Evidence of meeting #38 for Government Operations and Estimates in the 39th Parliament, 1st session. (The original version is on Parliament’s site, as are the minutes.) The winning word was passport.
A recording is available from Parliament.
Liberal
The Chair Liberal Diane Marleau
I'll call the meeting to order, and I will welcome people from the passport office.
Monsieur Cossette, perhaps you could introduce the people who are with you. You know the general way things go. We give you a few minutes to make a statement, and then we ask questions and go from there.
Monsieur Cossette.
Gérald Cossette Chief Executive Officer, Passport Office, Department of Foreign Affairs
Thank you. Bonjour.
Good afternoon everybody.
Madam Chair, vice-chairs and committee members, I would like to thank you for the opportunity to appear before the committee to answer your questions about passport services.
Ms. Jody Thomas, Passport Canada's Chief Operating Officer, and Mr. Gary McDonald, Director General for Policy and Planning, are accompanying me today. They will also be able to answer your questions.
I will limit my opening remarks to three elements.
First, I will briefly explain the new security environment in which Passport Canada and passport agencies worldwide operate.
Second, I will review the current challenges we face regarding the provision of passport services to Canadians in light of the newer requirements imposed by the United States' Western Hemisphere Travel Initiative (WHTI).
Third, I will conclude with a very brief outline of our plan of action to improve services to Canadians while strengthening the integrity and the security of Canada's travel documents.
Following the tragic events of September 11, 2001, there has been a significant increase in the threat posed by terrorist groups, against which Canada is not immune. Last September, enforcement agencies prevented a homegrown organization from causing mayhem in Toronto; and only a few days ago, media referred to the threats made by al-Qaeda against Canada's oil and gas facilities.
Criminal organizations involved in activities such as human trafficking, child pornography, and identity theft have long expanded beyond their national boundaries.
Passports, as a tool of the trade for terrorists and criminals alike, have become a hot commodity, each worth thousands of dollars on the international market.
In such an environment, the national passport is no longer an annex to your plane ticket. It has become the international document of choice to confirm the identity of individuals.
However, prior to 9/11, the role of a passport in terrorist activities was not well understood, and therefore Passport Canada was not a government priority. Since 2001, Passport Canada has been working to transform itself from a service-based organization issuing travel documents to an increasingly security-driven organization involved in identity authentication and domestic and international security measures.
In this context, and long before the Auditor General's report of 2005, Passport Canada had already contributed to a series of domestic and international initiatives designed to reinforce the integrity of the passport issuing process and of the document itself. These initiatives continue in conjunction with the implementation of an action plan that will address the concerns raised by the Auditor General in her recent follow-up report.
Canadians are travelling more and more, and are increasingly required to present official travel documents to cross international borders. Since 2001, the number of passports issued has increased from 2 million annually to a record high of 3.1 million in 2005.
Over the same period, while the cost of providing secure, world-class documents has risen, the fees charged to Canadians for passport services have remained relatively unchanged. As a Special Operating Agency that finances itself, Passport Canada does not receive funding from the budget through annual appropriations. In order to remain within the parameters provided by the current service fees, we must try for the right balance among the costs related to security, service and the other functions of the organization.
It was only on November 23, 2006 that the United Stated settled on the date of January 23, 2007, to implement the air travel requirement under the Western Hemisphere Travel Initiative. This prompted many Canadians to apply for a passport, just as our regular peak season for passport demand was starting, even though the land and sea implementation phase of WHTI is at least a year away.
The arrival of WHTI coincides with several factors that make the current situation very challenging for Passport Canada: a return of the cohort of Canadians who applied for a passport in the aftermath of 911, an ongoing increase in international trade, demographic changes, and our economic success, even more prevalent in western Canada.
Demand has been much higher than expected. Nationally, based on a model developed by the Conference Board of Canada, we anticipated a 6.6% increase over last year's record, and we planned to deal with the potential increase of 8%. In reality, the rate of increase nationwide currently exceeds 16% on an annual basis.
However, month over month the increase is even more dramatic. We recorded a 33% increase in November 2006 over 2005, 31% in December, and 30% in January. I'm talking about the rate of passport issuance. And if you look at demand for those three months, we're talking about a 50% increase month over month compared to last year. This is a key fact about passport services: demand is not constant throughout the year. Canadians apply during a peak season that extends from January to March. This year the season started in full force in early November.
Passport Canada has hired and trained a significant number of new employees, asked all available employees to work overtime, improved access by expanding its network of receiving agents, and streamlined its operations. These measures and others have resulted in an approximate 25% increase in its daily processing capacity. But the fact remains that Passport Canada, both the employees and the infrastructure, is overloaded with demand. Despite all measures taken, there is a backlog, and it continues to grow.
Our immediate objective is to stem the backlog, reduce service delays, and return to our service standards as quickly as possible. We think this can be achieved thanks to the dedication and hard work of Passport Canada employees, the integration of new staff, and further optimization of our processing methods.
