I am
aware of the fact that the supply of senior
citizen housing is running slightly behind
demand, though not all that critically. As
of February, there were 1,000—
Mr. Cassidy: Stop trying to pretend there
is no problem. There is a problem out there.
Interjections by hon. members.
Mr. Cassidy: The minister cannot snap his
fingers and make it go away.
Hon. Mr. Handleman: We are not snap-
ping our fingers, Mr. Speaker.
Mr. Cassidy: It seems that way.
Hon. Mr. Handleman: There are slightly
under 1,000 applicants on the waiting list
for senior citizen housing in Windsor.
Mr. B. Newman: Under 1,000?
Hon. Mr. Handleman: Under 1,000; yes,
that's the figure I have, slightly under 1,000.
Mr. B. Newman: It is over 1,000.
Hon. Mr. Handleman: It has been our
experience, Mr. Speaker, that the number
of applicants do not always correspond to
the supply. In other words, we will not build
senior citizen housing equal to the number
of applicants because in most cases we
would have an oversupply.
Mr. Deans: Supplementary.
Mr. Speaker: The hon. member for Went-
worth.
Mr. Deans: Isn't the minister aware that
the number of applicants is small, because
the people know there is no point in apply-
ing because the ministry is not building a
sufficient number of houses?
Interjections by hon. member.
Mr. Deans: Isn't he aware that there are
five times as many people looking for them
as there are applicants, because they know
there is no point in applying?
Mr. Speaker: Is the hon. minister going to
reply to that statement?
Hon. Mr. Handleman: No reply.
Mr. Deans: It's true.
Mr. Speaker: The hon. member for Wind-
sor West was next.
Mr. E. J. Bounsall (Windsor West): On
the question of family housing in the Wind-
sor area that the minister mentioned, is he
aware that there are over 300 applications
for two bedroom accommodations, that there
are very few units of two-bedroom accom-
modations in Windsor at the moment and
that any amount of turnover will not meet
the demand for that?
Hon. Mr. Handleman: Mr. Speaker, the
only thing I can say about family housing
is that we've responded to every resolution
of municipal council. I might suggest to
the hon. member that he may wish to discuss
this further with the acting chairman of the
Windsor Housing Authority which submits
requests to the ministry.
Mr. Lewis: The minister is incredible. He
won't last. He is a nice fellow, but he won't
last.
Mr. Speaker: Does the hon. minister have
further answers?
Hon. Mr. Handleman: Mr. Speaker, the
hon. member for Port Arthur (Mr. Foulds)
isn't here. He asked about OHC.
Mr. Speaker: Would the hon. members
agree to having the answer given in the
absence of the member?
Some hon. members: No.
Mr. Speaker: Then the hon. minister will
withhold the answer. The hon. member for
Waterloo North.
ALLEGED SALE OF FARMLAND
TO JAPANESE INTERESTS
Mr. E. R. Good (Waterloo North): Thank
you Mr. Speaker. I have a question of the
Minister of Agriculture and Food.
Has the minister heard any reports con-
cerning the alleged story that Japanese in-
APRIL 8, 1974
879
terests are trying to assemble 50,000 acres
of agricultural land in southern Ontario
between Toronto and Windsor? If he is not
aware of it, would he make an effort to find
out if that is correct?
Hon. Mr. Stewart: No, Mr. Speaker, I am
not aware.
Mr. Good: Supplementary: Could we have
the minister's assurance that he will look
into it, and if it is correct, would he be
concerned about this and what could be
done?
Hon. Mr. Stewart: Mr. Speaker, does
the hon. member expect me to contact every
farmer in Ontario and ask if he has sold his
farm recently to some agricultural repre-
sentative from Japan? What a senseless
question to ask in the first place! Of course,
we are interested.
Mr. BulIbrocJc: The minister is in one of
his venomous moods today.
Mr. Speaker: The hon. member for
Thunder Bay.
ESTABLISHMENT OF COUNCILS
IN UNORGANIZED MUNICIPALITIES
Mr. Stokes: I have a question of the
Minister without Portfolio, responsible for
municipal affairs.
Interjections by hon. members.
Mr. Speaker: Order.
Interjections by hon. members.
Mr. Speaker: Order, please. The hon. mem-
ber for Thunder Bay has the floor.
Mr. Stokes: Could the minister indicate
when the promise contained in the Throne
Speech with regard to the setting up of coun-
cils in unorganized communities mi^t be
introduced in the Legislature?
Hon. D. R. Irvine (Minister without Port-
folio): Mr. Speaker, we are considering this
matter very fully. I would expect to introduce
legislation in the next few weeks. I would say
before the end of this session, but I can't give
him a definite time.
Mr. Stokes: Has the minister any advice
for some of these unorganized municipalities
which might set the wheels in motion to
organizing themselves into coimcils so they
can take advantage of this programme?
Hon. Mr. Irvine: Mr. Speaker, we would
be pleased to hear from them. If they have
any ideas that they wish to relate to us, I
would be happy to meet with them.
Mr. Speaker: The hon. member for Well-
ington South was attempting to get the floor
previously.
GUELPH CORRECTIONAL CENTRE
Mr. H. Worton (WeUington South): A
question of the Minister of Correctional Serv-
ices: Have the recommendations of the group
studying the working conditions at the Guelph
Correctional Centre last year been imple-
mented as yet?
Hon. R. T. Potter ( Minister of Correctional
Services): I haven't heard about that
Mr. Worton: Doesn't the minister know
about it?
Hon. Mr. Potter: Well, I don't know what
study the member is talking about.
Mr. R. F. Nixon: That's our man.
Interjections by hon. members.
Mr. Worton: Mr. Speaker, last year there
were some goings-on at the centre that were
investigated and the ministry set up a com-
mittee to study them; I want to know if they
have been implemented.
An hon. member: Here we go again.
An hon. member: D6j£i vu—
Hon. Mr. Potter: I would assume so, Mr.
Speaker. I was in Guelph at the correctional
centre just last week, and there were no par-
ticular problems at that time-
Interjections by hon. members.
Hon. Mr. Potter: —and the superintendent
of the institution took me around and showed
me the changes that are being made. I would
exi)ect these are the ones that the hon. mem-
ber is referring to. Certainly there have been
many changes.
Hon. Mr. Grossman: The big problem is
that once they are in, they stiH want to get
out.
Mr. Speaker: The hon. member for Went-
worth.
Mr. Worton: Could we have a report on
that?
880
ONTARIO LEGISLATURE
AMBULANCE SERVICES
Mr. Deans: Mr. Speaker, I have a question
of the Minister of Health. Will the minister
require those in his ministry responsible for
provision of ambulance service to meet with
the city of Biu-lington—
Hon. G. A. Kerr (Solicitor General): All
that's being done.
Mr. Deans: —the Halton-Peel county coun-
cil, or regional council, and citizens who have
Interjections by hon. members.
Mr. Deans: —a grave concern over the in-
adequacy of the ambulance service? And will
the minister-
Mr. J. F. Foulds (Port Arthur): Getting
no action from the—
Hon. Mr. Kerr: Attend the meeting tomor-
row at 1 o'clock.
Mr. Deans: I wish the minister would be
quiet. When I have a question for him, I'll
ask him. There is nothing to ask the minister;
he doesn't do anything.
An hon. member: That's just terrible.
Hon. Mr. Handleman: Does that upset the
hon. member?
Mr. Deans: And will the minister make
known whether or not there is in fact a
deficiency in the services currently available,
recognizing there is only one ambulance in
Burlington?
Hon. Mr. Miller: Well, Mr. Speaker, I
think no matter what problems we may face
with ambulances from time to time in the
Province of Ontario, we should be very proud
of the fact that we have the best ambulance
system in North America. That's a fact.
Interjections by hon. members.
Mr. Deans: Did the minister rehearse that?
Interjections by hon. members.
Hon. Mr. Miller: Well, there's a machine
up here and I just had to plug the right
digit.
Mr. R. F. Nixon: The minister always
makes the same answer: "The best in the
western world."
Hon. Mr. Miller: Well, we can't help it if
we excel in everything.
An hon. member: We can't improve.
Interjections by hon. members.
Mr. R. F. Nixon: The minister doesn't
have to apologize.
Mr. Speaker: The question period has just
about expired.
An hon. member: So has the minister.
Hon. Mr. Miller. Well, he is helping me.
I would be glad to look into the specific
problem on the member's behalf, because
I want to have good ambulance service in
any part of the province as important as
Burlington.
Interjections by hon. members.
Mr. MacDonald: Why didn't the minister
say that in the first place?
Mr. Sargent: Mr. Speaker, the minister
will recall last week I asked him about the
plan to tender for ambulance service across
Ontario. He didn't know anything about
that. Well, now he is doing it in another
area. What's going on?
Hon. Mr. Miller: Mr. Speaker, I have to
say the member is wrong unfortunately. We
are not tendering for ambulance services
anywhere in the Province of Ontario. We
have not sent out letters of that nature. I
think he should specifically look at that let-
er that is supposed to be a tender. If, in
fact, I have been given the wrong informa-
tion, bring it to me, because we are just not
doing it.
Mr. Speaker: The hon. member for York
Centre.
Mr. Sargent: Supplementary: What does
the minister mean he's been given the wrong
information?
Hon. Mr. Miller: I said the member has.
Interjections by hon. members.
An hon. member: How about a little order?
Mr. Sargent: Why doesn't the minister
know what's going on?
Mr, Speaker: The hon. member for York
Centre.
MTC RENTS FOR FARMLAND
Mr. D. M. Deacon (York Centre): A ques-
tion of the Minister of Agriculture and Food.
In view of the minister's justified concern
APRIL 8. 1974
881
about the pressures that are driving fanners
off the land in Ontario, will the minister
request the Minister of Transportation and
Communications to cancel the ministry's pro-
gramme of increasing rent by 30 to 50 per
cent on lands owned by that ministry be-
tween Woodstock and Cobourg, as some
farmers are unable to pay these increased
rents and are going to move off the farms?
Hon. Mr. Stewart: Mr. Speaker, it's the
first I've heard of this. I'll be glad to dis-
cuss it with my hon. friend.
Mr. Sargent: Atta boy.
Mr. Speaker: The hon. member for Wind-
sor West.
An hon. member: Way to go.
THERAPY WORKSHOPS PAY RATES
Mr. Bounsall: A question of the Minister
of Health, Mr. Speaker. Is the going indus-
trial rate paid by those industrial companies
who are using the industrial therapy work-
shops to produce some of their materials in
our psychiatric hospitals, or— this is a ques-
tion of the Minister of Health before he-
Mr. Speaker: The Minister of Health,
please. A question is being directed to him.
Mr. R. F. Nixon: He is getting the an-
swer.
Mr. Bounsall: Or is the 10 to 20 cents an
hour paid by the psychiatric hospitals to the
workers within those industrial workshops in
fact a saving to the companies which are
having work performed therein?
Hon. Mr. Miller: Mr. Speaker, I was being
sidetracked there for part of the time and
I'm afraid I need to ask for the question to
be repeated.
Mr. Bounsall: Is the going industrial rate
being paid by those companies which have
work performed for them by the inmates of
the industrial therapy workshops in our psy-
chiatric hospitals?
Mr. J. R. Smith (Hamilton Mountain): In-
mates? Patients. Patients.
Mr. Bounsall: Or is the 10 to 20 cents an
hour paid to those patients, in fact, a sub-
sidy to those companies which are getting
the work done?
Hon. Mr. Miller: Mr. Speaker, I would
think in all fairness we could categorically
say it is not a subsidy toward the industries.
In fact, I think we owe a vote of thanks to
companies that will, in some cases, spend
more money to allow us to have program-
mes within the psychiatric hospitals that will
help our patients. It's very important that
these people carry out duties of some type
in the rehabilitation process,
I've personally been involved, and when
you realize the amount of material handling
alone that's involved in moving the goods to
these patients so that they may perform the
duties within the hospital grounds, you realize
that we're not doing it simply on the basis
of the economics. It's very critical in the
rehabilitative process that such work be
available. So its not a question of the mini-
mum wage being got around by a devious
means, its a question of giving these people
a sense of accomplishment, treatment and
some money all at once.
Mr. Speaker: Question period has now
been completed.
Petitions.
Presenting reports.
Motions.
Hon. Mr. Winkler moves that from to-
morrow this House may resolve itself into
committee of supply.
Motion agreed to.
Mr. Speaker: Introduction of bills.
WELLINGTON COUNTY BOARD
OF EDUCATION ACT
Mr. Worton moves first reading of bill in-
tituled. An Act respecting the Wellington
County Board of Education.
Motion agreed to; first reading of the bill.
CITY OF KITCHENER ACT
Mr. Breithaupt moves first reading of bill
intituled. An Act respecting the City of
Kitchener.
Motion agreed to; first reading of the bill.
CITY OF OTTAWA ACT
Mr. Villeneuve, in the absence of Mr.
Morrow, moves first reading of bill intituled,
An Act respecting the City of Ottawa.
Motion agreed to; first reading of the bill.
882
ONTARIO LEGISLATURE
SAVINGS AND INVESTMENT
TRUSTS ACT
Mr. Villeneuve, in the absence of Mr.
Morrow, moves first reading of bill intituled,
An Act respecting Savings and Investment
Trusts.
Motion agreed to; first reading of the bill.
Mr. Speaker: Would the hon. members
agree to revert to the order, presentation of
reports? One of the hon. ministers, the Min-
ister of Consumer and Commercial Relations,
has overlooked presenting reports. Would the
hon. members agree to that?
Motion agreed to.
Hon. J. T. Clement (Minister of Consumer
and Commercial Relations): Thank you, Mr.
Speaker, and the hon. members of the oppo-
sition for their courtesy.
In compliance with the provisions of sub-
section 2 of section 20 of the Securities Act,
I am tabling a copy of the Ontario Securities
Commission order and summary of facts in
connection with the Canada Development
Corp. Thank you, Mr. Speaker and members
of the House.
Mr. Lewis: For the minister, almost any-
thing.
Hon. Mr. Clement: Pardon?
Mr. Lewis: For the minister, almost any-
thing. For the others very little.
Mr. Speaker: Orders of the day.
POINT OF PRIVILEGE
Mr. F. Drea (Scarborough Centre): Mr.
Speaker, I rise to state a point of privilege.
My point is that during the Throne Speech
debate I was denied the opportunity to com-
municate with my constituents under my
privilege of immunity because no one in the
chamber except members is permitted to take
notes, use recorders or use cine cameras.
While the precedent of ignoring note-taking
by the members of the press gallery was
observed, this same ignoring was not ex-
tended to either recorders or cine cameras
in the gallery. To communicate electronically
with my constituents I would have had to
waive my immunity. I submit that such a
compulsory waiver is an infringement of my
privilege as a member as defined in May's,
chapter 5, page 64, particularly the lines
dealing with unimpeded services of members.
In the outline of collective and individual
privileges, page 65, chapter 5 of May's, it is
quite specific that freedom of speech belongs
primarily to individual members. While his-
torically, privilege belongs solely to Mr.
Speaker, since 1554 the privileges of freedom
of speech, freedom from arrest and freedom
of access, have belonged to the members. I
would also call attention to—
Mr. Speaker: Order, please. If the hon.
member has a long resume of some excerpts
from May or other parliamentary' authority I
think he should first clearly state his point
of privilege.
Mr. Drea: The point of privilege I was
raising, Mr. Speaker, is that, as the privilege
of an individual member, had I been per-
mitted to state my privilege last Friday, I
would have asked that I be allowed the use
of television cameras in the chamber while
delivering my reply to the Speech from the
Throne. I would like to state the remainder
of it, sir.
Mr. Lewis: What is the member talking
about?
Mr. Drea: What am I talking about?
Mr. Deans: We don't understand. We
would like to help him if he would tell us.
Mr. Sargent: That is a good point. Let's
find out.
Mr. Drea: Mr. Speaker, can I elaborate or
would you prefer me to read this?
Mr. Speaker: I am trying ver\- desperately
to follow the hon. member to determine if he
has a point of privilege. If I recall correctly,
on Friday the hon. member intimated that
the Speaker had arbitrarily made a ruling
which prevented him from exercising his
privilege. I am waiting to hear what that
privilege is.
Mr. Drea: Mr. Speaker, with due respect,
sir, I stated it just a moment ago, perhaps
somewhat ambiguously, but I will state it
very clearly. It is my position, in raising
the point of privilege, that I should be en-
titled as a member to have televised the por-
tion of the debate on the Speech from the
Throne in which I am speaking.
Mr. Deans: Who would watch it?
Mr. Speaker: Order, please. The hon.
member will please observe the rules of
this House. There is no such privilege which
has been extended to any hon. member in
APRIL 8. 1974
883
this House at any time. I do not say that
it should not be or will not be, but the hon.
member certainly does not have any right to
raise this as a point of privilege. There is
certainly no point of privilege that has been
denied the hon. member.
If he wishes this sort of procedure to take
place, there are ways and means by which
he might pursue that; but certainly there
has been no ruling on the part of this Speak-
er, or any previous Speaker to my knowl-
edge. It simply has not been permitted under
the rules of the House and I do rule there
is no point of privilege.
Mr. Lewis: Mr. Speaker, on a point of
order, if you were willing to have the
speeches of the member for Scarborough
Centre televised, we would pay for the cost,
sir.
Mr. Speaker: I would be glad to take that
under consideration.
Mr. Sargent: Mr. Speaker, if we can allow
the media to televise the budget speech, why
hasn't this member got the same rights as
the Treasurer.
Mr. Speaker: Well, I don't think it's in-
cumbent upon the Speaker to deal with this
at all. I would explain to the hon. member
that there have been arrangements made,
and agreements indeed, amongst the parties
that the budget will be televised. There
ne\'er has been any arrangement otherwise
for the hon. members. I think if the hon.
member will deal with the matter through
his party he would get a httle bit more in-
formation. If he wishes I will be glad to
speak to him privately on it.
Mr. Drea: Just a point-
Mr. Speaker: I made a ruling on the hon.
member's alleged point of privilege. Now if
the point of order has to do with my ruling,
it is not in order.
Mr. Drea: No, it does not.
Mr. Speaker: All right.
Mr. Drea: I am not going to question your
ruling, sir, I just want to raise the question
that twice members have been allowed this
privilege, sir. Maybe it's a matter of seman-
tics, but in my memory I have seen the
Leader of the Opposition make the reply
and I have seen the former leader of the
NDP (Mr. MacDonald) make the reply on
television.
Mr. R. F. Nixon: By unanimous consent;
and we would consent to the member going
on. Bring in a resolution and we will sup-
port it.
Mr. Speaker: Orders of the day.
Clerk of the House: The first order, re-
suming the adjourned debate on the amend-
ment to the amendment to the motion for
an address in reply to the speech of the
Honourable the Lieutenant Governor at the
opening of the session.
THRONE SPEECH DEBATE
Mrs. M. Campbell (St. George): Mr. Speak-
er, may I first add my voice to all those who
have spoken before me in expressing our
pleasure that you have regained your health
and are enabled to carry on your duties. I
would hope that they would not be onerous,
Mr. Speaker, but I am afraid that you can-
not count on that.
When I have considered the government
programmes and proposals, I have varied in
my feelings, first from being heartsick, to
being tremendously angry; and Mr. Speaker
anyone who knows me, including my caucus
members, would recognize how diflBcult it is
indeed to anger me.
However, I realized later I had no right to
be angry, and for these reasons: St. Paul was
never one of my favourite saints, for obvious
reasons, but for the first time I understood and
recognized in this government the loss of that
quality without which it is but a sounding
brass and a tinkling cymbal, and if it were not
for the effect upon the people of Ontario I
would be filled only with pity for such a
government.
It is true they have finally discovered the
north; and I am sure that the roads will be
built, because after 30 years of Tory rule the
north was ready to secede, and that was in-
deed an achievement. I trust, however, that
they will not expect to set aside a holiday in
honour of a great discoverer, since much of
the programme consists of feasibility studies
which, if I remember correctly, were also
imdertaken by the government under the late
Premier Frost.
The measure of a civilization is the way in
which it treats its children. Let us look at
this government's record with that in mind.
The Attorney General (Mr. Welch), in a
daring statement, announced that this gov-
ernment would delete from all its legislation
all reference to illegitimacy; and this, again
daringly, without the necessity of a task force
on the subject. Truly, it is moving into the
19th century.
884
ONTARIO LEGISLATURE
I had hoped that by now we would have
had a statement of policy from this govern-
ment with reference to the protection of
awards for handicapped, poor children. Let
me give you some examples, Mr. Speaker. We
drew to the attention of the appropriate min-
isters the story of a little girl who, as a re-
sult of a motor vehicle accident, lost her leg.
There was an award paid into court, in the
amount of $2,000; and immediately this gen-
erous government, so concerned with the tax-
payers of the province, began harassing that
mother, advising that she would have to go
to court on an application to have paid out
$1,000 of that $2,000 or she would, with her
family, be cut off welfare.
In another case of a small boy, who suf-
fered permanent lung damage in a similar
case, this government harassed that mother
and said: "You will apply to remove from
that award of that child $4,000 of the $5,000
which was available to that child."
It is true that since drawing the govern-
ment's attention to those two cases from my
own riding, together with a third case from
the riding of Parry Sound, I received a letter
from one of the mothers who said that she
was most grateful for my intervention, that
mothers' allowance people are not going to
take away the moneys. My worker said: "You
should consider yourself lucky that they're
not."
This is what frightens me, Mr. Speaker.
Are those three cases the only ones that are
not going to be harassed? Or is there going
to be a policy to state that we do not need
to save tax dollars at the expense of poor
handicapped children in this province?
And I may say that since I have brought
this matter to the attention of the taxpayers
both in the cities and in the rural areas, the
government really isn't going to have to set
up a task force on this one either, because the
taxpayers believe that these children should
be protected. If it's only a matter of saving
money, which is, perhaps all that concerns
the government, perhaps if this money is Iteft
to the credit of these children, they will be
enabled to have the kinds of things that can
eventually help them to break the poverty
cycle. I would urge, therefore, that some-
where along the line this government take
some responsibility.
Again, I was interested to note that the
Minister of Community and Social Services
(Mr. Brunelle)— as a result, I would suggest,
of the consistent prodding of the opposi-
tion—has made a statement that policy now
is going to be changed. Whereas, in the past.
once a young physically handicapped person
attained the age of 19 years, if that child
could not live in the community and if the
community did not have other facilities avail-
able, that child could have no other alterna-
tive than to be relegated to a home for the
aged. Mr. Speaker, I will welcome the spe-
cifics of the minister's proposal since he spoke
only generally in answer to a question on the
legislation pertaining to the mental retarda-
tion programmes.
Again, there has been an announced policy
that training schools shall be close to the
homes. This, Mr. Speaker, raises a great many
questions. Does this indicate that the Oak-
ville Assessment Centre has failed? I would
not think it had been in operation long
enough for that to happen. Yet it was set up
to assess the needs of the child. Does this
indicate that the DARE programme has
failed? We don't seem to have heard too much
about that lately. Incidentally, it would be
interesting to know whether it ever did ex-
pand as a programme to include girls.
What of the policy itself? It has that public
relations-oriented ring. There is no question
that for some it could be a ver\' worthy policy
but if a child lives in the heart of a large city
and if the environment in that city around
the home of that child is such that an\' re-
turn to the home or any close proximity to
the home during this period could only con-
tinue the unfortunate activities which brought
the child before the courts in the first place,
perhaps it would be better if children in such
a downtown area were able to find their way
into care in the vicinity, for example, of the
Kawarthas. There they could learn something
of this magnificent province and of its beauty
and something of what ought to be the herit-
age of all Canadian children. Living near
home, in a training school near home, could
be a disaster.
Incidentally, I do hope the new Minister of
Correctional Services (Mr. Potter) will make
an announcement soon. Is there going to be
any plan to remove training schools from his
ministry into the Ministry of Community and
Social Services? While there is a dearth of
imaginative ideas in the latter ministry, it
could be that with the $13 million then forth-
coming from the federal government we might
catch up on programmes to assist these )Oung
people.
Nor is there any commitment, Mr. Speaker,
to ensuring that children shall have an abso-
lute right to be represented before the courts
when their rights are involved. There is no
statement that they shall no longer be par-
APRIL 8, 1974
885
ceUed out with the furniture, in sudi matters
as divorce and custody, without adequate
representation.
When is this government going to recog-
nize the fact that a child who is the victim
of a criminal act, such as in contributing,
may well need financial support? Why should
such a child not have a rignt to apply to the
fund as the victim of a criminal act, and why
should the fund not be expanded to cover
adequate assistance to such a child?
When a child is placed on probation what
happens in our coiu-ts? I have to express my
appreciation to the efforts of the former Min-
ister of Correctional Services (Mr. Apps) in
that he did try to bring some equity to bear
in the probation services. Mr. Speaker, when
you have children before the courts, you
should indeed ensiu-e that those who are
trained probation oflBcers are persons who
understand the culture and the language of
both the child and the parents. I can recall
very well a case when a yoimg Portuguese
boy was in serious trouble. Because I was
new in the courts, in my order of probation
I directed that he have a Portuguese proba-
tion oflBcer. Subsequently, the child was
brought back before the courts and the proba-
tion oflBcer said: "Your honour, I think I have
been chosen because I once flew over Portu-
gal."
A probation oflBcer is a very important per-
son in the family court. He or she is not just
an oflBcial to whom a child reports but a
person who helps to bridge a gap between the
child and the family, and once the child is
in trouble before the courts there is usually
that kind of a gap. If that oflScer can't speak
the language of the parents, then he or she
becomes relatively ineflFective in that impor-
tant area.
Lastly, it is important that our children
have an education. We have seen the way
in which education in this province has
deteriorated, causing parents great concern.
I am certain that the public school system
as it is today is doomed unless steps are
taken to reassure those parents who are
removing ihek children from the public
schools and placing them in separate, private
schools or in a tutorial system. This, Mr.
Speaker, is the result of the chaos into which
this government has placed the whole sub-
ject of education. Let us also level with our
students and ensure that we do not com-
pletely alienate them by providing extensive
and costly training without trying to ensure
that jobs will be available on graduation or
that they know the situation before they
start.
Then we come to those gjiib phrases deal-
ing with the status of women. It would ap-
pear that what has happened is that this
government again is tying up this matter in
a complex property law reform situation or
a tortuous reform of family court.
Let us look at what has been done to dale.
This government set up the Women's Bureau
with limited funds and it disappeared. Then
the council was set up under the able chair-
manship of Laura Sabia, but to date with
inadequate funding. Now we have set up
another group dealing with Crown em-
ployees. Mr. Speaker, I do hope there will
be enough money there to purchase enough
Meccano sets so that these women may
achieve a promotion.
On this subject, I would like to say that
wherever I have gone I have advised people
that the Treasurer (Mr. White) of this prov-
ince has stated that playing with Meccano
sets appears to be the criterion for getting
ahead in this government. Therefore, I have
suggested that parents ensure that all of
their children, both male and female, be-
come accomplished in this activity.
I am so afraid, Mr. Speaker, that Mr.
Moog may now require further challenges
and that a public relations team would sell
the Premier on the idea of the Taj Mahal
to indicate his dedication, not to one \voman
but to the cause of women. But please
remember, the Taj Mahal is nonetheless a
tomb.
What is lacking is any statement of this
government on this subject. What does it
have to reply to what has been said by
Dr. Pearson, who is I believe the dean of
science at the University of Waterloo? He
states that he has never, as he was accused
of doing, said that he would ensure that no
married woman professor would be given
tenure in his faculty, and in fairness to him
that should be stated. He goes on to say:
"If a woman's other commitments in life
tend to make this system work to her dis-
advantage, then I think we should recopu'ze
this forthwith."
Of course it does work to her disadvan-
tage; but I thought, and most people thought,
that there was indicated in the law a state-
men that marital status should not l>e con-
sidered in hirin;; under the Human Rights
Code. Apparently, we don't believe it.
If this government really is concerned
about the matter of the status of women it
can take the first step forward and advise
the colleges and universities that it is not
prepared to continue funding these institu-
tions when they are, in themselves, guilt>- of
886
ONTARIO LEGISLATURE
discrimination against women, both in their
hiring or in granting tenures and in the
salaries which range in various colleges, as
I have it, from between $1,800 to $4,000 a
year less than for men in equivalent
positions.
And what about the often-given promises
that this government would indeed look
into the whole matter of pensions over
which it has control?
Then we come to the total welfare field
and the commitment of this government. The
Ontario Economic Council Report No. 3,
"The Evolution of Policy in Contemporary
Ontario," at page 49 states:
Provincial gross expenditure in the area
of welfare was far behind. But that makes
the fact the direct federal expenditiu-e
in various income transfers to Ontario resi-
dents was nearly $1.3 billion in 1971, an
amount which at that time exceeded gross
Ontario government expenditures either on
health or on primary and secondary edu-
cation.
And the welfare maintenance for social serv-
ices has gone from 0.3 in 1946 to 0.9 in 1971.
This government has consistently and sys-
tematically attacked groups in our commim-
ity to mask the inadequacies of its own pro-
grammes and used tax dollars to advertise its
position. Nowhere has this been more true
than in the fields of welfare and health, al-
though teachers have seen some of this thrust.
We have heard the new Provincial Secre-
tary for Social Development (Mrs. Birch)
speak of LIP grants and, unlike the member
for Sudbury East (Mr. Martel) I would admit
that I believe there were some LIP grants
that I would not have funded, some LIP
grants that may not have been significant.
Because if we do anything, we are bound to
do something wrong occasionally; it is only
when we do nothing that we usually dont
make too many mistakes.
Frankly, I was bitterly disappointed that
the new provincial secretary should have
made such insipid statements, particularly, I
suppose, since I had hoped that as a woman
she might have made some more significant
contribution in the field of social reform.
What does she say? She says:
From the first we have said clearly that
the government of Ontario was willing to
provide support and assistance to LIP-
initiated projects within our existing pro-
grammes and priorities.
Of course, that is the rub. Because these pro-
grammes were providing some service to that
sieve-like quality of maintenance in the wel-
fare field, and of course filling gaps that are
not covered by existing programmes.
She says too:
That in order to reassure you that this
is a matter of major concern to us [that is,
the multi-service approach], we are ap-
pointing a committee to study the potential
of the multi-service centre.
Why doesn't she just read the reports oi
those very substantial people who have been
concerned in this field under the LIP grant
legislation? Why another committee? Well,
if it is for the good of people, it is a good
time to stall or to get task forces or to do
something.
Then on page two of her statement she
says:
In the matter of community immigra-
tion services and information centres, both
these areas are already marked, particu-
larly in Metropolitan Toronto, by a large
degree of duplication of service.
There are at least two reports outstanding
which clearly indicate that is not true.
Then we come to the statement of the
work group, which while it is a Metro work
group does in fact speak with the same
sense of feeling that all of these people across
the province feel-
Mr. R. F. Nixon (Leader of the Opposi-
tion): That's right.
Mrs. Campbell: —in dealing with this par-
ticular programme and policy.
This is what these people say. These are
young people and one can make a great deal
of impact on the public by what this min-
ister did in trying to decry them, trying to
denigrate them and trying to say that these
young people were rather shiftless people
who made a habit of trying to work their
way into this kind of a job. One has to bear
in mind that in this particular group one has
the support of the conventional agencies, the
social planning coimcils, the United Way
and labour. All of these people have now
realized from what they have seen that they
are filling a very great gap in services.
Young people who are making or taking
home $85 a week, I believe, without any
kind of benefits— highly trained and highly
skilled and highly dedicated— make this re-
ply: "We are deeply disappointed at the
inadequacy of Ontario policy in many areas,
which not only affects emerging services but
the entire community social service field."
APRIL 8, 1974
887
There is no policy or special funding for
information centres after three years of study;
no policy or special funding for immigrant
services. I suppose w-e should exempt the
welcome wagon that the government has
taken on. There is no special funding of
community managed multiservice centres.
This area is to be studied further, as the
minister has explained.
There is limited financing of Bill 160 for
daycare co-ops but regulations are still not
available after being promised 10 months ago.
There is limited special assistance for com-
munity senior citizens' services— when one
thinks of the spending we are talking about in
this House, $150,000 for the whole of Ontariol
There is no significant provision for increases
in funding of elderly persons' centres nor in
reviewing obstacles in the current EPC fund-
ing. There are no increased uses of the
Canada Assistance Plan by Ontario to acquire
more federal dollars for preventive services in
the community.
So they go. Finally, in refusing to change
its pattern of neglect the province places the
full fimding burden on the more limited
revenue bases of municipalities and the vol-
untary sector. Both these sectors are currently
stretched to their financial limits in support
of community social services. If this crisis is
not met head-on by the province, many
emerging services will die and established
services will be forced to curtail their work
drastically. One of the interesting things is
that under this work group there have been
programmes of assistance to older people and
handicapped people. Because of this kind of
a programme these people have been able to
continue to live in their own homes, and this
is what they want to do as long as they can.
Again, I would think that if you are only
trying to save money in this area it's worth
thinking about because you probably won't
pay as much money to keep this kind of a
programme going as you will pay to take
these reluctant people and place them in nurs-
ing homes.
Why can we not learn from countries other
than the United *States? Sweden has looked
into this principle and it has seen that you
should have a multiplicity of services. But I
am beginning to see that this government, by
its niggardly approach, is very anxious to
show people, you see, we give this money and
it doesn't change anything, we still have these
people on welfare. Well, let me say that in
my opinion, from what I have seen in Metro-
politan Toronto, this can change if there is a
sincere desire to assist people to get oflF
welfare.
I will not support what the member for
Sudburv East had to say about the support
for ballet, symphony, the opera and so forth.
Indeed, I would institute programmes to alk)w
the poor to be a part of the symphony, the
ballet and the opera.
I can recall some years ago when, with the
wonderful support of Mr. Russell, with
whom— as the director of, I believe, ballet and
opera, I'm not sure about that— we worked out
an arrangement where tickets from O'Keefe
Centre were available to the people in Cab-
bagetown. I recall my concern on one occa-
sion, Mr. Speaker, when Mr. Russell phoned
and said: '*We've got a group of children
coming down to the ballet and, Margaret,
they are almost all boys." I was a little
frightened about what might happen. How-
ever, they went and I learned and WalK'
Russell learned and a lot of other people
learned these children were eager for this kind
of an experience.
However, there is never enough room and
there are never enough tickets available. But
surely if we can support these major arts pro-
grammes we could find a little money avail-
able for Smile, the Inner City Angels and
those groups who spend their time trying to
give something to the poor and the handi-
capped in this province.
Surely it is still as true as it ever was that
man does not live by bread alone, and that
it is important that the spirit be enriched at
the same time as we look at the physical and
housing needs of the poor.
Incidentally, there is an organization which
has come to my attention which is called
PARD. I do hope there will be an eagerness
in this government to support it. It is a unique
organization in the whole North American
continent. A group of people interested in
riding, of all things, have set up a riding pro-
gramme and they take our handicapped
people— the blind, the spinabifidas, and others
—out to ride. They have doctors and para-
medicals there, to ensiure their safet)-. But
think of what it must do to somebody to
have a sense of freedom of mobility just at
Ifeast once in awhile.
I would like to refer to a couple of items
in Health. As you know, Mr. Speaker, I have
consistently spoken of the hcwtne-care pro-
gramme as a do-it-yourself medical treatment
plan and I shall continue to do so until I see
something done about it.
ONTARIO LEGISLATURE
During his estimates, the former Minister
of Health (Mr. Potter) referred to his meals-
on-wheels programme. Frankly, I thought this
was something new, but it wasn't. Most
people in Ontario, and I guess we are lucky
to this extent, have learned to eat daily.
They don't budget it out. They try to eat
once a day. It may not seem necessary to the
government, but that is the habit the people
afford.
I think of a woman in her eighties who had
broken both hips, but she was no longer
forced to be bedridden; she had a Victorian
Order nurse and she had a physiotherapist,
and then she had meals on wheels. It hap-
pened that I saw her last July. She said: "You
know, I am a little concerned about one thing.
During the winter I get one meal a day four
days in the week, and because that meal is
a pretty substantial meal I can make it spread
to two. But now they tell me that during the
summer they are going to cut the meals to one
to two days and I am not quite sure how I
am going to manage."
What kind of provision is made in a city
this size for special diets? I was up in Orillia
recently and I understand that there the hos-
pitals run this programme and they do pro-
vide, in this type of dietary concern, for
individual idiosyncrasies. But that isn't being
done here.
'While I am speaking about the programme
I do want to express my deep appreciation
for those who give of their time and talent to
make the programme work to the extent that
it does work. Without them I don't know
what would happen to these people.
The other matter which I wish to speak to
briefly is the matter of the nursing home care.
We have heard today a question and an
answer involving the possible closing down
of a psychiatric facility. Granted it was stated
it had been considered and no decision had
been made, but we do know that people are
being removed from active treatment hos-
pitals.
Why does this government not look at the
situation which exists, for example in Alberta?
There is recognition given there of the phas-
ing of need in nursing care. They recognize
the fact that people should be able to stay in
their homes. That is covered. Then they recog-
nize a 1.5 programme where most of the
patients are ambulatory and largely indepen-
dent but who require some assistance. They
look at the situation of the nursing home care
between the 1.5 and the 2.5 where obviously
more assistance is needed.
Why have we not looked into the standard
of care in nursing homes? We have heard
criticism about it, but why haven't we done
anything about it? Could it be that this gov-
ernment has basically set them up at 2.5, and
then without provision of alternatives expects
them to provide, at additional cost to them
but not to the government, care of those who
require up to 4.6 or five hours of nursing
care per day?
Is it a fact that this government is remov-
ing patients from hospitals, including psy-
chiatric hospitals, to nursing homes, muring
homes ill prepared or equipped to receive
them, to save money in the cost of the de-
livery of health services? These questions
surely must be answered since many of the
nursing homes are taking the position they
have patients who require up to five hours
care and they cannot get beds for them in
the facihties which have to be available for
that purpose.
Lastly, I would like to look for a few
moments in time to the matter of housing. I
have said that this government has sys-
tematically attacked groups to mask its own
inadequacy. In this particular case, I won-
der with horror whether this government is
taking on all of the people of Ontario to
serve its ends in a federal election.
The Premier (Mr. Davis) has stated that
this government can do nothing to curb in-
flation and that only the election of Mr. Stan-
field can achieve this. I believe that this gov-
ernment can do nothing because it does not
choose to do anything. Is it perhaps actively
promoting inflation? Let the record show.
This government purchased lands in Mal-
vern some years ago, one property at $800
an acre and another at something over $1,000
an acre. The cost of servicing was $25,000,
according to any figures I can get.
Incidentally, on that question, I would like
an answer as to why our costs are the highest
in the whofe of Canada. Even in Halifax,
where they are blasting rock, they don't have
the figures that we have in this cost.
However, I am informed that at the present
time this government is now engaged in sell-
ing those lots at current prices. If this is so,
would the government explain why this is not
adding to the problem of inflation?
According to figures which have been giv-
en to Metropolitan Toronto, it is indicated
that for all classes in 1971, 16.6 per cent
had a family income of over $15,000 and
under $25,000; 3.4 per cent had over $25,000.
So, a total of 20 per cent of the population
had an income of over $15,000 per annum.
In Metro, 22.8 per cent were over $15,000,
APRIL 8, 1974
but we see that 63.2 per cent of families
have an income under $12,000.
How have these figures affected the hous-
ing costs across the province— that is the fig-
ures which I have given about the govern-
ment's dealing in land— as it relates to the
incomes of people in this province and their
iibilit>' to purchase, or indeed to rent hous-
ing?
When answering a question of my leader
(Mr. R. F. Nixon) the other day concerning the
3,000-acre purchase in the Kitchener-Water-
loo area and the servicing thereof, the min-
ister stated that that question should be ad-
dressed to the municipality, although he
admitted that the purchase had been made
without the knowledge of the municipality or
their co-operation in future planning. So there
is nothing new at all so far in the policy for
servicing lots, notwithstanding the statements
that are repeatedly made that in the fulhiess
of time there will be such a statement coming
forth.
The same minister is reported earlier to
have said that developers would not be al-
lowed to let farmland fall out of production,
thus increasing the cost of food. Well why
not, when the government consistently follows
this policy? How much more farmland must
be taken off the market before the people
realize that this has inflated food prices and
that it has been a deliberate policy?
During the Sixties we saw developers un-
conscionably block-busting neighbourhoods
in our cities to satisfy their own himger and
thirst for profit. This was a frightful! practice.
How much more so when that block-busting
technique in the rural areas destroys the food
production; and how much worse is it when
these tactics are employed by the government
itself?
Together with this, what is the land policy
of this government? Last year, a property in
Metropolitan Toronto was purchased for
$300,000 and sold two weeks ago to a for-
eign investor for $1.3 million— a cruel $1-
million profit on land which our people can't
afford to buy for homes to live in.
Mr. M. Gaunt (Huron-Bruce): Shame
Mrs. Campbell: Surely there is no other
country in the world which allows substantial
portions of its land to go completely into for-
eign control. When are we going to face up
to what is happening under our government
policies in this area?
Mr. Gaunt: It's going to be left to the
Liberals to do it.
Mrs. Campbell: And that's going to be the
problem; by that time it may be irreversible
they've had so much going on it
Mr. J. R. Breithaupt (Kitchener): Itll be a
busy time.
Mr. J. Riddel! (Huron): Nothing's too big
for the Liberals this afternoon. Well tackle it
Hon. G. A. Kerr (Solicitor General): The
hon. member doesn't believe that, does he?
Mrs. Campbell: In a report called "The
Rent Race," which waji presented to Metro-
politan Toronto and commissioned by the
Social Planning Council— and I'm sure some
hon. members have at least seen it— they
say, on page 1:
Tens of thousands of families living in
Metropolitan Toronto today are caught up
in what might well be termed "the rent
race." Most of these people have middle
incomes that at one time might have af-
forded a clearly adequate style of living
but that are precariously low in a time
of rampant inflation. Still others have low
incomes that allow little or no room for
increased allocation to housing. Both
groups are hard-pressed by the realities of
the housing market. Most know that they
will never be able to afford the security
of owning their own home.
And it goes on to paint a very dismal pic-
ture of the situation here. On page 3:
Most of the losers in the rent race are
beaten before they start because of low
retirement incomes, low wages, uneven
employment, disability and other reasons.
As you must be aware, Mr. Speaker, if any-
one reads the Toronto newspapers— and I
think there are a few here who do— Metro-
politan Toronto council was so concerned
about this report that it set aside an addi-
tional $2 million to assist those who were on
municipal welfare, because the report makes
it abundantly clear that these people haven't
a hope.
But, as you read the report, Mr. Speaker,
just add in all those groups right up to mid-
dle income, because this report talks about
people doubling up. Well let me tell you,
sir, they're doubling up like mad because
they can't afford apartment accommodation.
And we have some people who come out
in the press and say those who wanted to
stop apartments are the ones responsible for
the housing shortage. I say this is just
balderdash. You don't have to destroy every-
thing to provide housing. But unfortunately.
890
ONTARIO LEGISLATURE
again this government, awaiting the initia-
tives of the federal government, came into
a NIP, RAP, and vi^hatever other initial pro-
gramme, certainly at a time when in this
area, as I see it, it is already too late.
When you look at those pockets of blight
we used to talk about, such as Trefann Court
and the cost of housing there today, you
have to know there is no room for the poor
in areas where they used to find some shel-
ter.
In the population figures of this report it
states:
This study focuses on social assistance
families receiving major or supplementary
benefits from the municipalit>' of Metro-
politan Toronto. In October of 1973 this
population comprised approximately 15,600
families and individuals receiving general
welfare assistance and 15,800 families and
individuals in receipt of family benefits.
And of course you have to know that Metro-
politan Toronto is not prepared to give sub-
sidies to those on family benefits. Their
position is if the province isn't concerned
we can't pay the money for the people who
should be in their concern.
There is a devastating description in this
report of substandard housing the people
are forced to live in for lack of anything
else. In the report they say:
The reader should be alert to the fol-
lowing cautions:
1. The assessment of housing adequacy
is aimed only toward providing a general
review of the adequacy of housing ob-
tained by social assistance recipients. It
is not, for example, to be confused with
analyses that might be used to project
housing stock requirements.
2. Only when we present our composite
index, which combines most of these data,
can a clear judgement be made as to the
housing quality faced by social assistance
recipients. The details presented here are
illimiinating none the less.
I am not going to go on into this report,
much as I have been tempted to do so, and
as you will see I clearly came prepared to
read further excerpts. I just trust that some-
one over there is going to read very care-
fully what that report has to say.
Mr. Speaker, I am not normally a person
who cries out in dramatic terms. I wish I
had that sort of flair sometimes, but I hon-
estly and sincerely believe that at this time
when our middle income group is now be-
coming the disadvantaged poor, housing-
wise, or is joining the disadvantaged housing
poor, we may well think in terms of what
Willy Brandt had to say about the future
of our democracy and this kind of chaos.
These sorts of statements, the sounding
brass and the tinkling cymbal, are not going
to satisfy the people of this province any
longer and we can no longer permit the
waste of our land and the waste of the
talents of our people.
Thank you, Mr. Speaker.
Mr. Speaker: The hon. member for York
South.
Mr. D. C. MacDonald (York South): Mr.
Speaker, in entering this debate, it is my
intention to deal with a few variations on a
single theme, that of the cost of living.
There is rather an interesting contrast
in this country at the present time. In
Ottawa, the Conservative Party poses as one
deeply, almost exclusively, preoccupied
with the cost of living. It has presented
a rather simplistic programme but nobody
is persuaded of its validity except itself and
in most countries where it has been at-
tempted it has failed. The public image is
that of a party which is concerned and if it
only had the power, if it hadn't been cheated
of power, it would be doing something
about it. Let's leave Ottawa to itself.
Down here we have a Conservative Party
in power. The Tories have the power and
what are they doing about it, Mr. Speaker?
The simple answer is they're doing virtually
nothing. In addition to all of these specific
instances that might be cited and which the
hon, member who has just taken her seat did
cite in reference to housing— where govern-
ment policy has been a thrust to the in-
flationary spiral— I have been rather in-
terested in the last few days in the reaction
of the government. Periodically, when the
issue of inflation and its importance has
come before the House, the Premier has
risen and verbally browbeaten Ottawa for
not doing anything and then indicated that
down here this government is doing some-
thing. In a mindless sort of way, sponta-
neously, there would break out applause from
all the backbenches on the government side
of the House.
It was rather interesting that on two oc-
casions the Premier deigned to indicate to
us what he thought this government was
doing. In so doing, he borrowed from the
comments of the member for High Park (Mr.
Shulman) whom he has seen on TV on some
occasions stating, I assume, essentially what
the member said in the House this morning
APRIL 8, 1974
891
—namely that one of the major thrusts to
inflation in this country is the excessive and
growing expenditures of government. By
implication, the Premier was suggesting that
this government has not been contributing
to inflation by excessive expenditure. Mr.
Speaker, I don't know whether wittingly
or imwittingly the Premier is trying to de-
ceive the public or if he is operating on the
assumption the bigger the lie the more likely
it is to be believed, because just for one
moment let us pause and consider what has
happened during the years of this Premier's
administration. LeTs not go back any
further.
In the year 1970, the budget in the
Province of Ontario was $5,216 million. In
the year 1971, it was $6,027 million. In the
year 1972 it was $6,509 million. In the year
1973, it was $7,269 million; and I predict
that when the budget comes down tomorrow
the budget in the Province of Ontario will
be close to, if not in excess of $8 billion.
What does that mean, Mr. Speaker? It
simply means that in the last three years-
three years of this administration (n the
1970s— the budget in the Province of On-
tario has gone up in excess of $2 billion.
Do you know what is interesting, to throw
that into perspective, Mr. Speaker? The
proxincial budget in 1967 was just a shade
under $2 billion. In other words, it took us
100 years to build a budget of $2 billion
in this province and in three years of this
government we've added that amount to it
within the Province of Ontario.
Mr. R. Gisbom (Hamilton East): They
bought their way into power with our
money.
Mr. MacDonald: Look, our government
expenditures are going up and I'm not so
much decrying it as calling on the govern-
ment and upon the Premier to cut out the
blatant deception and suggestion to the
people of Ontario that this government has
been playing its role— presumably in this
way only— to check inflation by not spending
excessively, when in fact, Mr. Speaker, this
government has boosted its budgets in a
fashion that would match if not exceed
those of virtually any government you want
to point to.
Mr. E. Sargent (Grey-Bruce): What's a
billion?
Mr. MacDonald: Now, Mr. Speaker, if
there was any doubt there was a vaccum in
government policy in this important issue all
you have to do is take a look at the Throne
Speech, which we are now debating.
Tliat TTirone Speech had one fleeting para-
graph. Let me read that paragraph into the
record again. The leader of t^ New Demo-
cratic Party (Mr. Lewis) did so in the initial
response on behalf of this party; but I want
to read it in again and then I want to take
a good detafled look at it. It read as follows:
While my government will employ all
practical means at its disposal to alleviate
the causes and effects of inflation, never-
theless it bears repeating that the problem
can only be deak with in a national con-
text, with all governments co-operating.
In short, Mr. Speaker, what this government
is guihy of is an almost total 100 per cent
cop-out. It has two sections in that paragraph.
The second one is in effect saying that noth-
ing can be dcHie at the provincial level if the
federal government isn't willing to co-operate.
Look, obviously there has got to be co-
operation between provincial and the federal
government. Quite frankly, the federal govern-
ment is doing more than the provincial gov-
ernment, primarily because of pressure from
the opposition— on occasion even from the
Tories but mainly from the NDP-so they are
doing something. But this government is do-
ing nothing; and they are doing nothing be-
cause they are in effect suggesting that it isn't
a provincial responsibility. I'm going to give
specific cases later in aealing with certain
themes. The government simply cops out and
says "that's a federal responsibility, ' let's just
pause, Mr. Speaker, and' deal with this issue
of what is the constitutional responsibility of
a province in this country with regard to price
controls and the inflation that flows from it.
I want to quote, Mr. Speaker, because it
does it so very succinctly, one paragraph from
an article tnat appeared in the Queen's
Quarterly, winter edition, 1973, on the con-
stitutional implications of price control legis-
lation by Terrence Morley. It reads as follows:
The provinces, of course, can impose
price controls within their own boundaries.
The British Colurabia case of Home Oil
Distributors Ltd. vs. Attorney General of
British Columbia in 1940, SCR 444, in
which it was held that a province could
pass legislation fixing the wholesale and re-
tail prices of fuel oil and gasoline, clearly
implies similar provincial powers over other
commodities. It is equallv clear, however,
•diat the imposition of different levels of
price controls over different commodities by
some, but not all provinces, would led to
economic chaos and to the dismemberment
of the nation.
892
ONTARIO LEGISLATURE
Moreover, in the final analysis provincial
price controls might well be found to be
ultra vires, since mey cotJd be said to con-
stitute internal trade barriers which the
Supreme Court recently struck down in
Attorney General for Manitoba vs the
Manitoba Egg Marketing Board of 1971,
SCR 689.
That's the end of the quotation.
Now I agree, Mr. Speaker, that you can't
move in any great distance within one prov-
ince in terms of price controls because you
get out of step with all of the other provinces.
As Mr. Morlfey states, that would create eco-
nomic chaos; everybody concedes this.
But that's no excuse for doing nothing at
all, and that's what this government is doing.
I agree that the lawyers argue that if the
province were to get into the field that then
ultimately, by getting into the field, it might
be interpreted that they were intervening in
interprovincial trade and violating the con-
stitution and the BNA Act.
That's a possibihty, and on rare occasions
it has happened. But to use that ultimate
possibility, Mr. Speaker, as an excuse for not
doing anything at all, and then by not doing
anything at all adt)pting a posture which is
almost excksively one of verbal browbeating
of Ottawa, means to cop-out totally as far as
the Province of Ontario is concerned.
I want to suggest that on this business of
blaming Ottawa and saying you have no re-
sponsibility, there simply is no justification
for it. The province has the constitutional
power. There may be limitations upon which
it can exercise that power, because of the
intervention on interprovincial trade and be-
cause of price variations that would create
economic chaos; but they have the power, and
if they want Ottawa to move, surely they are
going to put the pressure on Ottawa to move
when they prove willingness on their part to
start the whole process, to go half way, to
assume their responsibihty. Then they will be
on firm ground in shouting and screaming
politically at Ottawa to do a bit more if we
really want to come to grips with this im-
portant problem of inflation.
So there is the one aspect of this sort of
cop-out. However, let me deal with the
second aspect, because it is even more im-
portant. That was where, in the first part
of that paragraph in the Throne Speech, it
said: "While my government will employ all
practical means at its disposal to alleviate
the causes and eff^ects of inflation."
"All practical means at its disposal to
alleviate the causes and the effects of infla-
tion." Well you know, Mr. Speaker, that is
just unmitigated rot.
I want to proceed with a few instances to
show just how this government is doing vir-
tually nothing; and secondly how it is ignor-
ing other practical means that are at its
disposal, that other provinces across this
country are resorting to with ever greater
frequency.
Let me begin by going back to the sum-
mary that the leader of the Ne\\- Democratic
Party made of the efforts of one minister—
this is my first point— the Minister of Con-
sumer and Commercial Relations (Mr. Cle-
ment) after he got into this whole exercise
about last August or September when there
was a great public furor burst upon this
nation because of rising prices. Indeed the
questions, rather embarrassing questions, were
put to the Premier when he was down in
Charlottetown at the Premiers' conference,
and he said he was going to speak to the
minister.
The minister said he was going to call in
the top brass of the supermarkets, and one
got the impression that, boy the show was
really on the road. But what we got, as usual
from this government, was a conference, a
food conference to look into conflicts.
No, there were no prayers about it at all,
may I say, to the hon. member for Victoria-
Haliburton (Mr. R. G. Hodgson) I think it is.
As a matter of fact, if it had been prayers it
might have been more useful than what did
go on at the conference. Because out of the
conference emerged a lot of promises and
suggestions about what the ministry' was
going to do.
As I said, the hon. member for Scarbor-
ough West (Mr. Lewis), the New Democratic
leader, referred to these. Just let me recall
them to the House. The minister promised a
business practices Act to prohibit unfair and
deceptive practices. Where is it? We haven't
seen it yet.
He promised that the courts would be
given power to rule on what were uncon-
scionable profits. Well where is it? We've
had no legislation on that level.
Third, he would explore cease and desist
orders in case of unconscionable prices. Well
where is the legislation? This is an urgent
problem. Eight months have gone by. The
minister is ruminating. Nothing is happening.
We have no legislation.
Fourth, he would arm the government
with authority to act against food hoarding,
speculating, profiteering and fraud. Oh boy,
he was huflBng and puffing those days. He
APRIL 8, 1974
893
was really going to scare every wolf out of
the free-enterprise patch, so to speak.
Mr. R. G. Hodgson (Victoria-Hal iburton):
He was reading the member's old speeches.
Mr. MacDonald: But there was nothing
done and there has been nothing done. It's
huffing and puffing and nothing more.
Finally, he was going to monitor regional
price disparities. He was going to find out
why you had these price disparities and he
was going to document them, and indeed as
of about two weeks ago he said the report
was going to come into the House. He told
us a week ago Friday that it was going to
be in this past week.
I sent a note over to him last Monday
saying: "When will it be in?" He said:
"Thursday." Well Thursday has gone and
Friday has gone and the weekend has gone.
We are back to Monday and we still haven't
got the report. In other words, we have had
an absolute blank. A great deal of bluffing
and a great deal of bluster, but we have had
nothing from this whole ministry, which pre-
sumably is the ministry within this govern-
ment which is designed to protect the con-
sumer.
I was hoping I was going to have his
report on some examination of pricing pro-
cedures in the supermarkets so that I might
be able to deal with it. In the absence of
the report I want to make a few comments
to the minister and to the House. With regard
to this very difficult problem of how one
copes with pricing in the supermarkets and
so on.
Mr. Speaker, there has been a tendency,
and quite frankly I think maybe in the New
Democratic Party we are guilty of it too, to
speak too exclusively—
Mr. R. G. Hodgson: That's for sure.
Mr. MacDonald: The member doesn't even
k-now what I'm talking about. He mindlessly
started supporting the Premier when he said
nothing. He supports me before Fve spoken.
Mr. R. G. Hodgson: I
member.
with the
Mr. MacDonald: Well it's ill advised; just
wait till I speak.
Mr. R. G. Hodgson: Sure, when he is
wrong.
Mr. MacDonald: Just wait till I speak.
Mr. E. M. Havrot (Timiskaming): Don't
trust him.
Mr. J. E. Stokes (Thunder Bay): Is the
meml)er for Vic-toria-Haliburton still waiting
on the call for parliamentary assistant?
Mr. R. G. Hodgson: No, I am not.
Mr. MacDonald: What I was going to say,
Mr. Speaker, was there has perhaps been un-
due attention focused on the profits of the
supermarkets. The profits of the supermaHcets
aren't inconsequential. The very fact that they
got away from what is the normal and the
legitimate standards of measuring profits,
namely the profit one has based on the equity
capital one puts into it and have now come
up with this gimmick that their profits are a
cent or a cent and a quarter or three-quarters
of a cent on each dollar of the turnover when
they've got such a massive turnover, is an
indication they are trying to camouflage the
size of their profits.
Mr. Speaker, the important thing about the
operation of modem supermarket retailing
isn't just the profits. It is, firstly, the amount
of money the consumer pays to engage in this
rather futile, uneconomic, wasteful exercise of
advertising for a purpose which is completely
diflFerent from advertising in days gone by.
And I'll deal with that in a bit more detail
in a moment.
And secondly, there is the amount of the
consmner dollar that is spent in all manner
of gimmickry and excessively plush, affluent
kinds of facilities for which the consumer is
paying.
Those three ingredients, not just profits,
represent the kind of gouging by the super-
market which also serves their other purposes,
namely to kill oflF virtually all other competi-
tion, particularly the independent.
I don't know, Mr. Speaker, whether you
have had a chance to read two of the articles
on the cost of food in the current issue of
Maclean's Magazine, the April, 1974, issue of
Maclean's Magazine. There is one article by
Walter Stewart in which he traces the fascina-
ting history of the development of Safeway 's
in western Canada. Incidentallv, before I ^o
any further, he points out that Safeway s,
which has even cleaned out many other super-
markets in western Canada, is moving into
northwestern Ontario with about 16 outlets
and is gradually moving down this way. So
this is going to be our problem as well as its
manifestations in western Canada already.
Mr. C. E. Mcllveen (Oshawa): They have
one in Oshawa.
Mr. MacDonald: They have one in Oshawa
already? Maybe that's one of the 16.
894
ONTARIO LEGISLATURE
He traces and studies the development of
Safeway 's in western Canada and how they
achieved their particular position. Mr. Speak-
er, let me quote to give you the flavour and
the substance, just two or three paragraphs.
What all this suggests for the consumer
is that the cutthroat competition which
supermarkets so anxiously tell us about is
not likely in the long run to bring food
prices down. In the shuffle for position
among the food giants, the chief casualties
are the independents. The net result of
price wars appears to be to cripple the in-
dependents and transfer the cost of the
campaign against them on to everybody
else's grocery bill.
Here is a third quotation. In fact, this is a
quotation credited to Prof. R. E. Owley, vice-
president of Consumers' Association of Ca-
nada, who drew the moral. I quote:
Advertising by food chains and price
wars are a sign of oligopoly not competi-
tion. These rivalries result in self-cancelling
advertising that result in almost exclusive
emphasis on very shiny war-located retail
store premises whose costs are borne by the
consumer.
A little earlier in this article Walter Stewart
quotes Eric Blackman, who is Safeway's mer-
chandising chief, and Blackman wanted to
make one thing perfectly clear. I quote:
"What they were charging us with— "—I
should intervene, Mr. Speaker, to say that this
quote is made in the context of the Federal
Combines Commission having laid a charge
and taken the store to court for being in the
combine. He said, "What they were charging
us with was standard business practice and
nothing immoral or illegal."
In other words what we have in the in-
stance of Safeway, Mr. Speaker— and the
history is there to be seen and the conse-
quences are there to be seen in western
Canada— is the operations of a company oper-
ating not in violation of the tenets of free
enterprise but untrammelled free enterprise;
which stomped on the opposition, which in-
dulged in cutthroat procedures until it got rid
of the opposition and then would increase its
prices.
When, for example, studies were made and
they found that Safeway was charging more
in those areas which were the poor areas of
some of the western cities in Canada, they
didn't deny it. They said they weren't charg-
ing more because they happened to be the
poor areas; they were charging more because
there was no competition there and therefore
the market was free to be gouged.
Fewer stores will go into the poorer areas.
Safeway goes in because it knows it will have
less competition. It doesn't even have to spend
money to kill the competition. It just gouges
the market and the fact that it happens to be
the poorer people of the city is of no particu-
lar concern to them.
Mr. Speaker, what I am telling you is not
new. I have here in my hand a copy of the
report of the royal commission on consumer
problems in inflation which was conducted
and reported on in 1968 for the Provinces
of Manitoba, Saskatchewan and Alberta. In
that there is documentation of the operation
and the consequences of the operation, in
terms of higher cost to the consumers, of re-
tailing in western Canada.
I repeat, Mr. Speaker, those retailers who
dominated the scene in western Canada are
now moving into Ontario. If the Tories want,
let me borrow that phrase again, "practical
means to alleviate the causes and effects of
inflation," they have a prescription of prac-
tical means in that particular area. AM they
have to do is to apply it to the conditions in
Ontario; and indeed if they don't apply it
Safeway and some of the boys are going to
apply it and give them an fllustration of it
right there.
However, Mr. Speaker, that is only part of
the story-
Mr. R. G. Hodgson: Are they leaving those
NDP provinces already?
Mr. MacDonald: Pardon?
Mr. R. G. Hodgson: They are not leaving
those NDP provinces already, are they?
Mr. Havrot: They sure are.
Mr. MacDonald: The member should wait
until they have a chance to do something
about it out there, which they are proceeding
with now.
Mr. Havrot: They're leaving Saskatchewan
and Manitoba.
Mr. MacDonald: The member shouldn't
hold his breath. However I want to come
back home.
Mr. Havrot: Like rats on a sinking ship.
Mr. MacDonald: I have in my hand a
document which I have referred to with in-
creasing frequency during the past year be-
cause it is an Ontario document. It is a docu-
APRIL 8, 1974
ment, research report No. 14, of the special
committee on farm incomes, which was, if I
recall correctly, The Challenge of Abundance,
tabled in January, 1969 or 1970. This re-
search report deals with wholesaling and re-
tailing of food in Ontario. It was done by
William Janssen, who by no strange coin-
cidence has since risen and is now a Deputy
Minister of Agriculture in Manitoba. It was
also done by a man by the name of Harry
Weijs— I don't know the correct pronunciation
—who liappens to be today one of the top
partners in Topecon, agricultural consultants
here in the city of Toronto. I will come back
to him a minute or so later.
Let me give you some very brief quota-
tions out of this, Mr. Speaker, to show you
what I am drawing to the attention of the
minister, who is going to bring down a re-
port which I am almost dead certain in ad-
vance will be a vacuous report of certain
discrepancies that he can't do anything about.
He can't do anything about it, because he
isn't willing and able to make a fundamental
attack and recognize that this is a very bizarre
operation— the free enterprise system at its
very worst.
What has got to be done is to have govern-
ments move in and civilize them, because free
enterprisers without some regulations are the
most uncivilized and ruthless characters in the
world. That's the way the system operates.
Okay, one or two quotations from this re-
port of 1969, prepared as a study paper for a
report to the Minister of Agriculture and
Food (Mr. Stewart) here in the Province of
Ontario. On page 11: "Competition among
supermarkets has taken on a form that is es-
sentiallv diflFerent from price competition." On
page 12, and this is a quotation, interestingly
enough, from the Canadian Grocer of June,
1968, by O. E. Olley, "Inflation of Frills Has
Brought Constant Public Scrutiny." The para-
PTaph that is quoted from his article in the
Canadian Grocer is this:
For large-scale advertising to work, the
buyer must be only partially informed about
the nature of what he is buying and the
products must be complex enough so that
the precise evaluation is not possible. These
conditions are perfectly met by grocery re-
tailing.
Just let me pause and paraphrase, Mr. Speak-
er. What in effect he is saying is that the
purpose of advertising isn't to inform the
prospective consumer or purchaser, rather is
is to partially inform him so that he can't
evaluate precisely the product. It is a de-
liberate and calculated confusing a£ the issue
rather than the clarification of it
I go on to the next page:
In essence, variable-price merchandis-
ing involves the simultaneous and sequen-
tial manipulation of selected prices up-
wards and downwards in order to draw
attention to the market offerings of the
firm and to differentiate them from those
of the competitors.
In other words, Mr. Speaker, what the ad-
vertising is doing is deliberately manipulating
prices up and down and then trying to per-
suade the public by partial information— by
deception— that they have got a bargain.
But they can't assess it in any precise way,
because the purpose of the advertising is that
they shall not be able to assess it. I continue:
It is commonly accepted that the price
of an item bears some definite relationship
to its cost, as it would if a standard mark-
up were employed. This is no longer valid
for items sold in the supermarkets. The
advantages to the supermarkets of this tvpe
of pricing policy are quite clear. If they
were to operate with set price lists, con-
sumers would have the opportunity of mak-
ing comparisons over extended periods of
time and of discovering the stores which,
for their particular needs, were most
economical.
But you see, Mr. Speaker, that's precisely
what the supermarkets don't want— that the
public can find out what they are offering
at a price and come to a conclusion. So they
come to a conclusion in this study:
The best price mix for the store would
be a minimum of strategic items at lower
prices to attract the customers, and a maxi-
mum of higher-priced items to increase the
profits.
The point I am making, Mr. Speaker, is this.
If this government or any government, in-
cluding the NDP governments out in western
Canada, is going to do anything about what
has now been documented quite a number of
times-that the net effect of the operation of
the supermarkets in their pursuit of the so-
called free enterprise approach is to establish
a monopoly or at least an oligolopy, to des-
troy their competitors, and to do it by cut-
throat procedures and advertising and gim-
mickry, all of which is taken out of the
consumer's dollar, and then when it's ended,
they are in a position to charge what they
please— if the government is going to clean
up that kind of situation, it has got to have
the courage to make a fresh, new start.
896
ONTARIO LEGISLATURE
And the government is not going to be
able to do it within the legalities of the
Combines Act; it may be able to make some
measure of progress but not too much, as
events have already proven, because all one
has got to do is get, really, a rather mediocre
lawyer and one can tie that up in trying to
match reality with the law.
Hon. A. Grossman (Provincial Secretary
for Resources Development): Maybe they
should change the Act.
Mr. MacDonald: The minister is right.
And I noticed with what alacrity and detail
the Tories did it when Diefenbaker was in
power. And I notice with what alacrity and
detail the Liberals are doing it now that they
are in power.
Hon. Mr. Grossman: How far back does
the member want to go in history?
Mr. MacDonald: That is far enough. I've
got both parties in the same bag at the same
time— and it's the right bag for both of them
on this issue. They won't change it.
Mr. I. Deans (Wentworth): Where they
rightfully belong.
Mr. MacDonald: Right.
Mr. R. G. Hodgson: What bag?
Mr. Deans: It wouldn't even require a large
bag to get them in, they are so close to-
gether.
Mr. MacDonald: Now, Mr. Speaker, per-
haps before we can move to get legislation—
and I look forward with great interest to what
this minister is going to bring in now that
he has had all this eight months of study;
that's a long enough gestation period for
production. We will see what he produces.
My guess is the mountain is going to produce
a mouse, but let me not prejudge it.
All I am saying is that before the govern-
ment is able to move it may have to get some
more facts about the conditions in the
Province of Ontario. And that brings us back
to the basics as far as our policy in the New
Democratic Party is concerned in the Prov-
ince of Ontario. The only way we are going
to get the basics is to set up some kind of
prices review board; and not a strait jacket
that is going to impose price and wage con-
trols for an alleged 90-day period— that kind
of simplistic nonsense nobody, including
many who are promoting it, will believe. We
need a prices review board that can zero in
on the obvious cases of exorbitant pricing.
smoke them out, get the facts, provide them
to the public and, where necessary, have the
legislative power to impose rollbacks.
That, I suggest, Mr. Speaker, in the
phraseology of the Throne Speech, is a prac-
tical means at the disposal of this government
to alleviate some of both the causes and the
effects of inflation. And that's point one,
which I draw to the attention of the minister,
where the government has copped out com-
pletely.
Let me move to the second point, which is
is in the field of agriculture. I was very
interested early in March, when the Legis-
lature resumed, to draw to the attention of
the Minister of Agriculture and Food that the
four western Premiers had met and decided,
at the end of their conference, that they were
going to establish a prices review mechanism
to look into the pricing procedures of two of
the major farm inputs, namely fertilizer and
farm machinery.
I had to remind the Minister of Agriculture
and Food, because he had momentarily for-
gotten, that while the Premiers of three of
those provinces in western Canada are NDP
—and therefore it's not surprising that they
are moving— the fourth one, who presumably
is moving with equal enthusiasm, happens to
be Peter Lougheed, who is a Tory; and each
of these governments is now moving to estab-
lish a prices review mechanism.
The minister here said they had an alterna-
tive approach; they were going to call a con-
ference down at the Four Seasons Hotel, and
it was held the following week. Well, Mr.
Speaker, of all the futile exercises, that con-
ference took the cake. All it did was to prove
what everybody knew before the conference
was held, namely that there is a desperate
and growing shortage of fertilizer and that
the companies are using that shortage to
boost prices and to rip off farmers, even those
who aren't able to get a portion of the
fertilizer they need.
So when I pursued this once again with
the minister, and asked; "What are you going
to do about it?" he said in effect that he
didn't know what could be done about it;
in short this government is going to do no-
thing. Well, again for the benefit of the
minister— in fact, before I get into that, let
me draw to the attention of the House the
comments of Farm and Country' magazine.
Now Farm and Country is perhaps the most-
Mr. Deans: Most Socialist magazine.
Mr. MacDonald: —the most well-read and
perhaps the most authoritative farm maga-
APRIL 8. 1974
897
zine in the Province of Ontario. I wish on
occasion it wouldn't operate as though it were
a sort of company sheet of the government—
a sort of in-plant sheet, so to speak— but on
this occasion when it is as critical as this, one
can come to the conclusion the criticism is
really doubly valid.
On the front page of the March 26 issue,
they refer to this conference that was held
under the sponsorship— at what cost, who
knows?— of the Ontario Minister of Agricul-
ture and Food. Let me read four paragraphs:
Edward Thompson, a Guelph area cash
cropper, fertilizer dealer and active Ontario
Federation of Agriculture member, broke
up the recent National Fertilizer Confer-
ence with his accusation that the meeting
was a whitewash. The speakers had re-
peatedly told the 180 delegates present that
farmers everywhere will have serious prob-
lems finding enough fertilizer for the next
three years. No farmer organization was
asked to present a brief or even comment
on the speakers' statements. Question
periods were minimal.
"There's no fertilizer crisis in Canada,"
Thompson explained. "I sat at the meeting
for a day and a half and listened to 26
speakers all from the government and the
fertilizer industry, while they justified their
positions!"
After Thompson slammed the meeting
for making no real effort to solve the
fertilizer supply situation, he was sup-
ported by OF A president, Gordon Hill,
National Farmers' Union vice president,
Walter Miller, and Christian Farmers'
Federation president Martin Verkuyl.
Well, there you have it, Mr. Speaker, All
farm organizations in effect saying that it was
a whitewash and a useless gesture. And
what's going to happen? The government isn't
going to do anything.
Well, again by way of suggesting that may-
be this is a practical means at their disposal,
may I draw to your attention, Mr. Speaker,
another study that is being done in western
Canada. Fertilizer Marketing, Manitoba, came
out about three weeks ago. It happens to be
a study done by that company I referred to
earlier, Topecon, which is a Toronto-based
company.
The major person involved in the study,
which was really a royal commission, was that
Harry Weijs I referred to who happened
to be a co-author with William Janssen in the
earlier document, that special study on
wholesaling and retailing food prices in On-
tario. In short, he knows Ontario and he
knows the agricultural industry. But he was
asked to do a special study of the situation
in Manitoba.
And you know, Mr. Speaker, I don't know
to what extent those conditions out there
apply here in Ontario, but I have a hcrtdthy
suspicion, which I will insist in sticking to
until I have some evidence that they don't
apply in Ontario. And what were the con-
ditions in western Canada?
First, they confessed they were guilty of
price manipulation. I'm sorry, I should have
mentioned that the major focus was not only
on Cominco and one or two other major
manufacturers of fertilizer, but on Simplot,
a plant in Brandon, Manitoba, which is a
subsidiary of an American plant making
fertilizer. It was a plant, incidentally, which
was built through the Manitoba Develop-
ment Corp. providing $23 million in loans
and the federal government providing $5 mil-
lion in grants in order to provide Manitoba
with an adequate supply of fertilizer at
reasonable prices. That's the bit of back-
ground that I should have given members
so they might grasp the significance of the
royal commission conclusions.
Simplot conceded they were guilty of price
manipulation. They conceded they engaged
in price discrimination. They admitted what
had really provoked the study in the first
place; namely that they were selling Manitoba
manufactured fertilizer cheaper in the United
States than they were to Canadians, in spite
of the fact that the plant was built with
$28 million in Canadian public funds or
grants.
They gave no valid explanation for the
fact that one of the stipulations in that agree-
ment that the Manitoba Development Corp.
had signed with Simplot was that the parent
company in the United States would have
available an assured supply of phosphoric
acid and other necessary ingredients for mak-
ing phosphate fertilizer. In 1971 the plant
in the United States cut off these supplies to
the Canadian plant, and as the report said,
they got rather fuzzy and vague explanations
as to why.
But finally, and most important, Mr. Speak-
er, this plant, Simplot — privately owned
ostensibly, but built with such a chunk of
the public funds— along with all of the three
or four other plants in western Canada that
are privately owned, in the private sector,
are all part of a marketing zone that includes
American fertilizer plants in the states just
south of the border below the three western
provinces. They document in this report the
898
ONTARIO LEGISLATURE
price manipulation, the price discrimination,
the selling at lower prices to Americans of
Canadian-produced fertilizer — all of these
practices within a zone that takes in Canada
and the adjoining northern part of the United
States.
Now, Mr. Speaker, can you assure me that
kind of thing isn't going on in the Province
of Ontario? Of course you can't. In fact the
odds that it is are very high. The boundary
is invisible as far as these boys are con-
cerned. They may be an American company
ostensibly and a Canadian company osten-
sibly, but they will get together and they
will carve out a zone that spans the border
and in which they are manipulating and en-
gaging in discriminatory pricing practices. I
am convinced it is going on in the Province
of Ontario.
And if this government wants— I cite as a
second case— a practical means of prevention
at its disposal, let it follow the example of
the four western provinces and move in with
some kind of a price review mechanism, at
least on these isolated two mafor farm inputs
that contribute so much to farm costs. Let
them get out the facts, and then when they
have got the facts perhaps even they will
screw up their courage suflBciently that they
will pass legislation to roll back prices and
to call a halt to the unconscionable gouging
that is going on.
That's the second point. Let me move on
to the third.
The role of the energy board-
Mr. Speaker: Perhaps I should point out
to the hon. member that it is my understand-
ing that there is going to be a private mem-
bers' hour at 5 o'clock. This might be an
appropriate place for the hon. member to
move adjournment.
Mr. MacDonald: Well Mr. Speaker, I
have to state that I have another commit-
ment outside the House. I can't get away;
I have to speak to the farmers of Oxford
county, and I know my hon. friend there
would be deeply hurt if I didn't go out there.
I have given you a taste of what can be given
and I shall have to leave the remainder of
it for a later date.
Mr. Speaker: Does the hon. member have
further comments?
Mr. MacDonald: I have many further
comments, but I shall not have the oppor-
tunity to give them.
Hon. Mr. Grossman: Let him send them
over to me and I will make them for tiie
hon. member.
Mr. Deans: Perhaps the member for Scar-
borough Centre would allow him to continue
for another 15 minutes?
Mr. F. Drea (Scarborough Centre): Mr.
Speaker, if he needs four or five minutes
more he can cut into my time if he wishes.
Mr. MacDonald: No, I can't do it in four
or five minutes.
Look, I don't want to impose on the rules
of the House, if the rules of the House are
such. All I have done is begin to document
what is a yawning case of this government's
inaction in the field where there are a lot of
practical things that can be done.
Mr. Speaker: Then do I understand the
hon. member for York South correctly that
he would have further remarks but that he
cannot make them in view of other commit-
ments after the conclusion?
Mr. MacDonald: You understand, with
your normal perception and precision, sir.
Hon. Mr. Grossman moves the adjourn-
ment of the debate.
Motion agreed to.
PRIVATE MEMBERS' HOUR:
RIGHTS OF LABOUR ACT
Mr. Drea moves second reading of Bill 15,
An Act respecting the Rights of Labour.
Mr. Speaker: The hon. member for Scar-
borough Centre.
Mr. F. Drea (Scarborough Centre): Mr.
Speaker, it is with some degree of sadness
that I introduce this bill because it repre-
sents, unfortimately, a rather complex time
in our heritage of industrial democracy. By
the very introduction of this bill it is ap-
parent that the traditional role of the free
trade union in our society has been unable
to cope with some of the recent innovations
in that industrial society and that is, to wit,
the crook.
Mr. Speaker, I wish that I did not have to
introduce a bill called An Act respecting the
Rights of Labour. I would prefer that the
labour movement collectively could deal with
the abuses by the minority of that move-
ment by its own action. If I thought that
the ethical practices committee of the Cana-
APRIL 8, 1974
dian Labour Congress could deal with cer-
tain situations, I would not introduce this
bill. Unfortunately, by default they have
shown that they cannot. If I thought that
the Ontario Federation of Labour, through
internal discipline, could deal with the tyi>e
of situation that I am concerned about, then
once again I would not have introduced this
bill.
Perhaps it is expecting too much for or-
ganizations that are essentially voluntary, for
organizations that have had a difficult and
occasionally insurmountable struggle, to
achieve respectability. By respectabiUty, I
mean the right to carry on their affairs with-
out harassment from a law and order society.
I suppose it might be asking a bit too much
of them now to have the type of stringent
internal discipline that would enable them
to clean up the minority.
Mr. Speaker, there are very many fine
unions in this province. In fact, I would say
to you, sir, that at least 95 per cent of the
people who are engaged in full-time or vol-
untary union activity in this province are the
type of people that you and I would be very
proud to take home to dinner on Sunday.
Unfortunately, and particularly in the last
few years, there has evolved a new concept
of unionism, albeit by a minority, that union-
ism is a business.
We have seen the rise of such business
unionists as the unlamented Hal Chamber-
lain Banks. We have seen, in our own area
of southern Ontario, the rise of a great num-
ber of people into the labour movement.
Unfortunately, they have not gone into the
labour movement for the same things that
motivated people a generation or so ago.
We have seen in our own construction in-
dustry, here in southern Ontario, a rather
sordid parade of so-called imion leaders
whose only goal was to enrich themselves at
the expense of the people they were sworn
to protect.
Mr. Speaker, I suggest to you that the type
of legislation I am proposing here today is
more necessary today than ever before, be-
cause we in this country, and particularly in
Ontario, have virtually an open door for
immigration. Many of the abuses concern
labour organizations that deal almost exclu-
sively, when it comes to membership, vdth
people who have one thing in common; that
is, their inability to speak English or to know
the laws and the rights of this province.
I think it is particularly wilful of a person
who takes advantage of a name and a herit-
age as honourable as that of the trade union
movement and then uses it to line his own
pockets while denying any form of justice to
those who are compelled to belong to his
organization as the price of keeping Uieir job.
Mr. Speaker, in the last few years in this
Legislature we have heard about violence.
We have heard about union leaders whose
biggest asset is the number of b(xlyguards
they have. We have heard about loans to
union officers from companies they were deal-
ing with. We have heard about loans to union
officials from unions and from their own
treasuries. We have heard about special
favours. We have heard about special vaca-
tions. We have heard about a great number
of irregularities.
In short, Mr. Speaker, we now have a
problem in industrial society in Ontario
where there is a desperate need for regulation
of the minority that is threatening to erode
all the decent concepts of trade unionism in
this province. I say to you if there was only
one man or so who was taking a bribe, be-
cause that is what all of those loans and
favours and vacations and trips and houses
and what have you are, if there was only
one or two taking a bribe and it was roundly
condemned by the rest of the movement,
then, Mr. Speaker, perhaps a bill or some
type of enforcement would not be necessary.
It pains me a great deal that this type of
thing goes on and the criticism does not come
publicly from within the labour movement—
not that the majority of men and women in
the labour movement in this province are any-
thing but honest and honourable. I suggest to
you, sir, the system has tied them so much
hand and foot that they are unable to
criticize others. By the very fact that that
system denies them the right to discipline the
bad apples, the crooks, the hangers-on and
those who would exploit a man or a woman
who cannot understand English so that they
might have a better position in society them-
selves, I suggest to you Mr. Speaker, the
time has come to look very inwardly into that
type of system.
I remember the former Provincial Secretary
for Justice, Mr. A. F. Lawrence, and the
dreadful dilemma he was in. As the law en-
forcement officer for the province, did he
send the police out fully equipped, and I'm
not talking in terms of revolvers or billy clubs
or anything like that— and enable them to
use all of the tools at their disposal to find
out those who were using unions as a racket
base? The dreadful dilemma, Mr. Speaker, is
that in a free society what happens when
you send the police out into the internal
900
ONTARIO LEGISLATURE
operations of one of the integral parts of
industrial democracy, is that when you get
to that point you are getting perilously close
to trade unionism as it exists from the Rio
Grande down through South America. You
can understand the very painful position that
the police have. When bribes and so forth
are reported to them, how far can they go?
Mr. Speaker, the very content of this bill is
to recognize that these are not, at least in the
first instance, a matter of police responsibility.
Rather I suggest to you, Mr. Speaker, they
are a matter for the particular branch of
government that is most concerned with
working people, and that is the Ministry of
Labour in this province.
You will note that in this Act there is a
preamble. That is by deliberate design for,
after all, the Labour Relations Act of this
province contains a preamble, and so does
much of the labour legislation that we pass
in this province. I suggest to you, Mr.
Speaker, that it is there for a reason, because
this government is very cognizant of the
rights of working people. When we are going
to change or alter those rights-
Mr. T. P. Reid (Rainy River): Why is
the member for Scarborough Centre bringing
the bill in instead of the Minister of Labour
(Mr. Guindon)?
Mr. Drea: What is the member for Rainy
River's problem today?
Mr. Reid: Why is the member bringing
in the bill instead of the Minister of Labour?
Is he at all concerned about it?
Mr. Speaker: Order, please.
Mr. P. D. Lawlor (Lakeshore): That is a
very good question.
Mr. Drea: I really still haven't followed
all of that, but we'll get around to it.
Mr. Lawlor: Answer that question.
Mr. Drea: I will, if I could understand
the question and members give the time on
this. What is the question?
Mr. Reid: The member is saying that the
government is so concerned about these
things. Why then isn't the Minister of La-
bour bringing in the bill?
Mr. Drea: The member might be very
surprised about what the Minister of Labour
does with this bill.
Mr. R. Haggerty (Welland South): The
member is just jumping the gun.
Mr. Reid: I'd be surprised if he did any-
thing.
Mr. Speaker: Order, the hon. member has
the floor.
Mr. Drea: Coming from the party the
members do, I can understand their surprise
at any kind of action at all, other than quot-
ing inaccurate figures.
Mr. Speaker, as I was saying about the
preamble to this, this government is very
cognizant of the rights of working people-
Mr. Lawlor: That remark wasn't worthy
of the member.
Mr. Drea: —unlike certain other parties,
which have attempted over the years to
rather ruthlessly deny it, even to the point
of using tanks. And that is why the pre-
amble, Mr. Speaker.
Mr. Speaker, I suggest to you that the
principle of part I, the principle of the defi-
nition of an associate, is very essential to
any kind of unravelling of the insider opera-
tions, because after all, if one is to become
a labour racketeer, it is like becoming any
other type of racketeer; one does not go out
and t^e up a billboard and disclose how
they are getting their finances.
Mr. R. Gisbom (Hamilton East): That's
good old Toryism— good old Toryism.
Mr. Drea: It is concealed, it is hidden
through sons or daughters, wives, bank ac-
counts in other communities, relatives, and
so on and so forth.
I think that one of the questions that has
been raised in the past is the inability of
anyone to define the particular kind of in-
sider relationship that exists within those
who have adopted the occupation of labour
racketeer or labour gangster. Mr. Speaker, I
suggest to you the definition in part I that
fits insider trading within the meaning of the
Ontario Securities Act certainly should be
sufficient for any type of insider operation
within a trade union.
I very seldom agree with the member for
High Park (Mr. Shulman), but about a year
ago he said something. He said there are
crooked unions and there are good unions in
this province; the crooked ones need regula-
tion. There are crooked companies and there
are good companies in this province; the
crooked companies need regulation. That is
what I have attempted to do in this particular
bill.
APRIL 8, 1974
901
I have attempted to make it a balance.
Because, 1 suggest to you, in industrial rela-
tions, for every union racketeer there is a
management racketeer, although, unfortu-
nately the management racketeer hides him-
self behind the name of consultant, or what
have you, and somehow his activities never
generate either the pubhcity or the revulsion
that arc associated with those of the union
gangster.
I think there is good reason for that. I
think, Mr. Speaker, that we must recognize
that people expect more of their union repre-
sentatives than they do of the boss, and while
the\- are perfectly prepared to admit that the
boss may hire a never-ending series of rather
peculiar people of dubious reputation, they
do not expect their union leaders to behave
in that way. After all, there is a fundamental
difference between the two. A union o£5cial
is elected, or at least should be elected, and
perhaps later in this session, Mr. Speaker,
since I have another train of thought con-
cerning union elections, we might very well
get into how some of these people are elect-
ed and how they seem to stay in office.
It's rather a remarkable thing, Mr. Speaker,
there are some very good union leaders who
I have known who have not been able to
stay in ofiBce, or they have been defeated
after one term or two, and I thought they
did a pretty good job. Yet I see people who
have negotiated wage cuts for five, six or
seven years in a row, and somehow they stay
in oflRce; and perhaps later in the session,
Mr. Speaker, I may have something to bring
bear upon that situation.
Mr. Speaker, passing on to the principle of
part III, this, I suggest to you, comes to the
very cnix of the matter, I believe that the full
glare of public opinion is the one area where
we can focus the maximum amount of scrutiny
upon this type of thing, short of bringing us
back to the old police days when there were
massive dossiers and so forth on virtually
every union leader and every type of person
in the field of labour relations in this prov-
ince. I don't want that. That is why I have
gone to some lengths to try and produce an
effort whereby these things will be brought
to the attention of the Minister of Labour,
The Minister of Labour will have powers
to act, and the availability of the Minister of
Labour wdll have powers to act, and the
availability of the Minister of Labour will
be open to the indi\'idual trade union mem-
ber. Furthermore, there will be a lot more
than the basic protection we have now be-
cause the only protection we have now is
that upon request an audited statement of
the union's activities will be presented to
the member.
The mind boggles at the prospect of a
man or a woman who has been in this coun-
try a couple of years being told his or her
basic protection against the kind of person
I am talking about is an audited statement.
The audited statement hasn't l)een a protec-
tion for many shareholders over the years
until we brought in some rather rigid com-
pany laws. The audited statement isn't much
of a protection unless there is very tough
regulation.
The section on disclosure and reporting,
Mr. Speaker, is a very simple chronology of
all the things involving finances which the
labour organization or, more particularly, the
full-time person in a labour organization is
doing including what I suggest might be the
most important one which is No. 13, the
issuance of work permits. Why is it that in
Toronto so many people who can't speak
English have only a work permit which is
non-renewable? Why is it so many people
who speak English seem to have a full-time
competency card? Mr. Speaker, why is it
that in the Province of Quebec, when they
get into the James Bay problem, they are
going to find out about the issuance of work
permits— who got them, who paid for them,
and a lot of other things that nobody wants to
admit are behind some of the things which
took place?
One doesn't send muscle into a place un-
less there is a need for it and unless the
financial concerns warrant it. I suggest right
now that muscle for unions is coming at a
pretty high premium.
I don't think that disclosure by those in a
trade union is enough. I think there is an
onus upon management, particularly the kind
of management which would betray the
Minister of Labour in this province, the kind
of management there is at Artistic Wood-
work. Artistic Woodwork didn't tell the
Minister of Labour in this province that it
had a company spy on the other side. Artistic
Woodwork didn't say exactly what that man
was doing.
Supposedly it came to the Minister of
Labour in this province with clean hands
and said, "Settle our strike. We are a^ the
mercy of the union and the picket line." But
it didn't say it had a man on the picket line.
In retrospect, how much longer did he keep
that picket line operative than if he had not
been there?
Mr. Reid: What about the man from the
labour union?
902
ONTARIO LEGISLATURE
Mr. Drea: Mr. Speaker, I don't think one
can come to terms with the rise of the private
detective industry in this province, particu-
larly as regards labour relations, by trying
to legislate them away from the strike.
I think a far simpler way is we say to
management that when it hires a consultant
or a private detective or a special person
who has anything to do with the collective
bargaining process— and collective bargain-
ing, one will notice in the definition, is not
from the time of the first contract but from
the time the first card is signed— if he has
anything to do with the operations of the
union during any or all of that time, man-
agement files with the Minister of Labour
his name, his salary and what he is supposed
to be doing.
Then we shall see how many of these
people are down on picket lines and how
many of them are in the restaurant when
people start to sign cards-
Mr. Gisbom: What does one do with the
information when the minister has got it?
Let everybody have a look at it?
Mr. Drea: Yes.
Mr. F. Young (Yorkview): Why not for-
bid it?
Mr. Drea: Because I don't think by for-
bidding it we come to the roots of the prob-
lem. I think we get too tied up in property
rights and an awful lot of other things which
perhaps the member and I don't find very
important but which somehow come to an
impasse in law. I say to my friend, who is
from Hamilton East and has had a lot more
experience than I have, I think having it in
the newspapers that so-and-so has hired four
people to break up the union, and the total
aggregate salary is $40,000 a year will, I
suggest to you, sir, have more value than
a blanket prohibition.
Mr. Speaker, I would like to point out to
you that I have tried to balance this. I
realize that we are into a complex, com-
plicated and frankly often peculiar time of
industrial relations in this province. I think,
Mr. Speaker, to weight the scales too much
on one side or attempt to remedy so much
that everything came over, I don't think that
that is the answer.
Neither, sir, do I think that a patchwork
piece of legislation that tries to attack a
single problem is the answer. I suggest to
you that the outline of regulations and the
vast new powers for the Minister of Labour
are far more preferable than having an anti-
labour racketeering police squad.
I suggest to you, Mr. Speaker, finally and
in all sincerity that there are tens of thou-
sands of people out there who are not for-
tunate enough to belong to organizations like
the Steelworkers or the Auto Workers. Un-
fortunately, the system within the labour
movement often consigns them to unions
they want nothing to do with and there is
nothing that you or I could do about it
because that is the labour union set up in
this country.
I suggest to you, sir, that the\- are looking
for someone who will at least champion their
cause; for someone who will at least give
them some of the weapons thev need to com-
bat the inroads of labour racketeering that
now mean that instead of a union that will
be a benefit to them, it is a union that is a
benefit to someone who can put down on
an application form: Last occupation, union
gangster.
Thank you, Mr. Speaker.
Mr. Speaker: The hon. member for Wel-
land South.
Mr. Haggerty: Thank you, Mr. Speaker,
The bill being debated this afternoon, a pri-
vate members bill sponsored by the hon.
member for Scarborough Centre, has indi-
cated that not all is well within labour in
Ontario. Certain unions have not been above
board. I suppose the intent of the bill, Mr.
Speaker, is to provide the necessary steps to
eliminate or prevent improper practices on
the part of labour organizations or activities
in Ontario.
As I go deeper into the bill, Mr. Speaker,
I find that it is perhaps drafted rather
hastily. It doesn't cover ever\i:hing, but I
suppose it follows the principle of the La-
bour Management Reporting and Disclosure
Act passed by the United States government
in 1959. That Act, Mr. Speaker, is to:
Provide for the reporting and disclosure
of certain financial transactions or adminis-
trative practices of labour organizations
and employees to prevent abuses in the
administration by trustees of labour or-
ganizations and to provide with respect to
the election of officers in labour organiza-
tions and for other purposes.
Now, I suppose if one looks at the principle
of the bill here and goes into detail in the
bill this afternoon, Bill 15, in comparison the
American bill provides: Title one: The bill
of rights of a member of labour organization.
Title two: Reporting by labour organization
APRIL 8. 1974
903
oflBcers and employees of labour organiza-
tions and employees. Title three: Trusteeship.
Title four: Elections. Title four: Safeguards
for labour organizations. Title five: Miscel-
laneous provisions.
I think I can quite agree with the hon.
member for Scarborough Centre that there is
corruption and illegal practices within the
unions themselves. I speak not perhaps as a
member of that particular union, but I am
talking about a particular trade union, the
AFL trades. I was a member of the CIO-
AFL, if you want to put it that way, but it
was the United Steelworkers of America.
I can recall many instances in my working
days when we would walk into a certain
plant to do a particular job of construction,
either putting up the building or putting up
pipelines— you just name it, it was there— but
I know in certain instances that because we
didn't belong to this union, we were denied
the right of employment. I have seen in-
stances where plants have been shut down
because we didn't belong to the particular
union, or the threat was there that "if you
don't pull this group of men out the plant
will shut down and we will put up a picket
line" and so forth.
I believe, looking at it from a union angle,
that the union member himself can do more
than the union agent or his organization; and
if they attended the union meetings, they
wouldn't have these kinds of corruption and
malpractices in the labour field. The simple
reason may be— and the hon. member made
a good point— that those of ethnic origin,
through some problem of speech, perhaps
can't understand some of the rules. I quite
agree with him on that; it is quite true that
this does happen in the industry. I think the
fault again lies with the Minister of Labour,
who perhaps should produce some type of
information or literature to inform those
persons of their rights.
The bill itself, Mr. Speaker, perhaps jumps
the gun. We know that hearings have been
held on organized crime in labour in Ontario,
and I believe that much of the intent of this
bill is to perhaps jump in right off the bat
and perhaps is guessing what this report will
bring down. I am sure it is going to bring
dovm some recommendations, and perhaps
they will be along the lines of the labour
bill that was passed in the United States in
1959.
I know that there is a certain amount of
blacklisting going on in the hiring halls of
unions today. I have had persons come to
my place and tell me this, and I have said,
"Well, put it in writing." And they have said,
"If I put it in writing, 111 never get a job
again. I know of cases where persons have
been asked to pay a substantiaJ amount of
money to get a job.
In fact, Mr. Speaker, I would like to read
a letter here. I won't give the name of the
person, but he came to my office here back
in December. He is a little Italian fellow
who was concerned about the crime hearings
being held here in Ontario. He came into my
office a couple of times; I know he went
around to other members, who perhaps didn't
listen to him— but I listened to him. I thought
that what he told me had quite a bit of truth
in it.
What he told me was happening at the
union halls was that if he got up and said
anything at the union hall, he would be
slapped dowTi if he wasn't going along with
what the agent had said. He informed me
that if he wanted a job, it cost him $100
every time they sent him out to get a differ-
ent job. And it was reported from one of the
crime hearings— and I can't recall his name-
that one union agent had some $17,000 that
he couldn't account for. This fellow who
came to my office told me, "The agent has
got some of my $100 bills in the $17,000 that
he couldn't account for."
He went on to tell me that job after job
had cost him $100, and he had complained
about it at a union meeting. Do you know
what happened to this gentleman, Mr.
Speaker? For some unknown reason, he had
an industrial accident. He told me, "I know
somebody was on this scaffold with me. I
was bending dowTi, finishing my work [he's
a cement finisher], and I felt the person on
the scaffold. When I stood up, the safety
chain at the back was gone, and he was gone
too." When he came into mv office he was
crippled on one side and could hardly speak.
This is the kind of activity that is going on
in many of these unions today. But I loiow
there is a sledge-hammer being held over
their heads and thev are forced to go along
with this. I think the member has also said
this, but again I think we have to look back
and see what the unions have done for the
labourers throughout Canada. They play an
important role in our society. We wouldn't
have the health and wealth, particularly the
wealth, that this nation has today, had it not
been for the changes the unions have brought.
I can recall some number of years ago in
certain industries in the city of Port Colbome
that there were some illegal hiring practices
going on. This was 30 or 40 years ago -
before my time-but I often heard my dad
talk to me about this. He told me that if
904
ONTARIO LEGISLATURE
you wanted a job in a certain industry, you
had to pay the foreman. Well, unions came
along and changed that. But for some reason
the unions today have slipped back to this
type of payola to hold and maintain a job.
I think these are the things that perhaps the
member is trying to get through to us here
this afternoon.
Mr. Young: Did the member say all
unions?
Mr. Haggerty: I didn't say all unions, no,
not all the unions. There are certain ones
there. These are some of the things that I'm
concerned about.
Before I would consider endorsing this bill,
I would like to see the report from the hear-
ings on the organized crime in labour in
Ontario. As I said before, the bill is a little
bit scanty as to what the intent is.
I think if we brought in a bill similar to
the one they have in the United States, the
Labour Management Reporting and Dis-
closure Act, I think this party perhaps might
go along with such proposals. I'm sure that
bill did remove the unscrupulous problems
that unions had over employees or over the
hiring halls in the United States and it did
correct them to some extent. Whether it
would do it here or not in the Province of
Ontario, I'm not quite sure. But I think again
it's worthwhile looking into.
I know it's taken quite a bit of courage
for the hon. member to introduce this bill
this afternoon. I think it's going to take quite
a bit of encouragement from any of us to
speak on it, because sometimes they say that
the minute you stand up here you re against
labour. No, I'm not against labour, but there's
much that can be improved in labour rela-
tions in the Province of Ontario which is not
covered by the Labour Relations Act.
Mr. E. J. Bounsall (Windsor West): Nor
in this bill.
An hon. member: That's what he said, too.
Mr. Haggerty: I think this is where some
of these persons have been blacklisted and
blackballed in hiring throughout different
unions in the Province of Ontario-not all
unions, but certain ones. When you find out
particularly, Mr. Speaker, that these unions
originated in the United States and that the
constitutions of these unions overnile any-
thing that goes on in the Labour Relations
Act in the Province of Ontario, that is what's
wrong with it. If we're going to control our
unions and bring in justice in the Province
of Ontario, then it must be contained and
controlled by Canadian employees in the in-
dustry in the Province of Ontario.
Mr. Speaker: The hon. member for Wind-
sor West.
Mr. Bounsall: Thank you, Mr. Speaker.
In rising to speak to this bill. An Act respect-
ing the Rights of Labour, what disturbs me
is the whole flavour of this bill. It's trying
to knock down open doors and trying to do
with legislation what the vast majority of
unions in this province and in this country
already do. Before I get into the meat of my
remarks, let me make a few comments on
remarks already made.
A hell of a lot more employers have been
caught taking funds from or cheating their
employees than unions have ever been. It's
a factor upon factor greater. It is ridiculous
to imply in a bill like this, which has a very
restrictive, discriminatory flavour to it, that
unions engage in this as a matter of course,
or even that more than a very, very small
percentage ever do this, which is what the
whole field of this bill is about.
This Tory party or this government or any
of its backbenchers over there have nothing
to teach the unions about ethics, morals or
participatory democracy.
Mr. Drea: Ho! Ho! Let the member speak
for himself.
Mr. Bounsall: We've seen enough of it and
heard enough of it in the last couple of years
to know that that is true,
Mr. Drea: How about the promises made
about the Canadian unions?
Mr. Bounsall: One of the things that every
union that belongs to the Canadian Labour
Congress must subscribe to, Mr. Speaker, is
the code of ethical practices. In the preambte
to that code, the Canadian Labour Congress
recognizes that the record of union democ-
racy, like our own country's democracy, is
not perfect. Nevertheless, there's a set of
principles to which all members of that Cana-
dian Labour Congress must subscribe. There
are a few unions that don't belong; they've
been kicked out of it because they haven't
subscribed to it.
Mr. Drea: A few which belong don't sub-
scribe, too.
Mr. Bounsall: The member for Scarborough
Centre has had his say. Don't try to get
another 10 minutes.
APRIL 8, 1974
906
Mr. Drea: I wouldn't need 10 with the
member for Windsor West.
Mr. Bounsall: The ones that have been
kicked out are, by and large, those very na-
tionalistic friends which our party to the
right over here likes to talk about— Kent Row-
ley's boys, Pat Murphy's boys and so on— are
not in the Canadian Labour Congress be-
cause of their non-ethical practices.
Mr. Drea: A few weeks ago the member
loved Rowley. During the Artistic strike he
was his hero. Now he is a crook.
Mr. Bounsall: The code of ethical prac-
tices is this:
The Canadian Labour Congress and each
of its affiliated unions shall undertake the
obligation to appropriate constitutional or
administrative measures in orderly proce-
dure to ensure that any person who exer-
cises a corrupt influence or who engages
in corrupt practices shall not hold oflBce of
any kind in any such trade unions or or-
ganizations.
No person shall hold or retain oflBce or
appointed position in the CLC, or any of
its aflBliated national or international unions
or subordinate bodies thereof, who has
been proven guilty through union proce-
dures or courts of law of preying on the
labour movement and its good name for
corrupt purposes.
Each member of a union shall have the
right to full and free participation in union
self-government. This shall include the
right:
(a) To vote periodically for his local,
national and/or international oflBcers, either
direcdy by referendum vote, or through
delegate bodies;
(b) To honest elections;
(c) To stand for and hold oflBce subject
only to fair qualifications uniformly im-
posed; and
(d) To voice his views as to the method
in which the union's aflFairs should be con-
ducted.
It goes on and on.
Those are three points out of 14, all of
which are very tough and clear, and to
which, if you wish to retain membership in
the Canadian Labour Congress, Mr. Speaker,
you must subscribe. If you pick up the con-
stitution of virtually any of the unions aflBli-
ated to the Canadian Labour Congress and
turn to its section— and they are all there;
they all have them— on ethical practices codes,
youll find these general statements contained
here spelled out in much more detail. I am
looking at one now, under democratic
practices:
1. Each union member shall be entitled
to a full share in union self-government.
Each member shall have full freedom
of speech and the right to participate in
the democratic decisions of the union.
Each member shall have the right to run
for oflBce, to nominate and to vote in free,
fair and honest elections, and shall have the
right to criticize the policies and person-
alities of union oflBcials [and so on and so
forth] .
There is a strong section on financial practices
and a strong section on the health, welfare
and retirement fund, which says:
No oflBcial who exercises responsibilities
or influence in the administration of health,
welfare and retirement programmes or the
placement of insurance contracts shall have
any compromising personal ties, direct or
indirect, with outside agencies such as in-
surance carriers, brokers or consultants
doing business with the health, welfare
and retirement fund.
I am just giving them very briefly here. I
am not putting in nearly all of the points that
are outlined in detail.
Under business and financial activities of
union oflBcials— a very strong section— it says:
Every oflBcer and representative must
avoid any outside transaction which even
gives the appearance of a conflict of
interest. The mailing lists of the union are
valuable assets and they cannot be in any
sense turned over to any outsider for use
in the promotion or sale of any goods or
services.
No oflBcer or representative shall have
a personal or financial interest which con-
flicts with his union duties [and so on].
It is very finely typed, consisting of four or
five pages of ethical practices which appear
in most unions, and all of those unions which
are members of the Canadian Labour Con-
gress.
Mr. Speaker, if you want to ha\e a bill
that deals with the rights of labour and what
it should have, it should really be a useful
bill that would adequately protect an em-
ployee from the difficulties he encounters in
the workplace. We should be talking about
what should be done with our present labour
legislation. The right to organize and bargain
collectively should he available to all em-
ployees. That is the type of bill we would
906
ONTARIO LEGISLATURE
like to see in this House, one that covers
teachers, agricultural workers, plant guards
and even managerial employees.
The decision as to whether or not to join
a union should be made by the employees.
The right, therefore, of the company to
appear before the Labour Relations Board
to challenge this right should be removed.
It takes months to get hearings before the
board. The administrative procedures of that
board must be streamlined to avoid legalism
and undue delay. This is the kind of bill
on the rights of labour we should be having
before this House, rather than the one we
have.
Current provisions are wholly inadequate
to prevent employers' discrimination against
employees for union activities. The discharged
employee is the injured party and the onus
should be on the employer to show that the
employer's action was proper in the dis-
charge—not the way it works now, which is
the other way around.
Evidence of 50 per cent of the membership
should be sufficient for automatic certification,
and since the union is required to represent
all members at the bargaining table, and be-
cause it must represent them all fairly and
can be charged with not representing them
properly if it doesn't, certification should
carry with it the automatic right to a dues
check-off.
Mr. Speaker: Perhaps the hon. member has
reached his time limit.
Mr, Bounsall: That's the type of legisla-
tion which would be useful in this House,
Mr. Speaker.
Just let me end up by saying this. There's
so much that isn't covered in this bill that
would be of use to labour in this province.
The whole flavour of this bill is so discrimi-
natory against labour that this bill in itself
should ensure permanent relegation to the
backbench forever, if there was any doubt
about that, for the member for Scarborough
Centre.
Mr. Speaker: The hon. member for
Algoma.
Mr. B. Gilbertson (Algoma): Mr. Speaker,
I'd like to participate in this discussion on
Bill 15, the private member's bill introduced
by the member for Scarborough Centre.
Many of the members will probably wonder,
"What's this back-bencher from Algoma
going to say about it?"
Mr. Gisborn: The member is so right.
Mr. Reid: We're waiting with bated
breath.
Mr. J. A. Renwick (Riverdale): The mem-
ber for Algoma and the member for Wei land
(Mr. Morningstar) we think of as front-
benchers.
Mr. Gilbertson: You never know. That's
right; I shouldn't say "that back-bencher"
any more because I am in the front bench.
Mr. Lawlor: That's right. The member has
graduated.
An hon. member: And he's on the far
left too.
Mr. Renwick: And he is at the far left.
Mr. Gilbertson: Say, that's true isn't it, eh?
Then it's very appropriate that I participate
in this particular debate.
Mr. Lawlor: As long as the member doesn't
agree wholeheartedly with the bill.
Mr. Gilbertson: I'm not that familiar with
it but I've looked over parts of it. I might
say that as an employer, although I've had
men working for me for perhaps 25 years,
and all the government departments know it
—Workmen's Compensation, the tax diepart-
ment and everybody; they come around and
they assess, they come and audit your books
from time to time— I've always had a very
legitimate operation and I've always had, I
would say, reasonably good relations with my
employees. I never had any occasion where
a union came along to try to get my men to—
Mr. Renwick: Disrupt the small happy
family that the member has.
Mr. Gilbertson: —organize and disrupt the
small happy family. But I think there is room
for this type of legislation that the hon. mem-
ber for Scarborough Centre is introducing.
Mr. Lawlor: The member even thinks there
may be room for trade unions.
Mr. Gilbertson: As I understand it, it's very
seldom that a private member's bill ever be-
comes legislation.
Mr. Renwick: Thank God about this one.
Mr. Gilbertson: I take it that some of the
opposition members are not wholly in favour
of this particul'ar bill. I wonder if there's any
part of it that they feel is all right. I'm sure
that the reason the member felt the need to
introduce a bill like this is for the simple
reason— I can give the members a few reasons.
APRIL 8. 1974
907
Mr. E. Sargent (Grey-Bruce): Is the mem-
ber for Algoma in labour?
Mr. Cflbertson: "Contractors Cheated Men
of $3,000 a Week, Probe Told." This is from
the Toronto Star. Then there are others.
Here's a gentleman — perhaps most of the
members know him better than I do— by the
name of Edward Thompson. He saia: "I
couldn't put up with that sort of thing." He
speaks or kangaroo courts and all that. He
just gave up. He just couldn't put up with
all that.
Another one here— let's see this one— "Lath
Contractor Appears In Court On Perjury
Charges."
I'm not reading oflF all this because I'm
against unions, sir. I think unions are some-
thing which is needed and most of them are
very legitimate and do a good job, but I'm
sure the purpose of introducing this bill is
on account of those which do not perform
well. All this proves it. Of course, one can't
beheve everything one reads in the news
media but at least these are headlines here—
"Lath Contractor Appears In Court on Per-
jury Charges."
Mr. J. E. Stokes (Thunder Bay): Does the
member believe that?
Mr. Gilbertson: I'll let the member be
judge of this and whether or not he believes
it. "Unionist Says He Tried To Pay For Gift
Car." All these things are what I call skul-
duggery, which goes on within the bad
unions. "Two Builders Deny Awarding Con-
tracts In Return For Cash." These are some
of the reasons for the member for Scar-
borough Centre implementing this bill.
Here is another one. This is the Toronto
Star, Nov. 7, 1973: "Probe Witness Says He
Cannot Recall $1,000 Gift To Wife." Things
like that no doubt induced this member to—
Mr. Bounsall: Is the member against giving
gifts to wives?
Mr. Gilbertson: No, I don't think any of us
are, if it is done in the proper manner.
Mr. Lawlor: My wife wouldn't recall it.
Mr. Gabertson: Nov. 1, 1973: "Pile Asso-
ciation Director Says Money Was Goodwill."
All these things-
Mr. E. P. Momingstar (Welland): Good-
wiU?
Mr. Gilbertson: -just don't smell right for
some reason.
Mr. Renwick: Has Judge Waisberg's report
come in yet? Has the member seen it?
Mr. Gilbertson: October, 1973, "Builder
Says He Bribed Union Men To Get Jobs."
Mr. Young: Who was doing the bribing
here?
Mr. Gilbertson: It savs "Builder Says He
Bribed Union Men." The member can read
the article if he wants.
Mr. Yoimg: Was it the union or the em-
ployer?
Mr. Momingstar: Let him read it after.
Mr. Young: Who was doing the bribing?
Mr. Gilbertson: It says here "Builder Says
He Bribed Union Men To Get Jobs."
Mr. Young: Was it the imion or the em-
ployer?
Mr. Renwidc: Who was doing the bribing?
Mr. Young: Who was doing the bribing?
Mr. Gilbertson: Here's another one: "Police
Hold Hammer To My Head." This is Oct.
18, 1973. "Family Terrorized, Tearful Union-
ist Tells Building Probe." "Builders Say They
Gave $1,000 Each To Unionists". Builders-
it probably didn't give the names here; these
are excerpts from the Toronto Star.
Mr. Drea: Who was taking the bribe?
Mr. Young: Who was giving the bribe?
Mr. Bounsall: One can't trust anyone.
Mr. Young: Is the member saying that the
legislation should be to curb the builders
here?
Mr. Gilbertson: "Builder Justifies Union
Costs In $500,000 Contract". "Hired By
Union, As Bodyguard, Ex-fighter Says."
Mr. Bounsall: Those builders intimidate
them as well as bribe them.
Mr. Gflbertson: These are the bad ones.
"Contractor Says Union Payoff Went Astray."
Mr. Bounsall: Tliey can't even find the
right address, those builders.
Mr. Gilbertson: "His Family Terrorized,
Unionist Tells Inquiry."
Mr. Reid: Is the member's time up?
Mr. Sargent: Time, time.
908
ONTARIO LEGISLATURE
Mr. Speaker: No, the member has about
two minutes.
Mr. Young: Let him keep going; he is
doing a good job.
Mr. Gilbertson: Mr. Speaker, I think in
looking over this bill I would have to say
that-
Mr. Reid: Has he read it?
Mr. Gilbertson: —if I didn't endorse it fully
I'm certainly in favour of a lot of things in
it. I think they are good and I want to com-
pliment the member for Scarborough Centre
for his efforts in implementing this bill and
bringing it before the House.
Mr. Young: He is gone.
Mr. Speaker: The hon. member for Rainy
River.
Mr. Reid: I'm sorry to wake the member
up. Mr. Speaker, in rising to speak on this
bill I do so as the only Liberal-Labour mem-
ber of the Ontario Legislature. Of course, I
am personally, vitally interested in matters
relating to labour.
I'd like to commend the member who has
introduced this bill, in a way. It's one of his
more lucid and rational attempts at a private
member's bill. I think that I can agree with
the principle that he was trying to get at,
and that is that there should be public dis-
closure of matters affecting the trusteeship of
the money that the unions hold in trust for
their union members and that the various
other business deahngs of the unions should
be available.
I say that, Mr. Speaker, because I have had
some personal experience in this line, in that
I have had union members come to me and
ask if I could find out about certain trans-
actions that had taken place within their
union, the circmnstances surrounding which
they had not been able to find out on their
own. So I can understand and I approve of
the principle of the bill.
However, it seems to me, Mr. Speaker, that
the member, in eulogizing his efforts in this
regard, told us at some length about the great
concern that the present government of the
province has concerning the labouring per-
son, and I can hardly agree with that state-
ment. If it is so concerned, then the govern-
ment itself, through the Minister of Labour,
should bring in legislation. I would suggest,
as my colleague from Welland South has al-
ready done, that it be based perhaps on the
bill that was presented in the American Con-
gress in regard to this matter, a bill that pro-
tected not only the rights of the working
man, but also the rights of the public and
also the rights of management.
So it seems to me odd that the member
would go on at great length when his govern-
ment, or the government of which he is a
member, is not prepared to introduce such
legislation. I would suggest that higher on
the list of priorities, Mr. Speaker, should be
matters relating to ex-parte injunctions and
matters dealing with picket lines and inter-
national and Canadian unionism. This is
important-
Mr. Drea: The member's party is in favour
of Canadian unionism?
Mr. Reid: Pardon me?
Mr. Drea: The member is asking for it—
his party and Canadian unionism? Go ahead.
An hon. member: He says the member for
Rainy River is fighting against Canadian
Mr. Reid: No, I am not fighting. I am
speaking to the Speaker; he at least can
understand me. Sorry, I don't—
Hon. A. Grossman (Provincial Secretary for
Resources Development): At least he has to
pretend he does.
Mr. Reid: That's right; but at least he
doesn't interrupt me with ridiculbus state-
ments.
Mr. Drea: It is not a matter of interrupt-
ing-
Mr. Reid: In any case, Mr. Speaker, there
are matters, I think, that are very pressing,
that this government should bring in in re-
gard to labour relations in the Province of
Ontario. One of the things, quite frankly, Mr.
Speaker, that appealed to me was the call in
the bill for secret ballots.
I have been involved in a number of
strikes— wildcat and otherwise— and I have
been in union meetings where I have seen
the kind of pressure that is put on the indi-
vidual union member when it comes to a vote
on whether to go back to work or not and
when a secret ballot is not held. I would
agree with the member for Windsor West
when he says that most of these matters are
well handlted by the unions. But there is the
odd one, and there are always some bad
apples in the barrel who are slightly less than
taken with the democratic approach, and
subsequently the rights of the individual
APRIL 8. 1974
900
worker are trampled on. So there is need for
some kind of legislation along these lines.
Mr. Speaker, I will wind up because I
know there are others who want to partici-
pate in the debate, and say that I can approve
of the principle of the bill. I don't agree with
the entire bill but I think it is an important
matter and it should have been brought to
the attention of the chamber. I would hope
to see legislation dealing with matters raised
in this bill. And as well, the legislation to
ban ex-parte injunctions to regulate more
closely the activities on picket lines— and
other matters that are perhaps as oppressing
in regard to labour reliati(Mis in the province.
Mr. Gisbom: Mr. Speaker, I want to make
it very clear that I wouldn't support such a
hill as this one is written under any circum-
stances. The insider provisions and imposi-
tions in this bill are more iniquitous than
anything I have ever heard of, either in terms
of the stock exchange or any kind of legisla-
tion that tends to keep the finger on people
who have a responsible position.
You know, we even talk about the associ-
ate, his spouse, his son-in-law, his son, the
daughter and his connections with the trade
union movement through the whole insider
provision.
There are some striking clauses in the bill,
and of course we can't deal with them sec-
tion by section because we are supposed to
be dealing with the principle of the bill; but
it's a long bill and has a lot of very pertinent
clauses in it. They are the important sections
of this kind of a document.
The originator of the bill says on page 2
—and I guess it's in the interpretations, in
the last section:
Trade union means an organization of
employees formed for purposes that in-
clude the regulation of relations between
employees and employers.
Well, that kind of an interpretation says a
lot to me, because the trade union movement
in my history includes reading and partici-
pating in the introduction of the Ontario
provincial government's Labour Relations Act
from 1944, which was just that kind of a bill
to provide for the regulations of procedures
between unions and employers.
But the unions accepted it reluctantly be-
cause of the war issue and the coming into
Canada of the industrial unions. They said
yes, they would accept that kind of an Act,
which did lay out a method of procedure,
certain terms of collectixe bargaining, con-
ciliation and provisions for arbitration, and
so on. That was a bill imposed upon the
trade union movement because they had no
Act when they really got their foothold.
They got it through sheer slugging, wanting
to improve their benefits and their condi-
tions across the province.
And in saying that, I agree with a lot of
the things that are the concerns of the mem-
ber for Scarborough Centre and which he
has presented. But this is not the solution
to some of the concern in the unions today;
that is, the bad parts of some of the unions.
But we must remember that the bad things
that are happening in unions today affect
only a fraction of one per cent of member-
ship.
I think we need a publicity programme.
If the member for Wei land has that kind
of a problem in Welland, he should speak
out and go to the public. Come to the Min-
ister of Labour with the kinds of problems
we find and get him to do the job.
When you read the whole bill and get
to the end, it makes me think that the author
has plagiarized the thoughts and the writings
of the John Birch Society and William Buck-
ley, all at one time, and certainly we can't
have any part of that.
Interjection by an hon. member.
Mr. Cisborn: I'll bet you Senator Ray
Lawson would just love to have this bill in
front of him to send back to some of his
colleagues in the Teamsters' Union. But I
don't know what the thinking was as you
go through the bill. It just doesn't add up to
any kind of sense at all. The other members
have expressed what should be in a bill of
rights for labour, and we have presented it.
The concerns are well taken but surely the
member could have done better than that? I
hope that sometime other spokesmen for
the government will inform this party that
this kind of legislation is not part of the
thinking of the Conservative Party because
we will want to know before the next elec-
tion, as we will about two or three other
bills the member has brought in which are
very useful to the opposition and which are
just as iniquitous as this bill is as far as the
unions are concerned.
Mr. Drea: The NDP pays the piper.
Interjection by an hon. member.
Mr. Speaker: This completes the private
members' hour. I believe it is the intention
to sit through the supper hour.
The hon. member for Huron is next.
910
ONTARIO LEGISLATURE
THRONE SPEECH DEBATE
(concluded)
Mr. J. Riddell (Huron): Thank you, Mr.
Speaker. I might say I am pleased to have
the opportunity to comment on the Speech
from the Throne but before doing so I would
like to echo the sentiments of previous
speakers in welcoming you back after your
brief illness and to say how pleased we
are to see you resume your responsibilities
as Speaker of the House. We trust you will
continue to conduct the business of the
House in a fair and orderly manner and that
in maintaining order you will use the services
of the Sergeant-at-Arms as sparingly as pos-
sible.
Mr. E. Sargent (Grey-Bruce): Don't forget
that, in the gallery.
Mr. Riddell: The reason I say this, Mr.
Speaker, is that I was deeply annoyed when
I entered the House the other day and while
in the process of directing my wife to her
seat in the section here under the Speaker's
gallery I was confronted by the Sergeant and
told to take a seat immediately or leave
the House.
An hon. member: Who said that?
Mr. B. Newman ( Windsor- Walkerville):
The Gestapo.
Mr. Riddell: I am sure the Sergeant
thought he was talking to a visitor, Mr.
Speaker, which added insult to injury for I
pride myself on having a relatively good
attendance record in the House. Having oc-
cupied my seat for over a year now, I would
think that the Sergeant would surely recog-
nize a familiar face.
Mr. Speaker: If I may say to the hon.
member I observed the incident and I think
he will agree that I did apologize on behalf
of the Sergeant-at-Arms.
Mr. Riddell: I accepted those apologies,
sir, I am coming to that. I would suggest
Mr. Speaker, that you request the Sergeant
to relax his rigidity of composure and take
the time at his disposal to look around him
occasionally if for no other reason than to try
to identify the members of the Legislature.
However, Mr. Speaker, I am pleased that
you immediately recognized the folly of the
Sergeant. You expressed your apologies and
I trust you have cautioned the Sergeant
against further activities in this regard.
Mr. Speaker, I mentioned that I have com-
pleted one year of service as a member of
the Ontario Legislature.
Mr. B. Newman: A good year.
Mr. Riddell: Correspondingly, I have had
a year to observe the functioning of go\em-
ment which to me has been an invaluable
experience and quite gratifying but certaintly
not without its many frustrations. Ignorance
is bliss, so the saying goes, and I suppose I
was much more content with our system of
government as an outsider looking in than
I am as one who has had a chance to observe
government in action from the inside.
I could elaborate on the many follies and
inefficiencies of the present government as I
see them but I think these have been ade-
quately reported to the pubhc through the
news media, particularly within the last year
or two. I do not wish to dwell on this matter.
However, I would like to comment on one
routine in the House which I personally be-
lieve should be changed. In my opinion, Mr.
Speaker, the time wasted by cabinet ministers
during each day's question and answer period
in answering previous days' questions is com-
pletely inexcusable. The ministers very cun-
ningly give nothing short of ministerial state-
ments in answering questions from the
previous day or the previous week, knowing
full well they use up time which could be
better spent for further questioning by mem-
bers in the interest of urgent public concern.
I would like to recommend, Mr. Speaker, that
answers to previous days' questions precede
the daily question and answer period but
are not included in the time allotment for
this particular order of business.
Mr. B. Newman: Good idea.
Mr. Sargent: Has the House leader (Mr.
Winkler) got this?
Mr. Riddell: If the cabinet ministers are
fulfilling their responsibilities they should be
able to field the questions with some degree
of knowledge at the time or relinquish their
positions to someone who can.
Reflecting on my maiden speech of last
spring, I predicted that many government
members would be thinking seriously of re-
linquishing their positions in government
because of the government's loss of credibil-
ity under the leadership of the Premier (Mr.
Davis). I firmly believe that my predictions
are bearing fruit. The recent cabinet shuffle,
without a doubt, has caused dissensions in
the ranks. We see the Conservative caucus
losing its solidarity. We read in here of
government members' intentions to retire at
the end of this session.
I am not suggesting, Mr. Speaker, that
this loss will present serious problems, but
APRIL 8, 1974
911
I will say I was disappointed to learn that
the Minister of Agriculture and Food (Mr.
Stewart) is yearning to make his departure
from public life. I say I am disappointed,
Mr. Speaker, for I personally believe that
the Minister of Agriculture and Food has
served his porfolio well, and he will be
missed by the government as one of the more
capable ministers, as a knowledgeable agri-
culturalist and as a hard core politician.
Apart from my disappointment in seeing the
portfolio vacated, I am equally alarmed as
to the affect it might have on the agricultural
industry in Ontario. I cannot see a suitable
replacement for the Minister of Agriculture
and Food under our present government
structure, as both ability and experience in
this most important industry are lacking
within the Conservative caucus.
Mr. Sargent: They have somebody lined
up.
Mr. Riddell: However, Mr. Speaker, I am
sure the people of Ontario will take this
matter in hand during the next election,
recognizing the great potential of the hon.
member for Huron-Bruce (Mr. Gaunt), who
has been involved in agriculture all his life
and who has been very effective as the agri-
cultural critic for the Liberal caucus.
An hon. member: So has the member for
Huron.
Mr. Riddell: Speaking of the hon. member
for Huron-Bruce, I listened carefully to his
remarks during the debate on the Throne
Speech and I would heartily endorse the
criticism that he levelled at Ontario Hydro
in its dealings with the land owners of land
to be acquired for the proposed power corri-
dor from Douglas Point to Bradley junction
and thence to Georgetown and Seaforth.
I am equally concerned about the nuclear
expansion programme announced by Ontario
Hydro, and needless to say my concern is
shared by many people in the Huron riding
and more particularly by a group of citizens
who formed an organization known as
"Cantdu" which was estabhshed to investigate
the potential danger of nuclear energy which
Ontario Hydro is reluctant to reveal to the
public.
Mr. Speaker, I will be commenting on the
findings of this organization and I will be
using direct quotes from the reports which
have been written in an attempt to point
out the potential dangers of further nuclear
expansion at this time. While we are all
aware of our energy needs and the desire of
Ontario toward independence in energy pro-
duction, I am sure we would all agree that
much more needs to be known about the
potential hazards of this source of energy
and more research needs to be done on alter-
nate sources of energy before the nuclear
programme is accelerated. There remain too
many uncertainties in the nuclear programme.
Arguments advanced in defence of nudear
power are short-sighted and inconclusive, and
reliance on nuclear power now will keep us
from really solving our energy problems.
One outstanding uncertainty is the storage
of atomic waste. Those working in atomic
energy and a few informed laymen know and
admit that we are storing plutonium waste
that will remain radioactive for generations
in storage facilities that will be too long out-
lived by the plutonium. Proponents claim the
storage programme is reasonable because it
is managed and as long as it is managed it
is safe. Environmentalists believe that because
the storage programme must be managed,
and managed by people yet unborn in a
society which may be vastly different from
ours, it is clearly unsafe. As long as the
nuclear power programme necessarily com-
mits the management of atomic waste to not
only our generation but also to future genera-
tions, who are consulted on neither the ways
we produce our energy nor on the ways we
use it, the storage problem is clearly unsolved.
The claim that more is known about
nuclear power than about most of society's
previous energy ventures is misleading.
Studies of projected safety are contradictory,
with opponents of nuclear power crying,
"Unsafe '; and proponents crying, "The clean-
est thing yet." In any case, that safetv can
only be projected. We do not have suflBcient
history in nuclear power production to make
real conclusions on safety. We have not been
in the business long enough, and although
our knowledge of the atom and its potential
and efiFects has exploded in relatively recent
years, science is still exploring the effects of
radiation.
To quote Dr. Schumacher in his Desvoeux
memorial lecture in England in 1967:
Of all the changes introduced by man
into the household of nature, large-scale
nuclear fission is undoubtedly the most
dangerous and profound. As a result, ioniz-
ing radiation has become the most serious
agent of pollution of the environment and
the greatest threat to man's survival on
earth.
There has been much learned about radiation
in relatively recent years. Scientists know that
912
ONTARIO LEGISLATURE
low-level radioactive materials are found in
varying quantities in all natural environments.
A very definite correlation has been estab-
lished between the incidence of such diseases
as leukaemia, cancer, etc., and the level of
natural radiation to which the inhabitants of
an area are habitually exposed. These studies
established that naturally occurring ionizing
radiation though unavoidable, is harmful.
Radioactive materials are also artificially
produced. A nuclear reactor produces about
100 tons of various types of radioactive iso-
topes a year. About one per cent of these
are released and over 99 per cent are stored.
During its operation, the reactor continually
releases into the environment small, but none-
theless significant quantities of radioactive
products. These are released through ventila-
tion stacks, cooling fluids and other systems.
It appears to be technically impractical
and certainly uneconomical to eliminate the
escape of a very small fraction of the total
radioactive output of the reactor. The policy
has been to set up permissible levels of radio-
active pollution. These are usually compared
to natural background radiation, the implica-
tion being that what is natural therefore must
be safe or harmless.
Atomic Energy of Canada's claim that
present releases of radioactive material into
the environment do not exceed one per cent
of the permissible level, should be considered
in conjunction with another prediction made
by them that by the year 2000 the installed
and operating nuclear generating capacity
will have increased by a thousand-fold over
the 1970 capacity. An even greater expansion
is predicted in the United States.
Considerable increases in the release of
radioactive materials may also be expected in
such fields as medicine, industry, research,
etc., not to mention war weapons testing and
the increasing probability of nuclear acci-
dents.
Perhaps it would be worth considering
some of the radioactive pollutants at this
time. Tritium 2 is a radioactive isotope of
hydrogen with a half-life of 12 years. It is
briefly described here as an example of a
new man-made, odourless, invisible poison
released into the environment in significant
quantities by reactors, both in their vented
gases and coolants.
In the CANDU heavy water reactor the
output of this pollutant is expected to in-
crease tenfold as the reactor matures, thus
tritium releases monitored at Pickering and
publicized are obviously misleading, despite
the fact that officials admit that present re-
leases of tritium are a little high and the
matter is being given attention.
The tritium molecule is so small that it
will readily diffuse through solid barriers of
aluminum and stainless steel. The problems
of storing and containing this toxic and very
soluble gas are not difficult to appreciate.
Each nuclear reactor must also dispose of
over 100 cubic yards of radioactive garbage
each year, such as contaminated paper, piping,
failed components, and especially spent ion
exchange columns, the devices that attempt
to remove contamination from gases and
fluids to be returned to the environment.
This material is ultimately buried in dispos-
ables' areas set aside for this purpose.
The vast bulk of the radioactive materials
produced by a reactor remains in the form
of spent fuel. As it leaves the reactor, this
spent fuel is highly radioactive and very hot.
Some of the fission products it contains in-
clude caesium 137, strontium 90, plutonium
239, which have half-lives of 30.2, 28.9 and
24,400 years respectively. This means the first
two will take approximately 1,000 years to
decay to a point where they will no longer
have to be isolated. The plutonium 239 will
take at least 800,000 years to return to the
radioactive level of raw uranimn. After 300
years the spent fuel is still generating heat.
The amounts of radioactive waste further
magnify the problem. As previously men-
tioned. Atomic Energy of Canada predicts
that by the year 2000, total nuclear generating
capacity will be 1,000 times that of 1970 and
will have produced in excess of 100,000 tons
of spent fuel. When we stop to analyse the
situation we find the waste will have to be
moved continually as storage facilities wear
out, for at least 800,000 years. Atomic Energy
of Canada, does not consider permanent dis^
posal acceptable but is leaving to future
generations the burden of continual monitor-
ing and transfer of deadly radioactive mate-
rials.
Apparently Atomic Energy of Canada con-
siders this to be an acceptable sollition to the
waste problem but it is really an act of de-
ferring responsibility and determining that
acceptability by future generations will natur-
ally follow.
A second fallacy is the assumption of stable
social and geological conditions over the next
one million years. While all the electrical
generating facihties produce large quantities
of unusable waste heat, nuclear power plants
produce from 50 to 60 per cent more than
JFossil-fuelled power stations of equal electrical
output. Only some 29 per cent of the vast
quantities of heat generated by the reactor
APRIL 8, 1974
913
can economically be converted into electrical
energy. The rest is released into nearby bodies
of water in the form o£ wanned cooling
water.
The Pickering nuclear power plant with an
output of 2,160 million watts returns to the
environment the equivalent of 6,480 million
watts of energy in the form of heat, mostly
in the cooling water. Using the factor watts
times Btu per hour, this quantity of wasted
energy would be equivalent to over 22,000
Btu per hour or sufficient heat to raise the
temperature of over 14.5 million gal. of
water from 60 degrees Fahrenheit to Doiling
point each hour.
With present serious energy shortages, the
dumping of this vast amount of heat to the
obvious detriment of the environment can
only be described as a major defeat of mod-
em technology. If calculations such as these
are superimposed on projected expansions of
nuclear power plants along both the United
States and Canadian shores of the Great
Lakes system, significant changes in the tem-
peratures of these lakes are inevitable. Add
to this the probable increase in nutrients from
various sources and we may expect to see
some profound changes in the ecology of the
upper lakes.
Mr. Speaker, I can anticipate the question
by those proponents of nuclear energy —
namely, what alternatives do I propose to re-
place nuclear energy? In answer to this ques-
tion I may say that in the years prior to 1973
the headlong rush to keep pace with increas-
ing energy demands was an elementary fact
of pouring more fuel or more electricity into
the multitude of existing industries, businesses
and homes.
iSuddenly, a crunch occurred. Hitherto re-
liable and inexhaustible supplies of fossil fuel
were in critically short supply. The search
for alternatives has been intensified and it has
taken two basic directions. The foremost of
these has been the spontaneous expansion of
nuclear power developments.
Throughout the western world nation after
nation plunged forward on the premise that
nuclear power was the answer. Unlike
Sweden, which in 1973 curtailed its nuclear
plants in the light of new information, Can-
ada remains among those countries providing
economic answers to the energy question in
terms of nuclear power.
The second search is played down and
often behttled, yet its ultimate results will be
far more dramatic and conclusively more in-
finite in scope. The alternatives in this lesser
research receive little or any government sup-
port. Public funds have not been made avail-
able to assist the pioneers in the search for
clean energy sources.
Such alternatives include solar energy, wind
energy, methane from organic waste, hydro-
gen as a primary fuel, geo-thermal power,
sea-thermal power, electronic power boosters,
tidal power and the biosphere concept.
Not only is their government support mini-
mal, but politicians have refused to give
serious consideration to the many feasibility
studies which indicate the economic viability
of such power systems. Solar energy as a
source for man's power needs has generally
been ridiculed. The Hansard from Queen's
Park will verify the non-answers of govern-
ment ministers when questioned in these mat-
ters. Yet it is generally agreed that the earth
intercepts 173 to the power of 15 watts of
thermal power from the sun every 24 hours.
This figure represents 100,000 times more
than the entire world's present electrical
power capacity.
It has further been stated that the average
daily amount of solar energy that falls on
Lake Erie exceeds the total consumption
figure for our neighbour the United States
from all energy sources combined during the
same time period. The astounding point to be
made is that this energy is not only clean
but in rather weighty economic terms it is
free. A sampling of examples in which the
application of solar energy is the key to solu-
tion of energy problems would include such
items as heat concentration, direct conversion
and the biosphere concept. Sunlight in the
form of solar heat is collected, used to boil
water or some other liquid, which in turn is
used in the conventional manner to produce
electricity.
The Meinel plan at the University of Ari-
zona is the most technically advanced system
in North America at this time. Solar farms
are envisioned for the southwestern deserts
that will collect heat, generate steam and
operate electrical turbines. By using solid
state electronics a Meinel associate. Dr. B.
O. Seraphin, also of the University of Arizona,
has developed interference stacks as heat con-
centrators, which will not only reduce the
ultimate size of such solar farm collectors, btit
also bring such proposal within the realm of
the present economic criteria for developing
such proposals.
The second proposal for using solar power
is more versatile and would provide power
where it is needed, thus eliminating costly
and offensive powerline systems. The Arthur
D. Little Co., a research firm in Massachu-
setts has proposed space screens for the direct
914
ONTARIO LEGISLATURE
conversion of sunlight into electricity, coup-
led with a laser projection system to beam
power directly to the location of need, to
the industrial hearts in the northeast of this
continent.
The sun can also be used as a power source
on an independent household basis. In some
instances, the roof becomes a solar collector
and supplies an individual home with energy
needs. Coupled with a storage system, such
independent systems are now in use in the
United States.
The biosphere is an integrated approach. It
combines a living area, a greenhouse, a solar
heater and a solar still. Proponents claim
several power functions can be operated in-
dependently from any public utility at a lower
cost than conventional sources for heat, water
and waste disposal.
Systems to harness the wind have been
operating on a small scale for many years.
In the production of electricity conventional
windmill systems producing power for inde-
pendent household use have been available
since 1938. Several firms presently offer such
systems with capacities up to 12,000 watts.
Canadian scientists have recently developed
radically new concepts for wind generating
systems. It is hoped to bring this approach
into operation in the Canadian Arctic.
There has been much discussion in Ontario
in the last few months on the topic of pro-
ducing methane gas from organic waste. The
Ontario Federation of Agriculture has been
urging the government of Ontario to take a
serious look at the possibilities in this area.
They would be well advised to direct their
attention to the work of the Gobar Gas re-
search station in India and the work of Ram
Bux Singh over the last 20 years.
The engineering firm of J. Hilbert Ander-
son, of Pennsylvania, has produced a system
of heat difference conversion using the oceans
as the power source. The system operates on
the principle of heat differences between two
water sources, such as the 45 deg. difference
in surface Gulf Stream temperatures com-
pared to temperatures several thousand feet
below the surface. A floating power station
provides the additional benefit of using waste
heat to desalinate water.
The preceding sampling of alternatives is
not intended to be exhaustive. The main pur-
pose is to demonstrate that work is progress-
ing. Each activity, however, shares the same
financial problem. Development depends en-
tirely on funds for engineering schemes to
bring existing proposals into reality. Unlike
nuclear fusion, which has been much dis-
cussed but not yet invented, the second set of
alternatives rests within the limits of man's
present technical knowledge. The successful
development of such power projects will be
diflBcult, however, and environmental prob-
lems with some of them would be unreason-
able to deny.
Yet the problems seem slight when com-
pared to the unique danger and unknown
imphcations of nuclear power. Our search for
energy need not be a desperate, unthinking
plunge. All that is required is the decision of
government agencies to provide the much-
needed funds.
The proponents of nuclear energy, Mr.
Speaker, have misled the public into believing
that nuclear power is the safest and cleanest
form of energy. The problem of radioactive
waste and the potential hazards of such waste
are completely ignored.
At the same time that misleading informa-
tion has discouraged responsible choice it has
encouraged the demand. If an energy source
is widely broadcast as safe and if it is rela-
tively inconvenient and seen as unnecessary
to obtain in-dfepth information, why not con-
tinue unquestionably to demand the energy?
Why not go along with an acceleration of
the demand, a doubling every 10 years? If it
is there and if it is clean, why not use it?
In spite of reference lately, to using energy
wisely, the very use of the term "demand"
encourages the demand itself; or at least
discourages critical evaluation of demand
priorities. By calling current and predicted
uses of electricity "demands," we are encour-
aged in seeing our need for electricity not as
something society is responsible for or has any
measure of control' over, but as something
divorced from us that is absolute and not
relative to other considerations.
We nourish an atmosphere that is afraid to
look at whether the sources are really safe
and that is afraid to take time to explore safer
alternatives; and we are apt then to allow
actions to be taken to meet that demand
which would seem preposterous to a more
objective observer. We are all participants in
our culture and co-operate in the use and mis-
use of energy, but the public cannot be held
responsible for nuclear power because the
public has not been allowed really to examine
and respond to the issues.
The economics of nuclear power can also
be questioned, Mr. Speaker. Because of the
very large but obscure investment of both
federal and provincial government funds, the
comparison of costs between nuclear and
fossil-powered generating plants can be quite
misleading. The much higher capital invest-
ment of a nuclear station has to be regarded
APRIL 8, 1974
915
as a total write-off at the end of 30 years, the
estimated h'fe of the reactor. Due to radio-
active contamination, it is improbable that
much of value vsdll be economically recycled.
Loss of land and caretaldnc of abandoned
nuclear power stations should be charged
against their productive lives. On-site gener-
ating costs constitute only a small fraction of
the cost of electrical energy delivered to the
consumer. Because of the policy of locating
nuclear power stations at points remote from
the areas of major consumption, transmission
costs will be high. Power corridors cormecting
nuclear generating stations to the grid system
and modifications of the grid to carry the
extra load should be charged to nuclear
power.
I fail to understand, Mr. Speaker, the
policy of locating nuclear power stations at
points remote from the area of major con-
sumption, for such plants could logically be
established in areas of the Canadian shield
where water is plentiful and where land does
not lend itself to agricultural production.
Suitable sites in the Canadian shield are also
much closer to the large urban centres such
as Toronto than is Douglas Point.
There is talk about the construction of
another nuclear plant in Huron county south
of Goderich where over 80 per cent of the
land is prime agricultural land. Such a plant
would be situated in the heart of cash-crop
country. I think you can appreciate, Mr.
Speaker, that such crops as white beans are
subject to a disease known as bronzing on
which the pollutants in the atmosphere have a
direct bearing.
An hon. member: That's right.
Mr. Riddell: Not only will the nuclear
station in the power corridors connecting this
station to the grid system use up good agri-
cultural land, but the waste products of
energy production will interfere with crop
production and it can only lead to more
serious food shortages and higher costs to the
consumer.
We can't afford to lose another acre of
prime agricultural land. How completely ir-
responsible it is to sacrifice essential energy
from food to nuclear energy which could well
prove to be the greatest threat to man's
survival on earth.
I would like to turn briefly to another mat-
ter, Mr. Speaker, and by way of introduction
I would like to read part of an editorial which
appeared recently in the London Free Press.
The editorial was entitled:
Metro— Ontario's Weu'are Case
Taxpayers elsewhere in Ontario should
flinch whenever they look at Metro To-
ronto. That is their money disappearing into
Metro's maw.
By its very size and the nature of urban
problems, Metro commands the greatest
share of provincial funds, but how much is
enough? Or to put it another way, how
much is disproportionately at the expense of
the rest of the province?
To what degree, for example, should tax-
payers outside Metro be responsible for
cushioning Metro's welfare families from
high shelter costs by subsidizing rents paid
to private landlords? Rents in Metro are
doubtless the highest in the province and
some allowance should be made for re-
gional variations in living costs, but there
should be a uniform policy stressing the
use of public housing, not an ad hoc system
of providing provincial assistance to the
urban community raising the most clamour
and thereby monopolizing provincial atten-
tion.
It invariably seems a lot easier for Metro
Toronto to gain provincial sympathy than
for a small community like Centralia or
Clinton, say, to provoke provincial re-
sponse to a social problem such as a fac-
tory closing whose local impact is equally
severe.
That's the end of the article.
I would like to pause here for a minute,
Mr. Speaker, and to reflect on the govern-
ment's complete irresponsibility and insensi-
tivity in the past year to two problems which
had very serious social implications.
The only packing plant which existed be-
tween Kitchener and Windsor, the heart of
concentrated livestock production, went bank-
rupt because of internal famfly-management
problems resulting in financial diflBculties
which could not be considered exorbitant. The
Ontario government, through the ODC pro-
gramme, could have helped interested con-
cerns to reactivate the plant in the interest of
the agricultural industry in southwestern
Ontario but chose rather to turn a deaf ear
to the pleas and calls of those who expressed
their concern.
I was somewhat surprised at the attitude
of the government in this matter, considering
that Middlesex county both north and south,
is represented by Conservative members, as
is the city of London.
Failure by the government to assist the
packing plant in reactivating its operation has
916
ONTARIO LEGISLATURE
resulted in the loss of another buyer of agri-
cultural produce and a supplier of consumer
food.
Hog and beef producers rely on open
competition for the sale of their livestock,
and the Coleman Packing Co. had a good
reputation for dealing fairly with the farmers
and doing an excellent job of processing the
meat to the satisfaction of the consumer.
A similar situation, Mr. Speaker, but one
that is closer to home and one in which I
became directly involved was the closing of
the Hall Lamp Co. at Huron Park. Huron
Park was taken over by the Ontario Develbp-
ment Corp. after the air force base was
phased out. The houses on the base were
rented and industry was encouraged through
both forgivable and unforgivable loans to
make use of the existing buildings. Hall Lamp
was a subsidiary of an American concern but
it was one part of the overall business that
continued to show a net profit each year.
Needless to say, the profits were used for
business ventures in the United States by the
American owners, but the Hall Lamp Co.
did provide jobs for 400 people, most of
whom resided in Huron county.
The business went into receivership because
of the non-profitable business ventures in the
United States and then later went into trus-
teeship. The former managerial staff of Hall
Lamp was prepared to purchase the assets
from Hall Lamp and to continue it opera-
tions, provided it received assistance from the
Ontario Development Corp. as well as from
other lending agencies.
We arranged a meeting with the Minister
of Labour (Mr. Guindon) and the Minister
of Industry and Tourism (Mr. Bennett) to
discuss the financial obligations of the former
company to its employees, and to seek out
support from the Ontario Development Corp,
for the purchase of the assets and the opera-
tion of the plant divorced of any American
interest. The Minister of Industry and Tour-
ism was supposedly occupied with promoting
Canadian sales abroad so we were forced to
discuss the matter with the managing director
of ODC, Mr. Etchen.
Mr. Etchen was good enough to send two
of his staff to Huron Park to work with the
former managerial staff of Hall Lamp in pre-
paring a bid which would be reasonable to
submit to the receiver. Everything seemed to
be moving along quite nicely, but for some
reason, at the last minute, the Ontario De-
velopment Corp. withdrew its support and,
as a result, the plant ceased to function. The
majority of the former employees are still
without work.
The business is now in trusteeship. When
the trustee gets possession of the assets from
the receiver he will advertise for bids. Failing
the acceptance of a bid for the assets as a
whole, he will advertise for bids partial in an
attempt to sell the business in part. The last
resort will be the selling of the assets by
auction.
Mr. Speaker, it is my contention that once
again the Ontario government could have
come to the rescue and saved an industry
which was so important in this part of
Ontario, having such limited industrial de-
velopment. There are problems outside of
Toronto, Mr. Speaker, that require the On-
tario government's consideration. It's time the
Ontario government realized that it is not
the duty of the rest of the province to cater
inexhaustibly to Metro's wishes.
I might just say here, Mr. Speaker, that
the closing of Hall Lamp jeopardized the
continued operations of many satellite com-
panies operating in the area. Once again, the
government seems insensitive to the needs of
small business.
Another matter which gravely concerns the
people in southwestern Ontario is the con-
tinued centralizing tendencies of the Ontario
government. The government's attempt at
achieving economies of scale by centralizing
municipal decisions has backfired, and the
dramatic increases in regional government
costs are now adding to the inflationary pres-
sure in our economy. The cost of services
assumed by regional municipalities has in-
creased from 36 per cent in some municipali-
ties to 120 per cent in others.
Residents in some regional municipalities
are faced this year with tax increases of 500
per cent— or more specifically a man who paid
municipal taxes of $106 last year wall pay
$496 on the same property this year. Suffice
to say at this time, Mr. Speaker, that the
provincial government's programme of impos-
ing regional government throughout Ontario
must be stopped.
To add fuel to the fire, the Premier's an-
nouncement on Feb. 14, 1974, of a 12-
member Ontario Hydro board means that the
government, in effect, is taking over the
assets of a system it does not own. Really,
what it boils down to is that the Ontario
government is on the verge of administrating
$800,000 right out of existence. The 12 mem-
bers of the Ontario Hydro board include only
two representatives of the Ontario Municipal
Electric Association. The government fails to
recollect that municipalities founded the sys-
tem more than 60 years ago, and through
their electric commissions have built an invest-
APRIL 8, 1974
917
ment in it worth about $800 million. The
Ontario Municipal Electric Association repre-
sents more than two million electricity con-
sumers, and its member commissions own
about 70 per cent of the electrical supply
system.
The government's proposal of restructuring,
whether it be municipalities or public utili-
ties, should be only for the purpose of making
municipalities stronger and more meaningful^
and to transfer responsibilities from Queen's
Park to the municipalities and not from the
municipalities to Queen's Park.
Local public utility commissions are con-
cerned about the report of the government
committee on restructuring of public utilities
in Ontario, and their main concern is the
danger of losing local autonomy. Many local
utilities are completely self-sufficient and do
not contract work to private companies or to
Ontario Hydro. They do, however, perform
work for utihties in adjoining municipalities
when requested to do so.
Local utilities are suggesting that a num-
ber of items be considered when rationaliza-
tion studies are being taken into account.
Rationalization of utilities should only be
considered after studies are completed that
lead to the reorganization of municipalities
in the counties or regions considering re-
structuring. This action will allow more op-
portunities for existing self-sustaining utilities
to expand, to take the responsibilities of a
restructured and a larger municipality. If a
regional electrical utility is not viable, and
where there exists one or more electrical
utilities within areas of a region or re-
structured county, local option should deter-
mine whether the existing utility or utilities
will assume responsibility for electricity with-
in the new area municipality.
Mr. W. Hodgson (York North): That's the
way it is done.
Mr. Riddell: A predetermined population
count-
Mr. W. Hodgson: What is he talking
about?
Mr. Riddell: —should not be a deciding
factor, but the criterion should be whether
an existing utility should be expanded to
take care of the new area municipality. The
whole concept of regionalization or restruc-
turing is to expand the municipalities in order
that they can operate more of their services
on the regional or lower level. Every eflFort
should be made to operate the distribution
system as an electrical utility controlled by a
commission. To eliminate utilities that could
be expanded and to give the responsibility
to the power district would be contrary to
the whole concept of restructuring, which
in our understanding is to give more author-
ity to local government. The liaison between
the utility-
Mr. W. Hodgson: That is not what the
member's deputy leader says. He wants to
take it away from the trustees; he wants to
give it to the regional government.
Mr. M. Gaunt (Huron-Bruce); Oh no, that's
another story.
Mr. W. Hodgson: Thai's right. He wants
to take it away from the York commission
so he can give it to the government.
Mr. Riddell: The liaison between the utility
and the municipal council in most cases is
quite compatible, as a public utility takes
a prominent part in the community life of
any municipality and is sensitive to com-
munity and municipal council's requirements.
When studies regarding restructuring take
place, distance, as well as the weather c(mi-
ditions at the respected areas, should be
considered. Areas in the snowbelt are often
isolated by snow for periods of several hours,
and in some cases for several days. During
this time of adverse weather conditions, the
temperatures are usually below normal and
the overhead clamp is susceptible to damage.
The importance of readily available ser\ice
crews during these periods must be a prime
consideration.
If as a last resort a utility must be ab-
sorbed by the power district, every effort
should be made to absorb the work force of
the utility. The report on restructuring did
not mention employees moving from a utilit>'
to Ontario Hydro. These benefits and posi-
tions should be protected in the same manner
as they are for Ontario Hydro employees
who move to a utility.
I do not want to dwell on this subject
any longer, Mr. Speaker, other than to say
that in my opinion the municipal utilities own
the electrical systems and that fair and last-
ing representation of municipalities on the
Ontario Hydro board is essential to protect
the basic rights of Ontario citizens to high-
quality electricity service at a reasonable cost.
Mr. Speaker, I have listened to a number
of members debate the Speech from the
Throne and criticize the government for its
lack of policy to curb inflation. The high
cost of food is mentioned time and time
again, and inevitably the former is labelled
as being the culprit.
918
ONTARIO LEGISLATURE
Mr. J. A. Renwick (Riverdale): No.
Mr. Riddell: I am concerned, Mr. Speaker,
about the misunderstanding between the
farmer who produces our food and the con-
sumer.
Mr. Renwick: That's a straw man; that is
not true.
Mr. Riddell: Many consumers beHeve that
the cost of food has risen too quickly, and
that the farmers are getting a higher than
necessary share of the consumers' dollar.
Farmers, on the other hand, feel that the
prices they receive for their products have
not increased in proportion with the prices
they must pay for the goods and services
which they buy.
Farmers need and deserve increased in-
come. I think you will agree with me, Mr.
Speaker, when I say that a thriving agricul-
tural industry is essential to a strong and
growing Canadian eonomy.
The Canadian farmers are second to none
in their ability to produce food of the quality
and quantity desired by Canadian consumers.
Farmer producers are justified in expecting
a fair price for their product, and a reason-
able profit from their eflForts.
Inflation seems to be a central theme in
many of the debates that I have listened to
in this session of the Legislature, and I
would like to try to bring the whole matter
of food costs into persepective.
Food prices in Canada rose by 17 per cent
in 1973, and will probably rise another 10
per cent this year. Food prices have caught
up to general wage gains. The portion of
disposable income Canadians spent on food,
after declining for a number of years to
about 18 per cent, will rise in ihe next
two years to 20 to 21 per cent.
Although Canadians are better off than
most nations, the sharp increases threaten us
all and particularly those on low and fixed
incomes. On the one hand we have the
poor families oaught in the price spiral, but
on the other hand there are those who have
been beneficiaries.
Farm incomes have risen from disastrously
low levels to more reasonable ones. Whole-
sale prices of farm products, which dropped
despite increasing costs to the farmer during
1970 and 1971, rose 23.4 per cent in the
period January to July, 1973, enough to cover
rising costs of 11.6 per cent and more.
Farmers have improved their poor position.
Processers and retailers who were already
doing very well, that is 10.8 per cent on
e\'er\- dollar invested in 1970 for the food
manufacturers and 11 per cent for the re-
tailers, are for the most part making hand-
some profits. Average corporate profits rose
34 per cent in the first half of 1973, while
the food processing companies were up 56
per cent over 1972,
In a time of rapidly rising food prices most
of us are inclined to think that someone
in the industry is making extraordinary profit
at the consumer's expense. The leader of the
NDP (Mr. Lewis) is inclined to blame the
supermarkets, and to some extent the middle-
man; but I'm pleased to see that he did not
levy the blame on the farmers.
In the complex food industry it is very
diflBcult to obtain reliable cost and profit
figures. Individual variables can be so im-
portant. And if I may use an example, an
eflBcient farmer might be able to turn a
profit where a not so eflBcient farmer cannot.
Some commodities are sold in two ways— by
spot purchase or by contract— making it diflB-
cult to determine average prices from one
week to the next. Growing seasons vary
across the country, as do freight charges
and distribution costs.
Retailers' prices are subject to the vagaries
of supply and demand and to changing mar-
ket strategy. Profits can turn into losses
quicker than one can bat an eye. Despite
these diflBculties, advisers in the food indus-
try have been able to prepare— from the most
reliable information possible— the cost and
profits involved in certain food items.
This review of cost and profit was reported
in the latest edition of Maclean's Magazine
and I believe certain figures are worth men-
tioning at this time.
A typical Canadian meal was used as an
example to show how the consumer's price
is derived. A food item such as peas returned
the farmers a profit of two cents a pound,
the processor a profit of seven cents a pound
and the retailer a profit of ten cents a pound.
The farmer sold the peas for six cents a
pound, and the consumer pays 43 cents a
pound in the supermarket.
Milk made the farmer a profit of three
cents a quart, the processor a profit of two
cents a quart and the retailer lost 3,5 cents
for every quart of milk sold. A pint of ice
cream made from six ounces of industrial
milk made the farmer a profit of two-tenths
of a cent for the milk, the processor of three
cents for the milk and the retailer a profit
of 12.3 cents for the milk. The milk sold
to make three ounces of butter made the
farmer a profit of six-tenths of a cent, the
processor a profit of six-tenths of a cent and
APRIL 8, 1974
919
the retailer had a net loss of seven-tenths of
P a cent when he sold the butter.
Two pounds of potatoes made the farmer
a profit of two cents, the processor a profit
of two cents and the retailer a profit of 2.2
cents. The tomatoes u.sed to make four
ounces of tomato juice made the farmer a
profit of 1.6 cents, the processor two cents
and the retailer one-tenth of a cent. A three
pound chicken made the farmer a profit of
15 cents, the processor a profit of nine cents
and the retailer a profit of six cents.
The final cost of the meal, including the
items which I have just mentioned, was $3.76.
It cost the farmer a total of $1.28 to produce
the commodity and his share of the final
profits was 24 cents. The processors* cost was
$2.63 and they made a total profit of 26
cents. The costs were highest at the retail
level, $3.49, and the profits were 27 cents.
(Walter Stewart's article on Canada Safe-
way Ltd. suggests that supermarket giants are
rurming up our grocery bills, not because of
any excess profits which they make but be-
cause of the marketing methods they use to
lure us into their stores. While it does not
appear that the retail stores are making an
excessive profit, we must bear in mind that
competition in the food industry has been
greatly diminished as the independents have
been bought out by a few large grocery
chains. The cutthroat competition that super-
markets so anxiously tell us about is not likely
in the long run to bring food prices down. In
the shuffle for position among the food giants,
the chief casualties are the independents.
The grocery chains spend a lot of money
battling each other. They do this through ex-
tensive promotions. They build more stores
than they need and install fancier equipment
than we want and tag on free parking, dieap
credit and a host of other extras. In the end
most of these campaigns tend to be self-
cancelling. As soon as one chain does it
another follows and no advantage accrues to
anyone. Advertising by food chains and price
wars are a sign of oligopoly, not competition.
These rivalries result in self-cancelling adver-
tising. The result is an exclusive emphasis on
very shiny, well located, retail store premises
whose costs are borne by the consumer.
In 1962 independent stores accounted for
54.8 per cent of the market and chains for
45.2 per cent. By 1972 their positions were
reversed. The chains had 54.5 per cent and
the independents 45.5 per cent. The trend is
continuing and before long the independents
twill be cmly a minor force in the market. If
prices have come down as a result of this in-
crease in chain dominance, word has not
reached the c<msuiners yet. The net retult,
Mr. Speaker, is that price wars appear to
cripple the independent and transfer me cost
of the campaign against them onto eveiyone
else's grocery bill.
Mr. Speaker, let me give you an example
of what nas happened to the food jproceasine
industry over the years. Canada Safeway Lto.
is a wholly-owned subsidiary of Safeway
Stores Inc. of Oakland, Calif., the second
largest food retail chain in the United States.
Canada Safeway was set up in 1929 in west-
em Canada and inunediately began to grow,
mainly by purchasing not onKr other retail
stores but wholesalers and fooci processors.
With this running start, Safeway grew to a
huge, fully-integrated grocery business with
control not only over its own supermarkets
but over its suppliers as well. Its wholly-
owned subsidiary, Macdonald's Consolidated,
operates a wholesale grocery business, bakery,
a fruit and vegetable plant, a coffee roasting
factory and a jam and jelly plant. Safeway
has its own canners, its own frozen food oper-
ation, its own fluid milk plant, ice cream fac-
tory, tea packing firm, cneese-cutting opera-
tion and its own beverages and egg suppliers.
It even has a company, Wingate Equipment
Lessors Ltd., which owns and leases the fur-
niture, machinery and appliances used in
Safeway stores and warehouses. Safeway's
policy has been to take control of the market,
and one can assume this has led to monopoly
pricing. I believe, Mr. Speaker, what it boils
down to is that we need more adequate legis-
lation in order to protect Canadian consimiers
against soaring food prices, which in my
opinion are a direct result of the monopoly
situation of a few large chain stores.
To conclude, Mr. Speaker, I firmly believe
that if there is a villain in the marketplace,
then the finger must be pointed at govern-
ment, and both the provincial and federal
governments must share the responsibility.
What effective legislation has government
passed, or indeed if such legislation does
exist, what action has the government taken
to curtail vertical integration, which we know
to be the cause and effect of monopoly
pricing and consumer gouging? What steps
has government taken in recent times to cur-
tail dfeficit spending, which we know con-
tributes to inflation? What programmes have
government introduced to assist the small
entrepreneur in either establishing a business
or continuing a viable operation, which per-
mits free and open competition to operate
effectively in the marketplace?
I will admit, Mr. Speaker, that programmes
have been im'tiated to protect the small family
920
ONTARIO LEGISLATURE
farm. But government has completely lost
sight of the need to protect the small family
farm. This government is disillusioned in its
conception that everything that is big is also
good. It is time this government realized
there is merit in competition, there is a
place in our economy for the small business-
man and there is a need in our democratic
process for local autonomy.
Mr. Speaker, much could be and has been
said about other causes of inflation and about
the housing crisis that looms large in Ontario
at the present time. I do not intend to re-
iterate what already has been said about this
very great problem. I do hope, however, that
the views, criticisms and suggestions of my
leader in his amendments to the Throne
Speech, will be seriously considered by this
government in its attempt to formulate policy
and propose legislation which will be for the
good of all people and not just for a choice
few.
Thank you very much, Mr. Speaker.
Mr. R. G. Hodgson (Victoria-Haliburton):
Mr. Speaker, one could say, "Thank God for
Maclean's magazine"— otherwise both opposi-
tion parties wouldn't have any research. One
can appreciate their research efforts by read-
ing Maclean's magazine and listen to them
quoting the articles, as was done by the
member who just spoke and by the member
for York Centre (Mr. Deacon), because they
use Maclean's magazine extensively for the
subjects of their speeches.
Mr. Riddel! : It's a good thing somebody
does some research.
Mr. R. G. Hodgson: I was also struck by
the fact that the member for Downsview (Mr.
Singer), in one part of his speech today,
referred to his discussion vnih a reporter in
the press gallery. He then referred to the
article the reporter had written and quoted it
as gospel and as substantiation of what he
was saying.
It sounds very good. But I do think there
is more to the media and more to research,
and there's more to understanding some of
the problems today. One of the best places
to get that sort of information is by talking
to the person on the street and understanding
what that person is going through.
Mr. R. Haggerty (Welland South): Or go
to the barbershop.
Mr. R. G. Hodgson: Well, one can get a
lot of information in the barbershop.
Mr. Renwick: Is that barber still around in
Lindsay.
Mr. R. G. Hodgson: He could be, but per-
haps he is somewhat like the NDP. I mean,
the hon. member who just finished speaking
was talking about a machine to make energy
from the wind. Well if it runs like the official
opposition party, I would hate to see how
efficient it would be, because it would have
very much the same amount of stops and
starts-
Interjection by an hon. member.
Mr. R. G. Hodgson: -and it would certainly
not be acceptable as an alternative. The New
Democratic Party, of course have great
memories of those old-timers who tried to
produce a perpetual motion machine. So far
they have developed it very well with their
hinges on their jaws— but that's as far as it
has gone.
Mr. Renwick: That's a joke. That's a real
joke.
Mr. R. G. Hodgson: Now I would hke to
mention, Mr. Speaker, that in our Throne
Speech there is a reference to making seat
belts mandatory. I would like to say at the
outset that I'm against such legislation.
Mr. Renwick: Why?
Mr. R. G. Hodgson: Well, I will tell the
hon. member some of the reasons.
Mr. Gaunt: Come on over here.
Mr. R. G. Hodgson: I happen to be one of
the few people in Ontario who had their
lives saved by a hard hat— that's safety equip-
ment. I happen to be one of the few mem-
bers of this Legislature, I think, who had his
life saved by a hardhat. I happen to be one
of the few members of this Legislature who
is a director of a safety association, one of
the seven in Ontario, and I have devoted time
to their work. I also am an honorary director
of a safety association of Ontario, in recog-
nition of some of the work I have done in
safety.
Mr. B. Cilbertson (Algoma): The member
has done a good job, too.
Mr. R. G. Hodgson: I have to say to the
members that there is quite a difference
between a hardhat or safety protection equip-
ment, and mandatory wearing of a seatbelt
by law. I have quite a few letters from
people who have had their sons' and daugh-
ters' lives saved by not wearing a seatbelt.
APRIL 8, 1974
021
I have so far only two who have had their
lives supposedly saved by wearing a seatbelt.
My father's life was saved by not wearing a
seatbelt. My colleague from Glengarry (Mr.
Villeneuve), who sits on my right, had his life
sa\ed recently by not wearing a seatbelt.
Mr. Renwick: How does the member know?
Mr. R. G. Hodgson: Because he has the
OPP and other people who observed the
scene of the accident who are willing to
swear that if he had been wearing a seatbelt
he would not be here today.
A very personal friend of mine last Novem-
ber lost his life by wearing a seatbelt— in the
opinion of experts and officers who came to
the scene of the accident.
So I have to say to the members that I
think this is one thing that should not be
mandatory in law, not only for all the reasons
regarding the fact that the law can't be en-
forced, and a law that can't be enforced is a
poor law. I think there are other reasons. I
think that when we hear the statistics about
Australia, we have to compare the Australian
scene with conditions in this country— such as
the speed limits.
We have noticed that in the United States
the accident ratio has come down drastically
because of the lowering of the speed limit.
We have to look at that.
There are a lot of things that I don't think
have very much merit with regard to making
seatbelts mandatory, I think it is quite a dif-
ferent thing if one is talking about the pas-
sengers in a car, rather than the driver. I
think there are two different situations here.
I think, first of all, if one looks at many
wrecks in wrecking yards, he will notice that
the passenger's head has often broken the
windshield. Therefore I think there is some
merit, perhaps, in a passenger in a car wear-
ing a seatbelt. In the case of the driver, the
seatbelt often locks the driver in so he can't
move to get away from the impact of the
steering wheel or he can't be thrown aside.
Since he is on the side closest to the ap-
proaching car in most cases, he is going to
take the full impact of the accident.
So I think there is much to be looked at
here and much assessment needed before any
government considers making mandatory the
wearing of seatbelts in a car by everyone in
the car. I think passengers and drivers are
two different kettles of fish. I think you have
two different situations, Mr. Speaker, and
the\- should be looked at carefully before
such things are undertaken.
Mr. Gaunt: Is the member going to vote
against it?
Mr. R. G. Hodgson: Yes, I will. If the
government brings it in, insists on bringing it
in, I will vote against it.
Mr. Renwick: What about the courts? They
are taking that into account when they are
awarding damages now.
Mr. R. G. Hodgson: Does the member al-
ways consider that justice is levied by courts?
Mr. Renwick: No, I am asking a question,
what about the courts?
Mr. R. G. Hodgson: My hon. friend from
Riverdale talks about the courts. I say to him,
what is going to be the damage situation with
regard to insurance after there is a law to
wear a seatbelt and we have a person who
has undergone an accident in violation of the
law because he wasn't wearing a seatbelt and
lost his life? Is his insurance company going
to carry that out and pay full fees? I doubt
it very much. I think the kwyers will have
another very lucrative base to work on.
Mr. Renwick: Two things bother me. One
is that the courts take into account whether
the victim has been wearing a seatbelt or not,
and the other is that the motor vehicle acci-
dent reports of the police force of the Metro-
politan Toronto area ascertain as one of the
facts in their reports whether a seatbelt was
being worn.
Mr. R. G. Hodgson: Yes, but I think the
member also has to look at aH the accident
reports of the province. There are some times
of the year when, if a driver drove into a
ditch— for instance now— and the ditch was
full of water and he was locked in by a seat-
belt, he very likely would be drowned as a
result of wearing one. If one has a situation
where the front seat of one's car is torn
loose and one is dumped down into the
front, underneath the steering wheel, one
could lose one's life because the car rolls on.
There are a lot of things that I think one
has to take into consideration here.
There is no substantiation, in my opinion,
for making the driver of a car wear a seat-
belt; I think there is more hazard to that
driver wearing a seltbelt than there is safety
in his wearing one. I simply say I think
there is a drastic difference here.
However, I want to talk for a moment
about Ontario's natural resources, especially
in regard to timber and trees. Northern On-
tario is a very slow growth area as far as
922
ONTARIO LEGISLATURE
trees are concened, and it has always seemed
to me that while it is being done, there should
be even more trees planted in the north and
there should be more done than there is now.
I might say that if a government or a
country was thinking about a full return
for the dollar, middle Ontario has a very
rapid, high growth rate for trees. We have
a relatively small amount of trees being
planted today. I am particularly struck by
this, because some articles I read recently
about the United States caused me great
caution and made me pause to consider the
future of the forest industry in Ontario;
what is it going to be 30 years from now?
First of all, they have developed a species
of tree that matures in 30 years. In 30
years they are going to have, perhaps, a
very great forest resource; but at the rate
Ontario is planting trees and doing forest
improvement work, I doubt if in 30 years
we shall have as much timber resource as
we have today. Yet we'll have more people
and we'll have more demand on that resource.
Mr. Renwick: A damning indictment of the
government.
Mr. R. G. Hodgson: I don't doubt that for
a minute. I think it is a damning indict-
ment of any government which has allowed
a situation like this to exist.
Mr. Renwick: Thirty years of Tory rule.
Mr. Speaker: Order.
Mr. R. G. Hodgson: I simply say it is bad
practice to not plant more trees than we cut.
Interjections by hon. members.
Mr. H. Worton (Wellington South): Not
too much order.
Mr. R. G. Hodgson: Especially when much
of our wealth, much of our employment,
much of our house building and home build-
ing—all these things— depend on our resources
of timber in Ontario. I worry about this
because I can see what's happening.
We do not have enough programme money
for forest improvement in hardwood areas,
in the hardwood band of Ontario. It will
take money to thin the trees, to upgrade
the trees and this sort of thing if we are
going to have a hardwood forest in our
future. My lady's high heels may be passing
fancy but when one realizes that most of
them are made from maple today, we might
not have them in existence in any quantity
in a few years.
I have two counties on whose behalf I
have resisted the legislative action of this
government with regard to cutting off the
wolf bounty. I accepted the idea of a better
predator control programme; I'm still waiting
for it. Much of Ontario is still waiting for
it, most especially the counties and districts
surrounding Algonquin Park-
Mr. Gilbertson: Algoma is in the same
predicament.
Mr. R. G. Hodgson: -that protected area
of Ontario under the complete control and
supervision of the Ministry of Natural Re-
sources. Wildlife is not interfered with there
by the hunter, by the trapper or by any
individual; it is protected in many thousands
of acres. Predaors are also protected but
many species of wildlife are in dire straits,
almost disappearing from Algonquin Park. As
a result the predators have moved on, they've
moved into our area. They've moved on
through our area into other sections of
Ontario and a predator control programme
which does not manage predators in connec-
tion with wildlife does tremendous harm to
the future of this country.
New Zealand exports venison and so do
many other countries of the world, but they
manage their predators. In the neighbouring
states, hunting licences allow one to take
as many as two dear and so on, because they
have managed their predators. Some of the
finest speckled trout fishing in the world is
in Newfoundland, where they don't have a
predator on speckled trout.
Yet it seems to me the policy of the
Natural Resources people in the biology field
here in Ontario is to protect the predator and
destroy the game— animal, fish what have you
—by not protecting yet by supervising the
predators. It is a poor policy, I think. I have
seen speckled trout lakes ruined by perch
and other predators.
I have noticed one big improvement, and
it gives me a great satisfaction, and that is
the increase in the price of coon fur this
year. I feel that back will come some of the
ducks in our area, back will come some of
the loons, because these are the predators on
the loon and the duck eggs in my particular
section of Ontario. So the high price for
that fur, I think, will have a beneficial effect
on most wildlife and birds in my area.
It will be interesting to see. It happened
in the Thirties where we had a tremendous
increase in the wild fowl by elimination of
predators because of the high fur rates for
those and the subsequent drop off.
I would like to say a bit about uranium.
The province recently announced that we are
APRIL 8, 1974
823
hoping to expand our uranium mines and our
production. I have part of the Bancroft min-
ing camp in my riding, that section where
licences were taken away several years ago
to the then Prime Minister of Canada's riding;
taken from ours and taken up there. They
closed the mines in my riding by such a
method.
There is going to be an expansion of the
uranium mines in Ontario. I would like to see
our area thought about in this connection.
I would like to suggest that the government
of Ontario should be fully involved, because
the idea that we would again have a mining
bust and boom sort of situation, in my riding
in particular, would be against my wishes.
I think the Ontario government could man-
age the uranium mining camp and it might
take into consideration the development of a
mining process in connection with the prov-
ince or with the federal government in co-
operation.
Mr. Renwidc: Public ownership of the
uranium industry this year is essential.
Mr. R. G. Hodgson: I don't think they have
to. I think they can produce the ore and
bring it to a central mining processing plant
that may well be owned by the province.
I think there is place for both free enterprise
and the province to be involved in the com-
mon enterprise in producing uranium ore.
Mr. Renwick: Not in our major source of
fuel.
Mr. R. G. Hodgson: In my area at the
moment Imperial Oil is doing a lot of pros-
pecting for uranium. There is Faraday, which
is mainly owned by American interests. There
are several other very good deposits of uran-
ium and to my way of thinking we could
have a 30 or 40 year production there. But
if high-grading is allowed we may have 10
years of boom and 20 or 30 years of bust
again, and I don't think that would serve
anybody; because in the village of Bancroft,
for instance, in the last uranium boom we
had as many as three or four banks, and
today we have one or two. Stores went out
of business and people lost money through
investments and all that sort of thing. I think
that there is a better way, especially when
uranium is under the control of governments
and can be continued that way.
I would like to suggest one other thing.
Much of Ontario has a very high-cost educa-
tion plant in existence today because of the
requirements of the HS-I. It seems to me
there is discussion and rumour today that
we are goine to start high schoob od a
ters basis. If we do this nobody, but nobody,
can manage the cost of education.
Just think of a high school that has planned
its teaching staff and its school rooms at the
start of a school year in September, with
everything going, and say 200 of your pupils
take off for community college or university
in December. Where does it leave your
Where will it leave the cost of education?
And this is what some of the rumours are
in education today. It seems to me that if
we got back to a few mandatory courses,
rather than some of the permissive stuff we
have, it would become a lot cheaper and a
better and sounder educational system in the
Province of Ontario.
Thank you very much, Mr. Speaker.
Mr. Speaker: The hon. member for Welland
South.
Mr. R. Haggerty (Welland South): Let me
first thank you for the many courtesies afford-
ed to me in the Legislature. I am extremely
pleased to see that you have recovered from
overexposure to the workload of the last
session. I know at times there were hectic
moments in many of the debates of the last
session. I am sure all members of the House
will agree that we are extremely impressed
with the manner in which you accept the
daily challenge, and particularly pleased with
your impartiality in this Legislature.
I have noticed on several occasions, Mr.
Speaker, that you have been annoyed by
some members, perhaps under strain, who
have caused disruption of the proceedings in
this assembly; members who have been noisy
in character. Sometimes I wish you would
crack the whip and be a little more firm,
particularly during the shouting match by
members in the question period. And perhaps
I raise this, at this time, Mr. Speaker, because
many of the members of this House, particu-
larly in the back rows, have very little oppor-
tunity afforded them to ask or raise their
questions in the assembly. Sometimes they
are rather important questions to the back-
benchers in this assembly, and I wish per-
haps more consideration could be given to
some of us in the back rows.
But above all, Mr. Speaker, I want to wish
you continued good health, and hope that all
members will share in your patience and
respect for the important office you hold.
I might add at this time too, Nfr. Speaker,
that I wish to convey my best to the Deputy
Speakers of this assembly. I feel they have
treated all members fairly well.
924
ONTARIO LEGISLATURE
Mr. Speaker, I believe this is the seventh
Throne Speech debate in which I have had
the pleasure to participate. I want to con-
gratulate the hon. member for Brantford (Mr.
Beckett) for moving the address to his Honour
the Lieutenant Governor, and the hon. mem-
ber for Timiskaming (Mr. Havrot) for second-
ing this motion.
I was interested in what they had to say
in their reply to the Throne Speech. Both
members agreed to support the proposal for
a prescription drug plan for senior citizens
and stated that previous assistance was out-
dated. This party has been clear and forceful
on many occasions in advocating policy
changes to assist senior citizens in a compre-
hensive drug plan.
I ask the government to give further con-
sideration to the Throne Speech and to
consider those persons who are in the grey
area and who need special medical care—
those who are not 65 years old but who
require special services; and particularly those
persons between the ages of 55 and 65 who
have very little assistance to maintain a pro-
per living standard in the Province of Ontario,
those people who do not receive old age
security cheques.
The member for Timiskaming has sug-
gested the need for younger and more vigor-
ous commissioners for the Ontario Northland
Railway and the appointment of a commis-
sioner to represent labour. Well that is a
Tory switch, and I am sure all members of
the opposition agree to these two proposals. I
wish this member well in moving the govern-
ment in this direction; and of course if one
has read the Globe and Mail in the past
couple of days, I hope that they move in this
direction much more quickly than he has
suggested.
We in the official opposition can also agree
and support the suggestion of issuing credit
cards for the health services programme in
Ontario. I can recall that this is not the first
instance of which this suggestion has been
place 1 before the House. I believe it was the
hon. member for Nipissing (Mr. R. S. Smith),
who as this party's health critic a few years
ago suggested this was one step in the right
direction to reduce the red tape and confu-
sion that existed in the early stages of the
Ontario health insurance plan. It would also
provide a clear cut picture of services ren-
dered by the medical profession to the patient
and no doubt speed up payments to the
medical doctors.
Mr. Speaker, during the Throne Speech
members can well appreciate the considera-
tion that the government has finally taken to
improve the standard of living for citizens in
remote areas of northern Ontario. I have also
noted that the federal government will be
sharing in expansion programmes in northern
Ontario. The programme is long overdue and
will be supported by members on this side
of the House. The establishments of local
councils in unorganized territories will no
doubt be welcomed by many citizens in
northern Ontario. The first decentralization of
power from Queen's Park in itself is a major
step. This will allow citizens a voice and
participation in local issues, so that they will
be able to make their own decisions in the
best interest and welfare of their communi-
ties. I commend the government for this pro-
posal.
The question of mandatory use of seatbelts
has not been well received by Ontario motor-
ists. The old saying "Speed kills," promoted
by safety crusaders, is well substantiated by
the recent drop in traffic fatalities in the
United States. Speed limits were reduced as
a fuel-saving measure in the oil crisis that
hit the United States and there was a notice-
able decrease in the total number of acci-
dents. The government of Ontario should give
consideration to reducing the speed limits on
our highways in Ontario.
Mr. Speaker, perhaps the weakest point
raised in the Throne Speech dealt with a
paragraph concerning inflation. Quoting:
My government will employ all practical
means at its disposal to alleviate the
causes of and effects of inflation. Neverthe-
less, it bears repeating that the problem
can only be dealt with in a national con-
text, with all governments co-operating.
Surely, Mr. Speaker, this government has a
great responsibility in the problem of inflation.
Approximately one-third of the population of
Canada lives in Ontario. We in Ontario have
the highest average weekly wages and salaries
of any province in Canada at almost $170 a
week. It is a province with vast resources,
minerals, precious metals, forest products and
an excellent fanning industry and sufficient
energy, in fact we export energy.
Mr. Speaker, the Throne Speech clearly
indicates that this government is not con^
cemed with the continued growth rate of in-
flation and has no intention of grappling with
the causes of inflation. It is most degrading
or dishonest for the government of the day to
allow inflation to continue to rise day after
day, destroying family incomes.
The average hourly earnings are substan-
tially less than the increase in the cost of
APRIL 8, 1974
925
living. Those employees working in industry
who negotiated agreements some two or three
years ago have been hit the hardest. We've
all seen the food prices in this coimtry in-
creased by approximately 17 per cent in 1973.
I believe, as other members do, that the
farmer is not the one to be blamed for these
increases.
Mr. Speaker, it is often taken for granted
that unions and their members, and I should
also include farmers, are responsible for in-
flation. But let us now take a look at the
Globe and Mail of Wednesday, March 20,
1974. This is in the Report on Business:
Base Metals Hold Lead is Profit
Performance for Third Successive Year
The base metals group, aided by higher
prices and production, turned in the best
profit performance in the Report on Busi-
ness sampling of the final fourth quarter
after-tax prcHBts of Canadian companies.
This is the third time in succession that
group has topped the list.
Following the base metals were the in-
dustrial mines group, the paper and forest
products, real estate companies, and golds.
At the other end of the scale were miscel-
laneous financial companies, trust and loan
companies, and pipelines.
Referring particularly to the trust and loan
companies, I believe that they perhaps have
reached one of the highest profits in all of
Canadian history in the Province of Ontario.
When we look at the profits that some of
these trust and loan companies make, maybe
we should come in with some legislation to
control the cost of borrowing, particularly to
the loan companies. I believe it is almost—
what is it?— 24 per cent as set out by statute.
I think this is away too high.
I was asked to be present one night when
a chap had to go into a finance company to
pay off his final debt. He came back out and
I told him what I thought he should do— ask
for a complete statement. He came back out
and said a statement wasn't available. I said:
"Don't go back and pay anything imtil they
can produce a statement." In a period of
about three years he almost paid double what
he borrowed. Of course, there were other hid-
den clauses in there that raised the actual
costs of borrowing to him.
I believe there should be some restrictions
brought in, because 24 per cent is too high
at this time— or at any time I should say.
Banks: For the first time in a profit sur-
vey, balance of revenue after provision for
'income taxes has been reported for the
banks. Previously, the balance of revenue
before income taxes was included in the
surveys. The changeover allows a better
<:omparison of bank profits with those of
other groups.
In the fourth quarter the balance of
revenue for banks rose by 26.2 per cent to
$93.8 million from $74.3 million [in com-
parison with the similar quarter of 19731.
Steel: Exceptionally strong world and
domestic demand for steel pushed produc-
tion, sales and in some cases profit levels of
steelmakers to record levels. Raw steel pro-
duction by Algoma Steel Ltd. of Sault Ste.
Marie rose to 2,650,000 tons from 2,426,000
in 1972 and steel product shipments in-
creased to 1,920,000 tons from 1,740,000
tons. The profit of $2.45 a share in 1973
was up sharply from the year earlier $1.37
a share. . . .
I might add that I have made some inquires
to local industries in my area in the past two
or three weeks. I specifically inquired about
the price of steel, Mr. Speaker, and I was
amazed to learn that the so-called shortage of
steel, which might have been manufactured
or created by the steel industry, means that
the fabricators cannot buy the type of steel
they want. There is one catch, however. They
can buy it if they want to pay the price. Ana
if they want quick delivery, they pay the
price and they will get it, although tne price
perhaps will be far above the price that is
usually quoted in estimates.
I imagine, with the commercial develop-
ments that are taking place in downtown To-
ronto and the highrise buildings that are
going up here, that it is going to be pretty
hard in the coming year for a contractor to
make a decent estimate on the cost of a
building. I don't know how he is going to
stay in business, because he can't get a
commitment from any of these companies, say
a six month commitment, that the price of
steel will' remain at that level. This again is
going to cause inflation in the cost of build-
ing in the Province of Ontario,
Food processing: Profit of 12 food pro-
cessing companies rose by 81.1 per cent
in the fourth quarter and 59.6 per cent for
the year. Maple Leaf Mills Limited of
Toronto one of the larger companies in-
cluded in the group, had a profit before
extraordinary items of $7,859,000 in 1973,
compared with $3,150,000 in 1972. George
Weston Ltd., of Toronto showed a
$34,629,000 profit in 1973 ....
I believe the member for Huron stated that
he thought one of the problems with the
food chains stores in the Province of Ontario
ONTARIO LEGISLATURE
was that perhaps they were adding extra
profits and the consumer again is paying for
it.
Mr. Speaker, we as Canadians do agree
that corporations must maintain a fair margin
in profits to remain competitive and to pre-
serve a strong labour force. There are many
Canadians, and I am one of those, who are
concerned about the high cost of food.
We can readily see the profiteering at a
time when there is supposed to be national
crisis of oil in Canada. There was an increase
in windfall profits on an average of more than
46 per cent that applies to four or five of the
major national oil companies Ibcated in Can-
ada, and perhaps I should name a few-
Imperial Oil, Shell Oil, Gulf Oil and BP, as
well as Exxon and Texaco.
Most of these companies are related or
partners in perhaps the world's largest oil
syndicate, namely Aramco— Arabian-American
Oil Co. Look at the Royal Dutch-Shell group
1973 profits— $1.71 billion, as compared with
$675.4 million.
Mr. Speaker, I said, and perhaps it is
worth repeating again, that the oil crisis was
manufactured or created by a consortium of
multinational corporations with one goal: to
increase their profits well above any reason-
able profit year, thereby adding further to
inflationary costs perhaps to a breaking point
that many countries will not survive. This
unnecessary impact is gouging the consumer.
I have another report here that I thought
I should read into the record, Mr. Speaker.
Perhaps it will back up some of the argu-
ments I have put forth so far. This is from
the monthly letter of the Royal Bank of
Canada, which has its head oflRce in Montreal:
Applying to business this principle of the
basic need to survive, the deputy chairman
and executive vice-president of this bank
said to Canada-United Kingdom Chamber
of Commerce in London in May: "Profit is
an essential condition for the survival and
growth of an enterprise. Profit is also, of
course, the required incentive and reward
to the providers of capital. Profit is also the
most efi^ective measure of an enterprise's
operation."
Then he went on to speak of the second
obligation: "If corporations are not seen to
act, and do not in fact act, in a socially
responsible manner, their long-term survival
could be threatened."
I believe that is a warning. That is a warn-
ing at this time, Mr. Speaker, that the situa-
tion is perhaps not too healthy in many
countries throughout the world.
Much of the manufactured increase of
crude oil prices originated in the United
States by a consortium of oil magnates solely
for their personal capital gains. At present,
Senate hearings being held in the United
States have indicated and lead one to believe
that it is the world's largest swindle. It is
even cropping up in the Watergate hearings.
In the past, the United States government
has given certain tax concessions, as well as
imposing an embargo, on crude oil coming
into the United States, supposedly to encour-
age further development of oil resources. This
has failed for the simple reason that the
companies have not used the tax credits for
exploration in the United States, but in some
small instances in other areas throughout the
world.
The question of higher prices to the oil
companies, as announced this past week by
all smiling Premiers of this great Dominion,
is no guarantee of increased exploration and
development here in Canada.
With the tax concessions already present,
such as depreciation allowance, reports indi-
cate that they will pay less than six per
cent on their book profits.
It is my hope that Canadian ownership
and control of our vast resources in Ontario
and throughout Canada remain totally in the
hands of Canadians. Also that the revenue
developed by the two-price system for oil
be used directly by truly Canadian-owned
corporations as announced by the federal gov-
ernment in creating a national petroleum
corporation with investments and control of
production in Canada, in particular of the
Athabaska tar sands.
I say to members of this House and to
all Canadians, we have been taken by the
multinational corporations. We have allowed
corporate profiteers to pile up windfall profits
at the expense of the people of this great
Dominion, and in particular that of the peo-
ple of this Province of Ontario. The govern-
ment of Canada and the provincial govern-
ment of Ontario should have initiated a
fullscale public investigation of oil profits
before there was any agreement to allow
an increase in the price of crude oil, which
in the long run will be paid to the oil
companies.
In the recent investigation into oil profits
by a United States Senate committee it was
revealed that four or more oil companies
were reaping windfall profits. As members
of this Legislature we have all read reports
of substantial increases in profits of mining
corporations. In some instances, it is well
over 200 per cent. Perhaps I should go
APRIL 8. 1974
927
back to that article of the Globe and Mail,
if I can find it here.
Well, for example, base metals. In 1973,
their profits had increased by 358.5 per cent.
Industrial mines increased by 160.5 in
profits. So members can see there's been a
substantial increase to the minining industry
in the Province of Ontario.
This indicates corporation profits, as a
share of the gross national product, increased
in 1973 while Canadian workers' share of the
gross national product actually declined.
And perhaps, Mr. Speaker, I'll go back
to the Royal Bank of Canada monthly news-
letter, to sum it up as the deputy chairman
and executive vice-president of the Royal
Bank summed it up when he said:
We are fast reaching the point where
the social and political climate almost
everywhere in the world will make it in-
creasingly necessary for businesses to
justify their existence on grounds other
than purely economic success as expressed
in terms of profit to shareholders.
Again he picks it out and it's another warn-
ing to the corporations in Canada, particular-
ly in Ontario, that there is no need for
some of the high increases in profits without
returning some of it to those persons who
supply the labour to produce the profits for
them.
Mr. Speaker, one solution to this problem
of inflationary costs to the consumer, to ease
some of the struggle to keep the family head
above water, is to bring in legislation which
will allow a cost of living factor to apply to
every wage earner in Ontario. Of course, this
might be too easy a solution to the problem.
The registered pension plans should also be
required to include a cost of living escalator
provision in their agreements.
Or the government can move in another
simple direction by making use of already
existing legislation, be it federal or provin-
cial, the Combines Investigations Act. I am
sure if this government was concerned about
inflation it would move in this direction. No
doubt it would open up a can of worms in
price fixing. Present governments, federal
and provincial, today well need to come to
grips with excess profits, the pros and cons
of large increases in profits; I am sure they
must agree to tax windfall and excess profits
in order to assure the Canadian public that
in our tax system there is justice.
The question is what is the government
going to do? If one follows the statement of
the Minister of Natural Resources (Mr. Ber-
nier), he's going to do many things. Ontario
plans changes in mining legislation to brine
about an acreage tax increase which would
develop approximately $13.5 milkon. We on
this side would agree to that proposal, pro-
viding the revenue was returned to the pres-
ent mining municipalities and the proposed
new local governments, as proposed in the
Throne Speech, for their own use based upon
municipal land assessment for tax purposes. I
hope this would give them the additional
revenue required to provide the needs of and
services for those communities.
Mr. Speaker, I was also interested in read-
ing in the Globe and Mail on March 9 that
another programme for mining support would
be introduced in the budget proposals, wiA
tax incentives or tax write-off^s for mining ex-
ploration. Surely, Mr. Speaker, one has to
auestion the government's further moving in
le direction of tax concessions to corpora-
tions in the mining industries in Ontario. The
government continuously gives additional tax
credits and I believe it has been well docu-
mented in the House by previous speakers
that at present the mining industries in On-
tario pay far less than the average taxpayer
in Ontario pays in personal income tax.
I believe it has been stated that corpora-
tions pay an average of 5.2 per cent in taxes.
It is interesting to note that in the audi-
tor's reports for 1972 and 1973, revenue
and expenditure for the fiscal year ended
March 31, 1973, for natural resources, revenue
amounted to $55,161,863; expenditures were
$138,797,387, an imbalance of approximately
$84 million.
Surely, Mr. Speaker, vdth these vast re-
sources of forests and minerals in Ontario this
is one department of the government that
should generate a surplus of income for the
Province of Ontario. This has been mentioned
before by previous speakers. If the govern-
ment is going to control inflation, this is <Mie
place where it should start.
Hon. J. R. Rhodes (Minister of Transporta-
tion and Communications): Where's that?
Mr. Haggerty: That is from the Provincial
Auditor's report; a very important reoort. 1
suggest that all members should be reaoing it.
Hon. Mr. Rhodes: It's a lot better than the
Sun which his leader has been reading for
tomorrow's question period.
Mr. Haggerty: The point I raise Tiere, Mr.
Speaker, is that with—
Mr. R. F. Nixon (Leader of the Opposi-
tion): I'm finding a job for the minister in Ae
want ads.
928
ONTARIO LEGISLATURE
Mr. Haggerty: —all the resources which
are available in the mining industry and in
the forest industry in the Province of Ontario,
surely there should be enough profit gener-
ated from them to pay for the operations of
that department. In other words, what I am
saying is it's a giveaway now to the mining
corporations and to the forest industries in
the Province of Ontario. The members know
and I know that not enough revenue is gen-
erated to pay for the reforestation programme,
for example. It's the Province of Ontario
which pays for it, not the forest industry.
Mr. Renwick: That's right. The member for
Victoria-Haliburton was saying so too.
Mr. Haggerty: It is also interesting to have
read the article in the Globe and Mail vdth
the headline, "Base Metals Hold Lead." There
is no use repeating myself, but the point I
want to bring to the attention of the House,
Mr. Speaker, is that Falconbridge Nickel
Mines Ltd. revenue was recorded at $438.2
million last year, up from $274.6 million in
1972. This was after the concession for de-
Eletion and depreciation costs and tax re-
ates.
I was interested last year during the esti-
mates of the Minister of Natural Resources,
when the member for Sudbury East (Mr.
Martel) brought up the working conditions,
particularly at Falconbridge in the Sudbury
basin. I believe at that time the minister's
staff had stated that the conditions were not
favourable for any person to be working in
that type of industry. I was just wondering,
with profits as enormous as that, surely this
government can move in some direction to
give those workers in that industry good,
clean working conditions. I suggest the gov-
ernment take a good hard look at this and
see that something is done for those workers
up in that industry.
Mr. Speaker, there is not a day goes by
without notice that the public is being in-
formed of the large revenue increases by cor-
porations, such as oil, mining, banks and trust
companies. Many others have piled up incre-
dibly high profits. Prices are increasing day
after day and the purchasing power of the
lower-income families is the one that suflFers
the most in the inflationary squeeze.
The matter of excess profits, includes land
speculations by foreign interests, again at the
sacrifice of Canadians. This must also be
controlled by the government. Again I under-
stand through federal legislation there are
certain tax concessions given to foreign capi-
tal that comes in here to buy land. I suppose
that if you wanted to deal with the facts, Mr.
Speaker, you only have to go down to the
Niagara region to find the amount of land
bought by foreign money in the area. I sup-
pose it is even evident here in Toronto when
you go to look at it.
An hon. member: It is only the beginning.
Mr. Haggerty: It is only the beginning;
that's right. Here again this government has
failed to control the present cost to a pur-
chaser of a home in Ontario, which far out-
distances ability to produce an income cap-
able of financing a home. The present Minis-
ter of Housing (Mr. Handleman) has stated
that if the family is going to be able to pur-
chase a new home his income, or both, will
have to exceed $18,000 per year. How on
earth can a family man in Ontario, earning
an average income of around $9,000 per year,
ever hope to find better living quarters under
the present housing programme in Ontario?
Under existing conditions speculators are
encouraged to hoard land by the present sys-
tem of government land controls.
Present planning regulations are not geared
to an individual, but for developers who in
many instances have reaped*a good return for
their investment, adding further to the infla-
donary cost in home ownership. It is rather
disappointing that the province finds itself
in this predicament and disheartening to a
number of prospective home buyers here in
Ontario. If citizens in this province ever hope
to own a home, then the government must
move in the direction of a source of better
income for Canadian workers, or seriously
take a hard look at the housing industry in
Ontario.
All I've seen so far in the last month or so
since we have a new Minister of Housing is
that we have NIP and RAP. I remember the
member for Downsview speaking on it here
on Friday morning. I think I shouted across
to him: "Yes, it is nothing but a paper hous-
ing programme.'*
An hon. member: That was in my headline.
Mr. R. F. Nixon: Is the minister looking at
the want ads?
