Mr. Smallwood Mr. Chairman, yesterday we 
                  
                  finished reading clause 16, and I wonder if the 
                  
                  Convention is ready to go with clause 17? 
                  
                  
 
               
               
               
               
                  Mr. Higgins One question only. Would Mr. 
                  
                  Smallwood describe the type of ship meant under 
                  
                  paragraph I, clause 16. 
                  
                  
 
               
               
               
               
                  Mr. Smallwood Oh, that's the ferry on the Gulf. 
                  
                  What Mr. Higgins probably has in mind is some 
                  
                  discussion that took place in one of the last plenary sessions we had in Ottawa, where
                  I think Mr. 
                  
                  St. Laurent, the chairman of the plenary sessions, 
                  
                  gave us verbally a part description of a boat that 
                  
                  he said their steamship advisers figured might be 
                  
                  the kind of boat that they would put on the Gulf. 
                  
                  There was nothing final about it, nothing in writing; it was merely a description
                  by word of 
                  
                  mouth... I have forgotten the specifications and 
                  
                  dimensions that they spoke of tentatively, but I 
                  
                  do remember that Mr. Higgins, who sat next to 
                  
                  me whispered, "Well, Joe, it looks to me as if they 
                  
                  are willing to give us anything we ask for." He 
                  
                  was very pleased with the possibilities of the 
                  
                  tourist trade in Newfoundland, and I was very 
                  
                  pleased, at least at the thought that a fine ferry 
                  
                  boat would be put on the Gulf the kind of boat 
                  
                  that would bring tourists and their cars across the 
                  
                  Gulf. I think that's what Mr. Higgins is referring 
                  
                  to. 
                  
                  
 
               
               
               
               
                  Mr. Higgins Yes, that is what I was referring to. 
                  
                  I wonder, would it be possible if Mr. 
                  
                  Smallwood's memory later on might help him in 
                  
                  giving us a description? 
                  
                  
 
               
               
               
               
                  Mr. Smallwood Mr. Bradley has apparently 
                  
                  been interested for years past in ships and shipping, I am sure when he gets back
                  he will be able 
                  
                  to repeat these details and specifications because 
                  
                  he was very interested in these from the technical 
                  
                  standpoint. I don't know much about ships and 
                  
                  shipping, and I was not in a position to judge. Mr. 
                  
                  St. Laurent, I believe, read from a written memo 
                  
                  that had been handed to him by the Canadian 
                  
                  government shipping people, but if Mr. Higgins 
                  
                  would wait until Monday, Mr. Bradley will be 
                  
                  here. 
                  
                  
 
               
               
               
               
               
               
               
               
               
               
               
               
               
               
               
               
                  Mr. Smallwood No, that would be sort of taking 
                  
                  the bull by the horns. It was this: knowing the 
                  
                  Gulf as they do, and the boat we have had on the 
                  
                  Gulf, and with their general knowledge of steamship service and practice, their steamship
                  people 
                  
                  ... worked out something on paper, something in 
                  
                  general of the type of ship that might be needed 
                  
                  for that purpose. 
                  
                  
 
               
               
               
               
                  Mr. Ballam Mr. Chairman, the CNR delegation, assuming that if and when we become a 
                  
                  province they would have to take all these things 
                  
                  into consideration, considered the matter of a 
                  
                  ferry on the Gulf; and because of that the 
                  
                  Canadian government went into just what kind of 
                  
                  an outfit they would put there, and that was where 
                  
                  they got the idea of making an estimate of what 
                  
                  it would cost. The kind of boats they anticipate 
                  
                  would cost about $2.5 million, and would take 30 
                  
                  cars, and give a daily service back and forth. 
                  
                  That's a lot better than we get now. But that is 
                  
                  what they anticipated, and that is exactly what 
                  
                  they told us in this session. 
                  
                  
 
               
               
               
               
               
               
               
               
                  Mr. Ballam I am not worrying about Mr. Bradley. You were there, and you heard it, and you 
                  
                  said it was fine. 
                  
                  
 
               
               
               
               
                  Mr. Cashin I wonder if Mr. Ballam could tell us 
                  
                  if, at the time they were discussing the ship across 
                  
                  the Gulf, they took up the matter of a subsidy that 
                  
                  they might or should have paid us in the last 20 
                  
                  years across the Gulf? 
                  
                  
 
               
               
               
               
                  Mr. Ballam If we become a province we would 
                  
                  not need a subsidy. 
                  
                  
 
               
               
               
               
                  Mr. Cashin No, we will get a lot of things for 
                  
                  nothing then. 
                  
                  
 
               
               
               
               
                  Mr. Smallwood The other day when Mr. Ballam was absent for a day, I was trying to remember which
                  of the delegation it was that had the 
                  
                  conversation with Commander Edwards, who 
                  
                  was telling us how he had been in Newfoundland 
                  
                  and knew our railway system well, and this member of the committee said to him in
                  a friendly 
                  
                  way, "What would happen if the CNR took over 
                  
                  
                  
                  884 
                  
                  NATIONAL CONVENTION 
                  November 1947 
                  
                  
                  our railway, would we get any improvements?" 
                  
                  Then Commander Edwards went ahead. I wonder 
                  
                  if Mr. Ballam would care to give us a rough 
                  
                  outline of what Commander Edwards said? 
                  
                  
 
               
               
               
               
                  Mr. Ballam No, I will not say what Commander 
                  
                  Edwards said to me. It was off the record, a 
                  
                  conversation while we were walking the streets. 
                  
                  But Commander Edwards was in Newfoundland 
                  
                  years ago and spent four days on the Gaff Topsail 
                  
                  stuck in the snow, and he has been down around 
                  
                  the lighthouses and wireless stations, and you 
                  
                  know half of these things in Newfoundland are 
                  
                  looked after by the Canadian government. He is 
                  
                  the Deputy Minister of Transport, and what he 
                  
                  said to me was just between ourselves and is not 
                  
                  on the record, and I would not repeat it here. 
                  
                  
                  
                  
                  
                  
 
               
               
               Mr. Cashin But Mr. Ballam, did l understand 
                  you to say that this ship or ferry that they are 
                  going to put on the Gulf is going to cost $2.5 
                  million? 
                  
                  
 
               
               
               
               
                  Mr. Ballam Yes, but that's a small one to start. 
                  
                  They have a $6-7 million one at Prince Edward 
                  
                  Island; but it would be foolish to build a big one 
                  
                  and put it on the Gulf when we have not the cars, 
                  
                  etc. We hope to have a road from Corner Brook 
                  
                  to Port-aux-Basques by the time this ferry is built, 
                  
                  and we will look after our own affairs after that; 
                  
                  but if you fellows get wise enough to build a road 
                  
                  all across the country then we will have a $7 
                  
                  million ferry! 
                  
                  
 
               
               
               
               
               
               
               
               
               
               
               
               
               
               
               
               
                  
                  
                  
                     (1) Employees of the Government of 
                     
                     Newfoundland in services taken over by 
                     
                     Canada as provided for in clause 5 above will 
                     
                     be offered employment in the corresponding 
                     
                     Canadian service under the terms and conditions governing employment in that service,
                     
                     
                     but without reduction in salary or loss of 
                     
                     pension (superannuation) rights acquired 
                     
                     under Newfoundland law. 
                     
                     
                  
                  
                  
                  
                     (2) Canada will make all necessary payments in respect of such pension rights and
                     
                     
                     may deduct from any subsidies payable to the 
                     
                     Province of Newfoundland any payments 
                     
                     made in respect of pensionable service of 
                     
                     such employees with the Government of 
                     
                     Newfoundland. 
                     
                     
                  
                  
                  
                  
                     (3) Pensions of employees of the Government of Newfoundland superannuated or 
                     
                     retired on pension before the service concerned is taken over by Canada will remain
                     
                     
                     the responsibility of the Province of Newfoundland. 
                     
                     
                   
               
               
               
               
                  I don't know that there is a great deal of explanation called for there... 
                  
                  
               
               
               
               
                  Mr. Higgins May I query you a little on that 
                  
                  before you go further? 
                  
                  
 
               
               
               
               
               
               
               
               
                  Mr. Higgins Are employees of the Newfoundland Railway and the radio broadcasting 
                  
                  system, using two illustrations, employees of the 
                  
                  Government of Newfoundland, or employees of 
                  
                  these corporations? 
                  
                  
 
               
               
               
               
                  Mr. Smallwood I think in this clause there is no 
                  
                  doubt whatever about it. "Employees of the 
                  
                  Government of Newfoundland in services taken 
                  
                  over by the Government of Canada, as provided 
                  
                  in Clause 5 above", and they are listed in clause 
                  
                  5 above. What are these? The Newfoundland 
                  
                  Railway, the public radio broadcasting system, 
                  
                  etc. 
                  
                  
 
               
               
               
               
                  Mr. Higgins But they may be employees of the 
                  
                  government. 
                  
                  
 
               
               
               
               
                  Mr. Smallwood They are employees of the 
                  
                  government, and they are defined in both... 
                  
                  
 
               
               
               
               
                  Mr. Chairman I would remind you, Mr. Higgins, that the corporate status that the Railway 
                  
                  possessed up to 1934 or 1935 was taken away 
                  
                  when all the assets of the Railway were, by 
                  
                  special act, vested in the Commissioner for 
                  
                  Public Utilities... 
                  
                  
 
               
               
               
               
                  Mr. Higgins Are all these employees now 
                  
                  regarded as civil servants? 
                  
                  
 
               
               
               
               
                  Mr. Chairman No, not civil servants. It is rather 
                  
                  difficult. For example they are not exempted 
                  
                  from jury service as the ordinary civil servant 
                  
                  would be, but in all other respects they are 
                  
                  definitely government employees, because the 
                  
                  Railway is a utility owned and operated by the 
                  
                  government, and they have not even bothered to 
                  
                  superimpose upon the railway operation the 
                  
                  status of a corporation. In the case of the Newfoundland Broadcasting Corporation,
                  however, 
                  
                  that is something entirely different. I do suggest 
                  
                  to you that the employees of the Newfoundland 
                  
                  Railway could be, I don't say would be, could be 
                  
                  government employees, when employees of the 
                  
                  Newfoundland Broadcasting Corporation would 
                  
                  
                  
                  November 1947 NATIONAL CONVENTION 885
                  
                  
                  not be employees of the government in the sense 
                  
                  that they would be employees of the Corporation. 
                  
