CBSA s Western Hemisphere Travel Initiative (WHTI) Activities Evaluation Study

Transcription

1 CBSA s Western Hemisphere Travel Initiative (WHTI) Activities Evaluation Study Evaluation Report March 2011 Program Evaluation Division Internal Audit and Program Evaluation Directorate

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3 Table of Contents Executive Summary... i 1. Introduction and Context... 1 Overview of the U.S. WHTI... 1 The Canada Border Services Agency (CBSA) and the WHTI... 2 Governance, Roles and Responsibilities... 3 Evaluation Purpose and Scope... 5 Evaluation Methodology Key Findings Relevance Performance Design and Implementation Performance Achievement of Expected Outcomes Demonstration of Efficiency and Economy Conclusions, Recommendations and Management Response Appendices Appendix A: Abbreviations and Acronyms...31 Appendix B: CBSA WHTI Presentations, Tradeshows and Site Visits...32

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5 Executive Summary The United States (U.S.) Western Hemisphere Travel Initiative (WHTI), enacted as part of the 2004 Intelligence Reform and Terrorism Prevention Act (IRTPA), requires travellers to present a valid passport or other accepted document to enter or re-enter the United States. 1 Prior to the WHTI, Canadian and American citizens were only required to prove their identity and citizenship through oral declarations and/or the presentation of commonly held documents, such as a driver s licence or birth certificate. With almost $2 billion 2 in goods and 190,000 people crossing the Canada U.S. border daily, industry and government stakeholders in both the United States and Canada were concerned over the potential impact of the WHTI on cross-border travel and trade, particularly in the land mode of transportation. 3 The Canada Border Services Agency (CBSA) provides integrated border services that support national security and facilitate the movement of legitimate persons and goods. As the CBSA also has expertise in assessing the validity of travel documents and a working relationship with its U.S. counterpart, the U.S. Customs and Border Protection (CBP), the CBSA was tasked to lead Canada s response to the WHTI. In April 2006, the CBSA established a WHTI task force to lead, coordinate and support the Agency s WHTI activities, which involved communicating the WHTI requirements to Canadians and working collaboratively with partners to identify, design, deliver and support policies and solutions to ensure a smooth implementation. One of the solutions agreed to by the federal government was to support the provincial implementation of Enhanced Driver s Licences (EDLs) and Enhanced Identification Cards (EICs) as WHTI-compliant travel document alternatives for land and marine ports of entry. 4 EDLs/EICs are more secure versions of provincial- or state-issued driver s licences and identification cards that indicate the holder s identity and citizenship. 5 In fiscal year , the CBSA and Citizenship and Immigration Canada (CIC) each received $6.8 million in new funding over five years to support the provinces with the implementation of EDLs/EICs. In addition, the CBSA will continue to receive $670,000 per year for ongoing maintenance and support. Evaluation Purpose and Scope This report presents the findings of an evaluation to assess the relevance and performance of the CBSA s WHTI activities. This evaluation is not an assessment of provincial EDL/EIC delivery, the performance of other government departments in supporting the Agency s WHTI activities, or pre-existing WHTI-compliant documents such as NEXUS or Free and Secure Trade (FAST) cards, and passports. 1 Source: Advance Notice of Proposed Rulemaking, Documents Required for Travel within the Western Hemisphere, Proposed Rules, Federal Register, Vol. 70, No. 169 September 2005 IRTPA section CBSA Report on Plans and Priorities Those concerned included several U.S. senators, State governors, provincial premiers, industry groups and associations, and think tanks. 4 Marine ports of entry are alternatively referred to as water or sea Ports of Entry (POEs) in the U.S. WHTI legislation. 5 Only U.S. and Canadian citizens are eligible for EDLs/EICs. i

6 This evaluation meets a Treasury Board requirement to report on the support provided by the CBSA for the provincial implementation of EDLs/EICs and was identified initially as a priority in the CBSA Risk-Based Multi-Year Evaluation Plan. Evaluation Methodology Research for this evaluation was conducted by the CBSA Program Evaluation Division in the Internal Audit and Program Evaluation Directorate between May and September Main lines of evidence included a review of documents and literature; statistical analysis; and interviews with CBSA management and staff, partners (other government departments, provinces, U.S. CBP), as well as private sector stakeholders. In total, 80 internal and external stakeholders were interviewed over the course of the evaluation. Key Conclusions and Recommendations Overall, the evaluation found that the CBSA s WHTI activities were well managed and that they achieved their intended outcomes. Activities undertaken by the CBSA were consistent with the priorities, roles and responsibilities of the federal government. Given the over 190,000 people and almost $2 billion in goods crossing the border every day, there was a need to make Canadians aware of new WHTI travel document requirements in order to minimize any negative impact on travel and trade. The CBSA s task force approach to managing its activities proved to be effective. Through working closely with U.S. CBP to implement EDLs, the CBSA demonstrated Canada s commitment to working on the successful implementation of the WHTI. This helped to secure a postponement of the implementation for land and marine modes of transportation from January 2008 to June The Agency also met its target of ensuring that EDLs were available to more than 75% of Canadian drivers. However, uptake of EDLs was lower than anticipated due to factors that included the higher versatility of passports, the EDL/EIC application process and negative media attention. The CBSA s outreach activities helped raise awareness of WHTI document requirements, although it is not possible to determine the exact extent since Passport Canada and the United States also conducted WHTI-related advertising. Overall, the CBSA s research indicated that by July 2009, over 90% of Canadians surveyed were aware of the requirement to present a passport or other secure document to travel to the United States. 6 Increased awareness was also reflected in the number of passports issued. Around 60% of Canadians possessed a passport in , up significantly from the 36% who had passports prior to the WHTI in fiscal year The 98% rate of presentation of WHTI-compliant documents at the U.S. border indicates that the need for significant WHTI-related outreach activities no longer exists. 6 Source: Testing of the Western Hemisphere Travel Initiative Advertising Campaign Final Rule, August 2009 EKOS Research (1,307 survey respondents). Estimates are considered accurate to within plus or minus 2.7 percentage points, 19 times out of 20. ii

