Government Operations Committee on Oct. 4th, 2016

[Tom Kmiec, Conservative, Calgary Shepard, AB]

That was back when I was 16 years old.

[Jonethan Brigley]

About 20 or 30 years ago, you could do some basic forms of banking already at the post office. Some people had that knowledge of doing basic chequing, or doing stamps, or even sending money overseas—

[Tom Kmiec, Conservative, Calgary Shepard, AB]

I'm sorry to interrupt you, but I want to ask Mr. Kozloski a question.

Direct mail business is really tough to do. I used to sit on the board of the Kidney Foundation of Canada, southern Alberta chapter, so I get your business line, It's really hard to be in there. Obviously you're very price conscious, price sensitive, to any changes to stamp costs, and we're hearing from seniors' organizations that they want door-to-door delivery as well, so where can we find savings?

One thing I'm looking at here from previous transcripts is the potential for amending the moratorium. Right now there's a 20-year-old moratorium on the closure of franchising rural post offices. What used to be “rural”now includes places like Brampton, Saskatoon, and Halifax. Would that be a place, in keeping these corporate offices, to potentially franchise them? They would move to a Shoppers Drug Mart or a Sobeys. There would be some cost savings that could be achieved.

Would that be an acceptable solution? The service you receive is pretty much the same, but how Canada Post delivers it to you, to business, would be a little bit different. Would that be acceptable?

[Dr. Thomas Kozloski]

I'm not sure I completely understand. It's moving post offices to where?

[Tom Kmiec, Conservative, Calgary Shepard, AB]

A corporate office, the building and everything in it, is owned by Canada Post. They would just move it into a little kiosk with staff at the back.

[Dr. Thomas Kozloski]

I've lived in Canada for 13 years. That's the model I am most familiar with. I go to Shoppers for my postal delivery, to pick up packages and things like that. I think that's a very acceptable way to deliver postal services.

[Anne Corbin]

Can I respond to that from the point of view of rural communities? And I mean real rural communities, villages, that have lost their schools, have lost their gas stations.

Some of them do have franchises. I have a home in Port Medway, Nova Scotia. We have a wonderful store where our mail is delivered. However, when those rural stores fail because of the big-box move and everyone drives to the city to get their groceries, then we'd be going to a community box. I think that's a very precarious solution.

I would support the very rural areas keeping their post offices, because when you go to a retail outlet, that retail outlet is not secure.

[The Chair, Conservative, Tom Lukiwski]

Thank you very much.

Our final intervention comes from Madame Ratansi. You have five minutes, please.

[Yasmin Ratansi, Liberal, Don Valley East, ON]

Thank you very much. I have a couple of questions, and I will go fast.

In terms of ACORN, what are the banking needs of your community?

[Jonethan Brigley]

To my knowledge, I know that for ACORN itself, it's main banking. It mostly does a lot of banking through donations that we put into banks, and—

[Yasmin Ratansi, Liberal, Don Valley East, ON]

No, what is your community? You deal with low-end—

[Jonethan Brigley]

Yes. We deal with low- to moderate-income families—

[Yasmin Ratansi, Liberal, Don Valley East, ON]

What are their needs? Do they go out looking for mortgages? Do they go out needing retail banking as such?

[Jonethan Brigley]

A lot mostly just need basic banking that's affordable and cheaper than what is currently provided in banking today.

[Yasmin Ratansi, Liberal, Don Valley East, ON]

There is a concept like a Kiwibank, which the aboriginal communities use. We do not need an intricate set-up to get into rural communities. Your requirement, really, is a simple retail banking, which could be done by.... Canada Post had an e-post banking, an Internet e-post system. It has the bricks and mortar. Something like that would satisfy your needs.

[Jonethan Brigley]

Yes.

[Yasmin Ratansi, Liberal, Don Valley East, ON]

Thank you.

Mr. Kozloski, in terms of Canada Post's being a business and a service, do you believe that Canada Post provides excellent service to you as a not-for-profit organization?

[Dr. Thomas Kozloski]

Yes. So far, prior to any significant change or anything dramatic, I think we receive very good service from Canada Post. I view Canada Post as a necessary service and not necessarily just a business.

[Yasmin Ratansi, Liberal, Don Valley East, ON]

In your organization, would a daily mail delivery versus alternate delivery versus once in three days impact your business?

[Dr. Thomas Kozloski]

I think that periodic delivery would be fine. I think that's a better solution than community mailboxes in rural areas, so I would say temporary delivery there, or—

[Yasmin Ratansi, Liberal, Don Valley East, ON]

In terms of seniors, you talked about seniors' security and you said that independent living requires that seniors be able to access their own mail. Are the community mailboxes posing that much of a danger to them? Have you heard feedback from them?

[Anne Corbin]

We've only heard anecdotal evidence.

[Yasmin Ratansi, Liberal, Don Valley East, ON]

Okay.

[Anne Corbin]

But it just stands to reason that if you have to walk two kilometres, a kilometre, to get your mail, you're at more risk of falling, especially in winter. You're at more risk of injury from a car.

[Yasmin Ratansi, Liberal, Don Valley East, ON]

Okay. Fair enough.

When we are doing these reviews and consultations, if we could get some data that would justify whatever you're saying, whether it's theft, etc., that helps us build a case. Otherwise, we are left swinging in the wind.

Mr. LaRusic, is it your assertion that Canada Post is not correctly reflecting its financial position?