SoVote

Decentralized Democracy

Ontario Assembly

43rd Parl. 1st Sess.
November 22, 2022 09:00AM
  • Nov/22/22 9:40:00 a.m.
  • Re: Bill 39 

Thank you very much, Speaker, for the opportunity to speak to Bill 39, the Better Municipal Governance Act.

I would think everybody in this Legislature would very quickly agree that Ontario is the best place in the world to call home. I know that everybody in my community—that, I think, we can all agree on. Unfortunately, there are a couple of issues. Fast-pacing demand and a lack of supply: Those are the two things I’m going to talk about today. That is what has driven house prices out of reach for many families in Ontario. Again, it’s fast-increasing demand, which I want to talk about for a moment, and then lack of supply, which I’ll also address.

Think about the fast-increasing demand. What has happened in Ontario in the last five years? What has changed in Ontario that has caused this demand? We need to go back a few years ago to 2017, 2018, when the previous Liberal government gave up on manufacturing in Ontario. They just gave up.

I’m going to read you two sentences from their long-term report on the economy. It told you what the Liberal government saw coming up. It said, “The structure of the Ontario economy will continue to shift from goods-producing to service-producing sectors,” and, they went on, “shifting employment from goods-producing industries, in particular manufacturing, to service-sector industries.”

The previous government gave up on manufacturing. They hiked hydro rates, they hiked taxes and they added red tape, and as a result we saw a loss of 300,000 jobs in the province of Ontario. That’s in the past. That’s what happened. That’s how we started.

I’ll give you one more reference, because I think it’s important that we hear. Unfortunately, Sergio Marchionne has since passed. He was the chair of then-called Fiat Chrysler, in Windsor. The headline in the Toronto Star was, “Fiat Chrysler Chief Worries about Ontario’s Competitiveness.”

Sergio was sitting on a stage in Windsor with former Premier Wynne. They were talking auto because auto was declining in Ontario. Every single auto company was reducing, closing, stopping certain vehicles in their production line. Sergio Marchionne was sitting with the Premier and she mused about Chrysler expanding. He delivered a very blunt message directly to Premier Wynne, who was sitting beside him. He said, “This is not what I would call the cheapest jurisdiction.” He was referring to hydro rates, red tape and higher taxes. He said to her, “I think you need to create the conditions to be competitive.”

So exit Premier Kathleen Wynne, enter Premier Doug Ford and our party. This is fundamentally why there is fast-increasing demand in housing today. We looked at the situation that the previous Liberal government left, of high taxes, high hydro rates, 300,000 jobs that had left, Sergio Marchionne saying that you’ve got to create the conditions to be competitive, and Premier Ford said, “All right, this is what we are going to do. We are going to lower the cost of doing business.”

We visited Ford and GM and Stellantis. We visited Toyota. We visited Honda. We visited all of the auto companies, the engine manufacturers and the parts makers. There are 700 parts makers in Ontario and 450 tool and die makers. We visited as many as we could. There are 300 companies that are in connected and autonomous vehicles: GM up in Markham, Ford in Ottawa and BlackBerry QNX in Ottawa. They each employ hundreds and hundreds of people designing the cars of the future, these connected and autonomous vehicles. We visited them all and they all gave us the same message: You’ve got to lower the cost of doing business.

And we did, Speaker. We began by reducing WSIB premiums—workplace safety costs—by 50%. That is a $2.5-billion annual savings to business. We put in an accelerated capital cost, which means they can write off the cost of their new equipment in a year. That’s a $1-billion savings. We reduced commercial and industrial hydro rates by 16%; that’s $1.3 billion. We lowered the provincial share of local property taxes by $450 million. We reduced the burden of red tape on business—at that time it was $400 million and it’s now over $550 million. All in, we reduced the cost of doing business by $7 billion annually.

So when I say to you that yes, Ontario is the best place to call home, but fast-increasing demand and lack of supply is what the problem is, the fast-increasing demand comes from the fact that we reduced the cost of doing business by $7 billion, and because of that, companies have flocked back into Ontario.

I’ll start just with the automotive because that was the immediate response. Premier Ford and myself, we went to Washington; we met with Ford. We went to Plano, Texas; we met with Toyota. We went to all of the companies and we said, “We did what you asked. We lowered the cost of doing business in Ontario. We are now competitive. What are you going to do for us?”

Ford, in Oakville—$1.8-billion investment; Honda, in Alliston—$1.4-billion investment; LG-Stellantis, in Windsor—$5.2-billion investment, their first investment in North America; GM, in Oshawa and Ingersoll—$2.3-billion investment; Stellantis, in Windsor and Brampton—$3.6-billion investment; Umicore, out of Brussels and now in Loyalist township—$1.5 billion. There’s $16 billion in new investment, just in auto—in EV—that has created tens of thousands of new jobs.

To build LG’s plant in Windsor—just to build that plant—are thousands upon thousands of employees. It’s a 4.5-million-square-foot building. To put it in our terms, in Canadian terms, it’s the size of 112 hockey arenas. That’s what’s being built down there. It needs thousands of people to build that facility down there, and once it’s built it will employ 2,500. Look at GM in Oshawa: 2,700 men and women—in fact, 50% women, 50-50—showed up at work today, in Oshawa, in a plant that was closed. All these people need a place to live, so when we say “fast-increasing demand,” you can see that just the auto sector alone has created tens upon tens of thousands of jobs. That’s why there’s demand.

