Veterans Affairs Committee on Nov. 28th, 2012

[The Chair, Conservative, Greg Kerr]

Folks, we'll begin our meeting.

We thought it prudent to have the minister here to start the meeting, so we're delighted to have Minister Blaney, his deputy, and staff with us this afternoon. Obviously the main focus is the supplementary estimates.

I understand, Minister, that you're going to be with us for about an hour?

[Steven Blaney, Conservative, Minister of Veterans Affairs]

Sure, Mr. Chair.

[The Chair, Conservative, Greg Kerr]

I know you're flexible.

We appreciate your being here, and certainly you understand the routine. You'll make your comments and then committee members will ask you questions.

I know we're particularly pleased that Mr. Stoffer made an effort to get back from Toronto just because the minister is here.

Did I get that right?

[Peter Stoffer, NDP, Sackville—Eastern Shore, NS]

That's right.

[The Chair, Conservative, Greg Kerr]

Good. I'm glad to hear that.

Mr. Blaney, please begin.

[Steven Blaney, Conservative, Lévis—Bellechasse, QC]

Thank you, Mr. Chair, for welcoming me to the Standing Committee on Veterans Affairs. First of all, I would like to thank you for hearing me as part of the study of the Supplementary Estimates, as well as for the important work that you do on this committee, especially with regard to the transition from military life to civilian life.

I would also like to give special thanks to the parliamentary secretary, Ms. Eve Adam, who organized the ceremony on the Hill. I would like to congratulate the members. It was very well received by all of the MPs and senators. During Remembrance Week, it gave parliamentarians the opportunity to pay tribute to our veterans.

They are the reason why we are here today. With your support, I would like to obtain additional votes to fund two particular initiatives for our veterans.

The supplementary estimates show our government's ongoing commitment to Canada's veterans and their families, and I count on your support for the more than $18 million in new funding for veterans' benefits and services.

As you are aware, I promised that our government would commit to maintaining veterans' benefits. We're going much further than that, as you know, because we've improved those benefits. At the same time, veterans have asked us to cut red tape, and that is what we are doing.

l've said we will provide veterans and their families with better and improved services, and the supplementary estimates prove we are doing just that.

l've said many times that we would ensure the necessary funding is always in place to cover veterans' benefits, that we are a needs-based organization, even when the costs surpass our fiscal projections. That's why I'm here with these supplementary estimates.

Minister MacKay and I have gone above and beyond the parameters of the Federal Court ruling on SISIP, the Canadian Armed Forces long-term disability benefits. The 2012 economic update includes $1.2 billion in new investments for Canadian Armed Forces and veterans benefits, and the supplementary estimates (B) include over $18 million in new funding, including $16 million to change the way we calculate veterans benefits under the earnings lost and the Canadian Forces income support programs.

This one change represents an additional $177 million for veterans and their families over the next five years. It will also put more money in the pockets of the injured and ill veterans who need it the most.

You also know that we committed to cutting the red tape regarding a program that is very popular among veterans, the Veterans Independence Program. We have streamlined the process. We are now operating with lump-sum payments, rather than asking veterans to provide thousands, even millions, of supporting documents. That's why I need your cooperation today. With these measures, we encourage our veterans to stay at home longer each time, which is why we provide them with housekeeping and yard work services.

Other measures in the supplementary estimates are equally important. They relate to providing veterans with more choices for career transition services, and through an investment of over $2.2 million, they provide more points of service for veterans through our partnership with Service Canada. Through this innovative partnership, which will improve access to service for veterans, we are providing 600 points of services, where in the past there were 60. So it's expanding our outreach for veterans by ten times.

When you total all the new expenditures and savings in the supplementary estimates, the net result for the department is another $18.85 million this year to support veterans and their families. More importantly, this increased funding builds on our record of delivering the enhanced care and support that veterans and their families need, when and where they need it.

In Budget 2005—let's go back a little while—which covered the final year before we implemented the new Veterans Charter, Veterans Affairs Canada was allocated $2.85 billion. Seven years later, in Budget 2012, the department's allocation grew. This allocation grew by $3.57 billion. It is an increase of approximately $715 million per year.

If you add up all of the annual increases between 2005 and 2012, compared to the 2005 budget, you get a cumulative total of nearly $3.9 billion in additional funds for veterans' programs and services.

We are clearly delivering for Canada's veterans and their families. How do we achieve it? We achieve it by addressing the needs of veterans and their families.

We've doubled the number of operational stress injury clinics we are operating so that we can help veterans struggling with mental health issues, such as post-traumatic stress disorder or depression.

We have also set up a Scientific Advisory Committee to study veterans' health issues and I am expecting to receive the findings shortly. We have established a Veterans' Bill of Rights as well.

