Question Period Note: Fish Harvester Benefit And Grant Program

• In 2020 we launched the Fish Harvester Benefit and Grant Program, to support self- employed fish harvesters and self-employed crew.
• The Program issued about $162 million to more than 18,000 people in the fishing sector to help them through COVID-19.
• The Program concluded operations on March 31, 2023. All file processing is complete, and the status of all files is final.
• Over the course of the Program, some individuals received funds in excess of their entitlements, and will have to repay their overpayment amounts. Currently, there are 5,862 harvesters who have amounts owing, totaling $29,449,229.

• The Fish Harvester Benefit and Grant (FHBG) Program was part of the Government of Canada’s COVID response strategy. Since its launch in 2020, it provided support for non-deferrable business expenses and income support to self-employed fish harvesters and self-employed crew.
• The FHBG Program was delivered in two-phases:
o Phase One (2020) involved the issuance of: 1) one-time grant payments to provide emergency business expenses; and 2) the first part of the benefit payment (60 per cent) to provide income assistance to eligible self-employed fish harvesters and self-employed crew.

o Phase Two (2021) involved confirming that the applicant-attested information provided in phase one aligned with Canada Revenue Agency (CRA) data. A phase-two application was required by all applicants who received payment in phase one. If eligible, and with the successful submission of the phase two application, the Program issued the second part of the benefit payment (the remaining 40 per cent).
• During phase one, applicants attested to their income, estimated losses, and employment status. The Program issued payments in phase one based on the attested information from applicants.
• Prior to the launch of phase two, the Program received Canada Revenue Agency (CRA) data and was able to compare attested information with tax filing information that applicants had provided to CRA. The Program deferred to information filed with CRA.
• In some cases it was found that attested information did not align with the information that applicants had previously filed with CRA, meaning that in some cases individuals had received FHBG funds for which they were not eligible. In all cases, there was a right to appeal overpayment findings.
• In February 2022, the Program waived interest charges on overpayment amounts owing until January 1, 2023. The Program extended the waiver period by a further three months to March 31, 2023.
• At the end of January 2023, the Program launched a reminder outreach effort to recipients of Program funds who have repayment obligations.
• This effort involved DFO sending reminder emails, letters, and account statements to individuals. In February, Service Canada started making reminder telephone calls to individuals with overpayments amounts owing.
• This follow-up work to make reasonable efforts to recover Program overpayments is a requirement under Section 7 of the Financial Administration Act and the Treasury Board Directive on Public Money and Receivables.
 

If pressed on reminder outreach
• Pursuant to Section 7 of the Financial Administration Act, the Treasury Board Directive on Public Money and Receivables requires departments to take timely and cost-effective collection actions to pursue receivables.
• The actions of the department are aligned with other collection efforts ongoing for other departments related to COVID relief programs such as the Canada Emergency Business Account program.
• Final repayment reminder notices will advise debtors about remaining amounts owing, and that the Canada Revenue Agency set-off action is being considered for files that remain unpaid. Amounts owing will not include the addition of any interest charges so as to minimize any confusion about amounts due and remain consistent with amounts indicated in previous communications.
• Some had losses less than they had forecast; others were ineligible for the Program. All had a right to appeal their overpayments. All appeal reviews are complete.
• Assisted by Employment and Social Development Canada, in January and February 2023, the Program conducted an outreach effort to remind individuals who have overpayment obligations about repayment.