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SECD - Standing Committee

National Security, Defence and Veterans Affairs

 

Canada's Coastlines:

The Longest Under-Defended Borders in the World


CHAPTER FIVE: 

The Need for a NEW STRUCTURE  at the Top  

“It is very clear that there is a policy vacuum in the maritime security area.” (Retired) Vice-Adm. Gary L. Garnett, National Vice-President for Maritime Affairs, Navy League of Canada

“If we had a Prime Minister and a Privy Council Office that made emergency preparedness, security and intelligence critical functions by making them the primary focus of the Privy Council machinery, with extensive resources for assessment and with some ability to help man operation centres, then there would be a clear signal to the entire system of the importance of security preparedness in the eyes of senior leadership. ” Dr. Thomas Axworthy, Chairman, Centre for the Study of Democracy, Queen's University  

Several of the witnesses who appeared before the Committee during the last six months called for a replacement of ad hoc decision-making across the broad spectrum of security issues facing the federal government. Many of them would like to see a national security policy underpinned by a national security structure.  

While this report focuses on Canada’s coastal security, the same policy and structural flaws that undermine Canada’s maritime security undermine Canada’s national security across the board.  

 

The Neglect of Our Coasts 

Although the Canadian Navy’s first traditional responsibility has been the defence of Canada, in truth, the potential for assaults on any of our three coasts or threatening activity on the Great Lakes has not been taken seriously since World War II. Canada’s Navy’s “blue water” theory quite rightly has always been that it makes more sense to contain threats to Canada as far away from Canada as possible.  

That approach once made sense. With a few exceptions – most notably Pearl Harbour –North America has been a haven from war over the years. But the dynamics of combat have clearly changed.  

As Vice-Admiral Ronald Buck, Chief of Maritime Staff, Department of National Defence, told the Committee: “the terrorist has changed the battle space . . . the terrorist has altered the way we think about domestic security.”  

Admiral Buck’s “battle space” now includes North America. Except  . . . the Canadian Navy is still not defending Canada’s littoral waters in any meaningful way.  As we pointed out earlier, the Navy’s so-called “coastal defence” vessels are not used to defend Canada’s coasts.  They are primarily used for training for naval reserves, with limited underwater mapping and minesweeping capability.  

The Canadian Coast Guard, in itself, is not defending Canada’s coasts either. Excepting rare incidents like the Turbot War, its ships are unarmed and so are its crews. Unlike the U.S. Coast Guard the Canadian Coast Guard is not a constabulary force. Its primary roles include search and rescue, icebreaking, maintaining navigational aids, enforcing fisheries regulations and offering its vessels up as taxis to other departments and agencies.  

The vast majority of suspect vessel boardings (there have only been 23 in the past five years) have been conducted by RCMP officers, either from their own limited fleet of vessels, (see appendix X, Volume 2) or by hitching a ride on Coast Guard vessels. If this seems like scant protection of Canada’s massive Western and Eastern coastlines, the situation gets worse in the St. Lawrence Seaway and Great Lakes, where RCMP witnesses acknowledge they have virtually no capacity to deal with vessels that might represent a threat to Canadians in particular and North Americans in general.  

The Arctic is clearly less of a terrorist threat, but it is increasingly vulnerable to legal territorial challenges as the Northwest Passage becomes a potentially lucrative trade route because of global warming and mineral exploration becomes more feasible. Producing Arctic oil is economically feasible at between $US 30-$35 a barrel, and drilling for Arctic gas is already feasible at current market rates.  

The threats to both Canada’s security and Canada’s sovereignty have increased dramatically in recent years. How has the federal government responded at the top in the areas of policy, operational coordination, and expenditures on maritime defence?  

 

Response at the Strategic Level to Maritime Security 

In the wake of 9/11, as we reported earlier, the government established the Interdepartmental Maritime Security Working Group (IMSWG) “to coordinate federal response to marine security, analyze our marine systems for security gaps, and develop possible mitigation initiatives to address these gaps.”  Seventeen federal departments and agencies are members of this working group. It is chaired by Transport Canada.  

Transport Minister David Collenette outlined his vision for IMSWG in a letter to Senator Colin Kenny, Committee chair, on June 17, 2003: “Effective coordination is paramount for the success of all marine security activities. Up to $16.2 million will be split among the departments for enhanced coordination and collaboration.”  Mr. Collenette described the Interdepartmental Maritime Security Working Group as “the centrepiece of Canada’s marine security coordination.”  

If IMSWG is indeed “the centrepiece” of improved Canadian Maritime security, a number of questions come to the fore.  

The first pertains to the attention span of any arrangement among government departments and agencies to address major problems. What happens to the arrangement when crises are perceived to have abated?  The history of IMSWG is a textbook example. In reality, IMSWG is simply the resuscitation of the Interdepartmental Program and Review Committee, which was founded in 1991 in the wake of the Osbaldeston Report to enhance the efficiency and improve the delivery of federal marine fleet programs.  

Captain Larry Hickey, Assistant Chief of Staff, Plans and Operations for Maritime Forces Atlantic, Department of National Defence, told the Committee that an opportunity was missed:  

“It seemed as though we were on the way to cracking the code for real interdepartmental coordination and effective employment of our maritime resources. That was not to be the case. The 1990s saw the stagnation of interdepartmental relationships . . . the “Interdepartmental Concept of Maritime Operations fell into disuse. Budgetary constraints were the main culprit . . . The Interdepartmental Program Coordination and Review Committee (IPCRC) was disbanded in September, 2001.”  

