YYC Matters: City of Calgary Priorities – Federal Election 2019

Promoting Calgary’s Economic Recovery

1. Strategy for supporting Calgary’s recovery

Calgary is one of Canada’s economic engines, contributing $124 billion in GDP. But for the last 5
years Calgary has suffered through a severe economic downturn with unemployment rates
among the highest in Canada.

What is your party’s strategy to support Calgary’s recovery as we reshape our

future?

For Canada to thrive the federal government needs to support economic opportunities right across
the country. The Liberal Government’s Western Canada Growth Strategy is encouraging economic
diversification, helping businesses to trade in new markets abroad, investing in the skills of our
workers, and strengthening our communities through increased connection to broadband access
and digital resources. It is also why we have taken significant steps to advance the Trans Mountain
Expansion project.

In addition, our government responded to the needs of the energy sector in a tough time by
introducing a new Accelerated Investment Incentive, an accelerated capital cost allowance for
businesses of all sizes across all sectors of the economy. This incentive is helping more
businesses invest in assets to help business grow over the long-term.

In addition, in December 2018, our government announced investments in workers, boosting

competitiveness, and improving long-term competitiveness of the industry:

- $1 billion in commercial financial support from Export Development Canada to help

companies looking to explore new markets, address working capital needs, or invest in new
technologies.
- $50 million investment in oil and gas clean innovations through the Clean Growth Program,
projected to generate $890 million in investment.
- $100 million allocation through the Strategic Innovations Fund in energy and economic
diversification-related projects.
- We made the National Trade Corridors Fund available to support projects that help address
bottlenecks in the freight rail system and improve transportation of all commodities,
including energy products. Made available a set of services to deploy quickly to help
workers, including work-sharing to prevent layoffs and immediate income supports through
Employment Insurance

In Budget 2019, our government also funded the Calgary-based Clean Resource Innovation
Network with $100 million to reduce oil and gas producers' environmental impacts, including
reducing water and land use, as well as improving wellsite remediation. Our government also
provided a $17.9 million cleantech investment to Calgary-based oilsands company MEG Energy,
for a new method for extracting bitumen that has "the potential to cut greenhouse gas emissions by
40 per cent" by using less steam and water.

Our farmers, forestry and energy and mining workers are already world leaders in innovation. Our
Liberal government is supporting these sectors to develop and deploy new technologies and
increase their environmental stewardship to create jobs for the middle class and encourage
investment flowing into the west. The clean growth economy is estimated to be worth $26 trillion
over the next 12 years. Our government is committed to building a clean growth economy in
Canada so we can continue to be an energy leader on the world stage. Our government has
invested $3 billion into clean technology and $1 billion into energy efficiency initiatives in
municipalities and rural communities, through the Federation of Canadian Municipalities. We have
also made available $27 billion for green infrastructure through the Canada Infrastructure Bank.

2. Supporting our responsible energy industry

Calgary is a world-class centre of excellence for energy. We are leaders in oil and gas production,
renewable energy and new technologies to reduce the industry’s environmental footprint and
support the transition to a low carbon economy. All Canadians benefit from our energy
resources.

Moving to a low carbon future will take a strong economy. We can be part of a global solution if our
resources can reach new markets. Between 2014 and 2016, the energy industry generated
$12 billion in average annual revenue for governments and, in 2017 alone, supported
533,000 jobs across Canada. Canada needs more access to new markets, the best price for
its resources, and fair regulatory review of key economic infrastructure projects.

What will your party do to support our responsible energy industry and ensure
our resources get the best price?

It is a core responsibility of the federal government to help get our natural resources to market, but
that is only possible if we achieve the required public trust by addressing environmental,
Indigenous Peoples’, and local concerns. 99 percent of Canada’s oil exports are sold to a single
customer: the United States. Diversifying our market access is critical to getting a better price for
our oil.

Our federal Liberal government approved the Trans Mountain Expansion (TMX) pipeline project,
creating tens of thousands of jobs and then purchased the Trans Mountain pipeline when it faced
challenges. Construction restarted this summer and Trans Mountain expects it to be in service by
mid-2022. Every dollar made by the federal government from the TMX will be invested in clean
energy projects. We are also opening opportunities for Indigenous groups to benefit financially,
including through ownership.