Mr. Haggerty: To continue, Mr. Speaker, I
think we should have control over land specu-
lators; remove some of the planning delays
caused by bureaucratic decisions made here
at Queen's Park; provide the financial re-
sources to supply essential services for land
development, such as sewer and water sys-
tems; bring in lower interest rates for financ-
ing family housing, and remove the provin-
cial sales tax on residential housing in Ontario.
APRIL 8. 1974
929
It was also interesting to read the news
release on March 25 from the Ministry of
Industry and Tourism about a two-week long
export mission to Italy and Spain sponsored
by the minister's trade division. One of the
important products for sale overseas is the
pre-fab wooden home. Surely this Minister
of Housing is not going along with this export
programme when a housing crisis exists in
this province? Has not the minister a respon-
sibility to establish Ontario priorities first? It
would also be interesting to Icnow what these
homes cost to manufacture in Ontario and
what the export price is.
I have also been informed that the houses
in the United States sell for far less com-
pared with the price of such a home here
in Ontario. Yet large quantities of Ontario
forest products are exported to the United
States. Is it not now time for a two-price
system for lumber in Ontario? Why not estab-
lish Ontario priorities first?
Interjection by an hon. member.
Mr. Haggerty: Perhaps, Mr. Speaker, one
other important item that is missing from the
Throne Speech is the lack of any farm policy
for the Province of Ontario. The Minister of
Agriculture and Food in the past has done
an excellent job for the farmers of Ontario,
but I think he is tired and he wants to be
replaced. We can see that very little has been
done in the past year, or is being done now,
for the farmers in the Province of Ontario.
In fact, he has done nothing in control of
the farmlands to see that they are maintained
as workable farmlands.
I am going to say this to the Minister of
Transportation and Communications: we have
cultivated more farmlands for highways and
hydro towers in the province than has actu-
ally been brought into new production.
I Mr. Gaunt: Some of us haven't got any
faith left.
Mr. Haggerty: And for example, Mr. Speak-
er, if you read the recent study that is going
to come out in the Niagara region now on
highway proposals in that area, the minister
is going to build a four-lane expressway on
top of the Niagara Escarpment, cut across
down through the town of Pelham which has
some of the best fruitlands in the Province of
Ontario; he is going to destroy all of that if
he creates this new road. It is not needed.
I suggest the minister goes and talks to
Prof. Pleva at the University of Western
Ontario, a man who is knowledgeable on land
r control. You know what he suggests, Mr.
Speaker? He said some 15 years ago that the
government is wasting taxpayers' money.
When you have roadways already there— the
right oi way is there, much of the roads are
built up, the stone is on, the gravel is on,
some are even paved— why go and build a
four-lane road? He says the simplest way to
do it is make a one-way road here, go over to
the next concession and make another one-
way road the other way. You have one-way
streets in the city of Toronto; there is no
traflSc congestion. People are used to it, and
accommodate to it. Perhaps the minister
should be looking at this.
Hon. Mr. Rhodes: Would the member sup-
port that?
Mr. Haggerty: You bet I would.
Hon. Mr. Rhodes: The member woidd sup-
port that?
Mr. Haggerty: I would support that, that's
why I am saying this to the minister.
Hon. Mr. Rhodes: The member is saying
that because he knows hell never have to do
it— so he supports it.
Mr. Haggerty: It has merits.
Mrs. M. Campbell (St. George): What does
the minister mean, we'll never have to do it?
Mr. Haggerty: It has merit.
Hon. Mr. Rhodes: Okay. That's-
Mr. Haggerty: You don't cut a road diag-
onally across a municipality and destroy the
whole social—
Hon. Mr. Rhodes: No, no. I want to know,
will the member support plans-
Mr. B. Newman: Is the minister going to
stop them in the cities now?
Hon. Mr. Rhodes: -for a highway east-
boimd here; and a mile away one westbound?
Mr. Haggerty: The roads are set only about
five-eighths of a mile or half a mile apart,
not a mile away.
Hon. Mr. Rhodes: Wdl, even half a mile.
Does the member support that?
Mr. Haggerty: It has merit and in some
cases it can work. For example, let's take the
Nanticoke development. The minister is talk-
ing about a four-lane expressway there, isn't
he? It's in one of his proposals. Could it not
be worked there?
930
ONTARIO LEGISLATURE
Does the minister mean to tell me that he's
going to go 600 ft or 700 ft from another
highway and construct a brand-new fom--lane
expressway— that he cannot improve some of
the existing roadways? Many of the people
don't want it. I think the minister's got the
measure already.
Hon. Mr. Rhodes: Maybe they won't need
it.
Mr. Haggerty: Pardon?
Hon. Mr. Rhodes: Maybe it won't be there.
Mr. Haggerty: But I think it's worthwhile
looking at. I suggest he sends some of his
high-priced help to Western University to
talk to this man.
Hon. Mr. Rhodes: What's his name?
Mr. Haggerty: Pleva.
An hon. member: P-1-e-v-a.
Hon. Mr. Rhodes: I heard him 20 years
ago.
Mr. Haggerty: Never heard of him, eh?
Hon. Mr. Rhodes: Oh yes.
Mrs. Campbell: Where—
Mr. Haggerty: Never listen to him.
Interjections by hon. members.
Mr. Speaker: The member for Welland
South has the floor.
Mr. Haggerty: This is good, Mr. Speaker,
I am getting some of his ideas. I want to
know what's going to take place in the Nia-
gara region.
Mr. Speaker: We haven't time for repartee.
Mr. Haggerty: Perhaps the minister should
be moving to more rapid transportation pro-
grammes in certain areas. While we are into
tnis discussion across the floor I suggested
that the minister should be looking at this
instead of Highway 406 in the Niagara region,
instead of going through there, cutting up
city property and taking homes away. There
is an old existing railroad right of way that
used to carry people years ago by trolley
from the city of Port Colbome to Port Dal-
housie. Of course 20 years ago I guess the
government at that time said it was outdated.
It is like the horse and buggy days, it is out-
dated. But today this is the way to move
masses of people.
I suggest before the government really gets
into setting out a route for Highway 406—
and has problems with it— it looks at the rapid
transit system. Eventually the cities of Port
Colbome, Welland and St. Catharines will be
one urbanized area right across the peninsula,
right across the corridor. Maybe the govern-
ment should be providing us with hovercraft
so we could use the canal. Maybe that would
be the simplest way yet.
Hon. Mr. Rhodes: I hope the member's
local press is gobbling all this up for the
member.
Mr. Haggerty: The local press said this—
this is where I am getting it.
Hon. A. Grossman (Provincial Secretary for
Resources Development): The release has al-
ready gone out-
Mr. Haggerty: But they are not listening to
them. So I hope that the minister does.
I was interested in the proposals of the
federal government that it is coming in with
an agricultural policy. I have to give credit to
the federal Minister of Agriculture. In the
short time he has been in there, less than a
year, he has done more for the farmers in
Canada and in Ontario than our provincial
minister who has been in the portfolio, for
some 10 years I guess it is.
An hon. member: Almost 12.
Mr. Haggerty: In his short span in oflBce,
the federal minister has done more for the
farmers in Canada and in Ontario.
Interjections by hon. members.
An hon. member: Well, he is a good Essex
county product. He comes from the sunshine
parlour, that is why.
ilnterjections by hon. members.
Hon. Mr. Rhodes: Eugene who?
Mr. B. Newman: Mr. Whelan, just Gene.
Interjections by hon. members.
An hon. member: He wotddn't know him.
Mr. Haggerty: But I will tell you this
much, Mr. Speaker, he is concerned about
the loss of milk production in Canada, in
Ontario. I beheve it has dropped 4.7 per cent.
An hon. member: A shortfall of over five
per cent now.
Mr. Haggerty: Over five per cent? It is
rather a serious problem here in the Province
APRIL 8, 1974
031
of Ontario. One of the hardest things about
it is that farmers who want to increase the
production of milk have a hard time in try-
ing to get a loan. I don't blame this on the
provincial govermnent but—
Hon. Mr. Rhodes: It is the only thing the
member hasn't.
Interjection by an hon. member.
Mr. Haggerty: Mr. Speaker, the province
at one time had the junior farmers' loan
programme.
Interjection by an hon. member.
Mr. Haggerty: I believe the minister stated
at that time this was a duplication of a
federal loan programme and removed it from
the Province of Ontario. I suggest that the
minister should get back into it again.
An hon. member: He is doing a great job.
Mr. Haggerty: There are many young
farmers who perhaps aren't qualified for loans,
in some instances through family ties, and I
suggest that perhaps we should be moving
back into the junior farmer credit loan pro-
gramme in the province. I am sure that we
could get a lot of these youngsters back in
the farming industry in the Province of
Ontario.
I would like to read what the federal
Minister of Agricultural is going to do:
To complement this progranmie the
federal government will extend its assist-
ance programme for the construction of
new storage facilities. In many regions
storage facilities are not adequate today,
while in other regions storage is outdated
and better facilities should be constructed.
Storage construction assistance is now
being provided for specialized fruit and
vegetable stores and this programme will be
continued and extended to other suitable
crops.
The farmers of Canada will benefit
through better market places and con-
sumers will benefit from the increased sup-
plies throughout the year through better
quality food kept in the top-notch storage
facilities. Our research group have proved
that some commodities can be placed in
proper storage and then taken out in just
as good a condition as when they went in,
or in some instances even better. This will
provide the consumer with more stable
prices and more even prices for the pro-
ducer.
I believe, Mr. Speaker, last year in the
Throne Speech debate I had suggested some-
thing; similar to this; that we should have
more storage facilities for farm commodities
or farm produce in Canada— and this is one
of the problems right now. The c-onsumer is
paying a high price for the food because we
have to have it imported or it's just not
available. That's one of the reasons why it's
not available.
I suggested to the Minister of Agriculture
and Food at that time that in the Niagara
Peninsula he should be moving into the tender
fruit business in that area, and putting in a
fast-frozen food plant. Much of the crop
there is wasted. It's not being picked end
there just aren't facilities for storing it. The
canners are filled up with what they want
and the rest of it goes to waste.
I suggest that the Minister of Agriculture
and Food should be looking at this, perhaps
through some joint programme with the
federal Minister of Agriculture, so that we
could get into a good food storage programme
in Ontario. The adverse weather conditions
are one of the other reasons that we should
have a food storage facility.
Mr. Gilbertson: They want to sell it to
their developer friends.
Mr. Haggerty: Yes, that's what they are
doing— or moving in with highways or some-
thing like that, trying to cultivate asphalt in
the Province of Ontario.
These are some of the things I'm con-
cerned about, Mr. Speaker, and perhaps the
government would take note of what I've said
tonight. I do want to suppOTt my leader and
his motion that he put forward here in the
Throne debate. Perhaps it's worthwhile read-
ing it into the record again. Perhaps some of
the members have forgotten.
Mr. Nixon moves, seconded by Mr. Brei-
thaupt, that the following urords be added
to the motion:
For its failure to establish a prices re-
view committee of the Legislature, which
together with a reduction in provincial defi-
cit spending, would exert control on infla-
tion;
For its inadequate land-use policy which
continues to permit the unreasonable loss
of farmland to government and private
development, and the unnatural inflationary
pressures of foreign land purchases without
safeguarding Canadian ownership and in-
terest;
932
ONTARIO LEGISLATURE
For its failure to establish planning and
land servicing programmes without which
serviced-lot costs have escalated housing
out of the financial reach of our residents.
With that, Mr. Speaker, I will sit down and
let the next speaker take the floor,
Mr. Speaker: The member for Thunder
Bay.
Mr. J. E. Stokes (Thunder Bay): Mr. Speak-
er, I'm pleased to see the member for St.
Andrew-St. Patrick (Mr. Grossman) who has
taken on the new responsibility as Provincial
Secretary for Resources Development. I had
hoped that the Minister of Natural Resources
(Mr. Bemier) would have been in the cham-
ber tonight so I could exchange a few views
with him with regard to recent developments
in the resource industries, but since he is not
here and his new-
Mr. Gilbertson: He wiU be in.
Mr. Stokes: —parliamentary assistant isn't
here, perhaps the Provincial Secretary for Re-
sources Development can pass on some of my
concerns and apprehensions about recent
developments.
Hon. Mr. Grossman: I will take the mes-
sage for him.
Mr. Stokes: Mr. Speaker, I want to report
to the Legislature that a lot of the jargon
that has been used by the former Department
of Lands and Forests, and now the new
Ministry of Natural Resources, is no longer
valid. It was the conventional wisdom in this
Legislature and in the Ministry of Natural
Resources that we were fairly well up on
allowable cuts and sustained! yields, that we
had a very accurate inventory of what our
resource was, that we had a fairly good idea
of what the age classes were and what the
availability of wood fibre in the various
species was.
It's just slowly coming home now to the
Minister of Natural Resources and his min-
istry that they really don't know what end
is up. They haven't got a clue as to what
the sustained yield is in the boreal forest in
the Province of Ontario. They have no idea
what the allowable cut should be.
We have been contracting wood fibre out
in large quantities to companies like Anglo-
Canadian, where they have announced an
expansion of a quarter of a billion dollars in
the Dryden, Ear Falls, Red Lake area. We
have got a recent expansion of $120 million
by Great Lakes in Thunder Bay. We have
another expansion in the city of Thunder
Bay by MacMillan Bloedel, which is going
to be operated by a wholly-owned subsidiary
of theirs, Laidlaw Lumber Co. We have an
expansion that was to take place by Domtar,
at theii- mill at Red Rock, of anywhere from
$70 million to $90 million-and lo and be-
hold, Mr. Speaker, we get an announcement
within the last two weeks from Domtar that
unless additional wood fibre is made avail-
able to them they won't be able to go ahead
with their proposed expansion. We are led
to believe that unless there's some kind of
rationalization in the forest industry with
regard to the allocation of timber we are in
real diflBculty.
As a matter of fact, the vice president of
Domtar only two weeks ago said that par-
ticular company was going to be in trouble
if it couldn't get in and cut timber within
the confines of Quetico Park. Now, Domtar
is a company that operates in northwestern
Ontario, that geographically speaking has
one of the largest timber limits in all of
Ontario, and yet we are led to believe by
this company that unless it can have addi-
tional supplies of wood, it doesn't know
whether it can keep existing mills open, let
alone carry out a planned expansion to main-
tain its relative position in the marketplace.
Domtar is a company that, as recently as
four or five years ago— we were told by the
Ministry of Natural Resources— had a sus-
tained yield on an allowable cut of 600,000
cords a year. Domtar at the present time is
harvesting about 130,000 to 150,000 cords a
year. Where's the other 450,000 to 500,000
cords a year they were supposed to have on
their limits on a sustained yield basis?
When I asked the timber branch of the
Ministry of Natural Resources, they said:
"Well, we were out a little bit. We thought
they had this kind of timber on their limits
but we find out that it just isn't there."
Domtar is a company that has timber limits
stretching from Lake Superior right up
beyond the northern line of the Canadian
National Railways and right up to the Ogoki
reservoir. The town of Armstrong has been
having a particularly difficult time since the
federal Department of National Defence de-
cided to phase out a radar base, so we
naturally look to the forest industry to pro-
vide an alternative to lend some viability
to a community such as Armstrong.
We asked Domtar if they would go in
and utilize some of the wood on their limits
that has been going to waste and over-
maturity over the last 35 years, and they say
there isn't enough timber. We asked the
Ministry of Natural Resources what the in-
APRIL 8, 1974
833
ventory is in that block that has been allo-
cated to Domtar over the last 35 years.
Domtar doesn't know what's on the limit.
The Ministry of Natural Resources doesn't
know what's on the limit. A third party who
wants to go in tells me there could be as
much as three million cords of mature and
over-mature timber but they can't get at it.
We have had two assessments made of that
timber limit in the past six months. Domtar
has engaged in another assessment of what
the inventory is and what is the allowable
cut and we still don't know what it is. I've
had assessments of from 450,000 cords on
that particular block to three million cords,
depending on who one listens to.
The reason I bring it to the attention of
the Provincial Secretary for Resources De-
velopment is because I fear that unless some-
body starts asking some pretty pertinent
questions we are going to allow that timber
to become over-mature, to go down the drain
and be lost to the economy of this province
and lost to the people of Armstrong who
so badly need it.
Going back over the last four or five years
we were led to believe by the Ministry of
Natural Resources that every cunit, that is
every 100 cu. ft of wood we cut, provided
over $100 of new wealth to the economy of
the Province of Ontario.
E\en if there are only 450,000 cords of
saw log material upon which to start a saw
log industry, multiply that by 100 and that
will give members some idea of the new
wealth which will be created if we utilize
that resource which is in a mature and an
over-mature state at the present time. That's
the rock bottom— 450,000 cords going unhar-
vested at the present time. It could be as
much as 1% million or it could be as much
at 2% million cords.
Because of all the contracts this government
has been entering into recently for greater
utilization— and I'm not against greater utili-
zation as long as we know the values we are
talking about— but if we are going to get
involved in allocating timber the value of
which we don't know and the quantity of
which we don't know, we are going to be in
real trouble in the Province of Ontario. We
heard the member for Victoria-Haliburton say
how far behind we were with regard to our
regeneration, our silviculture and our re-
forestation programme in the Province of
Ontario when we compare that with other
jurisdictions such as Scandinavia and the
United States.
I don't know what the allowable cut is in
the Province of Ontario. I thought I knew.
I have made a study of It ever since fv© been
in this Legislature, taking the word of the
Ministry of Natural Resources and taking the
word ot the former Department of Lands and
Forests; but they were selling me a bill of
goods. They are just coming to admit right
now that we don't know what the inventory
is in the Province of Ontario with regard to
species, with regard to age classes and with
regard to the availability on specific timber
limits. It seems to me that we can no longer
leave it to guesswork or the veiy imprecise
way we have had in the past of saying we
have all kinds of it so we really don't nave
to worry too much.
When we get a well-established company
like Domtar coming to this government and
saying: "We think we are in real trouble,"
I think it is high time that the Ministry of
Natural Resources and the resources policy
field got those people from the timber brancn
off their fannies and out into the field instead
of acting as administrators. As I go through
the province and I talk to the foresters vtathin
the Ministry of Natural Resources, they tell
me they are so busy acting as administrators
and oflBce boys that they never get out. They
never get a chance to get out into the field
and find out what the proper timber inven-
tory should be.
Wherever I go, I get the people who are
really concerned, the concerned foresters,
who say: "I just wish I knew what the situa-
tion was, but I'm so busy tied down to this
desk doing administrative work that I can't
get out and do the job I was hired to do; and
that is proper management of our forest re-
sources.
Mr. Speaker, when you heard the present
Minister of Community and Social Services
(Mr. Brunelle) talking about allowable cuts
and sustained yields in the past, when you
heard me talking about it, and when you
heard the now Minister of Natural Resources
talking about sustained yields and allowable
cuts and all of this; it was all a bunch of
malarky, because we were sold a bill of
goods.
I'm sure the Minister of Community and
Social Services and the hon. member for
Cochrane North can verify what I'm going to
say. He represents an area of this province
where the economy depends almost entirely
upon our ability to manage our forest re-
sources. Mr. Speaker, you talk about what
happens in Cochrane with a waferboard mill
or a chipboard mill. You talk about the saw
log industry in Hearst that he's vitally inter-
ested in. Go and ask those people whether
they have an assured supply of timber over
934
ONTARIO LEGISLATURE
the next 10 to 15 years, and they will start to
scratch their heads because they don't know
where it's coming from. They just don't know,
because you cant believe what the Ministry
of Natural Resources tells you any more with
regard to the allocation of timber and the
availability of timber over whatever length
of time it's going to take to recover a $100
million or $150 million expansion investment.
We're in real trouble in the Province of
Ontario with regard to the allocation of
timber, if we don't get off our fannies, find
out what the allowable cut is, what the sus-
tained yield is, and whether we're going to
allocate a suflBcient number of dollars for
reforestation, and regeneration so that 10,
15, 20, 30, 40 or 50 years from now we can
come back and say: yes, we've still got a
viable pulp and paper industry; we've got a
viable saw log industry; we've got a viable
plywood industry.
It's not going to happen by itself. I think
this House should know that unless we get
our foresters into the bush and get them
managing our forests, and unless we're going
to get the kind of dollars from the industry
to pay for the kind of management that's
been so sadly lacking over the years, we're
not going to have a viable pulp and paper
industry very long in the Province of Ontario.
Don't take my word for it. Ask the ques-
tions that I have been asking of the timber
branch.
Mr. W. Hodgson: Don't worry; we won't.
Mr. Stokes: Don't take my word for it. Go
and ask the timber branch what the allow-
able cut is on Great Lakes limits. Go and
ask them what the allowable cut is on Dom-
tar limits. Ask them what the allowable cut
is on Kimberly-Clark limits.
They won't be able to tell you, because
a lot of the data we thought was valid is
20 years out of date. You have a Canadian
company like Domtar scratching for wood
to sustain a mild expansion in their mill at
Red Rock. You get a company like MacMillan
Bloedel, that just set up on the outskirts
of Thunder Bay, and the Ministry of Natural
Resources saying to everybody who cuts a
stick of birch or poplar on Crown land that
it must go to MacMillan Bloedel and they
can't sell it any place else. If you cut it on
Crown land it must be sold to MacMillan
Bloedel, Mr. Speaker.
They've got capitve buyers. You can cut
all of the wood you want on Crown land,
but if it's of that species it must go to that
one company. That gives you some idea
about where we are in the Province of
Ontario today, Mr. Speaker.
I'm not saying that the industry is going
to cave in; what I'm saying is that the kind
of information that we've been going along
with for the last 20 years in this province,
we find out is not accurate and is not reliable.
I think it's time we took a good hard look at
where we are going with regard to an indus-
try that is so vitally important, not only to
northern Ontario that I represent but to the
economy of the entire province.
I do hope the minister will take it serious-
ly. I'm not usually this forceful in my
criticism of a ministry, but I think in this
particular case it is justified and I think the
government is going to have to get after
the Ministry of Natural Resources for a
more accurate allocation of timber on the
basis of need.
We have companies that can never hope
to use all of the wood that is under licence
to them. I could take members to stands of
timber that are 130 to 150 years of age that
have never been touched. The wood is fall-
ing over and it is rotting, when others
are crying for the timber to keep their mills
open.
Why? It is because of our present licensing
system. There are a good many jurisdictions
where they don't hand out licences to large
feudal domains. They'll say: "We will assure
you wood on a volume agreement." But we
don't do it that way, with very few ex-
ceptions; I suppose we have one or two
volume agreements across the province.
What we have been doing is saying: "Okay,
we'll carve up the province and we'll give
this block to company A, we'll give this block
to company B, we'll give this block to com-
pany C and so on down the line.
Let's assume company A has this block and
builds its mill here. What they do is, from
the time they start operating the mill, they
start high-grading around the mill.
What happens over here? When they were
issued the licence there was over-mature
wood here. Maybe 30 years have passed in
the interim and of course they haven't even
been concerned about this wood. So now they
have stands away up here in the northern
part of their limits that are mature and over-
mature by 30 years.
That's just like saying to the Minister of
Agriculture and Food: "We'll plant a crop
and because there is lots to satisfy us within
40 acres of the bam, we won't bother harvest-
ing that."
You just don't do things that way; that isn't
the way to manage a renewable resource. You
APRIL 8, 1974
935
look at the total package and you say: "Okay,
in this year, 1965, there is a block of timber
that is mature and it's at its maximum. We
will go in there and we will cut that." They
didn't do things that way; they aren't doing
things like that today.
They are high-grading— wherever they can
get the cheapest wood within closest proxim-
ity to the mill, or where they are aoout to
use it; they couldn't care less about what is
over-maturing and falling down and being
lost to the economy. That's why we have
tremendous stands of timber that have gone
unused in the past, that are falling over and
that are rotting.
As I suggest to the House, it is coming
back to haunt us. We can no longer afford
to let these prime licence-holders high-grade
these timber limits. They must manage the
entire limit, not just high-grade within close
proximity to the mill. TThat^s the reason why
millions of cords are being lost to the econ-
omy and that's why, unless there is some
rationalization in timber limits and unless
there is good management of the resource, we
are going to continue to get this waste and
it's going to come back to haunt us. If we
let this stuff that is mature now sit there for
even another five years, the values will be so
low that it wouldn't be worth whilte to go in
to cut it and it will just lie there and rot.
I suggest we can't allow that to happen,
because between now and 1980 to 1985 the
need for wood fibre in North America is
going to double. We are told that between
the year 2000 and 2010 it is going to quad-
ruple. Where is it going to come from, imless
we make up our minck right here and now
that we are going to manage our timber re-
sources in a way that maximum benefit will
accrue to people living in this province. We
want to make sure when we do make an in-
ventory that it is based on reliable informa-
tion and that we are, in effect, harvesting it
on an allowable cut basis and on a sustained
yield basis; which isn't happening at the
present time.
There is one other topic I want to get into,
Mr. Speaker, and that is this commitment in
the Throne Speech:
Northern communities in unorganized
territories will, through enabling legislation,
ihave the opportunity to establish local com-
munity coimcils. Fire protection, water,
roads and other such services will become
the responsibility of these community coim-
cils. Implementation of this plan will follow
full consultation with residents of c(Mn-
munities that wish to participate.
I asked the Minister without Portfolio (Mr.
Irvine) who is responsible for the introduction
of this covering legislation about it. He didn't
know what form it was to take. He didn't
know just when it would be brought in.
This is one of the things that I have been
harping about ever since I have had the
pleasure to represent Thunder Bay riding in
this Legislature. I don't know whether I luive
got more unorganized communities than any-
body else in this Legislature, but I know the
problems confronting those unorganized com-
munities seem to be greater than in those
communities represented by other members.
I welcome this and I just hope that when
they do bring in the legislation there will be
a transfer of funds or there will be sufficient
funds made available for water, sewage sys-
tems, fire protection and all of the kinds of
services that people have come to expect to-
day but which people in unorganized com-
munities will never aspire to without some
kind of financial assistance.
I do hope that when the legislation is
introduced there will be a commitment to
enable the Ontario government to finance the
kind of programme that will make this kind
of legislation meaningful and of worth^\^e
assistance to these unorganized territories.
There is one other brief topic that I
wanted to talk about tonight, Mr. Speaker,
and I am sorry that the Minister of Trans-
portation and Communications feft, because
it concerns an announcement that was made
in the Throne Speech about a commitment
to assist people in far northern communities
with regard to the high cost of transportation.
In a seminar that was held here about two
weeks ago, a commitment was made, and I
quote:
A study of new ways to lower the cost
of food and essential services for remote
Indian bands will be made by the Ontario
Ministry of Natiu-al Resources, according
to an announcement made by the Hon. Leo
Bemier in a meeting in Toronto with more
than 70 members of Treaty 9 Indian bands.
There was a mention made that they had
spent over $4 million thus far in the highway-
in-the-sky programme. That is, they had
established airstrips— places like Sandy Lake,
places like Big Trout Lake, places like Fort
Albany, Fort Severn— and in total they had
spent in excess of $4 million and they had
come to the conclusion that they had better
take another look at the various and diflFerent
modes of transportation in order to bring
down the unit cost of goods and services to
many remote areas of northern Ontario. The
minister said:
936
ONTARIO LEGISLATURE
In recent years, the government has in-
stituted a highway-in-the-sky programme
to provide our Indian people with year-
round air transport. It was envisaged that
these air strips would reduce the cost of
food in the north by permitting larger air-
craft, such as DC-3s, to service the com-
munity on regular scheduled service. But
the experience to date indicates that this
programme is not yet having the desired
effect of reducing costs.
Well, how did the minister expect it was
going to reduce costs unless he said to the air
carrier: "You will pass any inherent cost or
any saving on to the consumer using those
new facilities in those remote communities."
I know that when I travel to Big Trout
Lake and when I travel to Fort Severn, I
don't see any air carriers lowering the cost
just because they were able to ship food-
stuffs by DC-3 as opposed to a Cessna 180.
I am sure that my friend the minister, the
member for Cochrane North— as he travels the
northern part of his riding—is not aware of
Hudson's Bay stores or anybody like that
lowering the unit cost of a Ibaf of bread or a
pound of butter just because somebody flew
in a load in a DC-3 as opposed to a Cessna
180.
If the government is going to spend in ex-
cess of $4 million— as it has done— to provide
an airstrip, it is going to have to say: "Sure,
we collectively as a government will provide
the facility but we expect, as a matter of fact
we demand, that you pass any additional sav-
ing on to the consumer, because that's the
intent of the programme."
The government could provide a facility
that would allow it to drop a DC-9 or a 747
in there and it would really lower the unit
cost of transporting goods and services to the
north, but unless the government tells the
people that are going to use them that any
enhanced saving is to be passed on to the
consumer, it's just not going to happen.
Hon. R. Brunelle (Minister of Community
and Social Services): We are experimenting
with winter roads.
Mr. Stokes: Pardon?
Hon. Mr. Brunelle: We are experimenting
with winter roads.
Mr. Stokes: Well, sure the government is
going to experiment with winter roads, but
when Andy Rickert, who is the president of
Treaty No. 3—1 wasn't invited to this con-
ference and I understand the minister wasn't
either; at least he wasn't there. I know I
wasn't invited to it, and I would have dearly
loved to have gone down to that conference
and heard what went on. But I heard about
the confrontation.
Andy Rickert said: "Let's put our eggs in
one basket and let's talk about winter roads."
The Minister of Natural Resources said:
"No, we aren't sold on the validity of all-
winter roads. Sure, we will give you an ex-
periment. We will start with Moosonee and
we will' go up to Albany and Attawapiskat."
And then they started in my riding and
they said:
"We will give you another pilot project
where we will go from Pickle Lake to Round
Lake to some place else." But he didn't ac-
cept holus-bolus that concept of winter roads.
Sure I agree that maybe it's going to take a
combination of several things in order to
bring down the unit cost, but the former
Minister of Transportation and Communica-
tions (Mr. Carton) did not.
The minister will recall last summer when
we were both travelling in the far north— I
to places like Fort Severn and he to places
like Attawapiskat, Fort Albany and Winisk in
his own riding— where we know that the unit
cost of shipping things in by barge is much
less than flying things in by air. So I asked
and the minister supported the concept that
we should get more barge runs going during
the shipping season along the north coast to
bring down the unit cost. And, of course, the
former Minister of Transportation and Com-
munications said: "No, I don't see that as a
valid alternative and it's not our intention to
get into bargeing."
Now, for whatever it's worth—
Hon. Mr. Brunelle: This will be done.
Mr. Stokes: Yes, sure. For whatever it's
worth, the Hudson's Bay Co. has been barge-
ing ever since living memory in the Hudson
Bay and James Bay areas. They didn't just
happen upon it because there was nothing
else. They could have flown things in. They
happen to think that it's the cheapest way to
move things in the north during the shipping
season. So there's another alternative the
government should get into.
But all I want to say to the Provincial
Secretary for Resources Development, be-
cause transportation too falls within his pur-
view and it's something that if he hasn't
already got on his plate, he is going to have
it on his plate very very shortly, is to suggest
that unless we opt for a mode of transporta-
tion where we can transmit the saving to the
consumer, nothing is going to happen, be-
APRIL 8, 1974
937
cause no matter who the carrier is^ whether
it is bargeing, a winter roads setup or an
expansion of the high way s-in-the-sky pro-
gramme; unless there is a commitment that
the enhanced saving is passed on to the con-
sumer, the programme isn't even going to
come close to doing what it was designed
to do.
There is no one person who has all of the
answers about the high cost of transportation
in the north. What I am saying is, though,
that this government has spent over $4
million on a highways-in-the-sky programme,
which obviously hasn't worked. I am sure
that benefits have accrued, but I suspect
that the benefits have accrued to the air
carriers as opposed to the native people, on
whose behalf this project was undertaken.
I have many other matters that I would
have liked to have raised, but I know that
we do have some time constraints and I
will reserve any further comment for the
budget debate, Mr. Speaker. But I do hope
that the Provincial Secretary for Resources
Development will heed my words about the
problems that we are having in the rational-
ization of timber limits. I also hope that
he will relay some of my questions to the
timber branch of the Ministry of Natural
Resources and see what kind of answers he
gets from them, because I want to assure
him that I am not getting the kinds of
answers that are satisfactory. And I am sure
there are a good many people in the in-
dustry who would like to know in what
direction they are going and what the future
holds for the timber, pulp and paper and
plywood industries in the Province of
Ontario.
Mr. Speaker: The hon. member for Wind-
sor-Walkerville.
Mr. B. Newman (Windsor-Walkerville):
Thank you very much, Mr. Speaker. My
first words should be to say how pleased I
am to see you in fighting trim and once again
assuming your responsibilities in the chair,
as you have so ably done in the past. It is
nice to see you conducting the affairs of this
House in the able manner in which you have
conducted them during the past few years.
Likewise, Mr. Speaker, I would like to
extend my congratulations to all of those
in the House on the government benches who
assumed additional responsibilities. Mayl^e I
should also congratulate those who have left
that added burden to become back-benchers
once again and able to enjoy some of the
pleasures of the House.
I would like to extend congratulations to
the new parliamentary assistants, Mr. Speak-
er, but if there is one more round of appoint-
ments, there won't be anyone on that side
of the House to put in as parliamentary
assistants. If the Premier can't find them over
there, he needn't hesitate to come over here.
There are a lot of extremely capable mem-
bers sitting on this side of the House.
Mr. Speaker, probably the first item of
major importance in this House is that of the
issue of inflation. One would have no diflB-
culty bringing to the attention of the House
the serious effects of inflation, not only on
the residents of the Province of Ontario but
also on residents throughout the length and
breadth of Canada; I could even go beyond
the bounds of our own country and say
throughout the world.
What concerns me most, Mr. Speaker, are
the effects of inflation on the low wage
earner, the working poor, the pensioner, the
handicapped, those on government assistance
programmes, and indeed, on those who prob-
ably are affected most adversely by it, the
elderly.
We in this House can't appreciate the
effects of inflation on the individual because
we are not personally affected by it to any
great extent. My comments concerning infla-
tion will terminate at this point because when
the budget is brought down tomorrow, we
will have another opportunity to speak in the
budget debate, and bring to the attention of
this government the serious effects that infla-
tion and the government's lack of action are
having.
It is funny, Mr. Speaker, that the leader of
the Conservative Party in Canada looks upon
it as being a topic of greatest importance yet
this government which controls 40 per cent
of the manufacturing in Canada and the
greatest percentage of other types of private
enterprise does little or next to nothing to
overcome the effects of inflation. We can see
that the Tory party, Mr. Speaker, is on both
sides of the fence.
Mr. R. F. Nixon: As usual.
Mr. B. Newman: Mr. Speaker, my—
Mr. R. F. Nixon; Hypocritical, that's what
they are.
Mr. B. Newnian: Very much so. My leader
certainly has pointed out to you most ably,
Mr. Speaker, now hypocritical the members
opposite and their government happen to be
on the issue of inflation. They are not con-
cerned with inflation; they talk a lot but they
do nothing.
938
ONTARIO LEGISLATURE
Mr. E. M. Havrot (Timiskaming): With all
that hot air over there, there's lots of inflation.
Mr. B. Newman: Mr. Speaker, my first com-
ments on anything other than to do with this
House should be to thank the many con-
cerned citizens of the city of Windsor who
rushed to the scene of the disaster or the mis-
fortune that took place on Wednesday, April
3, in the city of Windsor when a tornado
struck the Chrysler plant, bounced over three
or four blocks of homes and hit the Windsor
Curling Club. As a result of that, and we
are all aware of this, eight people, seven fine
men and one fine lady, lost their lives.
It was very nice to see how the community
responded to this serious emergency; how
workers from the Chrysler plant, plus others
at the French-Canadian centre which was
right across from the Windsor Curling Club,
pitched in to assist in not only removing the
rubble which was the result of the tornado
striking the curling club but also to assist
the doctors, the ambulance attendants and so
forth in seeing that those who did survive got
the best possible treatment at the time.
My commendations certainly do go out to
all of those who contributed their services
above and beyond the call of duty when their
fellow man was confronted with such a seri-
ous disaster.
Mr. Speaker, the first real topic I intend
to introduce is the need for housing in the
Province of Ontario. Rather than go into the
provincial aspect, I'll be a little more
parochial and refer to it in relation to my
own community and that is the city of
Windsor. The new minister is simply repeat-
ing what we have heard in this House now
for some 15 or 16 years. We have had
housing by headline ever since I have been
in this House and I don't think this govern-
ment intends to build any more houses other
than through the headline fashion.
Were the government as concerned as it
maintains and claims it is, we would not be
confronted with the situations we have
throughout the length and breadth of Ontario.
I can recall, Mr. Speaker, in practically every
year I have had the opportunity of speaking
in this House, bringing to the attention of
the government the serious need for housing
in the Windsor area, especially in relation to
the senior citizens.
I have brought out statistics showing how
the government, in its attempt to resolve the
problem, wasn't coming close to the resolu-
tion. The need for housing continues to rise,
then fall slightly and then rise substantially
and unless this government becomes extreme-
ly serious about the housing situation, we are
not going to accommodate many of those
senior citizens whose days are numbered and
whose one dream is to be able to spend the
golden years of their lives in accommodation
of which they are rightfully deserving.
Mr. Speaker, this government certainly does
not look upon the needs of the senior citizens
in the light by which it should be looking
on them. I have presented to it alternatives
to the construction of highrise and other
senior citizen accommodation.
Many of the senior citizens are satisfied
with the accommodations in which they hap-
pen to live. But they can't aflFord the rentals,
and government could very easily have ac-
commodated them by picking up the tab oi
by subsidizing their rental payments in the
accommodations in which they live. A rent
subsidy programme, Mr. Speaker, I first
espoused in 1966. Government has been much
too reticent, much too slow in picking up
the idea.
It claims that it has diflficulty in getting land-
lords who are willing to go into the rental
subsidy scheme, to lease tneir properties to
the government of Ontario. I think that is
hollow talk, Mr. Speaker. They could ap-
proach the many senior citizens who live in
satisfactory accommodations but can't afford
them because of the high rental. They could
approach those landlords and I'm positive
they could come to some accommodation
so that the senior citizen would stay in those
accommodations, be satisfied, and government
in turn may not have to accelerate a senior
citizen housing programme.
I make mention of senior citizens; I could
likewise make mention, Mr. Speaker, of the
handicapped. I think it is time that govern-
ment looked at those who are physically and
otherwise handicapped, and provided for
them, either on a co-op basis or some basis,
accommodations the like of which they need.
The government should consult with them in
the building programme so that the accom-
modations provided for the handicapped meet
with their approval— and not only meets with
their approval, but is satisfactory in terms of
easy access and egress.
Mr. Speaker, senior citizen accommoda-
tions in the city of Windsor have at one time
been as high as 1,600. At present, and these
are the statistics as of April 1 this year, 1,076
senior citizens have filed apphcations with
Ontario Housing in the city of Windsor; 613
families have applied for housing accommoda-
tions; the total of the two comes to 1,689
families who have asked for accommodations
APRIL 8. 1974
039
in the dty. That figure does fluctuate where
the government has been doing a more sub-
stantial job, has been in family rental or in
family geared-to-income housing, but not in
senior citizen housing.
One of the things that does disturb me very
much, Mr. Speaker, is that although 1,076
senior citizens have applied, many have not
applied because they know they don't stand a
snowball's chance in Hades of ever getting
accommodation and as a result forget about
applying. They figure they won't be too long
for this world so why go ahead and take an
added strain and burden on their own heart
hoping that maybe they would have their last
dream in life come to fruition.
Of the 1,076 semor citizens who have
applied, Mr. Speaker, the Windsor Housing
Authority has not even investigated 753 as
to whether their cases are genuine or whether
their cases are extremely serious. When three-
quarters of those who have asked for senior
citizens housing do not even have an investi-
gator from Chitario Housing, that is the
Windsor Housing Authority in the city, look
into their problem, then you wonder what
this government is doing concerning the needs
for mese individuals. Tney certainly aren't as
concerned as they should be, Mr. Speaker.
I maintain that one of the solutions to the
problem is by vastly expanding the rent sub-
sidy programme so that many who are satis-
fied with the accommodations in which they
live today could still' stay there but have their
rentals subsidized.
You know, it is not fair, Mr. Speaker, to
provide housing accommodation to some
people who, either through politicial ability or
through other ways, are able to get govern-
ment geared-to-income accommodation, un-
like others who are timid, shy, backward, or
who are not as brazen as they probably should
be in going into Ontario Housing and de-
manding accommodation. I think we should
treat all of them in the same fashion.
If you provide geared-to-income housing
for one so that it has cost that individual only
$45 or $50 a month, then that senior citizen
living imder the same financial umbrella, hav-
ing the same finances with which to take care
of himself, should have his rental subsidized
to exactly that same degree. He should not
be paying any more than $45 or $50 for hous-
ing accommodation whether he hves in
geared-to-income housing or in the commer-
cial housing market. The government has to
expand its programme on the rent subsidy.
Mr. Speaker, I could make extensive com-
ments concerning shoddy workmanship in
home construction. I coiild make comments
concerning the need for a warranty pro-
granmie on all tvpes of construction so that
the individual wno purchases a home knows
that he is buying what he thought he was
buying at the time of purchase.
<I can recall, Mr. Speaker, bringing to the
attention of the previous minister responsible
for housing, prcxjlems concerning Elizabedi
Gardens in the dty of Windsor. I don't intend
to repeat them. The problem still remains
there. The individuals who bought housing in
this project were not satisfied with the conr
struction and have had to fight all the time
with the builder to get their problem resdlved
—and the problem today is stilt not reserved.
Mr. F. A. Burr (Sandwich-Riverside): They
haven't got their mortgages yet.
Mr. B. Newman: That's right, they have
been clamouring and clamouring to get their
mortgages and mey are still held up.
Mr. Burr: After two years.
Mr. B. Newman: I don't know whose fault
it is, Mr. Speaker, but I think the Minister of
Housing should look into this and see that
that problem is resolved and resolved immedi-
ately.
One of the problems in providing housing
accommodation, Mr. Speaker, could be re-
solved if the government accepted the resolu-
tion originally passed by the dty of London
and endorsed by the city of Windsor as re-
cently as March 18 of this year. That would
enable the Ontario Municipal Board to shorten
the interval of time between the passing of a
zoning bylaw and the time at which con-
struction starts. If that were taken care of,
Mr. Speaker, some of the housing problems
could DC overcome.
Mr. Speaker, I had intentions of speaking
at quite some length concerning the place
that mobile housing plays in resolving hous-
ing accommodation problems. I can recall in
1966 mentioning that there would have been
the need for at least 10,000 mobile homes in
the Province of Ontario, so the govermnent
of the day cotild have properly planned and
maybe phased-in housing accommodation
throughout the length and breadth of On-
tario in a programmed fashion. The govern-
ment was not interested in the mobile hous-
ing field.
Yet, Mr. Speaker, the only chance that
many residents in tfie Province of Ontario
are going to have to own a home of their
own, to have a place that they can call
their castle, is by way of purchasing a
mobile home. Government has to look into
940
ONTARIO LEGISLATURE
the mobile home field more seriously than
it has done in the past.
Mr. I. Eteans (Wentworth): That's the
problem, most of them don't.
Mr. B. Newman: Mobile home living is
not tincan living. It is not trailer living. It
is nice accommodation generally; the type
of accommodation that the individual wants,
at two stages in life, either at the retiring
stage or in the early marriage stage where
he needs limited housing accommodation
and not the two- or three-bedroom accom-
modation.
Mr. Speaker, the next topic that I wanted
to mention is auto plant health hazards and
overtime. Dr. Sidney Wolfe, the director of
Health Research Group, a group funded by
contributions to consumer advocate Ralph
Nader, had presented to them a 43-page
report of a two-year study.
This two-year study of Michigan auto
workers said that potentially fatal heart and
lung diseases are more likely to hit foundry
workers, machinists and metal workers, who
are exposed to either dust, smoke and dirt,
dangerous chemicals or forklift exhaust
fumes.
The 43-page report originally had been
compiled by a Dr. Janet Sherman, a Detroit
internist who for some two years studied
489 Michigan workers, 459 of them being
auto industry workers. Her data were col-
lected between January, 1970, and January,
1972; so there was a two-year study period.
The conclusions of the report include five
that I will bring to your attention, Mr.
Speaker. The first is that workers exposed
to dirt, dust and smoke have about a 50
per cent greater chance of having bronchitis
and heart disease than workers not exposed
to these elements.
The second finding of the health study is
that workers exposed to fumes from sub-
stances such as molten metal and hydraulic
fluids face about a 40 per cent greater like-
lihood of getting bronchitis and heart dis-
ease than those not exposed.
The third finding is that foundry workers
have a 14 per cent greater chance of hav-
ing bronchitis than non-foundry workers.
The fourth is that machinists have a 30
per cent greater chance of having heart
disease than non-machinists.
And the last that I'll mention is that
coarse metal finishers have a 70 per cent
greater chance of getting heart problems.
Mr. Speaker, in addition, this report
showed that persons exposed to exhaust
fumes from forklift trucks in plants have a
15 per cent greater chance of getting heart
disease.
I bring this to your attention, Mr. Speaker,
because in the past week or so the Chrysler
workers walked oflF their jobs as a result of
what I understand were some of the safety
aspects concerning the job, in addition to
their demand for the elimination of over-
time. I have shown to you, sir, that indus-
trial factory work has greater health hazards
than is generally accepted.
The workers who walked out were not
only concerned with their health, they were
concerned with the excessive use of over-
time. I think that the Minister of Health
(Mr. Miller) has to look at the overtime
picture in the auto industry, especially to-
day, when there are so many unemployed
in towns associated with the auto industry.
In the city of Windsor there are over
3,000 who are imemployed in the auto
industry, in addition to those who would
be working in feeder plants. While we have
a large number of unemployed— and I think
the number is well over 7,000 if we count
in non-auto workers— while we have as many
as 7,000 unemployed in the city, I can't
see why there should be the need for the
use of overtime. In fact, there has been
formed in the community a committee on
full employment. This committee is chaired
by a gentleman by the name of Cleveland
McGee, a laid-ofF Ford worker; and the
committee's work is being supported by the
Windsor and District Labour Council.
I happen to know Cleveland McGee per-
sonally, because in his younger days he hap-
pened to be a gymnast that I had the oppor-
tunity of coaching, and an extremely accom-
plished one at that, who did not further his
education but preferred to serve his country
and come back and became an auto worker.
Now Cleveland McGee, the spark plug be-
hind the group, is extremely concerned with
this excessive use of overtime, as are not only
those who are laid off but also those who are
working in the plant.
The 300 people who recently walked out
of the Chrysler plant did not walk out simply
because they were, it was said, told to walk
out by one of their union stewards. They
were extremely concerned. They were con-
cerned for their fellow worker who is on the
unemployed list while the factory continu-
ally asks the Ministry of Labour to issue over-
time work permits.
I think there has to be some association be-
tween the numbers of unemployed in the
APRIL 8, 1974
941
community and the issuing of additional over-
time work permits. I think the Ministry of
Labour has to consult with the union in-
volved to find out if the union will accept
additional overtime. While we have large
numbers of unemployed in any community,
not only in the community from which I
come, Mr. Speaker, the issuance of overtime
permits should be an exception and not the
rule.
Mr. Speaker, in one of the comments con-
cerning the issuing of overtime permits, a
fellow asked, "How easy are they to get?"
and here was the reply: "Apparently they are
easier to get than a newspaper." I hope that
isn't the position of the Ministry of Labour
in giving work permits while people are walk-
ing the lines seeking employment throughout
the length and breadth of the community,
knowing full well that their opportunity or
their chance of getting employment is ex-
tremely slim.
Mr. Speaker, the companies have a re-
sponsibility at this time of growing hiyoflFs
in the auto industry to sit down with the
union and to clearly define needs for any
overtime in any case. The failure of the com-
pany to come along and consult with the
union and minimize its requests for overtime
and not hiring additional workers to take up
this slack, I think is only asking for trouble in
the auto industry. We don't want to see any
trouble in there but I think, Mr. Speaker,
the goverrmient has to be a little more cau-
tious concerning the use of overtime for the
auto worker in my own community.
Mr. Speaker, while I'm talking concerning
the auto industry, I think it would be only
fit and proper to make mention that the auto
trade agreement needs some re-examination.
I think the re-examination of the agreement
should be in consultation with the unions,
who are involved, who know the problem,
who point out to government that quite often
some of the so-called Canadian content that
is in the manufacture of an automobile is
simply three holes punched in a panel in
Canada, with the article coming in from the
United States or coming in from a foreign
country, slipping through one door in a Cana-
dian plant, out the other door and then go-
ing over to the US and being labelled, so I
am told, as Canadian content.
Mr. Speaker, there is the need for a com-
mission on technological change to monitor
the impact of technology on employment op-
portunities and to have the authority to pro-
tect jobs. Industry keeps promoting tech-
nological change and the more technol'ogical
change that does take place the fewer the
job opportunities.
There is the need for a job security pro-
gramme and you are only going to have this
if you have some committee on technological
change that has teeth in it and can enforce-
yes, can enforce— a job opportunity pro-
gramme.
Mr. Speaker, we have gone by the day
where we are going to think always of a bal-
ance of payments; the fact that we in Canada
have exported to the United States or an-
other country $4 billion worth of merchandise
and we've imported $4 billion or $5 billion
worth of merchandise. I think the dollar and
cents approach is pass^.
We've got to forget about it and look
now on how many jobs we have exported
and how many jobs we have importea. You
can have one massive part of a Dody of an
automobile, the whole floor panel or the
whole roof, Mr. Speaker. It's a big piece, so
to speak. There may be three mtoutes of
labour involved in the processing of that in
an auto industry plant but we can have a
little thing like a wrist watch that might
have hours of labour involved.
We've got to get away from the dollar
and cents point of view. We've got to look
at how many jobs we have imported and
how many jobs we have exported. We have
to come along, Mr. Speaker, through the
Minister of Labour (Mr. Guindon), and know
exactly the job content of every item manu-
factured. Industry knows that. Industry can
provide us with the figures. Industry Knows
how many minutes it takes to manufacture
one little stamping. In their bids to have
suppliers supply them with the part, Aey
know to the second, so to speak, how much
labour content is involved in the manufactujr-
ing of that piece, plus the assembling of that
piece to make the larger component
In an attempt to arive at a balance in our
auto trade agreement, Mr. Speaker, we have
to know how many hours of labour have
been put in in Canada on the manufacture
of the automobile and how many hours of
labour have been put in on that same part
coming into Canada, either for assembly or
for additional work, and then re-exported to
the United States for assembly over there.
We've got to look at the job content, the
man-hour content or the hour content of
everything that we manufacture, so that our
balance of payments between countries is not
in dollars and cents only but is— in how many
jobs we have exported when we export the
942'
ONTARIO LEGISLATURE
material and how many jobs we have im-
ported when we import the finished material.
Were we to know the job content we
would find that our balance of payments, not
in dollars and cents but in jobs, would be
really to the detriment of the Canadian
worker. We export our raw materials but
we import our finished product. How many
more Canadians and Ontarians would be em-
ployed were we to take the raw material and
process it here in Canada, and, not only
process through one of the stages but process
it through the finished stage. We have to
look at the auto trade agreement, not from
a dollar and' cent point of view, but a labour
content point of view so that our export as
far as labour is exactly the same as our
import, or as close as possible to what we
would like to see.
Mr. Speaker, the third topic that I would
like to really talk on is the bill that I had
introduced last year and that was Bill 179,
An Act to establish an Ontario Waste Dis-
posal and Reclamation Commission. This was
on the order paper last year. It got first
reading but that's as far as it got. I didn t
see the ministry come along and do anything
concerning it. I didn't see them refute or
attempt to refute the merits of such a
proposal. It's easy to conclude that our
present method of garbage disposal represents
a destruction of resources accompanied by
economic, environmental and possibly public
health damage. A new method of garbage
handling is needed that is not harmful to the
environment and that at the same time con-
serves and recycles some of the reusable in-
gredients of garbage.
Mr. Speaker, I proposed last year that the
province establish an Ontario waste disposal
and reclamation commission that would
operate on the same basis as Ontario Hydro.
In other words, it would become a provincial
authority or a provincial utility. This com-
mission would be responsible for all waste
disposal in the province including sanitary
landfill and incineration. However, before dis-
posal, the garbage would be processed in a
plant for reclamation of paper, metals and
glass, and the commission then could market
the reclaimed materials to industry for re-
cycling.
Mr. Speaker, many municipalities would
find it extremely difficult to set up their own
reclamation plants because of the great finan-
cial burden involved. Therefore, the province
should have the responsibility of setting up
these plants on a regional basis. It's estimated
that processing 200,000 tons of waste annu-
ally would make the operation of such a
plant economically feasible. In regions and
towns where waste collection procedures are
uneconomical for local authorities the com-
mission would provide collection services as
well. In more densely populated regions and
municipalities, collections would continue to
be provided by local authorities but disposal
and reclamation would be provided by the
commission. I think, Mr. Speaker, the
Ministry of the Environment has a responsi-
bility to look into this and to act.
On Feb. 21, one of the articles in the
Windsor Star said, "New Wonder Fuel-
Would You Believe It?— Garbage." Surely if
the ministry followed the suggestion that I
have made, not only could they reclaim a lot
of material but you could have watts from
waste. The city manager in the city of
Windsor has been looking forward to gold in
garbage. He, an extremely astute man, is
looking to the fact that garbage can provide
revenue to a community.
In fact, to show the revenue it can provide,
on Jan. 30 in the Detroit Free Press a column
imder the byline of Sylvia Porter, a well-
known journalist, talks about "Recycling— a
Way To Combat Shortages." In Hempstead,
Long Island, she vmtes, where a city ordin-
ance makes all solid wastes the property of
the city, more than $100,000 was netted by
the community within one year from the col-
lection and sale of waste paper and other re-
cyclable scrap materials. In Fort Worth, Tex.,
two garbage trucks make once-a-week col-
lection of old newspapers in various neigh-
bourhoods. It is estimated that an income of
$250,000 annually will be obtained from this
waste paper sale alone without any addi-
tional capital outlay on the city's part. This
is at the price of $9.50 a ton for waste paper,
and I vmderstand waste paper today is well
over $25 a ton.
Mr. Sargent: Sixty-five dollars.
Mr. B. Newman: Mr. Speaker, to bring to
your attention the amount of materials that
are discarded and not reclaimed, we find that
only 49 per cent of our aluminmn scrap is
recycled; 42 per cent of our lead is recycled;
17 per cent of our textiles; 26 per cent of
our steel; 61 per cent of our copper, but 88
per cent of our stainless steel and 75 per
cent of our precious metals. You can see, Mr.
Speaker, that we've a long way to go in re-
claiming and recycling many or the materials
that have been discarded. In Wisconsin, the
state Legislature is on the way to passing a
law that would create a solid waste recovery
authority to initiate and manage a state-wide
recycling programme.
APRIL 8. 1974
943
Mr. Speaker, how about Ontario? Are we
leaders or are we followers? And if we are
followers, how far behind do we fcJlow?
Hon. W. Newman (Minister of the Environ-
ment): We've been leaders for a long time in
the province of Ontario.
Mr. B. Newman: I beg the minister's par-
don?
Hon. W. Newman: We've been leaders for
a long time in the Province of Ontario and
the member knows it.
Mr. R. F. Nixon: Leaders of the western
world.
Mr. B. Newman: Leaders of the western
world. I imagine that if—
Hon. W. Newman: If the member is in-
terested in our programmes he can read about
them.
Mr. B. Newman: If the government is a
leader, it is leader of the gjS), but as far as
action is concerned, there is little action over
there.
An hon. member: How about the housing
programme? This government builds by head-
lines, that's all.
Mr. B. Newman: The government members
aren't even interested in coming into the
House to get educated and to learn some-
thing as to what other jurisdictions are doing.
Interjections by hon. members.
Mr. B. Newman: Well, we'll see what the
government will do concerning pollution, Mr.
Speaker. We'll see how quicldy the Minister
of the Environment will take care of the
transboimdary pollution, whether he will put
a monitor next to the Ford Motor Co. foundry
in the city of Windsor to give the true read-
ing to the people who live in that area— not
a fictitious reading, saying regarding the
pollution in that area that, ' Welf we'll aver-
age it out for the whole city." If the minister
lived behind the foundry and saw the amount
of pollution that has been coming from there,
then he would talk with a difFerent tone.
Hon. W. Newman: Is that where the
member lives?
Mr. B. Newman: The minister is so bloom-
ing new to the game-
Mr. R. F. Ruston (Essex-Kent): Hell de-
liver everything in Ontario South.
Mr. B. Newman: I'll say to the minister,
through you, Mr. Speaker, that he has a long
way to eo. He has got the right name; he
has got the right last name.
An hon. member: A new man.
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): Don't pull that o!d
gag-
Mr. B. Newman: And we hope that he will
be just as his name implies— a new man, a
new individual concerned with the environ-
ment and hoping to resolve the problem.
Let's get at the recycling of waste products.
Let's get at the reclamation of these waste
products. Ontario is ahead of the game. If
you look at it from the other end they are
at the head, but you have got to go to the
back end to find that, Mr. Speaker.
I wanted tx) bring up a few minor tc^ics— I
shouldn't say minor topics, but topics at
which I won't spend much time. First, I am
waiting for the Ministry of Transportation and
Communications to come through with a
bus colour proposal, as well as regulations
concerning the number of people who can be
accommo<£ited in a bus, especially when it
comes to school buses. Surely after the one
year that the ministry has had the proposal,
the minister should by now have been able to
introduce legislation controlling the colours
of buses.
We have school buses that are sold to
construction companies. The construction
companies don't bother changing the colour.
They are driving along our highways; stu-
dents are waiting at the comer, assuming
that that is the school bus; they walk into
the road thinking the bus is going to stop
for them and that they are going to get
on the bus. Lo and behold, too late they
find out that this is a construction company
bus, it is not a school bus. They have been
misled by the colour. As a result unfortu-
nate mishaps have taken place in the prov-
ince. I can recall one where a young stu-
dent was killed; that was in the Essex
county area.
I think it is time, Mr. Speaker, that the
chrome yellow colour is used exclusively for
school buses. When school buses are sold,
they should not be allowed to be used by
any concern or organization before the
colour has been changed. The colour must
be (ianged before die ministry issues a
permit to use that bus to the purchaser.
Mr. Speaker, I wonder if the Ministry of
the Environment has looked into the dump-
ing of mercury-contaminated lake sludge on
to an island in the St. Clair River. It's an
American island, not a Canadian island; we
944
ONTARIO LEGISLATURE
have no jurisdiction over it. But perhaps the
dumping of that mercury contaminated
sludge is going to a£Fect water quality along
the Lake St. Clair and the Detroit River
where water intake pipes are located for
many of the cities or towns in the area. If
that is going to adversely aifect our water
supplies, then I think the ministry should
have its people look into this and should
make strong objections to what is taking
place.
Hon. W. Newman: We already have.
Mr. B. Newman: I commend the minister
for it if he has; I hope it was after I
brought it to his attention. Well, I am
pleased that he has because I think he has
clone the right thing there.
Mr. Speaker, I could come along and
talk on a whole series of other topics, but
there are others who would like to speak.
I would like at this time simply to say, Mr.
Speaker, I am awfully pleased to see you
in the chair. We hope that this will be a
permanent appointment. We will see to it
that if you aren't there after the next elec-
tion, you will be along the front benches
anyway when we do form the government.
At this time I would like to say, Mr,
Speaker, I will make the balance of my
comments in the budget debate. Thank you
very much.
Mr. E. Sargent (Grey-Bruce): Madam
Speaker, I would like to say that the three-
cornered hat wouldn't look good on you in
that chair. I do want to say to you that
you have become the chair. In this oppor-
tunity I have to speak in the Throne de-
bate-
Mr. Deans: The member has become the
Speaker. I am not sure about becoming the
chair.
Mr. Stokes: One could say the chair be-
comes the Speaker.
Mr. Sargent: It is a matter of opinion,
and how one says it. I do want to say I
welcome the chance to add my remarks to
the kind remarks all members have made
about the Speaker. I believe every one of
the speakers here has sincerely conveyed
his warm feelings for our referee and' we are
glad he is back.
One time I sent a note across the House
to John Robarts about his pending oper-
ation. In a note he said: "I don't think I
ever told you that when I was in the hos-
pital three or four years ago I received a
letter saying, 'Dear Mr. Robarts, I hope
your illness is not trivial'/*
I am glad the Speaker is back in good
health. In view of our di£Ferences from
time to time I will say that I tip my hat to
him as a politician and I tip my heart to
him as a friend. I do mean that. I think we
all feel that way toward him. I think he is
one hell of a guy to put up with the things
he does in this House.
Also, if I may, Madam Speaker, I want to
convey my best wishes to the member for
Nipissing (Mr. R. S. Smith), who is in the
House tonight. I am glad to see him back
in good form.
Usually a speaker starts his speech by
saying that he is glad to be here. Well, after
what has happened to me in the past year,
I am glad to be anywhere. Getting on to
my speech here, I would like to say at the
outset that I am going to forego the fact of
being non-political tonight. I think I Willi
be a bit biased in my remarks.
Mr. Deans: No!
Mr. C. E. Mcllveen (Oshawa): Shame!
Mr. Sargent: I am going to talk about some
of the things members know about and some
of the things they don't know about and some
of the things people in this province are
thinking and talking about.
The other day I was in Chicago and I
picked up the Chicago Tribune, the news-
paper there, and the masthead says:
This newspaper is an institution develop-
ed by modern civilization to present the
news of the day, to foster commerce and
industry, to inform and lead public opin-
ion and to furnish that check upon gov-
ernment which no constitution has ever
been able to provide.
Gentlemen, more and more in Ontario this
check is needed on government today. The
press, believe me, is the sole auditor of ex-
penditures and performance in this province.
It is the sole auditor. I pay tribute as an in-
dividual, as a citizen, to the Globe and Mail
and Norman Webster for their objective re-
porting, to seek out corruption in this organiz-
ed crime we have here in Queen's Park.
Mr. M. Shulman (High Park): And Gerald
McAuliffe, the reporter.
Mr. L. Maeck (Parry Sound): That used to
be the opposition.
Mr. Sargent: I think, getting down to busi-
ness here, we might as well get a few pre-
liminary things out of the way such as giving
the Premier (Mr. Davis) a bit of advice. For
APRIL 8, 1974
945
instance, he should have, in tfie Throne
Speech, named Gerhard Moog aa the most
vahiable player of the year.
Mr. McUveen: He always spoke well of the
member.
Mr. Sargent: I suggest it is things like this
which have prompted the Premier to go about
the province making speeches such as he has
made. The three-column headline in the Kit-
chener paper says, "Davis Pleads For The
Defeat of Unruly Eddie Sargent." He says he
is going to spare no money or nothing to win
Grey-Bruce. In support of that a month ago
he brought down to Queen's Park a very
good friend of mine, my step-brother, and
he, along with the Minister of Agriculture
and Food (Mr. Stewart) and Mr. DeGeer,
ofiFered this step-brother of mine the post of
the Minister of Agriculture and a blank
cheque—
Hon. W. A. Stewart (Minister of Agricul-
ture and Food): Come off it. That's wrong,
and the member knows it.
Mr. Sargent: All right. I am glad the min-
ister said that, because that's what he told
me. We are off and running now. Here we
go.
Hon. Mr. Grossman: Step-brother is really
hitting below the belt.
Mr. Sargent: Well, this is the way we oper-
ate. He has a blank cheque and he has the
post of Minister of Agriculture and Food if he
wins Grey-Bruce. Well, I don't think the
name of Davis is going to help him very
much up there.
An hon. member: There's no way he'll win.
Mr. Worton: Heaven knows it isn't going
to help any.
Nfr. R. F. Nixon: Maybe the Premier will
go up and help him.
Mr. Sargent: This may be the last speech
in the Throne Speech debate that anyone of
this House will make in this province-
Mr. Shulman: I hope so.
Mr. Sargent: I am sorry it is the last by
the member for High Park if he means that.
I really mean it. I am sorry-
Mr. Shulman: The member for Grey-Bruce
may be here next year.
Mr. Sargent: He is a credit to the Legisla-
ture; I say that kindly.
Mr. Shulman: Thank you very much.
Mr. Sargentt We need people like him in
government, because God knows tfatt mett
over there needs somebody feariett to take
a poke at it-
Mr. McDveen: We are all right here. We
always speak well of the Liberals.
Mr. Sargent: But I suggest to you, Mr.
Speaker, that in view of tne thrust of the
Liberal Party today and the way that otir
leader is scoring across the province as well
as our deputy leader and our House leader
—we have a new team here- the Premiei
doesn't want this to get into full gear. And I
f)roject and prophesy for the press, which
oves to hear it, that there will be an election
in June in Ontario-
Mr. McUveen: When did the member make
up with his leader?
Mr. Sargent: —so the doctor can start doing
his homework.
Last Friday, Mr. Speaker, I objected to the
do-nothing policy of this government insofar
as it concerns all the truclcing companies in
this province writing a blank cheque for
freight rates. Every trucking company in this
province writes its own ticket. We in the
Grey-Bruce area have no railroads, so we are
dependent on the trucking business. And all
of these lines that have monopoly routes
write their own freight rates and naturally,
as we all know across the province, this re-
flects in the cost of living. It is a shocking
thing that this government will not take the
steps to right this wrong.
On top of this we have the situation of
monopoly routes, exclusive routes across the
province. No one can get excited about
this, Mr. Speaker, but this is a billion-dollar
business— and this is probably costing everv
consumer of this province hundreds of dol-
lars a year in extra costs because of trucking
rates. They should be brought into line ana
the prices reviewed like every other com-
modity, because transportation is a basic com-
modity.
An hon. member: A hundred miles is 100
miles.
Mr. Sargent: Right I questioned the ethics
of the former Highways Minister, Mr. Mac-
Naughton, sitting as a director of Laidlaw
Transport and appearing before the High-
way Transport Board, or which he was for-
merly the head. I questioned the ethics of
former Premier Robarts appearing as a coun-
sel for Dominion Consolidated before the
Highway Transport Board. The Premier
946
ONTARIO LEGISLATURE
didn't know how to answer me, so he said,
"I suggest that the member check his own
ethics. '
Well, one thing I am sure of is that the
people in my area know that my ethics in
politics are pretty good.
Mr. Mcllveen: He hasn't got any.
Mr. Sargent: I am not here being a good
guy, but I can tell you, Mr. Speaker, that I
will stack mine against the Premier's any
time, especially in view of what I am going
to bring before you.
Mr. Mcllveen: Don't ask us to vote on it.
Mr. Sargent: Let's look at this man who
questions my ethics. I have thought for the
past few months that the goings-on in this
Legislature and in this province could be the
basis of a movie or a TV series.
Mr. Shulman: We could call it "Wojeck."
Mr. Sargent: Well, we could; we could
have a fearless guy like Wojeck— but it is a
story on organized crime in Queen's Park.
The simple facts are so incredible the
people wouldn't believe them. We should
put on film all the factual knowledge we have
here, even the "Hydrogate" inquiry— reveal
all the facts there.
The series could open with our hero, the
head of the state here, who makes a com-
plete shambles of our educational system, cost-
ing us God knows how much— maybe $500
million in school consolidation programmes.
He inherits the political machine from a
former premier, and he starts to shake down
government contracts to his bagmen, to cor-
porations who have or want government
contracts. He has a real pork barrel fund,
about $5 million we are told. And here in an
upcoming election he does a saturation TV
campaign, and sweeps to power again and
again.
After looking after the well-oiled machine,
which he keeps greased with money from
sales of government contracts, an unknown
firm called Fidinam, which couldn't pay a
$1,500 account, a Swiss firm, all of a sudden
gets a $10 million loan and a $20 million
contract to build the Workmen's Compensa-
tion Board building. This happens because
they pay their bagman $50,000. When asked
about this, the president of the company
said, "No way. It's not true." But when
they produced the cheque he admitted it was
true.
Here we have the party which runs this
province engaged in a criminal act, for which,
if under American law, the leader would be
impeached. But the Premier immediately
starts to guard this thing ofiP. As a citizen—
I'll interrupt this in the scenario here— I
spent about $700 in legal fees trying to take
an injunction against the Workmen's Com-
pensation Board to block the loan of $10
million to Fidinam. The Premier, seeing
that this was going to be a hot issue in the
opening of the House, decided to do some-
thing about it.
I got up in the House at the opening of
the House and tried to forego the hearings
of the sittings of the House to ask for a
special inquiry into Fidinam. I was booted
out by the good Sergeant-at-Arms, rightfully
so I guess, if the government's going to carry
on with this. The Premier immediately brings
in a conflict-of-interest bill. In no way would
that conflict-of-interest bill ever have appear-
ed here if Fidinam hadn't happened.
We now have him lily pure again. He is
going to stop all this hanky-panky and smell-
ing of corruption. Now he's a good guy
again.
Mr. W. Ferrier (Cochrane South): He's
clean again.
Mr. Sargent: He's clean again. But he still
has the $50,000. I already bet him $50,000
if he would reveal where he got the $5 mil-
lion—that if any one of those government
contracts being held by people who supply
money to the party were announced there
I would give him $50,000, but he wouldn't
even listen to that.
We have the Premier whose legal firm
acts as counsel for Mr. Moog. Here's where
this television thing comes in great. This
Mr Moog is a former U-boat commander, a
romantic figure. The Premier and he decide
to go to Europe to raise some money for
the Hydro building. It's going to be a
$44 million deal; it's a big deal. They don't
worry about the calling of tenders. They
end up in Switzerland; they get into a few
bottles of wine according to the hearing and
they decide to race down to their interview
at the bank to get the money. They have a
flat tire, and in fixing it they get their
clothes soiled a bit. They race to keep their
appointment and they have trouble getting
into the bank because of their appearance,
but finally they get into the inner sanctum
of the bank, and the rest of the episode is
well known.
The Premier didn't want to stay at the
other end of the room, he stayed at this
end of the room, and they talked German
down there when they talked about the
APRIL 8. 1974
047
financing. Anyway, the big project gets
under way and no one else has a shot at the
tenders.
Now, I think that this would make a
beautiful television series. Some of us should
get into the act and produce that, because
it would have top TV ratings, I believe.
Mr. Haggerty: The National Dream.
Mr. Shulman: We will form a company.
Mr. Sargent: Well, the member for Scar-
borough Centre wanted to be televised
during his part of the Throne Speech de-
bate. Now, that is one thing I wouldn't
want, because I don't come across very
well. But if the people in Ontario could see
what the hell goes on in this place, that
gang wouldn't be there very long, I'll tell
you that.
Mr. Shulman: "Laugh- In" would be out
of business.
Mr. Maeck: Don't forget that—
Mr. Sargent: So you see what I am try-
ing to say is that if ever there was a time
when the people needed a new deal in this
province, it is now.
An hon. member: Right. Right on.
Mr. Sargent: I believe that people of this
province have had enough, enough.
Interjection by an hon. member.
Mr. Havrot: The member would give
them the fast shuffle, wouldn't he?
Mr. Sargent: Now, with President Nixon
and Watergate, we have a very close pal of
Premier Davis and his "Hydrogate." Let's
have a look at President Nixon and his
position.
Interjection by an hon. member.
Mr. Sargent: I believe if there is an
evidence of an impeachable oflFence the
Congress will impeach, if not, they will
exonerate. I think we all agree that impeach-
ment is a cumbersome thing and much as
I feel that he is a disgrace to his office, I
hope for the sake of the American people
that they do not impeach him.
But I believe that in this province the
people have made in their own minds a
political judgment. We don't want a run-
away process. In the USA and Ontario the
people have received a great education in
the past year. People in their own minds
can render a judgement. As with President
Nixon, Premier Davis is fast losing his
credibility. I believe sincerely that there is
an intuitive reaction on the part of people
that things are not right, that there is uid
has been corruption.
I want to say right now I don't for one
moment think there is a crooked lx)ne in
the Premier's body, but I think the machine
is corrupt— at least part of the machine. If
anyone had said a year ago that President
Nixon, with his landslide victory, would lie
up for impeachment, that he would go on
television and say "I am not a crook;" if
anyone had prophesied that one year ago,
he would've been called a lunatic.
But here we have two leaders who place
themselves above government, above the law;
there is complete abuse of power. And what
we lack in our process here is a method to
bring these people to heel, because in every
election the combined forces of the Liberals
and the NDP defeat each other. And they
will continue to do so. If we ever heard of
a banana republic in South America having
35 years of solid government, we wouldnt
believe it, but it's happened right here in
this province.
Certainly the Premier is the sole authority
on what will be investigated and what will
not be investigated. A case in point, the
Fidinam affair. We have ample evidence of
criminal activity and criminal procedures
which should be handled by the political pro-
cess. We have ample evidence or the Premier
holidaying in Muskoka, hohdayir»g in Florida,
cruising on Mr. Moog's yacht, going to
Europe to raise a loan, and so on, as I men-
tioned before.
But I suggest to you the big ball game now
is not the $44 million that Mr. Moog and
the Premier were involved in. The big ball
game now is the $15 billion nuclear pro-
gramme and the vested interests the govern-
ment is working with now on Hydro.
We have 100 people working in the
Premier's office, more than Mr. Trudeau has.
His office costs more than that of the Prime
Minister of Canada. Who does he think he
is? What right does he have to spend our
money Hke this?
The Globe and Mail carried a story this
week on what's going on in Ontario spending.
There has been a jump of 37 per cent in
government payrolls for ministries, for those
people who have the power to sign these
documents. They increase their expenditure
of moneys 37 per cent. It isn't their money,
it belongs to the taxpayers.
948
ONTARIO LEGISLATURE
Mr. Haggerty: The Minister of Labour
hasn't an assistant yet.
Mr. Sargent: I think there are here, in
this summary, four people making more than
$50,000 a year, plus expenses, and there are
hundreds making more than $30,000 a year.
And to save time I will not read the amounts
here.
But I want to say, in summary of this point
I've been on now, of these things I've talked
about, Mr. Speaker, regardless of the verdict,
the whitewash in the Hydrogate hearing, the
people know exactly what is going on.
A summary in the Sun some time ago by
Brian Vallee was talking about the vacuum
cleaner that the Premier had working here.
It says: "Bill Davis brought out his vacuum
cleaner yesterday, but he missed part of the
dirt."
It goes on to show how he went through
the cabinet and how he cleaned out all the
skulduggery, the conflicts of interest, and
mentions about 10 or 12 ministers who went
down the pipe here. Then he says, at the
final paragraph: "One wondes if Davis him-
self would have been sucked into the vacuum
cleaner if he wasn't the one who was oper-
ating it."
Well, you can believe that one. He would
have been the first one to go!
We are talking now in this country about
the gas and oil shortage. What a bunch of
baloney this is. I was coming back from New
York, first class, American, about a month
ago, and I sat with the vice president of one
of the four major oil companies in Canada.
He confided to me that there was no oil short-
age, no gas shortage. In efi^ect he said: "iTie
ball is in oiu: court now. The oil companies
are all on strike against the public, and we're
going to get ours first. All of our rdBneries
are full, all the ships are full, all the cars
are full. There is no oil shortage." And I
think it's a shocking thing— here he comes,
well oiledl
Mr. M. Cassidy (Ottawa Centre): The hon.
member for Scarborough Centre (Mr. Drea)
has arrived.
Interjections by hon. members.
Mr. Sargent: I think it's a shocking thing
that we have the power in this government
—pardon me?
Interjections by hon. members.
Mr. Sargent: I was talking about oil, so
it's all right. We have the power, Mr.
Speaker, in this government to control prices.
To me it is a scandalous diing when these
companies-
Mr. Havrot: Come on, the member doesn't
believe that.
Mr. Sargent: —experiencing the largest
profits in' history— from 45 per cent to 70 per
cent increase in profits over last year— can
be given the right to increase their prices by
six to 10 cents a gallon. This is a shocking
situation. I believe that Trudeau is right, that
we do need a national oil company. We do
need some stake in this great commodity if
transportation is to continue in this country.
Mr. Speaker, at the risk of being on the
wrong side of the fence once again, to me
it is shocking that this govermnent of Ontario
is hell bent in a nuclear development pro-
gramme. Committed as we are to and in-
volved in a $16 billion programme, we are
shooting craps with destiny.
Today, the member for Huron made a
splendid address on the dangers of nuclear
power, and I wish that those fellows had
been here to hear it. I know you can't be
everyplace. But I was talking to the member
for Ottawa West (Mr. Morrow) today, Mr.
Speaker, and back in the House a few years
ago, when a member got up to speak, the
House was here to hear him. When you made
a speech in the Legislature it meant some-
thing-
Mr. J. R. Smith (Hamilton Mountain):
We're listening to the member though.
Mr. Sargent: —because you had rapport
with the press. But the only things that get
in the press today are these sensational things,
the things that count. You may criticize us
backbenchers for talking so long, but we have
something to say. We are in here to speak
for our people, and that's why we speak.
Mr. Havrot: Well, say it!
Mr. Deans: Come on, he's getting to the
member.
Mr. Sargent: We're in a programme for de-
velopment of energy, in which, Mr. Speaker,
no insurance company in North America will
insure anyone, any place, or any property, or
anything against radiation damage.
Now this is a fact. The insurance com-
panies here watched the growth and bur-
geoning of the nuclear power, and have lost
no time in taking steps to protect their in-
dustry. They have, Mr. Speaker, specifically
planned to protect the insurance industry
against the nuclear power industry. I ask
APRIL 8, 1974
948
anyone in this audience, in Hansard and in
Ontario to check their insurance poh'cies and
they will see that there is a complete ex-
clusion from the hazards of nuclear power.
In Douglas Point we have had two gas
leaks. Two years ago they made a $l-million
mistake and they would have covered it up
hut I found out by accident about this $1-
million mistake. I revealed it in the Legisla-
ture and they denied it here, but finally they
admitted there was a $l-million mistake. They
are now building huts to protect the people
up there and they are closing a park because
of fallout and radiation and the odours and
dangers.
Yet, Mr. Speaker, I asked the Minister of
Energy here in the House about the fact that
the officials of Atomic Energy of Canada
Ltd. have refused to meet scientists on a TV
show and let the public know the facts and
the hazards. The problem with nuclear radio-
activity is that as much long-lived radio-
activity is produced in one large nuclear
power plant every year as there is in the ex-
plosion of about 1,000 Hiroshima bombs.
And when we say long-lived radioactivity,
we mean long. Some kinds last for 100 years,
300 years and even 240,000 years before de-
caying fully.
Get this, Mr. Speaker, unprotected, above-
ground, nuclear power plants, loaded with
radioactivity in their cores, would certainly be
large liabilities if this country were ever un-
der attack. They seem to make this country
virtually indefensible. Quite aside from the
sabotage, an accident allowing just one per
cent of the inner radioactivity to escape from
one plant, would put as much harmful con-
tamination directly into the environment as
10 bombs. It would not be spread out all over
the globe like a bomb's fallout, it would be all
concentrated in just a few areas.
Instead of the government preventing this
extraordinary possibility, when we observe,
Mr. Speaker, that the government allowed
harmful conditions to develop in our air and
water— for example, Lake Erie's contamina-
tion from other pollutants— then it is clear
that citizens had better not count on the gov-
ernment to prevent nuclear pollution for them
either. It is time that this government told
the people the truth of the dangers we are
faced with.
Above and beyond all this, we are com-
mitted to a $15-billion programme. I'm not
talking $15 million, I'm talking $15 billion.
The interest upon this, alone is $3 million
a day. Here we are. We are now committed
to an $8-billion debenture debt in this prov-
ince. The interest on this is about $2.50 mil-
lion a day. Now we are going to jump to an-
other $3 million a day interest on this. It is
no wonder the Minister of Energy, in his
offer to start sharing the profits with his
friends, wants to share some of the load here.
On April Fool's Day, last Monday, the
Minister of Energy said in the Toronto Star
that he wants a consortium between Union
Gas, Consumers' Gas, GE, Acres— all of these
firms now feeding at the public trough fairly
handsomely— he wants to give them a piece
of the action. Isn't that just dandy?
In the first column he says: "It's good
Tory philosophy." Good Tory philosophy.
On the drunken spending spree that they
are now on he admits: "Although we aren't
broke, our credit is going to be drained."
Let me tell the minister something. He
can get these corporations into the act and
they will raise the hydro rates across this
province pronto. But this is a public com-
modity and I say he should leave it alone.
Since Adam Beck was in the act 68 years
ago-
Mr. F. Drea (Scarborough Centre): Ask
the Minister of Goverrmient Services (Mr.
Snow) how much it cost to have his restaur-
ant.
Mr. Sargent: —we've spent hundreds of
millions of dollars of hard-earned taxpayers'
money to create Ontario Hydro and an
arrogant wheeler-dealer like the Energy Min-
ister wants to share this package with his
friends, the big boys, in the corporate group.
I was on the Hydro commission for 15
years in Owen Sound.
Mr. Drea: Why doesn't the member ask
how much it cost to have the power line
to his restaurant?
Mr. Sargent: What's the member's prob-
lem?
Mr. Drea: Wiiy doesn't the member ask
the minister how much it cost to have the
power line through to his restaurant? With
that question, don't ask him.
Mr. Sargent: Mr. Speaker, I was on the
Hydro commission for 15 years and I saw
how firms like GE and Westinghouse took
the people of this province by their price-
fixing. We'll have no more of it as far as
I'm concerned.
To say the least, this story of the Minister
of Energy— with a picture there— saying that
he is going to open the doors of Hydro to
private business, is I think a scandalous
950
ONTARIO LEGISLATURE
admission. It's scandalous that he says that
secret negotiations are now going on with
these large firms to share this whole pack-
age with private concerns. Any one of the
members, whether he sits with the govern-
ment or among the opposition, should be
concerned about the unlimited powers that
this man has. As a taxpayer I think it's
time that someone should take action against
him to block it.
Mr. Drea: Why doesn't the member ask
the Minister of Government Services?
Mr. Sargent: I'm going to try and re-
spect the time factor here.
Mr. V. M. Singer (Downsview): The min-
ister pretends he can't hear
Mr. Sargent: What's happening fn this
great province of ours, the most dynamic
province of our confederation? We have an
$8 billion debenture debt. BC and Alberta
are debt-free. Now the Treasurer is looking
for another $15 billion. He's going to have
another big $700 million deficit this year
probably.
Mr. Haggerty: The Treasurer is aware of
that. That's why he's going. He's packing it
in.
Mr. Sargent: We're paying about $2.5 mil-
lion in interest now. We're committed to a
$1.5 billion transit programme, a $1 billion
land acquisition programme and no state in
America-and the Treasurer knows it-is in
such bad shape as this province of Ontario.
Who's laughing? How can you spend $6
million a day in interest and not be in
trouble and the Minister of Energy admits
in the Star that we're in trouble.
Mr. Drea: The member's got a conflict of
interest. He's got a liquor licence. Sit down,
Mr. Sargent: What's happened to this
province when a farmer can't sell his own
land? He's paid taxes all his life on it-and
the Treasurer should know about that.
An hon. member: Tell him. Tell him.
Mr. Haggerty: That's small beans to a
man like the Treasurer.
Mr. Sargent: And what happens when a
small businessman can't hire any help be-
cause a man can get paid more money on
relief than he can working for a living?
What happens when thousands of Canadian
companies don't pay any income tax?
Interjection by an hon. member.
Mr. Sargent: What happens when all the
taxation and assessments are controlled from
Queen's Park? And what happens when the
municipahties we are elected to represent can
only spend 15 cents on the dollar? Centralized
control and we're in one helltiva mess.
Mr. Reid: That's right.
Mr. Sargent: I say it's time— and I have
said it before— that we made this a public
trust instead of a public trough and that's
what it is tonight.
Interjections by hon. members.
Mr. E. R. Good (Waterloo North): We
couldn't eat out of the public trust.
Mr. Cassidy: Let the member tell us about
the eight million again.
Mr. Sargent: Pardon?
Mr. Cassidy: Tell us about the eight
million again; we liked it the second time.
Mr. Drea: A piece of the action.
Mr. Sargent: I have a few important things
to say for us living in the air age. We do
need a positive approach to air travel. We
heard today that the government turned down
the right to buy Tobermory airport. It was
available at a bargain price but the govern-
ment turned it down. There is no airport
now in Tobermory. We have none in Owen
Sound but the little State of Iowa—
Hon. J. W. Snow (Minister of Government
Services): I thought there was one in Owen
Sound?
Mr. Sargent: Come on; the minister knows
better than that.
Hon. Mr. Snow: Is it only for the member's
plane?
Mr. Sargent: He knows better than that.
The little State of Iowa has a beautiful map;
it has 63 communities with lighted airports,
put in by the legislature, by government pro-
grammes. Every state in the United States
has an air map but we have nothing in On-
tario. I think Uiere should be a consciousness
on the part of the government about air
travel. It is talking about closing down the
Island airport.
Mr. Drea: If there is nothing in' Ontario it
is because of the member.
Mr. Sargent: Last year the Isl'and airport
had a $300,000 operating loss and they are
going to close it. That, to me, is the most
APRIL 8, 1974
951
valuable asset the city of Toronto has and
the minister should know that. It's a shocking
thing that the city of Toronto, one of the
proudest cities on the North American con-
tinent, can't supply or aflFord a downtown
airport. Here is the government drifting
along, going to close it because it had an
operating loss of $300,000. That's one of the
busiest airports in Canada and the minister
knows it. We are doing nothing about it and
I wish hke hell that somebody would do
something about it.
Mr. Haggcrty: Put in a STOL programme.
Mr. Sargent: We need a positive pro-
gramme.
With regard to housing, I'll be very brief
—there's the time factor here. As I've said
before, the costs of housing are mainly be-
cause of the red tape and bureaucracy. The
editor of the publication Canadian Building
says that a bureaucratic conspiracy is the
reason for the scandalous hidden costs in the
building industry. I mentioned today in the
House that there are formats for getting
project approval through in 90 days and I
suggest this government should take a hard
look at getting moving along this way.
I'd Hke to talk briefly, in closing, about
money.
Mr. Drea: That would be a godsend.
Mr. Sargent: The member is great; he stays
right in there and pitches.
Interjection by an hon. member.
Mr. Sargent: I can't imagine why he would
want to be on television. I can't figure it out.
Mr. Drea: The first time I'd get a freak-
out like the member I'd be winning.
Mr. Sargent: Mr. Speaker, freedom implies
a series of choices; if one has no options, one
is not free. This is particularly relevant to
the management or mismanagement of money
in this country. There are few options when
one needs money in a hurry and usually they
are unnecessarily painful. Money is or should
be just another constuner item in our society
and the manipulation of this economy, in a
credit society, can no longer be successfully
based on making money tight.
When we have money available people are
paying 10 per cent or 10% per cent for first
mortgages; 13 to 14 per cent for a second
mortgage; and trust companies are making
the biggest profits in their histories. A $25,000
mortgage now will cost $103,000 by the time
it matures. And hundreds and thousands of
people in this province, while waiting for a
better day, find themselves paying 18 per
cent while trying to regain their solvency.
It's a dead-end street.
Mr. Drea: What is the member charging
for a drink?
Mr. Sargent: Yet the largest bank in the
world really owns nothing. We found that
out in our aepression; when people took their
money out of the banks, the banks went
broke. We should use our Province of On-
tario Savings Offices to knock these Shylodcs
out of business and give the people money
loaned to them at a decent rate. But now
we are charging everybody 18 per cent across
the board.
Mr. Drea: That's my speech.
Mr. Sargent: Mr. Speaker, I feel I am
losing rapport with the member for Scarbor-
ough Centre.
Mr. Drea: That's my speech.
Mr. Cassidy: He lost rapport with the mem-
ber a long time ago.
Mr. Drea: It's my speech. Give credit, eh?
Mr. Sargent: I would like to say, Mr.
Speaker, I am sorry you weren't here. I am
glad to see you well and hearty. I yield the
floor to my coUeague here.
Interjection by an hon. member.
Mr. I. Deans (Wentworth): That, I must
confess, was a bit of an anti-climax. I was
waiting for the end.
Hon. Mr. Grossman: He didn't drop the
other shoe.
Mr. Deans: I suppose I am the anti-climax.
The leader for the Libera] Party says so, and
he always is ri^t, because it dependis on
who one believes whether he is always right
or not. I notice the Premier doesn't seem to
think so.
Mr. Cassidy: I thought he was the anti-
climax for the Liberal Party.
Mr. Deans: Mr. Speaker, I am pleased to
have an opportunity to speak for a few
moments in this debate. I want first of all
to say to you, as other people have said, I
am pleased to see you back. I am pleased
to see you back for reasons that other perhaps
won't understand.
I had moments of severe remorse in De-
cember when, after a confrontation in the
952
ONTARIO LEGISLATURE
House, I walked outside to give the Christmas
message. Just prior to standing up, I dis-
covered you had taken ill and had to be
taken from the House. Frankly I wished
that we hadn't had quite the exchange we
had had just immediately prior to that.
I say to you now, as I have said to you
privately, I am delighted that you are back
in the chair to exercise your responsibilities
in a way that no other in the House could,
and I personally have no reservations about
saying how pleased I am to have you as a
Speaker.
I can't say the same about the government,
unfortunately, that you belong to.
Hon. Mr. Grossman: Try hard. Give it the
old college try.
Mr. Deans: I would like to be able to ex-
tend to them the same kind of feeling, but
frankly I can't—
Mr. Gilbertson: Go ahead.
Mr. Deans: —because I have come to the
conclusion, after watching for nearly seven
years, that the kind of responsibihties which
they exercise or which they seem to feel
they ought to exercise are certainly not in
keeping with what I believe.
Hon. Mr. Stewart: We are unbeatable.
After seven years, we are unbeatable.
Mr. Deans: Before dealing with what I
consider to be the major issues in the Throne
Speech, I want to raise a couple of matters
that are of purely local concern. They are
matters which we in the Hamilton area have
felt rather strongly about and which the
government is going to have to pay some
attention to in the near future or we are
going to be faced with some major problems.
The first relates directly to the people who
live on what is known as the Hamilton
beach strip. The people who live on the
beach strip have been faced with a number
of severe problems over the last five, six or
seven years. Matters came to a head last
year with the extremely severe flooding,
which caused many of the septic systems in
the area to cease functioning adequately and
which caused many of the people to have
an obvious loss in the value of the properties
which they had owned and kept up for a
good length of time.
The government has indicated, Mr.
Speaker, that there is the possibility that it
might acquire the land on the beach strip in
Hamilton as a public park. By making a
statement such as that, it has placed the
people who currently live there in a very
invidious position. If it is the intention of the
government to promote the development of a
public park in that area, then it should state
it categorically now and it should proceed
with the acquisition of the properties. The
people who are currently living there are
finding it extremely diflBcult (1) to decide
whether or not it's worth their while to
maintain and develop their properties and (2)
to decide whether or not it's worth their
while financially to expend any additional
moneys on septic systems in order that the
properties can be used at an adequate level.
Thirdly, people are finding it virtually im-
possible to acquire mortgages in the event
that they want to sell the properties. Many
of those who are currently in the field of
providing mortgage funds are unwilling to
provide additional funds for any of the prop-
erties on the beach strip because the hiture
of the area and of the homes in the area is
very uncertain, and therefore the people who
are living there are gradually losing their
equity and investment.
The final point I want to make with re-
gard to the beach strip is this, that there
are a small number of businesses in that
area that have served that particular com-
munity well. They have not been what one
would call excessive in their profit taking.
They have simply been a comer store oper-
ation that has provided access for people to
the kinds of day to day foodstuffs and other
commodities that they require, and because
of the government's inactivity and because
there is a gradual erosion of the nimtibers of
people who are currently on the beach strip
those businesses are suffering immeasurably.
I think the government has an obligation
now to move into the area, to make it per-
fectly clear it is its intention to acquire all
of the properties, to sit down with the
business people and discuss what, in fact, is
the real worth of the business and to come
to some satisfactory arrangement as to com-
pensation. I think we have waited long
enough.
I think the people in the area have been
extremely patient and I feel that this gov-
ernment has an obligation now, if it is its
intention to involve itself in the development
of a park area in the beach strip of the
Hamilton area, to do so with some forth-
right announcement and let's begin the
process and give the people a fair oppor-
tunity to return to themselves some of the
equity and investment that they have.
The second point I want to raise, Mr.
Speaker, that is purely local, is with regard
APRIL 8. 1974
953
to regional government. If it is the govern-
ment's intention ever again to implement a
regional government, I wrant to suggest that
there are some lessons to be learned from
the implementation in the Hamilton area.
The major lesson that I see to be learned is
that there has to be more lead time. If there
is going to be a regional government set up
then I strongly suggest that there be much
more lead time available for the kind of
determination that has to be taken by the
regional municipality with regard to its
responsibilities.
The regional government of Hamilton-
Wentworth is currently having considerable
difficulty in trying to determine what its
budget will be, trying to determine the
scope of its operation, trying to decide what,
if anything, will become solely regional,
what if an>thing is going to be a shared
respon Sibil it>- and how the costs might be
distributed throughout the area.
I think that given that there were only
two months before the actual implementa-
tion of the region legally from the time
that the councillors were elected, and given
that during that two-month period a great
number of people had to be hired who were
going to make the region operative, I can't
help feeling that it would be a very useful
exercise if the government were to allow
for the election in the spring of any given
year, with the region not to become fully
implemented until the first of the following
year, and allow at least six months for the
kinds of operational changes that have to
take place.
I think that that is one of the major
problems with the region. I think that if
this is ever to be done again, I hope to
heaven that the government doesn't do it
the way it did the Hamilton one, but if
it is ever done again I hope that it recog-
nizes that it can't be done in a two-month
period and that there has to be some lead
time available.
Anyway, Mr. Speaker, to the Throne
Speech. I want to say to you, sir, that I
have always believed the government had a
responsibility in four basic areas. Any time
I have spoken in the House I have spoken
about those four basic areas, because I be-
lieve that they are, in fact, the primary
responsibility of any government worth its
salt, and they fall into these categories:
The government has a responsibility to
ensure that people in the community over
which it has jurisdiction are able to acquire
food at a cost that they can afford. The
government also has a responsibility to en-
sure that people who live in the community
over whidi it has jurisdiction have an oppor-
tunity to acquire shelter at a cost that they
can afford. The government further has a
responsibility to ensure that people within
its jurisdiction have an opportunity to
acquire health care at a cost tiiat they can
afford. And finally, it has the same kind of
responsibility with regard to the provision
of education.
I think it fair to say that if one were to
analyse its actions over the past 10 or 15
years, he would come to the conclusion that
the goverimient has failed miserably if these
are to be the criteria against which it is
measured. I think it is fair to say that in
three of the four areas the government has
not exercised any of its responsibility at all.
In the last area, whatever responsibility it
did exercise, it certainly has fallen far short
of what ought to have been done.
I want tonight to deal with three of the
areas: I want to deal with the cost of food
in the Province of Ontario, and the rising cost
of living in the Province of Ontario. I want
to deal briefly with the problems of health.
You will recall, Mr. Speaker, at the time
my leader spoke in the Throne Speech de-
bate he moved an amendment. That amend-
ment said, and I want to read it to you:
That this government be further condemned for its
failure to institute satisfactory actions in the foUomng
areas:
Under the heading "Inflation in the cost of
living," he went on to say that the govern-
ment had failed to "investigate increases in
profit to ensure no excess profit-taking."
That the govenunent had failed to "estab-
lish a price and profit review tribunal with
power to investigate every aspect of price
increases and take whatever action is neces-
sary to ensure no unreasonable increases, or
to have selected increases rolled back."
That the government had failed "to estab-
lish a consumer protection code extending not
only to marketplace transactions and com-
modities, but to the provision of services."
That the government had failed "to insti-
tute a province-wide warranty for home build-
ing standards."
That the government had failed "to insti-
tute a public automobile insurance pro-
gramme."
And in the area of northern development,
he went on to say the government had failed
"to establish economic growth in northern
Ontario based on the resource potential as a
catalyst for secondary development."
954
ONTARIO LEGISLATURE
And that the government had failed "to
establish northern economic development and
employment based on long-term secondary
growth as a number one priority."
And that the government had failed "to
recognize the massive economic disparity be-
tween northern and southern Ontario and the
adverse effects of the two-price system in this
province, and failure to take appropriate
measures to bring about equality."
And under land use and urban growth, he
said that the government had failed "to move
immediately to acquire for the public sector
sufficient land to meet the projected housing
needs over the next 20 years."
And that the government had failed "to
begin a house building programme aimed at
producing at least 250,000 homes, both pri-
vate arnl public, within 18 months."
And that the government had failed "to
develop a land-use policy and overall de-
velopment plan to meet recreational require-
ments in all areas of the province, with im-
mediate emphasis in the 'goMen-horseshoe'
area."
And further, that the government had failed
"to establish rent review and control
measures."
And under employer and employee rela-
tions, my leader pointed out that the govern-
ment had failed "to amend the Labour Rela-
tions Act to meet the legitimate request of
the Ontario Federation of Labour as conveyed
to all members of the Legislature."
And the government had failed to exercise
its responsibility "by allowing conditions of
work and wages for the hospital workers of
Ontario to deteriorate to a substandard level."
And further, that the government had fail'-
ed to exercise its responsibility "by creating a
confrontation with teachers in this province
and then failing to respond to the conse-
quences" of its actions.
And that the government had failed in its
responsibility "by inflicting compulsory arbi-
tration on Crown employees;" and that finally
the government had failed "to legislate against
strike-breaking in the use of firms and in-
dividuals to disrupt orderly, legal strikes."
And under the policy heading "income
maintenance," my leader pointed out that this
government had failed "to institute an income
maintenance programme to meet the legiti-
mate needs of the elderly."
And that this government had failed to
establish "adequate income levels for the dis-
abled and other disadvantaged people in
Ontario."
And under the heading of "health," my
leader pointed out that this government had
failed "to provide a sufficient range of insti-
tutional facilities to ensure adequate health
care at the lowest possible cost;" that it had
failed "to institute dental and drug-care pro-
grammes;' and it had further failed "to take
initiatives which would upgrade the value
of preventive medicine."
Mr. Renwick: Why don't those ministers
who are here simply resign and let somebody
else take over?
Mr. Deans: And he then said in conclusion
to his remarks-
Mr. F. Laughren (Nickel Belt): There is
nowhere to go but up.
Mr. Renwick: It is absolutely shocking that
this government can have that litany of fail-
ures and still sit there complacently in their
places tonight.
Mr. Deans: The leader of the New Demo-
cratic Party then said in concluding his re-
marks that the government had shown "gross
negligence in its refusal to tax the resource
industries of Ontario at a level which would
allow individuals and families in this province
to experience major relief from the inequita-
ble and oppressive system of taxation presently
in eflFect."
Mr. Speaker, there is no one in this House
who would deny the accuracy of that litany.
There is no one in this House who would
claim that this government had, in fact, acted
properly in any of those areas. There is no
one in this House who could stand in his
place and refute the statements made by the
leader of the NDP at the time that he spoke
in the Throne Speech debate.
Mr. Cassidy: Even the Tories admit it by
acquiescence.
Mr. Deans: And what we are faced with is
a government that has brought in a Throne
Speech completely inadequate to meet the
needs of the people of the Province of On-
tario, a goveriuuent that has brought in a
Throne Speech without any of the specifics
which could by any stretch of the imagination
be considered to be the kinds of programmes
that we might need to have in order to
correct the imbalances which currently pre-
vail right across the spectrum of the people
of the province.
Mr. Renwick: There are two ministers en-
gaged in conversation and four engaged in
studied indifference to what is being said.
APRIL 8. 1974
OSS
They can't do their paper work in their
oflBces during the day. They brine it into the
Legislature at night and insult the members
of the Legislature. Why don't they put down
their pencils and their papers and listen to
what is being said about the government of
the Province of Ontario?
Mr. Speaker: Order.
Mr. Havrot: We heard it last year.
Mr. Speaker: Order, please.
Mr. Deans: It is interesting, Mr. Speaker,
that the member for Timiskaming should say
they had heard it last vear, because little
does he realize that that is exactly the
problem. To have had to say it year after
year after year and not get any response
of any kind from this government is a clear
indication of the government's indiflFerence
toward the needs of the people of the Prov-
ince of Ontario.
Interjections by hon. members.
Mr. Speaker: Order, please.
Mr. Deans: The member for Timiskaming
in an attempt to be humorous and comical
obviously isn't aware of the responsibilities
of government. I don't blame him. If I were
to sit so far from the government, I doubt
if I would be aware of it either.
Mr. R. F. Nixon: He was passed over
again.
Mr. Havrot: Don't worry about me.
Mr. Laughren: He is after the chairman-
ship of the ONR.
Mr. R. F. Nixon: There will be a vacancy
there.
Mr. Havrot: Thank you for your support.
Mr. Deans: I want to deal briefly, Mr.
Speaker, with the area of housing, with the
cost of living and with some problems of the
aged, and then I intend to yield the floor.
I want, first, to say, Mr. Speaker, that this
government's attitude toward housing is
atrocious. The government in 1967, as my
colleague from Wentworth North (Mr. Ewen)
will well remember it, announced a great
housing project in the Hamilton area. That
housing project has yet to yield a single
house. That project was announced in 1967
two weeks prior to the election. To this date
some seven years later, there isn't a single
basement, there isn't a single house and there
isn't a single thing that anyone could point
to as being an indication of the govenunent't
conrniitment toward housing.
The government, first of ail, doesn't recog-
nize that a sizable portion of the people of
the Province of Ontario live in rented accom-
modation, and that within the rented accom-
modation the people who are living there
are very much at tne mercy of the landlords.
The landlords of the Province of Ontario, in
spite of what thev might say, appear to be
in the business of maximizing profit regard-
less of the impact of their actions on the
people who currently rent from them.
Mr. Renwick: The government is in a
shambles.
Mr. Deans: The city of Toronto has been
faced in the last year-
Mr. Renwidc: Never has it been in such
disarray as it is tonight.
Mr. Deans: —with increases which average
25 per cent in the area of apartment rental.
The UDI, which represents or purports to
represent a number of the rental accom-
modations in the Province of Ontario, had
the gall to suggest to its members recently
that they should be asking for a 10 to 12
per cent increase in rental this year. One
wouldn't mind too much, an increase of 10
to 12 per cent if that increase were justi-
fied. One wouldn't mind too much the in-
crease in the cost of rental accommodation
if the increase were, in fact, legitimate. It
wouldn't be unacceptable if the increase re-
flected a legitimate and honest increase in
the cost of providing the service and the
accommodation. But the fact of the mattei
is that the increases that are being de-
manded—
Mr. Renwick: Why doesn't the Minister of
Industry and Tourism go back to his office
and do his work there?
Mr. Laughren: The junior achiever of On-
tario is not accomplishing anything in here.
Mr. Deans: —are not justified and arc not
increases which reflect increases in cost, but
are rather an attempt by the owners of apart-
ments in the Province of Ontario to extract
the maximum amount of money from their
tenants without any consideration.
Mr. Renwick: The Minister of Agriculture
and Food is getting credit for the hiehest
prices in food.
Mr. Speaker: Order.
956
ONTARIO LEGISLATURE
Mr. Laughren: The junior achiever of On-
tario is not accomphshing anything in here.
Mr. Deans: The increases that are being
demanded, Mr, Speaker, are not justified, are
not increases which reflect increases in cost,
but rather are an attempt by the owners of
apartments in the Province of Ontario to
extract the maximum amount of money from
their tenants without any consideration-
Mr. Renwick: The Minister of Agriculture
and Food-
Mr. Speaker: Order.
Mr. Renwick: —takes credit for the highest
food prices that have ever existed in the
Province of Ontario.
Interjections by hon. members.
Mr. Laughren: The people are speaking to
the government-
Mr. Deans: —without any consideration, as
I say, for the abihty of the people who live
in the apartments to pay, or for that matter
for the abihty of the community as a whole
to pay.
I was interested in speaking v^dth people
at the landlord and tenant bureau, and I dis-
cover that by far the majority of the com-
plaints which they receive are directly re-
lated' to rent increases; that ranging upwards
of 100 every week are complaints from people
about unjustified, unsubstantiated rent in-
creases in' apartments in which they have
been tenants for a long period of time. I had
one brought to my attention which I think
is absolutely atrocious and which this gov-
ernment has to recognize as being not the
exception but the norm in the way in which
apartment owners deal with tenants.
An 88-year-old man who is in a position
of being imable to move around freely re-
ceived a notice from his landlord that his
rent was going from $190 to $230 a month.
And it's not uncommon to find rent increases
from $150 to $170, from $260 to $325, from
$220 to $260 vdthout the least bit of justifica-
tion. Throughout the rental accommodation
business we find that apartment owners are,
without any consideration for their tenants,
raising the rents, and the rents are being
raised by 25, 30 and 50 per cent. It's time
that this government exercised its respon-
sibihty in the field and moved in and said,
"No, not in the Province of Ontario." It's
time that this government followed the ex-
ample of the Province of British Coluanbia,
or perhaps the Province of Manitoba, or
maybe even the city of Halifax, which have
all recognized that the kind of rent gouging
that is going on right across this country-
it's not unique to the Province of Ontario,
it's going on right across this country- is un-
conscionable and unacceptable, and that it is
not in keeping with the best practices of
government or the responsibility of govern-
ment to allow this land of thing to occur
within its jurisdiction.
Mr. Cassidy: They even do it in Quebec.
Mr. Deans: It is time for this government
to face up to reality, and the reality is that
unless you are prepared as a government to
institute a tribunal oef ore which those asking
for rent increases must appear and justify
their rent increases, we are going to see
people gouged and more and more of their
income taken in order to provide just basic
shelter.
Mr. Cassidy: That's right.
Mr. Deans: I want to tell you the kind of
justification that people get when their rents
are increased, and HI read you a letter. It's
a letter sent out by Hillbrook Investments in
Hamilton and it says:
Dear Mr. and Mrs. Whoever:
Please be advised that the current ten-
ancy agreement on the above premises is
hereby terminated by the landlord on its
anniversary date. Due to imprecedented
inflationary costs which have aflFected the
residential rental industry since the rate
was last determined and which show no
sign of abatement, the monthly rental on
the above stipulated premises beginning
June 1 will be the amount of $130. [This
is an increase of $15 a month.]
A new tenancy agreement may be nego-
tiated on request. The advantages to the
tenant of any contract during an in-
flationary period are clearly obvious. How-
ever, the contract offered, as you may
know, carries the added advantage of a $5
discount for prompt payment of rent. This
'discount cannot be claimed until a tenancy
'agreement is fully executed. [And then
Icomes the crunch clause, because this really
aggravates me.]
iWhen rent increases occur, most cus-
tomers want to know what the extra dollars
are buying. The answer, unfortunately, is
next to nodiing. Or to put it another way,
the building in which you Hve would not
'be able to operate at all' vcdthout increas-
ing the niunber of now much smaller
dollars you are requested to pay. Such is
the unproductive nature of inflation. We
APRIL 8. 1974
057
have appreciated your tenancy and tnut
you will permit us to continue to serve
you.
I want to say to the government that this
is not justification for a rent increase. The
gobbledegook that's written in there is an
attempt to hoodwink the people who live
in the apartment building. It's an attempt
to justify a rent increase. It doesn't say that
the cost of heat and taxes has gone up by
X dollars or that they have to absorb addi-
tional costs in maintenance or whatever. It
simply places the responsibility in an area
where the people have no opportunity to
check it. And that should not be permitted
in the Province of Ontario.
If the government has any sense of re-
sponsibility at all toward the many thou-
sands of people right across the province
who are unfortunately tenants, then it has
an obligation to institute a review board
that will demand that people like Hillbrook
Investments come before that review board
and open their books and say, "These are
the reasons why we have to ask for a rent
increase."
In this time of rising inflation it is true,
no doubt, that the costs of operating apart-
ment buildings rise, as do the costs of all
other things. But there is no reason at all
why tenants should not be given the benefit
of the same kind of information that home-
owners have when they have to pay more
to maintain and heat their properties and
to pay more taxes.
Homeowners know, as they receive their
bills on a day-to-day basis, what it is that's
costing them more and why the cost of
providing themselves with accommodation
is rising. Tenants don't have the benefit
of that, and it's time that this province woke
up.
It's time that this government woke up
and recognized that tenants are not second-
class citizens and that they are entitled to
the same kinds of privileges as everyone else
in the Province of Ontario. And they should
be given the kind of protection that ensures
that no landlord, whether he lives in To-
ronto, Hamilton, Ottawa or any other place,
is entitled to implement a rent increase
without first showing the justification for it.
Beyond that, it's time that we had a
standard lease form in the Province of
Ontario. A standard lease form in the Prov-
ince of Ontario should be brought out by
this government and should be in mandatory
use for all rental accommodation. I suggest
that if there is any deviation from that
standard lease form, that deviation should
be marked clearly on the form and it
should be subject to the agreement of both
parties.
Until such time as this government Is
prepared to take these kinds of actions, it
has decided by itself to relegate the people
who live in rented accomnuxlation to the
status of second-class citizens. I, frankly,
don't abide it, and no one in this party
does. I make the commitment that were we
given the opportunity, notwithstanding the
difficulties that might be brought about, we
would in fact institute the kinds of things
that we're asking this government to do.
We're asking this government further not
to do things that no one else has ever done.
We're asking them simply to look around
and recognize that other more enlightened
jurisdictions have recognized what we have
been telling this government for years, that
unless they pull the landlords into line
they're going to gouge the people of this
Province of Ontario to the point where the
people can't afFord to live in apartment
buildings— and I don't know where in
heaven's name they're going to go.
What we have happening is that more and
more of the dollars that ought to be spent
on food, clothing and other necessities are
being tied up in providing accommodation.
And it's wrong, fundamentally and basically
wrong. This government has an obligation
to move in the field, and if it doesn't, I
suggest that at some point the people of the
Province of Ontario will rise up— and what
they'll have to say to the government they'll
say at the ballot box.
I want also to tell you, Mr. Speaker,
about the increases in the cost of accom-
modation in the housing field. I think we
have spoken more frequently in the last
few weeks about housing than any other
single topic. It's been one of those areas
where the opposition has raised with the
government a number of basic problems
that have been confronting people across the
province; and I think the government be-
lieves that if it speaks long enough and
promises often enough, something will
happen.
I like the Minister of Housing (Mr. Handle-
man). I sat with him on a committee for two
years, and we got along well. But I'm going
to tell you, Mr. Speaker, that if they give
him enough rope he'll be walking on his own
tongue pretty soon.
Mr. R. F. Nixon: That's a mixed metaphor.
958
ONTARIO LEGISLATURE
Mr. Deans: Well, it's true. If he's given
suflBcient leeway-
Mr. R. F. Nixon: Give him enough rope
and he will walk on his own tongue!
Mr. Deans: —he'll be walking on his own
tongue. He's making statements which he is
unable to back up. He's making statements
about the government's intentions, which he
knows full well the government has no in-
tention of implementing. When the Minister
of Housing says that simply by making it
known to the speculator that the govern-
ment may move in will be suflBcient to dis-
courage the speculator from getting into
the field, I want to give him the other side
of that. By telling the speculator what the
government might well do, the speculator is
doing all in his power to drive the prices as
high as they can go now to make sure that
he maximizes profit today. Beyond that I
want to tell you, Mr. Speaker, and through
you the government that I am convinced
there isn't a land speculator anywhere in the
Province of Ontario who honestly believes
that this government will take any action,
there isn't a land speculator anywhere in the
Province of Ontario or a housing speculator
anywhere in the Province of Ontario who,
given the record of this government in land
speculation and action or inaction, believes
for one moment that the government is ever
going to move in and put an end to the
speculation in housing.
Mr. Cassidy: Even the backbench specu-
lators aren't afraid.
Mr. Deans: My colleague from Hamilton
Mountain (Mr. J, R. Smith) sent me a copy
of today's Hamilton Spectator and he ob-
viously didn't read it very closely because in
the Spectator I noticed the conflict between
the Tories here at Queen's Park and the
Tories in Ottawa. Here we have this fellow
Robert Stanfield who is saying-
Mr. F. Young (Yorkview): Who is he?
Mr. Havrot: Great man.
Mr. Deans: —and I quote from a story in
the Spectator, April 8, 1974, "PCs Favour
House Price Controls"— house price controls.
It says, "Opposition Leader Robert Stanfield
says a Progressive Conservative government
would use price controls to stop the shock-
ing and shameful increase in house prices."
Mr. Laughren: Sheer hypocrisy.
Mr. Cassidy: Sure, look at the record of
the Tory government down here.
Mr. Ferrier: They don't go along with Bob
Stanfield.
Mr. Renwick: This is the group which is
going to support them all in the next federal
election.
An hon. member: The gall of those people
over there; the sheer gall.
Mr. Deans: I want to tell members that
the statement of the Premier on the week-
end when he guaranteed the Conservatives in
Toronto the full support of the Conservative
government at Queen's Park to try to win
the next federal election was obviously a
farce when one considers the lands of state-
ments being made by the federal leader of
the Conservative Party which don't gibe in
any sense with what this government is
doing here. There is absolutely no intention
on the part of the Conservatives in Ontario
to deal forthrightly and effectively with the
problem of the spiralling costs of housing.
Mr. Speaker: If the hon. member would
permit an interruption, I might point out to
the member that 10:30 is 3ie adjournment
hour, unless otherwise ordered by govern-
ment motion.
Mr. Renwick: Let's adjourn, there is no-
body here from the government. The Premier
isn't here; it is his Throne Speech debate.
Hon. Mr. Winkler moves the House sit be-
yond the normal adjournment hour of 10:30.
Mr. Speaker: Shall the motion cany?
Mr. Renwick: No.
Mr. Speaker: Those in favoiu- of the motion
please say "aye."
Those opposed please say "nay."
In my opinion the "ayes" have it.
Motion agreed to.
Mr. Speaker: The hon. member for Went-
worth. I appreciate his courtesy in letting me
interrupt.
Mr. Deans: Thank you; it was a very
appropriate moment anyway.
Mr. Renwick: Thank you.
Mr. Deans: I didn't think I had a choice;
I suppose I did.
I want to go on, Mr. Speaker, to say to you
that in looking back over the record of the
Conservatives at Queen's Park in consider-
ing the actions they have taken with regard
to housing over the last seven years, and
APRIL 8. 1974
(X»
recognizing that rather than being competitors
to the private sector, they have been, in
fact, complementing the private sector in its
eflForts to drive the housing prices up, I can't
believe, not for one moment, that the federal
Progressive Conservatives would have the
support of Ontario in any effort they might
undertake to impose restrictions on the in-
creasing cost of housing.
This government's record in housing is
atrocious. The minister may stand up and
speak about the hundreds and thousands of
housing units which have been developed in
the Province of Ontario but this government
has done absolutely nothing in the time I've
been here to try to curb the spiralling costs.
This government, in fact, when it went out
to build houses under the HOME programme,
checked in advance to find out what were the
current free-market prices for the lots before
establishing the prices it would charge. Did
it charge less than the free market price?
Mr. Cassidy: It probably charged more.
Mr. Deans: They charged the same and
more than the free-market price. When I
asked the question of the minister in charge
at the time, Hon. Stanley Randall in that
day, he told me that this government wasn't
in the business of undercutting the private
entrepreneur.
Mr. Laughren: They had to protect the
member for Bellwoods (Mr. Yaremko).
Mr. Deans: Oh no! This government was in
the business of shoring up the private sector.
Well, when the government made that state-
ment back in 1968, I want to tell you, Mr.
Speaker, that it was at that point that the
private sector decided that they were going
to take from the housing market every single
cent that they could get. And by God they ve
taken every cent that they can get. They have
pushed the price of housing right across the
Province of Ontario to a level where all but
the elite few of young people coming into
the housing market are unable to buy.
Mr. Speaker, I go and speak to young
people in schools about the future that is out
there waiting for them. I talk to them in the
following way and I ask anyone to disprove
it, that if any single one of them went out
from the school and was able to move into
the job that his father currently held, earn-
ing the same salary for the same amount of
work, he couldn't buy the house they live in.
Do you know that's true of over 80 per cent
of the population, Mr. Speaker? Do you know
that over 80 per cent of the population, if
they were to go out in today's market with
the salaries that they currently earn and try
to buy the house they live in, they couldnt
do it.
Mr. Stokes: Shame! Disgracefull
Mr. Deans: They don't earn enough to buy
the house they live in. It's only by the grace
of God that they bought them some yean
ago and are able to meet the payments.
And this government has sat back. It's
a measure of the inactivity and lack of com-
cem that this government has shown in the
housing field, because this trend became ob-
vious twick in the mid-1960s. It became obvi-
ous about 1965 that housing prices were rising
more quickly than the ability of the average
consumer to purchase. It became obvious
about 1965 that, with the ceilings taken off
mortgage interest rates, mortgage interest
rates for housing were going to rise at a level
which would make the montWy payments out-
side the realm of possibility for the majority
of earners in the Province of Ontario.
It became obvious in 1965 that it was the
intention of the land speculator to derive
from the land the absolute maximum amount
that could be extracted. Yet this government,
though it was aware of those things, failed
to move and to take any action. What we
now have is a housing situation right across
the Province of Ontario which is absolutely
intolerable. What we now have are houses in
Metropolitan Toronto, that this month aver-
aged in price $50,340. Do you know, Mr.
Speaker, if a person were to have a house,
even a house of $47,000, and even if they
were to raise the $4,700 for the downpay-
ment, they would have to amortize a mort-
gage of $42,300. Do you know that the
monthly payment for that, just the interest
rate, if they amortized it over 25 years, would
be $378.37? And do you know that over the
course of the time they would be paying for
that house they would pay to the mortgagor a
sum of $113,512.05 to buy a $47,000-house.
But let me tell you something even more
shocking than some of the other figures, be-
cause 25-year mortgages are no longer com-
mon in the Province of Ontario. People can't
afford to pay their houses off in 25 years,
and now 35- and 40-year mortgages are com-
mon.
Mr. Haggerty: Forty years from now.
Mr. Deans: Let me tell you that $40,000
amortized over 30 years at 10 per cent means
a payment to the finance company, the bank,
the mortgagor, whoever it may be, of $124,-
228; and $45,000 mortgaged over 30 year*
960
ONTARIO LEGISLATURE
is nearly $140,000 out of the earnings of the
average person in the Province of Ontario.
An hon. member: Don't buy it.
Mr. Deans: And if they go to 35 years,
which is the common thing today, you find
that a $45,000 mortgage would cost $160,000
to pay ofF-$160,000 to buy a house. That's
how much it would cost.
Interjection by an hon. member.
Mr. Deans: This government stands con-
demned for allowing this to happen in the
Province of Ontario. This government has
shown absolutely no concern. And let me just
tell you that if you were to take the average
$50,000 sale in Metropolitan Toronto and
amortize it over 35 years it would cost $177,-
292 to pay it oflF.
Mr. Laughren: Shame, shame!
Mr. Deans: Now what working man in the
Province of Ontario can afford to pay $178,-
000 out just to buy a house?
Mr. Laughren: The member for Wellington-
Dufferin (Mr. Root).
Mr. Deans: Where is the responsibility of
this government to provide decent shelter at
a price that people can afford? Where is the
action of this government to try to provide
housing for people who work in the Province
of Ontario with average earnings at around
$12,000 per family? How can a family earning
an average of $12,000 ever hope to pay $180,-
000 over 35 years for a house? That doesn't
even include the taxes. That doesn't include
the upkeep. The whole thing is just so
ludicrous that to speak about it in the House
and to have everyone sitting reading news-
papers and doing their homework is almost
too much to bear.
Mr. E. W. Martel (Sudbury East): It's a
joke over there.
Mr. Deans: Because the fact of the matter
is that this government doesn't really give a
damn.
Mr. Martel: They have their finger in the
pie.
Mr. Deans: Let's take a look at what the
average person has to pay out, Mr. Speaker,
because I know that you are interested though
nobody else on the other side is.
Do you know, Mr. Speaker, that if a per-
son were to purchase a $47,000 house and if
he were to pay 10 per cent down and if he
wanted to amortize it over 25 years— think
about the 25 years for a moment; that means
that that person, by the time he is 35, would
have to have been married and have saved
sufficient money for a downpayment in order
to enter into a 25-year mortgage if he wanted
to have it paid off by the time he was 60—
it would cost $378.37 a month simply to
amortize the balance.
The taxes would cost approximately $55 a
month. The insurance would be $6.50 a
month. The heating would average $30 a
month. The maintenance over 25 years would
be about $40 a month. The hot water would
average $5 a month and the electricity about
$20 a month and rising every day.
Mr. Martel: Where is the Minister of Con-
sumer and Commercial Relations (Mr. Cle-
ment)?
Mr. Deans: So it would require a person
in the Province of Ontario, just to make his
house payments, to put out-
Mr. Sargent: The member said that 10
minutes ago.
Mr. Deans: -$534.87 every month.
Mr. Martel: That's why they have so many
parliamentary assistants over there— so the
members can pay for their housing.
Mr. Deans: That means that for the family
earning $12,000, over half of their income
would go on house payments— over half.
And you've got to recognize, Mr. Speaker,
that in fact in 1974 less than 30 per cent
of the families in the province earn over
$16,000. That means that in fact something
in excess of 70 per cent of the Province of
Ontario earn less than $16,000, and yet to
live in Metropolitan Toronto and to buy a
house at the average price, just the aver-
age price, would require them to set out in
excess of $6,000 every single year just to
meet their commitments.
Yet this government talks about its hous-
ing initiatives. This government talks in the
Throne Speech with some pride about its
housing policies. This government talks
about how it is going to continue providing
housing at a rate of about 100,000 a year.
I want to tell you, Mr. Speaker, that is not
nearly good enough. That is not beginning
to meet the need in the Province of On-
tario.
If the government is not prepared to step
up this programme; if it isn't prepared to
move in in competition with the private
sector and to develop housing in sufficient
APRIL 8, 1974
061
numbers to ensure that the kind of gouging
that is taking place can no longer take
place; if this government isn't prepared to
expand the operations of, say, the Savings
Office in order to ensure that there are
mortgages availalile at rates which we {n
the Pro\'ince of Ontario can somehow have
some control over; if this government isn't
prepared to land-bank in the areas where
the greatest need is and to make use of the
land th^t it currently has to put housing on
the market; if the government isn't pre-
pared to take advantage of the (nventory
wfiich has already been done by the Min-
istry of Revenue and showing average price
increases right across the Province of On-
tario and base its policy on the trend that
that shows, then it will have failed to pro-
vide housing for the people in the Province
of Ontario.
I want to tell you, Mr. Speaker, that last
Friday, when we raised the matter of the
decision of the Toronto Real Estate Board
that it wasn't going to make available the
index which previously had been yielded
every month, I had some questions about
why the Toronto Real Estate Board didn't
want to do that. I think it has become
fairly obvious, with regard to statistics, that
the reason they didn't want to do it was
because they were afraid that the govern-
ment might, through some inadvertence, be
forced to move into the field and put a stop
to the kind of gouging that has been
occurring right across Metropolitan Toronto
and the Province of Ontario.
In any event, Mr. Speaker, one need only
look at the statistics in housing to see
exactly where this government Iws failed.
In 1969 in Ontario the average house
price was $25,665; by 1973 that had risen
to $36,877. This represented an increase of
26.3 per cent from 1972 to 1973 and an
increase of 13.4 from 1969 to 1972.
To be a little bit more specific for my
colleague, in Ottawa in 1969 the average
price of a house was $27,292; by 1973 that
average price had risen to $39,909, reflecting
an increase from 1972 to 1973 of 23.5 per
cent.
In Hamilton, where I come from, in 1969
the average price was $23,368; by 1973 it
had risen to $33,615, indicating an increase
in one year, from 1972 to 1973, of 22.5 per
cent.
Mr. Laughren: Hamilton Tories are spec-
ulating, too.
Mr. Deans: In Kitchener the 1969 average
price was $28,176; by 1973 it was $36,982,
and there was an increase from 1972 to
1973 of 28 per cent.
In Windsor, represented by two colleagucf
of mine and by a Liberal member, in 1969
the average was $20,866, and by 1973 that
had risen to $28,573. From 1972 to 1973
the rate of increase was 27.2 per cent.
Mr. Speaker, I don't know how this gov-
ernment has the gall to bring in a Throne
Speech that doesn't have as its basis a
massive move in the field of housing. I
don't know how this government has the
gall to go before the people of the Province
of Ontario to ask for their continued sup-
port on the basis of the kinds of things that
ha\e happened in the housing field alone.
I don't know how this government even
has the gall to come into the House, and
ask its own backbenchers, who come from
many of the areas that I have spoken about,
to support them when there is nothing in
the Throne Speech which indicates that
this government has any intention at all of
changing the trends that it has not only
allowed but encouraged in the Province of
Ontario.
Mr. Laughren: And has benefited from.
Mr. Deans: I can only suggest to you, Mr.
Speaker, that if there was orJy one reason
why I couldn't support the Throne Speech,
that would be reason enough. Because this
government, in spite of its head lights— and
I can well remember when the R-ovincial
Secretary for Resources Development stood
up and spoke in glowing terms two years ago
about the tremendous housing programme the
government was going to undertake and how
the government recognized-
Mrs. Campbell: But he did not say when.
Mr. Deans: —the great problems in the
housing field and how this government was
going to get under way with a great housing
programme and bring about a change. I
am going to tell members that if the action
in the last two years, which have seen the
kinds of increases I have just spoken alxjut,
is the kind of action we can expect from the
Tory government in the field of housing then
God relieve us from the burden of having
them in office.
Mr. R. K. McNeil (Elgin): The member
has pretty feeble support.
Mr. Deans: He wouldn't k-now it even if
he heard it. Let me go on, Mr. Speaker, to
say that it's not only in the field of housing.
If it were only one field, maybe someone
962
ONTARIO LEGISLATURE
could argue that a government is entitled not
to be good at everything but I am going
to tell you something— this government has
failed equally miserably in the area of the
cost of living. There is a litany so long that
I hesitate to become involved in that area
but I am going to tell members-
Mr. Singer: He is going to do it anyway.
Mr. Deans: I want to say this. I am going
to take my lead from the member for Downs-
view who, knowing that the things he had
to say were of vital importance to the future
of the province, felt it necessary to take
whatever length of time was needed in order
to say them.
Mr. Singer: Right.
Mr. Deans: In fact, I was delighted when
the member decided he wanted to add a little
to what he had said since he had read the
paper and noticed something else. I am not
going to stand in his way; any time he
wants to make a speech he may do so.
Mr. Singer: Thank you, sir.
Mr. Deans: Let me say to members about
the cost of living-
Mr. Singer: Can I make one now?
Mr. Deans: He certainly may.
Mr. R. F. Nixon: He feels one coming on.
Mr. Deans: Let me say something about
the cost of living, Mr. Speaker. You will re-
call that we suggested in the amendment we
made that it was time for a review of price
increases, profit-taking and increased revenue
in many sectors of the economy; that it was
time for the government to exercise one of
its primary responsibilities, that being to en-
sure that food could be purchased by the
people of the Province of Ontario at a price
they could afford.
We said to the government that if it had
no other obligation it certainly had an
obligation to institute a review board which
could investigate what appeared on the sur-
face to be unconscionable increases in price
and profit and that it had an obligation, if it
discovered there was not the kind of justi-
fication, to roll back the price.
I want to begin by saying we totally reject
that there's any argument with regard to
constitutionality. We believe, in this party,
that the Province of Ontario has both the
constitutional right and the moral obligation
to move in this field.
Mr. Ferrier: Right on.
Mr. Deans: We further beheve, in spite of
whatever difficulties there may be with one
individual province moving, if the Province
of Ontario showed the initiative it would
have the effect of reducing the cost of living
for all right across the Dominion of Canada.
If the federal Liberals are unwilhng to move-
Mr. Laughren: And they are.
Mr. Deans: —I suggest that the provincial
Tories have an obligation to move. The argu-
ment always seems to develop that the gov-
ernment doesn't really want to move into the
private sector. What right has it, after all,
to infringe on the profit-taking of its friends?
Some even argue that the profit margins have
not been excessive over the last few years.
It's simply a recovery of some of the losses
which may have occurred.
Mr. Speaker, I want to put on the record
a few statistics in this regard and I won't be
long. They cover the fourth quarter of last
year in a number of different sectors— I am
going to deal with them one by one.
In the banking sector, in the fourth quarter
of last year, there was an increase of 26.2 per
cent in the profit; in base metals in the fom-th
quarter of last year there was an increase of
358.5 per cent in profit; in beverages an in-
crease of 10 per cent; in chemicals an in-
crease of 54.9 per cent; in communications an
increase of 15.4 per cent; in construction
materials an increase of 36.5 per cent; in food
processing— and this is a key area— in the
fourth quarter of last year there was an in-
crease of 81.1 per cent over the fourth
quarter of the previous year.
In general manufacturing there was an in-
crease of 2.1 per cent; in golds an increase
of 92.5 per cent; in industrial mines an in-
crease of 160.5 per cent over the fourth
quarter of the previous year; in merchandis-
ing an increase of 9.5 per cent— and on and
on.
In the paper and forest industries, an in-
crease of 104 per cent; in real estate— which
I have just spoken about— an increase of 96.1
per cent in profit; in steel an increase of 72.6
per cent; in transportation an increase of
53.5 per cent; and in oils an increase of 81.4
per cent in the fourth quarter of last year.
That's in the profit in the fourth quarter of
last year over the fourth quarter of the year
before.
You hear of increases of these types in real
estate, 96.1 per cent; in oils, 81.4 per cent;
and then we go and negotiate a further in-
APRIL 8, 1974
963
crease in Ottawa just a week ago— a further
increase.
And, if you take a look at the year-end
figures, 1973 over 1972, you'll find-and I
won't quote them all— but in base metals a
237.3 per cent increase in profit over the pre-
vious year; in oils a 52.1 per cent increase
over the previous year; in real estate a 115.6
per cent profit increase over the previous
year.
Mr. Speaker, those kinds of increases in
profit indicate to me that there is excessive
profit-taking in many of the sectors in the
Dominion of Canada, and in most of the
sectors centred in the Province of Ontario.
I suggest to you, Mr. Speaker, that it's
time that this government exercised its re-
sponsibility and insisted that the justification
for that kind of profit-taking be laid before
the public at a public inquiry; and that this
government exercise its responsibility and
make sure that where those profits were not
justified that there be a rollback; and that
that rollback be in the form of a direct tax
on the profits that had been made, and in
addition to that, a rollback in the price of
the commodities as they appear today.
I want to tell you that not only in the
individual sectors do the profits show up as
being extremely large, but in the individual
companies one can pick and choose— and I'm
not going to pick and choose too many, but
I could go through them all.
Maple Leaf Mills, for example, showed a
149 per cent profit increase in 1973 over
1972; Massey-Ferguson showed a 76 per cent
profit increase in 1973 over 1972-and all the
way down the line. Robin Red Lake Mines
showed an increase from $430,000 up to
$993,000, over 100 per cent, and on and on;
there were so many of them that I hesitate to
put them on the record.
But I bring them to your attention, sir,
because I think they provide the justification
for what we are asking for in our amendment.
And what we are asking for in our amend-
ment is this government to move for the
first time in its history toward ensuring that
the people of the Province of Ontario are
protected against the kind of gouging that
their friends are undertaking in this province.
When Silverwood Dairies shows an in-
crease of 72 per cent, 1973 over 1972, then
there is something to be asked; when in the
? banking field you find the Royal Bank with
I an increase of 21.5 per cent; the Bank of
Commerce an increase on 20.4 per cent; the
Bank of Montreal an increase of 16.2 per
^ cent; and these are all in profit after taxes—
I profit after taxes.
When you see the Toronto-Dominion Bank
with an increase of 55.8 per cent, it's not
difiBcult to see why the people of this
province are having extreme difficulty in
meeting their commitments on the wages that
thev earn, because the increases in salaries
ana wages have ocrtainly not kept pace with
the increase in profits the companies have
enjoyed.
The Becker Milk Co., an old favourite of
mine, showed an increase in profit in 1973
over 1972 of 43 per cent. It has always been
a pretty profitable place, let me tell you. I
don't want to leave the impression that I
have any particular grudge against Becker;
I just happen to think they treat their em-
ployees rather shabbily. But they don't seem
to suffer as a result when they can show a
43 per cent increase in profit after taxes in
1973 over 1972.
Mr. Speaker, what I am saying in a nut-
shell is that in the area of cost of living,
there is sufiicient justification available to
the government to enable them to move with
the full support of the total community
toward an investigation of the profit-taking
of the major producers of foodstuffs and com-
modities in the Province of Ontario. There is
not only suflBcient justification, there is an
obvious need. I am suggesting to you, sir,
that this govermnent has an obligation to
move in that regard; and if it doesn't move
in that regard, it has an obligation to give
up the reins of government because it is not
exercising its responsibilities.
Let me tell you one final thing, Mr.
Speaker, before I close. Every year we hear
from the senior citizens of the province, and
when we talk of housing and the cost of
living there are few people in the province
so hard-hit and who suffer to such an extent
as do the senior citizens.
When we in this party tried last fall to
have this government recognize the need to
establish a basic income for senior citizens,
this government refused. When we suggested
to this government that it could have been
done both economically and sensibly well
within the means of the Province of Ontario,
this government refused. When we told the
government that the senior citizens of the
province needed an income of no less than
$215 a month, this government refused to
act; and it carried on with its $50 Christmas
bonus arrangement which we and others
pointed out was totally inadequate and was
in fact a little bit of political bribery.
The senior citizens have come forward,
year after year with a well-documented brief.
964
ONTARIO LEGISLATURE
I think they are perhaps getting a httle up-
set, and I don't blame them. Let me tell you,
sir, that they have asked again that educa-
tion taxes be removed from residential prop-
erties and that tenants be reimbursed in full,
I think that makes a lot of sense. They have
also asked that there be a $200 minimum
income established for old age pensioners
in the Province of Ontario. They have further
asked that the Ontario government pay all
accounts in full if proper receipts are pro-
duced under the OHIP plan. They say that
one of the difficulties they have is that if
they travel out of the province, the basis for
payment is not the same in other parts of
the North American continent as in the
Province of Ontario. They say that they are
being unduly restricted and that their in-
comes won't stretch far enough to allow
them to pay the difference, and I think we
in the Province of Ontario can afford to
cover them.
They also point out that there is a need
for housing. They point out that there is a
need for homes for the aged and nursing
homes. They point out that there is a need
to extend drugs, dentures, hearing aids and
glasses to senior citizens.
In other words, what they are really say-
ing is that there is a need in the Province
of Ontario for the establishment of an agency
to deal primarily with the needs of those
who are pensioners, to deal forthrightly with
the problems they have, to make recom-
mendations to government and to implement
the recommendations.
I suggest to you, Mr. Speaker, that's
something this government oupjht to have
done years ago and it hasn't. There is no
question that for those senior citizens for-
tunate enough to be able to get into rented
senior citizens accommodation life is cer-
tainly a bit better. But there are so few
apartments available for senior citizens that
it is, in fact, discriminatory. It is a dis-
criminatory measure by the government and
the government should undertake to ensure
a supplement to senior citizens in order to
guarantee that their incomes are equalized
across the Province of Ontario.
Mr. Speaker, there are any number of
other things which ought to be raised.
There's the government's attittide toward the
north which has been, to say the least,
atrocious. There's the attitude of this gov-
ernment toward the people of the north, an
attitude which is reflected, I might say, in
the proposal for the development of Maple
Mountain.
Interjection by an hon. member.
Mr. Deans: I'm glad he got back. I really
am. I want to tell members this about Maple
Mountain— I'm not about to get involved in
a long discussion about it.
Mr. Havrot: He doesn't know what he is
talking about. Get some facts.
Mr. Ferrier: The government is going to
look after its friends.
Interjection by an hon. member.
Mr. M. C. Germa (Sudbury): Is that why
it is going to pay $80 million to re-elect the
member? It's going to cost $80 million to
re-elect him.
Mr. Havrot: Why doesn't he get some
facts?
Mr. Germa: That's all he is doing— buying
his ticket back in.
Mr. Havrot: Let him get some facts before
he goes mouthing off. That is typical of him.
Mr. Germa: We don't need that member.
He should crawl back under his rock.
Mr. Deans: Let me tell you, Mr. Speaker,
that the government's attitude toward both
employment and the north are very clearly
set out in the Maple Mountain proposal.
Mr. Havrot: Why doesn't the member look
after his own problems? Let him solve those
of his own riding.
Mr. Germa: The member should crawl
under his rock.
Mr. Deans: Without giving any consider-
ation to the merits of the location, which
themselves are somewhat suspect, let me
talk about the job-creating capacity of the
project.
In the submission placed before the gov-
ernment, there's an indication there will be
approximately 800 new jobs created by the
Maple Mountain project. Unfortunately,
over 500 of the 800 jobs are, if one wants
to categorize them, of a domestic nature.
Mr. Havrot: It must be good; the member
is against it.
Mr. Deans: They're going to be making
beds, waiting on tables, cleaning up after
the American tourist when he comes in—
Mr. Havrot: The member is prejudging
the project— what an expert!
APRIL 8. 1974
965
Mr. Deans: —and they're going to be paid
the minimum wage in the Province of
Ontario.
Mr. Havrot: How does the member know?
How can he prejudge it?
Mr. Ferrier: One only has to go to
Ontario Place to find that out.
Mr. HavTot: They know it all; that's the
whole trouble with them.
Mr. Genna: Every Tory only pays $2 an
hour.
Mr. Havrot: Why doesn't he shut up?
He is just talking through his ear as usual.
Mr. Deans: What I want to say to you,
Mr. Speaker, is this: That if this govern-
ment is looking for a way to invest $40 mil-
lion or $50 million in a project in Ontario-
Mr. Havrot: It's not $40 million or $50
million; get the facts.
Mr. Deans: If the government is looking
for a way to invest $40 million or $50 mil-
lion in the Province of Ontario, let it at
least invest it in something which will be
substantial, which will provide something
called meaningful employment for the
area, employment which will pay them a
decent living wage-
Mr. Havrot: Give us a clue.
Mr. Deans: I'll give the member a clue;
I'll tell him what we'd do. Let me suggest,
Mr. Speaker, what could be done. If this
eovernment had moved at the time the Steel
Co. of Canada and Dominion Foundries and
Steel were in the process of acquiring land
at the shores of Lake Erie and if this gov-
ernment had taken the money it's prepared
to invest in Maple Mountain-
Mr. Havrot: That has nothing to do with
the north.
Mr. Deans: -and had put that into the
development in northern Ontario of a manu-
facturing process similar to the one which is
currently being proposed—
Mr. Havrot: Like they did in Saskatchewan
where they all went broke?
Mr. Deans: —for the Lake Erie shoreline,
we would have had a substantial manufactur-
ing development which in itself would have
acted as a catalyst; which would have pro-
vided at least 5,000 new jobs in northern
Ontario; which would have paid a minimum
of $4 an hour and which would have been
the basis upon whidi the north oould hftve
been developed.
Mr. Ferrier: That's the kind of plmiiing
we need.
Mr. Deans: That's the kind of develop-
ment that northern Ontario needs.
Mr. Speaker, when we speak-
Mr. Havrot: Don't talk to me about gov-
emment-nm industries, like in Saskatchewan.
Why doesn't the member talk about shoe fac-
tories and the fish hatcheries-
Interjections by hon. members.
Mr. Deans: Mr. Speaker, when we speak
in our amendment about northern develop-
ment and say that this government has failed
to establish economic growth in nordiem
Ontario, ba.sed on its resource potential, we
are talking about just such a project as diat.
And when we say that this government has
failed to establish northern economic develop-
ment and employment, based on long-term
secondary growth as a No. 1 priority, we
are talking about a development just sudi as
that. And we are saying to the member for
Timiskaming that if he has nothing but a
small-town mentality-
Mr. Havrot: That's what the member has
got.
Mr. Ferrier: The member for Timiskaming
hasn't got faith in the north; that's his
problem.
Mr. Deans: —if he is unable to see Ae
tremendous potential that the resources of
the north afford to the government for
secondary development, and if the member
for Timiskaming is imable to see that it
would be entirely possible-
Mr. Havrot: Oh, the member is so brilliant!
Mr. Deans: —to make better use of the
many millions of dollars that will be spent
by this government in the development of
Maple Mountain-
Mr. Martcl: Just some secondary indus-
tries.
Mr. Havrot: How long will the natural
resources last?
Mr. Deans: —by producing the kind of
secondary development we are talking about,
then obviously he is not very farsighted.
Interjection by an hon. member.
Mr. Ferrier: The member hasn't got fiidi
in the north; that's his problem.
ONTARIO LEGISLATURE
Mr. Deans: Mr. Speaker, I say, on behalf
of this party, that this government has failed
to win the support of the House by its Throne
Speech. It obviously has few, if any, pohcies
aimed at reaching and combating the major
problems confronting the people of the Prov-
ince of Ontario, and we will not support the
motion on the Throne Speech.
Mr. Speaker: The hon. member for Samia.
Mr. J. E. Bullbrook (Samia): Thank you
very much, Mr. Speaker.
I want to begin by complimenting the
prior speaker on his contribution to this de-
bate—with the exception of the final remarks
on Maple Mountain; I am not too knowledge-
able about Maple Mountain-
Mr. Havrot: Ah, there is an honest man.
Mr. Bullbrook: The member for Timis-
kaming somewhat coerced him into that
diversion.
Mr. Laughren: The anti-labour member
who is quite happy to see people work for
the minimum wage.
Mr. Havrot: The member for Nickel Belt
doesn't know what work is. He never worked
a day in his life, the little pipsqueak,
Mr. R. F. Nixon: Why dont the two of
them step outside?
Mr. Bullbrook: I find the member for
Timiskaming a very unique individual.
An hon. member: That's true.
Mr. Bullbrook: He's the only member I
know who can stay in his riding and still be
recorded in a voice vote in this House.
Mr. Havrot: Doesn't the member vdsh he
had that talent? At least I haven't got one of
the squeaky female voices like he has.
Mr. Bullbrook: He is running a close
second by the member for Middlesex South
(Mr. Eaton), the new parliamentary assistant
to the Minister of Agriculture and Food. They
were going to make him vice-chairman of the
hog marketing board in charge of colic, but
he couldn't quite make it.
Mr. Havrot: And the member is going to be
the head chairman.
Mr. Bullbrook: But I want to compliment
the House leader of the New Democratic
Party for his statistical evaluation of the
problems of government. Sometimes statistics
can be very cold, sometimes telling and
meaningful and sometimes agonizing li?ngthy.
But in any event they are recorded for pos-
terity and, I recognize, upon a foundation of
sincere regard for the problems of the peo-
ple of Ontario in the context of the Throne
Speech.
Interjection by an hon. member.
Mr. Bullbrook: I realize it's late in the
evening, but I want to record that Henry
Aaron, tonight, at about 8:15 by our time,
hit the 715th home run of his career and
broke the all-time home-run record. I think
as an aficionado of sports, along with my col-
league from Downsview—
Hon. G. A. Kerr (Solicitor General): Who
was the pitcher?
Hon. Mr. Rhodes: They are two different
sports, I'll tell you.
Mr. Singer: Jealousy will get the minister
nowhere.
Mr. Bullbrook: —that we should record our
respect for that gentleman, whom we know
as a gentle man, a man with great integrity
of purpose. Obviously the effort that he has
put forward now shines in the public eye,
much as vdll the efforts of my leader in con-
nection with the integrity of purpose that he
has put forward.
Hon. Mr. Rhodes: He has yet to hit his
first home run.
Mr. R. F. Nixon: I would be the last to say
that was a non-sequitur.
Mr. Bullbrook: Mr. Speaker, I want to say
to you personally, and I'm most appreciative
of the fact that you are in the chair at the
present moment, that you join with me in
recognizing that two of our colleagues who
were taken by illness, my colleague in this
party, the member for Nipissing, and our col-
league the hon. member for Hamilton East,
have now rejoined us and we, with you, wel-
come them back for their contribution and
wdsdom and experience in connection with
the deliberations of this House.
But more so I join with the other members
who have spoken previously in their appre-
ciation and gratitude for your return to the
House. I hadn't recognized, until the self-
confession tonight, that it was a speech by the
member for Wentworth that made you sick.
That has happened to me on several occasions.
But I think you really take things too seri-
ously when you have to be carried from the
chamber. Recognizing that sometimes those
APRIL 8, 1974
967
remarks are difficult to take, bear with us
and bear with it.
Sir, I want to begin by digressing. It is not
my intention to stand necessarily as a spokes-
man for the Liberal Party, nor is it my in-
tention to necessarily dwell entirely upon the
Throne Speech. That is a vacuous document
at the best of times. I want to give some
thoughts if I may, even at this late hour, in
connection with some of the things that have
crossed my attention in the last year. The
first thing is the enterprise that was under-
taken by my colleague from Huron-Bruce and
myself with respect to the select committee
on Hydro, and I confess in this regard a
change of attitude perhaps. I'm not going to
talk about the merits of the situation itself,
but I want to record this: I wonder now
whether the select committee is really the
appropriate vehicle to undertake that type of
investigative endeavour.
I must say that I was all for the fact that
the legislative process would be better served
by having my colleagues and perhaps myself
undertake this type of responsibility. I must
say now, after having given it great con-
sideration, notwithstanding the great assist-
ance of many of our colleagues in the House,
that I wonder if we didn't really require the
direction as to relevance and probative value
of somebody of more judicial training than
the chairman. Recognizing again that the
chairman himself, under the direction of
counsel, did a magnificent job in this regard,
I must say to you that sometimes I feel that
perhaps the reputation of individuals in the
Province of Ontario, without foundation in
fact, might have been adversely afiFected, and
I don't think we can afford the luxury of that
type of thing.
So I invite the Premier in his absence— and
may I say this to you, sir, the very words "die
Premier in his absence," leave me with some
consideration. It really is an unfortunate dr-
ciunstance—
Hon. J. White (Treasurer, Minister of Eco-
nomics and Intergovernmental Affairs): On a
point of order, the Premier was to be here
and is not feeling well tonight.
Mr. BuIIbrook; An unfortunate situation.
Then I will not say that which I was going
to say. If the Premier is ill, we regret that.
An hon. member: The Premier is here now.
Mr. BuIIbrook: I tell you, Mr. Speaker, if
that minister were the Premier, Tara Ex-
plorations would have no problem whatso-
ever, and that's a fact.
Notwithstanding the fact that the Premier
is ill, one would think that with respect to
the winding up of the address of His Honour
in connection with the Speech from the
Throne, that more than a scattering of cabinet
ministers should have been here to make their
contribution. We look forward to the con-
tribution on behalf of the government party
by the Sohcitor General We recognize that
he will be able to defend, in his own inimi-
table style, the path that was put forward
and pressed upon the Lieutenant Governor,
on— I believe I can't recall the date.
By the way, I often wonder, and I mean
this in no disrespect, if the pages that were
left out of that speech by the Lieutenant
Governor were done without deliberate moti-
vation. As I read them in Hansard, and as
members have the opportimity to read them,
I can understand that His Honour, as the
great Liberal that he was, would have great
difficulty actually reading them. I think prob-
ably there might have been some purpose in
that. However, well never know.
I wanted to say to you, sir, in connection
with the establishment of that particular com-
mittee, that I would hope mat the Camp
corrmiission, rather than dwelling upon the
emoluments of our office, might now under-
take something with respect to the respon-
sibilities that we have. I think one of the
things that they might do is look at the
whole structure of the select committee, be-
cause I think we all agree that some of the
things that have been done to select com-
mittees might well lead to our own depriva-
tion in connection with the utilization of
select committees.
I don't want again to burden this House
with respect to individuals who, I would
suggest vdth the greatest respect, undertake
responsibilities placed upon them without, I
think, a degree of altruism but rather Nvidi a
motivation of their own financial interest in
connection with those responsibihties. The
fact of the matter is that when I was elected
to this House in 1967 $200,000 was spent
with respect to the establishment of nine
select committees. In the fiscal year 1972-
1973 $800,000 was spent with respect to the
establishment of nine select committees or
exactly four times the amoimt. Notwithstand-
ing the propensity one individual committee
had to difiiise its largess in a most OMi-
centric fashion throughout the Province of
Ontario, I think, with some partisan motiva-
tion, one has to recognize that select com-
mittees have a purpose and an intent and a
function and a responsibility with respect to
our process.
968
ONTARIO LEGISLATURE
Mr. Speaker, through you I invite all my
colleagues to press upon those who regard
select committees as an opportunity to make
$50 or $60 a day to chasten th^n and to
say to them that no longer will we permit
that type of enterprise. They are not at fault
solely themselves. The Premier, when he
establishes select committees without defined
terms of reference and without any terminal
position, invites the type of abuse that the
Provincial Auditor has brought to our atten-
tion.
I have stood in my place on many occa-
sions and said that select committees have
a significant function to play in the life of
this House. The problem is that we must all
tonight consider what the function of this
House is, because one has to wonder
whether the whole process is going to con-
tinue if the people are going to be told that
to look into the use of schools you have to
travel to the United Kingdom; to look into
drainage you have to travel to Florida and
to look into snowmobiles you have to travel
outside the Province of Ontario.
I'm serious and sincere in saying this to
you, Mr. Speaker, that we must be careful
that if we continue on this charade of our
own the complete credibility of our process
is going to be called into question. If we
do then what we should do, if we say we
lost four million man-hours of work in the
last two years because of strikes in this
province, and we establish a select commit-
tee to look into labour relations and to try
to lead the world in connection with the
resolution of those problems, they might
regard us in the same context and with the
same integrity of enterprise as those people
on the drainage committee who went on
those larks of their own. We can't afford
that.
I've spoken personally to chairmen of
select committees. No longer is politics a
game that you play for your own advantage.
That's all right on county council, it's not
all right here. We can't do it any more. We
can't spend the public funds this way any
more. It isn't a game of spreading largess
to ourselves and those of our confidantes
and those people whom we want to give it
to for partisan advantage. None of us, in-
cluding myself, can afford that any more
because if we do that in the context of what
I'm going to talk about afterwards, then you
must recognize that you're beginning to
fracture the system.
Let's look at our colleagues who d"o these
things. Let's do that, Mr. Speaker. Let's say
to ourselves that no longer can we continue
with this. Let's say to the Premier, if we
can, please make it a relevant enterprise.
I tell you, Mr. Speaker, the Camp com-
mission said that select conmiittees shouldn't
be paid. I don't know about that. I would
be inclined to think that they should not,
but I think that human nature being what
it is and responsibilities being what they
that extra emolument. I don't know; I
are that perhaps we need the propulsion of
would hope not, but I am inclined to think
that perhaps we do.
Mr. Speaker, I want to say to you, as
sincerely and with as much devotion as I
can, that we must be careful about all the
institutions of this Legislature, because I
tell you people are talking to me about it.
They are saying, "What are you politicians
doing?" And I will talk about that after-
wards. I want to tell you that basically the
framework of my feeling tonight is, "Where
are we going?"
All one has to do is sit through the
question period here— and you in your labour
and responsibility must sit through it every
day— and recognize perhaps the contest of
partisan advantage that goes on, notwith-
standing the fact that there are so many
problems facing people today. One has to
wonder really— and one has to hate to use
the word, it has been used so often— but one
wonders about the relevancy of the Trea-
surer of Ontario with his magnificent re-
sponsibility saying, "Way to go. Bob." We'll
talk about the Treasurer afterwards and
what his responsibilities are— and I con-
tribute myself. I am trying to unburden what
I sincerely feel tonight.
If that is going to be the charade that
goes on every day, if that is what the func-
tion of select committees is, then one has to
wonder whether the people are right when
they say "a plague on all your houses," be-
cause that is really what they are coming to
say. And it is not the poor any more who
are coming to say it. It is not the rich who
are coming to say it. It is those in that broad
spectrum of society who are taxed to death,
who carry the burden on behalf of the rich
and the poor, and who don't seem to really
have any viable alternative when you look
at us collectively in this House.
I want to say to you, Mr. Speaker, that
I wonder about government. I am sure you
wonder about government. I have met Mr.
Cronyn, a most sincere man, to try to get
some education into the whole new super-
structure of government, because I just can't
get to it. It is so malleable to me; I can't
grasp it at all.
APRIL 8. 1974
969
I think he tried to explain to me, again
with sincerity, what he was attempting to
do. I tried to tell him experiences I have
had in connection with the superstructure of
government, with the creation of TEIGA,
which I thought was almost the rape of the
right of people to directly deal witn a min-
ister who understood planning, who under-
stood land use, who had a direct responsi-
bility to municipalities.
I told him experiences that I have had—
two experiences I had, as one member from
one riding dealing with two ministries. I
want to tell you about them tonight, recog-
nizing the lateness of the hour.
I knew some time ago that because of
economic pressures the Minister of Health
was entertaining the amalgamation of certain
services in city of Samia with respect to
our hospitals. As a result on Jan. 22, 1973,
I wrote a letter to the then Provincial Sec-
retary for Social Development (Mr. Welch),
Parliament Buildings, Queen's Park. I want
to read it into the record:
Re:
The amalgamation of services, Samia
General Hospital.
I wish to confirm my conversation with
you of recent date when I voiced a great
deal of displeasure in connection with the
general concept of amalgamation of ser-
vices relative to our two general hospitals
in the city of Samia. Recognizing a
superior knowledge on the part of the
oflBcials of the Department of Health and
on the part of members of the boards and
commissions of the two hospitals concern-
ed, I want to reflect a significant degree
of displeasure and disenchantment being
voiced by my constituents to me in coimec-
tion with the directions of the govemment.
While we understand the need for cer-
tain financial restraints, the attitude of many
of my constituents is that both hospitals
have been considered general hospitals and
that the concept of a general hospital
should be for the delivery of general health
services to the public at large.
I want to also point out to you that I
have had discussions with members of the
medical profession, some of whom are also
concemed about such amalgamation of
services. One doctor in particular pointed
out to me that the establishment in one
hospital alone of a cardiac care service
would, in fact, disentitle some people in
the other hospital to the benefit of such
services in an emergency situation.
However, the main purpose of mv tele-
phone conversation and this particular let-
ter is to voice not only my constituents'
displeasure but my particular displeasure
at the concept of transference of obstetrical
services to St. Joseph's Hospital.
After having discussed this matter with
people concerned and knowledgeable I
recognize the economic advantage to such
a move. You will recognize that there are
certain ethical restrictions placed upon
patients within St. Joseph's Hospital oe-
cause of the ethical standards established
by the Sisters of St. Joseph who administer
and operate the hosptal.
I want to make it amply clear that I
do not in any way wish to fetter the Sisters
of St. Joseph in their obvious right to
maintain such ethical standards as they
see fit. I do not subscribe to some of my
constituents who sav that since such a
hospital is subsidizea by public funds the
standards imposed by the Sisters of St.
Joseph should be waived.
I take the position that on a voluntary
basis anyone who wishes to enter St.
Joseph's Hospital for the delivery of health
services should abide by standards and
restrictions imposed by the administration.
I want to underline for your consideration
the word "voluntary." What concems me
now is that to establish a single obstetrical
service at St. Joseph's Hospital would force
many of my constituents who do not abide
by or believe in or want to be restricted by
the ethical standards of the Sisters of St.
Joseph to be restricted. There is an attempt,
which I believe to be a rationalization,
that after the normal obstetrical service is
provided, many of my consti'tuents who
wish additional services outside the ethical
tradition of the Sisters of St Joseph could
secure such services at Samia General
Hospital.
I believe that to be fallacious. I believe,
in point of fact, that in medical terms it
would not always be beneficial to the
patient so to do, and I believe frankly
that if a person goes into a hospital on a
directed basis they should be entitled to
the normal and general health delivery
services under the law.
I have heard it said that some are at-
tempting to distinguish between the de-
livery of obstetrical and the delivery of
gynaecological services. Perhaps I am un-
able to understand fully the significance of
such a distinction, but I must as a lay per-
son admit that I can't see from the p<Mnt
970
ONTARIO LEGISLATURE
of view of a benefit to the patient the ob-
ligation of the doctor that there is any sig-
nificant distinction between the services
provided. I believe them all to be part of a
total service to be provided by the doctors
to the patient.
I want to close this letter by making it
amply clear that as long as patients attend
at St. Joseph's Hospital' on a voluntary
basis they must recognize the right of the
administration to establish certain terms of
reference in connection with the services
being provided by such hospital. The key
ingredient to my decision in this connec-
tion lies in the fact that many of my con-
stituents would be forced into attending for
services at St. Joseph's Hospital.
I want to express, if I may, a feeling of
displeasure in the government and your sec-
retariat in not having recognized prior to
the adoption of this type of policy the col-
lateral affect it might have upon communi-
ties. In point of fact, this type of decision
has reared a narrower feeling in a segment
of our community between sectarian groups
than any I have seen since I was a child.
It is indeed unfortunate that your advisors,
Mr. Secretary, did not recognize this pos-
sibility.
And that's the end of the letter.
That begins a letter to the Provincial Sec-
retary for Social Development in connection
with the impact of an economic decision upon
the social rights and traditions, responsibili-
ties and freedoms of my constituents, directed
to the Provincial Secretary for Social De-
velopment. I read you his response dated Jan.
31, 1973.
I would like to acknowledge and thank
you for your articulate letter of Jan. 22
outlining some of the difficulties being fac-
ed in the Samia area. [And here's the tell-
ing paragraph] I forwarded a copy of your
letter to the Hon. Richard Potter, Minister
of Health, for his careful consideration and
I appreciate very much the trouble you've
taken to outline the situation in detail.
I had intended, Mr. Speaker, to read you the
total voltime of correspondence, but those
two letters in essence give you the problem
that I face. What does the Provincial Secre-
tary for Social Development do if he doesn't
come to grips with that type of problem?
COGP said that the function of the secre-
tariat is to develop policies in the context of
those ministries for which they have the tac-
tile or direct responsibility.
A letter was sent to the secretary for social
development talking about the impact on my
society of an economic decision and the re-
sponse was directed to the Minister of Health
who COGP says has nothing to do with the
establishment of that policy but undertakes
to administer the policy once it's made mani-
fest.
Eventually in this House in a moment of, I
suppose, less than temperance I said to him
during the course of a debate that he hadn't
responded to me. I said to the present Pro-
vincial Secretary for Justice, the present At-
torney General (Mr. Welch)— which very
phrase, may I interject, should make COGP
gag. The Provincial Secretary for Justice and
the Attorney General is the very thing that
COGP said should never take place. The pur-
pose of the development of a secretariat was
to relieve him of those administrative respon-
sibilities. Of course it's long gone. When he
was secretary for social development, they
made him Minister of Housing at the same
time.
An hon. member: He had to do something.
Mr. BuUbrook: I said to him that he had not
responded. I got up in my place, I apologized
to him and I subsequently wrote this letter
to him and I want to read it into the record:
I wish to acknowledge your letter of
March 15 and I apologize personally as
well as I have publicly in the House. You
certainly did answer my letters and it was
obvious that I was wrong in thinking that
the impact of the amalgamation of services
on the ethical tradition of the Sisters of St.
Joseph would be a matter for the secretary
for social development. As you mentioned,
you referred it to the Minister of Health
I say, frankly, it gives one pause for
thought. If that wasn't a matter for the
secretary for social development, then
surely there isn't anything that is a matter
for the secretary for social development.
I am pleased now that since you are
Provincial Secretary for Justice you will
have something to do. My question is,
will it be as Attorney General or secre-
tary for justice?
I am having lunch on Wednesday with
John Cronyn and I will ask him.
Mr. Havrot: The member is funny.
Mr. Bullbrook: I did ask Mr. Cronyn and
his response, I believe not of a confidential
nature, was that the success of the redevel-
opment of the structure of government de-
pended upon the individuals who occupied
APRIL 8, 1974
971
the positions. One recognizes that from
start to beginning!
Mr. Singer: A couple of them are smiling.
Mr. Bullbrook: The reason I bring this
up is that the House leader of the NDP
has talked about people wondering where
government is going and where our money
is going. Let me tell members something
for a moment. When we began the super-
structure of policy secretaries, in the first
year we estimated their expenditures at
$844,717. Last year, including the Premier's
oflBce, it got up to $2,372,000.
That's why I talk about it; a 300 per
cent increase in two years for people to do
what? This is what we ask: For people who
do what? It might seem picayune, an eleva-
tion of only $1.6 million, but regard that
in the context of all the spending because
it isn't only the secretary for social develop-
ment whom we wonder about.
I want members to hearken bade to the
famous case of the route of the oil pipe-
line. Do they remember that one? I often
wonder what type of resource development
policy— the present secretary wasn't there
but he finally made the statement. Let me
synthesize for a moment; let me just read
the headlines and a few things which were
said, if I can. These headlines are a story
unto themselves to tell members about the
development of policy with respect to a
matter which had been ongoing for four
months by the federal government without
one tittle of intrusion by the provincial
government— it is professed now by both the
federal people and the provincial govern-
ment there was not one tittie of intrusion
as to provincial responsibility. Let's see
what type of policy had been developed
in connection with this. The first headline
is: "Two Ontario Cabinet Ministers Favour
Moving Pipeline Route North". Those two
are those famous, famous liberals, the hon.
Minister of Agriculture and Food and the
Treasurer of Ontario.
Now the only thing I'm going to say
about the Minister of Agriculture, as I said
in a press release once, he was only 400
per cent wrong in connection with his esti-
mate. His original estimate was 10,000 acres
to be taken—
Hon. Mr. Stewart: I was right, the mem-
ber was wrong.
Mr. Bullbrook: Ten thousand acres to be
taken and they are taking about 2,700 by
the time they are finished in connection with
arable land in the Province of Ontario.
Hon. Mr. Stewart: That's not what I
said.
Mr. R. G. Eaton (Middlesex South): How
would the member for Samia know?
Mr. Bullbrook: Let me read to the mem-
bers the telling quote by the chief planner.
This is the chief planner of the Province
of Ontario:
Mr. White said that from previous ex-
perience Ontario had a close to zero
"chance of persuading Ottawa to change
the route. Bumping this line out of the
agricultural land in southern Ontario into
the north will be better accomplished by
the Federation of Agriculture making
representations."
Now there is the chief planner, the man
knowledgeable about the use of land in the
Province of Ontario, saying that well never
get that line moved north ourselves, and
not knowing that the line from Samia to
Burlington was already there. The line was
there. The right of way was there.
Mr. Eaton: Does the member think they
want it on the other line?
Mr. BulIbro<^: Not one hectare of addi-
tional land would they take; and there's the
chief planner for Ontario saying, "we can't
get that moved' north because the Ontario
Federation of Agriculture says—"
Mr. Eaton: They aren't going to build a
new line on top of the old pipe.
Mr. Ruston: Do a little more squeaking
over there.
Interjections by hon. members.
Mr. Bullbrook: "—that we can't have it
north." So we begin: "Two Ontario Cabinet
Ministers Favour Moving The PipeKne Route
North."
Mr. Riddell: This is an example of the next
Minister of Agriculture?
Mr. Bullbrook: Now the second headiine-
Mr. Eaton: He wants it to go dirou^
there, and the member for Huron wants it to
eo through. I suppose he also wants hydro
fines.
Mr. Bullbrook: The second headline says-
Would someone tell that lady over there to
be quiet?
The second headline says: "London North
MPP Backs Northern Oil Pipeline Route."
972
ONTARIO LEGISLATURE
The third headline says: "Bemier Stiggests
Northern Route Proper One."
An hon. member: A tight one too.
Mr. BuUbrook: Then we have the next
headline: "McKeough Supports South Route."
Mr. J. H. Jessiman (Fort William): What
does Bullbrook support?
Hon. Mr. Stewart: Let's have Anderson.
Mr. Bullbrook: An article by Bob Ander-
son—I'm sorry, Harold Greer— "Ontario
Cabinet Ministers Ought To Talk To
McKeough."
Hon. Mr. Stewart: And what about Bob
Anderson?
Mr. Bullbrook: Then the next headline is:
"Ministers Divided On Pipeline Route."
An hon. member: Well they are consistent.
Mr. Bullbrook: Then the next editorial
says: "Strange Hiatus In Ontario Politics."
Mr. R. F. Nixon: We haven't had one of
those since Robarts left.
Interjections by hon. members.
Mr. Bullbrook: And finally we have the
pronouncement ex cathedra, which reads:
"Davis Denies Cabinet Spht Over Route." As
I read those headlines I recognized that if
the Provincial Secretary for Resources De-
velopment isn't victim of ad hoc-ery, nobody
Hon. Mr. Grossman: Having a hell of a
time making it.
Mr. BuUbrook: That was the development
of policy, because he had to stand up in this
House in his own fashion— not tall, but stand
—and say, "We won't intervene in con-
nection with the application before for the
National Energy Board, but we feel for the
farmers."
That had to be really the most ludicrous
exercise in government futility, stupidity,
devisivenness and frustration that the minis-
ter has ever had— really.
I tell you, the magnificent aspect of it is
that the Premier of Ontario rids himself of
people like the member for Armourdale (Mr.
Carton), the member for York Mills (Mr.
Bales), and the member for Carleton East
(Mr. Lawrence), and keeps the Minister of
Agriculture and the Treasurer; those two who
began the uphill fight that was a slide down-
hill before it ever started.
But that's to be understood with this par-
ticular Premier. Any person, of course, who
after that particular charade that went on
for 10 days who would get up and say
"Premier Denies Cabinet Rift." It was as if
we had a microphone in the cabinet room.
We could see them fighting. The poor
member for London North (Mr. Walker) was
told by the Treasurer: "Get on the band-
wagon or the people of London ain't going
to be with you." But the tragedy of it all,
really, and through you, Mr. Speaker, to the
Minister of Agriculture, he never knew that
Interprovincial were going to use the right
of way they had at the time, did he? He
didn't know it at all.
Hon. Mr. Stewart: Of course I did.
Mr. Bullbrook: Well, why did the minister
talk about arable land in southwestern On-
tario that was already used?
Hon. Mr. Stewart: Will the member permit
a question?
Mr. Speaker: Will the member permit a
question?
Mr. Bullbrook: No.
Hon. Mr. Stewart: I just want to ask why
IPL is negotiating with the farmers of
southern Ontario today, because they haven't
sufficient land to accommodate their equip-
ment to lay the new pipeline.
Mr. Speaker: Order please, the member
for Samia has the floor.
Interjections by hon. members.
Hon. Mr. Stewart: The Liberal Party
through the member for Samia displays an
abysmal lack of concern for the farmers of
Ontario.
Mr. Eaton: And the Liberals are all for it.
Mr. R. F. Nixon: The Minister of Agricul-
ture and Food is here. The Tories haven't
got any farmers over there.
Mr. Speaker: Order please, I wonder if
the member would—
Interjections by hon. members.
Mr. Bullbrook: Listen, the Minister of
Energy had his voice changed. Why don't
you see where he got his operation?
I want to say to you, Mr. Speaker, in
connection with the Minister of Agriculture
and Food, we sometimes find him an arch
Tory, and that's to be understood, but I say
APRIL 8, 1974
973
to you, nobody works harder, in connection
with the cabinet of Ontario, than does the
Minister of Agriculture and Food. No one.
He works so much overtime that he had to
make an apphcation under the Employment
Standards Act to work overtime, and the two
criteria to get that type of discretion exer-
cised were, "Are you going to be handi-
capped or mentally retarded?" and he quali-
fied on both counts.
Hon. Mr. Stewart: The member for Samia
is a very smart lad.
Mr. Bullbrook: There is the Chairman of
the Management Board. There is a talent,
really.
Interjections by hon. members.
Mr. Bullbrook: Eleven of us made a list
of those cabinet ministers who would go. He
was unique-
Mr. Speaker: Order, please. I wonder if
the member would speak to the chair.
Mr. Bullbrook: I certainly will. He was
unique and he led every list, the Chairman
of the Management Board.
Mr. Havrot: Tell the Speaker not to
scream, eh.
Mr. Bullbrook: The member for Timis-
kaming says don't scream.
Mr. Havrot: He has just broken my
record. They can hear him in his riding, too.
Mr. Bullbrook: I think I will give some
example, if I may, Mr. Speaker, of the type
of waste that has been perpetuated by this
particular government.
For example, today you have the estab-
lishment of four additional parliamentary
assistants. They might be needed, I think,
to prop up some of the cabinet ministers.
They each need two assistants. I'm not cer-
tain of it, but I doubt if there are six people
on the government side now who don't have
some type of extra emolument to their office
that would benefit them in the long run
from a pension point of view.
I don't think there are six; there might be.
We have taken care of the past, we are
taking care of the present, and we hope like
hell that they can take care of the future.
That's exactly the way they feel at the
present time.
But we are not worried so much about
the future of the members on the govern-
ment side, because we feel that's limited.
Our present purpose is to worry about the
present of the people of Ontario.
Now I don't intend to take too much
time in connection with reiteration of those
things put forth so vigorously and well, with
respect to our amendment to His Honour's
address, by my leader.
I want to say this to you, there are two
things that our people are concerned with,
because we are all concerned with them;
the first is housing. I don't have any great
statistical evaluation to give you. I want to
say this to you, that I don't want to put it
in the context of statistics. I want to put it
in the context of people. I want to say this
to you, that in my city the problems that we
face are developers coming in and buying
a lot, perhaps for $2,000, and attempting
to put the plan through, as my oolleague
from Grey-Bruce questioned about today,
finding themselves, at every turn, resisted
by levels of government; paying prime bank
interest at a usurious rate of 11 i>er cent;
called upon to dedicate five per cent to the
government for public purposes; in most
municipalities called upon to pay $700 to
$1000 for impost for future main lervice
charges, eventually finding themselves when
they build a house put to the test by both
the federal and provincial government of
something in the neighborhood of 18 per
cent tax on building materials; then called
upon to pay a real estate commission for
resale of five per cent; looking at lawyers*
fees at a basic rate of 1^4 per cent; paying
a one per cent charge to CMHC in connec-
tion with possible defalcation, and as a
matter of interest in that respect, their de-
fault rate is less than one per cent and they
have got a fund built up of something in
the neighbourhood of $300 million; paying a
1% percentage fee in connection with
Mice loans, high ratio loans, again for
things that basically in the context of our
law require no risk at all; charged exorbitant
rates of interest, having regard to the risk
incurred by the lending institution, and find-
ing, after that, that they spent years of their
lives to acquire a down payment on a
hcrnie—
Mr. Eaton: The member forgot the law-
yer's fee on all that.
Mr. Huston: That shows that the member
doesn't listen.
Mr. Bullbrook: —that the House leader of
the NDP statistically catalogued in connec-
tion vdth this problem as to how long they
pay it out.
974
ONTARIO LEGISLATURE
I want to say this to you, Mr. Speaker. I
have a couple in my riding who are exem-
plary of the situation that faces society today
and if I seem melodramatic I apologize to
you. There was a time in the life of the
senior members of this assembly when the
first child to be bom to a married couple,
when the understanding that the child was
on the way was a time for happiness. Do you
realize with young people today who are
attempting to buy a home, or who have
bought a home and saddled themselves on
the dependency of a double income, in the
context of the requirements of society today
and the amount of money they must put
down and their obligations for carrying it,
that the annoimcement of a first child is a
tragedy?
I think that's what is really happening to
society, and those are the things that I think
we should be coming to grips with. And you
can't really say that a Throne Speech of that
nature comes to grips at all with that type
of problem.
The thing is, we have tried time and time
again— and I think with sincerity on the other
side you have attempted— to come together
and try to work out some method. What is
the method? I don't know, but surely the
method can't be the way things are being run
now. I wonder what the answer is? I wonder
if people can continue to bear the burden
of cost and inflation that they do?
There is nothing Socialist about this. One
has to shave in the morning and look at him-
self and say, "I wonder what we are doing
on behalf of the people?'* If we come down
here and have a responsibility other than to
yak back and forth at each other, then we
have to say, "Where are we going?"
Where are we going in a society that in-
creased the profit ratio of corporations in
1973 by 37 per cent, to a total of $14.8
bilh'on, so that corporate profits became 10.5
per cent of the gross national profit. This isn't
a Socialist ripoff. It is not a Socialist ripoff
at all. What it is, I think, is a recognition by
all of us, and it should be a recognition by
all of us, of a need for equitability in oiur
tax structure. Believe me, I sincerely believe
this, something has gone awry. The federal
Liberals have gone awry in this respect— and
I speak personally in this respect— I don't
think there is any doubt. How can you pos-
sibly rationalize the building of the Toronto
Dominion Centre and the continuing of an
unrealistic capital cost allowance that says
that they can efi^ectively vmte off that struc-
ture in 20 years? You can't when you know
the life of the building has to be 50 years at
least.
Hon. Mr. Snow: How does the member
rate that—
Mr. Bullbrook: Less than 50 years if you
would like to get into the 20 per cent rate.
Effectively write that type of thing oflF in 50
years; you can't possibly rationalize that.
I was telling some of my colleagues one
time about a progranmie I had seen several
weeks ago where Frank Magee was talking
to the president of Exxon and he said to him:
"Do you recognize, Mr. President, that you
pay a lesser tax rate on your corporate profits
than a janitor does who sweeps the office?"
He said he didn't know that. And he pointed
out that the janitors' effective rate in the
United States was something like 15.4 per
cent on his earnings. And Exxon, on profits
of $2.2 billion, had paid an effective rate of
5.2 per cent. That's not Socialist, but may
I say that's got to stop.
Mr. Laughren: Wait until the Treasurer-
Mr. P. D. Lawlor (Lakeshore): One has to
be an executive.
Mr. Bullbrook: The middle-income people
of the Dominion of Canada are not going to
tolerate that to continue. We live and I live
in the context of a free society, a free enter-
prise, wherein an individual or a collection
of individuals are entitled, under our system,
to flourish. But I for one, Mr. Speaker, say
to my colleagues, through you, that we're
not going to flourish in that type of tax
structure.
1 say to you, sir, that I for one opt away
from these types of tax concessions. I want
to say that I for one don't buy the rationale
of the federal Minister of Finance, and the
rationale we're goinc to get again tomorrow
in connection with me budget speech-
Mr. W. Hodgson: The member has been
talking to the member for High Park, has
he?
Mr. Bullbrook: —which says that we must
have this type of profit ratio to develop capital
for increased employment. I don't believe that
for a moment. It's the same rationale that the
government gives in connection with Inter-
national Nickel— the same pap again, all the
time. What the government does is it lets
them write off their expense for exploration
against their current profits, and then, by
some circumlocution of logic, it says that they
can then deplete the resource itself against
APRIL 8. 1974
975
their gross income. As if the resource was
theirs to deplete!
We rive it to them twice, and we sit back,
as the Fat cats that they are and I am, and we
say to the people who earn $15,000 and
$16,000 a year and are raising three or four
children, that they go forwawl and pay an
eflFective rate of 22 per cent, in some cases 28
per cent, on that type of revenue.
Mr. Lawlor: It's known as the corporate
ripofiF.
Mr. W. Hodgson: It's the lawyer ripoflFl
Mr. Bullbrook: May I say to my friend that
it might ha^'e been coined as a corporate rip-
oflF-
Mr. Jessiman: Is the member talking about
legal aid?
Mr. Bullbrook: I don't for one say that
it might not be a corporate ripoflF. I say, for
myself—
Mr. W. Hodgson: It has involved thousands
of dollars over 10 years.
Mr. Bullbrook: —that no longer can society
as a whole tolerate that type or infrastructure
of inequitable taxation. They just cannot do it.
Hon. Mr. Rhodes: Why doesn't the member
move over there?
Mr. Bullbrook: I don't have to move any-
where. I'm quite happy where I ami
Hon. Mr. Rhodes: He can't be; the member
for Downsview doesn't agree with him. Move
Mr. Bullbrook: Say to the Toronto-
Dominion Bank: "We appreciate very much
the infusion of that capital into the building
industry". And say to them, realistically—
Interjections by hon. members.
Mr. Speaker: Order, please.
Mr. Bullbrook: —realistically: "Write that
building oflF."
Mrs. Campbell: Look who's talkingl
Hon. Mr. Rhodes: The member should
move over and take the member for St.
George with him. Move overl
Mr. Bullbrook: "Write that building oflF."
There is nothing wrong with that.
The concept of giving them a capital cost
allowance is a true concept in our society, but
the concept of giving them a write-oflF well
short of the life of the asset is in itself a
ripoff and always will be a ripoff.
These are the things I think people are
talking about today. They're saying to thcm-
selves— I know they're saying these things to
me— and I think we all, collectively, no matter
whether we're Conservative, Liberal or NDP,
we had better have a look at these things.
Perhaps that's the beginning of a select com-
mittee that we might look at— to look at the
equitabihty of taxation in the Province of On-
ario; we can lead the way there because we
are the richest province. But one wouldn't
know it in the Throne Speech.
What has the Throne Speech said? It hasn't
said anything about that. But I tell you what
the budget will say tomorrow, Mr. Speaker.
It will say less than nothing in connection
with the restructuring of equitable taxation.
It'll say nothing at all about it because this
government is hand in glove with those
people. All that the government wants is
their advantage, but not the advantage of the
normal and ordinary taxpayer in the Province
of Ontario. The Throne Speech said nothing;
as a matter of fact, I don't want to dwell on
the Throne Speech at this late hour.
I want to say there's one thing in the
Throne Speech that we agreed with, one thing
that was said in that Throne Speech where,
I believe, Mr. Speaker, the government did
come to grips, and they're to be complimented
in coming to grips, with a problem. That was
when they said: "May Divine Providence
guide you in your deliberations and assist you
in your responsibilities," because that trans-
lates itself into "God help us." If we continue
with the type of initiative that worries about
the environment in the context of billboards,
then God do help us.
Mr. Speaker: The hon. Solicitor General.
Hon. Mr. Grossman: The Solicitor General
is lucky, he just lost the hon. member for
Downsview.
Hon. G. A. Kerr (Solicitor General): Mr.
Speaker, 1 would like to join with other mem-
bers of the House in saying how happy and
pleased I am that the member for Waterloo
South continues to occupy the chair and, as
the member for Grey-Bruce has said, still
wears that three-cornered hat. The Speidcer,
as everybody knows in the House, presides
over this House in a fair and eflBcient manner
and he is a credit to the Legislature. May
he continue to preside over us for many years
to come.
976
ONTARIO LEGISLATURE
Mr. Speaker, the Throne Speech debate
gives members an opportunity to air their
views on various matters of concern. The
recent Throne Speech dealt with several major
themes. Tonight I should like to single out
five of these for the members' attention.
They are, first of all, inflation in the econ-
omy, then, land management, law reform,
housing and northern development.
Mr. R. F. Nixon: Five more?
Mr. Laughren: In that order.
Hon. Mr. Kerr: Last year, Ontario had an
increase in real growth of 7.2 per cent over
1972 and ended the year with a reduced
unemployment average of just over four per
cent. The outlook for this year is closely
linked to the world-wide energy situation
and, relative to other countries, Ontario and
Canada, in my opinion, are well placed. But
Canada must squarely face the continuing
and debilitating effects of inflation which
cannot and must not be ignored. If we
don't, the benefits of our relatively strong
energy position will be lost.
Toward the end of last year, the 10th
annual review of the Economic Council of
Canada, in reviewing the growth of the
government sector in Canada, stressed the
need for co-ordination between the federal
government and the provinces of their res-
pective economic fvolicies. Here in Ontario,
Mr. Speaker, we have been urging a com-
plete revision of federal-provincial economic
responsibilities. It is our firm belief that
righting the existing fiscal imbalances will
go a long way to solving the problem we
face.
Six months ago our Premier appealed to
the Prime Minister of Canada for the federal
government to meet with the provinces to
consider practical measures to control in-
flation. The federal government has ignored
this appeal. The present economic situation
must be confronted by governments at the
highest level. Ontario has in the past co-
operated with the provinces and the federal
government to seek national solutions to
economic and other problems. We will con-
tinue to do so in the future in any and all
matters of import to the province and to the
nation as a whole.
With respect to land management, govern-
ments everywhere these days find them-
selves facing shifting priorities-
Mr. Lawlor: Is that the best the minister
can do with inflation?
Hon. Mr. Kerr: —and increasing conflict
between the traditional rights of the indi-
vidual and the rights or expectations of the
community. This government has faced up
to the challenge and has dealt with these
two forces on the basis of merit and priority.
The overriding criterion has been, is it best
for our society and our province and, where
larger issues are involved, is it best for
Canada?
Land use is a good example of such con-
flicting objectives. When regulations con-
cerning the use of land, our own land, walk
in the door, the notion of the collective good
often flies out the window. It's generally
agreed today that something has to be
done and a government has the responsi-
bility of exploring every possible means of
resolving the issue as equitably as possible.
It is not easy. The political decisions are
frequently tough. It would be far easier
to do nothing or, as in the case of one
political party in this province, to roll back
the clock, hypocritically suggesting to people
that things can be as they were 10 or 20
years ago.
This, I suggest, Mr. Speaker, is to ignore
reality. It's the politically motivated fabri-
cation of a dream world and the people see
it for precisely what it is.
Hon. Mr. Grossman: Sounds like the
Liberal Party.
Mr. Sargent: Who wrote that? Did the
minister write that?
Hon. Mr. Kerr: Certainly we have tackled
tough issues head on.
Mr. Sargent: Did he write that?
Hon. Mr. Kerr: We have dealt with the
escarpment, the parkway and regional
governments.
Hon. Mr. Grossman: I am sure the mem-
ber opposite didn't write it.
Hon. Mr. Kerr: We have placed ceilings
on the growth rate of secondary and ele-
mentary educational expenditures. The
Ministry of Health has contained its expen-
ditures within reasonable levels. I think the
worst thing a government can do today is
to be dishonest with the people and say
everything is all right and that it will main-
tain the status quo and nothing needs to be
done. That may be the most politically at-
tractive approach to take, Mr. Speaker, but
it cannot be the approach of any responsible
government in the 1970s.
APRIL 8, 1974
9T7
We have taken action to chedc and control
urban sprawl and its attendant problems.
Mr. Lawlor: Is he going to make a clean
breast of it?
Hon. Mr. Kerr: The government introduced
a new Ontario Planning and Development Act,
the Niagara Escarpment Act and the Parkway
Belt Act to provide development planning to
achieve this goal. The government has tiucen
steps to meet the growth problems in central
Ontario by legislating a development plan for
approximately 1.3 million acres of land in the
Niagara Escarpment and by establishing a
broadly representative commission to be re-
sponsible for future planning in that area.
Land-use regulations introduced for a park-
way belt system from Dundas to Markham
and ultimately to Oshawa—
Mr. Lawlor: That's the Hydro corridor, isn't
it?
Hon. Mr. Kerr: —recognize an urgent need
for the channelling of utilized— yes-
Mr. Lawlor: The minister is telling me.
Hod. Mr. Kerr: -and for ensuring that un-
bridled urban sprawl does not destroy neigh-
bourhood and community identities.
Mr. Lawlor: Where is the parkway?
Hon. Mr. Kerr: The government, Mr.
Speaker, is also determined to ensure that
farmers are given every assistance in retain-
ing good lands in agricultural production.
Interjections by hon. members.
Hon. Mr. Kerr: We've now—
Mr. R. F. Nixon: He cannot get his mind
oflF the pipeline. Let's go over that pipeline
again.
Hon. Mr. Kerr: We have now received a
report of the farm classification advisory com-
mittee which was created last year-
Mr. Lawlor: Why did he talk about honesty
a few moments ago?
Hon. Mr. Kerr: Its recommendations on
our initiatives to ensure continued agricultural
production on lands being held for future
development oflFer a positive course of action
for farming and food production in Ontario.
The quality of life, Mr. Speaker, which we
enjoy in this province owes much to the
stability of our courts, law enforcement asd
public safety programmes.
My colleague, the Attorney Geneiml (Mr.
Welch), recently tabled in the Legislature the
Ontario Law Reform Commissions report on
family law. It is the government's intention
to introduce legislation during this session
which will guard against a Murdoch case
happening in Ontario. We propose to intro-
duce provisions to protect the individual
rights of both spouses during marriage, to
ensure equitable property rights, to remove
all discrimination against chil£-en bom out of
wedlock and to strengthen and unify our
family court system so that it can be more
eflFective.
One of the most important priorities of the
Ministry of the Sohcitor General is the recog-
nized need for a close relationship between
the public and our law enforcement agencies.
The report of the task force on policing was
recently submitted and much of its content
promises to be an extremely significant docu-
ment in influencing the future of improved
police relations here.
The task force report produced 170 indivi-
dual recommendations. Many of the recom-
mendations concern the improvement of the
standards of police training and place greater
emphasis on humanitarianism in law enforce-
ment. We must ensure that our police are
professionally trained and are equipped with
modem methods of detection and solution.
Toward this goal, constmction will commence
on a new police training college at Aylmer
next month.
A broad programme of innovative training
and of new standards of professionalism rec-
ommended by the task force is being closely
studied.
Interjection by an hon. member.
Hon. Mr. Kerr: The report raised such
questions as the need for more women and
more ethnic representation in our police ranks
and the adoption of a constable-centred man-
agement style.
We intend, Mr. Speaker, to enlist and trafai
more and more native people in policing their
own reserves. After exhaustive negotiations, it
is hoped that an agreement with the federal
government will be reached on such policing
during the next few weeks. It is also my hope
that at least some of the task f<m* recom-
mendations will be implemented in legislation
during this current session.
Mr. Speaker, we realize that land suitid^e
and appropriate for housing is of immediate
and pressing concern and that this type of
land-use should not completely override other
desirable objectives. We must ccmtinue to be
978
ONTARIO LEGISLATURE
concerned for the population densities and for
well planned communities. In short, while we
must concentrate on quantity, quality must
not be ignored.
For the second consecutive year, dwelling
starts in Ontario have exceeded 100,000 units,
a rate of construction which is consistent with
the government's overall objective of one mil-
lion new dwelhng units in 10 years, A number
of new housing programmes have been intro-
duced to increase and upgrade the total hous-
ing stock. For example, the Ministry of Hous-
ing has introduced a programme of assistance
to community groups in developing and man-
aging their own housing projects. This com-
munity-sponsored housing programme will
promote co-operative and non-profit housing
generally.
This is another means of producing a com-
bination for modem income earners and
establishing another method of integrating
public housing units in the community. The
community groups to be assisted will include
people of many income levels and with a wide
variety of special interests and goals, such
organizations as service clubs, charitable
bodies, and those dedicated to aiding the
elderly and the disabled.
The programme wiU complement and add
to federal programmes in three ways. It will
provide grants of up to 10 per cent of the
value of the housing projects to be paid over
a 15-year period to reduce the mortgage pay-
ments. It will financially help in the rent
payments of those in the lower and moderate
income groups through the rent-supplement
programme. In return for the grants, the com-
munity-sponsored groups will provide gen-
erally up to 25 per cent of their units for
use under the rent-supplement programme.
It will mske available ongoing support in
the form of expertise or other assistance in the
areas of both the development and manage-
ment of housing projects. The government is
also prepared to lease provincial lands, where
available, to community-sponsored groups hav-
ing difiBculty finding sites at a reasonable cost.
Complementary to the community-sponsor-
ed housing programme is the Ontario home
renewal programme. This includes the recent
extension of the programme to provide munic-
ipalities with provincial funds for housing.
These can then be used as municipal grants
and low-interest loans for home improvement
in districts either inside or outside designated
neighbourhood improvement areas. Approxi-
mately $10,000 will be made available to
municipalities for this programme during this
fiscal year.
Mr. Lawlor: How much?
Hon. Mr. Kerr: It will be $10 million. Did
I say $10,000? I am sorry, $10 million.
The funds will be allocated to municipal-
ities that apply for them on a per-capita-grant
basis. Twenty-five per cent of this money, Mr.
Speaker, wiU be set aside for municipalities
with populations of 5,000 people or less. This
will guarantee that the rural and northern
areas of the province are assured special
consideration under the programme.
Mr. Speaker, various items announced in
the Speech from the Throne highlight the
present and future role of the government in
the development of northern Ontario. My
colleague, the Minister of Transportation and
Communications (Mr. Rhodes), recently an-
nounced a major telecommunications project
to link the communities of the remote northern
area of Ontario with one another and the
outside world. This three-year project will
provide 31 communities north of the 51st
parallel with standard two-way telephone serv-
ice capable of cormecting with any s-witch-
board in the world. The basic design of the
system will allow for the carrying of radio
programmes for broadcast in the future.
Further, the Telestat communications satellite
will also be incorporated into the system.
A prior and addted advantage is that elec-
trical power will be required for the com-
munications equipment. To this end, Ontario
will negotiate with the federal government
to co-ordinate its community electrification
schedule with that of the communications
programme.
Mr. Sargent: They can do all these things,
but they can't fix up Highway 10.
Hon. Mr. Kerr: They have got to get a
good member in there.
Interjection by an hon. member.
Hon. Mr. Kerr: Mr. Speaker, two major
development proposals for northwestern
Ontario—
Hon. Mr. Stewart: Just wait until Harvey
Davis gets in there.
Hon. Mr. Kerr: —will create 3,000 new
jobs over the next four years.
Interjections by hon. members.
Hon. Mr. Kerr: The expansion plans an-
noimced by the Great Lakes Paper Co, in
Thunder Bay and the Anglo-Canadian Pulp
and Paper Co, in Dryden—
APRIL 8, 1974
970
Mr. Sargent: It had better be in the bud-
get tomorrow or else the government will
be in trouble.
Hon. Mr. Kerr: —constitute an investment
of some $450 million over the same period.
Today's technology has opened a new
path for the future use of nuclear energy
and its attendant dependence on uranium.
Ontario policy for future uranium explora-
tion and use was tabled in the House just
in recent weeks. In this area also, fully
recognizing the importance of this resource,
we have taken a broad naticmal oudook. At
the same time, Ontario fully intends to en-
sure that the interests of the north and the
province as a whole are met.
Mr. Speaker, it is gratifying to learn that
the Conservation Coimcil of Ontario con-
siders that "public participation in pl&nning
major projects by the Ontario government
and its agencies has become the norm rather
than the exception."
Mr. Stokes: They still said the govern-
ment had a long way to go.
Hon. Mr. Kerr: Well, we are making head-
way.
This government has indicated, through
its establishment of the Solandt commission
and its intention to introduce legislation for
an environmental assessment agency, that it
welcomes public participation.
•Regarding the issue of decentralization,
the government has restructiued local gov-
ernment so that it can respond better to the
stresses of urbanization. Approximately 62
per cent of Ontario's population lives within
the boimdaries of a regional government,
with its greater capacity to plan and govern
their own ajffairs.
Mr. Deans: Those aren't the issues.
An Immi. member: Ask them how they like
it.
Hon. Mr. Kerr: As hon. members know,
the province has increased substantially its
unconditional grants to municipalities, and
we wait for tomorrow.
Also, contrary to the view that many of
the members opposite have, civil servants
are not all here at Queen's Park. The fact
is that civil servants are located throughout
the province in about the same proportion
as the population of Ontario. If any differ-
ence does exist, northern Ontario has a
slight edge. More public servants are located
there proportionately than in the rest of the
province. There is significant decentraliza-
tion-
Mr. Feniert Look how far they have to
travel.
Interjecti(H)8 by hon. memben.
Mr. Renwick: It's not a question of statis-
tics. The government uses statistics for its
own purposes.
Hon. Mr. Kerr: It's true; there is signi-
ficant decentralization of government expen-
diture programmes. School boards, hospital
boards, universities, children's aid societies
and conservation authorities receive the
largest share of the provincial budget. Local
decision-making really is the keystone of
such programmes.
Mr. Speaker, individuals seeking assistance
from government are not overlooked, and
programmes horn the Consumers' Byline to
the citizens' inquiry bureau are available to
the public— all designed to assist individuals
and to complement the work of a member
of the Legislature.
To touch briefly on one or two other areas,
as members are aware, Mr. Speaker, the
concerns of the government with regard to
health care and costs led to the establish-
ment of a health planning task force under
the chairmanship of Dr. Fraser Mustard
about two years ago. The report has now
been tabled and, following the incorporation
of recommendations of me Committee on
the Healing Arts and the McRuer report into
legisfetive proposals, the Health Disciplines
Act has also been introduced. This major
bill and the Mustard report will have a
strong impact on future delivery of health
care services.
Mr. Ruston: He's telling us!
Hon. Mr. Kerr: Income support pro-
grammes mentioned in this year's Throne
Speech, as well as a prescription drug plan,
will add to the benefits received by Ontario
senior citizens. Last year, a $100 pensioners'
tax credit was instituted. This benefit, to-
gether with the provincial property tax
credit and the sales tax credit, for which all
other citizens are eligible, will bring a
measure of relief to many of our older
citizens.
Mr. Deans: The words are a "measure
of relief."
Hon. Mr. Kerr: Well, what's a measure?
Mr. Deans: Yes, what's a measure?
Hon. Mr. Kerr: Mr. Speaker, the govern-
ment is moving and moving effectively in
the major areas covered by the Speech from
980
ONTARIO LEGISLATURE
the Throne, despite the criticism of some
members opposite.
Mr. Lawler: Did the minister write this
himself?
Hon. Mr. Kerr: It is interesting to watch
the almost desperate efiForts of some of the
members opposite to find evidence of failure
in these areas.
Mr. Deans: Evidence of desperate efforts.
Hon. Mr. Kerr: Sometimes it appears that
the members opposite are almost praying
for failure.
