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House of Commons Standing Committee on Fisheries and Oceans (FOPO) Departmental Appearance on Supplementary Estimates (B)

March 06, 2024

Table of contents

Opening remarks

Good morning, Mr. Chair.

I would like to begin by recognizing that we’re gathered on the traditional territory of the Algonquin Anishnaabeg People and are grateful for the opportunity to be doing so.

I’m pleased to be here today with my colleagues:

Following my remarks, we’ll be happy to answer any questions you have regarding our department’s Supplementary Estimates ‘B’ for 2023-24.

Supps 'B'

Mr. Chair, Fisheries and Oceans Canada and the Canadian Coast Guard are seeking $356.4 million through Supplementary Estimates ‘B’ for 2023-24. This consists of $340.5 million in voted appropriations as well as $15.9 million in statutory appropriations. Taken together, this represents an eight per cent increase to our planned budget spending this fiscal year.

The $340.5 million increase in voted authorities can be mainly attributed to the following areas:

A further $91 million is being requested for 20 additional items with lower funding requirements as well as technical adjustments such as transfers to, and from, other government departments. 

In terms of the $15.9 million in statutory appropriations, this amount is required for updated compensation and benefit forecasts for our employees.

The funding being requested through Supplementary Estimates ‘B’ for 2023-24 will help Fisheries and Oceans Canada and the Canadian Coast Guard fulfill its mission while continuing to deliver the many essential services for Canadians.

Government spending reductions

Mr. Chair, I want to take this opportunity to provide members of the committee with an update on recent spending reductions that have been identified across our department.

As you know, when Budget 2023 was tabled last April it included plans to reduce federal government spending. At the time, it was expected that savings generated from the Refocusing Government Spending Initiative would total $15.4 billion over five years, with $4.5 billion ongoing.

On November 9th, the President of the Treasury Board tabled Supplementary Estimates ‘B’ 2023-24 in the House of Commons. These Estimates included the first update related to how the Government of Canada is reducing its planned spending. More specifically, it detailed how $500 million in travel, consulting and professional services funding has been refocused and removed from the 2023–24 budgets of 68 departments.

Fisheries and Oceans Canada and the Canadian Coast Guard contributed to this exercise and I can report that more than $25.7 million in spending has been frozen across our department.

Given that this is only the first tranche of a multi-year effort to reduce government spending, we’re already looking to the future to determine where additional savings can be found across our department over subsequent years.

Ultimately, this work will help refocus our spending so it’s going to the priorities that matter most to Canadians. In the meantime, Fisheries and Oceans Canada and the Canadian Coast Guard remain committed to the efficient and prudent spending of taxpayer dollars, and to being accountable and transparent in our ongoing reporting to Canadians and Parliamentarians.

Fall Economic Statement

Before closing, I want to briefly mention the Government of Canada’s recent Fall Economic Statement and how it impacts our Department. I want to specifically highlight how four additional weeks of Employment Insurance regular benefits will be available to eligible seasonal workers. Claims established between September 2023 to September 2024 will be eligible for this coverage, which will cost approximately $69.8 million over three years. Fisheries workers are a primary beneficiary of the seasonal EI regime.

Mr. Chair, thank you for this opportunity to present the Department’s Supplementary Estimates ‘B’. My colleagues and I are happy to answer any questions you have related to this work.

Thank you.

Placemat

Supplementary Estimates (B)

These Supplementary Estimates are the second of three planned supplementary exercises for 2023-24.

$356.4 million is being presented, consisting of $340.5 million in voted appropriations and $15.9 million in statutory appropriations.

The $340.5 million in voted appropriations is primarily comprised of funding to advance reconciliation on Indigenous rights and fisheries issues; the Fish and Fish Habitat Protection Program; the Multi-Purpose Vessel Project and ongoing efforts to protect species at risk.

Statutory appropriations of $15.9 million reflect updates to the Department’s employee benefit plans.

Multi-Purpose Vessels

In 2019, the Prime Minister announced $15.7 billion for the renewal of the Canadian Coast Guard fleet, including two Arctic and Offshore Patrol Ships and up to 16 Multi-Purpose Vessels.

Multi-Purpose Vessels will make up the majority of Coast Guard’s large fleet and will deliver most Coast Guard programs and services.

A multi-mission approach will be a central feature of the new class of vessels. Ship design work is ongoing at Vancouver Shipyards in preparation for the start of construction engineering and material procurement, which we expect to commence this fiscal year.

Fish and Fish Habitat Program

Supplementary Estimates B provided $107.7 million over two years (2023/24, 2024/25) to the Department, to support the continued conservation and protection of fish and fish habitat, evidence-based decision making, improved enforcement and transparency, and collaboration.

We must conserve and protect Canada’s fish and fish habitat for future generations.

To that end, the Government continues to deliver on its promise to implement a modernized Fisheries Act which supports sustainable, stable, and prosperous fisheries.

Reconciliation reprofile

DFO has invested nearly $400 million since 2019 to support the implementation of Indigenous fishing rights and interests and the establishment of new fisheries co-governance structures through the conclusion and implementation of treaties and reconciliation agreements.

This year’s Supplementary Estimates B includes funding to implement existing and anticipated treaties and reconciliation agreements for which negotiation mandates and authorities are in place.

The Government remains committed to implementing Indigenous fishing rights, including the continued implementation of the right of Atlantic nations to fish in pursuit of a moderate livelihood.

Indo-Pacific strategy

As part of the Indo-Pacific Strategy, Fisheries and Oceans has established a Shared Ocean Fund, investing $82 million over five years to combat illegal, unreported and unregulated fishing.

Funds will be dedicated to governance and enforcement and to support activities to implement effective international partnerships.

The Department recently signed a five year agreement with the Philippines, valued at $15 million, to deploy the Dark Vessel Detection system to combat illegal, unreported and unregulated fishing within their sovereign waters.

Refocusing of Government spending

Budget 2023 announced government spending reductions on travel and professional services, as well as a reduction of operating and transfer payment spending across all federal organizations to help achieve savings of $15.4 billion over five years.

