Today in the legislature we debated, at second reading, Bill 28: Public Interest Disclosure Act.
This bill proposes legislation based on the recommendations of the B.C. Ombudsperson’s report entitled Misfire: The 2012 Ministry of Health Employment Terminations and Related Matters, that was published in April 2017. The Misfire report examined the wrongful termination of seven Ministry of Health workers in 2012.
Below I reproduce the video and text of my speech.
A. Weaver: It gives me great pleasure to rise and stand to speak at second reading in support of Bill 28, Public Interest Disclosure Act. This act is a direct response to the recommendations from the Ombudsperson’s report Misfire: The 2012 Ministry of Health Employment Terminations and Related Matters, which was published in April of 2017.
While I sat in opposition over the last few years, similar types of pieces of legislation were proposed by the then opposition. It was termed whistle-blower legislation at the time, and this is the latest manifestation of that, clearly passed through legislative drafters in a quite substantive matter to give us the form we see here.
The Ombudsperson’s report that formed the basis of driving this bill here investigated the dismissal of seven employees by the Ministry of Health after an initial complaint incorrectly suggested a wrongdoing. That complaint gained rather a lot of momentum and instigated a rush to, some would argue, an inequitable and inappropriate investigation. At the end, there were clearly far-reaching consequences for the individuals involved. In one particularly tragic case, an individual committed suicide as a consequence of the whole process.
The purpose of this act is to provide protection and to develop processes for current and former public service workers who wish to make a disclosure of serious wrongdoing. Public service workers protected under this act are those who are employees of a ministry, a government body or office, including a person appointed by the Lieutenant-Governor-in-Council under the Public Service Act. Again, it’s important that civil servants be given such protection in the case of the desire to actually protect the public interest and to be able to bring forward to the public significant matters of public interest when, say, a wrongdoing is noticed.
You know, in the United States right now it’s a bit of a free-for-all in terms of whistle-blowers disclosing left, right and centre. I suspect they should have such legislation, if they do not. In British Columbia’s case, and Canadians in general, we take these matters very seriously. We’re respectful, and typically Canadians, by our very nature, are sometimes…. We don’t like conflict. We don’t like to actually create conflict, but we like to be protected when we see an injustice being done that needs to be brought forward so that injustice is dealt with.
In this particular case, we are seeing that protection will be given in the province of British Columbia to civil servants who might witness such injustice or inappropriate activities that are happening. Right now a person who discloses information must not experience reprisal, according to this act, and will also have the option of disclosing it anonymously to further protect their information. This, too, is important if an investigation is occurring and a whistle-blower to be protected under this act does not want to disclose himself or herself publicly. It’s important to have the protection.
While the bill actually does authorize investigations to occur and it also provides protection for such a whistle-blower, a person in the public service, the problem, of course, is not necessarily the direct response but also the whisper chat. So anonymity is important to avoid the cold-shoulder treatment, the “nobody’s talking to you,” the high school or, should I say, middle school bullying and harassing that sometimes happens. So anonymity being protected is important.
The act is based on other legislation. In particular, there are two pieces of legislation. One is the Manitoba law, which is the Public Interest Disclosure (Whistleblower Protection) Act, which was assented in 2006 in the province of Manitoba. There is some similarity between these two as well as in the province of Alberta, where the Public Sector Disclosure Act is also a similar act in that province, too, I understand.
The Health firings. Again, some of the issues that perhaps need to be brought forward may not also have been highlighted or thought through in this bill, in particular the pervasive issue of harassment, bullying and intimidation in the workplace. We’re hoping that protection for whistle-blowers from such behaviour is also included in this.
Of course, the bill does put a lot of faith in the Office of the Ombudsman or the Auditor General. It seems to me that if we’re giving them so much responsibility as per the matters of the bill, we should ensure that there are safeguards in place that ensure equitable operations in all of these as well. Again, this is a bill that the Green caucus is proud to support. We thank the Attorney General’s office for bringing it in, and we look forward to further expansion in committee stage of some of the details contained in this report.
Today in the legislature we debated, at second reading, Bill 25: Real Estate Development Marketing Amendment Act.
This bill amends the Real Estate Development Marketing Act to require developers to collect and store information on pre-sale condo assignments. This will enable government to track pre-sales and to tackle tax evasion. In particular, the bill proposes a number of changes that will:
Below I reproduce the text and video of my speech.
