Minister Garneau appearance at the Committee of the Whole on the 2019-2020 Supplementary Estimates A on December 9, 2019: Transport Canada

On this page

• Financial summary
• Critics biographies

Hot issues

• Hot issue: Boeing 737 MAX 8
• Hot issue: Canadian Air Transport Security Authority Commercialization
• Hot issue: Current Rail Safety Oversight in the Lac-Mégantic Area
• Hot issue: Lac-Mégantic rail bypass project next steps
• Hot issue: National Trade Corridors Fund
• Hot issue: School bus safety
• Hot issue: Screening at non-designated airports
• Hot issue: VIA Rail's high frequency rail project
• Hot issue: Winter tires
• Hot issue: Zero-Emission Vehicles
• Hot issue: Procurement of new passenger ferries
• Hot issue: Aerodrome Saint-Roch-De-L’Achigan
• Hot issue: Vehicle fires – Hyundai
• Hot issue: Canadian Pacific Railway - Derailment
• Funding for the zero-emission vehicles program
• Funding for the green and innovative transportation system to address indigenous priorities in marine safety regarding the trans mountain expansion project

Supplementary Estimates A

• Rail safety improvement program
• Road safety transfer payment program
• Ferry services contribution program
• Airports capital assistance program
• Funding to protect the southern resident killer whale
• Passenger protect program
• Support to the northern transportation adaptation initiative
• Funding to implement an Inuit Impact and benefit agreement
• Program to advance transportation innovation
• Clean transportation initiative
• Transfer from Canadian Air Transport Security Authority to the Department of Transport to improve service to air travellers
• Funding for the Hold-baggage Screening integration projects and the Explosive Detection System (reprofile)
• Funding for fleet renewal at Marine Atlantic

Financial summary: 2019-2020 Supplementary Estimates (A)

Purpose

The purpose of this note is to brief you on the items included in the 2019-20 Supplementary Estimates (A) for Transport Canada (TC), the Canadian Air Transport Security Authority (CATSA) and Marine Atlantic Inc. (MAI). There are no requirements in these Supplementary Estimates for the Federal Bridge Corporation Limited (FBCL) and VIA Rail Canada Inc. (VIA).

Background

Supplementary Estimates are part of the normal parliamentary approval process to ensure that previously planned government initiatives receive the necessary funding to move forward. The Supplementary Estimates allow the Department to access funding within the fiscal year that was not previously included in the Main Estimates, such as funding announced in the Federal Budget, and are published throughout the year.

As a result of the recent federal election, Treasury Board Secretariat (TBS) has suspended the normal Supplementary Estimates process and replaced it with a directed Supplementary Estimates process. As a result TBS now selects which items will be included in the Supplementary Estimates (A). In turn the new process has considerably shorter response time. Furthermore, this directed process does not seek Minister’s approval; however, it is expected that the Minister will be briefed on all of the items included.

Analysis and considerations

The 2019-20 Supplementary Estimates (A) for the Minister’s portfolio includes:

For Transport Canada (TC), funding in the amount of $227.1M for a variety of submissions:

• 12 items totaling $223.9M in voted appropriations for new and reprofiled funding, the three largest items are:
  • $165.5M for the Zero Emission Vehicles Program;
  • $31.5M to address Indigenous priorities in marine safety regarding the Trans Mountain Expansion Project; and,
  • $10.5M for the Rail Safety Improvement Program.
• 1 transfer to $3.0M in funding from CATSA related to improving air service for travelers
• In addition, there is an item of $0.2M for statutory Employee Benefit Plan (EBP) costs related to the projects listed above.

For CATSA the 2019-20 Supplementary Estimates (A) include a reprofiling of 26.1M for the Explosive Detection System and a transfer to TC in the amount of $3.0M.

For MAI, the 2019-20 Supplementary Estimates (A) includes $3.0M for fleet renewal.

Further details on all items are provided in Annex A.

Communications

The tabling of the Supplementary Estimates (A) in Parliament is not expected to attract media attention. Funding for most of the items was already announced through past federal budgets. A responsive communications approach is recommended. Should enquiries be received, existing media lines on Transport Canada’s funding items would be updated or lines would be prepared as needed.

Media enquiries concerning funding requests for Marine Atlantic Inc. and for the Canadian Air Transport Security Authority (CATSA) will be referred to these Crown corporations respectively as they operate at arm’s-length from government and are responsible for their planned spending decisions.

Next steps

It is expected that the directed 2019-20 Supplementary Estimates (A) will be tabled in the House of Commons soon after the opening of the new Parliamentary session on December 5th, 2019.

List of 2019-20 Supplementary Estimate (A) Items

Transport Canada - Voted Appropriations

Funding for the Zero Emission Vehicles Program	$165,481,919
Funding for the Green and Innovative Transportation System to address Indigenous priorities in marine safety regarding the Trans Mountain Expansion Project	$31,500,000
Funding for the Rail Safety Improvement Program	$10,493,976
Funding for the Road Safety Transfer Payment Program	$4,698,068
Funding for the Ferry Services Contribution Program	$4,439,465
Funding for the Airports Capital Assistance Program	$2,526,045
Funding to protect the Southern Resident Killer Whale	$1,500,000
Funding for the Passenger Protect Program	$1,102,170
Funding to support the Northern Transportation Adaptation Initiative	$813,895
Funding to implement an Inuit Impact and Benefit Agreement	$550,718
Funding for the Program to Advance Transportation Innovation	$528,419
Funding for the Clean Transportation Initiative	$233,535
Total Voted Appropriations	$223,868,210
Statutory Appropriations	-
Employee Benefit Plan (EBP)	$234,383
Transfers from Other Organizations	-
From CATSA to improve service to air travellers	$3,000,000
Internal Transfers	-
No internal transfers included in Supps (A)	-
Transfers to Other Government Departments (OGDs)	-
No transfers to OGDs included in Supps (A)	-
Total Budgetary Funding	$227,102,593

CATSA

Funding for the Explosive Detection System	$26,110,960
To Transport Canada to improve service to air travellers	($3,000,000)
Total CATSA	$23,110,960

MAI

Funding for fleet renewal	$3,000,000
Total MAI	$3,000,000

Critics biographies

Todd Doherty (Cariboo – Prince George, British Columbia)

 

Conservative critic for Transport

MP Todd Doherty was first elected in the 2015 federal election. Prior to his election, MP Doherty worked as an aviation executive, where he promoted regional, provincial and national passenger, cargo and tourism opportunities on the world stage. During his time in the private sector, Mr. Doherty also authored and co-authored industry papers on regulatory challenges affecting air service development and other aviation-related issues.

Since becoming a Member of Parliament, MP Doherty has focused on the creation of a national framework on post-traumatic stress disorder. He has also been vocal about the ongoing softwood lumber trade dispute between Canada and the United States. During the 42nd Parliament, Mr. Doherty served as the Conservative critic for Fisheries, Oceans and the Canadian Coast Guard.

Member of the following Committee(s):

• Vice-Chair, Standing Committee on Transport, Infrastructure and Communities

TC-related topics raised during the 42nd Parliament:

• Voiced support of M-177 (Study of the pilot shortage issue in Canada)
• Criticized Transport Canada’s fishing vessel length requirements
• Raised concerns about delegated legislation in Bill C-49
• Criticized the fee structures for airlines and air passengers

TC-related topics raised since the 43rd Canadian general election:

• Criticized the Government’s handling of the Canadian National strike

Luc Berthold (Mégantic – L’Érable, Québec)

Conservative critic for Infrastructure and Communities

 

Mr. Berthold was first elected to the House of Commons on October 19, 2015.

Prior to his political career, Mr. Berthold was a journalist and radio host for CKLD radio. In 1996, he became the Chief Editor of the “Courrier Frontenac”.

In 1999, Mr. Berthold began his political career as a Political Assistant for Ms. Nathalie Normandeau. He would go on to serve in several political positions within the Québec Liberal Party. In 2006, Luc Berthold was elected as Mayor of Thetford Mines, a position in which he served until 2013.

As a Member of Parliament, MP Berthold has served as the deputy critic for Infrastructure and Communities, the deputy critic for Transport and as Agriculture critic.

Mr. Berthold has three children.

Member of the following Committee(s):

• Standing Committee on Transport, Infrastructure and Communities

TC-related topics raised during the 42nd Parliament:

• Lac-Mégantic Rail Bypass
• Grain transportation
• Concerns regarding the transportation of oil by rail
• Opposed the privatization of Canadian airports
• Earmarking the Air Traveler Security Charge to CATSA

TC-related topics raised since the 43^rd Canadian general election:

• End the transportation of dangerous goods in Lac-Mégantic until security is “100% secure”
• Criticized the Government’s handling of the Canadian National strike

Xavier Barsalou Duval (Pierre-Boucher – Les Patriotes – Verchères, Québec)

Bloc Critic for Transport, Infrastructure and Communities

 

Mr. Barsalou Duval was first elected on October 19, 2015. He has a Master’s in Business Administration (MBA) and a Bachelor’s Degree in accounting. Prior to his political career, he taught accounting at the college level and working several years in Cabinet as the accounting auditor. Mr. Barsalou Duval has been highly implicated in his local Bloc Québecois and Parti Québecois riding associations since he was eighteen years old. He thereafter became President of the Forum Jeunesse of the Bloc Québecois, a position he held from 2012 to 2015. In his career, he has also been very active in the Mouvement Montréal français and in the Société Saint-Jean-Baptiste de Montréal.

During the 42nd Parliament, MP Barsalou Duval was the critic for the Economic Development, Government Operations, National Revenue and Public Accounts. In the aftermath of the 43rd Canadian federal election, MP Barsalou Duval was appointed as parliamentary critic for the transport, infrastructure and communities portfolio.

Member of the following Committee(s):

• Standing Committee on Transport, Infrastructure and Communities (TBD)

TC-related topics raised during the 42nd Parliament:

• Rail disaster at Lac-Mégantic in 2013;
• Safety Management System regulations;
• Amendments to the List of Prohibited Items on aircrafts; and
• Shoreline Protection Program

TC-related topics raised since the 43rd Canadian general election:

• Opposition to the idea of an “energy corridor” and the Trans Mountain Pipeline Expansion
• Electrification of the transportation sector
• Opposition to Air Canada’s proposal to acquire Air Transat

Taylor Bachrach (Skeena – Bulkley Valley, British Columbia)

NDP Critic for Infrastructure and Communities

 

In 2008, Mr. Bachrach was elected to the Telkwa Town Council. After moving to Smithers in 2011, he was elected mayor and thereafter won re-election twice.

Mr. Bachrach was first elected to the House of Commons in the 43rd Canadian general election.

Outside of his political life, Mr. Bachrach is the owner of Bachrach Communications, a media consultancy firm in Smithers. Since 2018, he has also served as the President of the Go By Bike BC organization, a cycling advocacy group.