In this first year, $25.7 million of the Department’s authorities have been frozen. This reduction was achieved through enhanced travel planning and prioritization of professional services.

To achieve the reductions targets, the Department focused on:

Fleet renewal

It is critical that the Canadian Coast Guard has the ships it needs to deliver critical marine navigation, search and rescue, and other safety services. Significant progress has been made on this.

Since 2005, Canada has committed over $35 billion to advance the Canadian Coast Guard fleet renewal and sustain operations until new ships arrive.

Since 2015, the Coast Guard has taken delivery of three large vessels and 18 small vessels under the National Shipbuilding Strategy, 23 helicopters and four Interim Icebreakers.

Abandoned, wrecked, derelict vessels

The Government of Canada is working to reduce the number of hazardous vessels in Canadian waters and minimize their impact on coastal communities, the environment and the public.

The next phase of the Ocean’s Protection Plan includes a Hazardous Vessel Remediation funding envelope of $34.4 million over five years to allow for continued action on priority hazardous vessels.

The Department of Fisheries and Ocean's Small Craft Harbours Abandoned and Wrecked Vessels Removal Program has grants and contributions funding of $2.17 million over nine years as part of the Renewed Oceans Protection Plan (began in 2022).

Budget 2023 announced the creation of an owner-financed Vessel Remediation Fund. This Fund should be operational in 2025, and provide sustainable funding to address hazardous vessels.

Permitting process to support clean growth

Under the Fisheries Act and the Species at Risk Act, the Department provides advice, and regulates works, undertakings, and activities occurring near water that could impact fish and fish habitat and aquatic species at risk.

In keeping with the Government’s commitment to grow the clean economy and meet net-zero commitments, Fisheries and Oceans is improving the predictability and transparency of its regulatory framework to support the development of clean growth projects.

Marine protected areas

Fisheries and Oceans Canada is committed to establishing marine protected areas and other effective area-based conservation measures under Canada’s Marine Conservation Targets.

Canada currently protects 14.66 per cent of its ocean through marine protected areas and other effective area-based conservation measures to support strong and vibrant coastal communities for future generations.

Budget 2021 announced $976.8 million over five years to manage existing sites and meet Canada’s commitment of protecting 25 per cent of Canada’s ocean by 2025.

Science at Fisheries and Oceans

The Department conducts high quality science, in collaboration with partners, to inform decision-making for the benefit of Canadians.

Departmental scientists work with a range of partners and external experts in the collection of data and conducting research to address important issues, like sustainable fisheries and the impacts of climate change on the marine environment.

The Department is committed to communicating the results of our research to Canadians to ensure that they are well informed about issues concerning the oceans.

Northern (2J3KL) Cod stock

The assessment model and limit reference point for the stock were updated in a peer review meeting in October 2023.

Application of the updated model and Limit Reference Point now place the estimated stock size for 2021 in the cautious zone which was previously estimated to be in the critical zone.

While these changes are positive, we will not know the current status of Northern cod until after the March 2024 stock assessment.

Small craft harbours

Small craft harbours are one of my top priorities. They are critical infrastructure for many coastal communities, supporting their economic prosperity.

Since 2016, the Government has announced over $855 million in new funding to support small craft harbours, where 90 per cent of catches by Canadian commercial fish harvesters are landed.

Fisheries and Oceans Canada is taking concrete steps to invest in harbours so that they better withstand the impacts of climate change and support coastal communities.

North Atlantic Right Whale report

I thank the Committee for their report and their thoughtful recommendations regarding the protection of right whales.

Budget 2023 provided $151.9 million over three years to continue Canada’s efforts to protect endangered whales, including right whales.

The Government continues to take concrete steps to ensure right whales are protected from fishing gear entanglements, including using adaptive fishing closure protocols, and to reduce vessel strikes.

Monitoring marine fisheries catch

The Department is committed to responsibly managing Canada’s fisheries to promote healthy fish stocks and ecosystem productivity.

Fisheries and Oceans is taking concrete steps to ensure dependable, timely, and accessible data is informing sustainable management of fisheries.

Many actions are underway to address the recommendations in the Commissioner of the Environment and Sustainable Development’s 2023 report, and others will be rolled out over the next five years to ensure the Department sustainably manages the harvesting of commercial marine fisheries for future generations.

Closure of Atlantic mackerel fishery

The decision to continue the Atlantic mackerel commercial and bait fishing closure was based on the 2023 Canadian stock assessment, which found the mackerel stock is at its lowest ever observed level.

Additional data collection has been conducted in 2021 and 2022 in Newfoundland which continues to show that the southern Gulf of Saint-Lawrence is the dominant spawning habitat and that the egg survey index is a valid indicator of stock state.

This reinforces our confidence in the assessment of the status of the stock.

Peace on the water moderate livelihood senate report

The Department’s primary focus is to ensure a safe, orderly and sustainable fishery.

We remain firmly committed to working with Treaty Nations to further implement their fishing rights.

There is no one-size-fits-all approach to rights implementation. The Government of Canada will continue to engage Indigenous communities to better implement their vision for their fisheries, and to ensure a safe and sustainable fishery for the benefit of all.

These efforts will also align with the ongoing implementation of the United Nations Declaration on the Rights of Indigenous Peoples Act, including the Draft Action Plan.

Foreign Ownership of Fishing Licences

The results of the Beneficial Ownership Survey were published September 2023. The survey found that 2 per cent of respondents had some degree of foreign ownership within their corporate structure.

Fisheries and Oceans Canada will engage stakeholders on the results of the Survey, as well as identify additional means of examining foreign control, such as access leasing, for further review.

Great Lakes Fishery Commission

Budget 2022 provided $19.6 million annually to the Great Lakes Fishery Commission to ensure its continued success.

The Great Lakes Fishery Commission is vital to controlling sea lampreys, conducting scientific research, and maintaining cooperation among Canadian and American agencies to manage and sustain the Great Lakes transboundary fisheries.

The Government is committed to preserving our freshwater resources and protecting the Great Lakes from invasive species.

Unauthorized Fishing in Nova Scotia

The Department’s primary focus is to ensure a safe, orderly and sustainable lobster fishery.