We are also preparing to deal with the next surge in passport demand, which is expected to occur when the second phase of the western hemisphere travel initiative is implemented at the land and sea ports of entry, sometime between January 2008 and June 2009. In all these preparations, we will not jeopardize the integrity and security of the Canadian passport in the name of expediency.
Canadians are expecting their government to deliver quality services at a reasonable price. To meet these expectations, we are working on a four-pronged approach that should position Passport Canada next to the best service agencies in the world.
First, we need to simplify our policies and procedures pertaining to passport renewal. Most Canadians should be in a position to renew their passport without having to appear in person or mail their proof of citizenship and identity to Passport Canada. Such an improvement would lead to a significant reduction in line-ups at Passport Canada counters.
Second, we need to expand our reach closer to our clients through partnerships. This expansion would be done through partnerships with other agencies such as Service Canada, CRA or Canada Post.
Third, we need to automate most of our clerical functions and transfer those resources toward our core mandate that is the authentication of identity, and the protection of the passport and the integrity of the issuance process.
Finally, as we accrue savings through the first three components of the strategy, we need to invest significantly in new electronic systems and security features that would reinforce the quality of the passport.
Thank you, Madam Chair.
I welcome questions from the members.
Liberal
The Chair Liberal Diane Marleau
Thank you for coming. Mr. Bonin wanted you to come. Others will put his questions for him.
You know that I am very aware of the challenges. I wonder how you are going to proceed, because you spoke of using Service Canada, and we understand that. I have been told that Service Canada needs to hire many people to do the work that we are doing. Their results will not be any better than ours.
The first question I want to put to you, because I am worried, has to do with emergency services. There are no emergency services anywhere to the north of Toronto or Ottawa, except in Thunder Bay, which is 16 hours from Sudbury by road or 10 hours from Sault Ste. Marie. There are four offices in Toronto. There are two offices here.
Do you not think that it could be important, on certain occasions, to have emergency services available? Due to human nature, urgent situations come up, and they can come up often. A mining town like ours has many business transactions with foreign countries. Many of us have to go all the way to Toronto to get a passport. It is really unfair to compel them to do this when they need a passport in a hurry. We no longer have an emergency service.
My office has been working with the community for years. I understand, and let me reassure you that you did an extraordinary job in facing those challenges, and I thank you for it. However, the only big problem is with emergency passports. Service Canada will not be able to handle them either.
Chief Executive Officer, Passport Office, Department of Foreign Affairs
As you know, Madam Chair, our problem with the issuance of emergency passport has to do with infrastructure.
The only Passport Canada offices that can issue emergency passports are ones that have printing installations. Consequently, the only way to deliver emergency services in the same way that they are delivered in large urban centres, would be by opening offices with full installations in new locations.
We are very aware of the fact that these services are not available to the north of a certain line. As we are considering the extension or widening of services in the regions, we will have to take a close look at the geographic locations that could afford proper service to the northern territories as a whole.
Liberal
The Chair Liberal Diane Marleau
My problem is there are four processing stations in Toronto and two in Ottawa here, and absolutely nothing for thousands of miles. Maybe we could have one somewhere within a five-hour radius. I'm not just talking about Sudbury here. I'm talking about Timmins, which is three and a half hours north of Sudbury. I'm talking about Kirkland Lake, which is five hours--and so on, all of those. There are no emergency places for them to go except to Toronto or Ottawa. That's an extremely difficult thing. I asked the question because that, to me, is the big challenge.
You've made lots of promises, and things change all the time. I think you also have to think of service. Anyway, I will go to the list. I've reserved my role as chair of the committee, but this is a subject that's near and dear to my heart. I have two people in my office who work on this almost full-time and who certainly have been doing so for the last few months.
Monsieur Simard, go ahead, please.
Liberal
Raymond Simard Liberal Saint Boniface, MB
Thank you very much, Madame Chair.
Thank you very much to our guests today.
I guess the chair was indicating what I want to talk about. I just want to start with a very positive note. Saint Boniface is in downtown Winnipeg, and when I speak to my staff on this, they are actually enamoured with the service they're getting out there. It is very efficient. As a matter of fact, last week there was a lady in the United States who had a heart attack. Her son didn't have a passport, and they got it for him the same day. So we are very impressed.
I guess the next question is why we don't have more of these offices, if it works well in Winnipeg, if it works well where they exist. We hear very positive things about the existing facilities. So is the option again to install these things where you have Service Canada? We also have one-stop shops that Service Canada started to establish in Manitoba, for instance.
It is a bilingual service centre.
Are you going to be able to provide those services coming out of these facilities in the near future?
Chief Executive Officer, Passport Office, Department of Foreign Affairs
That's what we're looking at in terms of potential options for the future.
The issue with regard to opening new offices is both complex and simple. The simple side is that we are living within a specific financial envelope, which is provided through the fees--we call them--for passports, so any expansion has to be financed from within or it would lead to an increase for passports or to a need for an annual appropriation.
Liberal
Raymond Simard Liberal Saint Boniface, MB
It would seem logical that if we're setting up Service Canada centres all over the country to provide certain services, you would just add that service to it. In terms of additional cost, it would be quite reasonable.
