Mr. Speaker, with regard to (a), Canada Post has a very good track record of keeping the Government of Canada informed of its financial situation. For some time, the government has been aware of the impact of declining mail volumes on the corporation’s ability to remain financially self-sustaining as mandated. Canada Post has also kept the public apprised of its situation through public release of its annual reports, quarterly reports, and corporate plan summaries. In 2012, Canada Post delivered one billion fewer letters than it did in 2006.
As a crown corporation that operates at arm’s length from the government, Canada Post is responsible for the management of its own operations, including the planning of how it will operate in the future. The government supports Canada Post’s efforts to fulfill its mandate of operating on a self-sustaining financial basis in order to protect taxpayers while modernizing its business and aligning postal services with the choices that Canadians are making.
With regard to (b), Canada Post is an arm’s-length crown corporation that is responsible for the management of its present and future operations. The Minister of Transport tables Canada Post’s annual corporate plan summary to Parliament, and the Department of Transport is aware of Canada Post’s declining financial situation. Transport Canada also supports the corporation’s efforts to return to financial self-sufficiency and modernize its business to align postal services with the choices of Canadians.
With regard to (c) and (d), as a crown corporation that operates at arm’s length from the government, Canada Post is responsible for its own corporate planning. By regulation, Canada Post is required to submit its annual corporate plan to the minister. As such, Transport Canada does not instruct Canada Post.
Transport Canada reviewed the corporate plan to ensure its compliance with applicable legislation and regulations as well as to assess its alignment with government priorities. As per the Access to Information Act, details of the analysis, recommendations, and any related information are considered cabinet confidence and cannot be disclosed.
With regard to (e), Canada Post is a crown corporation that operates at arm’s length from the Government of Canada. As such, the corporation is responsible for the management of its present and future operations. Finance Canada has been aware of Canada Post’s declining financial situation through the tabling of the corporation’s annual reports in Parliament, as well as through quarterly reports and corporate plan summaries.
Under section 127 of the Financial Administration Act, when a crown corporation intends to borrow, the Minister of Finance may require that his recommendation, in addition to that of the appropriate minister, be obtained before a corporate plan is submitted to the Governor in Council for approval. The Minister of Finance has exercised this authority with respect to Canada Post.