Mr. Chairman and members of the committee, I'm pleased to bring you greetings from our national president, Lieutenant-Colonel Evelyn Kelly, who is unable to be present today. I will do my utmost to represent her and the organization that we serve.
The topic of commemoration in the 21st century is one that should appeal to all Canadians, especially to those who have had their lives influenced in some way by Canada's armed forces and veterans. I am one of those who were so influenced. As you can see from my biographical sketch, I was born in Nijmegen in the Netherlands during World War II. Canada so influenced my family that we became immigrants to Canada in 1950, and I chose to spend my adult life in the service of Canada in the Canadian armed forces.
I am a member of a number of veterans associations and willingly serve in various capacities for the Last Post Fund, the Royal Canadian Legion, ANAVETS, the Corps of Commissionaires, the Royal United Services Institute, and a number of Canadian military organizations.
It is my understanding that you wish me to speak to you today about the Last Post Fund and its activities and challenges, so I will not be addressing the other organizations in my testimony unless you ask.
We have just concluded Veterans’ Week, and I salute my comrades in the Royal Canadian Legion and Veterans Affairs Canada for the delivery of well-executed commemoration events across Canada and globally.
When I am reflecting, I am reminded often of the spoken statement of the mayor of Colorado Springs. That was the location where I last served in the military as deputy commander in chief of the NORAD. Mayor Makepeace would conclude most of her speeches with this quotation: “Colorado Springs is a place where every day is military and veterans’ appreciation day”. I wish this sentiment were the same right across Canada, but sadly I report that it is not.
I consider myself a champion of veterans’ issues, and I am proud to dedicate my free time to the cause of veterans. As a retired lieutenant-general, I am easily found in New Brunswick, where I reside, and I answer the calls for help willingly.
Now I will focus on the Last Post Fund. We have been supporting veterans since the act of charity of our founder, Arthur Hair, in 1909. He encountered a veteran named James Daly, who, after dying and being abandoned, would have had his remains consigned to medical research and thereafter been placed in a pauper's grave. Hair chose to honour Daly by soliciting funds to provide for a dignified funeral. Through that action, the Last Post Fund was born. Since that time we have facilitated the funeral and burial of nearly 150,000 veterans.
Over time, with legislative changes in 1921 and finally in 1995, the Last Post Fund has, with funds provided by the Canadian government, delivered the federal government’s veterans funeral and burial program. During this same period and up to the present time, the Last Post Fund continued to organize commemoration activities across Canada. Whether through the establishment of fields of honour or columbaria or the marking of previously unmarked veterans’ graves, the Last Post Fund has been there to commemorate veterans.
As a not-for-profit corporation with letters patent, we have partnered with Veterans Affairs Canada to deliver the veterans funeral and burial program. We have done so for some time, and we have a footprint across Canada through the presence of our provincial boards, our volunteers, and our salaried employees. Since our founding in 1909, we have remained independent of the Royal Canadian Legion and ANAVETS, but we have always ensured that they are well aware of the programs that we deliver to veterans.
Our website and the brochure that I have sent to you outline the programs that we deliver and the regulations that govern the same. In short, traditional veterans of World War II and Korea service who are qualified financially may be eligible for a funeral and burial benefit. Those few modern-day veterans in receipt of a disability pension may also be eligible for benefits, subject to the same means test.
To keep this simple and for illustrative purposes, if a married veteran’s estate has fewer assets than $12,015, excluding the house and car, this veteran would be eligible for benefits, depending on his military service. I should point out that as a result of program review in 1995, this amount is half of what was allowed prior to 1995.
The number of veterans of World War II and Korea has been decreasing dramatically in recent years. There are fewer than 130,000 remaining, and it's estimated that this group will cease to exist in only a few years. On the other hand, it's estimated that there are nearly 600,000 modern-day veterans, some of whom may need the benefits of the funeral and burial program. However, to estimate how many would need to do so is difficult to determine.
Suffice it to say there will likely be a need for access to the veterans funeral and burial program in the years to come. For more than a decade, the Last Post Fund has advocated that the program be extended to modern-day veterans in the same way it was offered to traditional veterans. Unfortunately, the governments of Canada during this period have declined to do so, despite the urging of all veterans organizations.
The question that comes to mind is how many modern-day veterans have been denied access to funeral and burial benefits? Unfortunately, our staff did not keep records on how many veterans have been told they were ineligible for such benefits. We are now keeping records of this. What we do know is that donation moneys have been used to provide dignified funerals for some modern-day veterans. I don't consider this to be appropriate. A veteran is a veteran, and all veterans deserve the final commemoration of a funeral.
For a number of reasons, the graves of some veterans were not marked with gravestones, whether upright or flat. As this became evident, the Last Post Fund sought the assistance of Veterans Affairs to resolve the marking of unmarked graves. Such is a Last Post Fund program, and it continues. In essence, where a grave remains unmarked for more than five years, the Last Post Fund will provide and install a military-type marker for such graves.
