Thank you, Mr. Chair.
Good afternoon.
I am delighted to be here with my officials to discuss the 2025-26 supplementary estimates (B), which propose $10.8 billion in voted authorities. The investments listed in these estimates will support key priorities for Canadians, like dental care, indigenous support and defence.
First, the government is proposing $1.6 billion for the Department of Health to support the Canadian dental care plan. The plan is making dental care more accessible and affordable for more than 5.5 million lower-income Canadians.
These estimates also provide important funding for indigenous priorities, including $154.6 million for elementary and secondary education, and $705.9 million for emergency management in first nations communities. This funding will support response and recovery activities for natural disasters, loss of essential services and health crises in first nations communities.
The government is also rebuilding, rearming and reinvesting in the Canadian Armed Forces. Supplementary estimates (B) present an additional $1.1 billion in planned spending for the Department of National Defence, which includes $294.5 million for various multi-year defence investments and $215.1 million for the River class destroyers to replace aging vessels and enhance Canada's naval abilities. Funding in these estimates brings the total authorities for the Department of National Defence up to $46.7 billion for the 2025-26 fiscal year, which is an increase of roughly $12.2 billion from the previous years.
My department, the Treasury Board Secretariat, is seeking $926.8 million in funding. This proposed spending would be provided to departments and agencies to cover recently signed collective agreements with public servants. It would also fund public service insurance plans and programs, which have seen recent increases in coverage costs and claims.
I also want to briefly highlight our ongoing work to strengthen oversight, transparency and accountability through key reporting instruments such as the public accounts and departmental results report. The most recent public accounts provide Canadians with a clear and comprehensive picture of how public funds were managed over the last fiscal year, while the departmental results reports show how departments performed against their planned objectives. Together, these reports help ensure Parliament and Canadians can hold the government to account for both spending and results.
While we're making investments to support priority areas, we're also focused on finding savings. Through the comprehensive expenditure review, we will be reducing operational spending by $13 billion annually by 2028-29. These savings are drawn from efficiencies, as well as initiatives and activities that are no longer needed, effective or aligned with the federal mandate.
We are also returning the public service to a more sustainable size. This is a challenging but responsible action. We greatly value the public service and will act with compassion and transparency. One of the ways the government will support this transition is through voluntary early retirement incentives. This incentive will help reduce the size of the workforce through attrition and voluntary departures to the greatest extent possible.
In closing, we're investing more in what matters most for Canadians and growing our economy. This is a transformational time for the government to seize the moment. This is a time to reimagine how we work, how we can improve services to Canadians, how we can build for the future and how we can build Canada strong.
I look forward to answering your questions.
Thank you, Mr. Chair.
