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Canadian Conference of the Arts

CCA Bulletin 42/06

Ottawa, October 10, 2006

Bill C-2: CCA's Presentation to the Senate Committee

Just the Facts

On October 4, 2006 the Canadian Conference of the Arts (CCA) presented its concerns to a Senate Committee with respect to certain elements of Bill C-2, the proposed " Federal Accountability Act" (FAA).

 

The CCA unequivocally supports full accountability for the use of public funds and expressed this view to the Honourable Senators on the Committee in our opening remarks.

 

Alongside witnesses Alain Pineau and Keith Kelly of the CCA were representatives from the Canadian Society of Association Executives (CSAE), an umbrella group representing Executives in not-for-profit and for-profit organizations. The CSAE echoed concerns of the CCA regarding some of the reporting requirements in the proposed legislation. They noted that the majority of their membership comprises small organizations with a staff of 8-10 people and operating budgets under $2 million dollars (the CCA, in fact, is even quite a bit smaller than this!).

 

The reporting requirements that the CSAE focused on were those that would require organizations to post information on whom in government they were speaking to, the nature of the topic and the substance of these conversations, and similar details. These requirements are seen as an onerous burden on organizations with few and already overworked staff.

 

The CCA shares these concerns. We also raised the fact, heard consistently from our member organizations in recent years, that the accountability framework associated with the use of public funds is becoming more and more unwieldy, and is often disproportionate to the amount of funding in question - a fact which, by the way, was picked up by the Auditor General in a recent report. There appears to be no graduated approach to accounting for the use of public funds, with recipients of $10,000.00 being treated no different that the recipient of $ 10 million.

 

Some Senators expressed concern about the impact of the legislation on the not-for-profit sector, while others felt that a consistent approach was the best way to attack the issue of accountability.

 

Tell Me More...

Bill C-2, the proposed Federal Accountability Act (FAA), is a complex piece of legislation with implications for lobbyists, consultants, and organizations who are seeking to influence public policy or public fiscal investment in one way or another.

 

There have even been recent reports that organizations using their websites for advocacy or lobbying will be captured by the new reporting requirements in the legislation. The legislation also contains provisions that impose a five-year cooling off period for senior public servants and ministerial staff. For the next five years after they leave a position in the government or a ministerial office, these individuals would be prohibited by law from working in the same field as advocates, consultants or lobbyists for any type of organization .

 

The CCA believes that this period of time is excessive given the limited talent pool of senior officials in the arts and culture sector. Senators seemed to be sensitive to the issue, which applies different rules for senior officials working in the not-for-profit sector and those which work in the corporate sector. Interestingly enough, the rules for those individuals seeking employment in the not-for-profit sector are more rigorous than those who find employment in the corporate sector.

 

Another witness suggested that the legislation should make all forms of contact subject to reporting requirements and let Cabinet decide what forms of contact can be exempted from the implementation of the bill. There was also a suggestion that if only "planned lobbying" be captured, this would lead to abuse. While the regulations associated with the legislation will not be developed until the bill is passed by the Senate, some persistent rumours claim that "chance encounters" between government officials and lobbyists will be exempt from the reporting requirements. If true, the impact might well lead to innovative ways to circumvent the legislation and possibly result in unplanned stalking of policy makers and Parliamentarians under the "chance encounter" rubric .

 

The Senators gave the CCA and other witnesses a respectful hearing; they asked good questions and appeared to be diligent in the examination of this legislation. In concluding its presentation, the CCA asked the Senators to ensure that if the bill is passed without significant revisions, the drafting of the ensuing regulations should involve an open and transparent process, with public hearings, before they are eventually adopted.

What Can I Do?

Senator Joseph Day noted that he had received many letters from arts and culture organizations expressing concerns with the legislation. He also remarked that he had found a call for the arts and culture sector to do so on the CCA website.

These letters have raised awareness within the Senate about the impact of these measures on the day-to-day life of not-for-profit organizations in the arts and culture sector, as well as other voluntary and civil society organizations.

For the moment, all we can say is that the Honourable Senators are taking these and other concerns very seriously. The CCA will keep you apprised of further developments, as well as the need for further action.

 

Reallocation Update - Public Diplomacy Program at the Department of Foreign Affairs

 

Many CCA members have communicated their profound concerns with the reduction of the public diplomacy program at the Department of Foreign Affairs.

 

It would seem that the budget reduction has not touched the relatively modest base budget of the public diplomacy program, but a discretionary fund that was used for several purposes within the Department.

 

Nevertheless, the loss of these discretionary funds has departmental officials looking for new solutions to ensure that the important work of public diplomacy is not impeded by the budgetary reduction. Departmental officials are working within Foreign Affairs and with other partners to lessen the impact of these cuts.

 

It may be some time before the CCA has a clear picture of how the Department of Foreign Affairs deals with public diplomacy in the larger sense, and if they are able to compensate for the loss of funding through partnerships or internal reallocations.

 

In a letter dated October 5, the CCA requested an urgent meeting with the Minister of Foreign Affairs to discuss this issue of the reallocation cuts, but also the broader pressing issue of how arts and culture must be a key component of Canada 's emerging international policy. We are watching this situation closely and will keep members and supporters informed of any further developments.

 

What Can I Do?

Letters to the Minister of Foreign Affairs, the Honourable Peter MacKay, and Foreign Affairs Opposition Critics expressing concerns over the reallocation cuts and emphasizing the importance of public diplomacy for the arts and culture sector would help in building support for reinstatement of the funds. Copies of your letters should also be sent to the Members of the Standing Committee on Foreign Affairs and we would of course appreciate getting a copy. Remember, when writing to Parliamentarians, that no postage is required.