The Department is actively working with all parties involved in the fishery to ensure that Indigenous harvesters can exercise their Constitutionally-protected right to fish for food, social and ceremonial purposes and their treaty right to fish in pursuit of a moderate livelihood; and that the fishing taking place complies with the Fisheries Act.

Our Fishery Officers enforce the Fisheries Act, and that includes taking enforcement action when individuals are harvesting without a Fisheries and Oceans Canada issued authorization. Our officers work with the Royal Canadian Mounted Police or police of jurisdiction when violations, that go beyond Conservation and Protection legal authorities, are identified.

Since July 17, fishery officers have arrested 15 individuals, seized three vessels and a total of 1173 traps in southwest Nova Scotia, lobster fishing areas 33 and 34 for Fisheries Act violations. As a result of these efforts thousands of lobsters were released live, back into the ocean.

Investigations into these infractions are underway, and fishery officers will continue to monitor compliance with, and enforce, the Fisheries Act.

Tidal Energy

The Department is working with industry, federal, and provincial partners to advance the responsible development of marine renewable energy, including tidal energy.

This is why the Government recently established a Task Force on Sustainable Tidal Energy to explore issues and opportunities associated with the deployment of tidal energy projects in the Bay of Fundy.

This Task Force is facilitating greater collaboration between the federal government, the Province of Nova Scotia, members of the tidal industry, and the tidal research community, and will submit its final report to Ministers early in the new year.

Commercial Elver Fishery

The commercial elver fishery has grown exponentially in value over the past decade and has substantially lower entry costs compared to other fisheries.

This fishery presents an opportunity to increase Indigenous participation in commercial fisheries. For the 2022 and 2023 seasons, 1,200 kg of the total allowable catch was reallocated to support increased Indigenous participation in the commercial elver fishery. It also presents challenges for Fisheries and Oceans Canada to ensure compliance with the rules.

As part of our regular commitment to sustainable, orderly, and safe fisheries for all participants, the Department is conducting a review of the fishery to address management concerns in advance of next year’s season.

Avon River Tidal Gate / Highway 101 Twinning

Since 2019, the Department has been working with the province of Nova Scotia on their Fisheries Act application to twin Highway 101, which includes replacing the existing tidal gate structure on the Avon River.

The Department is waiting for information from the province on the project design to support regulatory requirements. When the Department has updated information, it will continue the project review, and consultation with the Mi’kmaq of Nova Scotia.

The Department is also working with the province of Nova Scotia to bring the existing tidal gate structure into compliance with existing federal legislation.

Atlantic Fish Fund

The Government of Canada is committed to supporting innovation and sustainability in Canada’s fish and seafood sector. That is why it is investing over $400 million through the Atlantic Fisheries Fund, in partnership with the four Atlantic provincial governments.

Since 2017, seventy eight per cent of program funds have been contracted with over 1,123 approved projects and another $4.6 million, pending approval.

Open-net Pen Transition

The mandate commitment provided to my predecessor committed to working with the province of British Columbia and Indigenous communities on a responsible plan to transition from open net pen salmon farming in coastal British Columbia waters by 2025.

The vision of the Transition Plan is to advance innovation and growth in sustainable aquaculture in British Columbia to progressively minimize or eliminate interactions between farmed and wild salmon, while also taking into account social, cultural, and economic objectives.

The Government of Canada is ensuring that the transition is undertaken in a manner that respects the rights and interests of Indigenous peoples, and supports coastal communities and workers.

West Coast Fisheries Report

The Government of Canada responded in 2020 to the Committee’s 2019 report ‘West Coast Fisheries: Sharing Risks and Benefits’ and has taken numerous steps to address the issues raised in the report.

The Department recognizes the importance of these issues to commercial fishery participants and is committed to engaging them in consultations on these matters.

Pacific Salmon Strategy Initiative

Pacific salmon populations are in serious decline due to climate change impacts, pollutants, changes in land and water use, and illegal and unregulated harvesting. This is why the Government is taking decisive steps under the Pacific Salmon Strategy Initiative.

In the current fiscal year, $73.2 million is planned to be spent through grants and contributions, including the recently launched Pacific Salmon Commercial Licence Retirement Program and extension to the BC Salmon Restoration and Innovation Fund.

Over the remaining three years, investments will continue to be made across all four pillars of the Pacific Salmon Strategy Initiative.

Canadian Coast Guard Presence in the Arctic

In 2021, the Government of Canada announced the construction of two Polar icebreakers under the National Shipbuilding Strategy, with the first of the Polar Icebreakers scheduled for delivery in 2030. These larger, more powerful Polar icebreakers will enable the Canadian Coast Guard to conduct year-round operations in Canada’s to support Indigenous Peoples and northerners, strengthen Arctic sovereignty, advance high Arctic science, and better respond to maritime emergencies.

Since the implementation of the Arctic Region, the Coast Guard has strengthened its physical presence in the North via its assets, personnel and partnerships.

Establishment of the Arctic Region

In October 2018, the Government of Canada announced the creation of stand-alone Arctic Regions for Fisheries and Oceans Canada and the Canadian Coast Guard.

Extensive engagement with Inuit, First Nations, and Métis governments and organizations occurred to ensure that the region’s boundaries, programs, and services delivered reflect the needs and priorities of the communities.

This regional structure supports Canada and the Department's commitments to reconciliation with Indigenous Peoples; cooperation with domestic and international partners; innovation with a northern focus; and a diverse, equitable, and inclusive workplace.

Through dedicated and ongoing planning capacity, the Department is delivering critical programs and services that are reflective of and responsive to the unique needs of Northern communities. Decision-making and policy implementation is undertaken by the North, for the North, and in the North.

Shrimp and redfish fishery of the Estuary and Gulf of St. Lawrence

The sharp decline in the abundance of shrimp in the Estuary and Gulf of St. Lawrence is a cause for concern for the future of this commercial fishery.

The Department anticipated the recommendation process for the 2024 season by exceptionally carrying out the stock assessment at the end of October and holding the advisory committee meeting on October 31 and November 1.