Member of the following Committee(s):

• To be determined (TBD)

TC-related topics raised since the 43^rd Canadian general election:

• Environmental policy;
• Importance of rivers in the northwest (Statement on World Rivers Day)
• Enshrining UNDRIP into federal law
• Supportive of EV fast charging infrastructure

TC-related topics raised during his career:

• Modernization of the Smithers Airport Terminal
• Bus service connecting communities along the Highway of Tears

Niki Ashton (Churchill – Keewatinook Aski, Manitoba)

NDP Critic for Public Ownership and Transport

 

Prior to her entry in politics in 2005, Ms. Ashton worked as a coordinator and promoter of volunteering at the 2004 Summer Olympics in Athens.

With regards to her education, Ms. Ashton obtained her Bachelor’s degree in Global Political Economy from the University of Manitoba. She thereafter obtained her M.A in International Affairs from Carleton University. She is currently working to obtain a PhD in peace and conflict studies from the University of Manitoba.

Ms. Ashton has also presented her candidacy to the leadership of the New Democratic Party of Canada on two occasions, in 2012 and 2017.

Member of the following Committee(s):

• Standing Committee on Transport, Infrastructure and Communities (TBD)

TC-related topics raised during the 42nd Parliament:

• Reparation of the Churchill rail line
• Environmental policies of the Liberal government
• Greyhound’s elimination of western bus routes

TC-related topics raised since the 43rd Canadian general election:

• Crown-Indigenous relations
• Environmental policies of the Liberal government
• Opposition to the Trans Mountain Pipeline Expansion Project

Hot issue: Boeing 737 MAX 8

Suggested response

• Transport Canada (TC) is committed to keeping Canadians, the travelling public, and the transportation system safe and secure.
• TC and other key international certifying authorities are working collaboratively towards the certification and validation of the Boeing 737 MAX 8 design changes.
• As the grounding continues, TC is working with our impacted Canadian airline operators.
• TC will not lift the current flight restriction until it is fully satisfied that all concerns have been addressed by the Boeing 737 MAX 8 manufacturer and the U.S. Federal Aviation Administration, and that adequate flight crew procedures and training are in place to ensure safety.

Background

• The Boeing 737 MAX 8, a new aircraft, was involved in two serious fatal accidents resulting in the death of 346 passengers.
  • The first accident took place on October 29, 2018, where a Lion Air Flight took off from Jakarta, Indonesia, with 189 passengers on board, and crashed into the sea minutes after takeoff.
  • The second accident occurred on March 10, 2019, where an Ethiopian Air Flight took off from Addis Ababa, Ethiopia with 157 passengers on board, crashing shortly after takeoff.
• Following the Lion Air accident, Transport Canada (TC), in collaboration with the three Canada operators of the MAX 8 (Air Canada, WestJet and Sunwing), implemented additional mandatory training requirements for Canadian Boeing 737 MAX 8 pilots on a precautionary basis. These additional Canadian training requirements exceeded those of other countries.
• Following the Ethiopian Airlines accident on March 10, 2019, TC officials took immediate action to gather evidence, assess the risks and need for action. They reached out to international partners, experts from industry and pilots who fly the aircraft and considered all available information as it became available in the days immediately following this accident. Many aviation regulators overseas grounded the plane March 12, 2019.
• Early on March 13, 2019, TC experts received satellite data from Aireon, a global air traffic surveillance system company that provided indications the Ethiopian Airlines flight experienced significant flight control problems similar to the Lion Air flight. Based on this preliminary data, later the same morning, the Minister of Transport announced an immediate closure of Canadian airspace to the Boeing 737 MAX 8 on a precautionary basis. The U.S. followed Canada, grounding the Boeing 737 MAX 8 later that day.
• The U.S. Federal Aviation Association (FAA), as the state of design, is responsible for certifying Boeing’s approach to fixing the identified issues that contributed to the two accidents. Transport Canada will validate any FAA certification before the aircraft can resume flights in Canada.
• As part of its validation work, in April 2019 TC identified to the FAA key areas of concerns that must be addressed before the aircraft can return to service in Canada:
  • Acceptable levels of pilot workload
  • The architecture of the flight controls
  • Minimum training required for crew members
  • Aircraft performance
• The concerns identified by TC are closely aligned with those of other aviation authorities including: the Brazilian Civil Aviation Authority (ANAC) and the European Union Aviation Safety Agency (EASA).
• The four major certification authorities (i.e. ANAC, EASA, FAA, and TC) have been working collaboratively towards a coordinated certification and validation of the Boeing 737 MAX 8 design changes that would allow for a globally aligned return to service of the aircraft. This includes working to establish common training requirements.
• The aim of these collaborative efforts is a global return to service. However, TC has been clear with authorities, operators and the public that, if necessary for safety reasons, Canada is prepared to impose additional requirements (i.e., more robust training or procedures) than other countries, as it did after the first Boeing 737 MAX 8 crash.
• TC has been at the forefront of the international collaboration with aviation safety agencies to ensure that they are well aware of the certification and analysis work that is underway and Canada’s position on this work. Many authorities have indicated that they will be reviewing TC’s validation work to assist them in deciding whether to return the aircraft to service.
• TC also participated in the Joint Operational Technical Review (JATR) with the FAA, the National Aeronautics Space Administration (NASA) and other civil aviation authorities to conduct a comprehensive and independent technical review of the Boeing 737 MAX 8 flight control system. On October 11, 2019, the FAA published the results of the JATR review and recommendations.
• The U.S National Transportation Safety Board (NTSB) also released its report on September 26, 2019, following its Boeing 737 MAX 8 investigation. The report included seven recommendations that are closely aligned with the issues TC outlined in its April 2019 letter to the FAA, and continues to have.
• On October 25, 2019, the Indonesian authorities released a report on the 2018 Lion Air accident, which contains 26 recommendations, including 9 directed to the FAA. Some recommendations are similar in scope to those in the NTSB and JATR reports.
• TC is carefully reviewing the recommendations from the JATR, NTSB and Indonesia’s reports, which generally correspond to the issues TC identified in April 2019, as it continues its work towards the return to service of the Boeing 737 MAX 8 in Canada.
• TC also continues to work closely with the three affected Canadian air operators (Air Canada, WestJet, Sunwing) as it works through the evaluation process to consider authorizing the Boeing 737 Max 8 to fly again in Canadian airspace.
• The Canadian validation will be based on the final package Boeing submits to the FAA and the FAA’s own position on the submission, as the lead state of design. The FAA has indicated it has no timeline for this process.
• The New York Times published an article on November 22nd on a working level exchange that was initiated by a TC official with certification experts on the possibility of removing the MCAS to address ongoing concerns.
• The purpose of the exchange was to share ideas between highly trained aircraft certification experts who have been given wide latitude for assessing all issues and looking at all alternatives for the safe return to service of the aircraft. This exchange does not represent the official views of TC.
• TC has made it clear that it will not lift the current flight restriction of the Boeing 737 MAX 8 until it is fully satisfied through its validation process that all concerns have been addressed by Boeing and the FAA, and that adequate flight crew procedures and training requirements are in place to ensure safety.

Hot issue: Canadian Air Transport Security Authority Commercialization

Key messages

• The Government remains committed to moving forward with the commercialization of Canada aviation security screening services.
• This will promote a more nimble and innovative approach that provides better service and value to travelers, while maintaining the highest possible security standards.
• The negotiation and transition process is complex and we want to get this right, so we have told our partners that we are prepared to extend the negation deadline and fund and operate the Canadian Air Transport Security Authority (CATSA) on a business-as-usual basis during the next fiscal year.

Background information

• The Canadian Air Transport Security Authority (CATSA) is a Crown corporation reporting to Parliament through the Minister of Transport that provides airport security screening for passengers, baggage and workers in secure areas of airports. CATSA was established in 2002 as part of an enhanced air travel security system following 9/11.
• CATSA operates under a third-party business model and directly employs approximately 400 full time staff. CATSA delivers its mandate by contracting with private sector contractors who hire around 8,000 screening officers to conduct screening at designated airports across Canada.
• In the 2019 Budget, the Government announced its intention to sell CATSA’s assets to an arms-length not-for-profit corporation, comprised of Canada’s air carriers and airports. This is similar to the approach taken with when the Government sold its civil air navigation assets and services to a not-for-profit corporation in 1996, called NAV CANADA, unlocking new opportunities to make better use of technology to improve efficiency of operations, level of service and safety/security.
• The Security Screening Services Commercialization Act (SSSCA), which received Royal Assent on June 21, 2019, enables the sale of CATSA’s assets, authorizes the Government to designate a not-for-profit corporation as the entity that would be legislatively mandated to provide security screening services at Canada’s airports, sets out charging principles to be used by the corporation when establishing its charges for providing its screening services, and provides for the winding up of CATSA.
• As the federal regulator, Transport Canada will continue to play an exclusive regulatory and oversight role regarding aviation security for security screening at Canadian airports. The Department will continue to adjust security screening requirements at Canada’s airports as required to assure safety in an evolving security and threat environment.
• The Department is currently actively involved with industry, in order to designate a not-for-profit private corporation as the designated screening authority (DSA). Efforts are focused on due diligence activities and negotiation on key issues such as purchase price, financials and human resources, and transition. In addition to maintaining the safety and security of the Canadian travelling public, a key focus for the Government will be ensuring job security for CATSA staff through the negotiations with the DSA.

Hot issue: Current Rail Safety Oversight in the Lac-Mégantic Area

Suggested response

• In May 2019, Transport Canada (TC) ordered Central Maine and Quebec Railway (CMQ) to repair all irregularities identified following an inspection, implement safety measures, and increase monitoring efforts. CMQ took immediate action to address the non-compliances found.
• On September 6, 2019, CMQ was further ordered to proceed with all repairs identified in the spring 2019 inspection and implement new safety measures no later than October 15, 2019.
• TC is aware of Canadian Pacific’s acquisition of Central Maine and Quebec Railway. We will continue to follow any developments regarding this sale.
• TC continues to monitor the rail network, and will not hesitate to take measures as needed to ensure rail safety.

Background

• On July 6, 2013, a Montreal Maine & Atlantic Railway train carrying crude oil derailed causing 47 fatalities in downtown Lac-Mégantic (Québec). The population remains deeply concerned about rail safety.
• In 2014, Central Maine and Quebec Railway (CMQ) purchased the assets of the bankrupt Montreal Maine & Atlantic Railway, and began its rail operations after making significant investments to improve the rail infrastructure.
• CMQ does not currently transport crude oil, and made a commitment that they would not resume transportation of crude oil without first informing the affected communities.
• Since the Lac-Mégantic tragedy, numerous measures have been taken by Transport Canada (TC) to further improve rail safety, and the transportation of dangerous goods by rail, through regulatory and legislative reform. For instance, implementation of enhanced securement requirements of unattended locomotives, equipment and trains; enhanced tank car standards; and application of speed restrictions for trains carrying dangerous goods through Census Metropolitan Areas.
• In May 2019, during a rail safety inspection on CMQ’s Sherbrooke Subdivision (Farnham to Lac-Mégantic), TC noted that the number of defective rails found in ultrasonic testing had increased compared to the previous year. A Notice and Order was issued requiring the company to increase the number of ultrasonic rail inspections.
• CMQ took immediate action to address the non-compliances found including applying speed restrictions where appropriate.
• On August 15, 2019, the “Coalition des citoyens et organismes engagés pour la sécurité ferroviaire de Lac-Mégantic” (the coalition) sent a highly publicized letter to Transport Canada expressing concerns about the increase in track defects on the CMQ line in the Lac-Mégantic area.
• On September 5, 2019, the coalition sent a formal letter “mise en demeure” to TC asking the Minister to block the transportation of dangerous goods in the region until defective rails identified in the recent TC report are repaired.
• On September 6, 2019, a Ministerial Order was issued under section 32.01 of the Railway Safety Act, ordering the company to proceed with all repairs, no later than October 15, 2019.
• Since September 9, 2019, TC inspectors conducted follow-up inspections on the entirety of the Sherbrooke Subdivision to ensure that the repairs done by CMQ are in compliance with the Railway Safety Act and the Ministerial Order.
• On November 6, 2019, CMQ submitted to Transport Canada the results of their Fall 2019 ultrasonic inspection, as per the Ministerial Order. The results have been analyzed by the department, and a field inspection was conducted on November 18th and 19th.

