The key to economic and social development lies in the knowledge and skill base of human capital. This report, presented to the House of Commons Standing Committee on Finance, calls for vigorous action on the part of the Government of Canada, in concert with the provinces and territories, to protect the Canadian economy from a skills shortage caused by factors that include an aging workforce, growing information technology sector, and shortages in health care, technical and tourism professions. Measures available to the Government of Canada that fall within current federal programs, budgets and regulations are identified: (1) Engaging with provinces and territories to ensure that federal transfer payments earmarked for post-secondary education are used as intended, and that colleges and institutes of technology receive a proportionate share; (2) Recognizing that Canadian education is an international business opportunity and attracting foreign students to Canada through flexible visa arrangements; (3) Encouraging the federal regional economic development agencies to continue to invest in college equipment, infrastructure, and applied research and make the Federal Economic Development Initiative for Northern and Rural Ontario an Ontario-wide agency to provide the same opportunities to colleges in southern Ontario as are available in other regions; (4) Directing a portion of federal investment in discovery research to applied research, product development, and commercialization carried out by colleges and institutes of technology and their private sector partners; (5) Extending to colleges and institutes of technology the same exemption that has been afforded to municipalities as previously recommended by the Committee; and (6) Increasing domestic and international student mobility. The report concludes with a recommendation for additional 5-year budgetary allocation to cost-share provincial/territorial investments in the recapitalization of Canada's colleges, institutes of technology, polytechnics, cegeps (College of General and Vocational Education) and university colleges. [This report represents a submission by the Association of Canadian Community Colleges to the House of Commons Standing Committee on Finance Pre-Budget Consultations, 2008.]