In fact, that Committee – surprisingly – was disbanded on

September 17, 2001 six days after the twin towers of the World Trade Centre went down. According to information the Committee received from the Department of National Defence, the IPCRC purpose was "to act as the federal forum for identifying government program requirements for ship support, for coordinating related interdepartmental activities at sea and for facilitating the employment of the government's fleets of vessels and aircraft." However, our DND explanation added, as time passed "interdepartmental communication and cooperation matured to such a degree that IPCRC oversight was no longer necessary."  

That Committee, so fragile in nature that it was neglected for years and then abandoned, is the so-called “centrepiece of Canada’s maritime security coordination.”  

The security of Canada’s coastal waters is clearly going to remain problematic for Canadians – and all North Americans – for many years to come. Under the rules of asymmetrical warfare, the more relaxed Canadians become about threats from the sea, the more likely they are to become victims of a terrorist initiative. In times of fiscal restraint and perceived lack of urgency on any given issue, departmental bureaucracies that have been cooperating on that issue tend to turn their attention to priorities in their own bailiwicks. That is what happened before. That is what could easily happen again.  

A number of our witnesses, while applauding the gesture of attempting to improve security communications within the Canadian government through the Interdepartmental Marine Security Working Group, expressed doubts as to how significant a role IMSWG is playing even now, and how likely it is to sustain any degree of momentum into the future.  

As Dr. Peter T. Haydon, Senior Research Fellow at the Centre for Foreign Policy Studies at Dalhousie University, testified:  

“I believe [IMSWG] is working, but I am not convinced that it is working at all the problems that need to be worked at. It does not have the authority to direct that things happen. It is a staff committee that produced a memorandum to cabinet back in, I believe, November or early December that made some changes. Again, there is no sense of urgency or importance to that committee.”  

Dr. Danford W. Middlemiss, of the Department of Political Science, also from Dalhousie University, also had good things to say about IMSWG, but pointed out that it is powerless either to create policy or direct reform: “If we simply rely on the very good work from these interdepartmental groups that are working to find the gaps, they will, and then nothing more will happen because nothing has ever happened again in the past. We need policy.”

 

An End to Silos  

The Committee believes that it is important to emphasize that one basic problem with turning to committees composed of a variety of departments and agencies for direction on security is that each of these departments and agencies has its own legislation and its own mandate, and the security of Canadians is rarely the primary mandate. Not only is it doubtful that IMSWG will ever create policy, or gain the authority to “direct that things happen,” it is doubtful that it should create security policy, given unfocused scope of priorities of its members.  

On the question of authority, consider this exchange between Senator Day and Gerry Frappier, Director General, Security and Emergency Preparedness, Transport Canada, and Chair of IMSWG:  

Sen. Day:  “Your working group is ensuring that the regulations are developed but they are not then ensuring that they are implemented.”

Mr. Frappier: “You are correct. Each minister has that responsibility . . . if there are issues between ministers, they will be handled through the cabinet and cabinet committees.”

Unfortunately, at the level of cabinet and cabinet committees to which Mr. Frappier refers, another flaw emerges.  Former Prime Minister Kim Campbell dissolved the Cabinet Committee on Security and Defence in 1993. Dr. Thomas Axworthy, once principal secretary to another Prime Minister –Pierre Elliott Trudeau – told the Committee that the dissolution of this committee had  been a “terrible decision,” and he called for its restoration with a muscular support staff in the Privy Council Office:  

“ . . . we need a major increase in our central capability to manage the emergency preparedness file.  We need to have a major political buy in.  We should have the cabinet committee reappointed, chaired either by the Deputy Prime Minister or the Prime Minister, to have a major increase in the Privy Council resources.  In my paper, I call for a preparedness committee – National Security Council in the United States and Preparedness Council in Canada.  Those organizational steps would begin to have a major impact.

 

The National Security Council in the United States has a staff of about 200.  They have 25 to 30 who man the situation room in the basement of the West Wing, which was put in place by former President Kennedy in 1961-62.  We need something similar in Canada.  We need a body of that magnitude to, daily, collect intelligence, prepare intelligence briefings for ministers and for the Prime Minister, disseminate the intelligence throughout the system and participate in joint exercises.”

 

Muscle Where It Matters  

The Committee believes that Dr. Axworthy was exactly right when he testified that, while government generally needs to operate vertically – so that various departments and agencies can focus on their own priorities – there are issues that are of such importance that they demand horizontal treatment. These issues, said Dr. Axworthy, will not get the attention they deserve unless they are handled at the very centre of the power structure:

“There are one or two or three horizontal issues where you can get the whole system to understand this is a priority, but that takes the muscle of the Prime Minister's Office and the Privy Council Office at the centre.”  

At the moment, policy and strategy development is in the hands of a committee composed of borrowed bureaucrats from various departments and agencies, with no powerful cabinet minister to report to. The Interdepartmental Marine Security Working Group is doing its best, but, ask yourself, “Is this the way Canadians want an issue as vital as maritime security handled?”  