                  
                  
                  
 
               
               
               
               
               
               
               
                  Mr. Chairman The Fisheries Board is in a very 
                  
                  unique position, because to the best of my recollection, it is the only department
                  of government 
                  
                  here incorporated, whereunder it is liable to sue 
                  
                  and be sued as an ordinary person. There is no 
                  
                  other department... . 
                  
                  
 
               
               
               
               
               
               
               
               
                  Mr. Chairman Well, I have not examined the 
                  
                  constitution of the broadcasting corporation, but 
                  
                  I have had occasion to examine the constitution 
                  
                  of the Fisheries Board many times. 
                  
                  
 
               
               
               
               
                  Mr. Crummey The Fisheries Board, as at 
                  
                  present set up, cannot operate under confederation. Isn't it an illegal body under
                  confederation, 
                  
                  the present Fisheries Board? 
                  
                  
 
               
               
               
               
                  Mr. Ballam I can say that they told us that the 
                  
                  fisheries set-up we have in this country would be 
                  
                  maintained.... 
                  
                  
 
               
               
               
               
                  Mr. Chairman I would remind you that under 
                  
                  the company laws of Canada, if you are going to 
                  
                  operate in a single province then of course you 
                  
                  take out a provincial charter.... The point is this: 
                  
                  if you want the right to do business nationally 
                  
                  then you apply for a federal charter, but that does 
                  
                  not affect the right of any province to grant to any 
                  
                  individual the right to operate in that province, 
                  
                  therefore the Fisheries Board, if the set-up is as I 
                  
                  see it, would be operating under a provincial 
                  
                  law.... If we went into confederation, it would not 
                  
                  in any way effect the provincial status that the 
                  
                  Fisheries Board charter would then take. 
                  
                  
 
               
               
               
               
                  Mr. Crummey Mr. Chairman, my impression 
                  
                  was that the Fisheries Board, as it operates in 
                  
                  Newfoundland, has the right to import and export. Under the BNA Act, a province has
                  no such 
                  
                  right, and naturally the Fisheries Board must go 
                  
                  out of operation, but I think, in these terms, it is 
                  
                  provided that the Fisheries Board may go under 
                  
                  their board as a representative of the New 
                  
                  foundland fisheries. 
                  
                  
 
               
               
               
               
                  Mr. Chairman ....The Fisheries Board would 
                  
                  be hampered from operating within other provinces unless it took out a federal charter,
                  or a series 
                  
                  of ancilliary corporations ... but that would not 
                  
                  affect its right to operate within the Province of 
                  
                  Newfoundland... 
                  
                  
 
               
               
               
               
                  Mr. Cashin Mr. Chairman, there's a few questions I would like to ask. I would be glad if Mr.
                  
                  
                  Smallwood would answer briefly. "Employees of 
                  
                  the Government of Newfoundland in services 
                  
                  taken over by Canada as provided for in clause 5 
                  
                  above will be offered employment in the corresponding Canadian service under the terms
                  and 
                  
                  conditions governing employment in that service..." Take the Customs department, which
                  
                  
                  employs 250 people, and collects today over $20 
                  
                  million. When and if we went into confederation 
                  
                  with Canada, according to statistics we have here, 
                  
                  the customs revenue will be only $4 million. Now 
                  
                  are all these employees going to be retained down 
                  
                  here, or laid off and offered positions in other 
                  
                  parts of the Customs of Canada?... Will they 
                  
                  reorganise our Customs ...? Have you any 
                  
                  guarantee, in other words, that the men are going 
                  
                  to be retained in the Customs service in 
                  
                  Newfoundland? I don't see anything here to 
                  
                  cover that. 
                  
                  
 
               
               
               
               
                  Now the next thing. "Pensions of employees 
                  
                  of the Government of Newfoundland superannuated or retired on pension before the service
                  
                  
                  concerned is taken over by Canada will remain 
                  
                  the responsibility of the Province of Newfoundland." 
                  
                  
               
               
               
               
                  I would like Mr. Smallwood to explain what 
                  
                  is going to happen to the postal telegraph department particularly. These are practically
                  all over 
                  
                  Newfoundland. If the telegraphs are taken over, 
                  
                  they will be the Canadian National Telegraphs, 
                  
                  which control the system of Canada. Are they 
                  
                  going to keep the telegraph offices open in White 
                  
                  Bay, Aquaforte and all such places? Are we 
                  
                  assured that these communications are going to 
                  
                  be maintained or are they going to be cut? There 
                  
                  is nothing to show whether they are going to be 
                  
                  maintained or whether they are not. 
                  
                  
               
               
               
               
                  Mr. Smallwood First, the Government of 
                  
                  Canada will take over a number of services we 
                  
                  now have today, take on quite a number of new 
                  
                  men; on top of that they will introduce into Newfoundland a number of services we
                  have not got 
                  
                  at all. For those services they have to take on 
                  
                  many more men and they have to be Newfoundlanders. 
                  
                  
 
               
               
               
               
               
               
               
               
                  Mr. Smallwood Under section 63 of the Civil 
                  
                  Service Act the Canadian government, except in 
                  
                  the headquarters office in Ottawa, must employ 
                  
                  
                  
                  886 NATIONAL CONVENTION November 1947
                  
                  
                  persons who are ordinarily resident in the 
                  
                  province where they are going to employ them. 
                  
                  In other words, having taken over the Railway 
                  
                  and the employees of the Railway; the broadcasting station and the employees of the
                  broadcasting 
                  
                  station; Gander airport and the employees there; 
                  
                  the Customs offices' and the postal-telegraph 
                  
                  offices' employees, and putting them under 
                  
                  Canadian rates of pay; they have also got to 
                  
                  establish brand new other federal services in 
                  
                  Newfoundland as in the rest of Canada, and in 
                  
                  doing so have to take on a large number of new 
                  
                  civil servants who will be federal government 
                  
                  civil servants. These must be Newfoundlanders. 
                  
                  
                  
 
               
               
               
               
               
               
               
               
               
               
               
                  Mr. Kennedy From 1935-37 — I was educated 
                  
                  in Canada — I went through Nova Scotia and as 
                  
                  far as what Mr. Smallwood said, I know there is 
                  
                  no foundation for it at all. 
                  
                  
 
               
               
               
               
                  Mr. Chairman There is foundation for it by 
                  
                  virtue of the fact that he quoted from the Civil 
                  
                  Service Act, section 63. If you are prepared to 
                  
                  show that he is incorrect in that, there is some 
                  
                  justification for your observation. You have to 
                  
                  lay the foundation for the observation. 
                  
                  
 
               
               
               
               
                  Mr. Smallwood One of the things that would 
                  
                  happen if Newfoundland ever became a 
                  
                  province, is that in a number of departments of 
                  
                  the Government of Newfoundland there would 
                  
                  not be as many employees needed as they have 
                  
                  today. Take for example the Auditor General's 
                  
                  department which audits everything the government runs. The government would not be
                  running 
                  
                  as many things; not as much auditing to be done; 
                  
                  therefore the department would not need to be as 
                  
                  big. The same thing applies to a number of 
                  
                  present government departments. But in view of 
                  
                  the fact that the Government of Canada would be 
                  
                  introducing quite a number of new federal services that we have not got today and
                  that they 
                  
                  would be manning new departments, and must 
                  
                  employ Newfoundlanders, obviously there will 
                  
                  be many opportunities for men to be engaged in 
                  
                  these new departments and for these civil servants in Newfoundland departments that
                  would 
                  
                  not no longer be needed.... We discussed that 
                  
                  matter. There is a clear-cut understanding that the 
                  
                  first men and women to get a chance in the new 
                  
                  Canadian federal government departments to be 
                  
                  
                  
                  
                  
                  established in Newfoundland, if we become a 
                  
                  province, will be Newfoundland government 
                  
                  civil servants who no longer are needed by the 
                  
                  Newfoundland government because some of the 
                  
                  departments would obviously be smaller than 
                  
                  they are today. In reply to Major Cashin, all the 
                  
                  employees will be offered work in these services 
                  
                  taken over by the Government of Canada. It is 
                  
                  very clear — it is in clause 17, section 1.... 
                  
                  
 
               
               
               
               
                  Mr. Cashin What new opportunities of employment or departments are they going to open up 
                  
                  here? 
                  
                  
 
               
               
               
               
                  Mr. Smallwood Number one is, they have to 
                  
                  establish a regional family allowances division. 
                  
                  That is one. In every province the family allowance cheques are sent out every month,
                  not 
                  
                  from Ottawa, but from the provincial headquarters, so there would be one in Newfoundland....
                  An unemployment insurance 
                  
                  office, a Department of Veterans' Affairs has to 
                  
                  be opened. Major Cashin caught me short — I 
                  
                  will have to sit down and make a list, I can have 
                  
                  that Monday.... 
                  
                  
 
               
               
               
               
                  Mr. Higgins Are you prepared to say, under 
                  
                  section 2 in our budget the delegation estimated, 
                  
                  they did or did not take into account all the 
                  
                  monies we said we would need? 
                  
                  
 
               
               
               
               
                  Mr. Smallwood Not sufficient account. Major 
                  
                  Cashin is looking at this from the standpoint of a 
                  
                  budget. That is quite right. The budget he will 
                  
                  find in the Black Books was drawn here in St. 
                  
                  John's by the delegation weeks before we went 
                  
                  to Ottawa at all, before we had the benefit of what 
                  
                  we learned. That budget in many respects is very 
                  
                  much out of date, and an entirely new one will 
                  
                  have to be brought in. He would be well advised 
                  
                  not to pay too much attention to the budget in the 
                  
                  Black Books. 
                  
                  
 
               
               
               
               
                  Mr. Cashin I am referring to the Grey Book. 
                  
                  What is the revenue? 
                  
