Thank you.
Ladies and gentlemen, first I want to thank you for inviting us to appear this morning, but especially for showing interest in this fundamental issue of government support for organizations and institutions serving the francophone and acadian communities of Canada.
The purpose of the presentation we have for you today is to provide a description of the situation based on the recommendations the committee made a year ago in its report entitled, “The Collaboration Accords between Canadian Heritage and the Community Organizations - An Evolving Partnership”.
For the needs of this presentation, we have focused on three of the recommendations. First, there are the two concerning Canadian Heritage's commitment to delivering funding responses by the deadline and that funding be delivered within 30 days following the date of the funding response. Then there's the recommendation concerning a 50% increase in funding for the Cooperation with the Community Sector subcomponent. In concrete terms, this takes the form of the collaboration accords, which used to be called the Canada-Community Agreements.
Let's start with the first two recommendations. In the past few days, we conducted a survey of our member organizations so that we could give you a recent, up-to-date and slightly more detailed picture of the situation for 2009-2010. Based on that survey, we can tell you that 75% of the provincial and territorial representative organizations have not yet received confirmation of the amount of their program funding for the current fiscal year. In addition, while 10 organizations received a letter at the end of April informing them of a 25% funding advance, pending confirmation of their funding, the fact remains that five organizations at this time have not yet received the first instalment of their contribution.
Now let's talk about impact. Six of the organizations that responded to our survey said they are using their lines of credit, reserves or investments to cover their operating expenses. Since April 1, interest charges incurred on those lines of credit have varied between $180 and $525 a month per organization, which in some cases represents the equivalent of a pay cheque for one employee.
Lastly, the most unfortunate consequence, in our view, is that two of our member organizations have had to lay off staff for lack of cash and confirmed commitments by the federal government. Two others are considering doing the same thing by the end of the summer.
In closing, I would note that the situation does not apply solely to program funding. All the organizations are still waiting for responses to project applications submitted under the Community Life component. Too often the approvals and first instalments for these projects are received in the fall, forcing recipient organizations to carry out in six months activities that they had designed for a full year.
So that's a brief, but very telling picture of the impact of processing, approval and funding payment delays on the organizations that serve the francophone and acadian communities. Our survey does not concern local organizations, but the situation that we have observed within the provincial, territorial and sectoral organizations suggests that the local situation can hardly be any more encouraging. I would even say it's worse.
Ladies and gentlemen members of the committee, when our organizations receive program funding from the Department of Canadian Heritage, they become agents responsible for offering services and activities to citizens.
You'll agree with me that having to lay off staff while waiting for funding responses, having to pay interest charges on lines of credit drawn on during waiting times, having to borrow from one's own employees, these are not necessarily conditions that are conducive to concrete results in terms of services, activities and community life.
Of course, the kind of delay we're dealing with also occurs in other programs and other departments, but here we're dealing with a systemic problem that has persisted for a number of years now. This problem was raised, in particular, in the Official Languages Support Programs audit report last December. That report recommended, among other things, that the OLSPB put appropriate mechanisms in place to improve delays in the application and approval process and continue promoting the use of multi-year agreements.
We completely support those recommendations. It is really urgent that measures be taken to eliminate the waiting times and delays at the administrative level, if we want our organizations to be able to operate and provide the services that are expected of them.
However, that's only half the solution. I now come to the recommendation that you made concerning increased funding for the Cooperation with the Community Sector subcomponent. We have received confirmation that there will not be an increase for the next five years. However, the last increase in that funding dates back to 2005, and it was a very modest addition of $2.7 million a year, well below minimum needs that the communities estimated at that time at $18 million.
So that means that, roughly speaking, the funding granted to the organizations of the francophone and acadian communities to address the constantly growing demand for services and activities in French have remained the same in the past five to 10 years. During that time, the cost of living has increased. The final report of the evaluation of the Official Languages Support Programs clearly summarizes the situation: it refers to a situation “in which organizations have limited funding to assume a mandate, which is itself continuing to expand. This dynamic inevitably leads to fatigue, if not exhaustion, within the network of OLMC associations.”
People will tell us that the Roadmap for Canada's Linguistic Duality provides for investments of $1.1 billion over five years. That's true, and the FCFA pointed out that that Roadmap would make it possible to continue the momentum of the Action Plan for Official Languages in a number of important development areas for the communities.
However, there are two very significant problems. First, while announcements were indeed made about the various initiatives under the Roadmap, in concrete terms, the funding amounts announced remain to be seen. Second, we have pointed out that support for organizations that create community life in French is absent from the Roadmap. The issue of financial activities and services in French therefore remains intact.
People will no doubt be told that we are in the midst of an economic crisis. I would remind you that the organizations serving the francophone and acadian communities employ hundreds of individuals, not to mention the social and economic impact that they have in their communities. Investing to consolidate this network is, in a way, a contribution to Canada's economic recovery.
In conclusion, like all Canadians and the government, the community organizations are in favour of the sound use of public funds to produce results. However, the delays in funding approval and payment we are dealing with, as well as the lack of any increase in dedicated funding for the collaboration accords clearly constitute a barrier to those results.
Thank you very much. I am prepared to answer your questions.