“In respect of what we have been trying to do to bring this together in a more formal way, the IMSWG put together a memorandum to cabinet entitled “Addressing Vulnerabilities in Canada’s Maritime Security.” This had an interdepartmental plan based on a risk management strategy and gives an excellent basis for the foundation of a strategy. There is currently a bit of a problem in that it is within this memorandum to cabinet, which is covered by cabinet confidentiality. We are working on that. We will bring the text out. However, once it is out, it is very important that it be brought forward as a national Maritime security plan and that we work hard to get some experts together to put it forward as a marine strategy.” Captain Peter Avis, Director of Maritime Policy, Operations and Readiness, Department of National Defence

Gerry Frappier, Chair of IMSWG, was not certain that the memorandum would ever be approved as government policy: “As to whether we will produce a document that is the policy, we have not decided on that.”  

 

Put a Strong Hand on the Tiller  

Members of the Committee believe that, on an issue as vital as maritime security, trying to direct from the circumference rather than the centre is a recipe for the continuation of the two most desperate problems at the operational level: under-funding and uncoordinated responses.  

Without a National Maritime Security Policy, inadequate funding will persist. An earlier section of this report dealt specifically with the lack of resources currently available to the Navy, the Canadian Coast Guard, the RCMP, and other key components of Canada’s marine defence. There is no shortage of evidence that they are all under-funded, and they will continue to be under-funded without a National Maritime Security Policy.  

Captain Larry Hickey, Assistant Chief of Staff, Plans and Operations for Maritime Forces Atlantic, described the problem when various departments and agencies are forced to decide on an ad hoc basis who will take the lead to deal with a problem:  

“One of the things that we have learned from these exercises that we have done is that establishment of the lead agency for any event tends to be somewhat problematic. People do not want to make eye contact when talking about this because usually, if you are the lead agency, you end up paying.”  

Not only does this create an overall lack of resources, but Captain Hickey pointed out that it can lead to delays in decision making in times of crisis:  

“There can be a lot of time wasted at the beginning of an incident because the departments go in with a very narrow perspective, generally speaking. I am talking about a reactive situation, not one where we have had a few days to think about it. It is happening now, and we have to deal with it.”  

Captain Hickey cited one example in particular: “About a year ago, we had an incident with a container vessel coming into Halifax with a suspicious container on board. Three or four different agencies knew about the container, but each reacted differently. As a result, we realized that there was a need to formalize a process to react to intelligence. The RCMP took that lead.”  

The Committee appreciates the attempts of the Interdepartmental Marine Security Working Group to bring different players together to improve responses to crises, learning from each mistake. But without centralized direction, this is likely to be a slow learning curve, which could prove deadly.  

If IMSWG continues to be “the centrepiece of Canada’s marine security coordination”, neither the resources nor the systems required for cohesive responses to maritime security crises are likely to be put in place.  

Security analysts who appeared before the Committee offered various suggestions as to how a National Maritime Security Policy could best be developed and managed. It was proposed that a separate department for security be created, that a parliamentary committee take charge, or that a cabinet committee of ministers with some responsibility for defending our borders (such as the defence minister, the solicitor general, and the minister for national revenue) take the helm.  

No witnesses outside the government, and few within the government were willing to argue that Transport Canada should continue to run the show. Transport Canada has become largely a regulatory department in recent years, with far fewer resources and heft than it once possessed. The only reason it seems to be chairing a committee charged with marine security coordination has to do with bureaucratic jurisdiction: The Marine Transportation Security Act is a Transport Canada administered act that provides it with the authority to take charge of marine security.  

Unfortunately, the department does not have the assets any longer to perform this role. Transport Canada should be a regulatory department like the Department of Finance and refrain from trying to run things like IMSWG and the Canadian Air Transport Security Authority (CATSA). The fact that Transport Canada has none of the resources or coordinating capacity to defend Canada’s coastlines seems to be irrelevant to decision makers.  

The Committee does not believe that Transport Canada should be in charge of efforts to fill the huge gaps in Canada’s maritime security, nor does it believe that IMSWG has the authority or the structure to lead to meaningful change.  

Nor does the Committee believe that a parliamentary committee or a cabinet committee of security related ministers would hold sufficient sway to provide adequate momentum to solving our problems with coastal security.

Prof. Haydon’s quote bears repeating  

“ . . . somehow you have to transform that interdepartmental committee, which does not sit at a terribly high bureaucratic level, into something with teeth, so that someone can say “This is bad.” There has to be an avenue by which such urgent matters can be taken into cabinet, decisions made and directives given.”  

 

From Coastal Security to the Big National Picture 

It had not been the intention of our Senate Committee to deal with national security architecture at this point in our work. This report is focusing on coastal security as part of a set of reports intended to serve as building blocks toward building a better Canadian security structure for all Canadians.  

·        Canadian Security and Military Preparedness (February, 2002) was an overview of defense and national security issues  

·        Defence of North America: A Canadian Responsibility (September, 2002) addressed air and sea defences of the continent.  

·        For an Extra 130 Bucks… Update On Canada’s Military Financial Crisis –A View From The Bottom UP (November, 2002) described the lack of political will to fund Canada’s security and defence and the need for military leaders to have the freedom to be more assertive in dialogue with Parliamentarians.  

·        The Myth of Security at Canadian Airports (January, 2003) detailed the inadequate security at Canadian airports which was only exceeded by Canadian ports.  