                  
 
               
               
               
               
                  Mr. Smallwood It was drawn up before we went 
                  
                  to Ottawa at all. We did learn quite a bit in Ottawa 
                  
                  in our three months. 
                  
                  
 
               
               
               
               
                  Mr. Cashin I think Mr. Smallwood will agree, 
                  
                  when we start to tackle this, it has to be tackled 
                  
                  from a financial angle and we have to look for 
                  
                  money somewhere. 
                  
                  
 
               
               
               
               
               
               
               
               
                  Mr. Cashin With regard to section 3: "Pensions 
                  
                  of employees of the Government of New
                  
                  
                  
                  November 1947 NATIONAL CONVENTION 887
                  
                  
                  foundland superannuated or retired on pension 
                  
                  before the service concerned is taken over by 
                  
                  Canada will remain the responsibility of the 
                  
                  Province of Newfoundland." That is being paid 
                  
                  at the present time by the Finance Department 
                  
                  and amounts to over $202,000 a year. In this book 
                  
                  here, it shows it as $101,000. I do not know who 
                  
                  drew this up. 
                  
                  
 
               
               
               
               
               
               
               
               
               
               
               
               Mr. Smallwood Quite right. We thought that in 
                  the departments of the Newfoundland government that would be taken over by the Government
                  of Canada, they would also be responsible 
                  for the pensions of the people who were now 
                  retired, and not the provincial government. 
                  
                  
 
               
               
               
               
                  Mr. Cashin This is the position, when you eventually got around and talked money, they said,
                  
                  
                  "No, we are not going to take this over, nor are 
                  
                  we going to take over provincial deficits." You 
                  
                  are short $175,000 in interest and sinking fund 
                  
                  and $100,000 in pensions. 
                  
                  
 
               
               
               
               
                  Mr. Smallwood I do not accept your figures, but 
                  
                  I accept the position. You must remember, under 
                  
                  clause 3, the pensions refer only to those of 
                  
                  people who are not pensioned before the department is taken over by Canada. We have
                  to break 
                  
                  down the figures of pensions. We will come to 
                  
                  that. 
                  
                  
 
               
               
               
               
               
               
               
               
                  Mr. Smallwood Does Mr. Hickman not know 
                  
                  that part of the Black Books consists of material 
                  
                  prepared by the Ottawa delegation here in St. 
                  
                  John's before we went to Ottawa at all? 
                  
                  
 
               
               
               
               
               
               
               
               
                  Mr. Smallwood That was something we 
                  
                  prepared as a delegation for our own information 
                  
                  in part, and for the information of the Government of Canada in part; that is not
                  from the 
                  
                  Government of Canada; it is from us. That is not 
                  
                  official. What is official was put there by the 
                  
                  Government of Canada. 
                  
                  
 
               
               
               
               
                  Mr. Hickman I want to make it clear, it is not 
                  
                  all official in the Black Books. 
                  
                  
 
               
               
               
               
                  Mr. Smallwood That sounds dark and foreboding — "It is not all official there." 
                  
                  
 
               
               
               
               
                  Mr. Job How much of it is from Canada? 
                  
                  
 
               
               
               
               
                  Mr. Chairman How much is emanating from 
                  
                  the Ottawa delegation and how much from the 
                  
                  Canadian government? 
                  
                  
 
               
               
               
               
                  Mr. Cashin We are trying to make up our own 
                  
                  budget. 
                  
                  
 
               
               
               
               
                  Mr. Smallwood That is the duty of this Convention; not only that, it is the duty of every citizen
                  
                  
                  to have ideas on the possibility of Newfoundland 
                  
                  to balance the budget — we can all have ideas on 
                  
                  that. 
                  
                  
 
               
               
               
               
                  Mr. Hickman How many pages in the Black 
                  
                  Books could be regarded as being provided by the 
                  
                  Newfoundland delegation? 
                  
                  
 
               
               
               
               
                  Mr. Smallwood You will find that in Volume 1, 
                  
                  describing appendix 2 — "Memorandum 
                  
                  presented at the commencement of discussions", 
                  
                  pages 17 to 70 inclusive. 
                  
                  
 
               
               
               
               
               
               
               
               
               Mr. Bailey I think what Mr. Smallwood said 
                  about employees not being put out of employment through other services being opened
                  is all 
                  out of kilter — men going to be taken over by 
                  other departments. Take a tidewaiter, I do not see 
                  any authority whereby he would be taken over 
                  and become an old age pensioner. And those 
                  family allowances and so on. I do not see how it 
                  can work, myself. I was struck forcibly when I 
                  came in here and got the Black Books. I think the 
                  work would have been a lot easier if the Newfoundland data had been put in one book
                  and the 
                  data from Canada in the other, so we would have 
                  an official book. One day we are told it is official, 
                  next day we are told it is not official. 
                  
                  
 
               
               
               
               
                  Mr. Smallwood We are not told it is not official. 
                  
                  In part 1 it says "Memorandum presented by the 
                  
                  Newfoundland delegation at the commencement 
                  
                  of the discussions." That is not official. It does 
                  
                  not pretend to be. Be fair! 
                  
                  
 
               
               
               
               
                  Mr. Bailey I am fair. I was told they were official. I think everyone else was told they were
                  
                  
                  official. But it would have been easier if the 
                  
                  memorandum only was in one book and to have 
                  
                  the memorandum from Canada in the other. 
                  
                  
                  
                  
                  
 
               
               
               Mr. Butt I wonder if Mr. Smallwood could tell 
                  us if the pensions in the civil service are on a 
                  contributory basis? 
                  
                  
 
               
               
               
               
                  Mr. Smallwood I do not know if I have the 
                  
                  superannuation act here. I have it down at my 
                  
                  house. It is a magnificent civil service pensions 
                  
                  and superannuation scheme; one of the very best 
                  
                  of any country. In fact, it might be a good idea if 
                  
                  we got a copy of that act for every member of the 
                  
                  Convention. 
                  
                  
 
               
               
               
               
                  Mr. Butt You say it is one of the best. I am not 
                  
                  
                  
                  888 NATIONAL CONVENTION November 1947
                  
                  
                  interested in that. I am interested in the fact that 
                  
                  civil servants have to contribute towards the pensions. The point is they would have
                  to contribute 
                  
                  — today they have not got to contribute. It is 
                  
                  something like 5 1/2% or 6%. 
                  
                  
 
               
               
               
               
               
               
               
               
                  Mr. Butt I am not guessing. The point is, civil 
                  
                  servants will have to contribute. Today they do 
                  
                  not have to contribute. Another thing, our provincial pensions will be paid by the
                  provincial 
                  
                  government? 
                  
                  
 
               
               
               
               
               
               
               
               
                  Mr. Butt Which means that the province would 
                  
                  have to get a contributory scheme, or we would 
                  
                  have part of the civil service getting pensions 
                  
                  from the provincial government — one part 
                  
                  would be servants of the Government of Newfoundland and the other, civil servants
                  of Canada. 
                  
                  One is rich and the other is not so rich. 
                  
                  
 
               
               
               
               
               
               
               
               
                  Mr. Butt A good many civil servants will appreciate it too. 
                  
                  
 
               
               
               
               
               
               
               Mr. Butt It is not propaganda. The civil servants 
                  will have to contribute to their pensions. I ask you 
                  to explain, is it true or is it not? 
                  
                  
 
               
               
               
               
                  Mr. Smallwood I have not got the act here. If 
                  
                  you want a debate on the civil service of Canada 
                  
                  to compare it with the civil service of Newfoundland, we will have it and see who
                  comes out 
                  
                  best. 
                  
                  
 
               
               
               
               
                  Mr. Butt You can be jolly well sure we will have 
                  
                  a debate on it. 
                  
                  
 
               
               
               
               
                  Mr. Bailey I was going to refer to this.... Up to 
                  
                  now, the Railway paid its pensions out of the 
                  
                  earnings of the Railway. Now we find, after the 
                  
                  federal government takes over the Railway, although these men have worked hard to
                  make it 
                  
                  pay, the province is stuck with the superannuation for another 50 or 60 years before
                  this is 
                  
                  finished. 
                  
                  
 
               
               
               
               
                  Mr. Smallwood Those pensioned up to the time 
                  
                  the Railway is taken over by the Canadian National Railway, not those pensioned after.
                  
                  
                  
 
               
               
               
               
                  Mr. Bailey Although the province has lost the 
                  
                  earning power of the Railway, they are stuck with 
                  
                  the superannuation. 
                  
                  
 
               
               
               
               
                  Mr. Smallwood How would the province lose 
                  
                  the earning power of the Railway? 
                  
                  
 
               
               
               
               
                  Mr. Bailey The earning power would go to the 
                  
                  federal government if they took it over. 
                  
                  
 
               
               
               
               
               
               
               
               Mr. Bailey We take it for granted it is not going 
                  to be run at a loss if it can be made to pay. If it 
                  does pay, the province is left with these pensions. 
                  After all, the pensions should come under the 
                  Railway. 
                  
                  
 
               
               
               
               
                  Mr. Fogwill Did I understand you to say that the 
                  
                  Railway employees now retired on pension, 
                  
                  those would become the responsibility of the 
                  
                  province? 
                  
                  
 
               
               
               
               
               
               
               
               
                  Mr. Fogwill I thought the responsibility lay with 
                  
                  the Railway and not with the Newfoundland 
                  
                  government. These people have acquired no pension rights under the Newfoundland law.
                  Who is 
                  
                  going to be responsible for all those who are now 
                  
                  off? 
                  
                  
 
               
               
               
               
               
               
               Mr. Fogwill That relates to employees of 
                  government who acquired pensions under Newfoundland law. Now, the Railway retired
                  pensioners have not acquired any rights under 
                  Newfoundland law. 
                  
                  
 
               
               
               
               
                  Mr. Smallwood If I were Mr. Fogwill — he is 
                  
                  a railway man and a trade union man — I would 
                  
                  not make such a dogmatic statement as that. 
                  
                  Whether they acquired them is a delicate matter. 
                  