7 The evaluation was not able to determine the extent to which the CBSA s WHTI activities contributed to the mitigation of any negative economic effects of the WHTI. While the CBSA processed 10.6 million fewer travellers in fiscal compared to , the drop was likely a result of numerous factors in addition to the WHTI including the economic downturn, currency fluctuations, the H1N1 outbreak and higher fuel prices. There is evidence to suggest that the use of Radio-Frequency Identification (RFID) travel documents such as the EDLs and EICs can help reduce border wait times. U.S. CBP experience shows that the use of vicinity RFID technology results in an average reduction of a full minute and 15 seconds in primary inspections compared to those where the information is manually keyed, and that they save on average 14 seconds compared to documents scanned with a machine-readable zone (MRZ). The CBSA currently uses RFID technology in NEXUS and FAST lanes, but does not use it to scan EDLs and EICs. The evaluation noted that the CBSA s Border Management Action Plan includes an initiative for the increased use of RFID technology for land border travellers. 7 Although not a requirement for entry into Canada, the presentation of WHTI-compliant documents at Canadian ports of entry has made it easier for border services officers to establish traveller identity, right of entry 8 and citizenship. CBSA interviewees noted that since WHTI implementation, travellers arriving at Canadian land ports of entry are more likely to show one of the more secure, integrity-based documents. The CBSA s surveys of document presentation rates at land border ports of entry support this finding. As of April 2009, almost 90% of travellers were presenting passports or EDLs. The Agency built on existing systems, used efficient communication strategies and leveraged in-house and partner expertise in order to minimize costs. By using the CBSA s existing secure connection with U.S. CBP for the transmission of EDL data, and ensuring that the system was designed to meet basic requirements only, the CBSA was able to develop the system without incurring any capital costs. Since , the CBSA has spent $14.8 million, including $8 million in salaries and benefits for the WHTI task force, $5 million in advertising, and $1.8 million in operating and maintenance costs. The CBSA continues to support the provinces in the ongoing administration of EDLs/EICs. As well, there is an ongoing need to support Indian and Northern Affairs Canada (INAC) as it further implements the border-crossing version of the Secure Certificate of Indian Status (SCIS). In the future, the province of Ontario may also introduce the Enhanced Photo Card (EPC), its version of the EIC. Under Canadian legislation, travel restrictions are imposed on individuals facing criminal charges for an indictable offence in Canada, who are subject to conditions imposed by a Canadian court or parole board, or a sentence of imprisonment in Canada. The risk of 7 CBSA Border Management Action Plan, August 5, Under the Immigration and Refugee Protection Act (IRPA), Canadian citizens, registered Indians and permanent residents have a right of entry to Canada, although they must demonstrate their status to the satisfaction of the border services officer. WHTI travel documents help establish a traveller s right of entry as they denote the bearer s citizenship or registered Indian status. iii

8 EDLs/EICs being used by persons subject to travel restrictions was estimated to be small, since these individuals would likely be denied entry at a U.S. port of entry based on checks against law enforcement databases. Nevertheless, to mitigate this risk, all EDL applicants are required to sign a declaration stating that they are not subject to travel restrictions. Since the effectiveness of this strategy relies on the honesty of the applicant, provincial staff was trained by the CBSA in interview techniques to detect misrepresentation. 9 The evaluation noted some non-critical deficiencies in the provincial and INAC document production and issuance processes. However, as the CBSA has not yet developed an oversight and monitoring process for reviewing ongoing compliance with federal requirements as specified in its Memoranda of Understanding (MOUs) with the provinces, the degree of progress towards addressing these deficiencies is not known. In light of these findings, the evaluation recommends that: Recommendation: The CBSA Programs Branch develop and implement a process for ongoing monitoring of the effectiveness of risk mitigation strategies with respect to travel restrictions and provincial and INAC compliance with federal standards, including fulfillment of outstanding compliance deficiencies with Security and Prosperity Partnership of North America (SPP) standards and the Government Security Policy. * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * 9 It is a prosecutable offense to supply misleading information on an EDL or EIC application. Provisions to this effect are included in the Drivers and Vehicles Act (Manitoba), the 2008 Photo Card Act (Ontario), the British Columbia Motor Vehicle Act, and the Act respecting access to documents held by public bodies and the protection of personal information (Quebec). iv