Our government also approved :

- Two NOVA Gas Transmission LTD expansions of its natural gas pipeline system:

- System Expansion in northern Alberta, both to supply local customers and North American
markets, and creating up to 3,000 jobs during construction.

- Towerbirch Expansion to expand pipeline system between BC and Alberta, creating up to 750
jobs during construction.

- The Line 3 Replacement Project, which will create up to 7,000 jobs during construction. All 1,070
km of the pipe along the Canadian right-of-way has now been installed (from Hardisty, AB to
Gretna, MB). Enbridge expects the Canadian portion to come into service in December 2019, and
for the full line to be in service by the second half of 2020.

Our government also continues to support Keystone XL, and has advocated for this critical project
to the US government. TC Energy expects construction to begin in 2020.
 3. Clear and fair regulatory review process for infrastructure

Federal environmental assessments now affect a wide range of construction projects across Canada—
not just those related to energy. For example, the Springbank Reservoir (SR1), a critical
upstream flood mitigation project to protect Calgary’s downtown, is now subject to increased
and prolonged regulatory processes and review. The regulatory uncertainty created for projects
such as SR1 —six years after Calgary’s flood devastation—raises concerns about
infrastructure projects across Canada.

What will your party do to establish clarity and certainty in regulatory processes
for timely decisions on critical Canadian infrastructure projects in the public
interest?

We understand the importance of timely decision making, and a re-elected Liberal government will
continue to work with provinces through a coordinated process to ensure that good projects get
built in Alberta.

We have heard concerns about regulatory certainty as a result of the previous government’s
environmental assessment system. Various legal challenges over major projects also very clearly
have shown that their rules were not broken. That is why we brought forward and passed the
Impact Assessment Act (IAA) this year. By adding strict time management provisions under firm
legislated timelines, ensuring strict public participation management, and putting in place
unprecedented transparency requirements on government decisions, we have provided the
certainty and clarity that Canadians need to ensure good projects can go forward in a timely way.

The Springbank Dam project has not been subject to delay from the federal government and is
progressing within its 365-day legislated timeline. The project has been developed under the
previous Harper government’s environmental assessment rules, and concerns with respect to
timelines and clarity that we heard from Canadians have been addressed in the IAA.

4. Improving federal-municipal relations

Big cities are the country’s economic engines. Canada needs strong cities to accomplish
federal policy and other national objectives. A recent report from the Parliamentary Budget
Officer demonstrated that cities are more effective than other orders of government at
building and renewing infrastructure when direct funding is provided. Direct federal funding
also results in greater accountability and transparency to the public on the part of cities.

What is your party’s plan for building strong cities in Canada?

Strong cities drive a strong country forward, and our Liberal government believes in strong
partnership with our municipal partners in a wide range of areas. Modern public infrastructure is
key to promoting economic growth, strengthening the middle class and developing healthy,
sustainable communities. That is why we renewed our commitment to municipalities and First
Nations communities through the federal Gas Tax Fund and delivering much needed support for
their local priorities.

Alberta has received the first of two $122 million annual installments of the federal Gas Tax Fund
(GTF), along with a top-up of $229.5 million, made available through Budget 2019. This top-up
doubles the amount of money for Alberta communities, based on their allocations for 2018-19 GTF,
enabling them to carry out infrastructure projects that support the well-being of their residents.

Through Canada’s Infrastructure Bank, we’ve approved more than 4,800 projects across the
country—that’s more than four times what the previous government approved in the last five years
of their mandate. For example, in Calgary, we are investing $166.6 million in the BMO Centre in
Calgary which will more than double the size of the BMO Centre to almost one million square feet,
transforming it into Canada’s second-largest facility, and create new spaces for conferences,
meetings, exhibitions and consumer shows.

The National Music Centre (NMC) in Calgary's East Village is benefitting from a significant
investment in cultural infrastructure. MP Kent Hehr announced $5 million in support of Studio Bell,
home of the NMC which supported three recording studios to be used by artists-in-residence; an
integrated ticketing system; finishing of exhibition spaces; electrical, audiovisual and mechanical
systems; and a public art piece.