A. Weaver: I rise to take my place in second reading on Bill 25, Real Estate Development Marketing Amendment Act. This bill amends the Real Estate Development Marketing Act. It requires developers to collect and store information on pre-sale condo assignments, which will enable the government to track pre-sales and to tackle tax evasion.
To start, I wish to thank the minister for bringing in such legislation. It is timely, and it addresses a very important issue. Also, to the member for Prince George–Valemount, I appreciated her careful analysis of the bill and look forward to her questioning at committee stage, where I too share some of the concerns she raised. Overall, my colleagues and I in the Green caucus down here do support this bill and the intentions.
You know, I’ve heard many a story from British Columbians frustrated with watching their condos or townhouses in their developments being sold multiple times without people actually moving in and questioning who is actually buying and who is actually selling and, in fact, raising the question as to whether taxes are being collected during the process. But more importantly, asking the question: how is this allowed in the province of British Columbia?
While this bill amends the Real Estate Development Marketing Act and makes a number of changes, it doesn’t, as the member for Prince George–Valemount said, actually get to the fundamental essence of why people are flipping and how we put in place measures to disincentivize that flipping. One of the things we could talk about — I won’t now, but perhaps in future bills brought forward — is the introduction of something like a flipping tax, a tax that actually targets people who are buying and selling on a rapid time frame with no intention of actually moving in.
Or we could talk about the potential problems that we see in British Columbia where certain developments are marketed offshore at prices that are below what you could buy them for onshore. In fact, I’ve got stories and articles of properties that are marketed offshore something to the tune of 20 percent below the price you could get them for here.
The purpose to do so, of course, is that you could get lots of mass pre-sales done all at once and then these…. Who knows who ends up? They could very quickly and very rapidly be flipped multiple times for a short-term gain, and only if the person doing the flipping actually decides to declare, in Canadian income, that this is a capital gains would they actually pay tax.
So the bill requires real estate developers to collect and report information on pre-sale condo assignments. Developers now will have to include terms in their contracts to inform buyers of new collection and reporting requirements. The information will be reported to the provincial administrator designated under the property transfer tax, and information will be shared with the federal government to enable collection of capital gains. Increased administrative penalties and offences are also being incorporated in this bill.
This is actually one of several bills that the government has brought forward since the fall which is designed to get Revenue Canada — CRA — more information on which they could actually enforce existing legislation. So I do thank and commend the minister for bringing in yet another piece of legislation that ensures that information is present for CRA to actually get taxes when taxes are owed.
Most of the bill is contained in a major section, which is section 4. It creates a new component of the act with provisions for the requirements of developers. That will be the subject of the most extensive canvassing, I suspect, during the committee stage.
You know, I’ve gone over a bunch of the media’s reporting on this to see what reaction we got from various stakeholders. It’s interesting that…. To say this is uncontentious would be a very fair statement. A diverse number of business leaders as well as developers have stepped in. For example, Anne McMullin, as we know, the CEO of the Urban Development Institute, an institute that represents a collective of developers, particularly in the Vancouver region — or she represents, at least.
She said her real estate lobby group supports the measures that are brought forward by the minister, although in fact, she characterized this as a small problem — 3 percent. I would argue that we might not know what the percentage is if we’re not collecting the data, so I would suggest that that would be an estimate. That was reported in the new Vancouver Star, the Toronto Star version of the paper that’s emerging in Vancouver.
She says the following: “We had been talking about this before the budget: if you really want to address speculation, this is where you had to address it.” That’s a pretty strong statement — in fact, endorsement — for the legislation here.
Another in a Castanet article coming out of the Okanagan. Cameron Muir, who’s a chief economist of the B.C. Real Estate Association, also said that compiling data to track presale condominium sales is a long overdue move — again, some high praise for this bill from a relatively well-connected individual in this particular industry.
Again, there’s Steve Saretsky. He’s quoted in the Vancouver Sun. He’s a Vancouver real estate agent who suggests it would bring more transparency to that part of the market, which currently lacks it.
Another Vancouver realtor, a fellow called Rick Clarke, in the same Vancouver Sun article, argued that they should do this. “A lot of people are not reporting and not paying tax and making big capital gains.” He further went on to say that there’s “a select group of agents” that have tight relationships with developers who rely on them for being able to sell chunks of presale condo units, describing one “known for just having signed 51 contracts in a half-hour.”