9 1. Introduction and Context Overview of the U.S. WHTI Enacted as part of the 2004 Intelligence Reform and Terrorism Prevention Act (IRTPA), the United States (U.S.) Western Hemisphere Travel Initiative (WHTI) requires the presentation of a valid passport or other secure documents that denote both identity and citizenship to enter or re-enter the United States. 10 Prior to the WHTI, Canadian and American citizens were only required to prove their identity and citizenship through oral declarations and/or the presentation of commonly held documents, such as a driver s licence or birth certificate. The WHTI was phased-in over several years by travel mode, with the objective of enabling the quick and reliable identification of travellers while strengthening border security. The WHTI was designed to address the risks posed by accepting oral declarations and the many potentially unsecure documents that were being presented at U.S. ports of entry. 11 Date December 17, 2004 June 2006 November 24, 2006 January 23, 2007 January 31, 2008 March 27, 2008 June 1, 2009 Table 1 Key WHTI Announcements and Implementation Dates Travel Event Mode IRTPA is signed into law by President Bush. Enhanced Driver s Licenses (EDLs) are proposed as a WHTI-compliant alternative at a joint British Columbia Washington State cabinet meeting. Air The United States announce the final rule 12 for air travel to the United States effective January 23, Air Passports or NEXUS cards are required to fly to, through, or from the United States. Land and The United States end the practice of accepting oral declarations Marine and requires Canadian and American citizens to present either a WHTI-compliant document or government-issued photo ID with proof of citizenship. Exemptions apply for children. 13 Land and The United States announce the final rule for the land and marine Marine implementation of the WHTI effective June 1, Land and Marine Final implementation requiring Canadian and American citizens to present a passport, a NEXUS or a Free and Secure Trade (FAST) card, EDLs and Enhanced Identification Cards (EICs), or Secure Certificate of Indian Status (SCIS). Exemptions apply for children Source: Advance Notice of Proposed Rulemaking, Documents Required for Travel within the Western Hemisphere, Proposed Rules, Federal Register, Vol. 70, No. 169 September 2005 IRTPA section Source: U.S. Customs and Border Protection (CBP) and Department of Homeland Security 12 When implementing a new law, the United States issues Notices, Proposed Rules, and Final Rules through the U.S. Federal Register ( which typically provides for a 60-day period for the public to submit comments for consideration. 13 Source: U.S. and Canadian citizen children under age 16 arriving by land or water from contiguous territory may also present an original or copy of his or her birth certificate, a Consular Report of Birth Abroad, a Naturalization Certificate, or a Canadian Citizenship Card. The same applies for U.S. and Canadian citizen children under age 19 who are traveling with a school group, religious group, social or cultural organization, or sports team. 1

10 The U.S. implementation of the WHTI included the installation of Radio-Frequency Identification (RFID) and licence plate readers at 39 land ports of entry which process 95% of land travellers. 14 Documents with RFID include NEXUS cards, FAST cards 15, U.S. Passport cards (a card version of a U.S. passport for land or marine travel), EDLs and EICs. The border-crossing version of an SCIS card, which is also acceptable under the WHTI, does not contain a RFID chip, but does have a machine-readable zone (MRZ). 16 The Canada Border Services Agency (CBSA) and the WHTI With almost $2 billion in goods and over 190,000 people crossing the border daily, industry and government stakeholders in both the United States and Canada were concerned over the potential impact of the WHTI on cross-border travel and trade, particularly in the land mode of transportation. 17 The WHTI was perceived to represent a further thickening of the border. 18 To minimize the expected impact, the Government of Canada identified a need for U.S. flexibility in the implementation of the WHTI, including adequate time for raising public awareness in Canada and the United States concerning the requirements and for travellers to obtain acceptable travel documents. The CBSA was tasked to lead Canada s response to the WHTI due to its mandate to provide integrated border services that support national security and public safety priorities, its expertise in assessing the validity of travel documents, and its working relationship with the U.S. CBP. Activities involved communicating the WHTI requirements to Canadians and working collaboratively with partners to identify, design, deliver and support policies and solutions to ensure a smooth implementation. One of the solutions agreed to by the federal government was the provincial implementation of EDLs/EICs as WHTI-compliant travel document alternatives. 19 In fiscal year , the Treasury Board authorized the CBSA to expend $14.2 million on its WHTI activities over a five year period. Of this total, $6.8 million was new funding and $7.4 million was to be allocated from exiting resources. In addition, $670 thousand in new ongoing funding was approved for the continued support and maintenance of provincial EDLs/EICs. 14 Source: The United States spent over $350 million to install RFID and licence plate readers at 39 POEs. 15 NEXUS is a joint Canada U.S. program that expedites border clearance for pre-approved travellers. FAST is a similar program, but for commercial drivers. 16 An MRZ contains the information that is visible on the card, coded into three lines that can be read by a document reader. 17 Those concerned included several U.S. senators, State governors, Provincial premiers, industry groups and associations, and think-tanks. 18 Source: Finding the Balance: Shared Border of the Future, Canadian Chamber of Commerce. 2009: A thick border is caused by increasing fees, inspections, wait times, rules and regulations, stringent requirements and infrastructure impediments. 19 Initially, financial support to the provinces in the form of a $40-million federal contribution program was considered, but was later rejected as driver s licences are administered as a cost-recovery program and the provinces had already committed to improving the security of driver s licences through the Canadian Driver s Licence Agreement (CDLA). The CDLA is a cross-provincial agreement to implement the North American security framework developed by the Canadian Council of Motor Transport Administrators and its U.S. sister organization, the American Association of Motor Vehicle Administrators. The framework incorporates the requirements imposed by the U.S. Real ID Act. 2