An hon. member: Well, of course we are.
Mr. Deans: "Praying for failure"— we don't
have to; this government fails consistently.
Mr. Lawlor: We are praying for it just a
little.
Hon. Mr. Kerr: Since the rebirth, really,
of the Leader of the Opposition and his frag-
mented ranks of the Liberal Party-
Mr. Renwick: I think that this is a par-
tisan speech.
Hon. Mr. Kerr: —he is sort of putting his
programme together \vith scissors and paste
from the latest editorials of the Globe and
Mail and the Toronto Star.
Hon. Mr. Grossman: Hold it a minute
while the opposition heckle each other.
Hon. Mr. Kerr: The cold hard fact of the
matter is that the Leader of the Opposition
and some members opposite—
An hon. member: Is this the windup?—
Interjections by hon. members.
Hon. Mr. Kerr: —are adrift in the sea of
political opportunism.
An hon. member: Great stuflF.
Hon. Mr. Kerr: They know full well that
no matter how much they may posture in
politics the real responsibility, for example,
for cooling the fires of inflation lies with the
Liberal government in Ottawa— and it has
been the same government that has held
power for the past decade.
Mr. Riddell: Who wrote this speech?
Shakespeare?
Hon. Mr. Kerr: And the member for
Scarborough West (Mr. Lewis) knows full
well that he could help to alleviate some
of the major economic problems facing this
province—
An hon. member: With his father's help.
Hon. Mr. Kerr: -and the nation by talk-
ing to his daddy and his friends in Ottawa—
Hon. Mr. Grossman: That's where he is
now, I guess.
Mr. Renwick: It has been what has saved
the country so far.
Hon. Mr. Kerr: -who sustained the pre-
sent federal administration no matter how it
might compromise party principles.
Mr. Ruston: I think the minister had
better start his windup speech.
Hon. Mr. Kerr: Mr. Speaker, the Speech
from the Throne provides a framework for
effective action by a government-
Mr. R. F. Nixon: Now we know why they
kept the Provincial Secretary for Resources
Development around here.
Hon. Mr. Kerr: -which has demonstrated
time and again that it is concerned about
people and their problems and has the de-
termination to solve them. I hope that as
legislation is introduced in many of these
areas in the weeks ahead this determination
will be clear enough even for my friends
opposite, it says here.
An hon. member: That's what it says
there.
Inte jections by hon. members.
Mr. Deans: I am glad he read the
decision.
Hon. Mr. Kerr: Mr. Speaker, I would urge
all members of the House to support the
motion moved by the hon. member for
Brantford (Mr. Beckett)-
Mr. R. F. Nixon: That was a weak one.
Hon. Mr. Kerr: -and seconded by the
hon. member for Timiskaming without
amendment.
Mr. Deans: The minister is embarrassed,
isn't he?
Mr. Speaker: The Throne debate now be-
ing concluded I shall call for the vote as
follows:
Mr. Beckett moves, seconded by Mr.
Havrot, that a himible address be presented
to the Honourable the Lieutenant Governor
as follows:
APRIL 8, 1974
981
To the Honourable W. Ross Macdonald,
PC, CD, QC, LLD, Lieutenant Governor
of Ontario;
May it please Your Honour:
We, Her Majesty's most dutiful and loyal
subjects of the legislative assembly of the
Province of Ontario now assembled, beg
leave to thank Your Honour for the gracious
speech Your Honour has addressed to us.
Mr. R. F. Nixon moves, seconded by Mr.
Breithaupt, that the following words be
added to the motion:
But this House condemns the government:
1. For its chaotic education policy which
has led to the inability of teachers and
school boards to reach a reasonable agree-
ment and resulted in the dislocation of our
education system.
Interjections by hon. members.
Mr. Speaker: Continuing:
2. For its failure to establish a prices
review committee of the Legislature which
together with a reduction in provincial
deficit spending would exert control on in-
flation;
3. For its inadequate land-use policy
which continues to permit the unreasonable
loss of farmland to government and private
development-
Interjections by hon. members.
Mr. Speaker: Continuing:
—and the unnatural inflationary pressures of
foreign land purchases without safeguarding
Canadian ownership and interest;
4. For its failure to establish planning
and land servicing programmes without
which serviced-lot costs have escalated
housing out of the financial reach of our
residents.
Mr. Lewis moves, seconded by Mr. Deans
that this government be further condemned
for its failure to institute satisfactory actions
in the following policy areas:
Inflation and the cost of living:
1. Failure to investigate increases in profits
to ensure no excess profit taking;
2. Failure to establish a price and profit
review tribunal with power to investigate
every aspect of price increases and take what-
ever action is necessary to ensure no unreason-
able increases or to have selected increases
rolled back;
3. Failure to establish a consumer protec-
tion code extending not only to marketplace
transactions and commodities but to the pro-
vision of services;
4. Failure to instittite a province-wide war-
ranty for home building standards;
5. Failure to institute a public automobile
iasurance programme.
Northern development:
1. Failure to establish economic growth in
northern Ontario based on the resource poten-
tial as a catalyst for secondary development;
2. Failure to establish northern economic
development in employment based on long-
term secondary growth as a No. 1 priority;
3. Failure to recognize the massive econ-
omic disparity between northern and southern
Ontario and the adverse effects of the two-
price system in this province, and failure to
take appropriate measures to bring about
equality.
Land use and urban growth:
1. Failure to move immediately to acquire
for the public sector sufficient land to meet
the projected housing needs over the next 20
years;
2. Failure to begin a house building pro-
gramme aimed at producing at least 250,000
homes, both private and public, within 18
months;
3. Failure to develop a land-use policy and
overall development plan to meet recreation
requirements in all areas of the province >vith
immediate emphasis on the "golden horse-
shoe" area:
4. Failure to establish rent review and con-
trol measures.
Employer-employee relations:
1. Failure to amend the Ontario Labour
Relations Act to meet the legitimate requests
of the Ontario Federation of Labour as con-
veyed to all members of the Legislature;
2. By allowing conditions of work and
wages for the hospital workers of Ontario to
deteriorate to a substandard level;
3. By creating a confrontation with teach-
ers in this province and then failing to re-
spond to the consequences of this action;
4. By inflicting compulsory arbitration on
Crown employees;
5. Failure to legislate against strike-
breaking and the use of firms and individuals
to disrupt orderly legal strikes.
ONTARIO LEGISLATURE
Income maintenance:
1. By failing to institute an income main-
tenance programme to meet the legitimate
needs of the elderly;
2. By failing to establish adequate income
levels for the disabled and other disadvan-
taged people of Ontario.
Health:
1. Failure to provide a sufBcient range of
institutional facilities to ensure adequate
health care at lowest costs;
2. By failing to institute a dental and
drug care programme;
3. By failing to take initiatives w^hich
would upgrade the value of preventive medi-
cine;
And, further, that the government shows
gross negligence in its refusal to tax the
resources industry of Ontario at a level which
would allow individuals and families in this
province to experience major relief from the
inequitable and oppressive system of taxa-
tion presently in effect.
We will first vote on the amendment to
the amendment moved by Mr. Lewis.
The House divided on the amendment to
the amendment by Mr. Lewis, which was
negatived on the following vote:
Ayes
Nays
Bounsall
Allan
Braithwaite
Auld
Breithaupt
Bullbrook
Beckett
Bennett
Burr
Clement
Campbell
Downer
Davison
Drea
Deans
Dymond
Ferrier
Eaton
Gaunt
Evans
Germa
Ewen
Givens
Gilbertson
Good
Grossman
Haggerty
Guindon
Laughren
Lawlor
Havrot
Henderson
Martel
Hodgson
Newman
(Victoria-Haliburton)
(Windsor- Walkerville) Irvine
Nixon Jessiman
(Brant) Kennedy
Paterson Kerr
Renwick MacBeth
Riddell Maeck
Ruston Mcllveen
Sargent McNeil
Singer Meen
Smith Miller
(Nipissing) Momingstar
Ayes
Nays
Spence
Morrow
Stokes
Newman
Worton
(Ontario South)
Young-30.
Nuttall
Parrott
Potter
Reilly
Rhodes
Rollins
Root
Rowe
Scrivener
Smith
(Simcoe East)
Smith
(Hamilton Mountain)
Snow
Stewart
Taylor
Timbrell
Villeneuve
Walker
Wardle
Welch
Wells
White
Winkler
Wiseman
Yaremko-54.
Mr. Speaker: Order, please.
Clerk of the House: Mr. Speaker, the
"ayes" are 30, the "nays" 54.
Mr. Speaker: I declare the amendment to
the amendment lost.
We will now vote on the amendment
moved by Mr. R. F. Nixon. Is it agreeable
that the same vote be accepted?
Agreed.
Mr. Speaker: I declare the amendment lost.
We will now vote on the motion moved by
Mr. Beckett. Will it be agreeable to take
the same vote in reverse?
Agreed.
Mr. Speaker: I declare the motion carried.
Resolved: That a humble address be
presented to the Honourable W. Ross
Macdonald, Lieutenant Governor of the
Province of Ontario:
May it please Your Honour: We, Her
Majesty's most dutiful and loyal subjects
of the legislative assembly of the Prov-
ince of Ontario, now assembled, beg leave
to thank Your Honour for the gracious
speech which Your Honour hath addressed
to us.
APRIL 8, 1974
083
Hon. Mr. Winkler: (Mr. Speaker, before
I move the adjournment of the House, to-
morrow, prior to the introduction of the
budget, we will-
Mr. Ren wick: The minister means today.
Hon. Mr. Winkler: Today, thank you. If
time permits we will deal with Bills 20 and
21.
Mr. Renwick: I'm glad to hear that.
Hon. Mr. Winkler: On Thursday, I will
also call further legislation.
The following week, on Tuesday, we will
give the Leader of the Opposition an op-
portunity to reply to the budget, and Thurs-
day of that week will l)e the date assigned
to the leader of the NOP.
Hon. Mr. Winkler moves the adjournment
of the House.
Motion agreed to.
The House adjourned at 12:45 o'clock.
984 ONTARIO LEGISLATURE
CONTENTS
Monday, AprU 8, 1974
Petrochemical complex, statement by Mr. Bennett 866
Private sewage systems, statement by Mr. W. Newman 867
Ontario Northland Transportation Conrmfiission, questions of Mr. Rhodes:
'Mr. R. F. Nixon, Mr. Lewis, Mr. Bullbrook, Mr. MacDonald 868
Deep well pollution, questions of Mr. W. Newman: Mr. R. F. Nixon 872
Lakeshore Psychiatric Hospital grants, questions of Mr. Miller: Mr. R. F. Nixon 873
Activity of Multi-Malls near Tillsonburg, questions of Mr. Rhodes: Mr. Lewis,
Mr. R. F. Nixon 873
Minaki Lodge, questions of Mr. Beimett: Mr. Lewis, Mr. Deans, Mr. Stokes i 874
Environmental impact of public works, questions of Mr. W. Newman: Mr. Lewis,
Mr. Cassidy 875
Housing programmes, questions of Mr. Handleman: Mr. Lewis, Mr. Sargent 875
Restructuring of Renfrew county, question of Mr. White: Mr. R. F. Nixon . 876
Housing in Windsor area, questions of Mr. Handleman: Mr. B. Newman, Mr. Deans,
Mr. Bounsall 877
Alleged sale of farmland to Japanese interests, questions of Mr. Stewart: Mr. Good 878
Establishment of councils in unorganized municipalities, questions of Mr. Irvine:
Mr. Stokes , 879
Guelph Correctional Centre, questions of Mr. Potter: Mr. Worton 879
Ambulance services, questions of Mr. Miller: Mr. Deans, Mr. Sargent 880
MTC rents for farmland, question of Mr. Stewart: Mr. Deacon 880
Therapy workshops pay rates, questions of Mr. Miller: Mr. Bounsall . ... 881
Motion re committee of supply, Mr. Winkler, agreed to 881
Wellington County Board of Education Act, bill respecting, Mr. Worton, first reading .. 881
City of Kitchener Act, bill respecting, Mr. Breithaupt, first reading , 881
City of Ottawa Act, bill respecting, Mr. Morrow, first reading 881
Savings and Investment Trusts Act, bill respecting, Mr. Morrow, first reading 882
Report, Ontario Securities Commission re Canada Development Corp., Mr. Clement .... 882
Resumption of the debate on the Speech from the Throne, Mrs. Campbell,
Mr. MacDonald ....> 883
Motion to adjourn debate, Mr. Grossman, agreed to 898
Rights of Labour Act, bill respecting, on second reading, Mr. Drea, Mr. Haggerty,
'Mr. Bounsall, Mr. Gilbertson, Mr. Reid, Mr. Gisbom 898
Conclusion of the debate on the Speech from the Throne, Mr. Riddell, Mr. R. G.
Hodgson, Mr. Haggerty, Mr. Stokes, Mr. B. Newman, Mr. Sargent, Mr. Deans,
Mr. Bullbrook, Mr. Kerr 910
Motion to adjourn, Mr. Winkler, agreed to 983
No. 23
Ontario
Hegisilature of (J^ntario
OFFICIAL REPORT — DAILY EDITION
Fourth Session of the Twenty-Ninth Legislature
Tuesday, April 9, 1974
Speaker: Honourable Allan Edward Renter
Clerk: Roderick Lewis, QC
THE QUEEN'S PRINTER
PARLIAMENT BUILDINGS, TORONTO
1974
Price per session, $10.00. Address, Clerk of the House, Parliament Bldgs., Toronto
CONTENTS
( Daily index of proceedings appears at back of this issue. )
987
LEGISLATIVE ASSEMBLY OF ONTARIO
The House met at 2 o'clock, p.m.
Prayers.
Mr. J. N. Allan (Haldimand-Norfolk):
Mr. Speaker, I would like the members to
welcome a group of 70 students from the
senior public school in Dunnville who are
sitting in th^ west gallery.
Mr. R. F. Nixon (Leader of the Opposi-
tion): Mr. Speaker, a group of students from
Waterford District High School are sitting
in the east gallery.
Mr. Speaker: Statements by the ministry.
SOLANDT COMMISSION REPORT
Hon. A. Grossman (Provincial Secretary
for Resources Development): Mr. Speaker,
on March 7, I tabled in the Legislature the
report of the Solandt commission which
dealt with transmission of power between
Nanticoke and Pickering. The recommen-
dations of the report are being considered
by the government, which intends to make
its decision shortly.
There has been ample opportunity for
public involvement on this 500- kv line
through the medium of approximately 45
public meetings held by the Solandt com-
mission and its consultant. Since the tabling
of the report, we have received further rep-
resentation from citizens who see them-
selves as most likely to be aflFected by the
line should Dr. Solandt's recommendations
be accepted.
This statement, therefore, is made to ad-
vise any others who may wish to respond
to the report to do so as soon as possible
before May 10, because of the importance of
proceeding with this project without too
much further delay.
Mr. Speaker: Oral questions. The hon.
Leader of the Opposition.
SOLANDT COMMISSION REPORT
Mr. R. F. Nixon: Thank you, Mr. Speaker,
I have a question of the Provincial Secre-
TuESDAY, April 9, 1974
tary for Resources Development further to
the statement he just made. Is the govern-
ment prepared to accept the Solandt recom-
mendation that properties for the Hydro
corridor will be expropriated without going
through the requirement for a hearing of
necessity as is necessary under the law of
the province? Is the minister prepared to
state government policy in that regard or is
he, on the other hand, prepared to give to
those citizens directly concerned the ri^ts
to have such a hearing of necessity?
Hon. Mr. Grossman: Mr. Speaker, the
whole purpose of setting the date of May 10
is to make sure that at a certain time we
will have whatever conceivable objections
some people may have who have not had the
opportunity or who felt they had not had
the opportunity to present their case, having
regard for what the final report of the
commission was. In the meantime, the
ministries involved have been asked to let
us have their views and within a short time
after May 10 we will take into consideration
all of those presentations which have been
made on the report of Dr. Solandt. We
don't guarantee that all of his recommen-
dations are going to be accepted. All we
are doing at this time is considering the re-
port and very shortly after May 10 the
policy of the government with respect to all
of his recommendations will be made known.
Mr. R. F. Nixon: A supplementary: I
would also like to ask the same minister if
he is prepared to order an environmental
study on the alignment of the so-called
Bradley-Georgetown Hydro corridor. Is he
avrare that the Minister of Diergy (Mr.
McKeough) has stated— at least, is reported
to have stated— in western Ontario mat if
there is suflBcient objections he, as minister,
is prepared to recommend an independent
environmental hearing? What constitutes
sufiicient objection since there have been
large meetings of farmers and interested
citizens involved, and I know that I and
others have received written objections to
the corridor as it is presendy outlined?
Hon. Mr. Grossman: Mr. Speaker, of
course the recommendations of my colleague,
the Minister of Energy, will be discussed and
988
ONTARIO LEGISLATURE
the House may rest assured that whatever
needs to be done will be done to make sure
that citizens are given whatever considera-
tion they feel should be given to their ob-
jections; these matters will be taken into
consideration. Even though, as the hon.
member, I am sure, appreciates, it's a very
diflRcult decision to arrive at, what I am
really saying is that we are going to have to
wait until we consider the whole matter of
the project, and whatever the Minister of
Energy is prepared to recommend to the
government will be taken into consideration.
I can't say anything further at this time
because it's all under consideration.
Mr. R. F. Nixon: A supplementary: Does
that simply mean the minister is going to do
what the Minister of Energy tells him or is
there, in fact, some area of overriding policy
involving the establishment of an environ-
mental assessment hearing because of the
substantial objections which have been com-
ing forward?
Hon. Mr. Grossman: I have said, Mr.
Speaker, that the government will take into
consideration, of course, the recommenda-
tions of the Minister of Energy; indeed, the
government as a whole takes into considera-
tion the representations of each and all of its
ministers. When the decision is made this
House will be advised.
Mr. E. R. Good (Waterloo North): A sup-
plementary.
Mr. Speaker: The hon. member for Water-
loo North.
Mr. Good: Thank you, Mr. Speaker. Would
the minister assure the House, in view of the
fact that the environmental studies on the
Bradley to Georgetown route were the in-
house variety done by Hydro itself, that at
least the Ministry of the Environment of his
own government would look at those en-
vironmental studies to assure the people
of Ontario that there has been some external
input, even though a commission of Dr.
Solandt's proportion is not going to be in-
volved in those studies?
Hon. Mr. Grossman: Mr. Speaker, the
Minister of the Environment (Mr. W. New-
man) is, of course, studying all those matters
to which the hon. member has referred.
Mr. Good: He has looked at them?
Interjection by an hon. member.
Mr. E. Sargent (Grey-Bruce): Still in
trouble on that.
(Hon. Mr. Grossman: I can advise the hon.
members, Mr. Speaker, that a statement on
this particular project will be made shortly.
PRIVATE SECTOR INVOLVEMENT
IN NUCLEAR POWER DEVELOPMENT
Mr. R. F. Nixon: I have another question
of the same minister. Still in the absence
of the Minister of Energy— but it is a matter
of policy so I think it is correctly directed—
can the minister report to the House the
status of the negotiations held so far in
secret between Ontario Hydro and the
private sector on the involvement of the
private sector in the development of the
equipment and capability for nuclfear elec-
tricity plants, both for installation here and
abroad?
Hon. Mr. Grossman: Mr. Speaker, that is
a question which should be properly directed
to my colleague, the Minister of Energy.
iMr. R. F. Nixon: A supplementary: Let
me just ask the minister if as a matter of
policy the government has decided, through
the policy board that he heads, to involve the
private sector in this area, or is this still
simply an exploratory series of conferences
seeing what the outcome might be? Has the
policy decision been made?
•Hon. Mr. Grossman: Mr. Speaker, that has
not yet reached the cabinet committee on re-
sources development.
Mr. R. F. Nixon: Will it ever?
Mr. Sargent: Mr. Speaker, a supplemen-
tary: Why then does the Toronto Star
report that secret negotiations are going on
between the consortium-
Mr. E. M. Havrot (Timiskaming): The
member doesn't believe that, does he?
Mr. Sargent: —Union Gas, Consumers' Gas,
GE, Westinghouse? Why does the Star say
that?
Hon. Mr. Grossman: Mr. Speaker, that
question should properly be directed to the
publishers of the Toronto Star.
Interjection by an hon. member.
HEALTH PLANNING TASK FORCE
REPORT
Mr. Speaker: The hon. Leader of the
Opposition.
APRIL 9. 1974
iMr. R. F. Nixon: I'd like to ask a ques-
tion of the Minister of Health. On his read-
ing of the Mustard report is he rejecting
the recommendation that comes from Dr.
Mustard and that committee that the im-
plementation of at least certain aspects not
be delayed, particularly the establishment
of what I believe are called district health
councils, a matter which Dr. Mustard puts
forward with some urgency? Does the
minister's statement that he is going to take
no action even to appoint a committee to
deal with this for four months mean that he
is rejecting the urgency of those matters put
forward?
Hon. F. S. Miller (Minister of Health):
Mr. Speaker, I don't think that we rejected
the urgency of those matters. The Ministry
of Health has for some time said that district
health planning councils were a vital part of
the decentralization of health care. There are
some issues involved in that programme
which we need to study within our ministry
before we make a public statement on the
issue.
We have one council functioning now.
It's functioning in the Ottawa-Carleton area
and we are observing it very carefully before
in fact further steps are made.
Mr. R. F. Nixon: A supplementary: Did
the minister indicate then that he is going
to take no further steps until the period of
four months has elapsed, at which time fur-
ther committee reviews will begin?
Hon. Mr. Miller: I think our statement
was very carefully worded to say that we
wanted to get the greatest degree of public
participation and response before in effect
we tried to decide whether the Mustard re-
port had offered the correct solutions to the
correct issues. Now, we are in fact setting
up mechanisms by which to monitor these
replies at once. We'll be collating them as
quickly as we can and I'm quite sure that
shortly we'll be able to give the member
some more information.
Mr. A. J. Roy (Ottawa East): May I ask
a supplementary, Mr. Speaker?
Mr. Speaker: I think we should alternate
the supplementaries.
Mr. J. E. Stokes (Thunder Bay): In view
of the minister's statement, does this mean
that all of the background work that has
been done concerning the formation of the
health council in northwestern Ontario will
be held in abeyance until the minister sees
the results of the only one in existence at
the present time— that is the one in Ottawa-
Carleton?
Hon. Mr. Miller: No, Mr. Speaker, I
wouldn't jump to that conclusion at this point
in time.
I think that there are a number of issues
in that report, some of them very conten-
tious, some not so contentious. A district
health planning council is a concept, as the
members know, that was not new. It didn't
suddenly arise within the report. The Min-
istry or Health has been encouraging dis-
cussion on and formation of these throughout
the Province of Ontario, but naturally we do
have the desire to see that they function
well, related to other governmental bodies.
Mr. Speaker: The hon. member for Ot-
tawa East.
Mr. Roy: Mr. Speaker, if I may ask a
question of the minister relevant to the
Mustard report and the Health Disciplines
Act. One of the suggestions in the Mustard
report was estabhshment of arrangements for
sharing tasks and delegation of responsibility
among the health personnel. This is one of
the recommendations of the report and in
view of the minister's statement that he
wants to get some public input for about
four months, does he still plan to proceed
with the Health Disciplines Act now in view
of this particidar recommendation about
sharing of responsibilities?
Hon. Mr. Miller: Yes, Mr. Speaker, we
do plan to proceed with the Health Discip-
lines Act now.
Mr. Roy: Isn't there a contradiction there?
Mr. Speaker: The hon. member for Ot-
tawa Centre. A supplementary.
Mr. M. Cassidy (Ottawa Centre): Thank
you, Mr. Speaker.
Mr. Roy: Could I ask my supplementary?
Mr. Speaker: Well, I really think we
should keep to the alternating programme.
Mr. Cassidy: As a supplementary, I just
want to ask the minister whether he was
aware that the formation of the health coun-
cil in Ottawa took two years because of
delays by the ministry, and does that mean
that the further formation of health councils
in the rest of the province will take another
two years, or is there more commitment than
that?
990
ONTARIO LEGISLATURE
Hon. Mr. Miller: I think it is safe to say
that concurrently with the work being done
in Ottawa, work was being done in other
areas, therefore we don't have a two-year
time lag for any of the other areas.
Mr. Speaker: The hon. Leader of the
Opposition.
OHC ADVERTISING
Mr. R. F. Nixon: I would like to ask
the Minister of Housing, further to the prov-
ince's advertising budget, to explain why
Ontario Housing Corp.'s display advertise-
ment for integrated community housing pro-
grammes appeared three times in today's
Star— exactly the same ad. Is he trying to use
up his budget, or what is the purpose of that
expenditure?
Mr. Roy: Has the minister got his name
on it?
Hon. S. B. Handleman (Minister of Hous-
ing): Mr. Speaker, I haven't seen today's
Star and I will check into it for the hon.
member.
Mr. R. F. Nixon: Once on page 8, twice on
page 2.
Hon. Mr. Handleman: I will look into it
and report back.
Mr. Speaker: Does the hon. Leader of the
Opposition have further questions? If not,
the hon. member for Scarborough West is
next.
ETOBICOKE HOUSING SUBDIVISION
Mr. S. Lewis (Scarborough West): May I
ask the Minister of Housing, Mr. Speaker-
he will know tbat die borough of Etobicoke
has approved a plan for subdivision which
permits the development of 302 single-family
dwellings on roughly 75 acres in the last
area of development land in Etobicoke—
Mr. R. F. Nixon: For $100,000 homes.
Mr. Lewis: Yes. Does the minister intend
to make any public comment? Does he in-
tend, in fact, to meet with the borough to
discuss with them whether the putting on
the market of 300 more homes whose costs
will be in excess of $100,000 each is con-
sistent with his priorities in the housing field?
Hon. Mr. Handleman: Mr. Speaker, I have
every intention of meeting not only with
the borough of Etobicoke, but all odier
boroughs in Metro or with Metro council to
discuss our housing programmes. From what
I have read of the particular subdivision that
the hon. member is raising at this point,
it appears to me to be a matter entirely
within the hands of the borough and the
developer.
Apparently there is a market for that type
of housing and developers are prepared to
satisfy that type of market.
Mr. R. F. Nixon: There is even a bigger
market for cheaper houses.
Hon. Mr. Handleman: I certainly don't be-
lieve that it fits into our progranmie, nor do
I beheve our programme includes the possi-
bility of building houses in that price plan.
Mr. Lewis: By way of supplementary,
given what surely must be the priorities in
the minister's programme— or so he has re-
vealed them occasionally to the House; the
alleged priorities— does he not think there is
an even greater demand for low- and middle-
income housing and that it would benefit
matters were he to meet specifically with the
elected council of Etobicoke and put to them
the government's position that low-density
housing can still be encompassed in this
acreage, but with homes at a significantly
reduced price, providing much more accom-
modation for a larger niunber of people who
might afford it? Does he not agree that his
plans are dealt a serious blow by this land of
development?
iHon. Mr. Handleman: I don't agree with
the latter, but on the other hand the hon.
member has outlined exactly what our hous-
ing action programme encompasses, which
is the building of low-cost housing for people
in low and moderate income ranges-
Mr. Stokes: Around $100,000.
Hon. Mr. Handleman: That is not our
programme. And it would seem to me that
the hon. member has given a much better
description of it than I can here in this
House.
Mr. R. F. Nixon: Supplementary: Is the
minister aware that those few lots that the
leader of the NDP is referring to may very
well be the only lots approved in the whole
of Metropolitan Toronto this year for single-
family dwellings and that you can't buy one
unless you can cough up $100,000 minimum;
and if you really want to go for the bundle
they have them also at $150,000?
Hon. Mr. Handleman: No, Mr. Speaker, I
am not aware that those are the only single-
APRIL 9, 1974
991
family lots that may be approved in Metro
this year. It is my understanding that Metro
council and the boroughs are working cm
accelerating certain plans of subdivisions.
\Mr. R. F. Nixon: There are only 12 lots
in the first quarter.
Mr. Speaker: The hon. member for Scar-
borough West.
(Mr. Lewis: Well, we will see whether the
government's speculative land tax this after-
noon will do what it wants it to do; and we
will watch it.
LAKE ERIE PUBLIC BEACHES
Mr. Lewis: May I ask the Minister of
Natural Resources, Mr. Speaker, what does
he intend to do now about retrieving any of
the beaches of Lake Erie for public access,
given the findings of the Supreme Court and
the decision which came down some time
ago? I think at the time the minister indi-
cated—and the former Provincial Secretary
for Resources Development indicated^that
he would want to think about it for a while
and then suggest a government approach.
Hon. L. Bemier (Minister of Natural Re-
sources): Well, Mr. Speaker, this matter will
be coming before the government for dis-
cussion. It has not at this present time.
Mr. Lewis: It has not been discussed as
yet.
Hon. Mr. Bemier: No.
Mr. Lewis: Is the minister—
'Mr. Speaker: The hon. member for
Welland South has a supplementary.
Mr. Lewis: I have one supplementary, if
I may. I wonder if the hon. minister is aware
that as a result of the Supreme Court de-
cision, between the Peace Bridge in Fort
Erie and Point Albino-
Mr. R. F. Nixon: Abino.
Mr. Lewis: Abino, I am sorry. To the
west there exists about 70,000 ft of Lake
Erie shoreline where the accessibility on a
per capita basis works out to about 1/100 of
an inch per person. That is what is now
available to the people of Ontario as a result
of that decision and the government's refusal
to amend the Beds of Navigable Waters Act.
Since it has now been reduced to the point
of absurdity, when does the minister think
he will have a policy to retrieve the public
beaches?
Interjections by hon. members.
Hon. Mr. Bemier: I am sure, Mr. Speaker,
when these matters come before the govem-
ment, all matters will be fuUy examined.
Mr. Speaker: The hon. member for Wel-
land South was up for a supplementary.
Mr. R. Haggerty (Welland South): Mr.
Speaker, I just wanted to know if the minis-
ter was going to bring in a bill to change in
the Navigable Waters Act the description of
Crown property along the lakeshore? This
govenmient has promised this, I believe, for
the last 25 years. When is the minister going
to get off his good intentions and do some-
thing?
Hon. Mr. Bemier: That is a federal Act
Mr. R. F. Nixon: The member for Welland
South has one before the House now.
Mr. J. E. Bullbrook (Samia): Does the
minister know he has got a committee study-
ing this? Does he realize that?
Mr. Speaker: Does the hon. member for
Scarborough West have further questions?
Mr. Haggerty: Just a secondl The Beds
of Navigable Waters Act is not a federal
Act. That's not a federal matter. It is in this
minister's ministry.
Mr. P. D. Lawlor (Lakeshore): The gov-
emment changed it in 1921.
Hon. Mr. Grossman: That is not what
the member for Welland South said.
Mr. Speaker: Does the hon. member for
Scarborough West have further questions?
Mr. Lewis: By way of supplementary, no
wonder there are no beaches left for public
use.
Mr. Speaker: Is that a supplementary
question?
Mr. Lewis: Yes, it is.
Mr. Speaker: I haven't detected it yet.
Interjections by hon. members.
Mr. Lewis: Is it any wonder that the
people of Ontario have no public beaches?
Mr. Speaker: Back to the question.
Mr. Lewis: Thank you.
992
ONTARIO LEGISLATURE
Interjections by hon. members.
Mr. Lewis: Is the minister aware that the
Beds of Navigable Waters Act falls within
his ministry for amendment?
Hod. Mr. Bemier: Yes, Mr. Speaker, I
am aware that that particular Act falls with-
in the provincial jurisdiction, but I understood
the member to say the Navigable Waters
Act.
Mr. R. F. Nixon: Beds of.
Mr. BuIIbrook: That is the Navigable
Waters Protection Act. He said the right Act.
Hon. Mr. Bemier: I am sorry, the Protec-
tion Act.
Mr. Speaker: I don't think any of the
hon. members said "supplementary". The
hon. member for Scarborough West.
COINCIDENTAL TIMING
OF HYDRO PROJECTS
(Mr. Lewis: If I may, I have a last ques-
tion, of the Premier. Has the Premier noted
that the decision on which the Amprior dam
has been based^the decision to go ahead on
the Amprior dam— was reached at exactly the
same period of time as the decision to build
the head oflBce building in downtown To-
ronto, as the decision on the original Hydro
Pickering-Nanticoke corridor, and as the
decision on the western Ontario transmission
corridbr, all of which decisions have sub-
sequently been open to criticism of this
Legislature, public repudiation or reversal by
the government? Does he not, therefore,
think that the decision on the Amprior dam
should also be open to an additional public
scmtiny since it involves some $80 million
of public funds?
Mr. E. J. Bounsall (Windsor West): That
was a bad month.
Hon. W. G. Davis (Premier): Mr. Speaker,
while I don't have any chronological order
of decisions or tentative decisions made by
Ontario Hydro, I question whether the hon.
member's mathematics o» dates are quite
accurate. I can only go back in memory.
The discussion initially of the proposed
Nanticoke to Pickering transmission line goes
back several years. It was discussed in terms
of a northern route, a route that really isn't
too dissimilar to the present Solandt recom-
mendation, which is consistent with the park-
way belt. If memory serves me correctly.
there was some discussion with respect to a
middle route.
I think it is fair to state, and I am not here
to defend Hydro, that to tr)- to relate all
of these four matters to anyparticular period
of time is just not correct. Tke discussion on
a Nanticoke to Pickering line goes-
Mr. Lewis: I think it is the last hurrah of
George Gathercole.
Hon. Mr. Davis: I just tell the member
the proposal from Hydro on the Pickering to
Nanticoke line goes back some considerable
period of time. I would also say, in fairness
to Hydro, that their suggestion as to the
alignment of the Pickering to Nanticoke line
certainly met with opposition. As I said in
the House the other day, while I think per-
sonally there are some areas that I much
prefer in the Solandt commission recom-
mendation because they are consistent with
the parkway, we would be ver\- foolish to
feel that everybody is going to be content
with that line.
I think to try and relate all of these in
any way is really somewhat inaccurate and
perhaps even inappropriate. I just can't trace
the same degree of chronolog)- that is being
suggested by the hon. member. It just
doesn't 6xist, I think. Quite frankly, I haven't
even looked at it.
Mr. R. F. Nixon: Supplementary: Since
there is another area of similarity-, that is,
that two of the major projects were entered
into without public, or adequate, public
tendering, perhaps the Premier would res-
pond with his experience in that regard and
indicate to the House whether or not he
feels that the Amprior situation should be at
least halted pending further tendering, if not
a full review of the whole situation?
Hon. Mr. Davis: Mr. Speaker, as I under-
stand it, and I'm not an expert in the Am-
prior contract, the first phase was negotiated
and the second phase has, in fact, been
tendered.
Mr. Cassidy: Supplementary, Mr. Speaker-
Mr. R. F. Nixon: But the Premier is aware
of the circumstances, that the company that
got the negotiated part also won the tender,
because they were the only one that had
any information?
Hon. Mr. Davis: Because they \%'ere $2
million low.
Mr. V. M. Singer (Downsview): But they
were on the spot with their work crew and
APRIL 9, 1974
993
their machinery; they could underbid every-
body.
Mr. Speaker: Order please. The hen. mem-
ber for Ottawa Centre.
Mr. Cassidy: A supplementary, Mr.
Speaker: In view of the fact that the Min-
ister of Energy has now reconsidered his
suppression of information and has released
the development engineering report on this
dam, and in view of the fact that that re-
port reveals that on Oct. 22, 1971, right
after the election. Hydro's public relations
people were meeting to determine how they
would manipulate public opinion to favour
the dam, will the Premier now reconsider
his refusal to have a public inquiry into
that project?
Hon. Mr. Davis: No, Mr. Speaker, I am
not going to reconsider. There has been
quite a bit of discussion here. The hon.
member for Ottawa and the islands has
contributed a great deal-
Mr. Singer: Ottawa and the islands? That
is a new riding.
Hon. Mr. Davis: I have to cover both
his constituencies— and, as I understand it,
he is going to be making some submissions
to the board related to the financial aspects,
at which time I'm sure he will have an op-
portunity to present his point of view. But
I see no purpose, Mr. Speaker, in having an
inquiry. I think the facts have been pre-
sented, the hon. member has had the ma-
terial, and I think that to have an inquiry
at this stage would serve no useful purpose
whatsoever.
Mr. Bounsall: Taken in by a rotten Hydro
decision again!
Mr. Speaker: Are these supplementaries?
Mr. Singer: No.
Mr. Roy: No.
Mr. Speaker: All right. The hon. member
for Scarborough West has not indicated he
is finished yet.
Mr. Roy: Yes, he is.
Mr. Speaker: Are there further questions?
All right. The ministry has the answers to
several questions asked previously, and I
think we should deal with them first. The
hon. Minister of Revenue has the answer to
a question asked previously.
Hon. A. K. Meen (Minister of Revenue):
Thank you, Mr. Speadcer.
Mr. Sargent: Tfanel
CORPORATION INCOME TAX PAID
BY OIL COMPANIES TO PROVINCE
Hon. Mr. Meen: Mr. Speaker, last Thurs-
day, the hon. member for Scarborough West
asked me a question regarding corporation
taxes paid by oil companies and the amount
of taxes paid. Specifically, his question was;
"How many of the major oil companies with
operations in the Province of Ontario paid
a provincial corporation income tax last year
. . . and in what amount?"
Perhaps I should say at the begiiming that
I don't yet have the figures for 1973, so the
closest year I can give anything for would
be 1972. However, may I go on?
As I indicated to the hon. member on
the day the question was asked, the secrecy
provision of the Corporations Tax Act, 1972,
as set out in section 166 of that Act, pre-
cludes communication of any specific inJFor-
mation obtained under the Act. And may I
quote section 166 for the benefit of the hon.
member for Scarborough West and for the
benefit of the hon. member for Samia, who
injected himself into that question?
Mr. Bullbrook: Did I really?
Hon. Mr. Meen: It states:
No person employed in the service of
Her Majesty shall communicate, or allow
to be communicated to any person not
legally entitled thereto, any information
obtained under this Act, or allow any such
person to inspect or have access to any
written statement furnished under this
Act.
Mr. Lawlor: It shouldn't apply to coriK)-
rations.
Hon. Mr. Meen: This restriction is similar
to one found in the personal Income Tax
Act. Such a restriction is necessary so that
individuals and corporations can submit oper-
ating statements in confidence to the author-
ities of my ministry without unnecessarily
jeopardizing their personal privacy or com-
petitive positions.
In view of these provisions, I must con-
firm the position I took last Thursday on
this matter and decline to provide to the
hon. member the particulars of corporation
tax paid in the Province of Ontario by major
oil companies here.
994
ONTARIO LEGISLATURE
Perhaps I might just go on and observe
that the petroleum industry coded in our
records as "extractive, refining, pipehne,
wholesale and retail," paid corporation tax in
Ontario in 1972 on an allocation-of-income
basis as provided for in the Act. This allo-
cation provision applies to companies having
operations in more than one province, and
allows for income allocation for tax pm--
poses to the province where the income arises.
Ontario's tax share involved a total of 1,361
corporations, with allocations to this province
ranging from a low of 18 per cent to a high
of 90 per cent.
Mr. Lewis: A supplementary.
Mr. Speaker: Yes.
Mr. Lewis: A supplementary, Mr. Speaker:
With respect, my question was completely
ignored, and I think deliberately. So I will
put to the ministry by way of supplementary
—and I have the Hansard in front of me—
which doesn't violate in any sense the Corpo-
rations Tax Act, as he has indicated.
I asked if he knows how many of the
major oil companies with operations in the
Province of Ontario paid a provincial corpo-
ration income tax last year. The minister
would not be revealing anything to give us
the names of the oil companies that paid a
corporation income tax in the last year for
which he has figures.
So, my supplementary is, will the minister
give us the names of those companies? Not
the amounts, but the names of those com-
panies?
I asked in further suppl'ementaries if, he
was unable to give us specific dollar figures,
if he would give us the total that the industry
paid? Again, this would not violate any of
the specifics indicated in the Corporation Tax
Act.
Hon. Mr. Meen: Mr. Speaker, it gets to be
a good question as to what is a major oil
company. We have 1,361 corporations in these
various categories.
Interjections by hon. members.
Hon. Mr. Meen: Now if they are talking
about retail sales-
Mr. Lewis: Come on; enough of this.
Mr. I. Deans (Went worth): Why doesn't
the minister try-
Mr. J. F. Foulds (Port Arthur): We will
settle for the top seven.
Hon. Mr. Meen: I can certainly name on
the fingers of one hand, plus one or two, the
major oil companies; okay?
Mr. Lewis: Fine; tell us.
Hon. Mr. Meen: I am not prepared to tell
the member what they paid; I am not pre-
pared to tell him what the total was, be-
Mr. Lewis: I got that.
Mr. Bullbrook: He knows that.
Mr. Deans: Why?
Hon. Mr. Meen: All the member would
need to do would be to look at their retail
sales and apportion matters accordingly; I
am not in a position to depart from the
confidence, imposed in my ministry.
Mr. Lewis: Supplementary, Mr. Speaker:
Just how long do these apologists and de-
fenders of the oil companies get away with
it in this House?
Mr. Havrot: Quit grandstanding.
Mr. Lewis: Why does the minister deny
public information that is clearly ours to
have; collectively ours to have? Why can
we not know which of those oil companies
pay tax?
Incidentally, Mr, Speaker, the Province of
Quebec-
Interjection by an hon. member.
Mr. Lewis: All right; on a point of privilege,
let me say that the Province of Quebec re-
leased this information publicly, which as a
matter of fact is why I asked the question. If
it can be done in the Province of Quebec,
by way of an answer to a question, why can
the minister not do it in Ontario; and how
would it impair the oil companies were he
to tell us their total revenue? How long can
the minister be the bond-holder of the oil
companies?
Mr. Speaker: Order.
An hon. member: All we have to do is put
the-
Mr. Lewis: Well, will we get the informa-
tion? Will the minister give us the infonna-
tion?
Mr. Speaker: I think we should finish deal-
ing with this one first.
Mr. Lewis: Will the minister give us the
information? Will he tell us which oil com-
panies paid a corporation income tax?
APRIL 9, 1974
996
Hon. Mr. Meeo: I can look into the matter
of what corporations have paid corporation
income tax.
Mr. Lewis: What does he mean, "what
corporations"?
Hon. Mr. Meen: What oil companies have
paid corporation tax.
Mr. Roy: Don't strain.
Mr. Speaker: The hon. Minister of the
Environment has the answer to a question
asked previously, two questions in fact.
DEEP WELL POLLUTION
Hon. W. Newman (Minister of the Environ-
ment): Mr. Speaker, a question was asked by
the hon. Leader of the Opposition concern-
ing a report to which he made reference.
Mr. Sargent: The minister must have a
speech writer.
Hon. W. Newman: There was really no
report on private well contamination in Innis^
fil township, Mr. Speaker. I would like to
point out that responsibility for private water
supply rests with the local MOH. My minis-
try has assisted the local medical officer of
health by gathering water quality data in
the area and has made the information avail-
able for action and release by the medical
officer of health.
Mr. Speaker, there has been a problem in
this area for some time involving both private
water suppHes and private waste oisposal
systems. In recognition of this problem, the
Simcoe county district health unit of the
township of Innisfil designated a special policy
area in which buildings and private waste
disposal facilities were brought imder strict
regulations.
The ministry is aw^re of the general con-
ditions that gave rise to the imposition of
these restrictions and has retained a firm of
consulting engineers from Collingvwod to
prepare a conceptual brief and preliminary
report on the various methods of providing
water and sewer services to all or parts of
the problem area. This report is now imder
preparation. The ministry will continue to
work with the township and the local medi-
cal officer of health to help solve the prob-
lems in this area.
Mr. R. F. Nixon: Supplementary: Does the
report indicate that 60 to 80 per cent of the
wells are contaminated, depending upon the
area of the tovmship concerned?
Hon. W. Newman: We just collect the
data, we don't have a specific report. I don't
know of the report that is referred to, but
there is a problem whidi we are working on
with them.
Mr. Speaker: The bon. minister has—sup*
plementary? There are several more answers
from the ministry; the hon. member for Kent
(Mr. Spence) will be first when we are fin-
ished with them.
Mr. T. P. Reid (Rainv River): He has been
saving them up for a Icmg time.
Mr. Roy: We waste a lot of time with all
those statements.
Mr. Sargent: Why doesn't the minister re-
hearse those things? Why doesn't he give
direct answers at the time the questions are
asked?
Mr. Roy: Why doesn't he give us a direct
answer?
ENVIRONMENTAL IMPACT OF
PUBLIC WORKS
Hon. W. Newman: Mr. Speaker, I have the
answer to questions directed to me yesterday
by the hon. members for Scarborough West
and Ottawa Centre.
The hon. member for Scarborough West
asked if I would table the inquiry officer's
report on the Ontario Hydro appHcation of
Jan. 23 for approval to expropriate property
in the area of the Amprior dam project for
the relocation of the CPR line; and whether
I had turned the inquiry officer's reports over
to the Attorney General (Mr. Welch).
Mr. Speaker, it is not the practice of this
ministry, when acting as approving authori-
ties imder the Expropriations Act, to make
public the report or inquiry officers. The
signed inquiry officer's report to which the
hon. member refers was received in my office
April 2. This report is now being considered
and it is my intention to make a decision
within the QO-day period allowed under the
Expropriations Act.
When the decision has been made, a^ies
of it— together with my reasons— will be sent
to the parties of the hearing and to the chief
inquiry officer, the Assistant Deputy Attorney
General. It is not the practice to forward Ae
report of the inquiry officer to the Attorney
General.
The hon. member for Ottawa Centre-
Mr. Singer: Mr. Speaker, may I ask a sup-
plementary to that?
ONTARIO LEGISLATURE
Mr. Speaker: Is this the same question?
Hon. W. Newman: Mr. Speaker, there was
a supplementary, and Tm going to answer
the supplementary at the same time.
Mr. Speaker: A supplementary to the origi-
nal question?
Hon. W. Newman: Yes.
Mr. Speaker: I think the minister should
oomplete his reply, if the hon. member for
Scarljorough West does not want the first
supplementary.
Hon. W. Newman: The hon. member for
Ottawa Centre asked if I was aware of fur-
ther applications for approval to expropriate
in relation to this project. I have not yet
received further applications. I understand
that an application will be made shortly by
Ontario Hydro covering several parcels of
land, parts or all of which may be aflFected
by the project.
At the time an expropriation authority
makes an application to an approving author-
ity under the Expropriations Act, all the
registered owners ^ected by the application
are given notice and notice to the public is
published through the local newspapers.
Mr. Speaker: The hon. member for Dovms-
view.
Mr. Singer: Could the minister explain
how long it took for the usual practice not
to make the reports of the inquiry oilBce
available, how many inquiry officers' reports
has he received, how many has he been asked
for, and is this not the first one he has re-
fused to release?
Hon. W. Newman: I believe, since I took
over this ministry, this is the first one I've
received.
Mr. Singer: Yes. And to the minister's
knowledge has his department received any
other?
Hon. W. Newman: Oh, I expect that they
have over a period of time.
Mr. Singer: When did the practice grow up
and did he find any foundation for it in the
statute? I'll tell the minister there isn't any.
It wasn't the intention of those who had
something to do with the statute that that
should be a secret report.
Mr. Lewis: Well, it's not secret if he puts
it out.
Mr. Singer: He doesn't. He puts the de-
cision out.
Mr. Cassidy: A supplementary, Mr.
Speaker.
Mr. Speaker: A supplementary.
Mr. Cassidy: Would the minister confirm
that the inquiry oflBcer's report, in at least
one of those cases, was critical of the amount
of land that Hydro wished to take? And, if
so, will he then explain whether we will have
full disclosure of the contents of that inquiry
report whether or not the actual report is
tabled?
Hon. W. Newman: When I make my
report I will give my reasons.
Mr. Lewis; A supplementary: The minister
is surely not saying that he would deny a
copy of the inquiry officer's report to the
citizens whose land is being expropriated by
Hydro?
Mr. Singer: That's exactly what he said.
That's exactly what he said.
Mr. Lewis: I mean, I can see him saying
to us in the Legislature, "I'll not give it to
you until I've released it to them"— but he's
not going to deny them a copy of the report
of the authority before whom they appeared,
surely?
Mr. Singer: That's exactly what he said.
Mr. Lewis: The minister is getting himself
into incredibly deep water.
Mr. Singer: It is a practice just established
this afternoon.
Hon. W. Newman: This first and foremost
report got on my desk yesterday, and I
haven't had a chance to study it in detail.
Mr. Singer: The minister doesn't want to
answer in detail.
Hon. W. Newman: The member got an
answer in detail. Yes, he did; and when I've
had a chance to look it over then I'll let him
know.
Mr. Singer: First he gives us the answer,
then he backs out.
Mr. Cassidy: What is the value of the day
in court that is being given to people of the
area when, in fact, the oflBcer before whom
they appear never publishes the report on
the basis of the inquiry? What use is the
day in court that they get? It's a kangaroo
court on that basis.
Mr. Roy: He doesn't want to answer, Mr.
Speaker.
APRIL 9, 1974
997
Mr. Speaker: There have been four supple-
mentaries. The Minister of Agriculture and
Food has the answer to a question asked
previously.
CROP INSURANCE
Hon. W. A. Stewart (Minister of Agricul-
ture and Food): Thank you, Mr. Speaker.
The member for Lanark (Mr. Wiseman) asked
me a question concerning the dropping of
the final seeding dates from crop insurance
plans for Ontario. The answer is yes, the
commission has dropped the final seeding
dates because it is of the opinion that with
the inclusion of coverage for unseeded acres
in the spring crop lands— which is now in-
clusive in all plans this year, Mr. Speaker—
the date of the final seeding is best left to
each individual farmer. I think that makes
it much more uniform and, perhaps, it will
lead to better farm management than we've
had in the past with those specific dead-
lines.
Mr. Speaker: The hon. Minister of Housing
also has the answer to questions asked
previousl\-.
HOUSING PROGRAMMES
Hon. Mr. Handleman: Yes, Mr. Speaker,
on March 15 the member for Port Arthur
asked: "Can the minister tell the House if
OHC has alternative plans for providing
senior citizen housing in Thunder Bay due to
cancellation of the project at Fort Wil-
liam . . . ?"
In reply to the hon. member's question,
the OHC is presently negotiating for a num-
ber of cit>'-owned sites which are suitably
located for senior citizen housing. OHC is
also in the process of rezoning its own
Donald St. site and has appointed the archi-
tectural firm of Ranta and Tett to prepare
preliminary' drawings. It is anticipated that
about 70 units may be developed at that
location.
In addition OHC is interested in the Cum-
berland St. community housing project. Con-
struction has not yet commenced but OHC is
negotiating for a considerable percentage of
units in this 242-unit development for its
rent supplement project. I'm informed that
more than half the units will be suitable for
senior citizen housing.
Construction on the 121-unit senior citizen
building which was halted because of winter
weather is expected to resume in the near
future. A contract has been signed for 101
units on Rowan Ave. and the builder is now
on the site.
Mr. Speaker: The member for Kent is next
Mr. J. P. Spence (Kent): Mr. Speaker. I
have a question of the Minister of Housing.
Did the minister inform us yesterday that ^
o£Bcial plans of municipalities have been dealt
with since planning came under his depart-
ment? Is he considering restoring the power
to grant consent to those municipalities whose
plans have been approved by his department?
Hon. Mr. Handleman: Mr. Speaker, at the
present time the power to grant consents is
within the ministry. There is a programme
and a policy announcement to phase delega-
tion of that type of authority back to regions
and restructured counties. As far as I know
that programme is carrying on. However, it
is not anticipated that it would be referred
back to—
Mr. R. F. Nix(Hi: Nothing much has hap-
pened yet.
Hon. Mr. Handleman: —area municipalities
which are not either regional or reconstructed
counties.
Mr. Sargent: If a place isn't regional what
does it do?
Mr. Speaker: The hon. member for Otta\va
Centre is next.
FIRE INSURANCE FOR ROOMING
HOUSES
Mr. Cassidy: Thank you, Mr. Speaker, I
have a question of the Minister of Consumer
and Commercial Relations.
An hon. member: That's just the beginning.
Mr. Cassidy: Has the minister examined the
fire insurance payments to rooming house
owners, as in the case of fire damage or
destruction by recent fires in Ottawa and
in Toronto, and is the minister prepared to
consider legislation which would deny insur-
ance coverage to any rooming house operator
whose unit violated municipal bylaws or
housing standards in order to stop the kind
of destructive situation and loss of life which
we've been experiencing in Ottawa and in
Toronto?
Hon. J. T. Clement (Minister of Consumer
and Conunercial Relations): Mr. Speaker, I
am not aware at this moment whether die
998
ONTARIO LEGISLATURE
superintendent's oflBce has in fact looked into
the matters touched upon by the member for
Ottawa Centre. I will, however, look into it
by inquiry and find out if that is the case
and get back to him.
With reference to the second portion of
the question, no, I have not considered that;
I have not heard it advanced. I would feel
it might well not serve the purpose for which
it was intended in that it may be extremely
discriminatory against a certain class of per-
son who can be prosecuted under other ave-
nues of the law for breaches of any particular
statutes.
Mr. Speaker: The hon. member for Huron
is next.
FARMERS' CONCERNS OVER LOCATION
OF NUCLEAR PLANT
Mr. J. Riddel! (Huron): Thank you, Mr.
Speaker; a question of the Minister of Agri-
culture. Now that the Ontario Bean Producers
Marketing Board has met with him to express
its concern over the proposed nuclear power
plant in Huron, somewhere south of Goderich,
what steps does he intend to take to meet
the board's requests?
Hon. Mr. Stewart: First of all, Mr. Speaker,
there is no proposed nucltear power plant
south of Goderich. There are exploratory
considerations going on by Ontario Hydro
and I know that location has been suggested
but several sites have been imder considera-
tion. To my knowledge there is no site chosen
and to my knowledge there has been no
decision made whether it would be a nuclear
plant or a fossil-fuelled plant; no one has any
idea about that as yet.
Mr. Lewis: A supplementary.
Mr. Speaker: Did I hear the word supple-
mentary?
Mr. Lewis: A supplementary, yes. Why is
the minister playing that game with the
Legislature? He knows that Ontario Hydro
indiscreetly made the mistake of letting it be
known it is looking for a site in that im-
mediate area. Therefore is it not now legiti-
mate to indicate what he is going to do with
the groups of residents who are extremely
concerned about radioactive waste; about
Inverhuron Park happening elsewhere; and
about all of the things that are generated
when the government sets up a nuclear plant?
Why does the minister pretend it doesn't
exist when things are now proceeding, accord-
ing to Hydro?
Interjections by hon. members.
Hon. Mr. Stewart: Mr. Speaker, I am not
pretending they don't exist. Obviously a state-
ment had been made that there was con-
sideration being given. After meeting with
the people from Huron yesterday and with
the officials of Ontario Hydro, it was made
abundantly clear to us that there has been no
such decision. It is purely in an exploratory
state. Consideration is being given as to where
sufficient power would be developed that
would meet the requirements 10 to 15 years
hence. There is no positive statement at all'.
So I am not in any way misleading or play-
ing any games with the House. I am as much
concerned as anyone would be with any ill
effects-
Mr. Lewis: Yes, serious consideration.
Mr. Stokes: Does the minister support the
farmers?
Hon. Mr. Stewart: —that might emanate
from any such generating station, whatever
the type might be. But until there is some
indication that there is going to be such a
plant, then I think it is presumptuous that
there will be, as was indicated in the question
of my friend from Huron. We are concerned,
and I can assure members that our ministry
will be having major inputs into any decisions
that are being made regarding any possible ill
effects that would emanate to the farm com-
munity from such a plan.
Mr. Bounsall: Supplementary.
Mr. Speaker: There are only three minutes
remaining, I think perhaps we should restrict
the supplementaries. In any event, the hon.
member for Port Arthur is next.
LAKE SUPERIOR OUTFLOWS
Mr. Foulds: I have a question, Mr. Speaker,
of the Minister of the Envirormient. Has the
minister been notified yet by the federal gov-
ernment of this country and that an agree-
ment in principle has been reached between
Canada and the United States regarding the
regulation of outflows from Lake Superior?
What has his response been to that contract?
Hon. W. Newman: I am sorry, I didn't hear
the first part of that question.
Mr. Foulds: Is the minister aware, and has
the federal government through the Depart-
APRIL 9, 1974
see
ment of External AfiFairs, made representation
to him that an ageement in principle has
been reached between Canada and the US
through the IJC regarding Lake Superior out-
flow of water. What is his response to it?
Hon. W. Newman: My response is that at
the federal-provincial conference in Ottawa I
asked the federal minister to bring this matter
up and to deal with the matter.
Mr. Foulds: A supplementary, Mr. Speaker;
Is the minister not aware that the attorneys
for both sides last week on April 2 in Wash-
ington announced this agreement in principle
and said that they were awaiting confirmation
from Ontario? I think the minister owes it to
the Province of Ontario to let this Legislature
know what Ontario's stand is on the question.
Mr. F. Laughren (Nickel Belt): He doesn't
exhibit a new awareness.
Hon. W. Newman: I am certainly aware of
the outflow of all the lakes. I will be glad
to bring the member more detailed informa-
tion on this particular item tomorrow.
Mr. Foulds: A final supplementary-
Mr. Speaker: I think we should accept that
as a reasonable number in view of the fact
that time is iust about up.
The hon. member for Downsview.
Mr. Singer: Mr. Speaker, I have a ques-
tion-
Interjections by hon. members.
Mr. Speaker: I am sorry, but I did recog-
nize the hon. member for Downsview. I
think the entire second row of the Liberal
Party was up simultaneously. So the hon.
member for Downsview has the floor.
Interjections by hon. members.
LAND TITLES OFFICE
Mr. Singer: Mr. Speaker, I have a ques-
tion of the Minister of Consumer and Com-
mercial Relations. Has he yet had a chance
to look into the situation at the land tides
oflBce at Toronto, which I discussed with him
a few days ago? Can he tell me if any steps
are being taken to add to the staff and to
make more eflBcient the operation in that
oflBce, the present situation being that com-
plete chaos exists, particularly on the last
working day of each month and the first
working day of each successive month?
Hon. Mr. aeroenti Yet, Mr. SpedoBr, I
caused an inquiry to be made ag a remit of
the member's question directed to me a week
or 10 days ago. I was advised that the de-
mand on that particular facility at the end
of March was indeed particularly heavy, and
in the experience of the staff^ at that particu-
lar land titles office it was unduly onerous in
terms of past experience.
As the hon. member knows, reeistratioos
are up, I believe somewhere arounolS to 17
per cent. The director of titles had, prior to
my inquiry, made arrangements for aaditional
stafi^ in the persons of summer students. They
have had a programme of summer students
for a number of years but they are increasing
it. I have certain other alternatives that I am
considering at the present time in an eflFort to
alleviate it.
I should point out that this is not the only
facility in the province which has been
strained in this fashion, particularly on diose
popular closing dates— the 15th, 1st, or end
of a particular month.
Mr. Singer: By way of supplementary-
Mr. Speaker: The time for oral questions
has now been exhausted.
Mr. Roy: Mr. Speaker, could I make a
motion to extend it 15 minutes?
Some hon. members: No, no.
Mr. Speaker: Petitions.
Interjections by hon. members.
Mr. Speaker: Order.
Mr. Roy: They are afraid to; that's why.
Mr. Speaker: Order.
Mr. M. Shulman (High Park): Let the mem-
ber for Ottawa East ask for unanimous con-
sent.
Mr. Roy: Yes, I have asked for unanimous
consent.
Interjections by hon. members.
Mr. Speaker: Presenting reports.
Mr. Reid from the standing public accounts
committee presented the committee's report
which was read as follows and adopted:
Your committee recommends that it be
provided with a copy of the Provincial Audi-
tor's report (m the Ontario Northland Trans-
portation Commission and Star Transfer Ltd.
tor the year ending Dec. 31, 1973, concur-
rently with copies of the same being pro-
lOOO
ONTARIO LEGISLATURE
vided to the commission and the Ministry
of Transportation and Communications.
ryour committee further recommends that
the chairman of the Ontario Northland Trans-
portation Commission furnish the committee
with a copy of the internal audit reports
completed by the staff of the internal audit
branch of the Ministry of Transportation and
Communications during 1973 for the Ontario
Northland Transportation Commission and
Star Transfer Ltd. within two weeks of this
date.
Mr. Speaker: Motions.
Mr. Roy: Mr. Speaker, I would hke to
move a motion to extend the question period
by 15 minutes.
Mr. Speaker: I believe it is reserved for
the ministry. I am sorry.
Mr. Shulman: He is allowed to ask for
unanimous consent.
Hon. Mr. Winkler moves that the esti-
mates of the following ministries be referred
to the standing administration of justice com-
mittee: the Ministry of the Provincial Secre-
tary for Justice, the Ministry of the Attorney
General, and the Ministry of the Solicitor
General.
Mr. Bullbrook: Prior to that particular
motion I would like to ask a question of the
government leader,
Mr. Speaker: Did the motion carry? The
member wishes to speak to the motloil?
Mr. Bullbrook: I'd like to speak to the
matter by way of a question. I am wondering
if the House leader could explain why he
hasn't put on Consumer and Commercial
Relations and referred them to the standing
committee on justice? It would seem to me
that the main thrust of that particular oper-
ation does deal in the justice field, especially
in connection with the operation of the land
registry offices now.
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): That is correct,
Mr. Speaker. The ministries not mentioned in
the motion will be heard in the House. I
wotdd like to inform the House too that the
Provincial Secretary for Justice (Mr. Welch)
is ready to be heard.
Motion agreed to.
Mr. Roy: Could I move my motion, Mr.
Speaker?
Mr. Speaker: No. I have explained to the
hon. member that the motions under this
routine proceeding are reserved for the gov-
ernment.
Mr. Roy: Just for the government?
Mr. Speaker: Yes.
Mr. Roy: But if I had the unanimous
consent of the House to move this motion—
Hon. Mr. Davis: There is no tele\'ision
here.
Mr. R. F. Nixon: Do you deny unanimous
consent, Mr. Speaker?
Mr. Speaker: There is no way that the
hon. member could do this at this point in
time.
Mr. Roy: You are protecting these guys,
Mr. Speaker.
Mr. Speaker: I am following the rules of
the House— the standing orders which have
been agreed upon.
Mr. Shulman: Mr. Speaker, on a point
of order, sir, at the end of the question
period surely the member was perfectly
proper to ask for unanimous consent to
extend it for 15 minutes? You should put
that to the House.
Mr. Speaker: Well, there were objections.
Certainly the hon. member-
Mr. Shulman: You never put it.
Mr. Speaker: I heard objections when it
was suggested.
Hon. Mr. Grossman: You sure did.
Mr. Speaker: I heard objections which
indicates to me that there would not be
unanimous consent, so why waste the time
of the House?
Mr. R. F. Nixon: They wouldn't withhold
unanimous consent surely? They just impede
democracy.
Hon. Mr. Grossman: We just did.
Mr. Roy: All those against it stand up.
Mr. Speaker: Introduction of bills.
Orders of the day.
FARM PRODUCTS GRADES AND
SALES ACT
Hon. Mr. Stewart moves second reading
of Bill 20, An Act to amend the Farm
Products Grades and Sales Act.
APRIL 9, 1974
1001
Mr. M. Gaunt (Huron-Bruce): Thank you,
Mr. Speaker. I don't have many comments
with respect to this bill; we support it. It
does have a number of principles in it.
The first part of the bill has to do with
revoking the power to make regulations
with respect to the licensing procedures and
in its stead it provides for the various criteria
to be set out in the bill itself in regard to
licensing. On this side of the House we have
long felt that many of these bills should be
more explicit; many of them should deal in
more precise terms with what exactly is
intended and, further, the powers in a bill
should be contained in the bill rather than
in the regulations.
Many of the powers given in statutes and
bills we pass through this Legislatiire are
expanded and, in some cases, negated to an
extent by the regulations. We really have
no power in making those regulations al-
though we have a regulations committee
which, I believe, reviews the regulations
from time to time.
I don't mind shouting, Mr. Speaker, but—
Mr. Speaker: Would the Legislature come
to order please? The hon. member for Huron-
Bruce has the floor and we would like to
hear what he has to say on the second read-
ing of Bill 20.
Mr. Gaunt: Okay, I will talk to the minis-
ter (Mr. Stewart); I am sure he can hear me.
In any case we welcome that particular
change in the bill. The power to make regu-
lations is still inherent under the terms of the
bill with respect to issuing, or renewing I
should say, licences and their suspension and
so on, and the conditions involved in fixing
fees and so on, and the conditions involved
in fixing fees and so on. That is still done
by regulation. The prescribing of forms and
providing for their use is still done by regu-
lation.
The point is, there is a step forward in this
bill to accommodate, I think, what we have
long said on this side of the House, that more
power should be set out in the bill rather
than by regulation. This bill does precisely
that with respect to licensing, or most of the
licensing procedures.
The second thing this bill does is to make
provision for a produce licence review board.
That concept is something with which we
agree and I think we can certainly support
that principle.
The other thing that strikes me about the
bill is that it establishes a Produce Arbitration
Board to arbitrate disputes arising out of
contracts, such as when a company contracts
with a fanner and part of the terms or all of
the terms of that contract are breached for
one reason or the other. I gather that under
the terms of this bill, given those circum-
stances, the farmer can now appeal to the
Produce Arbitration Board to arbitrate the dis-
pute between the fanner and the company.
If, in fact, the terms of the contract have
been breached the Produce Arbitration Board
has the power to indicate to the company that
it will have to follow through on tfie terms
of the commissions and the terms of the
contract which it undertook with the farmer.
There is an appeal to the courts from the
award of the board.
There are really three forms of appeal in
this particular bill with respect to licensing.
The director has a form of appeal, in that he
can review the matter again; so that really
is a form of appeal. Then it can go to the
appeal board and thence to the Supreme
Court, as I understand it. So there are three
levels of appeal. If a person feels that he has
been harshly dealt with, or if he has been
aggrieved in any way, shape or form, he has
that option open to him in the issuing of a
licence.
I think that's all I have to say about the
bill. We feel that it's basically a housekeeping
bill, although it does make a number of new
provisions, such as the removal of the regu-
lations with respect to licensing and the crea-
tion of the Produce Arbitration Board and
the Produce Licence Review Board. These are
things with which we agree and we support
the biU.
Just before I close, I would like to get the
interpretation of the minister with respect to
this Produce Arbitration Board. I hope that
my interpretation of its function is cOTrect,
because we have had a niunber of cases
where farmers have felt that a company has
actually reneged on the terms of an agree-
ment and they have had no legal recourse.
Under the terms of this bill, I would pre-
sume that they would have recourse to that
board.
Mr. Speaker: The hon. member for River-
dale.
Mr. J. A. Renwick (Riverdalte): As my
friend, the member for Huron-Bruce, has said,
there appear to be a number of points that
are covered in the bill. I take it that, for
practical purposes, there are three principles
to the bill.
The first one is to provide for the marking
of motor vehicles which transport farm prod-
1002
ONTARIO LEGISLATURE
uce and to provide for a system of markers
that will be issued as well to prohibiting any-
body from transporting farm produce unless
there is a marker on the vehicle.
I take the second principle of the bill to be
to incorporate in the Act the present provi-
sions which are set out in the Revised Regu-
lations of Ontario, No. 289, with respect to
licences. The Act, as I understand it, as and
when it is passed, will provide for three types
of licences— a licence as a dealer, a licence
as an operator of a controlled-atmosphere
storage plant and a licence as a packer of
controlled-atmosphere fruit.
I would like to have the minister's assur-
ance that there will be no other types of licen-
ces issued by way of regulation, because if
such licences were issued by way of regula-
tion, the licensees would not appear to have
the benefit of the provisions incorporated in
the Act with respect to the Produce Licence
Review Board.
A cursory review of the regulations in the
Revised Regulations of Ontario, No. 289 and
following under this Act, wouM indicate that
at the present time all of the licences which
are provided for by regulation are now being
transferred into the Act, and in addition a
licence is now being provided for a dealer in
farm produce.
It seems to me to be very important to
be clear that while the wording of the Act
will permit regulations to be passed with
respect to other forms of licences, the inten-
tion of the Act appears to be that provision
for any new licences to be issued for dif-
ferent categories will come by way of amend-
ment to the Act and will not be done by way
of regulation, so that any licensee under this
Act will have the benefit of the provisions of
the Produce Licence Review Board if there is
a refusal to issue, or if there's revocation or a
suspension or a failure to renew a licence. I
take that to be the scheme that the minister
proposes under the Act.
The third item is, as my friend, the mem-
ber for Huron-Bruce has pointed out, a pro-
vision for a Produce Arbitration Board so that
any dispute imder any contract between a
licensee and a producer of farm products will
automatically be subject to arbitration under
the Arbitrations Act, with the additional pro-
vision, as is clearly stated, that there would
be an appeal from the decision of the arbi-
trator to a judge of the Supreme Court and,
if necessary, to the Court of Appeal.
I take it that the evil sought to be cured
is the situation in which disputes either rankle
and go unresolved between a licensee and a
producer of farm products, or in which they
have to have direct recourse to the courts
in order to get the matter settled, which un-
doubtedly is an expensive procedure.
I am curious as to whether or not the min-
ister believes the arbitration provision will,
in fact, be substantially cheaper for the par-
ties to it than the normal court process. I
interpolate that it would appear the minister
is satisfied there has to be some different
intermediary step for the settlement of dis-
putes between producers of farm products
and licence holders rather than having them,
as I say, either rankle without going to the
courts and remain unresolved, or requirinc
the parties to them to take the contractual
dispute to the coiui:.
Tt would appear to me that the provisions
which are set out in the bill covering these
three principles— that is the incorporation into
the Act of the provisions with respect to the
issuance of the three types of hcences; the
provision with respect to the Produce Arbi-
tration Board— are well merited and the bill
would have our support.
I am curious that the Produce Licence
Review Board is to consist of not fewer than
three people and that none of them is to be
a member of the public service in the employ
of the Ministry of Agriculture and Food. My
curiosity asks why should it be necessary to
have any member of the public service sit-
ting on the Produce Licence Review Board,
whether that person be in the employ of the
Ministry of Agricidture and Food or any
other branch of the public service.
I also note it is specifically provided in the
Produce Arbitration Board's constitution that
it's to be made up of one dealer and one
producer of farm products. Presumably, the
one dealer would be able to represent the
other licensees — namely, the licensees who
would be the ones holding licences as oper-
ators of controlled-atmosphere storage plants
or licences as packers of fruit in controlled-
atmospheres— and that it would not be neces-
sary to provide specifically for that particular
type of interest to be represented on a Prod-
uce Arbitration Board set up to arbitrate a
dispute with respect to such a storage plant.
With those comments, it would appear to
us that the bill merits the support of this
party and we would so support it on second
reading. I do hope the minister will take the
time to answer the two or three questions
which I have raised during the course of my
remarks.
Mr. Speaker: The hon. member for Essex
South.
APRIL 9, 1974
1003
Mr. D. A. Paterson (Essex South): I hadn't
intended speaking on this piece of legislation
as I thougnt it looked quite acceptable to the
people in my area, but there are one or two
areas which have sort of whetted my imagi-
nation and I would like some clarification
from the minister.
It relates to section 2 and the principle
contained therein concerning issuing markers
for motor vehicles owned or leased by per-
sons licensed as dealers and prohibiting any
person from transporting the produce unless
there is a marker on the vehicle. As I recall
from my days in the produce business, there
were numerous itinerant dealers with numer-
ous types of vehicles marked and unmarked,
and so forth.
I just wonder what effect this is going to
have on the transactions in the fruit and
vegetable industries. I assume it's not going
to affect in any way a recognized dealer who
is going to transport his produce to the
Ontario Food Terminal or elsewhere through
PCV carriers that he has engaged for many
years. I'm just curious to ask for a little
further explanation of this particular section.
There is one other area that bothers me,
since we are trained in the British sense of
justice, I know this is common in other bills,
but there is a clause here that the applicant
may or may not be granted a licence if there
is "reasonable ground for belief that the
business will not be carried on in accordance
with the law." This tends to bother me and
I realize that the minister and his oflBcials
have many years of experience in dealing
with people in the business, some of whom
have flouted laws of the province. No doubt
these are the matters that are taken into con-
sideration in this regard, but it still bothers
me as a Liberal to prejudge a person who
is going to enter into business as to whether
he will conduct his affairs ethically or other-
wise.
The other matter is in relation to the opera-
tors of controlled-atmosphere storage plants.
The owner or the operator of the controlled-
atmosphere storage plant must now hold a
licence as an operator and similarly he must
be a packer of controlled-atmosphere fruits,
according to what I read into this.
I realize, Mr. Speaker, there's a very special
onus on a person who has a CA facility in
that for long periods of time they do store
the produce of many other growers in the
area, so they are a special entity. I think this
is good that they have to be licensed to know
what they are doing for the protection of the
other growers whose produce they are hold-
ing in storage.
I just wonder if there is any other spedal
onus on these people in regard to liability
once the licence has been given to them. Is
this covered by insurance and so forth in
case of malpractice? I assume there would
be none if the person were so licensed.
My colleagues have commented on the
Produce Licence Review Board and the
Produce Arbitration Board, and I think set-
ting up these two boards is worthy. The only
proolem in this regard is that there are
numerous people in my area who are both
growers and dealers. I just wonder if they
are excluded from possioly being appointed
into the Produce Arbitration Board. As indi-
cated, they must be a holder of a licence as
a dealer and I assume that this would apply
to both grower-dealers and straight dealers.
I conclude with these few remarks, Mr.
Speaker.
Mr. Speaker: The hon. member for Kent.
Mr. J. P. Spence (Kent): The member for
Essex South has discussed the point that I
was going to bring up.
Mr. Speaker: Are there any other members
who wish to speak on Bill 20 before the
minister replies?
Hon. W. A. Stewart (Minister of Agricul-
tmre and Food): Mr. Speaker, I appreciate the
comments made by the hon. members oppo-
site with regard to the bill. The function of
the Produce Arbitration Board, if I may deal
with that one in general terms, is really to
try to resolve some of the points of argument
that can arise out of disputes over the sale
of produce without having to go through the
formal procedure of an application to the
courts. There is, of course, tne final right in
the bill to take the matter to the courts if
they wish to, but we felt that this would be
a somewhat more informal procedure and, as
my friend from Riverdale mentioned, we
think it will be perhaps less expensive to the
people involved. In some cases there are not—
Mr. Paterson: Mr. Speaker, might I ask
a question for clarification?
Hon. Mr. Stewart: Yes.
Mr. Paterson: Would this involve disputes
where, say, something is sent in on consign-
ment for sale and this type of argument may
exist between the grower and the consignee?
Hon. Mr. Stewart: Yes, it could, Mr.
Speaker, but we have envisaged that it might
be more applicable where a trucker goes
around the country buying potatoes, or
1004
ONTARIO LEGISLATURE
apples, or whatever it may be, and some sort
of a verbal agreement has been reached
in the past that either party may have mis-
understood in the rush of the hour at harvest
time and disputes arise. Sometimes there are
misunderstandings that, I think, may have
been honest misunderstandings. But I'm
afraid that, based on some of the evidence
that we have had brought to our attention
by the people involved in the trade, there
have been attempts made in some oases to
circumvent the terms of the agreement. So
this Produce Arbitration Board, which is
really a new approach, should work and, we
think, will help to resolve some of those
diflBculties.
As to the matter of markers on vehicles,
it's the same as now. It is required now that
there be markers on these vehicles and I
beheve that it does expedite the inspection
procedures to have the marker on the vehicle
indicating that that vehicle is one that carries
the particular produce in question.
Mr. Renwick: Is that presently in the regu-
lations?
Hon. Mr. Stewart: Yes, it's presently in the
regulations, so there is really nothing new
about it. It's just re-emphasizing it and re-
wording it.
Mr. Renwick: Thank you.
Hon. Mr. Stewart: There vdll be no other
types of licences issued other than those re-
ferred to in this bill, so that that matter
is cleared up. We felt if any other type of
licence is required to be issued by some
other type of the industry, then that will
necessitate an amendment to the Act.
Mr. Paterson: I would like a clarification
again, Mr. Speaker. May I ask if, in a pinch,
certain vehicles are not available and a
produce company leases a vehicle, are these
licences transferable to leased units on a
short-term basis?
Hon. Mr. Stewart: Does the member mean
the markers?
Mr. Paterson: Yes.
Hon. Mr. Stewart: I see no reason why
they shouldn't be, but my director of inspec
tions is back here under the gallery. That's
a neat legal question and I'm not sure. I see
no reason why they shouldn't be, but I'm
not sure whether that's possible. Is it or not?
Yes, I'm told that it is possible, but I would
think that we wouldn't encourage that to be
done if possible.
With regard to civil service representation
on both the Licence Review Board and the
Produce Arbitration Board, I have some reser-
vations about civil service representation
there. I'm always afraid that somebody might
say that someone within government is try-
ing to influence a decision that was being
made, and I think we want to relieve our-
selves, and any minister who might happen
to be handling the ministry, of any such
insinuation which might come from some
place. I would hope that it wouldn't.
The matter raised by my friend from
Essex South of the applicant being granted
a licence or not granted a licence on the
basis of ethics, is, plain and simple, a matter
that I think has to be left to the discretion
of the director, with his knowledge of the
applicant's past business dealings in the com-
munity. There have been some real fly-by-
night operators who have fleeced producers
right, left and centre. I think we have to be
very sure that those people are not granted
a licence by this government, or by any other
government, to go out and carry on that type
of a nefarious practice.
Based on his knowledge, if the director
says "No, you don't qualify for a licence"
and he simply sends in his son, or his brother,
or his wife the next day to apply for a licence
—and we know it's the same outfit that's
involved— I think that the director has every
right to question the validity of that applica-
tion and whether or not it should be granted.
Now, of course, there is the right of appeal
and that applicant has the right to take that
to the appeal board where both sides have
the opportunity— the applicant and the direc-
tor—to clearly state before the Licence Re-
view Board why they should or should not
receive favourable consideration in the appli-
cation for the licence.
I would say this, that we have gone over
this legislation pretty carefully with the On-
tario Fruit and Vegetable Growers Association
marketing board executive ofl5cers and we
have also discussed it, as I understand it,
with several of the responsible produce
dealers in Ontario. So that both sides are
reasonably knowledgeable about what we are
trying to do here and I think both have a
keen appreciation for an honest eflFort being
made to come to grips with the situation,
which has been something less than desirable
over the last few years.
I suppose the matter of accessibility of
various farms throughout the area, the ability
to move produce by trucks and highways
easily and quickly, does provide the oppor-
APRIL 9. 1974
1006
tunity for some practices to evolve that are
less than desirable.
But I would think that there is an onus
on the producer to see that he does negotiate
a deal with whomever it is he is selling the
produce to and then have that deal marked
down in writing— not on the back of some
envelope or a cigarette package, but a legiti-
mate type of a contract, a bill of sale; and
then the Produce Arbitration Board has some-
thing to work with.
I'm afraid that all too often in the past
there may have been these informal types of
deals made that have ended up in misunder-
standings for all concerned and some pretty
hard feelings have evolved out of it all.
In the final analysis they come to our
ministry's inspectors and say to them, "Now
you resolve this thing, this is my side of the
stor>'."
Our people, who really have no obligation
to try to resolve these matters in tecnnical
or statutory terms, but simply because they
know the parties involved, in an attempt to
resolve the issue may contact the other party
and find that there is really nothing to go on.
So, Mr. Speaker, we are urging that there
be some type of formal agreement drawn up
between the various parties to these deals;
and I think that that would just make good
common sense. So I appreciate the support
of the hon. members opposite, Mr. Speaker,
on second reading.
Mr. Spence: May I ask a question of the
minister in regard to clarification?
Hon. Mr. Stewart: Yes.
Mr. Spence: Now this doesn't mean that if
the producer delivers his vegetables or fruit
or whatever to a plant, he doesn't need a
licence to do that, or that he doesn't need to
have a marking on his vehicle.
Hon. Mr. Stewart: No, I should have that
recorded in Hansard, Mr. Speaker; the answer
is "no" to that.
Motion agreed to; second reading of the
bill.
Mr. Speaker: Shall the bill be ordered for
third reading?
Agreed.
THIRD READING
The following bill was given third reading
upon motion:
Bill 20, An Act to amend the Farm Prod-
ucts Grades and Sales Act.
AGRICULTURAL SOCIETIES ACT
Hon. Mr. Stewart moves second reading of
Bill 21, An Act to amend the Agricultural
Societies Act.
Mr. Speaker: The hon. member for Huron-
Bruce.
Mr. Gaunt: Mr. Speaker, just a few brief
comments about this bill. Essentially it is a
housekeeping bill. There are a lot of changes
being made, but not really fundamental
changes, so I don't think that 111 use the
opportunity to launch a—
An hon. member: Go ahead.
Hon. Mr. Stewart: Yes, there are. They are
great.
Mr. Gaunt: Well, there are changes, but are
they fundamental— raising the membership
from $1 to $2?
Hon. Mr. Stewart: Well, no.
Mr. Gaunt: There are some things that are
more significant than that one, but I don't
want to use this opportunity to launch a
long speech on the role of agricultiu-al socie-
ties in the community and the changes that
should be made in regard to making their
role more eflFective, and on the position of
the small rural fair as opposed to the large
county fair. I don't want to get into that
discussion, although I think I coiild on a bill
of this nature.
On the matter of the fee required by
organizing members, I am curious why diat
is oeing raised. It's not a major change, but
the point is that the fee is not normally con-
sidered to be a money-raising device widiin
the society. I am wondering what the theory
is behind the change in the members' fee
from $1 to $2. It's just a curious note that I
inject into the matter at this point, Mr.
Speaker. I really couldn't find a reason why
that would be done other than to raise more
money and, as I say, the raising of mcMiey
through this particular device within the
agricmtural society is pretty limited to say
the least.
Regarding the other changes, I am pleased
to see that homestead improvement competi-
tions carried out by agricultural societies are
now grantable. I think that is a good change
and one which I am sure will be welcomed
by all agricultural societies across the prov-
ince. Many of them have undertaken these
competitions, and I think that the agricul-
tural benefits as well as the commum'ty under
whose ambit the agricultural society coines.
1006
ONTARIO LEGISLATURE
because it improves the countryside and the
appearance. I think it is a good thing, and
its a good direction in which to move with
respect to this kind o£ thing.
I am pleased to see that that is now grant-
able and the Act has been broadened' to
recognize that new role of the agricultural
society. It used to be that the agricultural
society was a one- or two- or perhaps three-
day event in the minds o£ people. I think
that has changed.
The agricultural society now is becoming
more of a year-round activity in a lot of
communities throughout this province. I think
that is a good thing, essentially because the
small rural fairs were having a very diflBcult
time to make ends meet. They were faced
with a dwindling rural population, with re-
duced revenues on fall-fair day, and in many
cases they just couldn't see their way clear
to keep going.
But they have broadened their approach
in many cases. They have got into the
homestead improvement competitions, ama-
teur nights as well as events surrounding
horse racing and, in some cases, horse shows.
All of these things tend to come at various
periods throughout the year, so that rather
than having a function once a year, the agri-
cultural societies, particularly the smaller and
medium-sized ones, are holding what used
to be considered so-called extracurricular
activities throughout the year. In this way
they are involving their people pretty well on
a continuous basis, which is all to the good,
I think.
This bill recognizes those shifts and
changes in the role of the agricultural society,
and for that I am grateful.
I noticed) that the bill takes into account
the matter of enforcement. I don't think it
has been a frequent occurrence, but there
have been some occasions when the so-called
hucksters have tried to invade the fall fairs,
and the directors have been placed in a very
diflBcult position to try to keep them out. I
think on a few occasions they weren't able
to keep them out. So I think this is a good
change.
I see that the penalty is raised from $50 to
$100 where an offence has been committed.
I'm wondering if this is high enough. I pose
that question to the minister. Perhaps it
should be $200 or $300 because some of
these people are very persistent and, particu-
larly at a larger fair, they know they can
make a good dollar quickly and they are pre-
pared to take their chances. I would suggest
to the minister that perhaps that amount
should be reconsidered. I don't think $100
is any great deterrent to these people who
are bound and bent on getting in regardless
of what they are told.
The grants or loans given by municipalities
to agricultural societies are, I think, a very
important aspect of the operation of an agri-
cultural society. I think that during the life-
time of these societies, most municipalities
have given grants and/or loans to these socie-
ties, and the municipalities have played a
pretty important role in the success and the
growth of agricultural societies throughout tlie
provinces. As I understand the Act, as pres-
ently drafted, the limits placed on municipali-
ties in regard to grants and loans are removed;
they can now give whatever they deem to be
proper by way of assistance through grants
and loans to the agricultural societies. I think
that is a move in the right direction, as well.
Basically, then, we support the changes.
We hope that they will result in the growth
of fall fairs across the province. We hope
that they will result in improved quality at
the fall fairs.
Basically, if that purpose is accomplished,
then I think the rural communities throughout
Ontario will be the big beneficiaries of the
changes in this Act.
While I am on this topic I'll take this op-
portunity to say to the minister— and I think
he believes it; certainly his director has said
this on a number of occasions— that a small
rural fair is a very important event in the life
of a community. I think that it galvanizes and
pulls together the people in that community
the way nothing else does. People who hardly
ever see one another all year round end up
working together at the fall fair.
I think that if the small fairs throughout
the province ever disappear, which I hope
they don't, it will be another stumbling block
in the way of l^etter rural-urban relations.
And I thinic that we will have driven another
nail in the coflRn of a small rural community
if it loses its fall fair.
The fall fair is a very important event. I
think this government and the federal govern-
ment should be doing everything they pos-
sibly can to ensure that these fall fairs are
encouraged to continue, to grow and to be-
come more active. Thank you very much.
Mr. Renwick: Mr. Speaker, I have onl>- one
question and a comment or a warning about
the bill. My question is, I am most curious
as to the way the ministry decides upon the
size of the grants which are going to be made,
and I would certainly appreciate it if the
minister would refer to the specific $300
grant under the one clause and a grant of
APRIL 9. 1974
1007
not more than $500 and then $200 and $75
an J a maximum of $1,500. Presumably there
must be some sort of arbitrary decision as to
what the amount will be, but I would be
interested to know why those particular
figures were selected and what the reasoning
behind it would be in making the selection
of those particular figures.
The word of caution that I want to indicate
is, that the bill provides for the board of
directors of one of these societies appointing
special constables on a pro-tem basis for
practical purposes during the course of the
operation of the fair. The Act as it presently
stands provides that it would be the justice
of the peace in the area who would, in fact,
appoint such persons to act on a pro-tem
basis as constables. The reason I raise it is
that I question very much whether or not the
board of directors of a society should either
be given the authority or saddled with the
responsibility of making that kind of appoint-
ment.
It would seem to me to be more proper
that perhaps the board of directors would
nominate the persons whom they suggest but
that the actual appointments should be made
either by the justice of the peace, or by the
judge of the county or district court, or by
the senior police board in the area, in order
to make certain that the persons who are
appointed both recognize the responsibility
that they have to discharge and are aware
of the danger of the liability which they
might incur if they were to discharge their
duties improperly.
Under the two sections where those per-
sons are given authority to act in addition
to any regular constables who may be in
attendance, they have the power— in the one
case the language referred is "to remove"
and in the other case the language used is
"to eject"— and of course the power to re-
move and the power to eject is, within
certain time limits, in substance, the power
to arrest, that is, to forcibly take hold, arrest
or assault, and that means to take hold of
someone forcibly to remove him from the
premises.
In most cases perhaps there is no question
that it would be done both properly and
reasonably, but at the same time the persons
who are appointed as special constables run
the risk that they may use more force than
is necessary for the purpose. They may injure
some person. They may very well improperly
exercise their duties.
It would seem to me that, rather than have
the board of directors themselves appointing
those persons to act as constables pro-tem.
the appointment of them should be made
perhaps on recommendation of the board of
directors, either as to the number who arc
required or to the persons who might fulfil
the role, and to have the appointment, in
fact, made by a person holding a judicial
responsibihty in the area in order to make
sure that there would be some occasion or
some opportunity to instruct the persons
within the limitations of their authority, the
way in which they are to conduct them-
selves and the scope of their authorit>', so
that they do discharge their responsibilities
properly as and when the occasion may
require and so that they do not incur the
kind of personal liability that they might ver>'
well incur if they were to abuse or misuse
the authority which is granted to them in the
bill.
Perhaps it is just a word of caution, per-
haps there is no significance to it, but I
wanted to mention it because it could very
well be a situation which could lead to sub-
stantial difficulty, and I am not quite certain
where the actual liability resides. It may well
be, in a situation like this where constables
are appointed pro-tem, that there may pos-
sibly be an adequate provision made for
some kind of grant of inununity if they act
in good faith and in a reasonable way in the
carrying out of their duties, or some such
protection for them. I don't pretend to know
all the ramifications but I am concerned that
the board of directors should have this
authority.
Mr. Speaker: The hon. member for York
Centre.
Mr. D. M. Deacon (York Centre): Mr.
Speaker, I am pleased to support what the
minister is trying to do in connection with
the agricultural societies. They certainly play
a very important role in my own community.
We have had problems there, though, be-
cause of the increase in land values and the
constraints of space. In Markham, for ex-
ample, they have sold the fairgrounds and
they are going to be moving to a new area.
There has been a lot of rivalry, both in
Markham and Richmond Hill, between urban
elements— or what I call the city people-
moving into the area and the interests and
pressures they bring, and those who are the
established people who have run these affairs
in the past. Sometimes newer people have
a lot of diflBculty understanding the special
knowledge and expertise of those who have
been in the community a long time.
Those rural people who have been there a
long time understand the agricultural aspects
1008
ONTARIO LEGISLATURE
of the fall fairs and what's needed to make
them successful. Sometimes it's lost on those
coming into a community who don't under-
stand and don't support those people who,
to my mind, have made these fairs the great
success and the important attraction they
have been to a city like Toronto.
In connection with one clause; I want to
get clarification from the minister. That is
the matter of clause 5 which says:
Where a society exhibits a display of a
farm product that is produced on a com-
mercial basis or holds a fieldcrop or other
competition ... is approved by the super-
intendent. . . .
Is that a requirement that it must be ap-
proved or is it just a situation that when they
are looking for grant support it has to be
approved by the superintendent?
It is not clear from the wording and per-
haps it does mean that if the province is
going to give a grant, naturally the superin-
tendent should have some say as well as
receiving a report afterwards. Other than
that, I am pleased to see the limit of support
to municipalities is removed. Certainly in our
area it will be important that we have very
substantial municipal support in order that
these fairs ran continue to exist and flourish.
Mr. Speaker: The hon. member for Lanark.
Mr. D. J. Wiseman (Lanark): Thank you
very much, Mr. Speaker. I would like, on
behalf of the five fair boards in the area I
represent and the two just outside my riding,
to thank the minister for bringing this legis-
lation forward. Any of us who attends these
fairs knows that the light horse shows in the
area have become very popular and there
are a lot of young children who have horses
and show them. The fair boards have found
it diflBcult to arrange for prize money and I
think this maximum of $500 will certainly go
a long way to help them. As for the amateur
entertainment, I think most of our small fairs
have found this to be quite an expense and
there again I would like to congratulate the
minister.
I would like to say, though, that in the
bigger fairs like the Toronto exhibition and
the Ottawa exhibition— I know we give a lot
of money and it's not in this bill— if we could
put some restrictions on their entertainment
or try to talk to them about bringing in
American entertainment in place of some
Canadian it would be worthwhile; I think
we need a good combination of both. I would
like again to thank the minister on behalf
of our boards.
There is one thing that bothers me. Will
these grants be available to all fairs regardless
of size in the area, regardless of the class A
fair or B or whatever it might be? Thank you,
Mr. Speaker.
Mr. Speaker: The hon. member for Essex
South.
Mr. Paterson: Mr. Speaker, there is one
area in this bill which bothers me. That is
section 7 and the principle of that concern-
ing the power of the officers of the agricul-
tural society to regulate, prohibit and prevent
certain things happening within 300 yd of,
or on their particular exhibition grounds. I
concur certainly with the intent of this— that
they prohibit theatrical, circus or acrobatic
performances or exhibitions within that area
—and the following line indicates that they
may regulate or prevent huckstering or
trafficking in fruit. I wonder if that should
be fruit and vegetables.
The other point that I would like to make
in this regard is as to whether this particular
legislation supersedes a transient trader's
licence that may have been granted to what
well term a huckster or an itinerant sales
person by the municipality in which the fair
is going to take place. I can think of many
instances where transient traders' licences are
given out, much to the worry or chagrin of
the retail merchants in that commimity. It's
bothersome for them and I'm sure it would
be to the officers of an agricultural society
who have a very few days in which to carry
out their year's activity.
Would, in fact, this legislation supersede
the case of, say, a local person who has a
transient traders licence, who possibly has
an ice cream or popcorn vending wagon from
coming within 300 yd of that exhibition or
not? I would like to know the legal ramifica-
tions of this and have that clarified today, so
that proper enforcement may take place if
such is the case.
Mr. Speaker: Does any other member wish
to speak before the minister replies? Mr.
Minister.
Hon. Mr. Stewart: Thank you, Mr. Speaker.
I'm very keen about this bill, quite frankly.
I really believe that this not only goes a very
long way to assist the people of rural Ontario
in the agricultural societies to govern their
own affairs more appropriately than they have
been able to do in the past, but it expands
their sphere of influence within the local com-
munity.
APRIL 9. 1974
1009
Perhaps the local agricultural societies and
the fall fairs— some 240 of them across the
Province of Ontario today— are providing one
of the last vestiges of real community life as
we have known it throughout generations in
this province of ours. To some degree the
l(x;al communities have disappeared in many
respects. There isn't the same community
spirit. I've said this before in this House,
Mr. Speaker, and being a rural person your-
self you will understand, that the advent of
the combine and the forage harvester to my
mind had more to do with the abandonment
of the community spirit as we knew it, when
we got together as gangs of people working
together as a community effort. That's all
over with.
Mr. I. Deans (Wentworth): That's been
augmented to some extent by the introduc-
tion of regional' government.
Hon. Mr. Stewart: Oh, of coiu-se. But the
introduction of regional government didn't
have nearly as much to ao with it as the
centralization of township schools. That's
where it really started off in that degree. The
local school was the centre of the community,
just as the local rural church was. And all of
that we predicated on how far you could
drive a horse or walk on^ a Sunday. But with
the advent of the car this is altogether differ-
ent today. The advent of the school buses
and the centralization of schools has to some
degree removed that spirit of community
effort that we used to have,
'The agricultural societies, being strictly
representative of the rural communities, have
continued on. As someone has said this after-
noon, they have expanded their sphere of
interest and they've grown. Contrary to the
predictions that were made by many people
that they would disappear from the scene of
rural Ontario, they have strengthened their
positions, because they have kept up to date
with the local communities in many cases.
Those societies that have recognized' the fact
that many urban people have moved out,
that there's a changing characteristic to rural
Ontario today, and have focused their atten-
tion on catering to the new interests that we
find in rural Ontario have been able, I think,
to provide an even better service than we
ever had in the past.
We look upon the Act in the housekeeping
clauses to which hon. members have referred.
My friend from Huron-Bruce asked why the
organizing fee went up from $1 to $2. At the
same time we reduced the niunbers from 25
to 10 to organize the society. So, really, there
are not many dollars involved. But I suppose
that the executive, when they asked that this
be done, felt that $1 in 1974 and on really
wasn't a very significant amoimt, nor I sup-
pose is $2. So we were pleased to grant that
request of the agricultural societies to be able
to go ahead on that basis.
The hon. member for Riverdale raised a
question that was of concern to me, I must
confess, when the bill was first discussed with
us by the executive officers of the Ontario
Association of Agricultural Societies. I sup-
pose that that is one of the strongest organiza-
tions we have in rural Ontario today. Their
annual meeting is something to behold^ be-
lieve me; with well over 1,000 delegates, it
is quite a major exercise.
The special officer status prompted me to
refer the whole matter to the law officers of
the Crown, and we reviewed it thoroughly.
Quite frankly, these are not special con-
stables; they have no real police powers, and
yet my friend from Riverdale did suggest the
power to remove or eject does connote physi-
cal effort and the necessity of probably taking
hold of a person and ejecting him if the
occasion warranted such action.
On the other hand, these special ccmstables
would have the same power to remove or
eject as any property owner now does when
someone is on his property improperly, and
as such they are agents of the owners of the
agricultural society or the fairgrounds. In
other words, they are the people who own
that property.
Now, we really don't believe that the
powers of appointment of police officers have
been exceeded. As a matter of fact, we have
the approval of the Attorney General's office
for this legisfetion, and it has been carefully
worded to do just what they have asked to
be done and to meet with the approval of the
law officers of the Crown.
I would suppose— and I am not prompted
to suggest this by any notes that have arrived
on my desk— that several of the security firms
that now provide this service probably could
be employed to provide this service to the
various exhibitions. Some of them are now
doing it. Others are not. In some cases, they
have used Ontario Provincial Police officers,
but there are just not enough to go round
in the fall fair season.
The matter of the increase of the fine to
more than $100 is something that prompts
me to wonder if that $100 is enough, quite
frankly. It is not much in today's economy
and, as my friend from Essex South men-
tioned, there are people who come there who
are— for want of a better word— so-called
hucksters, who could find themselves in the
1010
ONTARIO LEGISLATURE
position of making a very fast doU'ar, and
perhaps in a bit of a slippery way, and I am
wondering if indeed the $100 fine is enough.
On the other hand there is the right of
the fair board to have its security people or
those who are carrying out the enforcement
of the regulations of the fair within 300 yds.
Perhaps that's sufficient. The same regulations
pertain to fairs like the CNE or the larger
shows like the Ottawa and London exhibi-
tions, so perhaps there is no real problem
there. But the matter of the fine does prompt
me to wonder a bit if perhaps we should be
looking at that matter.
One other matter that was raised is how
the grants are arrived at. This is indeed an
arbitrary figure. In order to set a budget, we
take the number of exhibitions in the province
and base it on their indication of what partici-
pation they will have— and that's based a bit
on their past experience as well as on other
things. But of course this is new, and we
simply set these figures as being what we
can live with within our budget and that's
simply one-third of what they will pay out
up to this maximum.
Frankly, I think that the opportimity to
develop these farmstead improvement com-
petitions is one of the best and most far-
reaching steps for the betterment and im-
provement of rural Ontario that I can think
of. Every one of us is fully aware of what
happens as far as the international plowing
match is concerned, where we have the farm-
stead improvement competitions associated
with that, and the betterment of the rural
commimities is abundantly evident for all to
see.
Unfortunately, it only moves around from
county to county in the various parts of the
province; and many other parts of the prov-
ince, with a little bit of inspiration and en-
thusiasm and support and initiative from some
local body, could perhaps achieve the same
degree of success. We're simply making it
possible in this amendment to assist the focal
agricultural societies to do what the interna-
tional agricultural societies' executive have
been able to do for some time.
With regard to amateur shows, I've been
impressed, Mr. Speaker, with the tremendous
wealth of talent we have throughout rural
Ontario. We have so many young people who
are far more talented, I guess, than we were
in our day, and I think they should have the
opportunity to display their talents. Perhaps
they only require the opportunity to present
whatever they can do before the public and,
surely, there's no better place than through
the local fair boards' activities. So that is
why this has been introduced.
The special grants available to the light
horse shows have been introduced simply to
keep pace with the new look in rural Ontario,
where we have many people now having pony
clubs and light horse shows, and I think that
this legislation will help to come to grips with
all of these matters.
I'd like to refer the bill', if I might, Mr.
Speaker, to the committee of the whole
House, because there may be, after fuilher
consideration, an amendment that I would
like to make at that time, which would be
consistent with a suggestion made b> the
Provincial Auditor.
Motion agreed to; second reading of the
bill.
Mr. Speaker: It is my understanding that
the bill is to go to the committee o£ the
whole House.
NOTICE OF MOTION No. 1
Clerk of the House: Government notice of
motion No. 1.
Hon. Mr. White moves that this House
approve in general the budgetary' policy of
the government.
Mr. R. F. Nixon (Leader of the Opposition):
That'll never carry.
Mr. E. J. Bounsall (Windsor West) : Lots of
enthusiasm for that.
BUDGET ADDRESS
Hon. J. White (Treasurer and Minister of
Economic and Intergovernmental AflFairs): Mr.
Speaker, needless to say I'm very privileged,
indeed to have the opportunity once again of
presenting a budget to the legislative assem-
bly and to invite the support of the members.
As I do so, I point out something that may
not be universally known, namely that this
is the last day that Ian Macdonald will be
Deputy Treasurer of Ontario, and while he
has been praised by the Premier (Mr. Davis)
and the leaders of the opposition parties, I
would like to pay my personal respects and
give my personal thanks to him for his assist-
ance to me over the years, and more particu-
larly in the last 15 months. He is a man who
is clever, wise and good and I know hell do
well at York. He's taking apphcations for
honorary degrees.
APRIL 9. 1974
1011
Mr. V. M. Singer (Downsview): Is the
Treasurer first on the list?
Hon. Mr. White: I think not.
He will be a special adviser to the Premier
until the end of June. Our regret at seeing
Ian leave is mitigated to some extent by his
successor, who is sitting behind him fittingly
enough, Mr. Kendall Dick, who will become
the Deput\' Treasurer tomorrow. I look for-
ward to working with Mr. Dick in this new
capacity.
May I take a further moment to thank Dr.
Terry Russell, assistant deputy minister; Mr.
Duncan Allan, executive director; and Mr.
George Mclntyre, executive director; and
their staffs, for the untold hours they put
into the budgetary preparation, indeed for
11 months or more. I thank them very much
for their unstinting help and the enormous
dedication of their staffs. Thank you very
much indeed.
I'm glad also to point out that in the
Speaker's gallery as guests of Mr. Speaker,
together with my wife Beatrice, are friends
of mine from Ontario, from Quebec and from
Bermuda. We hope they'll find this an inter-
estini; session for them all, Mr. Speaker.
Mr. T. P. Reid (Rainy River): The Treasurer
won't have any after today.
Hon. W. G. Davis (Premier): The member
would be surprised.
Hon. Mr. White: Mr. Speaker, the most
important problem facing us today is infla-
tion. The year 1973 is one of record growth
in Canada and in Ontario, but excessive price
rises eroded much of the benefit which should
have accompanied this strong development.
Prices have accelerated steadily and we are
faced with the prospect of 10 per cent infla-
tion in 1974.
This worldwide phenomenon is threatening
the stability and growth of the economies of
the industrialized world. The growing short-
age of basic raw materials and energy sup-
plies is adding to inflationary pressures.
There is little prospect for an early return to
price stability unless all jiu"isdictions employ
the powers at their disposal with new deter-
mination and courage. The government of
Ontario is willing to use every practical meas-
ure within its constitutional jurisdiction to
combat inflation in the expectation that other
responsible organizations in the public and
private sectors will do the same. This is our
promise and this is our challenge.
The forces of inflation are durable and
persistent. To beat back these forces requires
concerted action bv all leveU of government
Ontario will provide the leadership by initiat-
ing a course of forceful action which indudec:
New measures to offset the effects of inflation;
new measures to restrain inflation, new me«-
ures to stimulate supply; new roeasuzet to
share with the public the profits of inflaticm;
and new measures to sluure resources with
local governments.
Our success in controlling inflation will
depend on the co-operation of the wage
earner, the consumer and the businessman.
But it will also depend greatly on leadership
and action by the federal government to
puncture the myth that inflation is inevitable
and to restore confidence in the belief that
every Canadian will share in rising prosperity.
All members are aware of the inequitable
impact of inflation on low-income families
and other groups on relatively fixed incomes.
The first part of the government's strategy
for dealing with inflation consists of proposals
for substantial' new programmes to offset the
effects of inflation.
These are: A guaranteed annual income
programme for the elderly, the blind and the
disabled; free prescription drugs for elderly
persons with low incomes and for all indi-
viduals on social assistance; enriched tax
credits, including a doubling of the property
tax credit to take into account the increased
cost of heating; and a broadening of exemp-
tions under the Retail Sales Tax Act.
I am proposing a new guaranteed aimual
income system, to be known as GAINS, for
the elderly, blind and disabled in Ontario.
The GAINS programme will guarantee an
income of $50 a week for all single persons
and $100 a week for all married couples who
are aged 65 and over, and for those who are
blind or disabled and receive family bene-
fits. This represents a guaranteed annual cash
income of $5,200 a year for a married couple
and $2,600 a year for a single person. In
future, the guaranteed income levels will be
increased periodically in order to maintain
the purchasing power of these benefits.
This programme will commence July 1,
1974. In this fiscal year GAINS will provide
$75 million in increased cash inccwne for
people in need. More than 310,000 people
will receive Ontario GAINS cheques in July,
1974. This will include 270,000 pensioners
who are digible for the federal Guaranteed
Income Supplement and a further 10,000
low-income elderly who are ineligible for
CIS because they do not meet the federal
residency rccjuirement of 10 years. No fewer
than 120,000 pensioners will receive the
maximum GAINS entitlement. With the in-
1012
ONTARIO LEGISLATURE
troduction of this programme, blind and dis-
abled persons will be entitled for the first
time to the same income guarantee as those
who are over age 65.
In addition to GAINS, Ontario will initiate
a new programme to remove the burden of
high drug costs on needy pensioners. For all
people who receive the guaranteed income
supplement and those on provincial assist-
ance programmes, the government will pro-
vide free prescription drugs. This programme
will begin in September and will cost $12
million in the current fiscal year. Details will
be announced by the Minister of Health
(Mr. Miller).
Mr. M. Cassidy (Ottawa Centre): Why not
now?
Mr. J. F. Foulds (Port Arthur): Why wait
until spring? Do it now.
Hon. Mr. White: Recause it can't be done
now; it has to be organized.
Mr. Speaker, I am also proposing a sub-
stantial enrichment and improvement of On-
tario's tax credits to minimize the burden of
shelter costs for those families most vulner-
able to the eroding powers of inflation.
Interjection by an hon. member.
Hon. Mr. White: The property credit will
double from $90 to $180. The pensioner
credit will increase from $100 to $110 and
the maximum tax credit entitlement will be
raised from $400 to $500, with the offset rate
being increased from one to two per cent of
taxable income. These improvements will
ensure that maximum benefits flow to those
most in need of relief from rising living costs,
including home heating, and will further re-
duce the burden of property taxes.
Ontario's fair sharing tax credit system will
now provide $375 million in benefits to On-
tario families and individuals compared to
$305 million in 1973. It is also becoming in-
creasingly important to increase the scope
and flexibility of the Ontario tax credits so
that the administration of the tax credit sys-
tem and GAINS will be fully integrated.
Initially, GAINS will be administered sepa-
rately by the Ontario Ministry of Revenue;
however, in recognition of the advantages
which accrue in the long run through the
integration of the income security and tax
credit systems, Ontario plans to assume tfie
full administration of its tax credit system.
An hon. member: All the publicity—
Hon. Mr. White: As a further measure to
help restore the purchasing power of the con-
sumers' dollars. I am proposing to remove
the retail sales tax from a broad range of
items. First, I propose to exempt a number
of personal hygiene items such as toothpaste,
baby powder, soap, deodorants and feminine
hygiene products.
Secondly, I propose to exempt a broad list
of household products used for washing and
cleaning purposes. A detailed list of the
new exemptions is included in the appendix
A list, budget statement.
The value of these sales tax exemptions is
estimated to be $28 million in this fiscal
year. Ontario's exemptions are more exten-
sive than those granted by any other Cana-
dian province employing sales taxes, or by
neighbouring states in the USA.
Thirdly, I am proposing the full exemp-
tion of all footwear sold for $30 or less.
This will remove the sales tax from all chil-
dren's shoes and most adult shoes, as well
as from lower-priced skates, cleats and ath-
letic footwear.
Interjections by hon. members.
An hon. member: That's so the Treasurer
can skate around a little better.
Hon. Mr. White: Until now children's
shoes up to size 6 have been exempt. The
value of this new exemption is estimated
at $15 million a year.
Children's clothing presents a taxation
problem similar to that for shoes. The use
of a size criterion for exemption inevitably
means that the sales tax bears on clothing
for larger than average children while the
exemption is enjoyed by smaller adults. The
government is interested in correcting the
situation so that all children's clothing is
free of the retail sales tax. I'm considering
a tax credit mechanism, but invite any other
ideas to achieve this desired result for the
1975 budget.
These sales tax cuts will lower the cost of
many important items to Ontario consumers
by $43 mfllion in this fiscal year. The
changes will take efi^ect after the necessary
legislation is passed by the Legislature.
Mr. Speaker, the proposals which I have
made for decreasing the efi^ects of inflation
are comprehensive and long-lasting. The sales
tax exemption will be a benefit to all of our
people. The GAINS programme will ensure
that Ontario's elderly citizens enjoy a good
standard of living during their retirement
years and that our blind and disabled people
are guaranteed equal income benefits.
The enriched tax credits will further reduce
the burden of property taxes and home heat-
APRIL 9. 1974
1013
ing costs; and free prescription drugs will
provide significant assistance to those in need.
The GAINS programme and the improved
tax credit system are an important step
toward a comprehensive guaranteed income
system for Ontario citizens. The government
intends to build on these advances and
invites the suggestions of interested groups
for improvements to these programmes in the
future.
In summary, the measures I propose in-
volve an adaitional $200 million to offset
the effects of inflation.
Mr. Speaker, I should now like to describe
three important new measures to restrain
inflation. They are designed to stabilize land
prices and encourage Canadian ownership
of Ontario real estate, and to freeze public
transit fares.
One cause of present inflation is the rapidly
escalating price of land. Some increase in
land prices is to be expected because of
the steady process of urbanization and the
need to accommodate 100,000 new families
in Ontario each year. There is no doubt,
however, that speculation, both by Canadian
residents and by non-residents, bids up prices
artificially, increases the cost of housing and
generates unwarranted windfall gains.
Therefore, Mr. Speaker, I am proposing
a new tax to discourage this specidative
activity. This tax has two objectives: To
reduce the escalation of land and housing
prices and to recover for the public a
major share of windfall gains from land
speculation. The land speculation tax will
go into effect at midnight tonight. It will
impose an additional 50 per cent tax on
the increase in value realized on the sale of
designated land. Over and above this tax,
normal personal and corporate income taxes
will apply. The speculation tax is designed
to bear most heavily on owners of land and
properties which are purchased and resold
without any real value being added.
There is a table, sir, in the statement,
showing that the maximum rate of tax on
corporations will thereby go to 87 per cent
and on individuals to 81 per cent, providing
they are Canadian residents.
The government does not wish to discour-
age development and construction of indus-
trial, commercial, or residential buildings.
Accordingly, exemptions vvdll be provided in
the following instances:
Sale of property used for commercial and
industrial purposes, including tourist establish-
ments, will be exempt;
Sale of property where the vendor has com-
plied with a subdivision agreement and con-
structed residential or commercial premises,
will be exempt;
Sale of property where the vendor has pur-
chased serviced land and constructed resi-
dential or commercial premises, will be
exempt;
Homeowners will be exempt from the land
speculation tax on their principal residence,
including 10 acres of land;
A principal recreational property, includ-
ing 20 acres of land, will also be exempt.
This latter exemption will not apply, how-
ever, when the purchaser of the recreational
property, such as a cottage, is a non-resident
of Canada.
People who trade in non-principal proper-
ties will be taxed on any gain whicn they
realize from the sale of these non-prindpal
residences.
Persons who effectively dispose of land
through transfers of corporate snares will also
be required to pay the tax.
Family farms will be exempt from the land
speculation tax when the farms are trans-
ferred within the family and continued in
agricultural use. When disposed of outside
the family, these farms will bear the tax
on the appreciation in value after April 9
in excess of 10 per cent compounded annu-
ally. This feature will help to retain land in
agricultural use and also ensure that the tax
does not apply unfairly to farmers, whose
income, capital and pension stream is largely
tied up in the form of land.
The following features will also be incor-
porated into the land speculation tax:
Acquisition cost will be the fair market
value on April 9, or the actual cost if pur-
chased after April 9, 1974;
In determining the increase in value after
April 9, capital improvement costs and rea-
sonable carrying charges not exceeding 10
per cent per annum will be allowed as
eligible deductions. These eligible deductions
also apply to family farms;
The land speciJation tax will not apply in
the case of expropriations, sales to all govern-
ments and agencies thereof, nor to Canadian
resource properties in Ontario.
The government of Ontario recognizes that
strong measures are required to cuib the ex-
cessive land speculation now occurring. We
are determined to proceed with firm action.
At the same time we recognize that this is
a complex matter and unforeseen problems
may emerge in administering this new tax.
1014
ONTARIO LEGISLATURE
Thus, during the first year of operation I
envisage a series of amendments and refine-
ments to the land speculation tax bill. This
bill will be tabled immediately after this ad-
dress by my colleague the Minister of Reve-
nue (Mr. Meen).
By introducing this land speculation tax I
hope to deflate, or at least slow down, land
price increases and thereby contain costs for
housing and other development projects in
Ontario.
The success of this speculation tax will be
inversely related to its revenue yield— the
smaller the revenues the greater the desired
impact on curbing speculation. For this fiscal
year the revenue yield from the speculation
tax can be little more than a rough estimate,
which I have set at $25 million in keeping
with my optimism that the tax will indeed
produce the anti-speculation result the govern-
ment is seeking.
Half of the revenue from this new tax wiU
be shared with Ontario municipalities utilizing
a method to be designated by the Provincial-
Municipal Liaison Committee. Recent experi-
ence with the fiscal arrangements sub-com-
mittee of the PMLC has proven the value of
this form of provincial-municipal co-operation.
I will require that these additional local
revenues be correlated with the municipali-
ties' success in providing new housing at rea-
sonable cost for our people. The government
of Ontario expresses its appreciation to the
co-chairman and members of the PMLC for
their co-operation in financial and legislative
matters during the past year.
In examining the problem of rapidly rising
prices for real property in Ontario, it has
become increasingly apparent that large-scale
acquisition of land by non-residents of Canada
is a significant factor. The matter of control
of non-resident ownership of Canadian land
is a current constitutional issue which has not
been fully resolved. The problem has been
studied, however, and has been reported on
recently by Ontario's Select Committee on
Economic and Cultural Nationalism.
The government of Ontario recognizes that
positive action on this matter is required now
in order to maximize Canadian ownership of
our real estate. The government has decided
therefore to take interim steps using the
instruments at its disposal. Accordingly, I am
proposing to increase substantially the land
transfer tax on purchases of land by non-
residents of Canada, to 20 per cent from 6/10
of one per cent, effective at midnight tonight.
In proposing this measure, I wish to em-
phasize that we continue *^ welcome the
flow into Ontario of mortgage and debt finan-
cing from abroad. I emphasize also that it is
not our intention to penalize industries which
seek to locate or expand in this province,
although we would encourage these estab-
lished companies to broaden Canadian equity
participation.
Interjection by an hon. member.
Hon. Mr. White: To ensure that industries
which contribute substantially to the Ontario
economy will not be penalized, I propose to
establish a review procedure whereby the
additional transfer tax may be rebated in
certain instances. The Minister of Revenue
wfll table the bill immediately after my bud-
get statement.
In order that the tax on non-residents does
not curtail the operations of foreign companies
which play an important role in developing
our stock of housing and commercial realty,
I propose to forgive the additional tax when
vacant land bought by a non-resident is sold
back to Canadians within five years in the
form of housing or developed commercial
premises.
The increase in land transfer tax to 20 per
cent on purchases by non-residents wfll com-
plement and reinforce the land speculation
tax. Speculative pressure on land prices wfll
be relieved at both the purchase and sale
points. I estimate that this increase in land
transfer tax wfll yield an additional $60 mfl-
lion in 1974-1975.
On Nov. 22, 1972, the Premier clteariy
enunciated Ontario's policy to encourage pub-
lic transit when he said:
The province will shift emphasis from
urban expressways to a variety of trans-
portation facflities which will put the
people first.
Accordingly, the government has created new
forms of financial assistance to translate this
policy into action. They compare capital
grants to cover 75 per cent of the costs of
new buses, streetcars and subways. We also
assist in the financing of the operating deficits
of transit authorities. Under this policy, public
transit facilities have expanded considerably,
the extent and quality of service has been im-
proved, and provincial operating subsidies
have grown from $5 mfllion in 1971-1972 to
$18 mflhon in 1973-1974.
Rising costs of running transit services are
now creating financing problems for munici-
palities. Without additional financing support
from the province, transit fares would have
to increase. To prevent fare increases, while
at the same time limiting the resulting burden
APRIL 9, 1974
1015
on local governments, I am proposing an
important enrichment in our financial support
towards public transit.
The government of Ontario now proposes a
plan which consists of removing the ceilings
on the province's present operating subsidies
and substituting full sharing of the deficit
burden with local authorities. This means that
Ontario will increase its operating subsidies
to $35 million in 1974-1975, which compares
to $20 million if the old formula had been
continued. This level of funding is based on
the existing fare structures and the participat-
ing municipalities will be required to freeze
all transit fares at their present levels. Ex-
amples for different municipalities are pro-
vided in the document.
This initiative will produce two beneficial
results. First, costs of getting to work and
other destinations will not increase during
this period of high inflation. Secondly, there
will be an increased incentive to expand and
improve public transit services in this prov-
ince. The government of Ontario is grateful
to municipal officials for their co-operation
in the deliberations leading to this new
provincial subsidy programme.
These three initiatives to restrain inflation
will be carefully monitored for their effects
on the provincial economy and they will be
adjusted, if necessary, to attain the desired
objectives.
Mr. Speaker, I should now like to intro-
duce proposals to stimulate small Canadian
businesses, and to encourage residential and
non-residential construction by increasing
f rants for water and sewerage projects and
y rationalizing government land develop-
ment operations.
Small businesses play an important role in
our economy. It is a social and economic role
which justifies special incentives to encourage
new and existing small enterprises to develop
and expand their operations, thus creating
new and challenging jobs for Canadians. Two
major problems encountered by small busi-
ness are availability of venture equity capital
and its high cost. I am therefore proposing a
new programme which will help overcome
these problems.
The first part of this programme is an
investment-related incentive designed to en-
courage the growth of active, Canadian-
controlled private corporations which qualify
for the federal small business deduction.
These corporations will be entitled to an
income tax credit equal to 5 per cent of the
increase in their capital in Ontario, to a
maximum of $3,000 annually. Relating the
incentive to increased capitalization will en-
sure that the tax savings are used to finance
corporate growth. Increases in plant, inven-
tory and similar assets are reflected in the
amount of paid-up capital and such increases
thereby qualify for this investment credit.
This change will be effective with fiscal
years ending after April 9, 1974. I estimate
the revenue cost of this incentive to be
about $15 million in 1974-1975.
The second part of my programme to assist
small Canadian businesses is designed to
motivate private sources of venture capital
to provide funds to small enterprises The
government of Ontario appreciates the co-
operation of the Financial Executives Insti-
tute of Canada, the Ontario Chamber of
Commerce, the Canadian Manufacturers
Association, and the Investment Dealers Asso-
ciation of Canada in developing this pro-
gramme.
The new incentive which I am proposing
provides for a tax flow-through for a new
type of corporation, termed a "venture invest-
ment corporation" or VIC. This corporation
will participate in the financing of small
Canadian enterprises qualifying for the fed-
eral small business deduction. Corporations
investing in a VIC would be allowed to
deduct such investment from their taxable
income and thus defer income taxes as long
as the investment is kept in the VIC.
The incentives recommended in this pro-
posal affect only the Ontario corporate income
tax. Ontario, however, has limited scope to
ensure the full success of this proposal if the
federal government does not partidpate.
First, the low 12 per cent Ontario corpor-
ate income tax rate is not suflBciently large
by itself to attract substantial investments in
VICs since the resulting tax deferral would
be relatively small.
Secondly, investments by individuals in
VICs, which constitute a major potential
source of financing, would not be eligible for
the tax incentive.
I invite the federal government to partici-
pate by adopting this approach with respect
to federal income taxes. I will initiate dis-
cussions with the federal Minister of Finance
as soon as possible on wavs of jointly imple-
menting this proposal and I will bring for-
ward enabling tax legislation during 1974.
Having requested the federal government
to parallel our proposal concerning venture
investment corporations, I am pleased to
announce that we in turn intend to parallel
the federal tax treatment of mortgage invest-
ment corporations, MIC. This tax change
1016
ONTARIO LEGISLATURE
permits the flow-through of funds to the in-
vestor without corporate tax, then treats pay-
ments received by the investor as interest
rather than dividends. This will encourage
the flow of funds into the residential mort-
gage market from small investors and supple-
ment other efforts to increase the supply of
housing.
As an additional measure to assist small
business, I am proposing a reduction in the
paid-up capital tax on family farm corpora-
tions to a flat rate of $50 annually.
Mr. R. F. Nixon: Has the Minister of
Agriculture and Food (Mr. Stewart) got one
of those?
Hon. Mr. White: To qualify, the farm
corporations must meet essentially the same
conditions required for the forgiveness pro-
vided under the Succession Duty Act for
bona fide family farms. This change means
that family farm corporations will pay only
the $50 minimum capital tax. I estimate the
revenue cost of this measure to be $250,000
in this fiscal year.
Mr. Speaker, at the request of members of
the Legislature, I propose to introduce
amendments to the Succession Duty Act,
which will extend the definition of eligible
assets for purposes of forgivable farm suc-
cession duties.
Mr. R. F. Nixon: That's the amendment of
the member for Huron-Bruce (Mr. Gaunt).
Hon. Mr. White: This is the amendment
of the member for Victoria-Haliburton (Mr.
R. G. Hodgson).
Mr. A. J. Roy (Ottawa East): Give the
member for Huron-Bruce credit.
Hon. Mr. White: The Glen Hodgson
amendment, I think we'll call this.
These changes will be retroactive to
April 12, 1973, when the concept of for-
givable farm duty was introduced. Changes
will also be proposed with respect to the
once-in-a-lifetime gift affecting farm families
so that the gift may be made in several
annual instalments.
Let me reiterate the government's policy
on succession duties. We intend to continue
to tax large accumulations of wealth, while
at the same time ensuring that the tax does
not bear on citizens of average means. Ac-
cordingly I should like to take further steps
to ensure that inflation does not drive people
of moderate means into this tax.
I am proposing the following changes in
the Succession Duty Act, effective with
deaths occurring after midnight tonight: That
the basic exemption of $100,000, below
which an estate is not taxable, be increased
to $150,000; that the exemption for surviv-
ing dependent children be raised from $2,000
to $3,000 for each year that the dependent
is under 26 years of age; that the exemption
for orphaned children, currently at $4,000 for
each year that the dependent is under 26
years of age, be increased to $6,000; and
that the exemption for invalid or infirm
dependents be raised from $4,000 to a new
and higher level of $6,000 for each year
the individual is under 71 years of age.
These changes will affect all estates and
will cost $6 million in this fiscal year.
To increase the supply of serviced lots,
the government is proposing to make avail-
able to restructured municipalities a 15 per
cent grant in respect of capital costs for
regional water and sewage projects. All
projects which are now under way, including
the York Pickering trunk lines, will be com-
pleted by the province and the assets turned
over to the restructured municipality at 15
per cent less than the cost to the province.
The estimated cost of these changes is $11
million in 1974.
To increase the supply of housing, the
government, through the Ministry of Hous-
ing, will implement a number of new pro-
grammes, and expand existing programmes in
order to ensure continued expansion in On-
tario's housing supply.
In 1973 there were more than 110,000
housing starts in the province, a seven per
cent increase over the 1972 level, the largest
nimiber of housing starts in our history.
Mr. Cassidy: But not in the cities. Let them
come in the cities where they are needed.
Hon. Mr. White: How would the member
know?
Mr. Cassidy: That's right. I will give him
the figures.
An hon. member: Where? On Toronto
Island?
Mr. Cassidy: They are down by 30 per
cent in London; the Treasurer should look
at that. He knows the housing starts are
down by seven per cent in Metro. The
government is not answering the need where
it is.
An hon. member: How many on Toronto
Island?
APRIL 9, 1974
1017
Hon. A. Grossman ( Provincial Secretary for
Resources Development): The member is
against growth anyway.
Hon. Mr. White: This year $19.8 million
has been allocated to the new Ontario hous-
ing action programme which will increase the
supply of serviced lots available for residential
construction. In addition, fimds available
through the Ontario Mortgage Corp. will be
increased in order to helj families with
moderate incomes to purchase homes.
The government has also initiated a number
of programmes to rehabilitate neighbourhoods
and residences, including the Ontario home
renewal programme and the federal-provincial
neighbourhood improvement programme,
which together with the community-sponsored
housing programme has been allocated $17
million for the fiscal year.
The Ontario Housing Corp.'s programme
for rental accommodation for pensioners and
low-income families, which currently provides
more than 60,000 units, will expand signifi-
cantl\- in 1974. More than 8,000 units are
now under construction and are expected to
be occupied within the year, and an addi-
tional 19,000 units are in various stages of
development.
In recent years the province has been in-
creasingly active in the purchase of land to
reach a number of social and economic ob-
jectives.
Mr. Cassidy: Is that all he has on housing?
Mr. Speaker: Order, please.
Hon. Mr. White: In future we expect there
will be significant expansion of this activity
with important financing implications. It is
imperative, therefore, to lay the ground work
for improved co-ordination of government
land activities involving development and re-
sale or lease of land for industrial or resi-
dential' purposes.
Accordingly, I inteinl to bring forward legis-
lation this year to establish an Ontario land
corporation which will be given the financing
and co-ordinating responsibilities for the
government's land development operations.
Mr. R. F. Nixon: That was promised last
year, too.
Mr. S. Lewis (Scarborough West): That
won't tax them greatly.
Hon. Mr. White: The new Ontario land
corporation will have the power to acquire,
service and develop land in the province for
resale or Incasing on long-term basis. The
corporation would not hold any lands in per-
petuity. In addition to increasing the supply
of housing, the corporation would also be in-
volved in the establishment of industrial parks
to nurture development in certain parts dt the
province. It would also purchase and lease
back land and buildings to the Ministry of
Government services in competition with the
private sector. It would acquire the assets of
projects such as the north Pickering com-
munity development project and possibly
other new towns.
The Ontario land corporation would en-
able the government to make better use of the
special skills and entrepreneurial talents avail-
able in the private sector.
I envisage the financing of the corporation
to be similar to that of Ontario Hydro. Land
acquisition will be financed by current reven-
ues, by government loans and by own-account
borrowing guaranteed by the province.
I am inviting proposals from the investment
community to form a new syndicate for the
financing of this corporation, using imagina-
tive debt instruments and introducing a new
note of competition into the capital markets.
By bringing together major land purchases
of the government in this manner, it will be
possible to plan for the development of re-
gions in the province on a co-ordinated basis
and to increase the impetus of development
in eastern and northern Ontario.
Mr. E. Sargent (Grey-Bruce): When is the
election?
Hon. Mr. White; I take that as a really
sincere compliment; thank you. It's the clever-
est thing I have ever heard the hon. member
say.
Mr. Speaker, I should like to describe pro-
posals designed to secure for the public of
Ontario a larger share of profits from mining
and forestry industries.
During the past two years a wodd-wlde
shortage of raw materials had developed on
an unprecedented' scale. Increased oemand
by major industrialized countries has resulted
in sharply higher metals prices and substan-
tial windfall gains for the mining industry in
Ontario. With the prospective demand for
minerals likely to sustain current price trends
into the future, it is only fair that we secure
for the people a higher return from our
natural resources.
Mr. Cassidv: The government has never
thought that before.
Hon. Mr. White: For legal and financial
reasons I have decided to increase the mining
1018
ONTARIO LEGISLATURE
profits tax rather than impose a new royalty
on our resources.
Mr. Lewis: What is he talking about? It is
just that the government can give less this
way but give the appearance of more, that's
all.
Mr. Cassidy: The same ripofiF has been
going on for decades.
Mr. Speaker: Order, please.
Hon. Mr. White: The mining profits tax
has the advantage that it takes into account
the expenses of extracting the ore and con-
sequently it does not discourage the mining
of low-grade ore; a royalty system, on the
other hand, tends to encourage high-grading
—that is, the mining of only high-grade ore.
I am proposing, therefore, to double the
revenue yield of the mining tax.
Mr. Cassidy: From nothing to nothing.
Hon. Mr. White: This is to be achieved by
replacing the present 15 per cent flat-rate
tax with a graduated rate ranging from a zero
rate on the first $100,000 of profits to a rate
of 40 per cent on profits in excess of $40
million.
Mr. Lewis: Who determines profits? Who
determines them? Some tax!
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): Not the member's
father anyway.
Mr. Speaker: Order, please.
Hon. Mr. White: This new initiative would
secure a large share of windfall gains with-
out imposing an unfair burden of taxation
should metals prices and profits decline. The
low initial rate of the graduated tax will be
of assistance to the smaller mining companies
whose operations often provide the only major
source of employment in isolated northern
communities.
In addition to doubling the mining tax, I
am proposing other measures to increase in-
come tax revenues from the mining industry.
These are:
Abolition of the three-year exemption for
new mines;
Disallowance of the deduction of mining
taxes and mining royalties for corporate in-
come tax purposes; and
Removal of the mine and mill allowance
under the capital tax.
lAt the same time, I am proposing changes
which will increase incentives for explora-
tion and development and processing in
Ontario. These changes are:
The depletion allowance will continue to
apply automatically to all operators and non-
operators—
Mr. Cassidy: Non-operators too, eh?
Hon. Mr. White: —the fast write-ofi^ pro-
visions under the federal Income Tax Act
will be paralleled by Ontario for new mines,
major expansion of existing mines and asso-
ciated processing facilities-
Mr. Lewis: The Treasurer is quite un-
believable.
Mr. Speaker: Order.
Hon. Mr. White: —full deduction of pre-
production expenses will be allowed under
the Mining Tax Act; and full deduction will
be allowed under the Corporations Tax Act
of exploration and development expenses in-
curred in Ontario by non-principal business
corporations.
The last provision means that a corpora-
tion not in the mining industry will be en-
titled to decrease taxable income for Ontario
corporation income tax purposes by the
amount of the expenses incurred in exploring
for and developing mining properties, as has
been the case in the past for mining com-
panies only. The federal government will be
asked to consider similar provisions aff^ecting
their corporate income tax.
Mr. Cassidy: This is known as the cor-
porate ripoff.
Mr. Speaker: Order please.
Hon. Mr. White: In addition to the above
tax incentives, the Ontario government is
considering the expansion and modification
of the mineral exploration assistance pro-
gramme to cover the whole province. The
goverrmient is also considering the establish-
ment of a Crown corporation to imdertake
exploration activities in Ontario. The Minis-
ter of Natural Resources (Mr. Bemier) will
announce full details of these programmes
later this year.
Mr. R. F. Nixon: He already has.
Hon. Mr. White: In a full year, the net
impact of these changes will be to increase
provincial revenues from the mining industry
by $50 million, from $75 million in 1973-
1974 to $125 million in 1974-1975.
Mr. Lewis: The government could hardly
have done less.
APRIL 9. 1974
1019
Hon. Mr. White: In addition to doubling
the yield of the mining tax, I am also pro-
posing to double the CroNvn dues which the
province receives from the cutting of timber
on Crown lands. These dues are the main
form of revenue from Crown timber. It has
been many years since they were last in-
creased. Some increase in revenue will also
result from a reduction in the large number
of different rating groups for tnese dues.
The combined addition to revenue is about
$12 million in a full year. This will raise the
present level of revenues from $12 million
to $24 million in 1974-1975.
Mr. Cassidy: It still won't pay for services
to the mining companies.
Mr. Speaker: Order, please. It is customary
that the hon. Treasiu-er be granted the cour-
tesy of delivering his budget without interrup-
tions and interjections. I would ask the hon.
members to please observe this condition.
Mr. Lewis: That is not so.
Interjections by hon. members.
Hon. Mr. White: This doubling of Crown
dues is an interim measure, pending a com-
plete review of this revenue field. The review
will be conducted by a task force under the
joint direction of the Minister of Natural
Resources and myself. It is our intention to
implement a system which will be more
responsive to changes in forest company
profits, revenues rising with increasing profits
and declining with decreasing profits.
Mr. Speaker, the extra $62 million which
will be raised from the mining and forest
industries represents a fair return to the
people of Ontario from these natural re-
Mr. Lewis: That's shocking.
Mr J. A. Renwick (Riverdale): That's abso-
lutely shocking.
Mr. Lewis: We are $300 million short.
Hon. Mr. Winkler: Go to the bushi
Mr. Lewis: One day.
Hon. Mr. White: Let me now turn to the
government's measures to share provincial re-
sources with local governments. In develop-
ing these measures, I have had the pleasure
of extensive discussions with representatives
of local government. Particularly, I had many
useful meetings with the municipal liaison
committee and its fiscal arrangements sub-
committee. These discussions contributed
greatly to the government's revenue-sharing
arrangements.
In 1973, local governments were faced
with a $140-million financing deficiency and
the need to increase mill rates on average by
eight per cent. Concerned about the prospect
of eroding tax reform gains already made, the
province increased its assistance dramatically
to prevent increases in the property tax.
In the 1973 budget, $180 million in new
forms of local support was announced. The
key element in this reform programme b the
property tax stabilization plan. This plan is a
balanced programme of different types of
unconditional grants, involving a degree of
equalization, an incentive to restrain and
economize in spending, and recognition of
special burdens and cost factors.
In retrospect, this plan has proven to be
successful and effective. I am very pleased
with the degree of co-operation from local
governments in passing on the benefits of
these transfers to their taxpayers. Property
taxes were in fact reduced during 1973 by
more than five per cent on average from 1972
levels. As a result, 1973 became the first year
the provincial transfers to local governments
exceed the total revenue from property taxes.
Mr. Speaker, I believe it will be of interest
to the members and others to gain additional
insight into the distribution of funds under
this plan and the impact it has had on local
spending and taxes. I am making available,
therefore, in a separate document on the
property tax stabilization programme a num-
ber of summary tables which display the dis-
tribution of the new grants, the local spending
growth rates and the changes in property tax
rates.
It is interesting to note the success of the
expenditure restraint introduced by the prov-
ince in keeping municipal spending growth
rates, on average, below historical standards
in spite of the rate of inflation. This expendi-
ture constraint, combined with new assistance,
ensured a substantial benefit to local taxpayers
in reduced property taxes.
The grant reforms introduced last year were
based on a comprehensive analjrsis of the
financial outlook for local governments. In
aggregate, the reforms more than covered the
anticipated local deficit. For 1974 we re-
examined the financial outlook of the local
government sector which will again be sig-
nificantly underfinanced. Local finance tends
to deteriorate more rapidly the higher the
rate of inflation in the economy because
1020
ONTARIO LEGISLATURE
municipalities' OAvn revenues are not respon-
sive to inflation.
After allowing for maximum prudent bor-
rowing, the local government sector is ex-
pected to incur a $182 million financing
deficiency in 1974 in the absence of any new
grant enrichments. To meet this deficiency,
local mill rates would have to be raised, on
average, by 10 per cent.
The implications of these prospects are con-
sidered undesirable by the Ontario govern-
ment. We propose a new revenue-sharing plan
which has the merits of creating greater cer-
tainty about future assistance, of protecting
tax reforms akeady achieved and of stabilizing
property taxation in the total tax system. The
broad oudines of the Ontario government
commitment were announced by me at the
national tri-level conference held in Edmonton
in November 1973. The three parts of the
Ontario government's revenue-sharing com-
mitment are the following:
The province will increase its transfers to
local governments and agencies at the rate of
growth of total provincial revenue;
The province will pass on to local govern-
ments the full benefit of any net gains in
new unconditional tax sharing by the federal
government; and
The province will give municipalities access
to funds generated by the Ontario Municipal
Employees Retirement System to permit better
use of credit capacity.
I am pleased to announce in this budget
$124 million in grant enrichments. This
amount reduces the potential financing deficit
to $58 million, or the equivalent of an average
increase in property taxes of 3.2 per cent in-
stead of 10 per cent. This deficiency would
be fiuther reduced by whatever new revenues
are realized from the municipal half of the
land speculation tax.
Unusually large increases in provincial
assistance such as the 1973 reforms cannot be
repeated every year because they are quite
obviously beyond the financial capacity of the
Ontario government itself. It is our suggestion
that the federal government play its part in
further alleviating the pressures on property
taxes. As shown in budget paper B, a modest
improvement in federal tax sharing would
meet the balance of anticipated local financing
deficiencies and, through the province, further
reduce municipal dependence on regressive
property taxes.
The province's revenue growth rate of 11.7
per cent is applied to basic transfers of
$2,049 million in 1973-1974. As a result the
government will make basic transfers in the
1974-1975 fiscal year of $2,288 million, which
is an increase of $239 million. This total in-
crease includes $124 milhon for new provin-
cial transfers, of which $3 million comes from
the deconditionalization of nine existing
transfer programmes. Land speculation tax
revenues are not included in those amounts.
The third commitment to local government
announced at the national tri-level conference
was the government's intention to provide
local government with access to some of the
funds generated by the Ontario Municipal
Employees' Retirement System. As 5'^ou know,
Mr. Speaker, the government has since the
inception of OMERS provided a special in-
vestment vehicle which has enabled the
system to develop a sound actuarial base. As
OMERS matures there is a general realization
that this assistance can be phased out.
Therefore, I propose that in 1975 up to 20
per cent of OMERS net receipts be made
available to the system for wider investment
opportunities, with the balance to be invested
in special Ontario debentures. This percentage
will be increased from year to year as invest-
ment experience is developed by the OMERS
organization. This proposal is in accordance
with the recommendations of the study group
established by me to review OMERS' invest-
ment policies. I expect that OMERS will take
full advantage of the government's flexible
position with respect to the investment of
these funds to achieve the primary objective
of further improving the level of pension
benefits to the system's members in future
years.
I also propose that municipal employee and
employee representation on the OMERS board
be increased while the number of Ontario
public servants on the board be reduced.
In transferring the $124 million in new
assistance to local governments we have taken
account of several objectives and situations
concerning local government. We have intro-
duced five new regional governments; we
have recognized the realities of urban transit
problems; we have continued an equalizing
role; and we have provided universal assist-
ance to local government to meet the 1974
financial requirements in the face of slow-
growing local revenues.
We have designed a package of enriched
unconditional assistance which meets these
requirements. The main vehicle for the prov-
ince's larger transfers is the property tax
stabilization plan comprising resource equal-
ization grants, general and special support
grants as well as per capita grants.
APRIL 9. 1974
1Q21
Mr. J. E. Stokes (Thunder Bay): What
about the unorganized territories?
Hon. Mr. White: The resource equalization
grant was the most important component of
the 1973 property tax stabilization plan. The
government intends to increase this grant by
a number of changes in the formula. These
changes are summarized as follows:
The standard of equalized assessment per
capita will be raised to $10,100, reflecting the
increased average per capita assessment in
Ontario;
The grant rate will be raised from 50 per
cent to 60 per cent of the relative deficiency
below this average;
The base of the grant will be the 1973 net
general dollar levy, which will be broadened
to include grant entidements under the 1973
Property Tax Stabilization Act; and
The maximum rate of this grant will be
raised from 20 to 25 per cent of the 1973 net
general dollar levy as adjusted for last year's
grant entidements with further adjustments
for former recipients of mining revenue pay-
ments.
The above enrichments of the resource
equalization grant will transfer an additional
$15 million to resource-deficient municipalities
in the province, bringing the total funds com-
mitted by the province in 1974 for resoiux;e
equalization to $71 million.
In 1974-1975, the Ontario government will
enrich significantiy the generaJ. supiwrt grant
This grant is available to all municipalities
and it is responsive to tax eflFort as well as to
local economies in spending growth. The
grant rate schedule has been revised to take
into account the predicted rate of inflation
without removing the incentive to restrain
spending.
Last year, the lowest grant rate of two per
cent corresponded with a spending growth rate
of 12 per cent or higher. This year, the k)west
grant has been raised to three per cent and
will correspond to a spending growth rate of
14 per cent or higher.
The schedule increases the grant rate by
one per cent for every percentage reduction
in expenditure growth below 14 per cent so
the maximum grant rate of nine per cent is
earned when the spending growth is held to
eight per cent or less. AU upper and lower-
tier municipalities in new regional municipal-
ities will receive a flat grant rate of seven
per cent of their 1974 net general dollar levy.
The estimated increase in general support
grants in 1974-1975 is $33 mfllion, raising the
total value of this grant to $82 miDion.
The special 10 per cent support grant to
northern Ontario municipahties has provided
significant relief to local governments and tax-
payers in the remote parts of the province
where costs substantially exceed those in other
parts of the province. The Ontario govern-
ment has decided to increase the rate of this
tax support grant from 10 to 12 per cent of
the net general dollar levy. This higher rate
will provide an increase in special assistance
to northern communities of $4 million in 1974,
from $9.9 million last year to $13.9 million in
1974-1975.
The per capita grants for both regional and
other municipalities will be simplified and
increased. Regional governments will receive
a 10 per cent increase plus an additional 20
cents per capita to assume responsibihty for
local planning. This amounts to an increase
from $8 to $9 per capita, which is 12.5 per
cent. The scale of payments for per capita
grants for non-regional municipalities is in-
creased by a similar percentage together with
a reduction in the number of population
ranges. Both types of per capita grants will
be calculated on a two-year advance in the
population base.
The grants made towards the cost of polic-
ing will also be increased for 1974, and will
be made on the same updated population
base as the main per capita grant. The rate
of grant will be increased from $3 to $5 per
capita for non-regional or regional lower-tier
municipalities providing policing services and
from $5 to $7 per capita for regional munic-
ipalities with regional police services. The
additional cost of these enrichments will
amount to $17 million to a 1974-1975 total of
$42 million.
Having recognized si>ecial problems in the
large areas, the Ontario government proposed
to recognize unusual situations which have
arisen in rural areas. In recent years, spending
restraints of the province have increasingly
resulted in mimicipal spending on roads with-
out the benefit of financial assistance towards
part of this activity. This has become a par-
ticular concern in those small municipalities
which cannot realistically ease their road
spending requirements by public transit solu-
tions. To meet this pressing problem, the
province will allocate a special $17 million to
assist the smaller municipalities in rural areas
in financing their needs for roads.
Mr. D. C. MacDonald (York South): It is
good to see members opposite come to life.
Mr. Sargent: Does that include Highway
10?
1022
ONTARIO LEGISLATURE
Hon. Mr. White: This brings the province's
total road building and maintenance grants to
$229 million in 1974-1975 from $199 million
in 1973-1974.
Lastly, we intend to improve the arrange-
ments by which the province subsidizes public
libraries and museums. A total of $16.5 mil-
lion will be set aside for these purposes com-
pared to total grants of $13.5 million last year.
Mr. Speaker, I think it might be of assist-
ance to the members if I summarized at this
point the increases in provincial grants to
local government. The province expects to
increase its total direct transfers to local gov-
ernments by $239 million— $124 million in
new grants and $115 million in increases to
existing transfer programmes. The Ontario
government is channelling most of the new
resources into unconditional grants. These
measures provide for substantial sharing of
our limited resources with local governments.
I am introducing a new list of grants in
appendix B to be considered for decondition-
alization in 1975. This list is based on recom-
mendations from municipal oflScials and
further progress is to be expected in the 1975
budget.
Mr. Speaker, the government's financial
plan for 1974-1975 aims at:
A neutral economic impact with spending
growth of 14.2 per cent;
A balance in tax increases and tax cuts;
Stable net cash deficits as this term is de-
fined; and
A substantial reduction in the public debt
resulting from cash receipts in excess of cash
disbursements and from decreases in our
liquid reserves.
Budgetary expenditures are forecast to in-
crease by 14.2 per cent in 1974-1975. This is
a higher rate of increase than in 1973-1974
but it is below the average of the last five
years in spite of inflation. This inflation has
raised the costs of existing programmes and
has also necessitated increased provincial
transfers. Following the procedure adopted
last year, the estimates are again being tabled
separately by the Chairman of the Manage-
ment Board on the basis of policy fields and
the responsible ministers will provide a de-
tailed description of expenditure plans when
the estimates are debated.
The province's 14.2 per cent expenditure
growth compares favourably with other prov-
inces and the federal government. Once again,
the increase in expenditure closely matches
the rate of growth in the provincial economy.
Consequently, during the past three years the
government's share of total output has not
increased. In contrast, federal spending in-
creased by 24 per cent in 1973-1974 and a
further increase of about 18 per cent is
expected in 1974-1975.
I estimate that the tax changes proposed in
this budget will have little net impact on
revenues. In 1974-1975 I am forecasting
budgetary revenues to grow at 12.1 per cent
including the revenues from the land specula-
tion tax.
The net cash deficit, so-called, is estimated
at $708 million in 1974-1975, which is lower
than last year. The budgetary deficit will
increase from $421 million in 1973-1974 to
$625 million in 1974-1975, while the non-
budgetary deficit wiU decrease from $300 mil-
lion in 1973-1974 to $83 million in 1974-1975.
The province's net cash requirements wiU
amount to about 1.3 per cent of gross pro-
vincial product in 1974-1975, the lowest in
five years. Throughout the past decade net
debt as a percentage of GPP has remained
well below the nine per cent guideline recom-
mended by the Ontario committee on taxation.
In addition, it would now require less than
six months' revenue to pay oflF a net debt,
compared with nine months* revenue a decade
ago. In other words, sir-
Mr. Sargent: Anybody can do that.
Hon. Mr. White: —after a decade of finan-
cing rapid growth and expansion in essential
public services and financial aid to municipal-
ities the financial integrity of the province is
as sound as ever.
Mr. Roy: Who said?
Mr. J. E. BuIIbrook (Samia): It shows that
inflation is up again.
Hon. Mr. White: Mr. Speaker, when I
became Treasurer of Ontario some 15 months
ago I set myself the objective of reducing
outstanding public debt. I am pleased to re-
port that I accomplished a reduction in the
outstanding public debt of $225 mfllion in
1973-1974.
To assure the maintenance of the province's
high credit standing, our debt reduction pro-
gramme will be accelerated. In 1974-1975 I
am planning to retire $99 million of maturing
public debt.
Mr. Cassidy: This is a shell game.
Hon. Mr. White: In addition, I intend to
begin a special debt reduction programme
with a potential target value this year of
$350 million, thereby providing a total target
APRIL 9. 1974
1023
for debt reduction of $449 million. This pro-
gramme will be designed and conducted to
minimize any disturbance of the market for
our bonds.
Mr. NfacDonald: He is outdoing Whacky
Bennett.
Mr. R. F. Nixon: It is Whacky Bennett's
budget.
Hon. Mr. White: It will relieve pressure on
Canadian capital maricets and provide borrow-
ing capacity for Ontario Hydro, private sector
and local government financing.
Mr. BuUbrook: Well, it still can't save the
Tories.
Mr. Lewis: That last page was truly
amazing.
Hon. Mr. White: Mr. Speaker, I have de-
scribed a bold attack to meet the challenge of
inflation. When the federal government joins
Ontario with equally positive actions we can
anticipate success in the battle against in-
flation.
Mr. Roy: Did Bob Stanfield write that?
Interjections by hon. members.
Hon. Mr. White: To recapitulate, this
budget guarantees an annual income for those
most in need; secures a fair return to the
community from our natural resources; re-
duces the tax burden on the consumer;
discourages speciJation in land and real
estate; encourages Canadian ownership of
Ontario land and buildings; provides for a
fairer distribution of the tax burden; shares
provincial revenues generously with local gov-
ernments; strengthens the province's financial
planning; and, sir, it introduces even greater
equity in the progressive Province of Ontario.
The measiu-es proposed in the 1974 budget
befit a strong and compassionate province. I
am confident, sir, that with these initiatives
Ontario will remain in the forefront among
progressive and dynamic jurisdictions any-
where in the world.
Thank you.
Mr. Lewis: Well, in at least one respect
it is better than last year.
Mr. Roy: Last year you weren't—
Hon. Mr. Grossman: They are dumb-
founded over there— still breathLig, but dumb-
founded.
Mr. Breithaupt moves the adjournment of
the debate.
Motion agreed to.
Mr. W. Hodgson (Yoric North): Not much
more to say, is there?
An hon. member: Not much the member
can say.
Mr. R. F. Nixon: Well at least his friends
in the gallery know why the member is over
there.
Hon. Mr. Meen moves the House revert to
the introduction of bills.
Motion agreed to.
LAND SPECULATION TAX ACT
Hon. Mr. Meen moves first reading of bill
intituled. An Act to impose a Tax on Specula-
tive Profits Resulting from the Disposition of
Land.
Motion agreed to; first reading of the bill.
Mr. Cassidy: Every pennv of profit up until
today is just untouched dv this bill. You
know, 2% years of speculation since the
Premier was elected and it isn't touched.
They are laughing all the way to the bank.
Hon. Mr. Grossman: Why does the mem-
ber for Ottawa Centre look so sad?
Mr. MacDonald: The members opposite
were smiling last year after the budget but
were crawling around by the end of the week.
Interjections by hon. members.
Mr. Speaker: Introduction of bills, as soon
as we have order.
Hon. Mr. Grossman: The NDP leader is
scraping the bottom of the barrel.
Mr. Lewis: Well, one scrapes where one
scrapes.
Hon. Mr. Davis: And hell vote for this
one, too.
Mr. E. W. Martcl (Sudbury East): Will
the Premier accept amendments?
Hon. Mr. Grossman: Try it.
Hon. A. K. Meen (Minister of Revenue);
Mr. Speaker, this bill will implement the
budget proposals for a land speculation tax.
It is a complex tax bill and as mentioned by
the Treasurer in his budget statement, we en-
visage a series of amendments and refinements
will be required as we gain experience with
it.
1024
ONTARIO LEGISLATURE
LAND TRANSFER TAX ACT
Hon. Mr. Meen moves first reading of bill
intituled, the Land Transfer Tax Act, 1974.
Motion agreed to; first reading of the bill.
Hon. Mr. Meen: Mr. Speaker, this bill re-
places the existing Land Transfer Tax Act and
will implement the budget proposals for a 20
per cent tax on non-residents acquiring land.
It also includes provisions required for the
administration of this new tax.
Mr. Lewis: It will be passed on to the
consumer.
RETAIL SALES TAX ACT
Hon. Mr. Meen moves first reading of bill
intituled, An Act to amend the Retail Sales
Tax Act.
Motion agreed to; first reading of the bill.
Mr. Lewis: Now, this isn't bad. This has
redeeming features to it.
Hon. G. A. Kerr (Solicitor General): The
member can start using soap now!
Hon. Mr. Grossman: That isn't bad either.
Interjections by hon. members.
Hon. Mr. Meen: Mr. Speaker, this bill con-
tains the amendments to the Retail Sales Tax
Act required to implement the budget pro-
posals related to sales tax. It also contains
several minor amendmens not directly related
to the budget, but which will be conveniently
made at this time.
Mr. Lewis: That's all? Where is the bill on
the mining revenues? Why do the mines get
off and the people don't?
Hon. Mr. Winkler: Mr. Speaker, before I
move the adjournment of the House, I would
like to inform the members that on Thursday
next we will deal with the last Act as intro-
duced by the Minister of Revenue, An Act to
amend the Retail Sales Tax Act. It will be
printed and will be in the books ready for
Thursday morning. Should we conclude that
piece of business, we will deal with the esti-
mates of the Ministry of Correctional Services
to complete the day, and the House will
adjourn at 6 o'clock on Thursday.
Hon. Mr. Winkler moves the adjournment
of the House.
Motion agreed to.
The House adjourned at 5:05 o'clock, p.m.
APRIL 9, 1974 1025
CONTENTS
Tuesday, April 9, 1974
Solandt Commission report, statement by Mr. Grossman 987
Solandt Commission report, questions of Mr. Grossman: Mr. R. F. Nixon, Mr. Good . 987
Private sector involvement in nuclear power development, questions of Mr. Grossman:
Mr. R. F. Nixon, Mr. Sargent 988
Health planning task force report, questions of Mr. Miller: Mr. R. F. Nixon, Mr. Stokes,
Mr. Roy, Mr. Cassidy 988
OHC advertising, question of Mr. Handleman: Mr. R. F. Nixon 990
Etobicoke housing subdivision, questions of Mr. Handleman: Mr. Lewis, Mr. R. F.
Nixon 990
Lake Erie public beaches, questions of Mr. Bemier: Mr. Lewis, Mr. Haggerty 991
Coincidental timing of Hydro projects, questions of Mr. Davis: Mr. Lewis, Mr. R. F.
Nixon, Mr. Cassidy 992
Corporation income tax paid by oil companies to province, questions of Mr. Meen:
Mr. Lewis 993
Deep well pollution, questions of Mr. W. Newman: Mr. R. F. Nixon 995
Environmental impact of public works, questions of Mr. W. Newman: Mr. Lewis, Mr.
Cassidy, Mr. Singer 995
Crop insurance, question of Mr. Stewart: Mr. Wiseman 997
Housing programmes, questions of Mr. Handleman: Mr. Foulds, Mr, Spence 997
Fire insurance for rooming houses, question of Mr. Clement: Mr. Cassidy 997
Farmers' concerns over locaHon of nuclear plant, questions of Mr. Stewart: Mr.
Riddell, Mr. Lewis 998
Lake Superior outflows, questions of Mr. W. Newman: Mr. Foulds 998
Land titles oflDce, question of Mr. Clement: Mr. Singer 999
Presenting report, standing public accounts committee, Mr. Reid 999
Motion re estimates referred to standing administration of justice committee, Mr.
Winkler, motion agreed to 1000
Farm Products Grades and Sales Act, bill to amend, Mr. Stewart, second reading 1000
Third reading. Bill 20 1005
Agricultural Societies Act, bill to amend, Mr. Stewart, second reading 1005
Budget address, Mr. White 1010
Land Speculation Tax Act, bill intituled, Mr. Meen, first reading 1023
Land Transfer Tax Act, bill intituled, Mr. Meen, first reading 1024
Retail Sales Tax Act, bill to amend, Mr. Meen, first reading 1024
Motion to adjourn, Mr. Winkler, agreed to 1024
No. 24
Ontario
Hegisilaturc of d^ntario
OFFICIAL REPORT — DAILY EDITION
Fourth Session of the Twenty-Ninth Legislature
Thursday, April 11, 1974
Speaker: Honourable Allan Edward Reuter
Clerk: Roderick Lewis, QC
THE QUEEN'S PRINTER
PARUAMENT BUILDINGS, TORONTO
1974
Price per session, $10.00. Address, Clerk of the House, Parliament Bldgs., Toronto
CONTENTS
(Daily index of proceedings appears at back of this issue.)
1029
LEGISLATIVE ASSEMBLY OF ONTARIO
The House met at 2 o'clock, p.m.
Prayers.
Mr. Speaker: Statements by the ministry.
FEDERAL COMPETITION LEGISLATION
Hon. R. Welch (Provincial Secretary for
Justice and Attorney General): Mr. Speaker,
I am tabling a letter and a report to the
federal Minister of Consumer and Corporate
Affairs, the Hon. Herb Gray.
This material expresses this government's
concern with respect to Bill C-7, An Act to
amend the Combines Investigation Act. I
would certainly wish that both this material
and my comments this afternoon will be
viewed as presented, in a spirit of co-opera-
tion aimed at helping shape economic policies
which, of course, transcend federal and pro-
vincial jurisdictions.
The federal government's competition policy
was first introduced in June, 1971, as Bill
C-256, the Competition Act. In February,
1973, the Ontario government published its
views on that initial legislative attempt. The
present bill. Bill C-7, is the first part of the
federal government's two-stage legislative ini-
tiative designed to implement its revised
competition pohcy.
From the information made public by the
Hon. Herb Gray, it is our understanding that
this second stage will contain the main thrust
of the federal government's competition policy.
Therefore, before I outline our concerns about
this first stage, Bill C-7, may I reiterate some
of the views made in our earlier report?
First, we would appreciate a clear indica-
tion that the federal government has formu-
lated its competition policy within the context
of a comprehensive national industrial policy.
Little explanation has been discernible as to
how this proposed competition policy will co-
incide with the federal governments policies
on taxation, tarifi^s, foreign investment and
regional development, to name a few.
Second, we are concerned that the second
stage legislation may contain provisions poten-
tially so restrictive as to prevent the desirable
long-term restructuring of the Canadian econ-
Thursday, April II, 1974
omy. There is a need to give more priority to
the benefits which can be achieved through
industrial rationalization, such as its efi^ects on
employment and Canada's ability to compete
in international markets.
And third, Mr. Speaker, the Restrictive
Trade Practices Commission should not be
given the authority to determine Canada's
industrial strategy.
The combination in the Restrictive Trade
Practices Commission of both a pohcy-making
function and a poHcy-implementation function
would result in that body being vested with
almost unrestricted discretion. When stage II
is introduced, the federal government should
ensure that the objectives oi the government's
policy are presented in clear legislative state-
ments, and that there be timely and mean-
ingful consultation with both the private and
public sectors.
Let me now turn to Bill C-7, Mr. Speaker,
the first stage of this two-stage legislative
process.
This government is in basic agreement with
many of the aims of stage I. We are pleased
to see additional federal efforts to protect the
consumer, and we agree that the services
industries should, in general, be brought with-
in the scope of anti-combines legislation.
At the same time Ontario does have a
number of reservations about this current
federal legislation. They fall into three broad
areas.
First, there are the problems raised by
overlaps in federal and provincial jurisdiction.
There are a number of cases where specific
practices and industries may be subject to
provincial laws which overlap or conflict with
the provisions of Bill C-7. For example, the
province currently regulates a number of pro-
fessions as well as a number of specific indus-
tries, such as loan and trust corporations and
the securities industry. Similarly, areas such
as telecommunications and transportation
which are at least partly regulated by the
federal government may also be subject to
competition legislation. These overlaps create
confusion and uncertainty and are detrimental
to the conduct of business.
Second, there are problems arising out of
the enlarged scope and authority to be
1030
ONTARIO LEGISLATURE
granted to the Restrictive Trade Practices
Commission. While we agree that an ad-
ministrative body is an appropriate forum
for resolving some judicial issues, we think,
however, that Bill C-7 should include
specific rights of appeal on decisions of the
commission to a superior provincial court
with a tradition of experience with criminal
matters. We are also concerned about the
appropriateness of granting a subordinate
agency the power to determine industrial
organization and structure and to make
policy which it will then implement.
Our third point is that there are economic
and legal problems arising out of am-
biguities and uncertainties in Bill C-7. On-
tario thinks that certain portions of Bill C-7
are unclear and will make business planning
difficult. To some extent, this problem can
be dealt with by redrafting portions of the
statute, expediting passage of regulations,
and by issuing rulings and policy guidelines.
Our report placed before members today
provides specific examples of our concerns.
It is obvious that any federal competition
legislation v^dll have a major impact on the
provinces. Not only are their economies
directly affected, but new federal competi-
tion law will also in many instances neces-
sitate changes and additions to provincial
statutes. In view of these intergovern-
mental implications, it seems appropriate the
provinces should continue to play a major
role in the evolution and the continuing im-
plementations of national competition policy.
Beyond those three broad areas of pro-
vincial concern, Mr. Speaker, I would like to
add the hope we have that the bill's objec-
tives for consumers and distributors might be
clarified. For example, the possibility that a
manufacturer might be required to supply all
distributors so requesting, could militate
against the responsible, often small retailer,
who emphasizes full-line service and main-
tenance and who gives priority to Canadian
goods.
On a number of occasions, and again today,
Ontario has stressed the importance of pro-
vincial participation in the development of
economic policies which transcend both
federal and provincial jurisdictions. Competi-
tion policy is clearly one of these areas. It is,
therefore, in the spirit of co-operation that our
views are put forward in this House this
afternoon.
STUDY ON FOOD COMPANY
PROFITABILITY
Hon. J. T. Clement (Minster of Consumer
and Commercial Relations): Mr. Speaker,
there has been a great deal of concern wdth
regard to increasing food prices and questions
have been raised about the increased profits
of food companies. In addition, there appears
to be a great deal of confusion as to exactly
who or what is causing the prices to rise. In
response to these inquiries my ministry has
been trying to get at the facts. We are pre-
paring a two-part study on the profitability
of the food industry to try and establish once
and for all the accurate situation.
I would like to place before the Legis-
lature today part one of an analysis of profit-
ability for 16 companies in the food industry
which has been prepared for the ministry.
This document, together with the supporting
statistical data, covers the period from 1967
to 1972. Part two of this report will be made
public in late June or early July, which vidll
review and analyse 1973 financial results just
now becoming available.
The purpose of the overall study, Mr.
Speaker, is to determine the extent to which
food company profits contribute to rising food
prices. We are all aware of last year's rapid
increases in food prices. Food company profits
also increased along with the prices, making
necessary an independent study of the re-
lationship between prices and profit. I believe
the provincial government has a natural role
to play in providing such a study.
The method we are pursuing has three im-
portant steps. First, we are attempting to
separate the profits of food operations from
those resulting from acquisitions, real estate
transactions, or changes in federal taxes. If
our objective is to trace the relationship be-
tween food prices and profits, food profits
should first be isolated.
The second step is to assess profitability in
the base period of 1967 and 1972, when
prices and profits were relatively stable, and
compare these results with the profitability
of the same companies in 1973, when profits
and prices increased sharply.
Our third step will be to compare the
profit trends of the food industry with those
of other industries having similar capital
structure, size and business risk.
By employing this approach, Mr. Speaker,
we intend to avoid the errors made by many
others who have offered their quick and ill
considered analysis of the situation. We will
not be comparing increases over a short time
APRIL 11, 1974
1031
period in order to have dramatic appeal; nor
will we jump to the conclusion that all in-
creases are excessive, particularly if the figures
indicate a return to previous acceptable levels
of earnings rather than the achievement of
new levels of profitability. We will also sep-
arate out as much as possible the impact of
short-term tax changes and non-food profits
to provide a proper basis for judging the re-
lationship between food company profits and
price increases.
Our studies will not attempt, Mr. Speaker,
to provide a final answer to whether or not
food company profits are excessive. Certainly
the comparison of food industry rates of re-
turn with those of other similar industries will
be most helpful in determining the acceptabil-
ity of food industry profits. However, the final
determination on what is excessive must be
made by the public— and that is how it should
be.
An interplay between social and economic
forces must decide the definition of excessive
profits. The entry of new firms into an in-
dustry in which profits appear to be out of
keeping with risk will occur naturally and
tend both to define and to off^set excessive
profit situations.
Investor expectations, corporate require-
ments for expansion and modernization, the
cost of money and public confidence in busi-
ness axe further components in the final
determination.
Mr. I. Deans ( Wentworth ) : He sounds like
an apologist even before he begins.
Hon. Mr. Clement: One of the purposes of
this study is to initiate an informed dialogue
with the public and industry, leading to a
fuller understanding of why profits are needed,
how they occur and what level of profitability
is considered acceptable by consumers, in-
vestors and company management. Perhaps it
will be possible to come to a consensus for the
industry's rate of returns, taking into account
all these viewpoints.
Mr. Speaker, I would also like to point out
. a number of diflficulties turned up by this
I study.
The most important difficulty has been the
inadequacy of some of the financial data pub-
lished by many food companies. It seems to
f me that annual reports are written with too
much emphasis on management accomplish-
ments and too little accent on informing the
public. Disclosure requirements are being met,
but in an effort to please shareholders or
frustrate the competition, valuable information
is not being given— information vital to the
consumer.
Companies should be showing us in more
detail where their profits are coming from,
why they are needed and where they are
going.
Mr. V. M. Singer (Downsview): Is the
minister going to amend the Busine&s Cor-
porations Act?
Hon. Mr. Clement: Most "source and ap-
plication" statements are insufficient to assure
the consumer as to corporate responsibility;
nor is this the best medium to use for com-
municating to the public. Some companies
even refuse to send copies of their annual
report to non-shareholders.
Communicating with their consumers should
be a major objective of every company, espe-
cially where there is much widespread con-
cern about rising prices. In the ca.se of the
food industry, the legitimate concern con-
sumers have for what is happening to the
extra money they are forced to pay for food
has become an important social issue.
Mr. Speaker, I intend in the very near
future to write to the major companies in the
food industry to suggest that greater co-
operation be shown to the consumer seeking
information, and that greater efi^ort be given
to explaining the facts about the profitability
of their companies.
Mr. E. J. Bounsall ( Windsor West ) : Legis-
late it.
Hon. Mr. Clement: Part one of this study
which I am tabling today for the benefit of
all members is, I think, a sound begiiming to
a clear and complete analysis of the profitabil-
ity of one of our most important industries.
I ask the members of this Legislature, the
public and the companies to give this report
a dispassionate reading and then to write to
me with comments and suggestions to direct
our further investigations and to contribute
to the conclusions. Because we intend to com-
plete this study by July, I hope to receive
these comments before the end of May.
Mr. Speaker, a copy of this study has been
sent to the federal Food Prices Review Board
which is doing a similar study of the food
industry. One of the cjuestions that will
naturally arise is the position of our govern-
ment and the federal govenament should this
analysis and subsequent public consensus indi-
cate that some excessive profits are being
made. At this stage, with many facts outstand-
ing and many questions unanswered, particu-
larly the question of how and where profits
1032
ONTARIO LEGISLATURE
are being made, no conclusion or statement
of position is possible. We must first see
where this study leads us and then judge the
public's reaction to it.
Thank you.
Mr. S. Lewis (Scarborough West): Is the
minister tabling a study without any con-
clusions? Is that it?
PHASING OUT OF JUVENILE
TRAINING SCHOOL
Hon. R. T. Potter (Minister of Correctional
Services ) : Mr. Speaker, the hon. members will
recall that two years ago the ministry initiated
a group home programme. These group homes
offer a homelike atmosphere for those young
people in our care who, in our consideration,
do not require institutionalized care but who
are unable to cope with the more intense
relationships involved in the normal single-
child foster home.
The development of the programme in the
past two years has served to illustrate that
many voung people, after a short assessment
period, can function well in the community
when given care and supervision.
A vear ago, due to the success of this
policy, we were able to discontinue the use
of Elmcrest Training School. Since that time
the group home programme has continued to
develop and as a result the ministry is now
in the position where it can discontinue the
use of a second training school. Moreover, I
venture to say that providing present patterns
of commitment to training schools continue
we will be in a position, 18 months from now,
to close a third training school.
The phasing-out of another training school
is, of course, in keeping with the ministry's
polic}', with adults as well as with juveniles,
of caring for and supervising those placed in
its care in the community wherever possible
rather than in a training school or in a cor-
rectional centre.
The decision as to which school to phase
out was not an easy one, but after most
careful deliberation by the ministry's task
force charged with examining the alternatives,
the decision has been made to close Glen-
dale school in Simcoe as a training school and
to operate it as an adult training centre. The
programme which will be developed there will
be very similar to that of the Brampton Adult
Training Centre and will cater to young adults
who are first offenders and who, without this
new alternative being available would nor-
mally be housed in the Guelph Correctional
Centre.
Few alterations need to be made to equip
Glendale school for this purpose, and it is
anticipated that most of the staff now em-
ployed at Glendale will choose to become
involved in the new programme for young
adults. Staff who do not wish to work with
the older age groups will be offered employ-
ment opportunities in other training schools.
CONTAINERS FOR FARM PRODUCE
Hon. W. A. Stewart (Minister of Agricul-
ture and Food): Mr. Speaker, you will recall
that when objections were raised last fall to
the requirements that new containers must be
used by producers to market certain veg-
etables, I undertook to review the regulation
with the Ontario Fruit and Vegetable Grow-
ers Association. When the Act was first intro-
duced in 1937, it consolidated several existing
Acts. Subsequent amendments to the Act and
the regulations under the Act have attempted
to keep pace with both the sophisticated de-
mands of the consumer and the changing
marketing attitudes of our fruit and vegetable
producers.
In the last 10 years Ontario's fruit and
vegetable industry has upgraded the quality
of its packaging. This trend has been accentu-
ated by the influence of United States pack-
aging in the industry itself. This trend will
undoubtedly continue in the North American
market.
Uniformity of packaging characterizes the
milk industry and many other food products;
returnable plastic milk containers commer-
cially used for milk are not also used for some
other purpose. This practice itself protects
consumers from undue contamination and
provides them with a greater assurance of a
wholesome product. The fact that containers
used for fruits and vegetables are essentially
of multi-purpyose design, warrants a particular
effort to ensure that fniits and vegetables are
packed in clean, sound containers.
We propose to revoke clause (h) of section
3 of regulation 293 of the Revised Regulations
of Ontario, 1970, and the following is substi-
tuted:
3. No person shall pack, transport, ship,
advertise, sell or offer for sale any produce—
and this is under subsection (h) —
(h) in a package that is damaged, stained,
soiled, warped or otherwise deteriorated so
as materially to effect the soundness, appear-
ance or wholesomenes of the produce packed
therein.
This regulation is a revision based on both
the present federal regulations and our own
APRIL 11. 1974
1033
regulation on the packaging of farm products,
adding the new requirement of wholesome-
ness.
The regulations which require the grower
to place his name plainly on a container which
is being used for the purpose of selling
produce, and which prohibit use of a container
bearing another producer's name, remain in
force and will be more vigorously enforced.
In light of the above amendments, subsec-
tion (4) of section 27 of regulation 293,
which requires new containers only to be used
for cabbage, cauliflower, celery and head
lettuce, is revoked. This will permit the use
of used containers for cabbage, cauliflower,
celer)- and head lettuce as long as the con-
tainers are not altered so as to aff^ect the
soundness, appearance or wholesomeness of
the produce.
The amendment will become law on Tues-
day, April 16, 1974.
Mr. Speaker: Oral questions.
The hon. Leader of the Opposition.
STUDY ON FOOD COMPANY
PROFITABILITY
Mr. R. F. Nixon (Leader of the Opposi-
tion ) : A question of the Minister of Consumer
and Commercial Relations relative to his state-
ment: Is it his intention to replace legislative
action at this session with the further study
that he has announced today, even though the
first part dealing with pricing matters up until
1972 is tabled; particularly in view of the fact
that food costs are going up, according to
Statistics Canada, at the rate of one per cent
a month; and that vegetable costs, it was
particularly announced this morning, are go-
ing to increase in cost by 10 to 20 per cent,
even though the farmers concerned will only
get an extra cent and a half, for example for
the peas that go into the can, while their
costs are going to increase by 20 per cent?
Hon. Mr. Clement: No, Mr. Speaker, it is
not my intention to substitute the one for the
other.
Mr. R. F. Nixon: A supplementary: Since
the minister has expressed explicit concern
for the reports from the corporations, why
would he not give an indication that he is
going to amend the business corporations
statute requiring specific information that ob-
viously he feels should be a part of the
background in order for his ministry to make
decisions and new regulations?
Hon. Mr. Clement: Mr. Speaker, as the
Leader of the Opposition knows, there arc
mandatory disclosure requirements, mainly of
a financial nature, that are already part of
the Business Corporations Act and the secur-
ities legislation.
Mr. Singer: Right-but the minister is not
satisfied with them.
Hon. Mr. Clement: The things I would like
to see amplified are such matters as increased
explanations, and policies of the company
being made available in those same financial
statements. It is something to consider, but
it might well be out of the purview of the
ministry insofar as compelling the amplifica-
tion of all those matters that don't relate
primarily to financial structures pertaining to
the company and its operations.
Mr. Speaker: The hon. member for Scar-
borough West.
Mr. Lewis: I am working from memory,
fcut as I understood the minister's statement,
he indicated that despite the study on aU the
material that was available, for a five-year
period of 1967 to 1972 inclusive, no conclu-
sions could be drawn. Is that what he said?
Hon. Mr. Clement: No, Mr. Speaker. There
are certain things pointed out by the study
and, upon reading the study, members will
see certain apparent conclusions that are
arrived at by the people who prepared the
study. We are only able to go to 1972 be-
cause a number of the 1973 statements are
not yet available; hence my having to do it
in the two-stage process so that we can bring
it up to date when those other items of in-
formation are available to the ministry.
Mr. Speaker: The hon. member for Grey-
Bruce had indicated he wanted to ask a
supplementary question before the hon. mem-
ber for Downsview.
Mr. E. Sargent (Grey-Bruce): Mr. Speaker,
in view of the fact the food industry is the
biggest ball game in the world, why would
the minister put controls on land before food?
Mr. R. G. Hodgson ( Victoria-Haliburton ) :
Why doesn't the member get Lalonde to
do it?
Hon. Mr. Clement: Well Mr. Speaker, I
think before the hon. member starts talking
or asking questions in terms of priorities, he
should take a look at this report I filed today.
It's also interesting to note that investment
analysts have for a period of time hesitated
against recommending investments in certain
1034
ONTARIO LEGISLATURE
major food industries in this country, and I
think that when one takes a look at the
statement some of the answers will become
apparent, certainly pertaining to certain
operators but not all of them.
Mr. Speaker: I think the hon. member has
had one supplementary; we will alternate.
The hon. member for Downs view is next.
Mr. Singer: Mr. Speaker, could the minister
advise why he feels he must go on bended
knee to the companies to ask for additional
information in their annual statements when
it would be a simple thing to draft appropri-
ate amendments and include them in the
Business Corporations Act?
Is the minister not aware that he has told
us in his statement that he is not satisfied
that the present provisions in the Act are
sufficient to allow him to exercise a little
muscle? Couldn't he exercise muscle if he
amended the statute appropriately?
iHon. Mr. Clement: There is no question
about it; I think we have the jurisdiction to
do those things. What I am concerned about
and what I meant—
Mr. Singer: Well then, don't beg them—
do it!
Hon. Mr. Clement: —in the statement that
I gave today, Mr. Speaker, is that quite
frankly in many areas the food industry has
not, in my assessment and my advisers' assess-
ment, been conscious of its responsibilities on
a public relations basis to the consumers of
this province.
Mr. Singer: Well then, legislate it.
Hon. Mr. Clement: If necessary it is a
possibility, but I have invited comments from
members of this House as well as the general
public; and after having had an opportunity
to study those comments-
Mr. Singer: Oh yes, 12 years from now we
will have another select committee.
Hon. Mr. Clement: Well, I don't know how
long it takes the hon. member to respond to
my invitation.
Mr. Lewis: A supplementary: What about
the minister's responsibilities to the consumers
of this province, never mind the supermarkets*
PR responsibilities? Is he saying that after a
review of 16 companies in the field over a
five-vear period, in advance of the maior
profit period, he is still not prepared to take
any action selectively to roll back certain
prices? Is that the result of this study?
Hon. Mr. Clement: No, it is not the result
of that study.
Mr. J. A. Renwick ( Riverdale ) : Or even
to express a view?
Mr. Lewis: The minister doesn't even have
a view after all that.
Mr. Speaker: The hon. Leader of the
Opposition.
MUNICIPAL WATER AND SEWERAGE
GRANTS
Mr. R. F. Nixon: I would like to put a
question to the Treasurer, Mr. Speaker, actu-
ally for clarification on a couple of his state-
ments yesterday. Specifically, in the absence
of the Minister of Housing (Mr. Handleman),
can he tell the House what he expects to
accomplish with the $11 million allocated to
a special 15 per cent subsidy for servicing
costs in certain regions, in view of the fact
that it is expected there will be over 100,000
building starts?
Hon. J. White (Treasurer, 'Minister of
Economics and Intergovernmental Affairs):
We are going to give some additional financial
inducement to municipalities and regions. It
was to correct a distortion which has existed
for a decade or more.
Mr. R. F. Nixon: How many lots would be
connected?
Hon. Mr. White: I would be glad to ex-
plain the background, if the Leader of the
Opposition would like me to, although it may
not be necessary.
Mr. R. F. Nixon: Yes. I was particularly
concerned, if the minister will permit me,
about two matters. First, how many ser\dced
lots can be provided by the infusion of $11
million under this programme? And am I
correctly reading his speech that he said spe-
cifically the 15 per cent reduction would be
available only in regions or reformed counties
of which we have none as yet?
Hon. Mr. White: Yes, that's right. The 15
per cent subsidy has been available onh' when
the OWRC owned the asset. That idea was
created when London built a pipeline from
Grand Bend and when very serious objections
were raised by the municipalities standing
between London and Lake Huron. Their fear
was that London would cut off their water.
Mr. Singer: They have been doing that for
years around here.
APRIL 11. 1974
10S5
Interjections by hon. meinl>en.
Hon. Mr. White: To induce London to go
ahead with the pipeline and leave the owner-
ship of the asset with the OWRC, thereby
allaving the fears of the municipahties be-
tween London and the lake, a 15 per cent
subsidy was introduced.
Now we have regional government and will
have restructured county govenraient in many
parts of the province.
Mr. R. F. Nixon: Not in London, they
don't.
Hon. Mr. White: Had London and Grand
Bend been in a region there would have been
no need for that subsidy. Now that we have
the regional governments we want to make
available to them the same subsidy which has
been available previously, even if they them-
selves own the assets. This comes in part in
response to requests from the regions. It is
going to make quite a difference to Toronto
and certain other areas.
May I, Mr. Speaker, abridge the rules
slightly to say I have a bulletin that the mem-
ber for Grey-Bruce is celebrating his 39th
birthda\- today. In fact, the memo says 59,
but I know that can't be true.
Mr. R. F. Nixon: In this state of high
good humour, I would simply again like to
ask the Treasurer two things.
Is it true that only 2,200 lots could be
serviced with the $11 million, the 15 per cent
subsidy? And why would it appear that any
further assistance to municipalities that do
not choose, or have not yet had the oppor-
tunity, to go into a regional government will
be restricted? Surely this is an unfair applica-
tion in the approach to the provision of
services?
Mr. D. M. Deacon (York Centre): Why
doesn't it aflFect London?
Hon. Mr. White: I don't think it is fair to
single out this one particular item of $11 mil-
lion when one considers we have got an $8
billion budget, and when one considers there
will be hundreds of millions of dollars ex-
pended on services of one kind or another to
satisfy a number of priorities, one of which
is to create more housing.
Mr. R. F. Nixon: The minister should have
more of them in there.
Hon. Mr. White: Questions on further de-
tails of this and related programmes must be
put to the Minister of Housing. I do point out
to the hon. member that we created 110,000
new homes in this province last year, an in-
crease of seven per cent and the largest num-
ber in history.
I point out also that while I had the re-
sponsibility we increased the supply of lots
by 68 per cent over the previous year.
Mr. R. F. Nixon: It would have been
increased by 100 per cent if the minister
hadn't—
Hon. Mr. White: And that previous year
was 40 per cent above the year before. I
point out that we built 1.23 new dwelling
units for every new family formed here in
the last 10 years.
Mr. R. F. Nixon: Why doesn't the minister
speak on that? Let him make a speech on
that.
Hon. Mr. White: To single out a particidar
grant is, in my view, completely distorting
the reality of the overall integrated pro-
gramme of the govenmient. Now what was
tile next question?
Mr. R. F. Nixon: All right, Mr. Speaker,
with your permission, surely you would agree
with me that the answer the Treasurer has
made completely obscures the question and
the answer that is required to the question.
Why is it that in the Treasiu-er's budget— and
he is the father of more of the regional gov-
ernments than anybody else aroxmd here—
he would dislocate the economy of the prov-
ince to the extent that those areas which do
not participate in regionalism and do not
choose to are not going to have access to this
programme? Surely that's an imfair approach?
Hon. Mr. White: I think in certain circum-
stances one might consider broadening the
programme. Let me put it this way: If Brant-
ford wanted to build a big pipeline through
Brant and hold the asset and control who
used the water out of that pipe, does my hon.
friend think the interests of all the munici-
palities in Brant county would be fully pro-
tected? Or does he think we might be wise to
continue the existing policy of keeping the
asset in the hands of the OWRC? Which?
Mr. R. F. Nixon: There is no way Brant
would do it. The Province of Ontario should
do it. That's what I'm saying.
Hon. Mr. White: That's a littie more tell-
ing, isn't it?
Mr. R. F. Nixon: Would he kindly answer
the question of why the funds are not avail-
able to the municipalities? What about the
10^
ONTARIO LEGISLATURE
Braritford pipeline? Why doesn't the govern-
ment build it if it wants it? It has the money.
Mr. Speaker: Order.
Interjections by hon. members.
Mr. R. F. Nixon: Why doesn't the Treas-
urer answer the question? He really is
ridiculous.
Mr. Speaker: Would the hon. Leader of
the Opposition-
Mr. Lewis: A supplementary: What did the
minister mean when he said the programme
might be broadened imder certain circum-
stances?
Hon. Mr. White: I think if one found a
group of municipalities which were in full
concurrence there might be a way, not now
provided for in my budget— or not now in my
current thinking, quite frankly— by which we
might want to make some further changes to
the programme. If there are such circum-
stances I would be very glad to have the de-
tails and to consider some further improve-
ment on this kind of programme.
Mr. Deacon: A supplementary: In view of
the fact the London pipeline is not owned
by the municipality but is owned by the
government of Ontario, why is he comparing
that project with the 15 per cent assistance
to those municipalities which will be dointr
the water improvements or the sewage im-
provements on their own? I understood this
is a programme only for municipalities which
wish to carry out a programme of servicing
on their own, not using the Ontario govern-
ment? Is that correct?
Hon. Mr. White: Yes, that's right.
Mr. D. C. MacDonald (York South): A
supplementary.
Mr. Speaker: The hon. member for York
South has a supplementary.
Mr. R. F. Nixon: That pipeline has got
nothing to do with it.
Mr. MacDonald: When the minister uses
these figures of 68 per cent more lots in 1973
over 1972, and in turn 40 per cent more lots
in 1972 than in 1971, what is the number in
1971 so that we can get some meaningful
idea of what these figures are?
Hon. Mr. White: I don't know. As a matter
of fact, now that I think about it, the 68 per
cent may have been sometime before the end
of the year. It is a figure that was very
attractive to me and which is embedded in
my cranium.
iMr. R. F. Nixon: It had nothing to do with
the question anyway.
Mr. MacDonald: There were 50 lots in
1971 and he is only up to 100 now.
Mr. Singer: How about relating it to the
price of houses?
Hon. Mr. White: I have not been directly
involved in this area-
Interjections by hon. members.
Mr. Speaker: Order.
Hon. Mr. White: —since Jan. 8 and I must
say I'm a little vague about the figures. The
Minister of Housing can certainly provide
them to the House.
An hon. member: Really vague.
Mr. R. F. Nixon: A vague minister.
Mr. Speaker: The hon. member for Grey-
Bruce is next on a supplementary.
Mr. Sargent: In view of the fact that Grey
county and Bruce county do not want regional
government— is this a pressure play to have
us in there or what?
Mr. R. F. Nixon: That's what he is trying
to do.
Hon. Mr. White: No. It's an attempt to
take a further restriction ofl^ the use of these
public moneys insofar as the regions are
concerned.
Mr. R. F. Nixon: As long as you are in a
region.
Hon. Mr. White: Now if there is a way of
broadening the grant programme to take in
all municipalities without establishing some
kind of civil war between municipality A and
municipality B, I'd be very glad to look at it.
But I'm going to tell you, Mr. Speaker, in a
lot of circumstances— and the blushing that
I've observed on the face of the Leader of
the Opposition is further evidence-
Mr. R. F. Nixon: Blushing?
Hon. Mr. White: —a number of municipal-
ities are going to object to the largest munic-
ipality owning the water pipe that runs
through their territory.
Mr. R. F. Nixon: He is trying to impose his
regionalism policies using that.
APRIL 11, 1974
1037
Mr. Sargent: And that's not going to woric.
Mr. Lewis: Since the Treasurer is obviously
adept at pulling figures from the air at the
drop of a hat-
Mr. R. F. Nixon: Adept? Fuzzy, not adept.
Mr. Lewis: -what do all these figures
amount to in terms of the actual number of
additional units of housing which he must
have assumed they would create in order to
have chosen $15 miUion on one hand, $11
million on the other? What total of lots did
the Treasurer have in mind which underpins
this programme?
Hon. Mr. White: The old grant programme
encouraged regionalized municipalities to let
the OWRC put in the facility and own the
asset. The regions are big boys and they are
accumulating additional resources, economies
of scale and expertise.
Mr. Deacon: Show us where, show us
where.
Mr. E. R. Good (Waterloo North): They
aren't accumulating anything.
Mr. Deacon: Bigger taxes.
Hon. Mr. White: I saw no reason why
these regions should be precluded from pro-
viding these services for their own citizens,
particularly since the planning and the pipes
and sewers are at the upper tier in the
region.
An hon. member: Bigger bureaucracy.
Hon. Mr. White: In meeting? with the
regional chairmen last fall this was a request
from them, and since it did eliminate some
distortion it seemed to me reasonable, and of
course I hoped it might have the further
advantage of increasing the supply of serviced
lots.
Mr. Good: One more supplementary, Mr.
Speaker?
Mr. Speaker: No. There have been six
supplementaries, which I beheve is reason-
able. The hon. Leader of the Opposition.
ALLEGED EXCHANGES
OF PURCHASE OFFERS
Mr. R. F. Nixon: I have another question
of the Treasurer. Has he heard the reports,
mainly from the CBC, of unwarranted ex-
changes of oflFers to purchase among and be-
tween real estate companies, whidi led at
least some observers to oontemplate there
might very well have been a leak in the pfO*
posed new laws in the budget yesterday per-
taining to land transfer tax and the land
profits tax? Is the minister aware of those
reports? Is he concerned, and if he is con-
oenaed, as many people are, is he conducting
any investigation?
Hon. Mr. White: I have not heard those
reports. This bill is going to be brought for-
ward today by the Minister of Revenue (Mr.
Meen). We have a number of safeguards so
that this IdiKi of thing cannot take place. If
people break the law in this instance then I
expect they will go to jail.
An hon. member: They could go to jail?
Mr. J. R. Breithaupt (Kitchener): A supple-
mentary question of the minister: In review-
iiig any attempts to claim benefits because of
offers to purchase which are provided to set
subsequent values, would the Treasurer
undertake that those offers would be par-
ticularly reviewed, especially in this last week
or two, to ensure they were in fact bona fide?
Hon. Mr. White: The Minister of Revenue
may want to comment on this, but let me say
that an offer to purchase, in and of itself, does
not establish value any more than it would
have done for succession duty purposes over
the last 50 years.
Mr. Breithaupt: If the Speaker will allow:
So the minister is content that the regulations
and the procedures which will be followed
are so minded that they will certainly attempt
to screen out that particular problem, if in
fact it exists?
Hon. Mr. White: Yes.
Mr. Speaker: Does the hon. Leader of the
Opposition have further questions? The hon.
member for Scarborough West.
REAL ESTATE TRANSACTIONS
Mr. Lewis: A question of the Treasurer,
also of course flowing from the budget: Could
the Treasurer indicate for the most recent
year, presumably 1973 would do, what pro-
portion of Ontario's real estate transactions
fall into the various categories exempted from
the land speculation tax? That is, what pro-
portion of transactions falls into commercial-
industrial, what proportion into renovated
property, what proportion into new dwellings,
what proportion into second homes or second
cottages, since all of those are exempted?
1038
ONTARIO LEGISLATURE
Hon. Mr. White: The data we have is
highly imperfect and I can't give a good
answer. The Minister of Revenue, once again,
may have detail which I lack. We vdll, by
the end of the year, have much better data
affecting residential properties because of the
new assessment programme and the informa-
tion now required by the assessors. All of this
information is going into the computer and
will be readily available in printouts. Some
time in 1975 we will have similar information
for industrial and commercial properties.
In the meantime we have an interminis-
terial task force attempting to collect addi-
tional information, through sampling tech-
niques and so on, indicating the ownership
of existing lands, the nationality oi pur-
chasers, the mix between different classes of
real estate and such like.
Mr. Lewis: The Treasurer will imderstand
my supplementary. How does he arrive: (a)
at a ball park figure when his statistics are,
as he calls them, imperfect; and (b) how does
he know it will have any beneficial effect at
all on the rising prices of land, and, more
important, on the rising cost of housing—
that's quite a different issue— when he has
absolutely no idea what his exemptions ex-
clude, and what is covered and what isn't
covered— and he won't have much on it till
1975 or 1976?
Interjection by an hon. member.
Hon. Mr. White: There are two aspects to
it. First of all, there is no doubt but that
some foreign investors are putting money into
land in Ontario— land and buildings-
Mr. Lewis: What about the speculative tax?
The 50 per cent?
Interjections by hon. members.
Hon. Mr. White: —because they see Ontario
is one of the most progressive, prosperous and
stable jurisdictions in die world.
Mr. Singer: Not just the world, the galaxy.
Interjections by hon. members.
Mr. M. Shulman (High Park): It is a tax
which will never be collected.
Mr. Lewis: When I see him doing up his
jacket, then I know for sure-
Mr. Speaker: Order, order.
Mr. E. M. Havrot ( Timiskaming ) : He's just
warming up.
Interjections by hon. membres.
Hon. Mr. White: Now while it's true we
haven't any exact number as to these cash
inflows, we are sure they are significant-
Mr. Lewis: Then this is just a hoax.
Hon. Mr. White: —and we believe this
additional tax will mitigate this problem.
Mr. Lewis: How does he know?
Hon. Mr. White: As the foreign demand is
removed from the total demand cmve, the
upward pressure on prices should be very
greatly decreased.
Mr. Deans: No.
Hon. Mr. White: If 20 per cent doesn't
work, then we'll try sometihing higher.
Mr. Lewis: The Treasurer is not talking
about the speculative land tax. He is talking
about the land transfer tax.
Mr. Speaker: Order.
Hon. Mr. White: But we are Conservatives;
we don't want to start at 75. Now I am
coming to the speculation tax.
Mr. Lewis: On a point of order, I am not
talking about the land transfer tax.
Mr. Speaker: The minister has the floor.
Hon. Mr. White: Now, coming to the land
speculation tax.
Mr. R. F. Nixon: Which is the answer he
sought.
Hon. Mr. White: It's once again true the
data is not as extensive or as accurate as we
would wish.
Mr. Speaker: Order, please.
Hon. Mr. White: At the same time, once
again it must be recognized there is very
considerable land speculation by Canadian
residents.
Interjections by hon. members.
Mr. Lewis: Yes, all right.
Hon. Mr. White: By introducing this very
substantial tax which runs the total tax up
to 81 per cent for an individual, 87 per cent
for a corporation-
Mr. Lewis: I understand.
Hon. Mr. White: —and 95 per cent for a
non-resident, we think we will take most of
the profit out of these transactions—
APRIL 11. 1974
1039
Mr. Shulman: Sounds all right.
Hon. Mr. White: —and will induce moneys
to go into equity securities in Canadian cor-
porations insteaa.
Mr. Lewis: Will it stop the sale of land?
Hon. Mr. White: If these instruments are
not powerful enough, we have other possibil-
ities now being explored. For instance, it may
be necessary to levy some kind of a proper^
tax surcharge on idle lands which are being
kept out of the market.
Mr. Lewis: Has the Treasurer thought of
buying land?
An hon. member: Oh, no.
Hon. Mr. White: This is a matter that is
under consideration at the present time.
Mr. Shulman: The government is just forc-
ing the price of land up.
Mr. Singer: Mr. Speaker, a supplementary.
Interjections by hon. members.
Mr. Speaker: The hon. member for Downs-
Mr. Singer: Mr. Speaker, I wonder if the
minister can tell us if he has considered what
effect this speculation tax is going to have on
small builders who have been in the habit of
buying two, three, five or half a dozen lots
from a developer? If the tax applies to a
developer, he is going to be imable to sell to
the small builder because of the tax rate; so
the small builder, it would seem, is very likely
to be forced out of business.
Has the minister given any thought to this
and what is he going to do to try to preserve
the small builder?
Hon. Mr. White: Yes, we are aware of this
potential. The Minister of Housing has had
conversations with the development industry.
Most of these development industries have a
development capacity which is well in excess
of their housebuilding capacity, and as the
hon. member suggested in the past they have
sold oflF these lots. Now there will be an in-
ducement to retain the lots and build their
own houses on them, even if that can't be
done fairly quickly.
The minister will have the power to exempt
certain lands from taxation if he is satisfied
this is necessary to increase the stock of hous-
ing. And here again, I think if further details
are wanted by the House in the question
period, the question might go to the Minister
of Revenue.
Mr. Shulman: What is left of the tax, then?
Mr. Lewis: What is left?
Mr. Deans: A supplementary question.
Mr. Speaker: The hon. member for Went-
worth.
Mr. Deans: Mr. Speaker, a supplementary
question: Doesn't the minister feel the specu-
lator is more likely to do one of two tnings
—either delay putting the land on the market,
or attempt to build me tax into the final price
in order to ensure he does in fact get back
the profit he seeks and got previously.
Mr. Lewis: This is just a headline.
Hon. Mr. White: This is a mistake that is
often made. The price of a house has nothing
to do with the cost of that house. The price
of the house is established by the supply and
demand equilibrium point.
Interjections by hon. members.
Hon. Mr. White: My house cost me
$25,000.
Mr. Lewis: That's almost second year
economics.
Hon. Mr. White: That was the cost. And
today it is worth $50,000 or $60,000 or
$70,000.
