Departmental Action Plan in response to audit findings and recommendations contained in

Chapter 1, “Border Controls on Commercial Imports” of the Spring 2012 report of the Auditor General of Canada

HEALTH CANADA – May 3, 2013

 

Introduction:

In the Spring 2012 report, the Auditor General noted that while controls on commercial imports at the border are generally working, they need to be better monitored. The Auditor General stated that the Canada Border Services Agency (CBSA) is to work with other federal organizations to ensure that consumer goods entering Canada conform with Canadian laws and regulations.

The audit also found that border lookouts and examinations—controls reserved for shipments that are considered higher risk—need to be better managed. In 40 percent of cases reviewed by the audit, the results of examinations were incorrectly or incompletely recorded. 

Health Canada (HC) is committed to improve coordination with CBSA to ensure compliance regarding the importation of products regulated by the Department.

Auditor General’s Recommendation

Response to the OAG recommendation:

 

Deliverables & Timelines

Status

 

OAG Recommendation 1.21 To define and clarify roles, responsibilities, policies and procedures for administering import requirements, the CBSA and HC should prepare and finalize annexes for all programs identified in their 15 November 2011 Umbrella Memorandum of Understanding (UMOU). CBSA should then document or update instructions to border services officers for these programs and products.

 

 

The Agency’s and the Department’s response 1.21. Agreed. The Agency and the Department will work together to complete annexes to the umbrella memorandum of understanding with related procedures that clearly define the roles and responsibilities of each organization for the border administration of the Department’s import requirements. One to two annexes would be completed by March 2013, with all completed by March 2014.

 

 

 

 

 

 

 

In response to these commitments CBSA and HC established the following  deliverables and timelines:

 

A.  Letter of Intent (March 2012)

 

 

 

 

 

B.  Annexes to the UMOU (two Annexes due by March 2013 and two due by March 2014)

 

 

 

 

 

 

 

 

C.  D-Memoranda (March 2014)

D-Memoranda are internal CBSA memoranda that describe cooperation and coordination between CBSA and federal organizations. These documents outline the legislation, policies, and procedures that CBSA uses to administer specific customs programs, including the importation of certain goods that fall under the jurisdiction of other federal organizations.

 

 

 

HC and CBSA are collaborating on efforts to ensure the timely delivery of all commitments

 

 

A. Letter of Intent – Completed

·         The letter of intent committing to completing an Annex to the UMOU between the CBSA and HC was signed in March 2012.

 

 

B. Annexes to the UMOU – On Target

·         The Department originally agreed to complete two of the four Annexes to the UMOU by March 2013. Early in the implementation of the OAG recommendations, HC programs recognized that requirements were similar enough to allow for the development of a single generic annex, and CBSA agreed. The generic Annex is expected to be completed by June 2013.

 

C. D-Memoranda – On Target

·         Work with CBSA on the development of the required D-Memoranda is underway and is expected to be completed on schedule.

 

 

OAG Recommendation 1.53 The Canadian Food Inspection Agency (CFIA), HC, Natural Resources Canada (NRCan), Transport Canada (TC) should assess CBSA referrals systematically to determine whether responses are provided within agreed service standards and whether recommendations are followed. Each organization should use the results of this assessment to determine whether further action is required.

 

 

Response from Health Canada on the OAG recommendation 1.53: Agreed. Health Canada will develop service standards for each program as part of the development of program annexes with the Canada Border Services Agency and commits to monitoring i) compliance with agreed upon service standards, and ii) referrals from the Canada Border Services Agency in order to determine if the Agency is following Health Canada recommendations.

 

 

 

 

 

 

In response to these commitments CBSA and Health Canada established the following  deliverables and timelines:

A.  Service Standards (two due by March 2013 and two due by March 2014)

Service standards for HC to respond to referrals from the CBSA will be developed as part of:

(i) the Inspectorate Program Annex;

(ii) the Consumer Product Safety Program Annex;

(iii) the Controlled Substances Annex; and

(iv) the pesticide regulation Annex.

 

 

B.  Assessment of CBSA Actions (March 2014)

 

 

 

 

 

 

 

A. Service Standards – On Target

·         HC and CBSA originally committed to completing two of the four Service Standards by March 2013.  In order to streamline the process, HC and CBSA agreed that generic Service Standards would be developed and included in the generic Annex of the UMOU as per recommendation 1.21.  CBSA is in agreement with this approach. Generic Service Standards are expected to be completed in June 2013.

 

 

 

 

 

 

 

 

B. Assessment of CBSA Actions – On Target

·         The regular exchange of performance data between HC and CBSA for all programs will be in place with the completion of HC-CBSA UMOU Annex. Completion is planned for June 2013.

·         All HC programs have already agreed to common service standards with CBSA.  These service standards will be outlined in the generic HC-CBSA Annex to the UMOU.