:
I'm going to call the meeting to order.
Welcome to meeting number 58 of the House of Commons Standing Committee on Access to Information, Privacy and Ethics.
[Translation]
Today’s meeting is taking place in a hybrid format, pursuant to the House order of June 23, 2022. Members may therefore appear in person or remotely using the Zoom application.
Should any technical challenges arise, please advise me immediately. Please note that we may need to suspend for a few minutes, as we need to ensure that all members are able to participate fully.
[English]
Pursuant to Standing Order 108(3)(h) and the motion adopted by the committee on Wednesday, November 30, 2022, the committee is resuming its study of the third edition of the Lobbyists' Code of Conduct.
[Translation]
We have one witness joining us via Zoom today, Mr. Conacher.
Have all the tests been completed for Mr. Conacher?
All right, thank you.
[English]
I'd like to welcome our witnesses today. As an individual, we have Mr. Scott Thurlow, a lawyer and counsel on legislation. From the Canadian Labour Congress, I'd like to welcome Siobhán Vipond, executive vice-president; and Mike Luff, national representative, political action department; and from Democracy Watch, we have, on Zoom today, Mr. Duff Conacher, the co-founder.
Each of you has five minutes to give your opening statement to the committee.
Mr. Thurlow, you are first. Go ahead, sir, for five minutes.
:
There are two key points I want this committee to consider, as it reflects on the lobbying commissioner's proposed code of conduct. The first is on the charter implications of what the commissioner has proposed, and the impact on how individual electors participate in the democratic process. The second is whether the potential infringement of charter rights helps the primary goal of the statute: to create a publicly available and transparent lobbying registry.
A ban on lobbying public office holders because of political activity is an ex post facto limitation on the freedom of assembly to join like-minded individuals in a campaign; on the freedom of speech to campaign to share political ideas; and on the democratic right to participate in an election, in the way the Supreme Court of Canada describes, in Figueroa v. R, as the ability to “meaningfully participate” in the democratic process.
I need you, as elected officials, to remember what your volunteers do. They drive people to the polls when they can't get there themselves. They remind people when and where to vote. They make sure electors are registered and help those who aren't registered get on the rolls. They scrutinize the vote count and ensure the democratic will of electors is not usurped. In short, they support, protect and defend our democracy. Why on earth would we want to dissuade a single Canadian from doing that? Even if the proposed code's ban is only for one year, that is still an ex post facto limitation on those rights.
The only judicial instruction about unacceptable political activities is the organization of a fundraiser by a registrant for a person who is the target of their lobbying. A bright-line test is where tens of thousands of dollars may be at issue, and the successful re-election of a candidate could turn on raising that capital. It was our friends at Democracy Watch who filed this suit, so many years ago. There is no evidence to suggest that routine political activities, regardless of their proximity to the candidate, rise to that level or anything proximate to it.
Can a reasonable person, with or without knowledge of the regulatory process, honestly believe the act of canvassing on behalf of a political candidate is so significant as to create a tension between a public office holder's obligation to a volunteer and their duties to their office? You are elected officials. I will allow you to use your own judgment as to what will or will not influence you. I don't think there are many reasonable people who think that door knocking will create this tension.
It is worth noting the proposed code specifically carves out individual contributions within the prescribed limits of the Canada Elections Act. It's $1,650 per year, versus a registrant not being allowed to provide refreshments of $40 twice in the course of a year. One of those two things is prohibited by the code. It's the smaller number.
Is it because Parliament set those limits? Is it because they are reasonable limits in a free and democratic society? When Parliament considers those changes, the tone of the constitutional discussion is different. If Parliament wants to limit the activities of electors, then Parliament will be accountable to them.
In conclusion, I want members of this committee to ask themselves this question: Do you honestly believe the people who gave up their time to support your election should be precluded from communicating with you on public policy issues? From the preamble of the act, I offer you two pillars upon which it is based: A system for the registration of paid lobbyists should not impede free and open access to government, and free and open access to government is an important matter of public interest. Telling an elector they can't communicate with someone flies in the face of those provisions.
I would welcome any questions you have.
:
Thank you and good afternoon, Chair and committee members.
My name is Siobhán Vipond. I'm executive vice-president of the Canadian Labour Congress, Canada's largest central labour body. The CLC advocates on national issues on behalf of workers from coast to coast to coast.
We support the objectives of the code to ensure that lobbyists adhere to the highest standards of transparency, respect for government institutions, integrity and honesty. We support the commissioner's goal to ensure that the code is clear so that lobbyists understand their obligation, and to foster transparent and ethical lobbying of public office holders. However, we have serious concerns about two rules in the updated code that will undermine my ability to do my job as an elected union official and undermine your ability to do your job as elected public officials.