Since we were first elected, pre-COVID, there were 300,000 new jobs created in Ontario. Those people need a place to live. Since the pandemic—yes, of course, like everybody else, we lost 1.1 million jobs, but we gained 1.3 million back. We added 200,000 jobs, just since the pandemic, throughout the pandemic and now. That’s 500,000 new men and women who went to work in a job this morning—more than when we were first elected, only four and a half years ago.

So when we say that fast-increasing demand is causing a problem—why we need Bill 39, the Better Municipal Governance Act—it’s because we have so many people here who are working, who need a place to live. So it’s not just automotive.

I made a couple of notes while I was sitting here, listening, earlier. I’ll just rhyme off a few to show that this is so diversified around the province and around the sectors:

—AXYZ Automation, a company in Waterdown: $25-million investment, hired 50 people. I think they mentioned the member from Flamborough–Glanbrook in their news release;

—Barry Callebaut, a chocolate manufacturer in Brantford: $104-million investment; they hired 200 people;

—Laurysen Kitchens, in Stittsville: $26-million investment, hired 20 people;

—Dot Foods, in Ingersoll: $39-million investment, 200 people;

—Justworks, in Toronto, an HR management platform in Toronto: $20-million investment, 75 new people;

—Lastman’s Bad Boy built a new facility in Pickering: $70 million, 200 new employees;

—Trusscore, in Palmerston—they make plastics and paint—$10-million investment, 68 people. They all need a place to live.

On some bigger numbers:

—Telus, $23-billion investment; they’re hiring 9,500 people over the next five years;

—Tata Consultancy Services, from India, is here today on University Avenue; 5,000 new employees they’re hiring over the next four years;

—Nokia—we did the announcement in Ottawa—hundreds of millions of dollars, 340 new employees and 100 interns that they’re hiring. All of these people need a place to live.

So when we talk about what’s happened—“Why all of this now? Why, all of a sudden, are you doing this?” Well, good heavens, there are 500,000 people working today who weren’t working just a few years ago, and I’ve just rhymed off a list here of about 20,000 more people who—these announcements are only made in the last couple of months, from Telus’ $23 billion and 9,500 employees all the way through to the Nokia one. All of these; that’s 20,000 employees I’ve listed.

Every single morning of every single day, I send Premier Ford what he calls and what I call his “one-a-day vitamin.” It’s the name of a company, where they’re locating, how many millions they’re investing, how many people they’re hiring and whether the province has any skin in the game or not. Every single day of every single week, that’s what’s happening in the province of Ontario. Every single day there are millions of dollars of investment coming into the province of Ontario. That hasn’t stopped.

Speaker, I’m going to take a moment and I am going to read yesterday’s—this is fun. Oh, that hasn’t been announced yet. But there’s good news coming in Niagara. MPP Sam Oosterhoff is going to make a $6-million announcement and 30 new jobs.

That hasn’t been announced yet either. Well, I’ll have to go back. Cambridge is getting some very good news about 40 jobs coming.

Every single day we’re reading—Unbun in London, $4 million. They are creating to provide gluten-free products to Mr. Sub and Pizza Pizza and Burger’s Priest. They’re going to sell all of these products—23 new jobs. Very nice.

Every single day of every single week, Speaker, there are great announcements coming, millions coming. So when you ask why there’s fast-increasing demand—what I’ve said—that’s why, because we’ve created the climate in Ontario for job seekers and job creators to build these jobs. They all need a place to live.

When you now look at the other side of the coin, the lack of supply—Minister Clark, my great friend Steve, has said the word “NIMBY.” He has talked about NIMBY.

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  • Nov/22/22 10:10:00 a.m.
  • Re: Bill 39 

I want to thank the minister for his statement bringing to light this important issue.

Three weeks ago, I had the pleasure of touring Macrodyne Technologies. This company creates very specialized hydraulic presses in the riding of Thornhill. I was absolutely amazed to see what they do and what they create for the international market. When I sat down at the table with them and we talked about their biggest issues, employment and a place for their people to live was their biggest issue. This is such an important issue, because if we’re creating an environment for our economy, we also have to create an environment for our employees. Could the minister talk about this balance?

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  • Nov/22/22 11:20:00 a.m.

Thanks very much to the member opposite from Brampton for the great question this morning.

Our government knows that a reliable and affordable electricity grid isn’t just good for the economy; it’s also great for the environment.

We’ve stabilized electricity prices since the harmful days of the previous Liberal government, through programs like the comprehensive electricity plan, which has stabilized rates. It has allowed manufacturing jobs and new investment to come back to our province, like the $3.6-billion investment at Stellantis in the member opposite’s riding and down in the Windsor region as well—but it’s more than just that. Stabilizing our electricity rates also means that companies can now invest in electrifying their industrial businesses, like we’re seeing with the green steelmaking processes coming soon to Hamilton and Sault Ste. Marie.

It’s because of a stable, reliable, affordable electricity grid that we will see reduced emissions in other parts of our economy, while at the same time watching our economy in this province grow.

The comprehensive electricity plan is reducing electricity costs for more than 50,000 industrial and commercial customers by 15% to 17%. To the member’s question: Why is that program necessary? Well, I can tell you, it’s necessary because of a decade of Liberals mucking up the energy policy in our province. They signed contracts under the Green Energy Act, locked in for 20 years, many at 80 cents a kilowatt hour, when our clean, reliable, affordable nuclear power was available for eight cents a kilowatt hour and our hydroelectric was available for four cents a kilowatt hour. The Liberals kept signing these contracts that were driving up the price of electricity and were going to continue to drive up the price of electricity by 6%, 7%, 8% year over year, through the end of the decade. The comprehensive energy plan is meant to fix the problems that were created by the Liberal government.

We are bringing back a stable electricity system to our province so that our economy can thrive.

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