As you know, we have created the Office of the Veterans Ombudsman. We have significantly improved the way we protect veterans' personal information through our 10-point Privacy Action Plan and our Privacy Action Plan 2.0. You will recall there was an issue with respect to the use of Agent Orange at CFB Gagetown. This is also something that we have resolved.

We have expanded the Veterans Independence Program to more low-income and disabled widows and we have extended more benefits to Allied Veterans.

We've enhanced our career transition services by supporting innovative programs such as Helmets to Hardhats, and we've developed a robust veterans transition action plan to help military personnel and their families with every aspect of the transition to civilian life.

All of these measures have made a real and meaningful difference, and we are now taking the next steps. We are cutting red tape, because that's what veterans and their families have asked us for: hassle-free service, more efficiency, less red tape, and more results. That's why we are streamlining the way we're doing things at this department.

We are modernizing the department. We are simplifying policies that have become too complex and introducing new technology. Yes, we are going on the web. That's why we've launched the veterans benefits browser, a tool that was developed by the ombudsman that is not only available to our officials but to all the veterans community. As well, we have My VAC Book and My VAC Account, so that all veterans can access our programs and services through the web at any time of the day and whenever they want, and, it's important to add, in a safe manner.

In closing, we are doing the very things our veterans have been telling us they want, and we are proud to be delivering. Our government is determined to serve Canada's heroes in the same way that they have always served this country. That's why this afternoon I hope I will get unanimous consent for this increased funding for our veterans of more than $18 million—additional funding for veterans and their families.

Thank you.

[The Chair, Conservative, Greg Kerr]

Thank you very much, Mr. Minister.

As you know, we go to our five-minute round, so at least some of the members will get a chance to ask you questions. I realize the next round is certainly for senior staff. The others will get to ask questions.

We start with Ms. Mathyssen, please, for five minutes.

[Irene Mathyssen, NDP, London—Fanshawe, ON]

Thank you, Mr. Chair.

Thank you, Minister, for being here.

I have a number of questions and I'd like to go through them, and then we'll wait for your response. These questions are in regard to long-term care for post-Korean War veterans.

I know the history of the devolution of veterans hospitals to the provinces, and I know about the mandate these hospitals operate under, but, Minister, mandates can change if there's political will.

I refer now to the case of retired Colonel Neil Russell, a 33-year veteran of the Canadian Forces. I know that his wife, Elsa, has written to you.

Neil has a spinal injury and was treated at Parkwood Hospital in my riding, but he can't walk or stand and he needs long-term care. Unfortunately, there are no provincial beds available to him for one or two years from now. He's to be discharged from Parkwood on December 1 and he has nowhere to go. His wife, Elsa, doesn't drive and she cannot take care of him.

Many post-Korean War vets, I've discovered in the last while, are completely unaware that they can't receive long-term care in a veterans hospital. My question is threefold. Why “no” to the centres of excellences that could provide this long-term care? Why the refusal to change the veterans hospital mandate so that modern-day veterans can get the federal government support that they've earned and they deserve?

Finally, I know that Elsa Russell wrote to you. Have you responded to her letter and her plea? I'd like to put her plea into the record. She says:

I wish to reiterate that Neil loyally served Canada for 33 years doing his share to protect Canadian and Allied interests during the Cold War. It would seem just that Canada should help in his time of need.

Is Canada prepared to help Neil Russell in his time of need?

[Steven Blaney, Conservative, Lévis—Bellechasse, QC]

I am pleased to address those three questions.

Before I do so, I would like to introduce my deputy minister, Ms. Marie Chaput. This is the first time I have had the privilege of being here with her, and I'm very glad to have her with me in her new endeavour today.

Regarding your question, yes, we do take care of our veterans, and we have veterans facilities. As you are well aware, we have beds that are dedicated to our Second World War veterans because at that time there was no public health system. Now we have a public health system, and we're working in partnership with them. That's why we are providing all our veterans with community beds.

The first thing that is important to understand, Ms. Mathyssen, is that whenever possible we are providing all the help and support that is necessary so that we can maintain our veterans and their families in their homes, because this is their first choice; the first priority of our veterans is to stay at home. That's why we provide them with an array of services—the veterans independence program, rehab services. We have people visiting them, and we provide them sometimes with all the devices that are needed.

That's the first part of it—

[Irene Mathyssen, NDP, London—Fanshawe, ON]

Minister, Neil Russell cannot go home and he can't get a bed. He cannot get a bed in a provincial facility. He's caught. His wife is caught.

[Steven Blaney, Conservative, Lévis—Bellechasse, QC]

Yes.

[Irene Mathyssen, NDP, London—Fanshawe, ON]

We're looking to this government to find solutions that will work for people like Neil Russell.

