Fisheries Committee on May 2nd, 2013

[Jody Thomas]

Okay. The changes that the coast guard has made as a result of the deficit reduction action plan, the cuts we're making, have been effectively conducted this year. We did close the Kitsilano coast guard station, but we have opened the inshore rescue boat, as committed to. The hovercraft out of Sea Island has responded effectively to search and rescue in the Vancouver area.

We're now embarking on and are a third of the way through a major consolidation of our marine communications and traffic services centres. That is a significant portion of the savings that we are making, but we are investing a lot of money in order to do it. We will see savings down the road as we consolidate the centres. We are very pleased with the progress that has been made so far.

The first consolidated centre, the one that consolidates Inuvik into Iqaluit, will be operating this summer. All the testing and the user acceptance testing on the new equipment and new systems that are being put in place worked extremely effectively. We're very pleased with the progress that is being made, and we're convinced that mariners will be receiving a better level of service, because of the redundancies that are being built in and the way we are changing their duties to automate much of what they've had to do manually over the years.

We have also, in the course of this year, gone from five regions to three regions. We're having a major restructuring of coast guard administration, essentially, and management. In our headquarters, we have totally restructured our approach to management and have reduced by about 30%.

In our regional service delivery, we have reduced from five administrative areas to three. Not affecting the front-line services but taking out a layer of management I think allowed us in fact to operate more effectively to ensure consistency across the country, with the notion of one coast guard rather than five regional coast guards, which the OAG has previously criticized us for.

[John Weston, Conservative, West Vancouver—Sunshine Coast—Sea to Sky Country, BC]

Can I ask the same question about the fisheries protection area, and perhaps ask for some specific on-the-ground examples of how these cost savings have been achieved so that the average British Columbian Canadian, who may not be as familiar as you are with the whole administration, can understand it in really graphic terms?

[David Balfour]

With respect to the fish protection program, we are in a state of transition with the new fish protection provisions in the Fisheries Act. We are moving our organization to effectively deliver on the new approaches that are laid out in the act. In the past, many of the activities carried out by staff in the department involved reviewing projects that did not require departmental authorization, because they didn't involve a significant adverse impact on the production of fish habitat or fish. We have reoriented our program so that we are focusing our efforts where they make a difference on critical issues that would have an impact on commercial, recreational, and aboriginal fisheries.

We have consolidated our delivery points for the program from I think approximately 63 to now 16 locations. Staff in those new locations will be focusing on higher risks, taking kind of a risk-based approach, and on priorities in terms of where we think we can make a difference in protecting fisheries and fish habitat.

[John Weston, Conservative, West Vancouver—Sunshine Coast—Sea to Sky Country, BC]

Do you want to comment at all on how an individual is likely to be more effective than in the past, perhaps with reference to the things said in response to Mr. Woodworth's questions, or on anything else?

[David Balfour]

As we move into the future, we will continue to rely more and more on partnerships with provinces, municipalities, industry, and other organizations that can do screenings of projects so that we won't have to be directly engaged in doing the work, and thereby resulting in savings for us.

[John Weston, Conservative, West Vancouver—Sunshine Coast—Sea to Sky Country, BC]

This is on the enforcement side?

[David Balfour]

This is on the fish protection side, in terms of the review of projects. On the enforcement side, the new act has provisions that will make enforcement more effective. Under the previous act, if there was an infraction where an authorization had been issued and it had not been followed through by a project proponent, the department still had to be able to demonstrate and prove that there was an adverse impact on fish or fish habitat. With the new act, we will be able to take an enforcement action even on the basis that there is non-compliance with the condition itself. We also have a significant increase in penalties, which will I think incent compliance and make our operations more efficient.

I think, all in, we believe we will be able to elicit a higher compliance with the requirements of the act without having to use enforcement.

[The Chair, Conservative, Rodney Weston]

Thank you very much, Mr. Weston. You used up all your time.

Mr. MacAulay.