Mr. Deans: Today it costs that; but it is
not worth it.
Hon. Mr. White: Now in what way did my
cost aflFect the selling price? I had occasion
to use another illustration in a meeting this
morning, which was attended by the member
for York South. The Edsel probably cost
$75,000 per unit, and they couldn't sell it
for $3,000.
Mr. Deans: Is the minister going to answer
my question?
Hon. Mr. Whites I've answered it. If the
member can't understand it, that's his prob-
lem.
Mr. Speaken The hon. member for York
Centre.
Mr. Deacon: In view of the fact I agree
with the minister's statement that supply and
demand is the key factor in the selling price
of the house—
1040
ONTARIO LEGISLATURE
Mr. Deans: Does he think it's not too
much?
Mr. Deacon: —does he believe that his $34
million increase in his budget for provision of
serviced lands through the provincial pro-
grammes and the $11 million subsidy he just
talked about earlier in this question period,
is going to be sufficient to eliminate the
province-wide shortage of serviced building
sites?
Mr. R. F. Nixon: No way.
Mr. Deacon: And if not, how many build-
ing sites will he have to provide in addition
to what he has in this budget to eliminate
this shortage? Because he well knows well
never stop this speculation with this tax
unless we have an oversupply of serviced
land.
Hon. Mr. White: Well, this disappoints me.
This disappoints me because the member's
leader said yesterday it was excellent.
Interjections by hon. members.
Hon. Mr. White: The leader of the Liberal
Party said the land speculation tax was ex-
cellent.
Hon. J. R. Rhodes (Minister of Trans-
portation and Communications): I don't know
which one is leader over there.
Interjection by an hon. ^lember.
Mr. Deacon: He said it was excellent if it
was tied to a major land serving programme.
Hon. Mr. White: That is what the man
said.
TThere is some infoiroation in the budget
statement about the increase in housing stock.
Further details will have to be obtained from
the Minister of Housing.
Mr. Deacon: We are talking about a shorb-
age of building sites.
Mr. Speaker: The hwi. member for Scar-
borough West. A new question?
HOSPITAL WORKERS' WAGE RATES
Mr. Lewis: A question, Mr. Speaker, of the
Treasurer: Is the Treasurer aware that the
GAINS programme he has introduced now
gives— and we support the principle; it's the
anomaly that I'd like an answer on— to the
elderly and the disabled a level of income
which in both gross and net terms in many
instances is significantly ahead of that re-
ceived by many hospital workers in this prov-
ince who have families to support? Is he in a
position to indicate when the government
will provide an increase for the hospital
workers to avoid the crisis of May 1?
Hon. Mr. White: We are certainly aware
of the anomalies. A number of possibilities
are under study insofar as the Ministry of
Health is concerned— and that matter should
be dealt with by the Minister of Health (Mr.
Miller).
Mr. J. Dukszta (Parkdale): Is the minister
aware that the Ontario Hospital Association
has written a letter to all of us here in the
Legislature suggesting the danger of strike is
imminent? Is the government prepared to
grant some money to the hospital workers
immediately?
Hon. Mr. White: I don't think I should
say anything that is going to in some way
affect the negotiations now taking place. It
must be evident that every year we are en-
gaged in negotiations with the public service
of Ontario and other groups in the public
sector. When a contract is negotiated, the
funds are provided.
Mr. Speaker: The hon. member for Scar-
borough West? All right, supplementary; the
hon. Leader of the Opposition should have
the next one.
Mr. R. F. Nixon: Yes, the question is really
put because May 1 is the deadline. Surely if
there is something the Treasurer can say or
do to be of assistance in this regard it shoiJd
be said and done. If he is afraid of inter-
fering with negotiations, he shouldn't be
afraid, because isn't he aware that negotia-
tions have been interrupted, that the last offer
is not accepted and it appears there will be
an illegal strike— illegal under the laws of the
province— beginning May 1 unless somebody,
whether it is the Treasurer or the Minister
of Health, says or does something?
Mr. MacDonald: Why does the Treasurer
deliberately provoke us?
Hon. Mr. White: Mr. Speaker, I have said
as much as is fitting. Further questions may
be asked of the Minister of Health perhaps
next week.
Mr. Speaker: I think there have been
suflBcient supplementaries. The hon. member
for Scarborough West. There are just a few
minutes remaining.
APRIL 11, 1974
1041
GAINS PROGRAMME
Mr. Lewis: What amount of money does
the Treasurer expect to recover from the
federal government for the GAINS pro-
gramme?
Hon. Mr. White: We expect to recover
against those payments made toward the dis-
able<l and the bund. We do not expect to re-
cover any portion of the costs for GAINS to
persons over 65 years of age.
Mr. Deans: Why not?
Mr. E. W. Martel (Sudbury East): Why
not? Barrett gets it.
Hon. Mr. White: In answer, I have as a
recollection, $17 million for persons under 65
years of age.
Mr. Deans: But why?
Mr. Lewis: Forgive me— tell me if I am
wrone, I may well be— but my understanding
was mat in the Province of British Columbia
up to 43 per cent was recoverable of the
additional amounts they paid to those over
65 when they introduced their programme.
Mr. Martel: That's right.
Mr. Lewis: They are still fighting for 50
per cent but they are receiving 42 to 43 per
cent, which is many millions of dollars and
would make a substantial change to the
Treasurer's budgetary allocation.
An hon. member: What's the difference in
the programme?
Hon. Mr. White: The federal minister has
complete power over whether or not to accept
a provincial programme as having eligibility
for the federal grants, that is within his dis-
cretion. Right or wrong, that's the way it is.
The British Columbia govenunent had hoped
to get back a very large proportion of its
expenditure. Tliose hopes, I think, have
diminished as negotiations have proceeded.
The last report we had—
Mr. Martel: It gets 40 per cent now.
Hon. Mr. White: —and we were in constant
commimication with the federal government
as we developed this GAINS programme, was
that they would pay only for this group of
citizens and the amount of their contribution
would amount to $17 million, I would like to
assure the House we will get every dollar we
can.
Mr. R. F. Nixon: Supplementary: The min-
ister then is telling the House he discussed
this at each stage with the federal authorities,
is that so? And is he further saying that really
the Canada Assistance Plan will pay half the
cost for those additional payments undertaken
by the province associated with a means test
or associated directly with payments pre-
dicated on the guaranteed income supplement,
which is a means test?
Hon. Mr. White: One of the requirements
of the federal legislation policy is that there
be a means test applied— not the automatic
needs test of CIS out a specific means test,
which is to say the income received by a
recipient and the costs of that recipient, which
vary of course from Toronto to Lucan, Ont
Our officials were in touch with the federal
officials. I think it comes under Mr. Al John-
son if I remember correctly. Mr. Al Johnson
I think is the person responsible in Ottawa.
Mr. Martel: The Treasurer was just too
late. He was a year late. Barrett did it over
a year ago.
Hon. Mr. White: The information I have
given the House is the best information we
have to date.
Mr. Speaker: Does the hon. men*er for
Scarborough West have further questions?
The hon. Minister of Transportation and Com-
munications has the answer to a question
asked previously.
U.S.-CANADA FREIGHT SURCHARGE
Hon. Mr. Rhodes: Thank you, Mr. Speaker.
The question had been placed to me by the
hon. member for Kent (Mr. Spence). The
question was:
Is the minister aware that the United
States Interstate Commerce Commission
approved a six per cent surcharge in frei^t
charges being applied to Ontario destina-
tions from American points of origin to the
Canadian destinations, whereas this sur-
charge should only apply to the Canadian
point of entry? 1. Why is this surcharge
applied on goods coming into Canada?
2. What authority does the Ontario Hi^-
way Transport Board have with regard to
such rates?
Mr. Speaker, on Feb. 8 of this year, the Inter-
state Commerce Commission issued special
permission allowing a maximum emergency
fuel surcharge of six per cent to be applied
on line haul common carrier rates. The pro-
posal was initially made to the ICC by various
tariff bureaus in the United States, including
1042
ONTARIO LEGISLATURE
the Niagara Frontier TarifF Bureau, which in
fact determines the rate level on many ship-
ments between Ontario and the United States.
The Niagara Frontier TarifF Bureau is a
non-profit-making organization wholly owned
by major motor carriers that serve within the
United States and between the US and
Canada. This bureau has the jurisdiction to
set and publish rates between all US states
and Ontario, excepting the states of Arizona,
California, Utah, Colorado, Iowa, Montana,
Nevada, New Mexico, Oregon, Washington
and Wyoming.
In the United States, the member carriers
are allowed to develop and publish rates
under the Interstate Commerce Commission
Act. In Ontario, the rates are decided upon
by the bureau in the absence of any other
body. They must be filed with the Ontario
Highway Transport Board, as of May 1, 1963.
The bureau is not allowed to change their
rates for a period of 30 days after they have
been filed with the board.
The tariff bureau does perform some useful
functions, simphfying and reducing the num-
ber of tariffs that shippers use. However, the
ministry staff is concerned about the apparent
monopolistic nature of some bureaus and is
investigating their impact on the trucking
industry.
In summary, the Niagara Frontier Tariff
Bureau sets New York-Ontario rates as they
are by default, because it is the only organ-
ized rate-making body. The Ontario Highway
Transport Board does not have the legislative
right to scrutinize and reject the bureau's
rates.
On the subject of fuel increases, my min-
istry has been investigating fuel costs in the
trucking industry. Fuel prices in Ontario have
advanced since last September, and the
truckers have lost their traditional bulk fuel
discount. Labour costs are also increasing as
of the beginning of April. Together, the
labout and fuel increases account to close
to the total rate of increase filed by the
carriers.
Mr. J. P. Spence (Kent): Mr. Speaker, may
I ask a question for clarification? Does the
minister's department get that six per cent for
the distance of the journey in the Province
of Ontario?
Hon. Mr. Rhodes: Well, the six per cent is
the rate that has been set— pardon me, it's
five per cent— by the Niagara Frontier Tariff
Bureau. So that goes to the trucking industry
in the way of rates that have been estab-
lished by tariff. These tariffs have been filed
with the Ontario Highway Transport Board
and approved. Basically, it's a rubber-stamp
approval, because the legislation is a little
weak in this area, no question.
Mr. Speaker: The hon. member for York-
Forest Hill is next.
GO-URBAN SYSTEM
Mr. P. G. Givens (York-Forest Hill): I
would like to ask a question of the Minister
of Transportation and Communications with
respect to a display ad which was published
by his department in the Globe and Mail of
April 9, calling for engineers in the $22,000-
class to participate in our GO-Urban and
light-rail transit programmes: Would the
minister pray tell us what light-rail transit
programmes he has been indulging in that
he hasn't told us about?
Hon. Mr. Rhodes: Mr. Speaker, I believe
the hon. member is well aware, and it has
been stated before publicly and certainlv it's
been said in this House, that the Ontario
Transportation Development Corp. is very in-
terested in all forms of urban transit systems,
despite the fact that the Opposition have
attempted to mislead the public of this prov-
ince into believing we have gone into only
one particular area.
We are most interested in light rail; we
are interested in buses, we are interested in
straight railroads and in all forms of urban
transit systems. So there's nothing misleading
about it. If the member hasn't been aware of
what's going on, that's his problem, sir; it's
his city.
Mr. Givens: What programmes has the gov-
ernment got?
Interjections by hon. members.
Mr. Givens: Supplementary: It's one thing
to be looking into something; it's another
thing to have programmes. What light-rail
transit programmes has the ministry got? I'm
not asking him what it's looking into. What
light-rail programmes does it need an en-
gineer for?
Hon. Mr. Rhodes: Mr. Speaker, there are
light-rail programmes, obviously, that are be-
ing developed vdthin the various munici-
palities. Certainly here in Metropolitan Toron-
to it has been indicated that light rail would
very effectively serve certain areas. We don't
dispute that, and the Ontario Transportation
Development Corp. is looking into that very
system.
APRIL 11. 1974
1043
Mr. R. F. Nixon: That's right, back oflF.
Mr. Singer: What about Spadina?
Mr. Speaker: The hon. member for High
Park.
ALLEGED LOSS OF LIQUOR
BY LCBO STORES
Mr. Shulman: I have a question of the
Minister for Consumer and Commercial Re-
lations, Mr. Speaker. Can the minister ex-
plain how the Liquor Control Board of On-
tario could lose so much liquor that they
have had to send letters out to all the stores
asking if anybody knows where it has gone?
Hon. Mr. Rhodes: The member has been
around again.
An hon. member: Somebody is buying
futures in booze.
Hon. Mr. Clement: Perhaps the hon. mem-
ber might give me more information. I don't
know what he is talking about.
Interjections by hon. members.
Mr. Shulman: Is the minister not aware
that last month the head oflBce of the Liquor
Control Board sent a letter to some dozen
stores, asking if any of them know what
happened and why there is such a shortage?
Hon, Mr. Clement: Yes, I do.
An hon. member: More consumption.
Hon. Mr. Clement: The introduction of
self-service stores in this province has pro-
vided a great convenience to the consuming
public.
Mr. Breithaupt: They didn't know they had
to pay.
Hon. Mr. Clement: Up to the time the self-
service stores were introduced it was neces-
sary, and always acceptable, that they bal-
ance right to the penny. But with the intro-
duction of the self-service stores, pilferage
has been a problem.
Hon. A. Grossman (Provincial Secretary for
Resources Development): There has been
some self-service and then some.
Mr. Breithaupt: By a lot of people with
raincoats.
Hon. Mr. Clement: There have been some
who have taken the self-service invitation
very seriously, and as a result the stock
balance doesn't necessarily come out with the
right answer in view of the fact there are
these shortages, and they are constantly mak-
ing our managers aware of these sboitAges.
Mr. Shulman: How much is missing?
Hon. Mr. Clement: I don't have those
figures right now, but I can provide them to
the hon. member. It is not si^iificant in terms
of total sales, but it still is a problem insofar
as the management of those stores is con-
cerned.
Mr. MacDonald: A few dozen cases.
Mr. Speaker: I think in view of the fact
there are just a few moments remaining, we
should not entertain further supplementaries.
The hon. Minister of Correctional Services
has the answer to a question asked previously.
GUELPH CORRECTIONAL CENTRE
Hon. Mr. Potter: Mr. Speaker, the member
for Wellington South (Mr. Worton) asked
on April 8 whether action had been taken
on the recommendations of the Eastaugh re-
port on the working conditions at Guelph
Correctional Centre.
This report was made public on July 5,
1973, and at that time my predecessor (Mr.
Apps) xmdertook to initiate action tou'ards
the implementation of 11 of the 12 recom-
mendations, noting that the 12th reown-
mendation was a subject for negotiation be-
tween the CSAO and the province.
Mr. Speaker, I am pleased to report this
has been done. Ten of the 11 recommenda-
tions have already been acted upon and the
other one, recommending the installation of
a PA system, is in the process of being carried
out.
I will have more details on the progress
which we have made at Guelph during the
estimates, but I thought members might be
interested to know that our plans to divide
Guelph Correctional Centre into 11 smaller
units should be completed within the next
two weeks. Much of the work on the physical
alterations has been carried out by the in-
mates themselves at a considerable saving to
the taxpayers of the province.
vMr. Speaker, it is hoped also that when
these changes are completed it will be pos-
sible to do away with overtime almost en-
tirely, again at a considerable saving to the
taxpayers and obviating the necessity for
taldng any action on recommendatiMi No. 12
of the report
1044
ONTARIO LEGISLATURE
I would just add that the staflF have been
involved in these changes from the 'beginning,
and the ministry is grateful to them for the
role they have played.
Mr. Speaker: The hon. Minister of Trans-
portation and Communications has the answer
to another question.
COMMUTER TICKET
INTERCHANGEABILITY
Hon. Mr. Rhodes: Thank you, Mr. Speaker.
The hon. member for York Centre asked' me
a question on Tuesday, April 2, relative to
the need for interchangeability of commuter
tickets between Canadian National, Canadian
Pacific and GO-Transit. I can only surmise
that this may have arisen due to die recent
introduction of the Toronto-Barrie CN
passenger train service.
Mr. Deacon: We have it in Stouffville too.
Hon. Mr. Rhodes: The fares being charged
on this service were set by the railway trans-
port committee of the Canadian Transport
Commission and they have chosen to set
single-trip fares that are slightly more expen-
sive than GO Bus fares and monthly passes
that are identical in price to the GO Bus
monthly passes.
With such limited service, I can readily
see where the monthly pass would not be
attractive to most commuters. However, had
the committee set fares for a 10-trip book of
tickets comparable to those offered' by GO, I
would think that interchangeability between
CN and ourselves would be accomplished to
a large degree and thus satisfy the commuters
from that area.
Mr. Deacon: A supplementary: In that
case, will the ministry agree to work with
the Canadian Transport Commission to get
common fares established so that they can
be clearly interchangeable?
Hon. Mr. Rhodes: Mr. Speaker, when the
Toronto Area Transit Operating Authority
comes into being in the very near future-
Mr. Deacon: I am talking about now.
Hon. Mr. Rhodes: —fare integration will be
one of the objectives, and this certainly would
include discussions with CN, CP and the rail-
way transport committee.
Mr. Deacon: But is there any reason not
to go ahead with it right now, instead of
waiting for this authority?
Hon. Mr. Rhodes: Well, I am not going to
suggest we can go ahead with it this very
day and attempt to put together discussions,
but we do believe we can hold our discus-
sions with all of the interested parties, in-
cluding the carriers as well as the commission.
Mr. Deacon: Don't stand on one leg wait-
ing for CN.
Mr. Speaker: The time for questions has
now expired.
Petitions.
Presenting reports.
Mr. Taylor, from the standing private bills
committee, presented the committee's report
which was read as follows and adopted:
Your committee begs to report the following
bills without amendment:
Bill Prll, An Act respecting the town of
IngersoU.
Bill Prl7, An Act respecting Diamond and
Green Construction Co. Ltd.
Bill Pr23, An Act respecting Dominion
Cartage Ltd. and Downtown Storage Co. Ltd.
Your committee begs to report the following
bills with certain amendments:
Bill Pr9, An Act respecting the town of
Strathroy.
Bill Prl3, An Act respecting Tara Explora-
tion and Development Co. Ltd.
Bill Prl8, An Act respecting Victoria Hos-
pital Corp. and the War Memorial Children's
Hospital of Western Ontario.
Mr. Speaker: Motions.
Hon. Mr. Stewart moves that when this
House adjourns today it stand adjourned until
Tuesday next, April 16.
Motion agreed to.
Mr. Speaker: Introduction of bills.
Orders of the day.
RETAIL SALES TAX ACT
Hon. Mr. Meen moves second reading of
Bill 27, An Act to amend the Retail Sales Tax
Act.
Mr. Speaker: The hon. member for Kit-
chener.
Mr. J. R. Breithaupt (Kitchener): Mr.
Speaker, my remarks on this bill will not be
lengthy. There are a few points, I think,
which should be raised as these various
APRIL 11, 1974
1045
changes, reflecting the budget decisions, are
brought into effect.
It's interesting, of course, to note that some
$354 million has been raised this year over
last year, the result of the increase, particu-
larly, of the sales tax from five to seven per
cent. In light of that great increase by which
this tax becomes the largest tax collected by
the Province of Ontario, we see a very minor
return. That return of $43 million reflects two
particular items, the items of personal hygiene
matters which are, I suppose, of some partic-
ular consequence, and the matters dealing
with the reduction of the tax burden on the
costs of footwear.
I suppose there would be some who would
think that the price of $30 is, in reality, quite
generous although I think the facts will show,
as members are no doubt aware, that espe-
cially in young people's shoes and in various
of the athletic items— the requirements of
skates and various other kinds of specialty
shoes— the prices of these articles are substan-
tially higher than one might ordinarily pre-
sume.
It is, however, somewhat curious that this
government, in attempting some changes in
the sales tax, has chosen this particular area
when there are other areas which are equally
important. I would refer briefly to the situ-
ation with respect to the removal of the sales
tax on building materials, a tax which brings
in a revenue, no doubt, of about $100 mil-
lion a year. Further, it is a tax, the removal
of which, we believe, would have a substantial
effect on the provision of housing and on real
benefits for the people of the Province of
Ontario. However, this is the choice the
government has made.
We had noted in earlier years in the review
of the select committee on taxation— of which
I happened to be a member and of which
the present Treasurer (Mr. White) was the
chairman— that there were other items which
had been suggested for taxation at that point.
It was, inde^, the view of the select com-
mittee, at least in majority, that the items to
be taxed should include not oiJy these items
which are being removed toaay but also
matters of children's clothing and various
other items which would be Iwdanced with a
tax credit. That has not been proceeded with
although the tax credit programme of this
government has been brought in as various
tinkering has been done to bring certain
credits to various sectors of the economy.
I think that the recent budget has of course
made some changes in the increasing of tax
credits, which have probably resulted in some
benefits to selected areas or our society.
We, of course, are of the view that it woukl
be better in the first place not to collect taxes
raher than to collect them and then hand
them back, as though the largesse of the gov-
ernment of Ontario was the source of tnete
funds rather than, in fact, the initial removal
of the items from the pockets of the people
and from the purses of the people of this
province.
I do suggest that these changes should have
been in effect immediately as of the date of
the budget. As hon. members will recall in the
last year we had certain increases in taxes
which this party of course thought should not
be imposed until, in fact, the ^gislation was
passed. However the government chose to
make those impositions as to increases of
taxes on the date of the budget— which is
ordinarily the case, I must admit.
If that is the case and the philosophy
which this government is following, then we
also believe that the deductions and the re-
moval of taxes should be in effect as of budget
night. Surely some consistency in the matter
should exist and I would appreciate hearing
from the minister when he has the opportunity
to advise us as to the reasoning behind the
withholding of the lowering of these taxes
until the bill is passed. This especially in the
light of the fact that there was the oppor-
tunity for persons to avoid other taxes last
year because of the difficulty of increasing
the taxes until, presumably, the legislation
had been passed by this House.
You will recall, Mr. Speaker, the turmoil
that existed at that point and it would be in-
teresting to know the reasoning behind the
withholding of tax reduction at this point,
when there was no problem in increasing
taxes in the last budget.
I'm interested in noting section 2 of this
bill which refers as well to some particular
items that are sold by charitable or various
benevolent organizations. I note that only
used items are referred to and I would sug-
gest to the minister, following a discussion
which we had, that some consideration might
be given with respect to the sale of donated
items.
As the minister will recall there was some
correspondence sedcing an exemption from the
collection of sales tax, particularly with
respect to the Mennonite sale in New Ham-
burg. This is a sale of donated items of food,
of clothing, of quilting, of all sorts of hand-
made items that are sold after they have
been donated and the full profits given to
charity. I think an exemption has been
granted to this kind of circumstances in the
1046
ONTARIO LEGISLATURE
past and, indeed, the minister may have al-
ready dealt with this particular point.
I am interested in his view as to whether
some general legislation might be acceptable
with respect to donated items or, of course,
his reasoning as to why he would feel that it
would be better to deal with this as an ex-
ception rather than a general item of legis-
lation.
As we look over the pages in this bill there
is another section which is somewhat involv-
ed, but which I take to mean that a propor-
tion of sales tax will be refunded to munici-
palities for the various kinds of amusements
carried on in community centres in the pro-
portion that those amusements bear in the net
proceeds to the municipality compared with
the gross admission amounts.
This would allow the province to involve
itself in the refunding of at least a certain
proportion of tax, especially in circumstances
where— so far as community centres are con-
cerned—likely large groups of citizens are in-
volved in fund-raising projects or whatever.
And, of course, the province, to encourage
that sort of thing, should give some tax
benefit.
I think particularly of the smaller com-
munity centres where fund raising, in order
to improve these centres, goes on from time
to time. I think that the minister is well
advised to give a rebate of the sales tax
otherwise collected as an encouragement to
those who are involving themselves in de-
veloping programmes from which the net pro-
ceeds are going to benefit the mimicipality or
the community.
I don't know whether these proceeds have
to be given directly to a municipal organiza-
tion or whether, for example, the board of
management of a community centre or some
other local service organization is able to
benefit where the proceeds are being used,
shall we say to put an extension on the local
arena or to contribute additional facilities to
a location that already is receiving or has re-
ceived a benefit under the Community
Centres Act. Perhaps the minister will be able
to give some explanation to that point when
the time comes.
As I say, Mr. Speaker, the reduction of
taxes against these particular items with
respect to the retail sales tax is welcome. We
think that this kind of a situation is to be
encouraged, particularly as in family expen-
ditures. These items bear a certain proportion
in the overall budget of a family. I suppose
there are some who might facetiously say that
the government is simply attempting to en-
courage cleanliness as being next to godliness
on the basis that even if we have housing
problems or other problems, at least we'll all
smell nice and look clean. This may not be
the only reason— and I hope it isn't— because
certainly there are greater tax areas that need
reform than this particular one.
However, I am content that some progress
has been made in this area, even though it is
not exactly along the lines that we in this
party would like to see the sales tax used for.
That tax remains a regressive one in many
facets; however, at least some of the re-
gressivity is attempted to be removed by this
and by the various tax credits which have
been proposed by the government.
Accordingly, we are prepared to support
the bill and encourage the minister to make
further and other exemptions that will benefit
in a much more effective way the people of
Ontario.
Mr. Speaker: The hon. member for York
South.
Mr. D. C. MacDonald (York South): Mr.
Speaker, I recognize that the rules of the
House, strictly interpreted, narrow the scope
of this debate to consideration of the few new
exemptions; and I presume if one strays at
any great length into a discussion of the sales
tax per se, that I will be the victim of your
gavel— at least your voice if not your gavel.
Mr. Speaker: The hon. member for
Kitchener strayed somewhat, but I didn't in-
terfere and I don't intend to with the hon.
member for York South.
Mr. MacDonald: Yes, well, I shall not
breach the rules of the House excessively.
An hon. member: Don't be superficial.
Mr. MacDonald: When the sales tax was
originally introduced in this province we ex-
pressed our views with regard to it. I was
interested at a meeting which I attended
with the provincial Treasurer this morning
and the number of groups who are revie\\ing
the budget, to learn from him that authori-
tative independent outside sources have
pointed out that the sales tax is 19 times more
regressive than the income tax. Perhaps I can
sum up my sentiment with regard to the sales
tax per se, with a quote from such an
authoritative source as the provincial Treas-
urer himself: "We are operating on a tax
that is 19 times more regressive than another
that might be applied."
Now, when you take that into account as
the sort of context in which you are operat-
APRIL 11. 1974
1047
ing— the premise for vour start— then an ex-
emption list that looks lengthy, but which,
Mr. Speaker, I draw to your attention, actu-
ally adds up to $43 million. This $43 milUon
happens to be 2.9 per cent of last year's take
on the sales tax, which was a cool
$1,487,000,000.
So, as the hon. member for Kitchener has
pointed out, last year we had something like
$354 million more revenue coming in from
the sales tax— this highly regressive tax— and
yet, as a sort of Santa Glaus effort, presxmi-
ablv in terms of or for the purpose or coping
with the increased cost of living, the govern-
ment now is going to create further exemp-
tions which will hand back 2.9 per cent of
that total take, namely about $43 million.
The next point that I would like to make
is that on tne other side of the House we
are periodically— again from as high a posi-
tion as that of the Premier (Mr. Davis)— being
accused on this side of the House of being
hypocrites. Well, you know, when the govern-
ment had a choice as to where they might
cut off sales tax in order to meet public needs
—and they themselves admit that so much of
the rest of their budget is directed to meet-
ing the need for housing and cutting the cost
of inflation, particularly in the housing field
—one wonders why they didn't move in terms
of removing the sales tax from building
material's.
And here I get to the hypocrisy of it— the
Tories in Ottawa are screaming for removal
of the sales tax. They aren't in power, so it's
easy to talk. The Tories here are in power.
They don't remove the sales tax. The Liberals
here are screaming for removal of the sales
tax. They are not in a position to do anything
about it. The Liberals in Ottawa are in
power, but they don't do anything.
Mr. R. F. Nixon (Leader of the Opposition):
But the NDP in BC are yelling about it and
not doing anything. They are trying to get it
both ways.
Interjections by hon. members.
Mr. MacDonald: So you see, Mr. Speaker,
the loss of sales tax revenue from building
materials, which presimiably would be a very
important ingredient in terms of reducing
housing costs, is approximately one-half of
what the government gained in the added
amount in the sales tax last year. The govern-
ment gained about $354 million. I understand
the building materials would represent about
$190 million.
In other words, Mr. Speaker, obviously this
is a bill which one should support because
it is going to reduce tb© regre«lvitv, and I
presume one should also oonoede ttutt it is
going to reduce it on items that arc bought
by individuals, and that may have an ad£d
factor of progressivity. But the Umited extent
to which it is going to make that reduction
and the particular choices which the govern-
ment has made, and more particularly the
choices which it has excluded, bring into
question many of its rather high professions
with regard to its desire to have equity in the
tax structure in the Province of Ontario.
But as I have already implied, we will
support it as a tiny, baby step in the right
direction with reference to individuals and
the costs they have to bear in face of rising
living costs today.
There would have been another alternative,
of a cost of hving rebate that would be
meaningful, but this government always pro-
ceeds on a bits-and-pieces basis rather Uian
a comprehensive basis to meet a fundamental
need.
Mr. Speaker: The hon. member for Water-
loo North.
Mr. E. R. Good (Waterloo North): Thank
you, Mr. Speaker. The reduction of $43
million in sales tax collected this year is a
very small amount when one looks at the
total sales tax revenue.
I think we must briefly draw attention to
the fact that the government, by its structure
this year, even with this reduction in sales
tax revenue, is moving to a larger and larger
source of revenue from the retail sales tax
field.
It's regrettable, in my view and in the
view of this party, that the government col-
lects more revenue from retail sales tax than
it does from personal income tax. This should
not be, Mr. Speaker.
Last year there was $1,305 nullion collected
from retail sales tax, and even with these re-
ductions, Mr. Speaker, this year there will be
$1,487 million. So the government will take
$182 million more this year than last year in
its estimates from retail sales tax, even with
these reductions.
I'm sure that the people of Ontario are
thankfiJ for these few reductions, but cer-
tainly the philosophy of keeping such a re-
gressive tax as a major source of income is
absolutely a wrong philosophy, Mr. Speaker.
Mr. B. Newman (Windsor- WalkerviUe):
The wrong approach.
Mr. Good: The approach by government
that is incorporated into the retail sales tax
1048
ONTARIO LEGISLATURE
is not in the best interests of the majority of
the people in the province. We accept the
$43 million reduction but we do not accept
the $182 million additional revenue which the
government will receive because of inflation,
and certainly inflation plays into the hands
of the retail sales tax more than any other
source of revenue within the province. Per-
sonal and corporate income tax is a much
more progressive type of tax to receive and
we regret that the government continues to
have as its major source of revenue the retail
sales tax, even with these much heraldied re-
ductions.
Mr. Speaker: The hon. member for Went-
worth.
Mr. I. Deans (Wentworth): Thank you, Mr.
Speaker. I have very few comments to m^e. I
want to say that as I see the principle, it is
whether we approve or don't approve of the
government removing sales tax from certain
things. 1 want the House to know that I
approve of the removal of the sales tax from
the items mentioned in this particular Bill 27.
I wonder a bit, nevertheless, about how the
minister decided on which items were to be
exempted from sales tax.
Before I deal with that I want to ask the
minister if he would be kind enough in his
reply to explain the diiference between taking
a tax oflF and not diealing with it until after
the Legislature has passed it and imposing
a tax and making it retroactive.
The member for Kitchener mentions they
supported that last year; I think it fair to say
we initiated the action on it last year. In fact,
the discussion was very much centralized be-
tween ourselves in this party and the govern-
ment; I think it fair to say we believed that
a tax should neither be imposed nor taken
off without legislative action.
I am interested to know whether this is a
change in the government's pohcy with re-
gard to the imposition of taxes as much as
with the removal of taxes, and whether the
government's intention would be, from here
on in, to give adequate notice of any intended
change in the tax structure and not to pro-
ceed with it in the fashion with which it has
previously been proceeded, and to give time
for the Legislature to discuss and consider
any proposed changes in the taxation policies
of the government of the province.
It seems to me, though, as I think about it,
that during the budget discussion by the Min-
ister of Finance, he indicated there were some
things which were going into effect almost
immediately. I am not absolutely clear how
one draws an analogy between that and what
the government is currently doing with regard
to taxes that are being taken cm. We will go
through that argument again no doubt.
I said last year and I say again this year
that I think that any time the government
alters a statute, it has to have one of two
things. Either it has to have legislative
approval prior to implementation or it has to
have a bill or an Act in force which gives it
the right to collect taxes provisionally during
the course of debate. That wasn't done by
this government and 1 want to suggest that
should have been done and I had hoped that
it would be done.
Let me ask the minister about two or three
matters that are specific to this particular
bill. How is; it that he would agree to exempt
powders and liquids for cleaning floors, walls,
tiles, gl'ass, metal, cooking utensils, etc. and
yet he wouldn't exempt the mops and brooms
needed to do the job? He wouldn't exempt
the pails people have to have in order to do
the job effectively. Scom-ing pads— there are
surely as many scouring pads used to clean
cooking utensils in this province toda}^ as
there are cleaning fluids? Why would he de-
cide to exempt certain things, the intent of
which is clear, and not exempt similar kinds
of things?
Let me ask him about another. He has
exempted sanitary pads but has refused to
exempt sanitary belts. Why would it be that
he would decide to exempt one without the
other since they are both obviously used one
with the other and are necessary one to the
other? What's the rationale behind the
changes? Did he sort of peek and stick his
thumb in, take a few and say, "We'll exempt
these because thev fall into a categor)'^ which
would meet public acceptance" and ignore
some of the odiers?
The reason I ask about those specifically is
that those are the ones specifically mentioned
in the retail sales tax bulletin. The bulletin
spell's out "To be exempt" and "Still taxable"
so it's obvious that the ministry thought a bit
about it. If the minister thought a bit about
it, maybe he can explain to me why tooth-
brushes are exempt but combs aren't. I don't
quite follow.
Hon. A. K. Meen (Minister of Revenue):
Toothbrushes are sanitary items. We cannot
all afford marcelles.
Mr. Deans: Pardon?
Hon. Mr. Meen: Toothbrushes are sanitary
items but we can't all afford marcelles.
Mr. Deans: I want to let him know some
other things are, too. Let me suggest to him
APRIL 11. 1974
1040
that disinfectants are still taxable but de-
odorants aren't. Well, all right— let me suggest
to the minister that there are certain in-
consistencies in the government's attitude to-
ward certain matters as being matters of
necessity.
Mr. E. W. Mattel (Sudbury East): They put
them in a hat and drew out a number of
them.
Mr. Deans: Maybe the minister could con-
sider broadening it ever so slightly and in-
cluding two or three of the items I have
mentioned, because I think a number of
people would be interested in having that
happen.
There is one other point I want to raise
with the minister that should be considered.
The exemption on shoes is worthwhile, I am
sure, and for the majority of people, who
don't buy many shoes over the course of a
year anyway, the saving won't be very great.
But there are people who have foot problems
and have to buy special kinds of shoes, which
are obviously more expensive, and I am won-
dering whether there is a way that they can
be exempt. I am not absolutely clear at the
moment whether they can be exempted or
not.
Perhaps the matter falls into that category
whereby if there is a prescription then they
can be exempt, but if there is no prescription
they can't— and there is no prescription need-
ed for any replacement. So I would like to
ask the minister if he would check with his
oflBcials, if he is not sure about it, and let
me know about that at some future time.
Hon. Mr. Meen: Yes.
Mr. Deans: In any event, I think it is a
bit of a mishmash. It is unfortunate that the
minister couldn't see his way clear to make
the exemptions a little broader, but I think in
the areas I have mentioned, and in others
that I haven't mentioned, that there are cer-
tain inconsistencies.
Mr. Speaker: The hon. member for Wind-
sor-Walkerville.
Mr. B. Newman: Mr. Speaker, I wanted to
make a few comments concerning this bill,
endorsing the principle of the bill. Anything
that will reduce the sales tax for the general
public certainly is a welcome change. How-
ever, I do regret that the minister has not
gone as far as I have attempted to get him
to go when I asked a question the other day
during the question period. This involves
section 2 of the bill.
I have noted that the minister has exempt-
ed footwear under the value of $30. How-
ever, I would have liked the minister to have
included in that section on exemption for
athletic equipment. Since 1976 is Olympic
year, I think that we in the province, as well
as in Canada, should go all out in an attempt
to not only sell the Olympic games and the
concept but also encourage maximum par-
ticipation on the part of our youth. There are
many amateur groups and organizations, on
whom is imposed the seven per cent sales tax
on equipment they buy to encourage par-
ticipation on the part of all ages of youth,
who should have been considered for ex-
emption.
The ministry does exempt purchases made
by boards of education through exemption
certificates. I think, Mr. Speaker, that same
principle should apply to those athletic
groups that are recognized and financially
assisted by the Minister of Community and
Social Services (Mr. Brunelle). In other words,
we already have lists of groups that are
considered worthwhile by the government as
far as some type of athletic equipment assist-
ance is concerned.
The minister could have gone one step
further in this section of the bill by extend-
ing exemption of sales tax to those organiza-
tions through some type of arrangement with
the Ministry of Community and Social Serv-
ices. Exempting them from sales tax wouldn't
amount to a substantial amount of money,
Mr. Speaker, but it certainly would show the
government's greater awareness of and con-
cern for fitness and a greater a\\'areness of
and concern for physical activity on the part
of our youth.
We do have a drug problem, sir, and we
do have all types of other problems. At least
if the individual is going to bum out his
energy through good clean athletic activity,
he may not get involved in some of the other
less salutary types of endeavours.
Another suggestion that I would like to
make to the minister is where he mentions
footwear, I think any type of orthopaedic
footwear should be exempt from the sales tax
regardless of the price.
Mr. Good: Right.
Mr. B. Newman: I don't think we should
limit that to $30. As long as it is for the
physical or the health benefit of the indi-
vidual, as the previous member made men-
tion, it should DC exempt from the taxation.
In section 3 of the bill the minister is go-
ing to rebate to municipalities the sales tax
1050
ONTARIO LEGISLATURE
collected from functions that have been con-
ducted in community centres. I would suggest
to the minister, rather than use that approach,
the municipality and/or organizations mat are
going to conduct these activities apply to the
ministry in the same way that an individual
applies to the Liquor Licence Board for a
special occasion permit. They apply to the
ministry for a permit stating that they are
going to conduct this type or that type of
charitable activity in this or that facility and
would the ministry send them an exemption
certificate. All of this red tape and the letter
writing back and forth, collecting the money,
mailing it to the ministry, then asking for a
refund, would be expedited and done away
Nvith.
I offer those suggestions to the minister
for his consideration and hope he does act on
them. Thank you, Mr. Speaker.
Mr. Speaker: The member for Sudbury
East.
Mr. Martel: Mr. Speaker, I want to ask the
minister, if I might, for a clarification on
something that is apparently lacking— or
maybe I am missing the point—on children's
clothing. I have two points really. I am not
sure why the government simply doesn't take
the tax all off, and that's where maybe I am
wrong. The tax is off children's doming, but
I really don't think so. And more importantly
—well, not more importantly, as that's pretty
important— I am not sure if the minister has
been buying children's clothes of late in order
to realize the tremendous increase in cost of
those items for that group which actually
needs adults' clothing, but which is only 12
or 13 years of age. I don't know if they grow
bigger today. It certainly seems to be the
case.
II have had a lot of complaints about young
people whose parents take them to buy cloth-
ing and in the children's section simply can-
not get the type of clothing that fits or the
type of shoes that fit and consequently find
themselves either in the ladies' department or
in the men's department buying clothing that
will fit, and paying retail sales tax on it.
There has been rumbling about it, but
surely there should be a way to work aroimd
this, using maybe oflBcial school student cards
that most high schools have that have the
ages of the young people on, so that we
could get around that extra cost to those
people whose children are too big. It seems
to me to be a simple request. It may be a
little diflBcult in working out the semantics
to ensure that only those who are actually of
age would derive the benefits, but it seems
to me to be an area in which the government
could move quite easily.
Mr. Speaks: TTie member for Essex South.
Mr. D. A. Paterson (Essex South): Mr.
Speaker, in rising to take part in this debate,
I reahze at the present time the retail stores
in Ontario are still collecting this seven per
cent tax on all these items mat are going to
be excluded and which our party concurs in.
It would be my hope that with the support
that the minister is receiving with respect to
this legislation, that we could proceed, not
only through second reading today but hope-
fully into mird reading and Royal assent later
today so that when the stores reopen this
Saturday that the public of our province may
enjoy the benefits of this good legislation.
I don't know what the intent of the House
leader is, but possibly the minister can indi-
cate when he concludes the debate on second
reading.
Mr. Speaker, I speak as a merchant; and
possibly as I stay in this Legislatiu-e longer
I might qualify as running a non-profit organ-
ization. It's getting close to that point. Tnere
are two points that I want to—
An hon. member: That's under section 2.
Mr. Paterson: Right. I might qualify for
section 2 in another year or two here.
Mr. Martel: There might be a conflict of
interest.
Mr. Paterson: Right. Well, I'm getting to
that non-profit organization category.
Mr. Breithaupt: He's laying the foundations
for that right now.
Mr. Paterson: I may not have the conflict.
But there are two matters I would like to
discuss and I think the first is in relation to
section 3, which deals with rebates to munic-
ipalities where sales are conducted at com-
munity centres.
I guess this is one of the old chestnuts that
I bring up from time to time— and I realize
it's not in the bill— and that is the matter of
rebate for those persons who are doing the
book work and making the collections- that
is, the retail merchant.
I would hope that the minister, in' his re-
buttal, might state whether that is still being
given consideration or not.
And the second point is possibly a little
closer to a conflict of interest in myself,
although I guess as a merchant we are really
doing the work of the province and we are
APRIL 11. 1974
1061
not extracting funds for our own purposes
when we collect the tax from the public.
I believe in the ministerial statements re-
garding the retail sales tax exemption there
was an indication that further thought was
being given to exclusions in relations to chil-
dren s clothing. I happen to be in the retail
fabric business and all fabrics and patterns
and the necessary supplies in making a child's
garment are subject to the seven per cent tax.
I realize that this would be a most diflBcult
area to exempt.
Possibly the minister is aware of a new
organization in the province composed of
both wholesalers and tne retail establishments
across the province, along with pattern com-
panies and so forth. He might sit down with
them some day and possibly come up with a
formula that when a child's pattern is pur-
chased and the required length of fabric for
the child's dress is purchased and the sundry
supplies, that possibly— as with farmers— a
signature on a purchase for an exemption
might be a possible way around this.
I don't know; but I know in my own ex-
perience I've had this drawn to my personal
attention many times. A housewife comes in
to buy fabric for a child's dress and says,
"Why do we have to pay tax when we can
go next door, buy the ready-made garment,
and there is no tax on the same?"
There is only one other area of confusion
in relation to the collection of tax and that
is in relation to the retail' selling on certain
books— instruction books— and I feel that there
should be some clarification put forth either
to the printers or the distributing companies
that issue these through to the retail trade.
I believe the exemption is, if a book is
printed less than four times a year it is not
subject to the retail sales tax. It is most con-
fusing and I draw this matter also to the
minister's attention and that of his oflBcials
and possibly something can be done in future
legislation to clarify this.
I think these are all the remarks I wish to
make at this time.
Mr. Speaker: Any further hon. members
wish to speak to this bill? If not, the hon.
minister.
Hon. Mr. Meen: Mr. Speaker, to begin
with. I would like to thank the hon. members
for their, I suppose it's fair to say, universal
support of this bill— for a varying number of
reasons, of course.
I've heard the argument that the sales tax
is 19 times more regressive than income tax,
and so any reduction is better than nothing.
If indeed it is 19 times niore regressive, than
a verv small reduction in the impact <^ the
Retail Sales Tax Act on our pe<^le has a very
significant effect on them.
iThe question I might raise— and I think it
was the hon, member for York South who
purported to quote the Treasurer on this— is
whether, in fact, it is 19 times more regressive
than the income tax. It is reallv academic be-
cause I think most of us in tnis House con-
sider that the Income Tax Act is not a re-
gressive tax but is a rather progressive tax.
So I don't know how you compare apples to
oranges and suggest that something that is
not regressive is 19 times better than some-
thing that is, or whatever the suggestion was
by that comparison.
I think perhaps the best way to deal with
these points is to deal with them in the
order in which they were raised in the House
this afternoon. The hon. member for
Kitchener referred to the extent to which this
bill applies and the way in which we wound
up selecting what articles were on it and
what articles still remain off it. In fact, that
item has been touched upon by a number of
the members this afternoon.
I think it is fair to tell you that my min-
istry put together several possible alternatives
—we called them packages, in the colloquial—
of articles that were practical for the retail
merchandising indusby to be able to
categorize within their bins, their trays, their
shelves and their corridors in their stores, so
that they would be able to readily identify,
at the cash counter or however else, whether
the article was taxable or not taxable, and
we were able to tell the Treasurer the kind of
money that the province would then lose by
the selection of one or other of these various
packages.
The package selected by the minister,
which includes the removal of sales tax on
shoes up to a price of $30 a pair, eliminates
between 80 per cent and 90 per cent-by
sort of a rough type of estimate— off the top
of one's head— of the complaints that we as
members have received with respect to the
problem, as outlined by the member for Sud-
bury East and others, of detemuning when
the youngster who has grown too fast is
suddenly, at age 14, in the class where he
winds up having to buy adult clothing and
pay the tax. So the selection of a size was
not terribly satisfactory. It was most dramati-
cally illustrated as being unsatisfactory in the
category of shoes and boots.
So, in the removal of that, I think we have
overcome aroimd 80 per cent or 90 per cent
of all the problems that our people have
1052
ONTARIO LEGISLATURE
faced in that age grouping where the
youngsters are growing from young people
into young adults. I think it is fair to say
that if the hon. member for Sudbury East or
any of oiu: other colleagues can come up with
some suggestions as to the way in which we
can deal with clothing generally in some
rational way, so that small adults don't get
the benefit of buying children's clothing, then
we can very well, in my ministry and in con-
junction with the Treasurer, maybe next time
around or even earlier, by way of regulation,
adopt something that will suit. But for the
present time, if we were simply to wipe that
out, the loss would be many millions of dol-
lars to the Treasury, and it has been the
Treasurer's decision that we would not re-
move it at this time.
There was the question, also raised I think
by the hon. member for Kitchener and re-
peated by others, of how does one justify
the imposition of a sales tax now on certain
things but its removal at some later time. The
imposition of the tax last year was not an
abrupt imposition, it was an increase in an
existing tax on which all the merchants had
all the information at hand, their staff knew
how to deal with the matter, it was simply
a matter of charging up seven per cent in-
stead of charging up five per cent.
In this case we would dearly love to be
able to roll in Tuesday morning with a re-
moval from sales tax of the items as set out
in the bill and as set out in a very elaborate
regulation— which will have to flow from this
bill; but the difficulty is that that regulation
has to go through the mechanics of the regu-
lations committee and cabinet itself and on to
the registrar of regulations.
My staff are preparing that elaborate regu-
lation and we would estimate a period of
roughly 10 days from the time when the bill
is passed to the time when I can get it
through the various hoops and approved and
out to all the retail merchants in Ontario so
that they will have adequate information in
time to be able to deal with the matter
properly.
The member for Kitchener also referred to
donated items. We haven't covered that. I
told him— I believe it was at the reception
the other day— that we would look at this;
we will look at it. I think it's a matter that
should be given serious consideration; that
we shouldn't necessarily do these things on
an ad hoc basis of exempting one and then
letting another one make application.
Perhaps if an organization qualifies as a
charitable organization for other purposes that
it might then automatically qualify. So far
the practice of my predecessors has been to
look at each one in turn and determine
whether it was an appropriate organization,
as I understand it, to be exempted from this
kind of thing, whether they be donated
goods or otherwise. I think we can take a
further look at it in the course of the next
while.
The member for Kitchener also asked the
question concerning the community centres
amendment; and my notes, I'm afraid, don't
bring the question fully back to mind. He did
say something about the benefits going back
to the municipality— and this is, of cou^^e,
what we would expect would be the case. If
it does go back to the municipality— if that
was the member's question; I think it was as
I ruminate on this— if it does go back to the
municipahty and the affidavit, as contemplated
by the amendment in the Act, is sworn to say
it goes back to the benefit of the municipality,
then however the municipality and its coun-
cil or its community centres board determines
to apply the fund, it would qualify for a
proportionate abatement of the sales tax.
The member is nodding his head. I presume
that that satisfactorily answers his question.
The member for York South raised a point
v/hich, of course, we have all reflected on
from time to time— and that is the matter of
the removal of the retail .sales tax from build-
ing materials. We would like to see the federal
government remove their tax, which is a very
much larger one than the tax imposed by
Ontario.
Mr. R. F. Ruston (Essex-Kent): It is on
the wholesale price— the provincial one is on
the retail price.
Hon. Mr. Meen: We are not satisfied that
the removal of our tax would significantly
reduce the retail sale price of that house. We
think that the builder would simply move in
and absorb that reduction in cost to him and
in fact would retain the same sale price. The
point is the value of the sale price of the
house on the market is not determined by the
cost to the builder so much as it is determined
by what the buflder can get when he puts it
on the market. And that, I suspect is why the
federal government has also not removed its
sales tax.
If they remove theirs at the federal level,
the amount of our tax would of course be
reduced by a factor— by I suppose 11 per cent
of our seven per cent.
But we do not believe in this present market
that there would be any significant abate-
APRIL 11. 1974
1053
nient in the sale price of houses, unless and
until there can be a sufiBcient supply of houses
on the market so that they are in fact com-
petitive—then the sale price will simply be
governed today by what the market can stand.
By reducing that tax, we would lose roughly
$195 million— I think that is the estimate-
without any significant improvement in the
price by way of reduction in the sale price of
houses on the market.
I think I have answered the questions by
the member for Wentworth as to how we
decided which items we would exempt and
how we would not accept others, but I might
just point out that as for shoes, I have
checked with our staff and— since the member
for Wentworth isn't in his seat his colleagues
might relate it to him— I am advised that
orthopaedic shoes now do qualify. That is, the
type of shoe with an elevated arch or strength-
ening facilities would qualify as an ortho-
paedic device.
The member for Windsor- Walkerville asked
about athletic equipment. That again is just
part of a package, one might say. If one
starts talking about athletic equipment, one
has to start getting selective unless one is pre-
pared to wipe out the $100 pair of skis or the
expensive pair of skates.
Mr. B. Newman: The way of doing it,
though, is by going through the Ministry of
Community and Social Services, not to—
Hon. Mr. Meen: At the present time there
are facilities for schools to purchase this kind
of equipment tax-free. I would suggest that
imless we can come up with something, and
maybe the hon. member has some suggestion
that's workable— we can look at that— but
again it is a package. We have got to consider
all the factors and particularly the financial
impact of this. Whether these people who are
paying the tax can presently aff^ord to pay it
is certainly an important one but it is not
the only factor to remember. We have got to
look at the luxury aspect of these things.
Mr. B. Newman: I don't say all athletic
equipment. I am specifying selected equip-
ment,
Mr. Speaker: Order, please.
Hon. Mr. Meen: I was not clear about
what the member for Windsor-Walkerville
was suggesting with respect to municipalities
and their applications for exemption permits
on admission prices. It seems to me that
might just develop into an administrative
nigntmare.
I have the notion that the course of action
we are following by way of a distinc-t exemp-
tion by statute, thereby permitting them from
the beginning to know where they are when
they are plarming their function, is far better
than requiring that they apply to tlie ministry
for s-pecific exemptions. Waiting for the min-
ister's response c-an leave them in limbo for
some time while the matter is weighed. Con-
sefiuently, I think the course of action we are
following here in a specific area is a far
clearer one.
Mr. B. Newman: The government is going
to handle the moneys two times.
Mr. F. Laughren (Nickel Belt): Is that the
same as twice?
Mr. B. Newman: There is no sense in that.
Hon. Mr. Meen: I come now, I think, to
the last item I need to touch on. It's the
comment by the member for Sudbury East,
on which I have already touched briefly,
dealing with younger children with outsized
feet and that kind of problem with larger
than average children. The member for Essex
South touched on this, too.
The diflBculty is that today the styling of
students' clothing and adults' clothing is much
the same. I am told it used to be that one
could always tell the difference between
young children's clothing and clothing for
children up to age 16 and adtJt clothing. I
see the member for Essex South is not in his
seat but I think he would confirm that there
is very little style difference any longer. It's
diflRcult if not impossible to police sales of
this nature whereas it is possible to police
them if there are styling differences.
Mr. Ruston: Take it off all clothing and be
done with it.
Mr. J. P. Spence (Kent): Right.
Hon. Mr. Meen: I would ask the member
for Sudbury East if he has any suggestions
as to how we would cope with, say, telephone
orders? Recognizing that styles are the same,
how then do the tax auditors inspect the
books when people have placed telephone
orders? It's fine for someone to come in and
produce a card identifying him as a student
at the XYZ collegiate and that he's 15 or 16
years of age but what kind of evidence is
then left with the merchant so that he can
satisfy the auditors when they check to make
sure if he has or has not collected a properly
payable tax?
These are some of the problems we face
in my ministry. If we can come up with some
ideas as to how to properly organize this end
1054
ONTARIO LEGISLATURE
of merchant selling, I can tell you, Mr.
Speaker, that I'd be the first to recommend
to my colleagues a suitable course of action,
provided it can be policed properly.
Mr. Speaker, those observations conclude
my comments. I just want to repeat my open-
ing words— that I appreciate the support com-
ing from all sides of the House on this very
significant bill.
Motion agreed to; second reading of the
bill. ^
Mr. Speaker: Shall the bill' be ordered for
third reading?
Agreed.
THIRD READING
The following bill was given third reading
upon motion.
Bill 27, An Act to amend the Retail Sales
Tax Act.
Mr. MacDonald: The minister will never
have it easier.
Hon. Mr. Meen: No, I don't think I will.
Mr. MacDonald: He shouldn't draw any
conclusions from that.
Hon. Mr. Meen: I have been around here
for a while, Mr. Speaker.
Hon. W. A. Stewart (Minister of Agricul-
ture and Food): Mr. Speaker, I believe that
the idea was to go into estimates at this time.
However, there have been suggestions made
to me that it might be wise to consider
adjourning the House right now— rising now.
The traffic is very heavy at this particular
hour for the members to go home and it
would seem to me an appropriate time if we
were to move that the House rise. I'm not
sure what that does to the committee down-
stairs, but it does seem to me to be the useful
thing to do.
Mr. B. Newman: Right on.
Mr. R. Gisbom (Hamilton East): They'll be
glad to go too.
Hon. Mr. Stewart: I assume it wouldn't
upset our friend the Minister of Correctional
Services (Mr, Potter), so with that in mind I
would move that the House do now rise.
Hon. Mr. Stewart moves the adjournment
of the House.
Motion agreed to.
The House adjourned at 4:05 o'clock, p.m.
APRIL 11, 1974 1055
CONTENTS
Thursday, April 11, 1974
Federal competition legislation, statement by Mr. Welch 1029
Study on food company profitability, statement by Mr. Clement 1030
Phasing out of juvenile training school, statement by Mr. Potter 1032
Containers for farm produce, statement by Mr. Stewart 1032
Study on food company profitability, questions of Mr. Clement: Mr. R. F. Nixon,
Mr. Lewis, Mr. Sargent, Mr. Singer 1033
Municipal water and sewerage grants, questions of Mr. White: Mr. Lewis,
Mr. R. F. Nixon, Mr. Deacon, Mr. MacDonald, Mr. Sargent 1034
Alleged exchanges of purchase o£Fers, questions of Mr. While: Mr. R. F. Nixon,
Mr. Breithaupt 1037
Real estate transactions, questions of Mr. White: Mr. Lewis, Mr. Singer, Mr. Deans,
Mr. Deacon 1037
Hospital workers' wage rates, questions of Mr. White: Mr. Lewis, Mr. Dukszta,
Mr. R. F. Nixon 1040
GAINS programme, questions of Mr. White: Mr. Lewis, Mr. R. F. Nixon 1041
US-Canada freight surcharge, questions of Mr. Rhodes: Mr. Spence 1041
GO-Urban system, questions of Mr. Rhodes: Mr. Givens 1042
Alleged loss of liquor by LCBO stores, questions of Mr. Clement: Mr. Shulman 1043
Guelph Correctional Centre, questions of Mr. Potter: Mr. Worton 1043
Commuter ticket interchangeabiUty, questions of Mr. Rhodes: Mr. Deacon 1044
Presenting report, standing private bills committee, Mr. Taylor 1044
Retail Sales Tax Act, bill to amend, Mr. Meen, second reading 1044
Third reading. Bill 27 1054
Motion to adjourn, Mr. Stewart, agreed to 1054
No. 25
Ontario
Hegisilature of (J^ntarto
OFFICIAL REPORT — DAILY EDITION
Fcmrth Session of the Twenty-Ninth Legislature
Tuesday, April 16, 1974
Speaker: Honourable Allan Edward Renter
Clerk: Roderick Lewis, QC
THE QUEEN'S PRINTER
PARLIAMENT BUILDINGS, TORONTO
1974
10
Price per session, $10.00. Address, Clerk of the House, Parliament Bldgs., Toronto
CONTENTS
(Daily index of proceedings appears at bade of this issue.)
1059
LEGISLATIVE ASSEMBLY OF ONTARIO
The House met at 2 o'clock, p.m.
Prayers.
Mr. Speaker: Statements by the ministry.
Oral questions. The hon. Leader of the
Opposition.
BANK OF CANADA RATE INCREASE
Mr. R. F. Nixon (Leader of the Opposi-
tion): Thank you, Mr. Speaker. I have a
question of the Minister of Housing, who
obviously has one of the more important port-
folios these days. Has his staff given him any
estimation as to the effect of the unprece-
dented increase of one per cent in the prime
lending rate established by the Bank of
Canada on the costs of housing in this prov-
ince?
Is there a possibility that the government
of Ontario will undertake some sort of a
mitigating programme either through the
Province of Ontario Savings OflBce or perhaps
by using new federal legislation allowing
provinces to have a direct interest in banking
concerns, to offer some sort of assistance to
individual home buyers, whereby these lend-
ing rates are not going to have the bad effect
on housing that they may very well have?
Hon. S. B. Handleman (Minister of Hous-
ing): There are a number of questions there,
Mr. Speaker. In response to the first part of
the question, my staff started to work on it
this morning. I expect to have an answer from
them within a day or two as to the total
impact of the Bank of Canada's move.
On the whole, I suppose we have to say
that the Bank of Canada in acting to restrain
the monetary supply is taking one of the
classical attacks on inflation. It nasn't worked
in the last couple of years, and there is some
doubt in my mind as to whether it will work
in the future. As for the province entering
directly into mortgage financing and subsidiz-
ing mortgages, we will certainly have to take
a look at that after we've examined the im-
pact of the Bank of Canada move.
Mr. R. F. Nixon: Supplementary: Has the
minister any contingency plans, based on the
Tuesday, April 16< 1974
work that has been done by himself and his
predecessors since the ministry was set up, to
provide some sort of provincial programme
to meet the needs of the people in this prov-
ince in the face of the high costs of capital
associated with housing, rather than simply fit
ourselves in with the programme as it extends
across Canada? Does he have su<^ contin-
gency plans now?
Hon. Mr. Handleman: As the hon. mem-
ber well knows, there is a preferred lending
programme in Ontario which has money avail-
able at 8% per cent for certain income
groups. That is the only plan that I know of
at the present time.
Mr. I. Deans (Wentworth): A supplemen-
tary question: Is it the intention of the min-
ister to extend the range of incomes for which
this preferred interest rate is available, in
order to try to offset not only the increase
that is likely to come because of the Bank of
Canada move, but the ever-increasing in-
creases that we are seeing every week in any
event?
Hon. Mr. Handleman: Mr. Speaker, I have
a meeting arranged with the Minister of State
for Urban Affairs on April 24 and at the top
of our agenda is a discussion on the integra-
tion of the assisted home ownership plan of
the federal government and the preferred
lending programme of the provincial govern-
ment to make sure that a wide range of in-
come earners is covered by these two pro-
grammes.
HOUSING PROGRAMMES
Mr. R. F. Nixon: I have a question, Mr.
Speaker, of the same minister relating to his
statements over the weekend about the lack
of co-operation from municipalities around
Metropolitan Toronto in fulfilling the hous-
ing action programme, leading Mayor Mar-
garet Britnell, for example, to say the Hous-
ing Minister has "completely lost his
marbles."
Interjections by hon. members.
1060
ONTARIO LEGISLATURE
Mr. R. F. Nixon: Can the minister give
any specific instances where municipalities
have failed to co-operate with the provin-
cial ministry, or would he in fact agree that
it has been red tape that has held up the
approvals that the municipalities have had
before the provincial government these many
months?
Interjections by hon. members.
Mr. Deans: Tell them about Mel Lastman
in today's paper.
Hon. Mr. Handleman: Mr. Speaker,
despite a number of bitter experiences dur-
ing my life, I think I am going to continue
to be accessible to and communicative with
the media. I have great faith in their in-
tegrity in interpreting what people say to
them.
Mr. J. F. Foulds (Port Arthur): Unlike the
Premier (Mr. Davis).
Hon. Mr. Handleman: Unfortunately,
space requirements do not permit them to
publis'h everything that is said and, with
mv lack of articulation, I suppose I wasn't
able to get across to the reporter from the
Star-
Mr. V. M. Singer (Downs view): Does the
minister say that he has any marbles to
lose.
Hon. Mr. Handleman: —that I didn't
mention lack of co-operation, nor did I
say that there was any obstructionism. As
for losing my marbles, I don't know that
I ever had any.
Mr. M. Cassidy (Ottawa Centre): We had
some doubts, too.
Mr. A. J. Roy (Ottawa East): He'll get
along well in the cabinet.
Hon. Mr. Handleman: What I did say,
Mr. Speaker, was that I was expressing the
same type of frustration which is ex-
pressed on the opposite side of the House
at the lack of Drogress. Perhaps I am not as
diplomatic as I should be.
Mr. D. C. MacDonald (York South): The
minister will learn.
Hon. Mr. Handleman: Perhaps blunt
speaking is not the right thing for this port-
folio. But I felt, having made tremendous
progress in certain aspects of our housing
action programme and very little progress
in getting municipal agreement to specific
propositions, that I should draw to the
attention of the press not that they were
being unco-operative but that perhaps they
weren't moving as fast as we would like
them to.
Mr. Speaker: The hon. member for Grey-
Bruce has a supplementary.
Mr. E. Sargent (Grey-Bruce): Mr. Speaker,
in view of the fact that the minister has
$11 million in the budget for helping un-
serviced lots and he plans 110,000 housing
starts, has he met with the Minister of the
Environment (Mr. Auld) to question him
on the fact that this will only provide 2,000
lots and we will be 98,000 lots short? What
is the minister going to do about it? Is he
going to meet with the Minister of the
Environment and resolve this or what?
Hon. Mr. Handleman: Mr. Speaker, the
amount has been mentioned before in this
House, and of course we are again talking
about an amount in the Ministry of En-
vironment's estimates for assistance in sewers
and water services. What we have in our
ministry is $20 million in our housing
action programme facilitating fund, and this
is what we are asking the municipalities to
come and get. We have asked them to
come and get a piece of that action.
Mr. Speaker: The hon. member for
Ottawa Centre.
Mr. Cassidy: Could the minister tell us,
in view of his comments over the week-
end, what is the exact number of the
several thousand lots he has hoped to get
and how many does he now hope to get
through the housing action programme,
thanks to the difficulties that he is having
with municipalities.
Hon. Mr. Handleman: My hopes have
not been dashed, Mr. Speaker. I still hope
to have the same X thousands of lots that
we were talking about, and hopefully I
will be in a position to make that announce-
ment to the hon. member when I get a
municipal agreement on paper.
Mr. Speaker: The hon. member for
Downsview,
Mr. Singer: Mr. Speaker, does the minister
not realize that his stupid diatribe against
the municipalities is obviously an effort to
shift the blame and that the municipalities
cannot build houses by themselves unless
they have money to provide services?
Mr. J. R. Smith (Hamilton Mountain):
Look around you. Look around you.
APRIL 16, 1974
1061
Mr. Singer: What is the minister going
to do about putting the municipalities in the
position where they can supply services?
Hon Mr. Handleman: Mr. Speaker, that
is exactly what we propose to do with our
housing action facilitating fund.
Mr. Singer: With $11 million? Baloney
Hon. Mr. Handleman: There is $20
million. It is available not only for hard
service infrastructure but for soft service-
Interjections by hon. members.
Hon. Mr. Handleman: —and we are quite
prepared to sit down and discuss grant
negotiations with the municipalities-
Mr. Singer: He doesn't blame Ottawa, he
blames the municipalities.
Hon. Mr. Handleman: —and hopefully that
will be right away.
Mr. Singer: When is the minister going to
accept responsibility himself?
Hon. Mr. Handleman: There was no dia-
tribe against the municipalities. I simply com-
mented on the situation-
Mr. Speaker: Order. The Leader of the
Opposition, further questions?
UNION GAS
Mr. R. F. Nixon: I have a question of the
Premier, in the absence of the Minister of
Labour (Mr. Guindon): Has he been kept in-
formed as to the circumstances attending the
continuing strikes involving the employees
and the management of Union Gas whereby
gas has been shut oflF in certain communities,
there has been an exchange of gunfire in one
community and in one recent incident the
pressure regulators have been tampered with,
resulting in an increase in pressure which
could have resulted in some violent explosions
if in fact safety equipment had not been
functioning properly? Is he satisfied with the
role played by the Ministry of Labour in
trying to readi a solution to this problem,
or is he as concerned as I and other citizens
in the areas aflFected are, that we are going
to have to take some remedial steps for the
safety of the citizens involved?
Hon. W. G. Davis (Premier): Mr. Speaker,
I think we demonstrated the government's
concern some weeks ago when we made it
very clear that the personnel of the OPP
would be made available to see that there
were no dangers. I must confess I haven't
discussed it with the Minister of Labour to-
day. I shall, probably before the day is done.
I can only say that the government is con-
cerned about the possibUity of danger or
other matters occurring with respect to this
strike. I would also say, Mr. Speaker, that
everybody would like to see it finished and
there is no question in my mind that the
minister and the ministry, to the extent that
it is possible, are devoting their very con-
siderable talents to this objective.
Mr. Speaker: The hon. Leader of the
Opposition.
POTATO SUPPLIERS
Mr. R. F. Nixon: With your permission,
Mr. Speaker, a question of the Minister of
Agriculture and Food: Has he made himself
aware of the stories printed in the Globe and
Mail over the weekend indicating collusion
among the main potato suppliers Si the Met-
ropolitan Toronto area, which in fact appears
to be an established cartel involving not only
the ordinary wholesale companies but in asso-
ciation with Mr. loseph Burnett, whose name
was recently mentioned in this House in
connection with laundering money? Is he
aware that this situation is traceable back to
the similar situation in 1968 when the min-
ister's food council examined the matter and
found payments, something called payola,
which in fact acted for the restraint of free
competition?
Hon. W. A. Stewart (Minister of Agricul-
ture and Food): No, Mr. Speaker, I am not
aware of it. I have not seen the story but I
will make myself as aware as possible of it
and look into it.
Mr. R. F. Nucon: Supplementary: Will the
minister look into it in conjimction with the
Minister for Consumer and Commercial Re-
lations who might have some special regu-
latory powers in this regard? Since the food
council is concerned, will the Minister of
Agriculture and Food report to the House
on the matter?
Hon. Mr. Stewart: Mr. Speaker, I will cer-
tainly look into this situation and what I
have to report will be based upon what we
find.
Mr. M. Sbulman (High Park): Supplemen-
tary.
Mr. Speaker: The hon member for High
Park.
1062
ONTARIO LEGISLATURE
Mr. Shulman: In view of the many threats
to these potato growers who are foolish
enough to attempt to compete with Mr. Bur-
nett, would the minister also refer that matter
to the Solicitor General (Mr. Kerr) to see if
charges can be laid?
Hon. Mr. Stewart: As I say, Mr. Speaker,
I will look into it. I will make no attempts to
offer to do anything until I find out what
the facts of the matter are.
Mr. Speaker: The hon. member for Went-
worth.
HOUSING PROGRAMMES
Mr. Deans: Thank you, Mr. Speaker, I
have a question of the Minister of Housing.
How does the Minister of Housing explain
his statement that there is progress being
made in Ontario in the housing field against
the backdrop of an overall decline in the
number of housing starts in Ontario in Febru-
ary and March of this year over last year?
Hon. Mr. Handleman: Over February and
March of last year? Mr. Speaker, I have
examined the housing starts and in February
and March they seemed to be up over last
year. I would have to examine the figures
again and check out the hon. member's as-
sumption, because I did look at the figures
just this morning and they appeared to me
to indicate a slight decrease in multiple-
dwelling units and a large increase in single-
family housing.
Mr. Singer: Whatever happened to the
speeding up of the process?
Mr. Speaker: The hon. member for Went-
worth.
Mr. Deans: I will wait for an answer to
come back from the minister.
ACTIONS OF REAL ESTATE AGENTS
Mr. Deans: Can I ask the Minister of Con'-
sumer and Commercial Affairs whether he in-
tends to take some action to strengthen the
Real Estate Act to ensure that persons who
are dealing in the purchasing of housing and
who are in fact real estate agents inform
prospective buyers or sellers that they are act-
ing on behalf of a real estate agency rather
than a private buyer?
Hon. J. T. Clement (Minister of Consiuner
and Commercial Relations): I am sorry. I
don't understand the import of the member's
question, Mr. Speaker. Agents invariably act
on behalf of the vendor. Tliere are exceptions
to that arrangement but—
Mr. Deans: Let me refer the minister to
the Toronto Sun article of the weekend, in
which it was stated by a speculator in hous-
ing that, among a number of the manipula-
tions that are going on, there is a failure on
the part of real estate agents to inform pros-
pective sellers that they, the agents, are not
acting on behalf of purchasers but rather on
behalf of real estate companies; and that, in
fact, they are acting as a middleman— buying,
inflating the price, and then selling the prop-
erty off again. What action does the minister
propose to take to try to put a stop to this
particular speculation?
Hon. Mr. Clement: An agent acting on be-
half of any vendor must by law notify that
vendor if he is acting on behalf of any other
interested party. If he's buying on his own
behalf or on behalf of another client he must
disclose that. If he doesn't discl'ose that, he
forfeits his commission as well as giving
grounds for the lifting of his licence. There
are cases pending of a similar nature to that
right now, and we prosecute them vigorously.
(I think the member's colleagues who are
familiar with the practice of law will assure
him that that is a very serious breach of the
Act itself, and we won't tolerate that type
of activity by any real estate agent or broker.
Mr. Deans: Is it the intention of the minis-
ter to investigate the content of the story to
determine the validity of the claim by the
real estate agent to ensure that this act will
be stopped in Ontario at this time to cut
down the cost of housing?
Hon. Mr. Clement: Mr. Speaker, I'm not
familiar with the particular story to which the
hon. member makes reference. But I'm sure
my staff will take a look at it. I'll make a note
to have it drawn to their attention.
Mr. Speaker: The hon. member for Went-
worth.
WARRANTY ON NEW HOMES
Mr. Deans: I'd like to ask the Minister of
Consumer and Commercial Relations whether
it's his intention to institute a homeowner's
warranty during this year, recognizing that
what has been offered by the construction in-
dustry is not going to be satisfactory, and that
Mr. Basford, frankly, seems to be dragging his
heels?
APRIL 16. 1974
1063
Hon. Mr. Clement: Mr. Speaker, I think it's
incumbent upon this government to imple-
ment some form of warranty proji^amme. If
no federal programme which is acceptable to
us is forthcoming— and that appears to be the
trend in which we are moving— then I think
we have no alternative but to implement
some type of warranty programme. I should
point out to the House, Mr. Speaker, that I
will be meeting in about three weeks' time
with all the consumer ministers across
Canada, and this is one of the matters that
we have on the agenda as to a provincial pro-
gramme for each and every province.
Mr. J. A. Renwick (Riverdale): We can't
wait that long.
Mr. R. F. Nixon: Why doesn't the minister
accept the member for York-Forest Hill's
private bill?
Mr. P. G. Givens (York-Forest Hill): Does
the minister accept my bill?
Mr. Deans: I have one final question, Mr.
Speaker.
Hon. Mr. Clement: What's the member's
name?
Mr. Speaker: The hon. member for Went-
worth is asking questions on behalf of the
New Democratic Party.
Interjections by hon. members.
Mr. Deans: Would the minister read his
bill?
Hon. Mr. Clement: Yes.
SALE OF COLZA OIL
Mr. Deans: I have one final question of
the Minister of Health. Has the Minister of
Health been made aware of the ban in Italy
on the sale of colza oil? It's a vegetable oil
used as a substitute for olive oil. Is the
minister aware that similar types of oils are
sold in Ontario, and will he order that they
be examined to determine whether similar
kinds of side effects might not be occurring
from the sale and use of colza oil in Ontario?
Interjection by an hon. member.
An hon. member: That's a good question.
Hon. F. S. Miller (Minister of Health): The
member said it for me.
Interjections by hon. members.
Hon. Mr. Miller: In all seriousness, Mr.
Speaker, I am not av^^re of that oil, but I
will be pleased to look into ft in case Aere
is some potential risk to the people of On-
tario.
Mr. Shulman: Ask Mackey.
Interjections by hon, members.
Mr. Deans: Supplementary question: May I
send the minister a bottle of the oil to have
it examined?
Hon. Mr. Stewart: What are the side
effects?
Hon. J. R. Rhodes (Minister of Transporta-
tion and Communications): Is that guaran-
teed?
Hon. Mr. Miller: I would not accept it.
Mr. Deans: And let me, by way of a
supplementary question, ask the minister
whether he's aware that it also goes tmder
the name of rapeseed oil, and it has been
claimed that it causes sterility?
Hon. Mr. Rhodes: Show us the bottle. That
could have come from Morty's private stock!
An hon. member: That's of great concern
to us.
Hon. Mr. Miller: I was going to suggest,
Mr. Speaker, that he should try some.
Interjections by hon. members.
Hon. Mr. Miller: I recognize it under its
old name much better.
Mr. Speaker: Does the hon. member for
Wentworth have fiuiher questions?
An hon. member: Make sure it's in the
bottle one is supposed to send to his doctor.
Mr. Speaker: The hon. Minister of Colleges
and Universities has the answer to a question
asked previously.
PUBLIC SERVICE ACT CONFLICT
Hon. J. A. C. Auld (Minister of College*
and Universities): Mr. Speaker, I >%-as so
wrapped up in that bit about the oil that I
hope you won't think this is a slippery-
answer.
An hon. member: It would not be the first
time either.
Hon. Mr. Auld: Mr. Speaker, I'd Hke to
reply to a question raised by the hon. member
for Kitchener (Mr. Breithaupt).
In 1971-1972, Dr. D. T. Wright received
$39,863 in remuneration from me Ministry
1064
ONTARIO LEGISLATURE
of Colleges and Universities while acting in
the capacity of chairman of the Committee
on University Affairs. Dr. Wright did not re-
ceive any other salary or per diem payments
through this ministry or any other ministry.
The other figures referred to by the hon.
member were not received by Dr. Wright,
and this fact was specifically set out in the
Provincial Auditor's report for 1972-1973.
The hon. member asked, at the same time,
whether Dr. Wright received benefits for con-
sulting work done on the structural steel con-
tract at Ontario Place. In his university work,
prior to becoming chairman of the Committee
on University Affairs, which I may say is not
a civil service position. Dr. Wright specialized
in the theory of structures, gaining an inter-
national reputation for the design of space
frame structures. The architectural design of
the dome theatre and forum at Ontario Place
called for such a structure. An Ontario firm
won the contract and, in turn, asked Dr.
Wright to advise it on some special aspects
relating to the strength and security of the
building. For his specialist work in this con-
nection he received a professional fee from
that firm.
Mr. Speaker: The hon. Minister of Trans-
portation and Communications has the an-
swer to a question asked previously.
Hon. Mr. Rhodes: Mr. Speaker, the hon.
member for Nickel Belt (Mr. Laughren) had
asked the question. In his absence, I will
wait until he returns.
Mr. Speaker: The hon. member for Ottawa
East was first.
PROVINCIAL SECRETARIATS
Mr. Roy: Mr. Speaker, I have a question
of the Premier. I wonder if the Premier would
comment on an article in the Ottawa news-
paper last week referring to statements by
the former policy secretary, the member for
Carleton East (Mr. A. B. R. Lawrence) and
the former policy secretary, the member for
St. George.
Mr. Singer: The former member for St.
George (Mr. A, F. Lawrence).
Mr. Roy: The member for Carleton East
stated that the policy secretariats didn't work
because they were too efiicient; they built up
too much momentum; and they threatened
to overrun the traditional thinking in the
party in the Conservative caucus.
Mr. MacDonald: Thinking?
Mr. Roy: The former member for St.
George stated that in theory secretariats were
good, but they went off the rails because of
personality clashes. Now I wonder if the
Premier agrees with these comments.
Hon. Mr. Handleman: Is this of urgent
public importance?
Hon. Mr. Davis: Mr. Speaker, I am cer-
tainly delighted to answer that question of
urgent public importance, which is typical
of the-
Mr. Roy: The government is wasting a
million bucks.
Hon. Mr. Davis: —questions from the mem-
ber for Ottawa East.
Mr. Speaker, really if you assess what has
happened since the rather innovative ap-
proach here with the development of the
policy field secretariats, from a very personal
standpoint I think they have worked very
well.
Mr. Roy: The Premier is the only one who
thinks it.
Hon. Mr. Davis: Well I can too! There is
one difference, Mr. Speaker, between myself
and the members across the House. I happen
to know how they are working; they don't.
Mr. Cassidy: The Premier is the only one;
nobody else does.
Interjections by hon. members.
Hon. Mr. Davis: I think, Mr. Speaker, now
that I have been asked, I will just take a few
minutes to outline some of their functions in
that-
Mr. Roy: Yes, well, that is not what the
Premier's colleague said.
Mr. Speaker: Order.
Hon. Mr. Davis: —obviously it is a matter
of urgent public importance. As for the for-
mer member for St. George, a very able
member of the cabinet, a very excellent con-
stituency person, who moved on to the fed-
eral arena where he will, I would think some
time in the not too far distant futiu-e, become
a member of the government in Ottawa-
Mr. J. R. Breithaupt (Kitchener): Is that
after the Premier becomes the leader?
Hon. Mr. Davis: -I think it is fair to state
that knowing that individual as well as I do—
APRIL 16, 1974
106S
Mr. Singen The Premier can gp up there
and he can come down here.
Hon. Mr. Davis: Well, I am very flattered
that the member for Downsview thinks I
might have the capacity to go up there. I
really find that I have my hands full here,
particularly from the member for Downs-
view. He keeps me mentally stimulated all
the time. I would hate ever to move and
miss his contributions.
Mr. Singer: Well, I am glad. I enjoy the
Premier's baiting.
Hon. Mr. Davis: I knew the member would
be glad. I could sense the frustrations of the
former Provincial Secretary for Justice from
time to time. I would say this about the
observations made by the former provincial
secretary for the resource field who, in my
view, is one of the very able people in
political and public life in this province, that
he made a very-
Interjections by hon. members.
Mr. R. F. Nixon: A little late for that kind
of patronizing.
Hon. Mr. Davis: —a very excellent contribu-
tion-
Mr. Speaker: Order.
Hon. Mr. Davis: Mr, Speaker, if the mem-
ber for Ottawa wherever it is and the Islands
wants to interject that the hon. member has
left the executive coxmcil, one of the great
things about the party I happen to Itead is
that we recognize and are prepared to make
changes when we feel the time has come.
I fully appreciate that the member for
Ottawa and the Islands envisages himself in
the vacant seat of the leader of that party
but I will be so bold as to make a prediction
that it will never happen because he doesn't
have the capacity to do it. He just doesn't
have it.
In fact, I will go a step further-
Interjections by hon. members.
Mr. Speaker: Order.
Hon. Mr. Davis: I don't think any of his
caucus colleagues do either. I tell members
the former Provincial Secretary for Resources
Development had so much more talent and
ability and commitment to public life in this
province that the member for Ottawa and the
Islands really has a great deal of nerve to
mention his own contribution here in this
House and I make no bones about it.
I think it is also fair to state. Mr. Speaker,
and I have made this observation before, one
of the limiting factors which we think is
slowly changing in the role of the provincial
secretary is not intemallv with the decision-
making process. The difficulties we have en-
countered, and I think this would be shared
by evervbody who has held that particular
responsibility, are the political perceptions of
their responsibilities not just here in the
House, where one doesn't expect a completely
objective viewpoint in any event, but as far
as the general public is concerned.
Mr. Roy: It is not working and the Premier
knows it.
Hon. Mr. Davis: We think this Is in the
process of change but as far as the function-
ing of government is concerned, in their con-
tribution to cabinet and the development of
pohcy, I can only say, Mr. Speaker, it works
extremely well.
Mr. Roy: Supplementary.
Mr. Speaker: The hon.
Sandwich-Riverside.
member for
Mr. Roy: Mr. Speaker, I have just a short
supplementary.
Mr. Speaker: If we can depend on a short
supplementary answer perhaps we can permit
it.
Mr. Roy: My question was short; it was his
answer that was long.
Interjections by hon. members.
Mr. Roy: In light of the fact-
Hon. Mr. Davis: I will tell the member, if
he is not satisfied, I am not going to be here
at 6 o'clock.
Mr. Roy: See that? He is interrupting me
again. Order, Mr. Speaker, please.
Mr, Speaker, to the Premier, in light of the
fact that we are going to vote somethmg like
$1 million in estimates for these three super-
ministries, the policy secretariats, doesn't the
Premier feel he should level with the people
of Ontario, save us $1 million and do away
with them? Isn't it apparent to him that he is
the only one who doesn't realize they are not
working?
Hon. Mr. Davis: Mr. Speaker, not only is
it not apparent to me, I would say with
respect-
Mr. Roy: He is the only one.
1066
ONTARIO LEGISLATURE
Hon. Mr. Davis: —it is not apparent to
those who are involved in the process.
Mr. Roy: What do they say here?
Hon. Mr. Davis: If the hen. member wishes
to vote against them and to be critical of
them because he doesn't have the capacity
to recognize change in administration, he can
be my guest.
Mr. Roy: What do they say?
Mr. MacDonald: Mr. Speaker, on a point
of order, would you consider adding two
minutes to the question period to compensate
for the diversion of the Premier in attacking
my colleague here when he was answering a
question there?
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet ) : What is the member
doing himself?
Mr. Speaker: I usually do consider the
length of the statement. I did not in that
particular case think it was an exceptionally
long reply to the provocative question.
The hon. member for Sandwich-Riverside.
An hon. member: It was only irrelevant.
Mr. Roy: The question was relevant.
EMPLOYMENT OF HANDICAPPED
PEOPLE
Mr. F. A. Burr (Sandwich-Riverside): Mr.
Speaker, a question of the Minister of Labour
regarding his interest in drafting legislation
which would require large employers to pro-
vide a certain percentage of jobs for handi-
capped and disabled persons. Could the min-
ister give us a progress report?
Hon. F. Guindon (Minister of Labour): Yes,
Mr. Speaker, I know that my hon. friend from
Sandwich-Riverside has shown a very keen
interest in the last couple of years in handi-
capped' people in this province. We have had
a number of discussions. I had promised the
hon. member that, if at all possible, I would
like to consult the labour department in
Great Britain. Unfortunately, because of the
political climate and because of the election
which took place, I was unable to go to
London, England, but I do propose to do so
at the first opportunity.
Mr. Speaker: The hon. member for
Windsor- Walkerville has a supplementary.
Mr. B. Newman (Windsor-Walkerville): Mr.
Speaker, may I ask of the minister if he is
recommending to his cabinet colleagues that
they adopt the same principle insofar as the
civil service is concerned?
Hon. Mr. Guindon: Mr. Speaker, we are
giving this matter very serious consideration.
I had hoped, as I said, to visit some of the
countries where this is being done. Whenever
I have a real study made of the situation here
in Ontario, I'll be glad to make recommenda-
tions.
Mr. Speaker: The hon. member for Grey-
Bruce.
ATHLETIC SCHOLARSHIPS
Mr. Sargent: Mr. Speaker, I have a ques-
tion of the Premier. In view of the trend of
many of our top athletes in Ontario of going
to the States on sports scholarships, doesn't
the Premier think it's about time that we in
Ontario had an ongoing lottery to provide
funds for these scholarships to keep our ath-
letes here?
Hon. Mr. Rhodes: They can't play football
here.
Hon. Mr. Davis: Mr. Speaker, I think tliere
are two aspects to this question. One is the
question of whether a lottery would be the
appropriate means whereby one would finance
"athletic scholarships." I would think that if
there were athletic scholarships there are
probably other ways to finance them.
The really basic question that has not been
resolved— in Ontario at least— is the question
of whether or not the universities are pre-
pared to offer athletic scholarships leaving
apart the source of funds. In my own limited
experience in a former ministry, I can recall
this being raised from time to time, and I
happen to be somewhat interested in
athletics. The question was always raised as
to whether or not a imiversity in this prov-
ince should, by way of a recognized pro-
gramme, have athletic scholarships for
students in attendance at the institution.
1 1 can recall the former Minister of Cor-
rectional Services having some public views
on this, and I must confess, Mr. Speaker, I'm
of someiwhat mixed feelings myself. I regret
seeing a number of Ontario students going to
Michigan State, Michigan, Denver, some to
play hockey, some football, some basketball—
not many— quite a few track and field, be-
cause I would prefer to see them here at our
own post-secondary institutions.
APRIL 16, 1974
1067
I think it is also fair to point out though,
Mr. Speaker, and I don't say this in any
critical sense, that athletic scholarship pro-
grammes at some institutions in the United
States have been abused. I think this is the
part that is the concern of the universities in
this province— the question of abuse being
built into the system.
I happen to believe in intercollegiate
athletics. I think the programmes, quite
frankly, should be expanded. I would like to
think that no student, really, is prejudiced or
precluded from attending an Ontario univer-
sity by lack of finance and I don't think that
many are, if any. However, when you have
free tuition, perhaps other forms of induce-
ments to go to one of the American colleges,
it is sometimes diflScult for a student here to
say no.
As I say, Mr. Speaker, I question whether
the lottery would be the right approach. I
think, really, it would be a matter for the
universities of this province to resolve
amongst themselves as to whether or not they
wish to build scholarships for atWetic compe-
tence into their form of student assistance, or
student awards.
As I say, I haven't really given this sub-
ject much thought in the last six or seven
months. I would be quite delighted to do so
and, perhaps, give a more definitive answer.
But the universities do concern themselves
with this matter because I say very frankly,
from some very personal knowledge, the
scholarship system in some institutions south
of the border has, without any question, been
abused. I think all you have to do, Mr.
Speaker, is read some of the material from
time to time and you vA\\ find that's fac-
tually to be the case.
Mr. Sargent: One supplementary: In view
of the fact that a lot of American states are
using lotteries very successfully, why is On-
tario dragging its feet in creating this new
source of capital?
Mr. Roy: There's a lot of Ontario money
going outside the province too.
Hon. Mr. Davis: Mr. Speaker, that is, as I
say, a separate question. Whether or not there
should be an Ontario lottery for some pur-
pose, whatever that purpose is, is something
the government has not been neglecting.
Mr. Sargent: You buy lottery tickets any
place in Ontario, Mr. Speaker.
Hon. Mr. Davis: I just say we're not
neglecting considerations of that, Mr. Speaker,
but I just have no policy statement to
about it at this moment
Mr. Speaker: The hon. member for Park-
dale.
EMPLOYMENT OF STUDENTS IN
PSYCHIATRIC HOSPITALS
Mr. J. Dukszta (Parkdale): I have a ques-
tion of the Minister without Portfolio in
charge of the Youth Secretariat. As yet no
money has been allocated for the unclassified
stafF in the provincial mental hospitals. Sum-
mer students fall in this category. Could he
tell me how much of the $9 million allocated
for the summer students will be given to
employ students in the mental hospitals— the
psychiatric hospitals of Ontario?
Hon. D. R. Timbrell (Minister without
Portfolio): Not offhand, Mr. Speaker, but I
will get an answer for the member.
Mr. Speaker: The hon member for Lanark.
SALES TAX
Mr. D. J. Wiseman (Lanark): Yes, I have
a question of the Minister of Revenue. In
regard to the tax-free items that were men-
tioned in last Tuesday's budget, could the
minister tell us when these items will be
tax-free so that we might tell some of the
merchants in our area?
Mr. Singer: As of May, he said the other
day.
Hon. A. K. Meen (Minister of Revenue):
Yes, Mr. Speaker, I hope to have it finished
later this week with information out to the
merchants of Ontario in the course of next
week so that they will be able to bring the
reductions into effect on Monday, April 29.
Mr. R. F. Nixon: A very inconsistent pol-
icy; I would say hypocritical.
Mr. Speaker: The hon. member for-^sup-
plementary, yes.
Mr. Wiseman: Could the minister tell me
in the case of the $30 limit for a pair of
shoes, if a person purchases a $40 pair of
shoes, does he pay the tax on the $10 over
the $30, or the full $40?
Mr. Cassidy: That is a conflict of interest,
because the member sells shoes.
Mr. Shulman: Just buy one shoe at a time.
1068
ONTARIO LEGISLATURE
Hon, Mr. Meen: Mr. Speaker, once the
price exceeds the minimum figure of $30, the
tax is payable on the full purchase price of
any article; just as it is payable on, let's say,
a meal in a restaurant above the minimum
figure— the rate of tax is on the whole of
that meal. If it is to be otherwise, then it is
a matter of policy for the Treasurer and
Minister of Economics (Mr. White) to deter-
mine.
Mr. Cassidy: What about one-legged cus-
tomers?
Mr. E. R. Good (Waterloo North): Can
they buy them one shoe at a time?
Mr. Speaker: The hon. member for Downs-
view.
INTERMEDIATE CAPACITY TRANSIT
SYSTEM
Mr. Singer: Mr. Speaker, I have a ques-
tion of the Minister of Transportation and
Communications. In view of the obvious
failure of the computerized operation in the
BART system in San Francisco, and in view
of the failure of the government of the
United States, after having spent $57 million
in an experiment of its own to provide
computerized transport, does the minister
have any real reason to believe that his ex-
periment, or the government's experiment,
is going to succeed— even at the Exhibition,
where he is spending considerably less?
Mr. R. F. Nixon: The "Davis train"
doesn't have wheels— so it is going to work
better.
Mr. Givens: That is right.
Hon. Mr. Rhodes: Yes, Mr. Speaker, we
have reason to believe that it will be
successful.
Mr. Singer: Why?
Hon. Mr. Rhodes: The situation as it in-
volves the BART project employs a tech-
nology developed over some 15 years; they
were unable to keep up with today's chang-
ing technology. In the case of the Morgan-
town experiment, it was basically the same
—an old technology.
Mr. Roy: The minister didn't even know
about the wheel before he became minister.
Mr. Speaker: The hon. member for
Windsor—
Hon. Mr. Rhodes: Mr. Speaker, I didn't
complete the answer. I sat down because
I believe the hon. member for York-Forest
Hill has some profound statement to make,
and I don't want to interrupt him.
Interjections by hon. members.
Mr. Speaker: The hon. member for
Downsview.
Mr. Singer: Well, he is not finished yet,
he said.
Mr. Roy: If the minister is going to
stand up, he should answer the question.
Hon. Mr. Rhodes: Mr. Speaker, as I said
at the outset, we have every reason to
believe that our programme will be success-
ful, despite what has happened in the in-
cidents in the United States. We are testing
our technology continually. Both projects
were referred to in an article in the Globe
and Mail this morning. Both of them went
ahead and built their projects without doing
adeouate testing of their systems. That is
not happening in this particular case.
Mr. Singer: Mr. Speaker, by way of
supplementary, I was not referring to the
difference between the magnetic levitation
system and the wheel system. I was re-
ferring, in particular, to whatever reason
the minister might have to believe that a
computerized operation would work here
when it hasn't worked in the United States
—with the best technicians available, with
the best technical advice and with the ex-
penditure of far, far more money than even
this government is putting into it.
Hon. Mr. Rhodes: Mr. Speaker, for ex-
actly the same reason that we talked about
the various modes of moving the equip-
ment. I'm sure the hon. member will
aen'ee that computer technology has im-
proved somewhat over the past 15 vears;
and if he doesn't believe so, then he is
certainly behind the times.
Mr. Singer: That is why they are (?oing
to blow up $57 million in the United
States?
Mr. Speaker: All right, supplementary.
Mr. Sargent: In view of the fact that
BART is 7% years down the road now on
its programme and they are 1,000 per cent
wrong on their carrying load, is the min-
ister still committed to this programme? Is
he going to go ahead with it?
Hon. Mr. Rhodes: Yes, Mr. Speaker.
APRIL 16, 1974
lOGO
Mr. Speaker: The hon. member for
Windsor West is next
Mr. Cassidy: Just a supplementary, Mr.
Speaker.
Mr. Speaker: The hon. member for
Ottawa Centre on a supplementary.
Mr. Cassidy: The cost of the BART pro-
gramme having risen by more than double
since it was inaugurated, can the minister
now give us an estimate of the escalation
in the per-mile cost of the GO-Urban
system?
Hon. Mr. Rhodes: No, Mr. Speaker, I
can't give that estimate at this time; I will
attempt to get the figures for the hon. mem-
ber.
Mr. Speaker: The hon. member for Wind-
sor West
Mr. R. F. Nixon: It is escalating.
STRIKE IN GUELPH
Mr. E. J. Bounsall (Windsor West): A
question of the Minister of Labour, Mr.
Speaker: Would he not agree that Doehler
Canada Ltd. in Guelph, on strike since Jan.
29, and wholly owned by National Lead
Co. did not bargain in good faith inasmuch
as prior to the commencement of that strike
it did not oflFer even one penny per hour
increase in wages, and especially since the
company's lawyer is one Ted Stringer, an
organizer of the anti-union conference in
Hamilton?
Hon. Mr. Guindon: Mr. Speaker, I am not
in a position to say whether they have been
bargaining in good or bad faith. I'd be glad
to look into it and to report to the member.
Mr. Bounsall: Supplementary, Mr. Speaker:
Could the minister at that same time report
on the progress that he or his ministry oflB-
cials have been making of late in trying to
solve that strike?
Hon. Mr. Guindon: Can the member repeat
the question? I didn't hear it.
Mr. Bounsall: When the minister reports
to us on what degree of bad faith the com-
pany has been showing, could he also report
on the progress he or his ministry oflBdals
have been making of late to solve that strike,
now some 13 weeks old?
Hon. Mr. Guindon: Mr. Speaker, I have
never said we would report on the company's
bad faith in this negotiation. There is no
wav I can say that, as the member can
realize. However, we would be glad to re-
port and rd be glad to 6nd out exactly what
nas taken place lately; and if neea be I
would even go so far as to call a meeting
between parties.
Mr. Speaker: The hon. member for Perth
is next.
AID TO TORNADO VICTIMS
Mr. H. EdighoflFer (Perth): A question of
the Minister of Agriculture and Food: Is the
minister considering making funds available,
or recommending to the cabinet that funds
be made available, to assist the farmers of
Hibbert township and surrounding areas hit
by the tornado fast Sunday? There was con-
siderable damage to houses and bams.
Hon. Mr. Stewart: Mr. Speaker, a disaster
policy has been in operation for a number of
years. I believe it is administered by the
department of the Treasurer and Minister of
Intergovernmental Affairs-
Mr. R. F. Nixon: A very ineffectual one; it
never cost the government very much.
Hon. Mr. Stewart: —in which the province
matches any moneys that are raised locally by
subscription or otherwise.
Mr. Speaken The hon. member for Lake-
shore.
LAKESHORE PSYCHL\TRIC HOSPITAL
GRANTS
Mr. P. D. Lawlor (Lakeshore): To the
Minister of Health, Mr. Speaker, pursuant to
our little conversation in the hallway of a
few days ago: Has the hon. minister nad an
opportunity to investigate the conditions, the
grants, the pulling back, the confusion as to
what moneys are available to the Lakeshore
Psychiatric Hospital; particularly with its
plans to decentralize?
Hon. Mr. Millen Mr. Speaker, we had a
conversation in the hall the other day, but I
don't recall all those adjectives.
Mr. R. F. Nixon: The question was asked
in the House before.
Mr. Foulds: They were nouns.
Mr. Deans: That's why he doesn't answer.
1070
ONTARIO LEGISLATURE
Hon. Mr. Miller: I thought they were ad-
jecti\es, but that explains why the member
is a teacher and I am not.
Mr. Lawlor: Mostly adverbs.
Hon. Mr. Miller: One of the statements
the member made at that point was that in
fact ue had cut back budgets at Lakeshore
Psychiatric Hospital, and this is not true. On
verif) ing the figures with our staff, I find we
increased the budget by about four per cent.
At the same time the nimiber of patients
being treated was reduced by almost 10 per
cent. Now no programmes were eliminated
as a result, although a few programmes that
were being considered for implementation
have not been started; we are continuing with
the same slate of programmes as was carried
on before.
Did the member want the answer to the
earlier part of his question about the land?
Is that implicit in this?
Mr. Lawlw: The minister may continue;
yes.
Hon. Mr. Miller: Thank you, thank you.
Mr. Lawlor: The minister remembers the
nouns now.
Hon. Mr. Miller: Yes, I have trouble with
those.
There was a switch of property made be-
tween Humber College and Lakeshore Psy-
chiatric Hospital to serve each of the insti-
tutions better. A mental retardation facility
is planned to be built on property, currently
owned by Humber College I understand,
some distance from Lakeshore Psychiatric
Hospital; and in turn some acreage was
given to Humber College for the construction
of buildings on property currently owned by
Lakeshore Psychiatric Hospital. After study-
ing the needs of both institutions it was felt
this exchange of land made good sense and
would serve both well.
Mr. Lawlor: Supplementary.
Mr. Speaker: The hon. member for Lake-
shore, supplementary.
Mr. Lawlor: On those slated progranmies
that have been cut back, is it the ministry
intention to cut back the programmes for a
centre for mentally retarded adults and a
forensic centre for the criminally insane at
that location?
Hon. Mr. Miller: Mr. Speaker, the member
mentioned the forensic programme was to be
a new programme, I believe, in talking to me
earlier.
Mr. Lawlor: Yes.
Hon. Mr. Miller: This programme is not
being implemented at the present time. This
is the understanding I was given.
Mr. Lawlor: How about the mentally re-
tarded project— all right!
Mr. Foulds: Is there a cutback?
Hon. Mr. Miller: There is no cutback that
I know of in mentally retarded facilities
there.
Mr. Sargent: What does the minister mean?
Hon. Mr. Miller: As the member knows
we transferred most of the mental retardation
facilities from this ministry to the Ministry of
Community and Social Services effective April
1, and therefore I'd have to refer the member
to that minister for a specific answer.
Mr. Speaker: The hon. member for
Kitchener— or for Waterloo North I should
say.
Mr. Good: Thank you, I accept your
apologies.
Mr. Roy: He accepts that as an apology.
SUMMER EMPLOYMENT PROGRAMME
Mr. Good: A question of the Minister of
Consumer and Commercial Relations: How
much money was allocated under the Experi-
ence '74 programme for setting up of con-
sumer complaint bureaus in storefront opera-
tions this summer to create employment for
youth?
Hon. Mr. Clement: Mr. Speaker, a request
came in from one of the faculty members at
Niagara College for this type of a pilot pro-
gramme. We advised that particular indivi-
dual that we had no funding available and
referred it to the Youth Secretariat. The
Youth Secretariat reported back to me that it
endorsed the programme— the total program-
me was to cost $11,000, $9,000 of which
would have to be approved by Management
Board of Cabinet-on condition that $2,000
would have to be raised locally for admin-
istrative costs by the Niagara College people
involved.
The last I heard of it, a week or 10 days
ago, the people at Niagara College— and I
APRIL 16, 1974
1071
don't know the number of administrative staff
I'm talking about, whether it's one or five
people— regretfully were unable to raise
$2,000. rfcrefore, as the matter stands right
now, we are reviewing it to see if we are
going to proceed with that programme or
not.
Mr. Good: A supplementary, Mr. Speaker—
Mr. Speaker: The time for questions has
expired.
Mr. Good: Just one supplementary?
Mr. Speaker: The time has expired. I will
perhaps recx)gnize the hon. member at the
next question period if he wants to ask a
new question.
Mr. Roy: When is that going to be?
Mr. Speaker: On Thursday next.
Mr. Roy: Thursday, thank you.
Mr. Speaker: Petitions.
Presenting reports.
iMotions.
Introduction of bills.
COMMISSIONER OF THE LEGISLATURE
ACT, 1974
Mr. Singer moves first reading of bill in-
tituled, An Act to provide for me Appoint-
ment of a Commissioner to investigate Ad-
ministrative Decisions and Acts of OflBdals
of the Government of Ontario and its Agen-
cies and to define the Commissioner's Powers
and Duties.
Motion agreed to; first reading of the bill.
Mr. Singer: Mr. Speaker, this is the ninth
consecutive time I've introduced this bill.
Sometimes I think I'm making a little prog-
ress, sometimes I'm not quite sure— but I'm
going to persist in it.
Mr. R. F. Nixon: Arthur Wishart almost
bought it one year.
Mr. Singer: The protection of citizens and
investigations of their complaints in regard to
civil servants cannot be overemphasized. The
success of this type of office in other juris-
dictions, such as the Province of Alberta, has
been noteworthy and certainly should be fol-
lowed now in the Province of Ontario.
BUSINESS CORPORATIONS ACT
Mr. Roy moves first reading of bill in>
tituled, An Act to amend the Business Cor-
porations Act.
Motion agreed to; first reading of the bill.
Mr. Roy: Mr. Speaker, this is the second
consecutive time I have introduced this bill.
The reason for this bill is the actixities of
certain companies that are compelling certain
people to give up their fingerprints for the
privilege of cashing cheques.
The bill was introduced last year in the
hope that it would curtail the activities of
these companies in that they could not compel
people to give their prints and, secondly,
once prints were taken, by controlling what
could be done with the prints.
I am told the activities of these companies
have extended to the point where they now
want to footprint babies, nose-print dogs and
even start taking fingerprints from people
who are on welfare. We feel, Mr. Speaker,
that this activity should be curtailed and
controlled.
Mr. Speaker: Orders of the day.
Clerk of the House: The first order, resum-
ing the adjourned debate on the motion that
th^ House approve in general the budgetary
policy of the government.
BUDGET DEBATE
Mr. Speaker: The hon. member for Kit-
chener.
Mr. J. R, Brcithaupt (Kitchener): Mr.
Speaker, the true measure of the 1974 On-
tario budget is not in the rhetoric of the
Treasurer's statement but in his forecast for
Ontario's economy this year. The Treasurer
(Mr. White) speaks of "measures to restrain
inflation" yet he forecasts the rate of ijiflation
will accelerate to 10 per cent or more this
year. The Treasurer claims he has introduced
measures "to increase the supply of housing"
yet he predicts there will be fewer hoaxing
starts in 1974 than there were in 1973. The
Treasurer claims his budget introduces greater
equity yet he predicts there will be a 15 per
cent increase in unemployment in Ontario this
year over last; that is, a rise from 143,000 to
164,000.
I presume, Mr. Speaker, that the Treasurer
talks with his friends in Ottawa; that is, his
Conservative friends. His national leader
spends mo.st of his time trying to throw
banana skins under the federal gONemment
1072
ONTARIO LEGISLATURE
but the most likely result is that Father Lewis
will be tripped; however that is another story.
If Mr. Stanfield is correct, inflation is running
rampant and it will destroy the middle classes
and those pensioners who save for a better
future in their retirement.
If the federal Liberals are correct, the in-
flation rate in Canada is to be compared with
that of other nations. We are to be seen as
comparatively successful when we see most
other nations— such as Switzerland, Yugoslavia
and Vietnam— suffer through annual rates of
12, 24 and 65 per cent.
Whichever view one may accept, the facts
are that Ontario is not controlling its own
contribution to inflation. Ontario is not taking
the lead that is needed. This government
usually claims that its programmes are the
best in Canada or in North America or even
in the western world. Each minister of tiie
Crown uses the press facilities and those of
selected public relations firms to tell our citi-
zens the wonders of Toryism in Ontario. But
the failure of our wealthy province to in-
fluence inflation pre&sures is not as well
brought before our eight million people.
Quite simply, the solutions offered in this
government's budget will not relieve inflation,
will not increase the supply of housing and
will not control unemployment. Rather than
try to solve the problems of our economy, the
Treasurer has chosen to obscure them with
insincere and superficial remedies. He has
substituted rhetoric for real solutions.
The government's cynicism is nowhere
more apparent than in the claim that this
budget will have a neutral economic im-
pact. The Treasurer made the same claim in
last year's budget yet he ended the year
with a deficit of $421 million and and in-
flation advanced for our citizens by more
than nine per cent in that year. This year,
spending will increase by more than $1
billion. The gap between revenues and
expenditures will grow by more than 17
per cent and the budgetary deficit will rise
by $625 nullion.
This government will have added more
than $2 billion to the public debt in four
years, and annual interest payments on
the debt have jumped by 177 per cent to
$674 mfllion this year.
Mr. R. F. Nixon (Leader of the Opposi-
tion): It is a shame. A fiscal nightmare.
Mr. Breithaupt: These uncontrolled
spending increases are adding to the in-
flationary pressures in our economy In its
1974 economic forecast the Financial Times
of Canada says of Ontario, **The most
critical problem for the province wiH prob-
ably be to bring pubHc spending into better
balance with revenues." The Chamber of
Commerce agrees with the following com-
ment, "What is urgently required is fiscal
discipline from governments in Canada. The
current rates of growth of government
spending are excessive and have contributed
in a major way to domestic inflation." A
recent report by the Ontario Economic
Councfl stated bluntly that rising govern-
ment expenditures were inflationary in their
impact on the economy.
Mr. Speaker, in January of this year,
Ontario's Treasurer said the following to a
meeting of Canadian finance ministers:
I acknowledge the contribution of the
public sector to inflation. In its ninth and
tenth annual reviews, the Economic
Council of Canada recommended reduced
expenditure growth in the public sector.
I agree with this recommendation.
Well, as quoted, the Treasurer may agree
with the recommendation but he has cer-
tainly not heeded it. Last year he increased
Ontario's rate of expenditure growth from
7.5 per cent to 12.7 per cent. This year he
has increased the rate again, to 14.3 per
cent.
Interim statistics for the last fiscal year
indicate the lade of control on provincial
government spending. Total government ex-
penditures were about $35 mfllion over
budget, and the budgetary deficit was $19
million more than the Treasurer predicted.
His own ministry overspent its budget by
$13 million. The Ministry of Education over-
spent by $37 million. Community and
Social Services overspent by 15 per cent,
or $74 million more than was budgeted.
Interest payments on the public debt were
$26 mfllion over budget.
Expenditures were also out of control in
1972-1973. The Ministry of the Environ-
ment overspent its budget by 35 per cent.
The Ministry of Agriculture and Food over-
spent by 18.5 per cent. Indeed, total gov-
ernment spending that year was some $117
mfllion above the budgeted amounts.
Mr. Speaker, the Treasurer is rather sen-
sitive about the size of the provincial debt.
Instead of embarking on another wfld
spending spree this year, the government
should be restricting its expenditures imtil
they are needed to stimulate the ecoilomy.
The budgeted increase of more than 20
per cent on direct capital expenditures is
particularly inappropriate and inflationary.
APML 16, 1974
1073
The Ontario economy is now operating
ver\' close to capacity. Demand is out-
stripping supply in many segments, and
bottlenecks are developing in the supply
process. The provincial government should
not be competing with the private sector for
scarce resources. Such competition will only
aggravate the existing shortages and drive
prices even higher. The expansionary
policies that were necessary two years ago
to relieve high unemployment are not suit-
able to our present generally almost full-
employment situation.
Those areas in the north and east where
unemployment remains high should be assist-
ed with regional development programmes.
However, the large provincial deficit for
which the Treasurer has budgeted can only
generally add fuel to the fires of inflation.
Cost cutting could begin in the Premier's
own office, where the staff has now grown
to 58, including his newly appointed press
secretary who will cost us $30,000 per year.
This press secretary is in addition to a
$25,000 per year press aide, who maintains
contact with the press gallery at Queen's
Park. The government would be well ad-
vised to note the comments of Mr. J. L.
Kozlowski in a letter to the Welland Tribune
last month. Mr. Kozlowski wrote:
Why should the taxpayers of Ontario
pay for the services of the new press secre-
tary, whose duties will actually involve
public relations work on behalf of the
Premier (Mr. Davis) and the Conservative
Party? This kind of misuse of the public's
money to try to improve a badly damaged
image brought about solely by consistently
inept and bungling performances by mem-
bers of the Premier's party and staff is
absolutely ludicrous and irresi)onsible and
typical of a government that has lurched
from crisis to crisis since the last election.
Salaries and wages in the Premier's office and
in the cabinet office jumped 335 per cent in
the first two years of the Davis government,
and travel expenses multiplied by five times.
The policy secretariats or superministries
have been a failure; yet they will spend about
$1.3 million annually. Their lack of success
was indicated recently when three ministers
with the resource development policy area
were arguing in public over the appropriate
routing for the oil pipeline extension to
Montreal.
The government should admit that these
secretariats were a mistake. The Premier was
able to front-bench his rivals in the last
leadership campaign so that two of them have
since dropped from sight. Now that his posi-
tion is secure within his party, he oould
elminate these useless appendices to power.
This is even more apparent when ^ some-
time Attorney General has now taken over
the justice policy secretariat— which appears
to have submerged without a bubble, except
for the continuing cost
This government could save anodier $17
million by cancelling its Krauss-Maffei mag-
netic levitation experiment at the Canadian
National Exhibition grounds. The Krauss-
Maffei system has been seriously discredited
as a solution to Ontario's urban transport prob-
lems. Even if it does work, it will be inferior
to comparable but less expensive systems
already in use around the world. Urgendy
needed transit developments in Ontario's cities
are being delayed while the provincial govern-
ment wastes time and money with this experi-
ment.
The pork-barrel payments to Conservative
back-benchers for their service on boards and
conmiissions should also be stopped. The
recent commission on the Legislature, of
which Mr. Dalton Camp is the chairman,
found no other jurisdiction where this practice
is so overworked as in Ontario.
The member for Dufferin-Simcoe (Mr.
Downer) receives $7,0(X) annuallv as a mem-
ber of the Liquor Licence Boara of Ontario.
The member for Fort William (Mr. Jessiman)
gets $5,000 as chairman of the Ontario North-
land—apparently together with many other
perquisites as the recent reports in the Globe
and Mail have shown. The member for On-
tario (Mr. Dymond) receives $5,0(X) as chair-
man of the Ontario Science Centre. The
member for Haldimand-Norfolk (Mr. Allan)
gets $5,000 as chairman of the Niagara Paries
Commission. The member for Hastings (Mr.
Rollins) gets $5,(XX) as chairman of tfie St
Lawrence Parks Commission. The member for
Wellington-Dufferin (Mr. Root) gets $100 per
diem when he sits as a member of the
Environmental Hearing Board.
In fact, there are only about a dozen mem-
bers of the Conservative Party in this Legis-
lature who do not get payments of some sort
beyond their basic salaries of $22,500. TTicsc
payments may help them cope with rising
prices, but in fact they aggravate inflation in
Ontario by adding, if nothing else, to the
provincial debt.
Unfortunately, the recent reappointment of
the member for Simcoe Centre (Mr. Evans)
as a director of Ontario Hydro with a salary
of $7,000 is another indication that this gov-
ernment intends to continue its ill-conceived
system of rewarding faithful back-benchers.
1074
ONTARIO LEGISLATURE
Last year, Ontario Place lost some $1.7
million, even though entrance fees were in-
creased by 50 per cent. Now, the same
bureaucrats who produced that extravagance
are promoting Maple Mountain for north-
eastern Ontario. The government has already
spent $250,000 on feasibihty studies and,
according to the Conservation Council of
Ontario, has made significant expenditures
to improve road access to the area.
This government must involve the public
in discussions about the entire Maple Moun-
tain project immediately. Surely the citizens
of the province have a far greater right to
know what is going on than the chosen busi-
ness confidants of the Ministry of Industry
and Tourism, who all stand to profit from
their proximity to the seats of power in
Ontario.
Mr. R. F. Nixon: Don t they know it! Don't
they like iti
Mr. Breithaupt: Certainly the costly errors
and expenses that were part of Ontario Place
and of the Science Centre in their election
year starts must be avoided before Maple
Moimtain is paraded before us by a Davis
government bent on seeking re-election in
1975. The combination of the Krauss-Mafi^ei
kiddie cars at the CNE and Maple Mountain
for northeastern Ontario will be too blatant,
even then, as our citizens are once again
bribed with their ovm money.
Hon. L. Bemier (Minister of Natural Re-
sources): The member vdll regret those words.
Mr. Breithaupt: There are dozens of steps
this government should be taking to bring
its expenditures under control and reduce its
inflationary deficit. I have just referred to a
few of them. The greatest savings will result
from a realignment of priorities within pro-
grammes, rather than the complete elimina-
tion of certain expenditiue items.
Greater emphasis on preventive health
care, for instance, would substantially reduce
overall health care expenditures. Another
saving would result by cutting sharply into
advertising expenses. There was some $2
million spent wdthin Ontario last year. We
should eliminate all advertisements that do
not either alert our residents to some danger
or inform them of the steps they should take
to benefit from government programmes.
Mr. Speaker, the soaring expenditures asso-
ciated with regional governments are all add-
ing to the provincial debt. The programme of
this government, whereby regionaJ govern-
ments have been imposed throughout Ontario,
has aggravated the cost-price squeeze for
many goods and services. The attempt to
achieve economies of scale by centralizing
municipal decisions has backfired, and the
dramatic increase in regional government
costs are now contributing to inflation.
In Waterloo county, my part of Ontario,
the cost of services assumed by the regional
government increased by 36 per cent in the
first year of regional government.
Mr. R. F. Nixon: Economies of scale, they
call it.
Mr. Breithaupt: In Kitchener, costs rose by
25 per cent; in Waterloo they were up by
82 per cent.
An Hon. member: Not bad.
Mr. R. F. Nixon: In Burlington it'll be even
worse.
Mr. Breithaupt: In the township of North
Dumfries they went up by 120 per cent.
Start-up costs in the region were $1.8 million,
a quarter of which was paid from the pro-
vincial Treasury; the balance was added to
the property tax burden of the region. The
extension of municipal police services to rural
areas allowed the Ontario Provincial Police
to decrease its detachment by five oflBcers.
But the region added 43 more policemen at
a cost of some $300,000.
Mr. R. F. Nixon: How about that?
Mr. H. Worton (Wellington South): That's
economy.
Mr. Breithaupt: Here are some quotations
from an article that was printed' in the
Kitchener- Waterloo Record on April 11, last
Thursday, and which was based on research
done by Robert Mackenzie of that newspaper.
And I quote:
(Sixteen months ago, before regional gov-
ernment in Waterloo county, the various
levels of mum'cipal government provided
about 1,750 full-time jobs, employing
slightly more than one in every 100
workers of the county's estimated labour
force of 120,000.
The population and labour force have
each grown about three per cent since
Jan. 1, 1973, the ofiicial start of regional
government. But municipal employment
lias skyrocketed more than 55 per cent to
more than 2,740, up about 990, including
slightly more than 1,000 who work directly
for the region.
Mr. R. F. Nixon: And the taxpayers pay.
APRIL 16. 1974
1075
Mr. Breithaupt: Mr. Mackenzie goes into
some detail as to the net cains and losses
with the appearance and oisappearance of
the several municipalities. The one further
comment that I think is worthwhile in this
area concerns the activities in the new city
of Cambridge, a municipality which Mr.
Speaker represents. This will suffice:
The story in Cambridge still is a mystery.
A report on current employment in Cam-
bridge as compared witn the former
•municipalities of Gait, Preston and Hes-
peler, oefore amalgamation, was prepared
about two months ago. However, city
officials refuse to make it public.
Mr. Speaker, the total is presumed to be
about 450. Formerly Gait had about 240
employees, Preston had 100 and Hespeler
had 26. That means an increase of 23 per
cent in total, even after the regional sub-
tractions of police and parks and recreation
are considered.
Mr. Worton: What a way to gol
Mr. Breithaupt: And the rate of increase
is to continue at fi\'e per cent each year, so
we are told.
Mr. R. F. Nixon: It's a spending machine.
Mr. Breithaupt: The experience in Water-
loo region is unfortunately not unique. In
Georgian Bay township, one resident's taxes
rose by more than 400 per cent, from $49.50
in 1969, before regional government was
introduced in Muskoka, to $254 last year.
This year the rates are expected to rise by
another 173 per cent to $695. In all, a total
change of 14 times the original amount in
only five years.
In four years of regional government in
Niagara, the annual cost of operating the
regional municipality, exclusive of the local
municipalities, has jumped by 85 per cent;
from $22 million to $41 million. In
Ottawa-Carleton, spending by that regional
government has increased by 88 per cent in
five years.
These soaring expenditures affect all of
the taxpayers in Ontario, not only those who
are living in the regional areas. The pro-
vincial Treasury paid some 46 per cent of
all municipal government costs last year.
This amounted to $1.9 billion and the ex-
cessive costs associated with regional gov-
ernment add unnecessarily to provincial gov-
ernment spending which further aids in-
flation. However, in the past year, when the
consumer price index has advanced by the
largest single amount in 22 years, this
Conservative government has implemented
five more regional governments on our
people. The costs for this expensive form of
municipal involvement are apparently out of
control.
The Premier was quoted in the press as
having talked recently about the matter of
hypocrisy. As an acknowledged expert on
the subject, he might have referred to his
own Ministry of Health, which restricts the
spending increases of hospitals to about
seven per cent this year but which will in-
crease its own departmental expenditures
this year by almost 13 per cent.
Mr. R. F. Nixon: There's hypocrisy for
you, Mr. Speaker.
Mr. Breithaupt: We can also refer to the
1974 Ontario budget, which begins with
the following words— and I am sure you
will recall them, Mr. Speaker— "The most
important problem facing us today is in-
flation."
The budget ends with a record budgetary
deficit of $625 million.
Mr. R. F. Nixon: They're trying to have
it both ways.
Mr. Breithaupt: Without the courage to
stop inflation, this government cannot hope
to control inflation in the whole of On-
tario's economy. Provincial government
spending constitutes more than 15 per cent
of Ontario's gross provincial product. Strict
controls on such a major portion of our
economy would not only slow price increases.
Ontario's government cannot slow the in-
flationary spiral in the provincial economy
until it can find the courage to control the
inflation of its own expenditures.
Mr. R. F. Nixon: AikI until the Treasurer
can find the courage to come in and listen
to the debate.
Mr. Breithaupt: Such an approadi would
dampen the psychology that accepts con-
tinual price and cost increases as inevitable.
It would also reduce the high demand
pressures that propel the inflationary spiral.
Besides limiting its own expenditures, the
government of Ontario should be reducing
the extreme inflationary pressures originat-
ing in the business sector.
According to statistics compiled by the
federal government, Canadian businessmen
propose to relieve the supply bottlenecks
that have developed in the economy by a
21 per cent increase in capital investment in
1974.
1076
ONTARIO LEGISLATURE
In some areas of the nation, particularly
in the Maritimes, massive capital investment
may be beneficial. But in Ontario it would
result in even greater inflationary pressures
generated by shortages in materials and in
skilled labour.
The Canadian Imperial Bank of Com-
merce noted last fall:
Labour shortages have become in-
creasingly apparent in various skilled
trades and in various regions in Canada
... In addition, the shortages of capacity
which are now apparent in a number of
industries are also likely to continue for
some time.
Canadian Business magazine agreed in its
1974 forecast for Ontario:
There is a shortage of materials and
specific labour skills and little excess ca-
pacity in many industries. That would
seem to create diflficulties in expanding
business activity to the same degree as in
1973. . . . The preliminary estimate of
business spending intentions for 1974 indi-
cates an even larger expansion, particu-
larly in the manufacturing sector. There is
a real question whether such a large in-
crease can be accommodated, given the
shortages of labour and materials.
Production of steel, which is already in short
supply, will only increase by about four per
cent this year, and shortages of roofing and
insulation materials are expected to continue
throughout 1974. Unrestrained business
spending can only force prices higher.
The federal government is currently re-
ducing corporate income taxes by one per
cent annually to encourage capital invest-
ment in those regions of the nation where
extra demand can be accommodated. The
federal tax has been reduced from 40 per
cent in 1972 to 38 per cent this year, and
it will be reduced by an additional two per
cent by 1976.
This economic stimulus though appropriate
in some regions of the country, contributes
most importantly to inflation in Ontario.
The provincial government should con-
sider stepping into the area that has been
vacated by the federal authorities and in-
crease its own corporate tax by the two per
cent that has been given up. Accommodation
for developments in northern and eastern
Ontario could, of course, be made as deemed
necessary.
Such an increase, we expect, would with-
draw some $96 million from the business
sector in 1974 and would help to reduce the
inflationary pressures within Ontario's econ-
omy accordingly.
Although spending reductions will reduce
legitimate inflation, the government also must
protect consumers from unjustified price in-
creases, and this it has failed to do.
A standing committee of the Legislature
should be empowered to function as a pro-
vincial prices review board, and it should be
provided with the necessary powers and
staff. It must not only examine price in-
creases that are within provincial jurisdic-
tion, but also recommend action, including
rollbacks, to the Legislature.
A provincial prices review board would
have been required to approve the recent
milk price increase, for instance, after hearing
evidence from the Ontario Milk Marketing
Board and the other interested parties, in-
cluding consumer groups. It would also re-
view proposals to increase medical fee sched-
ules or car insurance rates to ensure that
such changes were justified by higher costs.
Hon. Mr. Bernier: A page out of the NDP
book.
Mr. Breithaupt: The review board would
also be able to study pricing practices in
specific industries and to recommend a per-
manent review or control mechanism
wherever price-gouging is vddespread. Such
a review of the apartment situation and rent
structures generally should be an urgent
priority.
There is already considerable evidence,
particularly in the Toronto area, that apart-
ment owners are taking advantage of the
extremely low apartment vacancy rate to
institute substantial rent increases.
This procedure would give all sectors of
our economy a forum for information, for
response and ultimately for action.
The 1974 Ontario budget takes a small
step towards easing the impact of inflation
on the elderly, the blind and the disabled,
with the introduction of the guaranteed in-
come system.
Hon. Mr. Bernier: Biggest increase in any
province in Canada.
Mr. Breithaupt: The new system, of course,
Mr. Speaker, is identical to that proposed
by the Liberal Party in October, and we
welcome the government's announcement.
It is appalling that Ontario had not acted
until now to create this much-needed pro-
gramme. It is even more difficult to under-
stand why the 311,000 beneficiaries should
APML 16, 1974
10T7
have to wait another 2% months for the pro-
gramme to be implemented.
This new programme will provide only
limited protection against inflation unless the
benefits are indexed and adjusted at least
annually to o£Fset the full amoimt of the
rise in the consumer price index.
The Treasurer's vague promise that "the
guaranteed income levels will be increased
periodically" is not suflBcient.
The government should also be adjusting
other social benefit payments as prices rise,
including Workmen s Compensation Board
payments and family assistance payments.
The GAINS programme, as outlined by the
Treasurer, is only a beginning. A retired
couple can now receive up to $433.33 per
month, but a mother with one child must
still subsist on a monthly payment of only
$252 under the family assistance programme.
There is the additional $20 in federal fam-
ily allowance payments, of course, but the
total remains 42 per cent less than the
retired couple receives.
A study of 524 poor families in Toronto,
which was made in December, 1971, showed
they paid an average of $37 more for rent
per month than the provincial assistance
budget provided. The amount which was left
for food, personal care expenses, clothing,
household maintenance, school supplies and
emergencies was therefore reduced to about
$128 a month.
As a result, some families had as little as
50 cents per person per day to spend on food.
The budget allowance for a family of four
was increased by $30 in January, 1973, but
only $5 of this increase was allocated to
shelter costs and the total increase has since
been wiped out by inflation.
Mr. Speaker, rapidly rising food costs and
prices are the most cruel and most alarming
aspect of the present inflation and yet the
Treasurer did not even mention food costs in
his budget address.
Mr. R. F. Nixon: There goes another busy
minister.
Mr. Breithaupt: In low-income families—
Hon. Mr. Bemier: This is what we heard
last year.
Mr. Breithaupt: —higher food prices espe-
cially caused a shift to food of lower
nutritional value. Results can be devastating.
A report prepared by the government of
Quebec found, "The higher fimctions of the
brain, logic and reasoning, and some other
activities, reading and writing, are greatly
compromised in the undernourished child."
The National Council of Welfare has also
reported 'The poorly nourished child has
trouble paying attention, is more likely to fall
asleep in class, is more restless, more irritable
and less alert."
I suppose that could refer to—
Mr. A. J. Roy ( Ottawa East ) : They are all
undernourished on the other side.
Hon. W. A. Stewart (Minister of Agricul-
ture and Food): I never knew what was
wrong when I listened to the member's speech
before. That is what happened.
Mr. R. F. Nixon: That is what happens to
the Minister of Agriculture and Food. He
didn't have his Wheaties this morning.
Mr. Roy: Is the minister talking about food
for thought?
Mr. Breithaupt: It could happen, Mr.
Speaker, that—
Hon. Mr. Stewart: I am undernourished.
That is the problem.
iMr. Breithaupt: —certain members of the
House might be afflicted with those problems
but I doubt—
Hon. Mr. Stewart: I thought it was the
member's speeches.
Mr. Breithaupt: —if it is a lack of nourish-
ment for any of the members opposite.
Food prices have risen 16 per cent in the
past year in Toronto; 17.8 per cent in Ottawa
and 14.8 per cent in Thunder Bay. In just
one year, beef prices have increased by 25
per cent; poultry prices are up 35 per cent;
the cost of eggs has risen by 26 per cent; the
cost of fresh fruit has jumped 27 per cent;
and the cost of sugar soared by 72 per cent.
The price of milk increased from 36 to 41
cents per quart just yesterday, an increase of
14 per cent.
Hon. G. A. Kerr (Solicitor General): Why
doesn't the member talk to Beryl Plumptre?
How about he and Beryl getting together for
the weekend?
Mr. Breithaupt: Some of these increases
have no doubt been necessary.
Mr. Speaker: Order.
Mr. R. F. Nixon: Don't throw him out.
There are few enough of them over there.
1078
ONTARIO LEGISLATURE
Mr. Breithaupt: Yes, I don't think we
would have a quorum if you disposed of the
Solicitor General, Mr. Speaker.
Mr. R. F. Nixon: Although on other occa-
sions it might be all right.
Mr. Roy: We might get some intelligent
comments, though.
Mr. Breithaupt: In any event, of course,
we are here to deal with the business of this
province and I think we have an obligation
to deal with the things that are of provincial
concern. Whether other jurisdictions have
their problems or handle them in ways that
they think best is really not our problem here.
Some of these increases as I have said, Mr.
Speaker, have no doubt been necessary to
offset higher costs and others, such as the
milk price increase, have been necessary to
enable some farmers to stay in business. As
the Minister of Consimier and Commercial
Relations (Mr. Clement) will discover when
he studies the activities of the food industry
for 1973 it is apparent that some food price
increases have not been justified. These are
increases that Ontario consumers will bear, if
not very gladly.
Some price increases were in fact appar-
ently not justified and they are now appear-
ing as higher profits in the food industry.
Profits of the food processing companies in
Canada rose by 81,1 per cent in the fourth
quarter of 1973; by about 60 per cent for the
entire year.
Maple Leaf Mills, one of the larger food
processers, had profits of $7.9 million in 1973
compared with $3.1 million in 1972, a 155
per cent increase.
George Weston Ltd., of Toronto, increased
its profits by 86 per cent in 1973 from $18.6
million to $34.6 milhon. J. M. Schneider
Foods increased profits by 35 per cent last
year, and Bums Foods increased its profits
in the first nine months of 1973 by 24 per
cent over the same time period in 1972.
Canada Packers' profit was up 33 per cent
for the nine months ended' Feb. 1, 1974, over
the same period last year.
Officials from these companies and many
others should immediately be summoned be-
fore a standing committee of the Legislature
to justify their enormous price increases. If
they were found to be unwarranted, the
Legislature should be asked to consider
measures to roll back prices in the food pro-
cessing industry, and a mechanism should be
established to review future price increases
as I have already suggested.
The government's study into the economics
of the food industry for 1973 must be accel-
erated to aid the standing committee in its
work. The government, if it was serious about
inflation would also require food retailers to
provide detailed information about their
internal economic structures in their armual
reports so that consimiers would have more
information to consider on that subject.
At the retail level, unit pricing should be
required by law to assist food shoppers in
getting the best value for the money sp^it.
Wast^l packaging should be controllea and
in particular, non-returnable cans and bottles
should be outlawed. If any such convenience
packaging is thought necessary in particular
exceptions, the premium should be sufBciently
high to discourage all but exceptional use.
iSoft drink manufacturers faced sharp price
increases for cans and bottles on April 1, but
only 50 per cent of the soft drink containers
sold in Ontario are in returnable bottles.
Bottlers maintain that returnable containers
would lower their production costs. Surely we
must have a standard returnable soft drink
container similar to the standard beer bottle
used in Ontario. This would reduce costs.
(If inflation in the price of food is to be
controlled, we must not only look at the
effects in the manufacturing and retail levels.
We must also look at the effects on the farm-
ers who are the primary producers in the
chain.
One of the most important long-term
factors in the spiralling price of food is the
loss of prime agricultural land. This govern-
ment must act now to preserve our best land
for agricultural use. Ontario has about seven
million acres of prime farmknd— this is equal
in amount to nearly one-third of all of the
best land available in Canada. But lands are
now being used for housing, for hydro rights-
of-way, for highways and even for airports.
Even successful dairy farmers can make a
better living by selling their farms and
collecting interest on the proceeds, than by
working the land and keeping herds and
producing much needed fooaistim"s.
Data from the 1966 and 1971 federal
census indicates that the Province of Ontario
loses 26 acres of arable farmland every hour
of every day. The acreage of improved land
has dropped by some 9.5 per cent in the past
five years.
This dangerous trend must be stopped. As
the Ontario Federation of Agriculture has re-
ported:
It is not only farmers' incomes that de-
pend on preserving farmland. How land is
APRIL 16, 1974
1070
regulated will also determine how much
food will be on the supermarket shelves in
the future, and at what price.
As residential and industrial development
occur, a directiy proportionate demand for
food arises. With every acre of farmland that
is consumed by urban sprawl, the ability to
produce food is altered although the demand
for food is increased.
However, because of the actions of this
government, farmers on the fringes of urban
development are unable to expand their op-
erations because of the artificially high prices
for land and because of the inflated property
taxes. Some farmers in Peel county recently
expressed the view that these pressures will
eliminate their activities within the next six
months. It may well be that imless this gov-
ernment acts effectively, some food products
may not be available locally at any reason-
able price.
The main objective of the government of
Ontario should be to keep viable farmland in
production. A clear policy is needed to assess
the provincial impact of projects such as
highways and dams. If that was done, the
Minister of Agriculture and Food could also
make comments on such matters and not
have to restrict his remarks to federal gov-
ernment projects alone, such as the Samia
to Montreal pipeline.
Mr. Speaker, development should be pro-
hibited on class 1 and class 2 farmland unless
it is demonstrated that no other suitable land
is available for such development. Property
taxes on these lands should be levied at agri-
cultural rates. Methods of compensating farm-
ers for lost development rights should be
carefully studied and an equitable solution
arrived at in this important area. The cost
implications of issuing long-term debentures
to farmers whose land is so restricted must
be considered by this government
As a short-term solution to production
needs, the government should consider en-
acting legislation that would require farm-
lands bought or now being held by specu-
lators to remain in agricultural production
until development proceeds. The activities of
speculators in raw land have contributed to
an artificial reduction in agricultural produc-
tion. These persons buy viable farms, and,
in many cases, remove tnem from active agri-
cultural production. They allow the buildings
to become dilapidated and the fields to be
overgrown with weeds.
Ontario's Minister of Agriculture and Food
has admitted: "There are hundreds, yes, thou-
sands of acres of good farmland held by
developers, speculators, bobby farmers, re-
tired or tired farmers that could be put to
use." But his government has not listened to
him. The Liberal opposition aerees with the
opinion of the committee on nirm classifica-
tion that land which is not used for produc-
tion should not be eligible for the same
benefits as bona fide farmland. We endorse
the view expressed by the Samia Observer
that "if empty land is purchased and not put
into production, it should be taxed as inous-
trial land. Disappearing farmland is a very
real threat, one that will need firm laws to
stop."
In the longer term, a major thrust of gov-
ernment policy must be to steer growth away
from class 1 and class 2 farmland. Some
people advocate doing this by stopping all
developments, but this is obviously not a
realistic solution for Ontario, where our popu-
lation increases annually by about 125,000
people. A real provincial aevelopment plan
is needed to decentralize the growth that
contributes to the urban sprawl in the "golden
horseshoe."
We must ensure that all parts of the prov-
ince share in industrial expansion and in the
accommodation of our growing population.
Surely all members of this House will agree
with me that the use of our prime agricul-
tural lands to develop the industriaJ and
housing sites we need is no longer an ac-
ceptable solution. Prime agricultural land is
a limited resource, and it is one which we
must carefully and wisely use.
Mr. Speaker, the failure of this govern-
ment to provide an adequate supply of ser-
viced building lots has resiJted in a critical
housing shortage and in rapidly rising prices
for accommodation of every sort The Ontario
Economic Coimcil reported a year ago that
by concentrating its efforts on house building
instead of on land servicing, the province h
"treating the symptoms and not the disease."
The OEC also noted that Ontario 'lacks a
planned programme of ensuring an adequate
supply or serviced land in the correct places."
The Treasurer annoimced in last week's
budget that the province will allocate $11
million to "increase the supply of serviced
lots" in 1974. His proposal, Mr. Speaker, is
practically meaningless. In Ontario, it costs
from $5,000 to $6,000 to service a single
building lot, especially in the Toronto area.
In northern Ontario tne costs are, of course,
much higher. Even at $5,000 per lot, this
pathetic programme will service at the most
some 2,200 building lots-hardly a bold new
response.
1080
ONTARIO LEGISLATURE
The Ontario Task Force on Housing re-
ported several months ago that there is "a
near crisis in housing" in this province, but
the Speech from the Throne and the budget
for 1974 have both revealed that this old
Conservative government lacks the will to
control spiralling land and housing costs.
Everywhere in Ontario, house prices are
out of control. The average cost of a home
in Metropolitan Toronto has increased by
36 per cent in the past year, an escalation
of about $1,000 a month.
The situation in the Kitchener-Waterloo
area has been well documented by my col-
league, the member for Waterloo North
(Mr. Good) in his contribution to the Throne
debate, and I shall not repeat those details
here.
Other cities in Ontario have also been
experiencing alarming house price increases.
Shelter costs in Ottawa rose by 22 per cent
last year, and in Thunder Bay housing
costs went up by 25 per cent. In January
of this year, the agency members of the
Mississauga Real Estate Board sold twice
as many houses as they did last year, but the
value of the sales tripled. The average price
of resale homes in Hamilton was 21 per
cent higher in the last half of 1973 than a
year earlier, and in Sault Ste. Marie house
costs have risen by 25 per cent in the past
18 months. I think we would all benefit
from a look at the proposal which this gov-
ernment has now brought forward to deal
in some way with this problem.
I refer, of course, to the proposed land
speculation tax.
While I can agree with this kind of tax
in principle, I fear that the programme may
contain too many loopholes to have any
significant eflFect on the price of housing.
Unless the tax is coupled with measures
to substantially increase the supply of ser-
viced land, it will only underpin the present
inflated price levels. Indeed, without a
mechanism to prevent its effects from being
passed on the house buyer, the tax may
even aggravate the problem.
The speculative profits of all developers
to date are to be exempted from the tax;
so the biggest land owners, including the
13 foreign-controlled companies, which we
are told own half of the land available for
housing between Oshawa and Burlington,
will not pay any tax on their windfall profits.
The select committee on economic and
cultural nationalism reported last fall that
"through market linkages, hyper-investment
in urban commercial developments is
putting undue upward pressure on residen-
tial real estate prices and shelter costs."
However, the terms of the proposed tax
would not apparently apply to the specula-
tive profits made from the sales of commer-
cial or industrial properties.
The effectiveness of the proposed land
speculation tax is further undermined by
the exemption of sales where the vendor
has made capital expenditures on the prop-
erty equal to 20 per cent of the acquisition
cost.
The tax will therefore not apply to the
type of house speculation that is rampant
in inter-city areas like Donvale and Cabbage-
town in Toronto. Typically, these houses
are purchased from lower-income families,
then renovated and resold at a significant
profit. The cost of renovations often exceeds
20 per cent of the purchase price and the
speculative profits would therefore not be
taxable under the Treasurer's proposal.
One house in Cabbagetown, at 410
Sumach St., was purchased for $31,000 in
1972, then renovated and resold last year
for $56,900. That is a price increase of 84
per cent. Another, at 435 Wellesley St. E.
was purchased in 1972 for $24,000 and
resold within the year for $58,000, a profit
of 142 per cent.
This type of speculation is particularly a
problem, since the displaced low-income
families usually have no alternative accom-
modation but subsidized housing.
Undoubtedly the number of speculative
transactions will decrease once the pro-
posed tax is implemented, but a quick cal-
culation, using 1973 figures, gives some in-
dication of the magnitude of the moneys in-
volved.
The president of the Ontario Real Estate
Association, who is not likely to over-
estimate in such matters, said last month
that at feast 30 per cent of real estate sales
in Ontario involve speculators. Speculative
real estate sales therefore had a value of
approximately $2.4 billion last year.
If real estate prices across the province
rose by an average of 15 per cent during
the year, speculator profits were about $360
million. A tax of 50 per cent on these profits
would have yielded $180 million, but the
Treasurer's proposed tax is expected to yield
only $25 million or 14 per cent of my last
figure.
The Treasurer has argued that "the
success of this speculation tax will be in-
versely related to its revenue yield. The
APRIL 16. 1974
1061
smaller the revenues, the greater the desired
impact on curbing speculation."
In fact, he has provi<led so nuuiy loop-
holes that the revenue from this tax could
drop to zero and speculative activity could
continue almost unabated in the guise of
land development or of urban renewal.
A study of the effect of the land specula-
tion tax on smaller builders illustrates one
method by which the amount of the tax will
probably be passed on to the home buyer.
The role of the smaller builder in providing
housing is particularly important in northern
Ontario, where only very few companies
can afford to finance the complete develop-
ment process.
The smaller builder who adds services to
a building lot must recover his investment at
that stage in the development process, and
he will then often sell the lot to another
builder who actually puts up the house.
In Sudbury, where there are no large
builders, the price of an unserviced lot is
about $500. It will cost another $500 for the
necessar)' surveying, engineering and legal
fees. If the land is not excessively rocky,
ser\ices may cost another $7,000, plus about
$400 for interest charges on the money used
for the construction of services. The builder's
total cost, before he starts to construct a
house, is about $8,400.
If the present selling price for a serviced
lot is in the $10,500- $11, 000 range, there wall
be a profit of some $2,600 for the work he
has done. However, the land speculation tax
at this stage will cut his after-tax profit from
about $1,000 to $500, unless he adds the
difference to the selling price of the serviced
lot. With the tax structured as the Treasurer
has proposed, he will have little alternative
but to do just this.
The proposed change in the land transfer
tax should discourage the limited number of
short-term foreign speculators and hopefully
will slow the alienation of our best recrea-
tional properties.
However, this tax will likely not deter
many of the Swiss, American, Japanese, Ger-
man and British investors who are competing
with Canadian residents to buy real estate in
Ontario as a long-term investment.
An apartment building on Kingston Rd. in
Toronto, which sold last year for $300,000,
was recently purchased by Japanese interests
for $1.3 million. Such buyers will not be
discouraged by a 20 per cent surtax.
In addition, any foreign company can buy
land, withhold it from the market for four
years, develop it and then resell it to Cana-
dians. The profits can then be exported from
Canada witnout the payment of either the
land speculation tax or the increased land
transfer tax.
The proposed change in the land transfer
tax is but a pale reflection of the recom-
mendation maae by the select committee on
economic and cultural nationalism.
The committee said that the ownership of
land by other than Canadian citizens or resi-
dents should be prohibited. Indeed, how
much more of our neritage must be sold off
before this government will take really de-
cisive action?
Even a complete prohibition of foreign
land ownership and an effective tax on
speculative land profits can only slow the
rise in the price of housing. In order to
reduce and stabilize housing costs in Ontario,
the provincial government must ensure that
there is always an adequate supply of ser-
viced land available for residential develop-
ment.
There has already been too much delay.
Housing costs in Toronto have already risen
by 50 per cent since the provincial Throne
Speech of 1972, which promised bold action
on the urgent housing problem.
The provincial government has assembled
almost 18,000 acres of land for residential
purposes, as my leader has so carefully docu-
mented on many occasions. There are some
300 acres in Kitchener and some 3,000 acres
in the area north of Cambridge in Waterloo
region. There are another 1,300 near Oak-
viUe.
These lands are being held imdeveloped
while the near-crisis that was reported last
year by the Ontario Task Force on Housing
is becoming more and more serious.
This government has badly mishandled its
land-banking programme.
The Waterloo assembly removed about
3,000 acres of developable land from a mar-
ket which was already suffering from a lack
of supply. As a result, all the land prices in
adjoining areas have increased and supply is
almost non-existent.
This government has delayed too long.
The land now being held must be developed
for housing needs immediately. If we are to
reduce land costs, this government must also
abandon its current policy of selling off its
land holdings at the prevailing high market
prices.
In Metro Toronto, at the Malvern land
assembly, building lots that cost about $8,000
to assemble, service and debenture are being
1082
ONTARIO LEGISLATURE
sold by the province for twice that amount
and more.
Instead of using its land banks to reduce
housing costs, the Davis government has been
supporting high land prices and collecting
its windfall gains like any other speculator.
Mr. E. R. Good (Waterloo North): Shame
on the government,
Mr. Breithaupt: This practice must end,
but I doubt if it will end until this govern-
ment ends.
Mr. D. M. Deacon (York Centre): They are
the worst speculators of all.
Mr. Breithaupt: The provincial government
should not be profiteering from the current
land shortage, but should be selling its
assembled land at cost in order to lower
prices.
A vigorous progranmie to provide serviced
building lots throughout the province is
urgentiy required. This programme should be
undertaken oy the Ontario Housing Corp.
OHC should build the necessary trunk
services for sewer and water as public util-
ities, and sell them to mimicipalities in much
the same way as Hydro sells electricity to its
consumers.
Mr. Deacon: It certainly can't be the Min-
istry of the Environment. They won't spend
money on increasing services.
Mr. Breithaupt: Shelter costs are soaring
throughout Ontario and the primary cause, as
the Ontario Economic Council noted last
year, is the scarcity of developed land.
The government must start treating the
cause by developing its own land holdings
and by initiating a land servicing programme.
Although steps to control Ontario's land
costs are the most urgent priority, action is
also required to reduce residential housing
costs in Ontario.
Land costs seldom account for more than
half of the price paid by a home buyer. The
balance is attributable to labovir costs and
building material costs. The building mate-
rials account for about a third of the total
cost of house accommodation in Ontario.
Mr. Speaker, the cost of residential build-
ing materials used in Ontario has jumped by
some 24 per cent in the last two years. The
provincial government has not only profited
from these price increases through higher
sales tax revenues but last year it added an-
other two per cent to the ultimate cost when
the rate of the sales tax was increased from
five per cent to seven per cent.
The provincial tax on building materials
added about $101 million to housing costs in
Ontario last year. A house priced at $43,000,
for example, became $l,O0iO more expensive
because die province added seven per cent to
the cost of the lumber, nails, plaster, con-
crete and other materials used in construction.
'The sales tax on building materials is an
inequitable and unjustified addition to the
already high cost of housing in Ontario.
Building materials used in hospitals, schools
and nursing homes are exempt from the pro-
vincial sales tax. Building materials used in
houses and apartment accommodation should
be also.
The provincial government should also be
encouraging wider use of inexpensive housing
forms, including mobile and factorj-built
homes. A pre-fabricated three-bedroom home
on a $15,000 lot would sell today in Ontario
for between $30,000 and $35,000. These are
permanent homes, usually set down on a
concrete foundation.
A 500-unit community of factory-built
homes just south of Barrie has been built to
National Housing Act standards and it is so
successful that another 150 xmits will be
added this year. The low costs have made
this neighbourhood into a popular retirement
community as well. In the Waterloo area, a
complex of 108 factory-produced homes was
completed last month.
'But, Mr. Speaker, the building codes of
most cities bar such housing not because of
structural specifications but because of house
and lot size restrictions. Municipalities de-
mand oversized lots, wide streets and the
highest quality of services because of their
heavy reliance on property tax as a source
of revenue. Low cost housing on smaller lots
means lower property tax revenues. I would
suggest that more communities follow the
example of Kitchener by changing the
standards and building good quality housing.
Hon. Mr. Kerr: Is that up or down?
Mr. Breithaupt: Satisfactory; I think that
is the important word,
'The 1974 Ontario budget discussed inflation
only in a province-wide context and ignored
both the role of regional development as a
counter-inflationary force and the related
problems of regional disparities in prices and
economic growth.
'By focusing Ontario's growth on the
Toronto-centred region, the provincial gov-
ernment has bled people and jobs from other
parts of the province, particularly the north
and east. As a result, unemployment rates in
those parts of the province are unnecessarily
APRIL 16. 1974
1083
high and unnatural inflationary demands for
acx^ommodation have been created in Toronto
and nearby centres. While the area between
Oshawa and Burhngton has a 10-year growth
rate of 31 per cent, the population of Kings-
ton is dropping by one per cent per decade,
and the population of Timmins is declining
by seven per cent.
Mr. C. J. S. Apps (Kingston and the
Islands): Mr. Speaker, on a point of order,
did the member say the population of Kings-
ton was dropping one per cent per decade?
Mr. Breithaupt: That is the information I
have.
Mr. Apps: That is absolutely vwong. The
member nad better check his figures.
Mr. Breithaupt: Perhaps the member for
Kingston and the Islands can enter the debate
and correct me if the facts are incorrect.
Mr. Apps: Mr. Speaker, on a point of order,
I will correct him now.
Mr. Good: The member for Kingston is
no more of an authority than the member for
Kitchener.
Mr. Apps: I sure am because I live there.
I know what the population is in Kingston.
Interjection by an hon. member.
Mr. Apps: The population has increased
by 10,000 people over the last 10 years. It's
gone up 1,000 each year.
Mr. Breithaupt: Well, that is the informa-
tion I have, Mr. Speaker.
Mr. Apps: That's a far cry from decreasing
one per cent per decade.
Mr. Breithaupt: If it is incorrect or not
completely accurate, I appreciate the informa-
tion given by the member for Kingston and
the Islands.
Mr. Apps: I trust the member's other state-
ments are not as inaccurate as that one.
Mr. Breithaupt: I think the member will
find they are quite correct. The Kitchener
and Guelph areas have grown by about 35
per cent in a 10-year period.
Interjection by an hon. member.
Mr. Worton: It is due to the Liberal mem-
bers, that is.
Mr. Breithaupt: But Peterborough and
Thunder Bay grew only six per cent.
Northern Ontario's population has dropped
from 11.6 per cent of the total provincial
population in 1961 to 9.9 per cent last year;
and the area east of Oshawa is growing only
about half as fast as the Toronto region. This
concentration of growth in one small part of
the province hurts all regions.
'The provincial government must de^
centraKze Ontario's growth and correct the
serious regional imbalances that are occurring
in our economy.
Hon. Mr. Kerr: All the figures are suspect
now.
Mr. Breithaupt: I am qiiite sure, Mr.
Speaker, that even the Solicitor General wiD
realize that his part of the province is grow-
ing much more quickly than are some others.
Hon. Mr. Kerr: Good members.
Mr. Worton: What can one attribute to
them?
Mr. Breithaupt: Part of the solution will be
in relocating some provincial government
activities to these areas. Moving the Ministry
of Natural Resources to the north, for in-
stance, would not only stimulate the northern
economy but would also result in more re-
sponsible government.
'A government-run land servicing pro-
gramme, like the one I suggested earlier,
would permit more orderly growth throughout
the province. Specifically, it could decentralize
growth pressures by providing inexpensive
land for housing in eastern and northern
Ontario.
An eff^ective programme to decentralize
growth must also include stimuli for indus-
trial development and employment oppor-
tunities in the north and east. These will re-
quire fundamental changes in the eccmomic
policies and development priorities of Ae
provincial government.
The Ontario Development Corp. should be
transformed from a grantor of funds to an
initiator of businesses. ODC should work with
private and public agencies to identify de-
velopment opportunities and carry new proj-
ects to the stage where conventional business
organizatitMis are prepared to fimd and man-
age them. This would also confront the prob-
lem of foreign domination of Ontario's
economy by adding to the number of
Canadian-owned enterprises and by develc^
ing Canadian managerial skills.
Regional variation of tax policies is also
required as part of any serious programme to
overcome regional disparity. As one incen-
tive, the five per cent tax credit for invest-
1084
ONTARIO LEGISLATURE
ment in machinery and equipment which ex-
pired last year should be renewed, but only
for goods that will be used in the regions
east of Oshawa and north of the French
River.
When it was introduced in the 1971 On-
tario budget, the investment tax credit applied
to all parts of the province. At that time,
the then Treasurer said:
This tax credit approach to stimulating
investment, economic grovii:h and job
opportunities in Ontario has major advan-
tages over alternative measures. It will have
Ian immediate impact because it produces
immediate tax savings to companies that
invest in economic expansion. It does not
reduce the value of capital cost allowances.
It is simple to understand and administer.
Such an alternative is still required in the
north and east, but this Toronto-centredi gov-
ernment has again ignored those parts of the
province.
The north, as I have mentioned, has 9.9
per cent of Ontario's population, but produces
only 5.2 per cent of the manufacturing ship-
ments in the province. In the east, where
some 16.7 per cent of Ontario's residents
live, the value of manufacturing shipments
is only 8.5 per cent of the provincial total.
A five per cent investment tax credit for
companies in those regions would permit
them to reduce their tax payments to the
province by $5 for every $100 of investment
in machinery and equipment and would con-
tribute to a more even distribution of popu-
lation and industrial growth throughout the
province. The provincial revenue loss would
be about $30 million.
Regional price inequities must also be
overcome if more people and industries are
to be attracted to the north. The cost of
living in Thunder Bay rose by 8.7 per cent
in 1973, almost one per cent more than the
price rise in Toronto, with the result that
the gap between prices in northern and
southern Ontario is now wider than ever.
Local newspapers recently advertised pork
for 99 cents a pound in Thunder Bay and
78 cents a pound in Toronto. Twenty-six
ounce bottles of Pepsi were four for $1 in
Thunder Bay and five for $1 in Toronto.
Similar inequities exist in other parts of
the north. A 24 oz loaf of white bread costs
41 cents in White River compared with 30
cents in Toronto. A sofa that costs $580 in
Toronto is $70 more in Smooth Rock Falls.
Some companies have formally established
two-price systems in Ontario— higher in the
north and lower in the south. The Simpsons-
Sears catalogue, for instance, lists dozens of
prices for identical tools and parts that are
anywhere from 50 cents to $25 higher in
the north than in the south. These dis-
crepancies exist partly because transportation
costs to the north are higher. These different
prices would not be a serious matter if in-
comes in the north were correspondingly
higher than those in the south. But the per
capita income in northeastern Ontario is $210
less than in Toronto, and incomes in north-
western Ontario are another $240 lower than
that.
The provincial government's response to
these discrepancies has been to equalize beer
prices across the province. No comprehensive
policies have been formulated. The govern-
ment has not even stated that price equity
across Ontario is its goal. It certainly has not
indicated that it has any plans to achieve
such a goal.
One effective method of sharing cost dif-
ferences throughout the province would be
to reduce the rate of retail sales tax to five
per cent north of the French River. The
revenue loss from such a reduction would
be approximately $37 million for the fiscal
year 1974-1975. The same objective could
be achieved by increasing the retail sales tax
credit available to residents of northern On-
tario.
The government should also take steps to
relieve the burden of high transportation
costs for people who live in the north. Cars
cost about $150 more in Thunder Bay than
in Toronto and gasoline costs four cents a
gallon more than in southern Ontario. The
recent oil price agreement reached by the
Canadian first ministers will equalize prices
between the area east of the Ottawa Vallev
line and southern Ontario, but prices will
remain higher in northern Ontario because
of the cost of transporting products from the
refineries.
The importance of transportation to north-
erners is best measured by the large percen-
tage of gasoline sales in that part of the
province. Although only 8.5 per cent of the
total passenger car registrations in Ontario
are north of the French River, industry
sources advise that 14 per cent of Ontario s
gasoline sales are in the north. Gasoline costs
in northern Ontario could be approximately
equalized with those in the south by reduc-
ing the gasoline tax from 19 cents per gal-
lon to 15 cents per gallon in the north. The
revenue loss from this measure would be
about $15 million.
These losses of revenue entailed in these
measures to promote regional development
APRIL 16, 1974
1065
and to reduce regional disparity should be
offset by further increases in minine taxes.
The mining tax changes proposed oy the
Treasurer fail to secure an adequate return
for the province's mineral resources. While
the new progressive rates will mean higher
taxes for about six companies, another 37
companies will pay lower mining taxes. The
mining tax, therefore, becomes a very un-
reliable revenue source, as it will now be
extremely sensitive to the profits of a few
large companies.
However, the Liberal Party rejects the
position expressed by the leader of Ontario's
third party that a 15 per cent royalty should
be collected on the value of all mineral pro-
duction in Ontario. Such a tax would fail to
discriminate between high-grade ores that
can be extracted at little cost and the low-
grade ores which are far less economical to
produce, with the result that many mines
will be forced to close.
The Smith Committee on Taxation re-
ported another problem with royalties.
Since 1908, Mr. Speaker, the province has
not reser\ed the mineral rights whenever
it made grants of land, and all reservations
previously made were relinquished in that
year. As the committee noted:
This sequence of events has had a sig-
nificant effect on the form of mineral
impost available to the province. It is
well established that a province is con-
stitutionally unable to impose a royalty
on mineral production from privately
owned land as such a royalty is con-
strued to be an indirect tax. In 1928 the
judicial committee of the Privy Council
held that a percentage tax on the gross
revenue from the sale of coal by a mine
was an indirect tax which is ultra vires
the enacting province.
The committee, of which I happened to be
a member, concluded;
For administrative and constitutional
reasons . . . the imposition of a royalty
or gross income tax on the output of
Ontario mines is impracticable. A profits
tax is the logical alternative.
However, Mr. Speaker, the provincial gov-
ernment is not taxing the real profits of
mining companies, but an artificial profit
figure that is arrived at after special deduc-
tions for fast depreciation and depletion.
Instead, the mining tax should be applied
against the companies' cash flow, or real
operating profit, less a portion of actual
expenditures on exploration and development
within Ontario.
The difference between operating profit
and taxable profit is often substantial. In
1972, for instance. International Nickel's be-
fore-tax profit was $98 million less than its
operating profit. Falconbridge had an oper-
ating profit of $94 million, but was taxed
on a profit of only $18 millJon. Rio Algom's
before-tax profit was $20 million, or $15
million less than its operating profit Mo-
Intyre Porcupine Mines had an operating
profit of $2.5 milhon, but for tax punposes
this was reduced to a loss of $8 million.
A mining economist has estimated that
the 1973 operating profit of mining com-
panies in Ontario was in the vicinity of
$900 million. If these companies could de-
duct 25 per cent of their exploration and
development costs which totalled $110 mil-
lion in 1970, the latest year for which figures
are available, and even if the average tax
rate was only 20 per cent, a tax on operat-
ing profits would generate about $175 mil-
lion or about twice as much as the revised
tax is expected to produce. The province
certainly must restructure its mining tax to
capture an appropriate revenue from our
mineral resources.
With these comments, Mr. Speaker, I
have outlined only some of the comments
which the opposition has concerning the
budget brought down by the provincial
Treasurer last week. Other members of the
caucus will be making comments, as they
make their own contributions to this debate,
which will not only elucidate some of the
points which I have raised but will, no
doubt, add many others for your considera-
tion.
Mr. Breithaupt moves, seconded by Mr.
Deacon, that the motion before the House
be amended and that all the words after
"that" be struck out and the following
added:
This House regrets the lack of any govern-
ment policy to effectively deal with the prob-
lems of inflation in areas of provincial con-
cern;
This House regrets the government's failure
to provide for an effective review of price in-
creases by using a standing committee of the
Legislature for such a purpose;
This House regrets the government's
failure to have a satisfactory policy to re-
duce housing costs and review rents and
to stimulate new housing construction
through such measures as the removal of
provincial sales tax on residential building
materials and the servicing of lands in pro-
vincial landbanks and other areas;
1086
ONTARIO LEGISLATURE
This House regrets the government's
failure to control exorbitant increases in
the costs of regional governments imple-
mented by this government; and
This House regrets the government's
failure to have any effective programme to
equalize the costs of living throughout the
province or to plan for the balanced de-
velopment of northern and eastern Ontario.
Mr. MacDonald moves the adjournment
of the debate.
Motion agreed to.
Clerk of the House: The 10th order. House
in committee of supply.
ESTIMATES, MINISTRY OF
CORRECTIONAL SERVICES
Mr. Chairman: The estimates of the Min-
istry of Correctional Services. The hon.
minister.
Hon. R. T. Potter (Minister of Correctional
Services); Mr. Chairman, as my predecessor,
the hon. member for Kingston and the Islands
(Mr. Apps), did last year, I intend to review
briefly the major developments of the past
year and to broadly indicate the directions
in which we are going in the correctional
field.
The ministry's annual report for the year
ending March 31, 1973, was tabled on
Tuesday, Oct. 30 last, and it is not my
intention to be repetitious but rather to trace
developments from where that document
leaves off. In other words, I am covering
almost exactly the fiscal year 1973-1974 in
my review and looking forward principally
over the period for which supply is sought.
Before I do so, however, I want to pay a
sincere tribute to the work of the member for
Kingston and the Islands while Minister of
Correctional Services. Preoccupied as I was
with the Health portfolio, I confess that I had
not realized the great deal of work that my
colleague was quietly pushing forward with-
out fanfare.
It should be borne in mind that during
my predecessor's term of oflBce such inno-
vative measures as the development of group
homes and the inception of co-educational
programmes in the training schools in On-
tario were initiated.
The concept of volunteer workers in our
system and the expansion of temporary ab-
sence programmes were also encouraged dur-
ing this time, while the correctional centres
in the adult training centres developed new
and imaginative programmes.
I was also surprised to discover just how
much patient groundwork had gone into the
preparations for the fifth United Nations
Congress on the Prevention of Crime and the
Treatment of the Offender, which is to be
held in Toronto in September, 1975. Canada
will be the host nation and Ontario the host
province to over 2,000 delegates from around
the world. I would like the record to show
the sustained effort by the member for
Kingston and the Islands to make the con-
gress a success and his close co-operation
with the federal government on the various
details of such an undertaking.
One of his efforts which did come to
fruition during his ministerial term of office
was the federal-provincial conference on
correction, which was held in Ottawa Dec.
12 to 14, 1973. This meeting was the first
of its kind in 15 vears and was "an indica-
tion," as he told the participants, "of the
lack of communication which has existed in
the field of corrections." But his idea at that
time won the day and the conference will
henceforth be an annual event.
The hon. member was instrumental in
having continuing committees established,
with Ontario staflF representation, on parole
jurisdiction; federal and provincial facilities
rationalization; services programmes and
funding arrangements for young persons in
conflict with the law; criminal information
and statistics; native offenders; and com-
munity-based resource or residential centres.
In the years to come, it will become ap-
parent to everyone— as it is apparent now to
those who work in this field— that the hon.
member for Kingston and the Islands was
the man who led this ministry in the move-
ment from institutional care to community
care.
Mr. Chairman, this is the all-star record of
a remarkable gentleman, and I would like to
take this opportunity to salute him for an
impressive term of service to the people of
Ontario and for a job well done.
As a result of the federal-proWncial con-
ference, the Solicitor-General of Canada has
assured us that the Ontario Board of Parole
will, within the not-too-distant future, assume
complete responsibility for the parole of all
inmates in the correctional institutions of
this ministry. Ontario has long urged that
the continuity of care can be assured by
giving to the jurisdiction with the responsi-
bility for the institutional care of an inmate,
the added responsibility for his subsequent
APRIL 16, 1974
1067
parole supervision— and the federal govern-
ment has now conceded this point.
However, as in health, Ontario is still
fighting the battle of inequities in funding
arising from the interpretation of the Canada
Assistance Plan. Because thev are regarded
as "correctionar' rather than 'welfare" facili-
ties, cost-sharing is denied to Ontario's train-
ing schools and group homes. The provincial
argument here is that the only tning that
matters is the standard of care provided to
the wards.
The quality of our services is not in ques-
tion, and our ability to meet the spirit of the
Canada Assistance Plan is not in question. It
is only the reluctance of the federal govern-
ment to amend the Canada Assistance Plan
at this time that stands between Ontario and
its rightful share of assistance. I am confident
that justice will prevail in the long run and
that the Act will eventually be amended.
In the interim, Ontario's progressive juvenile
programme will not be allowed to suffer.
Considerable advances have been made
this year in the treatment and training for
juveniles. The reception and assessment cen-
tre at Oakville has proved its flexibility by
being able to adapt to the changing propor-
tions of the sexes coming into our care.
Regionalization will no doubt further influ-
ence the role of this centre. In this connec-
tion, an internal task force has just reported
on \'arious alternative ways in which regionali-
zation at the juvenile level might be further
carried out.
Let me stress, Mr. Chairman, it is not if
further regionalization will come about but
how and at what rate. All our recent reforms
in the juvenile field — co-education, direct
home placement after assessment and so on
—have been successful. We beh'eve we are on
the right track.
Now we have to determine the pace of
change from what has been a predominantly
institutionally-based juvenile system to what
is now an increasingly community-based sys-
tem. As our dependence on bricks and mortar
diminishes our reliance on the skill, training
and the ability of our staffs increases. There
is clearly an optimum rate at which innova-
tion can occur if it is not to be disruptive
and as you are aware, Mr. Chairman, remark-
able innovations were made during the year
under review.
The Cecil Facer School in Sudbury and
Brookside School in Cobourg have become
co-educational institutions. Glendale School,
as members learned earlier, is to be phased
out as a training school and will become a
young offenders' unit for the 16-18 aee group.
Now, Sprucedale School is ereduafiy being
tailored to become the regional training school
for southwestern Ontario. The transition, as I
said, will be gradual as indeed wHl be the
case with all such changes.
There are increasing numbers of ministry
group homes. Twenty-eight are fully opera-
tional, three are just accepting their first
wards, and two have just been acquired. I
would like to add that these figures change
very frequently and they represent a major
change in empnasis.
However, they are only part of the place-
ment possibilities in the community now open
to selected juveniles. As a result of our
improved techniques of selection, a study
carried out over a six-month period revealed
that 19.3 per cent or nearly one in five of
the juveniles coming into our care are now
placed directly after assessment in a setting
other than a normal training school.
Some of the placement possibilities are:
Their own homes, under appropriate super-
vision; foster homes; facilities operated by or
through the Ministry of Health; contract
group homes, sometimes referred to as spe-
cial rates homes, where wards are provided
with a particular kind of service that it would
be uneconomic for the ministry to furnish
directly.
We are reluctant to invest in hardware
when we can invest in skills. This philosophy
underlines not only the changed role in
Glendale— and it will not be the last ministry
building to be adapted to changing needs—
but also the ministry's takeover of the former
St. Joseph's School, which is now renamed
Ecole Cnamplain/Champlain School. With a
30 per cent French-speaking intake, this fa-
cility at Alfred plays a key part in our plans
for eastern Ontario. Now as a new non-
denominational regional school it will have
a new lease on life with those of the staff
who have chosen to remain having entered
the public service of Ontario. EUmcrest
School, the former St. Euphrasia's, dosed on
Sept. 30, 1973, and again, the success of the
group home programme in the Metropolitan
setting made this closing possible.
In spite of what has been intimated in the
Sress, I want to emphasize that there are no
enominational overtones to these closings.
We are confident that our wards are open
today to the ministrations and spiritual guid-
ance of dedicated volunteers as well as of
chaplains. As our programmes become more
flexible, as, for example, with Project DARE,
which takes our wards into the wilderness,
1088
ONTARIO LEGISLATURE
the mobility is seen as a unique opportunity
for personal ministry. We expect spiritual
counselling to be effective in whatever setting
we may provide, be it an urban group home,
a training school, or a camp on the fringe of
a remote lake. We are gratified that these
views of our purpose are so widely shared.
Now, Mr. Chairman, this brief view I have
given you indicates clearly, I beheve, the fact
that our training schools programme is de-
veloping on progressive lines, but I would
like to say a few words about one aspect of
our Training Schools Act which has always
been a contentious issue, and this is section
8. This section permits the court to admit to
the training schools those children who have
not committed what would constitute an of-
fence if they were adults, but who are deem-
ed to be unmanageable or beyond control.
Now while there is some weight to the
contention that this section is a good preven-
tive tool, it does raise some very fundamental
questions about the protection of the child's
rights. In the past, consideration has been
given to abolishing this section, andl yet we
were concerned as to what would happen to
these children and who would care for them.
Mr. Chairman, we are now seeking verifica-
tion of our belief that suflBcient alternative
resources are now available in the com-
munity for these children and if this proves
to be the case, then we shall seek an amend-
ment to the Training Schools Act which
would remove these cases from our juris-
diction.
In the year under review, the audit pro-
gramme has seen many changes. The Ontario
Correctional Institute, replacing the Alex G.
Brown Clinic at Mimico, was opened at
Brampton on Sept. 20 last. It has accommo-
dation for 200 male inmates, 48 in an assess-
ment and classification section and the re-
mainder in smaller treatment units. This new
complex brings diagnostic, treatment, aca-
demic, recreational and accommodation units
under one roof, with improved security
arrangements.
The assessment and classification section
accepts first incarcerates between the ages of
16 and 24, who are serving sentences of over
six months, from all regions of the province
except the north, which is served by the
Monteith and Thunder Bay correctional
centres.
*In this new facility the treatment units are
separate from the assessment and classifica-
tion section. Now since this has caused some
confusion in the minds of members, I would
Hke to clarify the point that the treatment
units take offenders whether or not the\' are
first incarcerates, as' long as they have enough
time left on their sentences— at least about 40
days— to complete the treatment programme,
as long as they have been assess^ locally at
the institutional level and recommended for
treatment, and as long as they do not present
a serious risk of escape or injury to others.
As the facility has been phased in, demand
for the services of the Ontario Correctional
Institute has been great and there have been
some delays, but we are quickly catching up
with the backlog of cases now.
Earlier today, Mr. Chairman, I had men-
tioned the fact that Glendale School will
shortiy be closing as a training school and
will be used for young adult offenders. This
enables us to take out of the Guelph Cor-
rectional Centre the 16- and the 17-year-olds
and to free bed space at Guelph which we
intend to use for the expansion of the neuro-
psychiatric centre.
When this is done, it will mean that those
sexual deviates and those who must be kept
in a secure setting because of the danger they
present to others, and who are presently
housed in Millbrook, will have the oppor-
tunity to benefit from the expanded range
of treatment services at Guelph.
In the correctional centre at Guelph, I
am pleased to report that the working con-
ditions and the general atmosphere have con-
tinued to improve since the recommendations
of the study of staff working conditions, or
the Eastaugh recommendations, were released
on July 5 last.
The coming of industry to the Guelph
abattoir, of which I will speak later, will
have a further effect. The inmates at Guelph
have already been involved in refurbishing
the administrative oflBces and making struc-
tural improvements. The general atmosphere
there has been very good as both staff and
inmates have been engaged in a most pro-
ductive period of activity over the last eight
months or so. As I mentioned the other day,
10 of the 12 Eastaugh recommendations
have already been implemented; another is
being implemented now, while the twelfth,
referring to days off in heu of statutory
holidays, is a matter for negotiation between
the Civil Service Association and the gov-
ernment of Ontario. With the new changes
that are being made I don't think there will
be any need for overtime work.
The Niagara Regional Detention Centre
was opened on June 20 last year and re-
places the old St. Catharines and Welland
jails which were structurally unsuited to mod-
ern needs.
APRIL 16, 1974
1060
An hon. member: It's better equipped than
any hospital in Ontario.
Hon. Mr. Potter: I can tell you it's better
than a lot I have seen.
In all, nine of the 37 jails taken over by
the ministry in 1968 have been taken out of
service as correctional facilities, although
some have been put to other uses. In the
past year, we have closed the Cayuga jail
and McCreight's Camp near Sault Ste. Marie.
The Goderich jail has become a museum and
the Ottawa jail a youth hostel. Mr. Chair-
man, after seeing some of the antique jails
in the province, I am sure that one would
make a damn good museum.
As you are aware, Management Board of
Cabinet has given its approval for us to
proceed with the initial construction plan-
ning for four new facilities to be located in
Hamilton, London, and two in Toronto— one
in the east and one in the west end. The
Toronto facility will be located near the min-
istry's new main oflBce which will be housed
in the former Scarborough municipal build-
ing on Eglinton Ave. E. It is expected that
our main office will move down there before
the end of this year.
The Maplehurst Correction Centre at Mil-
ton is now under way and will be ready
for occupancy next April. New dormitories
have been built at the Brampton Adult
Training Centre. The Kenora jail women's
unit, whose purposes were described on page
16 of the 1973 annual report, is now in
operation.
These new facilities, Mr. Chairman, make
possible improved programming. I should
like to review some of the innovative things
that have been happening in the programme
area in the past year. But, obviously, the
programme of most interest is the revamping
of our industries to make them more ap-
plicable to the real world the inmate will
find on release, and so I would like to ex-
plain our philosophy in this context.
In essence, we plan to invite business
organizations to form partnerships with us.
We will provide the physical plant, to-
gether with the labour force, while the em-
ployer will provide the expertise in production
and marketing management and the actual
means of putting the products on the gen-
eral market.
We in this ministry will insist upon certain
guidelines with regard to rates of pay and
those aspects of working conditions which
are at the discretion of the employer, but it
is our intention otherwise to interfere as little
as possible with the way in which the busi-
ness is conducted. Our concenu are primarily
that the rent paid by employers for our
facilities is fair to the taxpayers of Ontario;
that the type of work is consistent with our
rehabilitative aims; that wages and other
fringe benefits are commensurate with those
prevailing in the industry for persons of
similar skills; and that the employer will show
willingness to provide employment elsewhere
in his enterprise to suitable inmates on re-
lease.
In regard to the Guelph abattoir project,
we are presently negotiating with a number
of companies in the meat packing industry.
When talks have been completed we shall
call for formal tenders, and we expect to
sign an agreement by which the successful
bidder will assume management of the plant
within a month to six weeks after the date of
the opening of tenders.
At the present time, Mr. Chairman, the
discussions are centering on technical mat-
ters. For example, the increased water flow
and waste provision necessary to the in-
creased volume of production and the plant
rearrangement required before meat prod-
ucts can begin to be manufactured on the
commercial scale that we envisage.
We have been able to assure stafiF that no
one will lose his job as a result of this change
in management. We are working very closely
with the Ontario Federation of Labour and
we have no intention of undercutting the free
labour market, either as to pay or other
benefits.
We intend to provide inmates with work
experience which will replicate conditions
in the community, and this means of course
that production cannot be interrupted for
institutional counts or traditional routines. In
fact, the inmates will be as though they were
on temporary absence without leaving the
security of the premises, and this in turn
implies that the greatest means of security
will lie in the selection process.
Fortunately, Mr. Chairman, we have had
over 4% years of successful experience of
selection for the temporary absence program-
me, and we have maintained a 98 per cent
success rate, so we shall be able to apply the
same techniques to the institutional indus-
trial programme as it gets under way.
By bringing private industry into our insti-
tutions in this way, we are moving one step
closer to facing the inmate with real choices
and real responsibilities— which is why the
temporary absence programme has been con-
sistently more successful than institutional
programmes, however well thought out. In
1090
ONTARIO LEGISLATURE
the new industrial programme, we hope to
impart good work habits, which will help
iimfiates to obtain and keep steady jobs on
release.
Since they will be paid, the inmates will
have to contribute to the maintenance of
their dependents. They will pay for their
board and lodging in the institution to the
extent of $20 a week initially, and, of course,
we shall increase that figure if inflation de-
mands it. Inmates will also pay federal and
provincial income taxes and they will direct
the balance of their earnings into a savings
account for their use after release.
One change in institutional routines which
will follow from the new programme is that
we will have to provide counselling and edu-
cational programmes outside normal working
hours. There will be further work for volun-
teers here, and the number of volunteers
is now approaching the 2,000 mark through-
out our system.
The inmate population likely to be em-
ployed on many industrial projects is young,
of low educational achievement, serving an
average sentence of about six months, and
having had a history of sporadic imskilled
employment, interspersed with periods of un-
employment. As soon as we began to discuss
seriously the revision of our industrial pro-
gramme we realized that we would, in the
absence of appropriate safeguards, leave our-
selves open to the charge that we were creat-
ing a pool of unskilled workers for subse-
quent exploitation at the minimum wage. We
were determined, Mr. Chairman, to see that
this did not happen, and so we set in motion
a pilot project of pre-release employment
planning for inmates at the Mimico Correc-
tional Centre.
We expect a full-scale version of this pro-
gramme will be carried on side by side with
an industrial programme at Maplehurst where
there are 30,000 sq ft of space set aside
specifically for industrial use. Having proved
itself at Mimico, the programme will be
greatly expanded and will become an after-
work course at Maplehurst if industry moves
in there.
This pre-release employment plan is a very
practical group programme in that all the
selected members live together in the same
dormitory and they may be working together
for industry as well. The course is specifically
geared to prepare imnates to find and keep
a job on release and to counter the sugges-
tion and potential exploitation to which they
might be expressly vulnerable on the street.
Dealing with fellow workers, relations with
supervisors, personal appearance and objec-
tional mannerisms, job safety, the Labour
Relations Act and the Human Rights Code
are all studied. Firms send their actual appli-
cation forms to be filled out for practice;
videotape is used for interview critiques; and
there are unobtrusively escorted field trips
into the community in this key life-skills
course by which we set great store.
In fact, Mr. Chairman, one of the most
promising developments of the year has been
the eagerness with which inmates have taken
to the courses in life skills wherever they
have been offered. I would refer members
to page 20 of the annual report. For mem-
bers' convenience, I will have copies of the
report brought to the House which the pages
will distribute later.
Inmates in four northern Ontario jails take
part in such a life skills programme at North
Bay jail. Launched last August, the teaching
is done by the staff of Canadore College m
Applied Arts and Technology. In this case,
it is a combination basic literacy course and
life skills curriculum.
Mr. J. E. Stokes (Thunder Bay): Would
the minister repeat that? What does that
mean?
Hon. Mr. Potter: Just a second. The
teachers come to the jail two afternoons a
week and offer both group and individual
instruction to the inmates. Transfers of suit-
able inmates have been made to North Bay
jail from the jails at Parry Sound, Sudbury,
Haileybury, and Sault Ste. Marie.
At the Rideau Correctional Centre, Bur-
ritt's Rapids, a token economy system is in
operation. An inmate's positive behaviour is
rewarded through a token system which al-
lows him to purchase certain privileges other-
wise unavailable to him. An inmate must
apply for this programme, just as he would
apply for temporary absence. The worfc done
here is non-commercial, making toys for
non-profit organizations.
However, Mr. Chairman, inmates who
have graduated from this token economy
programme are then eligible for the next step
on the road to trust. They may become
volunteer workers at the Burritt's Rapids Re-
gional Hospital, Smiths Falls, or at the
Brockville Psychiatric Hospital's geriatric
ward. This part of the programme has proven
so successful that the regional hospital man-
agement has offered employment to at least
one inmate on release and is considering
doing so to others.
APRIL 16, 1974
lOGl
At Monteith Correctional and Adult Train-
ing Centre, a daycare programme is operated
by the Ministry of Health, the Ministry of
Correctional Services and the Addiction Re-
search Foundation. Intensive group therapy
is offered four days a week for eight weeks.
There is also a weekend programme, taking
two students at a time, at the Northeastern
Regional Mental Health Centre.
Also at Monteith, the Northern College
of Applied Arts and Technology is co-operat-
ing in yet another variant of the successful
life skills curriculum. In this case, inmates
spend 16 full wedcs at the college, six hours
a day, five days a wee^c, on separate tem-
porary absence, and the Canada Manpower
oflSce at Timmins keep a close watch on their
progress with a view to helping them find
work later on release.
Family counselUng is now available to
families of Toronto Jail inmates, in co-opera-
tion with the Junior League of Toronto,
which operates from a church adjacent to
the jail. At the Brampton Adult Training
Centre, co-operation with the Manufacturers
Life Insurance Co. made possible the pro-
duction of playground equipment for the Sir
John A. Macdonald Park in Kingston. Manu-
facturers Life Insurance gave $5,000 for the
raw materials and also gave recreational and
athletic equipment to the Adult Training
Centre in appreciation for the inmates' work.
An important step forward, Mr. Chairman,
both in staff training and inmate programme,
was made this year at Camp Bison, a satel-
lite camp of Burwash Correctional Centre.
Forty correctional officers were first selected
to take part in a programme of reorientation
from a mainly custodial to a more rehabilita-
tive role. By the end of April, 1973, four
staflF teams had been formed and were work-
ing with groups of inmates transferred from
the main camp six miles away. For a fuller
discussion of this programme, members are
referred to Vol. 1, No. 5 of the ministry's
newsletter, and again the pages can supply
copies of these documents later to any mem-
ber on request. The most significant advan-
tage of the programme has been its effect
upon the inmate sub-culture, which has now
iDeen largely broken.
And now, Mr. Chairman, I turn to the very
imaginative concept of which mention was
made in the Speech from the Throne, and
that is the development of community re-
source centres.
As you know, the group homes programme
for juveniles has borne out our contention
that many people within our training schools
did not need to be institutionalized and could
be cared for in the community. The suuoett
of our temporar>' absence programme hai
equally borne out our similar contention that
certain adults, who do not constitute a risk
to the public, can equally be supervised and
supported within the communit>'.
The community resource centres will. In
fact, be the adult equivalent of the i^roup
homes programme, i.e., they will house cer-
tain adults who under present circumstances
are housed in correctional institutions of
various kinds. The advantages are obvious.
The man will be able to wodc to support his
family and be given support and supervision
at far less cost to the public purse than is
involved in institutional care. To a large
extent, the success of this venture will hinge
upon careful selection but, with our tem-
porary absence programme experience be-
hind us, we are confident that only those
who are suitable for this alternative to in-
carceration will be accepted.
Now, Mr. Chairman, I should like to re-
view briefly matters relating to staffing and
administration.
We have gone a long way to implement-
ing the Botterell report. Appointments to the
ministry's Health Care Services Advisory
Board have been made and the board Is
sitting regularly. Local health care services
committees have been established for each in-
stitution. The nursing complement has been
increased to the standard recommended in
the report, and no jail or instititution in
the province is without nursing service.
Physician's remuneration for services ren-
dered has been increased to conform with
the Ontario Medical Association recom-
mended fees; and relationships with um*-
versity faculties in the health care sciences
have been expanded.
We, in the ministry, are co-operating very
closely with the Ontario Provincial Police
and with other police forces and we have
used on a number of occasions the Canadian
Police Information Centre network, which
is the new information system based on the
RCMP computer in Ottawa. We have found
it particularly useful to advise local police
of the presence of inmates in their com-
munities on temporary absence, at times such
as Christmas when the mails are particularly
slow.
Six senior members of my staff were in-
volved recently in a four-week exchange
programme with the Ontario Provincial
Police. Their experiences included the in-
vestigation of a hit-and-run and a break-
and-enter; they were formal witnesses to
1092
ONTARIO LEGISLATURE
an autopsy; and they took their turn with
bank surveillance and in patrol cars. Their
respect for and understanding of police work
has, I am assured, increased considerably. In
return, six OPP ofiBcers have observed the
complexities of our organization. We shall
be extending this type of exchange through-
out the justice policy field.
We have made further progress in the
hiring of ex-offenders. In fact, Mr. Chairman,
we have hired 160 of them since we began
the practice several years ago— 86 were hired
to the ministry's regular staflF, and others
to temporary or casual appointments. These
employees have been of both sexes and of
several ethnic backgrounds; and the regular
appraisals of staff performance, which are
made in respect of all ministry staflF, are
particularly good in most of these cases.
In the Kenora area, we are planning, in
conjunction with the Kenora Fellowship
Centre, a three-year community-institutional
worker experiment. The selected native in-
cumbent would work closely with com-
munity agencies on a crisis-intervention pro-
gramme, particularly in regard to the many
problems which arise when a parent is in-
carcerated and has a family in a remotely
situated home.
The amalgamation of the ministry's pro-
bation and parole services took place on
Jan. 1 of this year. The transition was a
little smoother than we had expected, largely
as a result of the extensive pre-planning
which had been completed in the previous
year. The volunteer programme within pro-
bation and parole has expanded greatly in
the past year. Some institutional staff role^
now include responsibility for liaison with
volunteers.
Since January of this year the adult and
juvenile responsibilities in the probation and
aftercare services have been completely
separated and the services themselves have
been regionalized. The localization of service
within regions is now proceeding rapidly
and we are encouraged by the favourable
reaction of family court judges to these
changes.
In our career planning pilot project, 11
candidates selected by a nomination and
regional screening process and a subsequent
2%-day evaluation seminar, were enrolled
in an intensive three-week training pro-
gramme conducted by the staff of Centennial
College, with a senior judge, a Crown at-
torney, members of the police and of our
own senior staff as resource personnel. Im-
mediately following this course, the trainees
were posted to selected assignments in all
types of institutions and in several branches
of the ministry.
These staff members are rotated to new
responsibilities at intervals of approximately
three months, and thus they acquire an over-
view of all facets of the ministry's operation
during their two-year tour of duty. Evaluation
is continuous and, based on finmngs to date,
a second course is planned which we hope
will begin this fall.
A new operations manual has been issued
by the ministry. It embodies basic opera-
tional information within the framework of
our modern corrections philosophy. The sec-
tions not only direct staff as to their duties,
but also explains to them the rationale be-
hind what is expected of them.
We are moving toward automated in-
formation profiles for both inmates and
wards and combining them with data previ-
ously accumulated, to give a complete pic-
ture of those in our care. The juvenile in-
formation system will be operational in May.
The adult system will be tested in four
institutions by Dec. 31 next and extended
to all institutions by April 1, 1975.
At the Ontario Correctional Institute,
computer facilities are speeding up assess-
ments, while at the main oflBce we are now
tied into the central computer in the Mac-
donald block. Commencing this month, all
staff, classified or casual, were placed on
the computer payroll system and we are
using data processing for research, account-
ing and many other purposes.
During the past year the research unit,
as part of the planning and research branch,
has expanded its role of providing service
to operational branches. The research ad-
visory committee has continued to review
issues or requests around which research
can assist in decision-making and pro-
gramme planning. The committee has estab-
lished priorities which complement new
directions of the ministry, for example,
greater utilization of community resources,
alternatives to full incarceration and the dif-
ferential training and uses of staff.
Among the projects under way, two major
longitudinal studies, one on the adult
female and the other on the adult male,
are nearing completion. Comprehensive in-
formation has been collected which will
provide additional insight into the inter-
relationships of social history, attitudes, be-
haviour and environment. One and two-year
follow-up investigations after discharge have
been completed.
APRIL 16, 1974
1093
To summarize tfien, Mr. Chairman, this
year has seen the ministry move from be-
hind the high walls into the community,
for those in its care who can function with-
out danger to the public or themselves— and
my message is that they are many, while
the dangerous offenders are relatively few.
Our improved selection procedures and our
growing experience of psychology and
motivation have allowed us to make de-
cisions which we would have hesitated to
do in previous times when we knew less
about human behaviour.
Of 20,673 temporary absences which
have been granted since the inception of
the programme in August, 1969, 20,038, to
be exact, have been successfully completed.
If we include the 246 that were withdrawn
because, for example, an educational
trainee was not profiting from an academic
course, that leaves only 389 revoked for
disciplinary reasons, or a 98 per cent
success rate, which continues to be main-
tained. These figures, Mr. Chairman, were
up to March 31 or just 11 days ago.
We look forward to the establishment and
the development of the community resource
centres I have described. We welcome the
presence of increasing ntunbers of trained
volunteers in our institutions. Our only prob-
lem relating to commimity acceptance is now
in their initial opposition to the siting of facil-
ities, and this is gradually diminishing, par-
ticularly as we involve oiu-selves more in
commimity participation and dialogue in the
planning stages of our proposals.
The figures teU the story. Ten years ago
there were 6,115 people under supervision in
the community and 5,092 were institutional-
ized. Today, those in institutions niunber
4,747, which is down seven per cent, while
those functioning in the conunimity under
supervision now number over 12,000, or up
120 per cent. The overall increase in numbers
is, of course, a function of the popiJation
growth and of lu-banization during the
decade. In the whole of oiu" correctional sys-
tem, excluding jails, we now have need for
only 685 cells, a figure which speaks volimies.
An hon. member: It's great politics.
Hon. Mr. Potter: We are certainly looking
foru'ard to the United Nations Congress here
next year, Mr. Chairman, in the hope that it
will focus public attention on the real prob-
lems of what has come to be known as social
defence— the whole science of crime and cor-
rections in a sociological context. In the in-
terim, I would urge all members who can, to
visit our institutions and to examine our
various orogrammes in action. W© have noth-
ing to nide. We only ask that you come
singly or in small groups so as not to change
the situation by your presence.
Tinally, Mr. Chairman, let me say that
although I assumed my present portfolio only
a few weeks ago, I nave already visited
several of our institutions and have met many
of the staff in those institutions and at main
office. I want to say that I am truly impressed
by the remarkable dedication and die cooimit-
ment which has been shown by staff working
in an area where there are certainly only very
limited tangible rewards, where they are
working day after day with those whom
society has rejected and where they them-
selves are subject to many stresses ana strains.
il want to express my appreciation to them
and to state that the citizens of this province
are indeed well served by these men and
women who quietiy perform an often thank-
less and always arduous task.
I Mr. Chairman, I shall be delighted to try to
answer any questions as we come to the indi-
vidual votes after hearing the observations of
the spokesmen for the opposition parties.
Thank you.
Mr. R. F. Ruslon (Essex-Kent): Mr. Chair-
man, I want to congratulate the new minister
on his appointment and his very complex and
detailed report of the ministry for the past
year. I notice there are some comments in it
that are probably in my remarks.
I would also like to take this opportunity
to thank the previous minister, the member
for Kingston and the Islands, for his dedica-
tion to ms work. I found him very co-opera-
tive at all times and felt that he had a sincere
desire to do a good job. I want to congratu-
late him on the position he held for a number
of years. As the member for Grey-Bruce (Mr.
Sargent) always says, he was a good stick-
handler and I guess he did a pretty good job
in his portfolio anyway.
For the new minister, having been re-
lieved of the large portfolio he Ytad as Minis-
ter of Health, I suppose this is more or less a
much smaller ministry to look after. There
are many important parts of it dealing with
people with severe problems and probably it
is just as important a position as ms previous
position but much less arduous for the minis-
ter.
I would hope that with the minister's badc-
ground as a medical doctor, he will perhaps
take some steps to improve the conditions in
our institutions as far as medical treatment
goes. I am sure he has been aware of the
report made in 1972 by Dr. Botterell, the
1094
ONTARIO LEGISLATURE
dean of medicine at Queen's University, and
of a number of recommendations in there.
With regard to the girl who recently took
her life in the Don Jail— I take just one
thing out of a quotation— Dr. Botterell wrote
in 1972 about this particular institution, "The
psychiatric cell block and facilities and social
workers' oJBSces are obsolete and physically
scattered and communications are very diffi-
cult."
I think the new minister can certainly look
into that report; there is a lot of room for
improvement in some of the institutions.
Also I would think the medical profession
in Ontario should take some responsibility
with regard to care in our institutions. Per-
haps this is one area where they have been
a little lax and I would think that the mem-
ber, now that he is minister, can maybe get
some co-operation in this line.
I read recently the federal report on in-
carceration, and it felt we put too many
people in jail. It had an interesting recom-
mendation that the lawbreaker should meet
face to face with those he has robbed, be
forced to repay them and be excused from
a jail term provided that he carries out his
commitment. It might work in some cases
but it would have to be kept under very
close scrutiny by correctional and parole
officers. It is an interesting comment and I
would think that Canada having the record
of putting more people in institutions than
most other countries we may have to start
looking at some other method.
California tried some new methods in San
Quentin by allowing all prisoners to move
around at ease and work in workshops but
they found that hardcore troublemakers caus-
ed so much trouble they had to put all of
them back in cells to calm things down. They
are now allowing the prisoners who are
willing to behave to work and move around
at ease, but have put the troublemakers in
solitary confinement, each in his cell, and
have told them they will remain there until
they behave like other prisoners.
What this means is they have tried the kid
glove approach to all but have found that
this treatment will not work with the hard-
core criminal who will probably have to be
confined for most of his term away from his
fellow prisoners.
I would like to comment on the matter of
tendering the abattoir at Guelph. The min-
ister did mention this in his opening remarks,
but I question whether this is the right direc-
tion to be going. Should we not be looking
at hiring two or three men with qualifications
to operate this operation as a government
project?
It seems to me that the Ministry of Cor-
rectional Services must furnish the general
manpower and that perhaps the whole opera-
tion should be under the ministry's control.
The hon. member for Wellington South
(Mr. Worton) will be questioning the min-
ister further in this matter, as he is very
familiar with the situation and very knowl-
edgeable, since he is close to the operations
there.
I question the ministry in its determination
to keep the care of juveniles in this ministry
when it should be under the jurisdiction of
the Ministry of Community and Social Ser-
vices. The government, in its stubbornness
in refusing to change its concept of juvenile
care, is losing out on about $10 million that
is available from the government of Canada
each year to assist in the care of juveniles.
I am concerned about the availability of
care for juveniles in many parts of Ontario.
I had a local lawyer draw my attention to a
case he had of a 14-year-old girl who was
pregnant and there was no place to have her
stay in the local city. She was sent to a
juvenile detention centre near Toronto.
We should have small group centres in
different parts of the province available for
such cases, rather than sending them so far
away to large detention centres.
The family court judges are speaking out
in these matters now, as they see firsthand
the problems facing many from broken homes
and those who are having trouble coping
with the problems of day-to-day living in
our fast-moving society. This proves also
that divorce, separation and family troubles
all should be dealt with in one judicial area,
rather than the present system of different
courts for each matter.
There are reports of the high cost of prose-
cuting criminals. I have read that it costs as
much as $50,000 from the time a crime is
committed until due process is made and the
person may be committed to an institution.
I question whether society is prepared to
accept this, and if we must find new meth-
ods to control these costs as they are escalat-
ing each year.
In looking over costs of this ministry, I
see the proposed budget for 1974-1975 is
$13 million more than for 1973-1974. The
increase from 1972-1973 to 1973-1974 was
$10 million. In other words, we are increas-
ing spending in this one ministry by about
16 per cent in one year.
APRIL 16, 1974
1O0S
It is also interesting to compare the in-
creases of the different departments. The
rehabilitation of adult offenders for 1973-
1974 was $7 million more than for 1972-
1973, and the increase for 1974-1975 is $8
million, or 16 per cent, over 1973-1974.
The increase for rehabiUtation of juveniles
in 1973-1974 was $5 million higher than in
1972-1973, or 20 per cent, while the increase
for 1974-1975 over 1973-1974 was $3 million,
or 12 per cent.
Is this a squeeze on our juvenile care, or
are we allowing more of them to be out on
probation and it is not necessary to have
them confined?
The cost of the administration of the min-
istry for 1972-1973 was $3,517,000, and in
1973-1974 it was $4,106,700, an increase of
$600,000 or 17 per cent, while the cost is
now $5,391,000 for 1974-1975, an increase
of $1 million or 20 per cent.
When one ministry increases its budget
for administration by 20 per cent in one year,
is it any wonder we have inflation fanned
by government overspending and, perhaps,
wastefulness?
The matter of paroles concerns the public
a great deal. When they hear of a prisoner,
after being sentenced to one year definite
and one year indefinite, being eligible for
parole after serving eight months, they won-
der what the judge was thinking when he
sentenced the person. It appears that judges
may be having their authority overridden by
parole officers in the civil service.
