Mr. Speaker, Passport Canada estimates that charging those 65 years of age or more 50% of the fee for passport services could result in a loss of $225 million in revenue over a four year period. In the event of an increase in the proportion of Canadians over the age of 65 or an increase in demand from that portion of the population, this number could rise.
As a cost-recovery agency, Passport Canada does not receive an annual parliamentary appropriation and finances its operations entirely on the fees charged for passports and other travel documents. In effect, the Canadian passport program is funded by applicants, not taxpayers.
For this reason, lost revenues would need to be subsidized by means of an increase to the adult and child passport fees for other applications. In order to evaluate the precise impact of such a decision, Passport Canada would need to undertake an 18- to 24-month consultation process in accordance with the User Fees Act.