Question Period Note: BUDGET 2022

• Budget 2022 continues to reflect our responsibility to ensure all Veterans and their families receive the support and services they need, when they need it.

• This budget builds on the historic investments we made in previous Budgets which improved financial security and other supports and services for Veterans and their families.

• In total, the Government of Canada has invested almost $11 billion in Veterans’ initiatives since 2016.

• This Budget proposes further funding of $139.6 million for Veterans Affairs to retain resources to continue working on reducing Veterans disability wait times.

BACKGROUND – BUDGET 2022
A Plan to Grow Our Economy and Make Life More Affordable

Budget 2022 focused on three key pillars:
1) Investing in people
2) Investing in the green transition
3) Investing in innovation and productivity

FUNDING/IMPACTS FOR VETERANS AFFAIRS CANADA (VAC)
1. Reducing Veterans Disability Wait Times
-$139.6M over two years ($65M for 22-23 and $74M in 23-24)
- Retention of VAC staff focused on reducing the disability wait times

1. A New Veteran Homelessness Program
   -$62.2M over three years, beginning in 2024-2025 for Infrastructure Canada, with support from VAC to launch a new Veteran Homelessness Program

• Infrastructure Canada is lead department, and VAC will provide support as required. No funding for Veterans Affairs is expected.

1. Effective Government

• Strategic Policy Review - An ongoing review to ensure Canadians’ tax dollars are being used effectively and government programs are delivering intended results
  o Assess program effectiveness and opportunities to save and reallocate to a new post-pandemic reality (real property, travel and digital service delivery)
  o Target savings of $6B over 5 years and $3B annually by 2026-27
• Reduce planned spending in the context of a stronger recovery – process to re-examine previously announced plans to ensure government programs are fit to changing circumstances, including a stronger than anticipated economic recovery
  o Reduce planned spending by $3B over next four years.

WHEN PRESSED
Q1. Can you describe what the funding of $139.6 million will be used for?
The funding of $139.6M will be used to extend disability adjudication resources for an additional 2 years.

Reducing processing times for disability benefit applications is our number one priority.
Hiring, automation and streamlining are all contributing to improved processing times.

Q2. Can you describe what the New Veteran Homelessness Program is?
The program will provide services and rent supplements to Veterans experiencing homelessness in partnership with community organizations. Infrastructure Canada is to lead and VAC to provide support as required.

Q3. When do the reductions start for Effective Government and how may it affect VAC?
Reductions to planned spending start in fiscal 23-24 and strategic policy review reductions start in 24-25. Further details on these initiatives are expected in the 2022 fall economic and fiscal update.

Q4. Did the Department get everything they asked for in Budget 2022?
The number one priority for the Department is addressing our processing times and clearing the backlog of disability claims. Through Budget 2022, we received the funding necessary to keep disability decision makers in place for an additional two years.

Additionally, through Budget 2022, $62.2M over 3 years beginning in 2024-25 was also announced to launch a new Veteran Homelessness program. This is in addition to the 2 years of funding in the amount of $46.6M announced in Budget 2021 beginning this year, 2022-23, with $11M of this funding now reprofiled into fiscal year 2024-25. Infrastructure Canada is the lead Department for this Veteran’s initiative and Veterans Affairs will provide support as required.

These initiatives and funding will have a substantial impact on improving the timeliness of processing disability applications as well as the supports for Homeless Veterans which are top priorities for the Department in our service and support to Veterans.

Q5. Did the Department receive what you need through Budget 2022 to achieve your objectives?

Through Budget 2022, funding of $139.6M was announced to extend disability adjudication resources for an additional 2 years. This additional funding will have a substantial impact on improving the timeliness of processing disability applications which is the number one priority for the Department.