To help the City of Calgary address it’s waitlist for over 4,000 affordable housing units, our Liberal
Government also committed $28.4 million for construction of up to 665 new units. This was a major
step forward in alleviating this demand and supported the construction of 12 affordable housing
projects throughout the city.

We also believe that cities cannot be strong if they are not safe. We know that the large majority of
firearm owners are responsible, and law abiding. They purchase their weapons legally, store them
securely, use them responsibly and dispose of them properly. However, gun crime is on the rise,
and too often people are killed or injured because criminals have used military-style assault rifles.
These guns are designed to inflict mass casualties and have no place in Canada. That is why we
are moving forward with a ban on all military-style assault rifles, including the AR-15, and will take
other steps to keep people safe from gun violence. Canadians are tired of excuses and know that
“thoughts and prayers” don’t make our communities any safer. Unlike Conservatives, who want to
weaken Canada’s gun laws, we will make gun laws stronger.

5. Investing in Public Infrastructure

The federal government can support Calgary’s economic recovery by investing in needed public
infrastructure, two such projects are the construction of a Fieldhouse and the renewal of Arts
Commons.

Calgary is the only major Canadian city without a proper indoor facility for athletics and other field
sports. A Fieldhouse has been at the top of The City of Calgary capital priorities for several
years, but it has been difficult to find the funding to build it.

Arts Commons is where arts, culture and community meet in Calgary. It is one of the busiest facilities
in the city with six resident companies, including the Calgary Philharmonic Orchestra and
several theatre companies. Arts Commons has a vision for a new building that will revitalize
our downtown and create more opportunities for arts and culture in our city.

Does your party commit to funding a portion of the construction of these important
community facilities?

Our government committed in August to helping fund one-third of the Arts Commons building project,
as currently proposed, with a $80 million investment. As a party, we are pleased to support this
important cultural project in the heart of Calgary, along with our provincial and municipal partners.
The Liberal Party remains committed to supporting the construction of a Fieldhouse in Calgary, given
the need for a major, indoor athletic facility for a city of Calgary’s size. We are more than willing to
partner with the City and with the province of Alberta to find a solution to help construct the
Fieldhouse.

6. Immigration as a driver of economic growth

Canada’s cities require immigration to continue to be strong drivers of our economic growth and
Calgary is no exception. When people come here from all over the world, they also need to
feel welcomed and have access to opportunity and prosperity.

What is your party’s position on immigration to Canada, and how will you ensure cities
see the benefits of this immigration?

To keep our economy strong and growing, we will move forward with modest and responsible
increases to immigration, with a focus on welcoming highly skilled people who can help build
a stronger Canada.

Immigration helps to make Canada more diverse – and more successful. In communities across the
country, new Canadians work hard – teaching our children, caring for us when we’re sick, starting
new businesses, and creating good jobs. These contributions are needed now more than ever
before. As people in Canada grow older and family sizes grow smaller, many businesses and
communities struggle to find enough workers, putting the services people rely on – and Canada’s
strong economy – at risk.

To make sure that communities of all sizes are better able to attract and support new Canadians, we
will more forward with a Municipal Nominee Program. This program will allow local communities,
chambers of commerce, and local labour councils to directly sponsor permanent immigrants.

How will you ensure municipalities have access to the best employees and protect
them from legislation like Quebec’s Bill 21?

Canada is a secular state and that is reflected across the full depth, breadth and history of our
institutions. The Charter of Rights and Freedoms protects the rights of every citizen. We should not
and do not choose which rights we protect and which rights we do not. Our position is clear: is it not
up to the State to dictate what people can or cannot wear regardless of their beliefs. We will continue
to carefully follow this case, and while federal intervention at this stage would not be helpful, we will
not close the door to intervening in a judicial matter that involves the protection of rights and
freedoms.

Honouring Commitments to Calgary

7. Permanent, higher funding for infrastructure from the Gas Tax Fund

The Gas Tax Fund was created in 2005 by the Federal Government to share Canada’s gas tax
revenues with communities to renew and build sustainable infrastructure. It has proven to be a
direct, effective way of getting infrastructure dollars to municipalities. However, funding is not
keeping pace with the economy and construction costs.