First, we are concerned about rule 6, with respect to political work. This rule limits the lobbying activities of our members because of political activities they undertake during an election campaign. It is very concerning that the updated code not only subjects our members to a 24-month cooling-off period for campaign work that is strategic, high-profile or important work for a candidate or political party; it also subjects our members to a 12-month cooling-off period for such campaign activity as canvassing, gathering donations, distributing campaign materials and helping with campaign office or event logistics.
These types of campaign activities cannot reasonably be seen to create a sense of obligation by an elected official towards a lobbyist. We firmly believe this rule violates the charter rights of our members to participate in the democratic process. Specifically, it violates our members' freedom of expression under paragraph 2(b) of the charter, and cannot be justified under section 1.
I'm elected to represent my members. An essential part of that is to meet with all of you to discuss my members' priorities, but I also enjoy volunteering on election campaigns for good candidates. This rule forces me to choose between these two things—doing my job representing my members or volunteering on campaigns. That is totally unreasonable and unfair.
The second rule we have serious concerns about is rule 4, with respect to hospitality. The updated code prescribes a $40 limit for hospitality per official at each meeting, lobby day, event or reception, and it prescribes an $80 annual limit per official. This rule will severely limit or effectively end the ability of many unions, associations, charities or organizations to host receptions, lunches or even provide coffee at meetings in cases where there are multiple engagements with the public office holder in a 12-month period.
First, we believe it's unreasonable to suggest that normal hospitality, such as serving coffee, juice, wine or cheese, at any in-person event should create a sense of obligation for a public office holder. Therefore, the threshold is unwarranted.
Second, this threshold will diminish democratic discourse and the duties of public officer holders such as you by curtailing the number of events a public office holder can attend with one organization. If a public office holder attends two events with our organization in January and they reach that $80 annual limit, then they won't be able to attend another event with us for the rest of the year where hospitality is provided. This is a major overreach of the code and will make it much more difficult for you to do your job, as it will limit the interactions you can have with the constituents and stakeholders you represent based on this $80 hospitality threshold.
Third, the rule is completely unworkable for organizations like ours. It's untenable for us to monitor this hospitality threshold for every public office holder. We meet with hundreds of public office holders in a 12-month period. It is totally unworkable for us to monitor and track how much hospitality each public office holder consumes at each event and to ensure that they don't attend other events once they reach that $80 limit.
Plus, it's ridiculous to expect us to enforce this rule. Are we supposed to tell the Minister of Finance that they can't have a coffee or a bagel at the next meeting because they reached their hospitality limit at a previous meeting?
The low-value threshold for hospitality is unwarranted, unworkable and unenforceable. It should be removed from the code. Public office holders are subject to the Conflict of Interest Act with rules for disclosure. Organizations such as ours should be able to offer whatever hospitality public office holders are able to accept.
In conclusion, we believe rules 6 and 4 of the updated code will curtail my ability to do my job and your ability to do your job effectively by limiting how often we can engage with each other on behalf of the people we represent. We urge you to address these concerns in the advice you provide to the commissioner on the updated code.
Once again, thank you for this opportunity. I look forward to your questions.
:
Thank you to the committee for the opportunity to address you today on this very important topic with regard to some of the key rules amongst other key rules that protect our democracy and government integrity at the federal level.
I'm representing today a coalition of 27 citizen groups with a total membership of 1.5 million supporters, who all oppose the parts of the commissioner's proposed new code that would change the current code rules in ways that would allow for corrupt favour-trading between lobbyists and politicians.
Democracy Watch has already made three submissions to the committee and three submissions to the commissioner. I will be sending a further submission with details about my testimony today.
My first request is that you need to invite the commissioner back before anything goes forward. One of Democracy Watch's submissions has 10 key questions the committee has to ask the commissioner about the implications of these rules, and when she testified on February 3, only one of the 10 questions was asked. Essentially, that's hiding what's really in there.
I'll address the gifts and hospitality rule briefly because lots of people misunderstand it, including people who have testified today. The Ethics Commissioner has already made it clear with a public statement that MPs cannot accept any gift from anyone trying to influence them, whether they're registered as a lobbyist or not, if the gift or hospitality is worth $30 or more annually. That's the limit. It doesn't matter what the lobbyists' code is changed to say; the Ethics Commissioner has said $30 and that's it.
The average donation made over the last five years to political parties by individual Canadians is $75. There's a reason for an $80 annual limit. Canadians, individual voters, can't afford more than that. It doesn't matter, again, whether you change the code; the Ethics Commissioner is going to say you can't accept gifts worth more than $30.
Small gifts have influence. Tests by clinical psychologists worldwide of tens of thousands of people have shown that if you want to influence someone's decisions, you do them a favour or you give them a gift, and even small gifts have influence. If you deny that as an MP you're simply saying you're not human. These tests have been done in every culture worldwide and they all show the same results: the best way to influence someone is to give them a gift or do them a favour, and even a small gift will cause a sense of obligation to return the favour.
