Hon. Diane Bellemare: I move adoption of the report.

(Response to question raised by the Honourable Diane Bellemare on November 24, 2021)

The monetary policy framework which will guide monetary policy for the next five years was announced on December 13, 2021. The agreement reached between the government and the bank stipulates that monetary policy’s primary objective will continue to be achieving a target inflation rate of 2%, of the midpoint of a 1% to 3% control range. The government and the bank also clarified the existing ability of the Bank of Canada to use the flexibility of the 1% to 3% control range to actively seek the maximum sustainable level of employment and to help address the challenges of structurally low interest rates.

(Response to question raised by the Honourable Elizabeth Marshall on November 30, 2021)

Pursuant to subsection 49(1) of the Financial Administration Act (FAA), the Minister of Finance provides Parliament with an annual report on debt management, which provides transparency and accountability on the money borrowed and the management of the public debt for the most recently completed fiscal year. The Debt Management Report (DMR) satisfies this legislative requirement, and in large part relies on data from the Public Accounts for the relevant fiscal year. Subsection 49(1) of the FAA requires the minister to table the report in each house of Parliament within 30 sitting days after the Public Accounts are tabled in the House of Commons. In compliance with the FAA requirements, the government tabled the DMR for fiscal year 2020-21 on March 25, 2022.

In addition to the DMR, which provides historical information, the government continues to provide regular updates to its ongoing and future plans associated with debt management, which can be found in the 2021 Economic and Fiscal Update (Annex 2) and Budget 2022 (Annex 2).

(Response to question raised by the Honourable Elizabeth Marshall on November 30, 2021)

The Public Accounts of Canada 2021 were tabled on December 14, 2021, and can be found at https://www.tpsgc-pwgsc.gc.ca/recgen/cpc-pac/2021/index-eng.html.

(Response to question raised by the Honourable Yonah Martin on December 14, 2021)

After a lifetime of hard work, our seniors have earned the right to a secure and dignified retirement. The Canada Pension Plan (CPP) enhancement will raise the maximum CPP retirement pension by up to 50% over time. To fund these enhanced benefits, annual CPP contributions are being increased modestly over seven years, starting in 2019.

In September 2016, the Government of Canada released analysis showing that enhancing the CPP would significantly reduce the share of families at risk of not saving enough for retirement and would have long-term positive economic impacts.

Changes to the CPP, like this one, require the formal approval of the Parliament of Canada and 7 out of 10 provinces representing at least two-thirds of the population.

The CPP enhancement addresses important challenges faced by young Canadians saving for retirement, and it is important that federal and provincial governments stay the course at this critical time for Canadian workers.

(Response to question raised by the Honourable Jane Cordy on February 10, 2022)

The government understands that some Canadians build their families using surrogacy – it is an opportunity to have the family they have always wanted.

Budget 2022 proposes to allow medical expenses related to a surrogate mother or a sperm, ova, or embryo donor that are incurred in Canada for 2022 and subsequent taxation years to be claimed. This would include costs that have been reimbursed to a surrogate for in vitro fertilization expenses.

Budget 2022 also proposes to allow fees paid to fertility clinics and donor banks in Canada in order to obtain donor sperm and ova to be eligible under the Medical Expense Tax Credit for 2022 and subsequent taxation years.

(Response to question raised by the Honourable Paula Simons on February 21, 2022)

The payments to the Government of Alberta and the Alberta Orphan Wells Association (OWA) were part of Canada’s COVID-19 Economic Response Plan, to provide targeted and time-limited economic stimulus to sustain jobs in the energy sector while cleaning up the environment in provinces that have a comparatively high reliance on the sector: $1 billion was provided to Alberta to clean up inactive wells, and $200 million was provided to the OWA to clean up orphan wells; the OWA will fully repay this amount.

As part of the federal payment, Alberta committed to strengthening its regulatory regimes to limit the creation of new orphan wells. Private operators are responsible for remediating wells when they become inactive. Provinces are responsible for implementing regulatory regimes that create a sustainably funded system where companies pay the cost of their environmental liabilities, including orphan wells. Questions regarding the provincial regulatory regime should be directed to Alberta.

To date, these funds have supported 3,865 full-time jobs, and addressed over 34,600 inactive wells and 300 orphan wells. Alberta and the OWA are responsible for administering their respective well-closure programming. Questions regarding the funds disbursed, assessment of applications and any potential changes to programming should be directed to Alberta and the OWA.