The separation of first offenders and juve-
niles from repeaters, drug pushers, gun-toting
holdup artists, rapists and pistol-whipping
thugs is very important. I understand that
with the building of new institutions, many
of these facilities allow for this separation.
Th^ jails in many of the counties that are
as old as 100 years— and that includes part
of the Don Jail— are something of the past
and no doubt we should be tearing them
down. A strange thing with correctional treat-
ment is that none yet has made very many
steps forward in modem correctional services.
At least with the many innovations, there
have been very few clear lines of general im-
provement in the minds of those being held
in many of the centres.
However, I for one, feel we must continue
to explore the many avenues of new thinking
to improve the system. Merely keeping some-
one confined iaside a wall is not helping the
country as a whole, when you consider the
cost of it. We must be prepared to continue
to keep trying to do our best to get to the
root of the problems facing those who are
sent to these institutions.
The minister in his opening statement last
year said that 24 new group homes would
be opened, and I would like to know how
many more— other than the original 12— have
been opened.
I would also like to know what work the
regional administrators are doing and what
type of programmes they have instigated
and how many have been appointed.
I would also like to know if the integra-
tion of probation and aftercare services has
been completed.
Further, I would like to know what prog-
ress has been made in the construction of
the new detention centres in Etobicoke and
Scarborough, as these units are to replace
the old part of Toronto Jail.
What progress has been made in the pro-
posed detention centres in Milton, Hamilton
and London?
I should ask the minister about the famous
jail in Owen Sound, as the member from
Grey-Bruce will no doubt be asking him
about his new jail in Owen Sound. I think
that's a question the member for Grey-Bruce
likes to ask every year.
Now, Mr. Chairman, those are all the re-
marks I have prepared at this time. I have a
number of questions I want to ask the minis-
ter when we get into each individual vote.
Mr. Chairman: The hon. member for
Hamilton Centre.
Mr. N. Davison (Hamilton Centre): Mr.
Chairman, before I speak on these estimates,
I would like to express my appreciation for
the efforts the former Minister of Correctional
Services made in modernizing the correc-
tional services to more nearly meet present
day needs.
I have been reading newspaper reports and
recommendations of various grand juries as
they inspect our correctional institutions. So
many of them seem to have a common factor:
the repeated recommendations which have not
been carried out from previous inspections.
Is it the practice of this ministry to Ignore
the grand jury recommendations; or how does
it select the ones it intends to carry out?
I notice, too, that one in five federal pris-
oners are the victims of mental illness, to
varying degrees. I would suspect that this
would hold true at the provincial level.
Recently there was a case in Hamilton
where the mother of a young man turned him
over to the police on a fraud charge because
1096
ONTARIO LEGISLATURE
he had mental problems. She tiiought he
would receive needed care in prison. Hamil-
ton's Barton St. jail is a holding unit and, of
course, the young man— who was eventually
released— got no help at all.
It seems to me that we should make pro-
visions to analyse and take steps to treat the
mental health of the people like this young
man, and people with more advanced^ prob-
lems. It would also be sensible to provide
separate accommodation for these people.
(Both the present Minister of Correctional
Services and his predecessor have com-
mented on the fact that the provincial gov-
ernment has employed more than 100 people
who have been in the institutions— and I think
this is good. However, anyone with a criminal
record has difficulty securing bonding. Metro-
politan Toronto council's appeal for a govern-
ment bonding programme for ex-convicts was
turned down by the Premier (Mr. Davis). I
would hope that the ministry brings its in-
fluence to bear to obtain a programme similar
to that in the United States. It works so well
there that the fee has been reduced since its
inception.
Most progressively-minded people agree
that rehabilitation of prisoners is the best
protection the public can get. The temporary
absence programme appears to be a big step
along the way. I like the method where the
inmate works outside and returns to jail when
his day's work is done, although I don't think
$10 per week allowance for meals and trans-
portation is sufficient. I don't know what the
extent of the operation is, but I feel it should
be initiated in all institutions.
I particularly like the idea of this method
allowing him to pay ofi^ his debts and provide
for his family or, if single, to have saved
money to help him when he is releiased. He
returns to society free of the strain dF being
without funds and the pressure of trying to
find a job immediately.
Has this programme been made available
to women prisoners? Both inmates and staff
at the Vanier Centre for Women state that
the female prisoner should have been placed
on welfare in advance of her release so that
she could leave with her first welfare cheque
in her hand. Many, they claim, are forced to
renew old friendships that were not good for
them or to enter a life of prostitution simply
to be able to survive.
These are methods which extend the proc-
ess of rehabilitation beyond the prison door
and ease the return to a place in society and
they should be initiated in our institutions
across Ontario.
The federal government has taken a simi-
lar approach in the William Head Peni-
tentiary in British Columbia. There the
inmates work 40 hours a week building a
new jail, for which they receive the federal
minimum wage. They will pay the prison
for room, board and clothing and will pay
income tax and unemployment insurance.
The advantage of paying unemployment in-
surance, of course, will be their ability to
collect from it if they are unemployed after
their release.
A survey of 1,070 adult first offenders in
1965 showed that in six years, by 1971, 64
per cent were repeaters. We have not solved
the problem in the past. Perhaps these more
imaginative hiunan approaches will prove
more effective.
Canada has the doubtful distinction of
having more people in prison per capita
than any other country. Holland, on the
other hand, reduced its prison popidation
by 50 per cent and its crime rate has not
grown beyond the population growth rate.
There are only 50 men in Holland serving
more than four-year sentences and they have
almost ceased to imprison women and have
only 26 serving any length of sentence. In-
stead of expanding old facilities and build-
ing new ones, Holland is deciding which
prisons to close down.
The deputy chief of the Dutch prison
administration states:
We certainly have not stopped crime in
Holland but we can claim it is not rising
any faster than the population growth.
I am not going to claim that we have
the answer to the question of curing
criminals, because our present system is
still too new to know that. All I can say
is that longer sentences and stricter
prisons certainly did nothing to deter
people from returning to a life of crime,
so we thought it worthwhile to try some-
thing else.
This new approach was contained in a
Prisons Act passed in 1951, but the drastic-
ally reduced sentences came about 10 years
later. Judges were not instructed to reduce
sentences but their public prosecutors may
recommend sentences and it would seem
that they are doing so.
First offenders seldom are prosecuted at
all. The facts are investigated in the normal
way, but instead of taking the case to
court the prosecutor will usually give the
offender a formal warning of the conse-
quences of breaking the law. Only a minor-
ity of those warned ever commit further
APRIL 16. 1974
1007
offences. Those who do are usually fined or
placed on probation with the possibility of
a suspended prison sentence.
Even after this, there is a great reluctance
to jail and only the more serious or un-
balanced offenders are remanded in cus-
tody before their trials, which usually take
place before three judges within three or
four months of arrest. Imprisonment is re-
garded as a failure of their legal system.
Anyone serving more than four months
is considered to be a long-term prisoner and
considerable care is taken to send him to
the institution most likely to rehabilitate
him. The essential ingredient for successful
rehabilitation seems to be very small prisons.
Their largest jail holds 152 inmates.
Prisoners can wear their own clothes,
write and receive as many letters as they
wish and elect committees which discuss
complaints and problems with the prison
director and his staff.
The deputy chief said:
Prison is basically a return to the con-
ditions of childhood, with the staff re-
placing parents as people who rule what
you must do or cannot do. Our aim is to
cut down the adverse effects of imprison-
ment to a minimum. We can do that not
by making life pleasanter for the prisoners,
but by modernizing it as far as possible.
We must stimulate the prisoners' in-
dependence, maturity and sense of respon-
sibility, and believe me this puts more
strain on the prisoners' lives.
The Dutch have introduced a new grade of
prison worker called a group leader. Many
have already trained in social work, but
there is an opportunity for prison officers to
convert to this grade. The group leaders
work with self-contained sections of in-
mates. Often there will be four of them
working with a group of 10 to 12 prisoners.
Their feeling is that it is essential for
prison authorities to realize that much of
the outside world has changed in recent
years. No longer can authoritarian governed
islands exist in the midst of a society which
is becoming more and more democrab'c.
In Holland, prison oflBcers have generally
adjusted to the new ways remarkably well,
except for a few of the older men and
they are allowed to volunteer for an early
retirement.
A small step has been made toward the
Dutch concept in East York where no
charges are made for minor crimes. The
experiment began in the spring of 1972 and
covers police patrol area 5411 and was to
continue for one year. The area was chosen
because of its average urban makeup and
because it had an average incidence of
crime.
I am not certain under wbkh level of
government tfiis experiment was involved. If
it was under the provincial body I would
be most interested in learning the outcome
of this interesting experiment, as I am sure
other honourable members in this House
would be too.
Mr. Chairman: Does the hon. minister
wish to respond to the opening remarks?
Hon. Mr. Potter: Mr. Chairman, before
we get on to the actual section by section,
earlier the critic from the Liberal caucus
spoke about the Botterell report. He asked
about it and I think I made reference in my
opening statement to the fact that we had
acted on the Botterell report and we had
pretty well responded to every one of his
recommendations and at the present time we
are interviewing applicants for a medical
director of the programme.
Other than that, as I told vou earlier,
the nursing services are provided now in
accordance with Botterell's recommendation.
There isn't an institution in the province with-
out nursing services. Medical services are
available, if not on a full-time basis, on a
part-time basis and certainly on a 24-hour
basis in the institutions. The other recom-
mendations that Botterell recommended have
also been complied with.
Reference was made to the number of
people in our prisons, and all I can say to
that, Mr. Chairman, is for gosh sakes aon't
blame the ministry for the number of» people
who are confined to our institutions. We have
nothing to do with putting them there. As a
matter of fact, we are attempting to provide
other types of facilities as quickly as we can
throughout the province.
As you have already been informed, we
have closed one of the training schools in
the province, we are in the process of closing
the second, and we hope we will be able to
close the third within a short period of time.
Much has been said about the 16- and
17-year-olds and whether they should be in
our ministry or whether they should be re-
moved from this section of the Act and come
under the Ministry of Community and Social
Services. This also is a subject that requires
a great deal of consideration.
One of the comments we received from
the judges themselves and from lawyers is
that as long as they are covered under this
1098
ONTARIO LEGISLATURE
section of the Act, rather than commit diese
juveniles to a penitentiary sentence, the
judges now commit them to one of our
institutions because they feel they can get
some training there. What would happen if
it was under the Ministry of Community and
Social Services, I don't know.
The hon. member spoke about the in-
creases in our budget. When you are review-
ing the estimates, you will see that these
increases are due to increases in salaries, and
I am sure none of you will say that this
wasn't overdue.
As a matter of fact, there is great change
in the philosophy in our jails. No longer do
we have just turnkeys; we have people who
must also be psychologists and social work-
ers. They assume a much greater responsi-
bility than they ever did in the past. Indeed,
we must ask the Civil Service Commission to
be continually reviewing the roles that they
play in jails so that their salaries will be
brought up to where they should be.
The increases are also due to increases in
employee benefits and in the cost of food,
services, supplies, clothing and so on in the
institutions; the implementation of recom-
mendations as we have had in the Botterell
report; the addition of moneys for our new
programmes of staff training, to which you
have made reference and which I am sure
you will agree were needed; and additional
moneys whdch have been pinpointed for re-
search into new types of programmes to
which again you have made reference and
which I am sure you will also agree were
badly needed.
As you have stated, we took over the jails
in 1988. Many of them were in terrible
shape. We have spent a lot of money in
trying to improve the conditions there, but
I am sure we all appreciate that in some of
them there is no way that they can be
brought up to the level we want them to be
at and they are going to have to be replaced.
Quite frankly, I would have liked to have
seen our budget go up by another 15 or 20
per cent if the funds had been available.
Then we would have been able to provide
some of these badly needed changes that you
have been drawing to my attention.
Certainly it has to be done. But one of the
problems we are faced with in the province,
of course, is that we have only so much
money to spend. Having come from a min-
istry that was accountable for approximately
30 per cent of the budget— and I never felt
I had enough money there— I can assure you
it is not easy to spring the money loose.
Priorities must be set by government; and in
doing so, they made certain funds available
to us in this ministry. We are attempting to
see that we establish our own priorities and
try to meet the most urgent needs as they
arise.
'I think that prety well sinnmarizes the
comments. If there are any that I have
missed, or if the members have any to bring
to my attention, I shall be glad to discuss
them with you later. Thank you.
On vote 1401:
Mr. Chairman: Vote 1401 then. You will
notice that there are seven items. Do you
wish to discuss them item by item?
Mr. Ruston: Item by item.
Mr. Chairman: Item 1 then under general
administration in the ministry administration
programme.
Mr. Ruston: Would the minister know how
many of the regional administrators have been
appointed so far?
Hon. Mr. Potter: There were six altogether,
four adult and two juvenile, and they have all
been appointed.
Mr. Ruston: What type of programmes will
these people be developing?
Hon. Mr. Potter: They will be responsible
for overseeing the institutional programmes in
the region where they have been appointed.
Mr. B. Newman ( Windsor- Walkerville): Mr.
Chairman, I wanted to ask of the minister if
the ministry is thinking of using the services
of those who are unfortunate in being held
within his institutions in natural disasters,
such as we had last year with the heavy
flooding that took part in the southwestern
part of the Province of Ontario, in the Essex
county area, and any other type of natural
disaster that may take place.
il make mention of this, Mr. Chairman,
from the fact that in the State of Michigan,
when they were confronted with exactly the
same situation as we were in Ontario they
didn't hesitate to use the services of those
v/ho happened to have some of their free-
doms withdrawn from them for the time
being, and there had been no complaints
whatsoever with their experience. When we
look into Michigan and think of Detroit, then
we have all kinds of visions of the knife in
the back, the bullet holes through the body,
and everything of that sort. Rightly or
wrongly, we immediately assume that those
APRIL 16. 1974
1099
people over there are not going to be human
and may behave in a different fashion from
the Ontario inmate.
i TTie second point I would like to ask of
the minister too, in relation to the use of
services of the individuals that are in his
institutions, is concerning the harvesting of
crops. We have to import farm labour from
the four comers of the earth. I am just
wondering if it is feasible or practical to use
services of the inmates of your various in-
stitutions to assist in the harvesting of crops
and to assist in any general way that govern-
ment may thing it can put their services to
use.
[ Hon. Mr. Potter: Mr. Chairman, we have,
in fact, used inmates for this purpose. During
the flooding last year they were used at Port
Credit, Mimico, and in that part of the prov-
ince. Several of them were employed there
for several weeks. After that, they assisted
with the veterinary services, I believe, of the
Humane Society in that area.
We have a programme of assisting with the
harvesting of crops. This has been a concern
to me as it has been to you, because as you
are aware they bring immigrants in from
other countries— labour from Mexico particu-
larly—to do this. We have had a programme
to assist farmers now for some time and we
would be dehghted if we could assist them
again this year. We have made the groups
involved aware of the services that we can
provide. We expect them to pay the going
wage as they would to anyone else. This is
part of the temporary absence programme
that we have developed for our inmates
which has proved so successful. We are de-
termined to continue to push this progranune
because, as I have saia earlier, the success
rate has been very good.
Mr. B. Newman: Mr. Chairman, if I may
follow up on that item for the time being,
would the minister care to elaborate just
exactly where the programme was in opera-
tion during the past year, the number of
people that were involved and the type of
worlc in which they were involved? If the
minister has such progranunes going in the
province, I think it is the type of a project
we would like to see widely expanded in
labour-short areas if it has been successful in
the parts to which the minister is going to
refer shortly.
Hon. Mr. Potter: Mr. Chairman, as far as
the farming programme is concerned, it was
done in the Guelph area where there were 38
i inmates from Guelph and a number from
Burtch. I haven't got the total number. All
we were asked for was 38.
I think you'll appreciate this type of pro-
gramme is not the type of programme that
every inmate is going to be allowed to go
out on. We must select very, very carefufiy
because we want to make sure that they
aren't inmates who are going to cause a dis-
turbance, that they aren't people who are
going to take off and go AWOL, or who
are going to do anything to disturb the pro-
gramme so that we can't continue it.
At the same time, inmates at Rideau are
working with the retarded, as I said earUer,
at Smiths Falls and other hospitals in the
area, and inmates at Brampton are working
with the retarded in Peel county. If anyone
knows of any farmers or anyone else who
wants to employ this type of labour on a
temporary absence programme, we would be
delighted to hear from them.
In the past few weeks when I was visiting
some of our institutions, a request came in
for help. It is a question of whether the
correctional institutions have suitable inmates
at the time when they are asked for. I would
suggest that in any areas where there is a
need and prospective employers are asking
for help, if they'd get in touch with us, we'd
be delighted to try to work closely with
them.
'Mr. B. Newman: The ministry isn't actually
trying to sell the programme itself, is it? It
is waiting for a request to come from the
area in which there happens to be the labour
shortage.
Is there any merit in maybe wridely
expanding the salesman portion of the pro-
gramme to see if there would be more areas
of the province that could and would make
use of the services of the inmates?
Mr. R. Haggerty (Welland South): Ask
your colleague.
Hon. Mr. Potter: Well, quite frankly, I am
not prepared to put any fimds into running
an advertising campaign. I have more than
enough uses for them at the present time,
but I do think that all of us here have a
responsibility to let it be known in our own
ridings that this programme is available.
We'd be delighted to work with evervone
as long as members are aware that we can't
necessarily fill all the demands too.
Mr. B. Newman: We did not intend the
minister to advertise in newspapers for it,
but to make the programme better known.
1100
ONTARIO LEGISLATURE
Hon. Mr. Potter: Yes, I think it would be
a good idea.
Mr. F. Young (Yorkview): Mr. Chairman,
I suppose this is the place to talk about the
general philosophy of the department. I do
want to say, first of aU, that I appreciate the
work that has been done by the former min-
ister in this connection. I think he deserves
a good deal of credit and I have found him
very very helpful and co-operative.
I also want to say that I have a very pro-
found respect for the deputy minister. I
believe that right there is a signal for a pretty
good future for this ministry. I think you
were very fortunate in securing the services
of the deputy, and I presume he is backed
up by a staS equally competent, although
my connection with this department over the
recent years has not been as close as it was
some years ago.
I was very interested in what the minister
said— I think he was speaking of the Guelph
institution particularly at the time— when he
said that selected personnel have been train-
ed to change from the custodial to the re-
demptive function. The whole correctional
function is the one that is being stressed now.
For years and years of course that has
been talked about. When I first came into this
House and had some responsibility in this
department and was visiting some of these
institutions at the time, the thing that ap-
palled us was this matter of custodial care,
that the men were there to make sure the
prisoners behaved themselves and didn't
escape, and that was about it.
At the time, successive ministers in this
department talked a great deal about the
change to correctional functions and that the
custodial care was going to dim as the other
emerged in all its brilliance. But for a lot of
years we saw no real change in this respect.
My feeling is that perhaps in very recent
times there has been a change here and that
the emphasis is gradually moving into some-
thing better than simply custodial things.
Of course, tied in with that is the matter
of training and the matter of salaries, which
must improve. When the minister speaks of
his wish that we had more funds for this
ministry, then I can sympathize with him,
and also when he says that we must have
enough to meet urgent needs. But the priori-
ties of this government perhaps are a little
cockeyed when we think of the tremendous
increase— just to use one example— in the
income of the medical profession in the prov-
ince, and yet we hold down the budgets of
ministries such as this. There are places I
think where these changes could be made
and where a better balance could be achieved
in the allocation of funds throughout the
government itself.
An hon. member: Priorities are out of
whack.
Mr. Young: That's right. It is simply priori-
ties out of whack and I think this ministry
over the years has had too low a priority as
far as this government is concerned. I hope
that the minister and his staflF are going to
change this and going to be able to do it
and I would look forward to that change.
Now, the question I want to ask the
minister particularly is what assurance we
have at this point that this change is taking
place and how extensive is the change
throughout the institutions. Is it a change
from the simply custodial function in institu-
tion after institution, or does it include the
whole idea that we are going to really em-
phasize the retraining and the correctional
function in these particular places?
Certainly we are getting a lot of young
people through these institutions over the
years. Year by year we find them coming
in and going out, and then returning. What
can the minister tell us to give us some real
assurance that this change is taking place
at a rate which is commensurate with the
need that we see in this ministry?
Hon. Mr. Potter: Well, Mr. Chairman, as I
said earlier in my remarks, I spoke about the
new centre at Brampton and I said I thought
it was a good indication of the change that
has been taking place. Or we can go up to
Guelph, one of our older institutions— and I
would invite the member to visit there. I was
in there just two weeks ago, and Guelph has
now been broken down into 12 smaller units.
An hon. member: How many are in Guelph
now?
Hon. Mr. Potter: There are 550. It has been
broken down into 12 units with each operat-
ing as a unit itself for meals and everything
else. Although it is still one big building, it
is really 12 small units that can be more easily
handled in this way.
We have had a big expansion in staflF, as
you are aware, which has accounted for some
of the increases in funding; and particularly
in professional staflF.
We are also planning— I think I made
reference to this earlier— improved psychiatric
facilities in our Guelph institution. We have
looked at all plans for providing these facili-
APRIL 16. 1974
1101
ties and now that we are finally able to close
one of our training schools ana make it into
an adult training centre, we can relieve
Guelph of about 150 inmates from there.
This will allow us to convert one wing into
additional psychiatric facilities to look after
those patients I was describing earlier.
Mr. Young: May I ask the minister in that
connection, have we full-time psychiatrists
in Guelph and the other institutions?
Hon. Mr. Potter: Not in the other insti-
tutions.
Mr. Young: How many do we have then?
Hon. Mr. Potter: We have full-time staflF
in Guelph.
Mr. Young: Just Guelph?
Hon. Mr. Potter: Yes, we have four full-
time and 25 part-time, altogether. If the
member is interested, here are some figures
that perhaps will bear out what has hap-
pened over the past six years.
From the psychiatric services standpoint,
we have increased our psychologists, psycho-
metrists and so on, from 34 to 51. Social
service workers from seven to 59. Psychia-
trists, themselves, from 13 to 29; medical
oflScers are about the same.
Nurses have increased from 57 to 92. Den-
tists and dental assistants have increased
from seven to 23. Academic teachers have
increased from 133 to 161. And while this
is going on our inmate population has been
dropping, as you are aware. Chaplaincy serv-
ice has increased, too. But this gives you an
indication of the emphasis we are putting
on increasing the professional staflF to provide
the type of service that wasn't available in
the past.
Mr. Young: I thank the minister very
much for the information. I can see the
trend certainly is a good trend.
In the days when I used to be wandering
around these institutions, I would see doors
with the title "psychiatrist," "psychologist"
or "social worker". They would be locked,
but I would be assured that they were going
to have those oflBces occupied brfore too long
or that part-time people were coming in from
towns round about and filling those oflBces
one day a week or half a day a week. Evi-
dently that change is taking place. I under-
stood it was; and I am deUghted to get those
figures.
I hope that this is significant of a major
change that is taking place, and I hope that
this minister will continue his struggle as
the former minister did to get funmng for
a continuation of this woik. Certainly there
is no reason why a province as rich as On-
tario — and we are hearing this from the
benches opposite all the time; the richest
area in the world and the best, and so on—
that surely this province can aflPord the kind
of funding which is needed for the kind of
process which must take place within this
department.
Mr. Chairman: The member for Thunder
Bay.
Mr. Stokes: Thank you, Mr. Chairman,
I want to engage the minister for a few
moments on the kind of rehabilitation pro-
gramme that is necessary in the northern
part of the province.
I don't know whether the minister has had
an opportunity to discuss the needs with pro-
bation oflBcers in the northern part of the
province, but it has been my understanding
in speaking to people within the ministry
that nothing of any consequence has been
done to assist those who are incarcerated for
minor oflFences, to get a kind of a rehabilita-
tion programme much closer to where they
live.
Of necessity, they have to be sent to for-
eign and alien parts of the province where
they don't know anybody, where they carmot
have visits from relatives and friends on a
regular basis, where they can't communicate
on a regular basis with those of their own
tongue.
I am speaking specifically of native people
who, for whatever reason, are incarcerated
and spend even brief periods of time in cor-
rectional centres and facilities of that kind.
My reason for speaking about this at this
time, Mr. Chairman, is because I had a
short dialogue with somebody in your min-
istry. His name escapes me at the moment-
he may even be one of the gentlemen who
are sitting there advising and assisting you.
The reason for bringing it up at this time
is that there is a facility in northwestern On-
tario that is available at the present time to
do this kind of work. I am speaking of the
radar base in Armstrong that is about to be
abandoned by the federal Department of
National Defence.
It has been suggested by people who are
socially conscious and socially aware of the
need for rehabilitation services in the northern
part of the province, that people— particularly
native people— who need rehabilitation should
be sent where they can have a rehabilitation
1102
ONTARIO LEGISLATURE
programme— a retraining programme that is
more oriented to life as they know it and
as they see it in the northern part of the
province. If you were to conduct programmes
where you would try to retrain them in home
building, in trapping, in guiding, in resource-
oriented activities, it seems to me that the
possibility of rehabilitating this kind of of-
fender would be much greater than if you
sent them down to Guelph or sent them down
to some of the other facilities that you have
down here in the southern part of the prov-
ince that are completely strange to them.
Thev don't feel at home, they have linguistic
problems in many, many instances, and they
don't get the kind of opportunities for re-
habilitation and retraining that they would
get if vou were to use a northern setting such
as could be available in Armstrong at the
present time.
I am not an expert in this field, Mr. Chair-
man, and I don't know all of the problems
that are inherent in such an undertaking. All
I do know is that there is a need for this
sort of thing, there is a facility there waiting
and I would like to hear from the minister
or from some of his officials to see whether
they have done any digging since my con-
versation with them to see whether this
facility and this kind of approach would be
meaningful and worthwhile and be condu-
cive to the rehabilitation of the offender,
Hon. Mr. Potter: Mr. Chairman, earlier
today in my introductory remarks I spoke
about the Kenora area where we were plan-
ning, in conjunction with Kenora Fellowship
Centre, a three-year, community-institutional
worker experiment where the native incum-
bent would work closely with the commun-
ity agencies on the crisis-intervention pro-
gramme.
I also mentioned that we were setting up a
number of community resource centres in the
province. Hopefully 16 centres will be estab-
lished, and we stated that seven of these
would be desif^ned to provide programmes
for native inmatps and will be located prim-
arilv in the north. Kenora, Thunder Bay,
Cochrane, Sioux Lookout, Sault Ste. Marie
are fill possible locations and of course they
win be evaluated for individual centres.
I am delighted to hear from the hon.
member the pronosition that there is a radar
base un there that mi^^ht be used and we
would be delighted to look into that. I have
told you that we have been fTiven additional
resources for these community centres. We
are determined that we are coinjr to develop
a native probation project, as I described, in
that northwestern part of the province, which
will be involving local volunteers along with
it, and if the hon, member has any sugges-
tions and can be of any help to us in doing
this we would be delighted to sit down with
him.
Mr. Davison: Mr. Chairman, I have a
couple of questions I would like to ask of
the minister.
I wonder if the minister can tell us when
they are going to start building the new
facility in Hamilton. The other thing is, on
the grand jury reports, do you people really
do anything much on it? I mean there are
a lot of the older jails on which the reports
are coming in the same each year, year after
year, and there doesn't seem to be any
satisfaction at all, nothing is really done on
it. What is the problem?
Hon. Mr. Potter: There is no problem. The
funds have been made available, Mr, Chair-
man, The Minister of Government Services
(Mr, Snow) informs me that plans have been
finalized, that tenders have been called, they
should be deciding on the tenders in June,
and the building should be starting very
quickly.
Mr. Chairman: The member for Windsor
West.
Mr. E. J. Bounsall (Windsor West): Thank
you, Mr. Chairman. I have a couple of com-
ments.
I was very interested to hear last week
that you were closing two of your training
schools and possibly a third. I can't remem-
ber—and I couldn't quite find it in Hansard
—how it was you were able to do that, where
you are replacing the training school people
who would normally be there? Was it in a
group home?
Hon. Mr. Potter: Group home programme.
Mr. Bounsall: It was in group homes. My
one comment there is that I assume that's a
much smaller group of people together and
you will simply have more of those around
the province in a smaller form. Well, I am
glad that is taking that tack. My wife and I
have been foster parents for quite some time
and my interest in it derives from seeing the
great need for foster home placements out of
the Gait training school for girls some 10 or
12 years ago, and I am clad to see that you
are moving into the small home setting,
A couple of other points. I know two or
three people in the volunteer probation pro-
gramme in Windsor. They seem ver\' en-
APRIL 16, 1974
1103
thused about being volunteer probation o£B-
cers and working with the ministry there, and
various people in the ministry there are quite
interested in the programme and seeing that
they function. But I gather— and this feeling
may not be correct on the part of the full-
time workers there in Windsor— that the de-
partment has rather a schizophrenic approach
to this. They seem to run three or four
months where they seem to get the feeling
that the ministry is very much in favour of
volunteer probation programmes and then
things blow cool for three or four months, and
they are never quite sure whether the minis-
try is really in favour of this or not.
So if the ministry really is finding the vol-
unteer probation programme a successful
programme and wishes to expand it, or at
least encourage it, I would be interested to
hear the minister say that today and maybe
talk a little bit about whether they intend to
expand it or how in fact it is going.
Third, this may well be an easier pro-
gramme to run in federal institutions where
the length of stay is a bit longer, but are
there in our provincial jails, adult jails, train-
ing programmes such as I hear IBM is run-
ning in the federal system? IBM goes in
and the person is on a full IBM course and
comes out with training as if he had taken
that course on the outside.
Do we have various of these courses, par-
ticularly like IBM, or what other courses are
being given in our provincial adult institu-
tions? I would be interested in hearing about
that aspect of the programme.
Hon. Mr. Potter: Yes, Mr. Chairman, as
the member mentioned it was the group
home programme which proved so successful
and allowed us to close some of our training
schools. As I said earlier, we have closed
one; we are now in the process of closing
a second. We hope in another 18 months we
will close a third and eventually get away
from this type of programme. The group
homes have been working out very effectively.
As for the volunteers, I find it very hard
to understand why anyone anywhere would
say that we blow hot and we blow cold. I
have been quoted on many occasions as say-
ing—I don't care whether it is in health or
in welfare or in correctional services, hospital
services, you name it— without the volunteers
none of our programmes would be as suc-
cessful as they are today. We are determined
to continue to explore the volunteer pro-
gramme and promote them wherever we can.
If you have an area where there are par-
ticular problems, I wish you would bring
them to our attention and let us know ex-
actly where they are so that we can go in
and see what the problems are. We are
ignorant of any problems; we have thought
it has been working out very satisfactorUy.
We would like to nave it if you have any
comment on that. What was the third one?
Mr. Bounsall: Training programmes.
Hon. Mr. Potter: The training program-
mes. Of course, as you are aware, we have
short-term inmates who are sentenced to
two years less a day. Many of them are in
for six and eight months and by the time
they get through the assessment centre they
might have two or three or four months to
serve. We cannot run a training programme
which is going to qualify an individual com-
pletely, as they can in some of the federal
institutions.
At the same time I also mentioned in my
introductory remarks that we are trying to
encourage industry to come in with some
programmes. They will even send in their
application forms so that the individual fills
out the forms and knows what he has to
contend with when he gets on the outside.
Perhaps they can assist in running some
of these programmes and train them in the
way they would be trained when they get
on the outside. We are anxious to have the
training start so they can continue when they
get out. At the same time we are trying to
be specific and say to these people we want
them to run the programmes but there is
no sense in attempting to run a programme
unless they are prepared to offer job oppor-
tunities for these people after they get the
training.
The province has provided leadership in
providing job opportunities. As I have said,
we have hired 120 odd— 70 odd within the
ministry— and I am determined that this pol-
icy is going to continue as we have started
over the past two or three years.
Mr. Ruston: Mr. Chairman, I wonder if
I could ask the minister how many group
homes does he have operating now? That
was one question I wanted to ask.
The other question was on how many
students have enrolled in the correctional
worker courses which were to be held at
Centennial and Sheridan Colleges? Do you
have anything on this?
Hon. Mr. Potter: At the present time there
is a total of 28 group homes in operation, 17
for boys, seven for girls and four co-educa-
tional. We expect to have an additional six
1104
ONTARIO LEGISLATURE
in operation by this fall, three of which will
be opening within the next month.
In the community college programme we
had 28 students, and of those 28, we were
only able to hire 27 because the 28th is going
to Eiurope.
Mr. B. Newman: On the same topic, Mr.
Chairman, I wanted to ask of the minister
if he is familiar with the group called "New
Beginnings" in the city of Windsor. They
operate a small community centre home
that helps yoimg offenders and young men
in need.
They have in the past been funded to a
certain extent by the Ministry of Community
and Social Services. I wonder if the present
ministry has reviewed the programme that
they have; have they found it effective? If
they have, are they considering it as far as
financial assistance is concerned so that they
could continue the programme that they
originally undertook in providing services
to young offenders in the Windsor area?
Hon. Mr. Potter: As the hon. member has
said, they were funded imder Community
and Social Services. We haven't given any
consideration to any funding.
In the first place, we haven't got the funds.
In the second place, I think with this type of
a service it has to be finalized where it's going
to be; whether it's going to be in Community
and Social Services or whether it's going to
be covered under this ministry. If it is, then
we would have to take another look at it.
Mr. B. Newman: Personally, Mr. Chair-
man, I think it is better to be funding it
under Community and Social Services be-
cause of the sort of stigma that unnecessarily
seems to be attached if your ministry were
funding it, but if there is any way that your
ministry can help the organization, I know it
certainly would be appreciated, not only by
the organization itself but also by those who
have to use the services of the organization.
I want to ask of the minister if he is aware
of the grand jury report concerning the Essex
county jail, the Windsor provincial jail. One
of the conclusions as a result of the inspec-
tion was that the safety of inmates were in
some doubt in case of fire. Has your minis-
try looked into the report of the grand jury
and taken any steps to overcoming the hazard
to inmates in case of fire at the Windsor
provincial jail?
Hon. Mr. Potter: Yes, Mr. Chairman, I do
get the copies of the grand jury reports and
take note of them. If there is any recom-
mendation in there that should be looked into,
as there was in this specific case, then we do
have it looked into to see what the story is.
I must say that sometimes the grand jury
in their deliberations don't see all. They don't
see everything that can be seen in the short
time that they have in the jail, but they have
made recommendations to us from some of
them and many of the things they bring to
our attention are things that we suready are
aware of.
I brought up here earlier that some of our
institutions were built well before Confed-
eration. It's only since 1968, since we've taken
them over, that people are saying something
should be done about it. As long as it was the
local responsibility then funds weren't avail-
able and it was agreed that nothing could be
done about it. Now that it is my problem,
they say get the funds somewhere.
In this specific instance, we are looking
into it to see what the problem is, and we
will certainly see that it is corrected if we
possibly can.
As far as the group in Windsor is con-
cerned, I wonder if the hon. member would
be kind enough to ask them to get in touch
with us to see if there is some way that we
can be of assistance to them.
Mr. B. Newman: I'll do that, Mr. Minister.
I want to ask the minister another question.
I have had the opportunity to meet the indi-
viduals who work for your ministry in the
community. They had a whole series of com-
ments that I thought should be brought to
the minister's attention, and if they can be
corrected, they certainly should be.
One of the comments was that your jails
apparently are classified according to numeri-
cal order, so to speak, Nos. 1, 2, 3, 4, 5. Am
I correct, Mr. Minister?
An hon. member: That's right.
Mr. B. Newman: Now the superintendent
of a jail gets 10 per cent more, according to
his classification. If you are paying the super-
intendent more, are you considering paying
the employees more because they work in a
higher-class jail in relation to one that may
be graded lower?
Hon. Mr. Potter: As I said earlier today, the
whole question of wages in the institutions is
a matter that we are now discussing with
the Civil Service Commission. It is entirely
different from what it used to be. It is not
just a matter of the classification of the
superintendent of the jail and what he is
getting; it is also a matter of the duties and
APRIL 16. 1974
1105
responsibilities of all of those who are
working in the institution. We are having
discussions at the present time with the Civil
Service Commission to try to put these people
into the proper category.
Mr. B. Newman: Another question concerns
the custodial oflBcers. Not only do they have
their responsibilities in the jails or in the in-
stitutions, they also have added hazards and
risks in the community itself. The person who
has his freedom taken away sometimes
attempts to take vengeance on the custodial
oflBcer, although the custodial ofiBcer is only
performing the duties that he is assigned as
a result of his employment.
Are there funds available or is there any
compensation to custodial ofBcers and/or for
their property that may be damaged as a
result of a former inmate seeking vengeance
on an oflBcer? For example, the tires on his
car could be flat, a brick could be thrown
through a window of his home, or there
could be just general harassment of a cus-
todial oflBcer of an institution on the part of
a former inmate.
Hon. Mr. Potter: I'm afraid I don't know
of any compensation of that nature that is
available. I know that all of the employees
would be covered by Workmen's Compensa-
tion, just the same as anybody else. As for
damage to their property, I would think they
would be in the same position as you or I
if somebody got mad and decided to split our
tires.
The deputy tells me that if it's proven
that some of their personal eflFects have been
damaged, then they are reimbursed.
Mr. B. Newman: That is good, because I
was left with the impression that there was
no compensation for them if they suflFered
adversely, either financially or otherwise, as
a result of the performance of their responsi-
bilities.
Another comment was that they always
seem to have to wait a long time before they
receive a supply of uniforms or the clothing
they wear. Is there any way of speeding up
delivery so that they could be taken care
of at the proper time?
Hon. Mr. Potter: They get their uniforms
when they are required, but unfortunately
we don't have anything to do with the sup-
ply houses, which have been on strike for
six months. This isn't a local problem as
far as we are concerned. It's a problem all
over the country. We get them as quickly as
we can, but as long as they are on strike, we
can't do much about it.
Mr. B. Newnuui: I would like to ask the
minister if, in his estimation, the various jails
throughout the province are understaflFed.
I was led to believe that they are under-
staflFed. Whether this is so or not, I have no
way of judging.
Hon. Mr. Potter: Generally speaking, I
think we are pretty well fixed up now. Tnere
are undoubtealy one or two weak places that
need to be brought up to strength, but there
has been such tremendous improvement over
the last couple of years, it is hardly notice-
able.
Mr. B. Newman: The other topic that was
discussed was cumulative sick leave. Is the
ministry considering stacking cumulative sick
leave, so that the individual could take it
all at the one period of time or be reim-
bursed for it in the same way as they are
in the teaching profession where the indi-
vidual can collect on retirement or on leaving
the job 50 per cent of the unused portion?
Hon. Mr. Potter: I am afraid that is some-
thing that we don't get involved in. That
comes under the Civil Service Association.
Mr. B. Newman: I see, right. The other
matter that I wished to ask about was con-
cerning the promotions. I was led to believe
that if an individual used up his sick leave,
then his opportunity for promotion was
jeopardized. I hope that isn't so.
Hon. Mr. Potter: It certainly isn't.
Mr. B. Newman: Thank you, Mr. Minister.
Mr. Chairman: The member for Thunder
Bay.
Mr. Stokes: Yes. I have one brief question
of the minister. He did mention a number
of psychiatrists and psychologists who he
had on his staflF. I am wondering what percen-
tage of them, if any, are located in northern
Ontario to assist in rehabilitating oflFenders.
Hon. Mr. Potter: HI get that for you but
111 have to take time.
Mr. Stokes: Are there any? I don't know
of any.
Hon. Mr. Potter: There are part-time ones
but no full-time, but I will get the informa-
tion for you.
Mr. Chairman: Anything further on item
1? Is there an answer coming?
1106
ONTARIO LEGISLATURE
Hon. Mr. Potter: No, I will have to get it.
Mr. Chairman: Is item 1 carried? Is vote
1401 carried?
Vote 1401 agreed to.
On vote 1402:
Mr. B. Newman: Mr. Chairman, under
vote 1402, I wanted to ask the minister about
two items. One was about a SHEP pro-
gramme that happened to have been im-
plemented in the city of Windsor. That was
a self-help employment programme for pa-
rolees. They apparently fixed electrical
equipment in a storefront in the community.
It happened to be extremely successful. How-
ever it passed out of existence. Is the min-
istry considering funding a programme such
as that once again in the community and/or
communities throughout the province?
Hon. Mr. Potter: I think that was under
a LIP grant, Mr. Chairman. It wasn't one of
our programmes.
Mr. B. Newman: Yes, it could have been
under the LIP programme. Now that that
is not there, are you considering it?
Hon. Mr. Potter: Well, we haven't been
considering it but I would like to have some
information on it that you might have for
me.
Mr. B. Newman: Yes, I'll pass it on to
you, Mr. Minister.
Mr. Chairman: Anything further on vote
1402?
Mr. Stokes: On the treatment and training
of adult offenders, do you have anyone whose
responsibilities would parallel the responsi-
bilities of a parole officer to go into certain
communities where there is a high incidence
of recidivism, where people keep coming
back?
If you were to look at the dockets in the
court, say at Armstrong, you would find that
there seems to be a high degree of recidivism.
A lot of them are for minor offences, but
offences nevertheless for which they have to
make retribution. If they can't pay the fine,
they are held for a certain number of days,
usually five or 10 days. I am wondering if
you wouldn't consider putting people in the
field where they would spend some time in
preventive kind of activities, rather than wait
for these things to happen.
I can think of one or two communities in
my riding that I won't mention by name, but
I will discuss it in private with the minister.
I can see some efficacy in spending these
kinds of dollars to try to prevent this from
happening. I know that your probation officer
can't do this. He has to wait after the fact,
so to speak.
I'm wondering if we couldn't provide at
least a pilot project to see whether this kind
of thing would help; to go into these com-
munities that I have in mind where you chat
with these people, to be more of a social
worker, to remind people of their obligations
to society and how debilitating it is to be
hauled up in court for liquor offences, and
minor offences like that but for which, never-
theless, they become habitual offenders. And
they really don't get any admonition from
the courts. The kind of sentence that is given
is never a deterrent.
I'm wondering if you wouldn't consider
some kind of person who would perform this
function, to go into a community to assist
them in a good healthy outlook toward life
and the law so that you get them before they
commit these acts rather than after. It seems
to me that this would be a much better ap-
proach than getting it after the fact. I'm
wondering if you wouldn't consider that kind
of an approach in the instances that I've
mentioned.
Hon. Mr. Potter: The Indian volunteer pro-
bation programme that we have been talking
about instituting in the northern part of the
province is exactly that. Talking about the
recidivism and so forth, we don't feel that
these people should be going back for five
or seven days. That's not doing a dam bit of
good anyway. I think we have to appreciate,
though, that within the ministry, our fiuids
are, as you have said, for treatment after the
fact; we haven't got funds to set up pre-
ventive programmes. But what we would be
interested in is setting up a type of pro-
gramme you're talking about. This Indian
volunteer probation programme that we have
been discussing setting up in the northern
part of the province, is to do just that.
Hon. Mr. Winkler moves the committee
rise and report.
Motion agreed to.
The House resumed, Mr. Speaker, in the
chair.
Mr. Chairman: Mr. Speaker, the committee
of supply begs to report it has come to cer-
tain resolutions and asks for leave to sit again.
Report agreed to.
APRIL 16, 1974 1107
Hon. E. A. Winkler (Chairman, Manage- will deal with items 8 and 9 on the order
ment Board of Cabinet): Mr. Speaker, before paper and, I would think, in that order.
I move the adjournment of the House I would
like to say that on Thursday we will return to Hon. Mr. Winkler moves the adjournment
the first item, and if that doesn't take up the of the House,
whole time of the afternoon we will return
to item 10 again, the same estimates that we Motion agreed to.
have been considering, and the House will
not sit on Thursday evening. On Friday, we The House adjoui-ned at 6 o'clock, p.in.
1108 ONTARIO LEGISLATURE
CONTENTS
Tuesday, April 16, 1974
Bank of Canada rate increase, questions of Mr. Handleman: Mr. R. F. Nixon,
Mr. Deans 1059
Housing programmes, questions of Mr. Handleman: Mr. R. F. Nixon, Mr, Sargent,
Mr. Cassidy, Mr. Singer 1059
Union Gas, question of Mr. Davis: Mr. R. F. Nixon 1061
Potato suppliers, questions of Mr. Stewart: Mr. R. F. Nixon, Mr. Shulman 1061
Housing programmes, questions of Mr. Handleman: Mr. Deans 1062
Actions of real estate agents, question of Mr. Clement: Mr. Deans 1062
Warranty on new homes, question of Mr. Clement: Mr. Deans 1062
Sale of colza oil, question of Mr. Miller: Mr. Deans 1063
Public Service Act conflict, question of Mr. Auld: Mr. Breithaupt 1063
Provincial secretariats, questions of Mr. Davis: Mr. Roy 1064
Employment of handicapped people, questions of Mr. Guindon: Mr. Burr,
Mr. B. Newman 1066
Athletic scholarships, questions of Mr. Davis: Mr. Sargent 1066
Employment of students in psychiatric hospitals, question of Mr. Timbrel!:
Mr. Dukszta 1067
Sales tax, questions of Mr. Meen: Mr. Wiseman 1067
Intermediate capacity transit system, questions of Mr. Rhodes: Mr. Singer, Mr. Sargent,
Mr. Cassidy 1068
Strike in Guelph, questions of Mr. Guindon: Mr. Bounsall 1069
Aid to tornado victims, question of Mr. Stewart: Mr. EdighofFer 1069
Lakeshore Psychiatric Hospital grants, questions of Mr. Miller: Mr. Lawlor 1069
Summer employment programme, questions of Mr. Clement: Mr. Good 1070
Commissioner of the Legislature Art, 1974, bill to appoint, Mr. Singer, first reading . 1071
Business Corporations Act, bill to amend, Mr. Roy, first reading 1071
Resumption of the debate on the budget, Mr. Breithaupt 1071
Motion to adjourn debate, Mr. MacDonald, agreed to 1086
Estimates, Ministry of Correctional Services, Mr. Potter 1086
Motion to adjourn, Mr. Winkler, agreed to 1107
No. 26
«±»i
Ontario
Hegisilature of (l^ntario
OFFICIAL REPORT — DAILY EDITION
Fourth Session of the Twenty-Ninth Legislature
Thursday, April 18, 1974
Speaker: Honourable Allan Edward Renter
Clerk: Roderick Lewis, QC
THE QUEEN'S PRINTER
PARLIAMENT BUILDINGS, TORONTO
1974
Price per session, $10.00. Address, Clerk of the House, Parliament Bldgs., Toronto
CONTENTS
(Daily index of proceedings appears at back of this issue.)
nil
LEGISLATIVE ASSEMBLY OF ONTARIO
The House met at 2 o'clock, p.m.
Prayers.
Hon. J. White (Treasurer and Minister of
Intergovernmental Affairs): Mr. Speaker, the
members of the Legislature will be interested
to know that we have as our guest today
— as your guest, Mr. Speaker, in your
gallery— Mr. William Lane, who is the head
of the British Colunibia land commission.
Perhaps he would stand for a moment.
Mr. Lane and his associates are here to
confer with me, my colleagues and certain
of mv oflBcials with respect to land matters.
I must say the exchange has been very in-
teresting and useful to us and I am very
glad to have him here as our guest today.
Mr. Speaker: Oral questions. The hon.
Leader of the Opposition.
REPLACEMENT FOR DON JAIL
Mr. R. F. Nixon (Leader of the Opposi-
tion): I would like to ask the Minister of
Correctional Services, Mr. Speaker, if he
can make a statement to the House on the
circumstances in Don Jail which have led
to another tragic death, and if he can re-
port to the House when the plan to replace
that facility with something more modem
is going to come forward? Is he now in a
position to say that we are going to have a
new jail in this area?
Hon. R. T. Potter (Minister of Correctional
Services): Mr. Speaker, I reported to the
House two days ago that plans were under
way to replace the Don Jail. The funds are
available, as vou know. Plarming has been
completed, the Ministry of Government
Services has advertised for tenders which I
expec*t will be completed in June, and con-
struction will be .started to replace the old
part of the Don Jail.
The present unfortunate incident is of
very great concern to me as it is to every-
one else. I think the hon. member will
appreciate that a]l of us are determined to
see that every effort is made so that this
doesn't happen. But no matter how careful
one is and no matter what precautions are
taken, if an individual is determined to take
Thursday, April 18, 1974
his own life .sometimes it is practically im-
po-ssible to ore vent it.
I should point out that last year in On-
tario we had 1,078 suicides reported in the
province which were proved suicides. I am
advised by the chief coroner if we were to
consider others—automobile accidents and
others that were not proved as suicides— that
perhaps the number would be increased
by another 500 or 600. So it is not just within
our institutions that we have this problem,
which is a very big problem as far as I
am concerned.
As members know, every week and every
weekend there are a terrific number of acci-
dents on the highways-
Mr. R. F. Nixon: I'm talking about inside
the Don Jail.
Hon. Mr. Potter: —deaths that could be
prevented if proper precautions were taken,
but people are reluctant to do this.
As far as we are concerned in the jail,
every effort is made to see thai circumstances
are such that it doesn't happen, but occasion-
ally it does. Within the last 25 years there
have been seven suicides in the Don Jail
altogether, unfortimately two of them just
ver>' recently.
Mr. R. F. Nixon: Supplementary: Since
the last two have been quite recent and
both with young people— teenagers— is the
minister not concerned that there should
be some special supervision for these people?
Has he asked for perhaps a psvchological or
psychiatric report on what hapx>ens to those
people when they get in that particular jail
that seems to be so seriously and tragically
depressing? What's the matter with the
supervision down there?
Hon. Mr. Potter: Mr. Speaker, certainly I
am just as concerned as the hon. member
professes to be.
Mr. R. F. Nixon: Professes to be?
Interjections by hon. members.
Hon. Mr. Potter: I think that what be
should say is that it is not just the Don
Jail. There are other institutions, too, within
this province where this happens. I am con-
cerned about all of them. A study is going
1112
ONTARIO LEGISLATURE
on. We have a continuing study to determine,
if we can, what can be done to prevent it.
Mr. V. M. Singer (Downs view): The min-
ister is a great studier. He studied himself
right out of the Health department too.
Hon. Mr. Potter: I did a pretty good job
of that too, didn't I?
Mr. Singer: That's why he is where he is
now.
Mr. A. J. Roy (Ottawa East): Ask the Pre-
mier about that.
Interjections by hon. members.
Mr. Speaker: The hon. member for Scar-
borough West.
Mr. S. Lewis (Scarborough West): If I
could ask the minister a supplementary.
Hon. W. G. Davis (Premier): They are all
jealous.
Mr. Roy: Well, send him to the back row.
Mr. Speaker: The hon. member for Scar-
borough West has the floor.
Mr. Lewis: I understand and accept some
of what the minister says. I presume, and
I'm asking interrogatively, that he appreciates
that the Don Jail is a very special case that
seems to be beset by continuing problems. To
what extent the nature of the jail fosters
this tragedy is difficult to determine. But,
given what has occurred in the last few
months in two instances, has the minister
undertaken to launch his own investigation
into the supervision and psychological sup-
ports that are provided in the Don Jail as
long as young people are inappropriately in-
carcerated there for given periods of time?
Hon. Mr. Potter: Mr. Speaker, yes, I have,
and not just within the Don Jail but within
the whole structure of Correctional Services.
Mr. Speaker: The hon. Leader of the Op-
position.
INTERMEDIATE CAPACITY TRANSIT
SYSTEM
Mr. R. F. Nixon: I have a question of the
Minister of Transportation and Communica-
tions. In light of the fact that the contract
for the construction of the guideway portion
alone of the Maglev test track at the CNE
was awarded yesterday to C. A. Pitts for
about $10.5 million, which is almost twice
the estimated cost for the guideway and the
stations combined, is the minister now pre-
pared to submit a revised estimate of the
total cost of the experiment at the CNE?
Mr. P. J. Yakabuski (Renfrew South): It's
Trudeau-Lewis inflation all over again.
Hon. J. R. Rhodes (Minister of Transpor-
tation and Communications): Mr. Speaker, the
hon. Leader of the Opposition is approxi-
mately three days late. The same question
was asked by the hon. member for Ottawa
Centre (Mr. Cassidy) and I told him at that
time I would get the information.
Interjections by hon. members.
Mr. R. F. Nixon: Supplementary: Now that
the increases in these costs are associated
with firm bids, can the minister confirm that
we are at least at the level of $23 million
from the original announcement of the Pre-
mier which was $16 million?
Mr. Lewis: It was higher than that.
Hon. Mr. Rhodes: Mr. Speaker, I will re-
peat that I will get the information that was
asked for here—
Mr. Singer: What takes so long?
Hon. Mr. Rhodes: —and I will bring it
before the House.
Mr. Singer: When?
Mr. Roy: The minister must have been
holding hands with the Minister of Correc-
tional Services.
Hon. Mr. Rhodes: Mr. Speaker, I would
rather bring the information and be accurate
than just run around the subject as is done
so well by the members of the opposition.
They'll get the information.
Mr. T. P. Reid (Rainy River): Make it this
year. We know more about it than the min-
ister does.
Mr. M. Cassidy (Ottawa Centre): Supple-
mentary, Mr. Speaker: The minister may
recall that I asked for estimates of the over-
all cost of the main system whenever it's, built,
if ever it's built. Would he now be prepared
to give the House an estimate of the total cost
of the experimental demonstration system at
the CNE? How much has it gone up from
the original estimate of $17 million forecast?
Hon. Mr. Rhodes: Mr. Speaker, that is what
I understood the hon. member asked for— for
both those particular matters — and that is
APRIL 18, 1974
1113
exactly what I am getting for him. I didn't
realize he had only asked for half of it.
Mr. Singer: Oh, then apologize.
Hon. Mr. Rhodes: I am getting him both.
Mr. J. R. Breithaupt (Kitchener): Supple-
mentary question, Mr. Speaker: If the min-
ister is—
Mr. Singer: He is wrong as usual.
Mr. Speaker: Order.
Mr. Breithaupt: If the minister is advised
that those persons who made the original esti-
mates were out by two or three times the
final amounts, is he intending to discipline
them in any way?
Mr. Yakabuski: Trudeau inflation.
Hon. Mr. Rhodes: Mr. Speaker, I am not
going to answer these hypothetical questions
that are being asked by the opposition on a
subject that they know very little about.
Interjections by hon. members.
Mr. R. F. Ruston (Essex-Kent): He can't
answer them anyway.
Hon. Mr. Rhodes: I have told the hon.
members that the information will be brought
here when it is available.
Interjections by hon. members.
Mr. Speaker: Order.
Hon. Mr. Rhodes: There seems to be some
sort of a feeling in that particular group that
we should discipline everybody. I think they
must beat their wives.
Interjections by hon. members.
Mr. R. F. Nixon: If the minister is wrong
he should resign. He should resign himself.
Hon. Mr. Rhodes: This is not the Hepburn
regime.
Interjections by hon. members.
Mr. Speaker: Order, order please.
Mr. P. G. Givens (York-Forest Hill): What
happened to the specific question that I asked
the minister several weeks ago, about whether
he was revising the agreement with Krauss-
Maffei? He promised to give me an answer
and he hasn't.
Interjections by hon. members.
An hon. member: As soon as he gets the
information.
Hon. Mr. Rhodes: Mr. Speaker, at that
time I think I advised the hon. member that
we were not revising the contract.
Mr. Speaker: The hon. Leader of the Op-
position.
RENT CONTROL
Mr. R. F. Nixon: I would like to ask the
Minister of Housing to report to the House
further on statements that he has made that
he is examining all the alternatives that may
lead to some procedure of either rent fixing
or rent control, or at least the review pro-
cedures that were put before the House by
way of amendment to the Landlord and Ten-
ant Act when it was before the House three
years ago, in view of the implications from
the Toronto city council motion that the rents
are going to go up by 10 to 15 per cent and
other predictions that they may very well be
up 25 per cent by the fall?
Hon. S. B. Handleman (Minister of Hous-
ing): Mr. Speaker, what I have already
stated, and has been published, is that we are
examining all aspects of the rent problem
and we recognize it as a problem. The amend-
ment the hon. member mentioned, of course,
will be taken into account when we examine
the problem. We have not yet received the
resolution from Toronto city council although
I think I know its intent and its contents. It
seems on first glance that the city council is
having diflBculty in devising techniques to
deal with what it accepts as being a very,
very difiicult problem and obviously govern-
ment policy, if there is one, would be an-
nounced to the Legislature in the usual way.
Interjections by hon. members.
Mr. Singer: If there is one, yes.
Mr. I. Deans ( Wentworth ) : Supplementary.
Mr. Speaker: Order, order.
An hon. member: If they have one.
Mr. Speaker: Does the hon. member for
Wentworth have a supplementary?
Mr. Deans: Yes.
Mr. Speaker: I regret there was so much
noise I couldn't hear.
Mr. Deans: Supplementary question, Mr.
Speaker: Is the minister aware that govern-
1114
ONTARIO LEGISLATURE
ment policy as stated some three years ago
was not to allow rent control within munic-
ipalities, and is the minister now prepared
to state that the government is prepared to
allow municipalities, upon apphcation to the
government, to inaugurate some form of rent
control within their own jurisdictions?
Hon. Mr. Handleman: I am prepared to
say, Mr. Speaker, that the government is
prepared to consider that possibihty along
with a mmfiber of others in order to deal with
this very serious problem.
Interjections by hon. members.
Mr. Cassidy: That is a cop-out.
Mr. D. C. MacDonald (York South): They
are three or foiur years too late.
Mr. Speaker: The hon. Leader of the Op-
position.
Mr. J. A. Renwick (Riverdale): By way of
a supplementary question, what is the minister
going to do about Mrs. Smith, in my riding,
who yesterday received a notice increasing
her rent from $140 to $220?
Mr. R. F. Nixon: Ma Smith's rent is going
up
Mr. Lewis: A notice of eviction.
Hon. Mr. Handleman: Mr. Speaker, I don't
know Mrs. Smith and I don't know the cir-
cumstances of her rent increase. If the hon.
member would send it over to me I would
be glad to look at it. At the present time, the
answer would have to be that we have no
measures under which we could take any
action at this time in that type of a situation.
Mr. R. F. Nixon: Resign.
Mr. Singer: By way of supplementary, Mr.
Speaker, could the minister tell us the extent
to which, if he is correctly quoted in today's
Star, the production of 30,000 lots vdthin
three years is going to alleviate the urgent
housing need problem that exists in Ontario
today?
Hon. Mr. Handleman: Mr. Speaker, I am
not too sure it is a supplementary, but since
I was aware of that article I will answer it
anyway.
An hon. member: He is not sure of any-
thing.
Hon. Mr. Handleman: In the interview,
what I did say, and I think I am accurately
quoted, was that—
Mr. Singer: Well, that is a change.
Hon. Mr. Handleman: —at the oulset of the
programme the target was approximately
30,000 and that in my crotimistic position I
feel that we can exceed that, and! the article
did say that there would be more than 30,000,
if the hon. member will check to find out.
Mr. Singer: No, but I asked' about—
Mr. Speaker: Order. There have been five
supplementaries, I believe, which isi a reason-
able number. The hon. Leadier of the Op-
position.
WARRANTY ON NEW HOMES
Mr. R. F. Nixon: I would like to ask the
Minister of Consumer and Conmiercial Rela-
tions why he or a representative of his minis-
try did not take part in the conference that
was scheduled in Ottawa, and took place on
April 16, by the Housing and Urban AflFairs
department federally, co-ordinating the pro-
vincial consumer departments across Canada
with CMHC, specifically designed' to discuss
and develop a home warranty legislation
model?
Hon. J. T. Clement (Minister of Consumer
and Commercial Relations): Mr. Speaker, two
people from my ministry did attendi in Ottawa
at the request of Mr. Basford on April 8 in
the persons of Mr. Graham Adams and the
chief solicitor, Mr. Ed Ciemiega. I understand
the provinces were asked to return a week
later— I suspect that's the date to which the
member refers, April 16— when a committee
was being formed. The provinces were in-
vited, as I understand it, to observe the work-
ings of that committee in development of the
proposed house warranty programme. Til
check it out, but I don't think my people re-
attended on that occasion for a reason which
I don't know; whether or not they were in-
vited I don't know. I'm waiting for a report
from Mr. Ciemiega but they were up there
a week ago.
Mr. R. F. Nixon: A supplementary: Is it the
minister's feeling that model legislation could
be established which would be implemented
Erovincially across Canada but which could
e co-ordinated by the federal minister, that
is, the same provisions in legislation put be-
fore all the legislatures? Is that the aim and
the goal of the programme?
Hon. Mr. Clement: It would appear, Mr.
Speaker, that the question of house warranties
APRIL 18. 1974
1115
is one of provincial jurisdiction but I can
visualize a number of problems being created
it we have 10 different sets of rules because
of the number of provinces. For this reason,
it is one of the matters to be discussed on
the agenda at a meeting, in about three
weeks time, of the consumer ministers across
Canada to develop, hopefully, uniformity of
legislation on warranties at the provincial
level.
There \\'ill have to be some federal in-
volvement for the very simple reason that
there's federal funding by way of mortgages
for residential construction across the entire
country', namely through Central Mortgage
and Housing. The consumer minister at the
federal level, the hon. Herbert Gray, will be
in attendance during those dehberations, so
I'm advised.
Mr. Deans: A supplementary question: Am
I to take it from the answer to the question
I asked on Tuesday and the answer to today's
question asked by the Leader of the Opposi-
tion that this government is prepared to go
ahead regardless of whether or not other
jurisdictions are prepared to? Or is the min-
ister going to hang on and wait until the
whole thing has become such a mess that it
is impossible to deal with?
Hon. Mr. Clement: This government is
prepared to proceed in that direction regard-
less of the decisions of other provincial gov-
ernments but because of the nature of the
subject it was felt by the minister who is
hosting the conference that it would be a
matter veri' properly placed on the agenda
to be discussed by all the consumer ministers
at that particular meeting in the middle of
May.
Mr. Deans: One final supplementary ques-
tion: Has the ministry prepared legislation
that might be put forward as a model to the
other jurisdictions and is the minister pre-
pared to bring it before this Legislature this
session?
Hon. Mr. Clement: I have a number of
proposals before me not reduced to legisla-
tive form. I am prepared to bring forward
legislation along these lines— not during the
session but at the session which follows, pre-
sumably late this autumn— for introduction
into this House.
Mr. Speaker: The hon. member for Scar-
borough West.
OIL PRICES
Mr. L^wis: A question of the Premier, Mr.
Speaker: Now that the Minister of Energy
(Mr. McKeough) has publicly rebuked the oil
companies for the manner in which they set
their prices, is the Premier prepared to indi-
cate that the Province of Ontario will set a
maximum cost per gallon of gasoline and
home fuel oil to protect the consumers of
this province?
Hon. Mr. Davis: Mr. Speaker, the govern-
ment is not prepared at this time to make
that statement.
Mr. Lewis: By way of supplementary, what
kind of hypocrisy is the government engaging
in over there? No, I ask it seriously. The
Minister of Energy will use a public forum to
attack the oil companies for irresponsibility in
what they are extracting from the consumer
without the government stepping in to de-
fend the consumer as, for example, the pro-
vincial government of Nova Scotia is now
doing, in insisting that the prices be rolled
back.
Hon. Mr. Davis: Mr. Speaker, I can only
say at this time I have no statement to make
as to the price of fuel oil or gasoline.
INCREASE IN PRICE OF MILK
Mr. Lewis: I hope the two of them can
resolve it. Let me ask the Premier another
question. How is it that the increase in the
price of milk per quart went 3.4 cents to the
farmer, entirely and legitimately justified; and
1.6 cents per quart to the dairies, totally un-
justified and illegitimate? When is the govern-
ment going to defend the consumers of On-
tario in respect of milk prices?
Hon. Mr. Davis: Mr. Speaker, I must con-
fess I am not as familiar with the distribution
of cost as it relates to the milk industry as
perhaps the Minister of Agriculture and Food
(Mr. Stewart) might be. I heard the member
say the 1.6 cent increase to the dairies is in
his view unjustified. I am not sure that is in
fact the case.
Mr. Deans: That's right, the Premier is not
sure.
Mr. Lewis: By way of supplementary, is
the member aware, as Premier, that the most
recent profit increases for Silverwoods on a
comparative-year basis was 88.9 per cent;
for Dominion Dairies, 46 per cent; for Becker
Milk 57 per cent? Does he not realize, as one
1116
ONTARIO LEGISLATURE
of the people supposedly involved in protect-
ing the consumer, that we are paying almost
two cents more per quart than we should be
paying because the government has allowed
the dairies to rip oflF people in Ontario rather
than giving the farmers what it should have
given them?
Interjections by hon. members.
Hon. Mr. Davis: Mr. Speaker, I am glad
there is at least one area where we can
agree with the hon. member. I do agree that
the increase to the farmers was justmed.
Mr. Lewis: Right.
Mr. Speaker: The hon. member for Scar-
borough West.
Mr. Lewis: Okay. Who protects the con-
sinners of Ontario?
Hon. Mr. Davis: Certainly not the mem-
ber.
Mr. Lewis: Not this government, not this
govemmient.
Hon. Mr. Davis: I see the member's
father is going to support us.
Mr. Lewis: Well.
Hon. Mr. Davis: I saw that. Is the member
going to do so as well?
Mr. Lewis: Don't push me.
Hon. Mr. Davis: There was that press
nonsense of a while ago about the member
becoming more conservative; we now see
evidence of it.
Mr. Lewis: I see, I see.
Interjections by hon. members.
INQUIRY INTO HOSPITAL
EMPLOYEES' REMUNERATION
Mr. Lewis: I want to ask the Premier
another question: Is he now prepared to
indicate to the House and to the public that
before May 1 next the government will make
an offer to the hospital workers directly
involved in the 12 hospitals in the Toronto
area who have threatened strike aciton as
of May 1? I needn't remind the Premier that
today is April 18.
Hon. Mr. Davis: Yes, Mr. Speaker, the
hon. member is correct, it is the 18th; I
accept that. I can only say to the hon.
member that meetings were under way at
2 o'clock this afternoon; and I really have
no comment further than that at this point.
Mr. Lewis: By way of supplementary, I
am not taUdng of the mediation meetbigs;
we all know what they are. I am asking the
Premier about a government commitment in
advance of May 1.
Does the Premier not realize the degree
to which he is heightening both the militancy
and the desperation of the hospital workers?
Is that his policy? Or is he prepared to
promise an offer?
Interjections by hon. members.
Mr. Lewis: No, I don't want to see that
strike; I don't want to see that strike.
Mr. Renwick: The government wants it
and they know it.
Mr. Speaker: Order.
Mr. J. E. Stokes (Thundfer Bay): The same
thing as the teachers; they want the same
thing as the teachers' went through.
Mr. Lewis: We have had enough of the
government's—
Mr. Renwick: In every situation they
create this confrontation and thev know it.
Mr. Lewis: I go away for a day and look
at what I return to, Mr. Speaker.
Mr. Speaker: Order.
Mr. Lewis: I say to the Premier, I almost
beg of the Premier, does he not realize
that it's getting very close to the point at
which it's almost impossible to defuse things
unless he makes a public commitment in
advance of May 1 that the government will
meet the legitimate expectations of the hos-
pital worker?
Hon. Mr. Davis: Mr. Speaker, I am fully
aware of the time frame involved, and I
can only say to the hon. member the gov-
ernment is as conscious as he is as to the
nature of the situation.
I can only say the matter is under con-
sideration by the government. Meetings— the
member may call them mediation, perhaps
that's the proper term— are under way at the
present time. I just will not be provoked into
making any further comments until the time
is appropriate.
Mr. Speaker: The hon, member for Rainy
River, a supplementary.
Mr. Reid: Supplementary: The Premier
has been playing games with us on this
issue for over a month. Does the Premier
not realize the legitimacy of the claims of
the hospital workers?
APRIL 18. 1974
1117
Mr. Speaker: That's a repeat of the
previous question. It is just a repeat of the
original question. I rule it out of order.
Hon. Mr. Rhodes: Be original.
Mr. Reid: Well I am not finished yet,
that's my preamble.
Mr. Speaker: The hon. member for Scar-
borough West. All right, the hon. member
for Ottawa East.
Mr. Roy: Mr. Speaker, may I ask the
Premier how he can justify not making a
commitment to the hospital workers now,
when just over a month ago the government
gave this increase offhandedly to the doctors
at the other end of the scale? How can
the Premier procrastinate with these people
and give the doctors, who are making a lot
of money, this increase?
Hon. Mr. Davis: Mr. Speaker, with great
respect to the hon. member, no increase
was given to the doctors in an offhanded
way. If the member wants me to recite
chapter and verse as to the procedures tfiat
were used-
Mr. Lewis: It was— in a significant way.
Hon. Mr. Davis: —I'd be delightedi to do
so, but I can only say that the government
accepted a recommendation of a committee
under the chairmanship of, I think, a rela-
tively able and objective person—
Mr. Reid: Do the same thing in relation to
the hospital workers.
Hon. Mr. Davis: —composed' of members
from both the profession and the government.
If the hon. member for Ottawa East or the
Liberal Party wants to say— and I'd be de-
lighted' to hear them say it— if they think the
procedm-e was wrong, if they think the
amount awarded the profession was too high,
and if they were elected and would lower it,
let them say so and have the intestinal forti-
tude to db it.
Mr. Reid: We're talking about hospital
workers.
Mr. Speaker: Order.
Interjections by hon. members.
Hon. Mr. Davis: They can't always have it
both ways.
Mr. Roy: On a point of order, Mr.
Speaker-
Mr. Reid: The government has had the
same kind of reports about the hospital
workers and it hasn't done anything.
Mr. Speaker: Order.
Mr. Roy: Mr. Speaker, on a point of order-
'Interjections by hon. members.
Mr. Speaker: Order.
Mr. Roy: Just to clarify my question, I did
not attack the method; I attacked the increase
to people already making a lot of money—
Hon. Mr. Davis: The hon. member said it
was offhand.
Mr. Roy: -and the fact that the eoveno-
ment was forgetting the people at the bottom
end of the scale.
Hon. Mr. Davis: The hon. member said it
was offhand.
Mr. Roy: We know where the government's
cards are.
Mr. Speaker: The hon. member for Scar-
borough West.
Mr. R. F. Nixon: The Premier decided it
himself. Why wasn't the Legislature involved?
Mr. Roy: Why dido't the govenmient bring
it here?
Mr. R. F. Nixon: Sure he did.
Mr. Lewis: We'll answer the Premier's
question. It was to much. It was wrong for
tne doctors.
Hon. Mr. Davis: These people don't say so.
Mr. Lewis: Well, that's fine. We're telling
the Premier it was wrong.
HOUSING PROGRAMMES
Mr. Lewis: Mr. Speaker, I have one last
question of the Minister of Housing, if I may.
Does the minister realize that me 30,000
additional serviced lots he talks about over
the neixt three years will in fact put him be-
hind in the production of housing in respect
to the last three years in the Province of
Ontario?
Hon. Mr. Handleman: Mr. Speaker, I sup-
pose I should clarify this again. What I did
say was that the original target of the hous-
ing action programme was to oring on stream
approximately 30,000 additional— or more than
normal— serviced lots over the next three
years. And, with my usual optimism, I think
—and, as a matter of fact, Im almost sure—
that with full co-operation from the other
two sectors we can achieve considerably
1118
ONTARIO LEGISLATURE
more. These are additional lots over and
above the normal production.
Mr. Lewis: Well, may I ask a supple-
mentary? Is the minister saying than 10,000
additional serviced lots per year is any con-
tribution to the housing crisis at all in On-
tario? Does he not realize that that's roughly
10 per cent of the immediate requirement
within the next year, over and above what
he intends to produce? And that's his total
programme?
Hon. Mr. Handleman: The answer to the
question, do I think that 10,000 additional
lots is a contribution, is yes I do. If I am
asked if I think it's a solution, I say no. There
are other approaches; this is part of the total
approach.
Mr. Lewis: What are they?
Mr. Deans: What are they?
Mr. Singer: By way of supplementary-
Mr. Roy: By way of supplementary-
Mr. Speaker: The hon. member for Downs-
view.
Mr. Singer: Of the 10,000 lots that might
be supplied this year, how many in fact is
the minister prepared to say will be available
to Ontario citizens this year?
Hon. Mr. Handleman: Mr. Speaker, we
have a three-year programme-
Mr. Singer: No, I said this year.
Hon. Mr. Handleman: I cannot assure the
hon. member of 10,000 this year or 5,000 this
year-
Interjections by hon. members.
Mr. Speaker: Order. Let the minister
answer.
Hon. Mr. Handleman: When we have com-
mitments from the other two parties to this
programme, we will make the announcement
and we will aggregate the lots. It's obviously
impossible, in 1974, to say suddenly, "There
shall be lots." Lots are now under develop-
ment.
Mr. Lewis: Suddenly? The minister says he
has been working on it for years.
Mr. Speaker: The hon. member for Scar-
borough West.
Interjections by hon. members.
Mr. Speaker: This question was pursued
before; surely there have been sufiBcient sup-
plementaries. It's the same thing that was
answered before.
Mr. Cassidy: There have only been three,
Mr, Speaker.
Mr. Speaker: The hon. member for Scar-
borough West.
Mr. Lewis: No further questions.
Mr. Speaker: All right; no further questions.
The hon. Minister of Housing has the
answer to a question asked previously.
Mr. R. F. Nixon: That will be refreshing.
ORG ADVERTISING
Hon. Mr. Handleman: Thank you, Mr.
Speaker. The hon, member for Brant (Mr. R.
F. Nixon) asked me about Ontario Housing
Corp. advertising, and I would like to read
the exact question, because there is an er-
roneous assumption in the question itself.
I would like to ask the Minister of Hous-
ing, further to the province's advertising
budget, to explain why Ontario Housing
Gorp.'s advertisement for integrated com-
munity housing programmes appeared— a
display ad— it appeared three times in
today's Star, exactly the same ad.
The answer, Mr. Speaker, Ls that they weren't
exactly the same ad. They were three diflPerent
advertisements.
Mr. Reid: Was the minister's name spelled
correctly?
Hon. Mr. Handleman: A very casual in-
spection, which I think is the hon. member's
usual course of action, indicated that they
might be identical. Reading the fine print is
something that takes some time. One ad re-
lated to Metropolitan Toronto, one to Missis-
sauga, and one to Oshawa. In the case of
Mississauga and Oshawa, the ads covered
more than one programme.
Mr. R. F. Nixon: All put in by the min-
ister's department.
Hon. Mr. Handleman: That's right. They
were all put in by OHG; they were directed
to different people. And obviously the power
of advertising worked, because the hon. mem-
ber noticed them.
Mr. R. F. Nixon: At triple the cost— and
did the minister get any response?
APRIL 18, 1974
1110
Mr. Speaker: The hon. member for York
West.
Mr. P. J. MacBeth (York West): Mr.
Speaker, I have a question of the Minister
of Transportation and Communications, who
was here a minute ago. He has suddenly
disappeared.
Mr. Ren wick: He must have known the
member had a question for him.
Mr. Cassidy: The member's moment of
glory is gone.
Mr. Speaker: Is the hon. minister not
present? All right, the hon. member for Rainy
River is next.
INDEPENDENT SAWMILL OPERATORS
Mr. Reid: A question of the Minister of
Natural Resources, Mr. Speaker. I will catch
him before he slips out.
Can the minister explain his ministry's
policy in requiring all the independent cutters
in the Thunder Bay area to take all their
wood to the Laidlaw Co. in Thunder Bay
and cutting ofiF the independent sawmill oper-
ators and increasing the independent's costs?
Hon. L. Bemier (Minister of Natural Re-
sources): Yes, Mr. Speaker, I have made
some very clear statements on this. In fact I
have sent a full description to the member
for Port Arthur (Mr. Foulds), the member for
Thunder Bay and the member for Fort Wil-
liam (Mr, Jessiman), outlining the reasons
and the actions we took and why we took
them.
Just to go back a couple of steps, we were
most anxious of course to fulfil the require-
ments and the government decision to accept
Design for Development, Phase 2, in which
x-number of jobs would be created in the
forest industry.
We dealt with a number of forest com-
panies who were interested in establishing a
fibreboard plant in the Thunder Bay area. We
asked them to look in several areas of north-
em Ontario and MacMillan Bloedel, who are
now Laidlaw in Ontario, came to us with a
proposal that if we could guarantee them
100,000 units of poplar per year within the
Thunder Bay area, they were prepared to
spend up to $12 million in a major invest-
ment creating something like 225 new jobs
in the area.
We looked at it very carefully and it was
obvious that we had the wood fibre in the
Thunder Bay area, but it was on Crown land
in three Crown management units. We are
well aware of the many small operators who
are operating in the area and the decision to
allocate this poplar in the three management
units to Laidlaw was taken with a great deal
of thought. We are convinced that it is the
best thing for the small operators in the area.
Some are saying that it will give a monopo-
ly to Laidlaw; we don't think it will, because
the poplar off the private lands can still be
sold anywhere that the individual would like.
We are not controlling that at all. They still
have that right; but we are directing the pop-
lar from the three Crown management units
in the Thunder Bay area to this one industry
so that will provide x-number of jobs; and, of
course, the investment will come to northwest-
ern Ontario.
Mr. Reid: A supplementary, if I may, Mr.
Speaker: When the ministry puts a company
like Laidlaw or Boise Cascade in the Fort
Frances area in a monopoly position, what do
they do to ensure the independent oi>erator
of a fair price for their wood, whether they
get it off their own limits or Crown land?
Hon. Mr. Bemier: As I said earlier, we
are not controlling the sale of poplar from
private land to any forest industry in the area.
We have already advised Laidlaw that we
will monitor the prices given to those indi-
viduals who harvest poplar off private land
and sell it to the paper companies. In no way
will we let them use their monopoly position
to downgrade the price of poplar in the
Thunder Bay area.
Mr. Speaker: The hon. member for York-
view.
MECHANICAL FITNESS CERTIFICATES
FOR CARS
Mr. F. Young (Yorkview): Mr. Speaker, a
question of the hon. Minister of Consimier
and Commercial Relations: In view of stories
which have recently appeared in the press in
connection with mechanical fitness and
fraudulent certificates, as well as other in-
stances that have come to the attention of
individual members, has the minister any
plans to tighten up the legislation regarding
administration of certificates of mechanical fit-
ness, so that aggrieved persons have some
other resource than to courts with attendant
long delays and costs?
Hon. Mr. Clement: Mr. Speaker, the in-
volvement of my ministry with certificates of
mechanical fitness emanates from our control
1120
ONTARIO LEGISLATURE
and registration of the new- and used-car
business. Whenever it comes to our attention
or investigations indicate that there has been
a breach of the legislation dealing vvdth the
issuance of those certificates, then we have in
all instances prosecuted.
The qualifications of the person or persons
who issue those certificates are within the
purview of the Ministry of Colleges and Uni-
versities undfer its educational programme. I
concede there are difficulties, there are prob-
lems, insofar as some of these fraudulent
certificates are issued. I don't think they're
that widespread but they are significant
enough to cause me concern.
Some hon. members: Mr. Speaker.
Mr. Speaker: I haven't heard the word sup-
plementary yet.
Mr. Young: A supplementary, Mr. Speaker.
Mr. Speaker: A supplementary?
Mr. Young: Is the minister satisfied that
measures are under way which vdll solve this
problem because it still is a very great prob-
lem for a great many people?
Hon. Mr. Clement: Mr. Speaker, I'm advis-
ed by my colleague, the Minister of Trans-
portation and Communications, that his min-
istry is tightening up on it. One of the things
I would personally endorse is the removal of
the fine only against the person who issues
the fraudulent certificate— or one who is
stretching the truth to some degree— and im-
pose in lieu of a fine, imprisonment and/ or a
fine and the removal of the licence for the
person to practice. It would be the same type
of penalty as is borne by professional and
semi-professional groups already subject to
other le^slation.
Mr. Roy: Could I just ask one supple-
mentary?
Mr. iSpeaker: The hon, member for Ottawa
East has a supplementary.
Mr. Roy: In reference to the minister's
comments that the abuse of these certificates
was not widespread, how does he correlate
that with the comments of the previous Min-
ister of Transportation and Communications
(Mr. Carton) who said they were wide-
spread?
Secondly, how does he expect to have
proper enforcement of this type of certificate
when the jurisdiction is spread out between
the Ministry of Transportation and Commu-
nications, his ministry and the Ministry of
Colleges and Universities? Doesn't he think
it's high time, mavbe, the enforcement was
under one ministry?
Hon. Mr. Clement: Mr. Speaker, it's be-
cause of the very nature of the responsibilities
themselves. T&C has it because it is seized
with the responsibility of monitoring the
Highway Traffic Act, as the member well
knows. The Ministry of Colleges and Univer-
sities deals with the professional qualifica-
tions of the people who, in fact, are issuing
those certificates. The involvement of my
ministry is because we monitor the car in-
dustry. Unless all three were placed in the
responsibility of one ministry, and I suggest
that would not be the answer, we're going
to have this fragmentation.
Mr. Roy: It would help.
Mr. Speaker: The member for York West.
GO TRAIN TO GEORGETOWN
Mr. MacBeth: Thank you, Mr. Speaker. I
see the Minister of Transportation and Com-
munications has returned—
An hon. member: Welcome back.
Mr. MacBeth: —and I would ask him
whether or not there will be a stop at
Rexdale now that the announcement of the
GO route to Georgetown has been made?
Can he tell me whether there will be a stop
at Rexdale to serve the northern part of the
borough of Etobicoke?
Mr. M. Shubnan (High Park): Yes.
Hon. Mr. Rhodes: Mr. Speaker, there will
not be a stop at Rexdale inunediately. We
are looking at the possibility of putting one
in there.
Mr. Deans: But the train will slow down?
Mr. Breitbaupt: Will it slow down at all?
Mr. Singer: It will wave at them as it
goes by.
Hon. Mr. Rhodes: If the member for
Downsview is on he can jump off any time.
Mr. Speaker: The hon. member for Grey-
Bruce has a supplementary.
Mr. MacBeth: A supplementary, Mr.
Speaker.
Mr. Speaker: The hon. member for York
West.
APRIL 18, 1974
1121
Mr. MacBeth: Can the minister give con-
sideration to such a stop?
Hon. Mr. Rhodes: Mr. Speaker, certainly,
we've just recently had some discussions with
the mayor of the borough on this very point.
It is not forgotten.
Mr. Speaker: The hoQ. member for Grey-
Bruce is next.
TRAIN JOURNEY IN WESTERN
ONTARIO
Mr. E. Sargent (Grey-Bruce): Mr. Speaker,
I have a Question of the Premier. In view of
the fact that he and the member for Grey
South (Mr. Winkler) are cooking up this
journey into history, and in view of the fact
we don't have a train service up our way-
Mr. Reid: They're rewriting history.
Mr. Sargent: —he took it away along with
the federal government— now he's going to
have this special junket through western On-
tario with a lot of civic functions, etc., how
does he justify blatantly adding insult to in-
jury by bringing a train junket into our area?
We haven't got a train service but he's going
to have it.
Mr. R. F. Nixon: He's just trying to re-elect
the Chairman of the Management Board. It
is an impossible task.
Mr. Sargent: How much is it going to cost?
Let's start there, how much is it going to
cost?
Mr. Roy: Who is paying for it?
Mr. R. F. Nixon: The Treasury Board.
Hon. E. A. Winlder (Chairman, Manage-
ment Board of Cabinet): Mr. Speaker, I think
first of all I should straighten out the mem-
ber on who really took the train service oflF
the tracks. If he can get in touch with his
friends in Ottawa there's a little bit of
warmth there right now about reinstituting
the service— with which I agree.
In reference to the question he puts, this
isn't the first time weve done it. This is
about the third, and each and every time it
funds itself. It costs nobody anything.
Mr. Speaker: The hon. member for—
Mr. Sargent: A supplementary—
An hon. member: I'm looking forward to
the trip. I'm going to drive the train.
Mr. Sargent: If it funds itself why the hell
can't we have a train service up there?
Hon. Mr. Davist Why doesn't the member
ask Mr. Marchand?
Hon. Mr. Winklen I'm almost disposed to
answer the member the way the member for
Lakeshore (Mr. Lawlor) did the other week
because of the irresponsible way he i^
proaches a question.
Mr. R. F. Nixon: Irresponsible? That is a
very sensible question.
Hon. Mr. Winkler: He knows whose re-
sponsibility it is but he is afraid of them.
Mr. Yakabuski: He drives down in his
white Lincoln. Why doesn't he use the train?
Mr. Sargent: The Ontario government is
giving a train to Barrie now— \»^t's wrong
with Grey-Bruce getting a train?
Hon. Mr. Winkler: Maybe the member had
better look at himself.
Mr. Speaker: The hon. member for Sud-
bury East.
Interjections by hon. members.
An hem. member: That wasn't much of an
answer.
Hon. Mr. Winklen It was as good as the
(question he asked.
Interjections by hon. members.
Mr. Speaker: The hon. member for Sud-
bury East.
Interjections by hon. members.
REPORT ON LAKE WANAPITEI
Mr. E. W. Martel (Sudbuiy East): I have
a question of the Minister of the Environ-
ment, Mr. Speaker. In view of Dr. Balsillie's
report which states, "The above observations
indicate that both acute and chronic injury
are occurring to vegetation in the area north
of Lake Wanapitei", could the minister in-
dicate whether or not his ministry is willing
to indicate who is responsible for the
damage at long last? In other words, is it
Falconbridge and Inco that are doing that
damage?
Hon. W. Newman (Minister of the En-
viroiunent): I missed the first part of the
member's question. Could he just repeat
the first part?
Mr. Roy: And the minister didn't under-
stand the second part.
Mr. Martel: Dr. Balsillie's report recently
to the minister s o£Bce indicated tiie follow-
ing: "The above observations indicate that
1122
ONTARIO LEGISLATURE
both acute and chronic injury are occurring
to vegetation in the area north of Lake
Wanapitei." Is the ministry now wilhng to
indicate who is responsible directly lor the
damage?
Hon. W. Newman: We have received the
report and are studying it at this time and
we will be back to the member on it.
Mr. Martel: Supplementary-
Mr. R. F. Nixon: That is almost as good
as the Minister for Transportation and Com-
munications.
Mr. Deans: That was funny the first time.
Mr. Martel: In view of the fact that the
ministry has already condensed Dr. Balsillie's
report and chopped it up pretty well, I
can't sfee why it is necessary for further
study for the ministry to indicate who is
responsible. Would the minister be willing,
once he indicates who is responsible, to
assess Inco and Falconbridge a certain
amount to neutralize the water and restore
the vegetation in that area?
Mr. R. Haggerty (Welland South): What
does the government want— another Dow?
Hon. W. Newman: As the member knows,
we are very much concerned about that
whole Sudbury basin. We are doing a lot
of studies and we are doing a lot of monitor-
ing. I've been writing the member a lot of
letters about the problems they are faced
with up there.
An hon. member: The government studied
itself right out of power in that area.
Hon. W. Newman: Certainly we did some
research.
Mr. Lewis: The government has a right
to be concerned in the Sudbury basin. It
will never have a seat there, not one.
Hon. W.. Newman: Don't let the member
kid himself. When we get through with
the work we are doing up there, we may
have them all.
Mr. Lewis: Not to mention the Renfrews.
They are gone forever.
Interjections by hon. members.
Mr. Speaker: Order. There are just a few
minutes remaining.
Hon. W. Newman: Mr. Speaker, we have
done some experimental work, as members
know, up there. We will be continuing this
work this summer.
Mr. Singer: No wonder they hired McPhee.
Mr. Speaker: The hon. member for
Downsview is next.
BILL 25
Mr. Singer: Mr. Speaker, I have a ques-
tion of the Premier. Is the Premier con-
cerned about the police-state-like proxisions
in the statute that was tabled by the Min-
ister of Revenue (Mr. Meen), Bill 25, An
Act to impose a Tax on speculative Profits
resulting from the Disposition of Land, which
provides in section 18, subsection 4, and
in section 18, subsection 6, that where the
officials of the Ministry of Revenue have
ascertained information or seized documents
in relation to the provisions of that Act,
they can make that information available or
provide the documents to other departments
of the provincial government, to departments
of the government of Canada and to the min-
istries of other provinces under certain cir-
cumstances? Would the Premier not agree
that that would allow fishing expeditions
under the guise-
Mr. Speaker: Order, please.
Mr. Singer: —of a statute like this and
make police-state-like legislation?
Mr. Speaker: Order. I'm informed that
this is on the order paper.
Mr. Singer: Well, that's all right, I want
to stop it.
Interjections by hon. members.
Mr. Singer: No, Mr. Speaker, on a point
of order, v^'hether it is on the order paper
or not, surely it is demeaning to this prov-
ince to have written in a statute police-
state-type legislation. I'm trying to head it
off before it gets any further.
Mr. Speaker: It is not proper for the hon.
member to anticipate any provisions that
might be in the bill. It is on the order paper.
Mr. Singer: It is there.
Mr. Speaker: I think your question is not
proper.
Mr. Singer: Oh, the Premier just shakes his
head. He should be ashamed.
Mr. Speaker: The hon. member for High
Park.
Mr. Singer: Another Bill 99.
An hon. member: What was wrong with it?
APRIL 18, 1974
1123
HIRING OF LIQUOR STORE
EMPLOYEES
Mr. Shulman: I have a question of the
Minister of Consumer and Commercial Re-
lations, Mr. Speaker: What action has the
minister taken since the letter which he was
shown last week from the organization repre-
senting the liquor employees of this province,
in which they say there is now chaos in the
stores which he manages because they are
being forced to hire people who are mentally
incapable of handling the jobs?
Mr. Reid: The member means retired
cabinet ministers.
Hon. Mr. Clement: Mr. Speaker, I checked
into that allegation which was so kindly
drawn to my attention by the menvber for
High Park, with whom I feel a real afBnity
over the past few days.
Mr. R. K. McNeil (Elgin): Drinking more
wine?
Interjection by an hon. member.
Hon. Mr. Clement: I miss him every week-
end.
An hon. member: And Wednesdays.
Hon. Mr. Clement: I ascertained that
before a person is hired by the Liquor Con-
trol Board of this province as a permanent
employee that person undergoes an aptitude
test and a physical examination. This does
not occur if the person is a temporary em-
ployee working a day or two a week.
The board, as a matter of policy, attempts
as much as possible to hire people on a
temporary basis— some of them quite elderly;
under 65 but beyond 60 in many instances—
who do have some physical disability so long
as that disability will not interfere with their
work, i.e., a back injury, which would pre-
clude them from lifting heavy cases of liquor
and this sort of thing. But tf such a person
becomes a i)ermanent employee, then he must
undergo the two tests to which I have already
referred.
Mr. Shulman: Supplementary, Mr. Speaker:
Can the minister explain the comments here
that utter chaos over which the staflF has no
control now reigns in the stores?
An hon. member: Nonsense, nonsense.
Hon. G. A. Kerr (Solicitor General): Who
wrote that?
Mr. Shulman: The head of the liquor em-
ployees' association.
An hon. member: The Sun.
Hon. Mr. Clement: Mr. Speaker, I would
consider that to be—
Hon. Mr. Kerr: Is that for tomorrow's
column?
Hon. Mr. Clement: —poetic licence of the
writer of that particular artide. If he will
describe the degree of the chaos, and if he
will give me the particulars, I will undertake
to look into it.
I might point out that the writer of that
article has in the past indicated his interest
in various matters pertaining to the employees'
association and has, in fact, spoken and met
with me on matters of mutual interest This
has not been the subject of any discussion
between that particular writer and myself.
Mr. Speaker: The hon. member for Ottawa
East.
PYRAMID SALES SCHEMES
Mr. Roy: Mr. Speaker, a question of the
Minister of Consumer and Commercial Re-
lations dealing with pyramid sales:
First of all, would the minister advise how
many certificates of acceptance have been
issued in this province? I suppose he will say
none.
Secondly, how can he tolerate two or three
different companies operating in this province
under the pyramid sales scheme, one of them
being Holiday Magic in Scarborough? And
why is he waiting to do something about it
in light of the fact that the Province of
'Quebec last week issued some 81 charges
against the same company?
Hon. Mr. Clement: Mr. Speaker, two weeks
ago I would have said none had been reg-
istered. I don't know as of today how many
have been registered-
Mr. Roy: None, none.
Hon. Mr. Clement: —because I have
directed the acting registrar to effect reffistra-
tion of those who have complied wim the
requirements set out in the Act and the regu-
lations, and I anticipate they will be refgistered
within days, if they have not alrea<fy been
registered by now.
Mr. Speaker: The time for oral questions
has now expired.
Petitions.
Presenting reports.
1124
ONTARIO LEGISLATURE
Mr. J. A. Taylor, from the standing private
bills committee, presented the committee's re-
port which was read as follows and adopted:
'Yom- committee begs to report the follow-
ing bills without amendment:
Bill Pr4, An Act respecting the City of
Hamilton.
Bill Pr6, An Act respecting the Wellington
Coimty Board of Education.
Bill Prl6, An Act respecting the City of
Orillia.
Your committee begs to report the follow-
ing bill with certain amendments:
'Bill Pr3, An Act respecting the City of
Hamilt(»i.
Your committee would recommend that the
time for presenting reports by the committee
be extended to Thursday, May 2, 1974.
Hon. Mr. Rhodes presented the annual re-
port to the Minister of Transportation and
Communications of the Ontario Highway
Transport Board on its affairs for the year
ending Dec. 31, 1973, for the information of
the members.
Mr. Speaker: Are there any further re-
ports?
Mr. Shulman: No.
Mr. Speaker: Does the hon. House leader
have any reports?
ANSWER TO WRITTEN QUESTION
Hon. Mr. Winkler: No, I don't have a re-
port,. Mr. Speaker, but I would like to table
the answer to question 3 standing on the
order paper. (See sessional paper No. 35).
Mr. Speaker: Motions.
Introduction of bills.
UNLAWFUL FUNDS INVESTMENT ACT
Mr. Shulman moves first reading of bill
intituled. An Act to prevent the Inve«stment
of Funds Obtained Unlawfully.
Motion agreed to; first reading of the bill.
Mr. Shulman: Mr. Speaker, the purpose of
this bill is to prevent the investment in On-
tario, by or under the control of persons! en-
gaged in unlawful activities, of the imlawful
proceeds and to prevent the laundering of
imlawful proceeds to secure their source.
'I would like to give a word of thanks to
Mr. Stone of the legislative counsel for his
kind work in assisting me and to the Sohcitor
General for his consideration and help in
looking at the bill.
POINT OF ORDER
Mr. R. F. Nixon: On a point of order just
before the orders of the day, I wonder if the
Minister of Revenue could assist us since he
has indicated that there may be amendments
to the land tax bill, which I imdierstand it is
expected would be debated on second read-
ing tomorrow. Is it possible that we might see
those proposed amendments before we
approach the bill on second reading so that
we know the areas where the minister feels
that the bill is aheady wanting? We might
then modify our approach to some extent.
Hon. A. K. Meen (Minister of Revenue):
Mr. Speaker, the public and many of my col-
leagues are presently providing me with some
very, very useful comment on these bills,
particularly on the Land Speculation Tax Act.
To the extent that my ministry and I may
have reached some firm conclusions on the
amendments which I would propose to intro-
duce when the bill is in committee, I think
there would be no difBculty in my providing
those to the hon. Leader of the Opposition
and to the leader of the New Democratic
Party if they would both wish to have those.
I want to emphasize that because we are,
for the agrarians in this House, ploughing vir-
gin soil— and perhaps for the boaters and
nautical types in this House I am sailing some
uncharted waters— there are bound to be some
rocks in all of this and we're encountering
problems virtually daily which I am wrestling
with—
Mr. J. E. BuUbrook (Samia): That's an apt
description if I ever heard one: "Ploughing
virgin soil."
Hon. Mr. Meen: —and there will conse-
quently be the very great likelihood of
amendbnents being generated right up to the
time when we do get into the committee of
the whole House on this. Indeed, I will be
listening with interest this afternoon to the
speech of the former leader of the NDP, in
which I would expect he will have some com-
ments to make on this bill. In the course of
the debate on the bill on second reading there
may well also be some very useful ideas put
forward which I would like to be able to take
under consideration.
Therefore, I do want to emphasize that if I
am able to provide the hon. members with
APRIL 18, 1974
1125
some thoughts on my proposed amendments
that those amendments by no means represent
a fixed position.
Mr. Breithaupt: If I might speak to that
point of my leader to the minister. If there
are some considerations given to amendments
and if we are to proceed, as I understand it,
with second reading debate beginning to-
morrow, is the minister at least considering
having the bill go to standing committee for—
Mr. Bullbrook: Very good idea.
Mr. Breithaupt: —the committee process so
that perhaps other members of the public-
Mr. Bullbrook: Why not?
Mr. Breithaupt: —who may wish to give
additional information could possibly be in-
cluded, in the best interests of having as
good a bill as we could have?
Hon. Mr. Meen: Well, Mr. Speaker, I have
given that some thought, but in view of the
urgency of passage of both of these biMs and
particularly the Land Transfer Tax Act and
the present uncertainty in the commercial
areas of activity in this province today be-
cause the bills are not law, it is essential that
they be passed as quickly as possible.
What the Treasurer said in his budget
speech and what I have gone to considerable
length to say also since that time, is that
we are very flexible. On the other hand, I
think the people of Ontario have to know
where they stand as accurately as possible and
as quickly as possible.
Therefore, for the initial stages of passage
of the bill in order that it can become law, I
would propose to take it to the committee of
the whole House rather than to the standing
committee at this time, although I certainly
invite— and I am receiving these submissions
daily— submissions from the public as well as
from our colleagues in this House which I
can take imder advisement, when looking
at the Act, when looking at the regulations
that will be drafted, and indeed we are work-
ing on those now.
So over the next few months when we get
a feel for this Act and this new form of legis-
lation we will have a much better idea of
where we are going, and in the fall session
might then follow the course of action which
the hon. member for Kitchener has suggested.
Mr. Renwick: Mr. Speaker, on the same
point of order, doesn't the minister think that
in view of the substantial reservations which
are being raised in the business community
and elsewhere, as he himself agrees is now
taking place, that wisdom would dictate that
the principle of the bill will obviously be
afiPected by the extent and nature of the
amendments which the minister proposes to
introduce or incorporate, and that it is im-
possible for him to resolve the problem of the
immediate passage of that bill with a proper
and adequate public debate in consideration
of this immensely important principle?
Wouldn't the minister consider suggesting to
the House leader that discretion requires that
the bill be not debated tomorrow morning
on second reading but be debated at the point
in time when the ministry has made up its
mind what road it is going to take, having
regard to the public reservations about the
biU?
Hon. Mr. Meen: Mr. Speaker, we appear to
be returning to the question period. To both
those questions I think I would just simply
say no, not at this time.
Mr. Lewis: On a point of order, Mr.
Speaker, I want to say on this point that the
minister is absiu-dly inflexible and that once
again we are traducing the Legislature, be-
cause a debate is necessarily unproductive
when he intends to introduce major changes
by way of amendment, when he as minister
is receiving submissions from the public, when
we as legislators are still receiving submissions
from the public, when he has already indi-
cated to the House that he will provide no
forum for the public and he forces us into a
debate tomorrow morning on the principle
when he himself has indicated that the prin-
ciple may be altered. That's just bloody-
mindedness. It's silly, it's childish and it's
obviously going to be destructive.
Mr. Speaker: Order. Order please.
Mr. Lewis: And Tm tired of that kind of
role.
Mr. Speaker: Order.
Mr. Roy: In fact it's mean.
Mr. Lewis t Even nasty.
POINT OF PRIVILEGE
Mr. C. J. S. Apps (Kingston and the
Islands): Mr. Speaker, in connection with a
statement made by the oflBcial opposition
critic during the budget debate on page 1083
of Hansard he said.
The population of Kingston is dropping by on*
per cent per decade.
1126
ONTARIO LEGISLATURE
I tried to oorrect him at that time with
very little success so I got the proper figures.
The population of Kiagston in 1963 was
50,011. In 1973 it was 59,289, an increase of
18.6 per cent.
Interjection by an hon. member.
Mr. Apps: That is just about as accurate
as his critic's figures were.
Mr. Breithaupt: Check the Financial Post.
Mr. Apps: Mr. Speaker, I find it rather
amazing that the—
Mr. Speaker: Order, please. The hon. mem-
ber is permitted to correct a wrong impres-
sion that has been created but there should
be no further statements.
Mr. Apps: Thank you, Mr. Speaker, other
than the fact that probably the member who
spoke should apologize to the Legislature for
quoting a very inaccurate figure.
Mr. Speaker: I think that is not necessary,
nor is it customary.
Orders of the day.
Clerk of the House: The first order, resum-
ing the adjourned debate on the amendment
to the motion that this House approves in
general the budgetary policy of the govern-
ment.
BUDGET DEBATE
Mr. D. C. MacDonald (York South): I
hope I don't disappoint the new Minister of
Revenue ( Mr. Meen ) too completely, but 111
have some comments on the matter of his
current preoccupation.
Mr. Speaker, the outstanding characteristic
of the budget that was presented to us last
week is one of an illusion of progress with
very littie reality. And that is why my first
reaction was to dub it a streaker's budget—
Hon. A. K. Meen (Minister of Revenue):
Who wrote that?
Mr. MacDonald: —because at first glance
it's attractive but it doesn't stand up to any
closer examination.
The only people still being taken in by this
budget appear to be the government back-
benchers. They were so depressed by the
relentless succession of bad fortune suffered
by their party, some self-inflicted and some
fortuitous, that they can be forgiven their
rather euphoric reaction; but the general pub-
lic has learned from experience to view
critically what this government does and what
it leaves undone.
But it was characteristic, Mr. Speaker, that
the provincial Treasurer (Mr. White) should
bring in this kind of a budget. He is a streaker
by nature, the provincial Treasurer.
An hon. member: Yes, he was bom that
way.
Mr. MacDonald: A streaker by nature. I
repeat, a streaker by nature.
Interjections by hon. members.
Mr. MacDonald: He is the only hoe. mem-
ber in this House— with the possible excep-
tion of the hon. member for High Park (Mr.
Shulman)— who has the necessary combination
of energy, courage and indiscretion to physi-
cally streak through this Legislature; but I
suppose that would be too much of an affront
to the traditions of the House, so instead he
does it by way of the budget.
For a fleeting moment it was smnething of
a dazzling performance. But upon furaier
thought and closer study, I'm not so sure, Mr.
Speaker, but that my reaction was too gen-
erous as far as the provincial Treasurer is
concerned. I have a growing suspicion that
even I was taken in a little.
An hon. member: No.
Mr. MacDonald: You see, Mr. Speaker, I
rather like the provincial Treasurer. He is an
interesting guy.
Interjection by an hon. member.
Mr. MacDonald: He is somewhat offbeat.
He is certainly unpredictable. He has some-
thing more than mere pretensions to intel-
lectualism. In all, he is rather a pleasant relief
to the kind of stuffy atmosphere created by
some of his cabinet colleagues.
But my sober second thoughts, when I had
gotten over this rather kind reaction to the
provincial Treasurer, led m© to the conclusion
that with this budget the provincial Treas-
urer has established himself as the leading
flim-flam artist in Ontario budgetary history.
Interjection by an hon. member,
Mr. MacDonald: I want to spend an hour
or two this afternoon exploring the true rami-
fications of his flim-flamming exercise, other-
wise known as the budget in 1974,
The provincial Treasurer's whole budgetary-
posture, Mr. Speaker, is one of anti-inflation,
because it is tlie thing to do today. It looks
APRIL 18. 1974
1127
well. Unfortunately, the facts beHe his pos-
ture.
The budget of the last Rcbarts year
reached $5.2 billion. During the first four
years of this government's budgets, they have
climbed from $6 billion to |6.5 billion to
$7.3 billion, and this year to $8.3 billion.
It is interestirtg to recall that in the first
100 years of Ontario's history, from 1867 to
1967, we didn't quite reach our first $2 billion
budget; and yet within the first four years of
this government it has added a cool $3 billion
more to the budget.
Those figures give the He to the govern-
ment's contention that they are successfully
restraining expenditures aivd therefore play-
ing their part in checking inflation; one of
the basic argimients advanced by the Premier
(Mr. Davis) many, many times.
In fact, the premise upon which this budget
was built is one of an acceptance of inflation.
The government is living off the profits of
inflation. It even speaks of sharing those
profits with the municipalities. That was a
headline in the budget text.
The net tax increase was nil. Taxes were
cut by $140 million on one hand and in-
creased by $147 million on another; a minor
shift to the hitherto lightly-tapped corporate
and resource sources of revenue to compen-
sate for the government's gesture of greater
tax equity for those who have been carrying
too much of the burden for too long.
It is interesting to note, Mr. Speaker, that
when the BC budget was recently brought
in, Premier Barrett dubbed it the resource
dividend budget. The expansion of services
to the people is being financed by more equit-
able levies on the resources of the province.
Here in Ontario our provincial Treasurer
has brought in an inflation dividend budget,
all the while contending that he is freely en-
gaged in an all out fight against inflation. It
is a flagrant exercise in flim-flamming the
public. Let me take a moment to document it.
IThe haUmark of the 1974 budget is that
we are getting something for nothing. Imagine
that philosophy coming from the Tories-
getting somerthing for nothing.
Hon. J. White (Treasurer, Minister of Eco-
nomics and Intergovernmental Affairs): No
wonder the member smiles when he says that.
Mr. MacDonald: Pardon?
Hon. Mr. White: No wonder the member
is saying those things with a smile.
Mr. J. F. Foulds (Port Arthur): That's be-
cause he likes the Treasurer.
Hon. Mr. White: The member for York
South knows that what he is saying is flim-
flam.
Mr. MacDonald: Do I? Well, the Treasurer
should wait until I have laid all the facts on
the table and then he will be flim-flammed
into silence and perhaps into some effort to
reply substantively.
As I was saying, the hallmaric of the 1974
budget is that we are getting something for
nothing— a kind of philosophy that normally
is condemned on the other side of the Hotise.
For example, transit fares are being frozen;
pensioners are getting GAINS; municipaHties
are being revenue-shared; not to mention the
housing prices stabilized— and we are not
paying anything for it! Tax rates are not be-
ing changed for anybody except the nasty
speculators and foreigners and the resources
corporations, who supposedly are going to be
taJced until they beg for mercy.
True we are spending $1 billion more this
year— a cool billion dollars more— but the
speculation tax, mines taxes and timber royal-
ties only add up to $150 million. Where
does the rest of the money come from? Why
it's collected from that money tree that the
Treasurer keeps in the vault in the Frost
Building, or it's financed out of the public
debt that we don't have.
We don't pay taxes to the "Ontari-ari-ari-o"
government, do we Mr. Speaker? We pay
taxes to the greedy "feds,' and the kindly
provincial Treasurer just gives us more and
more tax credits and labels it on the tax
forms to make certain that he gets the credit.
And just to make sure, Mr. Speaker, that they
don't forget it, next year he is going to bestow
the goodies all by himself and not through
the federal tax system.
Hon. Mr. White: That is not so.
Mr. MacDonald: Now let's take a look.
Let's take a look at how the Province of
Ontario is living off the avails of inflation
and boasting about it in the process. You
would expect that kind of a thing from the
swinging provincial Treasurer.
During 1974 to 1975, Ontario's revenue
increase is forecast at $833 million. That
figure breaks down as follows: 15.7 per cent
is $131 million net from new taxes and
royalties; 48.4 per cent is the $403 million
from inflation and the sales tax, the personal
income tax, the corporation tax and LCBO
profit; 13.14 per cent is $112 million from
non-inflationary expansion of the tax base;
14.2 per cent is $118 million added revenue
from the federal govermnent; and 8.3 per
1128
ONTARIO LEGISLATURE
cent is the $69 million from interest on in-
vestments. Thus it is seen Mr. Speaker, that
the largest component, 48.4 per cent— almost
half of Ontario's new revenue next year— is a
windfall from inflation.
Now, one or two of the components of that
revenue breakdown that I have just given you
deserve a little more comment. It's interest-
ing, for example, that the government doesn't
expect to increase revenues significantly
through inflation in the corporate income.
Even including the $75 million payment from
the federal government to compensate for a
federal tax concession to corporations, the
corporation income tax will yield only $41
million more in 1974 to 1975 than it did in
1973-1974. Part of the explanation, of course,
is the $21 million in tax concessions which
were granted to corporations in this budget.
Also, Mr. Speaker, it is interesting to note
that the LCBO profits of $312 million for the
next year will bring in more revenue than
the combined total of the speculation tax, the
foreign land transfer tax, the mines profits
tax, all the timber royalties and succession
duties. So eat, drink and be merry, for
tomorrow we may have to tax Inco. That's
the kind of approach of the government to-
day.
In the face of these figures, what eflErontery
it is for the provincial Treasm-er to try and
kid the public that his budget is anti-infla-
tionary. Why Mr. Speaker, fltai-flam is almost
too kind a comment.
Mr. J. R. Breithaupt (Kitchener): It's the
La Scala budget
Mr. MacDonald: La Scalal
Let me broaden out beyond the budget for
a moment, Mr. Speaker, to consider related
activities on the part of this administration.
Throughout this session the Davis admin-
istration has sought to create the public image
of an all-out fight against inflation. Thus we
have the Throne Speech, and I quote:
My government will employ all practical
means at its disposal to alleviate the causes
and effects of inflation.
And now in the budget, I quote:
The government of Ontario is willing to
use every practical measure within its con-
stitutional jurisdiction to combat inflation.
Well Mr. Speaker, it simply isn't true. Here
we have the flim-flam artists at their mis-
leading best. Admittedly the government has
done some things to alleviate the efi^ects of
inflation. I shall deal with them in more
detail in a moment. But as for alleviating
the causes of inflation, this government is
guflty of an almost complete cop-out. It at-
tempts to flim-flam the public about using
all practical means at its disposal, "every
practical measure within its constitutional
jurisdiction," but its record in this connection
is virtually blank.
I dealt with this to some extent in an
abbreviated contribution to the Throne Speech
debate. Just let me recap some of the points
I made then, and then I can proceed.
First, since last summer's public furore
over food prices, the government has sought
to create a public image of great concern.
The Minister of Consumer and Conmiercial
Relations (Mr. Clement) has promised, often
in tones of pained belHgerence, that he
would bring in a business practices Act to
prohibit unfair and deceptive practices; give
the courts power to rule on what is an
unconscionable profit; explore cease and de-
sist orders in case of excessive price in-
creases; arm the government with authority
to act against food hoarding, speculating,
profiteering and fraud; and monitor regional
price disparities.
It sounds like a pretty impressive pro-
gramme. But after months of huflBng and
puflSng all we have is part one of a long-
term study. The minister asserts that he can
do nothing until he gets all the facts. And
he stresses how hard it's going to be to get
the facts. All these promises were at least
premature. In reality they were flim-flam, an
illusion of action where there is no action
taking place at all.
In a second area, the Minister of Agricul-
ture and Food (Mr. Stewart) misrepresents
the picture by asserting that all, or at least
most, of the consumer price increases for
food are going back to the farmer. And
heaven knows the farmer needs them after
20 years of depressed prices between 1951
and 1971. Nobody denies that.
But the primary producer represents only
20 per cent of tfie giant food industry. A
growing number of middlemen, ranging from
storage to transportation to processing to
retailing, represent the remaining 80 per
cent.
The food processors, for example, enjoyed
an 81 per cent increase in profits during the
last quarter of 1973, as compared with the
final quarter of 1972. The supermarket re-
tailers enjoy a good return on equity, pub-
licly disguised as only one per cent of the
consumer's dollar; to which is added a
highly wasteful 10 per cent in advertising
and another five per cent in gimmickry
and super-plush quarters, for all of which
the consumer pays.
APRIL 18, 1974
1129
And what does this government do about
these middlemen operations which cut re-
turns to the farmers and boost costs to the
consumers? NothingI
Well that's not quite right. The govern-
ment is never completely passive. While
conceding that they don't really have all the
facts, their spokesmen nevertheless con-
tinuously defend price increases by the
middlemen saying that their costs are going
up too. There's no eflFort to find out whether
the price increases are justified.
For example, the four western provinces,
including the Tory government of Peter
Loughe^ in Alberta, have set up price re-
view machinery to dig out the facts on the
two major farm input costs, namely fertilizer
and machinery. But this government does
nothing. Instead it hosts an exi)ensive fer-
tilizer conference to prove what everybody
knew beforehand, that fertilizer is in short
supply and that the oligopoly of the industry
is capitalizing on the situation with higher
prices. No wonder farm leaders in the OFA,
the NFU and the Christian Farmers' Federa-
tion unanimously dismiss the whole exercise
as a whitewash, as reported on the front-
page news story of Farm and Country.
It is clearly within the constitutional juris-
diction of the province, first to investigate,
and second to control, and where necessary
roll back, prices within the Province of On-
taiio. This is a "practical" means— that word
that the government used in the Throne
Speech and the budget— this is a practical
means of imposing some check on rising
prices; but it is cavalierly dismissed by this
government at every turn.
All of which underlines a third area for
action, a prices review board, either on
isolated commodities such as fertilizer or
farm machinery or across the board.
If there was a will, this government could
smoke out flagrant and unjustified price in-
creases. There is a way to do it, but there is
no will on the part of this government— and
that's our problem.
Mr. I. Deans (Wentworth): They have no
sense of responsibility.
Mr. MacDonald: Why? In addition to
ha\ing no sense of responsibility, their lack
of responsibility springs, I want to suggest,
from their basic philosophy. This government
is so firmly committed to a doctrinaire belief
in the eflBcacy of the free-market operation
that it seeks one excuse after another to
justify its inaction. They are shirking what
is not only a clear constitutional responsi-
bility but an obligation.
As a result, there is nobody to champion
the consumers, except a minister with that
name, who joins the provincial Treasurer as
the gold dust twins of the flim-flam circus.
Well, let me turn— he's smiling; mind you,
he is smiling, Mr. Speaker.
Mr. W. Ferrier (Cochrane South): The Min-
ister of Agriculture and Food is showing
remarkable restraint.
Hon. Mr. White: It isn't easy-
Mr. MacDonald: After that budget and
that calculated deception of the people of
Ontario, I can quite understand why the
minister would feel a little conscience-
stricken.
Hon. Mr. White: No, it isn't easy to smile
while the member is on his feet It is very
difficult.
Mr. MacDonald: However, let me turn to
a final area where the need is perhaps im-
mediately greatest and where 5ie govern-
ment has a mechanism at hand that could
be assigned to the job, and where the Min-
ister of Energy (Mr. McKeough) stubbornly
refuses to do anything about it. I refer to
the prosx>ective hike in energy costs from
crude oil.
In mid-May, so we are told, gasoline costs
will go up 10 cents a gallon, with an equiva-
lent rise for home fuel oil. For every cent in-
crease in the price of gasoline, there will be
$5.60 increase in the cost of living for every
Ontarian on an average, >*iiether mey own a
car or not so to speak.
If the increase is 10 cents, that is a per
capita outlay of $56 a year, or $224 for an
average family of four. This government as-
serts that seven cents of that increase is
justified by the boost in crude oil to $6.50 per
barrel. That represents a cooi $313 million
more from the consumers of Ontario.
Does the government have the facts to con-
firm whether that seven cents is justified? No.
They continue to accept the ofl companies'
self-serving statistics.
Furthermore, experts in Ottawa estimate
that the non-crude increase in cost would be
covered by another half cent per gallon. But
the oil companies propose to cream oflF an
extra 2% cents per gallon when the price goes
up on May 15. That extra 2%-cent unjustified
ripoff represents $14 for each man, woman
and child in the Provii»ce of Ontario, or a
total of $112 million a year— well over one-
haH of the outlay represented by the govern-
ment's much-vaunted anti-inflation measures
in this budget.
What the government puts in one pocket of
the consumer, all the while preening itself as
H30
ONTARIO LEGISLATURE
the champion of the anti-inflation fight, it
stands idly by while the multinational corpor-
ations take it out of the other pocket.
Are there practical means to cope with this,
Mr. Speaker? Is it within the province's con-
stitutional jurisdiction to do anything about
gas and oil prices? Of course it is. As the lead-
er of the New Democratic Party pointed out
earlier in question period, Nova Scotia has
just proven how effective corrective actions
can be.
Mr. D. M. Deacon (York Centre): That's a
good Liberal government.
Mr. MacDonald: Yes, a Liberal government
that is acting out of character for the Liberals.
Show me another one that is doing the same
thing.
Mr. Breithaupt: It's a good Liberal gov-
ernment.
Mr. Ferrier: There aren't many of them
around.
Mr. MacDonald: Does the hon. member
mean that if a Liberal government acts out of
character it becomes a good Liberal govern-
ment? Well, I will reflect on that one tonight.
Mr. Ferrier: There are not many Liberal
governments around these days.
Mr. Deacon: I think there are just as many
as there are NDP governments.
Mr. MacDonald: Down in the Atlantic
Provinces last fall, Mr. Speaker, the Nova
Scotia Legislature extended the powers of
the Board of Commissioners of Public Utilities
to investigate price increases and to impose
a price rollback where the increases were not
justified.
And just last week, following February
hearings, that Nova Scotia provincial board
forced a rollback in prices on Imperial Oil;
even more, reimbursements of the overcharge
to the consumers.
In fact, Mr. Speaker, the age of miracles
isn't over. Earlier this year, in face of an in-
vestigation that was only pending, the Irving
Oil Company voluntarily rolled back one
price increase and reimbursed its consumers.
That Santa Claus role on the part of K. C.
Irving has Maritimers stfll a bit aghast.
Now in the Ontario Energy Board this gov-
ernment has the mechanism for price review
and rollback. All we need to do is what they
did in Nova Scotia; pass the necessary amend-
ment to the Act, as was done last fall, and
grant our Energy Board those powers.
In fact last June the hon. member for Chat-
ham-Kent (Mr. McKeough) reported to the
Premier that this expanded role for the En-
ergy Board should be studied by the energy
secretariat which his report was proposing.
He pointed to the obvious anomaly that nat-
ural gas prices, and now Hydro prices, are
subject to review by the Energy Board; so
why not gasoline and oil prices, why should
they be exempted?
The Premier has made excuses that oil
companies are different. They deal in inter-
provincial and international trade, one of the
1,001 excuses. But insofar as they operate
in Ontario and retail to Ontario consumers,
their prices are subject to our jurisdiction.
Nova Scotia has proven what everybody
knew; everybody, that is, except this govern-
ment.
What does the government do? It simply
ignores the $112 million ripoff scheduled for
commencement on May 15. The Ministry of
Energy now encompasses the energy secre-
tariat which the member for Chatham-Kent
said last June should study this matter. The
member for Chatham-Kent is himself the
minister presiding over that secretariat. But
nothing happens. The silence is deafening.
Ensconced high atop the Sunoco building,
symbolizing the Ministry of Energy's cosy
relationship with the oil companies, in spite
of the odd rather belligerent speech with re-
gard to them, the Minister of Energy sits idly
by while the consumers are being subjected
to another multi-million dollar fleecing.
Well sitting idly by maybe isn't quite
accurate, Mr. Speaker. For the Minister of
Energy never sits. He's a very energetic
person, delivering a speech a day on prob-
lems, domestic and international. In fact what
he has done is to join that chorus of flim-flam
artists posing as champions of anti-inflation
measures while steadfastly refusing to use all
of those practical measures to which other
provinces are now resorting. Meanwhile the
Minister of Energy keeps singing his siren
song. It's the solo effort, highlighting the
continual performance of other Davis flim-
flam artists.
On the one hand he laments the oligopolic
practices of the international oil cartel of the
Middle East, which as the minister says
engaged in the classical monopolistic prac-
tice of creating artificial shortages and then
escalating prices.
But meanwhile he ignores the documented
testimony of congressional investigations in
Washington that these same oil companies in
the Middle East acted in concert with the
APRIL 18, 1974
1131
"Sheiks of Araby" to help boost oil prices, and
therefore their own profits. He chooses to
ignore the operations of those self same oil
companies, Canadian subsidiaries of the inter-
national cartel, operating in precisely the
same manner back here in Canada.
Consider, Mr. Speaker, the testimony of
the chief spokesman for Imperial Oil before
the hearings of the Nova Scotia Board of
Commissioners of Public Utilities as carried
on the front page of the Feb. 16 Globe and
Mail. And I quote:
"Pricing is not a cost-plus formula. We
don't determine in our pricing the cost of
our product, we get what we can from
the tone of the market." The Imperial Oil
spokesman told the hearing that pricing
involves a great deal of judgement. "It's
one of the great mystics of our industry."
It surely is one of the greatest mystics of
their industry. But let me continue; he elab-
orates on the mystic mildly.
At another point he said: "Costs are
only one consideration in pricing policy.
And if they go down that doesnt neces-
sarily mean that the prices of fuel, for
example, will go down. Our ability to move
prices is not our costs. [So spake Imperial
Oil.] We make our price increases funda-
mentally on whether market conditions will
allow us."
In other words, we have been given by the
oil industry here in Canada— subsidiaries of
that international cartel that the Minister of
Energy has spent so much time chastizing—
an updating of that illuminating, refreshingly
frank statement of the late J. S. MacLean of
Canada Packers some years ago when he said:
"We pay the farmers as little as possible and
we charge the consumers as much as the
traflBc will bear. That is business."
Hon. Mr. White: In 1948. I remember it
well.
Mr. MacDonald: In 1948, was it? Maybe
the Treasurer wrote the speech for him.
Interjections by hon. members.
Mr. Deans: It's in keeping with the Treas-
urer's beliefs.
Mr. MacDonald: Quite true, Mr. Speaker.
Mr. Deacon: What did the member do
when he sold his old car and bought a new
one?
Mr. MacDonald: But where are the cham-
pions of the consumers, to protect them
against this open, blatant exploitation? The
Minister of Consumer and Commercial Re-
lations is studying the problem.
Mr. Deans: Does the member for York
Centre believe that is the right way to do
business?
Interjections by hon. members.
Mr. MacDonald: The hon. member for
York Centre can have his speech later. He
can speak later. He should not try to run
interference as though he was back in the
leadership race or something like that.
Mr. Deacon: The aggravation by the NDP
House leader is causing that.
Mr. MacDonald: I was asking where were
the champions of the consumers in Ontario.
The Minister of Consumer and Commercial
Relations is studying that problem and that
can be a life-long pursuit. The Minister of
Agriculture and Food is holding national con-
ferences to document the obvious. The Min-
ister of Energy is high atop the Sunoco build-
ing preparing his next speech—
Hon. W. A. Stewart (Minister of Agricul^
ture and Food): Why not tell us what the
western provinces are going to do about the
report on their investigation into the fertilizer
industry?
Mr. MacDonald: We will find out. They
are in the process of doing it.
Hon. Mr. Stewart: They have had the
report for a month and haven't moved an inch
on it; not an inch. Now let's be reasonable.
Mr. MacDonald: At least they got the
facts out and the minister will find out they
are going to do something about it.
Hon. Mr. Stewart: That is great. We will
wait with bated breath, but not holding our
breath— that wouldn't be safe.
Mr. MacDonald: As I said, the Minister of
Energy is high atop the Sunoco building pre-
paring his next speech for the Chamber of
Commerce in Chatham or Whitby or Kapus-
kasing. And where are the provincial Treasurer,
the Premier, the whole government? They are
handing back a little of the people's own
money to ease the pain and suffering caused
by inflationary prices, while doing nothing to
check the causes of the disease itself. It is as
impressive an array of flim-flam artists as this
province has ever seen.
Well, so much for the government's own
sins of omission. I suppose you can't really be
1132
ONTARIO LEGISLATURE
pinned for sins of omission as eflFectively or
as solidly as the sins of commission, so let's
consider them specifically in this budget.
The simple truth is that the average Ontario
family is worse off because of this budget.
Now that doesn't square with the govern-
ment's efforts at image making, so I would
like to analyse the impact of the average
family to document my conclusions.
There are two identifiable areas of savings
brought on by this budget.
First, there are the tax credits. Despite the
budget claim that the property tax credit will
be doubled from $90 to $180; and that that
"will more than offset the increase in heating
bills for these low-income families and indivi-
duals least able to bear such a cost increase",
changes in this will do little for the average
family— two adults and two children under 16
on the average family income of approxi-
mately $12,000-in Ontario. Table 9 on page
A- 11 shows that such a family will actuaUy
receive total tax credits of $124, an increase
of $18 over the 1973 figure. There is the
average Ontario family. Its tax credits, in
total, go up from $106 to $124.
Second, sales tax exemptions: The average
family will save about $22 in 1974 from the
added exemptions. This is calculated by
dividing the $43 million which the govern-
ment itself expects to lose by the Ontario
population of eight million and multiplying
by four for an average family.
There will be an additional saving to public
transit users of between $30 and $40 for each
daily commuter. This will be limited, how-
ever, to only some residents— some residents,
not all— of six cities. Famihes with no transit
users in those cities and all families living in
other municipalities will have no saving at all.
Let's turn now to expenses brought on by
this budget. Estimated increases in the cost
of heating oil and gasoline may mean an
increase of approximately $185 per family.
On increased beer prices, assuming, I suppose
this is a rash assumption, a case of 24 every
two weeks, that would be an increase—
Hon. Mr. White: That is quite a conserva-
tive assumption.
Mr. MacDonald: Always in criticizing this
government, I err on the conservative side.
That would be an increase of $13 a year per
family, a sizable contribution to the extra
$31 million of LCBO revenue as shown in
the budget.
Finally, municipal governments are ex-
pected to experience a financing deficit of
$182 million, of which the government will
provide only $124 million.
If I may just interject here, Mr. Speaker,
for years the government has been arguing—
Interjection by an hon. member.
Mr. MacDonald: Just listen for a moment—
that the increase in grants to the mimicipalities
exceeded the increases the municipalities were
going to experience so that their mill rates
could come down. The government boasts
about the extent to which they have come
down. Take note di the fact that we've come
to the end of that happy trail. This year in-
augurates, and it was backed up verbally, the
fact that the government is not now going to
cover the whole cost of the increase; it is
going to leave some of it to the municipalities.
In fact, in the coming year the difference of
$58 million will probably mean an increase of
3.2 mills.
Hon, Mr. White: The member is overlook-
ing the tax balance.
Mr. MacDonald: Well-
Mr. F. Laughren (Nickel Belt): No, he has
taken those into account.
Mr. MacDonald: I've taken those into
account in another coimection.
Assuming the tax rate is 100 mills, roughly
the current rate in Metro, the increase on a
house assessed at $5,000 would be $16.
Mr. Speaker, the amount for the increase in
heating oil, the increase in beer, the increase
in the mill rate, totals $214 extra expenses
brought on by this budget. What is the net
result? Tax credit and expanded sales tax
exemptions will mean a saving of $40 for a
family of four living on the average Ontario
family income of $12,000. For those living in
selective cities where the transit subsidy will
be effective the saving could be up to ?80.
However, provisions in the budget regard-
ing fuel, municipal taxation and sundry items
such as LCBO profits will result in further
expenses which will far exceed the savings.
There are other items which mi^t be in-
cluded in both saviiigs and expense categories,
such as the ripple effect of fuel price increases
throughout the economy, but those listed are
the most identifiable. Therefore we come to
this overall conclusion. For those families
benefiting from the transit fare increase, ex-
penses will exceed savings by $134 per family.
That's what this budget costs the average
family in the Province of Ontario.
APRIL 18, 1974
1133
Mr. Deans: Shame.
Mr. MacDonald: And for other families-
Hon. Mr. White: That is absolute non-
sease.
Mr. MacDonald: And for other families
who don't get the public transit, the expenses
will exceed the savings by $174.
In short, Mr. Speaker, the Treasurer has
fiddled around with some taxes. He has
focused some assistance on worthy groups
such as senior citizens but the average On-
tario family is definitely worse oflF and no
amount of flim-flamming can disguise that
fact.
Hon. Mr. White: The meniber is definitely
mistaken.
Mr. MacDonald: EHd the provincial Trea-
surer really have something to say?
Hon. Mr. White: He has carefully over-
looked the increase in per household incomes,
which will approximate 10 per cent
Mr. Deans: What is he talking about?
Hon. Mr. White: I'm talking about—
Mr. Deans: He doesn't even imderstand.
Mr. MacDonald: I'm talking about the
impact of the budget in terms of the greater
expenses and of the benefits it included. I
come up with the figure that for the average
family at least $134 and perhaps $174 more
is what he is going to have to pay. He is
going to be that much worse o£F; and let's
have some challenge of those figures instead
of some irrelevancies such as the Treasurer is
now bringing in.
Now Mr. Speaker, let me consider the one
group, the senior citizens, where the govern-
ment did belatedly move in the buaget to
provide more adequate income. We have
another alphabet soup name— GAINS— On-
tario's guaranteed annual income system.
Mr. Deans: It reflects on dog food. That is
what most of them were eating.
Mr. Foulds: Gainsburgers? Is that where
the Treasm-er got the idea?
Mr. A. Camithers (Durham): More water
for the windmill.
Mr. MacDonald: In several important re-
spects, Mr. Speaker, Ontario's GAINS pro-
gramme is cribbed from the BC income plan.
I notice the minister doesn't deny that. One
can be thankful that Ontario has finally at
least pointed itself in the right directkm. The
provincial Treasurer doesn't publicly admit, of
course, that the BG plan was the source of
Ontario's inspiration or challenee; but I was
interested to learn from the meaia representa-
tives that in the private briefings, ministry
spokesmen were at great pains to trv to con-
vince them that Ontario's paocage of
GAINS— prescription drugs, property tax re-
bate, et all— was actually more generous than
that of BC.
for once it will have to be ad-
mitted, even by the cabinet spokesmen, that
Ontario is just catching up on some other
jurisdiction in Canada and the western world
and the imiverse. For while emulation is the
highest form of praise, there are significant
problems and omissions in Ontario's GAINS.
In the first place, the age of eligibility is 65
while in BC their resource dividend made it
possible for them to lower the age to 60.
Such a change in Ontario would add another
50,000 people to the relatively limited num-
ber of 30,000 who are going to benefit in
the first instance from GAINS.
Secondly, the budget provides only for
income levels that will be raised in the tutiure
to compensate for increased costs of living.
Why this chiselling approach? Why not a
built-in escalator clause, which has become
accepted as the only fair way to maintain
purcnasing power in pensions or things of
this nature? Is the government reserving
piecemeal handouts to be made on the appro-
priate political occasions, say just before the
next election? Is that what they have in
mind?
Thirdly, residency requirements are estab-
lished for GAINS-five years in Canada or
one in Ontario. BC has no such requirement
And what is more important, the Canada
Assistance Plan specifically excludes any fed-
eral sharing in the funding where residency
requirements are imposed. Has Ontario work-
ed out a special deal with the "feds"? Or
is it just a stupid way of cutting Ontario out
of this federal source of funding so that
government spokesmen will have something
more to complain about with Ottawa?
I don't want to sound ungenerous, Mr.
Speaker, in my reaction to the government's
move in the right direction by providing more
adequate income for our senior citizens, but
last December, when we were debating the
$50 Christmas bonus which "Santa Glaus
Davis" handed out-and incidentally that $17
million one-shot present is now going to be
eliminated by or absorbed in the $75 million
spent on GAINS-there was a bewildering
1134
ONTARIO LEGISLATURE
array of excuses from the government side as
to why they could do no more.
They ranged from the fatuous comments
of the hon. member for Algoma (Mr. Gilbert-
son) that the senior citizens didn't want the
bonus and would hand it back; or that their
admiring sons, daughters and grandchildren
would prefer to look after the grandparents;
to the more carefully worded statement of
cabinet spokesmen that it was not in the
government's priorities at that time.
Well, we're glad that it has now come into
the government's list of higher priorities— with
at least a beginning on what is going to be-
come a basic social security measure of the
future. And once again, the NDP has pro-
vided the ideas and the goading to leaven
the stale loaf of so-called Tory compassion.
Well Mr. Speaker, I would like to turn
now to the two areas of tax increases: The
new speculation tax and the land transfer
tax. Clearly, the goverrmient deemed them
to be of major public image-making potential.
First, there is the land speculation tax, and
particularly its influence on housing. I am
not going to go into the kind of detail the
hon. Minister of Revenue was expressing hope
for earlier this afternoon so he can be guided
towards bringing in an effective bill; I think
the appropriate time to deal with that is on
the bill. I want to try to look at it in terms
of the overall impact on policy, and particu-
larly housing policy.
Clearly, the government regarded its 50
per cent land speculation tax as the headline-
grabber of the budget. But I venture the
prediction that it will be the prize example
of flim-flamming in a budget which is replete
with it.
In fact, Mr. Speaker, I was rather inter-
ested to note on the day of the budget, that
among the material distributed to the media
was a picture of a baby with his hands to
his head and his tongue out, screaming,
"Oops" or "Aah." And the cutline was, "Fifty
per cent?!"
Apparently the government and the whiz
kids in the ministry had come to the con-
clusion that this depicted what they deemed
to be the public reaction— one of startled sur-
prise. Imagine, a 50 per cent tax on land
speculation! Imagine it. Well, it's flim-flam,
Mr. Speaker.
The effectiveness of the tax, so the pro-
vincial Treasurer argues, can be judged in
advance by the fact that it will result in only
$25 million of revenue. The argument is that
it's going to be so effective there will be no
speculation, no gains made, and therefore
very little revenue will come in.
Well Mr. Speaker, that's as self-serving a
statement as Ive ever heard. It assumes the
tax will check speculation so effectively that
there won't be revenue. But bear in mind
that most of the major developers have made
about $75 million each in the last year or so.
So the proposition of $25 million coming in
as the whole take from this tax is really
rather picayune.
In fact, there are so many exemptions
granted and so many potential loopholes in
this tax that the limited amount of revenue
will be a measure of its ineffectiveness, not
of its effectiveness.
Mr. M. Cassidy (Ottawa Centre): That's
right.
Mr. MacDonald: The lawyers are going to
have Roman holiday, and the developers will
still be laughing all the way to the bank. In
fact, the ineffectiveness of the new tax is
confirmed by the relative silence with which
it has been accepted by thoise who were sup-
posed to be victimized by it.
Mr. R. Haggerty (Welland South): He is
right on.
Mr. MacDonald: The provincial Treasurer
recognizes its likely ineffectiveness himself. A
number of times since the budget he's re-
vealed his basic concern by blustering away
at the developers. "If these present proposals
don't do the trick," says he, "then the govern-
ment will resort to something else that will do
it."
There is also the question, Mr. Speaker, of
the incidence of the tax. Will' it be passed
on? Of course, it's going to be passed on. Only
a market that is firm enough to resist upward
pressure will stop that tax being passed on,
and the continuing inadequacies of the gov-
ernment's housing programme will keep hous-
ing in such short supply as to keep the market
bullish.
In fact, the exemptions are so wide-ranging
they're almost certain to guarantee that
speculative profits will continue to be built
into land and housing prices.
Undeveloped land and properties on which
the tax would apply will simply not be sold
until some loophole in the Act or its regula-
tions can be found to provide a way out. The
net result will be to slow up development
at a time when the government contends that
the overall objective of its policy is to ac-
celerate development.
APRIL 18, 1974
1135
As for the land transfer tax, on the surface
there does not appear to be as many loop-
holes or exemptions. But when the lawyers
ha\e worked it over, it will be interesting to
see how much of the foreign takeover of
Ontario housing property and land will have
been avoided. Time alone will tell the tale,
so for the moment I'm simply going to reassert
my doubts.
Mr. E. W. Martel (Sudbury East): Why
doesn't the government adopt the select com-
mittee report?
Mr. Camithers: The hon. member always
was a doubtful cuss.
Mr. MacDonald: Right. I was doubtful of
the energy tax last year. And one minute later
the hon. member became doubtful.
Interjections by hon. members.
Mr. MacDonald: The basic problem, Mr.
Speaker, is that what the government is at-
tempting to do in this is to regulate behaviour
by a tax. And quite frankly, there is a wealth
of experience to indicate that is not an eflFec-
tive approach.
As the minister himself confesses, if we
attempt to regulate behaviour by a tax it's
going to take us about two or three years
to be able to build a tax that is effective.
And this is the dilemma that the minister
faces at the present time, of bringing in a
bill in which he is getting advice from all
quarters. He is not going to get a conclHisive
amount of advice so that he can have the best
possible bill. He is just going to rush the
thing through knowing that six months from
now, in the fall or next year, we are going
to revamp it, and hopefully, two or three
years from now, the minister might have
some idea of how a bill could be e£Fective
to regulate behaviour through taxes.
Mr. P. G. Civens (York-Forest HQl): But
he's showing us he's doing something. He's
showing that he's doing something, that's fair
enough.
Mr. MacDonald: Well that's the whole
point, that's the flim-flam.
Mr. Martel: Why doesn't he adopt the
select committee report?
Mr. MacDonald: That's the flim-flam, be-
cause he is not going to be doing it.
Mr. Martel: Why don't those people adopt
the select committee report? The Minister of
Housing (Mr. Handleman) was on it.
Mr. MacDonald: May I tay to the hon.
member for York-Forest Hill, the overall ef-
fect of these taxes will be to consolidate the
speculative profits of the past-
Mr. Cassidy: That's right.
Mr. MacDonald: —into the land and hous-
ing prices, while giving no assurance that
the speculative profits of the future are going
to be checked.
Mr. Cassidy: That's right.
Mr. MacDonald: And that adds up to
nothing— nothing.
Mr. Cassidy: That's right.
Mr. MacDonald: Once again, we are back
to the unbelievable proportions of the flim-
flamming in this budget Here where the
government is presumably coming to grips
with perhaps the most outrageous manifesta-
tion of inflation, it has officially embedded
those speculative profits in today's prices and
it has given no real assurance that those
prices won't continue in the future. All this
from a provincial Treasurer who poses as the
white knight challenging the rampaging
forces of inflation. You know, Mr. Speaker,
it's really quite a joke if it weren't such a
serious matter.
However, let me get back to the important
question of housing policy, which is so
affected by this. Presmnably diese taxes were
simply a means to certain ends, namely the
maximization of property holdings, chiefly
residential property, in Canadian hands.
Interestingly enough neither Comay nor
any of that rapid succession of ministers
responsible for housing gave any attention to
speculators as role players in the housing
crisis. If they did, it was not done publicly.
Suddenly the government has identified
speculators as the bad guys. The next step
is to convince the public that the bad guys
are the cause of the problem; presimiably
that will be done through the new Minister
of Housing, backed by the provincial Treas-
urer and the Minister of Revenue. And hav-
ing convinced the public the speculators arc
a major cause of rapid inflation of housing
prices, the government has now unveiled the
speculation tax as the solution to the prob-
lem.
As I have already suggested, experience is
likely to prove that solution to be ineffective,
and therefore the real bad guy emerges as
this government— this government.
Mr. Foulds: Right on.
Mr. Cassidy: That's right.
1136
ONTARIO LEGISLATURE
Mr. MacDonald: It's the bad guy that has
brought in taxation measures, frankly
accepting and consolidating the scandalous
inflation of the past year, as well as giving
no assurance of it being halted in the ibture.
But even more critical, all the statements
of the new Minister of Housing, vague and
vulnerable as they are, give no assurance
that the overall result will be any significant
increase in the new stock of housing.
Mr. Cassidy: That's right.
Mr. MacDonald Overall housing starts are
down. The government is playing at the
age-old game of housing by headlines and
you can t live in a headline.
Mr. Cassidy: Right on.
Mr. Givens: The Minister of Revenue
should have stayed in bed.
Mr. MacDonald: Since the government has
sat idly by for so long while housing costs
have zoomed beyond the reach of an ever-
growing majority of our people, it is left
with only one alternative, a massive-
Mr. Martel: Resign!
Mr. MacDonald: Well yes, I suppose on
second thought-
Mr. Martel: Resignl
Mr. MacDonald: —on second thought,
that's better. But for the moment I was
going to be constructive on the policy point
of view.
What this government has got to do is to
move into a massive public housing pro-
gramme such as it has never even dreamed
of considering in the past. Only in that way
is it going to be able to take the upward
pressure oflF the housing market.
For example, it's significant to note that
in 1971, again the last year for which we
have figures, the Ontario Housing Corp.
owned only 0.65 per cent— less than one per
cent— of the province's housing stock, and
rented only 5.13 per cent of it. Compare
that, for example, with the situation which
has traditionally existed in Europe. More
than 25 per cent of Britain's housing stock
is rented from local public housing au-
thorities. In fact that is a low estimate of
the total government involvement, since it
covers only public housing and in addition
there is government assistance for co-op and
other kinds of housing authorities.
In other words, added to whatever this gov-
ernment may do by way of encouraging the
private sector, this govenmient should set
itself the target of building from 25 to 40 per
cent of the housing stock of this province
through the OHC. Olily in this way can hous-
ing be re-geared to income because it has
gotten away beyond income for the majority
of our people. Only in this way can the
market be cooled' suflBciently to dampen the
fires of inflation.
An hon. member: Right on.
Mr. MacDonald: The time has come, Mr.
Spedcer, to quit boasting that the OHC has
a larger housing stock than all the other
provinces put together. That may be true,
but it is irrelevant and it does nothing either
to acknowledge or to meet a need! that is
growing greater every day.
Now, let me turn to the second' tax where
the government has felt that it had reial poten-
tial for image making, namely the new re-
sources taxes.
Following the budget, the newspaper headi-
hnes spoke of "heavy new taxes on the
mining industry." Well, let's get this picture
back into perspective, back in' touch with
reality.
The new mining revenue is forecast at a
mere $50 million. That means, with this
added contribution of the mining industry, as
a percentage of total provindal revenues,
their share will rise from 1.1 per cent last
year to 1.6 per cent this year.
(This government has traditionally kept the
profits of mining companies shrouded in
secrecy. It's all part of their cosy relationship
with the industry. But Ontario s production
represents 44 per cent of our national out-
put and on the relatively safe assumption that
Ontario's mining profits would be at least 44
per cent of the total, the figure! of $425
million for Ontario can be ded'uced from the
Statistics Canada information'.
But that figure, Mr. Speaker, is for 1970-
the last year tor which statistics are available.
Let's remind ourselves that the provincial
Treasurer reports that Ontario's revenues from
the mines profits tax doubled in the past year
from $20 million to $45 million, and one can,
therefore, assiune that Ontario's mining profits
have gone up from $425 million in 1970 to
about $900 million- in 1973.
Thus it is seen that Ontario's mines profits
tax revenues represent approximately five per
cent of the industry's actual profits. And since
the revenues for 1974 are forecast at $88
million, that will be approximately 10 per
cent of the total profits, assuming that they
hold at the 1973 level.
So the government, despite its boost of
doubhng the tax on mines, is still getting only
APRIL 18, 1974
1137
an estimated 10 per cent of the profits een-
erated in the Province of Ontario. Well let's
fet that into perspective, Mr. Speaker. Just
ow light that tax burden is can be judged
by comparisons with other industries reported
in the taxation statistics of Statistics Canada.
The 1970 figures revealed that the taxable
income of the metal mining industry was only
23.5 per cent of its book profits before taxes.
The taxable income of mineral fuels was even
worse, only 3.1 per cent of book profits-
something the Minister of Energy should bear
in mind.
By comparison, manufacturing has a tax-
able income of 64.3 per cent of book profits,
and the wholesale and the retail trade about
84 per cent of book profits. Mining was only
23.5. No wonder that the Globe and Mail in
its lead editorial of April 3 designated the
mining industry as, and I quote: "an in-
creasingly likely candidate for a greater share
of the tax burden." And it added that while
"the provinces with NDP governments have
moved first and farthest" in correcting this
situation, all governments whatever their
ideology are going to be forced to move in
the same direction.
Of course, in general terms there is nothing
new in this. It is the NDP's familiar corporate
ripofF theme in the tax fields. Nowhere is it
more flagrant than in the resources indus-
tries. The point that shouldn't be missed in
Ontario's moves in this year's budget is that
that ripoJff continues with only marginal reme-
diation. The government has taken a little
here in taxes, but granted a little there, so
that the burden is only marginally greater.
For example, the exemption levels have
been doubled in mining from $50,000 to
$100,000. This simply means a tax saving to
small companies with profits just under $100,-
000 or 15 per cent of the added $50,000
exemption. In other words, a tax-saving of
about $7,500.
For example, while there has been a dis-
allowance of the deductions of resources
taxes in cal^culatkig income taxes and an
end to the three-year holiday for new mines
and a repeal of the mine and mill allow-
ances in computing capital taxes, this has
been significantly compensated for by an ex-
tension of the accelerated depreciation privi-
leges.
This raises the whole question of the gov-
ernment opting for a mines profits tax rather
than royalties, arguing that the profits tax is
fairer because it takes into account the ex-
penses in extracting ore and consequently
does not encourage the mining of high-grade
But mining companies are allowed so many
deductions from income by mining assessors,
who are given a great deal of discretion under
the Act, that their taxable income is a pale
shadow of their operating profits. So the
higher rates are applied to a very narrow
base, and for that reason they produce only
$50 million in revenue.
We contend that a profits base is a poor
measure as long as companies are allowed
to deduct expenses, such as exploration and
development, generous depreciation of assets,
depletion allowances, and so on. In providing
such a write-off^ for exploration and develop-
ment, the public is really paying the com-
panies to find the minerals and then they ex-
ploit them at very lighUy taxed profits.
The mining companies can hardly plead
inability to pay. A recent Globe and Mail
survey, for example, showed that metal mines
profits in the fourth quarter of 1973 were up
358 per cent over the same period for 1972;
for the entire year they were up 237 per cent
over 1972.
But the government's main rationale, Mr.
Speaker, for further tax concessions, not only
to the mining companies but to all corpora-
tions, is that risk investment in exploration
and development must be increased.
But would these higher taxes on the mining
industry mean less exploration? Not neces-
sarily. When we permit the companies to
make excess profits we have no guarantee that
they will invest them in exploration in On-
tario. They may invest them in a variety of
other businesses, such as Noranda has done,
and become a great conglomerate. They may
invest abroad. In 1973 Noranda spent only 47
per cent of its exploration money in Canada;
23 per cent in Australia, 17 per cent in the
USA and 13 per cent in other countries.
Inco reported that exploration expenditures
were made in Canada, USA, Australia, New
Zealand and the Philippines; and Falcon-
bridge reported exploration expenditures in
Canada, Australia, South America, Norway
and South Africa.
The real question is whether we give the
exploration money to the companies through
tax concessions and let them end up con-
trolling the reserves, to be capped and de-
veloped at their pleasure; or whether we
take the same money in taxes and be sure
that it is invested in Ontario. Then the people
of Ontario will have control of the new-
found reserves and can exploit them through
a public corporation, or let the existing com-
panies exploit them on a public utility basis,
that is earn a normal rate of return for the
undertaking of the work of development.
1138
ONTARIO LEGISLATURE
In fact, the validity of this approach is im-
plicity conceded by the government itself in
its announced intention to develop a Crown
corporation to engage in exploration and de-
velopment. If the higher taxes make it less
attractive for the private sector to continue
operating in this province, they will them-
selves clarify the role for the public corpo-
ration to step in where they drop out. In
short, events are inexorably forcing even this
Tory government to adopt, piecemeal, the
philosophy of the NDP. It is so basic and so
increasingly important that I want to restate
our approach, Mr. Speaker.
The NDP believes the natural resources
of Ontario are rightfully the property of the
people of Ontario.
Mr. Cassidy: Right on.
Mr. MacDonald: Our objective is to obtain
full economic rent from these resources for
the people. Economic rent is the value of the
resources. We have let the companies walk
off with most of it in the past.
The rate and the nature of resource devel-
opment should be determined by the people
of Ontario and be tied in with our overall
industrial strategy.
What would an NDP government do?
Briefly this:
1. Take a more active role in exploration,
development, processing, refining and distribu-
tion of our mineral resources through resource
development Crown corporations;
2. Insist that the private sector in the min-
eral industry must conduct its activities more
consistently with overall social and economic
objectives;
3. Increase resource taxation to gain the
full economic rent; substitute a production tax
averaging 15 per cent from the mines* profits
and add a tax on reserves in the ground.
These measures would bring in as much as
$400 million a year instead <rf the $88 million
now expected from the mines' profits tax-
Mr. Cassidy: That is where we shoidd be
getting our revenue.
Mr. MacDonald: Going on:
4. In addition, obtain windfall profits result-
ing from scarcity, and enhance value of our
natural resources through a tax based on price
increases above a certain basic level;
5. Regain ownership of all our resources
and mineral rights through a combination of
taxation and purchase;
6. Increase processing of resources in On-
tario; exemptions have been granted for ex-
port in such profusion that they have made a
mockery of the existing legislation; only half
of Ontario's ores are processed in Canada;
7. Develop secondary industries, based on
Ontario's resources, located as close to the
resources as feasible-
Mr. Foulds: Hear, hear.
Mr. Martel: Hear, hear.
Mr. MacDonald: I expected an echo of
approval from the north on that.
Mr. Foulds: Absolutely right.
Mr. MacDonald: Finally:
8. Provide compensation for individuals
with small shareholdings in resource com-
panies who are adversely aflFected by the
implementation of these policies.
Well, that is something of an initial re-
action with regard to the resources industry,
and I need not warn the hon. members in
advance that I know many of my colleagues
will be folloAving through.
I want now to deal briefly with one change
which the government didn't make, namely,
dropping the sales tax on buflding materials.
For years the removal of the sales tax on
building materials has always been on the
political agenda. But at the moment, Mr.
Speaker, the situation has really become a bit
ridiculous. In Ottawa, the opposition Tories
are demanding that it should be removed,
while the governing Liberals resist. In To-
ronto, the opposition Liberals are demanding
that it be removed, while the governing Tories
resist.
The time has come when this perennial
issue should be treated as something more
than just a political ploy.
Quite frankly, the NDP has never been a
very enthusiastic proponent of the sales tax
removal from building materials as the
Liberals and Conservatives have been. The
reasons, I suspect, are precisely those which
lead Liberals and Conservatives to retain it
when they are in jwwer, even though they
continue to urge its removal when they are in
the opposition.
Briefly put, those reasons are that the sales
tax removal is likely to benefit the builder
or developer without any reduction being
passed on to the ultimate purchaser of the
property.
Mr. Deans: I agree.
Mr. MacDonald: Now, if old-party govern-
ments had been willing to develop effective
APRIL 18, 1974
1139
mechanisms for isolating price components,
for example in a new home, there might be
some assurance that the sales tax could be
passed on to the ultimate homeowner. But
old-party governments have traditionally re-
sisted the establishment of any kind of prices
review board.
If the sales tax on building materials were
removed today, as federal PC leader Robert
Stanfield demanded again as late as last
Friday, the benefit would certainly go to some
middleman.
There are ways in which the objective of
reducing costs for homeowners might be
achieved. Let me suggest a couple.
First, the sales tax on building materials
could be removed on small purchases of mate-
rials, say any purchase imder $100, to help
people undertalcing home improvements.
Secondly, it could be covered' by a rebate
applied for direcdy by the purchaser of a new
home. This would avoid windfall profits go-
ing to builders and developers and not being
passed on to the ultimate home purchaser.
Under these circumstances it would be pos-
sible, and I suggest desirable, that the rebate
be limited to nomes below a certain value,
thereby fulfilling the government's objective,
with rebates and tax credits, of channelling
assistance to those whose need is greatest. It
would also ensure that relief did not go to
commercial and industrial buildings as would
happen if the tax were simply removed com-
pletely.
'The provincial Treasurer has estimated that
sales tax on building materials is generating
approximately $190 million in the Province
or Ontario. If it were removed only for build-
ing improvement purposes, bought in limited
quantities as I have suggested, or for new
homes of modest values, I suspect the loss to
the provincial Treasury would be limited to
no more than 10 or 15 per cent of the total
building materials sales tax revenue— in other
words no more than $25 million to $30
million. That, I suggest, might well be a
worthy contribution to reducing costs for
homeowners and the encouragement of home
ownership.
Certainly such a procedure would also
avoid the encouragement of unnecessary eco-
nomic activity at a time when federal fiscal
polic>'' has just boosted central bank rates to
the highest in history in order, so the shapers
of fiscal policy hope, to dampen the raging
fires of inflation.
(While on the budget itself, Mr. Speaker, I
want to deal, with a final comment, with the
government's stance with regard to the pubh'c
debt. During the past year, the provincial
Treasurer boasts, he has reduced the out-
standing public debt bv $225 million and
during the coming year he expects to reduce
it by another $449 million. It all sounds very
impressive. The public is left, and deliberately
so, with the image that the government is
living within its income.
<Yet during the coming year the provincial
Treasurer forecasts that expenditures will ex-
ceed revenues by some $708 million. In the
budgetary tables it is noted that during the
year the net debt of the province will jump
from $2.94 billion to $3.56 billion-in other
words frcwn under $3 billion to over $3.5
billion— representing a per capita increase
from $366.14 to $437.31.
What sort of a magician have we got in
our provincial Treasurer that he can be re-
ducing public debt while increasing the net
or per capita debt in this spectacular fashion?
Actually, nowhere in the budget is the pro-
vincial Treasurer engaged in a more calcu-
lated flim-flamming exercise than in his mis-
leading boast regarding the debt. The expla-
nation as to what is happening, of course, is a
simple one to be found in the distinction be-
tween public debt bonded on the open market
and internal debt financed from captive pen-
sion plans like the CPP, the teachers' super-
annuation fund and OMERS.
iTo illustrate: Over the next year the gov-
ernment will spend beyond its revenues to
the extent of $708 million. In days gone by
that would have been designated as a deficit
of $708 million, but during the coming year
the government will benefit from a cash flow
from captive pension funds to the extent of
$1,044,000,000. Thus he contends that he will
have surplus cash to the amount of $336
million with which he will reduce the out-
standing public debt. He intends to add an-
other $113 million by reducing cash balances
—liquid reserves— and thereby arrives at his
objective of public debt reduction of $449
million during 1974-1975.
All of this, Mr. Speaker, may have some
merit. If the interest paid on public debt
is higher than that paid on pension funds,
the public Treasury will benefit; except, let
us note, that that simply means the public
pensions are going to be subsidizing the
public debt to some extent, as well as under-
writing it. There could also be beneficial
eff^ects on the money market, since those re-
paid may turn around and lend it to others-
such as municipalities.
However, Mr. Speaker, it is highly mis-
leading for the provincial Treasurer to talk
about a total target for debt reduction of $449
mfllion, when he himself forecasts that the
1140
ONTARIO LEGISLATURE
overall debt picture is going to be up by
$625 million— about the amount of the bud-
getary deficit. All the provincial Treasurer is
doing is switching some of his debt from the
public bondholders to pension fund con-
tributors.
In short, the people of Ontario, more di-
rectly through their Canada Pension contri-
butions or their contributions as teachers or
municipal employees, are now underwriting
a growing proportion of Ontario's public debt.
And since they are doing it at an interest
rate below the current bond market, it is time
the government were frank with the people
of Ontario. But being frank with the people
of Ontario isn't the objective of the flim-flam
artists who now make up the Davis govern-
ment.
So, Mr. Speaker, the budget has been pre-
sented as a very rosy document; what the
government deemed to be a sunshine budget
after last year's rather stormy budget. But
much of the sunshine is mere glitter— almost
the false glitter of fool's gold. It was cer-
tainly designed to provide a bright picture;
and if nobody else, it captured the govern-
ment members. As I indicated earlier, they
were so relieved after the last two years, so
much in need of a euphoric boost, that most
of them haven't come down off cloud nine
yet. But along with the budget's false glitter,
buried in the accompanying papers, there is
the provincial Treasurer's own sober economic
forecast for the coming year; and once again
it tarnishes the budget image somewhat.
For example, appendix C of the budget
statement has a number of facts. The Treas-
urer paints a gloomy picture for 1974:
1. A real growth rate of only five per cent,
compared to 7.2 per cent in 1973.
2. The unemployment rate rising to 4.5
per cent from 4.1 per cent in 1973.
3. Employment rising at only 3.1 per cent,
compared to 4.6 per cent in 1973.
4. The labour force continuing to grow
at almost the same rate as last year; Ontario
has one of the highest rates in Canada.
5. The consumer price index for Canada
could rise 10 per cent or more. It rose 7.6
per cent in 1973.
Now despite these ominous clouds on the
horizon, the provincial Treasurer has no pro-
gramme in his budget for increasing jobs. He
anticipates there will be 21,000 more people
unemployed in Ontario in 1974 than in 1973,
but his budget has no compassion for them.
His peroration on page 27 was an empty
boast. The measures proposed in the 1974
budget befit a strong and compassionate prov-
ince.
And when you turn to corporation profits,
Mr. Speaker, there is a very interesting thing.
The Treasurer forecasts an increase in cor-
poration profits before taxes of only seven
per cent in 1974, after an increase of 36 per
cent in 1973 and 20 per cent in 1972.
Mr. Martel: He nearly went bankrupt in
1973.
Mr. MacDonald: Now while it may be
difficult for the corporations to keep up the
fantastic rate of profit increase that was
registered in 1973, few analysts are as low
as seven per cent in their forecasts of profit
gains for 1974; but there is no sign of an
excess profits tax.
Maybe that's the reason for this excessive-
ly low calculation. There's no sign of an
excess profits tax in the budget to syphon off
windfall profits which the oil companies and
other corporations are obtaining from the
present inflation. The increased rates of
mines profits tax may appear to be such,
but it is well known, as I've already pointed
out, that the mines are able to deduct so
many things from their operating profits be-
fore arriving at taxable profits that there's
nothing left to apply the higher rates to.
Forty per cent of nothing is still nothing.
On housing, as mentioned elsewhere in
the budget comments, the Treasiu-er is pre-
dicting no increase in housing starts. It's in-
teresting that the Minister of Housing should
be attempting to contradict that public ix)s-
ture now. The Treasiurer is predicting no
increase in housing starts and only a nine
per cent increase in residential construction
compared to 16 per cent in non-residential.
With soaring prices in rents this hardly seems
a compassionate approach to home seekers.
Finally in terms of the economic outlook
is the overall stance that the govenmient is
taking. The Treasurer calls it "a neutral
economic impact budget." Members will find
that on page 24. He does so on the ground
that his expenditures are going up not much
faster than the gross provincial product. But
he predicts GPP growth for 1974 at only
13 per cent; so he's taking more of the total
product, and considerably more if he spends
the $200 million for escarpment and park-
way land acquisition which is not included.
If included, it would raise his expenditure
increase to 16.9 per cent.
It's not a neutral budget. It's an in-
flationary budget. That's the whole theme,
the whole documentation which I have at-
tempted to put on the record this afternoon.
APRIL 18, 1974
1141
And moreover, he is not compensating the
local government for the full amount of their
anticipated shortfall. Mill rates are going to
continue to go up.
In short, Mr. Speaker, it's not the kind of
budget which would draw support from this
side of the House. Of course, it couldn't
It's for that reason that I'd hke to try to
put on the record in summary, in addition
to what has already been done by the
Liberal Party, a subamendment indicating
our disappointment.
sources and its exhibition of naJvety in
assuming that a $I25-million return from
close to $2 billion production in the mining
industry is a fair share for the owners of
those resources;
7. The government's substitution of largely
ineffective land taxes for real action In ac-
quiring and servicing development land and
bringing down prices of lots.
Hon. Mr. Winkler moves the adjournment
of the debate.
Hon. Mr. White: Any volunteers to second Motion agreed to.
it?
Mr. MacDonald: What was that comment?
Hon. Mr. White: Any volunteers?
Mr. Breitbaupt: He's got lots of volun-
teers.
Mr. FouJds: More than the Treasurer had
Ikst year. .
Mr. Deans: Actually he had volunteers
from the Toiy party to second it but we
turned them down.
Mr. MacDonald moves that the amendment
moved by the hon. member for Kitchener be
itself amended by adding the following: And
this House further regrets:
1. The government's failure to pass back
to consumers more than a tiny fraction of the
huge revenue gains in sales tax and income
tax resulting from inflation;
2. The government's failure to protect On-
tario families from the serious effects of in-
flation by increasing the supply of houses,
cutting gasoline taxes and establishing price
and rent review boards with power to re-
quire rollbatks when justified;
3. The government's failure to recognize the
plight of the 60 to 65 age group many of
whom are imable to find work and are forced
to live on minimal fixed incomes but are
denied eligibility for GAINS and the free
prescription drug progranmie;
4. The government's failure to increase
grants to northern municipalities by an
amount whdch would adequately compensate
them for the increased cost of services in
northern areas and their lack of flnflticjlfll re-
sources to meet these needs;
5. The government's failure to impose an
excess profits tax on corporations which are
obtaining windfall profits from world scar-
cities and the consequent enhanced value
of their products;
6. The government's failure to obtain for
the people of Ontario full "economic rent"
from the exploitation of their natural re-
Clerk of the House: The 10th order; House
in committee of supply.
ESTIMATES MINISTRY OF
CORRECTIONAL SERVICES
(concluded)
On vote 1402:
Mr. D. M. Deacon (York Centre): In con-
nection with the matter of community services
for adults, some of those who have served
their time and are on parole are faced with
serious problems when they try to get em-
ployment and the employment requires bond-
ing. We brought this matter up before and I
find there is still difficulty in getting bonding
on someone who has served time.
I was wondering if the ministry would not
consider setting up its own bonding service
to offset the problem or in some way back
up these fellows so they can get employment.
There are so many jobs where bonding is re-
quired and it really restricts the opportimities
for them and it impedes their getting back
into the stream of activities that can assure
they will stay on the right track. Can the
minister comment on that?
Hon. R. T. Potter (Minister of Correctional
Services): Mr. Chairman, the probation and
parole services of the ministry have establish-
ed and maintained contact with an insurance
company, the Norwich Union Insurance Co.
in Toronto, whereby ex-inmates of Ontario
correctional institutions may be considered for
bonding. There is a procedure which we go
through; if you like I will read it to you.
First of all when applying for a bond an
ex-inmate must have employment confirmed in
which bonding is required. Our staff contact
the bonding company presendy covering the
employee and discuss the possibility of obtain-
ing a bond. If the employee's bonding com-
pany rejects the application then an applica-
1142
ONTARIO LEGISLATURE
tion is made to Norwich Union and an inter-
view with the apphcant is then arranged.
Our staff accompanies the apphcant for the
interview and they share information regard-
ing the ex-inmate's background with the in-
surance company; this is done of course with
the consent of the ex-inmate. In most cases
when we offer to share background informa-
tion about the individual of this nature and
make positive recommendations we find the
bonding company will usually accept the ap-
plication and grant the bond.
There is a programme set up in co-oper-
ation with the federal Solicitor General's de-
partment, the John Howard Society and other
private aftercare agencies, and the Insiu"ance
Bureau ol^ Canada where almost 90 per cent
of applications have been accepted for bond-
ing.
It is important to point out that even in the
private sector everyone is not accepted, so
that there will be refusals but at the present
time I think it's working quite favourably
there. The assistance is there. We have the
arrangement with the Norwich Union Insur-
ance Co. and, as I pointed out, 90 per cent
are being accepted, I think.
Mr. Deacon: Is the percentage being
accepted similar to that being accepted out-
side this programme, just normal applications?
Hon. Mr. Potter: Right. That's it.
Mr. Deacon: What percentage is being re-
jected?
Hon. Mr. Potter: I can't give you the exact
percentage. I think it's a little higher than
what has been accepted in the private sector.
Mr. Deacon: That speaks very well for it.
Mr. Chairman: The member for Hamilton
Centre.
Mr. N. Davison (Hamilton Centre): Mr.
Chairman, through you to the minister, could
you tell me the percentage of girls at Vanier
Institute who are out on temporary pro-
grammes?
Hon. Mr. Potter: The percentage or the
numbers?
Mr. Davison: Pardon?
Interjection by an hon. member.
Hon. Mr. Potter: You mean to date? This
goes on, as you know, from week to week.
The numbers vary.
Mr. Davison: Could you tell me how many
were out last year?
Hon. Mr. Potter: Yes, I can get it for you.
Mr. Chairman: Does the minister mean at
a later time?
Hon. Mr. Potter: I think I have it right
here, as a matter of fact. I'll give it to you
in a few minutes if you will wait.
Mr. Chairman: Anything further?
Mr. Davison: Well-
Mr. Chairman: Yes, the member for Hamil-
ton Centre.
Mn Davison: Could you tell me how many ]
men in the last year were on temporary
absence programmes?
Hon. Mr. Potter: I have the information i
here as of last week, for instance. \
Mr. Chairman, as from April 1, 1973, to \
the end of January, 1974— would- that be
sufficient for you?
Under the temporary absence programme ^
application system, as of April 1, 1973, there '
were 101 academic applications received; 42 :
were activated; five were revoked. Seven \
were paroled by the Ontario Parole Board, '
six by the National Parole Board and the
sentences of 31 had expired. Programmes
completed; five of them completed the pro- i
gramme prior to their release. \
Under the vocational programme, there !
were 137 applications received; 63 were ap- ]
proved; seven were withdrawn; seven were
revoked; 13 were paroled by the Ontario j
Parole Board; and seven by the National j
Parole Board; 33 were discharged because of \
expiration of their sentences. One completed
the programme before expiration of his sen- !
tence and there are 21 presently active. \
One thousand and six applications were i
made for temporary absence for employment !
of which 494 were activated; 34 of these were i
paroled by the Ontario Parole Board; 31 by I
the National Parole Board; 361 finished their
sentences and were discharged; 12 completed ':.
the programme prior to release and 84 were ]
active in the programme at the end of Janu- ]
ary this year. \
So if we go into the totals, there were ]
11,239 applications received, 5,767 were ap- h
proved, 141 withdrawn, 93 revoked and the |
others were finished. Can I send you a copy I
of this perhaps? |
APRIL 18, 1974
114S
Mr. Davison: I wonder if you could tell me
how many people were in our institutions at
that time these 5,000 were approved.
Hon. Mr. Potter: I can't tell you the num-
ber. I will have to get that information. I
will see that you get it though. It is changing
daily, as you know, but I will get the infor-
mation for you and get it to you.
Mr. Chairman: The member for Welling-
ton South.
Mr. H. Worton (Wellington South): Mr.
Chairman, I would like to get some more
advice from the minister in regard to the
future operation of the abattoir at the Guelph
correctional centre.
Going back some years ago, Mr. Minister,
the member for Kent (Mr. Spence) and I
received considerable criticism from the pack-
ing industry about the money that was being
expended on the new abattoir that was built.
And, of course, now it's the intention to turn
it over to private industry to try and provide
more jobs for the inmates after their release
and to provide more jobs in the industry.
But one thing has kind of concerned me,
Mr. Minister. I want to say that your deputy,
along with his assistants, sent a man up to
explain the programme to me and to try and
show the benefits that would accrue from
doing this, but I would just like to be satis-
fied that your department has done every-
thing possible to say, "Here, can we hire a
man of our own or is there somebody on the
staff there who can expand this industry
without having to bring in outsiders to do
itr
It <:eems to me that it has bf>en in opera-
tion for many years and I think that if you
would say, "Well, we'll hire the ripht type of
man who knows how to expand this opera-
tion, who can get the best work nossible
out of the inmates" and so on, it would avoid
bringing private industry into it. I think that
they were very critical of the abattoir when
it was built. A number of the packing firms
thought we were overdoing it in spending
money, although little did they realize that
people in these institutions had to be pro-
vided with some type of occupation. I would
iust like to be satisfied that everything has
been done to try to provide a successful
operation without having to go outside.
I would also like to be assured that the
people who have been providing the institu-
tion with hogs and cattle are going to have
this market maintained. I have a feeling that
once a large firm gets in there, they are
going to start centralizing their buying and
this is going to be done away with, and that
was one of the issues, going bade 20 years,
why this was maintained.
They were going to do away with it at
one time but it provided a local market to
farmers as far away as Stratford and the
Guelph area. I would like to have some
assurance that this is going to be maintained
and that everything possible has been done
to try and provide local staff who would make
it a successful operation. I understand that
thev are handling about 60 head of cattle
and 60 hogs now and I would like to know
how many you feel they can turn out. No
doubt you have a larger market with the
number of institutions that are tmder your
control, through the Ministry of Health, but
I would like to know just how much you
hope to expand this.
You have assured us in your speech that
the staff is going to be maintained and that
the inmates are going to be paid a salary
comparable with those working in the in-
dustry, but I would like to know if there is
going to be a difference between the ones
who are teaching the job and the ones who
are getting paid to do the work. Who is
going to be penalized in this business? The
staff that's working there now, or the in-
mates?
Hon. Mr. Potter: Mr. Chairman, as I
pointed out before, the reason for doing this
is that we want to increase the potential of
the plant. We want to give more irunates an
opportunity of being employed in the plant
and making some money for themselves.
It is not a question of turning the plant
over to an industry. It is a question of rent-
ing the facilities to an industry and having
them run it. The industry will make a com-
mitment to hire inmates on their release in
some of their other plants. It is our hope
that we will not only double but we will
perhaps triple the output.
As far as the suppliers are concerned, they
are going to be asked to supply more cattle
to the institution than they are today, so I
don't think they need to have any worry in
that area at all. We are asking them to
increase production and. of course, increased
production, as I said before, means increased
employment for the inmates. As I mentioned
in my introductory remarks, while the firm
that will get the contract will be actually
running the plant, we will insist on certain
procedures as they relate to hiring and to
pay and other things.
When you talk about the payment that the
inmates get as compared to the payment for
1144
ONTARIO LEGISLATURE
supervision, it's the same in any industry
isn't it? The better the job you have— straw
bosses, supervisors, section foremen and so on
—as you go up the ladder the pay increases,
so I would expect that we would find the
same situation here.
I have given you all the assurance I can
that we will insist that those presently em-
ployed at the institution will continue to be
employed. I can only tell you that this is our
intention and that we will certainly see that
it is d^ne.
Mr. Worton: Well, what I am getting at
though is comparable rates to the industry—
we'll say some of the packing firms. I dcna't
know whether the industry rates are not some-
what higher than those of the staff on full-
time pay if you are going to give comparable
rates.
Hon. Mr. Potter: Again, Mr. Chairman,
through you, if we are going to have com-
parable rates and if there is a differential
then obviously it is going to have to be
maintained too, isn't it?
Mr. Worton: As long as you do it, that's
fine.
Hon. Mr. Potter: I see what you are
suggesting. There is no way in the world that
you can say we will allow the wages to be
of such a nature that the supervisory staff are
getting less than the men who are employed.
Mr. Worton: I am worried about it.
Hon. Mr. Potter: Well don't. We'll get in
on that one.
Mr. Chairman: Anything further on vote
1402?
Mr. Worton: Are you sure that the pack-
ing firm which is going to receive this tender
is not going to take it out of a pool rather
than the individual farmers, as is the case
now?
Hon. Mr. Potter: As I said earlier, Mr.
Chairman, we are asking for proposals and
before any tender is accepted we will build
into the tender what we want done.
Mr. Worton: All right. Fair enough.
Mr. Chairman: The member for Kent.
Mr. J. P. Spence (Kent): Mr. Chairman,
may I ask the minister, why wouldn't you
operate this abattoir yourselves? I would say
that you are big enough and I woidd say
that you are the most qualified to expand this
business instead of rent it out to private
industry.
Hon. Mr. Potter: Mr. Chairman, we have
been running the plant as you have said. I
spoke the other day about inviting A'arious
types of industries to come in and offer pro-
posals so we might provide greater job oppor-
tunities and training opportunities for these
people in the institutions.
This is strictly an experiment. Perhaps we
will find after we tried it that it is not going
to be as successful as we hope it is. If it
isn't we certainly won't continue it. But I
think it is worth a try to show what can be
done in this sector and if it is as successful
as we think it is going to be, why, we have
great hopes for it.
Mr. Chairman: The member for WindsOT-
Walkerville.
Mr. B. Newman (Windsor-Walkerville) : Mr.
Chairman, I wanted to ask of the minister if
the ministry funds organizations that are in-
volved in work before the individual gets
into serious diflBculty.
'I specifically make mention of a group
known as the Crossroads Human Growth
Community back in the Essex county area,
not the city area, who attempt to provide a
total living environment for adolescent, drug-
abusing, problem youth to enable them to
establish a satisfying, productive, non-drug-
dependent lifestyle.
If something is not done for these people
at that stage, you know where they are go-
ing to end up several years later if the drug
itself doesn't actually kill the individual or
put him into one of our institutions.
Would it not be of some \alue to your
department, Mr. Minister, to maybe do a
httie work before the individual is actually
put into one of your institutions rather than
waiting for him to be placed, if you can
see an organization or an association can
accomplish some meaningful work in pre-
vention rather than working after the results
are known?
Hon. Mr. Potter: As in health, Mr. Chair-
man, there is a terrific amount of work
remaining to be done in preventive aspects.
As far as my ministry is concerned, we are
only involved with individuals after they
are committed to one of our institutions. We
are not involved at all in some of tlie pro-
grammes that you have been describing.
I would think that these would come under
the Ministry of Community and Social Ser-
vices, but I agree it is an area that we sliould
take a good look at.
Mr. B. Newman: Mr. Chairman, I want to
ask the minister if the department assists,
APRIL 18. 1974
1145
either financially or with other resources,
organizations that attempt to help in cases
where the husband or wife is in an institu-
tion and the members of their family or
relatives involved band together to try to
communicate with their relatives in the in-
stitutions and in that way probably assist
in rehabilitating them. One of the organiza-
tions is known as Wives and Families of
Offenders. I can recall attending several of
their meetings in the dty of Windsor. They
planned trips to the various institutions
where the husband or son or daughter of
the individual happened to be detained. I
think the work they did was extremely worth-
while because it hurried the release and the
rehabilitation of the son, daughter or loved
one.
Hon. Mr. Potter: Mr. Chairman, we don't
allocate any funds to these organizations. As
I mentioned earlier in my comments, we have
over 2,000 volunteers who are assisting, par-
ticularly from the Junior League, the John
Howard Society, the Elizabeth Fry Society
and so on, but we don't actually fund any
of the organizations that the member is
describing.
Mr. Chairman: Shall vote 1402 carry?
Vote 1402 agreed to.
On vote 1403:
Mr. Chairman: Vote 1403, rehabilitation
of juveniles programme.
Mrs. M. Campbell (St. George): On vote
1403 I would like to make some general re-
marks and to ask some general questions on
this particular matter.
First of all, on the question of this whole
juvenile programme, could the minister
advise us now as to whether further con-
sideration has been given to the transfer
of this programme from the Ministry of
Correctional Services to the Ministry of Com-
munity and Social Services?
I feel that there is a great deal to be
done in the whole area of rehabilitation.
Perhaps the $13 million which we would
then have from the federal government
could be used for this purpose. And it might
be more effective than it seems to me it
is now.
I would like to hear what the minister
can tell us now about the experience of the
Oakville assessment centre, particularly hav-
ing in mind the statement in the Throne
Speech that indicates there is a policy that
these young people shall be in training
schools closer to home.
I would like to know whether that is now
an absolute policy or whether any con-
sideration can be given to giving juveniles
the opportunity for new experiences, par-
ticularly outside of major urban centres, so
that they could perhaps break away from
some of the lifestyle that they have had
established.
I would like to have the answer on the
basis of whether or not such a polic>' would
be proposed for the benefit of the diild or
for the benefit of the parents.
Finally, at this stage, I would like to
know to what extent this ministry is goine
to enlarge the programme of probationaT
services where we will have persons >*^o
can communicate with the parents of these
young people, as probation officers must do
if they are going to do the total job, in die
language of the parents.
As you know there are great gaps in this
service. I understand that your predecessor
was concerned about it, particularly in
Toronto. I would like to know whether there
is a policy or whether it will continue on an
ad hoc basis as pressure may be applied from
communities to involve the various ethnic
groups in the probation services, other than
as volunteers.
Hon. Mr. Potter: Mr. Chairman^ concern-
ing the first question as it relates to transfer
to Community and Social Services, in my
comments when I introduced my estimate, I
si)oke about section 8. I don't think the mem-
ber for St. George was here. I referred to one
aspect of the Training Schools Act, which is
a very contentious issue— as a matter of fact,
she and I have spoken about this before—
under which children who haven't committed
any crime are committed to an institution.
Around 43 or 45 per cent of children com-
ing into our institutions come in under section
8. I feel very strongly about this, as do many
of my colleagues. We're taking a look at it
now to be sure. There has always been the
argument that if you don't do it this way,
what's going to happen to them because
there is nothing set up under any other
ministry or any other section bv which they
can be dealt with? We just don't accept that.
We are now exploring ways to make sure
that these children can be looked after. I
think they can be, quite adequately. If the
agencies that are responsible for that toda>'
aren't prepared to look after them, then per-
haps we should make some changes there.
I'm hopeful that we will be able to bring in
the recommendation that section 8 be re-
moved from the Act. At the present time,
we're looking at it very, very carefully.
1146
ONTARIO LEGISLATURE
As far as funding is concerned, again it is
the same thing that we were running into in
the Health Ministry with funding on many of
our programmes. We don't get any cost-
sharing here with this, but we have been
assured by the federal government that by the
end of this year they will make arrangements
that we will get funding to assist in this pro-
gramme.
The member spoke about the Oakville
Training Centre. Details haven't been finalized
but we are going along with the regionaliza-
tion that we spoke about before. It is being
developed. Our intention at the present time
is to keep the child as near home as possible,
whenever it is possible. There are times when
it just isn't possible to keep a child in his
own environment. It is our intention to ex-
amine the role of the Oakville centre at the
present time as part of our regionalization
studies to see how eflFective it is. We are
now in the process of doing this.
We're concerned, too, about expansion of
our parole system and our parole oflBcers. At
the present time, we have one Portuguese-
speaking individual to whom we have offered
a position as a probation and aftercare
officer-
Mrs. Campbell: I think I might have had
something to do with that.
Hon. Mr. Potter: —I think probably you
did— and we are hopeful that we'll be able to
expand this. I believe at the present time he
has a commitment until June with another
organization. Again, you are probably more
familiar with this than I am, but we are
hopeful that he will accept this position and
that will be a beginning, and then we will be
able to get people working with our ministry
who can talk their own language, so to
speak, and not just interpret.
Mrs. Campbell: Excuse me. May I have a
supplementary?
I am still concerned, and I would like the
minister to elaborate, on this matter of
keeping the child in a facility close to his or
her home as an absolute principle. I think
there are many cases when this is quite
proper and quite correct, but I believe that
there are equally so many cases where the
child is in deep trouble because of the home
environment or because of the school environ-
ment, that is, the children with whom he
comes in contact, particularly if he is a
member of an ethnic group. Sometimes, be-
cause they are lonely, they have a gap
between them and their parents, they are
seeking to have some communication with
school mates and they get into some pretty
serious problems because of it. But when you
spoke I was concerned that you seemed to
be saying that this was a principle. I would
like to see some flexibility in that sitution if
the minister would comment.
Hon. Mr. Potter: No, that is not an abso-
lute policy, Mr. Chairman. We too agree. I
couldn't agree with you more wholeheartedly.
But in many, many instances we try to ac-
commodate people if we can, and if they
want them in their own area, and we consider
it is in their best interests if they go there,
then we try to do it. We aren't always able
to do that but we try to.
On the other hand, as you have just pointed
out, there are equally as many cases where
it's in the child's best interests not to put
them in their local environment. Then, by the
same token, we attempt then to try to put
them in an area that is best suited to them
and try to put them where the training is of
the nature that is best suited to their specific
Mrs. Campbell: Thank you.
Mr. Chairman: The member for Windsor-
Walkerville.
Mr. B. Newman: Mr. Chairman, I want to
encourage the minister— in follow-up to a
question of my colleague— in the use of more
and more people who are familiar with more
than just the English language, who can
speak Polish, Ukrainian, Hungarian— you name :
it. In certain communities, for example in the i
Toronto area, the Italian community is ex- ;
tremely strong, and I think the probation offi- <
cers wherever possible should have the ability |
to be able to converse in more than just the
one language, because it is a real asset in the
whote approach to rehabilitation. .
One of the problems really is communica- '
tion, and if you have someone who can com- '
municate with an individual in his native
tongue, you know how much easier it is. I
find myself very fortunate in being able to
speak almost half a dozen different languages, !
and as a result I can communicate with '
people that you, Mr. Minister, might have \
difficulty with. I think it would be to the |
advantage of the ministry if, where possible, ;
they do employ people who are multilingual; j
not that they should be multilingual, but j
wherever possible employ mutilingual as
opposed to unilingual people. ■*
Hon. Mr. Potter: Yes, Mr. Chairman, I \
mentioned a few minutes ago the Portu- \
APRIL 18, 1974
1147
guese officer. We also have one Italian pro-
baticiu officer and we have one German, One
of the problems that we have run into is the
standards that are required by the Civil
Service Commission, and just recently the
Civil Service Commission agreed that it would
lower some of its qualifications as they relate
to immigrant applicants.
I would go a step further, with all due re-
spect, and suggest that it is not just a multi-
lingual probation officer that we require. I
think it's fine to have someone who can
speak their language, but I think it's much
better if it's one of their own countrymen
who they can relate to. I think they can re-
late to them much easier.
If I could speak Portuguese and talk to
them they're not going to pay as much at-
tention to me as they are to one of their own
countrymen. They can sit down and talk, not
about their own problem here, but some of
their own family problems, living conditions,
conditions in Portugal and so forth.
Mr. B. Newman: What you say, Mr. Min-
ister, is absolutely true and it would be ideal
if we could come along and get that type of
individual. I know it's difficult in many cases.
I notice that the Toronto police depart-
ment now is looking at the various ethnic
groups in the community. They know that
the individual, such as you made mention of,
a countryman, is always on a better com-
municative level than is someone who can
simply speak the language as a result of
university training, or high school training,
or even as a result of asociation with the vari-
ous ethnic communities.
I think the civil service may have to look
at that as an added requirement. I don't
think we should downgrade the qualifications
of the individual, but I think that, where all
things are equal and the individual is con-
versant in more than one language, there
should be some type of preference in that
area.
Mr. I. Deans (Wentworth). May I just
say a word about this? I can appreciate the
point being made by the members, about hav-
ing people whose ethnic background will al-
low them to communicate with others. But
surely the answer isn't to have this great
number of people in every ministry that deals
with people— Community and Social Services,
Health, Correctional Services and so on. In
other words, you can't hire people in every
ministry to do that. What the government
has to do is to have a policy whereby there
are ethnic centres in every major community
and the ethnic centres have within them
people who speak the language and who
have an ethnic background, who can be used
by any of the ministries in communicating
with people of an ethnic origin, the first
generation ethnic people.
I'm really reluctant to see the sort of build-
up of bureaucracy that would occur if every
ministry had to hire people all of different
ethnic tongues. I think what should be done
is that there should be a coming together of
all the ministers under the Proviricial Sec-
retary for Social Development (Mrs. Birch),
and each major conmiunity should have with-
in it a centre where there are people avail-
able who would not only speak the language
but understand the ethnic backgrounds of
the community itself, so that the Correctional
Services Ministry, or the Community and
Social Services Ministry, or the Health Min-
istry, or any other ministry that deals pri-
marily with the affairs and problems of peo-
ple, could call upon that centre and have a
person made available to them who could
communicate and who could develop a re-
lationship.
I don't happen to think that the aftercare
work is so specialized. I think it's very much
a problem of the abihty to communicate, a
feeling of people for people. I think there is—
Mrs. Campbell: It is specialized work.
Mr. Deans: I don't know. I've done a little
bit of it, too, and I want to tell you that I
don't think it's any more specialized than in
Community and Social Services dealing with
the breakup of a home and trying to come
to grips with the emotional and background
problems that arise in that kind of a situa-
tion. I think that there could well be some
setup whereby there would be people avail-
able, without having each ministry burgeon-
ing to the point where there would be far
too many civil servants in a bureaucracy we
couldn't afford.
Hon. Mr. Potter: Mr. Chairman, I agree
with the hon. member that the type of facility
he's speaking about would be a wonderful
thing for information purposes. But we're
dealing with two different things here.
I just can't accept that we're talking about
the same thing when we're talking about how
practical it would be for aftercare and super-
vision of probationers. I think this is a very,
very important aspect of Correctional Ser-
vices, and I'm sure the member for St. George
can perhaps give us some of her views on
this, because she has been very, very actively
involved in it.
1148
ONTARIO LEGISLATURE
But when we're talking about employing
probation oflBcers of various ethnic back-
grounds, let us remember that this isn't going
to be in every community, in every city in
Ontario, because it's not necessary. But there
are areas, particularly in the large metropoli-
tan areas, where there is a need— in fact, there
is a great need— for a probation oflBcer in this
specific case.
Mr. Deans: In every single major munic-
ipality there is a need.
Hon. Mr. Potter: No, I can't agree with
that; there isn't.
Mr. Deans: In Windsor there is a need;
in Hamilton there is a need; in Toronto there
is a need-
Mr. Chairman: The hon. member for St.
George.
Mr. Deans: —in Sudbury there is a need,
because there are large ethnic communities
there.
Mr. Chairman: Order, please.
Mrs. Campbell: Mr. Chairman, I sym-
pathize with what has been said. I am not
one who supports a large bureaucracy, but
when it comes to the matter of probation
services— and I must confess that on the
whole my experience with probation services
was far more satisfactory than my experience
with aftercare. I think they were two dif-
ferent things. The quality of concern also
was different in the two. And I hope that
in aftercare we will perhaps improve that
element.
Speaking of specific cases in terms of
aftercare programmes, it was very interesting
for me to note how many time a boy, for
example, would be in trouble because of
having too much time on his hands. The
aftercare worker wasn't concerned, for ex-
ample, about the boy not being in school or
not having any kind of a programme. In one
specific case he knew the boy was spending
his time at large in the community without
any kind of schedule and presumably would
and in fact did get into further trouble.
On the matter of probation services,
though— and I can't answer at all as to the
caseload of probation oflRcers, although I
know the Italian probation officers are very
busy— I can't see how we could give other
functions to most of them in the way in
which it has been suggested, otherwise they
would not perform the function which is of
primary importance between the child and
the family and the child and the community.
The other matter I want to speak to is
what the minister said about section 8 appli-
cations. The minister knows this is a matter of
the gravest concern to anyone functioning in
the family court. But I was a little puzzled
by his remarks: "If the organization can't
look after them then we must change the
organizations." That, I understand, is what
he said.
I would like to point out that the Chil-
dren's Aid Societies, for example, are of the
first line in this kind of a situation; and it is
only when they, plus the parents or the
guardians, come forward and say they are
totally unable to look after this child and
there is in fact no other facility in the com-
munity that can look after this child, that a
judge, very reluctantly and with the gravest
sense that it is a lack of facility of this
government as an alternative, may and does,
as the minister suggests, place a child in a
training school.
Of course, there are all sorts of other
things. Sometimes a child is too young to be
guilty of an offence but may be quite a
danger to the community. I can remember one
seven-year-old arsonist; it is a littie difficult
to know how to handle a situation like that
with no alternative facilities.
The position of the Children's Aid Societies,
with their group homes— and they have great
trouble with group homes in trying to get
staff— their position often is, can they afford
to take this one child in and perhaps lose the
advantage of the work we have been able to
do with eight or nine othersi in the same
facility? I would not like to stand here or to
sit here and have the impression abroad that
the Children's Aid are somehow at fault if
they cannot handle all of these children. I
would hope that there would be greater
facilities than we presently have for children
of this kind who are deeply disturbed'.
I would like to hear the minister— if I madfe
a mistake in what he said, of course I would
apologize for it, but if that is what he said
I would like him to tell me in what way the
Children's Aid should be able to function in
these areas where they are not already func-
tioning.
Thank you, Mr. Chairman.
Hon. Mr. Potter: Mr. Chairman, in my
opening comments I said that we were ex-
ploring the abolition of section 8.
Mrs. Campbell: Yes.
Hon. Mr. Potter: We certainly have no
intention of recommending that it be abolished
unless we are convinced that alternative
APRIL 18, 1974
1149
arrangements can be made to look after these
chiklren. I wasn't referring to any specific
group or any specific society when I said
they were unable to look after them. What I
am saying is that as a society ourselves if we
are unable to look after them we have to find
some better way of doing it. I want to make
sure that that is arranged before we start
saying let's abohsh this section.
Mr. Chairman: Is vote 1403 carried?
Vote 1403 agreed to.
Mr. Chairman: This completes the study of
the estimates of the Ministry of Correctional
Services.
Hon. Mr. Winkler moves the conmiittee
rise and report.
Motion agreed to.
The House resumed;
chair.
Mr, Speaker in the
Mr. Chairman: Mr. Speaker, the committee
of supply begs to report it has come to certain
resolutions and asks for leave to sit again.
Report agreed to.
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): Mr. Speaker, before
I adjourn the House for the day, I would like
to say as previously armounced tfiat tomorrow
and through Monday we wall be dealing with
items No. 9, 8 and 6 on the order paper in
that order.
Mr. I. Deans (Wentworth): Mr. Speaker, I
wonder if, before the adjournment motion is
Sut, I mav ask the House leader whether he
oesn't think that, since the Minister of
Revenue (Mr. Meens) has indicated there will
be substantial amendment to at least one of
the bills he has cane<l, we shouldn't debate
the principle of the bill until after we see the
amendments? In fact, the principle of the bill
may well be considerably different after it
has been amended in committee if the amend-
ments are as substantial as the minister has
indicated they will be.
I'm not suggesting for a momerrt that we
not proceed but I do think that if there are
to be amendments of the type indicated or if
they are likely to be forthcoming, for us to
continue with the debate on the principle of
the bill, not knowing what the principle itself
may well turn out to be, is not in keeping
with the rules of the House.
Hon. Mr. Winkler: Mr. Speaker, I am quite
sure the fears of the hon. member will be
allayed. I think in calling the legislation as I
have called it, bringing Bill 26 forth first, we
may well solve that problem before we reach
the second order.
Hon. Mr. Winkler moves the adjournment
of the House.
Motion agreed to.
The House adjourned at 5:10 o'clock, p.m.
1150 ONTARIO LEGISLATURE
CONTENTS
Thursday, April 18, 1974
Replacement for Don Jail, questions of Mr. Potter: Mr. R. F. Nixon, Mr. Lewis 1111
Intermediate capacity transit system, questions of Mr. Rhodes: Mr. R. F. Nixon,
Mr. Cassidy, Mr. Breithaupt, Mr. Givens 1112
Rent control, questions of Mr. Handleman: Mr. R. F. Nixon, Mr. Deans, Mr. Renwick,
Mr. Singer 1113
Warranty on new homes, questions of Mr. Clement: Mr. R. F. Nixon, Mr. Deans 1114
Oil prices, questions of Mr. Davis: Mr. Lewis 1115
Increase in price of milk, questions of Mr. Davis: Mr. Lewis 1115
Inquiry into hospital employees' remuneration, questions of Mr. Davis: Mr. Lewis,
Mr. Roy 1116
Housing programmes, questions of Mr. Handleman: Mr. Lewis, Mr. Singer 1117
OHC advertising, question of Mr. Handleman: Mr. R. F. Nixon 1118
Independent sawmill operators, questions of Mr. Bemier: Mr. Reid 1119
Mechanical fitness certificates for cars, questions of Mr. Clement: Mr. Young, Mr. Roy 1119
GO train to Georgetown, questions of Mr. Rhodes: Mr. MacBeth 1120
Train journey in western Ontario, questions of Mr. Davis and Mr. Winkler: Mr, Sargent 1121
Report on Lake Wanapitei, questions of Mr. W. Newman: Mr. Martel 1121
Bill 25, questions of Mr. Davis: Mr. Singer 1122
Hiring of liquor store employees, questions of Mr. Clement: Mr. Shulman 1123
Pyramid sales schemes, questions of Mr. Clement: Mr. Roy 1123
Report, standing private bills committee, Mr. Taylor 1124
Report, Ontario Highway Transport Board, Mr. Rhodes 1124
Tabling answer to question 3 on order paper, Mr. Winkler 1124
Unlawful Funds Investment Act, bill intituled, Mr. Shulman, firet reading 1124
Resumption of the debate on the Budget, Mr. MacDonald 1128
Motion to adjourn debate, Mr. Winkler, agreed to 1141
Estimates, Ministry of Correctional Services, Mr. Potter, concluded 1141
Motion to adjourn, Mr. Winkler, agreed to 1149
No. 27
Ontario
iLesisilature of ([Ontario
OFFICIAL REPORT — DAILY EDITION
Fourth Session of the Twenty-Ninth Legislature
Friday, April 19, 1974
Speaker: Honourable Allan Edward Reuter
Clerk: Roderick Lewis, QC
THE QUEEN'S PRINTER
PARLIAMENT BUILDINGS, TORONTO
1974
10
Price per session, $10.00. Address, Clerk of the House, Parliament Bldgs., Toronto
CONTENTS
( Daily index of proceedings appears at back of this issue. )
1153
LEGISLATIVE ASSEMBLY OF ONTARIO
The House met at 10 o'clock, a.m.
Prayers.
F^uDAY, April 19, 1074
in the standing orders that requires a ques-
tion be answered in one way or another. It
may be answered but it need not be
answered.
POINT OF ORDER
Mr. M. Shulman (High Park): Mr. Speaker,
on a point of order. Yesterday the govern-
ment-
Mr. Speaker: I hardly see how it can be a
point of order at this moment. The proceed-
ings haven't started— nothing is out of order.
