PROVINCE OF NEWFOUNDLAND AND LABRADOR HOUSE OF ASSEMBLY First Session Forty-Ninth General Assembly Proceedings of the Standing Committee on Government Services June 17, 2019 - Issue 3 Service NL Public Procurement Agency Published under the authority of the Speaker of the House of Assembly Honourable Perry Trimper, MHA GOVERNMENT SERVICES COMMITTEE Service NL and Public Procurement Agency Chair: Pam Parsons, MHA Members: Derek Bennett, MHA Derrick Bragg, MHA Alison Coffin, MHA Elvis Loveless, MHA Loyola O’Driscoll, MHA Barry Petten, MHA Sarah Stoodley, MHA Clerk of the Committee: Kim Hawley George Appearing: Service NL and Public Procurement Agency Hon. Sherry Gambin-Walsh, MHA, Minister Michael Delaney, Assistant Deputy Minister, Regulatory Affairs Alan Doody, Assistant Deputy Minister, Government Services & OHS Sean Dutton, Deputy Minister Robyn Hayes, Departmental Comptroller Marlene Hickey, Chief Review Commissioner Deanne Howe, Manager of Operations Melony O’Neill, Director of Communications Heather Tizzard, Chief Procurement Officer Kelly White, Executive Assistant Also Present John Haggie, MHA Carol Anne Haley, MHA Paul Lane, MHA Kevin Parsons, MHA Laurie Bonia, Official Opposition Office Susan Williams, Researcher, Third Party Office June 17, 2019 GOVERNMENT SERVICES COMMITTEE Pursuant to Standing Order 68, John Haggie, MS. WHITE: Kelly White, Executive Assistant MHA for Gander, substitutes for Derek Bennett, to Minister Gambin-Walsh. MHA for Lewisporte - Twillingate. MR. O’DRISCOLL: Loyola O’Driscoll, Pursuant to Standing Order 68, Carol Anne Ferryland District. Haley, MHA for Burin - Grand Bank, substitutes for Elvis Loveless, MHA for Fortune Bay - Cape MS. BONIA: Laurie Bonia, Researcher, La Hune. Official Opposition Office. Pursuant to Standing Order 68, Kevin Parsons, MR. K. PARSONS: Kevin Parsons, Member MHA for Cape St. Francis, substitutes for Barry for the beautiful District of Cape St. Francis. Petten, MHA for Conception Bay South. MR. LANE: Paul Lane, Member for District of The Committee met at 6:02 p.m. in the Mount Pearl-Southlands. Assembly Chamber. MS. COFFIN: Alison Coffin, St. John’s East - CHAIR (Parsons): Good evening, everyone, Quidi Vidi. and welcome. MS. WILLIAMS: Susan Williams, Researcher I think we are ready to start now; we’re pretty for the Third Party. much right on time. We’ll start, of course, with the department introducing themselves on this MS. HALEY: Carol Anne Haley, Burin - Grand side and then we’ll go around the room. Bank So we will start over here, please. MR. BRAGG: Derrick Bragg, Fogo Island - Cape Freels. MR. DUTTON: Sean Dutton, I’m the Deputy Minister of Service NL. MR. HAGGIE: John Haggie, MHA for the District of Gander. MS. GAMBIN-WALSH: Minister Sherry Gambin-Walsh. MS. P. PARSONS: Pam Parsons, MHA for the strong District of Harbour Grace - Port de Grave MS. TIZZARD: Heather Tizzard, Chief and I’ll be chairing the session this evening. Procurement Officer, Public Procurement Agency. The minister has 15 minutes to introduce her Estimates. The Member speaking immediately MS. HICKEY: Marlene Hickey, Chief Review in reply to the minister has 15 minutes and all Commissioner with the Workplace Health, other Committee Members have 10 minutes to Safety and Compensation Review Division. speak. Also, we can refer to each other by name rather than department or district or portfolio in MR. DELANEY: Michael Delaney, Assistant this matter. Deputy Minister of Regulatory Affairs. Tonight, we’ll be starting with the Public MR. DOODY: Alan Doody, Assistant Deputy Procurement Agency. Minister, Government Services Branch. Minister. MS. HAYES: Robyn Hayes, Departmental Controller, Service NL. MS. GAMBIN-WALSH: Good evening. MS. HOWE: Deanne Howe, Manager of As Minister of Service NL, the Minister Operations with the Review Division. Responsible for the Public Procurement Agency and WorkplaceNL, I’m pleased to be here this MS. O’NEILL: Melony O’Neill, Director of evening to discuss the Estimate figures for these Communications with Service NL. entities. 119 June 17, 2019 GOVERNMENT SERVICES COMMITTEE I want to take this opportunity to thank the Division for the new print-on-demand vehicle Members opposite and their staff for joining us stickers, which are now done from our Mount this evening. I also want to thank staff from Pearl location. Service NL, the Public Procurement Agency and the WorkplaceNL Review Division for their Some of these savings were reallocated to our participation in today’s session. French Services and Commercial Registration Division. All in all, this resulted in $28,400 as Before we get started, I want to highlight a few the amount of a year over year operational points regarding our Estimates. You will see that savings. We also had an attrition target of Service NL, including the WorkplaceNL Review $550,600 for 2019-20 which was achieved. Division, has a net budget of over $23 million. You won’t see our $139 million in revenue I believe all Members here tonight will have reflected in the department’s