Public Accounts committee  Not at all.

Public Accounts committee  None whatsoever.

Public Accounts committee  That's correct.

Public Accounts committee  I go back to what I said a moment ago. We established what we call the MSQ, the milk supply quota requirements, to meet the needs of the Canadian market on a national basis. The provinces have quota allotments that they then take to their producers. We have no involvement in terms of the number of farms or where the quota is allocated within the provinces, none whatsoever.

Public Accounts committee  One of the key components of the service the CDC provides is an audit of the operations of the Canadian Dairy Commission. Because we have only a three-member board, all three of us sit on that board. We are assisted with support, if you like, from key managers in the organization in terms of their presentations and the information they provide.

Public Accounts committee  Yes, external audit is provided to us by the OAG.

Public Accounts committee  It's on an annual basis.

Public Accounts committee  As with any large and relatively complex operation or industry, if you like, there are going to be issues that come up from time to time. I'm sure we're all well aware of the Canadian Restaurant and Foodservices Association and some issues they have. We are working with them to try to solve some of those issues and problems.

Public Accounts committee  That's an interesting question. On the whole issue of fair returns, I think people with a financial designation will tell you that's not a simple issue to answer in any case. The Canadian Dairy Commission, on a year-over-year basis, as a starting point identifies the cost of raw milk, in terms of a support price, from the previous year.

Public Accounts committee  I don't believe that's in the purview of the Canadian Dairy Commission. The determination of whether our core mandate is achieved by supply management is determined by government.

Public Accounts committee  If this is the direction of your question, the determination of whether or not supply management is the system that meets the needs of our core mandate is not the decision of the CDC. The CDC simply follows the mandate. Supply management has been decided in areas other than the CDC.

Public Accounts committee  What we forecast are the milk requirements to meet the needs of the Canadian consumer market in Canada, the core raw milk requirements off the farm to meet the needs of the Canadian consumers from sea to sea.

Public Accounts committee  Just so everyone understands the system, each year we issue a support price, in other words, a price that the Canadian Dairy Commission will buy dairy products within Canada, dairy products being butterfat and solids, non-fat, commonly referred to as skim milk, powder. In doing so, we do not set milk class prices within Canada.

Public Accounts committee  It's not to avoid the question, but I think I'd need a little more precision on what point of risk you would believe we may not be able to meet.

Public Accounts committee  Well, I suppose a difficulty arises from the fact that we have a three-member board. That's the starting point for the issue of conflict of interest. As I said earlier, the requirement, if you like, is that we have producer expertise and processor expertise. We have put in place in our bylaws a requirement that we declare any conflicts of interest, and we act—and I think this is as important as anything—in a completely and absolutely impartial way.