Indigenous and Northern Affairs Committee on Nov. 15th, 2010

[Jean Crowder, NDP, Nanaimo—Cowichan, BC]

Thank you.

Again, this is probably some technical stuff. On May 21 the website again indicated which communities would be eligible for the new retail subsidy program. I think you're aware, from the testimony we heard, that there is a lot of confusion around which communities were or were not receiving subsidies under the old program.

The website says that communities that have not been using the food mail program will not be eligible for the subsidy under the new program, but that there would be a process if a community wanted to ask to be reconsidered. I wonder if you could talk about that process.

It also indicates that INAC will be able to track the data for their shipments and food prices. So will it be INAC or Health Canada?

[Leona Aglukkaq, Conservative, Nunavut, NU]

Health Canada is involved in the nutritional part of the program.

[Jean Crowder, NDP, Nanaimo—Cowichan, BC]

So who does the tracking part?

[Leona Aglukkaq, Conservative, Nunavut, NU]

They're involved in terms of the nutritional products part of the subsidy.

In terms of the day-to-day management of the program, that's done by INAC. Health Canada is involved strictly on the health side of things and the nutritional angle of it and with how we're doing some of those promotions within the community as they link to the items being subsidized. But in terms of day-to-day management, it will be INAC that will be managing that.

[Jean Crowder, NDP, Nanaimo—Cowichan, BC]

Just before I go on, will the contribution agreements and whatnot come out of INAC, not Health Canada?

[Leona Aglukkaq, Conservative, Nunavut, NU]

Yes, that's right.

[Patrick Borbey]

We can explain very quickly how the eligible communities are determined.

[Jamie Tibbetts]

The eligible communities were selected based on the 2009-10 data from Canada Post, which we received in September. There was an initial list put out in May, but it was basically reconfirmed. The communities that received 15,000 kilograms of shipments through the food mail program last year are automatically eligible.

We did add a small-community factor. Chevery, Quebec, was added recently, based on a mathematical calculation of $48 per individual, which is used so that small communities won't be negatively impacted.

To go to your process question, we'll continue to collect data for those communities that are under that 15,000 kilograms. The advisory committee will review the list annually and if a community starts to use the program, they could be added to the list in the future.

[Jean Crowder, NDP, Nanaimo—Cowichan, BC]

Is there a way for communities that are currently excluded to make a case for inclusion?

[Jamie Tibbetts]

We'll do it through the data collection, yes, but--

[Jean Crowder, NDP, Nanaimo—Cowichan, BC]

They're not currently included, though.

[Jamie Tibbetts]

--they weren't really excluded: they weren't in the program initially. So they didn't lose anything in this.

[Jean Crowder, NDP, Nanaimo—Cowichan, BC]

I guess my point here is that there seems to be a general lack of awareness around the old program. So I'm wondering if there were communities that, because of their location, could have been eligible but didn't use it.

[Jamie Tibbetts]

What was more likely to have been happening was that a retailer found cheaper ways of shipping goods into that community than Canada Post, or more efficient ways.

[Jean Crowder, NDP, Nanaimo—Cowichan, BC]

So my question then would be that if they found cheaper ways under the old system, they may be eligible for the subsidy under the new system.

[Leona Aglukkaq, Conservative, Nunavut, NU]

They may not need it.

[Jamie Tibbetts]

Right--because if shipping was higher in those other communities, our subsidies would bring those down towards competitive, but if there are major changes, then we'll reassess it.

[Jean Crowder, NDP, Nanaimo—Cowichan, BC]

Okay, so if they wanted to be reconsidered, how would they go about doing that? You won't have data because they're not in your system.

[Jamie Tibbetts]

Talk to me and my staff.

[Jean Crowder, NDP, Nanaimo—Cowichan, BC]

Talk to you. Okay.

That's what I want, a name: I've got your name.

[Voices]

Oh, oh!

[Jamie Tibbetts]

And the agreements will be between.... The retailers will have data, and we'll be collecting it through them.

[Jean Crowder, NDP, Nanaimo—Cowichan, BC]

Okay. So there is a way to reconsider communities.

[Jamie Tibbetts]

It was the major weakness under the food mail program. We had no data on what was actually happening and we couldn't measure the success of the program—or its failure, for that matter.

[Jean Crowder, NDP, Nanaimo—Cowichan, BC]

I think it's Mr. Borbey who indicated that on December 1 the retailers will know what the criteria will be. That was a criticism that we'd also heard.