So, hon. Speaker, this is a very fine piece of legislation designed to provide government and, in particular, taxation agencies information in which to ensure that existing taxation laws are enforced. It’s very timely, particularly in light of some of the more nefarious, almost, incidences that are coming to light from investigative reporting by such journalists as Kathy Tomlinson in the Globe and Mail, who highlights some of the oddities that are happening in certain segments in the Vancouver real estate market.
One thing I would caution, though, is that as we continue to take steps to address what could only be described as an out-of-control real estate sector or housing market in Metro Vancouver, we be careful not to hit this whole province with that same sledgehammer that’s hitting there in Vancouver.
For example, there’s no question that this is important information that needs to be shared across the province, so implementing this from north to south, east to west is not a big deal. But there are other issues where previous governments, for example, brought in measures targeted specifically on limiting dual agencies. That was a direct response to problems that were out of control in Vancouver, but it had unforeseen consequences in rural parts of British Columbia, where you may have very small offices or you may have one broker in the whole town now facing strife and troubles, not knowing how to actually represent clients, both buyers and sellers, when there’s not the capacity.
So as we move forward in dealing with these issues in the housing market, it’s important to recognize that not always does one size fit all. In this particular case, I think it’s clear that reporting is a good thing. I think that it’s critical that people pay taxes when they should pay taxes. As we move forward let’s hope that we start to look even more closely at the concept of flipping and discouraging that through means possible.
Again, I thank the minister for introducing this bill. We are proud to support this bill, and I thank the member for Prince George–Valemount who brought in very fine comments that we’ll look forward to seeing explored further in committee stage.
Today in the legislature the Minister of the Environment introduced important legislation that represents a critical first step in putting British Columbia back on track as a leader in climate solutions & the new economy.
The bill, entitled Greenhouse Gas Reduction Targets Amendment Act, 2018, commits British Columbia to reducing greenhouse gas emissions to 40% below 2007 levels by 2030 and 60% below 2007 levels by 2040. It further requires the government to release a report every two years that provides:
Why this is an important first step is that these new targets send a signal to the market that British Columbia is once more serious about reducing greenhouse gas emissions. In addition, it gives a very clear goal to the civil service who will be tasked with putting together a wedge analysis that will allow us to meet the new targets.
The opportunities for innovation in the transition to the low carbon economy are limitless and British Columbia stands to reap the economic benefits associated with this transition in the years ahead.
Below I reproduce the government new release that was issued when the bill was tabled in the legislature.
New bill updates targets for reducing carbon pollution
The Government of British Columbia has introduced legislation to update the Province’s greenhouse gas reduction targets, setting the stage for a renewed climate action strategy to be released in the fall.
The Climate Change Accountability Act replaces the 2007 Greenhouse Gas (GHG) Reduction Targets Act. It sets new legislated targets of a 40% reduction in carbon emissions from 2007 levels by 2030, and a 60% reduction from 2007 levels by 2040. The current target of an 80% reduction in emissions by 2050 remains. The legislation will provide a framework to develop detailed climate-change adaptation reports. The Province will work with the broader public sector on these requirements. The legislation also enables the minister to set sectoral GHG emission reduction targets.
“The act is the foundation for a credible and achievable climate action strategy in B.C.,” said George Heyman, Minister of Environment and Climate Change Strategy. “The previous government, after stalling on sustained climate action for several years, admitted they could not meet their 2020 target, and those targets are repealed in this act.
“We aim to remove barriers, and make it attractive and affordable for people, communities and industry to move to lower-carbon alternatives. At the same time, we will grow an economy that’s stronger, cleaner, more diverse and more resilient.”
Climate action is an important component of the Confidence and Supply Agreement with the B.C. Green Party caucus.
“This legislation is another step forward towards making B.C. a leader in climate action once again,” said Andrew Weaver, leader of the B.C. Green Party. “This is a huge opportunity to build a thriving 21st-century economy centred around innovation. I look forward to working in partnership with the government to implement a plan to reclaim this leadership, and keep our commitment to younger generations.”
The Province’s climate action strategy will be released in autumn 2018. Actions to reduce the provincial GHG emissions will include establishing sectoral plans for buildings and communities, industry and transportation sectors.
Today in Vancouver I met with a group of business leaders in Vancouver to discuss legislation I plan to table next week that would enable us in British Columbia to lead the country in supporting businesses that want to be a bigger part of developing innovative solutions to the challenges of the 21st century.
Over the last few months my legislative staff and I have been working with these and other stakeholders to craft legislation that would enable a new classification of companies in British Columbia — The Benefit Company.