So, if the Committee’s focus in this report is coastal security, why raise the issue of the need for a national security infrastructure? Because the superstructure that would work to implement improved coastal security will also work as an umbrella for federal crisis management generally. Terrorist attacks, the U.S. File, intelligence coordination, ice storms, power outages, coastal defence – these kinds of top-drawer issues and events deserve their own crisis management portfolio. This issue will be further examined in a later report, but the Committee brings it up now because coastal defence is important enough to fit into the package of responsibilities included in the portfolio.  

It would also be fair to say that timing is perfect for the introduction of this concept.  Major changes at the centre are not made at the end of the mandate.  It takes the prospect of a new administration to bring these issues to play, and that time is now.  

 

Proposal for a New National Security Structure 

Background 

Conventional wisdom dictates that one should first have a clear national security policy before creating a national security structure. Structure is always supposed to follow policy. In the case of national security, that doesn’t necessarily apply.  

National security is a core issue for Canadians right now, the way national unity was for the better part of two decades. The nature of the major threat to Canada’s security and the security of our continent have clearly changed, and Canada needs to move quickly to respond.  

The Committee believes that the Government of Canada should prioritize national security as an issue the way Prime Minister Trudeau prioritized Federal Provincial Relations as an issue in the 1970s, when the Prime Minister gave that file a separate bureaucracy in the Privy Council Office (PCO).  

Our current approach epitomizes the muddle through, ad hoc response to crises in which Canadians almost seem to take an inordinate pride.  

The departments currently contributing to Canada’s national security framework, such as it is, operate under mandates defined by legislation, written or enacted at different times, with different objectives. The current attempt to improve one aspect of national security – through the committee called IMSWG – is indicative of the government’s general approach to national security: call fiefdoms together every now and then to discuss the issue.  

That might do if national security were a back burner issue, but it is not. We cannot make Canada a safe house. But we must optimize the use of our scarce, middle power resources if we are to do the best job we can at making Canadians safe today and their children and grandchildren safe in the future.  

This cannot be accomplished through the use of ad hoc committees, and it cannot be accomplished under the direction of junior ministers.  

We need a crisis centre, for both man-made and natural disasters, and we need it close to the centre of power. We do not want it in the Prime Minister’s hands, as such, because he/she has many fish to fry. But we want it close enough so the Prime Minister can be briefed regularly and get involved when necessary.  

What kind of crises require a strong hand at the centre? Issues such as the Air India Bombing, the ice storm, the floods in Manitoba and Quebec, SARS, West Nile Virus, the Ontario Power failure, 9/11 and the B.C. forest fires come to mind.  Not to mention the F.L.Q. crisis, the OKA crisis, the attack on the Turkish Embassy, mad cow disease, and the terrorist threat that could, if not well handled, kill a lot of Canadians, undermine our economy, and erode our relationship with our closest political and economic ally.  

Generally speaking, response to natural disasters flows to the departments of National Defence and Health Canada, while man-made disasters tend to become the responsibility of the Solicitor General.  In both cases, a myriad of other departments and agencies become involved depending on the nature of the incident.  

Most existing action charts indicate that the Minister of National Defence or the Solicitor General are the lead Ministers, but experience has shown that as the incident reaches a certain size the Privy Council Office and the Prime Minister, out of necessity, assume the lead because:  

o The problem has become too big and involves too many departments

o The responsible Ministers are too junior

o The appropriate lead department is reluctant because assuming the lead means assuming much of the cost   o The lead department does not have sufficient influence to ensure cooperation of others 

o The politics of the situation require the Prime Minister to be seen to be in charge  

The problem is actually far more complex than the foregoing but it is sufficient to say that PCO/PMO is the only organization with a pan-governmental outlook, understanding and clout.  

Having said that, there are only ten analysts in the Security and Intelligence Secretariat at the PCO, the Prime Minister’s department.  There is no national operations centre, with the necessary backup facility although several departments do have operations centres of one sort or another.  Communications facilities out of PCO/PMO lack sufficient redundancy and rudimentary things like independent generating power do not exist at the very centre of our government.  

Properly equipped and organized facilities are difficult to locate, expensive to build, hard to appropriately staff and successive governments, when they have considered the question at all, have concluded that “the time was not quite right.”  

The time now is right.  We have a record of recurring ‘incidents’ and know that the world is getting smaller, more complex and dangerous.  Ad hockery is seen as mismanagement and lack of caring. If governments are going to retain power, they should understand that Canadians want their tax dollars, assets and resources utilized effectively and efficiently in times of crisis. History rewards prime ministers and presidents who are prepared.

 

Proposed New Central Architecture for Government Priorities 

In the early 1970’s when the Quebec file was the central concern facing the Federal Government, Prime Minister Trudeau moved Gordon Robertson, the Secretary to the Cabinet and Clerk of the Privy Council to the position of Secretary of Cabinet for Federal Provincial Affairs and appointed Michael Pitfield Clerk and Secretary to Cabinet.  This allowed a bureaucrat with wide experience and a good understanding of the government’s needs, to focus on issues related to keeping the country together and freed the new clerk to handle the difficult job of acting as the Prime Minster’s Deputy Minister and administer the Public Service.  

Issues of national security are now assuming a magnitude similar to that of the Quebec file in the 1970’s and a similar solution merits consideration. We need someone very senior, with a senior bureaucracy, to deal with issues like national security.  

Among the issues to be dealt with  is the United States file,  with complex inter-relationships like border security intelligence sharing, military cooperation, homeland defence and a range of trade issues.  