Recognizing the urgent need for infrastructure renewal across Canada, the fund’s payouts were
doubled in 2019—but only for this year. A permanent doubling of the fund—including an
 inflationary increase—is needed if municipalities are to make headway on the infrastructure
deficit.

Does your party support existing (Gas Tax Fund) or other mechanisms to directly
and permanently fund the renewal and construction of municipal infrastructure?

Yes.

What are your party’s plans in this regard?

To make sure that the infrastructure that people and communities need is built, we will require that
all provinces and territories identify and approve all of their long-term infrastructure priorities within
the next two years. Funds that aren’t designated for specific projects by the end of 2021 will be
reinvested directly in communities through a topup of the federal Gas Tax Fund.

In the last four years, we have made real progress when it comes to moving forward with the
infrastructure communities across the country need – from community centres that bring people
together to more efficient and reliable public transit in our biggest cities. More than 48,000 projects
have been approved under the Investing in Canada Plan, the vast majority of which are already
underway, creating good, middle class jobs and making our communities better places to live. At the
same time, some provinces are playing political games – delaying project approvals and putting good
jobs and our quality of life at risk.

8. Fair share of cannabis revenue

The federal government committed to reduce its share of the cannabis excise tax to ensure
that municipalities would receive more appropriate funding to offset the cost of legalization.
However, the costs to administer and enforce cannabis legislation have far surpassed the
revenue The City of Calgary is receiving from the Province. From April 2018 to December
2018, The City’s costs were $10.4 million. The Province’s revenue sharing was $3.8 million,
leaving a $6.6 million revenue gap. A new method is needed to share cannabis revenues to
ensure federal funds achieve their intended purpose.

How will your party ensure that cities actually receive the federal funds needed to
cover the administration and enforcement costs of legalization?

As Justin Trudeau has repeatedly said: we believe that cities must receive what they are owed
through the cannabis excise tax framework, to cover the costs that they are bearing through the
administration and enforcement costs of cannabis legalization. We understand Calgary’s issue with
not receiving their fair share, and we will continue to raise this issue with provinces. We will also
ensure that we work with municipalities as a part of any future review of the cannabis excise tax
framework.

Background: The federal government has entered into Coordinated Cannabis Taxation
Agreements (CCTAs) with most provincial and territorial governments, with the aim of keeping
duties on cannabis low through a federally administrated coordinated framework. The agreement
provides that 75 per cent of the duties go to provincial and territorial governments and the
remaining 25 per cent to the federal government. For the first two years of the agreement, the
federal portion of cannabis excise duty revenue is capped at $100 million annually, with any federal
revenue in excess of $100 million provided to provinces and territories. The proposed measure will
not affect the CCTAs.

9. Public transit funding

 Efficient and reliable transit is critical in keeping Canada’s cities and citizens moving. The
federal government is a partner in the major expansion of Calgary’s public transit train line,
called the Green Line. The first 20 km and 14 stations are funded, but long-term, additional
contributions are needed. The Green Line will create some 20,000 jobs, reduce GHG
emissions by the equivalent of 4,600 cars and, by 2048, move 150K-170K daily weekday
riders. Municipalities need a permanent, federal commitment to fund public transit growth
across Canada.

How will your party support long-term transit funding to build and extend transit
in Calgary?

To give cities the predictable transit funding they need to plan for the future, we will move forward
with making the federal commitment to fund public transit permanent, and will make sure that it
keeps up with the rising cost of construction over time. This will mean an additional $3 billion more
per year in stable, predictable funding for our cities’ transit needs, on top of transfers through the
federal Gas Tax Fund. In the last election, the Prime Minister promised that a Liberal government
would provide crucial and significant funding to help Calgary with the costs of flood mitigation, and
continue the $1.5 billion in funding for the C-Train Green Line which will expand service to the
nearly 300,000 people who live along its corridor. And we did just that.

In the last four years, we have made the largest investments in public transit in Canadian history,
but traffic congestion continues to be a serious problem in our cities, making it hard for families to
spend time together, and costing our economy about $15 billion a year in lost productivity.

