Evidence of meeting #40 for Transport, Infrastructure and Communities in the 40th Parliament, 2nd session. (The original version is on Parliament’s site, as are the minutes.) The winning word was projects.
A recording is available from Parliament.
Deputy Minister, Department of Transport
We will take your concern to the province, but Mary Komarynsky can explain our role, but we work with the province.
Mary Komarynsky Assistant Deputy Minister, Programs Group, Department of Transport
The federal government did an environmental assessment of that project. There were a lot of sensitivities, especially around the Burns Bog. We worked very closely with Environment Canada and the province with respect to trying to mitigate the environmental impacts of the road network. The environmental assessment was approved, with mitigation.
When an environmental assessment is done, it is up to the federal government as well as the provincial government to ensure that when the construction is done the mitigation measures are put in. There was quite a bit of debate with scientists, especially because of the sensitivity of the bog, but I think that with the mitigation conditions the environmental impacts will be lessened.
Bloc
Roger Gaudet Bloc Montcalm, QC
Thank you, Mr. Chair.
I want to come back to something, because a lot of people are asking me about it. As we speak, where does the Recreational Infrastructure Canada program stand? Was the project successful? Is there money leftover? Will the government fund the program in its next budget?
Deputy Minister, Department of Transport
We don't do that particular program, sir. We're not responsible for the recreational program.
Associate Deputy Minister, Associate Deputy Minister's Office, Infrastructure Canada
The Economic Development Agency of Canada for the Regions of Quebec is responsible for the Recreational Infrastructure Canada program.
Bloc
Roger Gaudet Bloc Montcalm, QC
Thank you. Earlier, you said that Toronto had 501 projects. How many infrastructure projects were approved for Montreal?
Associate Deputy Minister, Associate Deputy Minister's Office, Infrastructure Canada
I do not have the exact figure for Montreal, but I can find it and give it to you later.
Bloc
Roger Gaudet Bloc Montcalm, QC
I am not sure whether everyone understood what my colleague was saying earlier about the elections in Quebec. Remember that there are cities in Quebec with minority governments. Furthermore, it can take a while before these governments can meet to discuss a project, especially after a new election. RCMs in Quebec approved their budgets on November 25. Then, the municipalities approve the budgets, in accordance with the RCMs. That is why I say that Quebec's system is different from Ontario's. January 29 is a bit early. It should be six months later or, perhaps, February 28 or March 31. Any of those dates would make a good solution.
The vote under the Office of Infrastructure Canada seeks to increase funding by $250 million for the Provincial-Territorial Infrastructure Base Funding Program. How would this money be allocated across the provinces and territories?
Associate Deputy Minister, Associate Deputy Minister's Office, Infrastructure Canada
The $250 million is transferred to the Provincial-Territorial Infrastructure Base Funding Program. It is a program that was created in the 2007 budget, whereby every province receives $25 million a year for 7 years.
In Canada's Economic Action Plan, the federal government gave every province the option to allocate those funds over two years, instead of seven. The federal government is ready to release those funds. For instance, we signed an agreement with Quebec in May, I believe, to release all of the funds allocated to Quebec, in other words, $175 million. It was done. In addition, Quebec will use that money for this year's expenditures and next's. The program is in effect as of now.
As I said, every province receives exactly the same amount, $175 million over seven years. And in Quebec's case, the federal government has allocated that money over two years, this year and next.
Bloc
Roger Gaudet Bloc Montcalm, QC
If one province has 300,000 people and another has 10 million people, they each get $25 million.
Associate Deputy Minister, Associate Deputy Minister's Office, Infrastructure Canada
Yes, but any leftover money is allocated based on the number of inhabitants. For example, where there is funding, there is no regional allocation. Base funding was addressed during discussions on fiscal balance between the provinces. It is to help small provinces and, especially, the northern territories. If the money were allocated based on the number of inhabitants, the northern territories would get only a few million dollars. So it is a base for every province, in order to help small provinces and the northern territories to have an infrastructure program, as well. It is a decision through the Building Canada Fund, for example, the Infrastructure Stimulus Fund or the Gas Tax Fund.
NDP
Dennis Bevington NDP Western Arctic, NT
Thanks, Mr. Chair.
I'd just go back to the questions I was asking on the Mackenzie Valley. Could you fill me in there?
André Morency Assistant Deputy Minister, Corporate Management and Crown Corporation Governance, Corporate Services, Department of Transport
Yes, absolutely. You were asking about funds being asked for through supplementary estimates (B) for the department in support of the Mackenzie gas pipeline project.
When this project was being conceived back in 2004-05, the department anticipated an awful lot of growth in the transportation sector in that particular part of the country. As a result, we were building our capacity to be able to support the growth so that airline companies in particular and other transportation companies could position themselves to get contracts from the oil companies once this project was actually announced.
More specifically, what are the expenses being incurred by? It's work associated with the certification of barges that will be used in the north, and work associated with environmental assessments, and we're certainly working with a joint review panel to help them in that regard. We're participating in surveillance and enforcement activities related to the transportation of dangerous goods.
In our civil aviation organization, funds are being expended to actually support the increased capacity being built by some of the aviation companies there in terms of doing aerodrome certification and maintenance audits. We're doing pilot checks, because some of these companies in fact have bought some new aircraft or are certifying some new pilots to be in position. When a decision is made, an awful lot of the Mackenzie gas pipeline project possibly will be done through the transportation infrastructure that needs to be built within the Mackenzie gas pipeline.
We have funds that have been allocated to us by the Treasury Board Secretariat. They're tracked only for those expenses associated with the Mackenzie gas pipeline. I can honestly say that in this year we're basically asking for the money to continue to support those people we've hired to help build the capacity in that region.
NDP
Dennis Bevington NDP Western Arctic, NT
That's interesting. I note that NTCL has just downsized its operation with the barges. I'm glad that you've been certifying them. Many of them are probably going to go into mothballs here, with the.... I don't imagine that would include the work around the Bering Strait. Or does it?
Assistant Deputy Minister, Corporate Management and Crown Corporation Governance, Corporate Services, Department of Transport
I don't know specifically about the details of the work they were doing, but certainly I can appreciate that there's been a lot of anticipation for this project being announced. Nevertheless, companies were preparing for this and Transport Canada was supporting the regulatory framework to ensure that those companies were available when this project was announced.
Deputy Minister, Department of Transport
Mr. Chair, I think the honourable member is asking some valid questions. We would be happy to provide you a briefing package in terms of all the activities we do so that you're assured that our activities are related to the Mackenzie gas pipeline.
Deputy Minister, Department of Transport
We'll be happy to provide that.
NDP
Dennis Bevington NDP Western Arctic, NT
We were requesting an investigation into the total funds. How is that investigation proceeding?
Deputy Minister, Department of Transport
Yes. Thank you very much for asking that question.
I received the external auditors' report yesterday from Deloitte & Touche. We're getting it translated for submission to committee, because I understand, Mr. Chairman, that you had asked for that from our minister.
However, because I don't have the document for you today, I note that the bottom line basically is that the auditors are saying it appears that the expenses Transport Canada has charged to the Mackenzie gas project were in accordance with the authorities provided in the approved Treasury Board submissions and other applicable acts and policies.
Based on their review, all funding approved was recorded in Transport Canada's financial system and segregated from normal operating funds. They did not identify any transferring of Mackenzie gas money to other operations. In addition, they did note that Transport Canada has applied a higher level of restriction to the Mackenzie money than was required even by the Treasury Board authorities we had.
We will make that available to the committee when we can get it translated.