[Steven Blaney, Conservative, Lévis—Bellechasse, QC]

Exactly, that is just what I was going to tell you.

Indeed, if a veteran no longer wishes to remain at home, he can go to an establishment of his choice. Of course, when the veteran has sustained a service-related injury, we accompany him to insure that he receives care in an appropriate residence, or at home. This is what we refer to as “community locations“. Currently there are more than 6000 such places. We invest nearly $266 million per year for veterans.

You referred to the hospitals. I would remind you that the federal government no longer has any hospitals. The only establishment that is still under our jurisdiction would be Ste Anne's hospital, which would now be viewed more as a long-term care centre. As you know, we signed a transfer agreement with the Government of Quebec in order to ensure that the quality of care would be maintained for veterans of the Second World War and the Korean War, and to ensure that, later on, this establishment would be there to serve the community. This was in the interest not only of both of our two governments, but also in the interest of the staff working in this establishment.

[The Chair, Conservative, Greg Kerr]

Thank you very much, Mr. Minister.

We'll go to Ms. Adams for five minutes, please.

[Eve Adams, Conservative, Mississauga—Brampton South, ON]

Thank you very much, Minister, for appearing before us today, along with the newly appointed deputy minister.

In your opening statement you indicated that over the last seven budgets your allocation has increased by almost $4 billion. Can you give our committee an appreciation for the types of services our veterans are receiving with those additional dollars?

[Steven Blaney, Conservative, Lévis—Bellechasse, QC]

Sure. Actually, you're right, and this is quite an amazing story when we look at the number. I was quite surprised myself to see that we are investing on an annual basis, since our Conservative government took power in 2006, $750 million more per year. One of the reasons why that is so is that we have introduced the new Veterans Charter, and we also introduced enhancements to the new Veterans Charter more than a year ago.

The whole reasoning behind the new Veterans Charter is aimed at helping veterans to transition in a seamless manner from military to civilian life. The other great thing about the new Veterans Charter is that it enables a veteran who has been released from the Canadian Forces, but who may experience some challenges in the course of his life that are related to his military service, to come back to Veterans Affairs Canada.

That's why I've been coming quite consistently before this committee for more funding, because there has been a strong uptake from the veterans community for those programs. As you know, the core of those programs is a recognition of the loss a veteran may have encountered during his military service—what we refer to as the disability award—but there is also financial compensation while the veteran is re-embarking, if I may say, into civilian life. That's what we call the earnings loss benefit.

There is also an array of services provided regarding the rehabilitation service. There's also mental health support, as well as other services that are needed. It's an array of services that is quite extensive, and the veterans community is benefiting from it and using the services we are providing.

[Eve Adams, Conservative, Mississauga—Brampton South, ON]

Thanks, Minister.

Our committee is just finalizing its review of the Veterans Review and Appeal Board. We've heard that Canada is the only country in the world that will actually fund a lawyer to review your benefits. For greater clarity, if a veteran receives a determination of benefits, they can then take that determination to a lawyer, have the lawyer review all of that for them free of charge—a second review, if you will—and then if some appeal needs to be made, we will actually fund the lawyer for them as they go before VRAB.

This has universally been applauded. Veterans have come forward...just about every veterans advocacy group has come forward to say how truly necessary and remarkable and truly generous this is, especially when we compare ourselves to every other country in the world.

You've recently made some appointments to that board, individuals with military or medical backgrounds. Can you explain for us why you chose to make those types of appointments?

[Steven Blaney, Conservative, Lévis—Bellechasse, QC]

Thank you, Madam Parliamentary Secretary, for raising this point.

Indeed, the Veterans Review and Appeal Board is a tool available to veterans which enables them to challenge decisions made by the Department of Veterans Affairs. There is both a review and an appeal process. The board is independent from the government. We have a rigorous process for selecting members sitting on this board, which relies on their skills. There is therefore a prequalification process and the criteria we are looking for include military experience, medical experience or quasi-judicial experience.

I have with me the profile of the four new members who have been appointed. We have a nurse with more than 35 years of experience in health care, who has also worked in the area of rehabilitation and career transition. We also have a soldier with 27 years of experience who retired with the rank of brigadier general. We also have a Lieutenant-Colonel who spent 22 years with the Canadian Forces, Lieutenant-Colonel Colin Reichle, as well as another member of the Canadian Forces who—it is interesting to point this out— was a lawyer in the office of the Judge Advocate General, whom soldiers refer to as the JAG.

We are very pleased to have confident individuals who bring depth to the board, which will ensure that when a veteran appeals to the board, he or she will be dealing with individuals who have military culture and experience.

[The Chair, Conservative, Greg Kerr]

Thank you, Minister.

We now go to Mr. Casey for five minutes.

[Sean Casey, Liberal, Charlottetown, PE]

Thank you, Mr. Chairman.