(Response to question raised by the Honourable David M. Wells on February 24, 2022)

The measures in the Emergency Economic Measures Order are no longer in force since February 23, 2022. Consequently, no accounts remain frozen pursuant to the Order.

(Response to question raised by the Honourable Percy E. Downe on March 1, 2022)

The federal public service, drawn from all regions of the country, brings together people from a variety of backgrounds, skills and professions, and we recognize that this is a unique resource for Canada.

Indeed, it is worth noting that most public servants already work outside the National Capital Region (Ottawa‑Gatineau). According to March 2021 data (https://www.canada.ca/en/treasury-board-secretariat/services/innovation/human-resources-statistics/population-federal-public-service-geographic-region.html), of the 319,601 federal public service employees, less than half, or 134,817, were located in the NCR, including the core public administration and separate agencies.

With many public servants having worked remotely over the last two years, research is underway to determine what form post-pandemic workplace flexibility will take, including exploring options to increase flexibility in the work arrangements of federal employees. Officials at TBS and across government are researching how best to maintain and maximize flexible work arrangements for employees while maintaining quality services to Canadians. This work also entails assessing the lessons learned in terms of what has worked well and what could be improved, including taking into account operational needs and workforce preferences, but will also include business drivers such as enhanced efficiency and productivity, increased diversity and inclusion in the public service and social and environmental effects and impacts.

(Response to question raised by the Honourable Stan Kutcher on March 2, 2022)

COVID-19 has had a profound impact on our country and the world. This uncertain environment is ripe for exploitation by threat actors seeking to advance their own interests. State-sponsored information manipulation utilized by certain states, including Russia, to undermine the rules-based international order is of particular concern. As CSIS noted in its Public Report 2020, most recently, such state-sponsored manipulation, including through disinformation, has sought to reshape or undermine certain narratives to sow doubt about the origins of the coronavirus and pandemic as well as the means required to counter it; discredit democratic responses to COVID-19 while casting their own responses as superior; and erode confidence in Canada’s values of democracy and human rights. While Canadian security agencies and law enforcement cannot discuss specific investigations, we can say that the Government of Canada coordinates with hundreds of domestic and foreign partners on threats to national security, and actively investigates all threats of foreign interference to support a whole-of-government collective effort to ensure individual Canadians as well as Canadian democratic institutions remain resilient to hostile activities by state actors.

(Response to question raised by the Honourable V. Peter Harder on March 2, 2022)

Canada responds to complex humanitarian crises, including in Ukraine, by providing funding to an established international humanitarian response system made up of United Nations agencies, the Red Cross Movement, and experienced non-governmental organizations. To date, Canada has provided $245 million to support the humanitarian response to meet urgent needs on the ground in Ukraine and neighbouring countries. The flexible funding enables organizations to procure relief items and deploy equipment and trained personnel quickly and efficiently through established and coordinated humanitarian networks. Canada also deploys humanitarian and logistics experts to augment United Nations capabilities on the ground so that aid reaches affected populations.

Recognizing gaps in supply chains, the department is also coordinating the delivery of relief and medical supplies from Canadian stockpiles to support the operations of humanitarian partners, and offering advice and logistical support to provincial Ministries of Health in this regard. The department is working with the Canadian Red Cross to coordinate the logistics planning and delivery of these supplies to partners on the ground. Leveraging these partnerships, to date, the department has delivered 1,052 family tents and 376,000 essential relief items from Canada’s stockpiles.

(Response to question raised by the Honourable Larry W. Smith on March 2, 2022)

Businesses regulated by the Proceeds of Crime (Money Laundering) and Terrorist Financing Act (PCMLTFA), including businesses dealing in virtual currencies, must comply with the sanctions against Russia and Belarus applied through regulations under the Special Economic Measures Act. These businesses must block transactions that directly, or indirectly, involve sanctioned individuals or entities and report assets in their holdings to the Royal Canadian Mounted Police (RCMP), which enforces compliance.

Businesses dealing in virtual currencies must register with the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC), verify client identity, and report suspicious transactions. Budget 2022 proposes FINTRAC receive $89.9 million over five years.

Canada continues to coordinate with G7 countries to scrutinize potential sanction loopholes and provide technical expertise. Canada coordinates monitoring and exchanges information with international partners to ensure the effectiveness of sanctions.