11 Governance, Roles and Responsibilities The CBSA WHTI Task Force In April 2006, a CBSA WHTI task force was established in the former Admissibility Branch to lead and guide the development of WHTI-specific policy, a communications strategy, and support to EDL/EIC development and implementation. The task force was transferred in April 2008 to the then Innovation, Science and Technology Branch for the technical implementation. The task force was headed by a Director General and was comprised of two divisions, the Program Development and International Relations Division, and the Outreach and Consultation Division. Specific roles and responsibilities of the Program Development and International Relations Division included: identifying solutions to ensure timely access to accepted travel documents; developing policies and processes to ensure that selected document options complied with respective Canadian and U.S. federal legislations and requirements; negotiating agreements with the provinces and the United States to establish the principles and roles and responsibilities with respect to document development, information sharing, implementation and monitoring; providing EDL/EIC/SCIS implementation and post-implementation support (e.g. compliance guidelines and assessments, training); and chairing an interdepartmental EDL Management Committee comprised of all CBSA and Citizenship and Immigration Canada (CIC) directors involved in implementing EDLs and EICs. The Outreach and Consultation Division was responsible for: gathering, preparing and registering the official comments of the Government of Canada in response to the WHTI notices and proposed rules published on the U.S. Federal Register; developing an outreach and communications strategy to ensure Canadians had the information needed to comply with the U.S. WHTI; implementing the outreach and communications strategy, including producing and disseminating outreach messages via advertisements, presentations and tradeshows, coordinating news releases, EDL/EIC announcements, and responses to media requests; and keeping stakeholders updated on developments. In April 2010, the CBSA redesigned its organizational structure to clarify branch accountabilities in support of operations in the field. Coinciding with this reorganization, and as the U.S. WHTI had been fully implemented in June 2009, the WHTI task force was disbanded. Ongoing responsibility for WHTI-related activities was assigned to the Traveller Border Programs Division, Programs Branch. 3

12 Other CBSA stakeholders Programs Branch The Document Integrity Unit within the Risk Assessment Programs Directorate (part of the former Enforcement Branch) participated in the working group to develop the Security and Prosperity Partnership s Recommended Standards for Secure Proof of Status and Nationality Documents to Facilitate Cross-Border Travel, known as the Security and Prosperity Partnership of North America (SPP) standards. 20 In addition, the unit guided the provinces on the production of EDLs and EICs that were compliant with SPP standards, and provided training to provincial and Indian and Northern Affairs Canada (INAC) staff on document examination, fraud detection and interview techniques. Information Science and Technology Branch The CBSA s former Traveller Projects and Systems Division, now the Traveller Systems Division, designed, developed and implemented the system for receiving and storing EDL/EIC data from the provinces, and transmitting it to U.S. CBP when a cardholder presents their card seeking entry into the United States at a land or marine port of entry. Comptrollership Branch The CBSA s former Corporate Security Division, now the Security and Professional Standards Directorate, conducted site visits of provincial EDL/EIC issuance, data storage, and production facilities to ensure they were compliant with Government Security Policy. 21 Operations Branch Staff in the regions responded to traveller queries concerning WHTI document requirements and distributed WHTI information sheets at ports of entry. Other Federal Government Departments Citizenship and Immigration Canada (CIC) CIC developed the process for the provinces to establish the citizenship eligibility of EDL and EIC applicants. CIC advised the provinces on which documents to accept 22 and developed a citizenship questionnaire which enables the provinces to identify situations where an applicant s citizenship may have been lost or revoked. CIC also provided citizenship training and guidance, and conducts ongoing quality assurance reviews on the eligibility decisions of the provincial issuing authorities. If the citizenship status of an applicant is unclear, provinces refer the applicant to CIC. 20 Security and Prosperity Partnership deliverable (SPP 1.1.3), based on the International Civil Aviation Organization 9303 standards for official travel documents. 21 The Policy on Government Security covers physical and electronic data storage, including access and information system security ( 22 One of five documents may be presented (provincial or territorial birth certificate, citizenship certificate, retention certificate, naturalization certificate, registration of birth abroad certificate). The validity of the last three is subject to particular issuance dates. 4