[Lawrence MacAulay, Liberal, Cardigan, PE]

Thank you very much, Mr. Chair.

Welcome, witnesses.

Mr. Balfour, I don't want to have you repeat, but regarding the “tradeable shares and quotas”, I would like you to inform the committee as to what types of discussions have taken place in the department in this area. Was there any discussion with different groups or processing companies or this type of thing?

Looking at the Atlantic region and the lobster fishery, was there any discussion whatsoever in the department concerning...? I'm certainly not against rationalization, and I have certainly supported some buy-back programs over the years. There are a number of ways to reach an end, and I'm concerned that there could be an awful lot fewer fishermen if that were the case. I'll just leave it to you to explain to the committee.

[David Balfour]

Okay.

If I understood the question—

[Lawrence MacAulay, Liberal, Cardigan, PE]

I would just like to know, sir, if there's been any discussion in the department with any corporations, fish processors, or things along this line, concerning the Atlantic lobster fishery.

[David Balfour]

I think the short answer to that is no. But I would say that the department is open to discussing with the commercial fishing industry proposals that would come from them about moves to individual quotas or tradeable quotas, or anything of that sort that would assist the industry in securing their own prosperity and improving on their economic results.

I think what's laid out in the report is an expression of our willingness to work with industry, where they see that this is in their best interest to adjust the structure of the way the fisheries are managed in order to improve on their economic results.

[Lawrence MacAulay, Liberal, Cardigan, PE]

Thank you very much, Mr. Balfour.

You did mention boat quotas, which again is a great concern. I think it came primarily from a government minister. Was there much discussion on that issue with the department or within the department on boat quotas for lobster fishermen?

[David Balfour]

Again, I would just say that we will be responding to requests from the industry to move in different directions. We haven't had those types of discussions. I do know that if, let's say, a lobster harvester in a particular LFA came to us and asked us to consider measures to improve their economic performance, we would be prepared to sit down and discuss it with them.

[Lawrence MacAulay, Liberal, Cardigan, PE]

Well, I appreciate the answer very much, as long as it comes from the lobster fishermen.

Also, on page 12, DFO is challenged, engaged, motivated, and equipped for change, and it will impact the ability of DFO to advance its agenda. Could you explain how the staff has been affected with over 400 job losses that will come into effect in a couple of years' time?

[David Balfour]

I don't see a reference, just looking at it quickly, to a figure of 400 on that page.

Did you want to speak to that one, Roch?

[Roch Huppé]

As I mentioned in my presentation, we have identified some key risks that we need to deal with. Obviously, we're in an environment where we are reducing, generating more efficiencies. As I said earlier, our business is basically delivered through our people and our assets, so we have to make sure we have the right mitigation and management strategies to deal with the workforce we have.

I think it's safe to say that since the decisions of budget 2011 and 2012, we've been very diligent in how we go about ensuring that the reduction of the workforce happens, ensuring that we have the processes in place to retain as many people as possible, and to affect as little as possible the people we have. We're trying to replace people. We're trying to ensure that people who retire are the first ones who are being tagged. I think we've been very diligent.

We've also been very diligent in ensuring that we have the right strategies to address anything that came out of the public service survey, ensuring that our people stay motivated. We've communicated with our people on many occasions. I think one of the secrets is to ensure that they have the information. That's always very helpful.

[Lawrence MacAulay, Liberal, Cardigan, PE]

Thank you very much, but basically, whether it's not replacing or people are sent home, there are 400 people who are not going to be there after 2015-16. How do you expect to operate? Were these people basically not needed, or is it through all this new technology that we don't need the people?

Again, sir, all you're doing is implementing—I'm well aware.

[Roch Huppé]

In a lot of the measures that we have put forward, we've talked about consolidation. We've talked about generating efficiency. I'll give one example that's directly in my area. We've consolidated the provision of financial services and contracting services. I'm going to be delivering everything that's transactional in nature—so account verification—from one service hub, instead of doing it from seven different locations across Canada. The same job gets done, but because I'm centralizing the function I can do it in a leaner fashion today.