Supporting Calgarians through the Economic Recovery

10. Mental health and addictions

Mental health and addictions affect all Calgarians—and our citizens and communities must be safe
and supported.
● Calgary has the highest rate of deaths due to overdose in Alberta
● An average of four Calgarians die every week from a suspected overdose
● Overdose deaths have happened in every Calgary community

All orders of government must continue to work together—along with community members and local
agencies—to address complex issues facing at-risk Calgarians. One means of collaboration
is a multi-jurisdictional table that would bring all levels of government together to share
information and work towards solutions.

What is your party’s plan to address this crisis?

Our Liberal government has worked to save lives turn the tide of this national public health crisis
with a response that is compassionate, collaborative and evidence-based. Those on the front lines
have lacked the resources to properly do their jobs, which is why we devoted an unprecedented
$425 million towards emergency responses, treatment and harm reduction. A re-elected Liberal
government will build on historic levels of investment in mental health services by adding them to
Canada Health Act to guarantee that every Canadian - no matter where they live or how much
money they make - has access to a full range of mental health services. A re-elected Liberal
government will ensure that every Canadian can easily find a family doctor or primary care team
and will ensure Canadians have the medicine they need at an affordable price by implementing
universal pharmacare.
Too much red tape has stood in the way of those seeking help from opioids addiction, which is why
we’ve taken steps to cut red tape and eliminate barriers to treatment. We’ve passed new laws to
protect those who call 9-11 to report an overdose, ensured that Naloxone is available without a
prescription and support programs to make it more accessible, made it easier for medical
professionals to carry controlled substances and more.

Supervised Consumption Sites save lives, which is why we’ve approved over 40 across the
country. Soon after coming to office we streamlined the process of setting up an SCS, and last
year allowed cities and groups to apply directly to us to set them up. Before this, only provinces
could apply. We’ve also provided emergency funding to support SCSs and OPSs threatened by
the Ford government’s cuts.

To support the smaller cities, rural communities and remote regions increasingly affected by the
opioid crisis, we are expanding access to naloxone kits and increasing the availability of opioid
overdose response training. We will also support projects that offer new or expanded access to
harm reduction services, provide opioid agonist treatment in underserved communities and help to
connect people to health and social services.

Methamphetamine use is a growing problem across the country, particularly in the Prairie
provinces. That’s why - in addition to investments through the Emergency Treatment Fund - we’ve
devoted $31.3 million to address meth and other emerging threats. This includes programs to pilot
new approaches to treating meth use, and projects that break down barriers to treatment for
people who use drugs. As the spike in meth use has exposed our limited capacity to monitor and
identify drug threats on a national scale, we’re investing in a national early warning system and
enhancing our work to collect data.

Our investments are making a meaningful difference. But we know they’re not enough. What’s
driving the unprecedented tragedy of this crisis isn’t substance use itself. It’s a drug supply tainted
with powerful, lethal drugs like fentanyl. We heard clearly that access to a safe drug supply is
essential to save lives. While we have made it easier for doctors to dispense prescription opioids in
the context of treatment, we know we must look at other, “lower-barrier” options. Our government is
embracing harm reduction, using all of the tools at our disposal to save lives. We’ve made several
investments to provide access to a safe supply of prescription opioids, which will save lives and
ensure quality control. Budget 2019 pledges $30 million to this end, and we announced additional
funds in July.

Going forward, a re-elected Liberal government will invest an additional $700 million over the next
fours years to expand community-based services, build more in-patient rehab beds, and scale up
the most effective programs – such as extending hours for InSite and other safe consumption sites.
We will also make drug treatment court the default option for first-time non-violent offenders
charged exclusively with simple possession, to help drug users get quick access to treatment, and
to prevent more serious crimes.

And all of this – investments, regulations and new approaches – is guided by harm reduction,
because we know it saves lives. But not everyone does. As you know, the Harper government
fought Canada’s first SCS, all the way to the Supreme Court - where they lost. In Ontario, the Ford
government stopped opening new sites during a review, before slashing funding to several sites
last fall. In Alberta, Jason Kenney calls SCSs “drug sites.” And in the face of the greatest public
health crisis in Canada’s history, Andrew Scheer has no ideas at all, beyond opposing the
measures we’ve taken to save thousands of lives, and justifying it with misinformation.
 Will your party commit to high-level federal representation on Calgary’s Mental Health
and Addiction Strategy?