13 Canada Security Intelligence Service (CSIS) CSIS supported the implementation of EDLs/EICs by conducting security screening of provincial staff to ensure that they met federal security clearance requirements. Indian and Northern Affairs Canada (INAC) INAC used the SPP design standards, EDL/EIC processes and data-link for the development and implementation of the border-crossing version of the SCIS. External Stakeholders Provinces Provincial transportation ministries and agencies in the provinces of British Columbia, Manitoba, Ontario and Quebec issued and administered EDLs and/or EICs. These organisations include the Insurance Corporation of British Columbia, the Société de l assurance automobile du Québec (SAAQ), Manitoba Public Insurance, the Ontario Ministry of Transportation and ServiceOntario. U. S. Customs and Border Protection (CBP) U.S. CBP reviewed the business cases submitted jointly by the CBSA and the provinces, and the CBSA and INAC, and designated EDLs/EICs as WHTI-compliant. The bordercrossing version of the SCIS is accepted under the WHTI, though it has not yet been formally approved in the U.S. Federal Register. In collaboration with the CBSA and participating Canadian provinces, U.S. CBP helped develop and test the systems for processing EDL/EIC/SCIS at border passages, including retrieval of cardholder information from the CBSA. Evaluation Purpose and Scope This evaluation was initially identified as a priority in the CBSA Risk-Based Multi-Year Evaluation Plan for the fiscal year The evaluation, which assessed the relevance and performance of the CBSA s WHTI activities, addresses a commitment to the Treasury Board Secretariat that an evaluation of the development and support of EDL implementation would be conducted in The scope of the evaluation included the roles and activities of the CBSA in working with partners to inform Canadians of the WHTI requirements and to support the development and implementation of EDLs, EICs and the SCIS. The effectiveness of provincial EDL/EIC delivery, the performance of other government departments in supporting the Agency s WHTI activities and pre-existing WHTI-compliant documents such as NEXUS, FAST, and passports are excluded from this evaluation. Evaluation Methodology The following outcomes were identified in the CBSA s integrated Results-Based Management and Accountability Framework / Risk-Based Audit Framework and were used as a basis to formulate the evaluation questions in Table 2: Ensure greater U.S. flexibility in the implementation of WHTI. 5

14 Maintain timely access of Canadian travellers and trade with the United States. Increase awareness of Canadian public of alternate, valid, secure, low-cost, commonly held travel document. Contribute to WHTI-compliant documents. Mitigate the negative economic and social impacts of the WHTI. Increase client and traveller satisfaction. Table 2: Evaluation Questions Evaluation Issue Relevance Performance Design and Implementation Performance Achievement of Expected Outcomes Demonstration of Efficiency and Economy Evaluation Questions Are the CBSA s WHTI activities aligned with federal and CBSA priorities, roles and responsibilities? Are the CBSA s WHTI activities responsive to the needs of Canadians and do they continue to address a demonstrable need? Were the management and design of CBSA s WHTI activities effective? Did EDLs, EICs and SCIS cards comply with federal requirements? Are measures in place to safeguard the privacy of Canadians? Is the data transmission functioning as intended? How satisfied were key stakeholders with the CBSA s WHTI activities? Did the CBSA contribute to U.S. flexibility in the implementation of WHTI? To what extent did the CBSA raise awareness of the WHTI requirements and travel document alternatives? Did the CBSA contribute to the availability of WHTI-compliant document alternatives? To what extent has the CBSA helped mitigate the economic impacts of the WHTI and maintained timely access to travellers to the United States? To what extent have the CBSA s activities contributed to increased traveller satisfaction? Were there any positive or negative unexpected or unintended impacts of the CBSA s WHTI activities? Have the CBSA WHTI activities been implemented in an efficient and cost-effective manner? Were other more efficient and effective alternatives than EDLs/EICs available for achieving the objectives of the CBSA s WHTI activities? Research Methodologies Review of Documents The evaluation reviewed CBSA and provincial WHTI planning and reference documents, including the EDL reference manual, business cases, privacy impact assessments, presentations and reports. In addition, relevant internal correspondence, legislation, policies, procedures and agreements (i.e. memoranda of understanding [MOUs] and service level agreements) were reviewed. The evaluation also drew extensively on previously commissioned polls and studies, EDL post-implementation reviews, threat and risk assessments, and CIC quality assurance reports. 6