A benefit company is profit driven but gives consideration to the impact it is having on the environment, its workers, the community, suppliers and customers, and can direct profits to the public benefit versus solely to shareholders. This legislation would provide a legal framework for companies that choose to pursue social and environmental goals and operate in a responsible and sustainable manner. By making B.C. the first jurisdiction in Canada to allow businesses to incorporate as benefit companies, we are sending a strong signal about the kind of economy we want for our province. Already, more than 30 states in the US have Benefit Company enabling legislation.
Below I reproduce the press release that we released after the roundtable discussion. I also append my initial speech at the media availability.
Andrew Weaver to introduce legislation to support companies that pursue social and environmental goals
For Immediate Release
May 2, 2018
VANCOUVER, B.C. – Andrew Weaver, leader of the B.C. Green Party, announced today that he will introduce legislation that would enable B.C. companies to incorporate as benefit companies. The bill, which Weaver announced following a roundtable with business leaders in Vancouver, would amend the Business Corporations Act to allow companies that choose to incorporate as benefit companies to pursue social and environmental goals, rather than just profit.
“This legislation is an opportunity for B.C. to lead the country in supporting businesses that want to be a bigger part of developing innovative solutions to the challenges of the 21st century,” said Weaver.
“The world is experiencing tectonic shifts – from climate change to automation, we need to think differently in order to turn these challenges into opportunities. Government and individuals cannot solve these problems alone. Businesses play a huge role in our society and they are part of the solution. Companies that pursue a triple bottom line are on the cutting edge of rethinking the role of business in the 21st century. They know that acting in the best interests of people and the planet is the best way to build a thriving economy for the long-term.
“This legislation would provide a legal framework for companies that choose to pursue social and environmental goals and operate in a responsible and sustainable manner. By making B.C. the first jurisdiction in Canada to allow businesses to incorporate as benefit companies, we are sending a strong signal about the kind of economy we want for our province.”
Weaver’s bill is his caucus’ first bill to be put through the official legislative drafting process, making it possible that this could be the first Private Member’s Bill in B.C.’s history to be passed into law.
Quotes:
“With so many diverse and innovative companies doing great work, B.C. is a fantastic place to invest. Companies that incorporate environmental and social considerations into their business models demonstrate that they have a long-term vision for their role in the province. Enacting Benefit Company legislation sends a signal to the business community that government supports companies that want to use their business as a force for good.”
“The values of social and environmental responsibility inform everything we do at Keela. Building a company on these values sends a clear signal to our clients about what we stand for and demonstrates that our company is built to last. This legislation will encourage more BC companies to incorporate these values into their own business, empowering them to promote social and environmental change in our province.”
“The proposed legislation will surely be welcomed by the growing community of impact investors in British Columbia. Benefit corporation status will give these investors additional confidence that social and environmental outcomes will be an integral and protected part of business decision-making.”
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Media contact
Jillian Oliver, Press Secretary
+1 778-650-0597 | jillian.oliver@leg.bc.ca
Jillian Oliver | Press Secretary
Room 028 Parliament Buildings
Victoria, BC V8V 1X4
Phone: (250) 882-6187 | Fax: (250) 387-833
Introduction
Thank you all for coming. And thank you Bernie for the introduction.
I’ve just had a roundtable with a group of inspiring business leaders. These people have chosen to use their business as a force for good.
They are running successful companies, creating jobs and contributing to our strong economy. But what sets these businesses apart is their commitment to not only seeking profits, not only creating financial value for their shareholders, but also their commitment to pursuing social and environmental benefits as part of their work.
I think that government should do more to support and empower companies like these ones that pursue a triple bottom line of people, planet, and profit.
Announcing legislation
That’s why I am happy to announce today that I will be introducing legislation this session to support sustainable and responsible businesses. This bill would amend the Business Corporations Act.
It would add a new Part to the Act, giving companies an option to incorporate as “benefit companies”.
It would allow companies that choose to become benefit companies to pursue social and environmental goals, rather than just profit.
The bill will include some requirements that benefit companies would need to adhere to. These include putting their public benefit commitments in their articles, and meeting standards of transparency and reporting by reporting progress against an independent third party standard.
This bill will also protect companies that choose to prioritize social and environmental purpose as part of their mandate. It will provide clarity and certainty for companies and their shareholders about the company’s goals and mandate. And companies will need a shareholder majority to become or stop being a benefit company.