Chief Executive Officer, Passport Office, Department of Foreign Affairs
That's why we're talking about expanding the service through partnerships. It would be difficult to explain how we would basically increase the infrastructure when, as you said, there are already federal facilities in some locations.
Chief Executive Officer, Passport Office, Department of Foreign Affairs
Either we co-locate with Service Canada, or we give them the mandate and the tools to do the job. Right now they don't have the tools to do the job--
Liberal
Chief Executive Officer, Passport Office, Department of Foreign Affairs
Yes.
The other thing we're looking at is modernizing our technology. Right now we do lots of things by hand, manually, so the transfer of information is not as easy as it should be. If we could transfer everything electronically, it wouldn't make much of a difference when the passport is printed, because 24-hour courier service could do the job. But right now, because we have to transfer the information manually, which means the documents themselves and everything, it takes much longer than people are willing to wait or are capable of waiting when it comes to express or urgent service.
Liberal
Raymond Simard Liberal Saint Boniface, MB
If I can go to something a little bit less positive, I just want to identify three or four things that have been happening lately. Maybe you can tell me how you've been addressing these.
I called my office again today, and they were talking about the 1-800 number. People can't get through. It's been very frustrating. And I can understand the number of calls they're getting. People are filling out online applications and they're being kicked out when they send, which is very frustrating. Lineups outside our Winnipeg office have been between four and six hours. It was minus 37 degrees in Winnipeg last week, and people were lined up outside, if you can believe that.
I know there's a place the MPs can call. Sometimes you won't get your call back within 24 hours. I think you're obligated to call back within 24 hours. Well, in certain emergency cases, that's too late.
I wonder if you can explain how you're trying to resolve these four issues.
Chief Executive Officer, Passport Office, Department of Foreign Affairs
I will ask Ms. Thomas, the chief operating officer, but I just want to give you, just in a second, a bit of context surrounding these issues.
On the 1-800 number, in November alone there were 17,000 calls. Passports online went from 1,000 applications a week to 15,000 applications a week. Hits on the website are at 31 million hits a month right now. We're the sixth most popular site in Canada when it comes to the Internet. It does not, obviously, solve the problem of access, but the infrastructure, as much as the people, is basically working to the maximum.
In terms of where we are going from here, do you want to expand on this?
Jody Thomas Chief Operating Officer, Passport Office, Department of Foreign Affairs
For the 1-800 line, we've realized for a while that the capacity isn't what it should be. Movement of facilities within government and getting expanded facilities is not quick, but in five weeks our call centre in Montreal, which is our national call centre, is moving to a larger facility and we'll double capacity. We have people working two shifts every day to respond to calls, and we're working weekends. We are logging the calls as much as we can. We know that people are getting through at a rate of 22%. We know that's not good enough.
The capacity is what the capacity is. It's not a lack of people answering the phones; it's just not enough lines. That's being rapidly expanded.
Chief Operating Officer, Passport Office, Department of Foreign Affairs
This is temporary, yes. We will move to a new space in five weeks. We'll double capacity at that point. We're also looking at expanding our call centre here. Our service standard is that we respond to 90% of the calls, and we want to return to that.
Liberal
Chief Operating Officer, Passport Office, Department of Foreign Affairs
Caught up on calls?
Liberal
Raymond Simard Liberal Saint Boniface, MB
I mean caught up in terms of getting back to normal, if you will. These are not normal times, I would imagine.
Chief Operating Officer, Passport Office, Department of Foreign Affairs
No, they're not. Our demand right now for mail-in services is outstripping our capacity by four to one. And mail-in services are different from walk-in services because you can't shut the door; the mail keeps arriving. So if we have the capacity to issue 2,000 passports a day, working overtime, working our people as hard as we can, and respecting the laws that exist for things like overtime, we are hoping to get back to normal service more or less by March 31-mid-April. That's not for all lines of service, but for the majority.
We are taking a very tactical approach. We realize we have a service issue in the north. We are opening up Service Canada outlets as we speak. We hope to have 57 online before March 31. While it won't resolve the printing issue, it will resolve the access issue. So that those people can have a reasonable presumption that they will be served in our normal service standard, we are shifting our focus to what exists in the receiving agent program right now. As those receiving agents unfold for people in remote areas, they'll be able to get service within 20 days.
The lineups are very long at our walk-in offices. There's no doubt that people are getting passports within 10 to 12 days in our walk-in offices, and urgent service is always available. Our goal is to have the majority of it back online more or less by March 31. Twenty days is our service standard for mail-in. If we get down to 22 or 23 by then, that will have been a major achievement.
In terms of passports online, our problem is bandwidth. With regard to Public Works and Government Services' ability to help us to respond, they didn't budget for it, and neither did we. Nobody forecasted demand like that. So that's being worked on as we speak. I don't have a finite answer on when it will be complete.
Liberal
Raymond Simard Liberal Saint Boniface, MB
That's intriguing. I would have thought you would have been set up properly for that. The expectations weren't there that you would be hit this hard?