15 Analysis of Statistical Data The evaluation collected and analyzed statistical data including the numbers of travel documents issued, and port statistics such as passage, processing and wait-time data from both the CBSA and U.S. CBP. As well, the evaluation analyzed tourism, travel and trade data from Statistics Canada and other sources. Literature Review The evaluation examined literature pertaining to the U.S. WHTI legislation, as well as media articles, independent studies, polls, and reports (e.g. Conference Board of Canada/ Canadian Tourism Commission, U.S. and Canadian Chambers of Commerce, SES Osprey media poll). Materials available on government and industry websites were reviewed to provide context and to support the assessment of the relevance of the initiative. Key Stakeholder Interviews The evaluation team interviewed a total of 80 stakeholders through 37 individual and group interviews to learn about the effectiveness and impact of the CBSA s WHTI activities. Interviewees included CBSA management and staff, partners (other government departments, provinces, U.S. CBP), as well as stakeholders from six travel, trade and tourism associations or alliances. Research Limitations Table 3: Key Stakeholder Interviews Interview Category Number of Interviewees CBSA Headquarters 22 CBSA Regions 30 Other government departments 10 Provincial stakeholders 11 U.S. CBP 1 Private sector stakeholders 6 Total 80 Although this evaluation benefited from a wide range of available documentation, several research limitations remained. Information to assess cardholder satisfaction was based on results of post implementation reviews conducted by the provinces. At the time of the evaluation, only Manitoba and British Columbia had measured cardholder satisfaction. EDL and EIC cardholder satisfaction information for Ontario or Quebec was not available. It was not possible to measure the extent to which the CBSA s activities mitigated any negative impacts of WHTI due to the fact that other important factors influencing travel and trade coincided with WHTI implementation. These included the economic recession, currency fluctuations and the H1N1 outbreak. Likewise, other than the impact of the postponement of implementation of WHTI for land and marine modes of transportation, the intended outcome of maintaining timely access of travel and trade with the United 7

16 States could not be fully assessed as it is influenced by many factors in addition to travel document compliance. Examples include border staffing levels, infrastructure and automation, all of which fall within the jurisdiction of U.S. CBP and were not within the scope of the evaluation. 2. Key Findings 2.1 Relevance Are the CBSA s WHTI activities aligned with federal and CBSA priorities, roles and responsibilities? By helping to mitigate the potential negative impacts of the new WHTI travel document requirements, the CBSA s WHTI activities aligned with the federal government s priority of supporting Canada s economic prosperity. Each year, over 60 million people and close to $400 billion in goods cross the Canada U.S. border. The Conference Board of Canada estimated that, from 2005 to 2010, the WHTI would result in a cumulative loss of 14.1 million trips from the United States to Canada, and 7.4 million fewer trips from Canada to the United States. Over the same period, the net impact of WHTI on tourism expenditures in Canada was estimated to be a reduction of $3.2 billion. 23 While the CBSA processed 10.6 million fewer travellers in fiscal year compared to , the drop was likely a result of numerous factors in addition to the WHTI, including the economic downturn, currency fluctuations, the H1N1 outbreak and higher fuel prices. The federal government s response to the WHTI was intended to mitigate its potential impact on the economy by making sure that Canadians were aware of the new document requirements; by ensuring that Canadians had timely access to WHTI-compliant documents; and by working with the United States to ensure that timelines were such that both Canadians and Americans had the time needed to acquire compliant documents prior to implementation. The CBSA s WHTI activities are aligned with federal roles and responsibilities pertaining to citizenship, security, and the establishment of international and intergovernmental agreements. The federal government played an essential role in the implementation of provincial EDLs and EICs as it is a requirement that these documents denote citizenship. 24 Through the Citizenship Act, CIC has authority over Canadian citizenship. As part of its WHTI activities, 23 Source: An Update on the Potential Impact of the WHTI on Canada s Tourism Industry. Prepared by the Conference Board of Canada for Industry Canada, August Although EDLs/EICs denote citizenship, they do not constitute a citizenship document. Only CIC can validate citizenship, a process which can take up to 10 months. 8

17 the CBSA collaborated with CIC to ensure that provinces were provided with the tools and support needed for determining EDL/EIC applicant eligibility with respect to citizenship. The CBSA s WHTI activities also aligned with the federal government s commitment to work with international partners in the implementation of the smart borders model for increased border security. 25 The CBSA participated in the development of SPP document security standards and ensured that documents developed in response to WHTI were designed to meet these requirements. Through its WHTI activities, the CBSA helped develop the provincial capacity to detect fraud, and CSIS was engaged to conduct security screening of provincial EDL/EIC program delivery personnel. 26 The CBSA Act provided the legislative authority for entering into agreements with the United States and the provinces. 27 A Memorandum of Understanding (MOU) with U.S. CBP was required to govern the terms under which EDL/EIC data is disclosed and stored when travellers present their cards for entry to the United States at land or marine ports of entry. MOUs with the provinces established how EDLs and EICs would be produced and issued in compliance with federal standards. Were the CBSA s WHTI activities responsive to the needs of Canadians and do they continue to address a demonstrable need? The CBSA s WHTI activities addressed the need to inform Canadians of the new document requirements introduced through the WHTI. As WHTI introduced new document requirements for Canadians travelling to the United States, Canadians needed to be made aware of these requirements prior to its final implementation. Further, to ensure that the WHTI did not have a negative impact on travel, accepted travel documents needed to be available at a cost that was not prohibitive. The fact that 98% of travellers are presenting accepted documents when entering the U.S., and that a high proportion of Canadians now possess WHTI-compliant documents indicates that there is no longer an ongoing need for significant outreach activities aimed at informing Canadians of WHTI document requirements. There is a need to continue with certain WHTI-related activities as WHTI document requirements continue to be in effect. The CBSA continues to have a role in ensuring that EDLs, EICs and the border-crossing version of the SCIS card are compliant with federal standards. As well, there is an ongoing 25 Source: National Security Policy and Smart Border Declaration and Action Plan and 26 CSIS screened an average of 300 staff per EDL province. 27 Paragraph 5(1)c) of the CBSA Act provides the legislative authority for the CBSA to implement agreements with provinces to provide a service that facilitates the free flow of people and goods. Section 13 provides the legislative authority for CBSA to enter into agreements with international organizations. 9