The much more important issue is the cooling off periods in rule 6 and the definition of “other political work” in the appendix of the proposed new code.
The current rule is that if you do any significant political work, including any fundraising, you have to sit out for four years. The commissioner is gutting that rule entirely. The commissioner's proposal is that lobbyists, as long as they don't do it more than nearly full time, or without frequent or expensive interaction with a public official or a party official, should be allowed to raise an unlimited amount of money for the politician or the party at the same time as lobbying them. That's just one of many examples of what the “other political work” definition allows.
It's a huge loophole. It's one of the most corrupt things I've seen a so-called democratic good government watchdog do in the past 30 years. I've seen lots of watchdogs let people off for clear wrongdoing.
This will systemically allow for rampant unethical lobbying, U.S.-style trading of favours that's corrupt, and it will corrupt every policy-making process going forward, as lobbyists use fundraising, campaigning and other favours to buy you off and corrupt your policy- and decision-making. It's a 25-year step backwards, back to 1997, before there was a code. It goes against every OECD standard and every other international standard.
The commissioner has also made the very questionable claim that the current four-year prohibition on lobbying after political activities violates the Charter of Rights' freedom of expression, based on one opinion from one law firm, Goldblatt Partners, which the commissioner, in a sole-sourced contract—which is smelly itself—paid tens of thousands of dollars, as far as we can tell.
Several Supreme Court of Canada and other Canadian court rulings have clearly stated that the charter rights can completely, justifiably, be restricted to protect government integrity. As a result, it is clear that the current four-year cooling-off period complies with the charter entirely.
The committee must order the commissioner to disclose this opinion they've received from Goldblatt Partners. For this to go forward based on a secret ruling from a law firm would be untenable.
The second significant problem with the commissioner's proposed new code is that it does not specify what will happen after a lobbyist works in a political party's election campaign headquarters, or campaigns or fundraises for a political party in-between elections. The new code does not say whom a lobbyist would be prohibited from lobbying. Will the prohibition only apply to the political party leader, or everyone in the party?
Also, the third problem is that gutting the code's rules in ways that allow lobbyists to do favours for cabinet ministers, and MPs and senators will also likely gut the ethics rules for ministers, MPs and senators.
How? All of these ethics rules currently have a blanket rule that says that you can't improperly further another person or entity's interests. It would, of course, be improper for cabinet minister, MP or senator to further the interest of a lobbyist who had raised money for them or done other favours for them, but if the Lobbyists' Code is changed to say that it's proper, then it will no longer be improper for the ministers and MPs to do that.
:
I just want to take a moment to remark on the circumstances in which the commissioner has to decided to end his term early. It's due to persistent health challenges. I know these have been a tough couple of years for everyone. These are very trying times, with changes to their work schedule, and he has a commission with lots of staff to run, and he had to adapt to all of that. I would also note that he's been kept quite busy by members and designated public office holders over the last couple of years.
I want to offer a quick quote from the Commissioner. He said:
I firmly believe that educating regulatees and the public about the importance of avoiding conflicts of interest serves to help restore Canadians' trust in public officials and the institutions in which they serve and, ultimately, in our democracy.
I appreciate the commissioner's work over his tenure and, of course, I know that I can confidently speak for all of my colleagues on this committee when we wish him good health and the best of luck in his future pursuits.
Thanks, Chair.
I'll turn now to questions. I'll start with Mr. Conacher.
I want to pick up on the quote from our outgoing commissioner. That's about the confidence that Canadians have in their public institutions.
What do you think the effect of these proposed changes will be on Canadians' confidence in their public institutions?
:
Well, you couldn't go much lower. Several surveys in the past several years have shown that only 10% to 20% of Canadians trust politicians. They believe that you are trying to protect elites and yourselves and don't address their concerns.
This move is essentially saying that we're going to legalize bribery, that we're going to let lobbyists buy you off in elections by doing favours for you, campaigning at a very high level up to nearly full-time, raising unlimited amounts of money for you and your party and then lobbying you right afterwards. There is no cooling off period for this. It is not a one-year or two-year period.
This is a huge loophole that is unstated in the draft code. As long as you do it less than nearly full-time and without frequent or extensive interactions with a candidate or an official, you can start lobbying them the next day. If it's in-between elections, you can raise tens of thousands of dollars for a cabinet minister or their party and continue lobbying them. No stop.
It's going to bring in the U.S.-style corrupt politics into Canada. It's the most corrupt thing I've seen a so-called good government watchdog do in 30 years. It's going to corrupt every policy-making process that affects 35 million Canadians. Hopefully Canadians will storm Parliament, because it is a reason to storm Parliament. This is a systemic—
:
I'll pick up from there, Chair. Thanks very much.