A decision is anticipated decision no later than January.

Marine Plant Harvesting in Quebec

Seaweed forests play an essential ecosystemic role for many marine species in the St. Lawrence, given this, a cautious management approach is applied.

In Quebec, the main objective of the licence conditions is to promote the renewal of seaweed forests, while allowing a certain level of harvesting.

Fisheries and Oceans will continue to analyze the effectiveness of its management measures on the basis of the best available scientific information.

Quebec Fish Fund

The Quebec Fisheries Fund is a contribution fund of over $40 million, over five years (2019 to 2024). The cost is shared with provincial partners, divided 70 per cent federal and 30 per cent provincial, over the duration of the program.

The program is designed to support innovation and sustainability in the fish and seafood sector.

More than 60 per cent of the available contribution budget has been committed to 152 projects.

Interest in the Quebec Fisheries Fund program remains strong with more than 20 projects, seeking funding of over $3 million, under evaluation.

Supplementary Estimates (B)

Briefing Deck

2023-24 Supplementary Estimates (B) Overview

2023-24 Supplementary Estimates (B) Current status

2023-24 Supplementary Estimates (B) - $356.4 million (including statutory)
Twenty-four items
$97.4 million Vote 1
$50.6 million Vote 5
$192.4 million Vote 10
$15.9 million Statutory

2023-24 Supplementary Estimates (B) - Revised Appropriationsa (in dollars)

Budgetary Expenditures Previous Authorities to Date Supplementary Estimates (B) Proposed Authorities to Date
Operating Vote 1 2,067,104,098 97,431,658 2,164,535,756
Capital Vote 5 1,659,383,365 50,642,476 1,710,025,841
Grants and Contributions Vote 10 532,401,762 192,377,963 724,779,725
Total Voted Authorities 4,258,889,225 340,452,097 4,599,341,322
Statutory 186,343,086 15,920,898 202,263,984
Total Budgetary Expenditures 4,445,232,311 356,372,995 4,801,605,306

a. Represents all funding, voted or anticipated, including funding that is "frozen" (i.e., funding that is in DFO's reference levels, but cannot be spent without the approval of TBS).

2023-24 Supplementary Estimates (B) – Largest Items

Note: AII amounts exclude EBP, SSC and Accommodation Costs

2023-24 Supplementary Estimates (B) Items

[Information was severed in accordance with the Access to Information Act.] / New Funding (10 items) – $170.9 million

Transfers with other government departments (6 items) – $1.9 million

Reprofiles (5 items) - $165.5 million

Other Technical Adjustments (3 items) - $2.2 million

Note: AII amounts exclude EBP, SSC and Accommodation Costs

2023-24 Supplementary Estimates (B) Items by Vote (in dollars)
[Information was severed in accordance with the Access to Information Act.] Vote 1 - Operating Vote 5 - Capital Vote 10 - Grants & Contributions Total
Funding to continue the implementation of the Fish and Fish Habitat Protection Program provisions of the Fisheries Act (Budget 2023) 45,479,630 304,000 3,570,000 49,353,630
Funding for the Multi-Purpose Vessel Project 0 42,089,126 0 42,089,126
Funding to continue efforts to protect species at risk (Budget 2023) (horizontal item) 12,739,282 0 11,968,420 24,707,702
Funding to implement Canadaʼs Indo-Pacific Strategy (horizontal item) 11,191,764 0 1,750,000 12,941,764
Funding to operate and maintain the Canadian Coast Guard helicopter fleet (Budget 2023) 11,592,262 0 0 11,592,262
Funding to renew the Marine Spatial Planning program (Budget 2023) (horizontal item) 7,592,881 0 2,463,000 10,055,881
Funding for the Offshore Oceanographic Science Vessel project 0 7,955,050 0 7,955,050
Funding for the Fisheries Monitoring Policy 4,026,388 294,300 1,150,000 5,470,688
Funding to renew and advance clean technology-enabling measures (Budget 2023) 740,968 0 3,983,480 4,724,448
Funding for the Atlantic Integrated Commercial Fisheries Initiative 0 0 2,000,000 2,000,000
Transfers
Transfer from the Department of the Environment to the Department of Fisheries and Oceans for the Great Lakes Action Plan VIII 1,200,000 0 0 1,200,000
Transfer from the Treasury Board Secretariat to various organizations to support projects which will reduce greenhouse gas emissions in federal government operations 590,000 0 0 590,000
Transfer from the Department of National Defence to various organizations to support the Canadian Safety and Security Program 264,000 0 0 264,000
Transfer from the Department of Fisheries and Oceans, Department of Natural Resources, and the Department of Transport to the Canadian Northern Economic Development Agency to facilitate a consultation framework with the White River First Nation (25,000) 0 0 (25,000)
Transfer from various organizations to the Royal Canadian Mounted Police for law enforcement record checks (51,000) 0 0 (51,000)
Transfer from various organizations to the Canadian Security Intelligence Service for the Integrated Terrorism Assessment Centre (64,800) 0 0 (64,800)
Reprofiles
Funding to advance reconciliation on Indigenous rights and fisheries issues 0 0 133,320,068 133,320,068
Funding for the Aquatic Habitat Restoration Fund 0 0 19,350,904 19,350,904
Funding for the British Columbia Salmon Restoration and Innovation Fund 0 0 6,995,910 6,995,910
Funding to strengthen environmental protections and address concerns raised by Indigenous groups regarding the Trans Mountain Expansion Project 0 0 4,059,338 4,059,338
Funding to enhance aquaculture management 0 0 1,766,843 1,766,843
Other
Reinvestment of royalties from intellectual property 1,658,554 0 0 1,658,554
Reinvestment of revenue received from polluters or the Ship-Source Oil Source Pollution Fund for clean up costs associated with oil spills 496,729 0 0 496,729
Vote 10 internal reallocation from contributions to grants ($336,483) to complete the Michicpicoten Harbour divestiture. 0 0 0 0
Total Items - Voted Authorities
Totals 97,431,658 50,642,476 192,377,963 340,452,097

