Thank you, Chair.
The last time we actually looked at that question was in 2004, when we looked at the regulation of medical devices. We looked at the whole licensing activity there and at the pre-market evaluation process. We found that Health Canada was following their process rigorously. The issue there seemed more to be delays, but they did have a process.
That doesn't mean that because you have a good process to license a product problems won't surface after it's on the market. That's because of the limited trials and a number of reasons. So when we looked at medical devices, we found that the pre-market was fine. For post-market, though, there were a lot of issues--very few inspections of manufacturers, the whole question of reporting of adverse reactions, and the list goes on and on.
The more recent audit we did was on the department's ability to assure Parliament and Canadians that they were carrying out their regulatory activities appropriately. We expected, for a regulatory program, that the department would know what activities it should carry out, at what level--for example, the number of inspections it should do--what resources would be required, and what funding would be needed. We found, quite honestly, none of that. They would have inspections, but they would not be able to tell us how they had arrived at the number, what an appropriate number of inspections they should be doing was, or what resources would be required.
So there was the whole question of how the department itself knew that what it was doing was appropriate and sufficient.
On the whole question of funding, it started, actually, in our audit on medical devices. Some of the regulatory programs effectively have no base funding, and funds are being reallocated. Even funding that's been given for special initiatives--it could be for pre- or post-market activities--is being reallocated to other programs within the department.
So unless there's a clear baseline, a clear analysis of what activities should be carried out--what the baseline is, what the results of all that are, and what resources are required for the regulatory programs--it's difficult, I think, for Parliament to have assurance that these regulatory programs are being managed well.