Hot issue: Lac-Mégantic rail bypass project next steps

Key messages

• In May 2018, the Government of Canada and the Premier of Quebec announced their commitment to fund the Lac-Mégantic rail bypass project.
• Since then, technical studies were completed, and in August 2019, the governments announced the relocation of railway activities to the Lac-Mégantic industrial park.
• The project is going through an environmental review process in Quebec and its recommendations will be taken into consideration.
• On November 20, 2019, the Canadian Pacific Railway announced the acquisition of the Central Maine and Quebec Railway (CMQ), with the transaction expected to be completed by end of 2019. However, CMQ would still continue to operate on the rail corridor.
• TC will continue to work with all parties involved to implement this important social reconstruction project.

If pressed

• The planning and design phase of the project is expected to be launched in spring 2020.

Background information

• On May 11, 2018, the Prime Minister of Canada and the Premier of Quebec, announced the rail bypass in Lac-Mégantic, Quebec, in recognition of the ongoing toll on the community from the deadly rail accident that occurred in July 2013. The project, a 12.8km route at an estimated cost of $133M, will be funded by the federal (60%) and the provincial (40%) governments.
• Since the announcement, several technical and environmental studies were completed. On August 28, 2019, Transport Canada (TC) announced the relocation of the triage activities to the industrial park of Lac-Mégantic, which contributed to the social acceptability of the project.
• The provincial environmental assessment process is underway and the Government of Quebec’s Bureau d’audiences publiques sur l’environnement released its public report on October 24, 2019. The report recommended that the proposed route be maintained, which is a significant milestone for the project to move forward. Subject to a provincial Cabinet decision expected by January 2020, the project could proceed and the recommendations from the report will be integrated to the project.
• The feasibility study final report, which will inform on the engineering specifics, is expected to be completed by March 2020. The planning and design phase will be launched in spring 2020.
• The feasibility study final report, which will inform on the engineering specifics, is expected to be completed by March 2020. The planning and design phase will be launched in spring 2020.
• The Canadian Pacific announced on November 20, 2019 it will acquired the Central Maine & Quebec Railway (CMQ). The transaction is expected to be completed by end of 2019, although CMQ will continue to operate on the rail corridor.
• PSPC has initiated the land acquisition process. Since there is no change to the proposed route as a result of the BAPE report, the land acquisition process can continue while the Government of Quebec completes its environmental assessment process. PSPC will open an office in Lac-Mégantic in January 2020 to help provide services to local residents.

Hot issue: National Trade Corridors Fund

Key messages

• Canada’s trade corridors allow our businesses to compete in key global markets, trade more efficiently with international partners, and create jobs for Canadians.
• Through the National Trade Corridors Fund, the Government of Canada is currently investing in more than 80 projects across the country.
• With a federal contribution of $1.7B, these projects are leveraging a total investment of $3.6B to support economic growth and jobs by building stronger trade corridors with fewer bottlenecks and greater fluidity in movement of goods and people.
• Budget 2019 announced an additional $400M for transportation projects connecting Arctic and northern communities. These investments will help reduce the costs of essential goods and services, and support economic and social development for Northerners.

Background information

• The Canadian economy depends crucially on trade, with imports and exports equivalent to 64% of Canadian GDP. The multimodal transportation system is a fundamental enabler of this trade.
• Canada’s changing trade patterns reflect new opportunities arising from new trade agreements and growth in overseas markets; it is also influenced by our geography and the types of products we export. Many exports to overseas markets are produced far in-land, so enabling Canadian producers and manufacturers to reach foreign markets requires efficient and reliable trade corridors across the country and through our major ports.
• The Canadian transportation system faces some significant fluidity challenges, including capacity constraints at key ports, bottlenecks that cause delays and disruptions to freight and passenger movements in various parts of the country, and residence to extreme weather. These constraints can negatively affect the reliability and efficiency of our supply chains, and our international competitiveness and trade.
• The National Trade Corridors Fund (NTCF) is a merit-based competitive program to make strategic transportation infrastructure investments that reduce bottlenecks and build more efficient and fluid trade corridors to global markets.
• The NTCF was launched in 2017 with a plan to invest $1.9B over 11 years. Funding was accelerated through the 2018 Fall Economic Statement in support a more rapid diversification of export markets. The Government also provided an additional $400M for the North in Budget 2019, increasing the total NTCF funding to $2.3B over 11 years.
• Since 2018, there have been three calls for project proposals:
  1. General call (2017 to 2018): 39 projects approved, with over $800M in federal funding leveraging total investments of $1.9B.
  2. Northern call targeting the territories (2018 to 2019): 11 projects approved, with over $230M in federal funding leveraging total investments of $330M.
  3. Continuous call targeting trade diversification projects (launched January 2019 and remains open): 31 projects approved, with over $660M in federal funding leveraging total investments of $1.4B.
• Through the three call for project proposals, 81 projects have been funded representing a federal contribution of $1.7B leveraging a total infrastructure investment in our trade and transportation corridors of $3.6B.

Hot issue: School bus safety

Suggested response

• School buses in Canada already have an excellent safety record and are the safest way to transport children to and from school.
• Transport Canada (TC) continues to work with partners to find ways to make school buses even safer.
• In January 2019, the Council of Ministers responsible for transportation and highway safety established a Task Force on school bus safety, comprised of representatives from all levels of government, school bus operators, school boards, manufacturers, and safety advocates.
• The Task Force is actively working to identify opportunities to strengthen school bus safety, which includes considering the full range of potential steps that the department could take to help make school buses even safer.
• TC will continue to work with the Task Force, which will present recommendations to the Council of Ministers for consideration at their next meeting in January 2020.

Background

• School buses are the safest way to transport school children. At the same time, Transport Canada continues to work with provincial and territorial (PT) partners to find ways to make school buses even safer.
• Governed by stringent regulations and standards, school buses are built to protect children (e.g. high roof crush standards, compartmentalized/padded seats, window retention to prevent ejection, flashing lights).
• Research confirms that three-point seatbelts can also provide a layer of safety in certain rare but severe school bus collision scenarios. At the same time, there are financial and operational matters that must be considered (e.g. potential seatbelt misuse, proper belt adjustment, emergency evacuations, and liability).
• In July 2018, TC published regulations for the optional installation of three-point seatbelts on school buses. At present, the decision rests with owners/operators and school boards, together with provinces and territories, to determine whether to install them.
• On January 21, 2019, the federal/provincial/territorial Council of Ministers responsible for Transportation and Highway Safety established a Task Force on School Bus Safety mandated to review safety standards and operations, both inside and outside the bus, with an emphasis on seatbelts.
• The Task Force released a preliminary report in June 2019, identifying three key areas to consider strengthening school bus safety:
  • driver assistance (e.g. automatic emergency braking)
  • safety Features outside the bus (e.g. measures to protect children in or near school bus loading zones, where they are most at risk)
  • occupant protection (e.g. three-point seatbelts)
• In June 2019, the House of Commons Standing Committee on Transport, Infrastructure and Communities published a report recommending the Government continue to support the work of the Task Force and its recommendations, noting that seatbelts are not the only solution to increasing school bus safety.
• TC is working to secure an agreement with a school board to conduct a pilot to assess the operational considerations associated with the use of three-point seatbelts on school buses.
• In parallel, the Department continues to work with partners on the Task Force to finalize a report, for consideration at the January 2020 meeting of the Council of Ministers.

Hot issue: Screening at non-designated airports

Key messages

• With the Transportation Modernization Act, the Government of Canada has taken concrete steps to allow small airports such as Sherbrooke to offer security screening services to their passengers on a cost recovery basis.
• This arrangement allows small airports to enhance their economic competivivenness.
• It remains the decision of each airport to determine if the necessary investment is economically viable.
• Transport Canada’s priority is the safety and security of the transportation network.

If pressed

• Transport Canada continually explores flexible approaches to aviation security that address evolving industry circumstances and security risks.

Background information

• The Canadian Air Transport Security Authority (CATSA) was created as Canada’s national aviation screening authority in 2002 in response to the September 11, 2001 attacks. 89 airports were designated to receive CATSA screening.
• Over the past few years, several small, non-designated airports (such as Sherbrooke) have expressed an interest in obtaining screening services, arguing that screening services would support economic development opportunities by attracting routes to larger, designated airports.
• On July 29, 2015, regulatory amendments to the Canadian Aviation Security Regulations, 2012, were published in Canada Gazette, Part II. These allowed small, low-risk airports the ability to be considered designated by the Minister to allow them to purchase screening services from CATSA.
• The Transportation Modernization Act, which received Royal Assent on May 23, 2018, allows CATSA to implement screening services with stakeholders on a cost recovery basis.
• Before screening operations can commence:
  • The airport must meet all security requirements and enter into an agreement with CATSA, and
  • The Minister must designate the specific airports where screening will take place and inform the public.
• According to exchanges during the week of November 18, 2019, Sherbrooke airport is planning to send its Aerodrome Security Plan to Transport Canada for evaluation shortly. Once the department has received the necessary documentation, it will be assessed in accordance with the Canadian Aviation Security Regulations, 2012.
• The entire process takes approximately three months from the time the request for designation is received until the screening services can commence.
• This arrangement also allows Canada’s small airports to enhance their competitiveness without compromising the level of aviation security at existing designated airports.

Hot issue: VIA Rail's high frequency rail project

Suggested response

• As Minister of Transport, my mandate is to ensure that Canadians have access to a transportation system that is efficient, reliable, safe and environmentally responsible.
• I am pleased to report that further project design and due diligence work is being undertaken on VIA Rail’s High Frequency Rail (HFR) proposal by a Joint Project Office, led by the Canada Infrastructure Bank and VIA Rail.
• The Government will carefully consider the analysis provided by the Joint Project Office and Transport Canada before making a final investment decision on HFR. This decision will consider the best interests of Canadian travellers, value for money and respect for the highest safety and security standards.