The management of national disasters, terrorist attacks, SARS, electrical blackouts etc. all require attention from a structure used to emergency response with the ability to analyze, coordinate, command, and communicate.  

Currently, the Deputy Prime Minister, with a very small staff  in PCO, about 55 persons, and an ad hoc Cabinet committee is handling the American file and border issues.  This is a good basis to expand from to create a structure that moves Canada from a form of ad hoc management to one better suited to deal with the asymmetrical threats of the 21st century.  

The Committee believes that Canadians would be best served if a strong deputy prime minister (such as Don Mazankowski in the Brian Mulroney government or Allan MacEachen in the Pierre Trudeau government) were to be appointed to handle key issues on a day-to-day basis, briefing the Prime Minister regularly and bringing him in at crunch time.We recommend the components of the National Security Structure would be as follows:  

·          A permanent Cabinet committee chaired by the Deputy Prime Minister

·          An additional Secretary to the Cabinet as its senior official

·          A permanent Secretariat within PCO dedicated to national security issues

·          A restructuring of current procedures

The Cabinet Committee would include the following Ministers:  

·          Foreign Affairs

·          Defence

·          Solicitor General

·          Health

·          Finance

·          Justice

·          Immigration

·          Others as required  

The Secretariat within PCO would include sufficient senior officials who have a good understanding of government capabilities, together with a grasp of issues and interests of importance to Canada.   

More specifically Canada needs to centralize its capability to coordinate the collection of intelligence from various Canadian intelligence agencies and from allies; to analyze and fuse this intelligence ensuring its appropriate dissemination to client agencies; and to prepare a daily, or more frequent, intelligence appreciation for the Prime Minister, Deputy Prime Minister and others, as required.  

Canada needs the capacity to ensure that all government departments are working in concert on national security issues.  

Canada needs the ability to provide clear articulation of the Prime Minister’s, Deputy Prime Minister’s and Cabinet Committee’s wishes in a manner that specifies desired outcomes and rules of engagement on national security.  

Canada needs to be able to communicate quickly and effectively through preemption of the airways, if necessary, and in an oral or written manner. It must ensure that the government is clearly understood in times of emergency and that the government, in turn, has a clear understanding of the concerns and needs of the people.  

A National Operations Centre (NOC) should be created together with a duplicate backup facility at another location.  

The principal features of the NOC would be space for the cabinet committee to meet in a secure facility close to Parliament Hill.  The facility would also include space for representatives from up to fifty government agencies to meet face to face and receive the same information in a variety of modes.  The facility would include sufficient space for meetings of sub groups, offices, limited food preparation and sleeping.  

All communication facilities would have multiple redundancies to transmit and receive information and for power and water.  

This facility is where planning, ongoing analysis, and regular exercises would take place and it would be a location where government leadership would be exercised in emergencies.  

The facility would include a media component where media could receive briefings and have available alternative communication facilities in the event theirs became inoperative.  

1.     Special emphasis would be placed on communication with parliamentarians and other levels of government.  

2.     The permanent senior staff of the facility would include an official in charge of deputy minister rank together with 30 or so recently retired senior public servants. 

The latter is a new concept to address the difficulty of attracting people with the appropriate qualifications to work in the field of emergency preparedness. Operations Centres are not usually seen as attractive postings in bureaucracies because the focus is on doing a job rather than building a career. Managers often delegate junior or less promising employees to operations centres. In this case, more is needed.  

What is required is a group of people with a good cross section of experience, particularly in previous crises, who have a current understanding at the most senior levels of the capabilities of the various government departments, and their personnel. They would be responsible for developing plans, co-ordinating exercises and supervising the National Operations Centre and its necessary support staff.  

The senior staff would be appointed on retirement from the public service (or elsewhere) for a period from 2-4 years.

3.     The Political head of the operation would be the Deputy Prime Minister. This person would be selected with National Security concerns in mind and would have additional responsibilities for the US file. A structure of this nature would be particularly advantageous to the Prime Minister.  

Frequently a Prime Minister may want to distance herself or himself from an issue but because the staff are all in a division of PCO, the PM would be confident that his or her interests were taken into account and it would also simplify the PM’s integration into the issue if that was considered necessary.  

4.     The National Security staff and the National Operations centre would provide for a closer integration of the officials such as the Chief of Defence staff, the Commissioner of the RCMP, the Director of CSIS, who seldom meet collectively or individually with the Prime Minister or Deputy Prime Minister. We would have more effective crisis management if they did. And emergency leadership could proceed in a seamless manner.  

 


Recommendations

The Committee recommends that:

5.1.         The position of Deputy Prime Minister become a permanent component of the federal political structure.

5.2.         The Deputy Prime Minister be given permanent responsibility for Canada’s U.S. File, borders, national security issues, natural and man-made disasters and coasts.[1]

5.3.         The Deputy Prime Minister be provided with adequate bureaucratic support within a branch of the Privy Council Office to fund and direct a structure for maritime security in addition to other responsibilities listed in 5.2.

5.4.         This national security structure containing the following be set up within 60 days:

­         A permanent Cabinet committee chaired by the Deputy Prime Minister

­         The Cabinet Committee would include the following ministers:

o        Foreign Affairs

o        Defence  

o        Solicitor General

o        Health

o        Finance

o        Justice

o        Immigration

o        Others as required

­         An additional Secretary to the Cabinet as its senior official  

­         A permanent Secretariat within PCO dedicated to national security issues  

­         The Secretariat within PCO would include sufficient senior officials who have a good understanding of government capabilities, together with a grasp of issues and interests of importance to Canada.  