Next Steps

Annexes

Annex A – 2023-24 Supplementary Estimates (B) by Core Responsibility (in dollars)
Core Responsibility Vote 1 Vote 5 Vote 10 Voted Authorities EBP Total Authorities

Fisheries

24,076,714

294,300

150,966,301

175,337,315

3,053,929

178,391,244

Aquatic Ecosystems

49,021,630

304,000

41,411,662

90,737,292

10,723,226

101,460,518

Marine Operations and Response

12,124,191

50,044,176

0

62,168,367

660,693

62,829,060

Internal Services

9,796,569

0

0

9,796,569

1,483,050

11,279,619

Marine Navigation

2,412,554

0

0

2,412,554

0

2,412,554

Total

97,431,658

50,642,476

192,377,963

340,452,097

15,920,898

356,372,995

Annex B – 2023-24 Supplementary Estimates (B) by Standard Object (in dollars)
Operating and Capital Standard Object Amount

Personnel a

(1) 74,826,090

Transportation and Communications

(2) 2,776,490

Information

(3) 0

Professional and Special Services

(4) 68,512,435

Rentals

(5)

0

Purchased Repair and Maintenance

(6)

13,027,097

Utilities, Materials and Supplies

(7)

2,331,376

Acquisition of Land, Buildings, and Works

(8)

0

Acquisition of Machinery and Equipment

(9)

830,340

Public Debt Charges

(11)

0

Other Subsidies and Payments

(12)

1,691,204

Total Operating and Capital

 

163,995,032

Total Transfer Payments

(10)

192,377,963

Total

 

356,372,995

a. Includes EBP

The amount under Standard Object 4 – Professional and Special Services relate primarily to funding for the Multi-Purpose Vessel Project, Canada’s Indo-Pacific Strategy, the Fish and Fish Habitat Protection Program and the Offshore Oceanographic Science Vessel

Annex C – 2023-24 Supplementary Estimates (B) by Transfer Payment Program (in dollars)
Transfer Payment Program Amount

Grants in Support of Indigenous Reconciliation Priorities

2,589,380

Grants in Support of Asset Disposal Programming

336,483

Total Grants

2,925,863

Contributions in Support of Indigenous Reconciliation Priorities

130,730,688

Contributions in Support of Aquatic Species and Aquatic Habitat

41,411,662

Contributions in Support of the Integrated Fish and Seafood Sector Management Framework

6,995,910

Contributions in Support of the Sustainable Management of Canada’s Fisheries

5,733,480

Contributions in Support of the Integrated Aboriginal Programs Management Framework

4,916,843

Contributions in Support of the Small Craft Harbours Class Program

(336,483)

Total Contributions

189,452,100

Total Transfer Payment Programs

192,377,963

Issue Note - Supplementary Estimates (B)

Background

Additional context for the largest items:

Summary of Supplementary Estimate “B” Items

*ARLU = Annual Reference Level Update
**Funding excludes Employee Benefit Plan (EBP)

New Funding
Name of the Initiative Description and Expected Results Funding
Funding to continue the implementation of the Fish and Fish Habitat Protection Program provisions of the Fisheries Act (Budget 2023)
  • As announced in Budget 2023, this funding will support the continuing implementation of the fish and fish habitat protection provisions of the Fisheries Act.
  • The Fish and Fish Habitat Protection Program (FFHPP) works to conserve and protect fish and fish habitat for future generations, while supporting sustainable economic growth, by administering the fish and fish habitat protection provisions of the Fisheries Act, and relevant provisions of the Species at Risk Act.

Supps (B) 2023-24 2023-24: $49.4M

ARLU* 2024-25
[Information was severed in accordance with the Access to Information Act.]

Funding for the Multi-Purpose Vessel Project
  • In May 2023, DFO urgently sought amended expenditure authority and access to additional funds due to the project's previous authorities anticipated to reach its limit by June.
  • As an interim measure, DFO was approved for amended expenditure authority and additional funding of $44.2M (incl. taxes) to continue work under the existing ancillary contract [Information was severed in accordance with the Access to Information Act.]

Supps (B) 2023-24
2023-24: $42.1M

Funding to continue efforts to protect species at risk (Budget 2023; horizontal item)
  • As announced in Budget 2023, this funding will support the renewal of the Species at Risk initiative to continue to monitor, protect and promote the recovery of species at risk through implementation of the Government’s statutory obligations under the Species at Risk Act and other species at risk activities.
  • Renewed funding of $83M will be used for the following activities: Aquatic Species Assessment and Listing, Recovery and Action Planning, Protection and Recovery Implementation and Statutory Requirements, Communication and Policy Support.

Supps (B) 2023-24
2023-24: $24.7M

ARLU 2024-25
[Information was severed in accordance with the Access to Information Act.]

Funding to implement Canada’s Indo-Pacific Strategy (horizontal item)
  • This funding will allow Canada to achieve the commitment made under its Indo-Pacific Strategy on combatting and deterring illegal, unreported, and unregulated fishing, and reinforcing a healthy marine environment in the Indo-Pacific region through governance, enforcement, and partnerships.

[Information was severed in accordance with the Access to Information Act.]

Funding to renew the Marine Spatial Planning Program (Budget 2023; horizontal item)
  • As announced in Budget 2023, this funding will support the renewal of the Marine Spatial Planning (MSP) program with the goal of delivering four first-generation marine spatial plans by March 2024.
  • Budget 2023 provided renewed funding that will enable continued work with partners, support Indigenous participation in MSP and ensure a solid evidence base is available.

Supps (B) 2023-24
2023-24: $10.1M

Funding to operate and maintain the Canadian Coast Guard helicopter fleet (Budget 2023)
  • This funding addresses an annual operational deficit in order to maintain baseline air support for the light and medium-lift helicopter aircraft. This operational deficit is a result of rising costs, such as inflation and increasing fuel and repair costs, for the Canadian Coast Guard (CCG)’s helicopter services.
  • CCG helicopters are integral to the delivery of critical departmental programs such as support for search and rescue, icebreaking reconnaissance, maintenance of the Aids to Navigation network, support to Maritime and Civil Infrastructure construction and maintenance activities, as well as critical logistics support to vessel operations.

