Industry Committee on March 5th, 2014

[Robert Dunlop]

Thank you for your question.

Actually, the expenses for the first research excellence fund will start in the 2015-2016 fiscal year. The budget announced the launch of the fund. We are currently working on the standards and conditions. It will officially start and the expenses will start in the 2015-2016 fiscal year. They will continue in subsequent years.

[Raymond Côté, NDP, Beauport—Limoilou, QC]

Very well, thank you very much for that answer.

This brings me to your presentation. You spoke about transfers of amounts related to SSHRC and CIHR, among others. A little later, you mentioned the college and community innovation program, or the CCI. You said that, in the economic action plan 2013, the CCI's budget was increased to $50 million a year. Are we talking about new money or money that was transferred from other sources?

[Robert Dunlop]

Actually, it was a budget announcement. So they are new funds. The total budget for the program must be $50 million a year, in accordance with the announcement in 2013.

[Raymond Côté, NDP, Beauport—Limoilou, QC]

Right.

That leads me to understand that it really is new money and not money that was authorized, money that would not have been assigned and would not have been spent, which is another problem.

[Robert Dunlop]

That's right. These are new funds for the program announced in 2013.

[Raymond Côté, NDP, Beauport—Limoilou, QC]

Okay.

In real dollars, there are cuts in the various budgets of the granting councils. Has that created difficulties with respect to assigning those funds? I am thinking of the Natural Sciences and Engineering Research Council, which receives subsidies to the tune of $1 billion, or the Social Sciences and Humanities Research Council. Have all these subsidies been assigned or do you expect that some funds won't be used?

[Janet Walden]

So far, we have already assigned about 94% of our funds. By the end of the fiscal year, we believe we will have spent all our funds.

[Raymond Côté, NDP, Beauport—Limoilou, QC]

Okay.

The operating budget of these councils has been cut. Can you tell us about the impact of those cuts on the operations or on the budget of the organizations you support?

[Janet Walden]

Are you talking about cuts to the administrative budget?

[Raymond Côté, NDP, Beauport—Limoilou, QC]

Yes, we could talk about administrative cuts.

[Janet Walden]

The administrative budget accounts for about 4.7% of our total budget. NSERC works in a very narrow field. Every budget cut is difficult for us, but at the same time it gives us the opportunity to be creative and innovative in changing our processes and modernizing our systems.

[Raymond Côté, NDP, Beauport—Limoilou, QC]

Thank you very much, Mr. Chair.

[The Chair, Conservative, David Sweet]

Thank you, Mr. Côté, Mr. Dunlop and Ms. Walden.

Now on to Mr. Regan for four minutes.

[Geoff Regan, Liberal, Halifax West, NS]

Thank you, Mr. Chairman.

Thank you to the witnesses for coming today.

Mr. Dunlop, ACOA is experiencing a decrease in contributions and other transfer payments of $20.5 million, and of course, ECBC, which administers ACOA's programs in Cape Breton, has been cut $27 million compared to three years ago. What impact are these cuts having on staffing levels?

[Robert Dunlop]

Thank you for the question.

Mr. Chair, I'm afraid I'm not able to answer any questions about ACOA; the department is not part of Industry Canada.

[Geoff Regan, Liberal, Halifax West, NS]

It says here that.... We're looking at the supplementary estimates (C), vote 5c under Atlantic Canada Opportunities Agency, vote 60c, 65c, etc.

Are you telling me that nobody's here to answer questions about ACOA? Is ACOA not important enough to have someone come here to answer questions about these massive cuts? Mr. Holder's mother would be very concerned as a native of Cape Breton.

Mr. Chairman, can you explain that to me? ACOA is listed first here under the supplementary estimates (C), and there's nobody here from ACOA to answer the questions that I have about what's happening here to ACOA and ECBC. Am I missing something? Why is ACOA on here at all if we're not here to talk about it?

[The Chair, Conservative, David Sweet]

I can only go by the information that I have, Mr. Regan. ACOA does not report to the department. It has its own minister and some deputy ministers as well.

[Geoff Regan, Liberal, Halifax West, NS]

Is there going to be another meeting at which someone from ACOA will be here to deal with these supplementary estimates (C)? Obviously, we're dealing with the supplementary estimates (C), and it says Atlantic Canada Opportunities Agency. They clearly report, as I understand it, to a minister, but doesn't it also report to Industry Canada? Regardless of that, the point is, they report to this committee and there's nobody here from ACOA.

[The Chair, Conservative, David Sweet]

That's correct.

[Mike Lake, Conservative, Edmonton—Mill Woods—Beaumont, AB]

What was the motion passed by the committee?

[The Chair, Conservative, David Sweet]

It was agreed that the committee invite officials of the Department of Industry to appear before the committee on supplementary estimates before Thursday, March 6.

[Mike Lake, Conservative, Edmonton—Mill Woods—Beaumont, AB]

That's it. Okay.

[Geoff Regan, Liberal, Halifax West, NS]

Yes, and included of course in terms of responsibility of this committee are the estimates of ACOA. If you look at the supplementary estimates (C) and you turn to the first item in here on the index—detail by organization—you see Atlantic Canada Opportunities Agency.

[The Chair, Conservative, David Sweet]

They're not here.

[Geoff Regan, Liberal, Halifax West, NS]

I was anxious to talk about and ask questions about that.