Background

• While passenger rail has declined in Canada in recent decades as private vehicle and air travel has expanded, it remains a preferred travel choice for some Canadians, particularly in the busy Quebec City-Windsor corridor, and offers an accessible transportation option with a lower environmental impact than alternatives like air and private automobile.
• VIA operates on shared infrastructure with freight operators, resulting in congestion on conventional tracks, limited frequencies, and poor on-time performance. These impacts therefore constrain the ability of VIA’s intercity passenger rail service to be an effective and reliable mobility option for Canadians.
• In response to these challenges, in 2016, VIA put forward a proposal for High Frequency Rail (HFR) between Toronto and Quebec City. A cornerstone of the HFR project is a proposed investment in dedicated tracks exclusive to its services to allow for more frequent, faster and reliable service that would make the train a more attractive option for travellers in this busy transportation corridor.
• Transport Canada (TC) has worked with VIA Rail, the Canada Infrastructure Bank and Finance Canada to conduct an in-depth assessment of VIA Rail’s HFR proposal. In June 2019, the Government committed $71.1 million, including funds from the Canada Infrastructure Bank, to undertake pre-procurement and de-risking activities identified by TC’s due diligence. This funding will also support investments to preserve the option of interoperability between VIA’s proposed HFR service and Montreal’s future Réseau express métropolitain (REM) light rail system, and to further explore better linking these systems in the area of the Trudeau International Airport in Dorval.
• The Government established an HFR Joint Project Office, between VIA and the Canada Infrastructure Bank, to move forward with the next steps on the de-risking and pre-procurement activities required to position the Government to make a final investment decision on the HFR project. This includes preparation for an environmental assessment and preliminary work on land acquisitions, and stakeholder engagements, including consultations with Indigenous communities.
• Should it proceed, HFR would leverage a recent Government investment to replace VIA’s fleet serving the Quebec City-Windsor corridor. In December 2018, VIA awarded a $989M contract to Siemens Canada Inc. to provide 32 trainsets to replace the existing corridor fleet. These trains will begin entering into service in 2022. The contract with Siemens includes options to procure additional trainsets should the Government decide to implement HFR.

Hot issue: Winter tires

Key messages

• Safety is Transport Canada’s top priority, including regulatory and oversight measures to strengthen road safety in Canada.
• Winter tires can significantly help to improve the stability and safety of vehicles in winter conditions. As such, Transport Canada encourages drivers and vehicle owners to install four winter tires on their vehicles during cold and snowy weather.
• Transport Canada is taking action to strengthen safety in this area, including:
  • launching a new round of compliance testing of winter tires in November 2019, thereby doubling the amount of tire testing being conducted this year;
  • focusing our compliance testing on tires that are marketed as ‘winter-certified’ or ‘all-weather’; and
  • working with U.S. counterparts to explore potential updates to the benchmark tire model used for compliance testing.
• These actions build on Transport Canada’s strict requirements for winter tire performance. Canadians can look for an Alpine symbol marking – a three-peak mountain/snowflake pictogram, branded on a tire's sidewall, which indicates that the tire will perform better in Canadian winter conditions.
• These requirements were most recently updated in 2013, and are directly aligned with U.S. requirements.

If pressed

• Transport Canada conducts compliance testing to ensure that winter tires meet federal safety requirements. Of 60 different winter tire models that have been tested since 2014, only one failed and it was therefore subject to a recall.

Background information

• Under the Motor Vehicle Safety Act (MVSA), Transport Canada (TC) establishes Canada’s Motor Vehicle Safety Regulations, which apply to motor vehicles, child restraint systems and tires.
• All tires in Canada must comply with these minimum safety regulations and their associated performance standards. TC works with all levels of government to keep these standards up to date, and performs tests to ensure compliance. Should a safety defect or non-compliance be suspected, TC investigates and mandates corrective action by the manufacturer (e.g. recall).
• Provinces and territories are responsible for deciding whether to require the use of winter tires. Quebec is the only jurisdiction in Canada where the use of winter tires is mandatory province-wide during the winter driving season.
• Under the MVSA, tire manufacturers are responsible for ensuring that their tires meet Transport Canada’s minimum standards for winter performance.
• TC’s minimum performance requirements and testing standards for passenger/light truck winter tires have been in place since 1999. In 2013, the testing requirements for winter tires were updated to be even more stringent. These standards were developed collaboratively between the US and Canada, and today the standards in the two countries are fully aligned.
• Under this standard, winter tires must undergo traction testing on medium packed snow, and achieve a traction index rating equal to, or greater than, 110 (i.e. 10%) when compared to a reference test tire. Under the MVSA, manufacturers are required to certify that their winter tires meet this traction performance test. Manufacturers may then display the corresponding Alpine symbol (a three-peak mountain/snowflake pictogram) on their tires to help drivers easily identify tires that provide a higher level of snow traction suitable for winter driving.
• Since the introduction of the updated standard in 2013, the annual average number of collisions during winter months in Quebec decreased by 19% when compared to the five-year annual average prior to the 2013 update. For comparison purposes, over the same time period, the average number of collisions during winter months across Canada decreased by 4%.
• TC conducts compliance testing to ensure that winter tires meet federal safety requirements. For example, since 2014, TC has tested more 60 different winter tire models with the Alpine symbol affixed. Of these 60 tire models, only one was found to be in non-compliance with the safety requirements, which resulted in a recall of these tires.
• Compliance testing occurs at the Smithers Rapra test centre located in Raco, Michigan. TC has a contract in place with Smithers Rapra, which was established through an open, competitive process.
• Through this contract, TC has tested the significant majority of tires used on Canadian roads. It is estimated that there are approximately 100 brands of tires used in Canada (number varies annually with new market entrants), and TC selects tires for testing using risk-based criteria (i.e. popularity, compliance history, complaints, new market entrants). As part of these compliance tests, TC has tested all of the tire models of the top five manufacturers, which account for approximately 50% of the winter tire market share. Based on the strong compliance history of these manufacturers, compliance testing is increasingly focusing on risk criteria involving new market entrants, low-cost tires, and complaints. In addition, TC is now specifically selecting tires that have an Alpine symbol but marketed as ‘winter certified’ or ‘all-weather’.
• Note that some manufacturers are marketing winter tires that exceed the minimum winter requirements set by TC, and are making claims regarding performance on ice. A minimum government standard for winter tire performance on ice surfaces does not exist in Canada, the US or EU due to challenges with developing a repeatable test on ice surfaces, and due to potential tradeoffs in performance in icy conditions versus snow/slush conditions.
• As part of continuing efforts to strengthen safety in this area, TC is undertaking the following actions:
  • launching a new round of compliance testing of winter tires in November 2019 (thereby doubling the annual amount of winter tire testing);
  • working with the U.S. National Highway Traffic Safety Administration to consider updates to the standard reference tire for comparison purposes, which will help support a continued strengthening of the harmonized standard being used for winter tire compliance testing; and
  • monitoring the current efforts by European agencies to see if they have any success in developing a standard specific to ice traction.

Hot issue: Zero-Emission Vehicles

Suggested response

• The Government of Canada is committed to reducing greenhouse gas emissions from all sectors, including the transportation sector which, represents almost a quarter of Canada’s total annual emissions.
• To move towards decarbonizing of the transportation sector, the Government has set ambitious Zero-Emission Vehicles (ZEV) sales targets of 10% of new light-duty vehicle sales by 2025, 30% by 2030 and 100% by 2040.
• To help meet these targets, Budget 2019 allocated $700 million towards new measures, including a federal incentive of up to $5,000 for the purchase or lease of eligible ZEVs.
• The incentive program has already had a positive impact on Canadian ZEV sales. Between May and October, ZEV sales were up 27% compared with last year.

Background

• Zero-emission vehicles (ZEVs) are vehicles that can operate without producing tailpipe emissions, such as battery electric, plug-in hybrid electric, and hydrogen fuel cell vehicles.
• One ZEV on the road can prevent 4 metric tonnes of GHG emissions per year. ZEVs have the potential to significantly reduce Canada’s GHG emissions.
• To accelerate adoption of ZEVs in Canada, a number of federal initiatives are underway, such as investments in charging infrastructure across the country, a business tax write-off for the purchase of ZEVs, voluntary supply agreements with automakers, and an Incentive for Zero-Emission Vehicles (iZEV) Program. Other Government measures are also incenting greater availability and adoption of ZEVs in Canada, including carbon pricing, the Clean Fuel Standard and the LDV GHG regulations.
• A number of provinces have also implemented programs and other measures to increase the up-take of ZEVs. Both Quebec and British Columbia provide purchase incentives for new ZEVs. Quebec also has a ZEV mandate that requires automakers to meet ZEV sales targets, and BC is in the process of developing a regulation that will require automakers to meet sales targets towards the full phase out of the sale of combustion engine LDVs in the province by 2040.
• The federal iZEV program provides a point-of-sale rebate for the purchase or lease of eligible ZEVs under $45,000, as the higher purchase price of ZEVs is a barrier to ZEV uptake. Under the program there are two levels of incentives:
  • Battery-electric, hydrogen fuel cell, and longer range plug-in hybrid vehicles are eligible for an incentive of $5,000
  • Shorter range plug-in hybrid electric vehicles are eligible for an incentive of $2,500
• Since its launch in May 2019, over 30,000 Canadians and Canadian businesses have benefitted from the point-of-sale incentive.

Hot issue: Procurement of new passenger ferries

Key messages

• The Government understands the importance of ferry services to the local communities and economies of Eastern Canada, including connecting Newfoundland to the mainland.
• Budget 2019 announced that the Government would procure two new vessels to replace the MV Madeleine which provides serves between Souris, Prince Edward Island and Îles-de-la-Madeleine, Quebec and the MV Holiday Island that operates between Wood Islands, Prince Edward Island and Caribou, Nova Scotia. The new vessels are expected to be in service by 2024-25.
• The Government has since announced an Advance Contract Award Notice to Chantier Davie and has entered into negotiations with the shipyard regarding the design and construction of the new vessels. The Government is currently working with Chantier Davie to develop the project schedule.
• Budget 2019 also announced that it would support Marine Atlantic with regard to modernizing its fleet through the procurement of a new vessel to replace the MV Leif Ericson. The new vessel is expected to enter service in 2023-24.

If pressed

• MAI is leading the procurement through an open, transparent and competitive process for a new vessel. The process is open to both Canadian and International entities.

Background information

Eastern Canada Ferry Services

• Transport Canada (TC) provides vessels and funding to private operators to support three inter-provincial ferry services in Eastern Canada, between:
  • Îles-de-la-Madeleine, Quebec and Souris, Prince Edward Island;
  • Saint John, New Brunswick and Digby, Nova Scotia; and
  • Wood Islands, Prince Edward Island and Caribou, Nova Scotia.
• In Budget 2019, the Government announced that it would procure two new vessels to replace the MV Madeleine and the MV Holiday Island, which are at the end of their lifecycles. It was also announced that TC will extend the agreements with the current ferry operators to March 31, 2022.
• On May 22, 2019, the Government issued an Advance Contract Award Notice announcing its intention to award a contract for the construction of the two new ferries to Chantier Davie. On June 19, 2019, it was announced that the Government is entering into negotiations with Chantier Davie.
• TC is in discussion with Chantier Davie regarding the design and construction of the new ferries. The MV Madeleine replacement is expected to be delivered within 48 months of contract award and the MV Holiday Island replacement is expected 12 months later or within 60 months of contract award.
• On November 14, 2019, the joint venture of Lengkeek Vessel Engineering and Knud E. Hansen was selected to provide technical advisory services to TC for the procurement of new ferries. The contractor will support all phases of the project including preparing the statement of requirements for the two new vessels, supporting contract negotiations with the shipyard and providing onsite oversight at the shipyard during vessel construction.
• On November 26, 2019, the Government awarded an initial contract worth approximately $1M to Chantier Davie to establish a Project Management Office and to initiate specific engineering studies to support the efficient and timely design and construction of the new ferries.