I'm also introducing new technology, what we call an imaging system, where the documents will be imaged over to that new hub at which the account verification will take effect.

This is an example of where the reduction of FTEs...and as I said, we're trying to limit the actual number of people. We're talking about FTEs being reduced. We're trying to replace our folks, so yes, there will be fewer FTE positions, but in my case and in the example I just gave, the same type of job will get done. It doesn't affect the level of work. It's only a different way of doing it.

[The Chair, Conservative, Rodney Weston]

Thank you very much, Mr. Huppé.

Mr. Toone.

[Philip Toone, NDP, Gaspésie—Îles-de-la-Madeleine, QC]

Thank you, Mr. Chair.

I would like to discuss marine protected areas. Last fall, the Commissioner of the Environment and Sustainable Development did not go as far as to say that we were dragging our feet, but he did say that we had not achieved our objectives.

Where do things stand with regard to marine protected areas? What awareness-raising projects have you set up? What projects are planned over the coming years? Will any other marine areas be proposed over the next few years? Eight official marine areas are currently being established. What is being done to move things forward?

[David Balfour]

The department remains committed to advancing forward our plans on the establishment and operation of marine protected areas. We have currently eight marine protected areas in place now, which represents, I believe, protecting in the order of 1% of Canada's marine spaces. We have plans to establish another seven MPAs, and that would likely bring our number up to about 3% of ocean spaces being protected.

The objectives cited by the Commissioner of the Environment internationally at 10% are a target, not a commitment. It's a goal we're seeking to advance toward.

We are also working with other federal partners around establishing an overall framework of marine protected areas that would involve Parks Canada, Environment Canada, and others, in taking a look at how that would come together in meeting those kinds of goals, along with areas that we close for fisheries purposes. We have a collaboration in place with the provinces about how, within this network, we would also take into account areas that are protected under provincial legislation and so on.

I should mention that in budget 2013 there was a provision of a renewal of the health of the oceans initiative at $4 million annually for one year, of which I believe about $2.97 million will be invested in the department's programs. The balance will go to Environment Canada for related initiatives they're undertaking.

I think it's fair to say that we are on a track in advancing forward our programs—

[The Chair, Conservative, Rodney Weston]

Thank you.

I'll have to pass to Mr. Tremblay. We're a bit short of time.

[Jonathan Tremblay, NDP, Montmorency—Charlevoix—Haute-Côte-Nord, QC]

Thank you.

On April 22 of this year, in a Radio-Canada report, the former coordinator of the Centre de sauvetage maritime de Québec—Quebec City's marine rescue centre—Hubert Desgagné said that there was a risk of confusion associated with delays. According to him, people had often been rescued in last minute situations, so any delays would result in deaths.

Mr. Desgagné spent over 30 years at the Quebec City centre.

A rescue simulation was also carried out on February 27 and 28. The goal was to determine whether the staff was ready to take over for the Quebec City centre. However, the exercise was a failure, even though the staff was larger than that used during regular shifts. The language barrier was to blame. Some people had insufficient languages skills, and those with sufficient skills were overworked. So they were ineffective.

How will you ensure the safety of francophones when the current strategy calls for just one bilingual employee at the Halifax and Trenton centres?

[Jody Thomas]

As announced by the Commissioner of the Canadian Coast Guard, they are waiting for the Commissioner of Official Languages' report before they close the Centre de sauvetage maritime de Québec.

The discussion in the media about the exercise that occurred in Halifax is not quite accurate. It was an exercise designed to test the limits of the system. It wasn't a pass/fail situation. We saw where we had things we needed to work on, elements of the process. It took live examples of events and compressed them, both in time and severity, just to test the limits of the system. Now we know where we have work to do.

We will not close the centre until we're confident that lives will not be at risk, and we're waiting for the Commissioner of Official Languages. We're very confident with the plans we have made.