I'll turn to the folks in the room with respect to the effect that campaigning for individuals could have, and then having access to them in your role as a lobbyist, or one's role as a lobbyist.
What do you think is the right way to strike the balance between avoiding the perception that undue or unfair access has been granted versus kindness campaigning for a good candidate, in exchange for access to that candidate once they have been elected, and potentially elevated to the role of a privy councillor?
I'll start with you, Mr. Thurlow.
:
I think there are two questions there. The first one is, does this actually happen? We could talk in anecdotes, but I don't think anyone has ever actually said, “This has happened. It's unethical. This is the name of the person. I lay it down like that gauntlet.”
The second is, what I call the hook versus the trawler. If we were talking about the campaign manager, absolutely, there's an elevated role involved, but the proposed code gets everyone. It's the trawler at the bottom. It's very specific.
It's interesting, because the previous code of conduct, the current iteration, does have those more central key roles. It's not necessarily about access to the candidate. It's about who is doing this work in a way that it will really benefit the candidate above and beyond simple public participation.
:
That's a fantastic question.
If you look at the enabling provisions of the statute, they're about ensuring that the lobbying that actually happens will happen in a way that is ethical and transparent, and can be done in a publicly accountable way. There are certain aspects of the proposed code that make a lot of sense, namely, confidentiality with your clients, honesty, and dealing with information that you are provided as you are talking about regulations.
This is a principled code of conduct that actually applies to the work that is covered by the Lobbying Act. I would posit that the role of the commissioner is about what happens at registration and onward. It has nothing to do with what happens before registration.
:
I'll speak as a labour activist. When I come to speak to elected officers or officials like you, it's never to buy you off. We come with the facts about what members want to see in the legislation, and we trust that you're gathering that from all your constituents and that you are going to turn around and make sure that our legislation is in a position that it best represents all of this.
This idea that there's all this buying-off happening is mischaracterizing the problem. There absolutely needs to be transparency and honesty. But limiting our ability to represent our members and limiting our right to be active in our democracy—which includes leaflet dropping, sometimes going door to door, which, I think, we should encourage people to do—quite honestly will limit our ability to represent our members and to run for office in our unions, especially when we look at federal unions that are under this jurisdiction.
That's why we're here to say that this is going too far. It's going to be limiting, and it's going to have a real, negative effect on our right to work and our right to represent our union members.
:
Thank you very much, Mr. Chair.
Mr. Conacher, my comments will be for you first.
Before entering politics, I worked for 25 years as an ethicist with government. In addition to suggesting Canadians storm Parliament, you said some very harsh things.
First, do you believe that any donation, contribution or association necessarily means influence?
Second, do you think being influenced is a negative thing?
:
We're in favour of ethical lobbying. The 27 citizen groups that have called for the changes have proposed a reasonable alternative, which is that significant political activity or any fundraising should face a long cooling-off period. However, a bit of the canvassing and volunteering should be allowed without any cooling-off period.
That's a reasonable alternative that protects government integrity, that will prevent unethical lobbying and that will be an egalitarian system that upholds its fundamental, democratic principle of “one person, one vote” by not allowing any one person, lobbyist or lobbying group to have more influence than any average voter.
If you're going to go to a different system than that, it is unethical and it's violating that fundamental “one person, one vote” system by allowing wealthy interests to have more influence because they can give more and are here in Ottawa, wining and dining you, etc.
:
I think we're looking at what is being proposed and saying that two years for the higher level that's being proposed makes sense, because we're going from four to two, but that including all of the other positions is too wide.
Democracy means involvement. It means not just showing up for voting. It means talking to officials. The best thing about going door to door is you hear from people who maybe don't share your views. You can talk about the issues and people supporting good candidates. That's what they should do.
When we look at these limits, this idea that you can't have the job of lobbying because you are involved in a democratic process, we think, is absolutely false.
What is being proposed is the two years for the higher...we're saying, okay, but you have to exclude that lower part of it, because there should be no exclusion on lobbying. That, in essence, is the Lobbying Act, and that is just talking to officials to convince them of the important changes that workers want to see.
Welcome to all of our guests. It's great to have our familiar faces and friends here from the Labour Congress. I appreciate you joining us today.
I have to share with you that I am a bit torn on this particular issue. I'll declare my bias in that I don't see the Labour Congress as being a lobbyist in the same sense of the term as the private sector, for-profit and pay-to-play-type scenarios. I don't see workers and citizens electing and sending people to come and fight for workers' issues being the same as professional lobbyists whose only objective is to have clients and make money.
My first question is to Ms. Vipond. Do you see all lobbying as being the same, or, in your perspective, ought there be a consideration—or, perhaps a precision, as our friend Mr. Thurlow has suggested—that might provide clarity around different types of lobbying?