Marine Atlantic Incorporated

• Marine Atlantic Incorporated (MAI) is a Crown corporation that fulfills Canada’s constitutional obligation to provide year-round ferry services between North Sydney, Nova Scotia, and Port aux Basques, Newfoundland and Labrador (NL). MAI also provides a non-constitutional summer service between North Sydney and Argentina, NL. As a Crown corporation, MAI is a distinct legal entity operating at arm’s length from the Government of Canada.
• MAI owns three ferry terminals and operates a fleet of four ice-class ferry vessels, which allows for safe operations in the challenging weather conditions of the Gulf of St. Lawrence during the winter months.
• In Budget 2019, the Government announced that it would support MAI’s fleet modernization through the procurement of a new vessel to replace the MV Leif Ericson, which is nearing the end of its lifecycle.
• On July 17, 2019, MAI launched its procurement with the release of a Request for Qualifications (RFQ). After the closing of the RFQ posting on November 13, 2019, MAI is now evaluating submissions and qualifying shortlisted applicants to participate in a Request for Proposals (RFP) process. It is expected that MAI will launch the RFP in the winter of 2019-20, and that a successful bidder will likely be selected in late 2020/early 2021.

Hot issue: Aerodrome Saint-Roch-De-L’Achigan

Key messages

• The safety and security of the transportation system are my top priorities.
• Transport Canada has been advised of the Saint-Roch-de-l'Achigan aerodrome proponent’s intention to address concerns regarding his summer 2019 consultation process, with the goal of moving forward with the proposed aerodrome project.
• The Department will continue to work on this file to maintain the safety and security of the transportation system and protect public interest.

If pressed

• The proponent in response to the deficiencies that were identified, submitted documents to Transport Canada to address them, including an acoustic study and a revised consultation report.
• These documents will be reviewed by the department.

Background information

• In April 2019, Transport Canada was officially informed of the proponent's intention to relocate the Mascouche aerodrome project to a new site in the municipality of Saint-Roch-de-l'Achigan.
• On August 29, 2019, on grounds of public interest, Minister Garneau issued a Ministerial Order prohibiting the aerodrome development as proposed in the proponent’s summary report dated August 12, 2019. Deficiencies identified in the consultation undertaken by the proponent and in the proposed aerodrome project, namely the lack of clarity regarding anticipated activities at the aerodrome and the impact of the noise footprint on the community, reinforced the need for the Minister to intervene. This decision was made pursuant to section 4.32 of the Aeronautics Act, which allows the Minister to prohibit the development of an aerodrome where the Minister is of the opinion that the proposed development is likely to adversely affect aviation safety or is not in the public interest.
• On November 12, 2019, the proponent informed TC that they carried out a new acoustic study. They met with Saint-Roch de l'Achigan City Council on November 18, 2019 and other interested parties, including the SRA Coalition, on November 20, 2019 to present the results of this study. Their goal was to identify concerns and develop mitigation measures to recommend to TC. The proponent indicated that they would submit a revised copy of the summary report to TC following these meetings.
• The proponent submitted a revised report to Transport Canada on December 4, 2019.

Hot issue: Vehicle fires – Hyundai

Issue/Question

https://www.cbc.ca/news/canada/british-columbia/hyundai-kia-engine-failure-recalls-1.5382373

Suggested response

• Safety is Transport Canada’s top priority, including strengthening road safety for drivers, passengers and all road users.
• With respect to engine fires, Transport Canada records and investigates complaints to determine whether a safety defect exists. These investigations involve vehicle inspections, collaboration with local authorities, analysis of engine parts, and discussions with manufacturers. For example:
  • In September 2018, Transport Canada opened an investigation with respect to Kia and Hyundai engine fires. As a result of the department’s investigation, in March 2019, Kia and Hyundai issued a number of recall notices in Canada.
  • In October 2019, Transport Canada opened an investigation into reports of fires affecting GMC Sierra and Yukon vehicles. This investigation is still ongoing, and involves vehicle inspections, and exchanging information with manufacturers and with the U.S. National Highway Traffic Safety Administration.
• Transport Canada monitors recall completion rates. Manufacturers are required to provide updates to Transport Canada on these recall completion rates, on a quarterly basis.
• Manufacturers are required to ensure that vehicles sold in Canada meet Canadian safety standards, including safety requirements for engines. Transport Canada performs testing to confirm that these standards are met.
• I would like to encourage vehicle owners and drivers to contact Transport Canada if they suspect a safety defect issue. This will help Transport Canada to investigate possible vehicle safety defects, and ultimately protect the safety of drivers and road users.

Background

• Under the Motor Vehicle Safety Act (the Act), manufacturers are required to notify Transport Canada (TC) when they are aware of a defect in the design or construction of a vehicle that may endanger the safety of persons. Pursuant to the Act, TC has the authority to:
  • Require a manufactuer to issue a notice-of-defect, notice-of-non-compliance, and order a recall;
  • Publish notices and recalls on the Department’s website;
  • Share this information with provinces/territories.
• On March 1, 2018, Bill S-2, Strengthening the Motor Vehicle Safety Act for Canadians received Royal Assent. Section 5(2) provides the Minister of Transport with the authority to obtain prescribed information from manufacturers. This authority will come into force, once regulations have been developed to specify new information requirements. Stakeholder engagement is underway to help shape the development of new information requirements under this authority (e.g. creation of an early warning system; reports of vehicle fires), with formal regulatory consultations scheduled to begin in February 2020.
• For public and vehicle owner awareness, TC publishes notices of defect in both official languages on its website. If any vehicle owner or driver experiences what they believe may be a safety issue with their vehicle, they are encouraged to report it to TC’s Defect Complaints and Recalls Hotline at 1-800-333-0510 or submit a defect complaint form online at: www.tc.gc.ca/recalls.
• TC records and investigates reports of potential safety defects to identify possible causes. The information is then relayed to the manufacturer to help identify trends or commonalities that could determine whether safety defect exists, and inform potential regulatory and non-regulatory action to improve road safety.
• Since 2017, the department has received approximately 311 reports of vehicle fires (see table below). It should be noted that not all vehicle fires stem from safety defects. Vehicle fires can also be caused by arson, collisions, wildlife, or poor maintenance.
• In response to complaints/reports, TC undertakes investigations, which involves reviewing complaints, discussions with manufacturers, and analysis of parts. It also involves documenting real world events, communicating with vehicle manufacturers and exchanging information with the US National Highway Traffic Administration.
• For example, as a result of TC’s investigation into reports of Kia and Hyundai fires, in March 2019, both manufacturers issued recall notices for vehicles models equipped with a specific engine type known as “Theta-II”. The recalls are as follows:

  • Hyundai:
    (Recall # 2019-130)

    • 2011-2018 Sonata
    • 2013-2018 Santa Fe Sport
    • 2011-2015 Tucson

  • Kia:
    (Recall #2019-153 and #2019-143)

    • 2011-18 Optima
    • 2012-18 Sorento
    • 2011-18 Sportage
  • In October 2019, TC also opened investigations as a result of reports of fires affecting GMC vehicles (2018 GMC Sierra and 2015 GMC Yukon). These investigations are still ongoing - the cause has not yet been determined.
  • With respect to the CBC media coverage of the fire affecting the 2017 Mercedes C 43 vehicle, the fire occurred in April 2019 while the vehicle was parked. The vehicle was completely destroyed, and the cause is unknown. There have been no fires reported for similar vehicles.
  • Information about recalls can be found on Transport Canada’s website at: www.tc.gc.ca/recalls.
  • The number of vehicle fires reported to TC per manufacturer from 2017 to December 2, 2019:

  2017

  • ALEXANDER DENNIS: 3
  • ARCTIC CAT INC: 2
  • BLUE BIRD: 1
  • BMW: 4
  • BRP: 10
  • CHRYSLER: 8
  • FORD: 11
  • FREIGHTLINER: 1
  • GM: 6
  • HONDA: 3
  • HYUNDAI: 7
  • KAWASAKI: 1
  • LAND ROVER: 1
  • MERCEDES-BENZ: 5
  • NISSAN: 5
  • POLARIS: 1
  • POWERMAX: 1
  • PREVOST CAR: 1
  • SUBARU: 1
  • TESLA: 1
  • TOYOTA: 3
  • VOLKSWAGEN: 7

  Total in 2017: 83

  2018

  • BLUE BIRD: 2
  • BMW: 16
  • BRP: 6
  • CHRYSLER: 12
  • DAIMLER TRUCKS: 1
  • FORD: 22
  • GM: 6
  • HONDA: 4
  • HYUNDAI: 11
  • INTERNATIONAL: 1
  • KENWORTH: 1
  • KIA: 1
  • MERCEDES-BENZ: 5
  • MITSUBISHI: 1
  • NISSAN: 5
  • PETERBILT: 1
  • SUBARU: 2
  • SUZUKI: 1
  • TOYOTA: 2
  • VOLKSWAGEN: 2

  Total in 2018: 102

  2019 (as of 2019-12-02)

  • ALEXANDER DENNIS: 1
  • ARCTIC CAT INC: 4
  • BLUE BIRD: 1
  • BMW: 3
  • BRP: 5
  • CHRYSLER: 18
  • FORD: 9
  • FREIGHTLINER: 1
  • GM: 13
  • HONDA: 1
  • HYUNDAI: 33
  • KIA: 16
  • MERCEDES-BENZ: 4
  • MITSUBISHI: 1
  • NISSAN: 4
  • SUBARU: 1
  • TESLA: 1
  • TOYOTA: 4
  • VOLKSWAGEN: 3
  • VOLVO: 1
  • VOLVO TRUCKS: 2

  Total in 2019 (as of 2019-12-02): 126

  Hot issue: Canadian Pacific Railway - Derailment

  Key messages

  • Transport Canada is monitoring the derailment that took place near Lanigan, Saskatchewan.
  • The Transportation Safety Board is the lead federal investigative organization for transportation accidents in Canada. Although the Board has not yet launched an official investigation, Transport Canada has appointed a Minister's observer.
  • Transport Canada officials have deployed to the incident.
  • We cannot speculate on the cause, but Transport Canada will not hesitate to take immediate enforcement action if safety issues are identified.
  • Transport Canada will utilize the authorities granted under the Railway Safety Act and Transportation of Dangerous Goods Act required to protect public safety.

