Most cuts hitting services, says budget watchdog
Parliamentary Budget Office says 85% of cuts will affect services Canadians value
By Leslie MacKinnon, CBC News
Posted: Nov 6, 2012 2:30 PM ET
Last Updated: Nov 7, 2012 2:37 PM ET
Parliamentary budget officer Kevin Page, seen here during an appearance before a Commons committee in February 2011, issued a report Monday showing that most of the federal budget cuts will come from programs, not overhead. (Adrian Wylde/Canadian Press)
Related
Kevin Page, the parliamentary budget officer, says the vast majority of spending cuts announced in last March's budget will have a direct impact on programs delivered by the federal government.
This finding contrasts with Finance Minister Jim Flaherty's statement that the budget savings of $5.2 billion would affect mainly what he called "the back office."
The PBO says that only 15 per cent of cuts will be to what's termed "internal services," meaning departmental overhead. The remaining 85 per cent of savings will come from programs and services that will affect the people who rely on them.
Tuesday the PBO published a spreadsheet that compiles all the information on how government departments will implement the 5 to 10 per cent of cuts that the federal government said each department would have to find.
The details are somewhat sketchy. For instance, Health Canada, a huge department that has to take a substantial cut, has not provided any details about how any of its many programs will be hit. Aboriginal Affairs has indicated that one-third of the cuts it must undergo — an annual amount of about $46 million — has not yet been allocated, even though the budget was introduced seven months ago.
"It's been seven months," said Page, "with multiple letter exchanges with deputy ministers, multiple letter exchanges with the clerk of the Privy Council, and this is all we've got to show for it, but still, it's something, and we are definitely not going to give up."
The lack of information raises the question about how ministers approved some of the spending cuts if, as it seems, they did not know how some programs and services would be altered by slashes to their budgets.
Page and his staff have put together the information they did manage to obtain about cuts to specific programs, and compared it to the performance indicators or targets of those programs that were in place before Budget 2012.
Food inspection will be hit
For instance, the Canadian Food Inspection Agency will be hit with an annual cut of $19 million in its Food Safety Program. The Food Safety Program states that its target is for 98 per cent of inspected federally regulated establishments to be in compliance with federal regulations. The CFIA did not provide information about how the $19 million cut could affect that 98 per cent compliance goal.
It's a source of frustration to the PBO that most government departments refuse to deliver information about the consequences of the cuts to their programs, including what services will be diminished if not eliminated, what targets will not be met, and how many jobs will vanish.
On the jobs front, although Flaherty said 19,200 jobs will disappear, of which 7,000 are to happen through attrition, the PBO could only find specific information about 500 jobs.
The Privy Council Office, as well as some government ministers, has said that information about job cuts and service levels is outside the mandate of the PBO.
Page has made it clear he feels he cannot do his job providing parliamentarians advice about the state of the nation's finances without knowing, not just the amount of cuts, but also the consequences.
"We need to see the spending plan so we can kick the tires and do the verification for parliamentarians … right now we're just trying to tease up the spending plan. Effectively, it should have been in place right after the budget, so we're still waiting for it," Page said.
He continued, "We need members of Parliament, we need Canadians to increase the pressure on the government to release this information."
Page is still waiting for an independent legal opinion he has asked for about the extent of his mandate.
Late Tuesday, a spokesperson for Treasury Board President Tony Clement said in an email that 70 per cent of savings announced in the budget would be coming from "operational efficiencies."
The email listed some of those "efficiencies from back office operations:"
- Reducing internal and corporate overhead expenditures.
- Reducing program administration and operating costs, which are reflected in program alignment architectures.
- Consolidating corporate services across departments by combining both physical space and administrative expertise such as human resources and financial services, communications and IT.
- Reducing travel expenses by using virtual tools such as teleconferencing, videoconferencing and virtual presence.
- Replacing paper publications with online content and providing businesses and Canadians more electronic information and service options to reduce the paper burden.
Share Tools
Storify'd: Rae's surprise resignation prompts outpouring on twitter by Kady O'Malley Jun. 19, 2013 5:42 PM Soon to be former House colleagues from both sides of the aisle pay tribute to departing Liberal MP
Top News Headlines
- Sopranos star James Gandolfini dies in Italy
- Actor James Gandolfini, best known for his Emmy-winning portrayal of a conflicted New Jersey mob boss in the acclaimed HBO cable television series The Sopranos, has died while vacationing in Rome, the network said today. more »
- Canada buys rare War of 1812 collection for $573K
- The government of Canada was the winning bidder for a large collection of letters, maps and other papers that once belonged to Sir John Sherbrooke, the lieutenant-governor of Nova Scotia who conquered Maine for the British during the War of 1812. The collection sold for $573,000 at auction in London. more »
- Caregiving dads pay steep penalties at work, study says
- Fathers who participate in child rearing and housework are likely to be labeled slackers and "failed men" at work, according to a study spearheaded by researchers at the University of Toronto and Long Island University. Are active dads the norm at your workplace? more »
- Dozens of children seized from Manitoba Mennonite community
- Child welfare authorities have removed all but one child from a small Mennonite community in rural Manitoba. more »
Must Watch
Latest Politics News Headlines
- Canada joining Brazilian-led peacekeeping mission in Haiti
- A small platoon of Canadian troops are about to join a peacekeeping operation in Haiti under the command of Brazilian forces, in a long-delayed mission that has been kept inexplicably low on the political radar. more »
- MPs take stock as they wrap up Commons' spring sitting
- The NDP and Liberals held their final caucus meetings today before the summer break and Conservative House leader Peter Van Loan is holding a news conference to highlight what got accomplished in the last few months. more »
- Tory MP fined $155 for driving through Hill security stop
- Less than a week after Tories attacked NDP Leader Tom Mulcair for failing to stop for the RCMP on Parliament Hill, Conservative MP Eve Adams was caught and fined by security for reportedly talking on her cellphone as she drove through a checkpoint. more »
- Wearing a mask at a riot is now a crime
- The bill that bans the wearing of masks or disguises during a riot or unlawful assembly became one of Canada's newest laws today. more »
The National
The House
- Senator Tkachuk defends secretive committee's work Jun. 15, 2013 8:03 AM This week on The House, we ask Senator David Tkachuk about Mac Harb taking the Senate to court and Pamela Wallin's explanation for her expenses problems. Plus, National Chief of the Assembly of First Nations Shawn Atleo has strong words for the Harper government's approach to First Nations issues. The Aboriginal Affairs Minister Bernard Valcourt is here to respond.
- Bob Rae quits as MP in 'very emotional' decision
- Wearing a mask at a riot is now a crime
- 2 men jailed in Dominican wedding fight back in Canada
- B.C. teacher duct-taped students' mouths
- Obesity now recognized as a disease
- Half of First Nations children live in poverty
- Huge ancient city at Angkor Wat revealed by lasers
- Are e-cigarettes safe to puff?
- How open is Ottawa's new 'open data' website?


