PACP Committee Report

Mr. David Christopherson, M.P.
Chair of the Standing Committee on Public Accounts
House of Commons
Ottawa, Ontario K1A 0A6

Dear Mr. Christopherson:

On behalf of the Government of Canada, I am pleased to respond to the Twelfth Report of the Standing Committee on Public Accounts, entitled Chapter 6, Transfer Payments Programs – Canadian Northern Economic Development Agency, of the Spring 2014 Report of the Auditor General of Canada (AG).

I would like to thank the Committee for its work in reviewing this Chapter.  As the Committee points out, the Canadian Northern Economic Development Agency (CanNor) has an important mandate to promote economic development in Canada’s territories.  CanNor is committed to the continuous improvement of its business processes to ensure efficient and effective program delivery and timely, high-quality service to its clients.

Below is the Government Response to the recommendations made by the Committee.

Recommendation 1

That, by 30 June 2015, the Canadian Northern Economic Development Agency report to the Standing Committee on Public Accounts on the number of positions added to its Iqaluit office and on the proportion employees working in its headquarters in Iqaluit, Ottawa liaison office and regional offices in Yellowknife and Whitehorse and update the Committee on its Inuit employment plan.

As committed to in the Agency’s Management Action Plan, CanNor has filled nine positions in the Iqaluit office.  As of March 31, 2015, 31% of CanNor’s employees were in the Iqaluit office, and 33% were working in the Ottawa liaison office.   The remaining employees were split between the Yukon (14%) and NWT (22%) regional offices.  Approximately 24% of staff in the Iqaluit office are Nunavut Land Claims Agreement beneficiaries. 

CanNor also has an Inuit Employment Plan (IEP) covering the three-year period from 2014 to 2017.  This plan was approved on June 30, 2014, and implementation is underway.  For example, on November 19, 2014, the first cohort of Inuit participants completed the Inuit Learning and Development Pilot (ILDP) project.  Participants received formal learning, coaching and mentoring and completed paid work assignments in different public service positions.  CanNor subsequently hired two of the 12 ILDP graduates to full-time positions.  A second ILDP cohort is being planned for January 2016.  In addition, CanNor is providing learning opportunities, coaching, and mentoring to employees, as well as raising awareness of employment opportunities, as part of ongoing efforts to recruit and retain Nunavut Land Claims Agreement beneficiaries in the Iqaluit office.  Implementation of the IEP will continue through 2015-2016 and beyond.

Recommendation 2

That, by 30 June 2015, the Canadian Northern Economic Development Agency assess the administration of its economic development contribution programs and report to the Standing Committee on Public Accounts on the results of its assessment.

As a result of the OAG audit, CanNor thoroughly assessed the administration of its contribution programs, and took steps to address all concerns in a timely way.  These efforts include establishing service delivery standards, improving the tracking of program performance, developing a toolkit for economic development officers, and improving CanNor program information, guidelines and application forms.  The status of all actions is reported on the CanNor website at www.cannor.gc.ca. 

CanNor is currently tabulating and finalizing service standard and performance data for all projects from its 2014-2015 economic development contribution programs.  The preliminary results demonstrate that the Agency is meeting or exceeding its service standards.  Further, performance measures indicate that for every dollar invested under the Strategic Investments in Northern Economic Development Program, an additional $1.12 is leveraged in partner investments. 

CanNor is committed to ensuring the appropriate administration of its transfer payment programs.  The Agency will continue to work to strengthen and improve its business processes to ensure efficient and effective program delivery and timely service to its clients, in order to continue fostering economic development and prosperity in Canada’s territories.

I would like to thank you and the other members of the committee for your important work.

Sincerely,

The Honourable Leona Aglukkaq, P.C., M.P.
Minister of the Environment, Minister
   of the Canadian Northern Economic
   Development Agency and Minister
   for the Arctic Council