  Background information

  • On December 9, 2019, at 0005 CST, a derailment occurred west of Lanigan, Saskatchewan. An eastbound train consisting of two sand cars and 99 loaded petroleum crude oil railcars (UN1267 / Class 3) was involved in a derailment at milepost 48.7 of the Sutherland subdivision of the CP main line along the Yellowhead Highway (Hwy 16).
  • The Crude oil Shipper was Conoco Phillips, the unit train originated in Rosyth, Alberta (9 km from Hardisty, Alberta) destined for Houston, Texas.
  • There are 34 railcars derailed: 23 on fire, 10 not on fire but at risk.
  • RCMP have closed Highway 16 and detours are in place and RCMP is redirecting traffic around the site.
  • One residence is located approximately 200 meters from the derailment and the residents voluntarily evacuated.
  • First responders have arrived and are continuing to arrive on the scene.
  • CP Hazmat Officer, as well as an emergency response contractors including emergency response equipment are arriving on site.
  • CP has reported the crew were not injured and were able to pull the locomotive away from the fire.
  • The involved cars are DOT 117 or retrofitted DOT 111 to comply with Protective Directive 39 (specifics to be confirmed).
  • Transport Canada has deployed a TDG manager from Saskatoon and is on site.
  • A Transport Canada Remedial Measures Specialist and a Railway Safety Inspector deployed from Winnipeg, Manitoba. Due to the drive, the estimated time of arrival is 12:00 CST. Additionally, a tank car specialist is being deployed.
  • CP’s last visual track inspection was conducted on December 8, 2019.
  • Prior to the derailment, the last train to travel on the track was going westbound on December 8, 2019 at 2100 CST.
  • TC last inspected this section of track on August 27, 2019 and no issue were noted.
  • TC will be requesting a download of the locomotive event recorder (to determine speed at the time of derailment) and any forward facing video camera footage.
  • The Transportation Safety Board (TSB) is deploying investigators. TC has appointed a Minister’s Observer in anticipation that the TSB decides to launch an investigation.

  Funding for the zero-emission vehicles program

  Requesting $165,481,919 for the 2019-2020 Supplementary Estimates A.

  Key messages

  • The $165.5M in planned spending comes from the $300M funding envelope received in Budget 2019 for the iZEV Program.
  • The overall objective of the iZEV Program is to contribute to a clean transportation system by increasing the adoption of zero-emission vehicles in Canada through purchase incentives, as a means to reduce air pollution and/or greenhouse gas (GHG) emissions from transportation.
  • The federal Incentive for Zero-Emission Vehicles Program provides point-of-sale rebates of up to $5,000 for the purchase or lease of eligible ZEVs, making them more affordable for Canadians.
  • Some of the figures disclosed in the key messages prepared for the Incentives for Zero-Emissions item are reflective of different time periods. As such, the information presented could be erroneously interpreted. The information should be read as follows:
    • Since the launch of the program on May 1, 2019, over 27,000 Canadians and Canadian businesses have benefited from the point-of-sale incentive as of October 31, 2019.
    • Total ZEV sales in Canada have increased 27 per cent compared to the same period last year.
  • The Government of Canada will continue to operate until the existing funding is exhausted and will review the performance of the program within the context of future strategies for encouraging the development and the adoption of zero-emission vehicles.

  Background

  The overall objective of the iZEV Program is to contribute to a clean transportation system by increasing the adoption of zero-emission vehicles in Canada through purchase incentives, as a means to reduce air pollution and/or greenhouse gas (GHG) emissions from transportation.

  The federal Incentives for Zero-Emission Vehicles Program provides point-of-sale rebates of up to $5,000 for the purchase or lease of eligible ZEVs, making them more affordable for Canadians.

  Between May 1, 2019 (launch of the program) and October 31, 2019, over 27,000 Canadians and Canadian businesses have benefited from the point-of-sale incentive and total ZEV sales in Canada have increased 27 per cent compared to the same period last year. As the uptake of the incentives was much higher than projected, TC had to advance funding from future years in order to ensure funding was available to meet the demand for incentives.

  The $165.5M in planned spending comes from the $300.0M funding envelope received in Budget 2019 for the iZEV Program.

  Funding for the green and innovative transportation system to address indigenous priorities in marine safety regarding the trans mountain expansion project

  Requesting $31,500,000 for the 2019-2020 Supplementary Estimates A.

  Key messages

  • Funding has been allocated to multiple departments to support the Government of Canada in implementing the Trans Mountain Pipeline Expansion Project, including accommodation measures to address the concerns of potentially affected Indigenous groups, and responses to Canada Energy Regulator recommendations.
  • Transport Canada is supporting the implementation of the Trans Mountain Expansion Project. Given the department’s mandate for marine safety, Transport Canada is fulfilling a key role in working with Indigenous groups to deliver accommodation measures designed to directly address concerns identified by Indigenous groups during consultations, pertaining, in part, to marine safety and the marine environment. Transport Canada is also responding to the Canada Energy Regulator’s recommendations to the Government on the project.
  • Transport Canada is responsible for leading on three measures including providing Indigenous coastal communities with access to web-based maritime information, funding for marine safety equipment and training, and opportunities to engage in research to reduce vessel noise to minimize impacts on the Southern Resident Killer Whale.
  • TC is implementing the Crude Oil Tanker Technology Demonstration Program, for the development and demonstration of next generation low underwater noise, low emissions oil tankers that will service the project.
  • These funds also include contributions to support the implementation of the Enhanced Maritime Situational Awareness Initiative (EMSA) and will enable three additional communities in the TMX project area to become pilot host communities and join the existing EMSA initiative under the Oceans Protection Plan.
  • These funds will enable the department to undertake this important work, and continue to develop and build meaningful relationships with Indigenous communities and stakeholders as part of the Project’s implementation.
  • These funds will directly support the Government of Canada’s implementation of the Project. The Trans Mountain Pipeline Expansion will create thousands of jobs, allow Canadians to get better prices for Canadian oil, and open up new avenues for Indigenous economic prosperity.

  Background

  Funding has been allocated to multiple departments to support the Government of Canada in implementing the Trans Mountain Pipeline Expansion Project, including accommodation measures to address the concerns of affected Indigenous groups, and responses to Canada Energy Regulator recommendations.

  Transport Canada is supporting the implementation of the Trans Mountain Expansion Project. Given the department’s mandate for marine safety, Transport Canada is fulfilling a key role in working with Indigenous groups to deliver accommodation measures designed to directly address concerns identified by Indigenous groups during consultations, pertaining, in part, to marine safety and the marine environment. Transport Canada is also responding to the Canada Energy Regulator’s recommendations to the Government on the project.

  In this context, Transport Canada is requesting $30.0M in G&C to implement the Crude Oil Tanker Technology Demonstration Program, which will support the development and demonstration of next generation low underwater noise, low emissions oil tankers that will service the project.

  Another $1.5M in contribution funding will support the implementation of the Enhanced Maritime Situational Awareness Initiative (EMSA) and will enable three additional communities in the TMX project area to become pilot host communities and join the existing EMSA initiative under the Oceans Protection Plan.

  These funds will enable the department to undertake this important work, and continue to develop and build meaningful relationships with Indigenous communities and stakeholders as part of the Project’s implementation.

  Rail safety improvement program

  Requesting $10,493,976 for the 2019-2020 Supplementary Estimates A.

  Key messages

  • The source of funding is Budget 2019, the safe and secure road and rail transportation component.
  • The Rail Safety Improvement Program provides grant and contribution funding to improve rail safety and reduce injuries and fatalities related to rail transportation.
  • Under the Infrastructure, Technology and Research component of the Rail Safety Improvement Program, the re-profiled funds will be used to reimburse recipients for incurred eligible expenditures that have yet to be claimed due to delays in signing contribution agreements or in project implementation.
  • Funds will be used to address rail line safety issues; therefore, Canadians will benefit from a reduction in the number of injuries and deaths from accidents along rail lines and on rail property.
  • Rail safety activities may include:
    • Improving roadways and intersections (such as adding sidewalks, constructing diversion road); installing flashing lights, bells, gates; and constructing full pedestrian overpasses.
    • Implementing technology safety improvements through innovative technologies such as new detection technologies, onboard data recorders, and communication protocols.
  • Conducting research or studies related to enhancing the safety of rail lines such as blocked crossings, restricting pedestrian access outside designated areas.

  Background

  The Rail Safety Improvement Program provides grant and contribution funding to improve rail safety and reduce injuries and fatalities related to rail transportation.

  The Infrastructure, Technology, and Research component of the Rail Safety

  Improvement Program funds rail safety improvements that support measures to improve public safety at rail property and rail lines (both federally and provincially regulated).

  The $10.5M is to re-profile lapsed funds which will be used to reimburse recipients for incurred eligible expenditures that have yet to be claimed.

  Examples of some of the rail safety activities include:

  • Improving roadways and intersections (e.g., adding sidewalks, constructing diversion roads); installing flashing lights, bells, and gates; and constructing full pedestrian overpasses.
  • Implementing technology safety improvements through innovative technologies such as new detection technologies, onboard data recorders, and communication protocols.
  • Conducting research or studies related to enhancing the safety of rail lines (such as blocked crossings, and restricting pedestrian access outside designated areas).

  Road safety transfer payment program

  Requesting $4,698,068 for the 2019-2020 Supplementary Estimates A

  Key messages

  • The source of funding is Budget 2019, the safe and secure road and rail transportation component.
  • The Road Safety Transfer Payments Program (RSTPP) contributes to improving the safety of roadways, road users, and motor vehicles in Canada to create a consistent national safety code framework across all jurisdictions.
  • The RSTPP provides federal co-funding in the form of contributions to the provinces, territories, and the Canadian Council of Motor Transport Administrators (CCMTA) to help establish a national regulatory framework for motor carrier safety. The re-profiled funds will be used to reimburse these provinces for work already completed and expenses incurred. Delays due to signing agreements prevented the department from making these payments in the previous fiscal year.
  • An increased levels of safety for motor carrier transportation nationally, which contributes to increased road safety for all Canadians.
  • As a result of delays in signing updated agreements with the provinces of Quebec and Alberta, there is a need to re-profile RSTPP funds.
  • The re-profiled funds will permit the department to reimburse Quebec and Alberta for eligible expenditures previously incurred.

  Background

  The Road Safety Transfer Payment Program (RSTPP) contributes to improving the safety of roadways, road users, and motor vehicles in Canada to create a consistent national safety code framework across all jurisdictions.

  The RSTPP provides federal co-funding in the form of contributions to the provinces, territories, and the Canadian Council of Motor Transport Administrators (CCMTA) to help establish a national regulatory framework for motor carrier safety.

  The $4.7M is to re-profile lapsed funds which will now be used to reimburse provinces for work already completed and expenses incurred.

  Since the RSTPP began in 1987, Transport Canada has provided $4.4M per year in federal contributions to provinces and territories, and more recently the CCMTA, to improve the safety of roadways, road users, and motor vehicles in Canada.

  Ferry services contribution program

  Requesting $4,439,465 for the 2019-2020 Supplementary Estimates A.

