Evidence of meeting #43 for Finance in the 43rd Parliament, 2nd Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was payments.

A video is available from Parliament.

On the agenda

MPs speaking

Also speaking

Julie Trepanier  Director, Payments Policy, Financial Systems Division, Financial Sector Policy Branch, Department of Finance
Nicolas Moreau  Director General, Funds Management Division, Financial Sector Policy Branch, Department of Finance
Erin O'Brien  Director General, Financial Services Division, Financial Sector Policy Branch, Department of Finance
Manuel Dussault  Senior Director, Framework Policy, Financial Institutions Division, Financial Sector Policy Branch, Department of Finance
Kathleen Wrye  Acting Director, Pensions Policy, Financial Crimes and Security Division, Financial Sector Policy Branch, Department of Finance
Jean-François Girard  Senior Director, Financial Stability and Capital Markets Division, Financial Sector Policy Branch, Department of Finance
Justin Brown  Acting Director General, Financial Crimes Governance and Operations, Financial Systems Division, Financial Sector Policy Branch, Department of Finance
Neelu Shanker  Deputy Director, Operations, Sanctions Policy and Operations Coordination Division, Department of Foreign Affairs, Trade and Development
Gabriel Ngo  Senior Advisor, Financial Crimes Governance and Operations, Financial Systems Division, Financial Sector Policy Branch, Department of Finance
Suzanne Kennedy  Acting Director General, Federal-Provincial Relations Division, Federal-Provincial Relations and Policy Branch, Department of Finance
Omar Rajabali  Director General, Social Policy Division, Federal-Provincial Relations and Policy Branch, Department of Finance
Samuel Millar  Director General, Corporate Finance, Natural Resources and Environment, Economic Development and Corporate Finance, Department of Finance
Marie-Hélène Cantin  Senior Economist, International Trade Policy Division, International Trade and Finance, Department of Finance

1:10 p.m.

Conservative

Tamara Jansen Conservative Cloverdale—Langley City, BC

Is there no real measurement that says something like you have to reduce your backlog by 50% in order to qualify for the funds? There are no strings attached, basically.

1:10 p.m.

Acting Director General, Federal-Provincial Relations Division, Federal-Provincial Relations and Policy Branch, Department of Finance

Suzanne Kennedy

Correct. There are no reporting requirements of that sort.

1:10 p.m.

Liberal

The Chair Liberal Wayne Easter

Ted Falk.

1:10 p.m.

Conservative

Ted Falk Conservative Provencher, MB

Thank you, Mr. Chair.

Thank you, Suzanne, for your commentary. Similar to Ms. Jansen's question, I'm wondering if the federal government is keeping track of the monies that have been forwarded to the provinces for COVID-19 subsidies.

Are we keeping track of the amount of money that provinces are actually spending on projects or for areas we've designated funding for? Do we keep a log on that? What's happening?

1:10 p.m.

Acting Director General, Federal-Provincial Relations Division, Federal-Provincial Relations and Policy Branch, Department of Finance

Suzanne Kennedy

To the extent that there are requirements, they are being tracked. There are some elements that do not have conditions to track. I'm afraid I don't have the details on that.

1:10 p.m.

Conservative

Ted Falk Conservative Provencher, MB

Okay. My understanding is that provinces.... I know that there have been hundreds of billions of dollars sent to the provinces in the last 14 months because of COVID-19. As just one example, my understanding is that one bucket of money was given to the provinces to support the aviation industry for scheduled aviation services to northern and indigenous communities. I know that not all the provinces spent the allocated amount that was given to them by the federal government.

There have been hundreds of program funding announcements made to the provinces. What percentage of that money have the provinces actually been spending for what they're supposed to, and what have they not?

May 17th, 2021 / 1:10 p.m.

Acting Director General, Federal-Provincial Relations Division, Federal-Provincial Relations and Policy Branch, Department of Finance

Suzanne Kennedy

I'm sorry. I can only speak to the measures that are in Bill C-30 today.

1:10 p.m.

Conservative

Ted Falk Conservative Provencher, MB

This is kind of related to that, because we're being asked to approve measures and we don't even know if the provinces are spending the money that they're committed to spending for other programs they've been receiving it for.

Ms. Jansen's question articulated as well that with the money they're going to receive for these health transfers, there's no accountability for this money that's being given to all the provinces.

1:15 p.m.

Liberal

The Chair Liberal Wayne Easter

Ted, I think that's more a question for the minister. It might be a good Wednesday question for the Prime Minister: Where's the accountability? I don't think Ms. Kennedy can answer.

1:15 p.m.