Supps (B) 2023-24
2023-24: $11.6M

ARLU 2024-25
[Information was severed in accordance with the Access to Information Act.]

Funding for the Offshore Oceanographic Science Vessel project
  • [Information was severed in accordance with the Access to Information Act.]

Supps (B) 2023-24
2023-24: $8.0M

ARLU 2024-25
[Information was severed in accordance with the Access to Information Act.]

Funding for the Fisheries Monitoring Policy
  • This funding supports the implementation of a policy-based approach to improve existing fishery monitoring by implementing measures to monitor fish stocks and sustainably manage fisheries per the Fisheries Act and Fishery (General) Regulations.
  • The Fishery Monitoring Policy will establish a framework to ensure that selected stocks from individual fisheries produce reliable, timely, dependable and accessible catch information that can be used to inform management actions.  Information includes closing fisheries that are nearing their target and bycatch limits, strengthening of stock assessments via improved estimates of total catch and effectively enforcing management measures.

Supps (B) 2023-24
2023-24: $5.5M

ARLU 2024-25
[Information was severed in accordance with the Access to Information Act.]

Funding to renew and advance clean technology-enabling measures (Budget 2023)
  • As announced in Budget 2023, this funding will support the renewal of the Fisheries and Aquaculture Clean Technology Adoption Program (FACTAP) which will continue to assist existing fisheries, aquaculture, and fish processing operators to drive technological innovation and adoption of clean technology.
  • This initiative should help increase the adoption of clean technologies and continue to assist wild capture fisheries, aquaculture and seafood processing sectors to meet emerging market realities and position them for long term sustainability.

Supps (B) 2023-24
2023-24: $4.7M

Funding for the Atlantic Integrated Commercial Fisheries Initiative
  • A number of participating First Nations experienced adverse impacts to their communal commercial fishing enterprises and Aquaculture enterprises when Hurricane Fiona made landfall in Atlantic Canada on September 23, 2022.
  • The Atlantic Integrated Commercial Fisheries Initiative (AICFI) Business Development Team worked closely with impacted communities in the immediate aftermath of the storm to assess and quantify the damage to their commercial fishing enterprises and/or Aquaculture enterprises. Funding will be used to offset risk-managed funds from fiscal 2022-23 and address Hurricane Fiona-related damage incurred by AICFI participants, including residual hurricane impacts in 2023-24.

Supps (B) 2023-24
2023-24: $2.0M

Reprofiles - Represents the movement of funds between 2022-23 and future years
Name of the Initiative Description and Expected Results Funding
Funding to advance reconciliation on Indigenous rights and fisheries issues
  • This funding is a reprofile of lapsed funds under the Advancing Reconciliation on Indigenous and Treaty Rights Issues program required to complete projects currently underway. Through this funding, we remain committed to reaching Rights and Reconciliation Agreements and Framework Agreements with First Nations.
  • This program aims to advance reconciliation with Indigenous Peoples, improve relationships with First Nations and increase the number of comprehensive land claims and self-government agreements.

Supps (B) 2023-24
2023-24: $133.3M

Funding for the Aquatic Habitat Restoration Fund
  • The Aquatic Habitat Restoration program provides capacity support projects related to habitat restoration as well as address threats on aquatic habitats and species.

Supps (B) 2023-24
2023-24: $19.3M

ARLU 2024-25
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Funding for the British Columbia Salmon Restoration and Innovation Fund
  • This funding is a reprofile of lapsed funds under the British Columbia Salmon Restoration and Innovation Fund to complete projects currently underway.
  • These funds aim to keep Canada’s fish and seafood sector sustainable and innovative, while also meeting the growing demands of a worldwide market.

Supps (B) 2023-24
2023-24: $7.0M

Funding to strengthen environmental protections and address concerns raised by Indigenous groups regarding the Trans Mountain Expansion Project
  • This funding is a reprofile of lapsed funds for the Terrestrial Cumulative Effects Initiative (TCEI).
  • TCEI provides funding to Indigenous groups to support engagement and capacity building as well as specific cumulative effects research or data collection projects.

Supps (B) 2023-24
2023-24: $4.1M

ARLU 2024-25
[Information was severed in accordance with the Access to Information Act.]

Funding to enhance aquaculture management
  • This funding is a reprofile of lapsed funds under the Transition from Net-Pen Aquaculture and Pilot to Area-Based Management in British Columbia to complete projects currently underway. 
  • The funds are to continue the necessary engagement with Indigenous partners and stakeholders to deliver on the Minister’s mandate commitments to create a responsible plan to transition open net-pen salmon farming in British Columbia.

Supps (B) 2023-24
2023-24: $1.8M

Transfers - Represents a transfer of resources between two or more federal departments to meet Government of Canada objectives
Name of the Initiative Description and Expected Results Funding
Transfer from the Department of the Environment to the Department of Fisheries and Oceans for the Great Lakes Action Plan VIII
  • A 3-year agreement between DFO and Environment and Climate Change Canada (ECCC) funds DFO to deliver science advice on the status of impaired beneficial uses and about the success of restoration actions in historically degraded Areas of Concern in the Great Lakes.
  • DFO's participation in this agreement supports DFO's commitments under the Great Lakes Water Quality Agreement and the Canada-Ontario Agreement for Great Lakes Water Quality and Ecosystem Health.

Supps (B) 2023-24
2023-24: $1.2M

ARLU 2024-25
[Information was severed in accordance with the Access to Information Act.]

Transfer from the Treasury Board Secretariat to various organizations to support projects which will reduce greenhouse gas emissions in federal government operations
  • The Greening Government Fund (GGF) supports and shares the results of projects which will reduce greenhouse gas emissions in federal operations.
  • This funding is for two initiatives:
  1. Conduct a pilot project to evaluate emergent renewable and hybrid Power, Energy and Control (PE&C) systems at remote Marine Communications and Traffic Services sites operated by the Canadian Coast Guard.
  2. Support the additional cost of procuring low-carbon marine fuels.