  Key messages

  • Budget 2017 provided approximately $278 million over five years to support three ferry services in Atlantic Canada and Eastern Quebec through to March 31, 2022.
  • Through the Ferry Services Contribution Program, Transport Canada (TC) supports three inter-provincial ferry services in Eastern Canada, including service between: (i) Îles-de-la-Madeleine, Quebec (QC) and Souris, Prince Edward Island (PEI); (ii) Saint John, New Brunswick (NB) and Digby, Nova Scotia (NS); and (iii) Wood Islands, PEI and Caribou, NS. TC owns the six terminals and four ferry vessels used to provide the services.
  • These ferry services provide essential services to residents, link communities and support the regional economies through the transportation of goods and other economic activities such as tourism.
  • Funding is provided to private operators to cover operating deficits and to maintain TC’s terminals and vessels, which includes: vessel painting; engine overhauls; piping replacements; regular maintenance; dry dock surveys; maintenance associated with Classification Society and regulatory requirements; cleaning; and steel work.
  • Vessel and terminal maintenance costs have grown significantly in recent years due to the age of these assets, including two vessels that are nearing the end of their service lives.
  • TC is seeking to access an additional $4.4M in contribution funding in 2019-20 to ensure that all priority vessel maintenance projects can be undertaken.
  • The funds will be used primarily to replace a crankshaft on the MV Madeleine and for maintenance costs related to the dry docking of the MV Fundy Rose.
  • The ferry services provide essential services to residents, and help to support the regional economies through the transportation of goods and other economic activities such as tourism.
  • The funding will help ensure service continuity and safe operations for users of the ferry services.
  • TC has significantly increased its oversight of vessel maintenance in recent years. The funding will be used for preventative measures that will help to ensure passenger safety and prolong the useful life of the vessels.
  • Budget 2019 announced that the Government would procure two new vessels from a Canadian shipyard to replace the MV Madeleine and the MV Holiday Island. Both ferries are at the end of their useful lives.
  • The replacement vessels will be more modern, comfortable, and have a more positive environmental impact. They will also improve long-term reliability and predictability of the ferry services. The new vessels are expected to be in service by 2024-25.
  • Budget 2019 also announced that the Ferry Services Contribution Program would be extended until 2022 with existing service levels and fleet size.

  Background

  Through the Ferry Services Contribution Program, Transport Canada (TC) supports three inter-provincial ferry services in Eastern Canada, including service between: (i) Îles-de-la-Madeleine, Quebec (QC) and Souris, Prince Edward Island (PEI); (ii) Saint John, New Brunswick (NB) and Digby, Nova Scotia (NS); and, (iii) Wood Islands, PEI and Caribou, NS. TC owns the six terminals and four ferry vessels used to provide the services.

  These ferry services provide essential services to residents, link communities and support the regional economies through the transportation of goods and other economic activities such as tourism. Funding is provided to private operators to cover operating deficits and to maintain TC’s terminals and vessels, which includes: vessel painting; engine overhauls; piping replacements; regular maintenance; dry dock surveys; maintenance associated with Classification Society and regulatory requirements; cleaning; and steel work.

  TC is seeking access to $4.4M in contribution funding that was reprofiled from 2018-19 to ensure that priority vessel maintenance projects can be undertaken in 2019-20. Vessel and terminal maintenance costs have grown significantly in recent years due to the age of these assets, including two vessels that are nearing the end of their service lives. The funds will be used primarily to replace a crankshaft on the MV Madeleine and maintenance costs related to the dry docking of the MV Fundy Rose.

  Budget 2017 provided approximately $278 million over five years to support three ferry services in Atlantic Canada and Eastern Quebec through to March 31, 2022.

  Airports capital assistance program

  Requesting $2,526,045 for the 2019-2020 Supplementary Estimates A.

  Key messages

  • Due to unforeseen circumstances, certain ACAP projects were delayed in 2018-19. As a result authority to spend an additional $2,526,045 in 2019-20 is being sought to order to complete these projects. This amount represents a reprofiling of the funds that lapsed in 2018-19.
  • The 2019-20 ACAP funding envelope is entirely committed to new safety-related infrastructure projects and there is no flexibility to fund the projects delayed in 2018-19.

  Background

  The Airports Capital Assistance Program officially began on April 1, 1995 as part of the National Airports Policy. The Program was established to assist regional/local airport owners with safety-related capital infrastructure and to ensure the continued safety of the Canadian traveling public.

  To be eligible, an airport must receive year-round regularly scheduled passenger service (minimum 1,000 passengers/year), meet airport certification requirements, and not be owned by the federal government. Based on passenger levels, funding is provided to eligible airports on a cost-sharing basis. There are currently 186 airports eligible to receive funding under ACAP.

  TC is seeking access to $2.5M in ACAP funding that was reprofiled from 2018-19 to 2019-20 to complete various projects, such as: rehabilitation of the runways and aircraft movement surfaces at the airport in Baie Comeau, QC; rehabilitation of the airfield lighting systems at the Fort Chipewyan, MB airport; purchase of a fire fighting vehicle for the Nanaimo, BC airport; and, purchase of a snow blower for the Charlo, NB airport.

  Funding to protect the southern resident killer whale

  Requesting $1,500,000 for the 2019-2020 Supplementary Estimates A.

  Key messages

  • Funding is to support the implementation of emergency protection measures to support the survival and recovery of the Southern Resident killer whale.
  • Funding is sourced from the fiscal framework, and approved by Treasury Board on May 30, 2019
  • Funding will address the threat of physical and acoustic disturbance from vessel traffic on Southern Resident killer whales.
  • Funding will support enhanced engagement with US counterparts to address the threat of acoustic disturbance from vessel traffic.
  • Funding will reduce the economic impacts on the shipping industry of an expanded voluntary vessel slowdown off the coast of British Columbia. Through a contribution agreement, the Vancouver Fraser Port Authority will administer funds to eligible vessel operators to offset additional pilotage costs associated with participating in the slowdown.
  • Funding will support the expansion of a Whale Report Alert System through a grant to the Ocean Wise Coastal Ocean Research Institute. Specifically, funding will expand the capabilities of the system to broadcast pertinent and real-time details of whale sightings to bridge crew and pilots of large commercial vessels to allow them to implement operational measures to reduce their risk of disturbing or striking whales.
  • Funding will also advance research and development of quiet vessel technologies with the aim of reducing acoustic disturbances from vessel traffic.

  Background

  On October 31, 2018, the Government of Canada announced $61.5 million over five years, as an extension of the Whales Initiative, to implement a suite of measures to protect and recover Southern Resident killer whales, for which funding is now being sought.

  A variety of threats directly impact Southern Resident killer whales, particularly because of their small population size. Southern Resident killer whales are on a downward trajectory in regards to population due to three key interrelated human-caused threats: 1) reduced prey availability; 2) acoustic and physical disturbance that interrupts prey location and communication; and, 3) effects of environmental contaminants.

  The $1.5M in funding in these Estimates will reduce the economic impacts on the shipping industry of an expanded voluntary vessel slowdown off the coast of British Columbia. Slowing vessels in this area has been shown to reduce underwater noise. Through a contribution agreement, the Vancouver Fraser Port Authority will administer funds to eligible vessel operators to offset additional mandatory pilotage costs associated with participating in the slowdown.

  Funding is sourced from the fiscal framework, and approved by Treasury Board on May 30, 2019

  Passenger protect program

  Requesting $1,102,170 for the 2019-2020 Supplementary Estimates A.

  Key messages

  • Budget 2018 allocated $81.4 million over five years starting in 2018-19, and $14.0 million per year ongoing to the Passenger Protect Program.
  • The Enhanced Passenger Protect Program (EPPP) prevents people who could be a threat to national security from boarding a plane. The Program currently works with air carriers to screen passengers travelling to, from and within Canada. The Secure Air Travel Act list is managed by Public Safety Canada and Transport Canada in cooperation with several federal departments and agencies.
  • The allocated funding would allow TC to hire a total of 7 Full–time Equivalents (FTEs) in 2019-20, equipped with all the necessary tools and training to ensure consistent oversight of the program on a daily basis while managing potential matches. TC continues to be also responsible for ensuring oversight and air carriers’ compliance with the Secure Air Travel Act (SATA) and the Secure Air Travel Regulations.
  • By introducing centralization and a standardized vetting methodology, the Canadian government will be able to provide effective resolution to potential matches against the SATA list in advance of check-in. The effectiveness of this process will ensure that the amount of passengers unable to obtain a boarding pass online or at a kiosk will be significantly reduced, allowing for a more seamless travel experience.
  • Transport Canada, Public Safety Canada, and the Canada Border Services Agency are committed to working with all stakeholders to ensure the transition and implementation to a centralized vetting system occurs efficiently and in a manner that reduces the burden on air carriers and passengers.

  Background

  The Enhanced Passenger Protect Program (EPPP) prevents people who could be a threat to national security and transportation security from boarding a plane. The Program currently works with air carriers to screen passengers travelling to, from and within Canada. The Secure Air Travel Act (SATA) list is managed by Public Safety Canada and Transport Canada (TC) in cooperation with several federal departments and agencies.

  By introducing centralization and a standardized vetting methodology, the Canadian government will be able to provide effective resolution to potential matches against the SATA list in advance of check-in. The effectiveness of this process will ensure that the amount of passengers unable to obtain a boarding pass online or at a kiosk will be significantly reduced, and allow for a more seamless travel experience.

  The $1.1M in funding will allow TC to hire staff equipped with all the necessary tools and training to ensure consistent oversight of the program on a daily basis while managing potential matches. TC continues to be also responsible for ensuring oversight and air carriers’ compliance with the SATA and the Secure Air Travel Regulations.

  Budget 2018 allocated $81.4 million over five years starting in 2018-19 and $14.0 million per year, in ongoing funding, to the Passenger Protect Program across the Government of Canada.

  Support to the northern transportation adaptation initiative

  Requesting $813,895 for the 2019-2020 Supplementary Estimates A.

  Key messages

  • The $813,895 in planned spending comes from the $3,735,000 in grant and contribution funding provided to Transport Canada in Budget 2017 to extend the Northern Transportation Adaptation Initiative Program through to 2020-21.
  • The Northern Transportation Adaptation Initiative supports the research and development of innovative technologies, and efforts to advance knowledge and increase the capacity of Northerners to adapt transportation infrastructure to the changing climate.
  • The funds will support projects that are studying and examining strategies for northern transportation infrastructure to be built or modified to withstand the effects of climate change.
  • Since 2011, the Program has supported many projects, helping jurisdictions across northern Canada better understand the effects of climate change on their transportation infrastructure and operations and increase their capacity to adapt this infrastructure to these effects.

  Background

  The Northern Transportation Adaptation Initiative (NTAI) supports the research and development of innovative technologies, and efforts to advance knowledge and increase the capacity of Northerners to adapt transportation infrastructure to the changing climate.

  The $0.8M in planned spending comes from the $3.7M in grant and contribution funding provided to Transport Canada in Budget 2017. The funds will support projects that are studying and examining strategies for northern transportation infrastructure to be built or modified to withstand the effects of climate change.

  The NTAI supports efforts outlined in the Pan-Canadian Framework for Clean Growth and Climate Change related to taking action to support adaptation in vulnerable regions, such as the North and coastal regions.

  It supports projects that aim to:

  • Increase awareness and understanding of climate risks and vulnerabilities to northern transportation assets;
  • Support research, develop and test innovative technologies; and,
  • Strengthen the resilience of existing and future transportation infrastructure to climate change.
  • Since 2011, the Program has supported many projects, helping jurisdictions across northern Canada to better understand the effects of climate change on their transportation infrastructure and operations.

  Funding to implement an Inuit Impact and benefit agreement

  Requesting $550,718 for the 2019-2020 Supplementary Estimates A.