It may be a point of privilege.
Mr. Shulman: It refers to yesterday's
proceedings, sir.
Mr. Speaker: Was the hon. member present
when the alleged breach of order occurred?
Mr. Shulman: Yes, sir.
Mr. Speaker: It should have been brought
up at that time.
Mr. Shulman: I couldn't; I didn't know it
was occurring. The government House
leader yesterday said he was giving the
answer to question 3 on the order paper. I
presumed he was giving the answer. How
could I know he wasn't? That is the point
of order I would like to raise.
The information he supplied was not the
information requested. The information re-
quested which referred to certain dates has
still not been supplied, and the question is off
the order paper.
Mr. S. Lewis (Scarborough West): Well,
that's just outrageous, Mr. Speaker.
Interjection by an hon. member.
Mr. Lewis: Well, let the minister supply
the right information. He shouldn't be a patsy
to his colleagues.
Mr. Speaker: I should point out that any
question, whether it be oral or whether it
be written, may be answered in whatever
manner the hon. minister to whom the ques-
tion was directed sees fit. There is nc^iing
POINT OF PRIVILEGE
Mr. E. Sargent (Grey-Bruce): A point of
privilege, Mr. Speaker.
I have been trying to get information from
the Provincial Auditor both on the amount
of moneys being paid to Robert Macaulay
who has been retained at $75 an hour to
the Minister of Energy (Mr. McKeough) and
on other matters of equal importance in the
public interest and the Provincial Auditor
refuses to give me any information. His posi-
tion is that the information should be re-
quested in the form of a question to the
ministry or in the public accounts committee.
Mr. Speaker, the simple facts are that the
public accoimts committee has information
18 months old and the ministry will not give
information if it is embarrassing, but will
cover it up. So I'm trying to get across this
position. If we are going to do a meaningful
job here, on behalf of the taxpayers of On-
tario, in weeding out these inequities and
what is going on, then we must have access
to this information.
The fact is that these public ser\'ants know
this information; I am not allowed to know
it but they know it. I, as an elected oflBcial,
have a right to that information and I think
it is time that we resolve this, immediately,
because the job we are doing is not meaning-
ful if this is allowed to be continued. So I
ask you, Mr. Speaker, to weigh this ques-
tion that the Provincial Auditor must furnish
this information to us, each hon. member of
the House.
Mr. Speaker: I should comment upon the
remarks of the hon. member. First of all I
believe he did rise in reference to what he
alleged was a point of privilege. Privilege,
of course, is a right conferred upon a mem-
ber of Parliament or the hon. members of
Parliament collectively, which right or
privilege is not conferred upon the members
of the general public. The hon. member per-
1154
ONTARIO LEGISLATURE
haps has a vaUd complaint, but certainly it is
not a point of privilege as referred to in the
parliamentary rules.
He has made his point and I think that
it should be pursued, but certainly it is not,
in my opinion, a point of privilege. It can be
pursued to determine just whether or not
the hon. member has the right to this in-
formation, but it is not a parhamentary
pri\'ilege to which he referred, therefore
there is no action which can be taken on my
part. As far as the Speaker is concerned, I
can in no way impel the auditor or anyone
else to divulge information. There are other
means by which the hon. member may
pursue this.
POINT OF ORDER
Mr. P. G. Givens (York-Forest Hill): Mr.
Speaker, I would like to raise a point of order,
since you entertained the previous point of
order. I have asked a number of my col-
leagues on all sides of the House and I get
different answers. I would like to know, sir,
when ministers reply with written answers—
when ordinarily they would be expected to
reply in the House to oral questions and their
answers would be the soul of brevity— gener-
ally when they prepare written replies they
come out about six times longer than they
should. Do you in fact, Mr. Speaker, stop the
clock with respect to these replies, having to
do with the time allotted for the oral ques-
tion period, or do you not? May I have an
authoritative answer, please?
Mr. Speaker: The hon. member is asking
for an authoritative answer. The only
authority is the Speaker, because there is
nothing in the standing orders which stipu-
lates what shall or shall not be done in certain
circumstances. I believe the hon. member has
observed the custom and the practice in the
House and he has a copy of the standing
orders. There is a 45-minute period provided
for oral questions, and a reasonable number
of supplementaries may be directed to the
minister. Again, this is left at the discretion
of the Speaker to determine what is a reason-
able number of questions. In that respect I
do have to consider the nature of the question
in the first place, the importance of the ques-
tion, whether or not two or three or four or
five supplementaries are in order.
Regarding the time taken to provide an
answer by the hon. minister, I have worked
out a programme where if I feel that the
question has constituted something that would
more properly have been a ministerial state-
ment, then I have added two or three or four
minutes to the question period time. I might
say to the hon. members that in my opinion,
two or 2\^ minutes would be a reasonable
length of time, at the most, in which to pro-
vide an answer to any question. If it goes
beyond that then I do add one or two or
three minutes to the question period time. I
trust that answers the hon. member.
POINT OF ORDER
Mr. V. M. Singer (Downsview): Mr.
Speaker, since this seems to be order time
rather than question time, let me raise a
point of order too. This morning, as I under-
stand it, we are going to continue, at the
appropriate time, wdth the estimates of the
Ministry of the Attorney General. At the same
time, the House leader has indicated to us
that perhaps he is going to call second read-
ing of the two taxing bills which stand on the
order paper. This places a very substantial
burden on many hon. members of this House
who would like to take part in both of the
debates and I appeal to you, Mr. Speaker,
perhaps to suggest to the House leader that
he might be able to order the business of the
House so that those who are interested in
both of these events might be able to take
part in them at different times.
Mr. Speaker: I am sure that the hon.
member for Downsview doesn't really believe
that I should direct, in any way, the House
leader as to the order of business-
Mr. Singer: I did not ask you to direct
him.
Mr. Speaker: I beheve that the hon. mem-
ber for Dovmsview intended only to get his
point across to the House, which he has done.
In no way can I direct the hon. House leader
what we will do.
Mr. A. J. Roy (Ottawa East): Somebody
should.
Hon. W. D. McKeough (Minister of
Energy): Mr. Speaker, on a further point of
order, I only heard part of the question asked
of you, sir, by the hon. member for Grey-
Bruce, but I would suggest that if he puts
that question on the onler paper it will be
answered.
Mr. Sargent: I didn't hear that.
Hon. Mr. McKeough: I would suggest that
if the hon. member is concerned about cer-
tain expenditures and if he puts a question
on the order paper, it will be answered.
APRIL 19. 1974
1155
Mr. Sargent: Doesn't the minister know the
answer himself without me putting the ques-
tion on the order paper?
Mr: Speaker: Order, please.
Mr. Lewis: Mr. Speaker, I have a point <rf
view I want to raise with you.
Interjections by hon. members.
Hon. W. G. Davis (Premier): That's un-
usual.
Hon. E. A. Winkler (Chairman, Manage-
[ ment Board of Cabinet): How is the hon.
I member going to put it forward?
Mr. Lewis: In one of the galleries, east or
west, there are politics students from Wex-
ford Collegiate, many of whom reside in my
riding, and I'd hke to introduce them to the
House.
Mr. Speaker: From that point of view, it's
perfectly in order.
Mr. Lewis: Thank you.
Mr. Speaker: Statements by the ministry.
Oral questions.
The hon. member for Kitchener.
AD IN GLOBE AND MAIL
Mr. J. R. Breithaupt (Kitchener): Mr.
Speaker, a question of the Minister of Rev-
enue: Can the minister advise as to the cost
of the full-page advertisement in this morn-
ing's Globe and Mail and whether, in addi-
tion, item 10 is correct when it says: "On-
tario will reduce its outstanding public debt
to a target figure of $449 million utilizing
cash flow surplus and excessive liquid re-
serves"?
Mr. Sargent: Misleading the public.
Hon. A. K. Meen (Minister of Revenue):
Mr. Speaker, I have not seen that advertise-
ment. I'll get the information for the hon.
member.
Mr. Sargent: The minister okayed the ad,
didn't he?
OFFICE FURNISHING STANDARDS
Mr. Breithaupt: A question of the Minister
of Government Services: Following the in-
fonnation in his ministry's supply standards
catalogue, can the minister justify for me
the requirements of the basic entitlement of
ministers of the government to have, amone
other things, a double-pedestal desk valued
up to $950 and ashtrays of $15 each, for a
possible total of some $6,673, in their par-
ticular offices? Can he advise me as well how
he can justify that cost for a desk, when in
Grand and 'Toy's present catalogue the most
expensive desk they sell is priced at $565
and even that one is on sale at $318?
Mr. T. P. Rcid (Rainy River): His father-
in-law sells them.
Hon. J. W. Snow (Minister of Go\emment
Services): Well, Mr. Speaker, the supply stan-
dards catalogue specifies certain classes of
furniture, with which I'm sure the hon. mem-
ber is familiar, for different offices. We also
have standards as to space for different types
of accommodation, whether it be an office
for a minister, a deputy minister or an execu-
tive director.
Mr. Singer: He didn't read the X-rated
catalogue.
Hon. Mr. Snow: These standards that have
been developed are certainly maximums. I
don't believe any of the ministers that I know
of have had any more elaborate desks than
would be anticipated. These are maximum
standards that have been approved by Man-
agement Board and they are the standards
that we live with.
Mr. Breithaupt: As an additional question,
Mr. Speaker, to go further into this rug-
ranking problem, can the minister justify how
a government secretary, again according to
this manual, is entitled to some $239 wOTth
of office amenities while a ministerial private
secretary is entitled to $1,943, eight times as
much?
Interjections by hon. members.
Hon. Mr. Snow: Well, again, these stan-
dards are set up. The normal secretarial
furniture that the government uses is stan-
dard steel furniture. Normally, furniture for
ministerial secretarial offices is wood furni-
ture. This makes some of the difference. It is
normally of a design that blends with the
other furniture in the office.
Mr. Lewis: It is a matter of blend, is it?
Mr. D. M. Deacon (York Centre): Supple-
mentary: Do the prices that have been indi-
cated by my colleague reflect the benefits
and the savings that accnie to taxpayers by
centralized purchasing in this province? Why
can't the government show any evidence of
1156
ONTARIO LEGISLATURE
economy and consciousness of inflationary
costs in the way of operating this?
Hon. Mr. Snow: Mr. Speaker, these supply
catalogues have not been changed. There
have been no inflationaTy increases built in.
This furniture is—
Interjections by bon. members.
Hon. Mr. Snow: Does the hon. member
want an answer or doesn't he? If his col-
leagues would quit shouting-
Mr. Reid: We would like an answer.
Hon. Mr. Snow: I can assure the hon.
member that all of this furniture is bought
by public tender and is bought under the
bulk purchasing system of a larger order put
together, and the tenders are called on this
at varying intervals.
All our furniture is publicly tendered
through the central purchasing system and is
bought for all ministries under the bulk
system. When we buy filing cabinets, we
don't go out to Grand and Toy, as the hon.
member may be suggesting, and buy one
filing cabinet at retail price.
Mr. E. R. Good (Waterloo North): It
would be a lot cheaper if they did.
Hon. Mr. Snow: We call tenders on the
supply of the necessary filing cabinets that
we need or anticipate that we will need in
one year. Then as the requirements come up,
these materials, whether they be filing cab-
inets, whether they be typewriters or whether
they be wastepaper baskets, are supphed
against oiu: overall purchasing contract for
that commodity.
Mr. Deacon: A further supplementary, Mr.
Speaker: Would the minister not agree that
the specifications for this equipment should
be reviewed, because it's obvious that the
prices are completely out of line to what's
appropriate?
Hon. Mr. Snow: No, I would not agree at
all with that, Mr. Speaker.
Mr. Breithaupt: I have another question of
the same minister, Mr. Spedcer: Can the min-
ister provide us with the information— I real-
ize he can't perhaps do it right now— of any
costs for improvements that have been neces-
sitated by the recent five appointments to the
cabinet?
Hon. Mr. Snow: To my knowledge, Mr.
Speaker, and I wiU check into this further,
there have been no changes or no refumish-
ings of any type in any minister's oflBces with
these last changes or appointments. In fact,
there have been very few changes or very
little new furniture for any minister in the
two years that I have been minister of the
department.
Mr. Lewis: In fact, there is no space to
put the furniture in.
Hon. Mr. Snow: Mr. Speaker, the desk and
the furniture in my oflBce are exactly the same
that was put there when the building was
built.
Mr. Reid: Oh, antiques!
Hon. Mr. Snow: The furniture my pre-
decessor, three removed, the hon. Ray Con-
nell, selected in that office is still there and
has been used by each minister since and is
still serving me very adequately.
Interjections by hon. members.
Mr. Breithaupt: Perhaps if it was used
harder, it might wear out. That's possible,
Mr. Speaker.
Interjections by hon. members.
DENTURE THERAPISTS
Mr. Breithaupt: I have a question of the
Minister of Health. Can the minister advise
us if there is any new information that he
can give us with respect to the situation of
the denturists, particularly as to whether there
have been any further charges laid or whether
the minister can advise us of expected
changes that will hopefully resolve this par-
ticular problem?
Hon. F. S. Miller (Minister of Health):
Mr. Speaker, on the first part of the question,
I can make no more comment at this point
in time. On the second part of the question,
to the best of my knowledge no more charges
have been made. However, charges are not
brought by the Ministry of HealSi, as I am
sure the hon. gentleman knows; they are
brought by the normal people who can lay
charges.
Mrs. M. Campbell (St. George): By whom-
ever it is.
Mr. Sargent: By normal people?
Hon. Mr. Miller: That leaves the member
for Grey-Bruce out. I am certainly hopeful
that a final decision will be forthcoming soon.
APRIL 19, 1974
1157
AD IN GLOBE AND MAIL
Hon. Mr. Meen: Mr. Speaker, on a point
of order, before we go on to the next ques-
tion, the hon. member for Kitchener asked
me about an advertisement placed in the
Globe this morning which I hadn't seen and
I readily conceded that, but I can see now
wh\' I was not aware of it. It's placed by my
colleague, the Treasurer (Mr. White), and by
the Premier. It seems to me the questions
raised by the member for Kitchener should
more properly have been directed to one or
other of those two of my colleagues, rather
than to me and to my ministry.
Mr. Breithaupt: Mr. Speaker, the reason
I did that was because one wasn't here, and
I didn't think the other one would know.
Mr. Sargent: A supplementary, Mr.
Speaker.
Mr. Speaker: I'm sorry. The minister had
risen on a point of order. There can be no
supplementary to a point of order.
The hon. member for Scarborough West.
Mr. Sargent: Well, he's totally wrong
anywa>'.
Mr. I. Deans (Wentworth): I like that.
INQUIRY INTO HOSPITAL
EMPLOYEES' REMUNERATION
Mr. Lewis: Since mediation began yester-
day in the hospital worker controversy, can
the Minister of Health make a statement to
the House today about any intentions he
may have of resolving that dispute, specifi-
cally before this month ends?
Hon. Mr. Miller: Mr. Speaker, if I said
this wasn't one of the most important prob-
lems to me I would not be speaking the
truth.
Mr. Lewis: Then don't say it.
Hon. Mr. Miller: I am very concerned
about the outcome of those negotiations.
However, I think the member would agree
with me that the free bargaining process
should be given every chance to find a
resolution to the problem.
Mr. D. C. MacDonald (York South): Not
if the go\emment withholds the wherewithal
for settling it.
Hon. Mr. Miller: It is working now and
it is my hope that a solution will be found
via that means. I am in close contact with
various people involved In the process antl
am keeping myself as well informed as I
can. I think any other comments I might
make at this time would defeat the puri>08e
of the free bargaining process.
Mr. Reid: A supplementary.
Mr. Lewis: A supplementary, Mr. Speaker,
if I may: The minister will know that we
all believe in the free collective bargaining
process but he's not pretending, siirely, that
there will be any resolution of the hospital
worker controversy without additional money
from the government? Surely he knows that
is true. Therefore, I must ask him, since the
days pass and the strike psychology acceler-
ates and the workers live on the razor's edge,
why will he not say he intends, presumably
at some point, to make an offer? Does he
intend to make an offer to increase the ceil-
ings or provide additional moneys for these
hospitals before May 1?
Hon. Mr. Miller: Mr. Speaker, I think
anything we say here which is reported in
the 'press could have a very negative effect
upon the bargaining process.
Mr. Lewis: It could have a very positive
effect in possibly avoiding the strike.
Hon. Mr. Miller: I think the negotiations
should go on between the bodies appointed
to do them at this point in time without my
offering advice to them in either direction.
Mr. J. A. Renwick (Riverdale): The govern-
ment is the silent partner.
Mr. Speaker: The member for Rainy River
with a supplementary.
Mr. Reid: Does the minister really believe
that the free collective bargaining process can
continue when the ceilings are still on and
the workers are in the position of knowing
that under the present circumstances they
can't be brought up to a reasonable wage?
Secondly, if I may, Mr. Speaker, does he
have within his ministry a report on the
wages and salaries of the hospital workers
in the province?
Hon. Mr. Miller: The first part of the
question assumes that when the ceilings for
this year— one of the quick assumptions
everybody made is that when the ceilings in
hospitals went up by roughly eight per cent
it meant that salaries were limited to an
eight per cent change. That does not neces-
sarily follow.
Mr. Lewis: Of course it does.
1158
ONTARIO LEGISLATURE
Mr. Reid: Where else are they going to
get the money?
Mr. Lewis: Come on, why is the minister
doing this to the workers?
Hon. Mr. Miller: This is one of the
reasons, of course, why there are two studies
going on to answer that very question.
Mr. Lewis: But why is he forcing them
to strike?
Mr. Speaker: Order.
Hon. Mr. Miller: I am not forcing them
to strike and I sincerely—
Mr. MacDonald: He leaves them no alter-
native.
Mr. Speaker: Order.
Mr. Lewis: Why is he doing it to them?
Why is he pushing them to that?
Hon. Mr. Miller: I sincerely hope that
the imions will respect the law as it is
written and not ask their members to go on
strike.
Mr. Lewis: Does the minister respect
their right to live? Does he respect their
right to a wage?
Hon. Mr. MiUer: I do.
Mr. Speaker: Order.
Mr. Renwick: He can't procrastinate.
Mr. Speaker: Order. I will permit supple-
mentaries in their proper order.
Mr. Lewis: Sorry, Mr. Speaker.
Hon. Mr. Miller: On the second part of the
question as to studies on salaries, I have seen
a number of studies on salaries for hospital
workers in various areas. I wouldn't want to
say any on© of them was a total provincial
picture. Certainly I have seen studies of the
Toronto area and of certain of the imions
involved.
Mr. Reid: If I may ask, by way of further
supplementary, if the minister has those
studies as he suggests, is there any point in
waiting for the Minister of Labour (Mr.
Guindon) to come up with his report? Why is
he using that as an excuse not to make a
statement in this Legislature that the hospital
workers will, in fact, be given a decent wage?
Mr. B. Newman (Windsor-^Walkerville): And
that they are not bound by the eight per
cent.
Mr. Reid: And that they shouldn't be
boimd by the eight per cent limit?
Hon. Mr. Miller: Well, of course, they are
not bound by the eight per cent limit; I take
exception to that one point. I could show that
categorically in the estimates that were given
us before the year began.
I can only say this: With bargaining going
on at this point in time, I am very anxious
to give it its full opportunity to resolve the
problems within the parameters we have
given.
Mr. Reid: How much more time does the
minister need?
Mr. Lewis: Well, may I ask a supple-
mentary? The unions in good faith have told
the minister what they intend to do on May
1. What is the Ministry of Health's response
going to be if, in fact, it has forced the
workers out on that day?
Hon. Mr. Miller: Well, that is a hypo-
thetical question at this point in time.
Mr. Renwick: It is not hypothetical.
Mr. Lewis: It is not. They are the minis-
ter's hospitals; it is his jurisdiction.
Hon. Mr. Miller: They are not my hospitals
in that sense; they are not my employees in
that sense.
Mr. Lewis: Sure they are. The minister is
the partner at the bargaining table.
Hon. Mr. Miller: I am certainly a partner.
Mr. Lewis: That's right. What is he going
to do? He is the Minister of Health.
Mr. Speaker: The hon. member for Scar-
borough West.
PRICE FIXING IN SUPERMARKETS
Mr. Lewis: A question! of the Minister of
Consumer and Commercial Relations, if I
may: In his analysis of the various super-
market chains, did he look at the possibiHties
of internal-administered price fixing and
vertical integration after looking at their
profits?
Hon. J. T. Clement (Minister of Consumer
and Commercial! Relations): No, Mr. Speaker,
the study was prepared from the pubHc
financial statements, made available by the
industries to the public as required under the
securities legislation of this province.
APRIL 19. 1974
1159
I should point out that in those particular
studies they leave something to be desired,
particularly when we don't have a breakdown
as to food sales as opposed to sales of other
objects in supermarkets. As the hon. leader
of the NDP knows, in supermarkets today
one can buy anything ranging from cleaning
cloths to mops, brooms, dishes, books of
knowledge, or things of that nature; and yet
the sales indicate total sales, and don't give
us the breakdown— what is allocated for rood
sales as opposed to those other items— and it
concerns me.
Mr. Reid: Yes, one can't aflFord to buy the
food.
Mr. Lewis: May I, by way of supple-
mentary, ask the minister to extend his in-
quiry into the possibilities of internal-
administered price fixing in the Weston
empire, based on this set of assumptions, or
this information:
Is the minister aware that Loblaws said
they had to raise the price of bread because
of the increased cost to the supplier, the
suppher being Weston's, which owns Loblaws
—as the minister knows? Weston's said it
had to raise the price because of the increased
costs to its suppliers for milk and sugar; the
suppliers for Weston's are Donlands and
Royal Dairy and West Cane Sugar, all owned
by Weston s. Weston's then said that the flour
had gcme up from their suppliers, the sup-
phers being McCarthy Mill otf Streetsville and
Soo Line of Winnipeg, both wholly-owned
subsidiaries of Weston s. They then said that
the distribution costs were going up \dbich
would require an increase in bread'—
Hon. Mr. McKeough: Question?
Mr. Lewis: And the distributors involved
Hon. W. A. Stewart (Minister of Agricul-
ture and Food): Is this a speech?
Mr. MacDonald: It is the kind of speech
the Minister of Agriculture doesn't like.
Mr. Lewis: —National Grocers and York
Trading, both subsidiaries of the Weston em-
pire.
Now since all of the price mechanism is
controlled within the same corporate em-
pire, is the minister going to look at the
possibility of price fixing?
Hon. Mr. Clement: Mr. Speaker, price fix-
ing, if it can be proved and is against the
public interest, is an offence under the Com-
bines Investigation Act. May I point out that
while the matters the hon. leader of the
NDP has described may well occur, that not
only did the price of those products go up
to subsidiaries of the industry or the company
named by the leader of the New Democratic
Party, they went up in other sectors with the
competitors paying pretty much the same
prices for the basic product as they obtained
it from the market for resale, too.
Mr. Speaker: Does the hon. member for
Scarborough West have further questions?
Supplementary— the hon. member ior York
Centre.
Mr. Deacon: In connection with the segre-
gation of food items and food sales from
other sales, would it not be possible for the
minister, through the Minister of Revenue,
to find out the type of sales by supermarkets,
as the returns unaer the sales tax would indi-
cate the division between sales; because all
items that are non-food items are subject to
sales tax?
Hon. Mr. Clement: I have written to the
president of each of the companies named in
the study requesting their making available
additional information, not only to the share-
holders by way of the obligatory financial
statements, but so that the consumers of this
province have some knowledge of what is
involved in their wholesale operations for the
previous year.
Insofar as the member's question is con-
cerned, I suppose that mathematically it could
be roughly computed. I think it would be
much more advisable if the company on its
own gave a statement breaking down the food
sales as opposed to those other items. I don't
know— I haven't discussed it with my col-
league, the Minister of Revenue— but it might
well be that his staff is precluded from
making that information available to me
under their legislation.
Mr. Deac(Mi: Is that the case?
Hon. Mr. Clement: I don't know.
Mr. Speaker. The hon. member for River-
dale.
Mr. Renwick: Mr. Speaker, by way of a
supplementary question, is it, by any chance,
by reason of an exemption granted by the
(Ontario Securities Commission to each of
these companies under the Securities Act that
they are not required to provide a breakdown
of their sales figures? If it is, as my surmise
would lead me to believe, will the minister
deal with the Securities Commission and ask
them to withdraw that exemption and to
require the kind of information on the gross
1160
ONTARIO LEGISLATURE
sales figures which he now requires in the
public interest?
Hon. Mr. Clement: Mr. Speaker, I'm not
aware that any such exemption has been
granted by the Ontario Securities Commis-
sion, but I will inquire and find out if such
is the case.
Mr. Lewis: No wonder the price is right.
UNION GAS
Mr. Lewis: May I ask the Minister of
Energy if he has received complaints from
farmers and municipal officials in Raleigh
township about the behaviour of Union Gas
when it digs on farms and cuts across road-
ways, in terms of what it pays and the vari-
ous costs of repairs and the dismemberment
that is left? Has he been dealing in that
Ad hon. member: To beat the property
speculation tax.
Mr. Speaker: Are there any further ques-
tions from the hon. member for Scarborough
West?
Mr. Lewis: No, Mr. Speaker.
Mr. Speaker: The hon. minister responsible
for the Youth Secretariat has the answer to a
question asked previously.
Hon. D. R. Timbrel! (Minister without
Portfolio): Mr. Speaker, the question came
from the member for Parkdale ( Mr. Dukszta )
and, due to his absence from the House today,
if I may, I will hold it over until he's here.
Mr. Speaker: All right. The hon. Minister
of Health has the answer to a question asked
previously. Then the hon. member for Grey-
Bruce is next.
Hon. Mr. McKeough: Raleigh township?
Mr. Lewis: Raleigh township.
Hon. Mr. McKeough: No, not to my knowl-
edge, I haven't. I think if there were such
complaints they might well go to the Minister
of Consumer and Commercial Relations, who
has the pipeline inspection branch, or they
might come to the Ontario Energy Board, but
I'm not familiar with any complaints.
Mr. Lewis: Could I ask the minister to
make inquiries in that direction?
Hon. Mr. McKeough: I shall do so.
Mr. Lewis: Thank you.
SALE OF LAND ON
MANITOULIN ISLAND
Mr. Lewis: One last question of the
Premier, Mr. Speaker.
Is the Premier aware that the Ontario Paper
Co. Ltd. has put up for sale on Manitoulin
Island some 80,000 acres of what I believe
amounts to prime recreational land with some
65 miles of lakefront? As I understand it,
there are two prospective American buyers
but, as yet, no others. Would the Premier
consider taking this land into public park
ownership?
Hon. Mr. Davis: Mr. Speaker, the Minister
of Natural Resources (Mr. Bemier) is having
some discussions now with the Ontario Paper
Co.
Mr. Lewis: Is that so?
SALE OF COLZA OIL
Hon. Mr. Miller: Mr. Speaker, on Tuesday,
the member for Wentworth asked me about
colza oil and its effects upon the human body.
I have looked into the background of this
and found the following information.
For many years, rapeseed oil has been a
common edible oil ingredient of certain foods,
margarine, salad oil, cooking oil and mayon-
naise. However, in the past five years, labora-
tory evidence accumulated in several parts of
the world indicated that high-level feeding
to laboratory animals resulted in degenerative
lesions in the heart muscles— lesions attrib-
utable to erucic acid in the oil. For the
interest of the rest of the hon. members, it's
a C22 mono-eloic acid.
An hon. member: Wowl
Mr. Deans: I realize that.
Mr. Lewis: We are all aware of that. The
minister doesn't have to be condescending.
That's old stuff.
Hon. Mr. Miller: It sounds a little better
than colza oil, I thought.
The mass of evidence does not support the
contention that sterility also results. An inter-
esting aside is that a judge in Italy overruled
the health authorities and said it caused
sterility. The health officials never claimed
that.
As a result of laboratory findings in August,
1973, tho health protection branch of the
Department of National Health and Welfare,
APRIL 19. 1974
1161
Canada, issued a bulletin to all suppliers and
processors, both foreign and domestic, asking
for a voluntary restriction of the erucic add
content of ediole oil products to five per cent
of the total fatty acid content.
A survey of market food products contain-
ing rapeseed oil, just completed by the fed-
eral authorities, found that only one out of
359 exceeded the five per cent level. This
represents a good response on the part of the
food industry by monitoring the erucic acid
content, and it will continue as a matter of
routine.
The control of the chemical content of
nationally distributed foods is a responsibility
of the Department of National Health and
Welfare, Canada. Ofiicials of this department
have expressed the view that the rapeseed oil
content at existing levels does not represent
a threat to public health.
Mr. Deans: Just one supplementary ques-
tion for clarification. Am I correct in assuming
that this applies equally to imported oils ana
to domestically produced oils?
Hon. Mr. Miller: That is my understand-
ing.
Mr. Speaker: The hon. member for Grey-
Bruce.
HYDRO INVOLVEMENT
IN PRIVATE SECTOR
Mr. Sargent: Mr. Speaker, I have a ques-
tion of the Premier. Will he advise the House
if he has approved, and the extent, of allow-
ing large consortiums to have^in the Minister
of Energy's words "to give them a piece of
the action of Hydro"? What is the form of
policy allowing Hydro to be involved with
the private sector and in the words of the
Minister of Energy "having secret negotia-
tions with these consortiums' ? In other words,
is this approved government policy now or
is it just a lot of talk?
Hon. Mr. Davis: Mr. Speaker, I think there
are several sections to that question from the
hon. member for Grey-Bruce. As to whether
the government approves of the suggestions
made by the Minister of Energy, I would
say categorically yes.
The Minister of Energy has made some
suggestions that I think are very creative and
that would help resolve some of the capital
problems that Ontario Hydro and the public
generally might face and which I think might
be an excellent utilization of the nuclear
technology that is available to us. As the
question rdates to the procedures, the pos-
sibility of this and how it mi^t function, I
would say with respect, Mr. Speaker, the hon.
member might direct that to the Minister of
Energy himself.
Mr. Sargent: Supplementary: I think the
Premier should know what is going on too.
Hon. Mr. Davis: If that is a supplementary
question, I can only say-
Mr. Sargent: No, that's a statement.
Hon. Mr. Davis: —being very humble,
while I don't purport to know eveiything that
is going on, in some ways I feel that perhaps
I know a little more about what is going on
than the hon. member for Grey-Bruce.
Mr. Sargent: I would hope so.
Supplementary: Mr. Speaker, does the first
minister of this province not realize the mag-
m'tude of allowing Hydro— which for 68 years
has been a public body— allowing the friends
of the government to get a piece of this
action? Might I ask the Premier— and he
should know this— is the $15-billion pro-
gramme the government is in line for now—
he admits that we are being drained but we
are not broke-
Mr. E. M. Havrot (Timiskaming): Question.
Mr. Sargent: Will the Premier tell me that
it is because the government can't aff"ord
that $15 billion that he is going to allow
them to take a part of the action? Is that it?
Mr. W. Hodgson (York North): The mem-
ber for Grey-Bruce didn't approve of his
friends having action either?
Hon. Mr. Davis: I find this an unusual
question from the member for Grey-Bruce
who is something of a free enteiprise entre-
preneur, as I understand it, himself—
Mr. MacDcHiald: Free wheeling, free entre-
preneur.
Mr. Sargent: That has nothing to do with
it.
Hon. Mr. Davis: —that he would object to
government utilizing the private sector.
Mr. Sargent: I certainly do, especially the
way the government does it.
Mr. Speaker: Order.
Hon. Mr. Davis: I suggest to the hon.
member that he can be as critical as he likes
of Ontario Hydro but I think it is abundandy
clear, and increasingly so, that Ontario Hydro
1162
ONTARIO LEGISLATURE
has an excellent record in production of
energy costs that will compare favourably
with any public utility anywhere on this
continent.
Mr. Sargent: That is what you call stick-
handhng, Mr. Speaker.
Hon. Mr. Davis: The member should know.
Mr. Speaker: The hon. member for Sand^
wich-Riverside.
WIND ENERGY SEMINAR
Mr. F. A. Burr (Sandwich-Riverside): Mr.
Speaker, I have a question of the Minister of
Energy regarding his statement two weeks
ago today that he would not send anyone to
the wind energy conversion seminar in Sher-
brooke, Que.
Mr. Lewis: The minister is going to lose
this debate in the long run.
Mr. Burr: This is the first opportunity I
have had to ask this question, Mr. Speaker.
Why did he make this announcement two
weeks ago today, after notifying me the pre>-
vious day that he had suggested to his senior
technical stafF that they send someone to this
seminar? Who is running the minister's de-
partment, he or the civil service?
Mr. l«wis: And why?
Hon. Mr. McKeough: Mr. Speaker, that is
an excellent question on a Friday morning. I
can only assure the member that I do, but at
times Im impressed by their logic.
Mr. Burr: Mr. Speaker, a supplementary-
Mr. Sargent: He is talking about the min-
ister. That's why the minister is good. He
has lots of hot air.
Mr. Burr: Why did his—
Hon. Mr. Davis: There is a better judge
in the House of that than the member.
Mr. Burr: Why did his deputy-
Mr. Sargent: I will get the Premier next.
Hon. Mr. Stewart: Is that a promise or a
threat?
Mr. M. Gaunt (Huron-Bruce): Let the mem-
ber for Sandwich-Riverside go on.
Mr. Burr: Are there any more supplemen-
taries?
Hon. Mr. Winkler: Is it Good Friday this
Friday?
An hon. member: The farmers got it.
Interjections by hon. members.
Mr. Burr: Mr. Speaker, my supplementary
is, why did the ministers deputy go to
Thunder Bay to address a meeting of engi-
neers and virtually plead with them to give
him all the information they could on vari-
ous forms of energy— and he specifically men-
tioned wind power— then, when I inform the
minister of a meeting at which the most
knowledgeable people in this area are going
to be present, he shows no interest?
An hon. memben Because he knows the
member is not going to vote for him.
Hon. Mr. McKeough: Mr. Speaker, I sup-
pose the key word there womd be "give."
The deputy minister is asking people to send
information in so that we don't have to send
people to conferences.
Mr. Speaker: The hon. member-
Mr. Burr: A supplementary: Is the min-
ister going to continue the policy of getting
information on various forms of solar ener^
from the Atomic Energy Commission which
is part of the nuclear establishment? Why
doesn't he go to the source of knowledge
instead of to rival and competing establish-
ments?
Interjection by an hon. member.
Mr. Deans: Why doesn't he talk to the
member for Sandwich-Riverside? *
Hon. Mr. McKeough: Mr. Speaker, as I
said before, we are monitoring some of these
things. When the time arrives we will take a
greater interest than we are obviously taking
now. We do continue to follow them. We
don't think, as I have said before, that the
day of wind energy has arrived or that we
should be spending public money in pursuit
of something which is not yet—
Interjections by hon. members.
Mr. MacDonald: It's been around for about
3,000, 4,000, or 5,000 years.
Hon. Mr. McKeough: —in any way proved
or, in our view, suitable for use here in
Ontario. I can assure the member that we—
Interjection by an hon. member.
Hon. Mr. McKeough: —continue to read a
great number of technical journals. We keep
APRIL 19. 1974
1163
abreast of this and of course, we are follow-
ing the member's speeches with great inter-
est and we know that he will keep us in-
formed of the latest developments in wind
energv-, geothermal energy and solar energy.
Mr. MacDonald: The minister is right
there.
Mr. Lewis: He is going to end up as the
Don Quixote of this House.
Mr. Speaker: The hon. member for St.
George is next.
READMISSIONS TO ONTARIO
HOSPITALS
Mrs. Campbell: My question, Mr. Speaker,
is of the Provincial Secretary for Social De-
velopment, in the absence of the Minister of
Health. Could she advise this House as to
whether or not the ministry will release the
information and statistics on readmissions to
Ontario Hospitals?
Hon. M. Birch (Provincial Secretary for
Social Development): Mr. Speaker, to the
hon. member, I will make sure she receives
this information.
Mrs. Campbell: I am sony?
Hon. Mrs. Birch: I'll make sure she re-
ceives the information.
Mrs. Campbell: Thank you.
Mr. Speaker: The hon. member for High
Park.
LIQUOR LICENCE FOR HOLIDAY
INN AT OWEN SOUND
Mr. Sbulman: A question of the Minister
of Consumer and Commercial Relations, Mr.
Speaker: Can he give any explanation what-
soever of the fact that the Liquor Licence
Board has deliberately contravened the law
which states that no manufacturer of liquor
may have an interest in a retail outlet? I
am referring to section 30, paragraph d which
says:
No licence may be issued or renewed
under this Act for premises in which a
manufacturer of liquor has an interest,
whether freehold or leasehold, or by way
of mortgage or charge or other encum-
brance or by way of mortgage lien or
charge upon any chattel property therein,
and whether such interest is direct or in-
direct or contingent or by way of stiretyship
or guarantee.
Despite this being drawn to the attentioo of
the Liquor Licence Board, can he explain why
the board gave a licence to the HoUday Inn in
Owen Sound when the land is owned by
Parham Investments Ltd. whose directors are
one Alex Graydon, Bruce Pritchard and John
Harrison, two of whom are on the board of
Labatt's?
Interjections by hon. members.
Hon. Mr. Clement: I thought the member
would never ask, Mr. Speaker.
Mr. Singer: The minister wishes he'd never
askedl
Hon. Mr. Clement: No, I'd be glad to read
the letter, with the indulgence of the mem-
bers.
Interjections by hon. members.
Hon. Mr. Clement: It was sent to the mem-
ber for Grey-Bruce on Sept. 21. It's pointed
out by the Liquor Licence Board, as a residt
of an inquiry which came from that particular
member, that the Holiday in at Owen Sound
is owned by Parham Investments Ltd. and
Commonwealth Holiday Inns of Canada Ltd.
as tenants in common. The inn is operated
by Commonwealth Inns of Canada Ltd. under
a lease with the owners. The i^phcant,
namely Commonwealth Holiday Inns of
Canada Ltd. is the tenant and operator of the
inn. None of the directors of the applicant is
in any way connected with the liquor in-
dustry. They are not directors of any breweiy
or any vintner.
It was the opinion of the legal oflScer of
the Liquor Licence Board at that time that
there was no infraction of section 30 of the
Act in issuing the licence to that particular
establishment. I had this supplied to me this
morning as a result of another inquiry.
Mr. Havrot: Shot down again.
Interjections by hon. members.
Hon. Mr. McKeouf^: Relax—
Mr. Shufanan: A supplementary, if I may,
Mr. Speaker.
Interjections by hon. members.
Mr. Sargent: The member remembers Talis-
man? Same deal.
Mr. Shulman: Is the minister saying that
the Act-
1164
ONTARIO LEGISLATURE
Mr. Sargent: The laws don't mean a damn
thing.
Mr. Shulman: —may be simply avoided by
putting the application in in someone else's
name? Is the minister denying that Labatt's
owns that place?
Hon. Mr. Clement: Mr. Speaker, Labatt's
are not the applicant or the owner of that
particular enterprise.
Mr. Shulman: Of course they are not the
applicant, somebody else applied for them.
Hon. Mr. Clement: The Liquor Licence
Board of Ontario has absolutely no intention
of licensing anybody contrary to section 30 of
the Act; that is the very purpose of having
section 30 contained in the Act.
Mr. Shulman: Labatt's owns it.
Hon. Mr. Clement: An inquiry was made—
and it was a valid inquiry, I have no reason
to criticize it— in April, 1973.
Mr. Shulman: Labatt's used somebody else
to apply for them, that's all.
Hon. Mr. Clement: We took the opinion
from the legal officer for the board at that
time. I have the letter here before me. Per-
haps the member would like to read it so I
don't waste the time of the rest of the mem-
bers of the Legislature, and see the opinion
of the law oflBcer.
Mr. Shulman: Just ignoring the law.
Mr. Speaker: The hon. member for York
Centre.
ACCOMMODATION PROVIDED OISE
AND OETA
Mr. Deacon: A question of the Premier:
Why has it taken so long to answer the
question I asked on May 24, 1973, requesting
information on the accommodation provided
OISE and OETA? It has been on the order
paper all that time.
Hon. Mr. Davis: Mr. Speaker, the question
related to the institute was discussed very
thoroughly, if memory serves me correctly.
Just about six years ago I can recall very
well the member for Scarborough raising
this matter. The ofiBcials from the institute
were there and it was gone into in some
depth.
If memory serves me correctly as well, and
perhaps the hon. member might consult with
some of his colleagues on the committee, the
question of accommodation was very fully
dealt with at the standing committee dealing
with the estimates— I thinK of the Ministry of
Education or Colleges and Universities— just
in the past session.
Mr. Deacon: A supplementary': This ques-
tion asked for details concerning the pro-
posals, and in none of those records could I
find the details being given. That is why—
Hon. Mr. Davis: It was thoroughly dis-
cussed six years ago.
Mr. Deacon: Well, it is a matter of dis'-
cussion; that does not say the questions were
answered. I have asked for answers to the
questions.
Hon. Mr. Davis: Well, they were answered.
Mr. Speaker: The hon. member for Essex-
all right, I must recognize the hon. member
for Sandwich-Riverside.
SOLAR ENERGY REPORT
Mr. Burr: Mr. Speaker, a question of the
Minister of Energy: Has the minister yet re-
ceived a copy of the solar energy panel report
of December, 1972, that was given to Presi-
dent Nixon? This was a report by 40 scientists
of NASA and the National Science Founda-
tion.
Hon. Mr. McKeough: Mr. Speaker, I am
not personally aware of the report, no.
Mr. Burr: A supplementary: Does the min-
ister mean to tell me that after I notified
him back in December he still has not got a
copy of this most important report?
Mr. Deans: Don't they do any work over
there?
An hon. member: Hasn't the minister read
his correspondence?
Mr. Lewis: The minister has a big technical
staflF, what do they do?
Hon. Mr. McKeough: We do not have a
big technical staff. I am sure that some of the
staff are reading it, and if they think it is
important enough will forward it to me.
Mr. MacDonald: They keep the minister in
the dark.
Mr. Speaker: The hon. member for Wel-
land South.
APRIL 19, 1974
lies
RAPID DATA CORP.
Mr. R. Haggerty (Welland South): I would
like to direct a question to the Minister of
Consumer and Connnercial Relations. On
March 29 I asked him a question in the
House. Has the minister taken any steps to
ensure that the $6.5 million in Eaton's em-
ployees' pension fund that was invested in
Rapid Data Corp. is protected now? Has he
—and I believe he said that they were going
to meet that morning— has he anything further
to report on that?
Hon. Mr. Clement: I apol(^ize to the mem-
ber for Welland South. I nave overlooked
getting back to him. I remember the question
verv well and I haven't got the information. I
will get it and get back to him right way.
Mr. Haggerty: A supplementary, Mr.
Speaker: Is the minister aw^re of the Finan-
cial Post report of April 6, 1974, that the
E]aton retirem«it annuity plan with the
T. Eaton Co. is a secured credit to the
amount of $6.3 million and will receive
nothing directly on dissolution?
Hon. Mr. Clement: I am not aware of that.
Mr. Speaker: The hon. member for Wind-
sor-Walkerville.
GASOLINE SAVING DEVICES
Mr. B. Newman: Mr. Speaker, I have a
question of the Minister of Consumer and
Commercial Relations. In view of the fact that
miracle gas savers and mileage boosters are
becoming more and more apparent on the
market, does the minister plan to require
companies that are involved to produce proof
of their claims before he will permit the sale
of these mileage savers?
Hon. Mr. Clement: Mr. Speaker, if there
was an oflFence committed under the Con-
sumer Protection Act as to any misleading
advertising, then we would have to prosecute
or the federal people would have to prose-
cute under their legislation.
I have no way of compelling. I have no
legislative authority to compel them to submit
any proof to me.
It has been our experience in matters
that we have inquired about that whatever
industry we direct the inquiry to has answer-
ed responsibly, but I point out they don't
have to and I have no way of compelling
them to produce such information.
Now I read with interest the other day,
I believe, that there have been federal
charges laid against the manufacturer of
motor vehicles for what is alleged to be
fraudulent advertising relating to the per-
formance of one of its vehicles in a crOfes-
country race some two or three years ago.
That's the only knowledge I have.
Mr. Speaker: Did somebody say supple-
mentary?
The hon. member for High Parfc.
HIRING OF LIQUOR STORE
EMPLOYEES
Mr. Shulman: A question of the Minister
of Consumer and Commercial Relations, Mr.
Speaker: Can the minister explain the dis-
crimination against women that is used by
the Liquor Control Board in their hiring?
Can the minister explain why no women—
although in theory they are invited to J^>ply
for permanent clerk i)Ositions— are hired in
those positions?
Hon. Mr. Clement: Mr. Speaker, that is
not true. Women are being hired by the
Liquor Control and Liquor Licence Boards—
particularly by the Liquor Control Board
for self-serve stores, where in most instances
they perform the function of cashiers.
With reference to the existing stores that
are not self-service, I must point out to the
hon. member that there are some diflBculties.
One of the diflBculties is that the stafF are
called on to stack cases, many of them con-
taining bottles weighing 40 ounces; they are
very, very heavy. That's one problem.
The second problem is the sanitary facili-
ties. Many of the stores have only one wash-
room and if we hire female staflF we are
obliged to put additional washrooms in for
them.
So we are using women as cashiers in those
areas that have self-serve stores, but we are
not utilizing them in other areas— having
them stack cases and unload trucks and this
sort of tfiing.
Mr. Shulman: Supplementary, Mr. Speaker:
Is the minister really not aware that each
and every woman who has been hired as a
cashier in the self-service stores has been
hired as a temporary, not a permanent em-
ployee, paid only for the hours she works
and limited to 27% hours per week?
Hon. Mr. Clement: Yes, I am well aware
of that because the board hires all its staff
1166
ONTARIO LEGISLATURE
initially on a temporary basis. And if the
vacancy continues and the performance of
that individual is satisfactory they go on to
permanent staff after a waiting period.
Mr. Shulman: Supplementary.
Mr. Lewis: Supplementary.
Mr. Speaker: Order. Supplementary over
here.
Mr. B. Newman: In an attempt to increase
the opportunity for the handicapped in ob-
taining employment, would the minister con-
sider the employment of handicapped women
as cashiers in some of the self-serve stores?
Hon. Mr. Clement: Yes, if they can do the
Job I'm snre the board would seriously con-
sider that. It might be a very good role for
a person so afflicted.
Mr. Lewis: Well, I have a supplementary.
The minister is not seriously accepting the
board's argument about washroom facilities
as a device to discriminate against women?
I mean, he is not advancing that as though
it were plausible, surely?
Interjection by an hon. member.
Mr. Lewis: Oh, our friends at the board.
Why trot that out?
Interjections by hon. members.
Mr. Havrot: The member is a real paper
tiger— all mouth.
Hon. Mr. Clement: I am just pointing out,
Mr. Speaker, that these are considerations.
I've got stores down in my area that have
been there for five or 10 years that were
initially designed with one set of washrooms.
Mr. Lewis: The minister can add to the
facilities, for heaven's sake.
Hon. Mr. Clement: All right. Fine. We are
converting in the self-service stores; this thing
will clear itself. But perhaps the hon. mem-
ber is aware that if we do have female staff
it's mandatory that they have individual
washrooms.
Mr. Lewis: Of course it is. So do some-
thing about it.
Mr. Shulman: Mr. Speaker, a supplemen-
tary?
Mr. Speaker: There are only a couple of
minutes remaining. I think—
Mr. Shulman: A very short one?
Mr. Speaker: I think there have been suffi-
cient supplementaries.
Mr. Shulman: How come none of the
board's temporary staff have ever been made
permanent? They are female; not one of the
minister's cashiers has been made permanent.
Mr. Speaker: That's a statement. I believe
the hon. member for Waterloo North was up
first.
Mr. Reid: I believe you are wrong, Mr.
Speaker.
Mr. Speaker: Well, if the hon. member for
Waterloo North will defer to the hon. mem-
ber for Rainy River, 111 call him.
DAY NURSERIES ACT REGULATIONS
Mr. Good: A question of the Minister of
Community and Social Services: Could the
minister tell us whether the new regulations
imder the Day Niuseries Act regarding the
setting up of day nurseries by charitable and
other non-profit organizations are now in
effect? And how much money will be desig-
nated for this additional function during this
next fiscal year?
Hon. R. Brunelle (Minister of Community
and Social Services): Mr. Speaker, I am
pleased to inform the member that the regu-
lations are now in effect. As far as the amoimt
is concerned it will be a substantial amount,
but at this time it is not known. Our budget
will be—
Mr. Good: A supplementary: How many
applications does the minister have under
that section?
Mr. Speaker: The time for oral questions
has been exceeded.
Petitions.
Presenting reports.
Mr. Havrot in the absence of Mr. Taylor
from the standing administration of justice
committee, reported the following resolution:
Resolved: That supply in the follow-
ing amount and to defray the expenses of
the Justice Policy Secretariat be granted
to Her Majesty for the fiscal year ending
March 31, 1975:
Justice Policy Secretariat
Justice policy programme $401,000
APRIL 19, 1974
1167
Mr. Singen What happened to the 18?
We want to get rid of that, too.
Mr. Speaken Motions.
Hon. Mr. Winkler moves that Mr. Havrot
be substituted for Mr. Dymond on the stand-
ing public accounts committee.
Mr. Speaker: Shall the motion carry?
Mr. Lewis: We object in principle but let
it carry. My colleague, the non. member for
Nidcel Belt (Mr. Laughren) would not for-
give me were we not to say that.
Motion agreed to.
Mr. Speaker: Introduction of bills.
CITY OF CORNWALL
ANNEXATION ACT
Mr. Irvine moves first reading of bill in-
tituled. An Act to provide for the Annexation
of Certain Land for the City of Cornwall
Act, 1974.
Mr. Deans: Mr. Speaker, on a point of
order: The Minister of Labour is not in his
seat.
Mr. Speaker: Is the hon. member suggest-
ing he is in his wrong seat? Will the hon.
Minister of Labour please take his right seat.
Now, shall the motion carry?
Motion agreed to; first reading of the bill.
Hon. D. R. Irvine (Minister without Port-
folio): Mr. Speaker, this bill provides for tfie
annexation odF approximately 62 acres of the
township of Cornwall to the citv of Corn-
wall. This small parcel of land, which is now
owned by Ontario Hydro and the St. Law-
rence Parks Commission, is located between
Lake St. Lavvrence and Highway No. 2 on
the west side of the city. It will be the site
of the new Combustion Engineering plant.
My colleague, the Minister of Labour and
myself met with members of the dty and
township council at Cornwall on Monday last.
They agreed that the government should pro-
ceed in this way in order to facilitate tfie
early establishment of this industry— one of
the major elements in the regional economic
development programme in Cornwall.
In addition to the annexation, the bill pro-
vides for the designation of the annexed area,
together with an adjacent 18-acre parcel in
the city, for industrial use.
Mr. Speaker, we are very anxious to pro-
ceed as quickly as possible with this bill, and
I will be taking it throa^ the legislative
process myself.
PROCEEDINGS OF THE HOUSE ACT
Mr. Shulman moves first reading of biH
intituled, An Act to regulate the Prooeedfogs
of the House Act
Motion agreed to; first reading of the bill.
Mr. Shulman: As you know, Mr. Speaker,
the rights and privileges of the backbenchers
have been chipped away in the last eight
years. This is an attempt to reverse that pro-
cedure.
Mr. Speaker: Orders of the day.
LAND TRANSFER TAX ACT
Hon. Mr. Meen moves second reading of
Bill 26, An Act respecting the Land Transfer
Tax Act, 1974.
Mr. J. A. Renwick (Riverdale): Mr. Speaker,
on a point of order: A request was made to
the minister yesterday to provide us with
copies of any proposed amendments to the
bill. My point is simply whether or not we
can debate the bill on second reading if we
do not have the amendments which the min-
ister proposed to introduce in the conrse o£
this debate.
Hon. A. K. Meen (Minister of Revenue):
Mr. Speaker, I had hoped I might have copies
of the amendments which my sta£F and I are
presently working on availaole for the hon.
members at this time. Regrettably, they are
not ready yet.
I could perhaps take a moment at this
point, however, and outline two or three of
the areas in which I do expect to have
amendments available when we get into
committee. I guess that would be next week.
If the House would like me to do so, I
could cover what I have. I have two or three.
Mr. Speaker: Would this be accratable to
the hon. members who have raised the point?
Mr. V. M. Singer pownsview): Well it
would give us a little information. It is high
time we had it, we have been addng for it
for a week.
Mr. Spei^r: In view of the fact it's high
time, the hon. minister may proceed.
Hon. Mr. Meen: I am not prepared to admit
it's high time, Mr. Speaker.
1168
ONTARIO LEGISLATURE
Mr. Singer: No; the minister is not pre-
pared, period.
Hon. Mr. Meen: I am prepared to tell hon.
members of a couple of areas in which sub-
missions have been made to me and in which,
I think, we are going to be able to make some
amendments.
If hon. members refer to section 1, sub 1,
sub f, sub ii, they will note that we set in
that subsection one of the criteria for the
designation of a non-resident corporation as
being a corporation in which any one share-
holder held a block of 25 per cent or more
of the shares, it being obvious under a pre-
vious subsection that if 50 per cent or more
were held by non-resident shareholders that
would be a non-resident corporation.
•However, it has come to my attention that
it's entirely possible that a 25 per cent share
in a corporation could be held by a non-
resident, but in fact the corporation could be
controlled by resident Canadians or by people
falling in the category of residents. I will
therefore propose in due com"se an amend-
ment that would modify that section so that
it would be essentially 25 per cent but it
would be possible if it is demonstrated, I
suppose to my satisfaction, to tlie satisfaction
of the minister, that the corporation is in fact
controlled by residents, that it would then not
be automatically, as would otherwise be the
case under sub ii, a non-resident corporation
for the purposes of the Act.
Section 6, subsection 1, is another section
which has caused a good deal of consterna-
tion among mortgage lenders. Thd first mort-
gagees on building loans, for example, have
been concerned that the potential hen that
would arise if the property presently being
built, let's say by a builder and during the
course of the construction he's receiving mort-
gage advances, if that property were sub-
sequently sold to a non-resident, the pro-
visions of section 6, sub 1, would place the
lien for the 20 per cent tax in priority to all
of those mortgage advances.
That had not been my intention. The in-
tention had been to preclude an arrangement
whereby property was sold with a mortgage
back— sold to a non-resident, then the mort-
gage back— it is our intention that the lien for
the tax would be in priority to that kind of
mortgage, but not in priority to mortgage
advances made in good faith by a lending
institution, or any other person for that
matter, in the course of the construction of a
dwelling; so I will have an amendment to
that effect in committee.
Lastly, section 16, sub 1, is in the opinion
of my legal advisers somewhat more limited
than it should be to permit the imposition of
a lien for unpaid non-resident tax where we
wish to postpone that lien in favour of mort-
gage advances.
It's roughly the same sort of thing. What
we anticipate under section 16 is the non-
resident corporation dividing building lands
and developing them to the point of sale
for construction purposes. At that stage or
at some stage in the course of acquisition it
would normally be subject to the 20 per cent
non-resident tax. We don't want to do that
if the corporation eventually sells those lands
back to Canadians or to residents.
Therefore, what we propose to do— and
we thought we had sufficiently broad lan-
guage in section 16, subsection 1, to accom-
plish that— is to take a lien for the unpaid tax
and if the property is eventually sold to
resident Canadians to wipe out the lien. That
lien would, once again, have priority over
mortgage advances and other securities for
moneys advanced, which we don't really want
to do. I want to have the authority, as the
minister, to postpone the lien in favour of
mortgage advances which come along and to
provide for partial discharges of that lien
with respect to smaller parcels within the
subdivision as they are eventually sold off
from time to time to resident Canadians.
I will have an amendment to section 16
which will extend somewhat broader au-
thority to the minister for that purpose.
Mr. Speaker: The member for Kitchener on
Bill 26.
Mr. J. R. Breithaupt (Kitchener): Yes, Mr.
Speaker. On Bill 26, there are a couple of
points I would particularly like to raise with
the minister. I realize thiat the minister, of
course, has made certain comments on reports
in the press that flowed originally from the
comments made by the Treasurer (Mr. White)
in his budget.
I think we are all particularly concerned
with the effect of Bill 26 because the min-
ister has stated that this is one of the policies
which this government is intending to de-
velop in order that eventually the supply of
housing and residential accommodation gen-
erally would be improved for the people of
this province.
There are some specific questions, I think,
which should be put to the minister and
these, I hope, will enable us to have a better
bill or at least have various points clarified.
As I had suggested to the minister yesterday,
APRIL 19, 1974
nee
I felt there was some merit in obviously
encouraging the greatest amotmt of public
involvement that could be possible. I sug-
gested, you will recall Mr. Speaker, that it
might well be in the best interests of all
parties concerned that we would put this bill
in standing committee eventually so that the
public could, in fact, appear before the
committee so that there could be the broad-
est possible public discussion with builders,
with persons who frankly speculate in the
price of land, with municipal authorities and
with the various oflBcers of financial houses
which are involved in this kind of develop-
ment. I still believe that would be worth-
while. However, we shall see if that can be
accomplished.
Mr. D. M. Deacon (York Centre): It would
be a very rare thing if it does get to standing
committee.
Mr. Breithaupt: The minister, of course, is
of the view, as he has expressed it, that the
law must be clear and must be known as
quickly as possible. My view of that, Mr.
Speaker, is that I would not want a bad bill
just because we were in a hurry to pass one.
I would rather use the powers which the min-
ister has to have an effective date of April 9,
which is a date after which all transactions
will be reviewed. The minister has suggested,
indeed, that matters until September will be
subject to this review so that the kiting of
oflFers which was referred to earlier can be
reviewed and certainly looked into in some
depth.
I am certain, of course, that there will be
some who will attempt to avoid the interest
the minister has shown in trying to regularize
this kind of a situation. Those persons who
choose to break the law in spirit if not in
letter are going to have the ministry's oflBcials
involved in reviewing their particular trans-
actions. I think that is certainly valid.
Since that power does exist, I would suggest
the minister could well reconsider his earlier
comment with respect to the future develop-
ment of this bill. I think that if the power
exists to review all of the circumstances we
can well take several weeks, if necessary, to
come up with a better bill, once we have had
a full discussion of all the possibilities of all
the problems and indeed of the future devel-
opment of this area, and once we have in-
volved all the segments of our society that are
interested in this particular situation.
Mr. Speaker, on the bill itself you will
recall that I made some comments, in my
lead-off on the budget debate for the opposi-
tion last Tuesday, specifically with respect to
the point that was raised that this tax imposi-
tion will, in fact, discourage ofwnenhlp of
land. I suggested that foreign interestf, be>
cause of the safety and because of the desire
to be involved in a growing economy, may
well accept this 20 per cent simply as a cost
of doing business as they see it. I suggest
further to vou, Mr. Speaker, that if that is
the case, it interests in Europe, in Asia, are
prepared to buy into Canada at any price,
then of course the ultimate price they pay
will be reflected in the return they are going
to want to have. If we have done nothing but
add 20 per cent onto the cost of a facility,
then the eventual resident, the home buyer,
the apartment dweller, the condominium
purchaser, are going to be sharing in that
additional cost.
So I caution the minister; I suggest to him
that if he is serious about this, I presume he
would say that no foreign interest could pur-
chase land. If he simply thinks that he is
going to avoid the foreign purchase of land
by the imposition of this tax, then I suggest
he is incorrect. I think this might have a very
slight effect, but in the overall long-term
point of view the attraction of our economy is
going to simply have this imposition of tax
treated as another business expense. I think
that we are only going to be kidding ourselves
if we think this tax is going to suddenly
avoid the problem that the minister foresees.
In my part of Ontario, in the city of Kit-
chener, there has been tremendous growth
and development, much of it stimulated by
foreign capital. I have received several letters
from various dealers and persons who are
involved as agents, particularly for German
funds, and they raise some particularly inter-
esting points. Certainly, Mr. Speaker, I am
not standing here as tneir mouthpiece in the
sense that I may necessarily agree with the
point of view they take, but I thiiJc the points
they raise should at least be discussed. The
reason for this is that if we discourage cer-
tain building and certain procedures, this may
be a decision the government openly chooses
to make; but the point which was raised to
me was the one which I have already just
made for you, Mr. Speaker; and that was, of
course, that it is most important to ensure
that if we are interested in stopping foreign
investment there are ways to do it, and this is
likely not the way that is going to be success-
ful.
Now I noted, Mr. Speaker, that there were
several areas of concern which were sug-
gested in press reports. The persons who are
dealing solely in vacant lands and the trans-
fer of them from one party to another are
1170
ONTARIO LEGISLATURE
the persons which this kind of a tax also is
going to harm. I think that this tax, as it is
looked upon as a companion to Bill 25, An
Act to impose a Tax on speculative Profits
resulting from the Disposition of Land, that
together they are two instruments which the
ministry has chosen to develop in order to
attempt to resolve a problem.
Mr. Speaker, as I have suggested in my
budget speech, this will not resolve the prob-
lem. This bill will not bring any more hous-
ing onto om- market, certainly not this year
and certainly not next year. The only way to
resolve that problem is by increasing large
areas of serviced land immediately, but I will
not repeat the remarks I made in that earlier
debate.
I would suggest, Mr. Speaker, that there
are some particular points on which I would
like to hear from the minister as he responds
with respect to the principle of this bill. Is
it true that the oflBcials in his ministry at
least consider that this tax may be accepted
as a cost of doing business in this province?
Is it true that vendors may be induced to
hang onto their properties, and therefore
since they do not have a ready market avail-
able to them, the supply of housing ulti-
mately will not be developed in the way it
is hoped this kind of bill might assist?
There are various problems that are going
to come up, particularly when we look at
the carrying costs of these various persons
who are speculating, and the persons to whom
they might like to sell their properties. If, for
example, we deal with Ontario residents who
are going to be encouraged to purchase land
and develop it, what sort of a mechanism will
we really have available to us to track down
whether in fact these persons are acting for
themselves, for foreign interests, for non-
residents, for others who may in fact be
putting up the money?
It was interesting to talk yesterday with a
person who, as an accountant, has been in-
volved with speculation. He said to me that
the greatest thing they feared was the un-
certainty of having matters reviewed in the
minister's oflBce. If there was a definition they
could find a way around it; and this, of
course, I think is what we are going to see.
If there is a definition made obviously there
are going to be persons who will lie awake
nights attempting to avoid the results of that
definition. And if the definition says 20 per
cent or 40 per cent or whatever, then in
effect we are going to have persons who are
going to attempt to avoid the problem.
Mr. Speaker, I really don't wish to take up
too much of the time of the House in re-
viewing this bill, because I think that we
are agreed that there are certainly things
which have to be done in order to encourage
housing within the province. However, I feel
that we are also disagreed as to the kinds of
things which, in fact, should be done and
the best manner of putting onto the market
housing which of course is badly needed
within the province.
If this 20 per cent land transfer tax is
going to apply to non-resident sales of apart-
ment buildings then we may well be in a
diflScult position when we look to the lands
of capital developments we need in order to
construct apartments. I think that it may
well be that the tax is vahdly going to be
imposed on those persons who are interested
solely in land speculation. However, I do
suggest that some consideration could well
be given to the matter of applying this tax
to the ownership of completed projects. There
are many builders who are developing their
properties here within the province as a re-
sult of investment of foreign funds. I think
that if we are going to cut out those foreign
funds by this tax then we may well have
some difficulty.
The minister shakes his head, and indeed
this may be one of the points he will want
to clarify. Certainly it's one of the points
which I think is important to have as clear
as possible. \
I believe the shortages of apartment con- j
struction, especially as we approach a zero j
vacancy rate in cities like my own and in
Metropolitan Toronto, are going to give us
a series of problems to get accommodation j
on stream and developed as quickly as pos-
sible. It may be that this tax will have a
serious effect on that matter, and surely there j
is not much merit in putting in a tax if it \
is actually going to harm housing develop-
ment during this period which the govern-
ment admits is one of crisis.
Mr. Speaker, those are just a few remarks. !
I think that we would like to hear from
the minister and I'm sure that many other i
members will wish to make their comments,
so that the various points that have been \
raised are clarified and so that our people ]
know, as a result of this debate, the directions i
in which the ministry is moving.
Mr. Speaker: We want to give the Min-
ister of Labour an opportunity to introduce
a group which he wishes to introduce to ]
the House. j
Hon. F. Cuindon (Minister of Labour): ]
Thank you very much, Mr. Speaker. I'm sure \
the hon. members would like to join me this i
APWL 19. 1974
1171
morning in welcoming students from the
Etienne Brule French high school, Toronto,
in the west gallery.
Monsieur le President, je vous remercie.
Au nombre de nos visiteurs ce matin je suis
heureiix de signaler la pr^ence des 6tudiants
de r^ole secondaire frangaise Etienne Br{iI6
de Toronto qui sent aocompagn^ de leur
professeur. Au nom de tous mes collogues je
leur souhaite la plus cordiale bienvenue k la
Legislature ontarienne.
Mr. Speaker: The hon. member for Went-
worth.
Mr. I. Deans (Wentworth): Mr. Speaker,
I too have a few comments I want to make
about the bill.
An hon. member: Quite a few.
Mr. Deans: I want to begin by saying
that I must say to the member for Kitchener
I'm not quite clear whether his party is in
favour or opposed to the bill. I gathered
from his leader's comments on the day the
legislation was introduced that the Liberal
Party was very much in favour of what the
government was doing in regard to this bill.
Ill be very interested in watching how the
vote goes, just to determine whether we are
back into the education debate again.
I want to say to the minister one thing to
begin with. We've raised a niunber of times
the problem of separating policy from ad-
ministration in the area of taxation. I believe
the Treasurer of the Province of Ontario has
an obligation to be here today to defend his
policies with regard to this particular legis-
lation. The minister who is before us is
dealing only with the application of the
legislation, how it will be applied, including
the force in the province, rather than the
policy considerations that resulted in the
legislation coming forward from the cabinet.
I think at this time we should in fact be
dealing with the policy, what the policy
really is of the government and what the
intention of this legislation is supposed to be.
An hon. member: Bankrupt!
An hon. member: That's what the first
speaker was.
Mr. Deans: I think it wotdd serve the
government well if the Treasurer were to find
the time to come into the Legislature and to
listen to the reasons why other people here
feel that perhaps this is not an appropriate
way to deal with a very severe problem in
this province.
I want to state right o£F the bat, Mr.
Speaker, that we will oppose the legislation.
We will oppose the legislation because it it
not the kind of thing that should be done in
the Province of Ontario if the government's
intention is to eliminate both speculation and
land holdings of foreigners in Ontario.
The Legislature set up a select committee
and that select committee studied the matter
of the foreign land holdings in the Province
of Ontario. In fact, the current member in the
chair is the chairman of thai committee. The
committee studied at some length the impact
of foreign ownership of land in the Province
of Ontario. The committee gave a great deal
of consideration and produced a report, the
entire report being some 60 pages long, deal-
ing entirely with the matter of foreign owner-
ship of land, foreign ownership of real estate.
The committee considered whether or not
there should be a tax applied to the foreign
ownership at the time of sale and the com-
mittee rejected it as being an imwoHcable
and an unnecessary way to do business. The
committee rejected it, saying-
Mr. E. W. Martel (Sudbury East): Did the
minister read the report?
Mr. Deans: —that the time had come in
Ontario for us to reclaim for Ontarians and
future Ontarians the ownership of land in
this province.
The committee went on to say it believed
that it was necessary to put a stop to the
further purchase of land by non-residents and
by foreigners in the Province of Ontario. That
was after careful deliberation. That was after
the committee had taken the time to hear
many representations from many representa-
tives of a number of groups across the Prov-
ince of Ontario. The committee had the
benefit of the expert advice, the best advice
available, in the province. The committee
came to a number of conclusions and the
government has decided, for reasons which I
can't understand, to completely—
Mr. Martel: Ignore.
Mr. Deans: —ignore the recommendations
and conclusions reached bv that committee. I
happen to be a member of that committee, as
is my colleague from Sudbury who will speak,
and I know the member for York Centre
wants to speak. I want to say that that com-
mittee's recommendations were far-reaching.
If that committee's recommendations had
been followed, this particular tax would not
have been brought forward by the govern-
ment at this time.
1172
ONTARIO LEGISLATURE
The member for Kitchener says that it will
become a cost of doing business in the prov-
ince of Ontario. A 20 per cent tax at this
time will not only become a cost of doing
business, it will be a force that will increase
the cost of land and holdings in Ontario.
The 20 per cent tax, rather than being a
deterrent against the purchase of property,
will become simply a built-in cost that will
add to the inflationary spiral of land costs in
this province. And it is not going to solve
the problem. It's not even going to begin to
solve the problem. In fact, it could be fair to
say that this is going to add to the problem;
it is going to add to the inflationary spiral
and it is going to increase the cost of land in
Ontario. And this is exactly the opposite to
what the government has stated its intentions
to be.
We will oppose it because it is basically
wrong, it is silly and it doesn't meet the ob-
jectives of the government in providing any
kind of stop to the spiralling costs.
If this government had taken even a
moment to read the recommendations of the
committee, if this government had honestly
believed that the setting up of that select
committee was a worthwhile endeavour and
that the time spent by the members of the
Legislature in studying this matter deserved
even a tiny consideration, then they could
never have come down with this kind of
legislation.
What did the committee recommend? I
think this is important and germane to the
argument that we are going to have. Let me
refer all members of the House to the interim
report of the select committee, dated 1973,
on foreign ownership of Ontario real estate.
It deals specifically with this very problem.
Mr. Martel: It's signed by seven Tories.
Mr. Deans: And let me read from page 53
in the summary of recommendations:
Ownership of real estate by individuals:
1. The committee recommends, subject
to recommendation 2, that all future trans-
fers of legal or equitable (including lease-
ihold) interests in real property in Ontario
to individuals, directly or indirectly, be re-
stricted to Canadian citizens and landed
immigrants resident in Canada.
Mr. Martel: Did the minister hear that?
Mr. Deans: That's point No. 1.
Mr. Martel: And it was signed by seven
Tories.
Mr. Deans: This bill doesn't even begin to
deal with that.
'2. The committee recommends that indi-
viduals who are neither Canadian citizens
nor resident landed immigrants be entitled
to lease real property in Ontario for a maxi-
anum period of one year without option of
renewal being included in the arrangement.
'3. The committee recommends that per-
sons who, subsequent to the implementa-
tion of recommendation 1, acquire real
property in Ontario (other than by short-
term lease) as landed immigrants resident
in Canada, and who subsequently lose their
resident landed immigrant status other than
by becoming Canadian citizens, be required
to dispose of property so acquired, within
ithree years of the effective date of their
change in status.
4. The committee recommends that indi-
viduals otherwise ineligible to acquire real
property in Ontario who are designated as
beneficiaries of real property in Ontario
under a will or intestacy be required to dis-
•pose of the property so acquired \vithin
three years.
5. The committee recommends that
municipalities in Ontario be empowered to
levy a surcharge of up to 50 per cent of
'the real property tax otherwise applicable
in respect of land owners in Ontario not
ordinarily resident in Canada.
6. The committee recommends that the
policy and practice with respect to real
'estate on which property tax obligations
are in default be reviewed with particular
attention to public advertisement, notifica-
tion to adjoining owners, auctioning and
tendering, and uniformity of procedure.
I'll go on in a moment, but at the outset I
want to suggest to the government that if it
is their intention to reclaim for Ontario the
land that rightfully belongs to us, then these
are the kinds of recommendations and the
kinds of actions that have to be undertaken.
And if it is their intention to drive down
the cost of land in the Province of Ontario,
to decrease the cost of real estate in the
'Province of Ontario, then adding a 20 per
cent tax isn't going to do it, and we are
opposed to it.
If there is any value at all in using tlie tax
mechanisms of the province to drive down
the cost of land, then the only way they will
be effective is if the tax is 100 per cent, and
anything less than 100 per cent becomes a
cost of doing business in the Province of
Ontario. Tliis 20 per cent will simply mean
that land and property which was previously
APRIL 19, 1974
1173
at a levrf almost out of the reach of anyone
in the Province of Ontario will have, as an
additional cost, 20 per cent added' on. And
we don't see that as being a worthwhile way
to deal with what has become a major prob-
lem confronting most, if not all, of the resi-
dents.
Under the area of commercial and corpor-
ate real estate ownership, the committee made
further recommendations; and we numbered
them starting at No. 7, again on page 53:
i7. The committee recommends, subject
to recommendation 8, that all future acquis-
•iticMis of land in Ontario other than by
individuals be restricted to corporations or
ventures not less than 75 per cent owned
by Canadian citizens or landed immigrants
resident in Canada.
TTiat is not being done by this bill.
8. The committee recommends that cor-
porations less than 75 per cent owned by
Canadian citizens or resident landed immig-
rants, who can establish that it is bona fide
in the nature of their business to acquire
dand on a regular basis for real estate de-
(velopment or finance, have the option of
(becoming 75 per cent owned by Canadian
citizens or resident landed immigrants as
'a condition of being entitied' to continue
to acquire land during the period required
to obtain a fair price for the corporation's
shares on the Canadian market.
And that is not being done by this bill.
9. The committee recommends that cor-
porations or ventures less than 75 per cent
owned by Canadian citizens or resident
landed immigrants be entitled to obtain
leasehold interest in land in Ontario on
terms appropriate to their commercial
needs.
And that is not being done by this bill of
this government.
I turn to No. 11— they all are applicable,
but they don't all have to be read into the
record:
11. The committee recommends that
foreign ownership of or investment in real
estate other than land in Ontario should be
investigated further as a priority matter,
with a specific view to assessing the desir-
ability of extending the committee's recom-
mendations regarding commercial and cor-
porate ownership of land to all real prop-
erty in the province. A study should in-
clude examination of:
(a) the role of foreign investment in the
behaviour and performance of markets for
and development of real estate other than
land in Ontario;
(b) the extent and nature of Ontario's
requirements, if any, for foreign capital for
real estate development;
(c) the other various aspects of foreign
ownership of or investment in real prop-
erty other than land identified in the fore-
going discussion.
And that didn't take place! And that should
have taken place! Ana that should have been
one of the priority matters of the government
if it really believes as a government that there
is a need to do something in Ontario about
the rapidly escalating costs of real property
and land and the inflationary spiral that is
forcing many Ontario citizens to tne wall with
regard to their inability to meet their com-
mitments to provide basic shelter for their
families.
I want to tell you, Mr. Speaker, that I
seriously wonder now at the value of the
study that was conducted by this committee.
This committee conducted a study I sus-
pect unlike any ever conducted by any com-
mittee of this Legislature heretofore. I think
it fair to say that there was more time and
effort put into the compilation of the reports
of this committee than any other single com-
mittee that ever was struck by this Legisla-
ture.
We sat for days and days on end, just on
land alone. We met with people who express-
ed any interest at all in the problem of land.
We met with developers; we met with
builders; we met with speculators; we met
with financiers. We spoke to people outside
of the country about the impact of the pro-
posals we were making. We spoke to them
in Switzerland, because it was important. We
spoke to them in New York, because it utis
important. We wanted to see the impact of
what we were going to do and what we %vere
going to recommend.
We attempted to come up with recom-
mendations which would protect the interest
of Ontario against the intrusion— the unwar-
ranted, unjustified and unnecessary intrusion
—of financiers from outside of Canada. We
came down, we believe, with recommenda-
tions which, if implemented by this govern-
ment, would have made this kind of tax
unnecessary; they would have made this kind
of move by the government completely and
totally out of character with what we were
trying to get.
It's hard to convince the government, ob-
viously, that the impact of what it is doing
is going to be exactly the opposite of what it
intends. What's going to hapi)en in Ontario is
that those people who already have suflBcient
1174
ONTARIO LEGISLATURE
capital to invest and who are outside the
Province of Ontario and outside the Dominion
of Canada as investors are simply going to
add on the additional cost of doing business
here, and when the time comes to pass it on
to the Ontario resident; that will be a cost
which we in Ontario wiU have to bear.
That will be a cost which will be built in
in the final analysis. The minister shakes his
head and holds his arms up.
Hon. Mr. Meen: On a point of order.
Mr. Deans: On a point of order?
Hon. Mr. Meen: It's really quite contrary
to the point I have already made. If a foreign
investor comes in on this basis to develop
lands for the benefit of Canadians or Cana-
dian residents, we will give him a waiver of
that tax. If he eventually does meet his com-
mitment and sells to Canadian residents, the
tax will be written oflF. There will be no
obligation, not even interest.
Mr. Deans: The problem-
Mr. R. D. Kennedy (Peel South): It is
obvious the member hasn't read the bill.
Mr. Deans: We have read the bill and I
understand the bill.
The point the minister makes is wrong.
That's not what is going to happen, because
the speculator in land invariably turns the
land over from time to time through other
speculative processes. It goes from the specu-
lator to the developer and there will be no
appreciation of value. There wiU be no
development taking place. There has never
been in the past; there is not going to be in
the future. The speculator in land who is
going to be—
Hon. Mr. Meen: We are not talking about
the speculation tax.
Mr. Deans: We are. We are talking about
the foreign holdings and it will include the
speculators in lands. It will include the
speculators. What's going to happen is that
they are going to develop a process whereby
when they turn the land or the property or
whatever over from their holding company
to the Canadian operation or to the operation
here that cost will become a cost added
into the cost of doing business.
It will inflate the price of property in the
Province of Ontario. It will not deflate it.
Even in the case of the speculator, even in
the case where the land is sold from foreign
hands to foreign hands, that cost will be
built in. That will establish the market
value. This is what I am trying to get
through to the minister.
As those properties change hands and that
cost becomes a built-in cost, that cost will
be part of the basis of establishing market
value in the Province of Ontario. It will have
an impact, an upward thrust, on the value
of property. When the foreign speculator
or investor sells his land to another foreign
speculator or investor and is forced to pay
the tax— or in reverse when it's sold from
Canadian to foreign hands and there has
to be a tax paid— that tax will be added in.
That will then become the value of the
property for the next sale.
It will continue the upward escalation of
prices; and that's where the minister is
wrong. That's where the tax isn't going to
work and that's why we say that is not the
way in which to deal with the problem.
If the minister coidd prove to me there was
going to be a two-pricing system in the
Province of Ontario whereby those who were
involved and had this tax applied against
the sale would have a higher price to pay
or would be unable to absorb the cost into
the final value, okay. But he can't do that,
because no matter what the costs are they
become the costs to everyone else and it
simply means there will be a larger profit
which will take into account what would
normally be a 20 per cent tax as set out in
the bill.
The minister is wrong in the way in which
he sees the tax working. I don't doubt for
a moment that he envisages it as working
diff^erently, but it can't.
Mr. Speaker, to go on. The committee of
which the member for—
Mr. S. Lewis (Scarborough West): Sud-
bury East?
Mr. Deans: No, the chairman.
Mr. Lewis: Northumberland (Mr. Rowe).
Mr. Deans: The committee of which the
member for Northumberland was the chair-
man undertook to try to meet the problems.
It undertook to try to come up with recom-
mendations which would have met not only
this particular projadem but many of the
other problems involving both land specula-
tion and foreign holdings of real estate in
the Province of Ontario. If this government
had had any intention at all of meeting its
commitments to the people of the province,
they would have followed the recommenda-
tions.
APRIL 19, 1974
1175
But the government wasn't in the business
of trying to meet its commitments to the
people of the province. The government
seems, these days, to be in the business of
trying to sell to the people of Ontario, by
way of great press statements, the idea they're
doing something about the housing needs
while in fact they are playing Ae game
alongside the speculator.
This go\emment, in fact, has even been
part of the speculation in the Province of
Ontario. This government has, over the years,
steadfastly refused to use the lands which it
held within Ontario Housing Corp. to pres-
sure down the cost of land in the Province
of Ontario. Even though these things were
brought to its attention, this government has
never recognized its obligation to put an end
to speculation in the essentials. This govern-
ment has never taken a step to try to end,
once and for all, the speculative impact of
people who have no interest in the welfare
of the province, reaping from the jniblic mas-
sive amounts of money without any substan-
tial input into the economy. This is where
the problem really lies.
I'm going to tell you Mr. Speaker, un-
less the government is prepared to put an
end to speculation in land— an end to it—
unless the government is prepared to make
the tax on speculation so severe as to make
speculation unprofitable, then it will con-
tinue. It will continue here in this bill, and
it will continue in the companion legislation.
Bill 25.
I'm not the only one who thinks that the
speculator is going to find ways of building
this particular tax into the final sale price.
Everyone else believes it. Even those dealing
in land beheve that this will be built in.
Let me read something to you, Mr. Speaker,
if I can find it. I just can't pick out the spot
but there is an article in the Financial Post
of April 20 which says, "but few exi)ect the
tax to reduce prices in the near future." I
can't just pick it out, but it says that it will
become a cost of doing business in Ontario
and that the speculator in land and the
foreign holders of land wiU simply add that
tax in.
I ask the minister, I ask him seriously: Does
the government intend to stop foreign owner-
ship of land in Ontario?
Mr. Martel: That is the issue. That is
really the issue.
Mr. Deans: Is it the intention of the gov-
ernment to put an end to foreign ownership
of land in Ontario? Because that's the key
question.
If it's the intention of the eovemment to
put an end to foreign ownership then you
simply stop it by law, Mr. Speaker, and you
don't run the ri^ of further escalating prices
by way of an additional tax whidi by the
government's own statement really is not in-
tended to yield much by way of revenue in
any event.
If the government doesn't intend to stop
speculation in Ontario then it must stop play-
ing games with the public. It must not pre-
tend these two taxing measures are going to
suddenly reap for the public of Ontario a
great benefit with regard to a reduction in
realty costs, because the real estate agents
don't believe it, the developers don't believe
it, the speculators don't believe it and the
pubhc doesn't believe it.
If the minister honestly feels there is a
need to put an end to what has become one
of the greatest single problems confronting
Ontario residents, particularly young people,
then I suggest to him that he withdraw this
bill and come back into the Legislature with
a bill that will say clearly ana equivocally
that we will not permit any further foreign
investment in Ontario and that we will put
an end to the speculative aspects of the
moneys already here. Thank you.
Mr. Speaker: Before the hon. member for
York Centre proceeds, perhaps I might be
granted a moment to inform the House that
in the name of Her Majesty, the Queen, the
Honourable the Lieutenant Governor has
been pleased to assent to certain bills in her
chambers.
ROYAL ASSENT
Tlie Clerk Assistant: The following are the
titles of the bills to which Her Honour has
assented:
Bill 20, An Act to amend the Farm
Products Grades and Sales Act.
Bill 27, An Act to amend the Retail Sales
Tax Act.
LAND TRANSFER TAX ACT
(continued)
Mr. Speaker: The hon. member for York
Centre.
Mr. Deacon: Yes, Mr. Speaker. I find this
bill one of the most maddening pieces of
legislation that has ever been brought before
this House. It is another example of a govern-
ment sham or pretence of accomplishing
1176
ONTARIO LEGISLATURE
something it knows the public wants to see
achieved. It knows the public is concerned
about the fact that foreigners are second only
to this government in fanning and fueUing the
fires of land speculation.
This government is buying up land and
putting funds in the hands of those who have
found out ahead of time where it is going to
buy and then allowing them to go and buy
new areas of land. This government has failed
to recognize that only when there is a surplus
of a product will there not be speculation.
What bothers me here is that the govern-
ment is trying to pretend that it is concerned,
as was the select committee, about foreign
buying of land in Canada and is making it
more difficult for Canadians to own their own
country.
Mr. Lewis: Well, the Liberals welcomed it
on budget day. They welcomed it. They
applauded the government on budget day.
Mr. Breithaupt: In principle.
Mr. Martel: They are all over the baU park.
Mr. Lewis: They applauded them for both
taxes on budget day.
Mr. Martel: They welcomed the tax, and
they were going to support it.
An Hon. member: No, we said-
Interjections by hon. members.
Mr. Deacon: Who has got the floor?
Mr. Lewis: The hon. member for York
Centre has the floor.
Mr. Deacon: Thank you.
Mr. Martel: They're the greatest flip-flop
artists around.
Mr. Speaker: Order please; order.
Interjections by hon. members.
Mr. Martel: Twenty minutes ago they were
going to support the bill.
Mr. Speaker: Order. The hon. member for
York Centre has the floor.
Mr. Martel: Twenty minutes ago they were
supporting the bill.
Interjections by hon. members.
Hon. A. Grossman ( Provincial Secretary for
Resources Development): Next budget, when
the press asks for comment, wait 24 hours.
Mr. Lewis: What to say is: "Maybe."
Hon. Mr. Grossman: Say to them, "I'll tell
you in a few hours."
Mr. Martel: It didn't even take that long.
Mr. Deacon: The thing that bothers-
Mr. Lewis: Know what I am doing now? I
am taking a couple of headache pills. The
hon. member is giving me a headache.
Mr. Deacon: Well, I am glad the hon.
member is buying a foreign pill.
•The thing that really concerns me here is
that surely some of the people who are taken
in by th^ sort of pretence might be some
members of our own party.
The public as a Whole is very conscious
of the need to restrict buying of land to
Canadians. But just because we happen to
have a huge land mass in this coimtry doesn't
mean that we have an imlimited supph' of
land for the purposes that we want as Cana-
dians—for example, building sites, recreational
cottage lots and recreational land. Indeed',
there is a definite restricted availability of
such sites in this province. We know that
other countries throughout the world are
recognizing that unless they own their own
land they indeed are going to be threatened
with losing their sovereignty over the land
they are supposed to have.
Our select committee recognized the need
not to discourage development of housing or
other developments that would add to the
economic activity and strength of our prov-
ince. It recognized there are alternatives to
owning land, that in most cases the only
reason foreigners are anxious to own land is
so that they can ride up with the inflation in
land values that this government has caused
by its policies over the last 20 years. In fact,
there are many examples of excellent develop-
ments carried out by all types of investors, of
improvements to properties, buildings and
different deals on land-lease deals.
No impediment is caused by the fact that
one cannot own the property outright— none
at all. There are all kinds of ways for
improvements to properties to be made by
those who bring in capital from outside this
country, as well as those who have ordinary
domestic capital to develop and improve
property. There is no reason why we should
tear the results of outright prohibition of land
ownership by foreigners and non-resident
Canadians.
I want to indicate that this government has
really pulled the wool over the eyes of the
APRIL ra. 1974
I1T7
people o£ this province by this device of a
transfer tax, hoping that it will indeed make
people feel it is recognizing a problem of
foreign ownership of land and doing some-
thing about it. It isn't. It is a sham. It is a
shell
It is going to be ineffective, and particu-
larly ineffective because it is dealing with a
situation at this time where there is a short-
age of building sites and there is a shortage
of recreational land. And under these cir-
cumstances all that happens in a situation
where it is a sellers' market is that prices
have increased so that any cost such as this
tax imposes is just passed on to the buyer.
Surely this government can find better
ways to get revenues than this, because this
is not going to do anything except penalize
the end buyer; the person who is trying to
rent an apartment or is leasing space or
accommodation. We are oaly making it pos-
sible, by what we are doing here, for the
government to pretend it is doing something
when, in fact, it isn't doing anything at afi
to help the basic problem we face in Ontario
from foreign ovmership of land. And it is for
that reason I certainly feel this bill is a fraud
and a deceit.
Mr. Speaker: The hon. member for Sudbury
East.
Mr. Martel: Mr. Speaker, I must say before
I get into the principle of this bill, that I
watched with amazement this morning the
transition that took place to my right.
Mr. Kennedy: Don't be surprised' any more.
Mr. Martel: The far right-I think it is even
further right than the Conservative Party if
that is possible— but it took place again this
morning, much like the teachers. Within 20
minutes after my colleague, the member for
Wentworth, started to speak, they had de-
cided they would flip-flop. The welcome of
the bill by the leader (rf the Liberal Party
the other day was gone, the remarks of the
member for Kitchener were gone, and we
heard the last speaker. They v*rere in—
Mr. Deacon: Did the member for Sudbury
East hear the first speaker support the biU?
Mr. Breithaupt: Did I support the bill?
Mr. Martel: Yes, the member for Kitchener
didn't say he was going to welcome it; in
fact he was very careful not to indicate where
he was going to stand on it. He wanted to
find out which way the political winds were
going to go before he would take a position;
and that is typically Uberal. It it cdled
flexibility.
Mr. Breithaupt: Whv doesn't the member
for Sudbury East speak on the bill?
Mr. Martel: They call it something else.
An hon. member: Middle of the road, isn't
it?
Mr. Martel: Mr. Speaker, I want to tell
you that I oppose the bill. After a year of
study on this, I guess, it is amazing. I am
absolutely convinced not a cabinet minister
read the bill or the select committee report.
Mr. R. Haggerty (Welland South): The
member doesn't want any controls at all, does
he?
Mr. Martel: The member for WeUand
South will hear what I want in a few
moments. Don't get excited; he will hear
what I want in a few moments.
Mr. Haggerty: The member is opposed to
any controls at all; that is what he is telling
Mr. Martel: No, I am not opposed to
controls.
Mr. Haggerty: That is what the member
for Sudbury East just got through saying.
Mr. Martel: If the member for Welland
South will just restrain himsdlf for a few
moments, just a couple of moments, I will
get to what our position is.
Mr. Speaker, after a year-
Mr. Kennedy: It would be nice to know.
Mr. Martel: Well, the member for Peel
South should know; he was on the com-
mittee.
After a year of study, my colleague in-
dicated what the recommendations were by
the select committee— an Il-man ccmmiittee
made up of seven Conservatives, who sup-
ported the recommendations-
Mr. Kennedy: Some of them; some of die
recommendations .
Mr. L. M. Reilly (Eglinton): Some of them.
Mr. Martel: I am sure the member for
Peel South who is now interjecting—
Mr. D. C. MacDonald (York North): There
were some dissenters.
Mr. Martel: I am coming to that. I wanted
to make sure I cleared that up— there were
1178
ONTARIO LEGISLATURE
some dissenters— but the overall principle of
the report was accepted by all the members.
Mr. Haggerty: The member for Sudbury
East is one of those who dissented.
Mr. Martel: That's right, and I want to tell
the member that I further dissent to this
bill. The important thing is, though, that
despite some dissent— in fact I want to read
one of the dissents, Mr. Speaker. It will show
you how ludicrous the position of the Min-
ister of Revenue is. These are dissenting
opinions of Messrs. Kennedy, Newman, Rowe
and Walker. And do you know what they
were dissenting to, Mr. Speaker? Listen to
this: "In our view it would be improper to
levy a surcharge of the sort proposed on
non-resident taxpayers."
They didn't want a surcharge on non-
resident taxpayers for recreational land. What
the government is doing is it is imposing 20
per cent— and are the members going to
support it?
Mr. Kennedy: That's individual existing
recreational cottage areas. The member is all
mixed up between the report and the bill.
Mr. Martel: I will read the rest, Mr.
Speaker: "Non-resident land owners are in
effect tourists, who when visiting Canada do
contribute to the general revenues of all
three levels of government."
What difference does that make if they
buy it tomorrow? What difference does it
make if under the new bill they are going
to pay 20 per cent more for the right to
purchase property in Ontario? But the gov-
ernment is dissenting to anything.
Mr. Kennedy: Does the member want to
practise discrimination right now?
Mr. Martel: Well, the government is prac-
tising discrimination. It is going to dis-
criminate against anyone why buys land
in Ontario tomorrow.
Mr. Keimedy: Yes, but—
Mr. Martel: The government can't have it
both ways.
Mr. Kennedy: But that is known in ad-
vance. The member can't have it both ways.
Mr. Martel: That's known in advance? It's
going to be interesting, Mr. Speaker, to see
where these four gentlemen vote.
Mr. Kennedy: No problem.
Mr. Martel: It is really going to be in-
teresting, Mr. Speaker, because you hear the
member for Peel South, as he argues this 50
per cent surcharge suggested by the com-
mittee is discriminatory and he is now say-
ing it's okay to put 20 per cent on though.
If that's not discriminatory, I wonder what
you call it.
Mr. Kennedy: It is not in imfair taxes.
Mr. Martel: It goes on to say-
Mr. Kennedy: The member has an ob-
session.
Mr. Martel: —"a surcharge which would
fall on non-Canadians who own vacation
lands in this country would be discrimina-
tory."
The same would apply to those business-
men then who bought land and had to pay
20 per cent more. Wouldn't that be dis-
criminatory? The government is all over the
ball park.
Mr. Kennedy: Applying that surcharge on
a few people is frivolous.
Mr. Martel: Isn't that interesting? It's going
to be interesting to see whether the member
for Peel South votes for discrimination or not.
The member for Victoria-Haliburton (Mr. R.
G. Hodgson) is enjoying this because he sup-
ported the recommendations of this report, all
of them.
Mr. Kennedy: Just a frivolous levy.
Mr. Martel: Why did we oppose any more
foreign domination? It is unfortunate the
member for Welland South is not in Iiis seat,
because I want to make the point, as my
colleague from Wentworth did, that the ques-
tion is a very simple one: Do we allow more
takeover by the foreign sector of land in
Ontario? Tiie select committee said no on
all counts.
It's obvious the Minister of Revenue did
not read the report. It's obvious his advisers
didn't take time to look at what an 11 -man
committee of this Legislature, who had coun-
sel and who had researchers to work with
them, recommended. In fact, the last recom-
mendation of this report states, and I want
to put it on the record because it's very
important:
The committee recommends review and
implementation of its recommendations as
a matter of urgency and priority, and that
consideration be given to the early pro-
mulgation of a date on which the imple-
mentation of the committee's recommenda-
tions would take effect.
APRIL 19, 1974
1179
The minister has ignored it in totality. Who
in God's name on that committee of his or
in the Treasury even looked at this report?
Who looked at it? Who looked at the recom-
mendations of an 11-man committee who had
counsel themselves, who had a research staff
themselves, and for over a year wrestled with
this problem, bringing in everyone who had a
say at all? My friend, the member for Peel
South, knew what we haggled about and
what we finally decided it was based on.
Let me put a paragraph from the report
on the record.
Mr. Kennedy: Would the member permit
a question?
Mr. Mattel: Yes.
Mr. Kennedy: A few minutes ago the
member said that the committee agreed on
all cotmts. Does he mean by that on all
classes of real estate?
Mr. Martel: No. On the principle of land
ownership, on the basic principle. There was
some difference of opinion on commercial
land.
Mr. Kennedy: Well now, the member is
misleading this House because—
Mr. Martel: On the basic principle.
Mr. Speaker: The hon. member for Peel
South is out of order.
Mr. Kennedy: On a point of order, Mr.
Speaker. The hon. member, with all respect,
is misleading the House, because he implies
that the 11-man committee agreed on all
counts if he said the words which I think he
means— "all categories of land." There was
substantial dissent with respect to commer-
cial and industrial lands. I think that should
go on the record for clarification.
Mr. Lewis: He wasn't implying it; he was
explicitly asserting.
Mr. Breitbaupt: He said it.
Hon, Mr. Grossman: He was giving the
impression of some other things.
Mr. Martel: Mr. Speaker, let me say that
on page 12—
Mr. Kennedy: Do you accept that point of
order, Mr. Speaker?
Mr. Martel: —is one of the things that
decided the committee's eventual report. It
says:
On the other hand, the committee does
not feel the issue of foreign ownership of
land or other real estate is appropriately
dealt with merely by arrivine at a judge-
ment about the present level and signifi-
cance of land holdings. Attaining optimal
development and land utilization for the
people of Ontario and Canada demandl
long-term perspectives and solutions. The
committee is of the view that the nature
and patterns of foreign demand for real
estate in Ontario merit careful considera-
tion in this context.
A 20 per cent siircharge isn't going to do a
thing about it.
I'm not sure if the minister is aware that
immediately to the south of us— and this is
one of the things which impressed the com-
mittee—is a population of 100 million Amer-
icans—just immediately to the south of us in
the "golden horseshoe" area- who have as
much leisure time as Canadians, higher
wages, more disposable income, and who in
fact are screaming for hmd. One hundred
milHonl
I'm wondering again if the minister is
aware that certain countries, such as Ger-
many, provide special tax laws which encour-
age the purchase of land in other countries
and give concessions for that purchase back
in their own state, such as Germany.
My friend the member for Victoria- Hali-
burton knows. He has whole townships tied
up by German capital because they have
special tax laws in Germany which encourage
the purchase of land in Ontario or in coun-
tries other than their own. It's a very easy
matter for those laws in Germany to be modi-
fied to take into account the 20 per cent and
it won't change a thing. When this report
was being drafted one ming taken into con-
sideration was the amount of money for in-
vestment that the Arab world has now and
the fact that they are looking for investments
and looking for an oudet.
Hon. Mr. Grossman: So K>ng as they don't
buy in Forest Hill.
Mr. Deans: Hiat's a problem.
Mr. Martel: They just might.
Mr. Deans: That's exactly the problem.
Mr. Martel: iTie point is, we have tre-
mendous masses to the south with more
money. What happens when they start buying
land for any purpose? Recreational land for
private individuals is not stopped.
An hon. member: No, it's the oil wells.
1180
ONTARIO LEGISLATURE
Mr. Martel: They can pay more because
they have more disposable income. What
does that do for the population of Ontario
and for Canada if Canadians, other than
those dwelling in Ontario, want to purchase
land in Ontario? What happens to that land
as it is being driven up because Americans
have more money to spend? The 20 per cent
isn't going to do it. They'll be willing to pay
the 20 per cent because they haven't got
land in the United States. They must come
here.
We're talking about 100 million immedi-
ately to the south of us and we're talking
about a population of 200 million. What
happens witib the special tax laws of other
countries which encourage investment in On-
tario in the form of real estate?
One wonders again, as my colleague said
earlier, what good is the select committee? Is
it just to appease the public because we're
studying it? Are any of the recommendations
of a select committee ever taken seriously?
We spend $1 million to prepare reports and
these two bills, particularly the one we're
debating today, fly totally in the face of the
report. Why have it? It's a waste of time.
'Mr. Speaker, I just want to quote a few
sections from this. It says:
An important source of foreign demand,
as is wddely known, is the United States.
Two facts place the issue in stark perspec-
tive: the states neighbouring Ontario are
'among the most populous in the United
States and the wealthiest in the world.
Interjection by an hon. member.
Mr. Martel: Well, if the member thinks 20
per cent is going to prevent them from buy-
ing into Canada or into Ontario, he is
wmstling in the dark. It goes on:
Over 100 million persons live in the
northeast and north-central regions of the
United States adjacent to Ontario, and with
the exception of California, these areas have
the highest incomes in the world.
For other reasons too, Ontario and
Canada are and' have been attractive places
to buy land; and for real estate in general.
From a general business standpoint, On-
tario has been and is a desirable place to
establish business operations.
'Further, particularly in or near urban
regions, investment in real estate in On-
ttario has been attractive to both foreign
and domestic investors. In particular,
British, other European and Japanese in-
vestors, encouraged by substantial upward
revaluation of their currency relative to the
Canadian dollar, are active participants
in Ontario real estate markets.
All these factors translate into significant
foreign demand for land and buildings in
Ontario, and point to an acceleration rather
than an abatement of the acquisition of
Ontario real estate by non-Canadians, The
nature and implications of developing pat-
terns and trends of foreign ownership are
considered below.
And I'll just put on the record, Mr. Speaker,
if I might, a couple of figures I had with
respect to who owns what and where the in-
vestment lies. Well, I'll come to them in a
moment.
For example, on page 27, it says:
Representatives of the Urban Develop-
ment Institute estimated before the com-
mittee that of the order of 50 per cent of
the developable land in zone 1 of the
Toronto-centred region is owned by foreign-
ovmed developers. [Fifty per cent in the
Toronto-centred region is foreign owned.]
For example, it was given in evidence
before the committee that 95 per cent of
the property managed by the Metropolitan
Trust Co. is foreign owned.
Does the minister think 20 per cent is going
to change any of that?
Hon. Mr. Meen: Is the member suggesting
we expropriate them?
Mr. Martel: No, I am suggesting—
Hon. Mr. Meen: Confiscate them?
Mr. Martel: Well, there is a recommenda-
tion in here—
Hon. Mr. Meen: What does the member
suggest?
Mr. Martel: Did the minister read the
report?
Hon. Mr. Meen: Yes, I have read some
sections of it.
Mr. Martel: The report? Even the recom-
mend^ations? Did he read them? Because there
is a recommendation which says that they
would have three years. It says:
The committee recommends that individ-
uals [and the same could apply to corpora-
tions] otherwise ineligible to acquire real
property in Ontario who are designated as
beneficiaries of real estate property in
Ontario under a will or intestacy be re-
quired to dispose of the property so
acquired in three years.
APRIL 19. 1974
1181
Or the minister could do the other thing that
we have discussed, that I—
Hon. Mr. Meen: Now members opposite
are against that too.
Mr. Deans: Yes, there are always a few
who are not very bright.
Mr. Martel: Or he could do as recommen-
dation No. 8 says.
Interjection by an hon. member.
Mr. Deans: But the committee recommen-
ded it.
Interjection by an hon. member.
Mr. Deans: The minister couldn't even con-
vince his own colleagues that we were wrong.
Mr. Martel: Recommendation No. 8 could
take care of that. He could do that with real
estate.
Mr. Deans: He couldn't convince them we
were wrong.
Hon. Mr. Meen: I convinced them mem-
bers opposite were wrong, that was no
problem.
Mr. Martel: Recommendation No. 8 says:
The committee recommends that cor-
porations less than 75 per cent owned by
Canadian citizens or resident landed immi-
grants, who can establish that it is bona
fide in the nature of their business to
acquire land on a regular basis for real
estate development or finance, have the
option of becoming 75 per cent owned by
Canadian citizens or resident landed immi-
grants as a condition of being entitled to
continue to acquire land during the period
required to obtain a fair price for the
corporations' shares on the Canadian
market.
The menrjber didn't read this report; it is
obvious. It is so obvious. It is pathetic that
he would be in here trying to sell us a bill
when he doesn't even know what the select
committee that studied the situation for
a year discovered.
Mr. Renwick: And when the Treasurer
says this is on interim step towards serious
consideration of these propositions.
Mr. Martel: He has gone by some adviser.
Could the minister not at least take into
consideration his cabinet colleague, the Mini-
ster of Housing (Mr. Handleman). The Mini-
ster of Housing signed this report along with
the rest of us before he became Minister of
Housing. He is vitaUv concerned with land.
Why isn't he here tociay?
Mr. Lewis: And he didn't dissent.
Mr. Martel: In fact he wrote that he was
not dissenting to all of the content in this
report. He is the man now responsible for
housing. I'm wondering when the Treasurer
and the Minister of Revenue drafted the
bill if they consulted the Minister of Hous-
ing. I suspect they didn't, because he agreed
with everything in the report, and there is
a statement in this report to that efi'ect. He
recognized, as others of us did, that it is a
fundamental question: Do we allow more
intrusion into Canada and into Ontario of
foreign interests in the real estate field?
Mr. Deans: Or do we say: "You can in-
trude if you can aflFord it," because that is
what this minister is saying: "Intrude all
you want as long as you pay the tax."
Mr. Martel: The Minister of Housing said
no. He said we can't.
An hon. member: He's crazy.
Mr. Martel: He said we have to make sure
there is land in perpetuity in our area and
that we, in fact, will lease lands. If you will
look on pages 57 to 59, Mr. Speaker, the
Minister of Housing indicated that he sup-
ported every principle in this bill. There was
only one thing he cautioned about. He said
let's do it slowly and let's make sure that we
have a study and know what we are doing.
It is obvious, Mr. Speaker, he wasn't con-
sulted. In fact it is obvious that he was
excluded from discussions, because the bill
flies in the face of everything that he as
Minister of Housing signed— not as Minister
of Housing at the time, he has since come
into that portfolio. But he, like the rest of us,
after over a year of study recognized what
the problem was about.
Hon. Mr. Meen: I thought the member
said not a single cabinet minister read that
report.
Mr. Martel: He wasn't a cabinet minister
at the time. That's why I say the Minister
of Revenue must have excluded him from
the discussions, because he wouldn't have —
did he support the bill by the way?
Hon. Mr. Meen: Oh sure!
Mr. Deans: Tell us about the cabinet dis-
cussions.
Mr. Martel: He supported the bill?
1182
ONTARIO LEGISLATURE
Hon. Mr. Grossman: We all supported the
bill.
Mr. Renwick: Tell us about the discus-
sions about the percentages.
Mr. Martel: Mr. Speaker, there are so
many reasons. We had before us so many
people, and we ultimately came down to
this decision that all land would either be
leased or would be owned by Canadians and
landed immigrants. For business purposes,
corporations, whether commercial or indus-
trial, could lease land from Canadians. In
fact we were told as a committee over and
over again that in Britain, and to a greater
extent in the United States today, corpora-
tions aren't buying land. They are leasing
land on long-term leases. They don't even
attempt to purchase the land any longer.
Mr. Speaker you could go on and on listing
the reasons the committee came to the con-
clusion it did. To have the government
simply fly in the face of these reports, this
study, these recommendations — one would
like to get into the cabinet room just once
to hear what type of discussions this would
be.
Hon. Mr. Meen: The member will never
get the chance to do that.
Mr. Martel: Whether it was the Treasurer
or the Premier (Mr. Davis) saying: "That's
it. This is the way it will be accepted."
Hon. Mr. Grossman: Is the member sure
he just wants to get in once?
Mr. Martel: Just once — that would be
enough. I'd like to hear what went on in
this one.
Hon. Mr. Grossman: Some day in the fu-
ture he may have an opportunity. That's all
he needs is one opportunity— that's all the
public will go for. If he gets in there once
they'll throw him out.
Mr. Lewis: Actually he is just angling for
a cabinet post. He wants this kind of public
commitment.
The member for Sudbury East has it.
Mr. Martel: Have I got it?
Mr. Lewis: He has it.
Mr. Martel: Thank you.
It is hard to understand how the govern-
ment arrives at this sort of legislation. Is it
the politicians who decide it; or some back-
room boy? Or is it civil servants? Who de-
cides these things when an 11 -man committee
of this Legislature makes a recommendation
or a series of recommendations?
Mr. Haggerty: Way down in Fort Lauder-
dale.
Mr. Martel: Is that Where it was made?
Mr. Haggerty: Yes sure, down there— that
highrise complex.
An hon. member: Condominium.
Mr. Deans: It was made on a trip through
the Black Forest.
Mr. Martel: You know, Mr. Speaker, as
we put this all together it was intriguing.
We had before us all of the various people
representing the major corporations involved
in commercial and industrial development
and for two days we tried to get answers
from them— answers as to how much land
they held. You couldn't. Ask the Minister of
Housing. For two days we tried to find out
about their financing and at the end of two
days we were left in the cold.
We tried to find out how much—
Hon. Mr. Grossman: The investigation was
very poorly done, because the list of land
available was made public about five or six
months ago. Does the member remember, at
the invitation of the federal minister we did
it, the city did it and then he didn't provide
the member with it.
Mr. Martel: Oh yes. Oh yes.
Interjection by an hon. member.
Mr. Martel: I know he is talking, but I
want to just correct that statement by the
minister.
It says:
To the committee's knowledge [and we
had our research stafF do it and we had
our legal counsel do it] no systematic and
comprehensive study of die extent and pat-
tern of foreign ownership of real property
in the province has been undertaken.
Hon. Mr. Grossman: Thev weren't talking
about foreign ownership. They are referring
to the land that the Minister of Housing
should have available to him—
Interjections by hon. members.
Mr. Martel: Oh no; oh no.
Mr. Lewis: No, no, no.
Mr. Martel: Let the minister go back and
read his paper.
APRIL 19, 1974
1183
Hon. Mr. Grossman: I am reading the
member's speech.
'Mr. Martel: Well, read my speech then.
Hon. Mr. Grossman: A prevdous one.
Mr. Martel: We attempted to find out how
much land was in the developers' hands, not
for commercial purposes in the sense of com-
mercial buildings but for housing. The fig-
ures varied depending on which group you
were talking to.
In fact the committee, at the end of two
days, was absolutely frustrated, and you know
it was because we couldn't get a handle on
any of this. It is because, as the report states,
there is no study of land in foreign owner-
ship. It is because of the amount that we
know is there in certain key areas and in
certain key sectors. It is because we know
that special tax laws are made abroad to
encourage investment here. And finally it is
because we know there are so many people
to the south of us that we came through
with these recommendations.
I suggest to the minister that before he
goes any further with this bill that he in
fact consults, at least, with his seven col-
leagues on his side of the House who sat in
on this committee for over a year looking
at land. The minister shouldn't just go by
maybe a few civil servants, maybe some
backroom boy. Why doesn't he sit down
with his colleagues over supper some night
—like tonight— and ask why three of them
endorsed every recommendation here? Three
—and the other four were split on certain
recommendations, but nonetheless the over-
all import of the report they agreed to.
I suggest that if the minister did this, he
would by next Monday withdraw this bill and
he would come in with a bill designed to
protect land— and by that I mean stating
categorically landed immigrants and Cana-
dians are the only ones who own land. That
is how we will resolve the problem, otherwise
it is just an exercise in futility which is going
to drive prices up, because those outsidb have
more money to spend than the citizens of
Ontario.
It is so obvious, you know. In recreational
land today even— in recreational landl They
were leasing lots last year in the Parry Sound
district— $400 a year for a leased lot for
recreational purposes, because of the type of
system the government has introduced; not
the lottery but the auction— there's a prime
example that was proved.
Land that was leased the year before was
100 bucks, but as people can afford more
they continue to drive up the price for re-
creational land on a year-lease tMsit, and in
the Parry Sound area last year land was
leasing at $400 a year. And I suspect it will
go up to $500.
That's exactly what's going to happen
when the government imposes a 20 per cent
tax, because it is just going to drive up prices.
It's unfortunate that the minister doesn't
recognize it— that before he plunges ahead
with this bill he doesn't at least indicate to
this Legislature what he is really trying to
accomplish. I am not convinced that it is
accomplishing much.
Mr. Deans: Bring the Treasurer in and
make him answer for his sins.
Mr. Martel: Finally, Mr. Speaker, my col-
league the member for Wentworth and I,
just feel that any participation in a select
committee is an exercise in futility because of
this bill.
We think that any further sittings of the
select committee on economic and cultural
nationalism should be discontinued. We just
think that it's nothing but a sop to try to ap-
pease Canadians who are concerned about
foreign domination. The government puts up
a facade about it.
We in northern Ontario recognize that
probably more than anyone. It has been
window dressing up there for 30 years-
Mr. Haggerty: Just window dressing.
Mr. Martd: —and we are absolutely con-
vinced that for us to continue—
Hon. Mr. Grossman: Pretty good window,
it needs good dressing.
Mr. Martel: No, the government party
won't have that many seats left come next
election.
Mr. Deans: My colleague is authorized to
tell them I won't sit again.
Mr. Martel: And my colleague, as you have
heard Mr. Speaker, suggests that to sit again
is absolutely useless because the government
doesn't intend to do anything but mislead the
public with various reports. Thank you very
much, Mr. Speaker.
Mr. Speaker: Any other member wish to
speak before the minister replies on Bill 26?
The hon. minister.
Hon. Mr. Mcen: Mr. Speaker, the—
1184
ONTARIO LEGISLATURE
Mr. Renwick: Perhaps before the minister
rephes—
An hon. member: Hey, what goes on?
An. hon. member: What gives?
Interjections by hon. members.
Hon. W. A. Stewart (Minister of Agricul-
ture and Food): They're afraid they won't
have enough supporters to vote.
Mr. Martel: The Liberals are with us now.
Mr. Speaker: The hon. member for River-
dale.
Hon. J. A. C. Auld (Minister of Colleges
and Universities): So what's new? Theyve
been on and off for months.
Mr. Martel: They started out supporting us.
Hon. Mr. Mean: I would like to hear from
the member for Riverdale.
Interjections by hon. members.
Mr. Renwick: Yes, Mr. Speaker. Mr.
Speaker—
Hon. Mr. Grossman: He has nothing to say,
but he is having a hard time thinking about
it.
Interjections by hon. members.
Mr. T. P. Reid (Rainy River): To conclude
my remarks-
Mr. Renwick: To conclude my remarks,
since the leader of the party has now arrived,
I thank you for the opportunity of participat-
ing in this debate.
Interjections by hon. members.
Mr. Breithaupt: This speech will even be
better.
Mr. Lewis: Mr. Speaker, my colleague from
Riverdale is reserving his contribution. All
of the members in this House are fair minded
and will view his remarks on Monday as an
appropriate contribution to the debate. My
apologies, I had to run out on something
rather quickly.
Mr. Speaker, t want to add my voice to
the modest crescendo of opposition that's
mounting to this bill. I think you have got
a tremendous hornet's nest on your hands
and the minister hasn't realized the extent
of it. He hasn't begun to realize to what
extent public opposition and pohtical oppo-
sition is going to mount — not only on this
bill but on the 50 per cent land speculation
bill, because they are both fraudulent. They
are both faulty right at the root. Neither
of them make any significant contribution to
the problems they are allegedly designed to
alter, or to correct fundamentally, and that
kind of bill in public terms begins to evoke
resentment and opposition which ultimately
presents the government with a major con-
frontation. And that's just what we are
now on the verge of.
I predict that before we have finished
these bills, the government is going to find
itself in a debate, publicly, the Tike of which
it never believed possible. It will, in fact,
compare with the kind of debate we had
over the land use legislation and the Niagara
Escarpment and the parkway belt west, none
of which was anticipated by the government
because it assumed simply by introducing
those bills it would win sufficient public
favour.
I want to add to the remarks of my col-
leagues from Wentworth and from Sudbury
East in a number of specific ways. We really
resent this bill. This bill shouldn't be in the
House. It is a bad piece of legislation; it
is a bogus piece of legislation. The govern-
ment is pretending with this bill; it is toying
with the political process more flagrantly in
this bill than it has done in almost any
other. It is introducing a number of anti-
social principles which are of absolutely no
use; and I will refer to them in a moment.
The provincial Treasurer of Ontario
brought in his budget about 10 days ago
now and in the budget, under the Land
Transfer Act section he said:
In examining the problem of rapidly
rising prices for real property in Ontario,
it is becoming increasingly apparent that
large scale acquisition of land by non-
'residents of Canada is a significant factor.
The matter of control of non-resident own-
ership of Canadian land is a current con-
stitutional issue which has not been fully
resolved. The problem has been studied,
however, and has been reported on re-
icently by Ontario's select committee on
economic and cultural nationalism.
Mr. Martel: Flew in the face of every re-
port.
Mr. Lewis: And then what flows within
the budget statement in the next half dozen
paragraphs is a clear implication. Mr. Speak-
er, that somehow the recommendations em-
bodied in the select committee's report are
reflected in the tax policy announced by the
provincial Treasurer. This statement in the
APRIL 19, 1974
1185
budget is a very dever little piece of dupli-
city in itself.
What the budget might have said, to be
honest, is that the "select committee on
economic and cultural nationalism analysed
this subject, investigated it thoroughly, made
a number of recommendations and we, the
cabinet, have decided to repudiate every
single recommendation the select committee
made." That might have been honest, not
to say honourable.
The government chose instead to imply
that the select committee's recommendations
were embodied in the legislation which would
follow; and that, of course, is not the truth
at all.
As my colleagues have pointed out, par-
ticularly the member for Sudbury East, the
select committee recommendations in this
field were recommendations that were em-
braced by a number of Conservative back-
benchers, including among them men who
are now in the caoinet. Let me read to you
what the Minister of Housing said very ex-
plicitly at the end of the select committee
report:
On the basis of information available to
us both from the evidence given before
the committee and from ths research con-
ducted by the committee's staff, we support
the comments and recommendations con-
tained in this report.
Those were the members for Carleton (Mr.
Handleman), Victoria-Haliburton and Hum-
ber (Mr. Leluk); three perceptive mortals
in this instance. They go on to say:
In our view a nation is firmly rooted
in its history, its people and its primacy
over the land which it occupies. Owner-
ship of Canadian soil by our citizens and
those who have committed themselves to
this country by immigrating to it, can only
strengthen the nation. Perception by the
young of the Legislature's resolve to retain
ownership for them of their natural heri-
tage will impress on them the fact that
government is for them and their future
as well as for the here and now.
You know Mr. Speaker, perhaps it is not
lyrical, but it is pretty good. It is a pretty
assertive statement about the quality of the
Canadian identity and about the need to do
something for it. Let me point out, Mr.
Speaker, that the other members of the com-
mittee who were Tories, while they dissented
on specific recommendations— one, two, three
or four of them; from time to time— on bal-
ance they embraced the recommendations of
the report, the thrust of the document, and
certainly the kind of sentiment* expressed
by the now Minister of Housing and his
colleagues.
I don't know whether one could say the
Minister of Housing is in a conflict of in-
terest. I don't mean a personal conflict of
interest; I mean an intellectual conflict of
interest. I tell the government what it is
doing in this legislation today damns the
recommendations and the position of the
Minister of Housing. If in fact it is dealing
in matters related to land, it severely com-
promises him as Minister cf Housing in the
cabinet now.
This minister may not have thought of
that when he introduced this legislation but
that is precisely what he is doing. He is
compromising the Minister of Housing hope-
lessly because he is rejecting the basic foun-
dation of his personal commitment as
expressed through the select committee's
report.
I understand the kind of resentment and
frustration which the member for York Cen-
tre feels; which the member for Wentworth
feels; which the member for Sudbury East
feels; maybe to some extent which the mem-
ber for Victoria-Haliburton feels — I cannot
speak for him. It is the resentment and frus-
tration of having come together, dealt with
a subject, dealt with it in good faitii and at
lenc^h, and then having the government in-
trod»ice legislation which is not only incom-
patible with the recommendations of the
select committee report but in no way reflects
their intent.
If ever the select committee process has
been reduced to mockery in this House, It
is in this case. That cabinet over there has
said to hell with the select committee on
economic and cultural nationalism. It has
clearly thumbed its nose at it. It again has
asked the select committee to indulge in the
kind of exercise which is totally futile. The
mim'sters have no blessed respect for the
legislative process at all, be it their own
backbenchers or the opposition.
It's worse still, Mr. Speaker, because as I
stand here there is no question in my mind
that the recommendations of the select com-
mittee on economic and cultural nationalism,
where they respected ownership of real estate
in Ontario, were simply neither read nor ab-
sorbed by those engaged in the policy in
this bill. The Minister of Revenue says in
that congenial aside of his, "I read some
of the recommendations."
I'll tell you, Mr. Speaker, the Minister of
Revenue did not read this report. He may
have read bits of it. He may hurry home and
1186
ONTARIO LEGISLATURE
read it now but he's bringing in a bill which
is central to this report and he hasn't even
absorbed it.
The people in the cabinet live in their
own world. That's why much of it is crum-
bling around them. They have absolutely no
interest in the process and nothing but con-
tempt for the contributions which members
make or for the social policy which may flow
from select committees or anything else. If
ever there was a case of it, it's right here in
this bill.
Let me go on to another point I wanted
to make, Mr. Speaker, on the use of taxation
policy. My colleague from Riverdale put it
to me very strongly this morning when we
were talking about this bill in advance. He
was saying to me — and I might as well put
it the way he put it — the use of taxation
policy is normally a revenue-gathering use.
It is normally a device for redistributing in-
come, for reapportioning wealth, for bud-
getary and fiscal matters. The use of tax
policy is the central fiscal device which the
government has. It is not an appropriate
instrument for the implementation of social
policy of this kind. It isn't appropriate in this
bill and it isn't appropriate in the land specu-
lation tax bill.
As a matter of fact, in neither case does
the minister anticipate raising very mudi
revenue, if any. In both cases, he has made
provision for returning the revenue raised
over an extended period of time if certain
requirements are met.
In other words, he is taking a piece of
legislation which is tax legislation and he is
trying to serve social ends not fiscal ends.
In so doing, he is mocking the effective use
of tax statutes, which is essentially a redis-
tributive function out there in- the incomes
place, and he is trying to achieve certain
social objectives whidi just cannot be
achieved through this legislation.
And as it happens, he has rejected every
major recommendation that has been put
to him on the question of foreign ownership
of land in Ontario. He has rejected it in
order to institute a fiscal device that is
doomed' to failure from the outset.
So the bill is absurd, and the minister
can't ask us to support it. It is faulty even
in its philosophic intent, let alone in its
inability to cope with the problems he has
laid out. Let me talk about that for a mo-
ment.
The basic principle of the bill is that the
minister is instituting a 20 per cent tax on
land transfers for those from outside Ontario
who would wish to purchase Ontario. All
right. What the devil is the minister saying?
Let's clear all the clutter. The minister is
saying it is going to cost 20 per cent more
to buy Ontario. That is what he is saying.
Is that fair?
Mr. Breithaupt: That's right.
Mr. Lewis: Isn't that what this whole
idiotic bill says? It says to the American,
Swiss and German entrepreneurs: "Look,
fellows, do you want to buy us out? Fine,
but it is going to cost you 20 per cent more
from now on. '
Mr. Deans: It is crazy.
Mr. Lewis: Well, what kind of unutterable
doggerel is that?
Mr. Deans: It is crazy.
Mr. Lewis: What kind of nonsense is
that? We are not going to deter any of the
major land developers and entrepreneurs
around the world from buying Ontario be-
cause it is going to cost them 20 per cent
more. They are laughing up their sleeves.
There was a party on the night of the
budget. In fact, I heard about a munber of
parties on the night of the budget. A number
of them were land developers who got to-
gether and simply laughed about this bill and
about the land speculation bill.
Mr. Deans: They didn't even drink. They
just laughed.
Mr. Lewis: They just chuckled, because
all the inconvenience it caused them was one
phone call to their lawyer late in the after-
noon to find out if the loopholes were suf-
ficient. In one bill, the land speculation tax
bill, the loopholes are not only suflBcient, they
are positively an invitation to personal and
corporate exemption. And in this bill it may
cost them a few dollars more. So what.
Mr. Breithaupt: They'll pay it.
Mr. Lewis: What the minister has done in
this bill is he has put up a little sign outside
the legislative buildings, symbolic of Ontario,
which says: "Ontario for purchase. It costs a
little bit more today than it cost last week."
Interjection by an hon. member.
Mr. Martel: I fact, we'll make a special
dteal.
Mr. Lewis: To pretend that that in some
way protects Ontario real estate is like say-
ing to Inco: "You are going to have serious
problems with your balance sheet because we
APRIL 19, 1974
1187
are taking a few million dollars more from
you next year in resource taxation than we
took from you last year."
Inco simply builds it into all the other
factors that are true of a major corporation,
and smiles quietly in the corporate board
rooms that the Tories and Inco have again
managed to get together in what appears to
be a mutually beneficial undertaking. The
public may think it has hope, but it has none
whatsoever. This bill is absolutely prepos-
terous. My colleague from Riverdale says to
me— is that "even" at the top?
Mr. Renwick: Yes.
Mr. Lewis: What he means is, moreover,
furthermore or in addition: "The tax they pay
in Ontario they will be able to recover by
credit in the foreign country from whence
they came." You can see that is from the
hon. member for Riverdale, Mr. Speaker, be-
cause I never use "whence." But I point out
that the argument that he makes is exactly
right.
As a matter of fact, it wouldn't surprise me
if there was a device in the tax world that
would make it profitable for them to pay 20
per cent more in taxes here than in their
country of origin.
Mr. Deans: If there isn't one, tiheyll find
one.
Mr. Martel: The select committee pointed
that out.
Mr. Lewis: Yes, the select committee did
point out there were devices whereby it could
be positively profitable.
Mr. Martel: Germany does it all the time.
Mr. Lewis: If there are German laws, which
clearly have been identified by the select
conmiittee, that encourage and give special
exemptions for the purchase of property out-
side the coimtry, then presumably the more
you pay the higher the exemption.
Mr. Deans: Absolutely.
Mr. Martel: The minister might have to
read the report.
Mr. Lewis: I really want to re-emphasize,
Mr. Speaker-
Mr. Deans: Withdraw this bill, for heaven's
sake.
Mr. Lewis: What the minister is doing in
this bill is saying: "We will not change the
rules of the game at all." Ontario is still up
for sale. Foreign real estate will continue to
dominate in Ontario. The land can be pur-
chased — commercial, industrial, residential,
agricultural— Ontario is still for sale to the
highest bidder. He hasn't changed social
policy one jot. He hasn't done a single thing
to protect this province against foreign owner-
ship of our land. And that is wrong.
Mr. Deans: They have further escalated
costs.
Mr. Lewis: That is socially wrong and mor-
ally wrong, because the minister Knows the
way the people of this province feel about
our real estate. He knows he should be
bringing in legislation to protect the Province
of Ontario, not simply to escalate the infla-
tionary speculative dimension of foreign
ownership of Ontario's economy and Ontario's
land.
As far as we are concerned, this bill is so
flawed we wouldn't give it five minutes' no-
tice in our caucus. All we were willing to do
with it was to talk about the nature of the
opposition. The minister couldn't have sus-
tained the argument with us for a moment.
My colleague from Wentworth pointed out
that the dlect, ironically, which resides
in this bill, in addition to the other things
the minister is doing is that it is going to
raise prices of land in Ontario. That is just
absurd. I can't beheve that a cabinet gets
itself into the position where it brings in a
bill the effect of which will be to sell On-
tario and to make it cost more for residents
of Canada.
Mr. Deans: That's right.
Mr. Lewis: Not only is the minister per-
versely reinforcing the foreign ownership of
our land but if we ever buy it back it's going
to cost us 20 per cent more than it would
cost us today. He is penalizing Ontario and
Canadian residents on that mmt as well.
What perversity compels him to do all this
is something I, for one, wiD never under-
stand.
Somehow sanity has to take over in that
cabinet. Somehow its members have to
understand just how destructive they are
being, and that they have to respond sensi-
tively and feelingly to the kinds of objections
whidi have been expressed about foreign
ownership in Ontario's land. The only way
to make that response, I say to them, is b>
legislation.
Mr. Speaker, let me be absolutely specific.
There is now significant ownership of the
beaches of Lake Erie —
1188
ONTARIO LEGISLATURE
An hon. member: By whom?
Mr. Lewis: — by foreigners. There may
be a few more tracts of land, an occasional
frontage, available for public purchase. If
the government wants to stop that land from
being purchased by foreigners, it has to
bring in legislation which says that no non-
resident of Canada can own more land on
the beaches of Lake Erie. That's what the
legislation has to say.
Mr. Deans: Furthermore —
Mr. Lewis: This Act will not do it. This is
no deterrent at all.
Furthermore, it has to bring in an amend-
ment to the Beds of Navigable Waters Act
which will allow Canadians or Ontarians
access to the beaches of Lake Erie. More
than that, it is going to have to expropriate
some of that property and, providing due
compensation, reinstate for public use what
is now in the hands of private cottage owners
resident in Buffalo.
All of these things have to be done if the
government is serious about retrieving land
for Ontario. The one thing this bill will
not do, the one thing it will assuredly not
do, is protect Ontario's real estate.
'That's the essential sham of the budget.
That's why it is — and the member for York
Centre used quite a legitimate word at the
outset of his remarks — that's why it is so
maddening. For us there is counterpoint of
madness — it's the capacity of the Liberal
Party to take one stand one day and ^lother
stand the next.
Hon. Mr. Meen: Quite so.
Mr. Lewis: It kind of undermines the soli-
darity its members bring to their passion.
It depletes it a little.
Mr. Deacon: Does it?
Mr. Lewis: I understand those problems.
On the other hand, it is maddening. The
government brings in a budget and the head-
line quality of the budget is: "Tories in
Ontario concerned about land speculation,
clap on 50 per cent land speculation tax."
Mr. Deans: Right.
Mr. Lewis: The only way in which one
judges a land speculation tax is in the context
of housing in Ontario. The land speculation
tax isn't going to put one additional house
on the market at a reasonable price. So that
whole policy is bogus.
Then, knowing that there is this kind of
consistent theme of unease in the public
about foreign control of Ontario, the gov-
ernment brings in a taxing device which
says 20 per cent more on purchases of land
by non-residents, as if to imply that some-
how that's a protection for Ontario's real
estate— again, completely bogus.
The government are the most artful dod-
gers I have ever seen. It's catching up with
them though. They have fooled too many
too often and there is nothing but scepti-
cism out there now for every single policy
they introduce— nothing but scepticism. When
the full import of this piece of legislation
and other pieces of legislation begin to be
felt by the Ontario public, let me say they
are coming closer to those numbered days
that they have left.
I simply say in summary, Mr. Speaker,
that we will divide the House. We oppose
the bill. We will resist it clause by clause,
as we have resisted it on second reading.
We will make whatever amendments we need
make. We want the minister to know that
we're not really interested in his technical,
administrative apparatus that he's got set up
to govern this bill. My colleague from
Wentworth was right on those grounds as
well.
We never get the minister in here who
is responsible for the policy. All we get is
the sophisticated' bureaucrat. That's all we
have. I don't mean that in a deprecating
way. He is Minister of Revenue and, like his
predecessors, all he sees is land of a nit-
picking function. He is here to administer the
laws. We can't discuss social policy with him.
This bill is nothing but social policy. The
minister has no other point to it. It's wrong
in social policy; it's wrong-headed.
I don't really know why we are debating
it with the minister. I suppose we have to
debate it with someone, but why with him?
I hold no personal malice. They are nice
fellows, maybe honourable men and wonjen.
So be they all, but they are incapable of
responding to social change. That's their
problem, and if ever it was demonstrated it
was demonstrated in this piece of legislation.
The government has made a decision. I
don't know why they made this decision.
They have made a calculated decision as a
cabinet that they will not protect Ontario's
lands from foreign acquisition. They have
made a decision as a cabinet that Ontario's
land is up for ransom to those that pay.
Hon. Mr. Grossman: That is not true.
APRIL 19. 1974
1189
Mr. Deans: It is true.
Mr. Lewis: They have made a decision as
a cabinet that every single policy recommen-
dation-
Mr. Maitel: Is useless.
Mr. Lewis: —of the select committee which
involves protection of commercial, industrial,
recreational, housing or private land is to be
repudiated. They have made a decision as a
cabinet that they will bring in a taxing device
which they know will fail in its objective
from the moment they introduce it. They
have made a decision as a cabinet that the
world can own Ontario and they'll never
move in to protect the residents of this prov-
ince in terms of future generations.
Hon. Mr. Meen: Not so.
Mr. Deans: As long as they pay the price.
Mr. Lewis: They have said that thev have
their price and that they are just jacldng it
up by 20 per cent. They are an extremely
cynical and manipulative cabinet.
Mr. Martel: Stupid is a better word.
Mr. Lewis: They have made a conscious
decision about it because it is—
Mr. Martel: Not one of them has spoken
today.
Mr. Lewis: —impossible to construe it
otherwise. I'll tell the minister this as a
member of a party which has been torn in-
ternally often on questions of foreign owner-
ship, and how far we should go in preserving
the Canadian economy and repatriating every-
thing from land to resources. I tell Mm as a
member of this party that we can often be
engaged in diflBcult policy areas, with enor-
mous economic repercussions and all kinds of
internal tensions and very great uncertainties,
but just as it runs through this party so it
runs through the country as a whole that
something has to be done to protect our cul-
tural inheritance, of which land is essential,
from foreign acquisition. Seven members of
the Tories endorsed that in a select committee
report.
Mr. Martel: Not one of them has spoken
today.
Mr. Lewis: The government brought in a
bill which simply says, "To the devil with all
of that. We believe in foreign ownership of
Ontario and what's more, we are simply go-
ing to preserve it." I want to see where those
members stand when the vote comes.
Mr. Speaker: The hon. member for Hieh
Park. ^
Mr. M. Shulman (High Park): Does the
member for Victoria-Haliburton want to
speak?
Mr. R. G. Hodgson (Victoria-Haliburton):
Mr. Speaker, I just want to take a few min-
utes. I think what we are doing here is mix-
ing apples and oranges, because our report,
in my opinion does not deal with the same
principles as being enunciated in this bilL
Mr. Martel: Don't prostitute yourself.
Mr. R. C. Hodgson: I think what is being
dealt with in this bill goes a long way to meet
some of the concern tnat we expressed.
Mr. MacDonald: How for example?
Mr. Deans: Don't do this to yourself.
Mr. R. G. Hodgson: Well, if the members
wait a minute maybe I'll tell them something.
Mr. Deans: Don't do this to yourself. You
are too nice a guy to go on the hook for that.
Mr. R. G. Hodgson: You will remember
that in our report we mentioned a very vital
concern with regard to the recommendations
that we were making, and that is the legal
basis on the constitutional position with re-
gard to our recommendations and the prin-
ciples enunciated.
Mr. Deans: And what did the member
recommend?
Hon. Mr. Stewart: Come o£F it, let him
speak. We listened to the opposition mem-
bers.
Mr. Deans: The minister did not.
Hon. Mr. Stewart: We certainly did. You
fellows never said a word.
Mr. Deans: The committee recommends
that the government of Ontario take the
position that legislation of the kind that the
committee recommended be proceeded with.
Hon. Mr. Grossman: As if he were talking
intelligently.
Hon. Mr. Stewart: That is why he is over
there and we are over here.
Mr. R. G. Hodgson: I thidc that's the
crucial point.
Mr. Speaker: Order please.
Mr. Deans: Read the recommendation of
the constitutional issues.
1190
ONTARIO LEGISLATURE
Mr. Speaker: Order please.
Hon. Mr. Grossman: Now the member is
getting lis annoyed. '
Mr. Fi. G. Hodgson: I agree with the
member for Riverdale on the principle of
taxing policies. I see no conflict, in my
opinion, with that principle in this bill. But
they talk out of both sides of their mouths
apparently when they say that they think
the taxing policy should only deal on one
principle and then say it should be used for
social principles as well. I can't quite follow
them in that.
Mr. Deians: The member didn't understand
the argument.
Mr. R. G. Hodgson: I understood the ar-
gument I think all too true. What they are
trying to do is to say that this government
did not meet the recommendations nor the
suggestions made in the report of the select
committee.
Mr. Deans : And that isn't true?
Mr. R. G. Hodgson: Then they are trying
to say, on the other hand, that because they
brought in a taxing policy measure to raise
the tax on land to somewhat toward that—
and it will have an effect-
Mr. Lewis: What effect?
Mr. R. G. Hodgson: —and they will have
to admit that.
An hon. member: That's right.
Mr. R. G. Hodgson: If anyone has to pay
20 per cent more for land, for a tax—
An hon. member: It's not going to hap-
pen.
Mr. R. G. Hodgson: —you will have to
realize that the values of land will go up
to those people who would be subject to that
tax.- •, • . ,
Mr. Xycwis: That's right.
Mr. Breit^aupt: They will pass it on.
Mr. Martel: It is more costly for every-
one th^n.
Mr. H. Worton (Wellington South). Add
another 20 per cent.
Mr. R. G. Hodgson: That will deter cer-
tain people from coming into this country
and purchasing land. But to confuse the two,
I don't understand them.
Mr. Deans: Then don't, please.
Mr. R. G. Hodgson: The member for Sud-
bury East did his best to wrap us into an
all-encompassing approach in the recommen-
dations. That isn't true. Then, the member
for Scarborough West points out that our
position— that is, the member for Humber,
the Minister of Housing and myself— dif-
fered, and that the principle that was enun-
ciated by the member for Sudbury East—
that we are all-encompassing and all agree-
able on everything in the report— was not
true. So I have to say that—
Mr. Martel: The member endorsed every-
thing in the report.
Mr. R. G. Hodgson: Yes I did, except for
the caution that we raised.
Mr. Martel: Except for the caution, okay.
Come on.
Mr. Speaker: Order.
Mr. Kennedy: So he didn't endorse it all.
So the member is wrong again.
Hon. Mr. Grossman: He said on all counts.
Mr. R. G. Hodgson: I would simply say
that they are mixing apples and oranges. I
think the taxing policy— and I have no prob-
lem in supporting the taxing policy— that is
enunciated in this bill doesn't really deal
with the issue of the ownership issue-
Mr. Lewis: Exactly.
Mr. MacDonald: Except perversely and
adversely.
Mr. R. G. Hodgson: And it is unfortunate,
in my opinion, that so much attention is paid
to the principles that we enunciated and
then confusing those with the principle ill
this bill.
Mr. Lewis: How can he not pay attention
to them?
Mr. R. G. Hodgson* I think it is unfortu-
nate that people are drawing the conclusion
that they are one and the same.
Mr. Lewis: They are.
Mr. Deans: They are.
Mr. Lewis: This is the government's an-
swer to foreign ownership. That is what the
budget says.
APRIL 19, 1974
1191
Mr. R. G. Hodgson: This government,
when it has studied the legal implications,
in my opinion, will come down very sub-
stantially on the basis of our report.
Mr. Martel: Did the member read the
budget speech?
Mr. Deans: The government doesn't even
read the reports,
Mr. Speaker: Order please.
Mr. R. G. Hodgson: Oh, is my friend
saying that ministers who were part of the
report, who signed the report, did not read
it? He has to be wrong. He has to be wrong.
Mr. Deans: I am saying that the minister
who brought the bill in didn't read the re-
port and I am saying that the report was
never considered by the cabinet.
Mr. Speaker: Order please. The hon. mem-
bers have had an opportunity to speak to
the bill.
Mr. Martel: The member's selling price is
pretty cheap.
Mr. Speaker: Let the hon. member say
what he has to say about the bill.
Mr. R. G. Hodgson: I think that what the
government has done here in this bill will
go a long way to ease some of the problems.
Mr. Martel: No, it won't.
Mr. R. G. Hodgson: It is not the total an-
swer. I don't think anyone in our party
would say it's a total answer. We haven't
recognized yet all the instances and com-
plications because they are not all brought to
the attention of the Legislature. There will
be complications with this legislation, as I
see it, which we won't even run across
until the tax is applied. Then we will know
the problems that will have to be dealt with
by this government. They will have to be
dealt with in a constructive way, and I have
no doubt that they will be.
Mr. Kennedy: He said that in the budget.
Mr. R. G. Hodgson: I feel, Mr. Speaker,
that I will have no problem in supporting
this legislation. I don t appreciate, however,
all the references to the principles and the
recommendations in the select committee as
being waived or thrown out by this govern-
ment-
Mr. Deans: No, because they happened
to make the member's position wrong.
Mr. R. G. Hodjcton: -because further study
is needed and there are further comphca-
tions that have to l>e understood and worked
out. I feel free to express my \ye\k4 that this
government will dt*al with them adequately.
Thank you.
Mr. Speaker: The hon. member for High
Park. ^
Hon. Mr. Grossman: Now tbe member
will explain that his leader is wrong, that
it won't cost 20 per cent more. Is that right?
Mr. L«wis: Well, it doesn't have to. They
can get around it.
Mr. Shulman: There are so many ways
around this bill that one can drive a truck
through it. The government is not going to
collect that 20 per cent. Does the minister
know who it will collect from?
Hon. Mr. Grossman: We'll close more
doors if that happens.
Mr. Shulman: They are going to have a lot
of doors to close— more than they had before.
Does the minister know who the govern-
ment will collect from? They will collect
from the fellow in Detroit who works at
General Motors and comes over and buys a
cottage on the Canadian side.
Hon. E. A. Winkler: (Chairman, Manage-
ment Board of Cabinet): The NDP have got
something going over there, haven't they?
Mr. Shulman: He is going to pay the 20
per cent, because for the sake of the $1,000
that's involved, it isn't worth his while to go
around it.
But for the man who lives in Lugano and
who wants to buy a piece of Ontario, be-
cause it's a great place to stand and to invest
one's money, he's not going to pay the mil-
lions of dollars that would be involved in the
20 per cent tax because it is just too easy to
get around.
I tell you, Mr. Speaker, the government
didn't seriously want to stop those people
coming in, because if they diJ— if you look at
the bill— they would have put in some pen-
alties. Will someone be sent to jail for 10
years if they bring in a false affidavit? Are
they given some terrible penalty? No. What
is the penalty? They would have to pay the
amount they evaded, if they are caught, plus
an amount not less than $50 and not more
than $1,000. We are talking in terms of mil-
lioas and millions of dollars, and the minister
is talking about a $50 fine. It's ludicrous.
1192
ONTARIO LEGISLATURE
If the minister really was serious, he would
have brought in a bill that had teeth. He
would' have brought in a bill that said, "All
right. We recognize there are going to be
people who are going to try to avoid paying
this huge tax. Therefore, we must have penal-
ties that are going to be serious enough to
act as a deterrent."
But what do they do instead? They say,
"We are going to bring in deterrents. The
deterrent will be a $50 fine." Mr. Speaker,
they don't really intend to enforce the bill.
I predict— and I speak to the former Minis-
ter of Revenue (Mr. Grossman)— I predict
that when all the smoke clears and this bill
has been enforced for 12 months, he will
find that the government will have collected
a few hundred thousand dollars from the
small people who are buying summer cot-
tages. But the total receipts will be a tiny
fraction of what the Treasurer predicted
would be brought in during the first year.
This bill is not quite as ludicrous as the one
to follow it, the speculative land tax, but in
itself it's bad. It's bad because the govern-
ment's deluding the public, leading them to
believe that we are going to stop the foreign
takeover of land— and the government is not
going to do it. It is not going to do anything.
It is going to produce a little more Ontario
revenue, mind you— not for the province, not
for the people, but for the lawyers. Ah, the
lawyers love this bill. They see in it the
prospect of a huge increase in income in the
next year. The Conservatives will have a solid
lawyer vote across the province in the next
election.
Mr. Speaker, I want to go on to a diffeent
aspect, but perhaps this is a proper time
to adjourn the debate.
Mr. Shulman moves the adjournment of the
debate.
Motion agreed to.
Hon. Mr. Winkler: Mr. Speaker, before I
move the adjournment of the House, I would
like to tell my fellow members that we will
proceed as was announced yesterday and con-
tinue with this item, No. 9, then No. 8 and
No. 6.
The House will not sit on Monday evening,
but I expect we will on Tuesday evening
and I will probably then be able to give the
members an additional schedule of the
estimates.
Hon. Mr. Winkler moves the adjournment
of the House.
Motion agreed to.
The House adjourned at 1 o'clock, p.m.
APRIL 19. 1974 1103
CONTENTS
Friday, April 19, 1974
Ad in Globe and Mail, question of Mr. Meen: Mr. Breithaupt 1155
Office furnishing standards, questions of Mr. Snow: Mr. Breithaupt, Mr. Deacon 1155
Denture therapists, question of Mr. Miller: Mr. Breithaupt 1156
Ad in Globe and Mail, question of Mr. Meen: Mr. Breithaupt 1157
Inquiry into hospital employees' remuneration, questions of Mr. Miller: Mr. Lewis,
Mr. Reid 1157
Price fixing in supermarkets, questions of Mr. Clement: Mr. Lewis, Mr. Deacon,
Mr. Renwick 1158
Union Gas, questions of Mr. McKeough: Mr. Lewis 1160
Sale of land on Manitoulin Island, question of Mr. Davis: Mr. Lewis 1160
Sale of colza oil, questions of Mr. Miller: Mr. Deans 1160
Hydro involvement in private sector, questions of Mr. Davis: Mr. Sargent 1161
Wind energy seminar, questions of Mr. McKeough: Mr. Burr 1162
Readmissions to Ontario hospitals, question of Mrs. Birch: Mrs. Campbell 1163
Liquor licence for Holiday Inn at Owen Sound, questions of Mr.
Mr. Shulman 1163
Accommodation provided OISE and OETA, questions of Mr. Davis: Mr. Deacon 1164
Solar energy report, questions of Mr. McKeough: Mr. Burr 1164
Rapid Data Corp., questions of Mr. Clement: Mr. Haggerty 1165
Gasoline saving devices, question of Mr. Clement: Mr. B. Newman 1165
Hiring of liquor store employees, questions of Mr. Clement: Mr. Shulman,
Mr. B. Newman, Mr. Lewis 1165
Day Nurseries Act regulations, questions of Mr. Brunelle: Mr. Good 1166
Report, standing administration of justice committee, Mr. Havrot 1166
City of Cornwall Annexation Act, bill to provide for, Mr. Irvine, first reading 1167
Proceedings of the House Act, bill to regulate, Mr. Sliulman, first reading 1167
Land Transfer Tax Act, bill respecting, Mr. Meen, on second reading 1167
Royal assent to certain bills, the Honourable the Lieutenant Governor 1175
Land Transfer Tax Act, bill respecting, Mr. Meen, on second reading 1175
Motion to adjourn, Mr. Winkler, agreed to 1192
::J
No. 28
Ontario
Hegiglature of Ontario
OFFICIAL REPORT — DAILY EDITION
Fourth Session of the Twenty-Ninth Legislature
Monday, April 22, 1974
Speaker: Honourable Allan Edward Reuter
Clerk: Roderick Lewis, QC
THE QUEEN'S PRINTER
PARLIAMENT BUILDINGS, TORONTO
1974
?nce -per session, $10.00. Address, Clerk of the House, ParliamerU Bldgs., TororOo
CONTENTS
( Daily index of proceedings appears at bade of this issue. )
1197
LEGISLATIVE ASSEMBLY OF ONTARIO
The House met at 2 o'clock, p.m.
Prayers.
ESTIMATES
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet ) : Mr. Speaker, I have
a message here from the Honourable the
Lieutenant Governor, signed by her own hand.
Mr. Speaker: By her own hand, Pauline M.
McCibbon, the Honourable the Lieutenant
Governor, transmits estimates of certain sums
required for the services of the province for
the year ending March 31, 1975, and recom-
mends them to the legislative assembly, To-
ronto, April 27, 1974.
Mr. D. W. Ewen (Wentworth North): Mr.
Speaker, it is a pleasure for me today to
introduce to you and to the hon. members of
this Legislature, grade 12 students of Mount
Mary Immaculate Academy of Ancaster, sit-
ting in the west gallery.
Hon. J. W. Snow ( Minister of Government
Services). Mr. Speaker, I would like to draw
to the attention of the hon. members that we
also have visiting us today, a group of stu-
dents from the T. A. Blakelock High School
in Oakville seated in the west gallery.
Mr. J. H. Jessiman (Fort William): Mr.
Speaker, I would like to introduce a class of
grade 7 students from St. Stanislaus School
in the great city of Thunder Bay; they are
sitting in the east gallery.
Mr. Speaker: Statements by the ministry.
Oral questions.
The hon. Leader of the Opposition.
INQUIRY INTO HOSPITAL
EMPLOYEES' REMUNERATION
Mr. R. F. Nixon (Leader of the Opposi-
tion): I would like to ask the Minister of
Labour, Mr. Speaker, if he can give a report
to the House on the status of the special
negotiation with the hospital workers which
the Premier (Mr. Davis) alluded to last
Monday, April 22, 1974
Thursday; including any indication ai to
whether the government is going to make a
policy statement that in some way will relieve
the threat of yet another strike under these
circumstances. •'
Hon. F. Guindon (Minister of Labour):
Yes, Mr. Speaker; as of last week it was
obvious to us that the parties needed some
assistance, perhaps technical assistance, from
the Ministry of Labour. This assistance has
been given; there were meetings held last
week and other meetings are taking, place
today.
Mr. R. F. Nixon: A supplementary: Would
the minister not agree that as well as the
technical assistance which he can undoubtedly
offer, what is really needed is a dear state-
ment of government policy that the funds
will be available so the hospitals can enter
into meaningful negotiations, so that the
hospital workers can contemplate acceptance
of a settlement that would be in their best
interests, without being forced by government
policy to go out on another illegal strike?
Hon. Mr. Guindon: As I say, Mr. Speaker,
meetings are taking place at present, and I'm
expecting a report from my staff.
Mr. R. F. Nixon: A supplementary: I'm
aware the minister does not want to say more,
but can he give an assurance to the House
that something other than the provision of
some expert assistance in negotiation is taking
place? Is there some specific commitment on
the part of the government, either through the
Minister of Labour or the Minister of Health
(Mr. Miller), that funds are going to be able
to be spent by the hospitals to reach a fair
settlement?
Hon. Mr. Guindon: Mr. Speaker, the Min-
ister of Labour is not shirking his responsibil-
ity. I'm very close to the situation; and as I
say meetings are going on.
Mr. T. P. Reid (Rainy River): Another
non-answer.
Mr. Speaker: The hon. member for River-
dale.
Mr. J. A. Renwick (Riverdale): By way of
a supplementary question of the Minister of
1198
ONTARIO LEGISLATURE
Labour, Mr. Speaker, will the minister tell me,
for example, whether he has received the
conciliation report in the dispute between the
Riverdale Hospital and Local 79 of the Cana-
dian Union of Public Employees? If not,
when does he expect to get it, since it has
been outstanding since some time in Febru-
ary?
Hon. Mr. Guindon: I cannot say for sure
insofar as the Riverdale Hospital is concerned.
I know that at one point last week conciliation
services had been provided to three or four of
the 12 hospitals.
Mr. Renwick: Mr. Speaker, by way of a
further supplementary-
Mr. Speaker: A supplementary over here—
the hon. member for Rainy River.
Mr. Reid: Thaidc you. Is the minister aware
that the provincial executive of the OSSTF
reconfirmed their support for the hospital
workers over the weekend and have recom-
mended to their people that they support the
hospital workers, including support on the
picket lines if necessary? Doesn't the minister
tihink this escalation has gone far enough and
that he should make some kind of statement
as to the moneys that are going to be made
available?
Hon. Mr. Guindon: Well Mr. Speaker, once
and for all, I want to assure the hon. members
that if there is one member concerned in this
Legislature today, it is the Minister of
Labour; I hope that by next Wednesday I
may have a statement to make.
Mr. A. J. Roy (Ottawa East): That is all the
minister is saying, though. Let him give us
some evidence.
Mr. Speaker: The hon. Leader of the Op-
position.
Mr. R. F. Nixon: I have a new question.
An hon. member: Oh, supplementary-
Mr. Speaker: I'll permit one more supple-
mentary.
Mr. Renwick: Mr. Speaker, by way of a
further supplementary question, will the min-
ister make a definitive statement tomorrow
about the exact state of negotiations between
the Canadian Union of Public Employees and
each of the hospitals in Metropolitan Toronto,
so that we know exactly the state of the
negotiations in each of those hospitals and
can see what can be done to bring them to a
successful conclusion?
Hon. Mr. Guindon: Mr. Speaker, in this
particular case and for the first time I think,
the parties are trying to bargain on a regional
basis, so I don't Know if I could give a report
for every local. However, as I said earlier, I
am planning to be in a position to make a
statement in the middle of the week.
Mr. Renwick: The director of Riverdale
Hospital is waiting for the conciliation report.
Mr. Spe^er: Has the hon. Leader of the
Opposition a new question?
POTATO SUPPLIERS
Mr. R. F. Nixon: A question of the Minis-
ter of Agriculture and Food, further to a
question a week ago based on an article in
tne Globe and Mail about potato pricing in
the Metropolitan area which, it is allied,
comes under unnecessary and unfeir re-
strictions, particularly the funding of the pro-
cedures \^ereby potato pricing does come
imder the unnatural controls which were re-
ferred to in that article. Is the minister now
prepared to report to the House, either from
the Food Council or from his independent
research, whether there is a procedure
whereby potato prices in the Toronto area
are maintained at an unnaturally high level,
and not to the benefit of the producers? Is
there any indication that money from illegal
sources is being channelled into the facilities
that make this procedure possible?
Hon. W. A. Stewart (Minister of Agricul-
ture and Food): Mr. Speaker, the matter is
under investigation at the moment.
Mr. R. F. Nixon: A supplementary: This is
the second time the matter has been raised;
it is something other than just a routine ques-
tion. Can the minister indicate to me if it is
being investigated by the police forces or if it
is still being looked into by some assistant
deputy minister in the agricultural ministry?
Hon. Mr. Stewart: Mr. Speaker, the matter
is under investigation, and I have nothing
more to add at this particular time. It is a
very serious matter.
Mr. I. Deans (Wentworth): By whom?
Hon. Mr. Stewart: I think the report as was
printed in the press— certainly there are many
things about tnis that we want to look at
very carefully and I can assure the member
it is being done, and done in depth.
Mr. R. F. Nixon: By the OPP or by the
agriculture oflBcials?
APRIL 22, 1974
1199
Mr. M. Shulman (High Park): It has been
known for years. Why does it take the Globe
to bring it to the minister s attention?
Mr. R. F. Nixon: Mr. Speaker, a supple-
mentary to the minister: By the OPP or by
the agricultural o£Bcia)s?
Hon. Mr. Stewart: I have nothing further
to add, Mr. Speaker. I can tdl my hon.
friend it's under very definite, very dose and
indepth investigation.
I Mr. Speaker: The hon. Leader of the Op-
^ position.
Mr. V. M. Singer (Downs view): Supple-
mentary, Mr. Speaker.
Mr. Speaker: The hon. minister says he has
nothing further to add. Therefore there can
be no more supplementaries. The hon. Leader
of the Opposition.
Mr. Singer: He can be asked.
Mr. Shulman: Ask the Solicitor General
(Mr. Kerr).
LAND PURCHASES IN
HALDIMAND-NORFOLK
Mr. R. F. Nixon: Mr. Speaker, a question
of the Treasurer: Has any action been taken
to examine the possibility of making a pur-
chase of land, in Haldimand-Norfolk, in the
area which the minister knows very well,
amounting to 12,000 acres in the former
Townsena township— that is, mostly in Towns-
end township— which would evidently still be
available at the option price of $1,600 per
acre? Is the minister either negotiating him-
self, or prepared to turn over to the newly
elected regional council, the responsibility for
making decisions on thie possible acquisition
of this land?
Hon. J. White (Treasurer, Minister of Eco-
nomics and Intergovernmental AfiFairs): Mr.
Speaker, there have been proposals made
from time to time by a representative of the
consortium with respect to these lands. The
early proposals were not acceptable to me
because they involved a form of joint ven-
ture which I thought was not appropriate.
The most recent proposal, which followed
a conversation with the representative of the
consortium, oflFers the lands for sale imcon-
ditionally at their cost plus certain expenses,
plus an acquisition fee.
On receipt of that proposal, I sent it to the
Minister of Government Services whose ex-
perts have been asked to evaluate it. More
recently, in fact. I think last Friday, die
Clarkson Gordon company has been asked
to vet certain of the information contained
in the proposal and that accounting firm will
have a reply for us, an evaluation for us.
about seven days hence.
I had a conversation this morning with the
chairman of Haldimand-Norfdk. The execu-
tive committee is meeting on Wednesday and
will get an expression of opinion from the
members of the executive committee. The
council proper will meet on Thursday and
each member of the regional council will be
asked to express his opinion about the suit-
ability of the alternative townsites available
to us. When we have that input from the
region, the government will have to make a
decision as to whether or not the consortium
lands are suitable and whether the financial
proposal or some modification therefore is
acceptable.
GO-URBAN SYSTEM
Mr. R. F. Nixon: I have a question, finally
Mr. Speaker, with yoiu- permission, of the
Minister of Transportation and Communica-
tions. With reference to the report that was
made available from his oflBce, entitled "Pre-
liminary Report on Station Configurations and
Dimensions for the GO-Urban Transit Sys-
tem", it now appears this preliminary report
indicates that the stations tor the GO-Urt)an
system may very well be something less than
what the Premier described in November,
1972. It does not appear, from the aesthetir
point of view, that they will fit very well
into the modem city, since their lengths wfll
run up to 1,000 feet and more and their
widths up to 50 to 60 feet. Can the minister
indicate whether the policy group over which
he has jurisdiction has considered this pre-
liminary report, and if they are still intent
on going forward with the expenditures asso-
ciated with the GO-Urban programme since
these reports, one after the other, indicate
the concept is not fitting into the needs of the
modem cities?
Hon. J. R. Rhodes (Minister of Transpor-
tation and Communications): Mr. Speaker, I
don't believe the policy committee has, in
fact, seen that particidar report.
Mrs. M. Campbell (St. George): Well what
have they seen?
Mr. Roy: Has the minister seen it?
Mr. Singer: Maybe that's because the re-
port is labelled December, 1974.
1200
ONTARIO LEGISLATURE
Hon. Mr. Rhodes: The particular report
being referred to was one that was made
available to the study group that was looking
into the Scarborough Expressway and other
transportation studies that were going on. It
was an internal report made available to them
for their information.
I would point out, Mr. Speaker, that some
of the points that have been made in the
article to which the hon. Leader of the
Opposition is referring really are not that
accurate as to the size, because the figures
that were used in the report indicate the
total length of the station, including the
switching area required. In fact, the stations
themselves would not be at all in excess of
1,000 feet as referred to in the article.
• Mr. P. G. Givens (York-Forest Hill): Sup-
plementary, Mr. Speaker: Considering my
leader's previous question, and considering
the fact that the minister's ofiBcials now esti-
mate the total cost of the experiment at the
CNE is increased by 40 per cent, does the
minister intend to live up to the promise
made by his predecessor that: "There will be
$17.5 million spent in total on the Toronto
demonstration system and not a dime spent
further until that is, in fact, successful"?
Mr. R. F. Nixon: That's what he said.
Hon. Mr. Rhodes: Mr. Speaker, I cannot—
Mr. Singer: Be bound!
Hon. Mr. Rhodes: —be bound if you will,
by previous comments that have been made.
Mr. Reid: The minister won't last long.
After making his promises they'll be putting
him back.
Hon. Mr. Rhodes: I would suggest, Mr.
Speaker, that hon. members, I think, will
appreciate that a figure of $17 million as was
quoted at that time, obviously is subject to
the inflationary factors that we are living with
in this country.
Interjections by hon. members.
Mr. J. R. Breithaupt (Kitchener): So long
ago!
Mr. Givens: Supplementary.
Mr. Speaker: The hon. member for Scar-
borough West.
Mr. Givens: Supplementary.
Mr. Speaker: Scarborough West.
Hon. A. Grossman (Provincial Secretary
for Resources Development): What's the mat-
ter with the member for Scarborough West?
Can't he hear?
Mr. S. Lewis (Scarborough West): Supple-
mentary, Mr. Speaker: Now that the estimates
are verging on an increase in excess of 50
per cent of the first figiu-e calculated, when
is the minister going to have, for the Legis-
lature, his set of predictions, presumably for
his successor then to deal with? When will
he have that?
Mr. R. F. Nixon: When will he repudiate
it?
Mr. Breithaupt: In the last two minutes it
has gone from 40 to 50 per cent. ,
Hon. Mr. Rhodes: Mr. Speaker, I said to
the House last week I would get the figures
that were asked for and I will bring them
before the House. I'm in the t>rocess of
doing that.
Mrs. Campbell: This year?
Mr. Givens: This year?
Hon. Mr. Rhodes: Yes, this year they'll
be here.
Mr. Reid: Even if he isn't the minister?
Hon. Mr. Rhodes: I don't intend, as I said
last week, to bring them in piece by piece.
I'll bring in what the members asked for and
present it to them at that time.
Mr. R. F. Nixon: We'll keep asking.
Mr. Lewis: Supplementary, if I may: Will
the minister not agree the figures that are
now being used have very little to do with
inflationary factors but have a great deal
to do with the underestimate which was
originally contained in the government's
analysis? Is there a ceiling beyond which the
government will not go? Can the minister
indicate that publicly?
Mr. Givens: It is $17.5 million.' ■
Hon. Mr. Rhodes: Mr. Speaker, I'still feel
that most of the cost figures-and again these
will be brought here-indicate there is, a very
very real factor involving the inflationary
problem in this country today that's, adding
to these costs. Members will bave ^a. chance
to see it. '
Mr. D. M. Deacon (York Centre): It's all
inflation?
Interjections by hon. members.
APRIL 22, 1974
1201
Hon. Mr. Rhodes: Well do the members
not recognize that?
Mr. Lewis: It's not inflation. Ten per cent
is inflation, but not 50 per cent.
H<Mi. Mr. Rhodes: The member will have
to revise his figures then, because he has
been tailking over the last four years at 10
per cent a year.
Mr. Lewis: Not in the months we've talked
about this project.
Mr. Speaker: Order please. The hon.
Leader of the Opposition.
Hon. Mr. Rhodes: The member can't have
it both ways. Either there is inflation or there
isn't
Mr. Speaker: The hon. member for Scar-
borough West.
Interjections by hon. members.
Mr. Speaker: Order.
POTATO SUPPLIERS
Mr. Lewis: I have a question of the
Solicitor General if I may. Are any of the
police f^orces associated with or attached to
his ministry entering into an investigation
into the potato matter which was raised with
the Minister of Agriculture and Food?
Mr.. E,, M. Havrpt (Timiskaming): Potato
jdbipSo r. ■' .
Hoii. C. A. Kerr (Solicitor General): Mr.
Speaker, it is my understanding that the
investigation is being carried out under the
aegis of the Ministry of Agriculture and
F9(4, ..;, , : ,. ^. '.^._,.^
* I 4im inot aware that any police force it-
self i^ inycplyed in this investigation. I under-
stand It IS a matter of the Food Council
being involved and also the possibility of
charges being laid under the Combines In-
vestigation Act. . ; :.
Mr. Le^'is: By way of supplementaiy, does
that mean that no one in the Solicitor
General's ministry that he knows of— and I
presurtie that would also be true of the
Ministry of the Attorney General— has yet
been called in on the investigation with
Agriailture and Food?
Hon. Mr. Kerr: I am not aware of any
such request, Mr. Speaker.
Mr. Speaker: The hon.
borough West
member for Scai>
HEALTH AND SAFETY HAZARDS
AT ELLIOT LAKE
Mr. Lewis: Yes, a questicm of the Minister
of Natural Resources:
Can I ask the minister what he intends to
do about the emergency situation in Elliot
Lake, where 700 workers in the Denison
Mines have been on a wildcat strike now
since Friday— I believe it is since Friday—
in objection to the safety and health hazards
that exist in the mine?
Hon. L. Bemier ^Minister of Natural Re-
sources): Mr. Speaker, I am sure the hon,
member is much aware of the efforts we arc
employing in the Elliot Lake area. We are
working very closely with the Ministry of
Health; just last week I had the ofiicials of
the union in my office and we discussed the
matter in complete detail. We are moving
ahead and they seemed quite satisfied when
they left my office at that particular time.
Mr. Lewis: By way of supplementary, can
the minister explain the measure of satisfac-
tion, since for the first time in the 18 year
history of the mine, 700 people have walked
off the job because of safety hazards; 60
safety hazards enumerated on Saturday, many
of which contravened the Mining Act as it is
now constituted? What does his ministry in-
tend to do about it?
Hon. Mr. Bemier: Mr. Speaker, my ministry
and the officials of my department of mining
section are on top of this matter. I am just
waiting for a full report from them and when
I have that I will take further steps.
Mr. Lewis: By way of supplementary, is
the minister aware that on Nqy. 6, 1973, and
again on April 16, 1973, his chief mining
engineer for Ontario, Mr. Davis, indicated
there were no reports of safety problems in
the Denison Mines? Therefore how can he say
he IS on. top of the matter when 700 people
are out on strike for that reason now?
Hon. Mr. Bemier: Mr. Speaker, we are
entirely on top of the matter. We have been *
on top of it for some considerable time and
studies and discussions have been going on
with the union. In fact the Ministry of Health
has done extensive x-rays of the miners in that
particular area.
We have done some very exhaustive studies
and we have had experts in the field. We
1202
ONTARIO LEGISLATURE
have had difficulty getting the type of experts
in ventilation and the various problems that
are associated with a uranium mine. These
experts are pulled together now and we are
moving ahead with what they are asking for.
Mr. J, F. Stokes (Thunder Bay): Supple-
mentary, Mr. Speaker: In view of the high
incidence of siHcosis in the uranimn mines at
Elliot Lake, what does the minister, in con-
cert with his colleague the Minister of Health,
intend to do to insist that that industry clean
up?
Hon. Mr. Bemier: Mr. Speaker, I am sure
the hon. member for Thunder Bay is aware
of the very intensive study we have em-
barked upon, in fact it is at the press right
nofw. It was prepared by Prof. Patterson. That
report, of course, wiU give us some indication
as to the seriousness of the matter and maybe
some direction as to which way we should
go-
We are also working very closely with the
Ministry of Health, as I pointed out just a
moment ago, in the x-ray field where we are
moving at great speed. In fact we have made
more marks and made more mileage in the
last six or eight months than we have in the
previous three or four years. So we are well
aware of the situation and we are moving in
the right direction, I am positive.
Mr. Lewis: A question of the Minister of
Labour: Is the Minister of Lalbour aware that
since the legislation has been changed, 107
pensions have been granted by the Workmen's
Compensation Board between Jan. 1 and
March 1 of 1974, for sihcotic victims, primar-
ily from the Elliot Lake area; and is the
minister prepared to put some pressure on his
colleague to do something about the unheard
of conditions in the Denison Mines and the
Rio Algoma areas?
Hon. Mr. Guindon: Mr. Speaker, we are
working very closely with the Ministry of
Natural Resources and I will make it a point
to look into it myself perscmally.
Mr. Lewis: May I ask the Minister of
Health a question?
After the promises made in November,
1973, to the workers in Elliot Lake about
silicosis, about tuberculosis and about radia-
tion hazards prompting the possible incidence
of cancer, why is it that they had to come
back this month and beg for the kind of
health survey which the minister had indi-
cated would be undertaken and have not yet
been undertaken; and now we have 700
people out on strike because of the health and
safety hazards in the uranium industry?
Hon. F. S. Miller (Minister of Health):
Mr. Speaker, I haven't any fast reply to that
question. It is one of those issues we have
been looking at in connection with occupa-
tional hazards in industries, and just this
morning I spent quite a bit of time talking
about it. We are very anxious to determine, in
fact, the cause and effect relationships in that
industry.
Mr. Speaker: The hon. member for Scar-
borough West.
Mr. Lewis: One last question, of the
Premier: Given the government's emphasis on
uranium now; given the contracts raitered
into with Japan and Spain; and given the de-
scription of incredible conditions in the mine
—about heavy equipment operated with less
power than is required, wim dust conditions
where workers cannot see each other, with
ventilation problems which leave people gasp-
ing in the mine— can the Premier somehow
co-ordinate the activities of the ministries in
order to respond energetically to the prob-
lems of ElHot Lake which have forced these
700 men to leave their work?
Mr. Roy: The Premier needs a super-
minister, tiiat's what he needs; some more
superministers.
Hon. W. G. Davis (Premier): Mr. Speaker,
as the Minister of Natural Resources pointed
out, his ministry has been very much aware
of the situation and is working towards solu-
tions to some of the problems. If it would
help the hon. member, I'd be delighted to
discuss it with him again and with the Minis-
ter of Health. The government is concerned
and is quite prepared to take whatever steps
will help resolve the situation. As the minister
pointed out, he met with some of the repre-
sentatives just last week on this very subject.
Mr. Speaker: The hon. member for Downs-
view.
INTERNS' AND RESIDENTS'
DISPUTE WITH HOSPITALS
Mr. Singer: Mr. Speaker, I have a question
of the Minister of Health. Could the Minister
of Health tell us if he is going to do anything
about the problem raised to him by the
Interns and Residents Association of Ontario,
because his letter of March 19 addressed to
the Ontario Council of Administrators of
Teaching Hospitals, suggesting that the Min-
ister of Labour might supply mediation or
APRIL 22, 1974
1203
that individual hospital boards might have
another look at the situation, has obviously
been ignored and the problems of salaries,
working conditions and tne very serious prob-
lems raised by the interns and residents re-
main unsolved and cx)ntinue as a festering
sore in our health service system?
Hon. Mr. Miller: Mr. Speaker, I had an
opp<^tunity to meet some of these interns
and residents not too long ago on an unoflBdal
basis and I believe they too have had some
change in their approach to things. We felt,
at that time, that the proper place for these
discussions on salaries and hours was within
the teaching hospitals and universities. I still
feel that is the proper place for these dis-
Mr. Singer: Mr. Speaker, by way of a
supplementary, I presume the minister refers
to a meeting held close to the March 19 date,
which is the date of the letter that he sent
forward. Is the minister not aware that since
sending forward the letter the situation hasn't
changed one bit; that the Minister of Labour
has not been accepted as the conciliator nor
have any of the individual hospitals chosen
to bargain? I am advised that the interns and
residents are more angry than ever and that
the minister is doing nothing except exacei>
bate an already very difficult and unfair
situation.
Hon. Mr. Miller: Mr. Speaker, I will look
into this, but there is a tendency always to
assume the minister should interpose himself
into operations that are quite properly be-
tween two other parties. It is a good thing
not to interfere with those operations until
you're needed.
Mr. Singer: Well, the minister is needed
right now.
Mr. Speaker: The hon. member for Port
Arthur.
LAKE SUPERIOR OUTFLOWS
Mr. J. F. Foulds (Port Arthur): I have a
question, Mr. Speaker, of the Premier. In
view of the failure of the Minister of the
Environment (Mr. W. Newman) to meet his
commitment to me on April 9 to supply this
Legislature with the detailed information on
the regulation of Lake Superior; and in view
of the meeting reported by Canadian Press
on April 11 between himself and Governor
Milliken of Michigan in which, and I'm quot-
ing:
The two leaders agreed tfiat the Inter-
national Joint Commission should adopt a
new water regulation plan for Lake
(Superior and that the two federal govern-
ments should provide compensation for
power interests at Sauk Ste. Marie and
property owners along Lake Superior dam-
aged by higher water levels.
Is the Premier now prepared to tell Ae
people of Ontario what specific regulation
plan for Lake Superior he has agreed to and
whether or not he is prepared to agree to the
use of Lake Superior as a reservoir for the
Great Lakes water system?
Hon. Mr. Davis: Mr. Speaker, I don't think
the Governor of Michigan and I made those
final determinations. I think what we did
agree to, or what we felt had merit, was to
have the International Joint Commission,
which is I think the approoriate body in this
case, deal with it. That really is the substance
of what was said by both Governor Milliken
and myself.
Mr. Foulds: A supplementary, Mr. Speaker,
if I mav. Why then does the story say— \%iiich
fives tne implication that an agreement has
een reachea and he has agreed with the
federal plan— that there should be compensa-
tion for nieher water levels on Lake Superior?
If he says he has not agreed to any plan, why
is he saying there should be compensation
for proposed higher water levels?
Hon. Mr. Davis: Mr. Speaker, as I recall
the discussions and the statement, it referred
to the responsibilities of the International
Joint Commission, and if in its wisdom— and
this would have to be accepted by both
federal governments, not by the State of
Michigan or the Province of Ontario-thls
led to a programme which did have some
negative effect, and obviously some very posi-
tive effect, the question of compensation
should be something that the International
Joint Commission should study in its recom-
mendations.
Mr. Foulds: A final supplementary, if I
may, Mr. Speaker: Is the Premier not aware
that in fact the federal Canadian government
and the federal US government nave agreed
in principle to a regulation plan and that
they are awaiting concurrence from the gov-
ernment of Ontario?
Hon. Mr. Davis: Mr. Speaker, I recognize
the federal government at Ottawa ana the
American government have had discussions
on this issue and on a number of other issues.
I'm not sure there is an agreement. I will
1204
ONTARIO LEGISLATURE
check that out and find out whether there
is in fact an agreement.
I mean, we had an agreement with Canada
and the United States with respect to water
quality, which was really the main basis for
my discussions with Governor Milliken, but
the American government has not met its
commitment under that agreement. Our con-
cern is that this be approached through the
International Joint Commission and this is
really the essence of that part of the state-
ment made by Governor MHliken and myself.
Mr.' Speaker: The hon. member for Ottawa
East.
Mr. t'oulds: Point of order—
Mr* Speaker: I had three supplementaries
from the same member; it is suflBcient,
Mr, Foulds: A point of order, Mr. Speaker.
Mr. Speaker: Point of order.
Mr. Foulds: I would like to inform you
and will further inform you in writing that I
do not deem the minister's answer satisfac-
tory and under standing order 27(g) will re^
quest a debate tomorrow night.
Mr. Speaker: The hon. member for Ottawa
East.
Mr. Roy: The Premier is going to have to
come back Tuesday.
An hon. member: The late show.
Mr., Roy: Does the member like the late
show?.
. SMITHS FALLS HOSPITALS
M^ -Roy: Mr. Speaker, a question of the
Minister of Health, and the question deals
with ; the- Smiths Falls situation: In view , of
the ' fact . there has been improper utilization
of hospital beds and a report of the College
of Physicians and Surgeons in fact indicated
that 80 per cent of the beds in both hos-
pitals were being misused— something like
109 beds out of 189— what does his ministry
plan to do to correct that situation and save
the taxpayers from abuses by the hospitals
and by certain physicians in that city?
An hon. member: He's going to make the
beds.
Hpn. Mr. Miller: Mr. Speaker, the situa-
tion in Smiths Falls is not unique in the
Province of Ontario, where we have-
Mr. Roy: What he is admitting is that he
is wasting millions.
An hon. member: Oh, listen to the answer.
Hon. Mr. Miller: May I suggest that when
we try to take remedial measures in some of
the areas that are in the member's riding,
that he should assist us, too.
Mr. Roy: I am prepared to co-operate in
anything.
Hon. Mr. Miller: It is very simple to talk
about the things the government should do
as long as they are not in the member's own
riding.
Interjections by hon. members.
Mr. Rreithaupt: He has to cover that riding,
too.
Hon. Mr. Miller: There are two hospitals
in that town, as I understand, and that is
true through many rural Ontario communi-
ties. It is true not only of rural municipali-
ties, but it is particularly true of rural munic-
ipalities where perhaps sound economics
would dictate only one or a combination of
services.
Our ministry has been working very ac-
tively with both hospitals in that municipality
—firstly, in an attempt to buy one of the
hospitals, I believe the member will find; and
secondly, to amalgamate services and define
the roles if that course of action doesn't
materialize. We are still, I think, having a
good deal of co-operation and assistance from
the people in both hospitals in that munic-
ipality and I hope we are on the verge of
solving the problems.
Mr. Roy: If I might, as a supplementary,
Mr. Speaker: In light of the fact that last
year the deputy minister made a suggestion
that 18 active treatment beds be reclassified
as chronic care beds in Smiths Falls, and if
was subsequent to pressure from certain Tory
doctors on the minister's predecessor that the
ministry's mind was changed, does he plan
to continue this approach to bend to the
will of the doctors who are abusing these
beds? In fact, may I say, Mr. Speaker, on
this question is the minister not in fact
admitting that the situation rrl Smiths Falls—
which by conservative estimates is a waste
of about $1 million a year— goes on through-
out the province?
Hon. Mr. Miller: Mr. Speaker, I think it
has been the policy of this ministry over the
past year and a half to take some ver>' real
APRIL 22, 1974
1205
steps in terms of rationalizing the hospital
bed situation in the Province of Ontario. We
can show that some 1,700 beds were taken
out of active treatment service during the
past 12 months, in an attempt to provide the
services that people need at the price they
can afford. There is no question that in this
particular area we would be better oflF to
take some of the beds and put them into
chronic hospital use, and that is the basis
on which our discussions are going on.
Mr. Roy: Why did the ministry back oflF
last year?
Mr. Speaker: The hon. member for Thun-
der Bay.
Hon. Mr. Bennett: Mr. Speaker, we can
assess or evaluate the applications a great
deal more quickly than that, but at times it
requires the assistance of the applicants to
make sure they have all of the information
filed with ODC, NODC or EODC. Quite
often we find that information is not avail-
able and for some period of time it's held
up by the applicant. Until they have it in,
sir, we cannot make a final decision.
They were informed that if the information
was not in the hands of the development
corporations before the end of December,
1973, the applications would be waived in
default as a dead file.
Mr. Speaker: The hon. member for Yoric-
Forest Hill.
ODC PERFORMANCE LOANS
Mr. Stokes: I have a question of the Min-
ister of Industry and Tourism. Can the
minister explain why 18 performance loans
in the amount of $1.5 million have been
granted by the Ontario Development Corp.
seven full months after the announced can-
cellation of the granting of forgivable loans
or performance loans?
Hon. C. Bennett (Minister of Industry and
Tourism): Mr. Speaker, at the time we an-
nounced the cancellation of the performance
loans we made it extremely clear to this
House that we would be looking at applica-
tions for about a six-month period there-
after. Applications that had been filed by the
end of July of last year would be looked
at up until December of that same year.
Those loans were extended on that basis.
Mr. Stokes: A supplementary: Is it an ad-
mission, then, by the minister, that it takes
six to seven months to evaluate the apph'ca-
tions for performance loans that are coming
into the Northern Ontario Development
Corp. or the Ontario Development Corp.? Is
that the minister's admission that it takes
them seven years to evaluate these applica-
tions? ^
An hon. member: Seven months, seven
months.
An hon. member: The member for Thunder
Bay said seven years.
Interjections by hon. members.
Mr. Stokes: Seven months.
Mr. Reid: Seven years is closer.
U.S. REACTION TO LAND TRANSFER
TAX
Mr. Givens: Could I ask the Minister of
Revenue whether it is true that various
American mortgage-lending institutions are
now holding up all mortgage loans pending
the passage of the land transfer tax and
speculative tax legislation to determine
whether these pieces of legislation will ad-
versely affect them; and that this will have
a devastating effect on the quantiun of
mortgage loans in this province?
Mr. Shulman: It's on the order paper.
Hon. A. K. Meen (Minister of Revenue):
Mr. Speaker, it has not come to my atten-
tion directly that any number of corpora-
tions may be doing this. I mentioned last
week that it had come to my attention that
there was at least one such lending institu-
tion that was concerned about the matter;
and in that instance I assured their counsel
that their mortgage advances being made to
their builders would not be in a secondary
position to any liens which my ministry
took back in the event the property were
eventually sold to a non-resident Canadian.
Now whether others may be doing that
at this time, I am not in a position to say.
Mr. Shulman: All are, all are.
Hon. Mr. Meen: I might observe, though,
that that happens to be one of the reasons
why I have indicated my anxiety and my
desire to get on with the completion of the
Land Transfer Tax Act.
Mr. Lewis: The government is drying up
all the mortgage funds, land—
1206
ONTARIO LEGISLATURE
Interjections by hon. members.
Mr. Speaker: The hon. member for High
Park.
Interjections by hon. members.
Mr. Lewis: What is the Premier talking
about? He is going to make it tougher to
get housing than it is now.
Mr. Speaker: Order, order; the hon. mem-
ber for High Park is next.
Mr. Shulman: Mr. Speaker—
Hon. Mr. Davis: The leader of the NDP
would not have a nickel of mortgage money
going.
Mr. Speaker: The hon. member for High
Park.
Hon. Mr. Clement: I just wasn't aware of
it. I didn't catch the number. Did the mem-
ber say 300 and—
Mr. Shulman: There were 301 out of the
319 smashed on arrival.
An hon. member: Call the shipper—
Hon. Mr. Clement: I see. Were they
smashed when they arrived or after they got
here?
Mr. Shulman: Both.
Hon. Mr. Clement: Thanks very much.
Interjections by hon. members.
Mr. Speaker: The hon. member for Kit-
chener.
LOSSES FROM BROKEN LIQUOR CASES
Mr. Shulman: Mr. Speaker, if we may turn
to a lighter minister, the Minister of Con-
sumer and Commercial Relations-
Mr. R. F. Nixon: He is not a light weight.
Mr. Roy: He is better looking.
Mr. Shulman: Can the minister comment
on the unique packaging and cartage methods
used by his department which resulted in
301 out of 319 cases that arrived at Freedland
St. last Thursday being smashed; and can the
minister comment on how much material dis-
appeared out of those smashed cases en route?
Hon. Mr. Rhodes: Cases of what?
Mr. Shulman: Beverage of some kind.
Interjections by hon. members.
Hon. Mr. Rhodes: Oh beverages; oh, I see.
Is that milk?
Interjection by an hon. member.
Hon. J. T. Clement (Minister of Consumer
and Commercial Relations ) : Well, Mr.
Speaker, I am not aware there were any cases
of, I gather alcoholic beverages being broken.
I will find out— unless the hon. member wishes
to work through his usual sources.
Mr. Roy: The minister wishes he had been
there instead of the member.
Hon. Mr. Grossman: There is an issue to
get the member's party elected.
Mr. Lewis: We need one.
TORONTO AREA GARBAGE DISPOSAL
Mr. Breithaupt: It might have been the
stafF that was "smashed".
Anyway, Mr. Speaker, a question of the
Minister of the Environment. Is the minister
investigating the private garbage disposal
business in the Toronto area further to the
recent reports in the press that two American
companies are apparently taking over the in-
dustry and forcing smaller operators out of
business?
Hon. W. Newman (Minister of die En-
viroimient): Mr. Speaker, we are aware of all
the potential sites in the greater Metro area
and who owns them at this point in time; and
we are investigating all the sites, as a matter
of fact.
Mr. Roy: The minister is familiar with the
garbage business, isn't he?
Hon. Mr. Grossman: The member for
Ottawa East knows all about garbage.
Mr. B. Newman ( Windsor- Walkei-ville ) :
Supplementary, Mr. Speaker.
Mr. Speaker: Supplementary; yes.
Interjections by hon. members.
Mr. B. Newman: Could I ask the minister
to consider looking into the ownership of that
type of industry in other areas besides the
city of Toronto, because in my local area
Sasso Disposal are owned by Browning-Ferris
of Dallas, Texas.
Hon. W. Newman: Yes; I must be careful
in answering the question. We are looking at
APRIL 22, 1974
1207
the total right throughout the province, at all
these sites.
Mr. Speaker: The hon. member for Went-
worth.
FINES FOR VIOLATIONS OF
CONSTRUCTION SAFETY ACT
Mr. Deans: Thank you, Mr. Speaker. I
have a question of the Minister of Labour.
Doesn't the minister agree with the inspec-
tor under the Construction Safety Act that the
fines that are levied by provincial judges for
violations under the Act become a licence for
the construction industry to violate the Act,
since they are much lower than the penalty
clauses normally incorporated into their con-
tracts? And does he not believe that it might
be necessary at this time to establish a mini-
mum fine in addition to a maximum fine, in
order to bring the fines into line and to bring
about better construction safety?
Hon. Mr. Guindon: Mr. Speaker, I
wouldn't dare to make a statement at this
time until I have really looked at the whole
matter myself.
Mr. Deans: Is the minister aware that the
fines for violations under the Construction
Safety Act average no more than $150, even
though the maximum is $10,000; and that a
$150 fine in a major construction project is,
in fact, no fine at all?
Hon. Mr. Guindon: The hon. member
knows full well that we have up to a maxi-
mum of $10,000 and it is left to the court to
decide as to the amount of the fine. So I
doubt if the Minister of Labour should really
interfere with the court in this matter.
Mr. Speaker: The hon. member for Essex-
Kent.
NURSING HOMES RESIDENCE
AGREEMENT
Mr. R. F. Ruston (Essex-Kent): I have a
question of the Minister of Health. Is the
minister aware that some nursing homes have
a clause in their residence agreement that in
the event of death the resident is obligated
to pay the full month's care regardless of the
day die person expires?
Hon. Mr. Miller: Mr. Speaker, I have to say
no, I am not aware; but I would be glad to
look at it.
Mr. Speaker: The hon. member for Sand-
wich-Riverside.
REHABILITATION OF
PSYCHIATRIC PATIENTS
Mr. F. A. Burr (Sandwich-Riverside): Mr.
Speaker, a question of the Minister of Health:
What provision has the ministry made for tihe
care and rehabilitation of patients from the
St. Thomas Psychiatric Hospital whose dis-
charge back into the Windsor area is being,
or already has been, directed?
Hon. Mr. MiUer: Mr. Speaker, we are, as
I am sure the member knows, taking steps to
rehabilitate quite a few people from oor
psychiatric hospitals. We are trying to move
them out of the major institutions and back to
a form of care that is more useful to them.
In many instances we are moving people
into homes for special care, as I am sure he
is aware, in an attempt to bring them into a
less institutional environment. Tliis is the
approach we are taking in that general area;
in fact one might say in the general area
around any of our psychiatric hospitals, which
at this point in time are considered to be fuH
of, say chronic psychiatric patients rather than
active treatment psychiatric patients.
Mr. Burr; A supplementary: Is it the policy
of the mmistry to establish halfway nouses
or sheltered workshops for such patients in
those areas?
Hon. Mr. Miller: I can safely say it is
ministry policy to assist in halfway houses for
psychiatric patients. One of the problems, of
courses, is obtaining the proper Idnd of loca-
tion and management for these; both for the
psychiatric patient and for other types of
patients, such as the alcoholic.
Mr. Burr: A supplementary: Does that
mean the minister looks with favour on
sheltered workshops and halfway houses?
Hon. Mr. Miller: I have just read a brief
on that area of activity, Mr. Speaker, and I
would say yes, I look with favour upon that
kind of thing.
Mr. Speaker: iTie hon. member for Huron.
MARKETING OF "FANCY HONEY"
Mr. J. Riddell (Huron): Thank you, Mr.
Speaker.
A question of the Minister of Agriculture
and Food: Is he aware that an artificial
product has been introduced to the consimier
within relatively recent times called Fancy
Honey, whidi is a sugared syrup artificially
flavoured to resemble honey but it is any-
1208
ONTARIO LEGISLATURE
thing but the product of honey bees? Is it
not contrary to the Farm Products Grades and
Sales Act to give an artificial product a
natural product name, and such being the
case would he see that the word "honey" is
removed from this product?
Hon. Mr. Stewart: Mr. Speaker, we had a
meeting with the honey producers' executive
last week on this point and the matter is
under consideration to see how we can pos-
sibly deal with it.
Mr. Speaker: The hon. member for High
Park.
PRESCRIPTION OF DRUGS
BY OPTOMETRISTS
Mr. Shulman: A question of the Minister
of Health, Mr. Speaker: Can the minister ex-
plain why he has gone against the advice of
his own experts and allowed optometrists the
use of drugs?
Hon. Mr. Miller: Mr. Speaker, first of all I
am very pleased to have a question from the
member for High Park. I had stopped eating
apples some time ago, when he stopped ask-
ing me questions, in the hope that he might
return to his daily procedure— and it has
finally worked.
I suppose he is jumping to a oonclusion
that I received one piece of information from
one person in a matter of advice. I under-
stand the hon. member has a copy and I
know that a munber of other people have a
copy of this advice. Just how mey got it I'm
not quite sure, but I'm very curious to know.
Mr. Lewis: Why?
Mr. Shulman: It was delivered' by hand.
Mr. Roy: If the minister asks me, I will tell
him.
Hon. Mr. Miller: I can safely say that this
one issue received a great deal of considera-
tion and a great deal of advice was given
about it. The position the ministry took in
enunciating the health disciplines bill was
taken after a very great deal of thought. I
believe it is a fair position.
Mr. R. F. Nixon: A supplementary. I won-
der-
Mr. Shulman: May I ask the first supple-
mentar)'?
Mr. Speaker: Yes, I think the hon. member
who asked the question should be entitled to
ask the first supplementary.
Mr. Shulman: Can the minister name one
senior person within his department who sup-
ports his view?
Hon. Mr. Miller: Yes, Mr. Speaker, I can,
but I won't.
Mr. R. F. Nixon: I'd like to ask the min-
ister if he doesn't feel the situation he is
responding to in this question is almost iden-
tically analogous to the situation involving
dentists and denturists? Why should he take
such a strange position with the denturists
since he is prepared to allow the optom-
etrists this particular responsibility?
Hon. Mr. Miller: Certainly it's a good
thing that the hon. member is not in the
governing party, because I think he would
find there is a fundamental difference be-
tween the denturists and the optometrists.
One is a graduate of university in the Prov-
ince of Ontario; the other person has not yet
proved his competence by any method of
testing.
Mr. Roy: Obviously the minister, didn't
understand the question.
Mr. R. F. Nixon: Well, a supplementary:
Is the minister not then prepared-
Interjections by hon. members.
Mr. R. F. Nixon: Mr. Speaker, is the min-
ister saying in his answer that the position
regarding denturists is not going to change
and that he is going to work with the At-
torney General (Mr. Welch) to continue the
raids on the denturists' premises and to pro-
ceed with the charges against them?
Mr. Lewis: Did he say all that?
Hon. Mr. Miller: Again, I would point out
to the hon. member that he is jumping to
conclusions not based upon fact.
Hon. Mr. Davis: And which is not true.
Mr. M. Cassidy (Ottawa Centre): Supple-
mentary, Mr. Speaker-
Mr. Speaker: Order, please. The last ques-
tion was asked by a member of the New
Democratic Party. There are just a few mo-
ments left and we shouldn't have any more
supplementaries.
The hon. member for Welland South.
STUDY OF VINYL CHLORIDE
Mr. R. Haggerty (Welland South): Thank
you, Mr. Speaker. I would like to direct a
APRIL 22, 1974
1209
question to the Minister of Labour. Is his
ministry considering an extensive study of
vinyl xroloride as to its ability to cause cancer
among certain employees employed in re-
lated wdustries?
Hqn. Mr. Guindon: Well I don't think we
have "any money in our budget this year
concerning such a study. Perhaps I can look
for money in next year's budget.
Mr.;Speakcn The hon. member for Ottawa
CentT&.
PRESCRIPTION OF DRUGS
■ 'BY OPTOMETRISTS
Mr. Cassidy: A question of the Minister of
Health, Mr. Speaker: Can the minister say
what drugs he intends to give optometrists
the power to prescribe; whether some of
those drugs are lethal in certain quantities;
and what training he believes that optom-
etrists have in the use of these drugs?
Interjection by an hon. member.
Hon. Mr. Miller: Well I am interested to
note, as a matter of fact, that the hon. mem-
ber is an advocate of the medical point of
view.
Mr. D. C. MacDonald (York South): Isn't
the minister jumping to conclusions?
Mr. Cassidy: Answer the question.
Hon, Mr. Miller: I will be glad to. In the
bill, if the hon. member has taken the time
to read it, we say that an optometrist may
use such drugs for such purposes as are per-
mitted in the regulations. That is the way
the bill reads.
Mr. Cassidy: Yes, but what are those drugs?
Hon. Mr. Miller: The drugs that are to be
permitted, insofar as I understand it at this
point in time, although the regulations are
not finalized, are the topical anaesthetics for
the use of tonometry only.
Mr. Cassidy: Well Mr. Speaker, a supple-
mentary-
Mr. Speaker: One supplementary orJy.
Mr. Cassidy: Is the minister not aware
that some of those drugs are lethal in certain
quantities; and what controls does he intend
to apply to the non-medical use of those
drugs?
Hon. Mr. MiUert Mr. Speaker, Aspirin is
lethal in certain quantities.
Mr. Shulman: Don't put it in the eye.
Mr. Speaker: The hon. member for Wind-
sor-Walkerville.
DAAL SPECIALTIES LTD.
Mr. B. Newman: Xh/wik vou, Mr. Speakei*
I have a question of the Minister of Labour.
Is the Minister of Labour aware that Allied
Chemical, the American owner of Daal Spe-
cialties Ltd. in Windsor, is plarming on eitncr
moving the facility from the Windsor area
or completely closing the plant?
Hon. Mr. Guindon: Yes Mr. Speaker; there
have been a nimiber of rumours floating
around the Windsor area in connection witn
the Daal Specialties plant. This plant, I
understand, employs some 400 people, 300
of them being female. The company is en-
gaged in the fabrication of seat belts, and I
am informed that because of a reduction in
prodtiction and technical changes it would
appear that the company has been affected.
I understand that two of their plants already
have been closed down in the United States.
However, this is only rumour, as I state; I
haven't had any oflBcial notice from the com-
pany. I did hear, as well as my hon. friend
did perhaps, that rumours have it they might
leave Windsor to go to the Collingwood
plant but I wouldn't want him to think for a
moment this is oflBcial. They are only rum-
ours.
Mr. Speaker: The time for oral questions
has now been exceeded.
Petitions.
Presenting reports.
Motions.
Hon. Mr. Winkler moves that the estimates
of the following ministries be referred to the
standing resources development committee:
the Ministry of the Environment; the Min-
istry of Natural Resources; the Ministry of
Transportation and Communications; and the
Ministry of Labour.
Mr. Stokes: In that order?
Hon. Mr. Winkler: Not necessarily. I will
inform members later today.
Mr. Speaker: Introduction of bills.
1210
ONTARIO LEGISLATURE
EDUCATIONAL COMMUNICATIONS
AUTHORITY ACT
Hon. Mr. Auld moves first reading of bill
intituled. An Act to amend the Educational
Communications Authority Act.
Motion agreed to; first reading of the bill.
Hon. J. A. C. Auld (Minister of Colleges
and Universities): Mr. Speaiker, this amend-
ment removes the requirement that not fewer
than three and not mare than four members
of the board of directors of the authority be
civil servants.
MASTER AND FELLOWS OF
MASSEY COLLEGE ACT
Hon. Mr. Auld moves first reading of bill
intituled, An Act to amend the Master and
Fellows of Massey College Act, 1960-1961.
Motion agreed to; first reading of the bill.
Mr. Lewis: About time, that one.
Hon. Mr. Auld: Great stuff.
Mr. R. F. Nixon: That one the minister
could nationalize.
Hon. Mr. Anld: Mr. Speaker, this amend-
ment would allow a student, either male or
female, who is a graduate student studying
for a further degree at the University of
Toronto to be a resident of Massey College. I
hope members wont ask to change the name
of the biU.