                  I would not brandish it about and broadcast it; it 
                  
                  may not be the case. There is a very delicate 
                  
                  situation there, as Mr. Fogwill knows. Mr. Fogwill knows the inside story of the pensions
                  of 
                  
                  railroaders and the legal position surrounding it. 
                  
                  I would not brandish it around by saying, "They 
                  
                  have no legal right to a pension." I happen to 
                  
                  know. 
                  
                  
 
               
               
               
               
                  Mr. Fogwill I am not brandishing anything 
                  
                  about. I want to know the truth. We are keeping 
                  
                  it dark. 
                  
                  
 
               
               
               
               
                  Mr. Smallwood What would happen under confederation in that matter is stated in section 3 of 
                  
                  this clause. Let me put it in my words. Newfoundland becomes a province on a certain
                  date; 
                  
                  certain men have been pensioned from public 
                  
                  services that the Government of Canada would 
                  
                  take over on that date. The pensions due those 
                  
                  men who had been pensioned, retired on pensions, before Canada took over, their pensions
                  
                  
                  would be the liability of the Government of Newfoundland and not of the Government
                  of Canada. 
                  
                  Those who would become pensioned after confederation would be the liability of the
                  Govern
                  
                  
                  
                  November 1947 NATIONAL CONVENTION 889
                  
                  
                  ment of Canada. 
                  
                  
 
               
               
               
               
               
                  Mr. Miller That is not right ... say a Newfoundland employee has worked ten years with 
                  
                  the Newfoundland government; we go into confederation, and he then works ten years
                  with the 
                  
                  federal government; he has pension rights after 
                  
                  the 20 year period; we will pay his pension for 
                  
                  the ten year period as a province and the federal 
                  
                  government will pay for the other ten year 
                  
                  period? 
                  
                  
 
               
               
               
               
               
               
               
               
               
               
               Mr. Smallwood I said they would pay for the 
                  period which they worked for the Canadian 
                  government. 
                  
                  
 
               
               
               
               
                  Mr. Watton If the Canadian government takes 
                  
                  over the various services such as the Broadcasting Corporation, they also take over
                  $100,000 in 
                  
                  the Bank of Montreal? 
                  
                  
 
               
               
               
               
               
               
               Mr. Watton It is the plan of the corporation to 
                  spend so much of that money on certain things. 
                  If the Government of Canada assumes ownership 
                  of that money, is there any assurance that that 
                  money won't be spent somewhere else in 
                  Canada? 
                  
                  
 
               
               
               
               
                  Mr. Smallwood No assurance here in the terms, 
                  
                  and if any of us, if anyone wishes to look upon 
                  
                  the Government of Canada as just trying to bluff 
                  
                  us into confederation so that they can fleece us 
                  
                  right and left, that is a thing that a man is entitled 
                  
                  to believe if he likes, and if that is true then no 
                  
                  doubt the Government of Canada once we went 
                  
                  in could turn around and lambaste us right away. 
                  
                  They could close down the railway here and send 
                  
                  it out to British Columbia, they could do all kinds 
                  
                  of things! If we think they are a half- decent kind 
                  
                  of government, like most governments in the 
                  
                  world, then we might reasonably expect that they 
                  
                  would give us a half-decent deal; but if they are 
                  
                  wholly indecent, if they are just another "Hitler" 
                  
                  outfit, they will plunge us down into poverty, 
                  
                  they will just suck us dry like a lemon or an 
                  
                  orange. 
                  
                  
 
               
               
               
               
                  Mr. Butt I wonder if Mr. Smallwood could tell 
                  
                  us if they discussed that matter at all in Ottawa, 
                  
                  or if anything was said about it. 
                  
                  
 
               
               
               
               
                  Mr. Smallwood We did not discuss it. We did 
                  
                  not say to the Canadian government, and particularly Dr. McCann, Minister of National
                  
                  
                  Revenue, under whom it comes, "Look, the 
                  
                  
                  
                  
                  
                  Broadcasting Corporation has roughly a 
                  
                  $100,000 cash surplus in the bank, with which 
                  
                  they are going to build a new studio in St. John's, 
                  
                  and put up a new transmitter in Grand Falls, and 
                  
                  they are doing this, that and the other." What we 
                  
                  did say was, "What would be the position under 
                  
                  confederation in connection with the Broadcasting Corporation?" We had a discussion
                  on it, and 
                  
                  we had a written reply, which you will find somewhere in the Black Books. Their reply
                  was this, 
                  
                  "It would become part of the network of the 
                  
                  CBC." He said, "We would aim at improving it 
                  
                  and enlarging it, and giving the people of Newfoundland a far better average radio
                  broadcasting 
                  
                  coverage than they have now." The $100,000 to 
                  
                  which Mr. Watton refers, they would spend that 
                  
                  and many another with it, right here in Newfoundland, to make a broadcasting service
                  that 
                  
                  would cover the entire island, which our corporation does not do now. After all, look
                  at the estimates, look what they spend on that CBC, it is 
                  
                  up in the millions a year. 
                  
                  
 
               
               
               
               
                  Mr. Higgins Would you personally prefer that 
                  
                  we retain it as a province or not? Personally, I 
                  
                  mean. 
                  
                  
 
               
               
               
               
                  Mr. Smallwood I will put it to you this way. If 
                  
                  we became a province and we had to elect our 
                  
                  House of Assembly, and I were running as a 
                  
                  member and happened to be on the winning side, 
                  
                  I would love to have that Broadcasting Corporation as a sort of private toy of my
                  own. Whether 
                  
                  that would be good for Newfoundland is another 
                  
                  thing. I would hate to see the Broadcasting Corporation become a political tool for
                  politicians. If 
                  
                  it becomes part and parcel of the CBC, a national 
                  
                  network reaching from St. John's to Vancouver, 
                  
                  I think the people and the employees will get a 
                  
                  square deal from it. I would not like to see the 
                  
                  Broadcasting Corporation become just a tool for 
                  
                  politicians, which I am afraid it would if it were 
                  
                  controlled by an elected Government of Newfoundland. It is bad enough now with the
                  Commission controlling it. I don't believe one story in 
                  
                  one hundred that you will hear of the "dictatorship" and the way the Broadcasting
                  Corporation 
                  
                  is used by the government. I think, as a matter of 
                  
                  fact, when you look back over the years since it 
                  
                  was started, I think the Government of Newfoundland, the Commission of Government,
                  has 
                  
                  been very clean and decent about it. I don't think 
                  
                  they have used it as a political tool. 
                  
                  
 
               
               890 NATIONAL CONVENTION November 1947
               
               
               
               
               
                  
                  
                  
                  
                     Clause 18 — Unemployment Benefits. 
                     
                     
                  
                  
                  
                  
                     Since, under the Unemployment Insurance Act, 1940, and amendments, unemployment benefits
                     are ordinarily available 
                     
                     only to workers who have built up reserves 
                     
                     by a period of continuous employment in 
                     
                     insurable employment, Canada will provide 
                     
                     for transitional unemployment benefits as 
                     
                     follows: 
                     
                     
                  
                  
                  
                  
                     Residents of Newfoundland in insurable 
                     
                     employment who lose their employment 
                     
                     within six months prior to the date of union 
                     
                     and are still unemployed at that date, or who 
                     
                     lose their employment within a six months' 
                     
                     period after that date, will be entitled for a 
                     
                     period of six months from the date of union 
                     
                     or six months from the date of unemployment, whichever is the later, to assistance
                     on 
                     
                     the same scale and under the same conditions 
                     
                     as unemployment insurance benefits. The 
                     
                     rates of payment will be based on the 
                     
                     individual's wage record for the three months 
                     
                     preceding his loss of employment. The cost 
                     
                     of this assistance will be borne directly out of 
                     
                     moneys appropriated by Parliament for the 
                     
                     purpose and not out of the Unemployment 
                     
                     Insurance Fund. 
                     
                     
                   
               
               
               
               
                  Sir, that sounds a little complicated, but actually it means simply this: any men
                  in Newfoundland who were working in a class of 
                  
                  employment that is insured under the act, who 
                  
                  become unemployed any time within six months 
                  
                  before we become a province, or six months after 
                  
                  — ordinarily they would get no benefits from the 
                  
                  Unemployment Insurance Fund, because they 
                  
                  would not have been paying into the fund, they 
                  
                  would not have made any contributions. Now 
                  
                  that would be the ordinary position, but this 
                  
                  clause provides that they will get the benefits just 
                  
                  the same as if they had been insured under the 
                  
                  fund, and just the same as if they had been making 
                  
                  contributions into the fund right along, just as if 
                  
                  they had been in a province right along. They will 
                  
                  be entitled to that for six months — if they 
                  
                  become unemployed within six months after 
                  
                  union. It's a little bit complicated, I think I understand it, but I don't know if
                  I can explain it. 
                  
                  
               
               
               
               
                  Mr. Fogwill What they will get amounts to exactly 36 days. That is just what they get, 36 days
                  
                  
                  and nothing more. 
                  
                  
 
               
               
               
               
               
               
               
               
                  They will receive the benefits for six months. I 
                  
                  think Mr. Fogwill has misread that. They will be 
                  
                  actually paid unemployment benefits for 24 
                  
                  weeks, is it? Six months. 
                  
                  
               
               
               
               
               
               
               
               
                  Mr. Higgins Was not the purpose that in the 
                  
                  event of any factories or other avenues of 
                  
                  employment being closed as a result of confederation, employees would be more or less
                  
                  
                  protected during that period? 
                  
                  
 
               
               
               
               
                  Mr. Smallwood It is that I suppose, among other 
                  
                  things.... Anyone becoming unemployed within 
                  
                  six months before confederation or six months 
                  
                  after confederation, he will receive the benefits 
                  
                  for six months.... 
                  
                  
 
               
               
               
               
                  Mr. Fogwill No, Mr. Smallwood, that's entirely 
                  
                  wrong. Six months, that is the limit, isn't it? In 
                  
                  six months it would only amount to 180 days, and 
                  
                  he would get 36 days if he were paying six 
                  
                  months, so that is the limit he would get. Tell the 
                  
                  truth about it. 
                  
                  
 
               
               
               
               
                  Mr. Smallwood I think Mr. Fogwill is completely wrong. He reads it in that way, but I read 
                  
                  it in another way altogether.... 
                  