Conservative

Ted Falk Conservative Provencher, MB

Thanks, Mr. Chair.

1:15 p.m.

Liberal

The Chair Liberal Wayne Easter

Are there any further questions?

That sums it up on division 12.

We're turning to division 13, which is Canada's COVID-19 immunization plan. On money spent there in each of the provinces, the same question likely applies here, Ted.

Who's on this one? Is it you again, Ms. Kennedy?

1:15 p.m.

Omar Rajabali Director General, Social Policy Division, Federal-Provincial Relations and Policy Branch, Department of Finance

It will actually be me.

1:15 p.m.

Liberal

The Chair Liberal Wayne Easter

Introduce yourself first there, Omar, if you could.

1:15 p.m.

Director General, Social Policy Division, Federal-Provincial Relations and Policy Branch, Department of Finance

Omar Rajabali

Absolutely.

My name is Omar Rajabali. I'm the acting director general of social policy within the Department of Finance. I'm here to provide an overview of the part entitled “Canada's COVID-19 Immunization Plan”. This is division 13, clause 198.

This measure establishes an appropriations authority payment of up to $1 billion out of the consolidated revenue fund by the Minister of Finance to provinces and territories in support of Canada's COVID immunization plan. Payments are to be allocated to provinces and territories on a per capita basis and can be used for a variety of vaccine-related costs.

The payment will be made in 2021-22. The statutory payment authority will ensure that funding is available to support provinces and territories in this last step to vaccinate Canadians.

I'll pause there.

1:15 p.m.

Liberal

The Chair Liberal Wayne Easter

Who has questions on this round? We'll start with Mr. Falk, and then Mr. Fast.

1:15 p.m.

Conservative

Ted Falk Conservative Provencher, MB

Thanks, Mr. Chair.

Again, it's a similar question. Can we get finance officials to provide this committee with a list of all the project funding from the last 14 months related to COVID that has been forwarded to the provinces—the amount of money that's spent and the amount of money that the provinces have not spent for designated program funding?

Can we ask them to do that? That's not a political question. It's just to provide us with information.

1:15 p.m.

Director General, Social Policy Division, Federal-Provincial Relations and Policy Branch, Department of Finance

Omar Rajabali

I can answer questions only on section 198. I can't actually provide a commitment on the part of other areas. I'd be happy to answer questions on section 198.

1:15 p.m.

Liberal

The Chair Liberal Wayne Easter

I think on that one, Ted, it may be a question that we want to ask either the minister or others. It is certainly a legitimate question: Where has the money been spent?

These officials are here on certain sections on the BIA and wouldn't have the ability to respond fully to that, but I think that's a question we need to raise.

We have Mr. Fast, followed by Ms. Dzerowicz and then Ms. Jansen.

1:15 p.m.

Conservative

Ed Fast Conservative Abbotsford, BC

Mr. Chair, I would be glad to have you raise that issue in question period with your Prime Minister.

I have a question related to Ms. Jansen's and Mr. Falk's. There's a total of $1 billion being spent here to assist in ramping up immunizations across Canada, but this $1 billion is not part of the Canada health transfer. Is that correct?

1:15 p.m.

Director General, Social Policy Division, Federal-Provincial Relations and Policy Branch, Department of Finance

Omar Rajabali

That's correct.

1:15 p.m.

Conservative

Ed Fast Conservative Abbotsford, BC

All right. The provinces, then, don't have the same opportunity to complain that they shouldn't be instructed on how to spend this, because it's not part of the health transfer and it's not part of the social transfer. This is a separate transfer from the federal government, and one would expect that there would be significant accountability for how this money is spent, and reporting back to Parliament on how $1 billion of taxpayers' money is being spent across the country.

Would you agree with me?

1:15 p.m.

Director General, Social Policy Division, Federal-Provincial Relations and Policy Branch, Department of Finance

Omar Rajabali

I can't comment on what my personal opinion is, but what I can say, with respect to the specific appropriation authority, is that there is the expectation to report to the citizens. However, there is no reporting back to the Government of Canada.

1:15 p.m.

Conservative

Ed Fast Conservative Abbotsford, BC

Why is that? Is that something the government deliberately did, or did provinces request that there not be a reporting requirement?

1:15 p.m.

Director General, Social Policy Division, Federal-Provincial Relations and Policy Branch, Department of Finance

Omar Rajabali

This is the government's decision. I can't say why it took that specific decision.

1:15 p.m.

Conservative

Ed Fast Conservative Abbotsford, BC

This was not driven by the civil servants, then. This was a decision taken by the government itself. Is that correct?