Fisheries Committee on Feb. 20th, 2007

[Commr George Da Pont]

There are two parts to getting performance pay. One is at-risk pay, which normally you get if you've achieved your basic operations and your basic management. And then there's a bonus on top of that if you exceed what you were required to deliver. Within the coast guard, only six out of the 44 executives got the bonus part, but all but one got the at-risk pay part.

[Scott Simms, Liberal, Bonavista—Gander—Grand Falls—Windsor, NL]

Yes, because they were on sick leave. Is that correct?

What I hear is that over 40 people got bonuses, not the six you say.

[Commr George Da Pont]

No. As I explained, there are two parts to performance pay. One is at-risk pay, and of that you're absolutely right, 43 of 44 got at-risk pay.

[Scott Simms, Liberal, Bonavista—Gander—Grand Falls—Windsor, NL]

Right.

[Commr George Da Pont]

But beyond the at-risk pay is the actual bonus part. I believe only six of the 44 got it.

[Scott Simms, Liberal, Bonavista—Gander—Grand Falls—Windsor, NL]

Ms. Fraser, I have a question for you. In light of this—and forgive me if I'm putting you on the spot here—it seems that bonuses are pretty prevalent across the civil service. Would I be safe in saying that? In this particular case, we have some pretty harsh criticisms of the Canadian Coast Guard, but yet they received close to $300,000 for the year—I think $296,000 was the number—in bonuses. Did you look at that when you were going through it?

[Sheila Fraser]

No, Mr. Chair, we did not look at that.

[Scott Simms, Liberal, Bonavista—Gander—Grand Falls—Windsor, NL]

May I ask you a question?

Instead of going through a committee to decide the bonuses, would it be prudent for the Auditor General's report to be used as a bonus-pay mechanism to judge?

[Sheila Fraser]

That, Mr. Chair, would depend very much upon the accountability system that is put within the department, on what objectives are set for individual managers. Many times our reports, too, deal with issues that are long-standing, so to actually attribute that to the performance of any individual person could be difficult. Now if someone has an objective to respond to a particular area that—

For example, in the coming plan, if the plan is presented, and the priorities are established and the objectives are established, that should form part, indirectly, of a performance pay system. I'm not sure this report should necessarily be used for that because I don't know how the performance pay system was established in the past.

[Scott Simms, Liberal, Bonavista—Gander—Grand Falls—Windsor, NL]

I still have time, I gather?

[The Chair, Conservative, Gerald Keddy]

You do. I'm not going to stop you until your time is up.

[Scott Simms, Liberal, Bonavista—Gander—Grand Falls—Windsor, NL]

I have a question for Mr. Da Pont and Mr. Murray. You said that the next business plan will be ready by April, but you also touched on an updated fleet renewal plan. Updated to what extent?

[Commr George Da Pont]

As was noted in the report of the Auditor General, we had done a fleet renewal plan over a 25-year period that was considered by the government of the day, and they had funded six out of ten. Since then, we have re-looked at that plan, we have updated the plan, and we have developed some additional proposals for fleet renewal.

[Scott Simms, Liberal, Bonavista—Gander—Grand Falls—Windsor, NL]

I believe that in March 2005 there was $276 million for the ten-vessel fleet. Is that correct?

[Commr George Da Pont]

Yes, that was phase one of the plan that was funded. Since then we have revised and updated the plan, and we have proposals that are being considered for a phase two.

[Scott Simms, Liberal, Bonavista—Gander—Grand Falls—Windsor, NL]

For phase two, what kind of a ballpark figure are we looking at?

[Commr George Da Pont]

Given that these issues are before the government for consideration in terms of funding, I'm afraid I'm not at liberty, as you know, to provide the details, except to say they're significant.

[Scott Simms, Liberal, Bonavista—Gander—Grand Falls—Windsor, NL]

Okay. Sorry, did you want to add something?

[Commr George Da Pont]

You asked about the business plan being ready by April. Good chunks of it are done, but the reason there's an end-of-April date is that we obviously have to await the federal budget to incorporate whatever decisions come from it that affect us.

[Larry Murray]

If I could add a point of detail in terms of fleet renewal, the $276 million deals with four midshore patrol vessels and two new fishery research vessels. There is also approval for I think approximately $125 million for four additional midshore patrol vessels.

[Scott Simms, Liberal, Bonavista—Gander—Grand Falls—Windsor, NL]

That's in addition to the $276 million, correct?

[Larry Murray]

Yes. Those would be operated jointly by the Canadian Coast Guard and the Royal Canadian Mounted Police for maritime security purposes. What I'm saying is that although the first part of fleet renewal is the $276 million, in fact there are four other patrol vessels moving along in the same timeframe.

[Scott Simms, Liberal, Bonavista—Gander—Grand Falls—Windsor, NL]

So the midshore vessels are not a part of the $276 million.

[Larry Murray]

Yes, they are. The four that will be used for classic conservation and protection work by the Department of Fisheries and Oceans are part of the $276 million. Four of the same types of vessels with whatever minor modifications required for the work with the RCMP are moving forward as part of maritime security money that the governments have authorized.

[The Chair, Conservative, Gerald Keddy]

Thank you, Mr. Murray.

I glanced down for a moment and as usual Mr. Simms managed to get another minute in there. I don't know how that happens.

It would be remiss of me to my fellow committee members if I didn't introduce our newest member of the committee this morning, Mr. Blaine Calkins. Blaine is a member from Wetaskiwin in Alberta and I think—you're looking at me like you're not.