:
Yes, I agree with you that not all lobbyists are the same. I am sitting here because there are three million-odd workers who support the CLC, but the reality is that the lobbyist registry registers me as a lobbyist. That means I'm covered by those rules, but it doesn't negate my rights and the role I play in the union movement.
Currently, what's in front of us when we look at these rules is that we're going to fall under that. If that was not the intention, then someone needs to go back to change where that's coming from.
The reality is those rules are clear. I hope it's clear from our testimony—we know these rules because we follow them—that we are going to get swept up in this. If that's not the intention, I think that's something you need to take on.
For us, of course not all lobbyists are the same, but the rules are laid out and we have to follow them.
:
Mr. Conacher, I'm going to reclaim my time, sir. Thank you very much.
I will state, though, to your benefit, that I am keenly interested in getting the disclosure from Goldblatt. I know there's a balance we have as a committee between protecting what ought to be an independent officer of Parliament and our parliamentary privileges to be able to send for documents.
For the good and welfare of this committee—I'll say it on the record right now, Mr. Conacher, so you know I'm in favour of this—I would encourage the thought or the reconsideration by the officer for us to be able review that document to have a better understanding of what they're putting their charter claim on. I will be looking to pursue that at a later time.
Rounding up my last line of questioning here, I'm going to go back to the Labour Congress.
In her testimony to this committee, the Commissioner of Lobbying stated she did not know what an ideal solution might be in regard to rules around hospitality, but she'd be happy to hear what solutions the committee might suggest.
What solutions do you have?
:
Thank you very much, Chair.
Thanks to the witnesses for participating in what is an important discussion. I think everyone would agree that surrounding any lobbying we need a system that is accountable and that is transparent so that ultimately Canadians can trust the process. As was stated, there has been an erosion of trust in the process, and certainly one could get into extensive political conversations around that.
I did want to speak specifically about the Lobbyists' Code of Conduct, so I'm going to go around the room and ask about the consultation process. The commissioner talked a lot about that consultation process. I'll go to each person, and I'm just wondering if in 15 seconds they can comment on their experience with the commissioner's consultations.
I'll start with the Canadian Labour Congress.
:
A 10-year period? Yeesh, that's two elections. No....
A voice: I don't think so.
Mr. W. Scott Thurlow: Fair enough.
Again, there's a little bit of a duelling banjos situation about all of these different levels of lobby bans and cooling-off periods. I think the only cooling-off periods that real statutory authority exists for are the ones for public office holders who leave public office and then return to the private sector. Those are the ones that Parliament contemplated.
It's important to use Parliament as the high-water mark here because Parliament is an actual constitutional actor, and it can deliberate in a way that balances those rights in a very different way than, say, an officer of Parliament. Not withstanding the consultation, when Parliament passes a vote, every one of the people who voted one way or another have to go back to their constituents and defend that action.
:
We haven't fallen behind all the countries. The U.S. has a stronger disclosure law, and the OECD has stronger ethics standards set out as goals for both lobbying and conflicts of interest. Canada is not meeting either of those.
Toronto and Quebec require volunteer lobbying to be registered. You don't have to be paid. That catches a lot of people: retired business executives doing a bit of lobbying for their former business, and board members doing lobbying for their organizations. These can be high-powered lobbyists, because they may have been lobbyists for a long time, when they were staff or CEO, and they know all the politicians. In a couple of minutes, they can make an influential call. That's captured in Toronto and Quebec.
They're better, and the U.S. is better. They require disclosure of how much is being spent on lobbying. The OECD standards are higher than anything any country has met. These have been set out in several reports. I'll be submitting links to them in the submission I'm making to you.
We're far behind the best or gold standard. [Inaudible—Editor] unethical lobbying is very easy to do and legal.
:
The gifts rule clarifies the dollar amount, but, again, the Ethics Commissioner and Commissioner of Lobbying already set that out, so it doesn't have to be set out in the code. It was already set out in guidelines and statements by both commissioners.
Otherwise, it's a gutting of the rules. As I mentioned, it will be legal for lobbyists to raise tens of thousands of dollars for a minister they're lobbying. Currently, that's illegal. That's a gutting of the rules—going from a four-year cooling-off period to zero for that kind of activity.
The one-year cooling-off period in this code does not apply to anything the Canadian Labour Congress representatives talked about wanting to do. You would have to do all of those things—canvassing, door knocking, and dropping off leaflets and pamphlets—nearly full time or with frequent and extensive interaction with the candidate or party official, in order for you to have to sit out one year. If you do it less than nearly full time and without that interaction, you can lobby them the next minute after you finish door knocking. There's nothing you're going to be prohibited from doing with this rule.
I'm not sure why they have a problem with rule 6 and the definition for “other political work”. It doesn't prohibit them from doing anything they've talked about today—
:
First of all, I am glad I have one follower. That's spectacular.