Mr. Speaker: Orders of the day.
Clerk of the House: The ninth order, re-
suming the adjourned debate on the motion
for second reading of Bill 26, the Land
Transfer Tax Act, 1974.
LAND TRANSFER TAX ACT
(continued)
Mr. I. Deans (Wentworth): Tell them
what is wrong with the bill.
Mr. M. Shulman (High Park) : I am a Httle
embarrassed by this bill, because I am attack-
ing the wrong minister here. I know the hon.
Treasurer (Mr. White) was responsible for
bringing it forth. I consider the Minister of
Revenue (Mr, Meen) one of my friends in
this House and for what I am about to do to
him I apologize as one friend to another.
Without a doubt, this is the worst bill— not
as to intent but as to result— that has ever
been brought into this House. The minister
intended two purposes when he brought the
bill in. He wanted to stop foreign money com-
ing into the country in the form of equity
ownership but he wanted to encourage debt
to come in.
He wanted the mortgage money to continue
to come because it has to come in. If it stops
coming in, interest rates are going to rise very
rapidly and people just aren't going to be
able to get mortgages. The result of the bill
is going to be exactly the opposite of what he
intended.
Last Thursday, Mr. Speaker, I telephoned
one of the lawyers who specializes in real
estate in this city. I am not going to use his
name because it would embarrass him with
his clients— I am one of them— and I said to
him, "I have some friends who are not Cana-
dian citizens. Actually, they live in Switzer-
land. They have been doing a great deal of
purchasing of land in this province and they
would like to continue to do so but they don't
wish to pay the 20 per cent penalty. On the
other hand they don't wish to break the law
and in fact, they insist the law not be brc^en.
Is it possible for them to continue to buy
land here in this province, without paying
the penalty and by remaining within the
law?" I received this reply back from him,
delivered by hand, Mr. Speaker, and I would
like to read it to the minister. First of all,
let's take care of the equity half of the matter.
We will come to the debt shortly.
Dear Mr. Shulman:
You asked me to lay out a method
whereby your Swiss friends may make a $2
imillion purchase of Brampton real estate
without paying the new 20 per cent land
transfer tax. I understand tmt they insist
(that everything be done perfectly legally
and, of course, that is the only way I
would go along with it in any case. There
lis really no problem at all. As soon as your
people are prepared to proceed I will set
up a new Ontario corporation with two
classes of stock, common and class A. Our
firm will hold 51 per cent of the common
'and the remaining shares will be divided
up betwefen the Swiss, but no individual
may hold more than 25 per cent.
Mr. R. G. Eaton (Middlesex South): That
is a loyal Canadian.
Mr. Shulman: To continue:
It is, of course, fully understood that the
common shares will have complete control
of the management of the company and
will make the decisions as to which land is
APRIL 22, 1974
1211
to be purchased althou^ w© will, of
course. Be pleased to receive advice from
the minority shareholders, your clients.
The class A shares will be held entirely
by your Swiss friends and provisions will
be put into the charter to the effect that all
(income and disbursements of capital to the
extent of 99 per cent of both shall be dis-
tributed to tne class A stock. Using this
method the provisions of Bill 26 are not
violated in any way and your friends will
be able to make their purchases without
the added 20 per cent expense because, of
course, control remains in Canada.
The cost will be nominal. Please forward
'a cheque for $2,500 and there will be in
addition the usual management charges.
Yours sincerely.
Mr. J. R. Breilhaupt (Kitchener): Is that
just for the letter?
Mr. Deans: That is an expensive letter.
Mr. Shulman: That is for setting up the
corporation. The $2,500 is for setting up the
corporation and for doing the other various
researches that are necessary.
Mr. Deans: What does the minister say to
that?
Mr. Shulman: Mr. Speaker, I am sorry the
Treasurer has left because he is the man who
brought this bill in. Over the phone the
lawyer made one other comment to me and
I hate to pass this on, but in this small body
I am sure it wouldn't be reported. He said,
"Having read the bill it was my impression
it was drawn up by someone's junior although,
on second thought, it might have been drawn
up by one of the lawyers in the Attorney
General's department. Perhaps that is the ex-
planation."
I know that is not the explanation. The
explanation is quite different. I will come to
the explanation shortly but first of all, before
we le^ve that aspect of it, I want to come to
the other half. The minister says he doesn't
want equity to come in but he does want
debt. He wants the mortgage money. In fact,
he needs the mortgage money but what every-
body forgot when mey set up this bill— and
it is so simple that it boggles my mind that
they forgot it— is no more mortgage money
can come in because they can never foreclose.
Who is going to put up mortgage money
where if he has to foreclose, if the payments
are not kept up, he suddenly has a 20 per
cent tax put upon him? In order to do that,
if the minister really wants to put on the 20
per cent tax, if he really wants to run the
risk of having this happen, he has to ndte
the interest rates at least two or diree per
cent a year.
Let's suppose the minister is gping to bring
in an amendment saying foreclcsuret woo^
be covered. He has to do that or the there H
not going to be any more mortgi^ money.
It is nnisned; dried up.
Hon. A. K. Meen (Minister of Revenue):
Did the member read the bottom?
Mr. Shulman: Yes, I read the bottom. If tbe
minister brings in an amendment to that, say-
ing foreclosures will be allowed or eacempdons
can be allowed, suddenly we have a hole so
big one can drive a truck throu^ because
when equity wants to come in, it doesn't come
in as owners; it comes in as mortgagors. So
we are had if we do and we are nad if we
don't. It is just an impossible situation.
In actual fact, he doesn't have to worry
because, although he may only be aware of
one company involved, every foreign mort-
gage company has stopped lending in Ontario.
They stopped last weelc and if one goes out
and tries to get a mortgage today from any
of them, one can't get it. All tne minister
has to do is get on the phone and he will
find that out.
The member for York-Forest Hill is per-
fectly right; they are suflBciently upset about
the implications and lack of thought in the
bill that there isn't mortgage money available.
In fact, it has gone a little further. All real
estate transactions, for all practical purposes,
have stopped. There is a sudden lull; where
everything was rushing through, now every-
thing has stopped because nobody knows
what is going to happen. They know die bUl
can't live as it is. It has to be radically
changed. But can it be dianged sufficiently
to alrow these various inequities to be ironed
out and still have any of the original effects
the minister intended? I doubt it. So do Ae
lawyers; so do the mortgage companies.
Mr. P. G. Givens (York-Forest Hill): They
think the government is a bunch of amateurs.
Mr. Shulman: They are not amateurs. I
can explain what happened.
Mr. Givens: But he used to close so many
deals himself.
Mr. Shulman: He had nothing to do with
the bill; it was the good old Treasurer. The
Treasurer said one day, "We've got to have a
great budget here and what are we going
to put in it? We really haven't got mudi
to put in the budget. What would be great
1212.
ONTARIO LEGISLATURE
would be a land transfer tax." He said to
the people in his department— and where he
made his mistake was he didn't give them
enough time— "I want a 50 per cent land
transfer tax." That was turned down by the
cabinet, Mr. Speaker. The cabinet refused
that. He went back and said, "How about
a 20 per cent land transfer tax?"
The cabinet bought it but they didn't leave
enough time for the people in his depart-
ment to draw up the bill; it was drawn up
hastily. They had about 2% to three days to
do it and they didn't have time to think
through the implications. The lawyers made
the mistake but I can't blame them because
the government didn't give them enough
time. That is purely and simply the answer.
I; don't want to belabour the point. The
bill is an abomination. It is going to force
up the price of land. It is going to force up
the price of mortgagiiig. It is going to force
up the price of real estate. It is not going
to do the things which the minister wants
it to do, which is keep out foreign owner-
ship. In the odd case of small people, the
guy who is buying a cottage or something,
he will come in and buy his little piece of
land and pay the 20 per cent transfer tax;
but he is just going to add that on when
he resells it. The minister is going to force
up the price of little housing, too.
The bill is such a mistake that I have one
piece of advice to offer the minister— with-
draw the bill; take it back. We agree with
the intention behind it; we know he was
trying to do the right tiling but it was just
badly thought out; perhaps I should say it
was not thought out. I offer the minister
as a friendly suggestion— and I really mean
it this way— the bill won't work.
If he lets it go through over his name,
six roonths from now he is going to cry
"uncle" and he is going to wish he had
never heard of this bill.
The price of land, the price of real estate
in this province is going to be up by at
least 20 to 25 per cent within that time.
The foreign money will come in as before
except it won't be coming in as debt which
is how he needs it; the price of mortgages
will be 15 per cent in this province. He can
come back and laugh at me if I am wrong.
If he puts this bill through, by Christmas
we will have 15 per cent first mortgages in
this province because there just isn't enough
Canadian money to supply the mortgages
and we are not going to get the foreign
money any more. The minister has scared the
hell out of them.
Mr. Speaker, I won't belabour this any
further. I can only say that amendments will
not save this bill; the bill is going to pro-
duce exactly the opposite of what the min-
ister intended. I very strongly recommend
to him, as a friend of the government, that
he repent and withdraw and bring it back
in a more acceptable form.
Hon. Mr. Meen: Who is the friend?
Mr. Speaker: The member for Rainy
River.
Mr. T. P. Reid (Rainy River): Thank you,
Mr. Speaker. It is with somewhat mixed
feelings that I rise to take part in this de-
bate. It is always a problem if one is not
the first or third or fourth speaker on these
matters, because most of those great ideas
one has had have been pretty well covered
by other speakers.
First of all, I would continue saying as my
colleagues have and the NDP have, the bill
will not work. It is too flawed, has too <
many loopholes and, really, as has been j
pointed out on occasions before, the prin-
ciple of the bill in itself is flawed. We have
yet to hear really what the principle of the
bill is, what it really intends to do.
If it intends to cut oflF equity investment
in the Province of Ontario obviously it
doesn't do that. All it does is make the cost
of doing business in the Province of Ontario '',
20 per cent more expensive. If that was the
reason, obviously it is not going to work. ;
If, Mr. Speaker, the principle of the bill
was to improve the amount of housing on
the market in the Province of Ontario, ob-
viously it is not going to do that either.
What then is the principle of the bill? i
The member for High Park has probably
given as logical an explanation as to what
has happened as anyone else. The cabinet
decided in their wisdom that they had to do i
something. The Minister of Housing (Mr. |
Handleman) was making great speeches ]
aroimd the province that he was going to do
something about speculators, and so they
came up almost overnight with some kind ■
of policy to try to combat this situation and
a policy somehow to control it.
It's interesting, Mr. Speaker, that the Treas- j
urer, whose last budget perhaps was supposed \
to be his monument, is having problems with
this budget. You will recall last year one of
the principal items that the Treasurer put |
forward for the general benefit of the people t
of the Province of Ontario was an increase
in the sales tax with an added seven per \
cent new tax on home heating oil and fuel. j
APRIL 22. 1974
1213
The Treasurer was forced to retreat on that.
I would suggest that if he and his colleagues,
particularly the Minister of Revenue, will
give this bill a sober second look, they will
take it back and bring in a new bill which
will not confuse and dismay not only people
outside of the Province of Ontario but cer-
tainly Ontario residents themselves.
Mr. Speaker, it's a continuation really of
the government's programme to govern by
headline. If you talk to a lot of ordinary
citizens who would not ordinarily deal in
these kinds of matters, they will say the
government is doing great things; but it's a
farce and a sham and it's hypocritical to pro-
ceed with this bill as it is now.
My OUT! political philosophy is that we
should not allow Ontario land to be sold to
non-residents. I said that over the years. I
was one of those who pushed originally for
the cutting oflF of recreation land to non-
residents. I might say, Mr. Speaker, that I
come from an area that to a great extent in
some particular cases depends a great deal
on American investment in Ontario recrea-
tion land. Some of the small communities in
my riding and in other areas of northern
Ontario depend almost entirely on Americans
coming up to their summer homes or buying
summer homes in that part of the world and
having them built and spending money on
supplies and so on. I might just add as an
I aside that there's another interesting phe-
I nomenon going on in that we are now attract-
ing German people in particular. Even some
Japanese have been showing interest in our
»area.
I would suggest to you, Mr. Speaker, and
I don't want to get into a long philosophical
debate about the ownership of land, unless
of course you insist, that land is the most
precious heritage we have. What gives value
to that land is the character of the people
who inhabit it and surroimd it and the sta-
bility of the governmental institutions which
give stability also to the ownership of that
land. So I would say that I am categorically
against the sale of land in the Province of
Ontario to non-residents.
I might also add, Mr. Speaker, that I have
a personal problem in this regard. A few
years ago, two friends of mine and myself
purchased a defunct mining town complete
with houses, sewer and water, hydro, roads
and so on. We bought that with the intention
of perhaps developing it but hopefully selling
that property, perhaps subdividing it ana,
quite frankly, making a profit. In those days
there was nothing wrong with that concept,
and I suppose there is really nothing wrong
with it these days either. We caa't dMuige
the rules of the game that itat
My friends and I have been to the federtl
government to interest them in this property.
They have not been interested. We have
been to the Ontario government and offered to
sell this property to them and thev have
shown no interest. We have advertised acrosi
Canada from Vancouver to Halifax, including
Toronto amongst other places, and Calgary,
Winnipeg and so on, to sell this partiailar
piece of property to Canadians because we
wanted this property to remain in Canadian
hands. As a matter of fact, we bought it wi&
that aspect in mind because we understood
some Americans were trying to buy; it- and
w© wanted to retain this piece of; property^
which is a particularly beautiful recreatian
spot, in Canadian hands.
Mr. R. F. Nixon (Leader of the Opposition):
Very, very high-minded.
Mr. Reid: Right. Unfortunately, Mr.
Speaker, we found that there weren't any
Canadians interested. Neither the fedeial nor
the provincial government nor anyone
seriously answered any of the ads that we
placed in the papers across Canada. The only
interest that was shown was by some people
from the United States who had heard about
the property and who came up to see it.
So, I have a personal conflict there, Mr.
Speaker, and this particidar matter could put
me in severe financial straits. I think this is
something that the Legislature should also
keep in mind, that these are some of die side
effects that will happen. But I continue to
state, Mr. Speaker, I do not believe that land
should be sold to non-residents of Canada or
the Province of Ontario.
'Unfortunately, because of market condi-
tions, some people are going to be in a posi-
tion of being forced to oo so imless diis
government ^es action to outlaw the orac-
tioe altogether, which I believe it shoula do.
On the other hand, I think also that the
government should set up a system whereby
it will be, if we want to put it that way, a
buyer of last resort of not only recreation
land, but farmland and commercial land.
Mr. R. F. Nixont And nxinlng towns.
Mr. Reid: And defunct mining towns par-
ticularly, perhaps.
Mr. Speaker, it concerned me somewhat
when I first saw this bill to see what exactly
the effects of it would be. As I've said, all it
will do is increase the cost of doing business
in the Province of Ontario and add to our
1214
ONTARIO LEGISLATURE
already high inflation rate. Therefore, Mr.
Speaker, that aspect in itself is enough to
have the government withdraw the bill, re-
think its position and bring in a bill which,
in fact, will control the situation.
I give you another example that happened
within my riding just wiUiin the past few
months, Mr. Speaker. I had a farmer come
in to see me, frustrated, upset and facing a
very serious economic crisis. For some years
he had used or rented the adjoining farm from
a person who lived in Manitoba. He used to
run his cattle there and the cattle used that
farm for pasture land. Not to go into all
the circumstances of the matter, Mr. Speaker,
v/hsit happened just recently was that the
gendeman from Manitoba, and perhaps he
had good reason— I do not know— sold to an
American the farm that he had next door to
the farmer in my riding. The American, as
far ^ I know, has no plans to use that land
other than to sit on it and use it pethaps as a
speculation in that he hopes he'll be able to
make a profit in years to come.
What has happened in this particular small
instance, and one that's probably very micro-
scopic in the economic life of the Province
of Ontario, is the fact that a Canadian farmer,
an Ontario farmer, was not able to purchase
that land. He is now deprived of the use of
that land perhaps. It is now owned and con-
trolled, which is probably as important, out-
side the Province of Ontario and outside
Canada. These are serious matters that must
be dealt with and yet are not being dealt
with in this bill.
As also has been pointed out, talking to
this particular minister— whose only function
really as a minister is to administer his de-
partment and not set policy— is perhaps a
waste of time. I would have thought that we
could have heard the Treasurer speak on these
matters.
It's interesting to note, Mr. S'peaker, from
the report of the select committee on eco-
nomic and cultural nationalism, particularly
in. regard to foreign ownership of Ontario
real estate, that me matter was debated
thwoughly, and that they did have the facts
and figures when they recommended in their
Trt that the sale of foreign lands be cut
Having gone through the report to re-
fresh my memory, as I recall it, the report
indicated that there was a net inflow of
capital or equity investment in the Province
of Ontario, in relation to commercial land in
particular, of some $100 million. The figures
that were extrapolated from that indicated
that that probably meant a gross investment
of close to $1 billion.
In other words, another $900 million or so
was raised in the Province of Ontario or
in Canada, or was taken back by way of
mortgage. The net investment in dollar
terms in any given year, according to the
committee in any case, was something like
$100 million. The rest was raised primarily
in Canada, as I say, by way of mortgage,
bank loan or so on.
Does that mean, if that equity investment
was wiped out, by not allowing foreign
ownership of land, that we woidd in fact
lose that investment? I think not, and the
committee, which had a majority of Con-
servatives who signed this report and sup-
posedly agreed with the recommendations,
obviously felt the same way.
You know, Mr. Speaker, diere was a time
in Canadian history when equity investment
was important in our comnwrcial operations,
in our industries and in our natural resource i
extraction. It was important not only for \
the dollars it brought in, but the expertise
that it brought with it. In a lot of cases we
needed the knowledge of foreign investors
in the way to develop our industries and our
natural resources.
I would suggest to you most respectfully,
sir, that those days are now gone, and that
to a large extent in the world today Canada
is in fact exporting the expertise, the en-
trepreneurship and the managerial ability
that we imported when we originally im-
ported the equity investment in dollar terms
into Canada.
I would suggest, Mr. Speaker, that the bill j
is not only flawed, it is wrong in principle.
The principle should be no foreign owner-
ship of land in the Province of Ontario. I ]
would suggest that the bill is only going I
to add to inflationary pressures in the prov-
ince by some 20 per cent— a larger increase
than we have seen— in the price of food
and other goods in the Province of Ontario.
I would suggest most strongly that the
minister take the bill back to cabinet and
bring in a bill that will deal with and con- |
trol the situation. '
Mr. Speaker: The hon. member for York
South. j
Mr. D. C. MacDooald (York South): Mr.
Speaker, everything that needs to be said ^
about this bill already has been said. Un- |
fortunately that doesn't mean that we cease -
talking about it, because the government has 1
committed itself to it, and sometimes the j
process of uncommitting it takes a little time. |
APRIL 22, 1974
1215
I think what has to be done is to take the
major points, which have already been made,
and to drive them home in the hope that
perhaps tibe minister will recognize the folly
of what has been imposed upon him by his
colleague, the provincial Treasurer.
As a matter of fact, Mr. Speaker, as I
was listening to some oi the observations of
my colleague from High Paric, a moment
ago, I was thinking that in a strange way
this is this year's energy tax.
Last year the energy tax was conceived
in the administrative portions of the depart-
ment. It wasn't thou^t through. Its political
consequences weren't considered at any great
length. It was the kind of thing that hkd a
certain inexorable logic that fascinated the
provincial Treasurer, so he brought it in.
But it exploded in his face, and within one
week be came back to €umounoe its with-
drawal and told a press conference that 95
or 99 per cent of tbe people were opposed
to it.
How a minister could be so insensitive to
95 or 99 per cent of the people being
opposed to it and bring it in in the first
instance was always a little bit puzzling.
This bill really should be withdrawn too.
Unfortunately I don't think it is the kind
of thing that most people are going to
personally react to in order to create the
kind of public furore which will residt in
its withdrawal. But it should be withdrawn,
because it is as misconceived as was the
energy tax last year. Apart from the minister,
the only Tory who has spoken for it so far
—that smiling member for Victoria-Halibur-
ton (Mr. R. G. Hodgson)— was really doing
his level best to rationalize the irreconcilable,
namely, the position that he agreed with
in the select committee on economic national-
ism and this bill and, hopefully, saying that
there was nothing in conflict and that the
government would move some time later to
implement the full recommendations of that
committee. I repeat, that was the supreme
rationalization and nothing more.
What is the purpose of this bill, Mr.
Speaker? It seems to me one should perhaps
focus on that for a moment. There's no doubt
about it that the purpose of the bill was this
government's gesture to Canadian nationalism.
In fact, I now recall during the press brief-
ings prior to the unveiling of the budget, and
in the subsequent meetings in which me min-
ister has had with various representatives of
the business world and the trade unions, that
he referred to this bill as "our expression of
nationalism." The protection of Canadian in-
terests, the halting of the foreign takeover of
Canada, has now become something which
people from all parties support. All parties
have to pay lip-service to it and this is this
government's hp-service to that particular
clause.
I was fascinated at the observation of the
hon. member for Hi^ Park— and I suspect
with his capacity for getting inside informa-
tion that he's conrect-that, in the first
instance, to make the thing logical, the
proposal was that the bill was going to have
a 50 per cent tax, but M^dien that went to the
cabinet it was killed; it was brought back
with a 20 per cent tax and it was accepted.
The simple fact of the matter is that if the
government's objective in this bill is to hak
the further acquisition of Ontario lands by
foreigners it simply will not do it. As has been
pointed out, I thinic in very weD chosen words,
almost a slogan, by my two colleagues, the
leader of the party and the hon. member
for Wentworth, the only difFerence is On-
tario is still up for sale but now it's going to
cost a little bit more.
So the government has really fallen between
two stools. It has set itself up an objective
to halt this acquisition of land by foreigners
but it has come in with a procedure which
simply isn't going to achieve it at all. The net
result— and this is what the supreme irony of
it is, Mr. Speaker— is that in the process it is,
as a government posing as a champion fighting
against the inflation forces, going to be
accelerating those inflation forces by boosting
land costs all across the Province of Ontaria
That 20 per cent on all land that is going to
be bought by foreigners will become a built-
in figure adding to that cost of land, and as
soon as the government begins to add it in
there it will have that competitive value that
will drive the land up to that level. So that,
while posing as the champion erf anti-inflation,
the government is accelerating the inflation
forces.
Again, just by way of a brief digression,
the irony of it is that this bill and its
partner, the Land Speculation Tax Act, are
again doing precisely tiie opposite of what
presumably was the government's objective.
They are going to consolidate the inflation
that has built up in such a scandalom fashioo
over die last year or so. They are sort of
going to institutionalize it. It will now be-
come part of the \i^ole price structure of the
nation and, because the Acts are themselves
ineffective, they are going to add to the in-
creased inflation in the instance of the land
speculation tax and, in this instance, they are
going to sort of nail on another 20 per cent
by all those purchases by foreign interests.
1216
ONTARIO LEGISLATURE
Mr. Speaker, clearly, that in Itself is solid
evidence as to why the bill should be with-
drawn. However, what I wanted to draw
attention to in the main body of the remainder
of my remarks is what exactly the goverrmient
turned away from in the report of the select
committee. Here was a select committee that
had 12 members on it, eight of whom were
Conservatives, and all of them signed it, ad-
mittedly some with varying degrees of reser-
vations with regard to various recommenda-
tions. But, generally speaking, everybody sup-
ported the general thrust of this bill, which
was to halt the acquisition of Ontario by
foreigners.
Let me, for example, just put it on the
record. It's been referred to, but for those
who perhaps pick up their information from
only the record of Hansard, I think it is well
tliat some of the recommendations be right
there so that they can read them and see
them in their stark, unqualified extent.
Page 23 of the report, for example, dealt
with foreign ownership of Ontario real estate.
In reference to ownership of land by individu-
als, this is what it said:
The committee recommends, subject to
recommendation 2, that all future transfers
of legal or equitable, including leasehold,
interest in real property in Ontario to in-
dividuals, directly or indirectly, be restrict-
ed to Canadian citizens and landed immi-
grants resident in Canada.
That's pretty solid and unqualified. It came,
I repeat, as a unanimous report of 12 mem-
bers of the Legislature, two-thirds of whom
were Tories. Why would the government
bring in a bill which so clearly does not fulfil
the recommendations?
Mr. R. F. Nixon: Even the Minister of
Housing recommended it.
Mr. MacDonald: Even the Minister of
Housing recommended it. Mr. Speaker, if you
want to prohibit the foreign takeover of lands
and you decide that you are going to use tax-
ing as your mechanism for doing it, you have
got to have a tax which is prohibitive. It is as
simple as that. If you want to prohibit it, you
have got to have a prohibitive tax. The propo-
sition that a 20 per cent tax is going to be
prohibitive is only a tax that is automatically
going to be built into the price of land all
across the Province of Ontario, as I have
already indicated.
And so the government backed oflF, if it is
correct that it was considered at 50 per cent
to l3egin with. It backed oflF and it went back
to a 20 per cent which is aborting the whole
objective and the whole professed purpose of
the bill. But there was the recommendation
that it backed away from.
Let me go on now to point to the nature
of the recommendation that was made with
regard to corporate holdings of land. On page
37, there was a conclusion which reads as
follows: "Having regard to all of the factors—"
just le me interject there, Mr. Speaker. The
report carefully considers a lot of counter
arguments, a lot of consequences that might
be something one should bear in mind. They
didn't simplistically and blithely come .to a
conclusion. They considered all of these con^
sequences, and then they said in their con-
clusion:
Having regard to all of the factors, the
committee has concluded that it would be
desirable for futiure acquisitions of .land in
Ontario to be restricted to corporations sub-
stantially owned in Canada.
What does "substantially owned in Canada"
mean? We find out when we turn to the
recommendations. I will read the first three of
them without interruption so that they can
stand there for posterity to be reminded once
again:
1. The committee recommends, subject to
recommendation 2, that all future acquisi-
tions of land in Ontario, other than by in-
dividuals, be restricted to corporations or
ventures not less than 75 per cent owned
by Canadian citizens or landed immigrants
resident in Canada.
2. The committee recommends that cor-
porations or ventures less than 75 per cent
owned by Canadian citizens or resident
landed immigrants, who can establish that
it is bona fide in the nature of their busi-
nes to acquire land on a regular basis for
real estate development or finance have
the option of becoming 75 per cent owned
by Canadian citizens or resident landed im-
migrants as a condition of being entitled to
continue to acquire land diuring the period
required to obtain a fair price for the cor-
poration shares on the Canadian market.
3. The committee recommends that cor-
porations or ventures less than 75 per cent
owned by Canadian citizens or resident
landed immigrants be entitled to obtain
leasehold interest in land in Ontario on
terms appropriate to their conmiercial
needs.
What that means, Mr. Speaker, is simple and
unqualified. The committee didn't horse
around. It didn't play games. It came to the
conclusion that this government was worried
about the foreign takeover of Canada insofar
APRIL 22, 1974
1817
as Ontario, its responsibility, is concerned and
it came to a conclusion that it wasn't desir-
able. So it makes a specific, unqualified pro-
posal. And what does the government do
about it? It waters down the proposal and
comes in with a sort of a panty-waist alterna-
tive that simply isn't going to achieve the
objective at all— not at all.
How might they achieve this, Mr. Speaker?
Before I leave this report, I diink it would
be interesting to draw attention to something
that again was discussed a number of times
in the post-budget debates with various
people. On page 24 of the report in the
recommendations, there is one that I suggest
that the minister should take a look at, if
indeed it is the government's intention to do
something about the extensive foreign hold-
ings in Ontario at the moment as well as
dissuade those foreigners who wish to con-
tinue to buy up.
Recommendation 5 to be found on page 24
says as follows:
The committee recommends that munic-
ipalities in Ontario be empowered to levy
a surcharge of up to 50 per cent of the
real property tax otherwise applicable in
respect of land ownership in Ontario not
ordinarily resident in Canada.
The immediate reaction, like the reaction,
for example, of the government when it
found the proposal was going to be for a
50 per cent land transfer tax is, "How hor-
rible. It's confiscatory. It's not fair." But one
can't have it both ways. If the government
wants to prohibit, it must have a prohibitive
tax, otherwise it is not prohibiting.
Hon. Mr. Meen: We have no right to do
it.
Mr. MacDonald: Pardon?
Hon. "Mr. Meen: We have to have the
constitutional capacity to do it
Mr. MacDonald: What does he mean by
the constitutional capacity?
Mr. R. F. Nixon: The committee decided
the government did have it.
Mr. MacDonald: The conunittee decided
the government had it and as anybody-
Interjection by an hon. member.
Mr. MacDonald: Is the minister suggesting,
for example, that the municipality wouldnt
have the right to put a 50 per cent surcharge
on any land it chose?
Hon. Mr. Meen: Mr. Speaker, I'm suggest-
ing that in circumstances in which it became
confiscatory when we are dealing with non-
residents and with aliens, we are into an
area which is grey. Counsel to that select
committee as well as the best legal advice
we have indicate it is dubious whether that's
within the constitutional competence of the
provinces.
Interjections by hon. members.
Mr. MacDonald: Mr. Speaker, all Fve got
to say to the minister who, for better or Tor
worse, is now the minister on whom this bill
is pinned, is that he has joined the flim-flam
artists deluxe. He is posing; he is presenting
this bill as a bill to do something respecting
the integrity of Canadian nation^ism; to do
something to halt the takeover of lands by
foreigners and presimiably to regain it Now,
in effect, he is saying that to do it and do it
eflFectively so that his objective would really
be achieved is unconstitutional.
Hon. Mr. Meen. No. On a point of order.
Mr. MacDonald: What? Let's clarify this.
I don't object; he has the floor,
Hon. Mr. Meen: That is not what I am
saying. I'm saying if we get into a confisca-
tory nature thats another matter. We do
have the capacity to tax real estate and that's
the approach we are taking. HI have more
to say about that in my reply.
Mr. MacDonald: I will just say to him
that the conmiittee considered it; he will
have his chance later. I appreciate that.
Mr. M. Cassidy (Ottawa Centre): He's as
pusillanimous as they come.
Hon. Mr. Meen: I'm looking forward to
that
Mr. MacDonald: I sought the clarification
because I think it is well to see the further
inconsistencies in the government's position.
To resort to the areument that to put on ft
tax which would be so prohibitive as to
achieve the professed objective of the bill Is
unconstitutional just shows that his whole
position is so riddled with inconsistencies that
it's untenable. He should withdraw.
The point I wanted to make is that if the
government was really interested, for ex-
ample, in contributing to a more effective
housing policy— which, presimiably, is one of
the objectives of these land speculation bflk
and the land transfer tax and everything else
—here is a way in whidi it could have
achieved its objective for this bill, by putting
1218
ONTARIO LEGISLATURE
on at least a 50 per cent surcharge on the
property tax. Then we would see that land
would be returned to Canadians in a hurry
and it wouldn't be bought up by others. Pre-
sumably this is what it is seeking to do.
At the same time, Mr. Speaker, the gov-
ernment would provide the municipalities
with the moneys they need to service land so
they could get more serviced lots and flood
the market with available land for the con-
struction of homes. This would do something
to take the upward pressure oflF the market.
That, again, I assume, is the overall hope of
the government. But it is not doing it.
'In fact, all throughout, what the minister
has done is walk away from firm, clear and
valid recommendations and clear techniques
for achieving those reconunendations. He has
come in with something which, as it has been
pointed out to him many times already, simply
will not work,
I suggest to the minister that even if this
isn't the kind of bill which will produce a
pubhc furore reminiscent of the energy tax
last year, he should at least be prescient
enough to look ahead and to recognize the
consequences a few months from now and try
to persuade his colleagues to withdraw it. If
we are not going to get the public furore out-
side, let's have some enlightenment and
common sense in here so that he will take
the initiative himself.
Mr. Speaker: The hon. Leader of the Op-
position.
Mr. R. F. Nixon: One of the interesting
things about the debate on this bill and the
government's statement with reference to it,
is that all three parties are agreed that the
ability of foreigners or non-residents to own
property here should not just be controlled
but should be removed.
'The government has chosen— and the min-
ister has reinforced its attitude through his
interjections— to use the imdoubted powers of
the taxation on property to impose what,
according to government statements, is sup-
Ced to restrict and in fact stop any further
3ign buying into the Canadian real estate
market.
This is, of course, a tremendous break-
through in the attitude of the government. I
can well recall putting this to the former
Premier, Mr. Robarts, and his response was,
"Well, surely you should have the ri^t to buy
property in Florida if you want. Therefore,
we cannot interfere with the right of Amer-
icans or any other foreigners to buy property
here."
Fortunately, that attitude has been lost by
the governing party and the attitude ex-
pressed in the statement associated with this
bill is directed toward not just controlling
foreign ownership but stopping it.
The second thing I want to say in this re-
gard, Mr. Speaker, is that I agree with the
other speakers who say that the government
did have access to the legislative alternative
of prohibition— not using the tax base, but
simply prohibiting non-residents from buying
ana acquiring tide to any further properties
here.
I, too, have examined carefully the recom-
mendations of the select committee on eco-
nomic and cultural nationalism. The member
for Nipissing (Mr. R. S. Smith) and the
member for York Centre (Mr. Deacon) were
active members of that committee and had a
role to play in the wording, I understand, of
the recommendations that eventually were
accepted unanimously by the committee.
Now it may be the ministry's wisdom that
a prohibition by law would not stand up in
court, but surely that should have been the
approach to explain the attitude of the gov-
ernment and to put it forward sbrongly-and
let the government of Canada protest if it so
chose. Obviously, it would then be tested in
the courts.
In my view, the government of Canada
would not protest. As a matter of fact, it
should move with similar ledslation at the
federal level, or at least co-ordinate the prov-
inces in bringing forward this., type of
legislation^
Mr. Speaker, I remember you paying care-
ful attention to my remarks in reply to the
Speech from the Throne. You may Recall that
on that occasion I put forward statistics asso-
ciated with the huge increase in foreign own-
ership, not of recreation land and fiirmland,
but of commercial properties between Oshawa
and Burlington and particularly in the jnetro-
politan area.
The hst could have gone on endlessly-
some of the people listening to my speech
thought that it was endless in that regard—
and it is frightening that foreign capital is
moving into Canada because tiiiey consider
this a safe place for investment. They are not
prepared to put it into a banana republic or
perhaps another area of the world where their
moneys and their investments will be invested
at some risk. Because of the sureness of in-
vestment here, those people are prepared to
accept a relatively low rate of return.
For that reason, the 20 per cent imposition
that would be brought forward under Bill 26
APRIL 22. 1974
1219
is not going to be the deterrent that the
minister envisages. I believe it was the min*
ister who said, "If 20 per cent isn't enoueh.
we will double it or make it as high as it has
to be."
If the principle that the government wants
to put forward is to prohibit the ownership of
land in this province by non-residents, then
this bill does not express it. In fact, it puts
on a 20 per cent tax, which for most people
might be prohibitive but which in the circum-
stances of international investment in real
property is anything but prohibitive.
In the present state of the marfcet the tax
can readilv be passed on, and for the investors
who are looking for something in which to
put their huge pools of international capital,
this 20 per cent will not be a deterrent, and
this has been put before you, Mr. Speaker,
quite specifically.
In reference to the commercial properties,
I didn't for a moment want to say that in
my view recreation and agricultural properties
are not of equally great importance. On
previous occasions, Mr. Speaker, I and my
colleagues and others have brought to your
attention the frightening rate at which our
best recreational properties are being lost to
foreign sale.
As a matter of fact, I noticed the Premier's
special assistant, the former Attorney Gen-
eral (Mr. Bales), under the gallery just a
few moments ago, and I specifically remem-
ber discussing in this Legislature a strip of
some of the finest recreational property north
of Sault Ste. Marie, several miles of lafcefront,
in which the only Canadian owner at that
time was the then Attorney General himself.
He may even— since he's so busy in Toronto-
have already passed that property on to some
other owner.
There is no doubt, Mr. Speaker, that when
it comes to agricultural property, you being
a farmer yourself and interested in the value
of agricultural land, are as aware as I am that
is is the uimatural and dislocating pressures
of foreign capital brought into the Province
of Ontario for the express purpose of buying
properties at any price— the price has no
significance whatsoever— as long as the prop-
erty can be acquired; and this 20 per cent
tax is not in any way going to restrict that
particular matter.
Now, I will say to you, Mr. Speaker, that
if the government in principle is saying that
sale of our properties to foreign interests, at
least to non-residents, must be stopped, then
of course the principle of the bill is one that
is supportable. But, obviously, the 20 per
cent tax does not achieve that.
We on this side support the
tions made by the select committee, which
were clear and entered into after careful
research and apparently after extensive debate
among the members of the committee. We
feel that it is a sham that the Minister of
Revenue, or those who make the financial
policy were not persuaded to accept thoae
recommendations.
If it had to be tested in court, so be it;
but surely a politician looking at the chances
of such a test would see that it would not be
contested by the government of Canada and
that surely it is a provincial right so to
legislate.
It is regrettable that Bill 26 does not, in
fact, state the principle that should be sup-
ported by all three parties; that, in fact, it
could have been a breakthrough of tre-
mendous proportions.
The bill in its present form cannot bo
supported and we would hope that the min-
ister is not only prepared to bring forward
some amendments, as he has indicated that
he would in this bill, but to put in the place
of the operative clause the principle that, in
fact, our property can no longer be pur-
chased by non-residents.
Mr. Speaker: The member for Ottawa
Centre.
Mr. Cassidy: Mr. Speaker, I am very sur-
prised in this debate that we haven't heard
a word from any of the Conservative mem-
bers—apart from the member for Victoria-
Haliburton, who spoke on Friday. I think it
sx>eaks badly for the Conservatives and badly
for this measure that there is not a sin^e
person, apart from the one I have mentioned,
who is willing to defend the bill except the
minister.
Mr. MacDonald: And he did it pietty
weakly with tongue in cheek.
Mr. Cassidy: That's right; and the minister
is just simply a technician in these aflFairs. It
reminds me of the debates that I had with
the minister over regional government bills
when he was an assistant to the Treasnrer
in the municipal field. At that time he would
get up on things like the Haldimand-Norfolk
bill, or the bills that established the regions
of Peel and of Halton, and he woukl say:
"Look, I am not responsible for the overall
policy; that's got to do with somebody else.
I am simply here as a technician."
He was very clear in the introduction of
this bill on Friday. I regret that I wasn't
here, but I read the debate. In that intro-
duction, the minister said: "Wdl, we have
1220
ONTARIO LEGISLATURE
got some changes to section 6 and to sec-
tion 16. I have got a nice little piece of
technical apparatus here; and here you are,
a nice little piece of clockwork."
He is putting it on the table at the direc-
tion of the provincial Treasurer. It is the
Treasurer who should be seeking to defend
this bill, Mr. Speaker, and not the Minister
of Revenue. As is well known, the Minister
of Revenue— and his predecessor, who is
also sitting in the House— simply comes for-
ward and looks to the nuts and the bolts.
Frankly, I really question whether the
present Minister of Revenue is capable of
trying to defend or comprehend the wider
ramifications of this particular bill. He has
not given us that evidence in the Legislature
up until now and his—
Mr. Speaker: What about the principle of
the bill? Order, please. We are talking about
Bill 26.
Mr. Cassidy: That's right. On Bill 26, Mr.
Speaker, his interventions up until now sug-
gest at the very least a pusillanimous atti-
tude toward any kind of innovation in the
province.
He's saying, "Well, we can have a bit, we
can fiddle around, but we can't do anything
meaningful in the taxing field, because that
would be unconstitutional or discriminatory,
or that wouldn't be right, or the foreign
corporations that provide funds to help the
Conservative Party wouldn't go along."
I don't know what the reasons are. Pos-
sibly he might come dean on this and he
might explain just why it is that the gov-
ernment has come in with such a piece of
window dressing, a tax which is riddled
with so many loopholes and a tax which
just plainly isn't going to work in the de-
clared purposes that were given it in the
budget.
I wish that the Treasurer would speak in
this debate, or for that matter, the hon.
member for Peel South (Mr. Kennedy), who
has left the House, the hon. member for
Northumberland (Mr. Rowe), the hon. mem-
ber for Carleton, the Minister of Housing,
the hon. member for Humber (Mr. Leluk),
the hon. Minister of the Envirormient, the
member for Ontario South (Mr. W.
Newman), or the hon. member for London
North (Mr. Walker). None of those members
is in the Legislature right now, Mr. Speaker.
Not one of them.
Yet these were the people in the Con-
servative Party— two of them are now in the
cabinet, two more are parliamentary assist-
ants to ministers— who unequivocally re-
jected the approach now being taken by the
government. It seems to me they should
either defend the flip-flop on their position
if they have now changed their minds, or
they should come into this Legislature and
unequivocally tell the Minister of Revenue
that they cannot go along, that they have
analysed the question and that a total pro-
hibition on foreign acquisition of real estate
in the province is what is required for the
kind of circumstances that we have today.
They're in an untenable position and they
have been put there by the present minister,
by the Treasm-er and by the cabinet.
It's curious to me that the Minister of
the Environment and the Minister of Hous-
ing, both of whom have a pretty direct
concern with the land of the province,
should have been participants in the cabinet
when the decision to bring in this woebegone
tax was made.
I understand, Mr. Speaker, that the dis-
cussions that went on behind the scenes
rather looked like this: A nimiber of people
in the government and among the civil ser-
vants advising the Treasurer told him that
something had to be done. Their estimates,
according to the budget, indicate that some
$300 million minimum was flowing into the
province every year in foreign real estate in-
vestment. It was probably much more since,
presumably, one of the intentions of this par-
ticular 20 per cent tax, on the government's
reckoning, is that the amount of foreign
acquisition will decrease. I assume that the
minister believes that. If he doesn't believe it
then the tax is of course completely useless.
But at any rate, it's $300 million, $500
milhon, or maybe $1 bilhon a year flowing
into Ontario real estate from Singapore, from
Hong Kong, from Switzerland, from Gennany,
from the United States, from Britain and pre-
sumably—now that there are so many billions
flowing into the Middle East— from the Middle
East. If anything, the liability was that this
amount was going to increase rather than not.
The oflBcials came there— and I wish the
minister would table some figures on their
estimates— and said, "Look, there's a serious
problem." The Treasurer, who likes to think
of himself as a red Tory, said, "Okay, we
better do something," and asked his officials,
"Now what shall we do?" And! the oflBcials
told him, in the time-honoured way of
bureaucrats, "You have three options." TTiis is
the way that officials do these things in
cabinets. They give you an extreme which is
tough, an extreme which is soft and in-
effective and something in between. That's
APRIL 22, 1974
1221
the wav the oflBcials trv to direct eovemmcnt
to do the things that tne o£BciaIs mink would
be effective.
Now, knowing the way that the oflBcials
of this government work, it's safe to assume
that what they thought would be effective
would probably be inadequate, because of
the fact that they have been brainwashed and
conditioned, inevitably and helplessly ahnost,
by having to be in close juxtaposition with
members of the Conservative government and
cabinet for so many years.
*Hon. A. Grossman (Provincial Secretary for
Resources Development): Did the member say
we brairrwashed the civil service?
Mr. Cassidy: I'm suggesting that it's diflB-
cult for them to come up and offer the
measures which they know to be adequate
because of—
Mr. MacDonald: They've been put down so
often.
Mr. Cassidy: —the tolerance of the ministers
for progressive social legislation.
Hon. Mr. Grossman: That's hardly what
he said.
Mr. Cassidy: What's that?
Hon. Mr. Grossman: It sounds b^er since
he fixed it.
Mr. Cassidy: Okay, that's fine.
Hon. Mr. Grossman: Isn't the member glad
I gave him a chance to change the record?
Mr. Cassidy: I appreciate the former Min-
ister of Revenue's intervention, Mr, Speaker.
At any rate, as we understand it, there were
the three options. One of them has been
sketched in by the members of the select
conunittee, and that was a prohibition on
foreign acquisition of real estate in the prov-
ince. The oflBcials put that one forward as
the hard option, because in their hearts they
knew that, whatever the backbenchers said
and whatever the Minister of Housing and the
Minister of the Eliviroimient had said in
committee, the cabinet wouldn't buy it. This
cabinet and this government are simply too
much the handmaiden of private interests to
stop fweign acquisition. iTiey still believe
that Ontario is for sale to anybody anywhere
in the world.
The second option that they put forward
was that the tax on transfers of property to
non-residents be a minimum of about 50 per
cent. I'm saying that that is inadequate. If
they had suggested that the transfer tax be
a minimum of 100 per cent, then maybe they
would have found the middle ground. At any
rate, the middle ground that they suggested
was a tax of 50 per cent.
Then they came up with the soft option—
and it is the soft option that has been taken
by the government— that is, the transfer tax
of 20 per cent on some foreign land acquis-
itions—not all acquisitions, though; die
number of exemptions is legion. And the min-
ister, when he introduced the bill on Friday,
indicated that the exemptions would be fur-
ther increased and further widened by giving
priority to mortgage lenders over the lien and
by saying that any foreign investor y^ho was
willing to say that he was holding property
temporarily for resale to Canadians upon de-
velopment, would likewise be permitted to
continue and not be interfered with by the
tax.
As far as the government is concerned, it
doesn't matter where a speculator comes
from: if he's eventually going to unload the
property to a Canadian, then he will not be
liable to the tax.
What this means, very simply, is that most
of the people who have been buying property
in Canada will be put in a position where
they can say: "Yes, of course, we are honestly
developing this property. We therefore seek,
and presumably will get, the waiver." And
after four or five years they will hand the
property back to Canadians at a highly in-
flated price. The bulk of the speculative ac-
tivity indulged in by foreigners will con-
tinue.
It's worth looking at the kinds of spectda-
tion or the kinds of investment that go on by
foreigners in order to see if the government
really has got to the root of the problem or
whether the 50 per cent or 100 per cent tax
—that is, the tax that was rejected by this
government— might have had some eflFect.
It staggers me, not only that the govern-
ment rejected the conclusions of the select
committee, but also that it is seemingfly so
unaware of the very sensitive analysis that
was made by the select committee and sub-
mitted to the government, I believe, about a
year and a half ago.
I have no evidence— and we haven't heard
from any of the Tory members, the ministers
or anybody else— to show that the government
has done any of the research that was sug-
gested by the committee in order to look into
this problem fiuther.
The govenmient, in the estimates given by
the Treasurer, is telling us that a minimum
of $300 million is going to be invested in
1222
ONTAMO LEGISLATURE
Ontario by foreigners over the coming year,
because that's the revenue it expects to get
from the tax. If the minister wants the calcu-
lations, the Treasurer has said that $60 million
will be recouped from this tax, and that is 20
per cent of $300 million. That does not in-
clude, however, the exempt investment of de-
velopers who are foreign-owned, nor of for-
eign-owned companies who presumably will
be given an exemption as well, according to
what the budget has said.
The select committee argued very strongly
that there ought to be a thorough study of
what was going on. But the government, in
its budget, was unable to give any indication
of what the true picture was. The minister
acknowledges that he doesn't know. His oflB-
cials seemingly acknowledge that they don't
know either, because in the budget papers,
where they discuss the various taxes, there is
no attempt to estimate what the amounts of
foreign investment have been, what the trends
in foreign investment have been, or even to
say what the amount of foreign investment in
land and property in Ontario might have been
in this current year and what it will reduce
to, if it will be reduced at all, because of the
tax. Nor is there any attempt to estimate how
much of the foreign investment will be ex-
empt and how much will be hit by the tax.
We're going into an area which is totally
uncharted, despite the fact that a year and a
half ago the select committee said: "Look,
this is too important to be left to guesstimates
and to Donald Kirkup and to people like Mr.
Elliot Yarmon and others in the real estate
industry who have been used to dealing with
foreign real estate investors."
When you look at the report of the com-
mittee, Mr. Speaker, they mention a whole
variety of means by which foreigners invest
in Ontario real estate: wholly owned corpo-
rations; trusts; trust companies; joint ventures;
equity or profit participation, investment in
existing real estate companies, which inci-
dentally won't be covered by this particular
bill; options, which in certain cases will but
in other cases will not be covered— for ex-
ample, options in the shares of Canadian con-
trolled real estate companies set up for the
express purpose of investing in real estate;
a variety of complicated contractual arrange-
ments, and then of course developers, mort-
gage finance and land leasing companies.
Then there are the questions of profit par-
ticipation agreements which are reached by
mortgage lenders who are putting in debt
capital, but capital in which the grounds be-
tween debt and equity investment are much
fuzzier than they were back in the days when
the minister learned his law and his chartered
accountancy. The lines are far fuzzier than
they used to be and it is clear that those
gradations and those technical problems have
not been adequately anticipated in this par-
ticular bill. The loopholes are there for the
high-priced tax lawyers and the high-priced
accountants. They will make a very large
amount of money in seeking and in finding
means of evading the bill.
The member for High Park has aheady
given a very good example of a loophole, and
that is in the case of companies which are
set up with a very small amoimt of A shares
which carry the voting rights and a very large
quantity or foreign-owned B preferred shares
to which most of the income will go. In these
cases, the A shares will be handed to trust-
worthy Canadians who are willing to do the
bidding of the foreign investors who hold the
B shares, because they are receiving legal fees
and that is simply the way the game happens
to work.
There is no provision in the bill against thin
capitahzation that is necessary in order to
prevent that particular loophole being ex-
ploited. I see the minister is nodding his
head. I know he is going to get up in the
debate and say, "Look, we have to plug up
the loopholes. We are aware of that and we
will be doing that as time goes on."
What kind of commitment is that, if the
minister and the Treasurer and the Treasury
have only so recently converted to the idea
of this bill that they come up with something
that is quite thoroughly ineflFective, not only
on the grounds that the tax is too little but
also on the grounds that the bill is technically
offensive and objectionable and ineffective?
The biU is not an adequate technical instru-
ment even to do the things that the minister
says it might want to do. As a technician he
has failed, just as this particular bill is a
failure as an instrument of social policy.
The early indications from the minister, Mr.
Speaker, are that he is going to be intent not
on narrowing the loopholes but on widening
the loopholes in this particular bill. I would
like to ask a few questions about general
policy, because I think that the alternatives
which were discussed by the select committee
and which are obviously available to the min-
ister but which were rejected out of hand by
the cabinet, that is, the alternative of a com-
plete block to foreign equity investment in
Ontario real estate, really was the course that
ought to have been taken.
I do not see what the constitutional prob-
lems were. The only constitutional problem
APRIL 22. 1974
1223
that might have arisen would be a question
as to whether persons who were not resident
in Ontario but who were Canadian citizens
would have been able to acquire Ontario real
estate. It is a question worth posing as to
whether Ontario wished to rule out Quebec
residents, or Saskatchewan residents from
accjuiring or, for that matter, from dealing in
Ontario real estate. But that could have been
handled separately and if, in fact, Ontario had
had a rule against non-residents acquiring
real estate, then it could have established very
easily a legal means by which Canadian
citizens from other provinces could have con-
tinued to enjoy their rights.
The example, I think, is Prince Edward
Island, which the minister may know has an
outright prohibition on people who are not
islanaers holding real estate of more than 10
acres. They have had to take this crisis move
because of the peculiar circumstances they
have.
Hon. Mr. Meen: What the member means
is they had and it has been overturned in the
courts. It has been held ultra vires.
Mr. Cassidy: That bill has been held ultra
vires? All right, then we will find another
means of doing it. In the meantime, if On-
tario declares that that is to be its intention,
there are two or three things that flow from
that. In the first place, a large nimiber of
foreigners just back off, if the bill is genuinely
ultra vires. I don't beheve that that kind of
problem cannot be overcome. After all, it is
the provincial government and not the federal
government which has jurisdiction over the
questions of property and civil ri^ts. We
nave the power to make the declaration on
that.
If the PEI legislation was judged to be
discriminatory, then it seems to me to follow
that this particular bill can be judged to be
discriminatory as well. If, on the other hand,
a tax measure is not judged to be discrimina-
tory, but the PEI legislation was judged to be
discriminatory, then the middle route pro-
posed to cabinet bv the ofiBcials of the
Treasury could have been made to work.
Let us suppose that 100 per cent tax was
required on transfers of Ontario property to
foreigners; there is no way in which that tax
can be deemed to be confiscatory. It con-
fiscates nothing. It is simply a tax on what
the foreigner wishes to do. He pays $1 million
for a property and he is required to pay
$1 million in tax, and that is the beginning
and the end of it. It does not prevent him
from doing it; it just simply adds to the cost
and reduces the return which he %vill get
from that particular piece of businen. I am
sure that that particular tax would have been
permitted, even if constitutional changes may
be need in order to permit the PEI MJution,
which is one that we would prefer.
A confiscatory tax is where, for exam{^, a
tax on income is levied at 90 or 05 or 98
per cent where, in other words, the indi-
vidual reaps no return from his income. But
this other kind of tax would not qualify.
Where, for that matter then, is the dividing
line? You cannot decide a dividing line, Mr.
Speaker. You could argue that any tax which
discriminates between a foreigner and a resi-
dent of Canada or a citizen is ultra vires on
those grounds, because it discriminates against
that particular fellow and therefore makes it
more difficult fcx him to do business.
Mr. Speaker, it seems to me that if more
was known, if the government knew more
about the market and about the reasons that
bring foreigners into this market, they would
realize that the present tax may shake out
a few cottage owners, as people have said.
But let's take the situation of people in infla-
tion-ridden countries with an unstable polit-
ical environment who are looking for a safe
haven for their money and are looking for
some place where their returns are rather
higher than, say, in Switzerland, where it is
well known the returns that are paid are
very low.
If they are buying investment property in
Ontario to hold, the additional 20 per cent
tax that is being levied by the province is of
very little import to them. Right now they
are in a situation where the values of prop-
erty are rising by 20 or 25 per cent a year.
The return over time, therefore, that they
are anticipating may be to double or treble
their money or at least to keep pace with
inflation on a worldwide basis. The fact that
they have 20 per cent taken off the top at
the beginning is of very litUe significance.
The fact that their annual return is reduced
by 20 per cent is also of very lltde signifi-
cance because, as the minister knows, in
certain cases the return they actually get on
an annual basis may only be as little as one
or two per cent. This is property which is
being lodced up for a very lon^ term. That
particular kind of investment isn t affected.
Then we get people who are dealing on
a very short-term basis and who are coming
in, developing the property and getting rid
of it, presumably to Canadians. Thev are not
affected because they will not be obliged to
pay the tax. We get foreign-owned corpora-
tions which are buying land for industrial
1224
ONTARIO LEGISLATURE
purposes. Again, they get a waiver from the
tax; they are not affected. If anything, they
may be more affected by the new screening
mechanism of the federal legislation than
they are by this particular tax.
Ultimately we come down to a certain
segment of the market, a few unfortunates
who actually intend to move up here some-
time because they want to get out of
wherever they happen to live and find they
may have to pay the tax because they arent
yet landed immigrants. People buying resi-
dential recreational property will be airected
and so will some people who were ill-advised
and who were buying, say, for a period of
between five and 10 or 15 years. They may
be affected and a few of them may be shaken
out of the market.
Let's look at this in a different way,
though. The ministry says $300 million will
be spent by foreigners on Ontario real estate
in the coming year, maybe a bit more. The
total increase and the yield from the tax
expected by the government is of the order
of $75 million and if that were all to be the
result of foreign real estate, then $375 million
will be spent by foreigners.
Now, if we work it out— if the average
cost of a home, of a housing unit in Ontario,
is about $35,000, that means 10,000 single-
family or semi-detached housing units could
be acquired by foreigners during the coming
year. That's a very substantial chunk and a
very substantial contribution to the infla-
tionary pressures that exist within the housing
market.
It means 20,000 apartment units, Mr.
Speaker, 100 major highrise towers acquired
by foreigners. That isn't exactly easing the
foreign speculators out of the market.
Or it means 25,000 recreational prop-
erties, or 50,000 acres of development land
at $7j500 an acre, which is the price being
charged around major cities. Or if we want
to gio to the downtown areas of Toronto,
Ottawa or Hamilton or other cities like that,
it would be somewhere between— let me see
if I can work it out. Four hundred acres?
That's about, I think, 1.6 million ft of down-
town property which can go into foreign
hands, and will go into foreign hands quite
cheerfully according to the minister and the
ministry, despite this particular tax. That's
a helluva deterrent when that amount of
urban real estate can still go into foreign
hands.
It just isn't going to work. It's simply an
added cost of doing business, and as a
number of speakers have said it will be
passed on if the number of foreigners who
are continuing to be active in our market
is as great as the government seems to in-
dicate. If this tax were going to be effective,
and the yields from the tax would be
miniscule and it would be only a few cottage
owners and other people like that who were
paying the tax, we would see a very great
departure of foreigners from our market.
There are some other points as well, Mr.
Speaker, and these are maybe social points
that I might make. One is to assess this par-
ticular 20 per cent land transfer tax and
the loophole-ridden tax on speculative profits
against the whole context of the government
housing policy. We have argued that heavy
taxes are needed on speculation, but always
in the context of a general housing policy
which puts forward supply measures as well
in order to ensure tlmt decent housing at
reasonable cost is available to people across
the province.
The government doesn't see it that way.
It doesn't see it that way at aU. It is copping
out on its public responsibility to ensure
that adequate housing is on the way. It is
copping out on its public responsibility to
ensure that urban land is managed, to en-
sure that housing units come on stream at
prices people can afford-$30,000, $25,000
or $20,000 a unit. Stacked townhouses, all
kinds of different mixes, are not becoming
available.
For eight months we get words from the
ministry about the housing action programme;
now we are told that over three years we
may get an additional 10,000 units a year
under that particular programme. But that
only matches the number of housing units
which will continue to be going into foreign
hands if the figures being given by the
ministry are to be believed about the
amount of foreign investment that will con-
tinue. Foreigners will be buying as much
real estate in Ontario as is being provided
additionally to the market under tibe housing
action programme.
The budget provided a couple of taxes
which were meant to be sexy politically.
Yet when it came down to the nuts and
bolts of what was being done to make sure
that more lots were available, or to make
sure that more housing was available, or to
make sure that more people earning under
$10,000 and $12,000 could rent or buy homes
that they could afford, you find— what? An
$11 million subsidy for servicing; less than
$20 million being provided for the housing
action programme, a plan whose details we
have yet to see; and discussion of an Ontario
land corporation whose major impact will, it
APRIL 22, 1974
1225
seems to be clear, be directed to long-term
policy in areas like eastern and northern On-
tario. There is nothing ensuring a massive
progranune of public land acquisition in or-
der to ensure that objectives in land and
housing policy can be fulfilled.
The mtmicipalities, Mr. Speaker, have told
the minister, and told the ministry, that at
least one-third or maybe one-half of urban
development land should be publicly owned.
There is no such commitment in the budget
and no such commitment in this particular
bill. The government is clearly still resting
on developers to do its job of deciding the
mix and kinds of housing that shall be de-
veloped. Not only that, but it's saying there
are not the Canadians to do the job and
therefore it will leave it up to foreign
developers to continue to play their role
in our market.
If wfc knew more about the role of these
foreigners, Mr. Speaker, it seems to me that
we might find they really don't contribute
very- much at all. We might well find that
much of the capital they supposedly bring
into housing in Ontario is raised from
domestic sources in the form of mortgages.
We might also find that the foreign mortgage
capital that's coming into Canada, which is
competing for a limited supply of building
materials that are mainly locally produced
and which is competing for a limited supply
of land— that again can t be imported to nelp
the situation— you would simply find that that
foreign equity capital and that foreign mort-
gage capital, and the Canadian mortgage
money which is going along with the foreign
equity, is helping to hop up the market but
is not contributing any additional housing be-
yond what we could contribute ourselves.
That's a very real possibility, Mr. Speaker.
And yet foreign money is continuing to be
invited into the country and into the province
and is being levied a penalty in certain cases;
and the penalty will then be passed on to
Canadians who wish simply to have housing
of thedr own.
I'm questioning, Mr. Speaker— and maybe
the member for High Park and I aren't totally
at one in this— I'm questioning whether its
healthy to have a lot of foreign mortgage
money coming into this coimtry. I certainly
question whether it's healthy to have foreign
equity coming into the country, when it is all
competing for the scarce land around our
cities and for scarce building materials.
If you look at it, Mr. Speaker, and if the
minister looks at it, he would find, among
other things, that a great amount of foreign
money has gone into commercial and shop-
centre development, for purpotes wfaidi
Frankly I can't defend under a situatioo wfaeie
rents are rising by 15 or 20 per cent; and a
situation where housing is in aesperat^ short
supply, where both housing for purchase and
for rental is becoming increasingly scaroe in
the urban Ontario market; and in a situatioo
where housing starts are in fact decretdng
rather than increasing. If that foreign mooey
wasn't going into commercial development,
Mr. Speaker, then there would be more build-
ing materials available at more reasonable
prices to go into apartments, to go into town-
houses, to go into homes, to go into public
housing, to go into co-operatives and all the
other kinds of housing that we need in the
province and we wouldn't have such a crisis
as we have right now.
But the ministry, and the government, are
sort of seized by this growth ethic. They can-
not see that it may, in fact, be healthy to
discourage some of the actors in the housing
market and that those private people should
be replaced by public people, mimicipalities,
co-ops, non-profit organizations and the gov-
ernment itself in determining the land of
housing that shotdd be built and where it
should be built and what incomes it should
be looking for.
Now Mr. Speaker, when we get to the
committee stage of this particular bill we
will be looking at the loopholes in detail. I
want to say something about one concern
that I have here, though, and that is tfiat
there is nothing in this bill that prevents
foreigners from continuing to acquire prop-
erty in Ontario, and in fact from mortgaging
in order to pay the tax.
Now that's one of the most incredible situa-
tions that I can think about. All they need
to do is to tdl the mortgagor that the market
value of the land will be what they pay for
it plus 20 per cent and they want a 90 per
cent mortgage please; and the mortgagor will
then proceed to pay 80 per cent oiF the tax
that they have to pass on to the Ontario
government if diey don't happen to find a
way around the loopholes.
There is nothing to stop that, Mr. Speaker,
nor is there anything to put uncertainty into
the heart of a foreign speculator or of his
financial backer in the way of die lien Aat
the tax represents. The tax is being given
second status to any mortgage claims on the
property, and that again undermines Ae
minister's claim that the ministry intends to
stop or seriously deter foreign speculators
from coming in. What they are really doing
is trying to pick up a bit of dough and then
1226
ONTARIO LEGISLATURE
put Iwdf of that amount into the housing
action programme and other programme.
There is nothing about thin capitalization.
There is nothing about investment in real
estate companies. There is nothing about
options on real estate companies. Tliere are
any number of devices that could be used in
order to evade the tax.
I just want to know why the government
has copped out on this. I want to know why
the member for Peel South isn't going to
speak on this particular bill— maybe he is, I
see him making some notes. I hope he does
join us. Is he going to speak on this bill?
Mr. R. D. Kennedy (Peel South); I am
not making notes.
Interjections by hon. members.
Mr. Cassidy: All right, because there is
only one member of the select committee
from the Tory benches who has gotten up and
he said, well he's got infinite faith in the
government that some time, in the fullness
of time, they might adopt the recommenda-
tions of the select committee. Only one mem-
ber, the other seven have sat there mute.
What's that?
Hon. Mr. Grossman: Maybe the hon. mem-
ber doesn't believe in repetition, as the mem-
ber for Ottawa Centre does.
Mr. Cassidy: No, I am sure he would have
something fresh and original to say in the
debate, either why he disagrees with the
government or why he has changed his posi-
tion so radically and so completely—
Mr. Kennedy: No position has changed.
Mr. Cassidy: —from being in favour of a
ban on foreign acquisition to coming up with
a namby-pamby, Mickey Mouse piece of
legislation which is ridmed with loopholes,
which will not work, which will increase the
cost to Canadians, which will not deter the
long-term investors from abroad who want to
hold our property for 10 or 15 years and
which simply is not an effective answer to
Ontario's needs.
Those needs are that we bring down the
price of land and that we provide housing
for Canadians, for Ontario residents, at prices
that they can afford. It just isn't here in the
tax. It isn't here in the other tax. It isn't here
in the budget, and as far as we are concerned
we don't know where it is in the government.
We haven't heard when they are going to
come up with some effective answers in the
field of housing or of land.
Mr. Speaker: Do any other hon. members
wish to speak to this bill? If not, the hon.
minister.
Hon. Mr. Meen: Thank you, Mr. Speaker.
I have lost count of the number of members
who addressed themselves to this bill, but I
will endeavour to touch on all the points they
have raised. To begin with, may I just observe
what I think the principle of the bill may be.
I want to talk to the principle-
Mr. Cassidy: "May be?" Doesn't the min-
ister know?
Hon. Mr. Meen: Yes, indeed I do know
the principle of the bill.
Mr. Kennedy: If you listen, maybe you'll
get to learn something.
Hon. Mr. Meen: It's a part, and it's a very
vital part, of our government's attadc on the
costs of land and the costs of housing, the
very points the member for Ottawa Centre
was touching on.
Interjections by h<Mi. members.
Hon. Mr. Meen: It is an attempt to dis-
courage foreign money from pressing up Ac
land prices that are, therefore, affecting in
the same direction—
Mr. V. M. Singer (Downsview): By adding
20 per cent how is the minister stopping
foreign investment?
Hon. Mr. Meen: —the price of land and
houses. It's an indicator— I want to emphasize
this, and it should be noted— it's an indicator
of the way the government is thinking with
respect to our economic and cultural goals-
Mr. Singer: Yes.
Mr. Cassidy: Yes.
Mr. Singer: We'll go along with that one.
Mr. Reid: That's certainly a mouthful.
Hon. Mr. Meen: Foreign ownership of our
land and of our heritage has to be a matter
of major concern to all of us.
Mr. Cassidy: Does the minister agree with
it or does he disagree with it?
Mr. Speaker: Order, please.
Hon. Mr. Meen: The bill is not our in-
tended answer to the select committee on
economic and cultural nationalism. It is not
intended to be the whole of our anti-inflation
measures either. Contrary to the suggestions
made by some hon. members, it is not a
APRIL 22. 1974
1227
fraud. It isn't bogus legislation. It isn't bad
And it isn't intended to discourage foreign
loan investments here, as opposed to foreign
equity investments which it is intended to
discourage in respect of land.
Mr. Cassidy: By how much?
Hon. Mr. Meen: I might just mention
briefly, Mr. Speaker, some other portions of
our programme, of which this bill is a part:
The housing action programme, the Land
Speculation Tax Act and other potential in-
centives—and I might put "incentives'* in
auotes-to get serviced lots on the market for
dwelling unit construction.
Mr. Cassidy: They are all as Mickey Mouse
as this measure.
Mr. Speaker: Order please.
Hon. Mr. Meeo: I want to touch on a
few of these matters in somewhat greater
detail.
You know, Mr. Speaker, we are supposed
to be talking about the principle of this bill,
but so much of the debate from members
opposite has surrounded the select commit-
tee report, which really doesn't get to the
principle of this bill in any great detail.
I feel, though, that I should direct some
of my comments to the select committee re-
port on economic and cultural nationalism.
That interim report, along with others, has
been received by the government— they have
been coming in over the last few months. As
we announced earlier this month, the justice
policy field committee and the social develop-
ment policy field committee, co-ordinated by
H. Ian Macdonald who is now special assist-
ant to the Premier and who until April 9
was the Deputy Treasurer of the province,
are studying these reports and we expect to
have their views and their reports by early
fall.
I would expect that, fn the course of their
studies of the recommendations of the re-
ports, they will be looking at the question of
what percentage by way of a tax might or
might not be construed as confiscatory. And
I note the views of the member for Ottawa
Centre on the matter. He says it might be
held to be confiscatory. Well I would sug-
gest to him that it might be held to be
confiscatory, because if it were so lar^e that
it was prohibitive, then a court could well
say that we were attempting to do directly,
by way of tax, what we cannot do indirectly
under our present constitution. He's talking
about amending the constitution-
Mr. Singert Surely if it is the govemment'f
intention to stop foreign ownership, it could
do that directly.
Hon- Mr. Meen: Well If the hon. member
had been interested in this debtte he would
have got into it earlier. But he has not par-
ticipated in this debate and Td appreciate it
if he would let me carry on with my remarki.
Mr. Singer: I will interject when I deem
it is proper and appropriate.
Hon. Mr. Crotsmant He can only do that
with permission of the Speaker.
Mr. Singer: Subject always to the Speaker-
Hon. Mr. Meen: I would suggest to the
hon. member that there are some very serious
constitutional issues. The select committee
itself recognized the constitutional problem
and it recommended that we press on any-
way.
Mr. Singer: Yes; some pressi
Hon. Mr. Meen: What they said— and may
I read from page 45 I think it is, under item
10.2:
Specifically, and in relation to the com-
mittee's conclusions with respect to indi-
vidual ownership of land, the committee
imderstands that the scope of the federal
jurisdiction in relation to naturalization
and aliens is in some doubt on the basis
of jurisprudence to date, and particularly
in its interface with exclusive provincial
jurisdiction in respect of property and
civil rights in the province and matters of
a local and private nature.
The committee recommends that the
government of Ontario take the position
that legislation along the lines proposed
by the committee is unambiguously in re-
lation to property and dvil rights in the
province and matters of a local and private
nature.
Mr. Singer: I say the minister can do it
directly; just what he said he couldn't do.
Hon. Mr. Grocsman: Can't you keep that
member in order, Mr. Speaker?
Hon. Mr. Meen: In other words, what they
were saying was, "Press on with anti-foreign
legislation with respect to real estate," and
to quote the old expression, "damn the tor-
pedoes."
Frankly, I would observe that I have some
sympathy for this and some of my competent
colleagues have some sympathy for this. Pass
a bill banning or restricting foreign real estate
1228
ONTARIO LEGISLATURE
holdings and let it get tested in the courts,
because that is what they were suggesting.
In fact I as much as said this in the press
conference preceding the budget ddbate dur-
ing the lockup on Tuesday, April 9 last.
Mr. Cassidy: Did the minister fight very
hard in the cabinet?
Mr. Singer: What did he say: "I have
sympathy for it?*
Mr. Cassidy: He seems to have more sym-
pathy for the foreign speculators.
Hon. Mr. Meen: But there is another side
to this. Have members thought of what tur-
moil would be created in investment circles?
What would this do to Ontario and Canada?
In fact it would do us no good at all. As I
mentioned to the hon. member for Ottawa
Centre, Prince Edward Island tried a version
of this and it was held ultra vires.
My colleague, the Minister of Housing,
and the members for Victoria-HaHburton
and Humber express very well their reserva-
tions about such hasty action in this area.
Let me read, for the benefit of hon. mem-
bers present and for Hansard, from page 59
of the same interim report on 'Foreign
Ownership of Ontario Real Estate."
Mr. Singer: If one doesn't like the majority,
well read the minority one.
Hon. Mr. Grossman: If the member doesn't
like facts, then he doesn't have to read the
majority one.
Hon. Mr. Meen: Why doesn't the member
hang around, he might just hear this for the
first time.
Mr. Singer: It's too much for me.
Hon. Mr. Grossman: He doesn't want to be
confused with the facts.
Hon. Mr. Meen: He has made up his mind,
he doesn't want to be confused wiA the
facts.
My colleague said:
In our view, a nation is firmly rooted
dn its history, its people and its primacy
lover the land which it occupies. Owner-
ship of Canadian soil by our citizens and
those who have committed themselves to
this country by immigrating to it can only
•strengthen the nation. Perception by the
young of the Legislature's resolve to re-
tain ownership for them of their natural
heritage will impress on them the fact
that government is for them and their fu-
ture as well as for the here and now.
Having come to the above conclusion
on personal and philosophical grounds,
•we readily admit that tne nature and
breadth of the committee's inquiries was
limited by time, money and depth of staff.
We do not wish to minimze the dedication,
'skill and sheer hard work which the staff
has devoted to the studies carried out on
fcehalf of the committee.
It is a fact, however, that we are not
fully informed of the recommendations,
particularly as they apply to the commer-
cial and industrial use of land. Nor can it
be said with any confidence that the com-
mittee has complete data as to the com-
plex international money market or the
manner in which our recommendations may
affect this very delicate system.
We are, therefore, in a dilemma. While
accepting the report and its recommenda-
tions we are concerned that their immedi-
ate [and they put "immediate" in italics]
implementation by the government -could
have unanticipated implications at some
time in the indefinite future. It would be
irresponsible on our part to satisfy oiu:
.personal and philosophical leanings by
urging early implementation of the reoom-
•mendations without knowing the long-
range economic price which may have to
be paid by the people of Ontario.
It may very well be that, once known,
the price will be low in relation to the
(benefits. If the government can satisfy
itself on that point, then there is, in oiu:
'opinion, no other reason to delay the im-
plementation of all recommeowktions.
Now I think they have taken a very respon-
sible approach to this very interesting subject.
Mr. Cassidy: If the minister had accepted
that argument he woxJdn't even' have im-
posed me tax at all; he would be so afraid
of doing anything to interfere widi the
market.
Mr. R. G. Hodgson (Victoria-Haliburton):
Oh ridiculous. The member is being ridicu-
lous.
Hon. Mr. Meen: There is a lot to be said
for the recommendations but as my col-
leagues pointed out in the section' which I
have just read— and which I see the hon.
member for Riverdale will now have to read
in Hansard— they recommend, and their view
was, that we approach it very cautiously.
The government concluded, my colleagues
and I concluded, that we could not, at this
time, follow the course of action the com-
APRIL 22. 1974
1229
mittee recommended. We feel that we must
await the outcome of the studies when re-
ported on by Mr. Macdonald and by the
policy field committees in the early fall.
However, in the meantime we just can't sit
around on our hands. We c-an't sit idly by, as
my colleague the Treasurer said in his budget
statement. In reference to this, the member
for Scarborough West (Mr, Lewis) said last
Friday— let me read at page 1083 of Hansard.
He said: "And then wnat flows"— I think he
meant follows— "within the budget statement"
—that was following my Treasurer's com-
ments...
Mr. J. A. Renwick (Riverdale): Well it was
a committee report with dissents.
Hon. Mr. Meen: The member says:
In the next half-dozen paragraphs there's a clear
implication, Mr. Speaker, that somehow the recom-
mendations embodied in the select committee's re-
port are reflected in the tax policy announced by
the provincial Treasurer. And this report, this state-
ment in the budget, is a very clever little piece of
duplicity in itself. What the budget might have said,
to be honest, is that the select committee on eco-
nomic and cultural nationalism analysed this subject,
investigated it thoroughly, made a number of re-
commendations and, "we, the cabinet, have de-
cided to repudiate every single recommendation the
select committee made."
What arrant nonsense. Our colleagues have
pointed out that the select committee did not
nave access to all the information necessary.
They have pointed out that there was much
more study which had to be done; and that's
precisely why we wish to now take some
intermediate step.
Mr. Renwkk: But the committee's report
is more important than the dissents.
Mr. Cassidy: That's right. That didn't stop
the government from cooking up a tax in two
weeks and puttirig it in. The minister doesn't
know anything more about the Ontario land
market than the committee did a year ago.
Hon. Mr. Meen: Just to clarify the point
of just what was said by my colleague, the
Treasurer, let me read to members— it's ap-
peared in Hansard a few times and the mem-
ber for Scarborough West quoted the first
paragraph himself; but he quoted that para-
graph out of context and then went on to
draw the illogical conclusion to which I have
just made reference.
Mr. Renwick: He didn't quote it out of
context. He read the whole budget statement.
Hon. Mr. Meen: Let me read the entire
three paragraphs.
Mr. Renwick: The minister doesn't need to
read the whole three paragraphs. We've all
listened to it.
Hon. Mr. Meent My colleague oommented
as follows.
Interjections by hon. memben.
Mr. Speaker: Order.
Hon. Mr. Meen: In reference to this bill,
the Land Transfer Tax Act:
In examining the problem of rapidly rising _
for real estate in Ontario, it has become increanncly
apparent that large-scale ac(;^uijition of land by noo-
residents of Canada is a significant factor. The matter
of control of non-resident ownership of Canadian land
is a current constitutional issue which haf not been
fully resolved. The problem has been studied, how-
ever, and has been reported on recently by Ontario's
select committee on economic and cultural national-
ism.
That part the member for Scarborough
West quoted. Then he went on to draw his
conclusions that the following six paragraphs
negated everything we had just said. Let me
read the members the next two paragraphs
which follow:
The government of Ontario recognizes that positive
action on this matter is required now in otder to
maximize Canadian ownership of our real estate.
Mr. Deans: We consider this to be negative
action.
Hon. Mr. Meen: The Treasurer said:
The government has decided, therefore, to take
interim steps using the instruments at its ditpoaal.
Accordingly, I am proposing to increase substantially
the land transfer tax on purchases of land by non-
residents of Canada to 20 per cent from 6/10 of one
per cent effective at midnight tonight.
And a 33 times increase in tax is not pea-
nuts. It's a very significant increase.
Mr. J. F. Foulds (Port Arthur): One small
step for mankind.
Hon. Mr. Meen: That, I hope, sets the re-
cord straight.
Mr. Cassidy: It is peanuts when you can
avoid it most of the time.
Hon. Mr. Meen: What about the other
programmes?
Mr. Renwick: By the way. is the minister
satisfied it is direct taxation within the
province?
Hon. Mr. Meen: In the housing action pro-
gramme mv colleague the Minister of Hous-
ing is taking steps to streamline the plans
administration branch operations.
Mr. Singer: Oh yes, oh yes.
Mr. R. F. Nixon: He signed the report of
the select committee.
Hon. Mr. Meen: Yes, and he also happens
to have been one of those whom I have just
quoted in the select committee report.
1230
ONTARIO LEGISLATURE
Mr. Singer: Yes, he certainly streamlined it.
Hon. Mr. Meen: And he is going to have
more to say on his programmes in me weeks
ahead.
Mr. R. F. Nixon: Yes.
Hon. Mr. Meen: We have the land specu-
lation Tax Act-
Interjections by hon. members.
Hon.' Mr. Meen: —which I suggest is a
disincentive to hold on to land. Its an in-
centive to get it out into the mai^ket, either
with finished dwelling or with covenants
from builders who wifi themselves construct
within a period of, say a year.
I might mention one other thing: By the
end of this year, my ministry will have com-
plete information, on a print-out basis through
our computers, of every serviced but unde-
veloped lot in Ontario. It would therefore be
possible— and the government is looking at
the possibilities-
Mr. Cassidy: And the government will sell
copies to everyone who wants a house. Is
that right?
Hon. Mr. Meen: —to consider certain in-
centives to get these lots into the housing
stream either by the method suggested by
the select committee— and we might note this
could be applied by way of, say authority
to municipalities for certain tax surcharges
on the basis of non-residency— or it could be
done simply on the basis of a serviced,
undeveloped lot.
These are some further elements that form
part of oiu- entire programme towards getting
more lots on the market and hopefully, there-
fore, with supply getting closer to demand,
helping to depress prices, and in addition
making more land available for housing.
So we have three or four arrows in our
quiver as we take aim at the elusive spectre
of land speculation-
Mr. Cassidy: Did the minister say he has
arrows in his quiver?
Hon. Mr. Meen: None of these should be
expected to do it alone, but we believe that
together they will accomplish this task.
Mr. Cassidy: The yeoman of the cabinet
is drawing his bow on Ontario's housing
problem, eh?
Hon. Mr. Meen: And we think we would
be derelict in our duties if we didn't under-
take it now, rather than wait until the fall.
We just can't aflFord to wait until then.
Mr. Renwick: Has the minister any idea
how many serviced but undeveloped lots
there are in the province?
Hon. Mr. Meen: There are quite a num-
ber.
Mr. Renwick: Has the minister any idea?
Has he any estimate?
Mr. Speaker: Order.
Hon. Mr. Meen: The question of whether
the 20 per cent tax would be reflected in
the sale price has also been raised by a
niunber of members opposite. We don't think
so, and there are two reasons for this.
The first is that in the case of the 20
per cent tax on non-resident builders who
undertdce to develop and resell to Canadians
or to Canadian residents, then the tax is
deferred without interest. On that basis, then,
there is no reason for any potential cost of
this 20 per cent to be borne in Ae resale
price.
Mr. Reid: It has to be paid sometime.
Hon. Mr. Meen: The only instance I can
think of in which that philosophy might ap-
ply would be where a corporation deemed
to be a non-resident under the Act sold a
completed dwelling to a non-resident, in
which event not only would the 20 per cent
presumably be included in the sale price, but
the non-resident purchaser of the dwelling
would pay another 20 per cent on top of
the original 20 per cent, for a total sur-
charge of some 44 per cent. That would be
a real disincentive to the sale of that com-
pleted dwelling to a non-resident.
Mr. Renwick: But what about a purchase
by a non-resident for investment and then
the renting of the accommodation? Will that
not be reflected in the rent that is paid?
Hon. Mr. Meen: Well, Mr. Speaker, I
would suggest to the hon. member for River-
dale, who had his opportunity to speak on
Friday and didn't use it-
Mr. Renwick: I didn't have my opportunity
on Friday, thank you.
Hon. Mr. Meen: —that he might withhold
some of those questions. I will endeavour
to answer them when we are in committee,
and I'll be happy to explain the sections to
him. I am sure hell understand them.
Mr. Renwick: Thank you.
Mr. R. Gisbom (Hamilton East): He can
still speak this afternoon, if he wishes.
APRIL 22, 1974
12S1
Mr. Ren wick: I still wish to speak this
afternoon.
Hon. Mr. Meen: Now there is another
reason-
Mr. Singer: If the minister knew some-
thing about the biU he wouldn't have to be
so sensitive.
Mr. Deans: The member for Riverdale,
with 'the imanimous consent of the House,
would be prepared to speak now.
Mr. Renwidc: I will save all the arrows
in my quiver imtil committee.
Hon. Mr. Meen: The second reason, Mr.
Speaker, and I think it's even more important,
is that the best economic advice we can get
tells us in cases such as we have with land
in Ontario, where demand exceeds supply—
and this applies to any commodity where de-
mand exceeds supply, but Fm speaking spe-
cifically in reference to land— the price is
established not by the cost of the article
but by the demand.
Mr. Renwick: The chairman of the Bank
of Montreal said that the other day.
Mr. Deans: One can manipulate demand
and supply.
Hon. Mr. Meen: Contrary to the views
expressed by the economist from Wentworth
and the economist from Sudbury East and
a few other instant economists we've had
around here from time to time, a 20 per
cent factor then is not reflected in the sale
price; it would simply be a further profit
to be made. It is a disincentive in this case.
Let me clarify that it's a disincentive to a
foreign investor to go into this market witfi
an additional markup of 20 per cent on his
cost, which he will not be successful in re-
flecting in the sale price.
Mr. Renwidc: He will be able to reflect
it in the sale price.
Hon. Mr. Meen: It will be part of his cost
of acquisition, but it will not adversely^
upwardly— increase the sale price. In fact,
it will detract from the demand and hope-
fully, will depress the basic market value.
Mr. Renwick: There is no way it will.
Mr. Cassidy: No. I recommend that the
minister studies the theory of oligopoly.
An hon. member: Except that he doesn't
know what that is.
Hon. Mr. Meent The cotti of these landc
are not influenced by market price. With our
other measures we think it wiH hdp to
stabilize the real estate market, not drive it
up.
Mr. Foulds: Stabilize. We all know what
a stable is.
Mr. Deang} Who is giving the minister
his economic advice?
Hon. Mr. Meen: The hon. member for
Wentworth has just asked an interesting
question. I have access to very good eco-
nomic advice from within the government,
probably from the best economists in the
land.
Mr. R. F. Nixon: Like the Treasurer.
Mr. Deans: They have made an awful
error this time.
Hon. Mr. Meen: Let me just add this.
Mr. Cassidy: They are not the problem.
Mr. W. Hodgson (York North): Where did
the member for Wentworth get his?
Mr. Deans: I get my economic advice from
Marion Bryden, the same place as the mem-
ber gets his. It is good advice. She didn't
advise this.
Mr. Speaker: Order.
Mr. Deans: I'm sorry. Am I interrupting?
Hon. Mr. Meen: Section 22 of the bill
refers specifically to the 20 per cent non-
resident tax. I've been turning over in my
mind whether there woiddn't be some merit
in permitting some flexibihty, by regulation,
to adjust that figure upward, in case we
saw, when we monitor this Act and its effect
over the next few months, whether or not
the 20 per cent is reaping in a tremendous
revenue to the province but not deterring
foreign investments.
Mr. Renwick: I know of no tax that can
be levied by regiJation in this province.
Hon. Mr. Meen: It would be interesting
to see what the thoughts of the House would
be on something of that sort.
Mr. R. F. Nixon: Just trust usi
Mr. Cassidy: Just raise it to 100 per cent
and the minister may get our support
Mr. Singer: Pass a general Act that we
will tax whatever we want and well tell
members in regulations. What an idea that is!
1232
ONTARIO LEGISLATURE
Mr. Renwick: We cannot allow the gov-
ernment to tax by regulation.
Mr. Speaker: Order.
Mr. Singer: They don't need a budget;
they just pass one Act.
Hon. Mr. Meen: As to specifics, I am sorry
the member for Kitchener is not in his seat
at the present time. He asked a number of
pertinent questions that were on the subject
of the bill, contrary to so many that were
not.
He ksked about a lien review procedure up
to Sept. 30. We do have that procedure but
that is oiily with respect to liens that will
accme from and beginning April 10 last until
the date of proclamation of the Act.
Hon. Mr. Meen: The review procedure
will go on, as we look over those various
transactions, until Sept. 30.
The question arose of whether the bill
might increase the price of vacant land. I
think I dealt with that one, but I would just
point out to him and to his colleagues here
in the House that, whether we are dealing
with vacant land or not, we are really deal-
ing with the matter of non-residency and not
the nature of land, whether it's vacant or
whether it's developed.
He asked if the tax is a cost of doing
business for income tax purposes, and as
far as I can ascertain the answer to that
question is yes.
Mr. Singer: How did the minister ascer-
tain that? The federal government has not
given any such indication.
Hon. Mr. Meen: He asked if vendors may
be anticipated to hang on to land.
Mr. Speaker: Order.
Hon; Mr. Meen: I would say yes, that
could be. If so, then perhaps that's because
of a lack of non-resident buyers. If that is
the case, I'd suggest that maybe the bill is
doing the job we want it to do.
Now he asked also, could my ministry
track down foreign sources which act through
Ontario agents? Well I would say that in
some cases such foreign sources might be
able to escape if the nature of their trans-
action is suppressed. But, quite honestly, I
would expect that the number of false aflB-
davits would be few.
Mr. Cassidy: Can the minister explain
why?
Hon. Mr. Meen: I want also to emphasize
once more that we are not trying to dis-
courage foreign investment by non-residents
for development purposes or in any other
sense. He had questioned that one, as I
recall.
He- talked also about accountants wanting
precision so they would be able to identify
the loopholes. Perhaps in answer to the hon.
member for Downsview I'd say that is sort
of the opposite side of the coin, I like a
little flexibility so that the minute we find
one I can move in and plug it up.
Mr. Singer: Yes, with or without the
Legislature; preferably without.
Hon. Mr. Meen: Well if the Legislature
is in session, then fine. But if the Legislature
is not in session we could have some diflB-
culties.
Mr. Singer: Surely the minister is not
serious about taxing by regulation?
Mr. Renwick: He is not really?
Mr. Singer: Is that government policy?
Mr. Speaker: Order.
Mr. Singer: He just wants to tax by regu-
lation?
Hon. Mr. Meen: The hon. member for
High Park raised a number of points. He
talked about false afiidavits, how easy it
would be, the minimum fine of $50, the
maximum of $1,000. Let me point out to
him section 122 of the Criminal Code, with
which he may not have been familiar since
he wouldn't have had any personal involve-
ment with it. It imposes a penalty of up to
14 years imprisonment for knowingly making
any false afiidavit, and I think that ought to
be enough to discourage some people.
I think it was he who also mentioned that
the mortgage market had dried up utterly
as a result of this bill, that foreign invest-
ments through the lending process were
simply stopped dead, taking no steps what-
ever pending whatever developments they
thought might occur up here.
I had my staff check this afternoon and
I'm advised that as recently as this afternoon
the Toronto Real Estate Board had no indi-
cation of mortgage money shortage attribu-
table to this bill. They do indicate there may
be some problems arising because of the
Bank of Canada's recentiy announced interest
rate, but that if there are any doubts in that
APRIL 22, 1974
1233
area they arise through that bank action
and not tlirough the steps we have taken.
I had indicated very early, following the
introduction of the bill, that the matter of
a final order of foreclosure being a very clear
loophole we had plugged it. In other words,
we had not provided in tlie bill that a final
order of foreclosure taken by a non-resident
mortgagee would give him title to the land.
The reason was that that would be a very
clear loophole through the Act if we were to
allow the mortgage process to be used for
the basis of acquisition of land by a non-
resident.
It became apparent, though, that some
lenders were a bit concerned about this
matter, and we will be issuing a statement.
It is in preparation now. It will make it
abundantly clear that where the ministry is
satisfied the mortgage under foreclosure did
not in any way arise through a collusive ar-
rangement with the mortgagor in order to
permit the mortgagee to acquire title to the
property via the foreclosure route, we would
then waive the tax.
When I wrote to every member of the legal
profession under date of April 9— the letter
was mailed at 4 o'clock that afternoon at the
same time as the budget address was going
on— I added this addendum to the references
to the Land Transfer Tax Act, and I quote,
just finishing oflF the last part of the sentence:
... for a final order of foreclosure of the
eauity of redemption under a mortgage,
where it is established to the satisfaction
of the minister that such order is not part
of a collusive arrangement to avoid the tax.
Now that, hopefully, had gotten to every
practising solicitor in Ontario. As I say, I did
have one call and I believe that was clarified.
We certainly do not expect to have any
difficulities; and certainly I would not believe
the mortgage market had dried up.
Mr. Speaker, in conclusion-
Mr. Cassidy: What about the amount of
foreign investment before tax?
Hon. Mr. Meen: —may I just observe that
as usual the oflRcial opposition seems to be
on both sides of this issue?
Mr. Singer: If the minister would listen
he could comment sensibly.
Hon. Mr. Meen: Although they have now
indicated they don't propose to support ft,
originally their leader said that they would.
Mr. Singer: He said no such thing!
Hon. Mr. Meent I couldn't tell which side
of the-
Mr. Singer: He .said no such thing; the
minister is deliberately misleading the House
and he knows iti
Interjections by hon. members.
Hon. Mr. Meen: -fence the hon. member
for Kitchener was on because he didn't say.
Mr. Singer: The minister is deliberately
misleading the House!
Hon. Mr. Meen: But I noted the observa-
tions by the hon. member for York Centre-
he was vehemendy opposed-and frankly they
surprised me, Mr. Speaker. Recognizing that a
20 per cent disincentive to foreign investment
in the real estate field is then going to be a
greater incentive to those foreign investors to
put their money, that's floating around look-
ing for a nice safe place to land, that those
foreign investors might be far more likely
now to put their money into the stock broker-
age equity investment field, I'm astonished
that the hon. member for York Centre, ex-
stockbroker that he is, would have been so
perturbed by this bill.
Mr. H. Worton (Wellington South): Don't
believe it.
Hon. Mr. Meen: And yet he seemed mainly
opposed— as I read his remarks in Hansard— he
seemed mainly opposed because it didn't ap-
pear to implement fully the recommendations
of the Select Committee on Ecorwmic and
Cultural Nationalism. And of course I think
I've made it abundantly clear that we're do-
ing what we can at this time.
An hon. member: How's he doing?
Hon. Mr. Meen: Well maybe by now he's
had a chance to see the light, I don't know.
As for the NDP, well I guess they're wholly
predictable. They certainly are more pre-
dictable than the official opposition. Because
after all, they're opposed to everythine. They
opposed the Niagara Escarpment legislation-
Mr. Renwick: That's a helpful remark;
that's a really helpful remark.
Hon. Mr. Meen: They opposed the parkway
legislation.
Mr. Renwick: We are talking about the
principle of this bill.
Hon. Mr. Meen: Thev opposed the plan-
ning and development legislation. They op-
posed every one of my—
1234
ONTARIO LEGISLATURE
Mr. Renwick: We are talking about the
principle of this bill. Stick to the bill!
Mr. Cassidy: We're opposed to the way
the government is numing the province. It's
doing a bad job. It's trying to—
Hon. Mr. Meen: It's none of these things.
This legislation by this government is an
honest attempt, by constitutional means, to
put a damper on the pressure of foreign
moneys in this market-
Mr. Cassidy: Three hundred million a year
is dampening? Nonsense!
Hon. Mr. Meen: —to do what we could not
otherwise do by other courses of action,
whether recommended by the select com-
mittee or not—
Mr. Singer: Utter rot.
Mr. Cassidy: The government will allow a
third of a billion in foreign money to come
in—
Hon. Mr. Meen: We will constantly monitor
the effect of this legislation and its compan-
ion legislation over the next few months.
Mr. Cassidy: The government doesn't know
what's happening there now.
Hon. Mr. Meen: We will inspect the aflS-
davits that are filed.
Mr. Speaker: Order.
Hon. Mr. Meen: We will inspect the rec-
ords and we will be keeping records over
the next few months. If it appears this legis-
lation has loopholes, we will plug them as
swiftly as we possibly can— either by regula-
tion or by amendments to this legislation later
on this session, or possibly in the fall.
Mr. Singer: Yes, or by regulations.
Mr. Cassidy: They have left a lot to plug.
Hon. Mr. Meen: Mr. Speaker, the princi-
ples are sound and frankly they deserve sup-
port from all sides, from all members who are
anxious to see that our natural heritage, our
land of this province, is preserved for the
maximum benefit of all residents of Ontario.
Mr. Singer: Rot!
Mr. Speaker: The motion is for second
reading of Bill 26.
The House divided on the motion for
second reading of Bill 26, which was ap-
proved on the following vote:
Ayes
Nays
Allan
Breithaupt
Beckett
Burr
Bennett
Campbell
Bemier
Cassidy
Birch
Davison
Brunelle
Deacon
Carton
Deans
Clement
Dukszta
Davis
Edighoffer
Foulds
Downer
Dymond
Germa
Eaton
Gisbom
Evans
Givens
Grossman
Good
Hamilton
Haggerty
Lawlor
Havrot
Henderson
Lewis
Hodgson
Newman
(Victoria-
(Windsor-
Haliburton)
Walkerville)
Hodgson
Nixon
(York North)
(Brant)
Irvine
Paterson
Jessiman
Reid
Kennedy
Renwick
Ken-
Riddell
Lawrence
Roy
Leluk
Ruston
MacBeth
Singer
Maeck
Smith
Mcllveen
(Nipissing)
McNeil
Stokes
Meen
Worton
Miller
Young-30.
Morningstar
Newman
(Ontario South)
Nixon
(Dovercourt)
Nuttall
Reilly
Rhodes
Root
Rowe
Scrivener
Snow
Stewart
Taylor
Walker
Wardle
Welch
Winkler
Yaremko-48.
Clerk of the House:
Mr. Speaker, the "ayes'*
are 48, the "nays" are
30.
Motion agreed to;
second reading of the
bill.
APRIL 22, 1974
1235
Mr. Speaker: Shall the bill be referred to
committee of the whole?
Hon. Mr. Meen: Committee of the whde
House.
Mr. Speaker: Committee of the whole
House.
POINT OF ORDER
Mr. Cassidy: On a point of order, Mr.
Speaker. Is there any possible reason why this
bill and its companion bill could not go to
a committee outside of the Legislature?
Mr. Speaker: There is no point of order.
The minister has the privilege of determin-
ing which committee the bill should go to.
Mr. Cassidy: It was admitted, though, Mr.
Speaker, that there are a lot of loopholes in
the bill and it should be open to that kind of
discussion.
Mr. Speaker: I'm sorry, there's no point of
order.
PRIVATE MEMBERS' HOUR
NOTICE OF MOTION NO. 1
Clerk of the House: Notice of motion No.
1 by Mr. Young.
Resolxjtion: That the government of
Ontario set provincial standards to control
the installation and maintenance of fire
extinguishers in all buildings except pri-
vate residences and that a commissioner be
appointed to supervise and enforce these
standards..
Mr. F. Young (Yorkview): Mr. Speaker,
resolution No. 1 on the order paper really
grew out of correspondence which was sent
by a gentleman in Oshawa, by the name of
James Gorman, who wrote a letter to the
Attorney General, to the Leader of the Op-
position and to this party, in connection with
a problem with respect to fire extinguishers.
Mr. Gorman spoke to me about this subse-
quently, after I called him, and provided me
with a good deal of material, some of which
I had not seen before.
I might say that Mr. Gorman has been a
salesman for the Levitt Co. for some years
and now has his own company which is
having some diflBculty because he is too
concerned with safety. He is having some
diflBculties with competitors which I will out-
line later.
Mr. Speaker: Order, please. I am sure the
hon. member has difficulty in making him-
self heard.
Mr. J. E. Stokes (Thunder Bay): We are
listening.
Mr. Young: I might say, Mr. Speaker, that
the National Building Code report dealt with
the matter of fire safety to some extent. At
the present time, the Ontario fire code re-
port is coming, when the conrmiittee is fin-
ished. That snould be complete within a
reasonable time. But we do know that pres-
ent provincial standards do require fire ex-
tinguishers in every building other than
private residences.
The Industrial Safety Act, for example,
requires that the owner of an industrial
establishment shall provide adequate fire
protection and equipment, lays down rules as
to the inspection of these bits of equipment
every month, and prohibits extinguishers
containing carbontech and other dangerous
substances. Service stations, nursery homes,
school buses and other such items are cov-
ered under the regulations. TTie Fire Mar-
shals Act also gives the fire marshal certain
f)owers to confer and to assist in setting up
ocal bylaws. He also has the power to re-
auire tiiat these bylaws be enforced when
ley are passed.
The Fire Marshals Act also empowers the
Lieutenant Governor in Council to make
regulations under 26(e), "providing for licen-
sing and regulating the manufacture, sale,
servicing and recharging of fire extinguishers."
Unfortunately, Mr. Speaker, no r^ulations
have ever been written under this provision.
Mr. J. F. Foulds (Port Arthur): Shame.
Mr. Stokes: Typical.
Mr. Young: The type of fire extinguisher
to be used in any given place and the kind
of servicing of such equipment has been
pretty well left to the insurance industry
and the local fire departments. The insurance
industry seems more interested in sprinkling
systems and major items of fire protection
and leaves the fire extinguishers to the local
fire department assuming, not alwaN-s cor-
rectly, that they make sure the extinguishers
are always in good working order.
The Canadian Underwriters Association
has a couple of very useful booklets whidi
I have here, Nos. 10 and lOA, setting out
what types of fire extinguishers should be
used in certain situations. They give general
principles for the location of such equipment
and how it should be recharged and main-
1236
ONTARIO LEGISLATURE
tained. But these rules are not enshrined in
legislation and so are not enforced.
As I pointed out, the regulations possible
under the Fire Marshals Act have never
been written. That's vv^hat this resolution is
all about today.
As I see it, there are four main problems
in connection wdth present practices in re-
spect to fire extinguishers. They may not be
in the right place. They may not be of the
right type for that location. They may not
be properly maintained. The people working
nearest them may not know how to operate
them.
The first of these need not take much dis-
cussion. Most fire extinguishers are placed
according to the instructions of the Canadian
Underwriters Association. Sometimes, how-
ever, they do get placed at the convenience
of the builder or so that they don't detract
from the decor of the building. Sometimes,
too, in places like school buses, they are
hidden to prevent theft.
*Many smaller communities have no inspec-
tors in the local fire department trained in
the location of such equipment and standards
vary from community to community. The
standards outlined in CUA 10 need to be
made universal in this province and local
people should be trained in their implemen-
tation.
Second, in selecting the right type of fire
extinguisher for a particular location, the pur-
chaser is often at the mercy of commercial
interests more keen on sales than adequate
protection. There is a very wide variety of
extinguishers, some based on water imder
various kinds of pressure; others have soda
acid, carbon dioxide, ammonium phosphate
and other chemicals. In looking over the
whole lot of them, the building owner may
seek the cheapest type of extinguisher rather
than the most effective one for his situation.
The Canadian Underwriters Association
lists four classes of fires. These classes are
as follows: Class A fire, ordinary combustible
materials, such as wood, cloth, paper, rubber
and many plastics; class B, those inflammable
liquids, gases and greases; class C fires, which
involve energized electrical equipment where
the electrical non-conductivity of the extin-
guishing media is of importance; and class
D fires, in combustible metals, such as mag-
nesium, titanium and others.
Class A fires, of course, can be handled
by water extinguishers. But this will cause
some water damage while extinguishing the
fire. Water in class B fires— that is grease and
oil— will only spread the blaze. How often
we have heard of grease fires in kitchens ex-
ploding in this way.
The older types of extinguishers were the
best available when they were first sold, but
there is no reason to keep selling them when
more efficient ones are now available. The
modem ammonium phosphate extinguishers,
for example, will serve for all A, B, and C
class fires. They will handle five times as
much fire as water will and do no water
damage.
It's a strange anomaly that the commercial
driver's manual issued by the Transportation
Safety Association of Ontario uses a 1954
fire extinguisher standard and recommends
types of extinguishers good only for B and
C class fires. The majority of automotive
fires also involve class A fires. Only multi-
purpose, dry chemical extinguishers should
be recommended, as they now are in many
states south of the border.
Builders of apartments, too, often install
the cheaper soda acid extinguishers which
should be emptied and recharged every year.
The building is sold and the new owner may
not be aware of what needs to be done; or
he may not care about recharging as long
as the extinguishers look aU right.
I understand that the Ontario government
is now in the process of converting all its
extinguishers to the A, B and C type as re-
placement is required. That's a good move
and it should be universal in Ontario.
Legislation, or the writing of adequate
regulations under the present Fire Marshals
Act, is needed to phase out the less eflBcient
type of extinguishers, which may have been
the very best we had years ago but which
are now obsolete, and to bring about the
installation of the more efficient ones that
we now possess.
In the field of inspection and maintenance,
Mr. Speaker, the Canadian Underwriters
Association book lOA provides sound pro-
cedures. But there is no legislation to make
them mandatory.
Fire extinguisher servicing agencies are
not licensed. Anyone, regardless of qualifica-
tion, may enter the field and seek business.
Any person may seek that business by lower-
ing his prices to the level where servicing
just can't be done without cutting too many
corners.
It's a highly-competitive field, and for
anyone more concerned with making a dol-
lar than in safety, the way is wide open to
tender prices far too low to guarantee ade-
quate work. The result may be that recharg-
ing the equipment, or even putting a new
APRIL 22, 1974
1237
date on the tag after a quick look at the
outside of the extinguisher, is all that's done.
Careful inspection, maintenance and repair
goes by the board. These things are often
not covered by the tender specifications or
the business agreements.
The building owner takes too much for
granted. To him, servicing is servicing and
he doesn't realize how important thorough
servicing can be if the extinguisher is to be
constantly ready for the emergency it was
designed to meet. Seldom is any detailed
service report given to the owner, and seldom
does he know what work he has actually paid
for. It's .similar to a car owner who is only
concerned with keeping the gas tank full,
who ignores the brakes, the oil, the tires
and other vital parts of the car equally es-
sential to keeping it in good running order.
Mr. Gorman of Oshawa, whom I mentioned
before and who has wide experience, says
this:
There are II manufacturers of multi-
purpose dry chemical — ammonium phos-
phate base— fire extinguishers listed in the
ULCs list of equipment and materials.
This does not include some American
manufacturers that are not listed but avail-
able to Canadian consumers.
The CUA book lOA states when recharg-
ing dry chemical fire extinguishers the
manufacturer's chemical should be used
or the extinguisher is void of its label. No
servicing company carries in its recharging
stock 11 difi^erent manufacturers' chemicals.
In fact most recharging companies buy
their chemical from one company; a com-
pany that sells this chemical for the low-
est price and does not have any approval
for the chemical. This means once a fire
extinguisher has been recharged it is no
longer as effective, as it was prjginally.
I He alSb'i^a^i'':' ^■■^'■' ■■■'•■■ •■■^\ "'y- '^"•^■' ' "'
The Industrial Safety Act. requires pro-
per fire extinguishers and by the term
"adequate*' requires that they be in a
constant' ^tate of readiness. The number of
establfshrtieiits that I have observed that
have ddrnplied with the Act would be less
than 10. r have been in over 1,000 plants
frotti Windsor to Gananoque.
Th6 average industry is incapable of
providing a record of their own fire ex-
tinguishers without doing a plant search.
In otheT words, they don t have any record
of the number of extinguishers— let alone
the types and ages and locations of them.
IiLstallation of fire extinguishers generally
means distributing anything with the words
"fire extinguisher" stamped on it through-
out the plant
And he says:
In some communities the local fire de-
partment inspects building and instructs
the owners to deliver their nre extinguishers
to their fire department garage. Here they
recharge the extinguisher in a substandard
manner and have the owners pick up the
extinguisher. They charge for this, of
course; and sometimes more than the aver-
age legitimate fee. While these units are
at the fire department the owner has no
fire protection.
Then too, Mr. Speaker, extinguishers are
pressure vessels ana so stand some danger
of blowing up if any weakness develops in
the outside shell. The Canadian Underwriters
Association's book lOA requires hydrostatic
testing at stated intervals, depending upon the
type of equipment. But hydrostatic testing is
done only at the request of the owner and
most owners don't even know that it should
be done. There is no legislation to cover it
and little specialized equipment in this prov-
ince to carry it out. Outside Metro this type
of test equipment just does not exist.
Near my oflBce door in the north wing is
a pressure water extinguisher. Regulations 10a
says it should have a hydrostatic test every
five years; and it also says there should be a
metal tag stamped with the date of the in-
spection and the name of the person who
does the inspection; and that tag self-destructs
if anybody tries to remove it from that ex-
tinguisher and put it somewhere else. Well
Mr. Speaker, there is no tag on this extin-
guisher; there is no tag on any extinguisher
I have seen in the building.
This particular extinguisher was made in
1964. I can see perhaps some reason why the
government should leave these potentially ex-
plosive devices in the offices of the opposition
members, but the strange thing is that they
also exist downstairs in the offices of the
government members — and those extin-
guishers have no metal tags on them either.
So evidentiy the hydrostatic testing is not
being done even in this building, unless I
have not been able to see the tags that should
be there.
The final thing that I raise is training for
use. Certainly all janitors and service people
in all buildings should be trained in the use
of this equipment so they know exactly what
kinds of fires partiailar equipment can put
out. Also, the people concerned who are
working near this equipment should know as
well.
1238
ONTARIO LEGISLATURE
For example, I sit very close to a fire ex-
tinguisher upstairs, and I did not know what
type it was imtil I began to do a little re-
search for this particular resolution. If a fire
had occurred I would have had very little
information on what to do in handling it.
Finally, Mr. Speaker, my resolution says
there should be a commissioner to supervise
and enforce these standards; and such a com-
missioner could very well be the fire marshal
of this province. TTie purpose of appointing
a commissioner of fire extinguishers would
be to eliminate the present confusion and
inadequacies that presently exist in the fire
extinguisher field.
It would be the responsibility of the com-
missioner's oflBce to:
1. Establish a standard for the installation
and maintenance of fire extinguishers in all
buildings and areas where the public may
enter and the possibility of fire exists; and
to recommend legislation and regulations to
publish these standards.
2. Provide pubhcation of these standards
and other pertinent information to the au-
thorities of various jurisdictions, fire extin-
guisher users, servicing companies and manu-
facturers.
3. Control the maintenance of fire extin-
guishers through training and licensing of
personnel engaged in this type of service.
4. Through research, provide information
and recommendations to those concerned re-
garding such areas as discontinued approval
of certain extinguishers and practices, in-
forming the pubhc and the manufacturers
of new or advanced methods of fire fighting,
fire extinguisher training for industry and
students.
5. Ensure that every community in the
province has an inspector appointea by their
local fire department.
I call upon this House, Mr. Speaker, to
support the resolution I have put forward
today.
Mr. Speaker: Hon. member for Beaches-
Woodbine.
Mr. T. A. Wardle (Beaches-Woodbine):
Mr. Speaker, I rise to support the resolution
proposed by the hon. member for Yorkview.
My hon. friend brings up an important mat-
ter and makes what I think is a reasonable
argument for setting provincial standards in
order to control the information and main-
tenance of fire extinguishers in all buildings
except those in private residences.
It seems to me that having a set standard
throughout the province would be desirable.
There are no proper individual standards
now as to types of fire extinguishers and no
provincial maintenance and inspection pro-
grammes.
I understand this resolution would provide
an inspection programme to ensure that the
type of extinguisher used on premises is
adequate for the purpose it is intended to
serve, that is to extinguish a fire on those
particular premises. [
It is important also to give consideration
to another aspect of this problem. A con- i
fectionery or similar store, it is hoped, wotdd
have the type of extinguisher that would be
suitable for the type of stock carried in such
a store. However, if the occupancy of the
store changed and it became a dry cleaning '
establishment or a fish and chip store, then j
a different type of extinguishing agent would
be required.
For instance, a confectionery store would
require a water pressure type of fire extin- i
guisher for paper and similar stock, while a
dry cleaning establishment would require a
carbon dioxide or dry powder type of extin- I
guisher. Inspections should be made when ;
changes take place in occupancy of various |
business establishments; and, Mr. Speaker, i
this does not take place now. A store will j
become a new type of operation, yet the
extinguishers often remain the same. ;
Each extinguisher should be classified as I
to the coding. Inspections should be made \
to make sure that every establishment has
the type of extinguisher required fof that !
type of operation. The extinguisher should,
of course, be changed when 3ie type of oc-
cupancy or the type of stock carried is
changed.
I feel certain, Mr. Speaker, that uniformity i
in this regard and inspections throughout the !
province would bring up the standards J
throughout Ontario. |
The other important point, of course, is j
not only that fire extinguishers on premises j
should be of a suitable type but tiat they ]
should be operable. There is certaiidy no j
point in having an extinguisher if, when \
the need arises, it is found to be empty or t
not suitable for that purpose. And this does
happen in some cases when there is a fire.
In brief, there should be, firstly, the cor- *
rect type of extinguisher for the purpose and, i
secondly, inspection should ensure that the -|
extinguisher is workable. ^
Some cities and towns throughout Ontario
have fire bylaws that require annual inspec-
APRIL 22, 1974
1238
tion of firefighting equipment. This doesn't
take place in the Metropolitan Toronto area,
of course, and in some other cities and towns
throughout Ontario. It is not generally the
case in business establishments that annual
inspections take place.
This bill, I understand, would provide for
uniform jurisdiction throughout the province,
as opposed to the present situation where
there are several hundred jurisdictions. I
think this resolution also should provide that
there should be fire bylaws passed in every
town and municipality throughout the prov-
ince sb standards would be set that would
be applicable.
Finally, Mr. Speaker, in the short few
momenta that we have left, I compliment
the member for bringing this resolution for-
ward, and I am glad to give my support to
it. Thank you very much.
Mr. Speaker: The hon. member for YoA-
Forest Hill.
Mr. P. G. Civens (York-Forest Hill): Mr.
Speaker, I will speak against the resolution.
I think we don't need a commissioner. We
now have a fire marshal by the name of
Hurst who can look after matters quite ade-
?[uately, and I imderstand he does a pretty
air job.
I think we are surrounded with regulations;
maybe they are not enforced, but I don't
think that by the passing of legislation we
would get them adequately enforced. I think
we should see that the government passes its
new building code, which now is years be-
hind in its passage. I don't know why they
are delaying further, because I think that
fire preventive measures should be built into
buildings, and not have a multiplicity of fire
extinguishers. And perhaps people who sell
fire extinguishers should be licensed. The
matter of maintenance particularly should
also be looked after, but that's a different
subject, and I don't think that is going to be
solved by having more regulations.
In Metropolitan Toronto, the various muni-
cipalities have a plethora of regulations. The
city of Toronto has a fire prevention bylaw—
I think it's number is 6069— and we have a
building bylaw. No. 368, which has to do
with the building of highrise apartment
houses and so on.
I think that when people get involved in a
fire, they should leave firefighting to the pro-
fessionals. They should get their wives and
kids and get them the hell out of there and
leave the firefighting to the people who know
what they are dofaig, because when you talk
about having an adequate kind of fire ex-
tinguisher you need a different fire extin-
guisher for every different kind of fire vou
may have in any kind of establishment You
may need a variety of a dozen different Idnds
of fire extinguishers, and the avera^ penoo
doesn't know what fire extinguishers he
should have. So keep yourself well insured,
get your wife and kids out of there and leave
the firefighting to the professionals.
I'll tell you this, you pick up a paper-and
this has to do with people who get tdlled in
fires— and every so often there is a big fire in
a rooming house. I wonder why there aren't
many more rooming-house fires in Toronto
than there are because there are thousands of
rooming houses. You know what causes these
rooming-house fires? Two main things— smok-
ing and drinking. You can take these rooming
houses and you could surround them with fire
extinguishers and they would still bum down.
And they will still bum down, because they
are too smashed when they go to bed smok-
ing to get up and to mn over to a corner to
get a fire extinguisher to put the fire out.
So I don't care how many regulations we
are going to pass and how many commis-
sioners we are going to put in charge and
how many inspectors we are going to have
roaming around this province and how many
extinguishers we are going to put in all these
establishments— it isn't going to help the
matter, because fires are the result of care-
lessness.
In an industry, in a factory, where people
are attuned to dealing with emergencies and
thev can be trained and they are dealing in
a clisciplined way, things are different. I am
talking about residential fires. I am talking
about where people are involved, where Idas
are involved, women and children are in-
volved, and things of that natiue. I am not
talking about industrial fires, like in a motor
company or things of that nature.
I think we have adequate regulations. The
matter is a question of enforcement and not a
matter of passing more regulations and put-
ting more people in charge of these regula-
tions. We've got enough of a bureaucracy as
it is right now.
Mr. J. R. Breithaupt (Kitchener): He has
persuaded us, we will vote against it.
Mr. Speaker: The hon. member for Peel
South.
Mr. R. D. Kennedy (Peel South): I will give
wav.
1240
ONTARIO LEGISLATURE
Mr, Speaker: The hon. member for Wei- Mr. Young: He wants to get another regu-
land South. lation.
Mr. R. Haggerty (Welland South): Thank
you, Mr. Speaker, I'm finally going to get on
my feet here.
I want to concur with the previous mem-
ber who just spoke that there are enough
regulations now that fire departments can
cover the matter of fire extinguishers. We
have the National Building Code, we have a
proposed. Ontario Uniform Building Code, we
have local municipal bylaws, we have the
Fire Marshals Act— which covers the matter
pretty thoroughly there, and perhaps I should
read this, Mr. Speaker:
Where in a municipality a fire preven-
tion oflBce has been estabhshed, or the
chief of the fire department in a munici-
pality has designated one or more mem-
ibers of the fire department as a fire pre-
vention officer or officers, or the fire marshal
has so designated any other person, every
person who is a member of that fire pre-
vention bureau is designated as an assist-
lant to the fire marshal and shall have all
the powers of an assistant to the fire mar-
shal under this Act.
Of course, if you go into section 19 of the
Fire Marshals Act, that pretty well covers
it. Each member of that fire department or its
volunteer paid fire department has the same
responsibility as the fire marshal under the
direction of the fire chief.
I think the most important thing, Mr.
Speaker, is that there is a lack of fire pre-
vention policies in the Province of Ontario.
We don't have enough education, even in our
schools perhaps, throughout the municipali-
ties. I th^ik that we can perhaps reduce the
nmnber .of fires in Ontario through proper
fire prevention programmes.
(I think the most important thing in this,
that the mover should have brought in with
it, is that I would like to see heat detectors
placed • in : every home and every multiple
dwelhiiig.i
Mr. Foulds: Don't we have enough regu-
lations? Isn't that what the member said?
Mr. Haggerty: This isn't a regulation. This
is soni6thing that I think would pinpoint a
fire perhaps right at the time it starts, and
perhaps you would get the people out of
the building and you wouldn't need the fire
extinguishers. But as the member says we
have about four or five different types of ex-
tinguishers.
Mr. Haggerty: That is, in fact, under the
National Fire Code of Canada, 1963, so diat
regulation-
Mr. Speaker: Order. The time has expired.
Mr. Haggerty: I think what is lacking is
that we should have a good fire prevention
educational programme in the Province of
Ontario under the existing regulations. Thank
you, Mr. Speaker.
Hon. E. A. Winkler (Chairman, Managie-
ment Board of Cabinet): Mr. Speaker, before
I move the adjournment of the House, I
would like to say that tomorrow we will
continue with the discussion on Bill 26 under
item 2. Following that, should we conclude
it, there will be a slight change, and we will
proceed to item 6. Should we conclude both
of those items we will then turn our minds
to No. 8. I am not sure, of course, what the
progress will be and, depending upon the
progress tomorrow, I would announce the
business for Thursday should it be that way.
I also have the Minister of Energy (Mr.
McKeough) standing by with his estimates
and I would ask that the members of the
House prepare themselves for that possibility.
I would also like to say now in regard to
the estimates that are currently on the table,
in the House— and not in this order; I will
give the order immediately I have it clear-
are Consumer and Commercial Relations,
Energy, Agriculture and Food, Industry and
Tourism, Resources policy; in standing com-
mittee. Attorney General— who is now being
heard- the SoHcitor General, Natural Re-
sources, Transportation and Communications,
Labour and Environment.
Mr. Stokes: Is the minister going to pVd^
vide us with a written list?
Mr. Breithaupt: Before the adjournment of
the House, might I inquire of the minister
if it is his intention to proceed^ with the
estimates in the House tomorrow evening, or
will we follow through with Bills 26, 22 and
25, as may be expected?
Hon. Mr. Winkler: Yes. Based on progress
thus far I beheve that that won't be a prob-
lem to us, but I would think that that would
be correct.
APRIL 22. 1974 1241
Mr. Breithaupt: The second point I would Hon. Mr. Winlden Yes, that will be nego-
raise, Mr. Speaker, is with respect to the next tiated with the whips. I don't think there will
private members' hour. It will be the gov- be a problem there,
emment's turn but there are no bills stand- ».,,,,, i ,,
ing in the government members' names. It ;"°"- ^^'' W*""^' ^^^ ^ •djoumment
would be convenient if whatever bill is to of the House,
be proceeded with would be brought in to- Motion agreed to.
morrow so that we can be assured of having
printed copies by the end of the week. The House adjourned at 6 o'dodc, p.m.
1242 ONTARIO LEGISLATURE
CONTENTS
Monday, April 22, 1974
Transmitting estimates of certain sums required for the service of Ontario, the
Honourable the Lieutenant Governor 1197
Inquiry into hospital employees* remuneration, questions of Mr. Guindon:
Mr. R. F. Nixon, Mr. Renwick, Mr. Reid 1197
Potato suppliers, questions of Mr. Stewart: Mr. R. F. Nixon 1198
Land purchases in Haldimand-Norfolk, question of Mr. White: Mr. R. F. Nixon 1199
GO-Urban system, questions of Mr. Rhodes: Mr. R. F. Nixon, Mr. Givens, Mr. Lewis 1199
Potato suppliers, questions of Mr. Kerr: Mr. Lewis 1201
Health and safety hazards at Elliot Lake, questions of Mr. Bemier, Mr. Guindon,
Mr. Miller and Mr. Davis: Mr. Lewis, Mr. Stokes 1201
Interns' and residents' dispute with hospitals, questions of Mr. Miller: Mr. Singer ... 1202
Lake Superior outflows, questions of Mr. Davis: Mr. Foulds 1203
Smiths Falls hospitals, questions of Mr. Miller: Mr. Roy 1204
ODC performance loans, questions of Mr. Bennett: Mr. Stokes 1205
U.S. reaction to land transfer tax, questions of Mr. Meen: Mr. Givens 1205
Losses from broken liquor cases, questions of Mr. Clement: Mr. Shulman 1206
Toronto area garbage disposal, questions of Mr. W. Newman: Mr. Breithaupt 1206
Fines for violations of Construction Safety Act, questions of Mr. Guindon: Mr. Deans 1207
Nursing homes residence agreement, question of Mr. Miller: Mr. Ruston 1207
Rehabilitation of psychiatric patients, questions of Mr. Miller: Mr. Burr 1207
Marketing of "Fancy Honey," question of Mr. Stewart: Mr. Riddell 1207
Prescription of drugs by optometrists, questions of Mr. Miller: Mr. Shulman
Mr. R. F. Nixon 1208
Study of vinyl chloride, question of Mr. Guindon: Mr. Haggerty 1208
Prescription of drugs by optometrists, questions of Mr. Miller: Mr. Cassidy 1209
Daal Specialties Ltd., question of Mr. Guindon: Mr. B. Newman 1209
Referral of ministry estimates to standing resources development committee,
Mr. Winkler 1209
Educational Communications Authority Act, bill to amend, Mr. Auld, first reading . 1210
Master and Fellows of Massey College Act, bill to amend, Mr. Auld, first reading . 1210
Land Transfer Tax Act, bill respecting, Mr. Meen, second reading 1210
APRIL 22, 1974 1243
Private members* hour 1235
On notice of motion No. 1 re control of fire extinguishen, Mr. Young, Mr. WarcDe,
Mr. Givens, Mr. Haggerty 1235
Motion to adjourn, Mr. Winkler, agreed to 1241
No. 29
o^
Ontario
Hegtsilature of (J^ntario
OFFICIAL REPORT — DAILY EDITION
Fourth Session of the Twenty-Ninth Legislature
Tuesday, April 23, 1974
Afternoon Session
Speaker: Honourable Allan Edward Reutcr
Clerk: Roderick Lewis, QC
THE QUEEN'S PRINTER
PARLIAMENT BUILDINGS, TORONTO
1974
10
Price per session, $10.00. Address, Clerk of the House, Parliament Bldgs., Toronto
CONTENTS
(Daily index of proceedings appears at back of this issue.)
1247
LEGISLATIVE ASSEMBLY OF ONTARIO
The House met at 2 o'clock, p.m.
Prayers.
Mrs. M. Scrivener (St. David): Mr. Speaker,
I take pleasure in presenting 30 students from
the Queen Alexandra Senior School, who are
here in the west gallery today, with their
teacher, Mr. David Havery.
Hon. A. Grossman ( Provincial Secretary for
Resources Development): Mr. Speaker, it is
my pleasure to introduce, in the west gallery.
Sister Mary Alexander and a number of her
students from the Adult Day School of
Dundas St. W. in Toronto, within the riding
of St. Andrew-St. Patrick.
Mr. W. Ferrier (Cochrane South): Mr.
Speaker, it is a great privilege for me to intro-
duce to you and to the House, 32 students
from. Ecole Ste. Therese, in Ramore, Ont., and
three adults, and they are being led here by
Mr. F. G. Tremblay.
Mr. N. G. Leiuk (Humber): Mr. Speaker,
I would Wee to welcome 60 students from
Runnymede Collegiate, in the riding of Hum-
ber, who are seated in the east gallery. They
are accompanied by Mr. Gray Taylor.
Mr. T. A. Wardle (Beaches-Woodbine):
Mr. Speaker, there are some 25 students from
the George Etienne Cartier Separate School
in my riding, and I would like to welcome
them to the Legislature this afternoon. They
are accompanied by Mrs. Doyle and Sister
Riedel. They are grades 7 and 8 students, and
they are sitting in the east gallery.
Mr. Speaker: Statements by the ministry.
GO-URBAN SYSTEM
Hon. J. R. Rhodes ( Minister of Transporta-
tion and Communications): Mr. Speaker, last
week a public tender was opened for the
construction of a guideway for the transit
demonstration project at the Canadian
National Exhibition. The prices quoted in
those tenders for the work at the CNE are
greater than were calculated at the time we
prepared our estimates in 1972.
TuuDAY, April 23, 1974
Hon. members will recall that the TDS
contract has two basic price components, the
first being a fixed price component for the
guideway components, power substations, the
command and control system and the vehicles.
The price quoted in May, 1973, for these
components was $10,620,704. This price is
subject only to exchange fluctuations and
official price index changes in either Canada
or Germany and as a fixed price is not sub-
ject to further changes.
The second price component was for civil
engineering work and the contract called for
this work to be awarded and priced by the
method of public tenders. The work consists
of a guideway contract, station contracts and
a foundation contract. To date, only the
foundation contract has been awarded. It
totalled approximately $426,000. The guide-
way contract was opened Wednesday of last
week and the lowest bid was $10,263,160.
The station contract tenders have not yet been
received. The earlier estimates of the devel-
oper and the civil engineering consultants
were approximately $6.9 million, eivine a total
of approximately $17.5 million for the fixed
and tendered price estimate.
The increase in guideway price has been
occasioned by a number of factors such as
the substantial price escalation experienced in
all heavy construction during the past two
years, together with a number of design
changes which were found necessary as design
progressed. Many of these changes were found
necessary for aesthetic reasons in Exhibition
Paric and also to make it possible to have the
guideway more adaptable for continued test-
ing in future years.
Regarding the increased cost of all heavy
construction, I would point out to the House
that not only have there been large increases
in labour costs, but all materials used in this
work have become vastly more expensive
during the past two years. For example, the
wage rate increases for structural workers
have averaged approximately 20 per cent be-
tween 1972 and 1974. We know also that
some collective agreements are in existence
which will further increase these rates in 1975
and, therefore, affect this contract by a
further seven to 10 per cent. Other agree-
1248
ONTARIO LEGISLATURE
merits will be expiring this year and will be
up for renegotiation. There is every indication
of even higher wage demands to keep pace
with inflation. For example, the ready-mix-
concrete truck drivers signed an agreement
tliis week which increased their wages 35
per cent, including fringe benefits.
The increased cost of material since the
start of 1972 has been even more dramatic,
Mr. Speaker, when you consider that the
main components of this contract are con-
crete and reinforcing steel and that concrete
has increased in price in the past two years
by 27 per cent and is expected to go up to
40 per cent by 1975. This increase does not
take into consideration the increased wages
referred to in respect to the ready-mix truck
drivers. The other major component, rein-
forcing steel, has increased in price in the
two-year period by 115 per cent. A further
increase is certain to the point that we can
expect an increase over 1972 of 140 per cent.
These are but examples of the major com-
ponents, but I would add that all elements
of material are subjected to varying degrees
of inflation, somewhat comparable to the two
mentioned. We, and industry, are finding it
increasingly diflBcult to obtain firm price com-
mitments for material to extend over any
significant period of time. In other words,
changes in prices and materials are almost on
a daily basis.
From the aforementioned it is quite appar-
ent that most of the increases in the guideway
contract can be attributed to the inflation in
material, service and labour. I would further
point out that our own highway construction
work is being subjected to these same pres-
sures and we can certainly look forward to
similar increases in respect to the new To-
ronto subway contracts which will soon be
advertised, showing comparable increases ex-
perienced in the tenders which were opened
last week for the guideways.
Mr. A. J. Roy (Ottawa East): The statement
of his predecessor is non-operative, eh?
Act and certain regulations, it was not pos-
sible at that time to advise vendors of the
effective date for implementation. All proce-
dural steps have now been taken and the
exemptions will apply to sales made on and
after April 29, 1974.
However, due to the postal strike we are
unable to forward by mail a supplementary
tax bulletin advising vendors as to this date.
In addition to making this statement, which
we hope the press will pick up, we are
proceeding to place notices in provincial
daily papers. A tax bulletin has been pre-
pared by the ministry and will be mailed to
all registered vendors once the mails resume.
In the interim period, for clarification of these
instructions or information concerning addi-
tional exemptions, vendors should phone their
district tax offices.
We solicit the general co-operation of the
House in passing this word along to inter-
ested constituents.
Mr. Roy: I'll bet that really hurt the min-
ister's feelings having to put ads in the
paper.
Hon. J. B. Handleman (Minister of Hous-
ing): Who's that?
Mr. Roy: Does it have his name on it?
Interjections by an hon. member.
Mr. Speaker: I am sure the hon. members
of the House would be interested to learn
that we have with us a very distinguished
visitor today. The Rt. Hon. Peter Shore, who
is British Secretary of State for Trade, is
present in the Speaker's gallery along with
his party and I'm sure we would like to
extend a special welcome to them.
Hon. Mr. Rhodes: Now the memljer for
Ottawa East should behave himself.
Mr. Speaker: Oral questions. The Leader
of the Opposition.
SALES TAX
Hon. A. K. Meen (Minister of Revenue):
Mr. Speaker, on budget day, retail sales tax
bulletin 74-1 was sent to the approximately
130,000 vendors in Ontario, advising them of
budget proposals which would remove the
retail sales tax on certain specific personal
hygiene and household cleaning items and
on footwear which sold for $30 or less per
pair. As implementation of these exemptions
required amendments to the Retail Sales Tax
GO-URBAN SYSTEM
Mr. R. F. Nixon (Leader of the Opposi-
tion): Mr. Speaker, I would like to ask the
Minister of Transportation and Communica-
tions, further to his statement just com-
pleted, if he is now prepared to give an
estimate of the overall financial commitment
of the government to prepare the whole
maglev experimental track, stations and train
for Use in the exhibition grounds by 1975?
Is he actually telling the House that when
the estimate was first prepared about 18
APRIL 23. 1974
1240
months or two years ago there was no in-
gredient involving the inflationary aspects of
tne materials ana workmaaship which must
surely have been expected by any reasonable
engineering projection?
Hon. Mr. Rhodes: Mr. Speaker, first of all
I cannof give an answer as to what sort of
consideration was given when that estimate
was prepared two years ago. I didn't have
any part . of it. Secondly, I can say that I
cannot give a firm figure on the cost of the
demonstration project at the CNE because
we have not had the tenders returned on the
development of the stations which will be
necessary there. I can say to the hon member,
though, that his estimate which he mentioned
here in the House of about $23 million, I
think, is fairly accurate.
Mr. J. IL Breithaupt (Kitchener):. A supple-
mentary, Mr. Speaker.
. Mrs.' M. Campbell (St. George): Imagine
tiiat.
Hon. Mr. Grossman: He surprised himself.
Mr. R. IF. Nixon: I knew it was right but
I didn't think he did.
Mr. Speaker: Order.
Hon. Mr. Rhodes: That's the first time he
has been mathematically right in two years.
Mr. Breifhaupt: Jf the itiinister "has the
same ofiicials advising him who advised his
predecessor, can the minister inquire of those
ofiRcials as to what factors were built in with
respect to inflation possibiUties?
Hon. Mr. Rho^e^: Mr. Speaker, I have
been in discussion.^ wjth. the oflBcials^. as one
might assume, and we are—
tInterj.ections by hon. members.
Mr. R. F. Nixonr Not the ^ame ones his
predecessor had.
Interjections by hon. members.
Hon. Mr. Rhodes: We are having continual
discussions on this particular subject and, as
I said, I cannot give a firm answer at this
time as to what factors were used.
Mr. Roy: An open-ended contract.
Hon. Mr. Rhodes: I certainly don't think
anyone on either side of this House could
have anticipated in 1972 the rate of increase
we've been faced with in nuterials, service
and labour in 1974.
Interjections by hon. members.
Mr. S. Lewis (Scarborough West): A supple-
mentary: Working from the ininiiter's figures
(Ml the alleged inflationary spiral>-which I
think is really grandly inflattxl, but leaving it
at that— is he willing to contemplate a GO-
Urban system the total cost of which may
now range to a auarter of a billion dollars
beyond that whicn was originally suggested
for the entire system when operative? Doen|*t
he think it's now time to .strike a public
strategic retreat to an akemativo transporta-
tion network, modelled on light rail, and
leave the entire CO-Urban fantasy to some
other jurisdiction to deal with?
Hon. Mr. Grossman: That won't be subject
to inflation, ^h?
Mr. Lewis: Not this kind of inflation.
Hon. Mr. Rhodes: Mr. Speaker, 1 think that
in this inflationary period we're in despitc>-
I'm amazed the leader of the New Democratic
Party says there's no inflation.
Mr. Lewis: Of course there's inflation, but
not the kind the minister is talking about.
Hon. Mr. Rhodes: There is? He admits
there's inflation?
Mr. Lewis: The cost of the wages is not
driving up die total.
Mr. Speaker: Order. *"
Hon. Mr. Rhodes: The answer to the ques-
tion is simply this, I would say that I don't
think we can suddenly stop everything we
are doing. Tile same inflationary factors apply
to subway construction, to the development
\&f light rails. Does the hon. member think he
cftfi buy a streetcar for the same price now
as he could yeah ago?
Mr. Lewis: It is out of control, completely
out of control.
PUP TRAILERS
Mr. R. F. Nixon: I would like to ask the
same minister, Mr. Speaker, if, in light of the
accident involving two large trucks with pup
trailers designed to carry petroleum, he can
report to the House that his oflBdals are now
of a mind we ought to bring these special
types of trucks under more strict and severe
regulation; or that we might even contemplate
1250
ONTARIO LEGISLATURE
banning them on our roads since there have
been so many accidents associated wdth them?
Hon. Mr. Rhodes: Mr. Speaker, the accident
to which the hon. member is referring
occurred around 4:30 this morning. It has
already been investigated by the ministry.
I can tell the House that in no way was
the pup trailer in any way responsible for
that accident. It was a rear-end collision in
which a tank truck ran into the rear end of
a flat-bed truck; that is the collision to which
he is referring. Fortunately, there were no
injuries.
I can tell members that we are, and' con-
tinually have been, looking at the problem
of pup-trailer trucks on the highways. It may
well be they will have to be removed but I
can't make a firm commitment at this time.
Mr. R. F. Nixon: A supplementary? The
minister is aware that his predecessor, who
is referred to from time to time in this
House-
Mr. Breitbaupt: Very favourably.
Mr. V. M. Singer (Downsview): Now that
he's gone he is a great fellow.
Mr. R, F. Nixon: — had undertaken in a
very similar way to investigate problems of
this type, particularly in connection with
petroleum transportation. Surely the time
has come when the ministry's ofiBcials should
be able to say they are either safe or not?
I am here, Mr, Speaker, to say to you that
the community believes they are not safe.
Hon. Mr. Rhodes; Mr. Speaker, I think
it is fair to say that one of the big problems
in the past has been the type of coupling
that was used; I think that has been cor-
rected.
Certainly the ministry has been dealing
with the i)etroleum industry on this prob-
lem in an effort to have them co-operate.
They have indicated every intention to be
as co-operative as they possibly can to make
this a safe vehicle. If the vehicle is not safe
then I will give the member this commit-
ment: If it cannot be made safe on the
highways then I would certainly recommend
it be taken off the highways.
Mr. E. R. Good (Waterloo North): Put
them back on the slow roads where they be-
long.
Mr. D. M. Deacon (York Centre): Supple-
mentary: In view of the fact that for the last
15 months almost every accident involving
petroleum-carrying vehicles of this sort has
involved pup trailers, ainl there has been a
plethora of them, would the minister not
agree it is already evident the regulatirais
should be changed to stop these pup trailers
being further used? Obviously this morning's
problem occmred because the pup trailer
couldn't be controlled when the brakes were
applied.
Hon. Mr. Rhodes: Mr. Speaker, I didn't
investigate the accident; I wasn't up at 4:30
this morning, perhaps the member was.
Mr. Singer: Well, the minister should be.
Mr. I. Deans (Wentworth): Why wasn't he?
Does he have a guilty conscience?
Interjections by hon. members.
Hon. Mr. Rhodes: I can say that the
statistics on the number of accidents involv-
ing these trucks are as they are because
most of the petroleimi trucks travelling on
our highways today are involved with these
pup trailers. Whether they in themselves are
the cause of the accidents or not, no one
can really say; no more than the member
can say accurately that the one that occurred
this morning was caused by the pup trailer.
OIL PRICES
Mr. R. F. Nixon: A question of the Minister
of Energy, Mr. Speaker: In light of the fact
that Imperial Oil has announced profits in
the first quarter of 1974 of $92.7 million,
twice last year's profit, is he now prepared
to recommend—
Mr. Lewis: Well! Weill
Mr. Roy: Did the member think his people
had a patent on that type of question?
Interjections by hon. members.
Mr. R. F. Nixon: —to recommend to his
colleagues in the ministry-
Interjections by hon. members.
Mr. Speaker: Order please.
Mr. R. F. Nixon: Thank you, Mr. Speaker,
I appreciate your intervention. I even ap-
preciate the intervention of the leader of
the NDP (Mr. Lewis).
I would like to ask the minister if he is
prepared, under these circumstances, to recom-
mend to his colleagues that the powers of
the Energy Board be expanded, as we sug-
gested when the Energy Board was estab-
APRIL 23, 1974
1251
Ushed with new powers a year ago, to ex-
tend its controls over prices to domestic use
of fuels.
An hon. member: As has been done in
Nova Scotia.
Mr. Lewis: Say; there is a good point.
Hon. W. D. McKeough (Minister of
Energy): Mr. Speaker, I don't specifically
recall the suggestion made by the Leader
of the Opposition.
Mr. D. C. MacDonald (York South): Nor
do we, nor do we.
Mr. Lewis: Just check Hansard.
Hon. Mr. McKeough: It occurs to me
that that great gathering in a telephone booth
at Sudbury this weekend might recommend
that to their federal party and they will do
a little bit better job.
Mr. R. F. Nixon: Supplementary: Since
the minister supervises the Energy Board of
the Province of Ontario, which does have
price control, or price recommendation
powers, why would he not assume the same
powers can be used at the provincial level
the way they are, for example, by the gov-
ernment in the Province of Nova Scotia?
Hon. Mr. Grossman: What kind of powers
do you need for recommendations?
Hon. Mr. McKeough: Mr. Speaker, my
reading of the Act does not indicate to me
that those powers presently exist in the On-
tario Energy Board Act.
Interjections by hon. members.
Mr. Lewis: A supplementary if I may; a
supplementary-
Mr. Speaker: The hon. member for Scar-
borough West, a supplementary.
Mr. R. F. Nixon: Surely the minister would
agree that an amendment would give those
powers?
Hon. Mr. McKeough: Mr. Speaker, I agree
completely with the Leader of the Opposition
that an amendment would give those powers.
Mr. Lewis: A supplementary: Is the min-
ister, in fact, as has been reported, reviewing
the possibility of imposing a price level in
the Province of Ontario for costs for gasoline
and home fuel oil charged by the major oil
companies?
Hon. Mr. McKeough: Mr. Speaker, I and
the ministry have been preoccupied with the
problems associated with wind energy but
when we get ourselves off that subject well
turn to the subject which has been suggested
by the leader of the New Democratic ^irty.
• Mr. Lewis: No, no. I'm not going to be
diverted so easily. While he trumpets around
the countryside clobbering the oil companies,
are all of the minister's speeches dealing in
the direction of introducing legislation in the
House which will give to his ministry the
right to set or roll bade prices in the area
of gasoline and home fuel oil, as has been
suggested in other jurisdictions and as he has
indicated publicly he is now interested in?
Hon. Mr. McKeough: Mr. SpeiJcer, these
are matters which are under consideration.
Mr. Lewis: They are not.
Mr. MacDonald: A supplementary question,
Mr. Speaker: Now that Shell Oil has indicated
that it is wiUine to forgo the 2%-cent unneces-
sary increase for non-existent costs, can the
minister indicate whether that is likely to be
a pattern subscribed to by the other oil com-
panies? Is he going to take any initiative to
see that it is the pattern accepted?
Hon. Mr. Handleman: I thought they were.
It sounds like it. They always work together.
Hon. Mr. McKeough: Mr. Speaker, the
matter of the Shell Oil increase, or non-
increase— or the industry increase, or non-
increase— is being dealt with, as the member
is well aware, by the government of Canada
through the Department of Energy, Mines and
Resources and through the National Energy
Board. That is a matter for their consider-
ation.
I congratulate Shell Oil for the position
which they have taken that this increase is
perhaps not necessary, in their view, at this
moment in time. But whether the rest of the
industry will follow suit, or whether the gov-
ernment of Canada will determine that an
increase is necessary or not, is something for
the government of Canada to decide at this
moment. I would suggest that the member get
on that pipeline, through his leader to the
federal leader, and sort that little matter
away.
Mr. R. F. Nixon: Oh, here we go.
Mr. MacDonald: A further supplementary:
If perchance the federal government in Ottawa
isn't persuaded to accept its responsibilities,
will the minister accept his, in his constitu-
1252
ONTARIO LEGISLATURE
tional jurisdiction, of control of retail prices in
the Province of Ontario through the Ontario
Energy Board to make certain that that un-
necessary increase doesn't take place here?
Hon. Mr. McKeough: Mr. Speaker, my
leader and this government have made it clear
for over a year that when the government of
Canada is prepared to come to grips with the
problem of wage and price controls then this
government will co-operate to the fullest.
Mr. P. D. Lawlor ( Lakeshore ) : Answer the
question.
Interjections by hon. members.
Mr. Speaker: Order. There have been five
supplementaries, which is reasonable in
accordance with our standing orders. Does
the hon. Leader of the Opposition have
further questions?
The hon. member for Scarborough West.
Mr. J. A. Renwick (Riverdale): Why take
him oflF the hook?
Mr. MacDonald: He needs to be taken off
the hook.
Mr. E. W. Martel (Sudbury East): What's
all this blimderbussing as he goes around this
province, then?
HOSPITAL WAGE CEILINGS
Mr. Lewis: May I ask the Minister of
Health a question, Mr. Speaker? Does the
Minister of Health recall that it was in
August, 1973, when the original ceilings in
the education area were set at 7.9 per cent,
and it was Aug. 29, 1973, when the ceilings in
the area of hospitals were set at 7.9 per cent,
and why have we allowed an increase in the
ceilings in educational expenditures but not
in hospitals?
Hon. F. S. Miller (Minister of Health): Mr.
Speaker, it's very tempting to assume that the
two fields are parallel. I do not feel they are.
Tm quite aware of the inflationary pressures
in the hospital field and have been giving a
great deal of consideration to them lately.
We have certain basic problems to resolve
right now and those, of course, deal with the
hospital workers who are threatening to strike
in Toronto. These negotiations are being car-
ried on, and I think quite well at this point
in time. J just feel that no such sweeping
statements will apply to the health field at
this point in time.
Mr. Lewis: Is the minister ready to make
any selective statements in the health field
with some seven days to go to a strike dead-
line? Is he ready to indicate that he has given
to Mr. Dickie, the chief officer of the Minis-
try of Labour, the authority to indicate to the
unions at some point that he will raise the
ceilings on their wages, as apparently he is
doing behind the scenes now with the hospi-
tals themselves?
Hon. Mr. Miller: Mr. Speaker, I don't give
directions to Mr. Dickie directly; he doesn't
work for my ministry. I have great faith in
his ability and knowledge to deal with prob-
lems in the labour field. I'm very interested
in the progress he is making. I'm sure the
steps he takes and the offers he makes would
be met by my ministry.
Mr. R. F. Nixon: Supplementar>% Mr.
Speaker: Would the Minister of Health not
agree that it is just not enough to say of the
conciliator made available from the Ministry
of Labour that he doesn't direct him? Surely
there has got to be a policy co-ordination
that in the interest of the welfare not only of
the hospital workers but of the people of this
province has got to result in an announce-
ment without delay of government policy
which will' avert what could be a very acri-
monious, serious and illegal strike that can be
averted only by a statement of government
intention?
Hon. Mr. Miller: First of all, Mr. Speaker,
I disagree with the last statement made by
the Leader of the Opposition. I don't think it
can only be averted by a public statement
by this minister. I believe in the process that
is under way right now and that is the free
collective bargaining process, which is carry-
ing on.
Interjections by hon. members.
Mr. R. F. Nixon: It can't be-it is not free.
Hon. Mr. Miller: I have every confidence-
Mr. Speaker: Order.
Mr. Lewis: The minister has wage controls
in the hospital sector; that's not free collec-
tive bargaining.
Mr. Speaker: Order.
Hon. Mr. Miller: I have every confidence
that the steps that are necessary have been
taken.
Mr. Speaker: Does the hon. member for
Scarborough West have further questions?
APRIL 23, 1974
1253
LICENSING OF LANDFILL SITES;
ENVIRONMENTAL IMPACT OF
PUBLIC WORKS
Mr. Lewis: I have a question of the Mixiis-
ter of the Environment. Has he anything to
report yet on the CP Rail application in Hope
township for the land disposal site, on tne
various land disposal applications in Vaughan
township, and on the inquiry o£Bcer hearing
into the Amprior dam?
Hon. W. Newman (Minister of the Environ-
ment): Mr. Speaker, on the Hope site we are
still obtaining data and we are still doing
work on that.
An hon. member: No hope.
Mr. Lewis: Still waiting.
Hon. W. Newman: Regarding the other site
the member was talking about—
Mr. Lewis: Vaughan township.
Hon. W. Newman: Which site in Vaughan
was the member talking about?
Mr. Lewis: Maple, the 900-acre site.
Hon. W. Newman: The 900 acres? There
has been an application, but no date has
been set for a hearing as yet. On the inquiry
officer's report, I have not made my report
on it yet but hope to do so very shortly.
Mr. Lewis: So the minister has nothing
to report on any of them yet?
Hon. W. Newman: No.
RENFREW PHYSICIANS' AND
SURGEONS' APPEAL
Mr. Lewis: A question of the Minister
of Health, Mr. Speaker: Can the Minister of
Health tell me how he has responded to the
appeal placed in local papers from the phy-
sicians and siu-geons in Renfrew as to the
deteriorating health conditions in the county
because of the various unilateral cutbacks on
chronic care and active-care facilities in the
local hospitals?
Hon. Mr. Miller: Mr. Speaker, I think that
steps were taken about two weeks ago in
the city of Renfrew that, insofar as I know,
satisfied the local needs for those facilities.
There was talk about closing down a re-
habilitation facility in that area. However, in
our opinion, or mine at least, that would
have been premature because we didn't have
alternative facilities available in that area. I
believe a statement was made that we will
build a 75-bed nursing home in the Renfrew
area, and until such time as that 75-bed
home is in fact available, we do not intend
to close any of the chronic or rehabilitation
beds.
Mr. Lewis: The minister doesn't. Can I
ask him then about Barry's Bay? Has he done
anything about Barry's Bay and the chronic
and acute treatment problems that exist in
that community?
Hon. Mr. Mfller: Are we on a geographic
jaunt?
Mr. Roy: What about Smiths Falls?
Hon. Mr. Miller: Smiths Falls; that is
closer to the member's riding, isn't it? As a
matter of fact, Mr. Speaker, I am pleased that
the member is choosing towns that I have
visited.
Mr. Roy: My riding? He is really on the
ball.
Hon. Mr. Miller: I visited Barry's Bay,
along with my friend the Minister of Com-
munity and Social Services (Mr. Brunelle),
back in early December. We realized that
this land of community, which is typical of
very many small communities in Ontario,
cannot perhaps support either a home for the
aged or a nursing home per se. I can only
assure the members that we are giving very
active thought to some form of care for senior
citizens, and the elderly and the chronic
patients in towns like Barry's Bay throughout
the province.
Mr. Lewis: Well, then, by way of supple-
mentary, since this has tdso been brougnt to
the minister's attention from Pembroke, is he
singling out Renfrew county especially as an
area of perverse discrimination in health
policy where chronic and convalescent and
nursing home care are concerned, or is he
prepared to free the funds to deal with the
special requirements in that part of the prov-
ince where he has a considerable component
of aged population?
Mr. Roy: It depends where the Conserva-
tives are.
Hon. Mr. Millen Well, we certainly recog-
nize that Renfrew county had very real prob-
lems, and perhaps more aggravated problems
and acute problems than most areas of the
province-
Mr. Lewis: Right.
Hon. Mr. Miller: -and it was on that
assumption that we approved the 75-bed
1254
ONTARIO LEGISLATURE
nursing home in Renfrew. I might also say
we allowed the hospital in Pembroke to use,
I think 27 beds, that were previously closed
for active treatment, to be reopened for ex-
tended care patients in that area. I think those
two steps alone have provided well over 100
beds in an area that badly needed them.
Mr. Speaker: The hon. Minister of Con-
sumer and Commercial Relations has the
answer to a question asked previously.
RAPID DATA
Hon. J. T. Clement (Minister of Consumer
and Commercial Relations): Mr. Speaker, on
March 29 the member for Welland South
(Mr. Haggerty) raised a question in regard to
a $6.5 million investment the T. Eaton re-
tirement armuity plan had in Rapid Data and
asked, as I imderstand it, if those in receipt
of the pension or contributing to the pension
were protected.
Under the Pension Benefits Act and regu-
lations, the pension fund may hold, in eligible
investments, up to seven per cent of the total
asset at book value in the fund. The Elaton
annuity plan meets this requirement and the
majority of the fund's total assets are invested
in fully secured bonds, debentures, mortgages,
and so on, and a lesser portion in blue chip
common stocks. In this particular case the
plan is fully funded— that is, the assets from
the plan, even after deducting the anticipated
loss from the Rapid Data investment being
taken into consideration, are greater than the
total liabilities of the plan.
I further understand that each year an
independent actuary and chartered account-
ants verify the soundness of the plan. There-
fore I am advising the member and the
House, Mr. Speaker, that none of the em-
ployees who already have money in the plan
or those who are presently contributing will
in any way have their deposits or their pen-
sion contributions inhibited in any way be-
cause of the anticipated loss from Rapid Data.
Mr. Speaker: With respect to the three or
four members of the Liberal Party in the
second row, all of whom have had a ques-
tion, I do believe the hon. member for
Downsview was on his feet first.
OHC TENANTS DISPUTE
Mr. Singer: Thank you, Mr. Speaker. I
have a question of the Minister of Housing.
Could the minister advise if he is planning
to increase the Ontario Housing security
force, as suggested by the Metropolitan
Toronto police, to prevent a recurrence of
the violence that resulted in several injuries
over the weekend in Cather Cres., Lawrence
Heights, in the riding of Downsview?
Hon. Mr. Handleman: Mr. Speaker, I have
been assured that the security force in that
community will' be strengthened. I have no
details on specific numbers by which it will
be strengthened. I've asked for a report on
that. I am distressed by the continued stig-
matization of Ontario Housing Corp. com-
munities of all kinds, and I am very upset by
the fact that Ontario Housing Corp. seems to
be singled out for this type of public com-
ment when', in fact, it is not common in many
other areas of high density. On the other
hand, we are taking the necessary steps to
try to protect the tenants.
Mr. Singer: By way of supplementary,
could the minister adviser us if he has investi-
gated the allegation that this particular
trouble was caused by three or four families,
or centres on three or four families, who
occupy one house on Cather Cres. and who
apparently block other tenants' access in
vehicle parking by the illegal and improper
parking of a school bus?
Hon. Mr. Handleman: Yes, Mr. Speaker,
those allegations have been publicized and I
have asked the oflRcials of OHC to look into
them to determine whether or not they were
aware of them, and if they were, what, in
fact, the remedies are.
Mr. Deacon: Supplementary.
Mr. Speaker: Supplementary, yes. The hon.
member for York Centre.
Mr. Deacon: What steps is the minister
taking to give more authority to, say, a
tenants' council to deal with the root causes
of problems such as those occurring in that
area?
Hon. Mr. Handleman: Mr. Speaker, happily
I attended a tenants' conference in Windsor
on Saturday at which this very point was dis-
cussed. The tenants are of mixed views them-
selves as to whether or not they wish to
police this type of disruption in their own
communities or whether they wish to join in
a partnership with OHC in doing it. We are
waiting for recommendations arising from
that conference in Windsor. I expect they will
be constructive and I am looking forward to
receiving them.
Mr. Speaker: The hon. member for High
Park.
APRIL 23, 1974
1255
BAN ON SILENT FILMS
IN LICENSED PREMISES
Mr. M. Shulman (High Park): A question
of the Minister of Consumer and Commercial
Relations, Mr. Speaker: Has the minister any
explanation for the most recent caper by the
Liquor Licence Board in which it has banned
Laurel and Hardy silent movies in licensetl
premises? •
Interjections by hon. members.
Mr. Breithaupt: Which role is the member
going to play, Laurel or Hardy?
Mr. MacDonald: How do you "smash" that
one?
Hon. Mr. Clement: Mr. Speaker, I am in a
quandary here. I have the responsibility for
tne administration of the Theatres Act, and I
wondered perhaps if the hon. member this
month might turn his attention on Mr. Silver-
thorn out there. I will, in fact, inquire into
it. Perhaps the member might advise me
where this ban occurred and whether it was
this year or in the past?
Hon. Mr. Grossman: This is getting to be
a pretty good comic act.
Mr. Shulman: A supplementary-
Interjections by hon. members.
Mr. Speaker: Order, please. I think the
question really was not urgent nor of public
importance. Therefore there shall be no
supplementaries .
The hon. member for Waterloo North.
TAX EXEMPTIONS FOR BENEFIT
SALES
• Mr. Cood: Thank you, Mr. Speaker. A
question of the Minister of Revenue regard-
ing the collection of sales tax at the Ontario
i^ennoriite relief auction sale: Would the
rainister reconsider his position as stated in
a letter, of April 18 that the continuation of
exemption for this relief auction sale will not
be continued in light of the fact that this
sale has contributed over $400,000 to world-
wide relief in the past seven years? Would
the minister reconsider his decision and ex-
empt this sale once again this year from the
retail sales tax?
Mr. B. Newman ( Windsor- Walkervillc): It's
very worthwhile.
Hon. Mr. Meent Mr. Speaker, the Act
presently provides for exemptions of this
nature on a quarterly basis up to, I believe,
the sum of $7,500 on any such sale. In this
instance the charitable organization has had
sales which have jjrown, I imderstand frona
information provided by the member, to
something in the order of $100,000. It there-
fore gets well beyond the area in which the
minister has discretion, as the Act presently
stands, to grant such exemption.
What I think may have occurred in the
past if, in fact, exemptions were granted
was that it was an ad hoc arrangement, per-
haps even turning the other eye so to speak,
or putting the telescope to the bUnd eye.
Now that it has come to my ministry's
attention regrettably it may be that, as the
Act presently stands, it will be necessary to
enforce that regulation.
I would say that to do that in this instance
brinj^s into question all the charitable func-
tions, not just the Mennonite function to
which the member makes reference and the
projects of which are highly commendable,
btit all the other charitable functions whidi
take place in this province from time to time.
If we are to do that, it would have to be on
a much broader basis than just the one
exemption to which the member makes
reference because of its enormity and its
size, among other things.
Mr. Good: A supplementary, Mr. Speaker:
Does the minister not feel that it is incon-
ceivable and certainly unwarranted that the
Province of Ontario should be the only
agency which can possibly benefit from this
s^e, skimming off $7,000 or $8,000 in tax
before it goes to overseas general relief when
there are over 2,000 volunteers working
without pay? All foodstuffs and material are
donated and not one cent of cost is taken
off the sale price of these articles to defray
any expenses whatsoever. Surely he would
not put the province in the position of being
the only one to benefit from this sale, other
than the people in the developing countries
of the world?
Mr. Roy: How mean can one get? Has the
minister no heart?
An hon. member: How about the O^-mpic
lottery?
Mr. Speaker: Does the hon. minister wish
to comment or answer?
Mr. Good: Will he answer that? Mr.
Speaker, does the minister care to answer?
1256
ONTARIO LEGISLATURE
Hon. Mr* Meen: I have already answered
the question, Mr. Speaker.
Mr. Speaker: The member for Scarborough
Centre.
HEALTH DISCIPLINES ACT
Mr. F. Drea (Scarborough Centre): Mr.
Speaker, a question of the Minister of
Health: Is it correct that the new Health
Disciplines Act has altered the rights of
the members of the Christian Science
Church in respect to their use of prayer to
heal the ill?
Mr. Speaker: The hon. member should
realize that there is a bill on the order paper
and he caimot anticipate in any way the
provisions of that bill nor the debate on that
bill.
Mr. Drea: But it's there.
Mr. Speaker: A ruling was made to this
effect just a few days ago.
The member for Port Arthur.
BURNING OF WILDERNESS CABINS
Mr. J. F. Foulds (Port Arthur): A question
of the Provincial Secretary for Resources De-
velopment: Did the Resources Development
secretariat have any participation in and can
he explain the decision which has caused the
Ministry of Natural Resources to reinstitute
its policy of burning wilderness cabins in
northwestern Ontario without prior warning
to the owners of these cabins? Specifically, is
he aware of the ministry's justification? Has
his colleague made him aware of the justifica-
tion that the ministry used for going into the
business of arson and burning down a legiti-
mate mining claim cabin at Circle Lake on
Wednesday, March 13, and for threatening to
do the same to a cabin on Fallingsnow Lake?
Hon. Mr. Grossman: Mr. Speaker, that was
a long question and pretty detailed. I can tell
the hon. member, however, that during the
time I have been provincial secretary of this
field, the question has not been rererred to
the cabinet committee on resources develop-
ment. It may have been referred prior to my
term of office. I will look at the records and
find out if that is the case.
However, I would suggest the hon. mem-
ber probably would get a quicker reply by
asking the Minister of Natural Resources ( Mr.
Bernier), who will be back in the Legislature
on Thursday, than if he waited for me to go
into the records.
Quite frankly, however, I must tell the hon.
member I couldn't follow his question. It was
a pretty long one. I'll read it in Hansard.
Mr. Roy: That was a long answer.
Mr. Foulds: It's a matter of great public
importance.
Mr. Speaker: The hon. Minister of Trans-
portation and Communications has the answer
to a question asked previously, and then the
hon. member for Rainy River.
Mr. Roy: The minister has already made a
statement.
SHINING TREE PHONE SERVICE
Hon. Mr. Rhodes: Thank you, Mr. Speaker.
Some time back, the hon. member for Nickel
Belt (Mr. Laughren) asked me to look into
the situation in the community of Shining \
Tree, where there are commtmications diffi-
culties, and obviously the member and I have j
had communication difficulties as well. I
apologize for the delay, part of which is his ]
responsibility.
Mr. MacDonald: That is rather provocative.
Hon. Mr. Rhodes: Since the question was
asked, I have had an opportunity to discuss
the subject with the stafiF of the ministry, and
I find that not only are they aware of the
difficulties experienced in the community but
they have had telecommunications engineers
visit the community to determine what can
and should be done.
For the information of the other members 1
of the House, this is a community of approxi- |
mately 100 people on Highway 560 between |
Englehart and Gogama.
Mr. Martel: Don't call it a highway. It's a !
disgrace.
Hon. Mr. Rhodes: The community has been
without telephone service. Both Northern
Telephone and Ontario Northland are taking \
steps to ensure that this community's isolation
is ended.
There are several small communities such i
as Shining Tree in similar predicaments. The
ministry has been assessing their needs and
making recommendations to the carriers in-
volved to complete the telecommunications J
service. i
I would point out, however, that the pro- \
vision of service is costly for the companies, j
APRIL 23. 1974
1287
with little hope of major offsetting revenues.
For example, in that community of 100, I
understand it will cost at least $360,000 to
link Shining Tree to the Ontario Northland
long-distance network— and that is not allow-
»ing for inflation.
Following the question by the hon. member
and discussions with my staff, I have in-
structed that both the Ontario Northland
Transportation Commission and the provincial
regulatory body, the Ontario Telephone Serv-
ice Commission, should examine the situation
of Shining Tree to determine whether service
can be completed this year, knd I will be
glad to let the member know the results of
that examination.
Mr. Speaker: The member for Rainy River.
Mr. Mattel : Does the minister call that a
highway?
VIOLENCE IN AMATEUR HOCKEY
Mr. T. P. Reid (Rainy River): I have a
question of the Minister of Community and
Social Services, Mr. Speaker, with regard to
violence in the sport oi hockey.
I Is the minister aware that a young man was
I convicted today in a matter resulting from
hostilities in a hockey game and that there
has been a lot of violence connected with
the Junior B championship? Is the minister,
through his athletic commission or as a result
of his responsibilities, investigating this
matter? And does he have any programme to
try to reduce the kind of violence that does
go on in the game of hockey in the Province
of Ontario?
Hon. R. Brunelle ( Minister of Community
and Social Services): No, Mr. Speaker, I
read in the daily press the report of the case
referred to. The ^*^ole question of violence
in hockey is one that certainly merits looking
into, and I'd be glad to report on that at
some later time.
Mr. Reid: A supplementary: As a means of
restraining the kind of violence we've been
seeing, will the minister consider requiring
amateur hockey to adopt international rules,
which would cut down on the physical con-
tact in the sport?
Mr. Deans: Has the hon. member read
about the world hockey tournament?
Hon. Mr. Brunelle: I would be glad to
look into that suggestion, Mr. Speaker.
Mr. Speaker: The hon. member for Sud-
burv.
ADMISSION TESTS AT
CAMBRIAN COLLEGE
Mr. M. C. Germa (Sudbury): Mr. Spedcer.
a question of the Minister oJF CoUeget and
Universities: I would ask the minister if he
is prepared to issue a directive to Cambrian
College in Sudbury so that they will discon-
tinue using the services of Dent Plyclio-
metrical Services of Canton, Ohio, in oroer to
determine the admissibility of nursing students
to that college?
Hon. J. A. C. Auld (Minister of Colleges
and Universities): Mr. Speaker, I am not
aware of that specific instance. I know that
in a number of our post-secondary educa-
tional institutions-
Mr. Shulman: Practically all of them.
Hon. Mr. Auld: -US-established tests
have been used, mainlv because they are
used in a relatively small number of institu-
tions and the cost of establishing ones here
has been just too high. In fact, I know there
has been some discussion with the Canadian
federal university association in this coimec-
tion. I will look into the test the mem-
ber mentions and give a reply when I know
a little more about it.
Mr. Germa: A supplementary, Mr. Speaker:
Is the minister not aware that the community
college at North Bay and the community
college in Sault Ste. Marie are conducting
their own admission tests for the nursing
courses?
Hon. Mr. Auld: I am aware of that, Mr.
Speaker, and I understand that as part of the
general policy different institutions use a
different variety of tests and recommenda-
tions and so on. I will look into the case the
member mentions.
Mr. Speaker: The hon. member for Ottawa
East.
OTTAWA AREA LAND SCHEME
Mr. Roy: Mr. Speaker, I have a question
of the Minister of Housing and it deals with
the Marlborough and Huntley township land
scheme and the 1-ft strips which have been
ruled illegal by the Supreme Court of Ontario.
What has he done to protect the interests of
the people who bought properties from this
company? Secondly, nas ne investigated the
scheme in Huntley where 1-ft strips were trans-
ferred to the mtmicipal officials without the
1258
ONTARIO LEGISLATURE
municipal bflficials being aware of this? Has he
transferred this matter to the Attorney Gen-
eral to investigate this situation for possible
offences under the Criminal Code?
Hon. Mr. Handleman: Mr. Speaker, with
regard to Marlborough, which is now the
township of Rideau— I assume my friend is
aware of the municipal reorganizations which
have taken place there?
Mr. Roy: Let the minister just answer the
question; I know that.
Interjections by hon. members.
Hon. W- A. Stewart (Minister of Agricul-
ture and Food): Nobody would ever know—
Hon. Mr. Handleman: The entire matter
has been brought before the courts once again
by the regional municipality and while it is
before the courts my ministry and, I assume,
other ministries of the government v^U not
take any action. As far as Huntley is con-
cerned, the only thing there is that there
have been a number of allegations and a
number of claims. As far as my ministry is
concerned, it has not been brought officially
to our attention.
Mr. Roy: Mr. Speaker, if I might ask a
supplementary: Has the hon. minister inves-
tigated to see if this 1-ft strip scheme trans-
ferred to the municipality has been done in
other areas of the province? Is his reluctance
to look into and investigate this situation due
to the fact that his Conservative friends are
involved in the scheme and he doesn't want
to get them involved?
Hon. Mr. Grossman: That is another ques-
tion.
Interjections by hon. members.
Mr. Speaker: Order.
Hohi Mr. Handleman: Mr. Speaker, the
situation in Marlborough, of course, where
everybody is Conservative, involved only Con-
servatives. As the hon. member knows I was
one of those who came down hard and asked
my predecessor to issue a ministerial order.
The then parliamentary assistant recommend-
ed to the Treasurer (Mr. White) that this be
done and it was done. It was done at my
request regardless of the policies of the people
who wer6 concerned.
Mr. Roy: What about Huntley?
Mr. Speaker: The hon. member for Went-
worth.
WORKMEN'S COMPENSATION ]
BOARD PENSIONS
Mr. Deans: Mr. Speaker, I have a question
of the Minister of Labour. With the recog-
nition that the rising cost of living aflFects
everyone and that corporate profits are
thoroughly healthy at this point, is the Minis-
ter of Labour considering a revision of the
pensions under the Workmen's Compensation
Act to be effective during this session of
Parliament in order to avoid any further de-
preciation of the ability to purcnase of those !
people presendy in receipt?
Hon. F. Guindon (Minister of Labour): Yes,
Mr. Speaker. I think I already indicated to
the members of the House at one point or
another last spring, I believe, or last session-
Mr. Deans: Last fall. ^
Hon. Mr. Guindon: Last fall, right-that I \
would look into the benefits of the Workmen's i
Compensation Board. I haven't been sitting \
idly by. I have looked at them and I am just
about ready to make recommendation to gov- ^
emment; once they become government policy \
I will be glad to announce them.
iMr. Reid: A supplementary, Mr. Speaker: \
Among the recommendations the minister is \
making, will there be a recommendation for
an escalator clause with regard to inflation
for those pensions? i
Hon. Mr. Guindon: There are a number of
recommendations and I am not prepared at j
this time to tell the House what they are go- i
ing to be. I hope to make a statement before
too many weeks, let's say. ;
Mr. Speaker: The hon. member for Scar- ;
borough West with d supplementary.
Mr. Lewis: Irir his review of pension levels
could the minister make a special provision |
available to the hundreds of miners at Elliot j
Lake who are now seeking silicotic pensions, .
400 of whrnn from Denison and Rio Algom \
mines met last iiight to set out their health
and pension concerns and who are still on |
strike against Denison because of the safety
conditions and the pensions and all matters
related to that? ]
Hon. Mr. Guindon: I think in the past the ;
Workmen's Compensation Board has never i
excluded people. They have considered as
many injured workmen as possible. Although |
I cannot make a definite promise here today, \
I am sure they will look at it. i
APRIL 23. 1974
1250
Mr. Speaker: The hon. Minister of Coo-
sumer and Commercial Relations has the
answer to a question a^ed previously, and
Aen the hon. member for Windsor-Walker-
ville.
LOSSES FROM BROKEN LIQUOR CASES
Hon. Mr. Clement: Mr. Speaker, I refer to
a daily question asked of me yesterday from
my friend from High Park. The question was:
"Can the minister comment on the uniaue
packaging and cartage methods used by nis
department which resulted in 301 out of 319
cases that arrived at Freedkmd St. last Thurs-
day being smashed?"
Last Thursday the Liquor Control Board
did, in fact, receive a niunber of cases of
alcoholic beverages which were received in
a damaged condition. The member's informa-
tion is not totally accurate. The board did
receive this unsolicited shipment containing
299 cases, of which approximately 100 were
damaged in transit. The unsolicited shipment,
as I understand it, is a private order of which
the Liquor Control Board of Ontaiio had no
advance notice and the board is not respon-
sible or liable for any of the damage. Those
cases which were damaged have stickers on
them which were placed there by the airline
or air freight handlers indicating damage in
transit.
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): How much of it did
the member for High Park order?
Hon. Mr. Clement: The board has not
handled the merchandise but is awaiting the
attendance of a representative of the private
importer. That's the message for die day.
Hon. Mr. Rhodes: And let the member
bring his own straw.
Hon. Mr. Grossman: That one was all wet.
Itrterjections by hon. members.
FLOOD INSURANCE
Mr. B. Newman: Mr. Speaker, I have a
question of the Provincial Secretary for Re-
sources Development. Is the secretary, either
on his own or in co-operation with the federal
government, developing a policy of flood in-
surance for the affected landholders?
Mr. Roy: It's to the Provincial Secretary
for Resources Development. The member is
talking policy. The minister doesn't know
what the member is talking about.
Hon. Mr. Groamtnt I am tony, Mr.
Speaker, I thought it was directed to anodier
niinister.
Mr. Roy: Policy, what'* that?
Mr. B. Newman: If I may repeat, Mr.
Speaker, I have a question of the Provindal
Secretary for Resources Development Is the
provincial secretary developing, either on his
own— that is, through his own ministry— or in
co-operation with 3ie federal government . a
scheme of flood insurance that would protect
affected landholders?
Hon. Mr. Grossman: Mr. Speaker, at this
time I am not in a position to advise the
House on any matter of that nature. If, as
and when we come to a decision to take this
matter up, we will, of course, advise the
House when policy has been formed.
Hon. G. A. Kerr (Solicitor General): EMO
is the member's best insurance.
Mr. B. Newman: May we expect an ans\i'er
from the provincial secretary b«ore the House
adjourns for its siunmer recess?
Hon. Mr. Grossman: Mr. Speaker, if a de-
cision is made by that time.
Interjections by hon. members.
Mr. Speaker: The hon. member for Sand-
wich-Riverside.
Interjections by hon. members.
METHANE GAS
Mr. F. A. Burr (Sandwich-Riverside): Mr.
Speaker, I have a question of the Minister
of Energy. What has been the minister's
reaction, or the reaction of his advisers, to
the claim in the March issue of the American
Chemical Society's publication, Chem Tech»
to the e£Fect that a supply of natoral gas
can be assured forever through mass produc-
tion of various water and land plants, such
as algae and sorghum, and their conversion
into methane?
Interjections by hon. members.
Mr. Roy: Give the minister a glass of
water.
Hon. Mr. McKeough: Mr. Speaker, my
reaction, not having read the artide, ia nil.
The reaction of my advisers has not been
communicated to me, if they have read the
article. The closest I have come to this par-
ticular subject, if I may put it that way,
1260
ONTARIO LEGISLATURE
and \h»t may be a little indelicate, was a
very excellent paper delivered by, I think,
a civil servant or one on the staff of the
University of Guelph under my colleague,
the Minister of Agriculture and Food, on
this whole subject of the use of methane gas
at a ^eat conference sponsored by the Pro-
gressive Conservative women of this province
not long ago.
Interjections by hon. members.
Hon. Mr. McKeough: At that particular
conference a great number of things were
brought forward and, as I recall, the con-
clusion of that particular subject was that
the day of methane gas has not yet arrived.
Interjections by hon. members.
An hon. member: Are the Conservative
women bothered with gas?
Mr. Speaker; The time for oral questions
has expired.
I'm sure the hon. members will be in-
terested to learn that our new seating plans
are now available and will be distributed
shortly.
Petitions.
Presenting reports.
Motions.
Introduction of bills.
ONTARIO WATER RESOURCES ACT
Hon, W. Newman moves first reading of
bill intituled, An Act to amend the Ontario
Water Resources Act.
Motion agreed to; first reading of the bill.
Mr, Iloy: That's the greatest contribution
the. minister has made in the last year.
Hon. Mr. McKeough: And it's more than
the member will ever make.
Hon. W. Newman: Mr. Speaker, the first
purpose of this bill is to implement the
reorganization of the Ministry of the En-
vironment so that the powers under the Act
that were formerly exercised by the heads
of various branches of the ministry will be
exercised by one or more directors appointed
for that purpose by the minister.
An appointment may limit the authority
of any director in such manner as the min-
ister considers advisable so that the director
may be authorized to act only with respect
to a particular provision of the Act and only
for a specific region, of the province or for
a specified period of time. A transitional pro-
vision is designed to authorize the exercise
of powers by the directors appointed under
the new authority, and by the Treasurer
and minister where appropriate, during the
period of time from April 1 to the date
when royal assent is given the amendments
bringing them into force retroactively to
April 1, the date of the reorganization of the
ministry.
The amendments also provide that all re-
ceipts and expenditures of the province,
including payments by municipalities in
respect to projects, will be under the control
of the Treasurer rather than the minister.
Accounting with reject to these payments
will be carried out by the ministry.
The amendments permit sewage and water-
works projects under agreement entered into
alter April 1 to be financed by methods
other than the sinking fund method, which
was formerly compulsory. Moneys under proj-
ect agreements entered into before April 1,
1974, with respect to reserves and debt re-
tirement will no longer be treated as trust
funds under the control of an investment
committee and will be transferred to con-
solidated accounts in the consolidated revenue
fund.
Provision is made for the protection of the
employees of the ministry, members of the
hearing board and Crown employees involved
in ministry work who act in good faith, from
legal liability other than application for judi-
cial review to test the validity of their actions.
The liability of the Crown for the acts of
such employees remains.
Provision is made for the licensing of water-
works operators in addition to sewage works
operators. Provision is made to limit the lia-
bility of the ministry on inspections to the
liability on common law, that is for niegli-
gence, trespass or exceeding authority. The
present statutory liability imposed by the Act
is unlimited.
The ofFence of making a false statement to
a minister or a director is extended to cover
false statements made to any employee of the
ministry. The offence is limited in that it only
applies to false statements which are made
knowingly.
MINISTRY OF HOUSING ACT
Hon. Mr. Handleman moves first reading
of bill intituled. An Act to amend the Ministry
of Housing Act, 1973.
APRIL 23. 1974
1261
Motion agreed to; first reading of the bill.
Hon. Mr. Handleman: Mr. Speaker, section
7 of the Ministry of Housing Act calls upon
the minister or the deputy minister to make
recommendations to the government of On-
tario in resi>ect of housing policies and ob-
jectives and the co-ordination thereof. How-
ever, as the Act stands there is no provision
for the implementation of these recommenda-
tions. The purpose of the new section 7(a)
is to provide authority for such implementa-
tion.
ENVIRONMENTAL PROTECTION ACT
Hon. W. Newman moves first reading of
bill intituled, An Act to amend the Environ-
mental Protection Act, 1971.
Motion agreed to; first reading of the bill.
Hon. W. Newman: Mr. Speaker, the amend-
ments are made to facilitate the reorganiza-
tion of the ministry similar to the changes
made in the Ontario Water Resources Amend-
ment Act.
Similar changes are made with respect to
the Treasurer having control of all moneys
received and disbursed, to limit the liability
of employees of the ministry, members of the
board under the Act, and Crown employees
involved in ministry work, who act in good
faith, to limit the liability of the ministry on
inspections and to change the provisions with
respect to the oflFence of making a false
statement.
Mr. R. Haggerty (Welland South): What
happened to noise regulations?
PVBLIC HOSPITALS ACT
Mr. Roy moves first reading of bill intitul-
ed. An Act to amend the Public Hospitals
Act.
Motion agreed to; first reading of the bill.
Mr. Roy: Mr. Speaker, the purpose of this
legislation is to amend the Public Hospitals
Act to allow enforcement of a decision by the
Ontario Hospital Appeal Board pending any
further appeal.
A case in point, Mr. Speaker, is the case of
Dr. Martin Schiller, who was given a favour-
able ruling by the Ontario Hospital Appeal
Board, and the hospital frustrated the ruling
in the sense that it went on to appeal and
did not implement the ruling of the Ontario
Hospital Appeal Board.
The purpose of this kgisUtkm, Mr. Spetk-
er, ia to make the board's dedskm enforoeable
during an appeal and, secondly, to make the
appeal directly to the Court of Appeal to
avoid too many interim appeals.
PESTICIDES ACT
Hon. W. Newman moves first reading of
bill intituled. An Act to amend the Pesticides
Act, 1973.
Motion agreed to; first reading of the bill.
Hon. W. Newman: Mr. Speaker, amend-
ments are made to facilitate the reorganiza-
tion of the ministry similar to changes made
in the Ontario Water Resources Amendment
Act, but as a new Pesticides Act does not
come into force until proclamation, the
amendments are not retroactive and will come
into force in June at the same time that it is
intended to bring the Act into force.
Changes are similar to those in the Ontario
Water Resources Amendment Act and the
Environment Protection Amendment Act and
are for the purpose of providing that all
receipts and disbursements are under the
control of the Treasurer for the protection
of the employees of the ministry. Members of
the board under the Act and Crown em-
ployees involved in ministry work who act
in good faith; and for limiting the liability
of the ministry on inspections, aiid for chang-
ing the provisions with respect to the offence
of making a false statement.
RENT CONTROL AND
SECURITY OF TENURE ACT
Mr. Cassidy moves first reading of bill in-
tituled. An Act to provide for Rent Control
and Security of Tenure.
Motion agreed to; first reading of the bill.
Mr. M. Cassidy (Ottawa Centre): Mr.
Speaker, this bill was introduced in June of
last year in the previous session. Tm reintro-
ducing it at a time when the need for rent
regulation in the province, and partictdarly
in our major cities, is even more pressing
than it was at that time.
The city of Toronto has just asked the
province to move with emergency legisla-
tion. The mayor of North York, not noted as
a radical, has made a similar request, and
the demands are coming in from across the
province from tenants who are being vic-
timized and exploited by their landlords.
1262
ONTARIO LEGISLATURE
The bill would establish a landlord and
tenant tribunal and a system of rent oflBcers
in major cities. It would establish guidelines
under which rents would be determined.
Hopefully, the rents would continue to be
made between landlord and tenant.
The principle would be that rent increases
from a base of I>ecember, 1972, would only
be justified in relation to increasing costs and
not in relation to the speculative and exploi-
tative factors which have been permitted by
the government.
Mr. Foulds: And even encouraged by it.
Mrs. Campbell: Mr. Speaker, I rise at this
time on a point of order. Yesterday, during
the estimates of the Attorney General (Mr.
Welch), the committee sat for almost half an
hour, unable to have a quorum, because there
wasn't one Conservative member of that
committee present-
Mr. Cassidy: Shame.
Mr. Roy; Shame.
Mrs. Campbell: —save and except for the
chairman and the minister. At the conclusion
of the vote, we were in the same position
and we waited for another half an hour. We
did have some discussion but, again, there
wasn't one Conservative member on that com-
mittee.
Mr. Roy: Terrible.
Mrs. Campbell: Mr. Speaker, this frustrates
the work of this Legislature, and if this gov-
ernment is permitted to show its contempt
for the legislative process in this way-
Mr. Roy: Right.
Mrs. Campbell: — having been provided
with extra whips to get meir members to
order-
Mr. Singer: Five of them are paid.
Mrs. Campbell: —we are not going to be
able to continue to function adequately as an
opposition in reviewing the estimates. I would
demand, at this time, Mr. Speaker-
Mr. Speaker: Order, please. The hon. mem-
ber has made the point she wished to make,
and I would say it is not a point of order at
all.
Mr. Singer: And made it well.
Mr. R. F. Ruston (Essex-Kent): It is a good
point.
Mr. Speaker: It's not a point of order.
There is nothing in our standing orders pro-
viding for any such programme or procedure.
I think there are other means by which the
hon. member might achieve her purpose.
Mr. Cassidy: It affects the privileges of this
House, Mr. Speaker.
Mr. Speaker: Out of courtesy to the hon.
member, I have permitted her to continue,
even though I knew full well— and Tm sure
she did, too— that it was not a point of order.
Mr. Roy: They should be ashamed over
there.
Hon. Mr. Winkler: Mr. Speaker, before
you call the orders of the dav I would like
to inform the members of tne House that
due to circumstances beyond the control of
the Minister of Revenue, he will not be able
to be with us this evening. I just want to say
that in the event we do not finish Bill 26 in
committee of the whole House, at 8 o'clock
we will proceed to item No. 6 on the order
paper.
Mr. Roy: At what time?
Hon. Mr. Winkler: Eight.
Mr. B. Gilbertson (Algoma): Mr. Speaker,
before the orders of the day, I would Iflce to
announce to the hon. members that tiie page-
boys and girls are going to distribute some
maple sugar to every member's desk, with the
compliments of the Ontario maple syrup pro-
ducers.
Mr. Roy: Good for you.
Mr. Cassidy: This is the finest moment in
our year.
Mr. Speaker: I might say there is nothing
in our standing orders to permit tfiat, but I
think it's quite in order.
Hon. Mr. Winkler: The only perks that are
left.
Mr. Speaker: Orders of the day.
Clerk of the House: The second order,
House in committee of the whole.
LAND TRANSFER TAX ACT
House in committee on Bill 26, the Land
Transfer Tax Act.
Mr. J. R. Breithaupt (Kitchener): Perhaps
the minister would outline for us the sections
which he may be amending, if there are any
APRIL 23, 1974
1263
amendments, so that anv remarks we may
have to make could possibly be foreshortened
as a result?
Hon. A. K. Meen (Minister of Revenue):
I'd be pleased to do so, Mr. Chairman; I
had already indicated to you on second read-
ing that I would have amendments to section
1, and I've got one. Let me just make sure
I've got this right; section 1, sub (1), sub
(f), sub (ii) is the way I described it. That
is the section dealing with identification of
non-residency, one of the criteria for identify-
ing the non-resident corporations.
I will also have a further amendment to
section 1, by the addition of a clause, sub-
clause 3, which will provide a definition of
"ordinarily resident." This is a definition
which hon. members may have noticed was
conspicuous by its absence by omission from
my earlier bill.
Mr. M. Cassidy (Ottawa Centre): I
couldn't sleep last night because of its
absence.
Hon. Mr. Meen: I'm sure you must have
had some reason for lying awake wondering
about this bill. I will have an amendment on
section 6, subsection ( 1 ) . On section 9, I
will have a small housekeeping amendment-
typographical correction actuaUy— and I will
aJso have small amendments to section 15
and to section 18.
Mr. Breithaupt: Mr. Chairman, perhaps the
minister could place his amendment to section
1; and once that amendment is put there may
be some general comments that could be
made to that particular section. Would that
be convenient?
Hon. Mr. Meen: Mr. Chairman, that is
perfectly satisfactory to me, if the hon. mem-
bers recognize I still have a second amend-
ment to section 1, subsection (2).
On that basis, Mr. Chairman, I believe that
copies of my proposed amendments are not
only in your hands but also in the hands of
the hon. members opposite who will be par-
ticipating in this debate. There are extra
copies available. I see that my deputy has
them and he will see that you get copies.
Mr. Chairman: Maybe the pages could give
them out after this amendment.
Mr. Breithaupt: While that is being dis-
tributed, Mr. Chairman, perhaps I might just
make a comment on the first subsection, item
(b), the definition of the word "convey".
I was interested in some of the comments
that were made earlier on in general discus-
sion on second reading with resx>ect to the
matter of mortgages. Now the hon. minister
will recall that the point was raised concern-
ing the possibility that matters would be up-
set if mortgages were placed on properties and
then final orders of foreclosure, ii such should
happen, would bring certain problems with
respect to conveyance.
In subsection (c) the minister does refer,
under the definition of the word "convey-
ance", that it includes not only the usual
deed but also "a final order of foreclosure." I
presume that since a mortgage is technically a
conveyance, subject to a return of the fee
on discharge of the mortgage, that we should
have, for perhaps a more general knowledge
of this situation, an amendment or an in-
clusion in the definition of the word "convey"
that would include the mortgaging aspects.
'I presume it is the minister's intention to
include that aspect; and perhaps we coiJd
have a comment as to how he sees the prob-
lem being resolved if an amendment is not
considered to be required.
Hon. Mr. Meen: Mr. Chairman, it was our
opinion that the term "convey" was su£B-
ciently broad to cover the grant of a mort-
gage; recognizing, too, that in land titles a
mortgage is a charge and is not a convejance.
We therefore have not specifically referred to
mortgage in the definition of conveyance"
but of the transitive verb "convey." But when
you get to conveyance, then we have defined
it as including a mortgage or charge.
That's the reason, as I understand it, for
the somewhat broader, and it looks like rather
awkward, wording in the defim'tion of "con-
vey." It is in order to catch all the areas that
might affect the release of any interest in
land, a quit claim and all the other manners
of the transfer of a fee. Gwiveyance then
goes further to include, as indicated, the
registration of a final order of foreclosure. If
that is satisfactory to the member for
Kitchener, perhaps I would now introduce
copies of these proposed amendments so he
will have copies of them, and the hon. mem-
ber for Ottawa Centre as well.
Mr. Chairman: Is it the proposed amend-
ment to section 1 you are talking about now?
To clause (f)?
Hon. Mr. Meen: To section 1, Mr. Chair-
man.
Hon. Mr. Meen moves that subclause (ii) of
clause (f) of subsection (1) of section 1 of the
bill be amended by adding at the end thereof:
But this subclause does not applv where it
is established to the satisfaction of the minister
1264
ONTARIO LEGISLATURE
that such individual or corporation does not,
in fact, exercise control directly or indirectly
over the corporation that has issued or
allotted to such individual or corporation
shares to which are attached 25 per cent or
more of the voting rights ordinarily exercis-
able at meetings of the shareholders of the
corporation.
Mr. Chaiiman: The hon. member for
Kitchener.
Mr. J. A, Renwidc (Riverdale): Mr. Chair-
man, if my friend would agree, just before
we get to that particular subsection of the
bill, I notice, in looking at the existing Land
Transfer Tax Act and subclause (b) of clause
(1) of section 1 of the Act, you are now pro-
posing to include a lease as a taxable convey-
ance. That is not now presently contained. I
noticed Mr. Chairman, in the notice issued
by the minister with respect to the proposed
changes, that he does propose to exempt a
lease for a term of not more than 10 years. I
am curious as to the reason the lease is to be
included as such as document and why there
was the selection of the more or less arbitrary
term of 10 years as the definitive period of
time within which no tax will be levied; and
whether or not the same purpose is likely to
be accomplished by a continuing right of
renewal if the concern and fear of the minis-
ter is for long-term leases to become a normal
method of conveying property in Ontario?
Hon. Mr. Meen: Mr. Chairman, a con-
tinuing right of renewal would not be
acceptable within the ambit of the proposed
regulation which would nail this down to
10 years. What I have in mind in endeavour-
ing to enforce this provision is that a lease
must be registered if it is for a period, in-
cluding any terms of renewal, beyond seven
years. If I understand the member cor-
rectly, what he is saying is that if you had
a lease for 10 years with a right of renewal,
for say a further five years and a further
five years after that, you are really getting
to a 15 or a 20-year term unless there are
other options open to the lessor, as to say
the amount of rental to be charged or some-
thing of that sort; giving, in effect, the
tenant the first right of refusal but not really
an absolute right to renew.
If he has an absolute right to renew then
we would consider that a lease having a
longer term than the first 10-year period
and would, in fact, look at the total period
for which he had an absolute right to re-
new. If you have a period very much longer
than 10 years it is possible for the purchaser
—the lessee in this case— to treat his improve-
ments on the property as though they were
capital. So we looked at this in an eflFort
to have it as short as possible so that he
couldn't acquire by the backdoor what we
won't let him do by the front door without
paying the non-resident tax, and yet have
something that was enforceable by way of
our being able to look at the title and
through our registry o£Bce procedure be
able to keep track of these conveyances, by
way of lease or otherwise, which will come
to our attention through the mechanism of
the registry oflBce.
Therefore, although 10 years looks
arbitrary, it is as short as we could make
it. I suppose, in theory, one could make it
seven years; but in making it 10 years it
looks like a reasonably practical period, hav-
ing regard for the capital aspect of the ac-
quisition by the non-resident.
Mr. Renwick: Mr. Chairman, I assimie
the minister will have that authority under
item (a) of subsection (2) of section 18 with
respect to the making of regulations.
Hon. Mr. Meen: Yes.
Mr. Renwick: I gather that's the particular
clause of the regulatory power that he in-
tends to use for that purpose. He can speak,
perhaps, when we come to that section,
about the adequacy of it.
The other clause in item (b) which con-
cerns me is the clause which states:
. . . whether the effect of any of the
foregoing is to bring into existence an
interest of any kind in land . . .
That's quite aU right, but the part which
concerns me is the next part:
... or is only for the purpose of giving
effect to or fonnal recognition to any
interest of whatsoever kind that there-
tofore existed in land . . .
It would appear to me that if, in fact, there
is an interest in land and this particular
docmnent is only for the purpose of for-
mal recognition, there should be some way
of exempting it.
I would ask the minister two questions.
Does he intend to exempt it? Secondly, can
he give me an example of the kind of docu-
ment that would be included in that clause
with respect to "for the purpose of giving
effect to or formal recognition of any interest
whatsoever?"
Hon. Mr. Meen: Mr. Chairman, I believe,
but I will ask my advisers if they can assist
me in providing an illustration or two for
the benefit of hon. members, that this is
APRIL 23, 1974
1165
intended to catch some of the less definitive
kinds of interests— an interest in reversion,
possibly interest through an estate and
various undefined ways in which there might
be an interest by agreement, unregistered
or otherwise, on the title.
I'm not satisfied in that answer myself,
so I will ask them if they can provide to
me., to be conveyed to the members, some
more comprehensive answer to that rather
sophisticated question.
Mr. Renwick: It may have been a
sophisticated question. It was asked out of
sheer ignorance of what it was intended to
cover.
Mr. Chairman, I have a further item in
connection with the definition of land in the
Act. In the existing Act the word "land" is
defined to include tenements, realty, fixtures
and goodwill. I notice that in the main part
of the section there is no reference to the
word "fixtures." I see there is a reference
qualifving the word "goodwill." I'm curious,
though, as to whether or not the term "lands,
tenements, and hereditaments and any estate,
right or interest therein, a leasehold interest
or estate, the interest or an optionee, the
interest of a purchaser," in fact, picks up the
term "fixture.
It is quite obvious that the following part
of it— "goodwill attributable to the location
of land or to the existence thereon of any
building or fixture and fixtures"— leads me to
wonder whether that last clause, "and fix-
tures," covers the point that I am trying to
make as to whether or not there is an in-
advertent omission of the word "fixtures" in
the early part of the definition.
Hon. Mr. Meen: Does the hon. member
mean in the earlier Act?
Mr. Renwick: Whether it shouldn't read,
"including lands, tenements, hereditaments,
and fixtures and any estate, right, title or
interest therein." It is a pretty technical
matter but—
Mr. Chairman: Before the minister answers,
I should ask if anyone else wants to speak
on clause (b) before it is carried and we
move on. Did the hon. member for Kitchener
want to speak on clause (b)?
Mr. Breithaupt: Not at this point, Mr.
Chairman. I have been waiting my turn.
Mr. Chairman: On clause (b)?
Mr. Breithaupt: Well on section 1 in gen-
eral.
Mr. Cassidy: I have a number of points,
Mr. Chairman, on clause (d).
Mr. Breithaupt: Before we deal with the
entire subsection (1), there are various points
on definition, and perhaps if hon. member*
may refer to any of the items within sub-
clause (1), the interpretation clause, this may
be a way of —
Mr. Chairman} Well we could dttU with
(a), (b), (c) and (d) with reference to the
amendment and go backwards and forwards
on it.
Mr. Breithaupt: It is pretty difficult other-
wise.
Hon. Mr. Meen: Perhaps at this point,
then, I might just try to answer the hon.
member for Riverdale; and then if the other
hon. members want me to go back over this
area we can.
The hon. member was asking about the
definition of land. The last words in the
section, "and fixtures"— and the hon. member
for Riverdale isn't listening at the moment,
but this is expressly for his benefit— the words
"and fixtures moaify the entire clause.
Mr. Renwick: Thank you, Mr. Chairman.
Hon. Mr. Meen: This is actually a clarifi-
cation of the earlier section— to which the
hon. member for Riverdale referred— particu-
larly as regards goodwill attributable to loca-
tion, which has not been spelled out. A
geographic location of a lot may be somewhat
different because of its potential for develop-
ment for some other use, but we have elao-
orated somewhat on this definition.
Mr. Breithaupt: Just to complete one p<^t
that was referred to earlier by the hon.
member for Riverdale, Mr. Chairman, and
that is the matter dealing with the situation
of the leasing on the 10-year term.
Would it be the intention of the minJstry,
then, to keep some sort of record in the
registry ofiices of leases that did have various
options of renewal? The reason I am asking
that is of course because the right to renewu
may be based upon various tax adjustments
or other items tnat might not in efiPect be
seen as an absolute right to renew but rather
a discretionary one on the lessee.
I am thinking that if that is the case the
burden, while it is possibly not a very heavy
one and will be readily accepted by the
lessee, still it could be seen to be a burden
which he might not choose to accept; and
as a result might not be as carefully watched
as would be the case with what would seem
1266
ONTARIO LEGISLATURE
to be a stronger right to renew without any
condition.
The question, if I am making myself at all
clear, is that if there is a condition which
will no doubt be readily accepted, are you
going to keep some sort of a record to see if
in fact these leases are renewed? Or would
you— and I think it would be more practical-
make a value judgment right at the time to
avoid all- the traditional paper work or sub-
jective decisions? So that once the lease was
proferred for registration, the decision would
be made and I think you would save yourself
some particular problems.
Hon. Mr. Meen: Mr. Chairman, we haven't
completed the regulation yet, as I am sure the
hon. members can appreciate. But I do ex-
pect that we would make the value judgement
at the time of registration of the initial lease-
is it an absolute term, are there absolute
rights of renewal, are they subject to negotia-
tion of certain terms at that time.
It seems to me, though I am thinking out
loud as I go, that if with the lessee there are
certain options, then he really is acquiring at
that time a right to go forward even if he
doesn't exercise that right at a later time. So
if he has a fixed 10-year term or some term,
which coupled with an absolute right of
renewal would carry him beyond the total
right of occupancy, in excess of 10 years, I
think we would make the assessment at that
time that he had in fact acquired it by way
of a conveyance within the definition of sub-
clause (b).
