Evidence of meeting #158 for Government Operations and Estimates in the 42nd Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was system.

A video is available from Parliament.

On the agenda

MPs speaking

Also speaking

Carla Qualtrough  Minister of Public Services and Procurement and Accessibility
Les Linklater  Associate Deputy Minister, Human Resources-to-Pay Stabilization, Department of Public Works and Government Services
Michael Vandergrift  Associate Deputy Minister, Department of Public Works and Government Services
André Fillion  Assistant Deputy Minister, Defence and Marine Procurement, Acquisitions Program, Department of Public Works and Government Services
Ron Parker  President, Shared Services Canada
Denis Bombardier  Chief Financial Officer, Shared Services Canada
Gérard Deltell  Louis-Saint-Laurent, CPC
Jean Yip  Scarborough—Agincourt, Lib.
Marty Muldoon  Chief Financial Officer, Finance and Administration Branch, Department of Public Works and Government Services

4:05 p.m.

Minister of Public Services and Procurement and Accessibility

Carla Qualtrough

I apologize; I can't explain that—

4:05 p.m.

Conservative

Kelly McCauley Conservative Edmonton West, AB

Not at this time, because I have other questions.... Maybe you can get back to us in the second round.

Minister, Matthew Matchett, who was alleged to be behind the supply ship leak, was hired after the alleged leak to work for PSPC. Can you speak to any details that you have on his departmental transfer to PSPC, and whether he is still working there, because he seems to be disappearing from GEDS?

You can answer just briefly.

4:10 p.m.

Minister of Public Services and Procurement and Accessibility

4:10 p.m.

Associate Deputy Minister, Human Resources-to-Pay Stabilization, Department of Public Works and Government Services

Les Linklater

I can speak to the issue. Mr. Matchett is in fact an employee of PSPC, and he has been suspended.

4:10 p.m.

Conservative

Kelly McCauley Conservative Edmonton West, AB

Okay. Was he removed from GEDS on purpose, then, for that reason?

4:10 p.m.

Associate Deputy Minister, Human Resources-to-Pay Stabilization, Department of Public Works and Government Services

Les Linklater

I would have to get back to you with more detail on that, but he has been suspended.

4:10 p.m.

Conservative

Kelly McCauley Conservative Edmonton West, AB

When was he suspended?

4:10 p.m.

Associate Deputy Minister, Human Resources-to-Pay Stabilization, Department of Public Works and Government Services

Les Linklater

Why was he suspended? I'm not at liberty to get into personnel management issues.

4:10 p.m.

Conservative

Kelly McCauley Conservative Edmonton West, AB

I asked when.

4:10 p.m.

Associate Deputy Minister, Human Resources-to-Pay Stabilization, Department of Public Works and Government Services

Les Linklater

I don't have the exact date, but we can provide that to the clerk.

4:10 p.m.

Conservative

Kelly McCauley Conservative Edmonton West, AB

Yes, if you don't mind....

Dave Perry, vice-president of the Canadian Global Affairs Institute, said in a 2018 report, “If Prime Minister Trudeau wants to see his defence policy implemented as outlined, he needs to change Canada's defence procurement system to enable it to spend procurement money at the rate projected in SSE.” At that time, he also provided in his report very clear information that there's no possible way to actually achieve SSE with the current spending.

Do you agree with Mr. Perry's statement that we need to change our defence procurement system?

4:10 p.m.

Minister of Public Services and Procurement and Accessibility

Carla Qualtrough

I agree that we need to make our entire procurement system more efficient and less clunky, for sure. I think we've taken some really important steps towards that.

I'm going to ask André to explain the risk-based authorities. It's a very important distinction. I think you'll be pleased with it.

4:10 p.m.

Conservative

Kelly McCauley Conservative Edmonton West, AB

You have 30 seconds at the most, please.

December 6th, 2018 / 4:10 p.m.

Assistant Deputy Minister, Defence and Marine Procurement, Acquisitions Program, Department of Public Works and Government Services

André Fillion

Yes, SSE, “Strong, Secure, Engaged”, is a challenge for all departments involved. We are working on some improvements to streamline defence procurement. One of the significant initiatives we have undertaken is to move, for example, authorities for ministers and departments to award certain contracts—

4:10 p.m.

Conservative

Kelly McCauley Conservative Edmonton West, AB

Have you seen Mr. Perry's report showing the massive gap between “Strong, Secure, Engaged” and what the estimates and the budget are showing, that the two of them don't align? Do you agree with that?

4:10 p.m.

Assistant Deputy Minister, Defence and Marine Procurement, Acquisitions Program, Department of Public Works and Government Services

André Fillion

We're aware of that, and—

4:10 p.m.

Conservative

Kelly McCauley Conservative Edmonton West, AB

What's your feeling? Are you saying Mr. Perry is incorrect, or is he correct?

4:10 p.m.

Assistant Deputy Minister, Defence and Marine Procurement, Acquisitions Program, Department of Public Works and Government Services

André Fillion

No, he is presenting facts as they are, and—

4:10 p.m.

Conservative

Kelly McCauley Conservative Edmonton West, AB

Thanks. That's just what I wanted to know. With SSE, we are challenged with this low procurement, and it does not reflect the reality of our ability to purchase items. That's what I wanted to get at.

Do you believe that we need an overhaul of our procurement system, Minister?

4:10 p.m.

Minister of Public Services and Procurement and Accessibility

Carla Qualtrough

As I said, part of my mandate letter is in fact to modernize our procurement, and that would, in large part, include defence procurement, because it is absolutely clunky and at times prohibits getting the equipment we need quickly.

4:10 p.m.

Conservative

Kelly McCauley Conservative Edmonton West, AB

I think we all agree.

Now, Minister, do you support this committee in undertaking a comprehensive study on the state of the more critical aspects of the federal defence procurement process—not specific projects as such, but the process—to review the problems facing industry and government, and how we can resolve them?

4:10 p.m.

Minister of Public Services and Procurement and Accessibility

Carla Qualtrough

I would definitely encourage your committee to prioritize your business as you see fit, and if that is what you deem to be a priority, I would support it.

4:10 p.m.

Conservative

Kelly McCauley Conservative Edmonton West, AB

Okay.

PSPC has.... You've commented that there is funding in the estimates to develop simpler and better procurement. There are funds for allocations in the Treasury Board central votes, in the supplementary estimates (A) under this. It's been almost four years since this government has taken over, and it's clear that the issues of our defence procurement system are deeply embedded and will not be fixed with band-aid solutions or simple adjustments.

As such, given the matter at hand, and given that I don't want to take up too much of the committee's time, I'm going to move a motion, please:

That, pursuant to Standing Order 108(2), the Committee conduct a full-scale study on the state of the more critical aspects of federal defence procurement to review the problems facing our procurement process and how to resolve them, as well as study options to streamline our processes for industry and the public service, that the Committee hold no fewer than ten meetings, that the study begin no later than Monday, February 4, 2019, and that the Committee report its findings to the House.

Now, I will state for the record that I'd like to go immediately to a vote. If the government decides to adjourn on this motion, then we will believe it's a simple refusal of the government to accept the study and to move forward on this issue.

4:10 p.m.

Conservative

The Chair Conservative Tom Lukiwski

We're open for debate. Now I'm looking for speakers on the speakers list.

Mr. McCauley, you have the floor.

4:10 p.m.

Conservative

Kelly McCauley Conservative Edmonton West, AB

I'm fine.