July 22, 1946

LIB

Clarence Decatur Howe (Minister of Reconstruction and Supply)

Liberal

Mr. HOWE:

Every week a report is put on my desk showing the position of each project in each locality, the number of houses completed and the number of houses occupied. I have been interested in observing that the lag between houses completed and houses occupied is quite small. We have full statistics and I shall be glad to bring them.

Topic:   NATIONAL HOUSING ACT
Subtopic:   AMENDMENT AS TO LOAN PROVISIONS-CENTRAL MORTGAGE AND HOUSING CORPORATION
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PC

Donald Methuen Fleming

Progressive Conservative

Mr. FLEMING:

This afternoon the minister referred to priorities as regards veterans' housing and the reduction in the requirements as to progress from seventy-five to fifty per cent under a recent order. What additional priorities are in effect besides that type of priority and those which exist in connection with Wartime Housing Limited and Housing Enterprises Limited?

Topic:   NATIONAL HOUSING ACT
Subtopic:   AMENDMENT AS TO LOAN PROVISIONS-CENTRAL MORTGAGE AND HOUSING CORPORATION
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LIB

Clarence Decatur Howe (Minister of Reconstruction and Supply)

Liberal

Mr. HOWE:

There are the priorities in connection with integrated housing where a contractor proceeds under a government plan with a guaranteed selling price. There is a guarantee by the government that if he does not sell the house the government will buy it at the predetermined price.

Topic:   NATIONAL HOUSING ACT
Subtopic:   AMENDMENT AS TO LOAN PROVISIONS-CENTRAL MORTGAGE AND HOUSING CORPORATION
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PC

Donald Methuen Fleming

Progressive Conservative

Mr. FLEMING:

What degree of cooperation has existed between the Department of Reconstruction and Supply and wartime prices and trade board with respect to the fixing of prices for materials? As the hon. member for Rosedale indicated to-night, this matter of price ceilings on building materials has been a thorny subject. I need not remind the minister that a great many producers have been complaining bitterly about the domestic ceilings on building products and have indicated that they prefer to send more of their products abroad where the prices yielded to them are not under ceilings. I should like to know what cooperation there is between the minister's department and the prices board, because to many people it seems that there is a divergence of policy between them.

Housing Act

Topic:   NATIONAL HOUSING ACT
Subtopic:   AMENDMENT AS TO LOAN PROVISIONS-CENTRAL MORTGAGE AND HOUSING CORPORATION
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LIB

Clarence Decatur Howe (Minister of Reconstruction and Supply)

Liberal

Mr. HOWE:

Wartime prices and trade

board and the Department of Reconstruction and Supply work very closely together. I mentioned, this afternoon that the building coordination is handled by a committee of which the director of priorities in the department of reconstruction is a member, of which the corresponding officer in the wartime prices and trade board is a member and of which the coordinator of housing is the third member. A great deal has been said in this house about pricing interfering with production, but I have never known of a concrete case and I think I am closer to the industrial life of this country than anyone in this house, or perhaps anyone outside the house. I wish someone would give me a concrete case where price ceilings have limited production.

Topic:   NATIONAL HOUSING ACT
Subtopic:   AMENDMENT AS TO LOAN PROVISIONS-CENTRAL MORTGAGE AND HOUSING CORPORATION
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PC

Charles Cecil Ingersoll Merritt

Progressive Conservative

Mr. MERRITT:

It does not encourage

greater production.

Topic:   NATIONAL HOUSING ACT
Subtopic:   AMENDMENT AS TO LOAN PROVISIONS-CENTRAL MORTGAGE AND HOUSING CORPORATION
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LIB

Clarence Decatur Howe (Minister of Reconstruction and Supply)

Liberal

Mr. HOWE:

Surely with his great knowledge of this business the hon. member will be able to tell me of one case.

Topic:   NATIONAL HOUSING ACT
Subtopic:   AMENDMENT AS TO LOAN PROVISIONS-CENTRAL MORTGAGE AND HOUSING CORPORATION
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PC

Charles Cecil Ingersoll Merritt

Progressive Conservative

Mr. MERRITT:

I can give one case just

offhand in British Columbia in connection with the making of lath. The profit in making lath is not as great as that to be made in producing other types of lumber, so that there is a shortage of lath and a black market has been growing up in Vancouver.

Topic:   NATIONAL HOUSING ACT
Subtopic:   AMENDMENT AS TO LOAN PROVISIONS-CENTRAL MORTGAGE AND HOUSING CORPORATION
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LIB

Clarence Decatur Howe (Minister of Reconstruction and Supply)

Liberal

Mr. HOWE:

Does the hon. member

know of any lumber operator who is not producing all the lumber he can?

Topic:   NATIONAL HOUSING ACT
Subtopic:   AMENDMENT AS TO LOAN PROVISIONS-CENTRAL MORTGAGE AND HOUSING CORPORATION
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PC

Charles Cecil Ingersoll Merritt

Progressive Conservative

Mr. MERRITT:

I know of no lumber

operator who is not producing all the lumber he can, but I know of a large number of lumber operators who are making their cuts according to the different types of lumber on which they can make the most money.

Topic:   NATIONAL HOUSING ACT
Subtopic:   AMENDMENT AS TO LOAN PROVISIONS-CENTRAL MORTGAGE AND HOUSING CORPORATION
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LIB

Clarence Decatur Howe (Minister of Reconstruction and Supply)

Liberal

Mr. HOWE:

Is there anything wrong with that?