Why this legislation
This legislation is an opportunity for BC to lead the country in supporting businesses that want to be a bigger part of developing innovative solutions to the challenges of the 21st century.
This legislation is common elsewhere. In the US, over 30 states have this type of legislation. And successful companies of all sizes have signed on.
I believe that becoming the first jurisdiction in Canada to champion benefit corporations is a huge opportunity to position the province as a leader.
We are struggling to adjust and respond to massive technological, social, and environmental shifts. From climate change to automation, we need to think differently in order to turn these challenges into opportunities. Government and the non-profit sector cannot respond to these changes alone.
Nor should we have to.
Businesses play a huge role in our society and they are part of the solution. Companies that pursue a triple bottom line are on the cutting edge of rethinking the role of business in the 21st century. They know that acting in the best interests of people and the planet is the best way to build a thriving economy for the long-term.
Conclusion/opportunity
In drafting this bill, we have taken government up on their decision to make legislative drafters available to all private members. We have been working with a legislative drafter to ensure that this legislation is legally correct, and that it works with other pieces of legislation in BC.
I’m committed to seeing this bill will be called for debate in the house.
Ultimately, I believe it’s a bill that both the BC NDP and the BC Liberals can support.
Our hope is that, if government passes this bill, that we can encourage more BC companies to incorporate social and environmental values into their own business, empowering them to promote social and environmental change in our province.
Thank you.
Over the last two days we have been debating two government bills designed to rescue ICBC from the financial troubles they encountered due to the fiscal mismanagement of the BC Liberals over the last number of years.
The first bill that was introduced and debated was Bill 22: Civil Resolution Tribunal Amendment Act, 2018. The major change this bill proposed was to expand the scope of the Civil Resolution Tribunal to allow for the adjudication of disputes over certain motor vehicle injury claims. Presently, the Civil Resolution Tribunal hears strata property disputes and small claims disputes $5,000 and under.
The second bill that was introduced and debated was Bill 20: Insurance (Vehicle) Amendment Act, 2018. This bill provides for regulation on a few major aspects of ICBC product reform, including limiting payouts for pain and suffering for minor injuries, and allowing for increased medical benefits, to be established in regulation. In essence it takes the focus off litigation and instead focuses it on patient recovery.
Below I reproduced my second reading speeches (in video and text) for both of these Bills.
Bill 20 2nd reading video | Bill 22 2nd reading video |
A. Weaver: I rise to take my place in the debates at second reading for Bill 20, the Insurance (Vehicle) Amendment Act. I thank the member for Richmond-Steveston for his comments and the minister for introducing this bill.
Bill 20 is one of two bills, hon. Speaker, as you know. We’ve been debating Bill 22, the Civil Resolution Tribunal Amendment Act. Collectively, these bills are designed to get a handle on price increases that are going forward in ICBC. You know, British Columbia is the last jurisdiction in Canada for which victims can sue for any type of injury for any amount. This is known as the full tort system. These measures are attempts to get a handle on costs.
After quite a number of years, in the words of the Attorney General — in a press scrum, he noted that ICBC finances became a dumpster fire. I think, actually, that’s a quite appropriate comment in light of the rather dramatic rate increases and budget overruns that are seen in ICBC due to financial negligence of its oversight through too many years of a government that seemed to view it as a bank account from which to withdraw money rather than as an insurance agency and public good designed specifically to actually ensure value for British Columbians and safety for British Columbians on the road.
This bill provides for regulation on a few major aspects of ICBC — product reform including limiting payouts for pain and suffering and for minor injuries — and allowing for increased medical benefits to be established in regulation. These announcements that are put forward in this bill were actually pre-announced in February.
For me, the important aspect of this bill is that it takes the onus off the legal system and puts the onus on getting a person healthy by increasing the availability of resources for them, whether they be expanded service…. The treatment, the whole focus now, is on the person. That, to me, is important.
We all know of litigative examples that one could describe as somewhat dodgy. There seems to have been an increased, growing number of these, whereby people go to courts and sue for every this, that and the other. Now, with this being put in place, it’s actually saying: “You know what? We’re joining the rest of Canada.” We no longer are going to be considered the Wild West here in terms of insurance premiums. We’re going to follow the lead of every other jurisdiction in Canada and move away from the full tort system to one that actually recognizes that costs in ICBC are going up. A substantial amount of those are associated with soft tissue injuries, and we will actually take steps to limit that.