Estimates. In 2019- witnessed first-hand at some point the hard work 2020, Service NL will generate this revenue of at least one of the divisions of Service NL, through such functions as the issuer fees, the and I’m sure we can all appreciate the Registry of Deeds and especially the commitment of staff to the serving of the people transactions at Motor Registration Division. This of our province. review is included in the general revenue of government. The Office of French Services provides French language training and translations services to Additionally, Service NL also encompasses the government. This office also provides support to Occupational Health and Safety Division or the Minister Responsible for Francophone OHS Division, which is responsible for health Affairs. In addition, through the Office of the and safety inspection and enforcement Queen’s Printer, the department provides programs. The OHS Division establishes printing services for the provincial government through legislation the codes, standards and and the general public. practices for safe and healthy working conditions. The costs associated with OHS are I’m also the Minister Responsible for the Public recovered from WorkplaceNL so there is Procurement Agency, the central procurement offsetting revenue for all related expenditures. unit of the Government of Newfoundland and Labrador. It is responsible for the oversight of Service NL is responsible for the majority of the procurement process for goods and services licensing, inspection, public record keeping and on behalf of all public bodies. The agency also regulatory functions within government and is establishes policies for procurement as part of the primary access point for people who need the public procurement framework and provides these services. These range from electrical information, training and oversight of inspections to restaurant inspections to the procurement activities of all public bodies. The production of vital statistics records and the mandate of the agency is provided within the registration of deeds. Public Procurement Act which was proclaimed in March of 2018. It has an annual budget of Within the Motor Registration Division, Service over $1.9 million. NL completes more than a million transactions a year. As of April 30, 2018, Motor Registration The WorkplaceNL Review Division reviews Division no longer issues renewal notices decisions of WorkplaceNL to ensure compliance through regular mail. The use of email to contact with the act as well as regulations and policies. clients saves over $400,000 annually in printing The division provides vital appeal services to and mail costs. The savings allowed us to employers and workers and pursues continuous address other cost pressures in the department. improvement in the area of client service. The costs are recovered 100 per cent from For example, there were upfront costs with WorkplaceNL. implementation of the print-on-demand stickers. There was a restatement of $80,000 in funding This is just a quick introduction to the portfolio from the Department of Transportation and as well as a brief explanation of some of the Works mailroom to the Motor Registration significant aspects of our Estimates. 120 June 17, 2019 GOVERNMENT SERVICES COMMITTEE I would like to start with the Public Procurement MS. TIZZARD: We have 31 positions; six are Agency, then go to Workplace Health, Safety vacant right now. and Compensation Review and then onto Service NL, if everyone is okay with that. MR. O’DRISCOLL: I’m just going to move on here to section 1.1.01, Public Procurement CHAIR: Okay. We’ll have our first speaker, but Agency. The Salary Details for the Public I’ll remind everybody to please identify yourself Procurement Agency state the department total prior to your questions. is $1,709,853 but the numbers stated under Salaries in the Estimates is $1,954,000. There’s MR. O’DRISCOLL: Can we provided with a a difference of $244,147. Is there an explanation copy of the minister’s briefing binder? why these numbers would be different? MS. GAMBIN-WALSH: Yes. MS. TIZZARD: Sorry, which numbers were those? MR. O’DRISCOLL: Okay. MR. O’DRISCOLL: Subhead 1.1.01 under Are there any errors in the published Estimates Salaries. book? MS. TIZZARD: Are you talking about the MS. GAMBIN-WALSH: No. difference, sorry, between the budget of last year and this year, or between the revised? MR. O’DRISCOLL: Okay. Are you talking about the decrease in the budget Are you still applying zero-based budgeting? in the revised number? MS. GAMBIN-WALSH: Yes. MR. O’DRISCOLL: Yes, $117,300 less was spent than budgeted last year. This year’s budget MR. O’DRISCOLL: Okay. includes $110,000 over the revised. What were the attrition savings last year in terms MS. TIZZARD: Yeah, that was the result of of dollars and positions? some vacancies within the agency. MS. TIZZARD: Our target was $7,300 and we MR. O’DRISCOLL: How many positions are achieved that through a vacancy rate within the included in this amount? agency.