Topic:   NATIONAL HOUSING ACT
Subtopic:   AMENDMENT AS TO LOAN PROVISIONS-CENTRAL MORTGAGE AND HOUSING CORPORATION
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PC

Charles Cecil Ingersoll Merritt

Progressive Conservative

Mr. MERRITT:

They are not producing other types of lumber which may be equally necessary in the construction of homes but which it is not economical to produce. As a general example, I would refer to a recent situation which has been created by a change in the price of logs and in the Canadian export quota of lumber. Certain mill owners .vould find it actually more profitable to sell *'hat logs they have on hand at the higher price rather than to manufacture them into lumber.

Topic:   NATIONAL HOUSING ACT
Subtopic:   AMENDMENT AS TO LOAN PROVISIONS-CENTRAL MORTGAGE AND HOUSING CORPORATION
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LIB

Clarence Decatur Howe (Minister of Reconstruction and Supply)

Liberal

Mr. HOWE:

What would the man who

bought the logs manufacture? Can my hon. friend tell me of a case where production is being curtailed by unbalanced prices?

. Mr. MERRITT: If the minister will not interrupt me I shall complete what I was going to say. Under this new regulation we have the interesting situation where there is a price ceiling on lumber and no price ceiling on logs. A $6 increase in the price of logs would make it possible for the mill owner to sell what logs he had on hand and make a better profit than if he manufactured those logs in his mill and sold the product on the open market. I do not say that the mill owners are going to do that, because obviously they have their good will to obtain and must keep their mills going. They are not going to go out of business. I am not saying that the price ceiling is likely to reduce materially the present level of production, but the way the present system of price control has worked it will prevent any great increase in production to meet this emergency.

Topic:   NATIONAL HOUSING ACT
Subtopic:   AMENDMENT AS TO LOAN PROVISIONS-CENTRAL MORTGAGE AND HOUSING CORPORATION
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LIB

Clarence Decatur Howe (Minister of Reconstruction and Supply)

Liberal

Mr. HOWE:

I would point out to my hon. friend that never in the history of Canada has there been such an increase in the production in every line that is occurring from day to day. If he has followed the increase in the production of building materials during the last six months he will find that there has been nothing like it in the history of Canada. It is all very well to make sweeping statements that are reminiscent of the old days to which the bon. member who recently spoke is quite fond of referring, but it is another thing to give one specific example of curtailment of production which has been due to failure to get a fair price from the wartime prices and trade board.

Topic:   NATIONAL HOUSING ACT
Subtopic:   AMENDMENT AS TO LOAN PROVISIONS-CENTRAL MORTGAGE AND HOUSING CORPORATION
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PC

Charles Cecil Ingersoll Merritt

Progressive Conservative

Mr. MERRITT:

I was speaking only on the spur of the moment.

Topic:   NATIONAL HOUSING ACT
Subtopic:   AMENDMENT AS TO LOAN PROVISIONS-CENTRAL MORTGAGE AND HOUSING CORPORATION
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LIB

Clarence Decatur Howe (Minister of Reconstruction and Supply)

Liberal

Mr. HOWE:

I did not hear one example in my hon. friend's statement of an over-all lack of production. A man may buy logs from an operator who would rather sell his logs, but he must make them into lumber. I do not know what else he could do with them because he is not allowed to export them. I do not think it makes any great difference whether the first or the second man makes them into lumber.

Topic:   NATIONAL HOUSING ACT
Subtopic:   AMENDMENT AS TO LOAN PROVISIONS-CENTRAL MORTGAGE AND HOUSING CORPORATION
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SC

Charles Edward Johnston

Social Credit

Mr. JOHNSTON:

Would that be true in connection with the manufacture of hardwood?

Topic:   NATIONAL HOUSING ACT
Subtopic:   AMENDMENT AS TO LOAN PROVISIONS-CENTRAL MORTGAGE AND HOUSING CORPORATION
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LIB

Clarence Decatur Howe (Minister of Reconstruction and Supply)

Liberal

Mr. HOWE:

As far as I know.

Topic:   NATIONAL HOUSING ACT
Subtopic:   AMENDMENT AS TO LOAN PROVISIONS-CENTRAL MORTGAGE AND HOUSING CORPORATION
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SC

Charles Edward Johnston

Social Credit

Mr. JOHNSTON:

I was told by the manager of one of the largest lumber companies in the west that he was informed by the mills from which he was getting lumber that they were not going to produce any more

Housing Act

hardwood flooring until they got a higher price and until the excess profits tax was taken off.

Topic:   NATIONAL HOUSING ACT
Subtopic:   AMENDMENT AS TO LOAN PROVISIONS-CENTRAL MORTGAGE AND HOUSING CORPORATION
Permalink
LIB

Clarence Decatur Howe (Minister of Reconstruction and Supply)

Liberal

Mr. HOWE:

I never heard of it. The production of hardwood flooring is quite satisfactory. It was down a few months ago but it is much better to-day. I know of no particular hold-up in hardwood flooring.

Topic:   NATIONAL HOUSING ACT
Subtopic:   AMENDMENT AS TO LOAN PROVISIONS-CENTRAL MORTGAGE AND HOUSING CORPORATION
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July 22, 1946