Mr. Minister, in your opening remarks you referred to your expanding partnership with Service Canada. That's what I want to ask you about first. If this is a partnership, then I would think Service Canada would be keeping you apprised of their plans in the next few years.

Mr. Minister, you may not be aware, but the majority on this committee didn't want to hear from the Auditor General.

My question starts with something your department told the Auditor General. At recommendation 4.53, in response to the recommendation, your department said to the Auditor General that, “Processes and standards are in place to give all”—and I emphasize the word “all”—“case-managed veterans more access to their case manager.”

As you know, I'm from Prince Edward Island. When all of your changes are put in place, all we're going to have is Service Canada, because you're going to close the district office and we'll have no case managers. Every time I raise this, I hear from you in question period or from your press attaché, through some fairly sharp tweets, that the service that's going to be provided by Service Canada is more than an adequate replacement for the loss of case managers on Prince Edward Island and the closure of the district office.

I have here a secret document from the strategic services branch, an integrated operational plan, which indicates that between April 1, 2012, and April 1, 2015, Service Canada will reduce its workforce on Prince Edward Island by 113 to 61. So there's going to be a 46% cut at Service Canada. Because of your expanding partnership, I expect you're probably already aware of that.

Mr. Minister, considering what you've told the Attorney General—

[Steven Blaney, Conservative, Lévis—Bellechasse, QC]

Auditor.

[Sean Casey, Liberal, Charlottetown, PE]

—the Auditor General—with respect to the standards that are in place to give all case-managed veterans more access, and considering that you are closing the only district office in Prince Edward Island and moving the case managers out, and considering that Service Canada is cutting 46% of its employees on Prince Edward Island, my question for you, Mr. Minister, is this: will you be advising the Auditor General that the statement you made needs to be amended?

[Steven Blaney, Conservative, Lévis—Bellechasse, QC]

Thank you for your question on the expansion of services that we will provide to the veteran community through Service Canada.

First, it is not just the Department of Veterans Affairs that must serve veterans, but rather all of government. That is why, by using the services of Service Canada, we are able to offer one-stop services for veterans, which allows them to have a wider range of services. Of course, there are costs associated with this, and that is why I need your support today. In fact, I have to obtain the necessary funds for Service Canada to provide the services to veterans.

I'll come back to Prince Edward Island. As you know, there are five Service Canada offices in that province. They are located in Charlottetown, O'Leary, Summerside, Montague and Souris. As you know, the level of service and home visits for veterans are being maintained, whether they're done by case managers or Veterans Affairs Canada staff. That means that the level of service is the same for veterans on Prince Edward Island. There are home visits. And if veterans want to go to a point of contact with the Department of Veterans Affairs, they no longer have to cross the whole island. They can go to one of the neighbouring towns to receive services related not only to Veterans Affairs Canada, but also to all of government.

As further information, I have to tell you that we also plan to hire additional resources to maintain a case manager ratio of 1 to 40. That means that in all cases where there is an increase in the number of veterans, we will adjust, we will add veterans and hire case managers in Halifax, St. John's, Quebec City, Pembroke, Ottawa, Kingston and Edmonton, because to us it is important to adapt to the changing reality of veterans.

For the first time in the recent history of our department, Veterans Affairs, we have more veterans coming back from conflicts, peacekeeping missions, NATO missions, United Nations missions and Afghanistan than we do veterans from older conflicts. Therefore, all the while offering the same services to our traditional veterans, we also ensure we are able to meet the needs of modern-day veterans.

[The Chair, Conservative, Greg Kerr]

Thank you very much, Minister.

Now we go to Mr. Harris for five minutes.

[Dick Harris, Conservative, Cariboo—Prince George, BC]

Thank you, Mr. Chair.

Welcome, Minister and Ms. Chaput.

Mr. Minister, your last comment brought some context to the challenges that Veterans Affairs has been facing. We went from the end of the Korean War some 50 years ago to our involvement in an active theatre of conflict in Afghanistan. I would suggest that for maybe 50 years Veterans Affairs was dealing with something they were very familiar with, and then all of a sudden there is a whole new set of challenges that they're faced with. Given the magnitude of the challenges of the modern-day conflict, I think Veterans Affairs have done an outstanding job and they've reacted to the change.

Mr. Minister, I want to applaud you for the leadership you've shown, and, Ms. Chaput, for the recognition that you folks have shown, in the need to go into a transitional change, to streamline and to use our dollars more effectively in the areas of need. I think you're doing that.

I know Minister Flaherty mentioned some additional moneys for Veterans Affairs in his economic statement. Could you perhaps tell us what the amount was that was allocated for veterans and armed forces benefits, and how that money is going to be spent? Could you give us some idea of how helpful that would be?