Good afternoon, Mr. Chair, members of the committee, as well as the Auditor General. Thank you for the opportunity to appear today.
I am joined by my colleague Martin Bolduc, to whom I might turn for assistance in responding to some of your questions.
I will begin by saying that CBSA agrees with the recommendations from the Auditor General. We take the report seriously and we are determined to address the findings.
I would like to open by briefly describing the mandate of our agency. We were created 13 years ago in the aftermath of 9/11. Protecting national security, therefore, was bred into our bones, and we undertake this responsibility with utmost seriousness.
As the second largest law enforcement organization in Canada, we hold a dual mandate: preventing the entry of those travellers or goods posing a potential threat, while at the same time facilitating the flow of people and legitimate goods. Each day we process 250,000 travellers, 31,000 highway shipments, 12,000 air cargo shipments, and about 270,000 postal and courier items. Consequently, managing risk daily is fundamental to how we do our business. Our dual role of facilitation and enforcement requires this.
Our frontline officers are critical to delivering our mandate. Indeed, they are the first line of defence—trained professionals, on duty 24 hours a day, every day.
We operate in a highly complex, ever-changing environment where threats are as diffuse as they are diverse. It is within this complex environment that the significance and scope of the action plan can be appreciated. It set a bold and unprecedented course for a long-term partnership, encompassing a range of areas such as information sharing and privacy, cross-border law enforcement, and expediting legitimate cargo and travel. Based on the premise that threats could be detected early—hence the term “beyond the border”—the action plan's 34 initiatives aimed to enhance our security by identifying high-risk people or goods early in the travel continuum.
Why was this unprecedented? The action plan was multi-faceted, complex, and represented a major shift from a reactive to a proactive approach to border management.
Importantly, it also meant our border officers could be freed up to focus on travellers and activities of unknown or higher risk.
Our agency led on 10 of the initiatives and supported 12 others.
I will now address our responses to the report's key findings.
First, the Auditor General found that there were limited performance indicators to show concrete results for initiatives as they relate to security, trade, and travel.
We agree and are already taking action. Last June, we launched a review of key performance indicators supporting the 10 initiatives that we led. This includes examining their outcomes and impacts, as well as reviewing, revising, and developing indicators to more accurately measure the outcomes. Many of the new key performance indicators we identified were submitted to Public Safety Canada to be included in their 2015-16 annual horizontal report on the beyond the border initiatives.
This includes indicators to measure the impact our NEXUS program has on expediting travel for its members, which is, of course, one of the key objectives of the program.
Under the action plan, we expanded NEXUS lanes and enhanced the program's benefits, so that membership has more than doubled, in excess of 1.4 million people. This means that another 700,000 low-risk travellers are crossing the border faster, supporting economic growth, and allowing border officers to focus on higher risks.
As well, we are developing indicators to track the growing membership in our trusted trader programs better, which makes it faster and easier for low-risk, pre-approved businesses to make cross-border shipments.
We will also enhance trusted trader benefits by installing additional free and secure trade or FAST lanes, which can be used by eligible, trusted traders to clear their goods into Canada with greater speed and certainty. FAST lanes or booths are currently located at Windsor and Sarnia, Ontario. We are on target to open lanes in Fort Erie, Ontario and Pacific Highway, B.C., by this March and eventually at Emerson, Manitoba.
This will allow us to offer FAST at Canada's busiest commercial highway border crossings.
In addition, we are looking forward to the further collaboration with the United States, as we harmonize some of our trusted trader programs. Harmonization of Canada's partnership in protection program with the U.S.'s customs-trade partnership against terrorism program will eliminate the duplication of efforts in membership application and management, providing time and cost savings to eligible members.
A second finding of the report was that some of the action plan's commercial initiatives were not meeting stakeholder needs as hoped. Two of these were specifically identified. One was our trusted traders programs, which I just noted.
The second was the single window initiative, which aims to reduce the administrative burden on businesses by providing a single electronic window through which they can submit all information required by law and regulation on imports. In turn, we transmit the information to the appropriate department or agency. In this way, we save businesses the trouble of dealing with multiple processes led by multiple actors administrating multiple regulations. This initiative eliminates nearly 200 different paper copies for various licences, permits, and certificates that are required for the importation of regulated goods.
It will also improve efficiency at the border as release recommendations can now be made up to 90 days before goods arrive in Canada.
Our agency agrees that we need to better account for various stakeholder perspectives and to ensure that we are meeting their needs.
Last November, we met with the Border Commercial Consultative Committee regarding an adoption strategy and onboarding plan for the single window initiative. In total, we now have applications for 29 trade chain partners to be certified in the initiative, and five of these trade chain partners are actively testing or going through the certification process.
We will hold workshops with importers and brokers this spring. We will leverage trade association meetings and other direct-to-stakeholder channels to raise awareness. All told, we are confident this outreach will help increase adoption rates.
Before closing, I wish to emphasize the bigger picture. Thanks to the action plan, collaboration between Canada and the United States has been systematic and interdepartmental at all levels.
The plan has helped to set the ground work for the highest calibre of co-operative border management, supporting jobs and overall economic benefits, and a higher degree of administrative certainty on both sides of the border.
Another example of this cooperation is the bi-national port operations committees that have been established at 20 land ports and eight airports. Among other benefits, these committees formalize Canada-U.S. operational communication, including during critical incidents.
A final example is our commitment to install radio-frequency identification or RFID technology at 22 lanes in eleven ports of entry. As of last month, technology was installed in eight lanes at four land ports and the remaining RFID readers are scheduled to be installed throughout the fiscal year of 2017-18.
The ability to read an electronic chip embedded in certain travel documents before vehicles arrive at the booth improves the security and streamlines traveller processing.
I hope I've communicated just how dynamic and complex an undertaking the action plan has been. We rose to the challenge, with focused co-operation across multiple departments and with the United States.
In closing, let me reiterate that our agency is committed to delivering results to Canadians. To this end, we will remain focused on adopting solid indicators that demonstrate progress on border management for citizens, stakeholders, and partners.
Thank you and I'll now be pleased to take your questions.