Prior to 2010 we had a national office and branch offices in each province except Prince Edward Island, since it was affiliated with New Brunswick. Each branch had an office, a charter, and a volunteer board of directors.
Shortly after becoming the national president, along with my team I began to exercise cost-saving measures to minimize our operating expenses. This was done without any urging or demand from Veterans Affairs Canada, but it came from our experience as prudent managers of public moneys.
We implemented a 10% across-the-board reduction in operating expenses; diminished the numbers of publicly funded board meetings; froze hirings; joined the branches of Manitoba and Saskatchewan; and eventually restructured the organization, with a resultant reduction in eight salaried personnel positions from our 36-person salary base. In so doing, we now have a salaried regional structure of four regions that are accountable to the national office.
There is the western region, where the regional office is in Edmonton, with offices and counsellors in British Columbia, Alberta, and Manitoba and Saskatchewan. The Ontario regional office is in Toronto. The Quebec regional office is in Montreal. And the Atlantic region has its regional office in Halifax, with offices and counsellors in New Brunswick, P.E.I., Newfoundland and Labrador, and Nova Scotia.
We also explored with Veterans Affairs Canada the feasibility of co-locating some of our district offices with them. However, the needs of Veterans Affairs Canada for office space made this a non-starter. Perhaps this might be achievable in the future.
We have an information technology system that allows for rapid settlement of claims from any of our offices anywhere in the country. As an example, a counsellor in Newfoundland-Labrador can actually process a claim for an individual in New Brunswick, and this can be performed from any of our offices.
Having shaved our operating expenses as much as possible, we find that our operating expenses are still too high compared with program costs. Our operating costs are about 28% of the program, so further reductions in salaried staff will be necessary. Our executive committee is examining further restructuring and staff reductions; therefore, it's likely that a phased reduction in salaried personnel, leading to the establishment of a call centre, will occur in the future. Such a restructure would also lead to the closure of a number of offices across Canada, thereby realizing further savings in operating expenses. Unfortunately, with office closures our footprint across Canada will decrease.
I should point out, however, that the drop-in client numbers at our offices have significantly diminished. Most, if not all, of our client applications occur telephonically and not by in-person visits. Given this situation, the migration to a call-centre method of staffing is quite practical.
The present veterans burial regulations were finally approved in 2005. While the regulations did not cater for certain expenses, Veterans Affairs staff decided not to seek amendments to the regulations until such time as the current regulations were approved. Since approval of the VBRs, as we call them, several attempts have been made to amend these regulations; however, these have so far been unsuccessful. Had these amendments been approved and the means testing baseline amended, our operating costs percentage would have diminished slightly.
Members of the Canadian Forces and RCMP have had the allowable expenses for funerals increased significantly, but not so for veterans. The veterans burial regulations allowable expenses have remained static. It is our contention that the family of a veteran approved for a funeral benefit should be able to spend the allowable amount within the funding envelope defined by the government.
Further, when the veterans burial regulations were written and approved, the approved items and excluded items were listed within the regulations. These allowances and restrictions, promulgated in regulations, restrict the speedy resolution of needed changes.
You may wonder what some of these present restrictions for veterans include. Again, I wish to stress that the funeral programs for Canadian Forces and RCMP members do not have these restrictions. What is not allowed or budgeted for are obituary notices, death notices, clergy, flowers, and even the Canadian flag. Further, within the regulations some items are capped. Let me cite just a few: last illness expenses are capped at $75; funeral services are capped at $3,600; however, if the funeral requires the services of two funeral directors at different locations, the transportation costs are capped at $500; preparation of the remains, grave liners, etc., are also capped.
I am aware that total cost allowed for the funeral of a serving Canadian Forces member exceeds $13,000, and basically, as stated by the Chief of the Defence Staff some time ago, funerals cost whatever it takes, within reason. Changes to the veterans burial regulations have been and continue to be advocated by the Last Post Fund, by veterans associations, and by the Canadian funeral directors association; however, success has eluded us so far.
I mentioned earlier in my briefing that we commemorate the service of veterans. We do so by facilitating the burials of World War II and Korean War veterans who are financially challenged and eligible modern-day veterans. We do so in conducting remembrance-type ceremonies across Canada. We do so in operating a number of fields of honour and columbaria in various places across Canada. We do so in operating the Last Post Fund's National Field of Honour in Pointe-Claire, Quebec, which is now a national historic site that began operations in the 1930s. At that site more than 20,000 persons are interred. Finally, we do so in delivering the Last Post Fund's unmarked grave program. Since the inception of this program in 1996, we have identified and marked more than 3,000 graves across Canada.
In closing, the Last Post Fund began in 1909, and this not-for-profit entity has continued to serve and commemorate veterans since then. We have advocated changes to programs and regulations in a non-adversarial manner.After all, we deliver a federal government program in partnership with Veterans Affairs Canada.
I thank you for your attention. I am prepared to answer any of your questions.