Some hon. members: Oh, oh!
Mr. W. Scott Thurlow: Mr. Conacher has offered these hypotheticals. He thinks that these things could be happening. He has offered no evidence of any of it happening.
We know that there are people who have said that they are not going to go knock on doors because they think it will limit their ability to be a lobbyist in the future.
What's worse and more nefarious is that even if they don't do it every day, as asserted by Mr. Conacher—though we have the code in front of us that says something a little different—they might just want to do it for a weekend, but they might get that phone call in the middle of the night from the investigator saying that someone has complained. Then the investigation happens, the report is tabled in Parliament and their reputation is ruined forever.
:
It depends on your test. Mr. Conacher is 100% correct when he says the U.S. system has different and more stringent disclosure laws. Their lobbying system is run by the IRS. They have a different set of resources from the lobbying commissioner, who I think has 30 employees. I can't remember exactly what it is.
Part of the reason why there is public disclosure in the United States is that the IRS gets their tax returns and they can tell what they're spending money on. Through the legislation, they have made the decision that Americans have the right to know who's spending kajillions of dollars. In Canada, we just don't let them contribute money. It's individual Canadians who make those contributions, not large corporations.
For those of you who are worried about Citizens United, it's not here, I can assure you of that. Our contribution limits are very low by comparison. In fact, in the United States, under Citizens United, they don't exist.
Yes, it has been fascinating.
What I find particularly interesting is the different perspectives represented here, but I think there's agreement on the need for precision and the need for the rules. In the case of lobbyists, and certainly as a member of Parliament and in my work with the Ethics Commissioner on all of the disclosures and whatnot that MPs go through, precision is absolutely fundamental.
In the about four and a half minutes I have I would like to provide the opportunity to all of the witnesses—and I'll go in the same order I did before—to suggest maybe some language as to what this precision you're looking for should be.
I'll start with the CLC.
:
The precision is there in the gifts and hospitality rule, and that's fine. In terms of rule 6 and the definition of “other political work”, yes, the terms need to be defined. They shouldn't be left the way they are, because they're going to allow for unlimited fundraising while lobbying. What does “near-full-time” mean? What does “frequent and/or extensive interaction” mean?
The rule for low-level political activity should be that you are allowed to canvass and distribute leaflets a couple of times during an election campaign without having to sit out from lobbying afterwards. For fundraising, if you do any of it you should have to sit out for four years. For being in a campaign office, you should have to sit out for low-level right through the next election, and for the upper level even longer.
That's the way to ensure equal opportunity for equal and meaningful participation and influence, which is what the Supreme Court of Canada actually said. It's not just meaningful participation; it's equal opportunity for everyone, every citizen, to participate and have influence at an equal level. That's one person, one vote, with no one allowed to do more than any other person if they are then going to try to influence. That's why you have the cooling-off period that lasts at least until the next election—
Thank you to the witnesses for being here.
We heard a really interesting analysis, and for me a little bit shocking, from Mr. Conacher that it's possible for somebody to give unlimited funds, pretty much, to an elected official with this current version.
Mr. Thurlow, do you agree with that analysis? As a lawyer, do you agree with that analysis of this current version of the code?
:
No. Secret lobbying will only be stopped when the act is changed to close all of the many loopholes that allow for secret lobbying.
Mr. Thurlow had said earlier today that if someone did secret lobbying it would be illegal. That's not true at all. If you're not paid to lobby, then you don't have to register. If you're lobbying about the enforcement of law and lobbying the agency that enforces the law, then you don't have to register. If you're a business employee and you're lobbying for less than 20% of your time, then you're not listed in the registry. You can violate the lobbyists' code as much as you want, because it doesn't apply to you.
There are huge loopholes. If you're lobbying about contracts—as you asked about earlier—you don't have to register. I'm not sure what he's talking about, that lobbying secretly is illegal. Lobbying secretly is legal in many ways. It's very easy as a contract lobbyist or a consultant lobbyist to just say, “Put my contract to say I'm paid for giving you strategic advice, but I'm lobbying for free.” Then you can never be prosecuted, because you're not being paid to lobby. There are huge loopholes, and those have to be closed to end secret lobbying.
The code needs to be strengthened to stop unethical lobbying.
:
Yes, if this rule sticks and other political work goes through as is, I believe it actually violates the Charter of Rights of the 17.2 million voters in Canada who are not paid lobbyists. They have a right under the Supreme Court's several rulings, to democracy, to democratic good government and to have confidence in the appearance of integrity of every political process. That's what the Supreme Court has said.
Why would anyone have confidence if you are allowing lobbyists to raise...? It's not give, as the previous member had posed my statement as saying that someone could give someone thousands of dollars of funds. Of course, Scott Thurlow would disagree with that, but that's not what I said.
