Thank you very much to the committee for this opportunity to appear before you as the chairperson of the Government Ethics Coalition, which is made up of more than 30 citizens groups from across the country, from various sectors of society, with a total membership of three million Canadians.
You have the submission of the coalition—10 pages with 10 key recommendations. It all adds up to, quite simply, a simple choice: will you strongly recommend changes to the Lobbying Act to end secret, unethical lobbying and to make enforcement effective, or will you ignore the loopholes and leave them open and not make recommendations to close them or to make enforcement effective?
The act is so full of loopholes it should not be called the Lobbying Act; it should be called the “some lobbying by some lobbyists act”, because that's all it requires: disclosure of some lobbying by some lobbyists. Because secret lobbying is legal, unethical lobbying is legal. Secret, unethical lobbying is legal even for cabinet ministers the day after they leave office because of loopholes in the act. They have to be a bit careful about whom they lobby mainly because of rules in the Conflict of Interest Act, not the Lobbying Act. And they have to be a bit careful for whom they lobby and on what they lobby, but they can lobby cabinet ministers, senior government officials, and everyone in the government and the opposition parties and the public service. Cabinet appointees and every government institution can lobby in secret the day after they leave office. That's how bad the situation is.
There are no valid excuses for failing to close the loopholes and failing to strengthen enforcement. You simply have a choice. Will you endorse, as every committee and every party and every government has endorsed right back to Confederation, secret, unethical lobbying and ineffective enforcement, or will you strongly recommend that the loopholes finally be closed and the enforcement be strengthened so that secret, unethical lobbying is illegal? It's not that it will be stopped. People will always try to violate every law that exists. That's not a reason to leave the loopholes open. Some people say you can't legislate morality. They're twisting that saying. That saying means that no matter what you do, some people will be immoral. It doesn't mean you leave loopholes open because some people will be immoral. So you have this choice.
This is the tenth committee hearing for the House or Senate I've attended on this subject since 1993. No committee has made these recommendations; no government has made the changes. No opposition party has ever introduced a private member's bill, but every party in opposition has complained about secret, unethical lobbying.
Will you either continue playing the game that's been going on since 1988 or finally clean up your acts by making the recommendations that will clean up the Lobbying Act and related laws to finally clean up the federal government?
Why should you do this? The Supreme Court of Canada, the Federal Court of Appeal, the UN, the OECD, the World Bank, the IMF, and every other international institution says you don't have a democratic good government if you allow secret, unethical lobbying. If that's not reason enough, how about how you look at yourself in the mirror if you're not going to make these recommendations? What will you say to your children and your grandchildren? That you had a chance to recommend ending one of the most fundamental problems that undermines democratic good government but didn't take that opportunity? Instead, as again every committee has done since 1988, you just kept your eyes closed to secret, unethical lobbying and pretended that everything was fine.
What major changes are needed? The coalition is making 10 recommendations. I'm going to focus on a few of them because the devil truly is in the details.
As you've heard the other two speakers and every other witness talk about, there are loopholes that allow for unregistered secret lobbying. Those loopholes must be closed. But some of them haven't been mentioned before the committee. It's not just the 20% rule that is exploited to lobby in secret. It's also that you can lobby about the enforcement or administration of a law, regulation, code, guideline, policy, subsidy, or tax, and not register. That's a gigantic loophole. Tons of lobbying goes on about enforcement and administration of laws, but no registrations are required for it.
The paid and unpaid lobbying is also a gigantic loophole. All you have to do is arrange to have someone pay you to do other services for them and you do the lobbying for free.
A lot of people have emphasized over the years that they're worried most about these paid lobbyists, that they're the worst. Actually, the unpaid lobbyists are as bad. They are the ones you should worry about more in some ways. They are the cabinet ministers who leave and have their nice gold-plated pensions and make a few calls for friends for free. They have enormous influence on the inside and they don't have to register because they're unpaid.
You either solve this problem by closing these loopholes, including requiring unpaid lobbying to be registered, or, as the Conservatives promised in 2006, you flip the onus and require everyone in government, in every institution—in opposition parties, Parliament, staff, and everyone—to disclose anyone who communicates with them about their decisions.
The only exception to that—and it's really the way the act should have been designed in the first place because then you wouldn't have these loopholes—would be the constituent contacting you about a personal concern every so often. If they were organized and had a little community group and they were pushing, it would be disclosed. Then you would capture it all. Secret and unethical lobbying would be ended because secret lobbying, and therefore unethical lobbying, would be illegal.
Turning to this five-year cooling-off period, it was extended in a kind of blunt move that's a bit unfair to all MPs. It should be changed into a sliding scale.
If you're a backbench MP who is not on a committee, then you would sit out for a certain length of time. It should run from one year to five years. It should cover staff of all politicians as well. They're not covered by any ethics rules at all right now.
Depending on whether you were on a committee or chaired a committee or you were parliamentary secretary, you would go up this scale from one to five years.
That's the fair change to make. The fact that a backbench MP who doesn't even sit on a committee has to sit out for five years after they leave—the same length of time as a cabinet minister—doesn't make sense.
That change should be made, but you should not lower the five-year limit. Five years is appropriate for cabinet ministers and senior government officials. It's the length of time that's needed to have a changeover in government so their influence and access is not as potent as it is when they first leave.
In the enforcement area, you should also make changes to the act that require the commissioner to conduct regular random audits and inspections. The commissioner is sitting back too much and waiting for complaints and not proactively out there checking who is communicating with which institutions. It's basic law enforcement to be doing random, regular inspections. Police officers do it; everyone who is enforcing a law does it.
You have to require the commissioner to do it. Give her the clear power and mandate to do this. As well, in the enforcement area, you should require the commissioner and the Director of Public Prosecutions to be ruling publicly, within a reasonable time period, on every situation that raises issues of violations.
If you look back to 2004, there are dozens of complaints that still haven't been ruled on. We don't even know who the complaints are about. From all evidence, often the commissioner is rejecting some complaints without ever publicly stating they have been rejected. The public has the right to know about all the situations that have arisen and what the ruling was by the commissioner.
As well, in enforcement, a key area is giving the commissioner the power and the mandate to impose penalties. On Tuesday you heard all four commissioners from the provinces say this is necessary, and some are saying it's going to cause some sort of conflict. GRIC, the Government Relations Institute of Canada, was complaining that this might cause a conflict; the RCMP and crown prosecutors might be doing something different from what the commissioner does.
I think they misunderstand it. The administrative penalties are not there for violations of the act that amount to a crime but for administrative violations of the act. There would not be a conflict in terms of investigations and having that power to levy fines.
If this were allowed, the commissioner would be able to proceed and make a ruling rather than waiting for the RCMP and crown prosecutors to bounce it around for three, four, five years before she finally can proceed under the lobbyists' code.