­         A restructuring of current procedures to permit this Secretariat to address issues of national security and common US/Canada security issues.  

5.5.         The permanent secretariat to support the Deputy Prime Minister be formed within two months, and that they set up operations in a temporary government facility until the permanent national operations centres are built.  

5.6.         A national operations centre complete with a senior level "situation room" be constructed that would permit a permanent secretariat to continuously monitor international and national events that might affect the national security of Canada. This operations centre should be located within easy physical access to the Privy Council Office, with complete and redundant power and national level communications.  

5.7.         An alternate, mirror image operations centre be designed and constructed utilizing different sources of power and communications than the primary facility.   

      5.8.         The design and construction schedule be such that these operations centres are fully operationally capable by 1 February, 2005.



CHAPTER SIX:  

The need for Enhanced INTERNATIONAL COOPERATION 

The Committee’s main focus with regard to improved international cooperation in past reports has been on Canada-U.S. coordination. The Committee made several recommendations in The Defence of North America: a Canadian Responsibility.  These included:  

1.      Greater cooperation and coordination with U.S. counterparts.  

2.      The establishment of a Canadian-U.S. joint operational planning group that would include representatives of the Canadian Navy, the Canadian Coast Guard, the U.S. Navy and the U.S. Coast Guard. This unit of approximately 50 people should be located at Colorado Springs, in proximity to NORAD planning staff.  

3.     Establishment of multi-departmental operations centres at Halifax on the East Coast and Esquimalt on the West Coast that would be capable of collecting and analyzing shipping intelligence to provide a combined operational picture for all government agencies that deal with incoming vessels; to address coastal threats to North America and design procedures to deal, with all anticipated scenarios, with representatives from the U.S. Coast Guard, the U.S. Navy and the Canadian Navy.

 

In this report, the Committee will consider the government’s response to those recommendations. It will also address other aspects of the need for Canada and the United States to cooperate in the defence of North America.  

Finally, the Committee will examine the need to better coordinate surveillance and intelligence with countries other than the United States  – particularly those countries with large ports through which a majority of Canada-bound vessels embark.

 

U.S.- Canadian Cooperation 

“There is a lot of dialogue and understanding [with the U.S.], but there is definitely room for more. There is always a need for more  discussions. They certainly have a different approach from ours.” Gerry Frappier, Chair, Interdepartmental Marine Security Working Group (IMSWG)  

With reference to the three Committee recommendations listed above, it is fair to say that there has been at least marginal progress on the first – better cooperation with U.S. counterparts – although there is no evidence that either country has appreciated the degree of importance that should be attached to establishing and implementing a joint plan for defence of the continent.  

One example of marginal, undramatic improvement in this direction has been the establishment of the Canada-U.S. bi-national planning group with a two-year mandate to enhance military cooperation for the protection of North America – a laudable response to our second recommendation listed above (that such a joint operational planning group should be set up in proximity to NORAD headquarters at Colorado Springs).  

Any excitement Committee members felt initially at the establishment of this planning group has been muted by slow progress in turning the group into anything meaningful.

The Committee may be wrong here, but if this group is going to play an important role in harmonizing the defence capacity of the two countries, the pace at which this imperative is being approached does not reflect any great sense of urgency.  

First the good news: Vice-Admiral Ron Buck told the Committee that not only had the overall planning group been established and was in motion: “In January, the Canada-U.S. bi-national planning group completed its mission analysis session in Colorado, and will soon embark upon the production of bi-national plans to improve our ability to work in the domestic bi-national context from the national perspective.”  

Admiral Buck testified that a subsidiary planning group focusing on coastal defence had also been established – the Maritime Plans and Surveillance Working Group.  He said this group will concentrate on bi-national maritime security and surveillance, working in collaboration with groups like Interdepartmental Maritime Security Working Group (IMSWG) and the NORAD Maritime Surveillance Working Group. This group, he said, is “coordinated” with the Canadian Navy’s operations centres in Halifax and Esquimalt:  

“the planning group is structured to report any plans jointly through the Deputy Chief of Defence Staff and me, and ultimately to the two coastal formations. That is consistent and cohesive.”  

The Committee, of course, in our third recommendation listed above, had called for the establishment of Canadian multi-departmental operations centres at Halifax on the East Coast and Esquimalt on the West Coast, with desks for personnel from the U.S. Coast Guard, the U.S. Navy. As discussed earlier in this report, that recommendation has been ignored. The Canadian Navy, the RCMP, the Canadian Coast Guard, and other agencies involved in coastal security continue to maintain separate operational headquarters, without U.S. liaison personnel, without any fusion centre.  

 

The Bad News  

It is one thing to establish a Canada-U.S. bi-national planning group. It is another thing to inject some sense of urgency that it could play a very useful role in the defence of North America.  

For instance, the Committee recommended that a contingent of about 50 Canadians should staff the planning group at Colorado Springs. Admiral Buck told us that Canada envisioned sending 30 instead. That is, at least, within the realm of what the Committee had in mind. When he testified in April, Admiral Buck acknowledged that only seven Canadian representatives were on site at the time, but added that he expected the full contingent would be there by summer, when the group would begin its work “in earnest.”  