What I said was that if rule 6 and other political work definitions go through as is, someone will be able to raise tens of thousands of dollars for a cabinet minister or the minister's party that they are lobbying, and lobby them at the same time.
Why would any member of the public have confidence in policy-making at the federal level if that's legal?
:
Thanks very much, Chair.
I just want to take the first part of my time and give notice of a motion. I'm not moving a motion.
I'm not splitting my time, Monsieur Villemure.
I'll submit it in both official languages, though I know that translation will capture it. The motion is as follows: “That the committee dedicate one of its remaining Access to Information and Privacy Systems study meetings to hear from the witnesses listed below in regard to the...hotel costs of up to $6,000 per night, associated with the 's trip to London in September of 2022, that were made public through an Access to Information request; That the following witnesses be invited: [the Honourable] , Minister of Foreign Affairs; Frédéric Huot-Bolduc, Global Affairs; Davon Singh, Global Affairs; and Jason Kung, Global Affairs.”
I can transmit that to the clerk for ease of distribution.
:
I want to circle back to the issue of money in politics. This is really important, because I think that perception becomes reality for a lot of folks.
Mr. Thurlow, you talked about the annual contribution limit for individuals. The limit is now $1,700. It reset on January 1, having gone up a whole $25 over the year previous.
That number is set, and the same legislation in which it was introduced included a ban on corporate donations. We've seen instances of corporations inviting employees to give donations to political entities and then reimbursing them for them, and those have resulted in compliance agreements or criminal charges. Those are the two options. Then your corporation takes the reputational risk and results of doing that.
Mr. Thurlow, do you think the existing framework with respect to that personal contribution limit and the counterbalancing consequence of criminal charges or potentially a compliance agreement with Elections Canada provides sufficient levels of transparency?
It's wonderful to be back on this committee as I was in a previous Parliament.
Mr. Thurlow, I was very concerned when you talked about a post factum limit on freedom of assembly, freedom of speech and democratic freedoms in the Charter of Rights. To me those things are fundamental in our democracy.
I know that, for instance, if Parliament were to pass legislation that contravened democratic rights, those in section 2 of the charter, there would be recourse to the courts. But when it's in a code and when it's an officer of Parliament, what recourse is there if individuals' rights are being broken?
:
That is the million-dollar question.
The code of conduct is not a statutory instrument. There is no jeopardy attached to violating the code of conduct, other than reputational damage if there's an investigation and report. We could seek an injunction or make an application under the federal court rules to say this instrument violates the charter, but that's not cheap and there's no guarantee it would even be heard, because it's not a statutory instrument.
The thing with charter rights is that they have to be jeopardized and, as I clearly said in my earlier testimony, this is about the principle as much as it is about what's actually being limited. My democratic right is not being limited. It's about what happens after I use my democratic right. That is going to encourage me not to do the thing, under sections 3, 2(b) or 2(d).
:
I strongly agree with your position and I'll take it one step further.
What happens if you're doing all this wonderful canvassing, then you get a job offer? These young people, who have been politically active, have met other people through the campaign. They may not be able to take that job, now. I think that's a “few and far between” example, but it enters into the calculus of young people when they start being very involved in these campaigns.
I think you're right. There is an asymmetry there, potentially. You also want to communicate with your constituents. The test turns into the payment.
This goes back to Mr. Conacher's volunteer lobbying. Volunteer lobbying is not a thing that exists. Volunteer lobbying is free speech. A retired executive who isn't being paid for what they're doing is lending their expertise. They don't benefit from it. If they're getting paid, they benefit from it. We can prove or determine that. Did you get a cheque for doing this work? If yes, that's why the nexus of payment exists in the act. We can actually prove they're doing it.
:
One would call that advocacy, if it's not paid.
This is something very worrying to me, because we are seeing a decline in political participation.
Before politics, I did a lot of work internationally on democratic development. One thing Canada was known for, as a global best practice, particularly for political financing.... We have moved away from limits, because there will always be loopholes and workarounds in codified limits. In terms of international best practices, moving toward transparency allows the public to see what is going on. It then becomes self-regulating.
You mentioned something similar to that. I wouldn't mind if others could also weigh in, but, Mr. Thurlow—
I'm just going to a comment you made, Mr. Thurlow: that there are no real teeth in this code. Actually, the commissioner also said it. It's just reputational damage.
This might not be received well by all the members here, but when you have a who has had three breaches of the ethics code, of ethics, and when we have all sorts of violations happening, the general public, they mix everything up, so there is a real deterioration in respect from the public towards politicians, which I think is well deserved as far as politicians go, from what we're seeing in this government.
We need to raise that bar, obviously. It starts from the top. Unfortunately, it's failing at the top, and it's going all the way through.