                  
 
               
               
               
               
                  Mr. Ashbourne I suggest that we have an interpretation from the Chairman of the Convention, 
                  
                  if he would not mind. 
                  
                  
 
               
               
               
               
                  Mr. Hickman I suggest that Mr. Smallwood put 
                  
                  that down as a question. 
                  
                  
 
               
               
               
               
                  Mr. Chairman I don't think I ought to be asked 
                  
                  to pronounce on it.... 
                  
                  
 
               
               
               
               
                  Mr. Ashbourne ....I should say, as a layman, 
                  
                  that they would be getting unemployment insurance for six months. That is as I take
                  it. 
                  
                  
 
               
               
               
               
               
               
               
               
                  Mr. Burry As one of the members of the subcommittee that interviewed the department on 
                  
                  this, I fully understood it that these unemployed 
                  
                  men, for six months after confederation, would 
                  
                  receive unemployment benefits for six months. 
                  
                  Whatever the legal interpretation may be, that's 
                  
                  my clear understanding of the matter, and I maintained that until Mr. Fogwill got
                  up. 
                  
                  
 
               
               
               
               
                  Mr. Crummey Being a member of that committee as well as Mr. Burry, I think that clause was 
                  
                  put in particularly for those who would lose their 
                  
                  jobs if we came into union. Some businesses that 
                  
                  are protected now by tariffs would be closed 
                  
                  up by virtue of going into confederation, and men 
                  
                  would be put out of employment, and this Clause 
                  
                  was put in. Under the Unemployment Insurance 
                  
                  
                  
                  November 1947 NATIONAL CONVENTION 891
                  
                  
                  Act they could not get any relief, so they had to 
                  
                  put it in as it stands, and my understanding is 
                  
                  something like Mr. Fogwill's: under the same 
                  
                  conditions as unemployment insurance benefits. 
                  
                  
 
               
               
               
               Mr. Chairman Well, I interpret that section to 
                  mean, "Will be entitled for six months from the 
                  date of union, or six months from the date of 
                  unemployment, whichever is the later, to assistance on the same scale and under the
                  same 
                  conditions as unemployment insurance 
                  benefits".... 
                  
                  
 
               
               
               
               
                  Mr. Hickman Mr. Chairman, I think this is 
                  
                  rather important, if there were a lot of factories 
                  
                  closed down and several thousand or hundred 
                  
                  people were laid off. It should be clearly laid 
                  
                  down what they would receive, so I think we 
                  
                  should get that point cleared up. 
                  
                  
 
               
               
               
               
                  Mr. Higgins I don't know if I can clear it up in 
                  
                  any way for you. It is my understanding that that 
                  
                  particular clause was inserted with the idea that 
                  
                  if industry was disrupted during the period immediately prior to, or immediately following
                  confederation, then any insurable person working at 
                  
                  that time, who lost employment within six 
                  
                  months before or six months after confederation, 
                  
                  and were still unemployed at that date, or who 
                  
                  lose their employment within six months, are 
                  
                  entitled to have six months insurance. There is no 
                  
                  question about it at all... 
                  
                  
 
               
               
               
               
                  Mr. Hickman I don't want to labour the point. 
                  
                  We could, or Mr. Smallwood could have that 
                  
                  determined, and the Canadian interpretation put 
                  
                  on it, so that we could know exactly what it 
                  
                  means. 
                  
                  
 
               
               
               
               
                  Mr. Smallwood I will put in a question on that, 
                  
                  Mr. Chairman, and get it cleared up... 
                  
                  
 
               
               
               
               
                  Mr. Chairman I don't think we ought to waste 
                  
                  further time because at Mr. Hickman's  request an 
                  
                  official pronouncement, if you will, is to be 
                  
                  sought and obtained by Mr. Smallwood, so we 
                  
                  might continue. 
                  
                  
 
               
               
               
               
                  Mr. Cashin Mr. Chairman, do loggers and 
                  
                  fishermen come under this thing? 
                  
                  
 
               
               
               
               
                  Mr. Smallwood I don't know, frankly, at this 
                  
                  moment. Not fishermen, no, but loggers and 
                  
                  longshoremen may or may not be in. It is now two 
                  
                  months and more since we left Ottawa, and about 
                  
                  three weeks before we left they were getting 
                  
                  ready to bring loggers and longshoremen in. 
                  
                  Whether they are in yet or not, I don't know. 
                  
                  
                  
 
               
               
               Mr. Cashin The fishermen and loggers are not 
                  
                  
                  
                  
                  
                  in, that's the point. 
                  
                  
 
               
               
               
               
                  Mr. Job What proportion of our population are 
                  
                  into this? 
                  
                  
 
               
               
               
               
                  Mr. Crummey There is no possible chance 
                  
                  whatever for fishermen and loggers to get any 
                  
                  benefit. That was put in primarily for those who 
                  
                  would be thrown out of employment by virtue of 
                  
                  going into confederation. 
                  
                  
 
               
               
               
               
                  Mr. Smallwood Mr. Crummey is entirely 
                  
                  wrong there. The date of union is the big thing. 
                  
                  When we become a province any person who, 
                  
                  under the act, is insured and who becomes unemployed, comes under these benefits.
                  If by then 
                  
                  loggers and longshoremen are in the act, if they 
                  
                  become unemployed they come under this 
                  
                  clause. 
                  
                  
 
               
               
               
               
                  Mr. Crummey Isn't that put in there because 
                  
                  they thought some industries would be disrupted? 
                  
                  
                  
                  
 
               
               
               Mr. Smallwood Yes, that's the reason for it, but 
                  it's the thing itself that counts. 
                  
                  
 
               
               
               
               
                  Mr. Crummey Isn't that the reason Mr. Burry 
                  
                  went down to see the Unemployment Insurance 
                  
                  Commission? 
                  
                  
 
               
               
               
               
                  Mr. Smallwood There was no thought of loggers or fishermen or anything else. How can you 
                  
                  put loggers or fishermen out of employment by 
                  
                  virtue of coming under confederation? 
                  
                  
 
               
               
               
               
                  Mr. Chairman I don't see that there is any point 
                  
                  of debating this at the moment. The fact is that it 
                  
                  is to be interpreted.... 
                  
                  
 
               
               
               
               
               
               
               
               
                  Mr. Chairman Are members satisfied to go on 
                  
                  to the next clause? 
                  
                  
 
               
               
               
               
               
               
               
               
                  
                  
                  
                     The Legislature of the Province of Newfoundland will have exclusive authority to 
                     
                     make laws in relation to education within the 
                     
                     Province, provided that the Legislature will 
                     
                     not have authority to make laws prejudicially 
                     
                     affecting any right or privilege with respect 
                     
                     to denominational or separate schools which 
                     
                     any class of persons has by law in Newfoundland at the date of union, but the legislature
                     may authorise any two or more such 
                     
                     classes of persons to amalgamate or unite the 
                     
                     schools and to receive, notwithstanding such 
                     
                     amalgamation or union, their proportionate 
                     
                     share of the public funds of Newfoundland 
                     
                     devoted to education. 
                     
                     
                   
               
               
               
               
                  Excerpt from the letter of the Prime Minister of 
                  
                  
                  
                  892 NATIONAL CONVENTION November 1947
                  
                  
                  Canada: 
                  
                  
               
               
               
               
                  
                  
                  
                  
                     The Government could not readily contemplate any change in these arrangements 
                     
                     which would impose larger financial burdens 
                     
                     on Canada. On the other hand, with respect 
                     
                     to those matters which are primarily of 
                     
                     provincial concern, such as education, the 
                     
                     Government of Canada would not wish to set 
                     
                     down any rigid conditions, and it would be 
                     
                     prepared to give reasonable consideration to 
                     
                     suggestions for modification or addition. 
                     
                     
                   
               
               
               
               
                  All I want to say about that clause is this. In 
                  
                  Newfoundland we have had for many years, 
                  
                  before any of us was born, a system of education 
                  
                  that has grown up based on the beliefs and the 
                  
                  ideas and the needs of our people.... It is a system 
                  
                  under which the various religious denominations 
                  
                  have their own school system. Each denomination has its own schools and these schools
                  are 
                  
                  supported by the government out of the public 
                  
                  funds, most of them. They also raise money of 
                  
                  their own, as we all know.... Clause 19 says that 
                  
                  first of all, only the legislature of Newfoundland 
                  
                  can pass any laws concerning education if we 
                  
                  become a province.... Secondly, they could not 
                  
                  pass any law which would affect the rights of the 
                  
                  different denominations to have their own 
                  
                  schools; their rights are protected and they can go 
                  
                  on as long as time lasts because no law can be 
                  
                  made to change that. If any two denominations 
                  
                  or more should ever wish to unite their schools 
                  
                  into one system, their right is protected here and 
                  
                  it is left entirely to the people and the legislature 
                  
                  of Newfoundland, and no one else can interfere 
                  
                  in it. In other words, this clause protects our 
                  
                  present school system, leaves it just like it is, 
                  
                  unless we Newfoundlanders should ever wish to 
                  
                  change it ourselves.... 
                  
                  
               
               
               
               
               
               
               
               
                  Mr. Smallwood Yes, by uniting any two or 
                  
                  more schools. If any denomination wishes to go 
                  
                  on forever with its own system of schools, their 
                  
                  right is guaranteed in clause 19. The Prime Minister has made it quite clear that
                  if Newfoundland 
                  
                  wishes to change that clause, if this Convention 
                  
                  desired to ask the Government of Canada if they 
                  
                  would change it in some way, they are open to 
                  
                  receive the request. If far more responsible 
                  
                  people than this Convention wish to take up the 
                  
                  matter, the way is open. 
                  
                  
 
               
               
               
               
                  Mr. Chairman I think it is a closed matter as far 
                  
                  
                  
                  
                  
                  as the government is concerned. It is the right of 
                  
                  any community to see that its rights shall not be 
                  
                  taken away; if they desired to change by amalgamation, that would be brought before
                  the 
                  
                  provincial legislature. In either of those cases, I 
                  
                  feel that any communication between the 
                  
                  Government of Newfoundland and the Government of Canada is futile and absolutely unnecessary.
                  
