Evidence of meeting #6 for Transport, Infrastructure and Communities in the 41st Parliament, 2nd Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was audit.

A video is available from Parliament.

On the agenda

MPs speaking

Also speaking

Michael Ferguson  Auditor General of Canada, Office of the Auditor General of Canada
Régent Chouinard  Principal, Office of the Auditor General of Canada

5 p.m.

Liberal

David McGuinty Liberal Ottawa South, ON

You conclude, “These findings indicate that Transport Canada does not have the assurance it needs that federal railways have implemented adequate and effective safety management systems”.

Basically it's concluding this isn't working.

5 p.m.

Auditor General of Canada, Office of the Auditor General of Canada

Michael Ferguson

As you said, because you've read it directly out of the report, we concluded that they need to have more information, better information, about the level of operations of safety management systems.

5 p.m.

Liberal

David McGuinty Liberal Ottawa South, ON

You said that even the methodology used by this department to determine the inspections is flawed, that it's out of date.

5 p.m.

Auditor General of Canada, Office of the Auditor General of Canada

Michael Ferguson

We said they're still relying heavily on inspections and the inspections they're doing are still based on how they were doing inspections in the mid-1990s, even though much of their environment has changed since then.

5:05 p.m.

Liberal

David McGuinty Liberal Ottawa South, ON

So they do one-quarter of the inspections they promised or planned to do and the way in which those inspections are done is flawed? They're not up to date.

5:05 p.m.

Auditor General of Canada, Office of the Auditor General of Canada

Michael Ferguson

Again, be careful not to mix up the audits versus the inspections.

5:05 p.m.

Liberal

David McGuinty Liberal Ottawa South, ON

Fair enough.

5:05 p.m.

Auditor General of Canada, Office of the Auditor General of Canada

Michael Ferguson

It was in terms of their not doing all of their planned audits. On the inspection side, I can't speak to whether the inspections met the plan or not. We didn't talk about that. But what we identified from how they do inspections was that it's still based on how they did inspections in the mid nineties.

5:05 p.m.

Liberal

David McGuinty Liberal Ottawa South, ON

In 2009 the government—not Transport Canada, we're not going to lay this at the feet of the officials—estimated they would need 20 system auditors to audit each railway once every three years. Correct?

5:05 p.m.

Auditor General of Canada, Office of the Auditor General of Canada

Michael Ferguson

As I recollect, that was what they said they needed, although even that was not based on a detailed analysis of the actual audits they were going to conduct.

5:05 p.m.

Liberal

David McGuinty Liberal Ottawa South, ON

So we have no idea how they arrived at that number, but they said 20?

5:05 p.m.

Auditor General of Canada, Office of the Auditor General of Canada

Michael Ferguson

They said 20.

5:05 p.m.

Liberal

David McGuinty Liberal Ottawa South, ON

Now they have 10 qualified inspectors, is that right?

5:05 p.m.

Auditor General of Canada, Office of the Auditor General of Canada

Michael Ferguson

At the time of the audit, they had 10.

5:05 p.m.

Liberal

David McGuinty Liberal Ottawa South, ON

So they have half of what they said they needed, and there's no analysis to backstop for why they needed 20.

5:05 p.m.

Auditor General of Canada, Office of the Auditor General of Canada

Michael Ferguson

That would be right.

5:05 p.m.

Liberal

David McGuinty Liberal Ottawa South, ON

And now they have to oversee 30 million additional non-federal railways.

5:05 p.m.

Auditor General of Canada, Office of the Auditor General of Canada

Michael Ferguson

I don't know the exact number, but they have to oversee additional railways.

5:05 p.m.

Liberal

David McGuinty Liberal Ottawa South, ON

That's what your audit says.

Transport Canada doesn't know “whether its current staff of inspectors has the required skills and competencies” to do their jobs.

5:05 p.m.

Auditor General of Canada, Office of the Auditor General of Canada

Michael Ferguson

Again, they did not have that analysis done.

5:05 p.m.

Liberal

David McGuinty Liberal Ottawa South, ON

“Inspectors and managers were not trained on a timely basis.”

5:05 p.m.

Auditor General of Canada, Office of the Auditor General of Canada

Michael Ferguson

And I think we indicate the percentage of each who had completed the training on a timely basis.

5:05 p.m.

Liberal

David McGuinty Liberal Ottawa South, ON

The government can't even warrant that the inspectors are objective, arm's length, and independent because they come mainly from federal railways, and the ethics codes and so on are not applied in such a way as to to know for sure whether the folks doing these minimal inspections are objective and independent.

5:05 p.m.

Auditor General of Canada, Office of the Auditor General of Canada

Michael Ferguson

They need to have a process in place to help them ensure that the people doing the work are independent.

5:05 p.m.

Liberal

David McGuinty Liberal Ottawa South, ON

Mr. Ferguson, did you examine in any way, shape, or form the fact the Government of Canada, the Conservative government, has had five ministers of transport in less than eight years?