Mr. Breithaupt: I think the minister would
agree there could well be various terms put
into an option to renew that might seem
onerous, but in fact could be terms of straw
which would be another way of attempting to
avoid what the minister is attempting to
accomplish.
Him* Mr. Meen: Yes. Before we get away
from subclause (b), Mr. Chairman, my
deputy tells me that one of the questions
under conveyance, if I can read his notes, is
that sometimes if there is no consideration,
let's say if there is no tax, the court of appeal,
he has pointed out, has suggested that an
equitable interest in land can arise with the
execution of an offer. I guess I should have
remembered that from my conveyancing days.
Yoii can assign an offer and with the assign-
ment of an offer there is a transferral of the
equitable interest. That's the kind of thing
we are trying to get at; where people, I think
I ain right on this, maybe trade in offers-
submitting an offer with a small down pay-
ment at a later time and transferring that
offer, or assigning the offer rather than assign-
ing the deed. That would be picked up by
this very broad and esoteric description or
definition of the term "convey".
Mr. Breithaupt: Presumably you are going
to have as well the opportunity of vetting any
of the various kinds of documents which
might otherwise be deposited on titles as
clouds on title? Such as—
Hon. Mr. Meen: Yes, the assignment of an
agreement.
Mr. Breithaupt: The assignment of an
agreement as well.
Hon. Mr. Meen: Yes, we would.
Mr. Renwick: I take it, Mr. Chairman, that
in that situation— if for example a person takes
an option and registers the option and in due
course exercises the option— you would have
to exempt the second step if the tax was
paid at the time of the registration of the
option because the option is included? Would
I be correct in that assumption?
Hon. Mr. Meen: I believe so, Mr. Chair-
man. The intention is not to tax twice on the
same agreement, on the same transfer of the
fee. If the tax was extracted at the registra-
tion of the option, of course, it would not be
extracted again when the option was exercised.
Mr. Breithaupt: This would be the normal
circumstance of any transfer in trust?
Hon. Mr. Meen: Yes.
Mr. Renwick: My concern is that you care-
fully spelled out the fact that if land is reg-
isterable in more than one land registry oflBce
the tax is only payable once. But I question
whether at some point there shouldn't be a
statement in here that you can only be taxed
once on one conveyance, rather than leave it
to be dealt with solely in the regulations.
Mr. Chairman: The hon. member for
Ottawa Centre.
Mr. Cassidy: Mr. Chairman, I have felt a
bit crowded aside by these lawyers who have
been working on the bill. I have two or three
general questions I wanted to raise with the
minister which hearken back, perhaps, a bit
more to our debate on the bill yesterday,
although I have some points which may be
as fine as those the member for Kitchener
and the member for Riverdale have been rais-
ing.
APRIL 23, 1074
1207
The first question is does the minister know
and can he give us any idea of what kind of
situation we are dealing with here? Can he
give us a general idea of the value last year
and the estimated value this year of property
transactions in the province?
Mr. Chairman: I think the hon. member
will have to speak to the section of the bill.
Hon. Mr. Meen: That has nothing to do
with these sections.
Mr. Cassidy: Mr. Chairman, it is traditional,
I believe, that these more general questions
about a bill are raised at the outset. If the
minister wishes I can raise them at other
points but it seems sensible to get them
through at this particular point.
Mr. Chairman: It isn't appropriate at this
time anyway because it's not in the sections
that we are dealing with.
Mr. Cassidy: Mr. Chairman, the point I
wanted to follow up with was to ask the
minister what is the estimated value of the
transactions he expects to be dealing with?
What would have been that value according
to his oflBciak if there had been no tax levied?
How has that changed over time?
Hon. Mr. Meen: Mr. Chairman, this is not
intended as a tax-raising bill. The Land
Transfer Tax Act, specifically in reference to
non-residents— the element which is attracting
all the attention in the debate of course-is
not intended as a tax- raising measure.
Il, in my ministrv, have no idea what kind
of money this will raise, because we expect
it to be a deterrent on foreign investment in
real estate, and therefore I am not in a posi-
tion to estimate. Of course we have no records
of this in the past, because the identification
as to whether purchasers were residents or
non-residents was never a requirement of any
of our registry oflBce procedures. Ergo, we
have no record of that sort of thing.
While I am on my feet, perhaps I could
clarify, the point made by the hon. member
for Riverdale and the hon. member for
Kitchener. As I say, it is not intended to tax
twice. My legal counsel point out to me that
the tax that would be paid on the registration
of the option would be based on the con-
sideration paid for the option. Then, when
eventually the option is exercised, the tax
that would be charged would be tax based on
the consideration paid on the exercise. So in
the end result you have not taxed twice,
there have been two pieces of tax paid.
Mr. Caatidyx I would like to punue this
point, Mr. Chairman. The Treasurer (Mr.
White), in his budget, estimated that the land
transfer tax that—
Mr. Chairman: Well, we are not really deal-
ing with the tax. You are out of order as far
as dealing with the bill before us is con-
cerned.
Mr. Cassidy: At some point it is
Mr. Chairman, that the House-
Mr. Chairman: You had an opportunity to
deal with this on second reading.
Mr. Cassidy: The questions were posed, but
the way the debate works the minister did
not answer the questions whidi were posed
at that time. I will pose them at a further
clause in the bill, but it is reasonable to raise
it now to get the perspective on the bill and
then to talk-
Mr. Chairman: As I say, you are out of
order as far as dealing with clause 1 of this
bill is concerned.
Mr. Cassidy: Thank you, Mr. Chairman.
The second point I wish to raise-
Mr. Chairman: If the ministCT wishes to
answer you, why I will concede to the minis-
ter's wishes.
An hon. member: There's no answer.
Mr. Chairman: I don't think there is »n
answer for you.
Mr. Cassidy: On a point of order, Mr.
Chairman: Can the chairman kindly tell me
when questions like this which are relevant
to legislation, tax legislation in particular, are
to be raised?
Mr. Chairman: Yes; on second reading.
The question you are asking at the present
time could have been very well ra^ed at
second reading of the bill.
Mr. Cassidy: It was raised, Mr. Chairman,
on the point of order, but when is one to get
answers? That is normally done during the
question and answer that is permitted under
committee stage of the House. It seems to me,
Mr. Chairman, that to rule these things out of
order is not allowing the committee stage to
follow its normal course.
Hon. Mr. Meen: Ask him where he was
when I was replying on second reading?
Mr. Ren wick: If I may just speak on that
point of order, Mr. Chairman, I would sug-
gest the questions raised by my colleague,
1268
ONTARIO LEGISLATURE
the member for Ottawa Centre, would be
appropriately and properly raised when we
come to those two taxing subsections of sec-
tion 2, which are of course where the tax is
levied and where it would appear to me,
Mr. Chairman, that questions with respect
to the extent of the tax and how much the
minister anticipates raising would be very
relevant to the clause by clause discussion of
the bill.
Mr. Chairman: It could very well be, but
I said it was out of order to deal with it on
clause 1. One part here may be in order.
Mr. Cassidy: Thank you, Mr. Chairman.
The second point I wanted to raise— I will
try to be general at this point; however, bear-
ing in mind your approach, Mr. Chairman, it
may be necessary to raise this throughout the
bill— can the minister comment on two or
three apparently large loopholes which have
been suggested in the bill, as to whether the
ministry has taken account of them and what
it intends to do with them?
The two that come most to my mind,
which are apparently legal, are the ones
raised by the member for High Park (Mr.
Shulman) and a loophole which would be
involved in evading the tax through the use
of options.
As the minister knows, options for example
can be bought, for let's say 10 per cent of
the market value of a property. Subsequently
they might be sold a year or two later on a
speculative market and the capital apprecia-
tion in the value of the property would all
attach to the option. Therefore, for the sake
of argument, a $10,000 option on a $100,000
property might be sold a year or so later for
$50,000 or $100,000; and the onlv deterrent
to the foreign speculator would be to have
to pay 20 per cent of the value of the option,
which would be about two per cent of the
value of the property— a far cry from having
to pay 20 per cent of the value of the prop-
erty.
The other approach which was suggested
by the member for High Park, was in effect
this capitalization. I have a couple of amend-
ments to suggest on that point later on in
this section. This would be where the voting
control of a corporation was held by Cana-
dians, but where the preferred shares were
held by foreigners and the voting control was
handed to trustworthy Canadians who could
be counted upon not to violate the interests
of the majority of the shareholders, although
those shareholders would not have voting
rights.
It could possibly be accompanied by a
provision, which I think is not abnormal, that
would give the preferred shareholders the
power to seek to wind up the company in
case they grew to be unhappy with the way
in which it was being managed. They would
not be able to influence the decision-making
of the company in any legal way, but they
would be able to wind it up upon a certain
application.
Those are two possible loopholes which, it
seems to me, would permit either evasion of
most of the tax or, in the case of the thinly
capitalized company with a very small pro-
portion of its issued capital in voting shares,
would permit complete evasion of this par-
ticular tax.
Hon. Mr. Meen: May I ask one point of
clarification at this point, Mr. Chairman?
Are we now into section 1(1 )(f), which deals
with the definition of a non-resident corpora-
tion? It was with respect to that section that
the hon. member for High Park raised the
points on which the member for Ottawa
Centre is talking. Have we gone on to that
part of the Act?
Mr. Chairman: I will find out.
Mr. Cassidy: I appreciate the interest of
the minister in trying to sort of tick off the
subclauses one by one. I believe the ques-
tion about options probably would come
under section l(l)(b); apart from that, I'm
quite ready to go on to section l(l)(f).
Hon. Mr. Meen: Section l(l)(b) then, of
course, would pick up the term "convey."
If an option is registered then we have
some notice of it, and the nature of resi-
dency or non-residency of the optionee or
other parties to the contract would then
come to our attention. And the trading in
those options would be subject to the tax
in the normal fashion as a conveyance.
If they aren't registered and they are
traded as paper without being registered, I
suppose it is possible to avoid the tax, be-
cause at the moment we have no particular
mechanism available. We may be able to
develop something in the future, but I don't
picture anything at the moment, other than
the mechanism through the registry ofiice
procedure and the affidavits required by the
Act, to identify the residency of the grantee,
optionee, lessee or whatever in the regis-
tered document.
The other point raised by the member for
Ottawa Centre was the matter mentioned
on Monday by his colleague from High Park.
APRIL 23, 1974
1269
The kind of company which his colleague
suggested, in which the class A shares would
be entitled to all the benefits of profit in the
corporation, but where there would be com-
mon shares with exclusive voting rights—
the class A having no voting rights under
that proposal, as I recall the suggestion of
the hon. member for High Park— would in
fact leave control still in Canadian hands.
The question is, are we trying to cut
out all foreign investment or are we simply
seeking to cut out foreign control of our
real estate? What we are really getting at
here is foreign control of real estate. So if
foreign moneys see fit to be planted in a
corporation here, in which they in fact do
not have control and in fact the control still
resides with Ontario citizens, then we have
still met the criteria we are trying to estab-
lish by retaining the control of our land in
Canadian hands.
If we are talking about equity investments,
those moneys might go into other stocks
and shares in other companies in a similar
kind of interest. Are we talking about bene-
Kcml ownership? If that's the case, what
are we talking about in terms of normal
in\estments in the case of mortgage and
bond investments without control over the
destiny of the company any more than those
class A shares in the example given by the
hon. member for High Park?
Really, although he called it a loophole,
it is one facet of the operation in which
foreign money may come in if it wants to.
But it will come in under circumstances in
which it does not have contrcJ over our real
estate.
Mr. Breithaupt: Mr. Chairman-
Mr. Cassidy: Could I follow that up for
a minute? I really find it quite stupervdous,
what the minister has said. I want to put
on the record the proposal of the member
for High Park, which his lawyer told him
was perfectly legal.
Hon. Mr. Meen: It's already on the record.
Mr. Cassidy: All right, and which the
minister now says is legal as well. In a
company which has 1,000 common shares
with the par value of $1 apiece and 999,000
class A shares, preferred shares, with the
par value of $1 apiece, the common and
the A shares share equally in any profits,
dividends, proceeds, capital gains and so
forth of the corporation. Voting control is
in the common shares which are held by
Canadians, or most of which are held by
Canadians, who simply act in a prudent
manner but in effect are investing the
$999,000 worth of share capiUl which has
oome in from abroad.
That is not going to trouble In any way
any investors from Switzerland or Hong
Kong or the United States or other people
who have found all sorts of reasons for com-
ing into this country. What the minister is
outlining is a perfectly legal way by which
they can come in and continue to do what
they have been doing. What he is therefore
saying, is that apart from the Detroit auto
workei who will find it more di£Bcult to
buy a cottage along the St. CUlr River,
there is no effective deterrent in this 20 per
cent tax to foreign money coming into
Ontario real estate. This is why the ques-
tions which ni raise later about the values
which are affected are very important, be-
cause if what he's saying is a wide-open
loophole to anybody, then why have the
tax at all? It is not an effective tax. unless
I've grossly misunderstood the minister.
Hon. Mr. Meen: We can debate this thing,
I suppose, until the cows come home, but the
fact is that what we're trying to get at is
some handle on foreign control of our real
estate.
Following the observations made by the
hon. member for High Park yesterday I ob-
served that we might want one day, and
maybe not before very long either, to take
a look at the element of beneficial owner-
ship, the true beneficial ownership. I'm not
suggesting that it's a legitimate loophole;
I'm suggesting that that's one medianism
which on its face could look that way.
If in fact, however, those wealthy people
over in Switzerland or West Cermany or
Hong Kong, or wherever the money is com-
ing from into the class "A" shares, are telling
the Toronto-based management firm which is
holding the common voting shares what they
want done with the company which they, the
non-residents, really own because they have
that beneficial ownership, then it's a very
good question, say my legal advisers, as to
whether they are not controlling the corpora-
tion. Whether the de facto control is in the
hands of non-residents might well be held to
be the case, even if on the surface the patent
control were in the hands of a few common
shareholders who are managing the corpora-
tion.
If they wish to try it, I suppose one might
say: "Be my guest." That's the approach we're
taking right now, concerning the basic ele-
ment of control, while at the same time
having an eagle eye out, alerted, as others
1270
ONTARIO LEGISLATURE
have also alerted me before the member for
High Park for that matter, to this kind of
potential sway, or as some have described it,
a loophole in the Act.
I have yet to see one that really is one. I
think they're the figment of some people's
imagination. By the time we have issued our
body of regulations with definitions, by the
time we have worked our way through the
Act with the amendments which I will be
proposing, I would hope that we have an Act
that is not fraught with difficulties. I don't for
one minute minimize the possibility of loop-
holes being discovered by clever tax lawyers,
by clever chartered accountants. That's, you
might say, part of their business.
It's a hazard of running government too,
that we pioneer new legislation like this. We
won't be surprised if it turns out there are
some deficiences that have to be remedied
by amendments to regulations. As I said dur-
ing the course of my reply yesterday, I might
even be back before this session rises for the
summer vacation with an amendment to the
legislation if I found it necessary; or, if it
were possible, to do the necessary elements
by amendments to the regulations throughout
the summer and be back in the fall almost
without doubt with some amendments to the
Act.
Mr. E. Sargent (Grey-Bruce): In other
words the minister is going on a fishing
expedition.
Mr. Ciissidy: Well Mr. Chairman, I suggest
we pass the amendments the minister sug-
gested. I have a couple of proposed amend-
ments to sections (l)(f) which would at-
tempt to . cover the problem that I have
raised. And I offer this in a helpful spirit
rather than a combative one.
I agree with the minister that the de facto
question may be other than the de jure
question. The problem is, of course, that you
have to do this in a legal manner. If control
is in Canadian hands, even though it's with
only $1,000 worth of shares, your alternatives
may well be to ultimately come up with a
clause as the federal Department of Revenue
everitually came up with in cases of dividend
shipping and— what is it?— bond washing
and that kind of thing. It simply said these
situations exist where the minister deems
they exist, or in this particular case that a
company is foreign-controlled where the
minister says it's foreign-controlled.
I wouldn't propose that amendment right
now, but the minister might eventually come
to that in order to cover some of these situa-
tions where foreign money is hiding under
a cloak of control of friendly lawyers or real
estate people in Ontario.
After all, many of these people say: "Look,
buy us a couple of apartment buildings; as
long as the return is above six per cent a
year we are happy."
They don't care where they are; or what
they are like. They trust the people locally to
come up with a reasonable kind of invest-
ment and they take no further interest in it.
It's managed in Ontario. It hots up our
market, but they don't actually exercise con-
trol in terms of making day-to-day or month-
to-month management decisions.
Mr. Chairman: The hon. member for Kit-
chener.
Mr. Breithaupt: Mr. Chairman, I am rather
surprised at the turn the debate has taken,
most particularly because it would appear the
minister in his comments has acknowledged
that in fact there are immediate ways around
the whole principle of this bill. I think that
his advisers could well be used this afternoon
to deal with the matter of beneficial owner-
ship so that this problem is considered by
the House before we pass the various sections
of this bill in committee.
Surely the most important problem facing
us is that of beneficial control. Now, as the
member for Ottawa Centre has mentioned,
the, point of beneficial control and the setting
up of a class structure of shares was already
raised by the member for High Park. The
minister is aware of the comments concerning
the matters of trust, but I think he would be
naive if he thought the situation in which a
company could be placed through presumed
ownership by Canadians would, in fact, re-
solve the matter of foreign capital control.
If it is the minister's wish to resolve this
matter and effectively to tax, at least to the
higher rate, those -persons who are non-
resident Canadians that intend to invest in
Canada, he would be well advised now to
review the matter of beneficial ownership.^
It is surely not enough to say that the fact
that three of five common shares in a private
company are owned by Canadians will be
enough to avoid the payment of the tax, if
that is the principle that we are supposed to
be following in this bill. There are immediate
ways around this problem. As soon as we
define the situation the minister hopes to
cover, there will be means of subverting the
principle of that definition by those persons
who are either learned in the law or are
clever in the matter of accountancy and such
other tax matters.
APRIL 23, 1974
1271
I think the member for Ottawa Centre is
correct in his assumption that what we have
done today has really been to outline how to
avoid the implications of this Act. The fact of
Canadian share ownership, where there are a
small number of common shares, is not going
to resolve this problem.
It is not going to resolve it in the same
way that the matter of eflFective directorship
of Canadian corp>orations cannot be resolved
by the simple fact of naming Canadian citi-
zens as more than half of those persons who
are directors.
We are all well aware that there are prob-
lems that can be easily raised and situations,
really, which can effectively be avoided by
having tame directors, as we will be having
in this case by having tame shareholders who
may have some technical control and owner-
ship of a small number of common shares in
a private company.
That company can pve various securities.
It can go into the class share situation to
which the member for Ottawa Centre referred.
It could, by the granting of its own securities,
by a promissory note with a reasonable inter-
est return, by a personal trust situation so
far as the ownership of the shares was con-
cerned, by any kind of an obligation or
indenture on the assets of the company, avoid
the fact of ownership. I think these matters
should be considered by the minister.
If in our interpretation section we are to
define particularly the non-resident corpora-
tion, then to be complete I think we have to
include the matter of beneficial ownership.
The minister has proposed an amendment to
subsection (f) in which he refers to the
control of 25 per cent or more of the voting
rights and he refers to the fact that in this
situation these are, "voting rights ordinarily
exercisable at meetings of the shareholders erf
the corporation."
In this subsection, Mr. Chairman, we have
the circumstance of this ownership of voting
rights, which perhaps could only come up in
case of certain default by common share situ-
ation. In other words, again it is the problem
the member for Ottawa Centre has raised— the
matter of some kind of class shareholder
ownership which would allow parity of in-
volvement, perhaps, as far as the classes of
shareholders are concerned; or would involve
the large dollar volume of shareholders having
effective control as soon as any minor term in
the preference items, which would be attached
to their shares, might be breached by the
operation of the ordinary shareholders or the
management of the company.
Many of these things, of course, are done
in matters of trust by a real estate company,
a management company, a law office, a char-
tered accountancy office. All of these indi-
viduals are regaraed by foreign investors, be-
cause of their own professi<mal approach, as
being fairly secure persons to whom to give
these rights and these trusts. The foreign
investors realize they would, of course, have
certain professional and ethical contn^ over
any defalcation or failure to live up to the
terms of a trust agreement for whi(ji any of
these various Ontario professionals might be
responsible.
I think, as I have said, the matter of bene-
ficial ownership is going to be the real bug-
bear in this situation. If the minister is pre-
pared to consider now or virtually imme-
diately a further amendment which is going
to resolve this matter he will, I think, be
able to control this in the way in which he
sees it should be controlled. He and I may
disagree as to the eventual result or the
various ways of doing it, but I do suggest,
Mr. Chairman, that tl^ minister consider the
beneficial ownership matter. If he does not,
his method of attempting to control this
point will not be the effective one he seeks.
Hon. Mr. Meen: Mr. Chairman, I appre-
ciate the observations made by the member
for Kitchener. What I was trying to say was
that I had raised the Question of beneficial
ownership with my advisers to determine
whether to attack this sort of situation was,
perhaps, an appropriate course of action to
follow.
What my people point out to me is that
we have incorporated into the Act— Fm get-
ting ahead of the story really because we
haven't got to this yet. If the members would
like to look at subsection (2) of section 1,
we lifted a definition of control from the
constrained share provisions of the Canada
Corporations Act; if I may just read to them
this section:
For the purposes of subclause v of dause
f of subsection I, "control" means control
by another corporation, individual or trust
that is in fact exercising effective control,
either directly or indirectly. . . .
This is what I was saying earlier, that if it
can be shown that if those equity investors
in" the class A shares were in fact exercising
effective control, regardless of how that could
be shown— and I don't minimize the difficulty
attached to this aspect of getting at this kind
of subterfuge— nevertheless if it can be shown
that such constitutes eflFective control, then
1272
ONTARIO LEGISLATURE
indeed it has become a non-resident corpora-
tion for the purposes of those sections.
So it isn't necessary at this time to try to
come up with some kind of definition of
beneficial interest or control by those having
a majority of the beneficial interest or what-
ever, and I think the hon. member for Kit-
chener can recognize some of the immense
complexities that we would face.
So, having tackled this situation presently
by way of a definition of control and taking
the course of action foimd desirable in the
Canada Corporations Act along the same
lines, I believe we've tackled it in the right
way now and that if we were to try to
simply put in a definition of beneficial con-
trol without rethinking many of our other
provisions, we could have a meaningless sec-
tion in the Act. I would recommend against
trying to do that at this time, recognizing
that we will, over the next few months, have
some time to analyse the nature of trans-
actions that come to our attention, the nature
of material that comes through the registry
office, and we may very well then have a
better idea of how to get a handle on it, if
indeed it is necessary to go any further than
we are going at the moment.
Mr. Breithaupt: It would appear, Mr.
Chairman, that the minister might then con-
sider that the Corporations Information Act
is going to have to be amended so that the
ownership of all shares or obligations of the
company may have to become a record, if
not a public record at least information
available to the ministry. Because if you are
going to be able to review the changing obli-
gations and the possibility of control and its
definition, you may well have to require that
additional information in order that at least
there will be, coming through your companies
branch each year in the Ministry of Con-
sumer and. Commercial Relations, some flow
of information dealing with other obligations
of thie company that might lead you to suspect
that control was eff^ectively elsewhere than in
the three names of the three shareholders who
appear in the ordinary return.
Hon. Mr. Meen: I would just say, Mr.
Chairman, I think that is a rather interesting
observation that my colleagues and myself
might look at.
Mr. Sargent: Mr. Chairman-
Mr. Chairman: Is it on this point? On
this amendment?
Mr. Sargent: Yes. Mr. Minister, I don't
think you have any control whatsoever ' —
inso-
far as your whole Act is concerned with
regard to non-resident corporations or non-
resident persons. I think your definition of
the various mechanics defeats what we in
the opposition would like to see. In effect we
are closing the bam door too late. But even
this isn't meaningful at this time and place
here.
Hon. Mr. Meen: Out of order.
Mr. Sargent: Limitations on how much
land an individual may own-
Mr. Chairman: Order. Order.
Hon. Mr. Meen: This is not really germane
to this section, Mr. Chairman.
Mr. Sargent: Well-
Hon. Mr. Meen: If the hon. member had
wanted' to talk about the principles of this
bill I would have welcomed his observations
during second reading, but we are now into
committee of the whole.
Mr. Chairman: We are deahng with an
amendment to subsection (1), clause (f).
Mr. R. Gisbom (Hamilton East): Give him
an hour because he wasn't here the other day.
Mr. Sargent: I wasn't here. I had to leave
for the other committee; and I'm sorry but I
want to register my opposition to this whole
piece of legislation.
An hon. member: Oh, knock it off.
Mr. Chairman: No; but the hon. member
knows he is out of order.
Hon. Mr. Meen: The member can't do that.
Mr. Chairman: We have dealt with the
principle of the bill in second reading. We
are now in committee of the whole House
dealing with clause by clause, so a general
discussion-
Mr. Sargent: I submit respectfully that,
regarding the control facts he is talking about,
if your aim is bad to start with, then we. are
talking about bad control.
Mr. Chairman: Actually, it seems to me
that's under the general principle of the bill,
which has been carried.
Mr. Sargent: Mr. Chairman, in this section
of the bill he is talking about non-resident
corporations and non-resident persons.
Mr. Chairman: We're dealing with an
amendment to this particular subclause.
APRIL 23. 1974
1273
Mr. Siurgent: Subclause (f) refers to non-
resident corporations and subclause (g) to
non-resident persons.
Mr. Chainnan: If you have some awiment
to make about this—
Mr. Sargent: If you will just keep quiet
for a minute, I can-
Mr. Chaimum: Order, please. It seems to
me you re discussing the whole bill in general,
which is out of order.
Mr. Sargent: It seems to me that every
time an opposition member gets up to speak,
you interpret what he's going to say and
block him off.
Mr. Chainnan: Does the member wish to
discuss this amendment or shall I rule him
out of order?
Mr. Sargent: Pardon me?
Mr. Chairman: Does the member wish to
discuss this amendment? If not, he's out of
order with any further comments.
The member for Ottawa Centre.
Mr. Cassidy: Mr. Chairman, I just want to
pursue what the minister had to say. I can
see the point he makes about control, that
there are certain powers of discretion in
deeming control to be in the hands of
foreigners. I would suggest, though, that it's
still possible, even if that clause is effective,
for very large quantities of foreign real estate
money to come into this coimtry.
There is clearly some difference between
his party, as a government, and our party as
to the desirability of having that Icind of
money coming in essentially for non-produc-
tive purposes, given that the supply of build-
ing materials, of land and other things are
domestic, are limited and cannot be greatly
increased by import of things from abroad.
The member for High Park, the member
for Riverdale and myseLf could set up a real
estate investment corporation entirely owned
and directed by Canadians, but in which 98
per cent of the shares were sold to any niun-
ber erf foreign investors who wished to have
participating shares with noiv-voting rights,
and it would be quite legal, according to
this particular provision. For that matter, as
the minister has already indicated, the 49-51
per cent deals would continue to be permis-
sible, and in fact would be encouragea.
Given the fact that only $300 million is
involved in foreign investment out of the $10
billion or $12 billion that changes hands in
the real estate market in Ontario in a given
year, it would be quite simple for foreien
investors to find Canadian partners who wotud
take a 51 per cent share.
None erf that is discouraged by this par-
ticular bill, and the bill therefore gets to
(xnly a very small part of the problem.
•I would like to ask the minister about the
constitutionality of taxing non-resident cor-
porations in view of the points he raised about
Prince Edward Island and the constitution-
ality of other measures during the course of
the secoixl reading debate. Specifically, I had
understcxxl that the PEI bill had been upheld
in the PEI Supreme Court and was now be-
ing appealed to the Supreme Court of
Canada.
Hon. Mr. Meen: You're wrong.
Mr. Cassidy: Is that not correct?
Hon. Mr. Meen: No.
Mr. Cassidy: I beg your pardon. That was
my understariding.
Mr. Renwidc: Are the reasons for judge-
ment out?
Hon. Mr. Meen: I can't answer. I don't
know.
Mr. Cassidy: Perhaps you could ask the
officials to find out, because the constitu-
tional grounds that huidered the ministry-
from imposing a ban on non-resident owner-
ship or acquisition of property didn't seem
to interfere in making this particular bill.
Hon. Mr. Meen: I heard what the hon.
member said, but I'm wondering if he reall>'
heard what I said. What we were talking
about is the constitutionality of the province
to levy a tax on real estate. I say there's
nothing wrong with that. We all know we
can do that. And, in fact, we can ha\e
different rates for residents and non-residents.
Mr. Renwidc: It's not quite as easy as
that. You are not levying a tax on real
estate.
Hon. Mr. Meen: All right. If >'ou levy at
such a level that in fact it could be treated
as confiscatory— and our advice and the
advice to the select committee on economic
and cultural nationalism was potentially the
same, I understand— if you get up to the
level of 50 per cent or 100 per cent of a
purchase price, whereby you are increasing
the purchase price pwyable by a non-resident
or a foreigner by 50 per cent to 100 per
cent, you are then dealing in an area whidi
is within the constitutional competence of the
1274
ONTARIO LEGISLATURE
federal government and not within our con-
stitutional competence. That is the grey area
on which constitutional lawyers have some
real arguments. We were not anxious to
create the kind of economic turmoil in our
economic community that would arise if
we endeavoured to do that at this time.
Mr. Renwick: It is not only grey; you are
seeking in the dark.
Hon. Mr. Meen: What we are doing is
imposing a tax on non-residents, whether
they be Canadians or nationals of other
countries, at a rate which is substantial but
not confiscatory. That's the purpose of setting
the figure at this time at 20 per cent. It
also signals the general direction in which
we are thinking with respect to our national
heritage, the land we have around us.
The other point made by the hon. member
for Ottawa Centre and the islands concerns
discouragement of foreign money. I'm not
suggesting that we are discouraging foreign
money for all purposes. No one has sug-
gested that. If we can simply discourage it
from getting into the real estate investment
field and prick that investment balloon from
that quarter, their monetary investment in-
terest will be directed elsewhere—
Mr. Renwick: The Ottawa member is
smiling about it.
Hon. Mr. Meen: —probably, if they still
want to settle that money here in Ontario,
which we hope they would, into mortgage
securities, into bonds and debentures, into
the equity investments on the stock exchange
if they like that. But we hope this will re-
duce the upward pressure in the real estate
market brought about by the very real
presence of a lot of foreign money here in
Ontario at the time.
Now again the hon. member for Ottawa
Centre and the islands is straying from
subsection (f) and the amendment which we
proposed, But perhaps since he missed my
reply in the House yesterday on second
reading it is worthwhile simply having re-
peated it.
Mr. Cassidy: Mr. Chairman, it seems to
me that a tax which according to the budget
would be of 87 per cent to a public cor-
poration on the capital gain from a land
deal, and would be higher if one took
into the account the 20 per cent tax in the
case of a public corporation controlled by
non-residents—
Hon. Mr. Meen: I believe the net result,
when you take into account all the credits
available and the way in which they are
applied, works out to something like 95 per
cent.
Mr. Cassidy: Well now, a tax which is 95
per cent of the profit might be deemed to
be confiscatory. A tax which is 50 or 100
per cent in addition to what you pay con-
fiscates nothing.
There was no obligation on the corporation
to pay that tax because they don't have to
go through with the deal. When they do go
ahead with tbe deal they have an asset,
only they've had to pay more for it. I simply
reject the minister's argument— I don't want
to dispute it ait length— I reject that argu-
ment as having any validity at all.
Mr. Chairman: Anything further on this
amendment? The member for Riverdalfe.
Mr. Renwick: Mr. Chairman, I tiiink the
minister is going to find that in a number
of cases, as the member from Waterloo has
said, the question is going to turn on the
factual one of who controls the corporation.
That's going to be it.
Hon. Mr. Meen: No quarrel about that.
Mr. Renwick: From the point of view of
the local land registrar, who is the collector,
when the document comes before him, I think
he's entitled to have a much better kind of
affidavit than this particular document which
you have circulated as being an affidavit of
residence under this particular Act. I think
you are going to have to have four kinds of
affidavits.
You are going to have to have an affidavit
where the transferee is a corporation. You are
going to have one where the transferee is a
trust. I think you are going to have to have
one where there is a partnership syndicate or
other type of association; and one where the
transferee is an individual.
I think the person who takes that affidavit
is going to have to state in the affidavit that,
in the case of a non-resident corporation or in
the case of a corporation establishing that no
tax is payable, it is not one of the types of
corporations, and specify each and every one
of them in the affidavit so it can be ticked off.
Because it may very well be that at some
point the examination by your auditors of the
affidavits which are filed for the purpose of
determining whether or not you have col-
lected the tax which is going to be levied,
will depend a great deal on being able to
establish the specific accuracy of the affidavits.
Particularly when you come to this question
of control.
APRIL 23. 1974
1275
I make this other point because in corporate
documents of any kind, and the minister is
well aware of this, you have got to have a
very clear statement as to who the oflBcers
of the corporation are who are going to make
those aflBdavits, if in fact they are going to be
made by the transferee if it happens to be a
corporation.
I think somewhere in your regulations,
when you prescribe the way in which these
affidavits are completed, you are going to
have to specify if it is going to be the presi-
dent or the vice-president or two directors, or
some people, when they look at it, are going
to say: Is this accurate? You can't have it
in the way, as the minister knows, of a con-
ditional sale agreement where the fourth
assistant treasurer can sign it and get away
with it and the senior officers would not be
fixed with the responsibility.
I think the nature of the information which
is being provided has got to be so clear in
here that no agent authorized in writing and
no solicitor will be able to hide behind the
fact that it wasn't specifically clear what he
was attesting to. I think you are gradually
going to find that, except in the ordinary
turnover of house transactions, in any sub-
stantial real estate deals the solicitors are
going to bow out of taking those affidavits on
the back of the forms. I just emphasize that
because, while the factual situations may be
in certain of these definitions accurate, that
factual question of control is very, very im-
portant.
I make another minor comment about the
amendment which is now before us. I suggest,
in the ecumenical spirit in which my colleague
from Ottawa Centre is dealing with some
aspects of this matter, that perhaps you re-
quire a consequential amendment to subsec-
tion ( 2 ) of section 1 of the bill, because you
are introducing the term "control" into this
amendment to item (ii)(f). It may well be
that you need a cross reference in silbsection
(2) to Subclause (ii) of clause (f) as well,
because of your introduction in the amend-
ment of the word "control", so that you carry
over into that subsection this question of con-
trol being a factual question. I haven't gone
into it in great detail. I make it for what
it's worth. Perhaps your advisers would lode
at it and see whether such an amendment is
not a necessary consequential one to the pro-
ppsed amendment.
Mr. Chairman: The member for Kitchener.
Hon. Mr. Meen: I wonder, Mr. Chairman,
if I might just reply to those observations by
the hon. member for Riverdale.
I couldn't agree with him more with respect
to the affidavit. We all think that We had to
have a form of affidavit available on Day 1.
It will catch and does catch 999 out of 1,000
of all of the transactions, I expect, to use a
figure.
I would expect that we will have several
runs at far more elaborate provisions in the
affidavits as to who takes them. I think he's
quite right that there isn't a lawyer who
values his right to practise at the bar who is
going to lightly swear one of these affidavits
without ensuring himself as to the facts.
Everyone is going to be very careful, as was
pointed out in my notice to the profession, to
which you referred earlier, as to the signifi-
cance of this affidavit.
Mr. Cassidy: How manv weeks did you
spend preparing the bill, please?
Hon. Mr. Meen: It's an interesting observa-
tion the member for Riverdale makes as to
subsection ( 1 ) of section 2. I hadn't thought
about that, but my counsel can take a quick
look at it and see if, because of this amend-
ment, perhaps we should take another look
at the definition of section 1, subsection (2),
in light of my amendment, which does bring
into question the de facto control of the
corporation.
Mr. Chairman: The member for Kitchener.
Mr. Breithaupt: Just a point, Mr. Chairman,
with respect to the amendment the minister
has moved to subsection (l)(f) clause (ii);
it's interesting to see that he is including in
his non-resident corporation the situation with
respect to 25 per cent or more of the voting
rights.
I am wondering, though, why he feels the
necessity of bringing in this additional sub-
section. It would seem to me that what he is
doing is saying that where he is satisfied that
it shouldn't apply, it won't apply. Well if that
is the case, surely the statement could be
proven before the minister, or before the
courts. If the matter was raised,, the matter
would resolve itself.
Why doesn't the minister feel that it is
necessary to bring in this saving clause? Is
it solely because of the matter that he wishes
to have his discretion exercisable at this
point? Is there some otfier particular reason?
Hon. Mr. Meen: No, Mr. Chairman. Actu-
ally, I would rather have as little discretion
on this as possible and I would like to spell
it out as accurately as I could. But on the
other hand, when people point out to you
that it is entirely possible that one person,
1276
ONTARIO LEGISLATURE
say a non-resident, could have a 25 per cent
interest in a corporation, but that the balance
could be held by as little as one person with
75 per cent, then obviously that is not the
kind of resident corporation we are trying to
catch.
I would have no discretion whatever as
this Act stands, that corporation by that
definition would automatically become a non-
resident corporation by virtue of having some
minority shareholder— with no capacity to
control a corporation— holding 25 per cent
of the shares. Comsequently, it seemed appro-
priate there should be some flexibihty in here
to look after what I would suppose would
at least apply to some Ontario resident cor-
porations which have, for whatever reason,
some block of shares held by a non-resident.
Mr. Chainnan: Will this amending motion
carry?
Motion agreed to.
Mr. Chairman: Is there anything further
on section 1?
Mr. Cassidy: Yes.
Mr. Cassidy moves that section 1 of Bill
26 be amended by adding the following sec-
tions:
1(f) (vi) Of which more than half the
value of all classes of shares is owned or
controlled by one or more non-resident per-
sons as defined in this Act and;
1(f) <vii) Of which more than half the
value of all issued capital is owned or con-
trolled by one or more non-resident persons
as defined in this Act.
Mr. Cassidy: The purpose of these two
extra clauses is simply to present more clearly
the questions of thin capitalization which I
have raised.
I think the minister will agree that the
section which we just amended, 1(f) (ii), in
fact would be covered by subsection 2— the
general question about whether it is a fac-
tual aspect of control or not. The reason that
1(f) (ii)— if I can get down to it— was put
in was so that you had a set of rules which
were fairly automatic and you did not have
to sit down and prove control in every case;
unless they could produce compelling reasons
to the contrary, then when 25 per cent of the
shares were in one person's hands, you
deemed that that person, if they were non-
resident, had control.
I'll send over those amendments; I am
sorry.
Hon. Mr. Meen: While that is going about,
I must confess that I am hearing the hon.
member, but I am not comprehending. Could
he go through that again?
(I thought we had picked up the various
definitions which we have found within the
constraint share provisions of the Canada
Corporations Act and also the Foreign In-
vestment Review Act of Canada, which have
definitions. We have used them and taken
what I thought were all the various possibil-
ities and essential criteria necessary to identify
a foreign corporation; so I am really not at
all clear on just what the hon. member is
saying.
Mr. Cassidy: Okay; subsection (f), which
defines a non-resident corporation, could in
fact say non-resident corporation means a cor-
poration incorporated in Canada controlled by
non-residents. Then the definition of control
would be what you have in subsection (ii).
Hon. Mr. Meen: Could I ask how he would
define the value of shares?
Mr. Cassidy: Pardon?
Hon. Mr. Meen: How would the member
define the value of shares?
Mr. Cassidy: Well, the value of shares is
the paid-up capital or the fair market value
if there is no—
Hon. Mr. Meen: But they move from day
to day. There is no certainty in it.
Mr. Cassidy: Not in the paid up value, it
does not move; nor does the initial amount
tendered for those shares vary. The point
about that is the minister has in fact inserted
on page 3— the top clause— the similar kind of
thing, as value of course would vary horn day
to day, when he states that a partnership of
more than 50 per cent of the value of the
property is held for or by non-residents.
Hon. Mr. Meen: But you see-
Mr. Cassidy: You are running into the
same problems. You have spent zillions of
dollars on your experts—
Hon. Mr. Meen: Right.
Mr. Cassidy: If you think you can do those
clauses in a better way I'd be happy to see
those proposals. I am saying, though, that
rather than wait for the Canada Corporation
Act clause to apply you should spell it out
wherever possible, and this is an attempt to
do so.
Hon. Mr. Meen: When you are talking
about real estate you are talking about the
time of the application of the Act, and of
APRIL 23. 1Q74
lan
course there is an evaluation which can be
established on that. What 1 am worried about
is how one establishes the value of all classes
of shares owned or controlled by certain per-
sons. They may have diflFerent values for
certain people, depending on what they can
do with them.
Mr. Cassidy: But presumably at the time
of the transfer tax being paid—
Hon. Mr. Meen: Although commendable in
a sense, I think it would cast so much grave
doubt as to what a corporation was from day
to day— a resident or non-resident corporation
—that we have to have something far more
definite than the value of the shares owned
or controlled by one or more non-residents.
Mr. Renwick: Mr. Chairman, I recognize
that when a proposed amendment is put for-
ward we do not have either the time or the
skills necessary to put it into the precise
language to cover the precise point. The
points which are made by my colleague from
Ottawa Centre on this question are directed
to assisting the minister. The member for
High Park gave an example yesterday and I
don't need to repeat it. The minister indi-
cated, I think mistakenly or much too readily,
that it was a loophole in his Act. What the
hon. member for Ottawa East-
Mr. Cassidy: Centre.
Mr. Renwick: -for Ottawa Centre is say-
ing is that half the value of all classes of
shares is owned and the value, I take it, that
the hon. member for Ottawa Centre is re-
ferring to is the paid up capital value of
those shares.
That is, in the case which the member for
High Park spoke about, the actual number
of dollars to buy that piece of land is going
to come from abroad. He wants to make cer-
tain that if that system is used you don't just
look at those shares carrying the voting right
under all circimistances, but you locJc at the
question of the value of all the shares for
the purpose of delimiting this vexed problem
of ascertaining where the control is.
I am very interested that the minister put
forward the proposition that he and his ad-
visers looked at the Foreign Investment Re-
view Act of the federal government. I suggest
it is entirely different and you have to be
much more particular and much more pre-
cise when you are talking about speculation
in land. You are dealing with speculation in
land, where the conveyancers are very care-
ful; the conveyancers have immense expertise.
It is a very abstruse art and the corporate
lawyers are getting to be as abttrute as the
conveyancers in finding their way around
these problems.
That kind of thing would mean to me that
the definitions in the foreign takeover bill are
quite different and serve a different purpose,
and it is done openly and in the public. Here
you are dealing with something which is
?;oing to depend entirely on a document
umished to a local registrar of title, who isn't
going to be able to go behind the document.
Therefore, it seems to me, you would bo well
advised to look at this amendment. Did you
move both amendments?
Mr. Cassidy: I moved both amendments as
one.
Mr. Renwick: Look at both the amend-
ments in order to make certain that you have
tightened up the area or ruled out the area
in which you are going to have to decide
this question of control.
Certainly the question of the value of all
classes of shares can be related to the paid-up
capital account of the company. You already
levy a paid-up capital tax in the Province erf
Ontario and you have a definition of paid-up
capital in that Act which includes loans and
moneys advanced by way of loans for the
purpose of the paid-up capital tax under the
Corporations Tax Act. Similarly in the second
amendment, where my colleague deals with
half the value of all the issued shares of the
company, the same argument applies.
Please do not close your mind to it. The
amendments are put forward for the purpose
of delimiting the problem which yoti are
obviously going to face if you want this Act
to be efficacious so far as the basic question
of control is concerned.
Hon. Mr. Meen: Yes, I agree that I do not
want to close my mind to any of these. Quite
honesdy I think that we are going to have
to look at some other definition sudi as this
before we are finished in order to accomplish
the end this Act seeks.
We have a general provision in subclause
(v) dealing with controlling, directly or in-
directly by one or more non-resident persons,
including a non-resident corporation within
the definition. I think it gets right down again
to the de facto control of the corporation—
which way it happens to have control.
I am not going to toss out these amend-
ments. They are going to stay in my file and
I will discuss them with my colleagues and
see if there is some merit in incorporating
something of diat sort in some of our regula-
1278
ONTARIO LEGISLATURE
tions in order to define with greater partic-
ularity just what does or does not constitute
control.
Hon. members will doubtless have more to
say on this subject, but they probably already
have noticed that the regulations, as provided
for under section 18, give the minister a fair
amount of discretion as to the way in which
this Act may be enforced and interpretations
that may be placed in sections such as this,
particularly in subclause (g). That's one I
think we might be able to take a look at later.
I am reluctant to accept it now though, for
obvious reasons. Our counsel won't have had
a chance to consider the implications of those
sections with respect to the others.
May I just mention, in reply to the hon.
member for Riverdale, that we can adopt an
amendment to subclause (2) as he has sug-
gested—I think rightly— which would refer the
exceptions here to the whole of subclause (f )•
I think when we get to that stage that would
pick up the objection which the member for
Riverdale rightly detected,
Mr. Cassidy: Mr. Chairman, I have to
apologize to the minister, I have to catch a
plane to my riding. I appreciate his comments.
Will he accept from this side that the reg-
istrars are into a new ball game, because they
have never had to look—
Hon. Mr. Meen: I'm sorry, would you say
that again?
Mr. Cassidy: Your registrars of land titles
have never had to look behind transactions in
the past' They simply come in, conveyances
are put; before them, they levy the tax, they
do what they have to do, and it's over and
done in a pretty simple kind of way. Now
they are being asked to be experts in inter-
national finance and corporate structure and
so on. The rnore guidelines you can give them
that will , allow them to separate put pretty
quickly ; the 990 cases— leaving only five or 10
out of.,l,;000 for the, ministry to. delve into in
the d pth that is suggested by section 2— the
better..
Therefore, if you can give them a rule
that alJo\ys them to pounce on a company
where, say, ,900,000 shares are without voting
rights but effectively amount to control and
only 10,000 have the voting rights, by aU
means let them do that.
Hon. Mr. Meen: I don't disagree with
that, Mr. Chairman. I think we will be
having a set of guidelines of that sort. In-
deed, I believe they have them now within
a limited quarter, and that whenever there
is any question the matter would then be
referred to the ministry for a ruling within
the regulations.
Mr. Cassidy: Okay.
Mr. Chairman: We will now have to deal
with these two amendments, or is there
further discussion on them?
Mr. Renwick: Mr. Chairman, I just want to
make one comment, stimulated as I always
am by my colleague from Ottawa Centre. I
don't want to find that you are elaborating
a large ntunber of minute detailed regulations.
If you conceptualize the question simply, in
a large number of these cases you will find
that one of the things which is done is to
provide a separate corporate vehicle for
each particular land transaction in many cases.
And of course we now have these numbered
companies under the Business Corporations
Act.
I am suggesting that what you really want
to look at is: He who puts up the money
for the purchase of the building controls
the company. That's what you are talking
about, and not some artificial elaboration of
how the share structure may or may not be
made up so that you have accomplished what
you intend to accomplish.
That doesn't necessarily apply in all cases
of a large, diversified real estate develop-
ment company. But where you have specific
investments by foreign money in specific
developments you will usually find that some-
how or other they have a separate corporate
vehicle jFor it. You want to look at where
the money pomes from; that is equivalent to
control regardless of where the particular
people happen to reside.
Hon. Mr. Meen: It's entirely possible.
Mr. Renwick: If that's it, maybe there is
some simpler way rather than elaborating
a large numbisr of obtuse exceptions.
Mr. Chairman: Mr. Cassidy 's amendments
mupit be de^lt with now. Those in favour of
Mr. Cassidy 's motion will please say ."aye,"
Those opposed will please say "nay."
In my opinion the "nays" have it. I de-
clare the amendments lost.
Before we go on, Mr, Speaker has asked
me to inform the House that he has re-
ceived a notice in accordance with the
provisions of standing orders 27(g) and 28
from the hon. member for Port Arthur (Mr.
Foulds), which states that he is dissatisfied
with the response given to his question yes-
terday by the hon. Premier (Mr. Davis).
APRIL 23, 1974
1279
Accordingly he intends to raise the ques-
tion of the regulation of Lake Superior on
the adjournment of the House at 10:30 this
evening.
Is there anything further in section 1,
subsection 1? The member for Riverdale.
Mr. Renwick: My next comment is in
the definition of value of consideration.
Hon. Mr. Meen: Yes, sub (m).
Mr. Renwick: Well I am rather old-
fashioned about this. I like the vi^ording in
the old Act about the true amount.
Hon. Mr. Meen: 1 thought it was the
same, frankly.
Mr. Renwick: No, no. "Setting out the
true consideration for the transfer or con-
veyance" and "the true amount in cash,"
and so on. It seemed to me that in this
kind of a— I don't happen to agree with the
Minister of Revenue's interpretation of what
the Treasurer said.
Hon. Mr. Meen: Could I have a clarifica-
tion? Sorry to interrupt the member. I
thought he was talking about value of con-
sideration and that's sub (m).
Mr. Renwick: That's the one.
Hon. Mr. Meen: I don't see the reference
to which the member is now addressing
himself.
Mr. Renwick: That is what I am speaking
about—
Mr. Rreithaupt: In the old Act.
Mr. Renwick: I am speaking about the
old Act.
Hon. Mr. Meen: Oh,
Mr. Renwick: The old Act has that de-
lightful word "true" in there. This is a
revenue-producing statute, which we can
come to when we get to section 2 of the
bill, but the present Act states "setting out
the true consideration for the transfer or
conveyance" and "the true amount."
Now somebody may say that is an over-
elaboration and unnecessary emphasis in this
modern day and age, but for the purposes
of this kind of an Act I don't think it hurts
to emphasize that you want the true amount,
not some arbitrary or otherwise determined
amount— particularly when there is nothing
in this Act, as I understand it, for the pur-
pose of ascertaining value; or am I wrong?
I am talking about when you state the
consideration in the affidavit that supports
the conveyance: Do you state the value? How
do you come at the value? How do you
come at the value of the encumbrance or
charge, which is relatively easy; but how do
you come at the value of any property or
security exchanged for the conveyance of
land?
Hon. Mr. Meen: We have the mechanism
in the Assessment Act and through the assess-
ment division of my ministry, Mr. Chairman.
And under the definition of value of con-
sideration I think we pick up the various
elements that can go into making up the
value.
Mr. Renwick: I am curious, by the wav
Mr. Chairman, what sort of additional acf-
ministration are you going to have to set up
to monitor this bill?
Hon. Mr. Meen: We estimate there will be
additional bodies required within the present
structure of the retail sales tax section of the
ministry, but I am presently looking at a
reorganization of that aspect and it is not
possible for me to estimate at this time the
additional people who will be involved. As
time goes on expertise will probably mean
fewer people, but at the present time it is
going to be necessary for us to train a num-
ber of people to be able to assess these vari-
ous elements in the transactions.
Mr. Chairman: Anything further on sub-
section 1?
Subsection 2:
Hon. Mr. Meen: On subsection 2, Mr.
Chairman, I would follow on with the sug-
gestion made by the hon. member for River-
dale.
Hon. Mr. Meen moves that section 1(2) of
the bill be amended by striking out "sub-
clause (v) of clause (f) in the first line so that
it would read: "For the purposes of clause (f)"
Hon. Mr. Meen: For the purpose of clarifi-
cation—and I regret the fonn in which that
amendment reached your desk, Mr. Chairman
—section 1(2) would then read: "For the
purposes of clause (f) of subsection 1, 'con-
trol means ..." etc., as in the section.
Mr. Renwick: We're always glad to help,
even with a per\'erse bill, Mr. Chairman. In
the ecumenical atmosphere of the day!
Mr. Chairman: Shall the motion carry?
Motion agreed to.
1280
ONTARIO LEGISLATURE
Mr. Chairman: The hon. minister has a
further amendment to this section.
Hon. Mr. Meen moves that section (1) of
the bill be amended by adding thereto the
following subsection:
(3) For the purposes of clause (g) of
subsection (1), an individual shall be con-
sidered to be ordinarily resident in Canada
if, at the time the expression is being
applied;
(a) He has been lawfully admitted to
Canada for permanent residence in Can-
ada;
(b) He has sojourned in Canada during
the next preceding 24 months for a period
of, or periods the aggregate of which is
366 days or more;
(c) He is a member of the Canadian
forces required to reside outside Canada;
(d) He is an ambassador, minister, high
commissioner, officer or servant of Canada,
or is an agent general, officer or servant of
a province of Canada, and resided in Can-
ada immediately prior to appointment or
employment by Canada or a province of
Canada or is entitled to receive representa-
tion allowances;
(e) He is performing services in a coun-
try other than Canada under an interna-
tional development assistance programme
of the government of Canada that is pre-
scribed for the purposes of paragraph (d)
of subsection (1), section 250 of the In-
come Tax Act, Canada, and resided in
Canada at any time in the three-month
period preceding the day on which such
services commenced; or
(f) He resided outside Canada and is the
spouse or child of, and is living with, an
individual described in clauses (c), (d) or
(e).
Mr. Chairman: Shall this motion carry?
Mr. Renwick: Mr. Chairman.
Mr. Chairman: The member for Riverdale.
Mr. Renwick: Again, I think the wording
leaves a considerable amount to be desired.
The amendment says, an individual shall be
considered to be ordinarily resident in Canada
if he falls in any one of those classes. I don't
know, I suppose I fall under item (b); I sup-
pose the great bulk of the people in Canada
fall under item (b).
Hon. Mr. Meen: I would expect so.
Mr. Renwick: That's not the purpose of
item (b), of course. If you're going to be that
definitive about it, then you've got to include
something which deals with the great ma-
jority of people. And since I'm not any one
of the other people who are involved in this
—has my friend from Waterloo sojourned
here the proper period of time?
Mr. Breithaupt: Mr. Chairman, I'm—
Hon. Mr. Meen: He's from Kitchener, not
from Waterloo.
Mr. Renwick: The member for Kitchener.
Mr. Breithaupt: I think that does raise an
interesting point, but I was more interested
in item (f) because we refer to a number
of "he's" and then we refer to a further "he,'*
who is the spouse of one of the "heV referred
to in ( c ) , ( d ) or ( e )
Hon. Mr. Meen: You know the Interpreta-
tation Act as well as I do.
Mr. Breithaupt: I was just going to inquire
as to whether that was clear so that we were
not getting too many "he's" involved in this
kind of situation.
Mr. H. Worton (Wellington South): How
about a few "her's"?
Hon. Mr. Meen: It does cover the "resided
with" as well as "spouse of, you will have
noticed.
Mr. Renwick: You got my point, Mr.
Minister.
Mr. Chairman: Shall this motion carry?
Motion agreed to.
Mr. Chairman: Is there anything on sec-
tion 2? The member for Riverdale.
Mr. Renwick: My colleague, the member
for Ottawa Centre, raised the point that this
is the revenue-producing section of the bill.
This is the section which imposes the tax, and
I think it deserves a little bit of comment.
First of all, I'm intrigued by the minister's
suggestion that he is taxing non-residents
here.
Hon. Mr. Meen: Actually, what we are do-
ing is applying a tax in respect of non-
residents but against the I'and, if the hon.
member wants me to get a little more precise.
Mr. Renwick: Might I say that the consti-
tution of the country in section 92, subsection
2, or head 2, says for the purposes of direct
taxation for the raising of revenue for pro-
vincial purposes.
Hon. Mr. Meen: Right.
Mr. Renwick: You can't impose an indirect
tax. It is very interesting that if the transferor
APRIL 23, 1974
1281
tenders the document because the non-resi-
dent is away out of the country he can claim
against the non-resident for the tax. I ques-
tion whether or not that isn't an indirect tax,
and whether or not you are not going to be
faced with a constitutional question, because
the person intended to pay the tax is, as the
minister has said, and as has been obvious
all along, is the non-resident transferee.
That's the person who has to pay the tax,
and if that is direct taxation within the prov-
ince then I think it may leave itself open to
some kind of constitutional case to establish it.
I will be glad when the Attorney General
(Mr. Welch) is briefed in that matter and a
case goes to the Supreme Court of Canada
for a decision as to whether or not this is a
direct tax.
The second point I want to make is that
the budget papers show that you raised an
estimated $45 million last year under the
land transfer tax. If my calculation is cor-
rect, that represents transactions in land in
the Province of Ontario of between $7.5 bil-
lion and $15 billion, assuming my mathe-
matics are right.
Hon. Mr. Meen: Say that again, would
you?
Mr. Renwidc: If you raised $45 million by
a tax which varies between three-tenths of
one per cent and six-tenths of one per cent,
the maximum amount of the value of land
which could have been transferred would be
$15 billion if the tax had been all three-
tenths of one per cent. At one-sixth of one
per cent it would be $7.5 billion, so some-
where between—
Hon. Mr. Meen: On the contrary, your
arithmetic is in the wrong direction, unless I
misunderstand it.
Mr. Renwick: It probably is.
Hon. Mr. Meen: It would be $1.5 million
if it were all at six-tenths.
Mr. Renwick: Well three one-thousandths
of $45 million is $15 million, plus three
noughts on the end of it, and that makes $15
billion. Six-tenths of one per cent would be
half that amount, that is $7.5 billion. So there
were land transactions in the Province of
Ontario last year somewhere between $7.5
billion and $15 billion.
Mr. Breithaupt: Likely about $10 billion.
Mr. Renwick: Roughly say $10 billion,
which is a lot of property to be transferred.
The minister had said in his budget that you
anticipate raising $120 million this year from
this tax, of which, according to the Treasurer,
the estimate is $60 million for this, roughly
20 per cent tax, technically 19.4 per cent or
19.7 per cent increased tax.
Therefore I assume that you arc anticipating
sales of land to non-residents of about $300
million. If you anticipate raising, at 20 per
cent, 60 million, you are obviously antici-
pating sales to non-residents of $300 million.
I am extremely curious as to where the
figure of $60 million came from. Sixt>'
million dollars compared to $10 billioa is
some percentage which I can't quite 6gure
out. Maybe three per cent or something
like that. I don't know what it is.
Hon. Mr.
cent.
Meen: It sounds like nine per
Mr. Renwick: Yes. But, when I make
that calculation it is a meaningless calcula-
tion to me unless I know how you arrived
at that estimate of $60 million, because I
take it that the ministry hasn't any idea
whatsoever about the extent to which the
$10 billion of transfers last year were in
fact transfers to non-resident persons, who
if the tax had been in force last year, would
have been caught by this Act. Is there any
information available as to how you de-
termine the estimated revenue that the tax
imposed by subsection 2 of section 2 is
arrived at by this Treasurer?
Hon. Mr. Meen: Mr. Chairman, I have
none available. I don't know whether this
was developed through his Ministry of
Treasury and Economics, or whether prior
to my coming on the scene in the Ministry
of Revenue my ministry was able to provide
certain backup information to his ministry
of sales of the known nature. We know, of
course, from the $45 million in revenue of
last year that on the— guesstimate I would
suppose as much as anything else by the
member for Riverdale— $10 billion may not
be out of the way. I don't know whether
we've dropped a digit in that calculation.
Mr. Renwidc No, you haven't
Hon. Mr. Meen: I have a notion it's right.
Mr. Renwick: It's right.
Hon. Mr. Meen: So if that is the case,
then the $300 million estimated by way of
sales to non-residents has to be a guess. It's
very small. If that's three per cent of the
total, then we would hope that it would be
even smaller, because as the Treasurer
pointed out we are not trying to raise—
1282
ONTARIO LEGISLATURE
Mr. Renwick: No, he didn't. That's very
interesting.
Hon. Mr. Meen: -$60 million by this. We
would expect that some will continue to
be raised. We can't shut our eyes to the
fact that this will raise some money. But
quite frankly, if it starts raising a tre-
mendous amount of money we might just
decide that 20 per cent wasn't a sufiBciently
large enough deterrent.
Mr. Renwick: You would just raise more
money that way.
Hon. Mr. Meen: Well, maybe we would,
or maybe we would reach, as the economists
call it, the economic maximum return. It
would be our goal in that case to reach-
Mr. Breithaupt: Point of diminishing re-
turn.
Hon. Mr. Meen: —and exceed the point of
maximum economic return in order to de-
ter the same volume in dollars of purchases
of Canadian real estate by non-residents.
Mr. Renwick: Well, Mr. Chairman, I want
to correct a fallacy that the Minister of
Revenue referred to yesterday and has re-
ferred to again on two occasions today—
Hon. Mr. Meen: Have I been wrong three
times?
Mr. Renwick: —that it was only with
respect to the land speculation tax that the
Treasurer of Ontario referred to the fact
that it was not a revenue-producing tax. He
was very careful not to make any such
statement with respect to this particular
tax. I am suggesting that no one in any
of the government departments has any
conception or has any way of collecting the
basic information to find out to what extent
of the estimated $10 billion in land trans-
actions in the Province of Ontario was
transfers to non-resident persons as envisaged
by this Act. If the minister thinks he doesn't
know of any way in which the government
would get this information, the only true
test would be the land transfer tax, and
certainly the information in the Ministry of
Revenue wdth respect to the collection of
tax doesn't show that kind of a breakdown.
Hon. Mr. Meen: That is correct.
Mr. Renwick: Therefore, all I am saying
is that I would be very interested a year
from now to find out what that figure is.
Mr. Breithaupt: So will the minister.
Mr. Renwick: I am suggesting that in
fact this is a revenue-producing tax, that
the government intends it to produce
revenue, that the Treasurer in introducing
his budget— I have a copy of the budget
here if I can just find the precise section
of it— I think my colleague from Ottawa
Centre took it— he referred only to the land
speculation tax as not being a revenue-
producing tax. Now we will come to that
when we get to the other bill.
This one— this 20 per cent tax— he ex-
pects will raise $60 million. The 50 per
cent tax, in the land speculation bill, he
talks of as raising $25 million. That's the
one he says is not revenue producing.
I am saying to the minister the very thrust
of the New Democratic Party position in the
debate yesterday was that this is participa-
tion by the government of the Province of
Ontario in the increased price which will be
paid for land by non-residents who will be
quite happy to pay the extra 20 per cent.
There is a wide range of investment per-
mitted under the Land Speculation Tax Act
where no tax will be paid by the vendor
under that Act and where it will be worth-
while for the purchaser paying the non-resi-
dent tax and purchasing land under the Act
to pay the extra 20 per cent and not have to
absorb the land speculation tax.
What I am saying is that I think the figure
of $60 million is groundless. It cannot, in all
charity, be characterized even as a guessti-
mate because there is no information on
which to base a guess. The tax is estimated
to go from $45 million to $120 million accord-
ing to the table as set out in the budget
papers.
Hon. Mr. Meen: Well, Mr. Chairman, the
Treasurer estimates there will be an increase
in the volume of real estate as our economy
moves on.
Mr. Renwick: Well, that's $15 million.
Hon. Mr. Meen: Every year has shown an
increase in revenues in this area. So he ex-
pects the essential $45 million to aggregate, I
gather, to $60 million. His economic advisers
look at the state of the provincial economy.
Now, whether he derived his estimates of
non-resident acquisition of real estate through
other sources— and there are many in the
Ministry of Treasury and Economics— I can't
say. I can say that within my ministry that
information has not been available, to my
knowledge at any rate, through our land
registry system. We will be acquiring that
APRIL 23, 1974
1283
and I, too, will be interested to sec the in-
formation contained in our land transfer tax
affidavit over the next year. In fact, we might
even have something that we can look at
within a few months' time.
Mr. Renwick: That was my next question.
Maybe by the end of June you can tell us.
Mr. Chairman, I would be very interested
and would ask the minister to undertake,
would he seriously consider before the House
rises— as I assume it will at some time at the
end of June or early in July— to let us know
what the experience has been on the collec-
tion of this tax on the non-resident portion
of the tax, say, for the first two months of
its operation?
Hon. Mr. Meen; Mr. Chairman, if that
information is readily available, I would have
no hesitation in sharing it with the members
of the House.
Mr. Breithaupt: Mr. Chairman, with respect
to section 2, the member for Ottawa Centre
\vas going to propose an amendment. I don't
know if it is going to be placed by the mem-
ber for Riverdale at this point or not. But the
amendment which the member for Ottawa
Centre was going to make dealt with sub-
section (2) of section 2.
In that amendment, I presume it was the
intention, as it states here, to raise in sub-
section (2) the matter of the 20 per cent rate
to 100 per cent. I anticipate that the member
for Ottawa Centre would comment on this as
a possible means of effectively stopping this
kind of investment.
It may be that amendment will not be
put, Mr. Chairman, and I could only advise
you that had it been put, I would not have
been readily willing to accept it. I think the
minister has commented on the matter of
confiscation and the difficulties that would
arise there. But a second and more important
point, I think, is the one that would result
from charging non-residents twice the price
of anyone else who happened to be a Cana-
dian to buy Canadian land.
Surely, if the 20 per cent figure is not
eflFective, as some of us think it may not be
in dealing with the matter of foreign owner-
ship, then indeed to simply raise that total
tax amount to 100 per cent only advises
persons who are non-residents in Canada that
they will indeed have to obtain a rather
high return on their money to make the whole
prospect worthwhile. If we are to be con-
sidering the economic and cultural national-
ism committee and its report to this Legisla-
ture, then I think we have to consider the
recommendation of diat committee that for-
eign ownership, that non-resident Canadian
ownership of our lands, should be no \onget
considered an acceptable situation within the
Province of Ontario.
Accordingly if that is to be the case, Mr.
Chairman, then we could amend subsection
(2) of section 2 to allow the views of that
committee to become the opink>n of this
Legislature.
As hon. members are aware, in the debate
on second reading of this bill several mem-
bers who had served on that committee enter-
ed into the debate, including the member for
Victoria-Haliburton (Mr. R. G. Hodgson).
There were comments with respect to the
exact involvement and the exact items within
that report upon which all members agreed,
and certain particulars in which members did
not bring in a unanimous report.
However, Mr. Chairman, I think that if
we were to amend subsection (2) to ensure
that the ownership of lands within the prov-
ince was consistent with the report of the
committee on economic and cultural national-
ism, then the following amendment might be
considered acceptable.
Mr. Breithaupt moves that subsection (2)
of section 2 of the bill be amended so that
all the words after the word "transferee" in
line 3 be struck out and the following sub-
stituted: "shall contain an affidavit that the
transferee is a Canadian citizen or has landed
immigrant status."
Mr. Breithaupt: Mr. Chairman, in moving
this amendment I think that we have to look
seriously upon the suggestions of the com-
mittee on economic and cultural nationalism.
If standing and select committees particularly,
are going to have meaning witiiin the Legis-
lature, then the reports that come from these
committees have to be considered serious
documents which have ordinarily received the
consideration and the approval of the ma^r-
ity of members who have served on the
respective committees.
Particularly when we are looking at select
committees, we should surely be at the point
where their reports, and the recommendations
they make will be seen as influencing govern-
mental policy. Because, Mr. Chairman, if they
don't influence that policy there seems little
point in sending members around the prov-
ince dealing with particular items. Those
items are not only the ones of economic and
cultural nationalism, they can be anything
from the use of our educational resources, to
drainage, to snowmobiles.
1284
ONTARIO LEGISLATURE
I think, Mr, Chairman, if we are serious
about the work which that particular com-
mit'ee has done, then the House should give
serious consideration to this amendment. I
believe the amendment would have the eflFect
most Ontario citizens would like to see, to
welcome foreign capital in certain particular
forms, but to advise that the future develop-
ment of our province is to be by our citizens
and for the particular benefit of our citizens.
I believe that, obviously, we must encour-
age capital of various forms to enter into
the Canadian economy so that our economy
can be . further built up. But surely that
development must be on our terms. That
development must come in ways which are
acceptable to us as Canadians and also as
residents of Ontario.
I think it is quite clear that the economy
developing in Canada is surely going to be
one of the most important and the most
powerful in the world within the next 20 or
30 years, particularly because of our avail-
ability of resources and the abilities of our
people to deal with a very favoured part of
Canada.
We can't continue to give away our re-
sources, as my colleague from Nickel Belt
(Mr. Laughren) has mentioned, but we also,
of course, have to strike a particular balance
and a very careful one as we look upon the
development of our own resources and
economy.
Accordingly, Mr. Chairman, I hope that
this amendment may find favour within the
House, because I think that it might be a
more eflFective way of dealing with a portion
of this problem rather than advising persons
who \yish to purchase items in Canada that
if, they are non-residents the price has gone
up 20 per cent. In effect, we would still be
bargaining away our resources without keep-
ing the kind of control that we should have
over them..
Mr. Chairman: Perhaps we should place
the motidrt first,
Mr. Renwick: Would the hon, member for
Kitcherier read the section with the changes
as he proposes the amendment? I can't quite
follow it.
Mr. Chairman: I haven't placed the
amendment yet. Perhaps it would be clear if
I were to place it.
Mr. Breithaupt moves that subsection (2)
of section 2 of Bill 26 be amended so that
all the words after the word "transferee"
in line 3 be struck out and the following sub-
stituted therefor: "shall contain an affidavit
that the transferee is a Canadian, citizen or
has landed immigrant status."
Any discussion?
Mr. Renwick: I take it that perhaps I am
a httle bit obtuse. Because of my colleague
speaking with me at the time, perhaps I
wasn't paying attention as closely as I should
have been. Is the intention of this amend-
ment, in fact, to reverse subsection (2) en-
tirely and to provide in substance that you
are proposing the implementation of the
recommendations that are contained in the
select coinmittee studies?
Mr. Breithaupt: Yes, that ^ correct; Mr.
Chairman.
Mr. Renwick: Well, then, I would assume
that we in this party would have no diflBculty
in supporting that amendment. The reasons
are quite clear. I referred a little while ago
to the spurious nature of the $60 million
anticipated revenue from this particular tax
piit forward by the Treasurer, The second
thrust of the debate of the New Democratic
Party yesterday on this bill, and the day
before, was with respect to the implementa-
tions of the substance of the recommenda-
tions of the select committee on economic:
and cultural nationalism.
Strangely enough, with all of the caveats
which are involved in it, apart from the-
concern of sorne of the Conservative rpem-
bers of that committee about some minor-
delay, no one objected to the major thrusts
of the report. The essential nature of this
report requires that something be donis to
ensure the continuing Canadian presence
in real estate in the Province of Ontario..
Arid the other necessary concomitant part of
it is the exclusion of others from participa-
ting in it. ' ' ^
We will ,ce;rtainly support that ame'ndriient
and I may say that I assume this meets the
wishes of the hon. member for Kitchener,
but in any event we would not agree to stack
this vote. It would be our way of indipiatirig
quite clearly that we continue to oppose
this particular bill and wie are now focusing
our attention upon the specific taxing sub-
section of section 2, which imposes the tax.
We would therefore call for a vote on this
amendment.
Mr. Breithaupt: Right now?
Mr. Renwick: Right now.
Mr. Chairman: Are you ready for the
motion?
APRIL 23. 1974
1285
Mr. J. F. Foulds (Port Arthur): Unless, of
course, the minister is going to accept it
Mr. Chairman: Does the minister wish to
respond?
Hon. Mr. Mecn: Yes. Mr. Chairman,
obviously I can't support this positicm. It
flies completely in the face of everything
that I said in my reply on second reading.
We cannot undertake something that is with-
out our constitutional competence to have
such a provision. I am going to repeat all
the arguments I advanced yesterday. The
hon. member for Kitchener was in the House
during, I think, part of that debate yester-
day afternoon. I am not sure that the mem-
ber for Riverdale was here at thaft time. But
in any event I cannot accept it. Our provi-
sions here we believe are within our consti-
tutional competence and I would urge the
House to reject the amendment at this time.
Mr. Chairman: Order please. We are con-
sidering a motion by Mr. Breithaupt. Mr.
Breithaupt moves that subsection (2) of
section 2 of Bill 26 be amended so that all
the words after the word "transferee" on
line 3 be struck out and the following sub-
stituted: "shall contain an affidavit that the
transferee is a Canadian citizen or has
landed immigrant status."
The committee divided on Mr. Breithaupt's
amendment which was negatived on the fol-
lowing vote:
Clerk of the House: Mr. Chairman, the
"ayes" are 32, the "nays" are 52.
Mr. Chairman: I declare the motion lost
and the section carried.
Section 2 agreed to.
Mr. Chairman: Any comment, question or
amendment on sections 3, 4 or 5?
Mr. Renwick: I couldn't possibly miss the
opportunity of speaking when we have such
a large audience.
Mr. Chairman: On which section?
Interjections by hon. members.
Hon. A. Grossman (Provincial Secretary
for Resources Development): We'll fix that
in a minute.
Mr. Chairman: The member for Riverdale,
on which section?
Hon. Mr. Meen: Could I ask what sec-
tion?
Mr. R. F. Nixon (Leader of the Opposi-
tion): Any section.
Mr. I. Deans (Wentworth): Three, foui
or five? That is what be asked.
Mr. Chairman: On section 3, 4 or 5.
Mr. Renwick: Mr. Chairman, a minor com-
ment on section 3. Section 3, for practical
purposes provides no change, as I understand
it, from the—
Hon. Mr. Mecn: It is a modification of
the old Act to adapt it.
Mr. Renwick: A minor modification of the
old Act, but in substance you don't intend
to change any collection or reporting pro-
cedure with respect to the amount of tax
paid so far as the responsibility of the col-
lector is concerned.
But on subsection (4), I am reallv con-
cerned about two aspects. One I touched on
earlier this afternoon, and that is the imme-
diate necessity of revising the affidavits with
respect to residence to provide adequate
protection for the Treasury to assume col-
lection of the tax.
At the time the land transfer tax was an
internal operation conducted mainly by the
legal profession, and the tax was not a mat-
ter of great moment and there was little
opportunity for evasion, this was not impor-
tant and you could rely on aflBdavit evidence
at the time the conveyance was tendered for
registration to make certain that the tax was
paid.
There was no problem. I doubt if there
was very much fraud or misrepresentation
with respect to collection of the tax.
There is an immense incentive now to re-
tain lawyers and others with great expertise
to avoid this tax. If that is the case, then
I refer to the comments made somewhat
earlier about the nature of the affidavits
whfch should be framed to make Certain
persons swearing to the affidavits are fully
aware of what they are .swearing to and to
make absolutely certain that to the extent
that the transferee corporation is swearing
the affidavit, you get the responsible officers
to be the ones who must swear the affidavit
and to make certain that the proper t.ut is
paid.
I note it is vcTy conveniently tucked away
in this particular section, but I raise again
that this is the section which saxTS, when the
affidavit is made by the transferor or his
agent or solicitor, the transferor is personally
liable to the Crown jointly and severally
1286
ONTARIO LEGISLATURE
with the transferee for the amount of the
tax. It is a joint and several liability imposed
upon the transferor, that is, the resident in
Ontario or the non-resident and the trans-
feree who is the non-resident. There is a
further provision that if the transferor is the
one who has to pay he has got a right over
against the transferee to collect the tax.
I am suggesting that the government is
inviting a constitutional challenge to the tax
on the basis that it is not direct taxation
within the province in order for the raising
of revenue for provincial purposes as re-
quired by the British North America Act,
because the intention of this Act is that the
non-resident will pay the tax. The event
which triggers the tax is tendering the con-
veyance. It is not a tax on land; it is not a
tax on the document which is tendered; it
is a tax payable by and intended to be pay-
able by the non-resident person. You are
imposing a tax on a person beyond the juris-
diction of the province. I am suggesting to
you—
Hon. G. A. Kerr (Solicitor General):
Everybody pays.
Mr. Renwick: —that you have invited a
challenge because it is not the person who
tenders the conveyance who is liable for the
tax, because normally the person who tenders
the conveyance is either the solicitor who
closes the transaction or the agent—
Hon. Mr. Kerr: The purchaser pays.
Mr. Renwick: Sometimes the purchaser's
agent. I am simply saying that the person
who in his personal capacity appears at the
registry oflRce and tenders the document,
which is what triggers the tax, is not the per-
son who is liable to pay the tax The person
who is liable to pay the tax is the trans-
feree, and the transferee who has to pay the
tax is a non-resident.
Hon. Mr. Kerr: He pays more. Everybo^
pays; he just pays more.
Mr. Renwick: The non-resident has to pay
this particular tax. He has to pay more but
he has to pay it under a different subsection
than a resident. I am simply suggesting to
the ministry that, quite properly, they have
said when the transferor or his agent or his
solicitor tenders he is jointly and severally
liable. That is a protective provision to pro-
tect the Treasury.
The intention of the bill is to impose a
substantial increase in tax at the rate of 20
per cent under a separate section of the bill
on the transferee who is a non-resident. I am
simply suggesting that there is a very real
question in my mind as to whether or not
that happens to be a direct taxation within
the province in order for the raising of
revenue for provincial purposes. And this, Mr.
Chairman, will be a convenient time to break.
Mr. Chairman: Will there be further dis-
cussion on this section?
Mr. Renwick: Oh, yes.
Hon. Mr. Winkler moves the committee of
the whole House rise and report progress and
ask for leave to sit again.
Motion agreed to.
Mr. Deans: Are you going to the health
bill tonight?
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): We are going to item
6 this evening.
The House resumed, Mr. Speaker in the
chair.
Mr. Chairman: Mr. Speaker the committee
of the whole House begs to report progress
and asks for leave to sit again.
Report agreed to.
It being 6 o'clock, p.m., the House took
recess.
APRIL 23. 1974 1287
CONTENTS
Tuesday, April 23, 1974
GO-Urban system, statement by Mr. Rhodes 1247
Sales tax, statement by Mr. Meen 1248
CO-Urban system, questions of Mr. Rhodes: Mr. R. F. Nixon, Mr. Lewis 1248
Pup trailers, questions of Mr. Rhodes: Mr. R. F. Nixon, Mr. Deacon 1249
Oil prices, questions of Mr. McKeough: Mr. R. F. Nixon, Mr. Lewis, Mr. MacDooald 1250
Hospital wage ceilings, questions of Mr. Miller: Mr. Lewis, Mr. R. F. Nixon 1252
Licensing of landfill sites; environmental impact of public worics, questkms of
Mr. W. Newman: Mr. Lewis 1253
Renfrew physicians' and surgeons' appeal, questions of Mr. Miller: Mr. Lewis 1253
Rapid Data, questions of Mr. Clement: Mr. Haggerty 1254
OHC tenants dispute, questions of Mr. Handleman: Mr. Singer, Mr. Deacon 1254
Ban on silent films in licensed premises, question of Mr. Clement: Mr. Shulman 1255
Tax exemptions for benefit sales, questions of Mr. Meen: Mr. Good 1255
Health Disciplines Act, question of Mr. Miller: Mr. Drea 1256
Burning of wilderness cabins, questions of Mr. Grossman: Mr. Foulds 1256
Shining Tree phone services, question of Mr. Rhodes: Mr. Laughren 1256
Violence in amateur hockey, questions of Mr. Brunelle: Mr. Reid 1257
Admissions tests at Cambrian College, questions of Mr. Auld: Mr. Germa 1257
Ottawa area land scheme, questions of Mr. Handleman: Mr. Roy 1257
Workmen's Compensation Board pensions, questions of Mr. Cuindon: Mr. Dettns,
Mr. Reid, Mr. Lewis 1258
Losses from broken liquor cases, questions of Mr. Clement: Mr. Shulman 1259
Flood insurance, questions of Mr. Grossman: Mr. B. Newman 1259
Methane gas, questions of Mr. McKeough: Mr. Burr 1259
Ontario Water Resources Act, bill to amend, Mr. W. Newman, first reading 1260
Mim'stry of Housing Act, bill to amend, Mr. Handleman, first reading 1260
Environmental Protection Act, bill to amend, Mr. W. Newman, first reading 1261
Public Hospitals Act, bill to amend, Mr. Roy, first reading 1261
Pesticides Act, bill to amend, Mr. W. Newman, first reading 1261
Rent Control and Security of Tenure Act, bill to provide for, Mr. Cassidy, first reading 1261
Land Transfer Tax Act, bill respecting, in committee 1262
Recess, 6 o'dodc 1286
No. 30
iid^
Ontario
Hegisflature of d^ntario
OFFICIAL REPORT — DAILY EDITION
Fourth Session of the Twenty-Ninth Legislature
Tuesday, April 23, 1974
Evening Session
Speaker: Honourable Allan Edward Reuter
Clerk: Roderick Lewis, QC
THE QUEEN'S PRINTER
PARLIAMENT BUILDINGS, TORONTO
1974
Price per session, $10.00. Address, Cl'.rk of the House, Parliament Bldgs., Toronto
CX)NTENTS
( Daily index of proceedings appears at back of this issue. )
1291
LEGISLATIVE ASSEMBLY OF ONTARIO
The House resumed at 8 o'clock, p.m.
HEALTH DISCIPUNES ACT
Hon. Mr. Miller moves second reading of
BUI 22, the Health Disciplines Act, 1974.
Mr. Speaker: The hon. member for Ottawa
East.
Mr. A. J. Roy (Ottawa East): Thank you,
Mr. Speaker. The first comment I would
like to make on the bill is that we wish the
minister well in the health field. It is hoped
that he will not continue the perpetration of
the mistakes made by his predecessors. I go
back to the hon, member for Carleton East
(Mr. Lawrence), the present Minister of
Education (Mr. Wells) when he was Minister
of Health, and this minister's predecessor,
now the Minister of Correctional Services
(Mr. Potter).
This minister seems to have been making
statements lately which indicate that he
intends to sort of fly on his own— that he
intends to depart from some of the approaches
taken by his predecessors. But I'm afraid
that maybe the approach he is taking in
relation to this bill is certainly not evidence
that he intends to deal effectively and
thoroughly and logically with the problem
of health delivery in this province.
The reason I say this is that some two
weeks ago we had presented in the House
the Mustard report. In his statements on the
Mustard report he said at the time, as I
recall, and he can correct me if I'm wrong,
that he wanted to study the recommendations
of the Mustard report for a period of four
or five months before bringing in legisla-
tion or legislative changes. Yet he wants to
press ahead with the Health Disciplines
Act. That is not evidence of any consistency
or any willingness on his part to bring on
major changes in the health field.
Looking at some of the recommendations
in the Mustard report, I can't see how he
can proceed vdth the Health Discipbnes
Act. In fact, what may well happen is that
if he passes certain matters in this Act,
it could well prohibit the adoption of cer-
tain recommendations in the Mustard report.
Tuesday, April 23, 1974
I look at some of the recommendations
of the report— for instance, die section where
they divide between the primary contact with
the public and the primary and secondary
aspects of health; or the recommendation for
sharing of tasks and delegation of responsi-
bility among all health personnel in the
group in order to achieve optimum eflBcicncy
in the provisioas of health service of hi^
quality; the establishment and operation of
an evaluation procedure based on an audit
of health services in the review of the per-
formance of health personnel by their peers;
the recommendation for the proposed health
district services; the provision of an effec-
tive WMisulting advisory service.
In other words, the Mustard report looks
at the question of the health delivery
system, the various professions, as a pack-
age, as a relationship or distribution of
responsibilities in this field between pro-
fessions, alhed health professionals, and so
on. Had there not been any Mustard report
I can't see how the minister could bring in
a total package when he only dealt with
five disciplines— when he didn't want to deal
with all the disciplines together and show
the co-relationship of all the disciplines in
the total health package.
First of all why did he decide to come
along with orJy five disciplines? In fact
the five disciplines have not changed all
that much in their aspect of responsibility.
What he has done basically in diis bfll is
to take various Acts and put them all under
one Act called the Health Disciplines Act.
I congratulate the minister for setting up
what is called the Health Disciplines Board
and this type of thing, and I intend to make
comments about this later on. But I was
concerned first of all that the minister was
dealing with only five disciplines, and sec-
ondly and more importantly the evidence
given to us by the Mustard report in the
recommendations make it exceeoin^y diflS-
cult— in other words he is doing things piece-
meal, the problem that his predecessors ran
into.
I look at the present Minister of Correc-
tional Services. His problem was that in light
of the fact that they were spending so much
1292
ONTARIO LEGISLATURE
money, that they had so many people in-
volved, he kept dealing with peripheral
things. I would suggest to the minister he is
not really attacking the problem as set out
in the Mustard report.
Let me read to him some of the things
that in fact the Mustard report had to say
about the health problem.
Mr. Speaker: I should point out to the hon.
member that in debate on second reading we
deal with the principle of the bill as enu-
merated in the bill. I have not restricted
some straying from the principle but I think
the hon. member-
Mr. E. Sargent (Grey-Bruce): He is right
on target.
Mr. Speaker: —should not stray too far by
reading at any great length from any other
report.
Mr. Roy: No, I don't intend to read at any
great length. But Mr. Speaker, we are dealing
with the principle of a bill that deals with
five maior disciplines. The Mustard report
gets right into that and it is the same prin-
ciple basically. I don't want in any way to
crowd your ruling.
Mr. Speaker: Well, the hon. member for
Grey-Bruce says it is all right, so proceed.
Mr. Roy: Mr. Speaker, that's why I
brought him in here. I said, "If the Speaker
gives me a bad time, Eddie, you take care
of him."
In any event, Mr. Speaker, if I might just
read some of the aspects of the Mustard
report which deal basically with the prob-
lem of health delivery, the question of pro-
fessionals. I read from page 3 of the report
where it states:
The provision of universal health insur-
ance has not automatically improved the
level of health for the population of On-
tario.
Rieht there is quite an indictment to the
system as—
Hon. F. S. Miller (Minister of Health): The
Liberal government.
Mr. Roy: The Liberal Gjovernment? This
e^overnment was the one that brought it in.
It wasn't forced to come into that. It brought
it in. It can't blame the Liberals for all its
mistakes— certainly not in health.
Hon. G. A. Kerr (Solicitor General): Come
off it, it was blackmail.
Mr. Roy: The minister doesn't know what
I am talking about so he shouldn't make any
noise.
In any event, Mr. Speaker— he is minister
of— what now? Solicitor to something? The
pinball man.
Mr. Sargent: The Solicitor General should
be downstairs, in the Attorney General's deal.
Mr. Speaker: Order. Let's get back to the
bill.
Mr. Roy: He is being provocative, Mr.
Speaker. The report goes on to say, Mr.
Speaker:
While it is true that under OHIP many
people have been able to obtain medical
services that they could not afford in the
past, in certain areas of the province cer-
tain residents still do not have access to
the services they need, and more signifi-
cantly, where the need for service is great-
est new measures have been undertaken to
influence the social and environmental caus-
es of ill health and none in co-ordination
with the provisions of remedial service.
Hon. Mr. Kerr: Still not talking on the
bill.
Mr. R. Haggerty (Welland South): Right
on.
Mr. Roy: This is supposed to be an objec-
tive group saying this, it is not the opposi-
tion. That is what we have been saying all
along, that we are being supported by this
task force that was appointed in Health. It
goes on to say:
In short, no plan has been developed
for the delivery of health services in re-
lation to the overall needs of the popula-
tion.
Again, it is a telling indictment of the ap-
proach to health taken by this government,
Mr. Speaker. It goes on:
Some problems inherent in the current
arran^rements are the concentration of the
specialtv services within hospitals, the ran-
dom dispersal of general physicians
throughout the province.
That's what we are dealing with now—
physicians.
Hon. Mr. Kerr: He's still not talking to
the bill.
Mr. Roy: The minister doesn't understand
"—the lack of co-ordination"— read this— "the
lack of co-ordination among specialty ser-
vices—." What is the Health Disciplines Act
APRIL 23. 1974
1293
all about? It is supposed to be right on this,
the co-ordination of—
Hon. Mr. Kerr: More Liberal midwives.
Mr. Roy: Quoting:
—the lack of co-ordination among spe-
cialty services, family practitioners, public
health services, and otner personal nealth
services, the inaccessibiilty to service in
certain areas of the province.
Anyway, Mr. Speaker, the report points
out the deficiencies in the system, and if I
might just deal with another problem which
has been pointed out by the Mustard report,
it says:
It was only to be expected that health
costs would rise in Ontario, in view of the
fact that under OHIP more people were
using health services than had previously
been the case. The cause for concern, how-
ever, has been the proportion of costs
inciured in providing health services as
related' to the benefits resulting from their
•provision. It appears that the two are not
in balance.
Mr. Speaker, just one line of page 5 says:
Any changes that are made in the or-
ganization of delivery of health services
will require related adjustments in the
training and education of health profes-
sionals.
Again the report points out the deficiendes
in relation to the individuals within the
system. Another aspect of the report, Mr.
Speaker-
Mr. Speaker: Order, please. I think really
the hon. member should not completely re-
view the Mustard report. He should not be
speaking of things that are not in the bill.
He should speak to the principle of this
bill before us.
Mr. Roy: Mr. Speaker, this biH has 176
sections which deal with five professions-
dentistry, nursing, medicine, optometry and
pharmacy— and these individuals are all dealt
with extensively in the Mustard report and
that is what Im reading. This is right on.
Mr. Speaker: It seems to me die hon.
member is just-
Mr. Roy: I know it's embarrassing to the
goverrunent, Mr. Speaker, but I feel I must
say these things. They're in the report and
I feel it's pertinent to tnis.
An hon. member: The federal govern-
ment is embarrassed.
Mr. Roy: We're talking about tfte ixnprove>
ment of heahh delivery. We're talking about
the co-ordination of professions.
Mr. Speaker: With respect, will the hon.
member please keep to the principle of this
bill?
Mr. Roy: Yes. Right on. It states here.
Mr. Speaker, just two Hnes: **There must be
a shift away from the traditional focus of
health services in a hospital setting to com-
munity settings accessible to the public."
In any event, Mr. Speaker, I think it's im-
portant that we ask the minister how he
can possibly proceed with this bill now, in
light of the recommendations in the Mustard
report and in light of the fact that they
taXk about co-or<Snation among professions,
which he doesn't deal with here.
He sets up a sort of rigidity in the pro-
fessions which in fact inhibits transferability
of functions, for instance, in relation to what
the nurse practitioners can do. We feel, Mr.
Speaker, in the light of this aspect that the
bill should not proceed now.
(In fact, it's ironic that when the govern-
ment asked for the Mustard report, when it
set up this commission, some of the terms
of reference are very interesting. I think,
Mr. Speaker, I should read just briefly the
terms of reference, which only have 10 lines,
and point out to the minister why he is de-
laying, for instance, the Mustard report or
wny he is going ahead with this bill. Why
doesn't he proceed with the two jointly?
Apart from the fact that the conmiittee was
"asked to develop proposals for a compre-
hensive plan to meet the health needs of the
people of Ontario," at the end of the terms
of reference it went on to say: To the
maximum extent possible, the committee is
requested to employ interim reports so that
the most pressing problems can oe addressed
without delay."
What is the mim'ster doing if he's putting
this over for four or five months and yet
he is proceeding with this bill? He had
asked for interim reports. He felt Aat there
were some pressing problems that had to be
dealt witfi immediately. The minister is not
dealing with them.
Now, Mr. Speaker, another aspect of tfie
bill which gives us great concern is the
fact that apparently what has been done is the
taking of various Acts dealing with these
various disciplines— dentistry, medicine and
so on-and lumping of them under this par-
ticular bill. Unfortunately a lot of powers
seem to have been left to the executive arm-
in other words, order-in-coundl regulations,
1294
ONTARIO LEGISLATURE
which we will never see in this House. That
is a great concern to us. Regulations are
passed. My God, one only has to look at the
great stack of regulations— and, of course, I'm
may be straying away from the principle of
the bill; and I just do it with permission, Mr.
Speaker-
Mr. Speaker: What permission is that?
Mr. Roy: Pardon me? The regulation com-
mittee is a useless fimction.
Interjections by hon. members.
Mr. Roy: No, but what I— I'm very honest
about it; I tell you when I'm off the principle
of the bill.
Mr. Speaker: Well I recognize it— I recog-
nize it.
Mr. Roy: Yes. In any event, we are greatly
concerned about the fact that a lot of matters,
a lot of aspects of the practice of these vari-
ous professions, these various disciphnes, are
going to be set up by way of regulations
which we will never see.
*I think by the minister's own admission he
hasn't started to draft the regulations. In
fact, in answer to a question in the House
dealing with the question of optometrists
and the diflBculties of the optometrists and
the opposition they have— the minister has
the regulations here. Will we get to see them
when the bill is being discussed?
I take it, Mr. Speaker, if the minister
would answer this question, this bill is going
to standing committee, is it not? He shakes
his head yes. We should put that on the
record. It's going to standing committee.
In any event, we feel that too many as-
pects of the bill are going to be dealt with
by regulation. I would be very much sur-
prised to see that he had all the regulations
in the bill for all the various professions. He
doesn't? He admits that. Put that on the
record. Yes, we've got to get that on the
record.
An hon. member: The member is a very
trusting soul.
Mr. Roy: In any event-
Mr. J. A. Renvnck (Riverdale): It all
goes on the record.
Mr. Roy: The nodding as well?
Interjections by hon. members.
Mr. Roy: It's a matter of approach, you
see.
Mr. Speaker: The shaking of the head is
not recorded in Hansard.
An hon. member: Yes, it is.
Mr. Roy: In any event, Mr. Speaker, we
are greatly concerned about the fact that
too many aspects of the disciplines will have
to be dealt with by regulation. And surely
there must be some way the minister can let
us know about it in certain areas.
For instance, we thought an important area
is the opposition by the medical profession
to the use of drugs by the optometrists. Why
isn't that regulation prepared so we know
exactly what drugs the optometrists are
going to be using? Is it prepared? I guess
not— he's shaking his head. That means no.
In any event, Mr. Speaker, we feel to prop-
erly support, or not support the government
on this issue, it would be wise for us to see
the regulation.
Another aspect of the bill which makes it
evident that the minister doesn't intend to
change his ways, in spite of his statement,
is the fact that he is dealing with the pro-
fession of dentistry, and yet he has not
solved the problem of denturists.
We are extremely disappointed and sur-
prised by this approach because it appeared
to us that following his nomination as the
Minister of Health, he made certain rum-
blings that he was reconsidering—
Mr. D. C. MacDonald (York South): Not
nomination.
Mr. Roy: —in fact, reconsidering this
whole problem.
An hon. member: Rumination.
Mr. F. Laughren (Nickel Belt): What is
his position on denturists?
Mr. Roy: And in fact, if I mi^t read—
and this is right on the principle of the bill,
Mr. Speaker— correspondence that the minis-
ter had with the denturists; if I might read
a reply to the denturists by way of a letter
dated March 12, 1974.
Hon. Mr. Miller: Is this one of mine?
Mr. Roy: It is signed, "Frank S. Miller,
Minister of Health." It is directed to the
attention of Mr. Groves, the president of
the Licensed Denture Therapists of Ontario.
It says:
Thank you for your thoughtful letter
concerning the denturists' proolem. I am
keenly aware of it. I can assure you that
the problem is not going unattended at the
APRIL 23, 1974
1205
present time. It may be a bit [A bit, he
says!] premature to make any comment—
Although at that time the minister had al-
ready made some comments; just let the cat
out of the bag-that sort of thing. He had
indicated he was reconsidering the situation
and was not strudc by the former Health
Minister's approach on the problem. He
says:
It may be a bit premature to make any
comments upon possible changes in the
working conditions or licensing require-
ments. However, I can assure you that a
solution to the problem remains one of
the highest priorities.
Now, what happened to that? The minister
has made certain comments in the House.
We've been sitting-
Mr. M. Shulman (High Park): It still re-
mains a high priority.
Mr. Roy: Pardon?
Mr. Shulman: It still remains a high
priority.
Mr. Roy: Yes, it still remains a high
priority. Well, that's a good-
Mr. Shulman: He should resign.
Mr. Roy: Well, I wouldn't ask for his
resignation. I'm not as combative as the
member for High Park. He only gave the
minister 20 days. I gave him an extra 20
days. He is slowly running out of time if he
keeps talcing this approach-
Mr. Shulman: He's slowly sinking below
the waves.
Mr. Roy: How can the minister deal eflFec-
tively with the dentistry situation, without
settling once and for all this question of the
denturists? The bill brought in by the minis-
ter's predecessor obviously was only a half-
hearted measure. But he has gone ahead and
attempted to lay charges against certain
people. We don't know whether the minister
is going to proceed with the prosecutions.
I'd like to have an answer on that.
Does the minister intend to close all the
others who are practising illegally? If he
doesn't, what consistency do we have there?
What permits the minister to close up cer-
tain shops and to leave other shops open?
Mr. Shulman: It's a lottery.
Mr. Roy: And in the light of the minister's
statement, giving them a certain amount of
credence, that he was prepared to reconsider
or that he was looking at the situation,
doesn't the minister think it's high time that
he made a policy decision on this? And why
did he miss the opportunity to include it in
this bill? In fact, sections 27 and 29 of the
bill deal with the question of denturists up
to a point Why didn't the minister settle it
once and for all? And if he doesn't intend
to deal with it-
Mr. Shulman: Does the minister suffer
from indecisions?
Hon. Mr. Miller: Is that a disease?
Mr. Shulman: Yes, it is for politicians-
even young ones.
Mr. Roy: I suspect that possibly as a
person the minister is a very affable fellow-
he is not as abrasive as his predecessor.
Hon. Mr. Miller: I even like the hon. mem*
ber for Ottawa East.
Mr. Shulman: We will give him a local
anaesthetic.
Mr. Roy: It mi^t take us longer to get
to the minister, but if he keeps going at
this rate and starts dealing offhandedly with
problems such as this, he is going to be in
big trouble soon, because he is going to be
setting the same pattern as two or three of
his predecessors.
For instance, why doesn't the minister
admit to the House that in his opinion the
dentiuists should be able to practise without
the supervision of dentists? And that it is a
fact that the minister took it to caucus, that
it was his caucus that spoke against it, and
that's why he ran into trouble. The caucus
is against him. Why doesn't he wipe the slate
clean and tell us about it, and not leave us—
Mr. Shulman: And remember that no Min-
ister of Health has ever been promoted; they
have all gone downhill.
Mr. Royi Right.
Hon. Mr. Miller: How could one be pro-
moted?
An hon. member: It's a very unhealthy
portfolio.
Mr. Roy: The minister is a very ambitious
young man. Surely he wants to go places.
We are giving him advice as to how to en-
hance his position.
Mr. Speaker: Order, please. These personal
observations are not in die bill.
1296
ONTARIO LEGISLATURE
Mr. Roy: I think they really are, Mr.
Speaker—
Hon. Mr. Kerr: They are on the principle-
Mr. Roy: They are on the principle of the
bill, aren't they?
Hon. Mr, Kerr: They are on the principle
of the bill.
Mr. Roy: Are you going to bring me to
order when I am being complimentary toward
the Minister of Health, Mr. Speaker?
Mr. Speaker: I might. I might.
Mr. Roy: You might? Anyway, I am pretty
well finished on that point. I can't be com-
plimentary for too long. But it seems to us
that if the minister really wanted to settle
this problem once and for all, he had the
ideal opportunity to do it in this bill. And
we'd like to know why he didn't do it.
Mr. Shulman: They'll settle it after the
next election.
Mr. Roy: In fact, he went on a frolic of his
own on the question of the squabble between
the medical profession and the optometrists.
Since the minister has taken that approach
toward the optometrists, surely he must have
some sympathy for the denturists if he is
going to have any consistency in his ap-
proach.
Mr. Shulman: If he's going to take on the
doctors, he might as well knock off the
dentists at the same time.
Mr. Roy: Why not? He's got the doctors
mad. And the way it is now he's got every-
body mad.
An hon. member: I am not mad.
Hon. J. W. Snow (Minister of Government
Services): Even the opposition.
Mr. Roy: He's got the dentists mad at
him because they think he is going to
change his mind. And he has got the den-
turists still hoping that he will change his
mind but mad at him because he can't make
up his mind.
Mr. Shulman: But the psychiatrists like
him.
Mr. Roy: So he is losing votes quickly for
his party.
Mr. W. J. Nuttall (Frontenac-Addington):
We can lose a lot and still win.
Mr. Roy: In any event, Mr. Speaker, we
felt that the minister should have dealt
with this problem once and for all in this
bill Having said that, if I might, I would
like to proceed with certain other comments.
Mr. Speaker, I would like to deal briefly
with certain sections of the bill. We don't
intend to deal with individual disciplines,
but we certainly support the government on
the matter of setting up a Health Disciplines
Board. We feel that this is an important
aspect of the bill, and we will certainly
support the government. The fact that there
will be lay representation on these discipline
committees and on the board is certainly
a step forward.
The members on this side of the House
take great pride in supporting this, because
the minister will recall, when he was a par-
liamentary assistant, that we raised the ques-
tion some time ago of conflict of interest
on the board of ophthalmic dispensers because
five members of a particular company were
on the board, and we suggested that the
minister should name one or two lay mem-
bers to that board. In fact, we have made
some suggestions as to who the lay member
should be.
The minister accepted our suggestion and
at least he has had the good sense to
follow our suggestion by setting up these
particular boards. I intend to come back
to the question of the board. The member
for Downsview (Mr. Singer) intends to deal
in depth with the question of the board
and the powers it should have but doesn't
have, such as the powers of representation
and the fact one can examine and cross-
examine witnesses and so on.
Mr. Speaker, if I might just make certain
comments in relation to the setting up of
the board.
For instance, in section 4 of the bill where
changes can be made and submissions made
to the minister, we feel that these sub-
missions should be made to a committee;
they should be made to the Legislature
as well.
If the minister intends to have lay repre-
sentation, if he intends really to have some
public input, he should try as often as
possible to involve the Legislature in de-
cisions and let the Legislature know what
some of these recommendations are.
We feel that in setting up the board, first
of all, the terms— the regional appointment
on the board— should be for a period of one,
two or three years. Mr. Speaker, we feel
there should be a time limit to when people
APRIL 23, 1974
1207
can be appointed to a board. With boards
we have often seen rigidity in approaches
to problems whether it is in health or any-
where else. We have seen difficulty in
boards adapting to relevant community situa-
tions, to the changing times. We are in
changing times and matters change from one
year to the next. If we have a board
appointed with no term— in other words,
the\' can be reappointed indefinitely— we
suggest, Mr. Speaker, that tends to cause
certain rigidity in the board.
We feel as well that the minister should
spell out whether this is a full-time or part-
time occupation for the members of the
board. We would like to have the minister's
comments on whether these people are
going to be on this full-time. We feel that
an important board such as this with a
regulating, in fact, a watchdog approach
over so many professions possibly should be
on a full-time basis.
We would like to know from the minister,
as well, what kind of money the minister
has in mind when he is going to be paying
these people certain remuneration. We would
like to know what amounts he has in mind.
We feel that when the board, pursuant to
section 7, will be submitting reports, these
reports should not only be made to the
minister— the reports should be made to the
Legislature. It may well be that the minister
may decide to make the reports public to
the Legislature but we feel it should be in
the legislation.
We are concerned as well— and I would
like to get the minister's comment on this—
that the board will be composed strictly of
lay representation. For instance, section 7(2)
states that the board can seek legal advice
independent from the parties. In other words,
to assist them in their deliberations or in
making certain decisions. I wonder, when
we have a board with lay representation
like this, whether the minister should not
ha\'e in the legislation as well that the
board can seek expert advice. I mean, if
the>- are dealing with technical problems in
a field, be it dentistry or pharmacy or
medicine, what sort of guidance can a board
have?
We feel, Mr. Speaker, that it should not only
get legal advice, it should be able to get ex-
pert advice as well. Of course, expert advice
can be obtained, but not necessarily, from
people who are within the certain professions
involved in the decision. We feel there should
be something in the legislation that would
allow this board to seek a certain amount of
guidance. It appears to me to be logical that
lay representatives don't have sufBdeot know-
ledge of some of these very technical fields.
Why wouldn't you have it in vour legisUtioo
when you say in section 7 (2), for instance,
that they can seek legal advice, that they
could seek expert advice as well?
Mr. Speaker, we feel that certain matters
in the board could certainly use improvements
and my colleague, the member for Downs-
view, intends to go into this. If the minister
would have read his bill that he presented
in the House he would have seen what sort
of a setup he gives to the board that he had
in mind. We feel that the legislation does not
provide for any representation before the
board, the calling of evidence, the cross-
examining of witnesses. We feel that the
legislation does not provide, when decisions
are made, for any reasons given for the de-
cision. Surely the best way to challenge a
decision is to find out what the reasons are.
How can one go on to appeal? There are pro-
visions in your bill for appeal, but it gets
extremely difficult for one to say whether
your decision was good or bad without hav-
ing any reasons.
We feel, for instance, that the board does
not have any time limit for making a de-
cision. Certain setups in the board— for in-
stance the complaints from the registrar and
that— have time limits to make certain de-
cisions. You have certain time limits for in-
stance, in section 9 and section 8. Why
wouldn't you have time limits for the board
to be making its decision?
Mr. Speaker, we feel that these aspects
would certainly improve the board. I notice
that the minister inserts in section 11(5) that
the Statutory Powers Procedure Act, section
15 and 16, will be applicable. Why would he
not insert that, for instance, in section 17
which deals with the question of reasons
given for decision? Why would he not indude
that section if he is going to talk about the
Statutory Powers Procedure Act? In other
words, if he is going to set up a board surely
he should do a complete and whole package
of this-set out the time limits that the board
has to make a decision.
Secondly, what are the rights of individuals
before this board? Can they call any evi-
dence? Can they cross-examine witnesses? Can
they have reasons for their decisions? Is
there a time limit when the board has to
make a decision?
We feel, Mr. Speaker, that these are all
matters that would certainly improve this
board. If these amendments are not made,
I can't see how one who feels he has been
1298
ONTARIO LEGISLATURE
wronged will feel that he is getting a full
and fair hearing before this board if there are
no procedures by which he can get this full
and complete hearing.
What about the right to counsel before the
board? I don't see anything in the legislation
here allowing individuals to have counsel.
Mr, Speaker, we also feel that certain
aspects of the legislation go too far. For
instance, we feel that when it comes to the
immunity of the board, the immunity of the
members of a college or council and the
comrnittee, which are dealt with in section
16, the legislation goes too far. I could see
protection given to individuals for instance,
for any act done in good faith. But it seems
to me that secton 16 goes a bit far when it
says that no action shall be taken even for
neglect or default in performance. I would
just like to get the minister's comments as to
why he's prepared to go that far.
There's one aspect of this bill which was a
surprise and was not fully publicized. This
was that in section 17 of the Act, the limita-
tion period is extended for taking actions
against the professions which are governed
by this Act.
As you know, Mr. Speaker, most pro-
fessions had a time limit of one year. The
limitation period now— and I would like to
get the minister's comments on this— the
way I read the section is that the limitation
period is extended for some two years.
That is what I consider to be a precedent-
setting piece of legislation. The court may
extend the time for commencing an action
either before or after the time limit.
I am . surprised that we have not heard
too many complaints from the various pro-
fessions on this. The time limit for the
starting of actions has been extended— in
fact, doubled— and jurisdiction given to the
courts to extend the limitation period. In
my limited experience in the law, I've never
seen legislation whereby courts had power
to extend limitation periods, not only before
the limitation has expired, but, according
to this legislation here, after the time has
been limited. I would like to get the min-
ister's comments on this.
It's a cardinal rule in law, Mr. Speaker,
that once your time limit has expired for
any particular action, generally speaking the
court has no jurisdiction whatsoever to ex-
tend the time. For instance, in motor vehicle
accidents the time limit is one year, and
after one year the court has no jurisdiction,
whether you have a valid action or an action
in good faith or not, to extend the period.
That's the way I read this section here.
Possibly the minister can clarify the situa-
tion. Possibly my colleague for Downsxiew
might have some comments that, in fact, the
limitation period is too short— two years. In
my opinion, this is something that we would
support, especially when you're dealing with
actions that are diflBcult and complex, be it
medical malpractice or otherwise. Very often
it will take a period of two years for the
individual to realize the seriousness of what-
ever injury or whatever damages he might
have incurred because of the negligence or
the malpractice of any individual. Very often
he is limited. He is statute-barred because
his action has not been started within a
period of a year.
So, it should be very interesting, Mr.
Speaker, to see how the courts interpret
that particular section. The section goes on
to say that the court can extend it on such
terms as it considers proper where it is
satisfied that there are prima facie grounds
for relief, and that no substantial prejudice
or hardship will result to any person affected
by reason of delay. I think, Mr. Speaker,
that this type of legislation will certainly
receive comment in standing committee.
The other aspect of the legislation that
I would like to make a comment on, Mr.
Speaker, is section 18 of the bill where
certain fines can be imposed on individuals,
for instance, for falsification of certification
or ofi^ences involving false representation,
I would think that it might be wise for the
minister to include in these sections pro-
visions whereby in the court or whatever
body it is that imposes these fines or pen-
alties the cost of the investigation would
be part of the penalty imposed.
Some of these investigations can be very
long, very complex and very expensive. I
would think that the court should be given
this discretion where they are going to in-
vestigate certain situations and where they
incur certain expenses. That's the approach
we're taking to law. That's better than
throwing someone in jail or where the type
of retribution is to make someone pay for
the cost of the investigation. I think the
Law Society of Upper Canada in fact has
instilled this. Very often when they're im-
posing certain i)enalties, they make in-
dividuals pay the cost of the investigation.
Mr. Speaker, I do not intend to deal with
the various disciplines at length, except to
make certain comments about matters that
have been raised recently. We feel that there
may well be conflicts of interest in certain
sections of this bill. For instance, in the sec-
APRIL 23. 1974
1299
tion dealine with nursing, section 75, there
ma\- well be a conflict there in the sense
that the discipline body carries the malprac-
tice insurance for the nurses, and at the same
time is responsible for disciplining them. It
just appears to us a strange situation.
We feel, Mr. Speaker, that section 117
of the Act might well be looked at as well.
This falls under the part relating to phar-
macy. At the present time, hospitals are
exempted from the Pharmacy Act, and very
often the nurse is expected to dispense medi-
cation if the hospital pharmacist is not there.
Nurses are concerned about this section in
the Act and perhaps there should be some
protection for the nurse who has to dispense
medication in a hospital. We consider this
to be certainly a valid point and something
that might be looked at by the minister.
It seems to us, Mr. Speaker, that since
the minister will be distributing the proposed
changes in legislation to all health disci-
plines, that the nurses feel that perhaps when
an individual college makes changes these
should also be distributed to the colleges of
other disciplines, which I think would be a
good idea. And again, that is consistent with
the package approach if the minister is going
to (leal with it as a group.
Again I come back to the Mustard report,
Mr. Speaker, which is right on the principle
of the bill. When you deal with a sort of
package approach to health— I mean, one
doesn't have to read the Mustard report very
long to see diflFerent jurisdictions and diflFer-
ent sharing of respoiisibilities. That is what
the minister should work toward.
I think he has really missed the oppor-
tunity to do so by bringing in this bill at
this time when he has decided to put the
Mustard report over four months.
Now, Mr. Speaker, recently we have had
some pressure exerted. Certain submissions
have been made to various members of the
assembly here from either the optometry as-
sociation or the Ontario Medical Association
dealing with the question of the use of drugs
by optometrists. It would seem to us, Mr.
Speaker, that we would like to hear com-
ments from the minister as to why he has
decided to allow the optometrists to use
drugs.
We are not sayine that we are opposed
to this. We would like to know, first of all,
what was the basis for the decision. Was
there an in-depth survey done, for instance,
to first of all indicate it was to be to the
benefit of the patients that the optometrist
was using drugs? Secondly, has he any evi-
dence that there has been difficul^ by
optometrists using drugs? I uiMJ^ynfanq that
in England optometrists are alknrad to use
drugs. Has the minister made any in^dq^
survey to show whether there have been any
difBcnilties there to support the dectotoo? It
seems to us that if the minister eacpedi the
opposition to take what we consider to be a
responsible position in reUtion to an ittoe
like this, we would be entitled, Mr. Speaker,
to know what was the basis for the ministry
arriving at that decision.
Mr. Speaker, we are concerned that the
medical profession, a responsible profiession.
is very concerned about this decision. I some-
times question the approach by the medical
profession in tryine to push their weight
around a bit. I thinJ^ it has been seen in the
past. We have seen this. And if the minister
should crumble under the pressure of that
profession, he wouldn't be the first minister
to do so. It seems to us that the minister's
predecessor most often was k>oking at the
ceiling, or looking up to the medicw profes-
sion, crumbling under them. He never talked
tough to the profession, in other words. I
recall as far back as the member for Carleton
East, when he was Health Minister. He used
to go around and tell the medical profession
that it had better shape up or something
was going to happen; but we never saw any-
thing happen under him.
We have seen the minister's predecessors
talking tough to the medical profession and
nothing has happened. We don't feel that the
minister should be talking toudi and not
doing anything. If he feels that changes
should be made, he should make them ackd
not submit to any pressure. But the recent
pressure by the medical profession has come
to the attention of many of us in this House
—and we are concerned about this. In ftwt,
I read some of the reports submitted by the
profession, Mr. Speaker, and undoubtedly
you will be interested to know what might
happen if mistakes are made in using a
particular drug. I will try to enhghten you,
Mr. Speaker, on some of the submissions that
have been made to us by the medical asso-
ciation.
An eye physician's report describes what
is called topical ocular anaesthetics— and I am
sure you have understood that, Mr. Speaker.
It goes on to say:
Ocular complications of topical anaes-
thetic in the normal eye are certainly not
uncommon in the ophthalmologist's prac-
tice. We are concerned about the number
of local systematic reactions to topical
anaesthesia.
1300
ONTARIO LEGISLATURE
Ocular side effects are surprisingly com-
mon: damage to the cornea because of
anaesthetic effect with subsequent rubbing
of the hd by the patient, cornea ulceration,
ciritis, conjunctival haemorrhage have
been well described. Also, allergic contact
dermatitis has been described in the litera-
ture.
I take it the minister got all that.
Mr. Speaker: Well, as long as the hon.
member can assure me that those words are
parliamentary, I will accept them.
Mr. Roy: Yes, they are parliamentary.
Hon. Mr. Kerr: Is the hon. member going
to survive the night?
Mr. Roy: Just listen to this; the hon. minis-
ter will be sick by the time I am finished.
Interjection by an hon. member.
Mr. Roy: Going on.
In fact, every topical anaesthetic in-
stilled in the eye has been shown to cause
allergies — dermato-conjunctivitis — on
occasion-
Interjection by an hon. member.
Mr. Roy: Don't interrupt me. I am having
a hard time.
Mr. Shulman: I'm just trying to help the
hon. member with his pronunciation.
Hon. Mr. Kerr: Did the hon. member finish
pre-med?
Mr. Roy: Why do they use such diflBcult
words in medicine?
Mr. Shulman: It makes it a nice closed
shop.
An hon. member: It's a closed shop.
An hon. member: It justifies their fees.
Mr. Roy: Even lawyers don't use words
that are that big. Anyway, to continue:
Keratitis is not uncommon following
topical anaesthetics such as tetracaine and
proparacaine—
Mr. I. Deans (Wentworth): The member
should have read it over before he brought
it into the House.
Mr. Roy: I did read it. The member for
Wentworth couldn't do much better.
Interjections by hon. members.
Mr. Roy: It goes on to say:
As well, reference has been made in the
British Journal of Ophthalmology, 1969 to
intra-ocular comphcations such as my-
driasis, cycloplegia and amblyopia.
In any event, apparently these are some of
the things that disturb the doctors and some-
how I can't be persuaded that it is all that
serious. For instance, I am told that in most
ophthalmologists' oflBces it is the nurses that
end up putting the drops in the eye an>'way.
I have not been convinced that optometrists
who use these drugs will be a danger to the
public. In fact, Mr. Speaker, don't they have
something like a four- or five-year course?
How complex is a five-year course?
Interjection by an hon. member.
Mr. Roy: The minister says a five-year
course. I can't be convinced, Mr. Speaker, that
after five years these optometrists are not in
a position to deal vwth this problem. I think
the minister should advise us as well, before
a decision is made on this, if he has any
evidence of any abuse or any problems. Does
the minister have any documented cases —
Mr. Shulman: Well, I have. The member
can ask me.
Mr. Roy: Well, I suppose there are docu-
mented cases in many professions, but—
Mr. Shulman: I have had three cases within
recent weeks involving local anaesthetic in
the eye.
Mr. Roy: In any event, Mr. Speaker, I
think it is important for the minister to advise
us if he has any other documented cases,
besides those of the hon. member for High
Park — not that I don't accept your cases,
"Morty," but just because we want to be
convinced.
Mr. Speaker: The hon. meember should
not refer to the hon. member for High Park
as Morty.
Mr. Roy: Did I say that? I am sorry.
Mr. Shulman: I gave him permission.
Mr. J. R. Breithaupt (Kitchener): It's un-
parliamentary language — but he has been
called worse than that by his own colleagues.
Mr. Roy: In any event, Mr. Speaker, I
apologize—
Interjections by hon. members.
Mr. Roy: Mr. Speaker, we would like to
be convinced by the minister that it is going
APRIL 23, 1974
1301
to be necessary for the practice of optom-
etry—
Interjection by an hon. member.
Mr. Roy: No, \\v want to take a reason-
able approach. If the minister wants us to
support him, let him convince us and tell us
why he has arrived at this decision as well
as why this is necessary for the optometrists
who use it. Is it in the best interests of the
patient?
We are concerned as well, Mr. Speaker,
by the fact that if it is necessary for that
practice, that they will not be allowed to
use it. We are told that some 60 per cent
of the communities in this province don't have
ophthalmologists, so if they can't consult their
optometrists and get a full eye test because
these drugs are necessary, there is a certain
amount or discrimination here against smaller
communities.
Our feeling about this situation at the
E resent time, Mr. Speaker, is that we would
ave a natural inclination to think that the
minister is right and we will support the
bill—
An hon. member: Just stop right there.
Mr. Roy: —but we think it is important that
he show us the regulations for the types of
drugs they use.
Mr. Sbulman: There the Liberals go again.
Mr. Roy: No, I say we are flexible-
Mr. Deans: We have principles.
Mr. Roy: Yes, flexible. The member doesn't
know flexibility. He is hung up on principle
that he questions which days ne is going to
get his hair cut.
Mr. Deans: You can never get hung up
on principles.
Mr. Roy: No, we don't get hung up. We
bring in polides which are relevant to the
situation at hand. We are not hung up on
principles.
An hon. member: For obvious reasons.
Mr. Roy: Another aspect of this bill con-
cerns us— section 113 of the Act which deals
with the optometrists. If I might just refer to
section 1 13 of the bill-
An hon. member; The section on the sale
of optics.
Mr. Roy: What's that? Yes, Mr. Speaker,
this section applies to the ophthalmic dispens-
ing by ophthalmic dispensers registered under
the Ophthalmic Dispensers Act. The Act says
that retail merchants operating as part of this
business "an optical department in the place
of business where the practice of optometry
is carried on"— we arc concerned about thk
particular section, section 113, subsection 2
(a). We are concerned that the minister is
encouraging a situation again where a large
monopoly like Imperial Optical can walk in
and start hiring certain professionals like
optometrists to work for them.
Mr. Speaker, you recall that some time
ago in tnis House we raised a question of
the dominance by one large firm in not only
the market for eyeglasses but also on the
question of one certain profession. It's the
opticians in this province who, to the tune
of about 70 per cent, were working for one
large company. We feel that this type of
legislation encourages a large company like
Imperial Optical to start hiring these profes-
sionals to work for them. We feel that if one
is a professional there should be a certain
amount of independence inherent in that
profession. In fact, in the optica] field, one
of the professions that has held and con-
tinues to hold a certain amount of inde-
pendence from Imperial Optical has been
the optometrist. We feel, Mr. Speaker, that
if this type of legislation is allowed to go
through, this section 113, it is encouraging
large firms to hire the professionals.
Do you not feel, Mr. Speaker, to the min-
ister, that he should try always to encourage
the independence of these professionals?
Isn't it in the ethics of certain of these pro-
fessions that they have this independence?
We are concerned about this aspect of thia
legislation and we would like to sec an
amendment. If the minister is not prepared
to make an amendment, we will suggest an
amendment to him to avoid encouraging these
monopoly situations, and breaking down the
independence of certain of these profes-
sionals.
We would ask the minister to give some
consideration to our submissions, in the sense
that if he intends to deal as a package, if
he really intends to deal with the improve-
ments of health care in this province-you
might have confused me, Mr. Speaker, when
you made your interjections a while ago
about the principle of the bill-I forgot to
read page 51 of the Mustard report, just
three lines of the Mustard report.
It states that one of the major reasons
for the difficulty in the health field presently
is that "despite its assumed role as chi«
financier of health care, the provincial gov-
130:
ONTARIO LEGISLATURE
emment has failed to develop a systematic
co-ordinated plan for the organization of the
health sector." Surely when the minister's
own report tells him that he lacks systematic
approaches, when he lacks co-ordination in
his organization of the health sector, he
should consider what he is doing. He is en-
couraging this by proceeding witih the bill at
this particular stage and putting off the re-
commendations of the Mustard report for four
or five or six months. He says he wants to
consider it in four months. If things continue
at this rate, Mr. Speaker, probably we will
not see these recommendations for a period
of a year. We will be forced to come back
to this House if some of the recommenda-
tions are adopted.
It may well be that the minister has de-
cided to shelve the Mustard report. In fact,
I understand that he spent a lot of time
trying to convince us that this was a green
paper and not the colour it is to show that
he is not necessarily locked into it. The
minister seems to want to draw some distance
away from the Mustard report.
I would like to hear his comments on
this. Maybe he is not prepared to go into
these aspects of it? If the minister is, it seems
to us that in proceeding with this bill at this
stage he will be inviting some major and
wholesale legislative changes at a later date.
He is in fact doing what his predecessors
have done. He is unco-ordinated and he
lacks a systematic approach.
We would like to see the minister take
the opportunity as a new minister to change
that approach, and to really deal compre-
hensively with the health delivery system of
this province.
Thank you, Mr. Speaker.
Mr. Speaker: The hon. member for Park-
dale.
Mr. J. Dukszta (Parkdale): Mr. Speaker,
even before I can deal with the principle of
this bill, I would like to point out that in
light of the fact that over 50 per cent of
individuals affected by this Act are women,
the Act should be rewritten to reflect this fact
by using the pronoun "he/her" throughout.
An hon. member: Oh, come on.
Mr. Dukszta: I suppose the Health Dis-
ciplines Act is the government's response to
the challenge of existing problems in the
field of professional law and relations be-
tween various health disciplines.
The Health Disciplines Act has two major
tracks to it. The first track articulates the
pubhc's concern felt at the lack of public
input and community control over the self-
governing professions. The second track
attempts to regulate the codes of the self-
governing professions and to make them
more similar in terms of organization, dis-
ciphne, systems of dealing with complaints,
licensing and uniformity of procedures for
all professions.
The Act consists of six parts, one general
part setting out the role of the Health
Disciplines Board and the Minister of Health,
and five parts dealing with the professions
of dentistry, medicine, nursing, optometry
and pharmacy. In time I assume the Act will
be expanded to include the numerous other
disciplines outlined in the original health
proposals.
Each of the five disciplines mentioned
above will be established as a college— some
of them already are— which is responsible
for regulating practice and establishing
standards. Each college is administered by
a council on which there is a minority of
lay representation and a majority of regis-
tered professionals who are members of the
college.
The responsibility for administering the Act,
as a whole, falls on the minister and not
on the Health Disciplines Board as en-
visaged in the original proposals. It is the
duty of the minister (page 2) to see that the
disciplines are "effectively regulated and co-
ordinated in the public interest" to ensure
appropriate standards and to see that the
individuals have access to services.
The Health Disciplines Board consists of
five to seven members appointed by the
Lieutenant Governor in Council. No person
who is a civil servant or who is or has been
registered in the health disciplines may be
a board member.
According to the Act as it now stands the
board conducts hearings and follows up on
decisions of the complaints and registration
committees of the colleges when necessary.
I am going over in summary some of the
details proposed. I intend to go into much
more critical detail on each point I am
bringing up right now.
The Act establishes within each college
mechanisms for complaints by the public—
that is at least in part the claim of the
Act.
The complaints committee investigates
written complaints. Should they be suffi-
ciently serious they are referred to the
discipline committee. The latter holds hear-
ings regarding charges of misconduct and in-
APRIL 23, 1974
1303
competence and may take appropriate action
if the complaints committee does not deem
a complaint to be suflBciently grave to war-
rant referral to the discipline committee, it
takes action itself in accordance with regu-
lations and bylaws of the college.
I should like to examine the bill in its
various aspects. It is surely accepted that
the whole question of self-government of
the health profession has to be looked at
not from the pwint of xiew of what is good
for the professional but from the safeguards
it provides for the public against incom-
petent and unscrupulous practitioners.
The interest of a professional organization
like OMA or GMA, in spite of many pious
disclaimers to the contrary, is to advance
the interest of the professionals who have
banded together in organizations. On the
other hand:
The advancement of the economic in-
terests, prestige and status of the practi-
tioner is not the business of the statutory
regulatory body whose duty is to the pub-
lic. For such a body to take on functions
that are intended to advance the interests
of the practitioners would be to involve
itself in a possible position of conflict of
interest. . . .
The history of the regulatory bodies in
Ontario abounds in decisions, policies and
regulations of a truly or apparently re-
strictive-practice nature. . . . The practices
of the professions disclose an inclination
on the part of the statutory governing body
to see itself as the defender of interests
of the members.
These remarks come out of a volume which
is published by Elizabeth MacNab, "A Legal
History of Health Professions in Ontario,"
Committee on the Healing Arts, Queen's
Printer, Toronto, 1970.
Concern about the professions, the pro-
fessional law and the direction of the devel-
opment of the health profession has been
voiced in Ontario, Quebec and virtually all
of Canada.
J. C. McRuer, in his report on the royal
commission inquiry into civil rights, speaking
on the question of self-government in the
professions stated:
The granting of self-government is a dele-
gation of legislative and judicial functions
and can only be justified as a safeguard
to the public interest. The power is not
conferred to give or reinforce a professional
or occupational status. The relevant ques-
tion is not "Do the practitioners of this
occupation desire the power of self-gov-
ernment?** but "Is self-government neces-
sary for the protection ^ the public?" No
right of self-government should be claimed
merely because the term profession htt
been attached to the occupation. The
power of self-government should not be
extended beyond the present limitations
unless it is clearly established that the
public interest demands it.
In a statement published in 1966 of the
functions, procedure and disciplinary
jurisdiction of the General Medical Council
of England, the purpose of the power of
self-government is well stated in words
that should apply to every self-governing
body: "The general duty of the council
is to protect the public, in particular by
supervising and improving medical edu-
cation. . . . The council is not an ttfo-
ciation or union for protecting professional
interests."
The major dilemma that exists is to deter-
mine the balance between the issue of self-
regulation and the issue of public regulation.
The principle of professional self-regula-
tion has been generally accepted in our
society but it has been most inconsistently
applied and various professional groupings
have been deferentially treated, in terms of
privileges and responsibilities, and in terms
of overall relatedness to each other. The pre-
dominance of the dental and medical profes-
sions in the field of healdi care reflects their
status and the present extreme degree of
self-government which is virtually at the
point where, like the Cabots and Lodges in
Boston, the physicians need only to talk to
God. It does not reflect the reality of the
health care field as it is now.
Health care is presently technologically,
ideologically, and organizationally ver\- com-
plex, with other professions impinging signi-
ficantly on what was originally the dominion
of the medical profession.
The present bill in principle has made an
effort, according to many statements made
in the bill, to <5iange the nature of the self-
government of the senior health professions
by setting up a Health Discipline Board. It
is on this level and the level of this preten-
sion that this bill has to be examined in
detail.
In principle the thinking underlining the
Act is that the public ftmction in the life of
a professional college is not suflBciently free
from the socio-economic role of a profes-
sional organization but this is not stated very
clearly nor implemented very effectively in
the nature of the present Health Disciplines
1304
ONTARIO LEGISLATURE
Board as it is envisaged in the Act. The fact
that the professional organizations have expe-
rienced a definite time lag with respect to
contemporary sociological and professional
conditions is not reflected in the Act.
The thrust of my argument that I shall
develop in these remarks is that the proposed
Act, though providing some new state control
in the form of a ministerial control, is failing
lamentably in implementing the community
and the consumer input. For reasons, some
obviously political, i.e., pressure from the
professional bodies, the Act reflects none of
the recent interest in the whole changed
nature of the health care field and the defi-
nition of health, health care and the health
practitioners engaged in the field up to now,
and whose practice is transfigured by the
changes in the nature of health care.
More simply, the Act doesn't recognize the
fact that a different type of professional prac-
titioner may be delivering health care in
addition, concurrently or in substitution to
the present duly constituted and historically
legitimated professionals. Thus, in the words
of "The Professions and Society," which is a
report of the commission of inquiry on health
and social welfare, part 5, government of
Quebec, 1970:
The major problem of professional law
and organization at present is its lack of
adaptation. Not only does professional law
no longer express the needs of modern
society but often it goes against the very
ideological and technical concepts which
prevail and which guide its evolution. As
for professional organization, it presents
the major and hardly acceptable incon-
venience (since it then contradicts its raison
d'etre) of no longer expressing the real state
of professional disciplines and their reci-
procal relations, without, however, meeting
the specific needs of those basically con-
cerned, the professionals themselves.
And a remark which is added later on, which
deals with the conditions essential to the
admission to practice of a profession estab-
lished as a monopoly, should be mentioned
here, because it has some relevance, some
importance as to how the various members of
the public who want to become professionals
enter the profession. It says:
Conditions essential to admission to prac-
tice of a profession established as a mon-
opoly should be set by the legislator; in
no case should orders have the right to
determine the qualities required by candi-
dates to the practice. It is the legislator, by
means of state diplomas, who should de-
termine general conditions of admission to
professional practice. The only role of
orders [here they mean the professions] in
this respect should be to assure the pres-
ence of the qualities required. Anything
resembling limitation of competition should
be eliminated.
The Province of Quebec has led the way in
formulating realistic recommendations for
legislation which was undoubtedly based on
two things: 1. Where the public interest and
the professional interest conflict, the public
interest takes precedence; 2. The Province
of Quebec has looked deeply into the actual
workings of the disciplinary process and has
taken nothing for granted.
We in Ontario take it for granted that
certain necessary things— like checking the
authenticity of licences— will somehow hap-
pen.
In the same report which I have quoted,
certain recommendations are made which
formulate, in some sense, the ideal system
which should prevail in terms of regulatory
bodies in the colleges which govern the pro-
fessions.
I would like to mention them, one after
another, with comments on where we have
failed here in Ontario, both in the existing
Medical Act and in the present Act which is
to supersede it, the Health Disciplines Act.
The first major recommendation that they
suggest is that "regulations prepared by pro-
fessional orders be the object of public con-
sultation and discussion before being adopted
by the government."
Now, in Ontario, I think, possibly the
only way we could explain public involve-
ment in the present Act is to say that each
college vdll have public representation in
terms of three to five lay people appointed
to it.
Recommendation No. 16 is that the "power
now held by certain professional corporations
to regulate admissions to studies^ be abolished
andi that, thereafter, it not be granted to
professional orders"— they mean the profes-
sions again.
It has not been abolished in Ontario. I am
not dealing here specifically with each disci-
pline separately; I have combined them and
I have pointed out that in some of the five,
this has not been done. I am also pointing
out that it does not appear in the Act itself.
In that sense, if one is going to question
the relevance of it, I am trying to draw an
ideal system against which I can judge the
present attempt to order the order in the
health field.
APRIL 23. 1974
1305
Recommendation No. 18 is that there be
"established a system of state diplomas whose
requirements would be specified in a gov-
ernment order in council after consultation
with the professional order and educational
institutions involved."
Here, it is obvious that the state does not
grant diplomas, and I am not suggesting
that that particular part should be adopted
as our ideal.
Recommendation No. 19 Is that the
"professional order be authorized to grant
specialty certificates but that programmes of
studies and other conditions required to ob-
tain a specialty certificate be determined by
universities, after consultation with profes-
sional orders, and be administered by them."
Recommendation No. 20 is that the
"legislator be parsimonious in the granting
of powers to professional orders to establish
specialities."
Recommendation No. 21 is that "profes-
sional orders be authorized to verify the
equivalence and to countersign the authen-
ticit>- of non-Quebec diplomas before per-
mitting the holder to make use of it to
practice his profession."
This is, I think, more glaringly not done
in Ontario in respect to nurses. This Act,
the whole section on nurses, deals in fact
only with registered nurses and registered
nursing assistants and not with nurses gen-
erally who practise what would be more
broadly defined as nursing.
No nurse is required to be licensed or
registered in Ontario to practise nursing-
registration is entirely voluntary. A registered
nurse can be cancelled for incompetence.
There is nothing to stop her from taking a
job in a hospital as a graduate nurse and in
many cases performing functions almost
identical to functions of a registered nurse.
The Globe and Mail dociunented the case
of a newspaper reporter being promised a job
by a registry in a downtown hospital. She
was not even asked for any credentials by
the registry. While many hospitals who em-
ploy non-registered nurses are careful to
check that the graduates are from some
nursing school, there are other hospitals and
institutions who do not validate even this.
And so it is possible for a totally untrained
individual to be given major nursing care
responsibility in Ontario. Licensing is the only
way to be sure that all nurses' credentials are
checked bv the College of Nurses. Those who
can't be licensed could continue to provide
care to patients, but simply should be called
maybe something else than a nurse.
Many individuals have expressed some fear
that this would mean a loss of jobs to vir-
tually thousands of nurses who now work in
Ontario. I am certain that if the minister
wants to accept this principle, which is es-
sential in terms of promoting better health
care, some arrangements could be made in
terms of a grandfather or grandmother
clause for the future.
Recommendation No. 22 is that the "pro-
fessional orders be endo\%'ed with an internal
appeal mechanism to review any decision
denying a candidate a licence to practise
or use a title."
The new appeal mechanism is in the Health
Disciplines Board; but I think there should be
an appeal mechanism within each college.
Recommendation No. 23 is that the "pos-
sibility of admission to practise by private
bill bie abolished and that the prohibition be
included in the code for the professions."
I don't think that applies here, nor does
recommendation No. 24 that the "dtizen
requirement be abolished for all professions."
25. That [howeverl the members of
boards of directors or of disciplinary bodies
of professional orders, by virtue of the
delegated powers which they exerdsc, be
Canadian citizens.
26. That the deontology of each pro-
fession be enunciated by the interested
order.
They each have their own code of ethics.
There probably should be a general code of
ethnics pertaining to health professions.
27. That the Code for the Professions
contain a provision relieving as witnesses
in all civil, criminal or administrative pro-
ceedings arising from provincial juriMic-
tion, practitioners of anv profession whose
discretion is required dv the public in-
terest. Moreover, that tne voluntary dis-
closure by one of these practitioners of any
secret learned during practice of bis pro-
fession be severely punished.
In Ontario we have had a precedent-setting
case in terms of the court not being able to
compel a physician to give confidential in-
formation, but this is not at the moment a
law which applies to all the professions men-
tioned in the Act.
28. That professional orders whose mem-
bers render services generally defrayed by
the state within the framework of an agree-
ment not be entitled to set a fee schedule
(even on an indicative basis) for their non-
contracting members.
1306
ONTARIO LEGISLATURE
29. That the government approve fee
ceilings proposed by professional unions
whose services are not defrayed by the
state.
30. That the Code for the Professions
prohibit any flamboyant or commercial ad-
vertising in publications or on radio or
television, or by neon signs or by any other
means other than those now authorized
for attorneys or physicians.
31. That the order be empowered, by
appropriate regulations, to allow the mem-
bers to inform the public of their titles,
availability of their services and their work
schedules.
32. That the Code for the Professions
contain a prohibition against refusing pro-
fessional services to any person because of
race, sex, sexual orientation, language,
origin, colour, religion, convictions or
citizenship.
33. That the Code for the Professions
prohibit all practitioners from furnishing
a certificate or document which is false or
erroneous or which is not based on personal
knowledge of the facts enunciated in such
document when he knows, or should know,
that such certificate or document may be
used so that another person or some organ-
ization pose an act or refuse to pose an
act.
I do not think that this is specificially
prohibited.
34. That professional orders be author-
ized, in all cases where the mental or
physical health of a practitioner is chal-
lenged, and when they consider it appro-
priate, to carry out an inquiry, to order
medical examinations and to take any other
appropriate measure." [They are so author-
ized now.]
35. That professional orders, for the
public good, be authorized to issue any
supplementary deontological standards
compatible with the Code for the Pro-
fessions or any other applicable statute in
this connection in Quebec.
36. That there be formed in each pro-
fessional order a professional inspection
committee, composed of members of the
order, representatives of the public and,
should the case arise, representatives of
the unions involved, charged with under-
taking a systematic review of records and
with the study of individual complaints of
the public with a view to laying a formal
complaint, if it be in order, before the
disciplinary tribunal of the first instance,
and to resolving certain conflicts between
practitioners and individuals.
I suppose in some sense the Health Disciplines
Board may meet some of those standards,
but not in terms of each of the colleges.
37. That there be formed in each pro-
fessional order a disciplinary tribunal of
the first instance; that it be composed of
practitioners, presided over by an attorney
(in good standing with the Bar and having
practised 10 years) designated by the judge
in chief of the provincial court, and that it
hear in the first instance any complaint
relative to acts derogatory to the honour
and dignity of the profession.
Well, I don't have quite that much involve-
ment in that particular aspect. I'm not sure
I consider that essential.
38. That there be formed in each pro-
fessional order a disciplinary tribunal of
the second instance; that it be composed of
practitioners, presided over by a judge
named by judge in chief of the provincial
court, and that it hear any appeal against
a decision of the disciplinary tribunal of
the first instance.
I think our first court of appeal here is
the Health Disciplines Board. Again, I think
I would urge that we adopt some kind of an
appeal board within each college.
39. That the courts of common law be
invested with the power to deal with any
appeal of a final decision of a disciplinary
tribunal of the second instance.
This course is already in practice in our
courts. There are only about five more major
ideological statements on that point.
An hon. member: Go on. We are enjoying
Mr. Dukszta: I wiU go on.
40. That the disciplinary penalties which
orders have at their disposal to enforce
their regulations be made uniform for all
professions and be included in a single
enumeration inscribed in the Code for the
Professions.
I'm not sure whether it's there but I doubt
it.
41. That the list, inserted in the code
for the professions, enumerating the discip-
linary penalties enforceable by professional
orders include, among others penalties,
probation, which may involve a supple-
mentary internship, and an examination
of competence or restrictions on the right
APRIL 23, 1974
1807
to practise, and the obligation to reim-
burse. [Yes, we have that in the Act.]
42. That professional orders, responsible
for the definition of deontology and the
acts which deviate from it, be empowered
to attach to each infraction the penalty
of their choice, provided it be inscribed
in the Code for the Professions. [It is in
the code too.]
43. That a single code of disciplinary
procedure for all professions be adopted
and integrated into the Code for the Pro-
fessions. [We don't have that. We have it
separately for each profession.]
44. That the code of disciplinary pro-
cedure contain provisions aimed at assuring
that:
(a) the complaint be in writing and
precise;
(b) the parties and witnesses be en-
titled to legal counsel;
(c) the presumption of innocence be
recognized;
(d) the right to assign, swear in, ex-
amine or cross-examine witnesses be recog-
nized;
(e) the evidence be recorded in writing;
(f) the testimony be automatically pro-
tected against use in other proceedings;
(g) the hearing be in camera, unless
this be lifted by the tribunal in the public
interest;
(h) the decisions be rendered in writing,
communicated to the parties, brought to
the attention of those involved and pub-
lished in collections of judgements;
(i) internal appeal bodies and courts of
common law proceed on the constituted
record but be authorized to reopen the
inquiry in certain cases.
Many of these recommendations are already
part of Ontario codes for various disciplines.
I am reading and I have read most of the
Quebec recommendations in order to point
out how far we still have to go.
On the question of lay representation on
the professional governing council, the
NDP's view is that to appoint, for example,
as in the case of discipline of dentistry, not
fewer than three and not more than five
persons who are not members of a council
under this Act or registered or licensed under
this Act, or any other Act governing a health
TT-actice is tokenistic and resembles a preva-
lent USA practice in many industrial com-
bines of appointing as a receptionist in a
highly visible entrance area black girls,
preferably with an Afro haircut. Thoce lay
people are lost in practice in the miA6e of
nine to 12 elected professionals and one
professional appointed from the respective
university faculty.
Only a significant number of intelligent,
informed laymen, preferably approaching 50
per cent of the composition of the council,
can have a chance of exerting some counter-
vailing power to the existing professional
power structure. Finally it is only when the
lay representation is secure in the knowledge
that they have at least equal power to be
able to say to the profession that they do
not agree with a particular item of business
or decision and will oppose it that we shall
have a more meaningful consumer partici-
pation.
To go over the principal changes that the
bill is supposedly introducing, in die ex-
planatory note there are four points men-
tioned: lay representation on the professional
governing council; closer supervisory power
in the minister; the creation of a Health
Disciplines Board for the purposes of con-
ducting hearings and reviews respecting
complaints and applications for liceasing;
and a complete system of hearings and re-
view for all matters of licensing and discip-
lining with uniformity of procedures for all
professions. All those four statements, inci-
dentally, although I suppose it is hardly
incidentally, which are supposed to define
whqt the Act is doing, are not met in ac-
tuality.
The second intent of this bill, which is to
create a closer supervising power in Ae
minister, has indeed been accomplished. It
Is interesting to reflect here on the mafor
shift in emphasis that has occurred in Ae
role and the relationship of the minister to
the proposed Health Disciplines Board, be-
tween tfie set of proposals as articulat**d in
the legislative proposals for the Health Disci-
plines Act of June, 1972, and the Health
Disciplines Act of 1974.
In 1972 most of the new controlling powers
were vested in the board, while in 1974 the
government has decided to augment the role,
the functions and the powers of the minister
of the Crown over the five senior health pro-
fessions and consequently and logically over
the whole health field. In terms of ensuing
legislation.
The section of the Health Disciplines
Board, part 1 of the Act, the general part,
pages 1 to 10, outlines the duties of the
minister and the board. It is the responsi-
bility of the minister to direct the councils
to inquire into the state of practice of any
1308
ONTARIO LEGISLATURE
discipline, to require councils to provide in-
formation, to review proposals by councils,
to amend legislation or regulations, to advise
councils regarding bylaws, to request coun-
cils to change regulations, and to review
legislation concerning the provision of health
services.
Wherever the minister has a request of the
council of the college to make, amend or
revoke a regulation and the council has not
complied within 60 days, the Lieutenant
Governor in Council may take the action
specified in the request.
The responsibilities of the board, section
7, page 4, are vague. It is to conduct such
hearings and' perform such duties we are
assigned to, by or under this or in the other
Act, and to submit an annual report to the
minister, not the Legislature. This means
that the main responsibility of the board will
be to deal with appeals arising from the
complaints procedure and from the registra-
tion committees (section 10, subsection (1),
page 5, and section 11, subsection (7), page
6).
The division of responsibilities between the
minister and the board has changed signifi-
cantly between the original proposals and
the present Act, in that the minister, who
was hardly mentioned in the proposal, now
has been given wide authority implicit in the
above enumeration of tasks. This introduces
some "interesting" possibilities, but does not
change the basic problem.
On the one hand, if the minister is truly
committed to the principle of lay control and
gives the board a fairly free range and if
strong knowledgeable lay representatives are
appointed as board members, the Act could
certainly be a positive force to making the
health professions more responsive to the
wishes and needs of the public.
On the other hand, if the minister is un-
willing to delegate authority and if the gov-
ernment decides to confer the honour of board
membership on individuals who are tied to the
notion of self-regulations and the traditional
independence of the professions, the board
could become little more than an innocuous
patronage body. What direction the board
and the Act generally will follow depends
almost exclusively on the individuals ap-
pointed to the board and on the whim of the
minister. A statement of intent is acquired
at the beginning of the Act, which would
clarify to what end the board's activities
and powers should be directed, what changes
this Act is to bring about, and what ills it is
to remedy. But more importantly some of
the minister's powers should be transferred
back to the board.
■The Health Disciplines Board is being
created for purposes of conducting hearings
and to review complaints and applications
for hcensing. The original board as envis-
aged by the 1972 proposal, was seen as a
reasonably strong board with definite powers.
This type of board should always have cer-
tain logical powers, and those powers are
the following: the board should be able to
confirm, to alter, to vary, to substitute and to
reverse, if necessary, the decisions of coun-
cils of various colleges. Only some of these
powers are now vested in the present board
as it is envisaged by this Act.
Originally, the board would have had some
permanent staff in the form of an executive
director or officer, other ofiicers, secretaries
and a budget. Also envisaged were consul-
tants and advisory committees. This would
have fitted well with the recommendations
of the report of the Committee on Healing
Arts. The board would also, subject to the
approval of the Lieutenant Governor in
Council, be able to make regulations with
respect to any matter that a council is
authorized to make regulations under this
Act. Where there is a conflict between a
regulation made by council and a regulation
made by the board, the board shall prevail.
This is a good strong point originally made
in the proposal which is no longer present in
the Act as it is now designed.
Additionally, and very importantly, the
board was envisaged to be able to make
recommendations to the minister as to the
health disciplines to be designated under this
Act. I should add another point-
Mr. Shulman: The Conservatives have all
left. We should at least have a quorum. Not
one single minister. Make them bring in a
quorum.
Mr. Dukszta: I am actually hoping to have
all this in Hansard, and I am intending to at
least finish-
Mr. Shulman: We should at least have the
minister. We don't have a single cabinet
minister in the House. Ask them for a
quorum.
Mr. Dukszta: I have always been able to
send more cabinet ministers away from this
House. I don't regret this ability.
Mr. Shulman: Ask for a quorum. Pull them
in out of their offices.
Mr. Dukszta: No, I am not going to call
a quorum.
APRIL 23, 1974
1309
An hon. member: There are three Tories
here. What more do you want?
Mr. Shulman: Surely we should have some-
one from the Tory side. Surely 11 members
is not really sufficient.
Mr. Dukszta: I am not yielding the floor.
Mr. Shulman: Well, I ask for a quorum.
Mr. Dukszta: I am not yielding the floor.
Mr. Shulman: On a point of order, how
man\- members have we got here— 12? With
one person on the whole other side there.
Count them.
Mr. Speaker: It has been drawn to the
Speaker\s attention that we may not have a
quorum. Will the Clerk do a count, please?
Clerk of the House: Mr. Speaker, there are
14 members.
Mr. Speaker: It appears we do not have a
quorum.
Mr. Speaker ordered that tiie bells be rung
for four minutes.
Clerk of the House: Mr. Speaker, tliere is a
quorum fcr us.
Mr. Speaker: There appears to be a
quorum. Will the hon. member for Parkdale
continue with his remarks?
Mr. Ehikszta: I need your guidance Mr.
Speaker. Should I try to summarize for the
benefit of those who were away the essence
of my arpiments?
An hon. member: Please, will the member
summarize?
Hon. Mr. Miller: I think the member
should start all over again.
Mr. Speaker: There was one minor re-
quest to start over again.
Hon. Mr. MHler: I missed point 22.
Interjections by hon. members.
Mr. Dukszta: I will not smnmarize, but
I'll mention where I was at. We were dis-
cussing the powers of the present board,
envisaged by the Act.
I waf making a point that one of the major
difficulties for this type of a board to func-
tion is that the board, not having a full
secretarial staff or a full complement of
full-time staff, will not really be able to deal
with the number of complaints that would
be going to it. Additionally and very im-
portantly, the board was envisaeed to be
able to make recommendations to the minister
as to the health disciplines to be designated
under this Act, originally, not any longer.
In summary, had there been a very strong
board then it would have been able to break
the me<lical chain that stretches from the
medical profession, the college, all the way
to the Ministry of Health and the minister.
The board, as envisaged by the Health Disci-
plines Act, 1974, is an eviscerated and emas-
culated body, largely deprived of any sub-
stantial authority. Not only will the proposed
board not have a full-time chairman or a
vice-chairman on the Knes of the Ontario
Securities Commission, but no provisions are
made for a fairly extensive staff that will be
necessary if the function of the board is to
become more than window dressing. All five
colleges now have full-time members to allow
them to deal with the load of daily ordinary
business complaints, licensing, and so on.
Yet for what should be a supervisory board,
very little money or staff is provided. Even
if the powers of the board were not so
severely limited as they are, the very fact of
time, staff and money limitations will make
sure that the board will be ineffectual and
token-like.
•In terms of power, the sa^ of the board's
functioning has been severely limited. I have
outlined already the numerous powers which
the board has lost to the minister. This leaves
the board with few areas of authority, one of
which is following up on appeals from de-
cisions of complaints committees. But even
here the board is stymied. Section 10, sub-
section (1) of the Act reads as follows:
The board may, after review or Investi-
*gation of a complaint under section 8 or
9, refer the complaint to the complaints
'committee and the board mav (a) confirm
the decision, if any, made oy the com-
plaints committee, (b) make such recom-
mendations to the complaints committee
as the board considers appropriate or, (c)
trequire the complaints committee to take
such action or proceedings as the commit-
tee is authorized to undertake under the
applicable part of the Act.
To be really effective in this area, the board
should be able to substitute its own de-
cisions for that of a complaints conmiittee.
'When it comes to dealing with the spe-
cific colleges, the Act is an attempt to deal
with many of the problems of prtrfessional
self-regulations which the government has
been overlooking for so long. In combination
^vith this Act, the Statutory Powers Pro-
1310
ONTARIO LEGISLATURE
cedur© Act and the Judicial Review Act will
tighten up some of the mechanisms for re-
view and control of delegated legislative au-
thority and plug a lot of the holes in the
previous Acts.
There are a number of criticisms that can
be made, however, and I offer my reflections
on the content of the Act, recognizing of
course that the real test of the Act's effective-
ness will be found in the regulations made
under it and in the procedures for imple-
mentation of a dictate. My overall concern is
that the Act does not address itself to the
question of how a complaint gets to the
college concerned upon which the whole
structure rests. Nowhere do I find any ma-
chinery that ensures that all bona fide com-
plaints would actually get to the great struc-
ture and start revolving around.
Some of the most serious deficiencies in the
Act concern the complaints mechanisms which
tend to be complicated and time-consuming,
and which may be relatively ineffective in
repairing the relationship between the con-
«jumers of health care services and the pro-
fessions. At least, as far as the medical pro-
fession is concerned, the process does not
significantly deter existing mechanisms but
provides only an additional route of appeal.
Sections 8, 9 and 10 (pages 4 and 5) of the
general part (and parallel sections in each
of the parts dealing with specific disciplines)
establish complaints committee and proce-
dures. After a complaints committee of a
given college has investigated a complaint
respecting one of its members, it must send its
written decision to both the complainant and
the member, either of which if not satisfied,
may within 20 days, lodge an appeal to the
board for a review.
The complaints committee is not compelled
t'^ inform the complainant of the reason of its
decision. This should be changed.
One area in which the Act has been im-
proved over the proposals is that there is
now a time limit of 60 days (section 9, page
5), for complaints committee deliberations,
where previously the only limit was "within
a reasonable time." If a committee has not
acted within 60 days, the board has the
authority to require it to undertake investi-
gations; if this is unsuccessful the board must
itself take over the full investigation.
A complaint regarding a serious offence,
such as incompetence or malpractice, would
normally be referred by a complaints com-
mittee to the discipline committee of its
college (sections 12 and 13 of the general
part and parallel sections in the other parts).
The latter then holds hearings to which the
college and the member of the college w hose
conduct is being investigated are parties.
These proceedings are held in camera, except
when the individual being investigated re-
quests otherwise. The committee has the
authority to seek independent legal advice.
Decisions of the discipline committee may be
appealed directly to the Supreme Court, by-
passing the Health Disciplines Board.
Provisions regarding the discipline commit-
tees favour the health professional and his
or her college, as complainants are not
specifically included as parties to the pro-
ceedings. It appears that the complainant may
be called as a witness, but his or her right
to sit through the entire hearing is not en-
sured. Moreover, while a professional whose
conduct is being investigated is afforded the
opportunity (section 12(2), page 7, general
part) to examine any evidence brought before
the committee, a complainant does not have
this right.
The whole business of complaints, per-
taining to both levels of the committees, is
obviously complicated and formalized. This
may be an adequate way in which to deal
with charges of malpractice and so on, but
there is simply no mechanism for complaints
of a relatively non-serious nature — for
example, regarding the social relationship
between the professional and the patient —
and it is reasonable to assume that the bulk
of complaints from the public will fall into
this latter category.
Perhaps some sort of a low-level ombuds-
man would be helpful in settling such diffi-
culties. This could be an individual wliose
function would be to bring together the
complaint and the professional in a face-to-
face situation and to mediate informally with
a minimum of delay.
Another flaw in this whole general area
is that as far as assurance of quality health-
care delivery is concerned, the complaints
procedure is over-emphasized; that is, it is
assumed that a high standard of service is en-
sured because incompetent or inadequate
practitioners are weeded out throuch com-
plaints by the public. That's probably the
big?xest delusion in the Act.
This punitive action should be reinforced
by greater emphasis on preventive measures.
For example, reprimanded practitioners
m^aht be made to enroll in some programme
of re-evaluation and and re-education, or an
ongoing system of random reviews of all
registered professionals (not just physicians)
might be implemented. This Act must couple
the complaints mechanisms with some posi-
APRIL 23. 1974
1311
tive preventive procedures for ensuring high
quality care.
Despite this, the Act should provide for
advertising the complaints system so that the
public is informed of redress procedures. In
addition, the names of reprimanded, restricted
or suspended practitioners should be pub-
licly circulated in some manner— and all other
professionals, I should add— if the whole com-
plaints procedure is to assist the public at
all. It is not quite sufficient that such names
only be known within the profession.
This whole Act rests on the assumption
that the colleges wiH be informed of OMn-
plaints so that they can deal with them.
Yet, a case can be stated for easing the
access to the colleges.
It is well known that citizens with valid
complaints are hesitant to approach large
bureaucratic official bodies. They often need
help to make this complaint in an articulate
and a sophisticated manner without feeling
intimidated. There should be, I quote, "a
patient advocate"— someone who will know
where the complaint should go and how to
present it.
The colleges do not advertise their pre-
sence nor go out of their way to make it
eas\' for the complainant. Indeed, they often
make it very difficult for the patient to be
heard. In other words, under our present
system a citizen must be rich, well-educated
and persistent to gain satisfaction for his or
her grievances.
He or she needs a patient advocate— a
person quite outside the system and inde-
pendent of the colleges and the ministry—
who would make every citizen "rich, well-
educated and persistent."
It is my contention that the system of self-
government which depends on written com-
plaints from a grieved patient is doomed
to fail him. As a reference here, one should
look at the institute for the study of resp<m-
sive law in New York.
What we need here is something along the
lines of New Zealand's ombudsman, except
dealir>g specifically with health care matters.
I was going to mention a particular case
as an example to show that a more informal
approach, maybe with someone like a patient
advocate, would have saved many problems.
It is a fairly famous case of Mrs. Coy and
was reported by Sidney Katz in an article
in the Toronto Star, Saturday, Dec. 29, 1973.
She was, in fact, in the wrong. She believed
a particular procedure followed by a phy-
sician was a contributing cause in her
husband developing cancer and dying.
As I said, she was quite wrong; but the
unv she had to deal with it involved a most
elaborate way of approaching the College
of Physicians and Surgeons of Ontario. They
reacted somewhat negatively and stated the
obvious truth as to what the problem was-
but did not deal with the human element of
it. If there had been a face-to-face contact
between this individual and soineooe from
the college, many of the problems which
ensued from it would have been solved.
I would Hke to spend some time-well,
not too much time— to deal with the specific
disciplines whidi I have mentiooed in the
Act
Initially, we need to comment on the defi-
nition of practice of the various disciplines
and consider whether the so-called Practice
Act is a good thing or rK>t.
The practice of pharmacy, of nursing and
of medicine is not defined under separate
parts. The general part does not require
them to define their practi'ce.
Had the framers of this Act recognized
it, a strict legal definition of each practice
might impede the expansion of paramedical
practice. Expansion should be required to
meet health needs as they are, or maybe are
expected to develop in the Mustard report—
the health planning task force.
The question of whether the practice of
health discipline should be strictiy defined
is another matter. To quote a line from the
report of the Committee on the Healing
Arts: "Maybe defining practi'ce is sometimes
like a kind of scratching; it makes the itch
worse than it was before. *
I think that the purpose and the point is
in clause 52, subsection (4):
A licence shall be deemed to authorize
a member or persMi authorized by the
regulations to engage in the practice oi
Medicine, notwithstanding that any part
of such practice is include! in the practice
of any other health discipline.
The various committees set up under, all the
parts to deal with practitioners who are in-
competent by reason of mental illness or
drug dependency is a sound addition and
provides a more Humane %vay to deal with the
problems than by dragging them through the
discipline committee wnicn is in sections 61
and 62.
There seems to be no provision for en-
suring that mandates appearing in this Act,
which require their inclusion in another Act
for implementation, will so appear (section
62, subsection (2)). For example, if a college
is concerned about incapacitated members.
1312
ONTARIO LEGISLATURE
it should take positive steps to find out about
these members by requiring that a regulation
be placed in the Public Hospitals Act or the
Mental Hospitals Act, whichever Act applies,
compelling the body having control over the
institutions to report such incapacitation.
If the nurses are serious about requiring
notice of dismissals from registries, section
87, that requirement must also appear in
the Employment Agencies Act. A clause
similar to clause 4 could be inserted to en-
sure that these requirements were directed to
the institutions and agencies concerned.
Two things come to mind about the can-
cellation of a licence. The pharmacy part
requires that a revoked licence be delivered
to the college, section 164. I would think this
would be necessary for all the disciplines
because, I believe, legally the licence is the
owner's property and he or she could refuse
to eive it up. The other matter is that licences
and certificates are issued annually and
therefore it would seem necessary that the
word current should precede the word cer-
tificate or licence in section 45(d).
I can conceive of situations where it might
be necessary to take a practitioner out of
circulation pendin^r a hearing. Sometimes a
hearing may take months to call, particularly
during the summer months when it is diffi-
cult to find a quorum. I would suggest some-
thing like— the complaints committee may,
by notice to the respondent and with or with-
out a hearing, suspend the respondent's cer-
tificate or refuse to issue an initial certificate
pending a hearing by the discipline commit-
tee when, in the committee's opinion, it is
necessary to do so for the immediate pro-
tection of the interests of the respondent's
patients or clients.
Tt may be that this is expected under the
right to take such action as is deemed appro-
priate but it would be wise to clarify this
<^mce it does interfere with certain civil
liberties of the individuals involved. The
pharmacists se^m to have anticipated the
problem of finding a quorum in section 125,
subsection ^3). They provide that someone
mav be pulled ofl^ the council in this event.
If, after investigation, the registrar con-
siders that an allegation of incompetence or
nrofessional misconduct is justified, it should
be possible for the discipline committee to
proceed on an allegation by the registrar,
even though no complaint has been made;
section 60, subsection (1). This may well be
the intent of section 60 but it would be well
to clarify this also.
The next thincj one notices about the Act
is that the parts are almost identical except
for the nursing part which stands out because
it is different in some major respects. The
question comes to mind— is it better by being
different or is it weaker than the other parts?
After examination, I find it has serious faults
particularly in respect to the making of
an inquiry.
All the parts allow the registrar to inquire
into a belief that a member has committed
an act of professional misconduct or incom-
petence, section 64, subsection (1). The nurs-
ing part restricts an inquiry to matters aris-
ing out of a written complaint except in the
case of incapacity. This prevents, or at least
does not authorize, the College of Nurses to
act on such things as newspaper reports. I
think that knowledge of possible incompe-
tence should suffice by itself to start an in-
quiry.
I think it is fundamentally wrong to have
knowledge of incompetence and refuse or not
be allowed to act before some person has
been harmed enough to write a complaint.
Further, I believe that any decision to dismiss
knowledge of possible incompetence without
making an inquiry by the registrar should be
justified at least to the council of the college
concerned. That's section 110, subsection (7).
We should keep an eye on the regulations
in this regard and I hope that the minister is
listening at least with a third eye or a third
ear to some parts that I am saying.
An Hon. member: We have lost him.
Mr. Dukszta: I think we have lost him,
rather. We could be charitable and assume
that this omission in the nursing part of the
Act was an oversight. If it were not an
oversight, the drafters of the Act should be
able to explain it. Maybe we \yill have an ex-
planation later on. Perhaps it has something
to do with the fact that nurses are not
licensed but this fact does not make the
incompetent nurse any less a danger to the
public than any of the other practitioners. If
the College of Nurses did not ask for this or
propose it, one could well ask whether the
College of Nurses is entirely sincere in its
desire to carry out its mandate.
Given that a complaint has been made,
it would be instructive to know why the
investigation of an incompetent practitioner
of the nursing art does not require as much
legislative assistance to get at the facts as
does the investigation of an optometrist or
a dentist— no one shall obstruct or hinder an
investigator from these colleges, section 40,
subsection (2), (3), (4), (5). The College of
Nurses investigator must get along as best
he or she can.
APRIL 23, 1974
1313
In this connection, one also wonders why
all the parts require secrecy and confiden-
tiality, section 65 is an example, while no
such restriction is placed on the College of
Nurses. I should think that this requirement
is a must for every investigator who is serious
about conducting a thorough inquiry. Mv
feelings about this are expressed in the fol-
lowing quote from a Florida statute:
And as the board is seeking to encourage
persons to bring bona fide complaints as
to the conduct of any nurse to the atten-
tion of the board in order that the board
may best perform the duties imposed upon
it by the statute, and as this freedom of
disclosure would be inhibited to some ex-
tent by revealing the corresjxjndence lead-
ing to the charges filed with the board,
all letters and reports shall not be revealed
to any person.
The last point is that all the disciplines are
licensed except nursing. Numerous reasons
have been given for this mainly having to
do with protecting the job market and con-
cerns re monopoly. I have examined many
of these reasons and I find they do not hold
water.
It seems, in any case, that considerations
such as these have no place in this Act and
indeed, are contrary to the stated objective
of regulating the practice of health discip-
lines in the public interest. The lack of fore-
sight in the nursing and medical parts of this
Act may reverberate very strongly in the
future when a question ot shifting some re-
sponsibility which is now defined as medical
from a physician to a nurse will come up
for discussion and possible implementation.
The lack of teeth in the HealA Disciplines
Board and rigid codification of the existing
powers and responsibilities of the profession
means that the Health Disciplines Board will
probably be very inefiFectual in dealing with
many of the problems mentioned.
Physicians will continue to have too much
control in the health care system, specifically
in regard to decision-making about treatments
and patient care. The new Health Disciplines
Act should have had some of this tight con-
trol loosened, making it possible for other
members of the health team to participate
more in patient care.
A nurse wrote me:
The nursing profession is particularly
being stifled by the present Medical Act.
The expanded role of the nurse is a very
real and important issue that has implica-
tions for government, for the health care
system and for the public.
The implications for the govemmoat are
directly connected with eoononucs. It is
far cheaper to train a nurse practitioner,
a skilled intensive-care nurse or a nune-
midwife than it is to train a general
practitioner or a specialist such as an
obstetrician. With rapidly rising health
costs, means of providing care at a lower
cost should be of great interest to the
government. I am afraid that the Act, as
it is designed right now, will not help
open up new alternatives and new wavs
of dealing with the paramedical personnel.
The extended role of the nurse does not
mean infringement or duplication of medi-
cine but means the nurse is prepared to
handle the routine or uncomplicated care
aspects, allowing the physician more time
to deal with complications and problem
areas. The nurse and the physician mav
now work as a team, in co-operation witli
other health members. This would result
in cohesion and co-ordination of efforts
which would benefit the total healdi care
system.
In regard to quality of care, I feel this is
one aspect that could definitely be im-
proved. Medical care does not mean the
best care possible at all times. A nurse
has a lot to offer to patient care, such as
the psycho-social aspects, continuity of
care, and a family and community centred
outlook. I do iKjt feel that nurses are able
to function to their fullest potential.
Not at the moment, nor will Aey be able
to do so under proposed revisions in the
Health Disciplines Act. They are limited b\-
the present legislation and it is my concern
that the new Act may even limit them more
in some senses than they have been so far.
The health situation in Canada is chang-
ing dramatically, so let us update the laws
to accommodate these new trends. I utnild
like to put in a special plea for nurse-
midwifery. I feel that maternity nursing is
moving in this direction and the use of
!nurse-midwives in Canada is inevitable.
The United States has had a long struggle
over nurse-midwifery, where a midwife has
been classified more as a ph)'sician'8
assistant.
[Another quote:] The role of a nurse^spedalist
is also just emerging.
The introduction of dinical specialization
in graduate nursing programmes in Ca-
Inadian universities is relatively new. Suc-
cess of the clinical nurse^specialist is de-
termined in large measure by the employ-
ment situation. There is a need for
1314
ONTARIO LEGISLATURE
physicians, employers and allied workers
to appreciate the contribution that may be
made by clinical nurse-specialists toward
optimum health care if effective use is
made of their special knowledge and skills.
Without some degree of freedom in prac-
tice and the support of the staff within
the system, the nurse-specialist is unable
to assmne the role for which he or she is
prepared.
Again, I don't believe that this is possible in
the context of the present Act.
In the Act, the practice of medicine is not
defined, and it is not defined in the present
statutes. In the areas of five disciplines there
is no definition for practice of nursing, phar-
macy, medicine, yet there is a relatively
strict definition for the optometrists, which
virtually puts them in a straitjacket, and a
strong definition for practice of dentistry.
The definition of practice of dentistry is
composed of two parts; one part contains the
usual autological definition of practice as
that performed by the practitioner of the
practice, but the second part attempts to
define the practice of dentistry in listing the
procedures that are usually performed by
the dentist. I quote:
In its submission to the Committee on
the Healing Arts, the College of Physicians
and Surgeons of Ontario proj>osed that
. the Medical Act should be amended to
include again a definition of the practice
of medicine. The precise proposal was that
the Ontario Act should contain a definition
similar to that found in section 71 of the
Medical Act of British Coltunbia.
The definition is still disease-oriented
and is certainly not forward-looking, be-
cause it fails to take into account the role
of the paramedical persoimel. The com-
mittee has concluded that it would not
be in the best interests of the public and
of workers in the health field to recom-
mend that there should be a definition in
the Medical Act of the practice of
medicine.
[Yet it is recommended, under recom-
mendation 308:]
That the Medical Act be amended to
state clearly that an act which if done
with regularity would amount to the
practice of medicine, surgery or midwifery
should be deemed to be the practice of
medicine, surgery or midwifery, notwith-
standing that it was done, or was shown
to have been done, on an isolated occa-
sion only.
There is a certain lack of logic in the way
the Act is applied to this particular recom-
mendation which has at the same time
listened to the other part which is not to
define the practice of medicine at all.
iParadoxically, the very lack of definition
is extremely restricting in itself, for in a legal
sense the practice of medicine is defined
solely as what the didy constituted practi-
tioner of medicine does, which virtually
makes illegal, unless exemptions are made,
anyone who by other legislation is permitted
to practise their form of heahng arts.
Recommendation 308 of the report of the
Committee on the Healing Arts is enshrined
in subsection (3) of section 52 which states:
For the purposes of this section, proof
of the performance of one act in practice
of medicine on one occasion is suflBcient
to establish engaging in the practice of
medicine.
[Section 52, subsection (1), states:] No
person shall engage in or hold himself out
as engaging in the practice of medicine
unless he is licensed under this part.
[Subsection (2):] For the purposes of
subsection (1), (a) rendering first aid or
temporary assistance in an emergency
without fee; or (b) the administration of
household remedies by members of the
•patient household, shall be deemed not to
be engaging in the practice of medicine.
At least in the legislative proposals for the
Health Disciplines Act, June, 1972, in section
26, subsection (2), the following were con-
sidered as not contravening the law:
(a) the rendering of first aid or temporary
assistance in cases of emergency.
(b) constituting similar errands by the use
of prayer or spiritual needs if duly ordained
or authorized members of a religious institu-
tion or order that maintains and actively and
readily makes use of a pliace of worship in
Ontario.
(c) the administration of household reme-
dies.
(d) paramedical or ancillary personnel per-
forming services in the manner and to the
extent authorized by their relations.
(e) any person registered under another
part of this Act, to the extent that the actions
and conduct in question of that perscMi are
within the scope of practice authorized in
that part at the time the provision of such
part first came into force.
(f) Medical students who were provided
in section 28.
APRIL 23, 1974
1315
Two very key recommendations in the same
report are recommendations 310 and 311.
Section 310 says that the thrust of the prac-
tice is for hire, gain or hope of reward shonid
be eliminated as a constituent element of the
offence created by section 51 of the Medical
Act. Section 311 says the prohibition against
the practice of medicine by any person not
registered under the Medical Act should be
specially provided so that it does not extend
to family care of the sick or family health
care, persons performing acts under the
authority of other statutes, and persons en-
gaging in acts of psychotherapy.
I have mentioned the original report be-
cause it has excluded a number of procedures
which legitimately fall in our, so to speak,
practice of medicine, yet \mder the new Act
would be considered illegal. The present Act,
by listing only two parts instead of the ones
listed in the original proposal and in the
report of the Committee on the Healing Arts,
has failed to take into account what the re-
port of the Committee on the Healing Arts
has suggested very strongly.
I would also like to stress that any psycho-
therapy which in section 311 in the report
from the Committee on the Healing Arts
should be excluded specifically from the
definition of the practice of medicine, is now
not excluded, which puts a niunber of prac-
titioners under a cloud and I would say
places them in direct conflict with a number
of other legislative Acts that are already in
existence.
The maior reason for the first exception of
recommendation 311, as the Committee on
the Healing Arts states, is recommendation
310— that nayment be eliminated as an ele-
ment of the offence created by section 51.
The reason for the second exception is a
desire to minimize jurisdictional dispute and
needs no elaboration. The reason for the third
exception is to be found in our views that
we no not regard psychotherapy as a matter
within the exclusive confidence of physicians
or house workers to cope with that which is
necessarily defined by statutes.
The inconsistency of the definition of the
practices of medicine, dentistry, pharmacy,
nursing and optometry, is that there is no
definition for the fields of nursing medicine
or pharmacy, a straitjacket definition for
optometry, and an extensive definition for the
discipline of dentistry, which in part points
a dagger at the head of the paradental health
worker, namely denturists. This leaves the
minister and the Health Disciplines Board
with no intelligible definition to be used in
co-ordinating the activities of various disci-
pHnes. At least the semantic framework of
the definition of the practice of dentistry,
however iniquitous it is to the denturists,
would allow the Health Disciplines Board to
co-ordinate the activities of tnc health pro-
fessionals.
One of the last remarks I shall make is
on a few points in the recent controversy
between the optometrists and the ophthal-
mologists. We have all received telegrams
from the ophthalmologists only recently. Op-
tometrists have contacted us in a dmerent
fashion.
Mr. Shulman: How?
Mr. Dukszta: Personally.
Mr. Shulman: Campaign contribution?
Mr. Dukszta: I could ask the same question
if the member would let me.
I think I could make a couple of points
or, at least, try to find my own position on it.
I'll read a part of the proposals from the
Ontario Association of Optometrists, which
is not the college but a trade organization
like the OMA. As they have suggested in
their brief: "The modem optometrist renuires
the use of all diagnostic tools which will en-
able him to carry out an examination. A drug
can be useful in detecting the presence of
an eye disease in some cases."
In response to this, and in response to the
proposal in the Act that is now for our con-
sideration, the Ontario Medical Association
came out with a number of statements. I will
not read them all since they are much too
extensive, but in summary, in the section on
ophthalmology, the Ontario Medical Associa-
tion suggests that:
'No member shall use drugs in his prac-
tice except such topical anaesthetics for the
purposes of tonometry as are designated
in the regulations. Any member who in the
course or his practice detects an anomah-
of the eye or adnexa that may be patiio-
logical in origin, shall refer the patient to a
legally qualified medical practitioner.
This is a somewhat controversial subject but.
in response to it, I would like to point out
that the statement made in a very extensive
letter by the Ontario Medical Association
in respect of the possible dangers to the
patients if their optometrists are allowed to
use certain drugs which go beyond the loctl
anaesthetics are— I was going to say they're
somewhat tendentious, they're rather strong
statements. They may be somewhat exagger-
ated, especially If we take Into account die
1316
ONTARIO LEGISLATURE
practice in other jurisdictions outside On-
tario.
I don't really think we can limit ourselves
to treat this very serious question only in
our own experience. I have, in front of me,
a submission of the College of Optometrists
of Ontario to the Committee on the Healing
Arts. It's in section 98:
Further, the college wrote to the Board
of Optometrical Registration in Sydney,
New South Wales, Australia. For three
years their Optometry Act was amended
to permit optometrists to use cycloplegics,
local anaesthetics, mydriatics, miotics and
such other drugs as may be prescribed for
'use under certain conditions (ref. Op-
tometrists Act, 1930-1963, New South
Wales) and the college was interested in
obtaining their experience.
It was learned that the requirement of
the statute was that a special course would
be set up to qualify those optometrists in
practice who wished to use those drugs.
The special course has not been abandoned
but has been deferred indefinitely because,
as the Vice-Chancellor of the University
of New South Wales advised the Minister
of Health, the university council has
reached the conclusion that at the present
time the views of optometry and ophthal-
mology cannot be reconciled and, in the
circumstances, the implementation of the
special course in the use of drugs in re-
fraction or examination of the eyes must
be deferred.
I would like to point out that in England
they have been using not only local anaes-
thetics for the purposes of tonometry, but
drugs like atropine and pilocarpine for the
purposes of examination without obvious
disaster occurring to the number of pa-
tients who have been seeing their optom-
etrists in the many years that this particular
practice has been in eflFect in Great Britain.
In a small summary to that point, there
is probably no real need for optometrists to
use all the other expensive drugs, but surely
there is a need for them to use local anaes-
thetics to help with the tonometry. I know
that there are newer ways of doing tonometry
—electronic tonometry, which employs a very
expensive instrument that is not within the
financial capacity of many of the ophthal-
mologists to buy. It's quite unnecessary to
go to such an extent that we should compel
them to do it. On that point, which is one
of the few points on which I tend to agree
with the minister, maybe they should be al-
lowed local anaesthetic.
In summary— and it'll be a very short one
—I would like to point out that the Act fails
in two key points really. One is that it does
not deal at all with the form of making sure
that there is a pubhc and community input
into the profession. The way the Health
Disciplines Board has been set up is ineflFec-
tual, tokenistic, and will not deal in any
other way except as a window dressing with
what now is a growing public concern for
a public input into the five senior health
professions.
Secondly, the Act will rigidify the boun-
daries between the professions and will not
allow for easy future implementation of any
more forward looking or more scientifically
correct ideas in health care. It will remain
in fact, a monument to intellectual bank-
ruptcy on the part of the Ministry of Health
and the government. Consequently we can-
not support it.
Mr. Speaker: The hon. member for
Kitchener.
Mr. Breithaupt: Mr. Speaker, first of all,
in entering this debate, I do congratulate
the minister on bringing before us a bill
which, hopefully, will attempt to deal with
the various medical professions and put them
in a position whereby the public will be
well served by the co-ordination of the vari-
ous health disciplines within Ontario.
Mr. R. F. Nixon (Leader of the Opposi-
tion): We'll expect his full and undivided
attention to it.
Hon. A. Grossman (Provincial Secretary
for Resources Development): That is a good
place for the member for Kitchener to finish
the speech.
Mr. Breithaupt: Well, perhaps the Provin-
cial Secretary for Resources Development-
Mr. R. F. Nixon: This is his policy field.
Mr. Breithaupt: —would know more about
the finishing of speeches in short words than
I would.
Mr. R. F. Nixon: What is his policy field?
Mr. Breithaupt: In this bill, Mr. Speaker,
it is important for us to realize that, since
the Committee on the Healing Arts reported
in 1970, there has been a long and involved
public discussion and interest in the taking
of a common approach to the resolving of
various of the medical requirements within
our society. I congratulate the minister fur-
ther on making the commitment that this
bill will be going to standing committee.
APRIL 23. 1974
1317
As you will recall, Mr. Soeaker, in the
discussions which we have haa on certain of
the revenue bills as a result of the most
recent budget, those bills have not gone to
standing committee. I think that that Is
unfortunate because the kind of pubbc In-
volvement that is necessary to deal with those
particular matters is every bit as important
as the public involvement that is necessary
in this situation.
\'^arious professional groups have been in-
volved. It was interesting to note in the
Sress reports when this bill was first intro-
uced that generally the spokesmen for the
professional groups seemed content and en-
couraged by the fact that there was to be
a co-ordinated approach with respect to the
various health disciplines. The minister
in his opening conunents, stated, and I
quote; "liiis Act ensures that the activities
of health disciplines are effectively regtJated
and co-ordinated in the public interest."
I think that we will all agree, Mr. Speaker,
the approach the minister has taken really
divides itself into two parts. The first part
is that the approach be regulated and co-
ordinated, but tne second and most important
part is that this regulation and co-ordination
be done effectively. So, as far as I am con-
cerned, the matter of effective action on the
part of the Health ministry is the important
thing in this circumstance.
The member for Parkdale has reviewed
the four principle changes that are set out
in the explanatory notes to the Act. I
certainly won't go into the same detail as
he has done with respect to his own personal
knowledge of the particular medical matters
which this bill represents. But as a layman
in this particular area I am interested in
these four principles because I think they
will go a long way to the resolution of some
of the concerns that many citizens have with
respect to the development of health services
in the province.
iLast year in the provincial budget, as I
recall, we committed some $2.2 billion to
the operation of the Ministry of Health, and
that was approximately 28per cent oJF the
budget of the province. This year, I pre-
sume we are approaching about $3 billion,
about a third or our expenditures dealing
with moneys in the health field. If that
percentage is perhaps a little generous, at
least it snows that the commitment of moneys
and the expenses for health are becoming a
vital, and indeed a most important part of the
moneys which we are spending on the citi-
zens of Ontario for the provision of health
services.
As a result. I think it is important that
the matter of closer supervisory powers by
the minister is clearly set out for those
operating in the health disciplines to realize
and to understand. The minister must of
course invcJve himself, particularly in these
areas, to ensure that we are getting the best
return for the very large numbers of dolUn
that are being spent.
The matter of lay representatk>n has been
pointed out by the member for Parkdale as
being one that seems to be a two-«dged
sword. It has the opportunity of course, of
involving citizens in the particular cdleges
and the governing bodies of the colleges, but
it also has the unfortunate connotation that
sometimes in the past, at least, these ap-
pointments have been made more as a
matter of patronage than as a necessary
benefit to the public interest.
Mr. R. F. Nixon:That's the distinct im-
pression that we get.
Mr. Breithaupt: If the minister is serious
about involving the public interest, then I
am certain that his appointments, each one
of them, will be well received by all sides
of the House because they will be based
solely on merit.
Hon. Mr. Miller: They are all from
Muskoka.
Mr. Breithaupt: Well, I would hate to
denude Muskoka of its residents, especially
in the winter, so that they must necessarily
all be serving on ministry committees.
Mr. R. F. Nixon: They are all Sant»'s
little helpers.
Mr. Breithaupt: However, it may be that
the elves in Muskoka, who are otherwise
unemployed during the summer months,
could well find full employment on aM the
boards and commissions that eventually find
themselves reporting to the Minister of
Health.
Mr. R. F. Nixon: The Minister of Health
is trying to reward them all.
Mr. Breithaupt: In any event, Mr. Speaker,
the matter of lay representation is an im-
portant one. It is also one that in our society
should be co-ordinated to the point that
our citizens are aware that this land of an
approach, taken to the governing boards of
the colleges in these areas, is one which the
government views seriously and one to
which the government is in fact committed.
The matter of the Health Disciplines
Board will be dealt with. I am certain, by
1318
ONTARIO LEGISLATURE
other speakers, particularly by my colleague,
the hon. member for Downsview, who has
a particular interest in that area. It is of
course important that those boards be inde-
pendent in fact and that the public partici-
pation on them be assured so that they have
the breadth and depth of involvement and
knowledge, as well as the expertise avail-
able to them, that they will be able to do
the kind of job that we all hope for them.
It is natural of course that there is a
system of hearings in review which on occas-
sion is going to involve the courts of Ontario.
There has to be uniformity of procedures in
this matter and I think that again we have
taken at least a reasonable step to attempt
the co-ordination of the kinds of hearings
and review procedures which have been
called for by the McRuer commission over
the years through its various reports and by
other responsible bodies.
As I understand it, Mr. Speaker, there wiU
be other sections which will eventually find
their way into this Act dealing with chiro-
practors and therapists, with technicians of
various kinds and podiatrists. I don't know
whether there are other particular disciplines
that are going to be included, but I think
it will be worthwhile for the minister, if he
is able to do so, to advise us in his remarks
as to when we may expect to have these
other areas brought for^vard, so that the
whole package approach which is being
taken to the operation of the ministry can be
seen by the Legislature.
There certainly is a general agreement
among the spokesmen for the various profes-
sional groups that this kind of an approach
will hoDefu^lv resolve the various interdisci-
plinarv conflicts that exist and will also set
a crui'^eline bv which we can be assured that
the monevs being spent in these areas are
bpin<*^ well and properly spent. Much has
been said as a result of the approach that has
been f^ken bv both the ontometrists and
ophthalmoloeists in the attempt to resolve the
particular points that are raised by section
99 in the Ml
It would appear to me that the whole
matter will resolve itself one way or another
when the minister advises clearlv in the
House what sorts of drugs are goincr to be
pvailable and included in the reerulations.
Surelv that is going to be the way that we
are able to show whether, based upon the
training and exnerience of optometrists, the
various drugs that are allowed will either
permit them to do the fob for which they are
trained or will not. This surely is the point
that we will have to see when the regula-
tions come in. I think that there are going
to be many members concerned with this
particular point. I hope that the minister will
be able to resolve it so that especially those
of us without a medical background will
understand just what the terms of reference
are supposed to be— delineating the work of
these two professions.
There is one other area that I would like
to refer to and it deals with a series of let-
ters that I'm certain many members have
received from those persons who are mem-
bers of the Christian Science organization.
In the letters which I have had they have
dealt with a particular point. If I might I
will quote briefly from one letter:
We of Christian Science very much
cherish our religious rights with respect to
the above-mentioned Bill 22. We request
that the practice of healing by prayer with-
out prohibition or interference be reinstated
in Bill 22.
Mr. Speaker, not being a member of that
particular religious denomination I am not
aware in depth as to the difficulties which
apparently have been foreseen by this religi-
ous group. I am certain that the minister
would not wish to off^end any group of per-
sons, and I hope that in his comments-
Mr. R. F. Nixon: Certainly not in his
position.
Mr. Breithaupt: —he will be able to advise
us just whether or not the concerns that
Christian Scientists have written about are in
fact something that is going to take place.
The minister shakes his head, and he
shakes his head "no." Are we to presume
then that these various letters of concern are
without foundation and in fact this kind of
problem is not going to occur?
Mr. R. F. Nixon: The minister is not going
to persecute the Christian Scientists?
Mr. Breithaupt: The minister at this point
shakes his head up and down which I pre-
sume means yes.
Hon. Mr. Miller: I could answer the mem-
ber if he wishes.
Mr. Breithaupt: I would hope the minister
will take the opportunity in his reply to set
out clearly just what the situation is so that
these citizens will be able to be assured that
their particular religious belief will not be
interfered with or compromised.
Mr. Breithaupt moves the adjournment of
the debate.
APRIL 23, 1974
1319
Motion agreed to.
Mr. Speaker: In accordance with the provi-
sions of standing orders 27 and 28, I now
deem a motion to adjourn to have been made.
The hon. member for Port Arthur had filed
proper notice with me that he is dissatisfied
with the answer given to one of his questions
yesterday. He now has the right to speak to
this point for five minutes.
LAKE SUPERIOR OUTFLOWS
Mr. J. F. FoiJds (Port Arthur): Mr. Speaker,
the government of Ontario has failed to be
open and frank about the regulation of the
level of Lake Superior. The Premier's (Mr.
Davis') reply to my questions yesterday was
just the latest in a series of evasive answers.
On May 22 of last year, I asked the then
Minister of the Environment (Mr. Auld) about
IJC proposals to use Lake Superior as a
reservoir for the rest of the Great Lakes
system. He said:
Now, what is transpiring at the moment
with the IJC and the lake level and what-
ever studies are being considered, I am
not totally up to date on. I will try to find
out and let the hon. member know.
But there was no further answer.
On June 18, the minister admitted that
Mr. Steggles of his ministry and representa-
tives of the Ministry of Natural Resources
were present at an IJC meeting held in
Duluth on that very day. He further clearly
indicated that "there are provincial people on
the Lake Superior Control Board Advisory
Committee . . ."
More interestingly, he indicated to me
quietly in the hallway that the thing that
fascinated him was the information that there
was massive potential to use Lake Superior
as a reservoir because of the vast surface area
of the lake.
Then the IJC released its spedal interim
report on the regulation of Lake Superior
outflows on June 29. This recommended an
increase in the allowable water level of Lake
Superior,
I wrote the Premier on July 18, asking
him to make Ontario's position on the matter
clear and public as all the affected shore-
line on the Canadian side is in Ontario.
I suggested that as this was the case, Ontario
should have a large say in the determining
of the Canadian government policy on the
matter.
The Premier replied by saying in a letter
of Sept. 27:
I hope I can relieve your anxiety by con-
firming that the province has been studying
the special interim report for some time
and nas already made recommendations
where appropriate.
But nowhere in his letter or publicly since
has he indicated what these recommendations
were or to whom they were made.
I might also add here that Louis Robi-
chaud, the Canadian chairman of the IJC,
said in a letter to me:
Before final conclusions are reached, the
commission will hold public meetings at
strategic locations in botn countries in order
to give the public full opportunity to ex-
press their views.
But no such meetings have been held.
Therefore, Mr. Speaker, you can imagine
my surprise when I learned that at an IJC
meeting in Washington on April 2, the
American attorney and the Cansidian lawyer
attached to the commission said that the two
parties had reached an agreement in prin-
ciple on the regulation of Lake Superior. The
Canadian lawyer further stated that the Minis-
ter of External Affairs was to contact Ontario
to obtain confirmation.
Subsequently, I raised the matter with the
present Minister of the Environment (Mr.
W. Newman), who said: "I will be glad to
bring the member more detailed information
tomorrow." He said this on April 9.
Thirteen days later, with an answer not
forthcoming, I raised the question with the
Premier as the chief administrator of the
province. The Premier said:
I recognize the federal government at
Ottawa and the American government
have had discussions on the issue and on
a niunber of other issues. I'm not sure
that there is in fact an agreement, I will
check that out and find out whether there
is in fact an agreement.
I simply cannot accept that answer, Mr.
Speaker. There are too many contradictions,
too many partial omissions of knowledge on
the part of Ontario government ofiBcials for
me to accept the Premier's statement at face
value.
There is an agrement, Tlie Premier should
be aware of it, as Ontario is now consider-
ing it at this very time, if it has rK)t already
agreed to it. I believe that the Premier used
his talks about pollution control on the
Great Lakes with Governor Milliken as a
cover-up. I belie\e he agreed to the Michigan
1320
ONTARIO LEGISLATURE
governor's desire to raise Lake Superior as a
sawoff to persuade Michigan to clean up
some of its pK>llution. Ironically, the IJC
admits in its own special interim report that
holding back Lake Superior will not sig-
nificantly ease high water levels lower down
on the system.
T will continue to oppose the raising of
Lake Superior until I am satisfied that north-
em Ontario will not economically or eco-
logically be damaged by the proposals. We
in northern Ontario have for far too long
been treated as hewers of wood and drawers
of water for the industrialized sections of
this continent. We are not now prepared
to become mere storers of water in order
to satisfy either the United States or southern
Ontario to our own detriment.
Mr. Speaker: The member's time has now
expired.
Mr. Foulds: I believe the Premier is de-
liberately withholding information from the
Legislature. I would like him to come clean
about the whole matter. What is he trying
to hide?
Mr. MacDonald: That's a full record.
Hon. W. Newman (Minister of the En-
vironment): Mr. Speaker, in reply to the
ruling which was made, I would just like
to say the Premier is not withholding in-
formation. As usual the member for Port
Arthur, with his fragmented information in
bits and pieces, certainly has not got the
story correct and does not really know what
the facts are,
Mr. Foulds: GWe us the full information,
Mr. MacDonald: Give us the facts. The
minister has the chance now.
Hon. W. Newman: He asked me a ques-
tion; he pointed out in his question to me
on April 9 that accord had been reached
between the federal government of Canada
and the federal government of the US. This
is not true. There has been no accord reached
at this point in time, as of tonight even.
Mr. Foulds: Has there been an agreement
in principle?
Hon. W. Newman: There has not been.
Will he listen to me? When the federal
government originally last October rejected
the IJC's idea of regulating Lake Superior, it
rejected it on the basis there wasn't sufficient
information. The federal US government
asked it to reconsider the matter and as a
result of the reconsideration of the matter
the goverrmient of Canada asked the Prov-
ince of Ontario for its comments. Our com-
ments were duly put together in this ministry,
forwarded to the Ministry of Intergovern-
mental AflFairs, TEIGA, and from there, which
is the proper channel, they went to Ottawa.
The federal government has our thoughts on
the matter now; our thinking on the matter.
We are now waiting for Ottawa to make its
decision with the US federal people.
Mr. Foulds: Comments on what?
Hon. W. Newman: Pardon me?
Mr. Foulds: Comments on what?
Hon. W. Newman: On where we stand
on the matter. As a result of these develop-
ments the government of Canada is now
reconsidering and has requested our views.
The proposal was under study by our min-
istry and the Ministry of Natural Resources.
Mr. Foulds: So there is a proposal?
Hon. W. Newman: They asked for our
comments-
Mr. Foulds: On their proposal.
Hon. W. Newman: —on the IJC's recom-
mendations. Not on what the member is
talking about, two lawyers who came to
some concurrence. I don't know anything
about that,
I do know that the federal government
of the US asked the federal government of
Canada, which asked for our comments. We
made our comments to the federal govern-
ment of Canada and we have said that the
two federal governments should provide com-
pensation for power interests at Sault Ste.
Marie and property owners along Lake
Superior damaged by higher levels on the
lake if we go along with the regulating of
Lake Superior water levels.
Mr. Foulds: That's a tacit admission that
the government is going along with the
raising of Lake Superior water levels.
Hon. W. Newman: We are saying, in
effect, that if the two governments wish to
do this there should be compensation con-
sidered for the power people and the shore
property owners. We have sent our submis-
sion through the Ministry of Intergovern-
mental Affairs to the federal government in
Ottawa.
The Premier has not been misleading the
House, nor have I, The reason I couldn't give
the member this information is that in the
APRIL 23. 1974
1321
question he asked me, he said they had
reached accord. They had not reached accord
and until today they still have not reached
accord. I just hope when he makes his reso-
lutions on whatever section of the reeula-
tions it is he will get his facts straight before
he brings it up.
Mr. Foulds: It might help if the govern-
ment was frank in bringing those facts to the
public.
Hon. W. Newman: We are working with
Environment Canada, with the federal mini.s-
trv, through the proper channels to try to
resolve this problem. We are concerned and
don't let the member forget we are fust as
concerned about the people on Lake Superior
and all the other Great Lakes as anybody
else is.
Mr. Foulds: Not this government.
Hon. W. Newman: We are very much
aware of what is happening and we are very
much concerned.
Mr. Foulds: The Tories have sold out the
north for 30 years and they are prepared to
do it again.
Hon. W. Newman: We are very much con-
cerned about what is happening and cer-
tainly we did respond to the IIC« recom-
mendations to the eovemment of Canada. We
are waiting for them now to make thdr
decision.
Mr. Foulds: That is a switch.
Hon. W. Newman: Thank you, Mr.
Speaker.
Mr. Foulds: The government should make
those representations public. What is ft
hiding?
Hon. E. A. Winkler (Chairman, Manage-
ment Board of Cabinet): Mr. Speaker, on
Thursday we will return to the second item,
consideration of Bill 28. to be followed, as
I said previously, by the estimates of the
Ministry of Energy. If there is any change
from that I will announce it on Thureday but
at the moment that order stands.
Mr. Breithaupt: That is without, Mr.
Speaker, a return to the health bill?
Hon. Mr. Winkler: That is correct.
Mr. Breithaupt: Thank you.
Mr. Speaker: I now declare the motion to
adjourn to have been carried.
(The House adjourned at 10:40 o'dock, p.m.
1322 ONTARIO LEGISLATURE
CONTENTS
Tuesday, April 23, 1974
Health Disciplines Act, bill to amend, Mr. Miller, on second reading 1291
Debate re answers to oral questions, Mr. Foulds, Mr. W. Newman 1319
Adjournment 1321
JOURNALS AND PRCXrEDURAL RESEARCH BRANCH
DIRECTION DES JOURNAUX ET DES RECHERCHBSENFROCEDDHB
ROOM 1640, WHITNEY BLOCK
QUEEN'S PARK. TORONTO. ON M7A 1 A2