Government Operations committee  It is very much about looking at innovations in this pre-commercialization phase. Part of the reason that we can keep it in Canada is that it is a research and development program. Within the trade agreements, etc., you have exclusions for R and D. That's part of the reason we can have this program: it ensures that Canadian companies have this opportunity at that level.

Government Operations committee  We don't have a lot of interface. This program is a procurement program, so it falls firmly within our mandate. We do a lot of work between our Office of Small and Medium Enterprises and the small business program at Industry Canada. What we do at Public Works with small businesses is very much helping small and medium-sized enterprises access the procurement system, that is, trying to demystify how to do procurement with government.

Government Operations committee  In that sense I would say, yes, we have some restrictions on it, which is part of the initial call, and then in the screening we go through, the IRAP panel is looking to see whether the company has their business plan in place, whether their technology is in the right area of development, and those kinds of things.

Government Operations committee  The fundamental piece to this program comes on the innovation side. They have a product that the coast guard doesn't know it might need, so that's really the difference. The coast guard has all its requirements, and it has to choose from a bunch of priorities within its budget, etc., but this program here is really about somebody coming up to us with an innovative idea.

Government Operations committee  We don't do unsolicited proposals any more. [Inaudible--Editor]...just the introduction to the trade agreements.

Government Operations committee  Let me just go through the processes. We send out a request for proposals. We sent one out just last week. We're soliciting people to bring forward their innovations. They must be 80% Canadian. The proposal must be in the pre-commercial stage, and it has to be less than $500,000, or $1 million for the military.

Government Operations committee  Yes. They have the small business innovation program there. It's on a different scale. They are a much bigger program, but yes, it's the same idea.

Government Operations committee  Yes, the same concept.

Government Operations committee  In 2010, when the program was created, the following four components were established: the environment, health, security and accessibility. At least that is what I think they were. Mr. Jenkins' study indicated that, in the sector involving innovations in security, the demand for prioritizing military projects was strong.

Government Operations committee  Yes. In Canada, many small and medium-sized businesses have difficulty going from invention to commercialization. That gap is still there, and that is why the program exists.

Government Operations committee  On the name changes and the original name, it was called the Canadian innovation commercialization program. As for what that did, businesses that came to apply often asked us if the program would help them in marketing, in raising investment funds and things like that. There are other programs in government that do that kind of work, and it really is about commercializing.

Government Operations committee  That's precisely it. Some of those companies have applied to our innovation program, and they are taking their invention or innovation and through this program are getting government to buy it, test it for them, and prove it. That takes them over the hump from invention to having a commercially viable product.

Government Operations committee  The request for the $20-million amount was set out in the budget.

Government Operations committee  It is an additional amount that comes from the finance minister's budget. The $20-million amount is an addition. This request does not come from the research team of the Department of National Defence. This amount is set aside to allow private sector innovators to present their innovations to the military.

Government Operations committee  It was not being done in this way. This program's objective is to encourage the private sector to propose innovations to the government. I explain this program in public hearings by saying that the innovator presents their idea to me for evaluation. Then I determine whether the idea is suitable or whether it can be improved.