Budget 2022 announced the government’s intent to establish a new Canada financial crimes agency and implement a publicly accessible beneficial ownership registry by the end of 2023. The government also intends to work with provinces and territories on a beneficial ownership registry of real property. Further, Budget 2022 announced the government is developing legislative changes to enhance the detection, investigation and prosecution of financial crimes.

(Response to question raised by the Honourable Marilou McPhedran on March 2, 2022)

Canada is aware of the upcoming first Meeting of States Parties to the Treaty on the Prohibition of Nuclear Weapons (TPNW), scheduled for June 21-23, 2022. Canada takes note of the invitation extended to states not party to the Treaty to attend this meeting as observers. While not a party to the TPNW, Canada acknowledges that the treaty reflects well-founded concerns about the slow pace of global nuclear disarmament – concerns that Canada shares. In order to achieve meaningful progress towards global nuclear disarmament, Canada engages actively with other states including via cross-regional groupings such as the Stockholm Initiative on Nuclear Disarmament and the Non‑Proliferation and Disarmament Initiative in support of the full implementation of the Treaty on the Non‑Proliferation of Nuclear Weapons (NPT). Canada will continue to consider all possibilities to constructively engage with other states in pursuit of a world free from nuclear weapons.

(Response to question raised by the Honourable Pierre-Hugues Boisvenu on March 4, 2022)

The Government of Canada would like to also recognize the upcoming anniversary of this horrendous event, and acknowledge the impact on the families and communities.

With regards to family member participation in the inquiry, please note that the Mass Casualty Commission (Commission) is an independent body. Under Part I of Canada’s Inquiries Act and Nova Scotia’s Public Inquiries Act, the commissioners have the power to summon witnesses and require them to give evidence on oath or solemn affirmation, and require the production of documents and things the commissioners consider necessary to carry out a full investigation. The Government of Canada does not have the ability to provide directions to the commission.

Regarding the testimony of RCMP members in regards to the three Portapique Foundational Documents, as stated on the commission website, the commission has directed that certain members be subpoenaed to appear either as individual witnesses or as a witness panel. Some of the RCMP members that will be testifying were at the scene the day of the event, and some members testifying are simply in the chain of command. Please see the link for more detail:

https://masscasualtycommission.ca/updates/an-update-from-the-commissioners-march-9-2022/

(Response to question raised by the Honourable Marilou McPhedran on March 4, 2022)

Canada is aware of the upcoming first meeting of states parties to the Treaty on the Prohibition of Nuclear Weapons (TPNW), scheduled for June 21-23, 2022. Canada takes note of the invitation extended to states not party to the Treaty to attend this meeting as observers. While not a party to the TPNW, Canada acknowledges that the treaty reflects well-founded concerns about the slow pace of global nuclear disarmament – concerns that Canada shares. In order to achieve meaningful progress towards global nuclear disarmament, Canada engages actively with other states including via cross-regional groupings such as the Stockholm Initiative on Nuclear Disarmament and the Non‑Proliferation and Disarmament Initiative in support of the full implementation of the Treaty on the Non‑Proliferation of Nuclear Weapons (NPT). Canada will continue to consider all possibilities to constructively engage with other states in pursuit of a world free from nuclear weapons.

(Response to question raised by the Honourable Rosa Galvez on March 23, 2022)

The analyses undertaken by BMO and TD both confirm that the project will likely allow the government to recoup its expenses with the potential for a positive financial return, and be profitable for future owners. The government does not intend to publish those analyses, given contractual and commercial confidentiality limitations.

The government is confident that there remains strong interest from prospective purchasers of Trans Mountain Corporation, given the expansion project is underpinned by 20-year shipper contracts. The expansion project continues to be an important investment in Canada’s economy which is creating thousands of Canadian jobs and which will responsibly deliver Canadian natural resources to meet demand in global markets.

(Response to question raised by the Honourable David M. Wells on March 24, 2022)

The measures in the Emergency Economic Measures Order are no longer in force since February 23, 2022. Consequently, no accounts remain frozen pursuant to the Order.