There are a number of key changes in this bill. The most important one, as I outlined, is the focus on people and on getting better, rather than litigation. That, to me, is a critical reason why I support this. Before I go on to the changes in the bill, I’d like to summarize, again, some quick facts from ICBC and to underscore just how serious the situation is in ICBC, which is ultimately reflected in the ever-increasing premiums — despite having no accidents —that we are paying in this province.
Government had to do something. ICBC claims totalled $2.7 billion in 2016, which was an 80 percent increase in seven years. Seven years where the B.C. Liberals, historically, just watched and let this get out of hand.
The average claim paid out for minor injuries rose from $8,200 in the year 2000 to $30,038 in 2016 — a 265 percent increase in average claim payout for minor injuries. Again, under the watch of the B.C. Liberals, who let this get out of hand and viewed ICBC as a bank account from which to withdrawal money as dividends that should not have been withdrawn, because that money didn’t exist.
Over this time, if I go back to the average pain and suffering award paid out for minor injuries…. In 2000, it was $5,004. In 2016, it was $16,499. Vehicle damage costs have increased 30 percent in just two years to a total of $1.5 billion in 2016 alone.
Now, you know, I don’t want correlation to imply causation, but of course, one has to wonder what the effects of eliminating those ICBC inspection stations and adjustors from actually assessing claims…. What has been the net cost to the ICBC ratepayer, again, as a direct cause of measures that were taken by the previous government a number of years back?
To the specific aspects of this bill. Some of the key changes are that provisions are now being introduced through regulation to allow the claimant to recover damages for pain and suffering from minor injuries. There’s now a legal definition of minor injury, which is included in this.
Of course, I have some sympathy for the comments from the member for Richmond-Steveston and the member for Vancouver-Langara in other debates that he’s done here — that a lot of this is left to regulation.
Again, there is some definition. There’s some language with respect to minor injury and listing abrasions, contusions, lacerations, sprain and strains, pain syndrome, psychological and psychiatric conditions, or the old “injury as prescribed” in a prescribed class of injury, where that means whatever a regulation says, even if it’s chronic.
I also have some sympathy for the counter-argument raised by the Attorney General, who has suggested that in jurisdictions that have introduced legislation with respect to minor injuries, there are some very sharp lawyers out there who find exemptions to that. So rather than set it all in stone, the enabling legislation enables, through order-in-council, the government to fix any loopholes that may arise in terms of people trying to claim something’s not a minor injury when, in fact, the intent of this legislation would be that it were to be included. Again, I have some sympathy there.
One of the things that’s important is the allowance for an extended list of health care providers to allow ICBC to use for accident claims, which is actually important. You know, despite what the member for Richmond-Steveston said, there are a lot of people who aren’t covered, and it’s not easy to actually get coverage at all times with ICBC. There are limits.
The focus now is not on recovery. The focus now is on trying to avoid the courts, and that’s a problem. That’s a problem, when ICBC is more concerned about avoidance of courts and settling and litigation. In certain cases, they are more concerned about the settlement than actually getting someone better.
I do have sympathy for the Attorney General in bringing this forward, this legislation, and support his efforts in this regard.
There are a number of questions. I mean, of course, there are some mechanisms that are in this bill that allow ICBC to no longer reimburse other insurance companies, with the exception, of course, of WorkSafe B.C. and the MSP, for payments to their customers.
Of course, we know that today’s customers can receive benefits from other insurance companies, not just and not only ICBC, if they happen to have secondary coverage through work or others. They can get that after a crash. They may receive wage-loss benefits, for example, or extended health care benefits from their employer.
We know right now that most insurance companies indeed have agreements in place where the customer has to pay back these benefits if ICBC also pays for these expenses. Now, with the changes in the legislation, ICBC will not pay the other insurance company for the same benefit they have already provided. And that seems to me fair if you’ve got the additional coverage. We’re saying if you’ve got the coverage, ICBC isn’t going to pay the insurance company. They’re going to let the insurance company pay that additional amount. They’ll still, of course, cover you if you’re not covered.
Of course, there are, too, some overarching issues here. A lot of it is left to regulation. But overall, the public response, with the notable exception of trial lawyers, is quite positive. I’ll start with the negative, of course.
We know that John Rice, from the Trial Lawyers Association of British Columbia, has suggested that the changes since February are concerning because they have widened what is considered a minor injury and, therefore, subject to the cap. He says the legislation represents “one of the most significant attacks on the legal rights of British Columbians in our province’s history. The proposed legislation goes much further than what was previously announced by Eby in February in making victims pay for reckless and distracted drivers….” He says: “Instead ICBC and the NDP….”