Supps (B) 2023-24
2023-24: $0.6M

ARLU 2024-25
[Information was severed in accordance with the Access to Information Act.]

Transfer from the Department of National Defence to various organizations to support the Canadian Safety and Security Program
  • The funds will allow CCG to acquire equipment for the development of the Ranging Mode (R-Mode) positioning technology for maritime navigation.
  • This new equipment will be used to determine the vessel positioning accuracy using R-Mode to meet maritime navigation requirements for harbour approach and ports.

Supps (B) 2023-24
2023-24: $0.3M

Transfer from the Department of Fisheries and Oceans, Department of Natural Resources, and the Department of Transport to the Canadian Northern Economic Development Agency to facilitate a consultation framework with the White River First Nation
  • This funding will be used for the administration of the Major Projects Consultation Framework for White River First Nation (WRFN) and the Government of Canada.

Supps (B) 2023-24
2023-24: ($25K)

Transfer from various organizations to the Royal Canadian Mounted Police for law enforcement record checks
  • The costs are associated with the Royal Canadian Mounted Police performing up to 100 Law Enforcement Record Checks on behalf of DFO in fiscal year 2023-24.

Supps (B) 2023-24
2023-24: ($51K)

Transfer from various organizations to the Canadian Security Intelligence Service for the Integrated Terrorism Assessment Centre
  • Funding will be used to hire secondees to ensure the continued production of intelligence assessments for the Government of Canada.

Supps (B) 2023-24
2023-24: ($65K)

Multi-Purpose Vessels

Question 1: Is the Coast Guard on track to commence engineering work on schedule?
Question 2: Is the current budget sufficient to build the Multi-Purpose Vessels?

Background

Fish and Fish Habitat Program

Question 1: What progress has been made?

Background

Reconciliation Reprofile

Question 1: What work is the Department undertaking to advance reconciliation?

Background

Indo-Pacific Strategy

Question 1: How can the Shared Ocean fund support efforts to build a sustainable and green future?
Question 2: What is the Department doing to tackle international illegal, unreported, and unregulated fishing?

Background

Issue Notes – General

Refocusing of Government Spending

How will the Department achieve their targeted reductions without affecting services to Canadians?
How will the Department avoid affecting employees?

Background

Fleet Renewal

Question 1: How will the Canadian Coast Guard continue to maintain services?
Question 2: Why are we still seeing increases in project budgets?

Background

Abandoned, Wrecked, Derelict Vessels

Question 1: How many vessels have been removed by the Government of Canada?
Question 2: How many hazardous vessels have been identified?
Question 3: How does the Coast Guard and Transport Canada work together to address wrecked, abandoned, or hazardous vessels?

Background

Permitting Process to Support Clean Growth

Question 1: Why is Fisheries and Oceans taking so long to authorize certain projects?
Question 2: Does Clean Growth mean lower protection standards for fish and fish habitat?

Background

Marine Protected Areas

Question 1: What is Canada’s progress towards achieving the 25 per cent by 2025 Marine Conservation Target?

Question 2: What is Canada doing with respect to Marine Protected Areas and climate change?

Background

Science at Fisheries and Oceans

Question 1: What is the Department doing to ensure impartial and transparent science? What are the follow-up actions to the Committee’s study on Science?

Background

Northern (2J3KL) Cod Stock

Question 1: How will this impact Fisheries Management decisions?
Question 2: Is predation by seals considered by the new model?
Question 3: Why were the assessment model and Limit Reference Point changed?
Question 4: What do these changes mean for the rebuilding plan?
Question 5: Why did you do a new framework and what are the new data?

Background

Small Craft Harbours

Question 1: What is the status of repairs to harbours impacted by Hurricane Fiona in 2022?

Background

North Atlantic Right Whale Report

Question 1: How is the Department addressing economic impacts on harvesters?
Question 2: What advances are being made to address entanglement risks while allowing fishing?

Background

Monitoring Marine Fisheries Catch

Question 1: Why hasn’t the Department been able to implement the Fishery Monitoring Policy?
Question 2: How is the Department ensuring its fisheries information systems are modernized in a timely manner?
Question 3: What is the Department doing to review its third-party observer programs and the ability of the programs to deliver catch monitoring information as required? 

Background

Closure of Atlantic Mackerel Fishery

Question 1: Why have we not received a response?

Background

Peace on the Water Moderate Livelihood Senate Report

Question 1: How will the Government ensure that Indigenous peoples have the fishing licences (“access”) needed to exercise their rights?
Question 2: Why should Fisheries and Oceans Canada oversee the implementation of fishing rights, and not Crown-Indigenous Relations and Northern Affairs Canada?
Question 3: Will the Department commit to using section 4.1 of the Fisheries Act to enter into collaborative fisheries agreements with Treaty Nations?

Question 4: What is being done to ensure that Indigenous fish harvesters can safely and meaningfully exercise their fishing rights?

Background

Foreign Ownership of Fishing Licences

Question 1: Does the Department intend to immediately ban foreign ownership of fishing licences?
Question 2: What additional information can be revealed about the licence holders with foreign ownership?
Question 3: Will Fisheries and Oceans address non-respondent Survey participants?

Background

Great Lakes Fishery Commission

Question 1: Why haven’t you addressed the governance issue?
Question 2: Is the Department in a conflict of interest?
Question 3: When is the Memorandum of Understanding coming into force?

Background

Issue Notes – Maritimes Region

Unauthorized Fishing in Nova Scotia

Question 1: What is the Department doing about unauthorized fishing in Nova Scotia?
Question 2: What enforcement tactics does Conservation and Protection employ in Nova Scotia?

Background

Tidal Energy

Question 1: How is the Task Force engaging with other implicated partners and stakeholders?
Question 2: What kind of specific deliverables can Canadians expect this Task Force to deliver?

Background

Commercial Elver Fishery

Question 1: What is the management review covering?
Question 2: Will the review be completed and changes made ahead of a fishery in 2024?
Question 3: Why did the Department not offer compensation for the quota reduced from licences? Is this being considered for any changes to access in this fishery?
Question 4: Why did the Department close the fishery last season?
Question 5: Has the Department considered the possibility of converting eel licences to elver licences?