  Key messages

  • This funding is approved through the Treasury Board submission Funding to implement an Inuit Impact and Benefit Agreement with the Qikiqtani Inuit Association to Establish a National Marine Conservation Area in Tallurutiup Imanga.
  • The objective related to this funding are for Transport Canada to support the whole-of-government implementation of an Inuit Impact and Benefit Agreement (IIBA) with the Qikiqtani Inuit Association for the establishment of the Tallurutiup Imanga National Marine Conservation Area (TINMCA).
  • This funding will enable Transport Canada to implement its first of a seven year initiative, supported by three main areas of focus: 1) a Joint Arctic Maritime Management Initiative, 2) Governance activities within the TINMCA, and 3) the delivery of capacity building activities.

  Background

  This initiative is to support the whole-of-government implementation of an Inuit Impact and Benefit Agreement (IIBA) with the Qikiqtani Inuit Association for the establishment of the Tallurutiup Imanga National Marine Conservation Area (TINMCA).

  Transport Canada, through this first year of funding, will strengthen existing partnerships with the Government of Nunavut and the Qikiqtani Inuit Association for the next six years of the program and the protection of the TINMCA.

  This $0.5M in funding will enable Transport Canada to implement its first of a seven year initiative, supported by three main areas of focus:

  1. a Joint Arctic Maritime Management Initiative
  2. Governance activities within the TINMCA
  3. the delivery of capacity building activities

  Transport Canada will:

  • Support an Interchange agreement with the Government of Nunavut, which includes one Transport Canada staff to be located in Iqaluit, Nunavut,
  • Staff positions to undertake the collaborative design and development of the Joint Arctic Maritime Management Initiative by traveling to appropriate communities and engage with the Qikiqtani Inuit; and,
  • Manage project work and negotiations of a Memorandum of Understanding between TC, the Qikiqtani Inuit Association and the Government of Nunavut related to the two community harbours in Grise Fiord and Resolute Bay.

  The $36,000 in grant funding will allow TC to fund the participation of the Qikiqtani Inuit Association and the Government of Nunavut to travel to, and collaboratively study, aspects of the marine transportation system within Canada that apply in the context of Tallurutiup Imanga. This will allow all partners to discuss the co-management of marine navigation issues within the TINMCA.

  Through this Treasury Board Submission, Transport Canada was approved for $90,541,849 over 7 years and $3,557,369 in ongoing funding in order to engage in three different areas of activities to support the implementation of the TINMCA.

  Program to advance transportation innovation

  Requesting $528,419 for the 2019-2020 Supplementary Estimates A.

  Key messages

  • The $528,419 in planned spending comes from the $2,925,000 in Program to Advance Transportation Innovation grant and contribution funding over 5 years provided to Transport Canada in Budget 2017.
  • The Program to Advance Connectivity and Automation in the Transportation System is helping to prepare Canada for the wider use of connected and automated vehicles on our roads.
  • The funds will support nine projects that are studying and examining the potential impacts of connected and automated vehicles on Canada’s roads, such as on cyclists, pedestrians.
  • The results of the studies will provide Transport Canada with a better understanding of the potential impacts of connected and automated vehicles on Canada’s roads, including for cyclists, pedestrians, etc. These studies help inform decision making (e.g., when making amendments to motor vehicle safety regulations) to ensure Canadians remain safe when travelling on Canada’s road network.

  Background

  The Program to Advance Transportation Innovation (also called the Program to Advance Connectivity and Automation in the Transportation System) is helping to prepare Canada for the wider use of connected and automated vehicles on our roads.

  The $0.5M in planned spending will support projects that are studying and examining the potential impacts of connected and automated vehicles on Canada’s roads on cyclists, pedestrians, etc.

  The results of the studies will provide Transport Canada with a better understanding of the potential impacts of connected and automated vehicles on Canada’s roads. Such studies will help with informed decision making (e.g., when making amendments to motor vehicle safety regulations) to ensure Canadians remain safe when travelling on Canada’s road network.

  Clean transportation initiative

  Requesting $233,535 for the 2019-2020 Supplementary Estimates A.

  Key messages

  • The $233,535 in planned spending comes from:
    • $3,000,000 in Clean Transportation System – Research and Development grant funding over 5 years provided to Transport Canada in Budget 2018; and
    • $150,000 in annual A-base contribution funding also provided to Transport Canada.
  • The Clean Transportation System – Research and Development Program funds projects that help reduce air pollutants and greenhouse gas emissions in the aviation, marine and rail sectors.
  • The funds will support fifteen projects that are studying/examining methods for reducing air pollutants and greenhouse gas (GHG) emissions in the aviation, marine and rail sectors.
  • The funded projects aim to help reduce transportation-related air pollution and GHG emissions. Doing so will provide all Canadians with a cleaner and healthier environment.

  Background

  The Clean Transportation System – Research and Development Program funds projects that help reduce air pollutants and greenhouse gas emissions in the aviation, marine and rail sectors.

  The funded projects aim to help reduce transportation-related air pollution and GHG emissions. Doing so will provide all Canadians with a cleaner and healthier environment.

  The $0.2M in planned spending will support projects that are studying/examining methods for reducing air pollutants and greenhouse gas (GHG) emissions in the aviation, marine and rail sectors.

  The Clean Transportation System – Research and Development Program supports efforts outlined in the Pan-Canadian Framework for Clean Growth and Climate Change related to helping reduce air pollutants and greenhouse gas emissions in the aviation, marine and rail sectors. Projects that receive funding through this program will, for example:

  • Conduct research and share knowledge on emission-reducing (clean) technologies;
  • Develop technologies or other ways to help measure transportation-related emissions; and/or,
  • Develop, test, deploy and install innovative clean technologies in Canada.

  Transfer from Canadian Air Transport Security Authority to the Department of Transport to improve service to air travellers

  Requesting $3,000,000 for the 2019-2020 Supplementary Estimates A.

  Key messages

  • CATSA is seeking to transfer $3 million of Budget 2019 operating funding from Canadian Air Transport Security Authority Vote 1 - Payments to the Authority for operating and capital expenditures to Department of Transport Vote 1 - Operating expenditures.
  • This funding will support Transport Canada’s efforts to ensure the transfer of CATSA to a new and independent not for profit entity in a manner that is in the best interests of travelers and tax payers.
  • Transport Canada will use these funds of $3 million to strengthen professional services required to support the Government Negotiating Team as it negotiates the transfer of civil aviation security screening services to a designated screening authority.
  • The successful negotiation and transfer of authorities for the provision of civil aviation security screening services to a new designated screening authority will provide the travelling public with better service while maintaining the existing high standards for safety and security.
  • Through Budget 2019 and the Budget Implementation Act, 2019, the Government of Canada is committed to selling CATSA’s assets to an independent, not-for-profit Designated Screening Authority, and to transferring responsibility for aviation security screening services to that entity.

  Background

  The Canadian Air Transport Security Authority (CATSA) is seeking to transfer $3M of Budget 2019 funding from Canadian Air Transport Security Authority Vote 1 - Payments to the Authority for operating and capital expenditures to Department of Transport Vote 1 - Operating expenditures.

  Through Budget 2019 and the Budget Implementation Act, 2019, the Government of Canada is committed to transitioning CATSA from an agent Crown corporation to an independent, not-for-profit Designated Screening Authority solely responsible for the provision of aviation security screening services.

  This funding will support Transport Canada in efforts to ensure the transfer in a manner that is in the best interests of travelers and tax payers.

  Transport Canada will use these funds of $3 million to strengthen professional services required to support the Government Negotiating Team as it negotiates the transfer of civil aviation security screening services to a Designated Screening Authority.

  The successful negotiation and transfer of authorities for the provision of aviation security screening services to a new Designated Screening Authority will provide the travelling public with better service while maintaining the existing high standards for safety and security.

  Funding for the Hold-baggage Screening integration projects and the Explosive Detection System (reprofile)

  Requesting $26,110,960 for the 2019-2020 Supplementary Estimates A.

  Key messages

  • CATSA is seeking to re-profile approximately $26.1 million of Budget 2010, Budget 2011 and Budget 2014 capital funding from 2018-2019 to 2019-2020.
  • CATSA’s mandate is to provide effective and efficient screening of persons who access aircraft or restricted areas of an aerodrome through screening points, the property in their possession or control, and the belongings or baggage that they give to an air carrier for transport.
  • CATSA requires $19,232,999 for Hold-baggage Screening integration projects; and, $6,877,961 for Explosives Detection System (EDS) and other non-EDS projects.
  • The screening services provided by CATSA are a key element of the air traveller experience. These re-profiled funds will allow CATSA to complete projects mostly linked to improvements in baggage screening.
  • Through Budget 2019 and the Budget Implementation Act, 2019, the Government of Canada is committed to transitioning CATSA from an agent Crown corporation to an independent, not-for-profit Designated Screening Authority solely responsible for the provision of aviation security screening services.

  Background

  The Canadian Air Transport Security Authority (CATSA) is seeking to reprofile approximately $26.1M of Budget 2010, Budget 2011 and Budget 2014 capital funding from 2018-19 to 2019-20.

  CATSA’s mandate is to provide effective and efficient screening of persons who access aircraft or restricted areas of an aerodrome through screening points, the property in their possession or control, and the belongings or baggage that they give to an air carrier for transport.

  CATSA requires $19.2M for Hold-baggage Screening integration projects; and, $6.9M for Explosives Detection System (EDS) and other non-EDS projects.

  The screening services provided by CATSA are a key security layer to ensure the safety of the travelling public, and an important mechanism to facilitate travel to other countries. These re-profiled funds will allow CATSA to complete projects mostly linked to improvements in baggage screening.

  Through Budget 2019 and the Budget Implementation Act, 2019, the Government of Canada is committed to transitioning CATSA from an agent Crown corporation to an independent, not-for-profit Designated Screening Authority solely responsible for the provision of aviation security screening services.

  Funding for fleet renewal at Marine Atlantic

  Requesting $3,000,000 for the 2019-2020 Supplementary Estimates A

  Key messages

  • Marine Atlantic is seeking access to operating and capital funding from Budget 2019.
  • Marine Atlantic provides the constitutionally mandated ferry service between Newfoundland and Labrador and Canada’s mainland.
  • The funds will serve to cover some initial costs related to the procurement of a new ferry vessel.
  • The Government of Canada recognizes that the ferry service linking Newfoundland to the mainland is a critical economic and social link.

  Background

  Marine Atlantic Inc. (MAI) provides the constitutionally mandated ferry service between Newfoundland and Labrador and Canada’s mainland.

  MAI is responsible for operating the ferry service between the Island of Newfoundland and Nova Scotia. Its vessels carry people, vehicles, and commercial units that deliver goods and products to and from the Province of Newfoundland and Labrador (NL). MAI fulfills Canada’s constitutional obligation to provide a year-round ferry service between North Sydney, Nova Scotia (NS) and Port aux Basques, NL. It also provides a seasonal service between North Sydney and Argentia, NL.

  In Budget 2019, the Government provided multi-year funding to MAI to support the modernization of its fleet through the procurement of a new ferry vessel. The amount of $3.0M in 2019-20 is the first year of this funding and will allow the corporation to start the procurement process.

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