Deputy Speaker: Member, only referencing by riding name.
A. Weaver: Oh, I do apologize. I was reading a direct quote from the letter. Thank you for noting that. It was announced by the Attorney General, who he referred to by name, which of course, is not appropriate for me to do in this Legislature.
He said: “…by the Attorney General in February, in making victims pay for reckless and distracted drivers…. Instead,” he says, “ICBC and the NDP government want to cap even more injuries than British Columbians suffer because of someone else’s negligence.”
Now, my retort to John Rice, of course, would be that now British Columbia is the only jurisdiction in Canada — the only one left — that is the Wild West of thou shalt sue whoever thou wants whenever there’s an accident, to see how much money you can get. I understand that there are certain trail lawyers who will be upset because they have made a livelihood out of this so-called issue.
I also have some sympathy with respect to government trying to deal with this, because costs are getting out of hand. We know that those costs are coming for settlements on soft tissue, for example. And there are other costs associated with increased motor vehicle claims. But again, to members here, it seems to me that we are the last jurisdiction for allowing this full tort system. It’s not unexpected. Nor is it, really, frankly outrageous. Nor is it, actually, uncommon for one to expect that it’s time for us to get with the program. I commend the Attorney General for actually stepping up and doing this.
There are, of course, many other comments that are on the positive side. I received many emails in this regard. A couple of key ones, of course, are…. Giovanna Boniface, from the Canadian Association of Occupational Therapists, says:
“Unbelievably, accident benefits haven’t been increased since 1991. B.C.’s occupational therapists have been helping injured drivers return to activities of daily living for decades and have seen declines in access to vital and necessary treatment for years. By raising the amount covered and expanding the variety of treatments that are eligible, these changes will allow more people to have access to the treatment and adaptive equipment they need, thereby fostering quicker recovery and return to meaningful, daily activities. “
This is important because I know, only too well, the problems that have arisen with people trying to get benefits from ICBC. You’re allowed to make two claims. In the first claim, they’ll pay your expenses, but they won’t pay your other medical expenses until the second one, which is when all is better. The problem is, ICBC is incentivizing you to go to a lawyer.
If you have a difficult time paying those expenses…. I know people very close to me who have had to pay thousands of dollars in expenses. They’re not going to see lawyers, because they want to actually get better. But they have to pay it up front. They can pay it up front, but what about the person that can’t pay it up front? The person who doesn’t have the hundreds and hundreds of dollars to spend on ongoing physiotherapy? So they make their claim after a couple of months and realize that they need many months more of physiotherapy and, say, chiropractor and massage therapy. They have to pay it and hope that perhaps they’ll get reimbursed at the end. But sometimes they can’t, so they go to a lawyer. And the lawyer’s office says: “You know what? Get yourself better. We’ll cover the expenses We’ll open a file.”
As soon as the lawyer opens the file, guess what. We know the settlement is going through the roof. Here, what is so welcome to me in this bill, is that the focus is on the patient and getting the patient better. That is the number one focus. And for many, having the ability to get better is what they want. So again, I applaud government for bringing this forward.
Another commentator is, of course, Jane Dyson, from Disability Alliance B.C. Jane says:
“Disability Alliance B.C. has been advocating for improvements to accident benefits for 12 years.” Funny, that — 12 years. That’s less than 16 years. “The doubling of the overall allowance for medical care and recovery is a significant improvement. We welcome these long-overdue changes that will mean that people who are catastrophically injured in motor vehicle accidents have better supports available to them to help them rebuild their lives. Moving forward, DABC” — that’s the Disability Alliance B.C. — “looks forward to continued dialogue with ICBC and government to help ensure that British Columbians accessing accident benefits receive the treatment and financial support they need.”
Then, of course, there’s Louise Craig, who’s a Vancouver-based physiotherapist, who says this. She is also a spokesperson for the group Rights Over Arbitrary Decisions — ROAD, an interesting acronym — for British Columbians. She said this: “It’s good that government keeps talking about increasing medical benefits for those involved in a crash, but the loose definition of minor injury in Monday’s bill remains concerning. I think they are expanding it so that minor injuries encompass the vast majority of injuries that occur and make the exception, say, a fractured bone or spinal cord injury.”