                  
                  
 
               
               
               
               
                  Mr. Smallwood I do not see it quite that way. 
                  
                  Knowing as they do in the Government of 
                  
                  Canada what our school system is, they were 
                  
                  most anxious to protect our rights as they stand 
                  
                  today. So they put in a clause to do that. It does 
                  
                  exactly that. But the Prime Minister says, "With 
                  
                  respect to those matters which are primarily of 
                  
                  provincial concern, such as education, the 
                  
                  Government of Canada would not wish to set 
                  
                  down any rigid conditions, and it would be 
                  
                  prepared to give reasonable consideration to suggestions for modification or addition"...
                  They are 
                  
                  open to make it even more binding than it is for 
                  
                  the purpose of guaranteeing and protecting the 
                  
                  rights of the various classes of persons in Newfoundland. 
                  
                  
 
               
               
               
               
               
               
               Mr. Cashin I am not conversant with the British 
                  North America Act; but is there not something in 
                  it covering education? 
                  
                  
 
               
               
               
               
               
               
               
               
                  
                  
                  
                     Section 93: In and for each province the 
                     
                     Legislature may exclusively make laws in 
                     
                     relation to education, subject and according 
                     
                     to the following provisions: 
                     
                     
                  
                  
                  
                  
                     ( 1) Nothing in any such law shall prejudicially affect any right or privilege with
                     
                     
                     respect to denominational schools which any 
                     
                     class of persons have by law in the province 
                     
                     at the union. 
                     
                     
                  
                  
                  
                  
                     (2) All the powers, privileges and duties 
                     
                     at the union by law conferred and imposed in 
                     
                     Upper Canada on the Separate Schools and 
                     
                     School Trustees of the Queen's Roman 
                     
                     Catholic subjects shall be and the same are 
                     
                     hereby extended to the Dissentient Schools 
                     
                     of the Queen's Protestant and Roman 
                     
                     Catholic subjects in Quebec. 
                     
                     
                  
                  
                  
                  
                     (3) Where in any province a system of 
                     
                     separate or Dissentient Schools exists by law 
                     
                     at the union or is thereafter established by the 
                     
                     
                     
                     November 1947 NATIONAL CONVENTION 893
                     
                     
                     Legislature of the province, an appeal shall 
                     
                     lie to the Governor General in Council from 
                     
                     any act or decision of any provincial 
                     
                     authority affecting any right or privilege of 
                     
                     the Protestant or Roman Catholic minority of 
                     
                     the Queen's subjects in relation to education. 
                     
                  
                  
                  
                  (4) In case any such provincial law as 
                     from time to time seems to the Governor 
                     General in Council requisite for the due execution of the provisions of this section
                     is not 
                     made, or in case any decision of the Governor 
                     General in Council on any appeal under this 
                     section is not duly executed by the proper 
                     provincial authority in that behalf, then and 
                     in every such case, and as far only as the 
                     circumstances of each case require, the Parliament of Canada may make remedial laws
                     
                     for the due execution of the provisions of this 
                     section and of any decision of the Governor 
                     General in Council under this section. 
                     
                     
                   
               
               
               
               
               Mr. Cashin What is the idea of clause 19 being 
                  put in here? If the BNA Act covers it, why inject 
                  it in these terms? 
                  
                  
 
               
               
               
               Mr. Smallwood I am afraid section 93 does not 
                  cover the points in the clause in our terms. There 
                  are two points that seemed and seem to be highly 
                  desirable in this country today. One point is this: 
                  any denomination that has its own schools must 
                  be guaranteed the right to have their schools as 
                  long as ever they want them to be so; all the rights 
                  they have now must be guaranteed to last forever 
                  — to have separate denominational schools and 
                  to have them paid for out of the public chest.... 
                  On the other hand, if any two denominations who 
                  want to unite their two systems of schools ... the 
                  right to do that is also in these terms, so that all 
                  rights are protected; to stay as they are or to go 
                  on to something else. That is left entirely to 
                  Newfoundland. The Government of Canada does 
                  not want to interfere in the matter. We all appreciate why that is. It is a delicate
                  matter, a 
                  matter of conscience, and the government does 
                  not want to dicker or interfere or meddle where 
                  our conscience is at stake. They want to protect 
                  the rights we have without changing them one 
                  iota. If there is any change, we Newfoundlanders 
                  or our school authorities or heads must change 
                  them. I do not think there is much likelihood of 
                  that. But the right to do it is guaranteed. If not, 
                  the right to carry on is guaranteed. 
                  
                  
 
               
               
               Mr. Cashin It was not guaranteed under the 
                  
                  
                  
                  
                  
                  BNA Act? 
                  
                  
 
               
               
               
               
                  Mr. Smallwood It was not guaranteed in section 
                  
                  93. It is a highly complicated and technical matter. All educational authorities and
                  religious 
                  
                  authorities are more familiar with it than we are. 
                  
                  
                  
                  
 
               
               
               Mr. Higgins Does section 93 freeze forever the 
                  present setup we have here? 
                  
                  
 
               
               
               
               
                  Mr. Smallwood Section 93 would and does — 
                  
                  if section 93 applied in these terms, it would mean 
                  
                  we could never make any change at all. We must 
                  
                  stay as we are forever and a day. If any denominations should ever wish to unite their
                  schools, they 
                  
                  could not do it. 
                  
                  
 
               
               
               
               
                  Mr. Chairman Unless under clause 4 our 
                  
                  provincial statutes under section 93 were found 
                  
                  to be inadequate, then the Governor General 
                  
                  could intervene. 
                  
                  
 
               
               
               
               
                  Mr. Smallwood The Governor General can 
                  
                  only intervene where the clause is violated. If the 
                  
                  Governor General failed to intervene, or did intervene and the proper authority does
                  not carry it 
                  
                  out, then appeal could be made to higher 
                  
                  authority, namely the Government of Canada. 
                  
 
               
               
               
               Mr. Chairman "In case any such provincial law 
                  as from time to time seems to the Governor 
                  General in Council requisite for the due execution of the provisions of this section
                  is not 
                  made...." Suppose with the passage of time, the 
                  system that we have and we retain was found to 
                  be inadequate, then where we have made an 
                  amending law to bring it into line with subsequent times, the Governor in Council
                  could 
                  intervene. 
                  
                  
 
               
               
               
               
                  Mr. Higgins My recollection is that there was 
                  
                  an interpretation given by the Canadians with 
                  
                  whom we spoke. Mr. Smallwood has given that 
                  
                  interpretation. I am inclined to suggest it is the 
                  
                  correct interpretation. 
                  
                  
 
               
               
               
               
               
               
               
               
               
               
               
               
               
               
               
               
                  Mr. Higgins You have the right of appeal to 
                  
                  make them enforce it. 
                  
                  
 
               
               
               
               
               
               
               
               
                  Mr. Higgins If section 93 passed, and two 
                  
                  denominations here decided they were going to 
                  
                  amalgamate and any one person of these 
                  
                  denominations objected to that happening, then 
                  
                  if in spite of that one objection, the province or 
                  
                  
                  
                  
                  894 NATIONAL CONVENTION November 1947 
                  
                  
                  
                  
                  the provincial legislature said, "Go ahead" — 
                  
                  section 93 freezes it. 
                  
 
               
               
               
               
               
                  Mr. Chairman In the absence of appeal, it can 
                  
                  be decided upon the intervention made by the 
                  
                  government at Ottawa? 
                  
                  
 
               
               
               
               
                  Mr. Higgins Only to enforce section 93, never 
                  
                  to change it. You cannot change it; once you 
                  
                  adopt section 93, we are under section 93 as a 
                  
                  province forever, and the present setup could 
                  
                  never be disturbed at all. Under section 93, the 
                  
                  right to amalgamate is not there. 
                  
                  
 
               
               
               
               
                  Mr. Chairman No, under section 93, the right 
                  
                  to amalgamate is not given. I go all the way with 
                  
                  you there. 
                  
                  
 
               
               
               
               
                  Mr. Smallwood The difference between section 
                  
                  93 of the BNA Act and this clause in the terms, 
                  
                  is this... 
                  
                  
 
               
               
               
               
               
               
               
               
                  Mr. Smallwood I was not saying it for your 
                  
                  benefit. The difference is this, under the BNA 
                  
                  Act, if section 93 applied to Newfoundland the 
                  
                  school system we have now would be frozen 
                  
                  upon us. It could never change, the denominations now have schools and would go on
                  having 
                  
                  them for all time; no two denominations could 
                  
                  unite their schools if they wanted to do so. In the 
                  
                  clause in our terms, all denominations are 
                  
                  guaranteed the right to go on forever, as long as 
                  
                  they want to go on, with their own separate 
                  
                  schools. But there is something else added: any 
                  
                  two denominations or more that should ever wish 
                  
                  to unite their schools, that right is given in this 
                  
                  clause. All interests are protected, all conscience 
                  
                  is protected; the beliefs of all people are 
                  
                  protected; no one is denied any right at all. You 
                  
                  can stay as you are, or unite with somebody else. 
                  
                  
                  
                  
                  
                  
 
               
               
               Mr. Chairman Your point, Mr. Higgins, is that 
                  it is frozen, unless this amendment or alteration 
                  is cited, by amalgamation between two or more 
                  bodies? 
                  
                  
 
               
               
               
               
               
               
               
               
                  Mr. Chairman I am reading both together. I am 
                  
                  reading section 93 in the light of that clause. 
                  
                  Therefore under section 93 it is frozen; in the 
                  
                  light of that clause, it remains frozen but subject 
                  
                  to alteration in the event of two or more communities desiring to amalgamate. 
                  
                  
 
               
               
               
               
                  Mr. Higgins And providing further for payment 
                  
                  of monies. It is a definite amendment to 93. 
                  
                  
 
               
               
               
               
                  Mr. Newell I am confused. Did I understand him 
                  
                  
                  
                  
                  
                  to say, on the one hand section 93 freezes the 
                  
                  situation as it is now, and on the other hand, under 
                  
                  section 93 there is no right of amalgamation? No 
                  
                  right? 
                  