We are committed to continuing to work with all orders of government to address the ongoing
opioid crisis and to treating additions as a public health problem, and not a moral one.

11. Made-in-Alberta mortgage rules

Current national mortgage-eligibility rules, including “stress tests,” continue to hurt home-buyers in
Calgary, particularly first-time home-buyers. Residential sales saw a 15% year-over-year drop
in 2018. The building industry, representing 12% of Calgary’s workforce, has also been
negatively affected by these rules. Rather than a one-size fits all approach for the entire
country, Calgary City Council believes that these tools should be tailored to regional markets.

Does your party support creating market- and regionally-specific mortgage rules?

This policy helps ensure Canada maintains a strong and stable housing market in which borrowers
do not take on too much debt. The mortgage stress test was developed by independent market
regulators, and it is best administered by them, not politicians. The Superintendent of Financial
Institutions has said they will continue to monitor whether the stress test is appropriately
responding to current market dynamics, and we support the regulator in that work. The stress test
is like a vaccine that protects the health of the most important investment Canadians make in their
lives: their home. Failing to protect these investments creates instability, which led to the financial
crisis in 2008.

The Trudeau Government did what previous federal governments were unwilling to do. It put
forward a funded, comprehensive, long-term plan to deal with both housing affordability and
affordable housing. That plan is working.

In the broader housing market, over 700,000 new housing units have been built since the start of
2016. At the same time, to address growing challenges of housing affordability in Canada we
launched the new First-Time Home Buyer Incentive in September 2019, a tool that more than 85
per cent of first time buyers have said could be useful to them. During this campaign we also
recently committed to an expansion of the initiative so that certain regional markets where housing
is most expensive are able to participate equally in the program. Unlike gimmick proposals from
other parties, the First-Time Home Buyer Incentive is a bold effort to help Canadians achieve
homeownership. The Incentive allows homeowners to reduce the size of their mortgage by up to
10 per cent of the house price, and lower their monthly mortgage payments without increasing
down payments. More than 120,000 first time home buyers are expected to be helped as a result
of this new initiative.

We have also the Trudeau Government expanded the Home Buyers’ Plan, increasing the program
limit from $25,000 to $35,000 to help those seeking to build a down payment have more leverage
and opportunity.

We also recently committed to address the impact of foreign speculation, which drives up housing
costs, by putting in place a consistent national speculation and vacancy tax for non-resident, non-
Canadians.

Federal measures to tighten stress testing requirements have contributed to the reduction of house
prices by 2.5% ($12,000) in Calgary.
In the affordable housing sector, in the last four years, the Trudeau Government committed more
than $13 billion to specific projects, which is already building will result in more than 40,000 new
homes, nearly 230,000 repaired homes, and hundreds of thousands of families benefitting from
rental support. Those are real results we have achieved, thanks to immediate investments in
housing, starting with our very first budget.

Because of the National Housing Strategy, and associated investments, housing providers across
the country will be able to build on these results. From 2018 to 2028, the National Housing
Strategy is expected to reduce housing need for more than 500,000 families, protect affordability
for 385,000 housing units, build 125,000 new homes, and repair another 300,000. And 300,000
Canadians will benefit from the new, portable Canada Housing Benefit that will launch just months
from now in April 2020, which will help save renters an average of $2,500 per year.

Two key elements of the National Housing Strategy are the National Housing Co-Investment Fund
and the Rental Construction Financing Initiative, both intended to help increase supply in the
housing market. The $13.2 billion National Housing Co-Investment Fund, aimed at building 60,000
new homes, and repairing another 240,000, is designed to invest in a range of housing options,
from shelters to community housing to affordable homeownership. The Rental Construction
Financing Initiative is a $13.75 billion program targeting the construction of 42,500 new homes. We
are committed to the full implementation of both programs.

Moving forward, we are also committed to the implementation of the new Canada Housing
Benefit— starting in 2020—, as well as Phase II of the Federal Community Housing Initiative.
Additionally, we are committed to further the progressive realization of the right to adequate
housing. This includes the appointment of a Federal Housing Advocate as well as the creation of a
National Housing Council.