I think this is the concern raised by a number in this House over the previous bills we’ve discussed as well. Again, I accept, at this stage, the argument put forward by the Attorney General that, in fact, the definition is meant to be a little loose in that one is hoping to refine it through regulation as time moves on to ensure that minor injuries are actually captured as minor injuries and not to ensure that, in fact, there are loopholes that people can actually get away with and kind of avoid the tribunal process, for example, or the maximum coverage.
Again, long overdue for reform with ICBC. I’m very pleased that government is stepping in to douse this so-called dumpster fire with some water to ensure that ratepayers are protected, because something had to be done. We could have done a couple of things. We could have scrapped ICBC, thrown the baby out with the bathwater, and gone with a full private insurance system as some jurisdictions have done. We could have gone to a complete no-fault insurance system, as other jurisdictions have done. I think what government has done here is stand back and say: “You know what? We don’t want to throw the baby out with the bathwater. We want to ensure that we keep this jewel, this jewel called ICBC. But we also want to ensure that we reform it, reform it in a way and a means that actually ensures that ratepayers are getting value for their investment in the ICBC auto insurance plan and to ensure that we clamp down on false claims or those who are, in some sense, using the system for their financial advantage through claiming of injuries that are not actually as serious as would otherwise claim.”
I’m a very strong supporter of this bill, and I thank the minister for bringing it forward — recognizing, of course, that it won’t be without some concern and controversy elsewhere. I thank you for your attention, hon. Speaker.
A. Weaver: I stand and take my place in second reading of Bill 22, Civil Resolution Tribunal Amendment Act, 2018.
As has been mentioned, this bill implements changes that were previously announced by government on February 6. The major change in this bill, of course, is expanding the scope of the civil resolution tribunal to adjudicate disputes over certain motor vehicle injury claims.
Such additions are not without their controversy but profoundly needed in the province of British Columbia. We’ve watched year after year the financial issues within ICBC escalate to the point where, now, ICBC is literally well over $1 billion in debt.
If we look in specific details at some of the facts with respect to ICBC right now, we know that injury claims total $2.7 billion in 2016, which was an 80 percent increase in the last seven years. We know that the average claim paid out for minor injuries has risen from $8,200, in the year 2000, to $30,038 in 2016. That’s an increase of a whopping 265 percent.
At the same time, we also know that the average pain and suffering awards paid out for minor injuries have risen from $5,004, in the year 2000, to more than $16,499 in 2016. Vehicle damage costs have increased 30 percent in just two years, to a total of $1.5 billion in 2016 alone.
So, the use of the civil resolution tribunal for minor injury dispute resolutions means that claimants who don’t use a lawyer will actually be able to keep their entire settlement rather than paying a portion of their fees. It actually doing so means that the province of British Columbia is the last province in Canada to abandon a system which is essentially known as a full tort system. That’s one where anyone can sue anyone with respect to motor vehicle accidents.
I do commend the Attorney General and his office for bringing such legislation forward in a timely fashion to get a handle on the escalating costs within ICBC.
As was mentioned, this is not without its controversy. There will be, of course, trial lawyers who are concerned about what this means in terms of their livelihood. There’s nothing in this legislation that says: “You can’t hire a lawyer.” In fact, section 16, I believe it is, specifically says that lawyers will be allowed to represent parties in vehicle claims — as ICBC will be represented by experienced adjusters. I recognize that there may be some concern within trial lawyers.
Again, I come back to the point that British Columbia is the last province in Canada that still has a full tort system here, where everybody can sue anybody whenever they want.
The civil resolution tribunal’s scope is not only expanded profoundly in the area of motor vehicle injury claims, but also there’s some tightening and expansion and identification of rules and regulations where the civil resolution tribunal can also be used — or Strata Property Act disputes, things like condominiums or bare land stratas — as well as some small adjustments to small claims in here. There are also some adjustments to the area of cooperatives, which are modified slightly in this act.
Overall, I recognize that a lot is left to regulation, but in this particular case, while more generally I get concerned when a lot is left in regulation…. I understand in this case that we’re talking about a rather fundamental shift in the way motor vehicle claims are dealt with in the province of British Columbia.
There’s a danger, that if too much is done in legislation, government could not respond nimbly to changes that might be required — particularly, as has been identified by some pundits, when lawyers are able to find ways around the intent of the legislation, to find other additional means of still engaging claims in Supreme Court, by finding various loopholes in the means and ways claims should be processed.
Overall, this is a piece of legislation we’re proud to support. We look forward to exploring some of the details in committee stage, and also the concomitant legislation which makes a cap on claims, which I believe will be