Furthermore, U.S. representatives on the planning group are “double-hatted” – that is, they hold other positions in the U.S. military or U.S. government. Admiral Buck interpreted this as being a good thing – “We need to ensure that the U.S. personnel tied to the planning group have the right operational links inside the U.S. government departments and agencies. It is not only Homeland Security.”  

The point seems to be that the new U.S. Department of Homeland Security is involved in enough jurisdictional wrangles within the U.S. government that representatives of those many jurisdictions are needed on deck when any meaningful planning is done. This smacks of the kind of thinking that created Canada’s Interdepartmental Maritime Security Working Group – gather people together with other priorities together in common cause and hope for the best.  

How seriously is the planning group’s mission really being taken?  

Consider that neither Canada nor the United States provided immediate dedicated resources to the planning group. Instead, for the most part, they simply “rearranged” the responsibilities of existing personnel in NORAD and Northern Command in Colorado Springs.   

In fact, only a handful of additional Canadian personnel were posted to Colorado Springs until this summer, and the U.S. has yet to dedicate any full time resources to this venture. Could it be that Northern Command is so busy trying to establish a viable position  within the American military structure that it doesn’t have much time for the U.S.-Canada planning group?  

On August, 2003, a Department of National Defence website stated that “To date, the group has 22 people, 18 of whom are Canadians.”[2]  It is bad enough that, a third of the way through the group’s mandate, Canada only had 18 out of an announced 30-person staff in place. For its part the U.S. government had dedicated only 4 part-time personnel to the mission.  

Canadian Army Col. David Fraser, co-director of the Binational Planning Group provided a progress report to the Binational Military Coordination Committee In this report, he stated that, with these 18 Canadians and four Americans, the group was “almost fully staffed right now so I think it’s very fair to say that they’re just beginning their work.”

 

It is probably also very fair to say that this may be a good idea going nowhere – slowly.  

Canada-U.S. Intelligence Coordination  

Ward Elcock, Director of the Canadian Security Intelligence Service, told the Committee that there is extensive and on-going intelligence co-operation between Canada and the United States. Mr. Elcock noted that Louis Freeh, a former director of the Federal Bureau of Investigation, told a conference in Whistler in March, 2002  that “With respect to the Canadian and US partnership . . . in the areas of terrorism, cross-border crime, espionage, there is actually no stronger relationship that exists in the world, at least in my experience, than between the law enforcement [and] intelligence services of both countries, and I know from a first-hand position.”

 

Canada-U.S. Customs and Immigration Coordination  

Several examples of efforts to improve coordination between U.S. and Canadian customs and immigration operatives were noted in Chapter 3 – The Need for Better Surveillance.  

We have already said that one of these efforts – the In Transit Targeting Initiative – makes little sense to the Committee, in that it places U.S. targeters at Halifax, Montreal and Vancouver in an effort to target dangerous cargo headed for the United States, but it also places Canadian targeters at Newark and Seattle. These Canadian targeters are apparently looking for containers that would wreak havoc in Canada but are passing through the United States en route to their northern target. This seems unlikely: terrorists have been accused of being venal, but they have never been accused of being as stupid as this. The Committee suggests that these Canadian officers be relocated to more likely terrorist embarkation points.  

Other initiatives by the Canada Customs and Revenue Agency (CCRA) – such as the Canada-U.S. initiative designed to enhance Canadian and U.S. border security at ferry terminals through the adoption of a series of benchmark security measures – make far more sense. The truth is that despite allegations in some U.S. circles that Canadian border security is weak, until recently Canadian customers and immigration placements at Canada-U.S. border points were more generously staffed than U.S. locations. Furthermore, Canadian training appears to be superior.  

As Denis Lefebvre, Assistant Commissioner, Customs Branch, Canada Customs and Revenue Agency, told the Committee:  

“The Canada Customs and Revenue Agency has a school in Halifax to teach officers how to search ships. There are only a couple of customs administrations in the world that have that. We have an excellent reputation. We have students from other customs administrations. We would love to have U.S. customs officers attend there to follow the course. They do not have anything close to it. In that regard, I think that we are ahead.”  

It is the Committee’s belief that the two main problems with Canada’s customs and immigration placements – which applies not just to U.S. border points, but at other locations as well – are lack of trained personnel to operate new scanning equipment, some of which sits idle, and lack of advance information on ship passengers similar to that provided on air passengers under the Advanced Passenger Information (API) agreement.  

However the Canada Customs and Revenue Agency  and its U.S. counterparts do deserve credit for undertaking initiatives that serve as models for Canada’s shipping agreements with other countries. For instance, CCRA and the U.S. Customs Service have recently implemented a program whereby data on in-transit shipments is sent electronically into the United States Automated Targeting System. This enables officers to do an automated first sort of manifest information. This electronic sort saves valuable time for the targeters and allows them to concentrate their work on the highest risk shipments.

 

Canada and the World 

When Ms. Maureen Tracy of the Canadian Customs and Revenue Agency appeared before the Committee, she acknowledged that targeting shipments arriving from other ports is not always easy, because officers are not always sure as to the actual origin of various components of any shipment. In her words: “There are containers that have a somewhat limited history.”