(Response to question raised by the Honourable Mary Coyle on March 24, 2022)

As of April 1, 2022, Canada has contributed over $259 million towards COVID-19 vaccine delivery and health systems in low- and lower-middle-income countries, including:

•$100 million to support vaccine delivery and distribution through COVAX COVID-19 delivery support;

•$10 million to design and operationalize COVAX’s dose-sharing mechanism;

•$40 million to cover ancillary costs associated with donated surplus vaccine doses;

•$9.6 million to UNICEF Canada for the #GiveaVax Fund, matching dollar for dollar the donations of Canadians. The funds are enabling UNICEF to cover the costs to transport vaccines, keep vaccines viable by protecting the cold chain and train health care workers to effectively administer vaccines and safely dispose of waste; and

•$100 million to the World Health Organization (WHO) to support the Health Systems and Response Connector (HSRC). The HSRC supports countries to identify needs and gaps to enable the rollout of COVID-19 tools, coordinate with partners to address bottlenecks, and monitor country progress.

(Response to question raised by the Honourable Leo Housakos on March 29, 2022)

The Excise Act and the Excise Act, 2001 adjust excise duty rates on an annual basis for tobacco and alcohol products, on April 1 of each year. The automatic Consumer Price Index adjustment for the 2022-23 fiscal year has already occurred, and came into effect on April 1, 2022. This type of indexing is not an uncommon practice to ensure that duty rates are not eroded with inflation. The adjustments to excise duties do not represent an increase in real dollar terms – they are intended to preserve the effectiveness of the excise duty rates over time and to ensure that the excise duties continue to meet their policy objectives.

Indexation to the Consumer Price Index is a common feature of the tax and benefit systems, used in many other taxes, such as the tobacco excise duties; income tax bracket thresholds; and the key tax credit amounts Canadians use when calculating their tax returns, such as the basic personal amount and the goods and services tax credit. This practice is in line with many other countries that also annually adjust their alcohol taxes to account for inflation.

(Response to question raised by the Honourable Percy E. Downe on March 29, 2022)

The Public Service Commission of Canada has provided relevant information in the response to Parts 1 to 4 and 6 to 8 of Senate Written Question No. 106.

(Response to question raised by the Honourable Marilou McPhedran on March 29, 2022)

Canada is aware of the upcoming first meeting of states parties to the Treaty on the Prohibition of Nuclear Weapons (TPNW), scheduled for June 21-23, 2022. Canada takes note of the invitation extended to states not party to the treaty to attend this meeting as observers. While not a party to the TPNW, Canada acknowledges that the treaty reflects well-founded concerns about the slow pace of global nuclear disarmament – concerns that Canada shares. In order to achieve meaningful progress towards global nuclear disarmament, Canada engages actively with other states including via cross-regional groupings such as the Stockholm Initiative on Nuclear Disarmament and the Non-Proliferation and Disarmament Initiative in support of the full implementation of the Treaty on the Non-Proliferation of Nuclear Weapons (NPT). Canada will continue to consider all possibilities to constructively engage with other states in pursuit of a world free from nuclear weapons.

(Response to question raised by the Honourable Pierre-Hugues Boisvenu on April 5, 2022)

The Government of Canada would like to acknowledge that it has been two years since the April 2020 mass casualty in Nova Scotia took the lives of many people, and forever impacted families and communities.

The Government of Canada reiterates that it does not have the ability to provide directions to the Mass Casualty Commission. The commission is an independent body. Under Part I of the federal Inquiries Act and Nova Scotia’s Public Inquiries Act, the commissioners have the power to summon witnesses, require them to give evidence on oath or solemn affirmation, and require the production of documents and things the commissioners consider necessary to carry out a full investigation. Decisions related to these powers lie solely with the commission.

The commission is not conducting an investigation under one of the laws mentioned in the definition of “offence” in the Canadian Victims Bill of Rights (i.e. the Criminal Code). This said, any questions pertaining to the applicability of certain laws to the public inquiry should be directed to the commission.

(Response to question raised by the Honourable Marilou McPhedran on April 28, 2022)

Canada is aware of the upcoming first meeting of states parties to the Treaty on the Prohibition of Nuclear Weapons (TPNW), scheduled for June 21-23, 2022. Canada takes note of the invitation extended to states not party to the treaty to attend this meeting as observers. While not a party to the TPNW, Canada acknowledges that the treaty reflects well-founded concerns about the slow pace of global nuclear disarmament – concerns that Canada shares. In order to achieve meaningful progress towards global nuclear disarmament, Canada engages actively with other states including via cross-regional groupings such as the Stockholm Initiative on Nuclear Disarmament and the Non-Proliferation and Disarmament Initiative in support of the full implementation of the Treaty on the Non-Proliferation of Nuclear Weapons (NPT). Canada will continue to consider all possibilities to constructively engage with other states in pursuit of a world free from nuclear weapons.