                  
 
               
               
               
               
               
               
               
               
                  Mr. Newell There is the right now. As it is now, 
                  
                  it is being done, whether legal or illegal. 
                  
                  
 
               
               
               
               
                  Mr. Chairman It was my impression it was 
                  
                  frozen; but I think it is the practice that has been 
                  
                  followed in Canada since union. 
                  
                  
 
               
               
               
               
                  Mr. Higgins I believe it is being done unofficially. I speak subject to correction. 
                  
                  
 
               
               
               
               
                  Mr. Newell I am not sure. I do not know enough 
                  
                  about it. I know there have been various amendments to the Education Act. But it is
                  my impression that that is covered — the right of groups to 
                  
                  amalgamate if they so desire, no compulsion. If 
                  
                  that is so, I cannot reconcile the statement that if 
                  
                  93 were in force it would remove our right to have 
                  
                  that amalgamation. 
                  
                  
 
               
               
               
               
                  Mr. Chairman Mr. Higgins' position is that it 
                  
                  remains frozen unless an alteration is desired 
                  
                  through and by amalgamation; if you wanted to 
                  
                  change what would otherwise be frozen, you 
                  
                  would have to have amalgamation, whereupon 
                  
                  the authorities would act upon it and allow you 
                  
                  to bring about amalgamation. 
                  
                  
 
               
               
               
               
                  Mr. Smallwood In reply to Mr. Newell, and to 
                  
                  throw a little more light on the matter — you will 
                  
                  appreciate that in Ottawa it was one thing to be 
                  
                  talking about money but something else again to 
                  
                  be talking about matters in which they believe 
                  
                  deeply. The last thing we wanted or would welcome would be to run counter to the beliefs
                  or 
                  
                  faiths of the people of Newfoundland. Naturally, 
                  
                  we had to go pretty deeply into this question. 
                  
                  There is a danger, if section 93 applied to Newfoundland, that only two classes of
                  persons 
                  
                  would be permitted to have schools — Catholic 
                  
                  and Protestant. In other words, the danger would 
                  
                  be that all Protestant schools, whether they liked 
                  
                  it or not, might be forced to unite. Now there is 
                  
                  no good reason why any denomination would be 
                  
                  forced to unite or not to unite. The application of 
                  
                  section 93 might mean exactly that — forcing 
                  
                  that there be only two classes of schools, Catholic 
                  
                  and Protestant, whereas what we have is 
                  
                  Catholic, Church of England, United Church, 
                  
                  Presbyterian, Salvation Army, Seven Day Adventist — I do not know any others, Pentecostal?
                  
                  
                  And with this clause in these terms, any class or 
                  
                  
                  
                  November 1947 NATIONAL CONVENTION 895
                  
                  
                  any denomination that has a school system now 
                  
                  or at the time we become a province at the date 
                  
                  of union, can go on having that system. They are 
                  
                  guaranteed to have them for all time. On the other 
                  
                  hand, if any two should wish to unite, that right 
                  
                  is also guaranteed them by these terms that are 
                  
                  now offered us by the Government of Canada. All 
                  
                  the rights of everyone are fully protected in these 
                  
                  terms. I do not know if any gentleman in the 
                  
                  Convention desires to take advantage of this 
                  
                  paragraph in the letter of the Prime Minister 
                  
                  where he says, "On the other hand, with respect 
                  
                  to those matters which are primarily of provincial 
                  
                  concern, such as education, the Government of 
                  
                  Canada would not wish to set down any rigid 
                  
                  conditions, and it would be prepared to give 
                  
                  reasonable consideration to suggestions for 
                  
                  modification or addition." I do not know if any 
                  
                  one feels sufficiently knowledgeable, sufficiently competent to make any suggestions
                  on it. I 
                  
                  would imagine the people most concerned would 
                  
                  probably be the ones to offer any suggestions if 
                  
                  any were to be offered. I do not know if it is a 
                  
                  matter which we as a Convention can do very 
                  
                  much about. 
                  
                  
 
               
               
               
               
                  Mr. Higgins In the case of union, it would be a 
                  
                  matter the government would have to take up — 
                  
                  if there was any alteration. 
                  
                  
 
               
               
               
               
                  Mr. Smallwood I am not so sure. In the referendum the clause remains as it is now; the people 
                  
                  only know the clause that is there now in the 
                  
                  terms. It seems to me, if they voted for confederation, the government elected after
                  might not have 
                  
                  the authority to change that clause. The time to 
                  
                  change it, if it is to be changed, is before the 
                  
                  referendum is held. 
                  
                  
 
               
               
               
               
                  Mr. Chairman I do not know that that is altogether so. Under this arrangement, if it were to 
                  
                  be adopted, it is made elastic and flexible; which 
                  
                  is why the Prime Minister goes on to point out 
                  
                  that it is not rigid and inflexible. If you want to 
                  
                  suggest any alterations, it would naturally be 
                  
                  done before union takes place quite irrespective 
                  
                  of the manner by which union is effected. 
                  
                  
 
               
               
               
               
                  Mr. Higgins We would be negotiating then, 
                  
                  would we not? 
                  
                  
 
               
               
               
               
               
               
               
               
                  Mr. Smallwood We might not exactly be 
                  
                  negotiating. If any member of this Convention or 
                  
                  one or more people had a suggestion to make on 
                  
                  the question, to ask that that question be for
                  
                  
                  
                  
                  warded to the government of Canada for their 
                  
                  reply — that would not be negotiating. 
                  
                  
 
               
               
               
               
                  Mr. Chairman It is clear from the Prime 
                  
                  Minister's letter that if you want to address any 
                  
                  questions, or if you want any alterations considered, they are prepared to take them
                  under 
                  
                  advisement. It is one thing to write and ask questions, it is another thing to go
                  back and say you 
                  
                  want this altered. That is really negotiating. It 
                  
                  depends upon the tenor of the communication 
                  
                  addressed as to whether it is negotiating or merely seeking information. 
                  
                  
 
               
               
               
               
                  Mr. Smallwood The difficulty is this National 
                  
                  Convention is just a temporary thing elected for 
                  
                  a certain limited period of time; when that is done 
                  
                  we go home. Even at best, we are not all lawyers, 
                  
                  not all professional men, in this matter we have 
                  
                  no standing. We are not the educators of the 
                  
                  country, nor are we the heads of denominations, 
                  
                  we are just a crowd of ordinary fellows blundering along as best we can. I suppose
                  this letter from 
                  
                  the Prime Minister will have been read outside 
                  
                  this Convention; if citizens wished to make representations on the matter, they could
                  do so 
                  
                  without being condemned for negotiating or anything of that character. It is not a
                  matter we can 
                  
                  do very much about. The offer is there, nevertheless, from the Government of Canada,
                  that it 
                  
                  would be prepared to give "reasonable consideration to suggestions for modification
                  or addition". 
                  
                  If anyone should care to make any suggestions, I 
                  
                  do not suggest it is necessarily the job for this 
                  
                  Convention or any member of it. 
                  
                  
 
               
               
               
               
                  
                  
                  
                     Clause 20: Defence Establishments. 
                     
                     Canada will provide for the maintenance in 
                     
                     Newfoundland of appropriate reserve units 
                     
                     of the Canadian defence forces which will 
                     
                     include the Newfoundland Regiment. 
                     
                     
                   
               
               
               
               
                  I don't know that there is much I need to say 
                  
                  to explain that clause. It is fairly simple.... I 
                  
                  suppose that what would happen is that stationed 
                  
                  in one or two or three places in Newfoundland 
                  
                  would be units of the Canadian defence forces, 
                  
                  and that amongst these units would be the Newfoundland Regiment. I talked about that
                  to Mr. 
                  
                  Brooke Claxton, the Minister of National 
                  
                  Defence. Since he was in Australia attending the 
                  
                  peace conference or something between the 
                  
                  United States and Britain and Canada and Russia 
                  
                  on the Japanese situation, it had to be by wireless 
                  
                  that the conversation was carried on between 
                  
                  
                  
                  
                  896 NATIONAL CONVENTION November 1947 
                  
                  
                  
                  
                  Ottawa and Australia, between the members of 
                  
                  the Cabinet in Ottawa and Mr. Claxton in 
                  
                  Australia. But then Mr. Claxton came back to 
                  
                  Canada before we left, and I talked with him, and 
                  
                  he said that they would not only establish these 
                  
                  military and naval and air force units in Newfoundland, and maintain and continue
                  the Newfoundland Regiment, but that every effort would 
                  
                  be made to enlist Newfoundland officers in the 
                  
                  units, but above all in the Newfoundland Regiment; I think the idea would be that
                  quite a 
                  
                  number of Newfoundlanders with military experience of officer material, would be offered
                  the 
                  
                  opportunity to serve in these defence units that 
                  
                  the Government of Canada would establish in 
                  
                  Newfoundland. 
                  
               
               
               
               Mr. Hickman Those reserve units, they would 
                  be something similar to what they have in 
                  Canada? They would not be permanent units, but 
                  they would just meet one or two nights a week, 
                  and have two or three weeks in camp, or something along that line. 
                  
                  
 
               
               
               Mr. Smallwood Yes. It's like a territorial army, 
                  something like the National Guard in the United 
                  States where men go once or twice a week in their 
                  off-time to drill, and are given their uniforms; 
                  they are not on seven days pay in other words. I 
                  suppose its something like a glorified CLB and 
                  in the summer they have manoeuvres and go into 
                  camp.... 
                  
                  
 
               
               
               
               
                  
                  
                  
                  
                     Clause 21: Oleomargarine. 
                     
                     
                  
                  
                  
                  
                     Notwithstanding anything contained in 
                     
                     the Dairy Industry Act or any other act of the 
                     
                     Parliament of Canada, oleomargarine and 
                     
                     other substitutes for butter may continue to 
                     
                     be manufactured and sold in Newfoundland 
                     
                     after union unless prohibited or restricted by 
                     
                     the Parliament of Canada at the request of the 
                     
                     Legislature of Newfoundland, provided that 
                     
                     notwithstanding anything contained in Section 121 of the British North America Act,
                     
                     
                     1867, no such oleomargarine or other substitute for butter may be exported from the
                     
                     
                     Province of Newfoundland to any other part 
                     
                     of Canada except by authority of the Parliament of Canada. 
                     