 

A ship loads at one port . . . arrives at another . . . partially unloads . . . picks up more cargo . . . proceeds to the next port . . . repeats the routine . . . and the cycle goes on.

 

Containers that appear to come from, say, Rotterdam, may actually be from, say, Algeciras. Some shipping companies are more reliable than others in chronicling a shipment’s voyage.

 

Canada is currently attempting to increase the percentage nationally of arriving shipments that are scanned or searched by one means or another from three per cent to six per cent. [The Committee received testimony that in Halifax the rate is eight per cent.] Those low percentages are not unusual – no country can afford to inspect all, or even a majority, of arriving or outgoing shipments.

 

However, the Committee believes that countries of good will can enter a symbiotic relationship to reduce the odds of failing to inspect dangerous cargo. Through bilateral agreements, we believe that these countries can achieve the end sought through the use of the United States Automated Targeting System (see above): to save valuable time for targeters, allowing them to concentrate on high risk shipments.

 

To do this, customs officers need to have a better sense of which shipments are low-risk.

 

A Web of International Maritime Colleagues  

Different methods of searching vessels and containers are more thorough than others. In modern ports around the world, a variety of search and scanning methodologies are used.

The most thorough, of course, is taking a container to a warehouse and destuffing it manually. Such searches are time-consuming, expensive and rare, for obvious reasons.  

Other technologies, of varying efficacy in different situations, include the Vehicle and Cargo Inspection Systems (VACIS) machine (stationary gamma radiation equipment capable of scanning a container in five seconds), mobile/pallet gamma rays, radiation detection equipment, hand-held ion scans, remotely operated vehicles, tool trucks, and biological and chemical weapons detectors.  

What Canada needs to pursue are bilateral agreements whereby ports in other signatory countries advise our customs officials of two things before a vessel departs for Canada:

 

o      Details pertaining to ship, crew and cargo

 

o      Information on how thoroughly items on a full list of cargo were scanned

 

Details pertaining to ship, crew and cargo are supposed to be sent electronically to customs officials in countries belonging to the International Maritime Organization starting in 2004. Ocean carriers and freight forwarders are responsible for sending this information. How reliable are shippers and forwarders? Very few containers are loaded right at ports, and police and customs auditing of the companies responsible for shipments is negligible. The Committee believes that a more reliable and trustworthy system could be established under reciprocal agreements whereby port officials forward details on crews and shipments.

 

At the same time, port officials could – through a numbers or letters rating system – indicate which pieces of cargo had been searched, and how thoroughly. For instance, a manual destuffing might rate a 10, a Vehicle and Cargo Inspection Systems (VACIS) machine scanning a 7, and so on. Various combinations and permutations are possible, of course. Higher numbers might be assigned to containers searched in two or three signatory ports before they arrived in Canada. If Canada signed agreements with a number of countries, it could lead to much more effective targeting when cargo vessels arrive at our ports.

 

Much to Learn  

Canadian security officials should be doing some scanning themselves – overseas. We have plenty to learn from other countries. The United States, for instance, has security and intelligence officials at many ports abroad. Why aren’t Canada’s CSIS officials abroad collecting intelligence in foreign ports that regularly load vessels bound for Canada? The Committee learned that the CSIS officer at the Canadian Embassy in The Hague never went to the Port of Rotterdam on business, focusing her attention instead on the International Court at The Hague. The latter is a commendable initiative, but so is assessment of what kind of suspicious vessels might be departing the Netherlands for Canada.

 

There is much to learn in Rotterdam. The Dutch port is far better policed than Canadian ports, and has introduced a system whereby its police no longer focus on incidents. Rather, they have introduced a problem-oriented system with a project-style approach to solving those problems. Officials no longer rely on companies to report crime ­– their teams determine what kind of crime is taking place, and send teams out to engage in thorough investigations.

 

These are just a few examples of how Canada could learn from a thorough study of how other countries are using their coast guards, to how they are scrutinizing their ports, to what methodology works best for them in remote areas.

 

 


Recommendations
 

The Committee recommends that:  

6.1.    Both U.S. and Canadian governments address the work of the planning groups seriously and provide the necessary personnel to do it.

 

6.2.    The Government of the United States be invited to place liaison officers at East Coast, West Coast and Great Lakes multi-departmental operations centres where intelligence is fused and analyzed if and when the Government of Canada sees fit to establish those centres.

 

6.3.    The Government of Canada enter into reciprocal bilateral agreements with major shipping countries that outline ways that these countries will assist each other on advance information on vessels, crews, cargo and indicators of which cargo items have already been inspected in various ways.

 

6.4.    The Government of Canada commission a report on how other countries are upgrading their maritime security, with particular reference to the use of coast guards and anti-crime and anti-terrorism methodology at sea ports and airports.  


[1] The Committee will prepare, in the future, reports on first responders, the intelligence community and other security matters.  While arguments have been made in this report why coastal defence should be under the Deputy Prime Minister, the rationale for including intelligence fusion and the Office of Critical Infrastructure Protection and Emergency Preparedness (OCIPEP) will be provided in subsequent reports. [2] Inside Washington Publishers, “Inside the Pentagon:  Sorting Through 50 Years Of Military Agreements… U.S.-Canadian Planning Group Eyes Enhanced Defence Cooperation,” (14 August 2003).  Available at:  www.forces.gc.ca/site/focus/canada-us/pentagon2_e.asp. Visited 7 October, 2003.

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