Evidence of meeting #41 for Public Accounts in the 44th Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was cmhc.

A video is available from Parliament.

On the agenda

MPs speaking

Also speaking

Karen Hogan  Auditor General of Canada, Office of the Auditor General
Romy Bowers  President and Chief Executive Officer, Canada Mortgage and Housing Corporation
Jean-François Tremblay  Deputy Minister , Department of Employment and Social Development
Kelly Gillis  Deputy Minister, Infrastructure Canada

5:20 p.m.

NDP

Blake Desjarlais NDP Edmonton Griesbach, AB

I'm concerned that when we transfer funds to for-profit developers, we see an increase, especially in the rental program, to the total cost of rent, which makes it even more out of reach for those persons.

We saw in that report just this summer and last summer out of Toronto. We're seeing larger increases to rent that are receiving funding from CMHC and are leaving these units out of reach. Why are we seeing this—

5:20 p.m.

Conservative

The Chair Conservative John Williamson

Mr. Desjarlais, that is your time, but I'm hoping you will have another minute in our next round.

We'll turn now to Mr. Genuis.

You have the floor for five minutes.

5:20 p.m.

Conservative

Garnett Genuis Conservative Sherwood Park—Fort Saskatchewan, AB

Thank you, Chair.

As we have been talking about, this report from the Auditor General reveals significant gaps, approaching a total absence, in terms of data collection and evaluation with respect to the government's performance in attempting to combat homelessness. The findings of the Auditor General are pretty clear, and the members—at least the members of the opposition, and maybe some members of the government—are gravely concerned about these findings.

I'm getting the sense from the responses to some of these questions that there's not a fulsome recognition of how damning these findings are.

I'll ask a simple question. We can go through the deputy ministers. More or less, a yes-or-no answer should be fine for this. Do you agree that something has gone gravely wrong here?

We will start with Ms. Bowers.

5:20 p.m.

President and Chief Executive Officer, Canada Mortgage and Housing Corporation

Romy Bowers

I accept the findings of the Auditor General and will take concerted action to implement the recommendations.

5:20 p.m.

Conservative

Garnett Genuis Conservative Sherwood Park—Fort Saskatchewan, AB

Do you acknowledge that those findings are that grievous errors have been made in the process?

5:20 p.m.

President and Chief Executive Officer, Canada Mortgage and Housing Corporation

Romy Bowers

I thank the Auditor General for the findings, and I'm very committed to addressing the action plans that it advised.

5:20 p.m.

Conservative

Garnett Genuis Conservative Sherwood Park—Fort Saskatchewan, AB

Okay.

Take two.... Go ahead, Ms. Gillis.

5:25 p.m.

Deputy Minister, Infrastructure Canada

Kelly Gillis

Thank you, Chair, for the question.

We have submitted an action plan to address the findings of the Auditor General, which we think are extremely important.

5:25 p.m.

Conservative

Garnett Genuis Conservative Sherwood Park—Fort Saskatchewan, AB

Did something go gravely wrong here?

5:25 p.m.

Deputy Minister, Infrastructure Canada

Kelly Gillis

As I said, we agree with the Auditor General's recommendations and we are actioning them.

5:25 p.m.

Conservative

Garnett Genuis Conservative Sherwood Park—Fort Saskatchewan, AB

Go ahead, Mr. Tremblay.

5:25 p.m.

Deputy Minister , Department of Employment and Social Development

Jean-François Tremblay

I have the same response.

5:25 p.m.

Conservative

Garnett Genuis Conservative Sherwood Park—Fort Saskatchewan, AB

The same response to which? Do you mean the latest?

5:25 p.m.

Deputy Minister , Department of Employment and Social Development

5:25 p.m.

Conservative

Garnett Genuis Conservative Sherwood Park—Fort Saskatchewan, AB

Okay. Thank you.

To the Auditor General, is it your finding that things have gone gravely wrong? Are you surprised that someone didn't notice earlier in the process that there wasn't effective data collection or a response to it?

5:25 p.m.

Auditor General of Canada, Office of the Auditor General

Karen Hogan

Our audit identified that the government set an important target in the national housing strategy. None of the entities we audited felt that they were the lead responsible to ensure the accountability and achievement of that target.

I think it flows that when you're accountable for something, you set yourself up to measure it properly. What we saw is that data is being collected. Information is being collected. It's not being fully analyzed, but it is more about outputs than about outcomes.

This target is one that is really outcome-driven, which is to see that those most in need have been housed, and that chronic homelessness and homelessness have decreased.

5:25 p.m.

Conservative

Garnett Genuis Conservative Sherwood Park—Fort Saskatchewan, AB

Thank you very much for your work.

My conclusion here is that nobody was responsible for achieving this target, or saw themselves as responsible for achieving this target, and nobody thought that was an issue, even up until now, when it has been pointed out. There's a formal acceptance of your findings, but I don't get a sense of appreciation of the gravity of what has gone wrong at all. I look forward to being able to engage with the minister on it.

I'll follow up on my colleague Mr. Aitchison's point about bonuses. In spite of the findings of this audit, and the larger situation in terms of the dire worsening of the homelessness situation in our country, significant bonuses were paid out.

To follow up on his question, who makes decisions about bonuses paid to senior public servants? Is that a decision made by the minister or by public servants? Is it automatic? Where does that decision come from?

5:25 p.m.

President and Chief Executive Officer, Canada Mortgage and Housing Corporation

Romy Bowers

I'll answer with respect to CMHC, which is an independent Crown corporation. We are governed by an independent board of directors, which approves our compensation framework as well as recommendations with respect to the bonus framework.

5:25 p.m.

Conservative

Garnett Genuis Conservative Sherwood Park—Fort Saskatchewan, AB

Thank you.

I have 30 seconds, so I would like to quickly hear from the other two deputy ministers, please.

5:25 p.m.

Deputy Minister, Infrastructure Canada

Kelly Gillis

For senior public servants in the core public service, the Treasury Board Secretariat has a policy that all departments follow in how they approach performance management.

5:25 p.m.

Conservative

Garnett Genuis Conservative Sherwood Park—Fort Saskatchewan, AB

Who makes the decision, though? Who signs off on that policy?

5:25 p.m.

Deputy Minister, Infrastructure Canada

Kelly Gillis

There are different committees at Infrastructure Canada. In the end, the application of individual performance bonuses to individuals would be by the deputy minister, but it is within Treasury Board guidance and guidelines.

5:25 p.m.

Conservative

Garnett Genuis Conservative Sherwood Park—Fort Saskatchewan, AB

Would the minister be consulted on that?

5:25 p.m.

Conservative

The Chair Conservative John Williamson

Thank you, Mr. Genuis. You will have another very brief opportunity in another round, but to ensure that happens I'm going to keep us on track.

I believe the next member is Ms. Bradford.

November 29th, 2022 / 5:25 p.m.

Liberal

Valerie Bradford Liberal Kitchener South—Hespeler, ON

Thank you, Mr. Chair, and thank you to all the witnesses who are here today.

Our government believes that housing is a human right.

Ms. Bowers, could you please explain how the national housing strategy reflects a human rights-based approach to housing?