                     
                   
               
               
               
               
                  Mr. Chairman Section 121
[1] provides: "All articles of the Growth, Produce, or Manufacture of 
                  
                  any one of the Provinces shall, from and after the 
                  
                  Union, be admitted free into each of the other 
                  
                  
                  
                  
                  
                  Provinces." 
                  
                  
 
               
               
               
               
               Mr. Smallwood Yes, that section provides for 
                  free trade between Newfoundland and Canada, 
                  but in the matter of oleomargarine that would not 
                  apply. Oleomargarine, although manufactured 
                  and sold in Newfoundland, would not be permitted to go into the rest of Canada while
                  the 
                  Dairy Industry Act forbids it. 
                  
                  
 
               
               
               
               
               
               Mr. Smallwood There is a very great and continuing pressure from the public of Canada, going 
                  on for many many months past and still going on 
                  stronger than ever, to permit the manufacture and 
                  sale and importation of margarine into Canada.... 
                  Anyway, sir, the point is whatever is the case in 
                  Canada, whether or not Canada will ever permit 
                  margarine to be sold, in Newfoundland it will be 
                  permitted not only to be sold, but to be manufactured, and to be exported if we can
                  find a market 
                  for margarine in any other country except 
                  Canada. I firmly believe that the Parliament of 
                  Canada is going to remove the present restriction 
                  for all Canada just as they offer in these terms, in 
                  this clause; just as they offer to remove that 
                  restriction for Newfoundland alone, so they are 
                  going to do it for all Canada, perhaps. If they do 
                  sir, it seems at least possible that Newfoundland, 
                  possessing as she does one of the finest factories 
                  in the world making margarine, and I refer of 
                  course to the Newfoundland Butter Company ... 
                  that the minute Canada removes the restriction, 
                  then the Maritime Provinces could, and I believe 
                  would, become at once a natural market for margarine manufactured in Newfoundland....
                  
                  
                  
 
               
               
               Mr. Fogwill I wonder if Mr. Smallwood could 
                  tell us if the general sales tax of 8% will be 
                  imposed on the oleomargarine? 
                  
                  
 
               
               
               Mr. Smallwood As there is no margarine in 
                  Canada it is a little difficult to say whether the 
                  sales tax does apply or not.... 
                  
                  
 
               
               
               Mr. Fogwill Well, according to this, if we are 
                  allowed to manufacture it in Newfoundland it 
                  will be legal. Therefore I wish to ask Mr. 
                  Smallwood if he would find out that information. 
                  It would amount to quite a tidy sum going to 
                  Ottawa each year, somewhere around $190,000. 
                  
                  
 
               
               
               Mr. Bailey I don't think a sales tax would apply 
                  in Canada, as it does not apply to butter. While 
                  butter in Canada is brought down here ... you will 
                  
                  
                  
                  November 1947 NATIONAL CONVENTION 897
                  
                  
                  find that when it is off of butter it will be off of 
                  
                  margarine. 
                  
                  
                  
 
               
               
               
               
               
               
               
                  
                  
                  
                     Should the government of the province 
                     
                     institute an economic survey of Newfoundland with a view to determining what 
                     
                     resources may profitably be developed and 
                     
                     what new industries may be established or 
                     
                     existing industries expanded, the Government of Canada will make available the services
                     of technical personnel and agencies to 
                     
                     assist in the work. 
                     
                     
                  
                  
                  
                  
                     As soon as may be practicable after union 
                     
                     the Government of Canada will make a special effort to collect and make available
                     
                     
                     statistical and scientific data about the natural 
                     
                     resources and economy of Newfoundland, in 
                     
                     order to bring such information up to the 
                     
                     standard attained for existing provinces. 
                     
                     
                   
               
               
               
               
                  I am personally extremely proud of that 
                  
                  clause, and in my belief it is incomparably far and 
                  
                  away the most important clause in these terms 
                  
                  offered by the Government of Canada, and I am 
                  
                  not overlooking the importance of the other 
                  
                  clauses, family allowances, old age pensions, and 
                  
                  the others. I realise how valuable they are, but to 
                  
                  those who say that all my thoughts are of the 
                  
                  social welfare and social security benefits that 
                  
                  might come to us through confederation, and that 
                  
                  these are the things I consider to be most important, in reply I say now that we have
                  come to what 
                  
                  is far and away the most important clause in this 
                  
                  document; and I personally am very proud of it 
                  
                  because I was the father of that clause, and the 
                  
                  other members of the delegation will agree with 
                  
                  me on that. The first time I raised the matter in 
                  
                  the plenary session, it was at night, there had been 
                  
                  a meeting of the cabinet that afternoon that lasted 
                  
                  for five and a half hours. It was the longest cabinet 
                  
                  meeting since the war ended. 
                  
                  
               
               
               
               
                  Mr. Penney I rise to a point of order, Mr. Chairman. 
                  
                  
 
               
               
               
               
               
               
               
               
                  Mr. Penney I contend that Mr. Smallwood spent 
                  
                  the time in Ottawa talking about these clauses, 
                  
                  and there is no reason why he should take up the 
                  
                  time of this Convention talking them over one by 
                  
                  one. It is up to the other delegates here to talk 
                  
                  about them. It is not up to Mr. Smallwood to 
                  
                  spend half an hour to an hour on every single 
                  
                  clause in this darn book. 
                  
                  
 
               
               
               
               
                  Mr. Chairman Well, Mr. Penney, whether or 
                  
                  not Mr. Smallwood spends too much or too little 
                  
                  time in the interpretation of any of the clauses, 
                  
                  the point is that the procedure was adopted by the 
                  
                  Convention as a whole, and therefore he is simply 
                  
                  complying with the procedure prescribed by the 
                  
                  Convention itself when he reads these clauses. 
                  
                  
                  
                  
 
               
               
               Mr. Penney There's another side to that, Mr. 
                  Chairman, if you will permit me to say so. 
                  
                  
 
               
               
               
               
               
               
               
               
               
               
               
               
                  Mr. Chairman If you don't mind, Mr. 
                  
                  Smallwood. There's another aspect to this matter 
                  
                  to which I think you want to address yourself? 
                  
                  
                  
                  
                  
                  
                  
                  
                  
 
               
               
               Mr. Penney That's right, Mr. Chairman. In 
                  every other report brought in to this Convention 
                  on Newfoundland affairs, the general procedure 
                  was for the chairman of each committee to bring 
                  in the report and make a general explanation of it 
                  and leave it to the delegates to discuss it, and as 
                  a consequence... 
                  
                  
 
               
               
               
               
                  Mr. Smallwood To a point of order, Mr. Chairman. This gentleman is completely out of order. 
                  
                  
 
               
               
               
               Mr. Chairman That is not quite correct, Mr. 
                  Penney.... It was pointed out that some mode 
                  of procedure had to be adopted. The mode 
                  adopted was that the person who should pilot this 
                  measure, if you will, through the committee of 
                  the whole, should be such a person as appointed 
                  by me. In that connection, Mr. Smallwood 
                  produced and read from a letter from Mr. Bradley 
                  stating his inability to be present, and asking Mr. 
                  Smallwood to deputise for Mr. Bradley. I intimated to members at that time that if
                  you vested 
                  in me the power to appoint somebody to pilot the 
                  terms, then I would appoint Mr. Smallwood. As 
                  far as I know the Convention ratified my appointment, and as far as I am now concerned
                  Mr. 
                  Penney, however unwelcome it may appear to 
                  you, I have to hold at this time that Mr. 
                  Smallwood is only following the procedure that 
                  he was directed, at the instance of the Convention, to follow, when he was appointed
                  by me 
                  during and because of the absence of Mr. Bradley, to proceed with the matter now before
                  us. 
                  
                  
 
               
               
               
               
               
               
               
               
               
               
               
                  Mr. Penney Ask you another question, sir? If I 
                  
                  have to sit here all through this rigmarole of stuff 
                  
                  and be punished... 
                  
                  
 
               
               
               898 NATIONAL CONVENTION November 1947
               
               
               
               
                  Mr. Smallwood Point of order, Mr. Chairman. 
                  
                  This man is insulting. This man is completely 
                  
                  insulting! Who does he think he is, sir? Does he 
                  
                  think his money gives him the right to act like a 
                  
                  clown? Who is he anyway? The old fossil! 
                  
                  
 
               
               
               
               
                  Mr. Chairman You will both take your seats, 
                  
                  please. Take your seat please, Mr. Smallwood. 
                  
                  
                  
                  
                  
                  
                  
                  
                  
                  
                  
                  
                  
 
               
               
               Mr. Smallwood It is money versus brains, 
                  maybe. This man is insulting, I am not going to 
                  be insulted. Who does he think he is? I am not 
                  going to be insulted by a man merely because he 
                  has money. Does he think just because he has 
                  money it gives him the right to act like a clown? 
                  
                  
 
               
               
               Mr. Chairman It is rather late to take issue on 
                  the procedure, Mr. Penney. I would remind you 
                  we are on clause 22; there is only another clause 
                  to be read. If for any reason you were objecting 
                  to the procedure which has been employed all the 
                  
                  
                  
                  
                  
                  way through, why did you not speak on your 
                  
                  rights before?.... I have to enforce the mode of 
                  
                  procedure as I understand it.... 
                  
                  
                  
 
               
               
               
               Mr. Penney I submit to your ruling. But it would 
                  be only fair to keep the rest in and let them sit 
                  through the sessions too. 
                  
                  
 
               
               
               
               
               
               
               [The committee rose and reported progress. Mr. 
                     Higgins gave notice of a question concerning the 
                     replacement cost of Newfoundland government 
                     property. Mr. Miller gave notice of questions 
                     asking whether the federal government would 
                     maintain existing railway, coastal boat, 
                     telegraph, and postal services without increased 
                     cost. 
                  
                  
               
               
               
               
                  The Convention adjourned]