Can you give me some examples of where so far there have been contraventions that might be pushing this code? Can you give us some examples of what we've seen? I'll open that up to Mr. Conacher, too, or whoever.
:
See, now that I'm back on this committee, I just can't stop.
Thank you.
I want to pick up on my last question. You mentioned, Mr. Thurlow, that somebody who might go canvassing just a couple of times clearly doesn't fall under this, but, because it's vague, they may suddenly say to themselves, “Well, maybe I will”, or worse yet, this person ends up under investigation.
I'm thinking again about this 22-year-old who worked on my campaign. They were interested in politics and took political science. Then, within a year or so, they got an offer from one of the local government relations firms. They're thrilled, but they end up under investigation because somebody complained about seeing them going door to door for me one time a year before. That young person then has to answer questions, maybe has to get a lawyer and potentially has their name dragged through. The employer backs right off and says, “Oh no. There's an investigation here. I'm not going to hire this person. We'll call you back in three months.”
Is this what we're talking about? Is this what we're facing? To me, that would create an incredible chill for a lot of young people who are interested in politics and who want a career where they make a difference in politics either through elected office or through government relations.
I'd like to ask Mr. Thurlow to answer first, but then I'll go to Mike and Siobáhn.
:
Well, there are some people who will do it regardless—God bless them. There are some people who will choose not to.
I am more worried about the marginal voter, the person who's not as likely to participate, the person who needs a ride to the poll, the person who isn't registered but is legally allowed to be registered.
It's those volunteers, who, if five of them decide not to do it, how many people then didn't get onto the roll as a direct result of that? Volunteers are the scrutineers who make sure that votes are counted properly. Do they have access to the candidate? Absolutely, they do. That's important work. We need to have those scruntineers to make sure that democracy functions the way that we expect it to.
All the discussions we had today show that there is an underlying lack of trust. There is cynicism towards the political class and towards certain activities, such as lobbying.
When people lose trust in a body, they end up developing distrust. That’s what we are hearing today, behind the various opinions, which are quite opposed to each other.
The next step is defiance. Defiance means rejecting the system. We definitely want to avoid a rejection of the system; that’s why we are looking to restore trust.
Trust is often underestimated in society. We often think it’s a given and that that’s how it should be. We tend to normalize trust by codifying it.
It’s not rules that make people good. The Lobbyists’ Code of Conduct will be an instrument for building trust, but it can’t be the only one. People have to see that there is a will. Earlier, Mr. Dalton talked about leaders and the Prime Minister. Yes, the fish rots from the head, as Confucius said. I think that we all, together, have to have this willingness to restore trust, to go for what is right beyond the code. It’s fine to have a code, but Mr. Thurlow told us about many ways to get around it. Sometimes, it’s possible to follow the rules and still be wrong.
I think we should all be working to rebuild trust. We would all benefit from doing so.
Parliament's in violation of the Lobbying Act by failing to refer to this committee or another committee the review of the Lobbying Act for the last 10 years. It's supposed to be done twice. It should be reviewed, and one of the things that should be put in is that the Commissioner of Lobbying is required to issue a public summary of every single review or investigation of any situation or complaint that comes before her. If she finds the person not guilty, the person wouldn't have to be identified, but at least we would know whether she's doing the job at all, and it would summarize when the situation arose, when the complaint was received, when the investigation started, when it concluded, what the conclusion was and what the commissioner did.
Then we would know, like we did with Karen Shepherd, the former commissioner. She found more than 100 lobbyists guilty of violating the Lobbyists' Code, and she let them all off in secret without identifying any of them and issuing a report to Parliament, so we still don't know who they are, those 100 lobbyists who are likely out there still lobbying unethically.
:
Thank you, Mr. Conacher.
That concludes our round of questioning.
There are two things I want to mention, but first, I want to ask a question.
The committee has made a commitment to the Commissioner of Lobbying to get some information back to her based on the testimony that's been provided.
I'm going to ask all three witnesses very quickly. Is there anything you provided today that would be new information to the Commissioner of Lobbying? Notwithstanding the fact that maybe she didn't agree with, or didn't put into the Lobbyists' Code of Conduct what you propose, is there any new information you provided to this committee today that you have not already provided to the Commissioner of Lobbying?
The CLC is first.
:
Right. I mentioned that earlier to advise the committee of something that you are likely aware of. Perhaps there is a motion, or something that would be required of the committee. I'm going to circle back with the clerk to figure out what the best course of action is on that, and then I'll advise the committee.
We do have another meeting on this study on Friday, so we may be able to dispose of it then. Okay? I just want to make that clear to the committee.
I want to thank all of the witnesses for being here today. This was, indeed, a fascinating discussion. The divergence of opinion helps the committee. I also want to thank our analysts and our clerk for preparing us today.
On behalf of Canadians, thank you to all of our witnesses.
The meeting is adjourned.