Background

Avon River Tidal Gate / Highway 101 Twinning

Question 1: Why is your Department’s review taking so long?
Question 2: Will your department consider the impacts to the community that has developed around the area?

Background

Atlantic Fisheries Fund

Q1: Why have there been delays in extending the program?

Background

Issue Notes – Pacific Region

Open-net Pen Transition

Question 1: What work has Fisheries and Oceans done so far?
Question 2: When will the transition plan be finalized?

Background

Discovery Islands

West Coast Fisheries Report

Question 1: Why is it taking so long and what progress has the Department made?

Background

Pacific Salmon Strategy Initiative

What actions is the Department taking under the Pacific Salmon Strategy Initiative?

Background

Issue Notes – Arctic Region

Canadian Coast Guard Presence in the Arctic

Question 1 : What activities does the Coast Guard undertake in the Arctic regarding Arctic Sovereignty?
Question 2: How is the Coast Guard contributing maritime domain awareness?
Question 3: Other than icebreakers, what does Coast Guard’s presence look like in the Canadian Arctic?
Question 4:  Will the Coast Guard seek armament to support the mandate of safeguarding Canadian sovereignty in the Arctic?

Background

Establishment of the Arctic Region

Question 1: What are some of the flagship initiatives in the Arctic Region?

Background

Issue Notes – Quebec Region

Shrimp and Redfish fishery of the Estuary and Gulf of St-Lawrence

Question 1: Will Fisheries and Oceans compensate harvesters to help them get through this crisis?
Question 2: Will Fisheries and Oceans reopen the redfish fishery, which, according to Estuary and Gulf Shrimp harvesters, is responsible for the shrimp’s decline?

Background

Marine Plant Harvesting in Quebec

Question 1: Do the regulations differ between provinces?
Question 2: Is there a tolerance threshold for seaweed uprooting?

Background

Quebec Fisheries Fund

Question 1: Will the program’s end date be amended?

Background

Annex – Fisheries Management Decisions

Region Fishery Description Key Messages

NCR

Redfish
Unit 1
Access and Allocation decision

Seeking a ministerial decision on the access and allocation key for Unit 1 Redfish, (required for the Minister to determine the sharing of Total Allowable Catches (TACs) when the commercial fishery resumes)

  • The Department is considering a wide variety of perspectives on access and allocation sharing received from industry stakeholders, Indigenous groups, provincial partners, and others.
  • Once a decision on an allocation sharing key is taken, further consultations will be necessary to establish inshore and midshore fleet shares, sub-allocations of any Indigenous quota, and management measures necessary to operationalize the fishery.

All

Rebuilding Plans

Seeking a Ministerial decision on the following rebuilding plans:

  • 3Ps Cod
  • Atlantic Cod NAFO 3Pn4RS
  • Gulf Groundfish (American Plaice 4T, Atlantic Cod 4TVn, White Hake 4T, Winter Flounder 4T)
  • Southern Gulf of St. Lawrence (SGSL) - Atlantic Herring 4T (spring spawner)
  • Atlantic Mackerel
  • Chinook Salmon, Okanagan
  • Haida Gwaii - Pacific Herring
  • Northern Shrimp SFA 6
  • The department is working diligently to develop these rebuilding plans within the prescribed time parameters.
  • I am confident we will meet those targets.

Pacific

Pacific Salmon West Coast Vancouver Island Chinook (Rebuilding Plan)

Seeking ministerial decision on a 12 month extension for completion of rebuilding plan to allow for critical science advice and engagement with First Nations.

  • The Department is aware of the requests by Indigenous groups and stakeholders who seek to have an extension for this rebuilding plan for additional science work. This is permitted under the Fisheries Act.
  • A decision is anticipated in the near future.

Gulf

Southern Gulf of St. Lawrence (SGSL) Spring Herring: Reevaluation of fishery closure

Seeking a Ministerial revised decision on the closure of SGSL Herring (spring spawner) announced in 2022.

The announcement stated that the closure would be revisited following the next stock assessment (scheduled for March 19-20, 2024).

The spring herring fishery normally opens in April (bait opens on April 1st).

  • Spring herring has been in the critical zone since 2002 with no signs for improvement in the short or long term.
  • DFO will not be able to follow the usual process for a timely decision.
  • My Department is aiming for a decision well in advance of the 2024 season based on best available science.

Gulf

Southern Gulf of St. Lawrence (SGSL) Fall Herring: Management Approach by Sector (MAS)

Seeking ministerial decision to change the current fix sharing formula for distributing the Total Allowable Catch (TAC) to a sharing formula using a spawning stock biomass indicator.

  • Fall herring is currently in the cautious zone of the Precautionary Approach. Allocating the total allowable catch to Herring Fishing Areas based on spawning stock biomass is being considered because it aligns with our science advice.

Nfld and Labrador

Northern Cod (2J3KL)

Seeking a ministerial decision on the 2024 management approach.

  • A Canadian Science Advisory Secretariat (CSAS) assessment for the Northern cod framework took place from October 16-20, 2023 to review the current Northern cod assessment model. Consensus was reached on significant improvements to the Northern cod assessment model, including an updated limit reference point, which indicates that the stock in 2021 was in the cautious zone.
  • An updated stock status will follow after the 2024 stock assessment.
  • The 2024 Northern cod management decision will consider the best available Science advice and input from Indigenous partners, harvesters, the provincial government and other industry stakeholders. This F18decision will be made following the Northern cod stock assessment and advisory process in spring 2024.

Quebec

Estuary and Gulf Shrimp (SFA 8, 9, 10 and 12)

Seeking a ministerial decision on 2024 Total Allowable Catch.

  • The sharp decline in the abundance of shrimp in the Estuary and Gulf of St. Lawrence is a cause for concern for the future of this commercial fishery.
  • The Department anticipated the recommendation process for the 2024 season by exceptionally carrying out the stock assessment at the end of October and holding the advisory committee meeting on October 31 and November 1.
  • A decision is anticipated in the near future.
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