18 role for the Agency in maintaining the system for transmitting cardholder information to U.S. CBP when these documents are used to cross the border. 2.2 Performance Design and Implementation Were the management and design of the CBSA s WHTI activities effective? The establishment of a WHTI task force was an effective approach for directing and coordinating the CBSA s WHTI activities. One of the risks identified in the EDL Risk-Based Audit Framework was that the governance, roles and responsibilities, and communications would be too complex and/or not clear enough for efficient program delivery. Interviewees at CBSA Headquarters indicated that the establishment of a multidisciplinary team comprised of subject matter experts from several branches was an effective approach that facilitated the engagement of key areas when needed. In addition, working groups were used to address specific issues and a dedicated WHTI account was created to facilitate communications with stakeholders. Providing effective support for the development of EDLs was challenging due to the number of stakeholders involved, the WHTI timelines and the limited number of CBSA experts available to provide advice and training with respect to document security standards. The early stages of developing the EDL standards and processes required extensive policy discussion involving numerous stakeholders, each subject to different legislation and regulations. As a result, the policy analysis and EDL design stage took longer than expected and several provinces commented that responses to questions were not always timely. For the province of Quebec, this issue was exacerbated by a lack of French language capacity on the WHTI task force. Internal and external delivery partners also commented that changes in the composition of the task force resulted in discontinuity and some frustration. Headquarters interviewees indicated that the Document Integrity Unit had to re-direct resources above and beyond the three full-time equivalents that were funded through the WHTI Treasury Board submission to support the CBSA s WHTI activities. This resulted in the unit not being able to meet its service standards for document assessments and the delivery of training not related to WHTI. 28 Interviewees also stated that the increased workload led to the production of fewer fraud alerts. This assertion is supported by a review of CBSA enforcement bulletins which shows that fewer fraud alerts were issued in 2008 and 2009 as compared to 2006 and However, the evaluation was 28 Document assessments services include consular services to support the proper issuance of emergency travel documents, and assessments to provide court evidence. 10

19 not able to determine the extent to which the unit s WHTI support contributed to this decline. Despite these challenges, the CBSA was commended for its work, receiving a Canada s Government Technology Event gold medal 29 and was the runner-up for the Premier of British Columbia s Innovation and Excellence award in the partnership category. Effective training, reference materials and performance measurement indicators were developed to support the implementation of EDLs/EICs and the border-crossing version of the SCIS card. The WHTI task force compiled and documented background information on EDL standards, policies, procedures, plans and processes and incorporated them into a 22-chapter reference manual. The manual also included templates and checklists to guide the implementation of an EDL or EIC program. In addition, an EDL/SCIS systems manual was developed to support the technical implementation of EDL, EIC and SCIS cards and includes detailed descriptions of the business rules, data submission guidelines, and the service level agreement that governs the technical support of the data system. After assessing the existing capacity of the provinces to detect fraud, the CBSA s Document Integrity Unit designed and delivered train-the-trainer sessions on document examination, fraud detection and interview techniques. 30 CIC also provided tools and training to ensure the provinces were able to establish whether applicants were providing satisfactory evidence of citizenship to be eligible for an EDL or EIC. In addition, CIC conducts annual quality assurance reviews to ensure that EDLs/EICs are issued only to Canadian citizens. 31 The ongoing post-implementation support provided by the CBSA and CIC helped keep the tools, training, standards and processes up-to-date. For example, the citizenship questionnaire of the EDL/EIC application was updated to reflect changes to the Citizenship Act. 32 Performance information collected through public opinion research, media monitoring, post-implementation reviews and system-generated reports were used to support decisions aimed at the continuous improvement of the CBSA s WHTI-related outreach activities and the EDL implementation. For example, the CBSA commissioned studies to test whether or not proposed advertising materials (print, radio and Internet) would effectively inform Canadians of the WHTI requirements. 33 Suggested changes to wording and the adoption of different images were considered and incorporated based on these 29 Qualifying criteria to be nominated for the Government Technology Event award Innovation: a creative approach, using IM/IT applications and/or technology, to advance government (may include, but is not limited to: policy frameworks, service delivery, organizational transformation, use of customer-centered services, public consultation and participation, competition in the global economy) 30 Approximately training binders with the training development units were provided to each province. 31 To date, although CIC found several cases of administrative errors where copies of documents were unclear, incomplete or missing from the files, it did not find that any cards had been issued to ineligible applicants. 32 Source: the amendments to the Citizenship Act restored Canadian citizenship to certain persons who previously lost it or were ineligible and limits Canadian citizenship to the first generation born to Canadian parents outside of Canada. 33 Source: WHTI Creative Pretest Antima Group November 2007; Testing of the Western Hemisphere Travel Initiative Advertising Campaign Final Rule Phase I Pre-test of advertising material EKOS Research Associates May

20 studies. In addition, the CBSA systematically scanned, analyzed and rated media reports as positive, negative or neutral, and used this information to determine whether further communications were required. The CBSA worked with British Columbia on a pilot project to implement the first EDLs in that province. A post-implementation review (PIR) of the pilot resulted in twelve recommendations that were used to improve the design of the EDL program in B.C. and in the other provinces offering EDLs. 34 Each subsequent participating province also conducted a PIR to identify areas for improvement. Finally, the CBSA conducted PIRs of its own WHTI outreach activities and EDL support, which concluded that they were conducted in accordance with the CBSA project management principles and accomplished their objectives. 35 Reports generated through the EDL/EIC/SCIS database and CBSA s Consolidated Management Reporting System (CMRS) are used by the CBSA, provinces and INAC to confirm the successful transmission of cardholder data to CBSA (Data Acquisition Report), to validate the accuracy of cardholder records (Data Integrity Report), to track the number of active and inactive cardholders (Total Records Report) and to track the number of U.S. CBP requests for the data (Passages Report). Cardholders who have lost or had a card stolen or damaged are required to report this fact to the issuing authority. Lost, stolen, fraudulent or cancelled cards are tracked through a separate module within the Field Operation Support System. 36 Did EDLs, EICs and SCIS cards comply with federal requirements? The CBSA identified areas in the EDL, EIC and SCIS card production and issuance processes that did not fully comply with SPP standards. The Agency has not established an oversight and monitoring process to ensure that identified deficiencies are addressed. 37 At the time of their implementation, EDL, EIC and SCIS document production and issuance processes did not meet all SPP standards. As many of these deficiencies fell within the best practices category of the SPP standards, 38 or were partially addressed, the task force, in consultation with CBSA document experts, information technology and physical security, determined that they presented low levels of risk to the overall 34 Improvements included refinements to the EDL/EIC Participant guide and training programs to reduce administrative errors; a reduction in the time allotted for applicant pre-screening; a review of the policies and practices with respect to personnel security screening, document scanning, and retention of hard copies of applications; and suggestions for ensuring the successful timing and content of announcements and communications. 35 For technical projects, the CBSA uses an established Major Project Governance Framework as the basis for guiding project management throughout the project life cycle. 36 The Lost, Stolen, and Fraudulent Document module in the Field Operation Support System is an electronic database on documents that have been reported lost, stolen, cancelled, or fraudulently issued or obtained. One of its purposes is to assist border services officers (BSOs) in detecting the attempted use of fraudulent documents. 37 Chapter 21 of the EDL reference manual contains an empty place holder for both the oversight and monitoring and the EDL/EIC revocation processes. Oversight and monitoring were identified by the task force as two of the 88 outstanding action items of ongoing WHTI responsibilities. 38 SPP standards include both minimum standards and best practices. 12

21 document integrity. As such, temporary exemptions from meeting the standards were granted until full solutions could be implemented. However, no timelines were established. The EDL application process includes some measures to mitigate the risk of EDLs being issued to persons with travel restrictions. Under Canadian legislation, travel restrictions are imposed on individuals facing criminal charges for an indictable offence in Canada, who are subject to conditions imposed by a Canadian court or parole board, or a sentence of imprisonment in Canada. The Canadian Passport Order provides the authority for Passport Canada to deny or revoke a passport to those who are not allowed to travel outside of Canada. 39 Passport Canada has agreements in place with the Royal Canadian Mounted Police and Correctional Services which enables it to identify cases where passports should be denied to persons prohibited from leaving Canada. In , there were 8,716 federal offenders conditionally released on parole or supervision and Passport Canada refused or revoked 240 passports. 40 Although the process for determining eligibility for an EDL/EIC was modeled against the Canadian passport application process, due to the timelines surrounding WHTI implementation and anticipated systems costs and privacy issues related to the sharing of information, it was not possible to establish an automated process to enable the provinces to check for travel restrictions of EDL/EIC applicants. However, the CBSA determined that the risk of and EDL/EIC being successfully used by a cardholder subject to travel restrictions would be minimal, since they would likely be denied entry to the US when their identity was checked against law enforcement data bases at the U.S. ports of entry. In order to mitigate the risk of an EDL/EIC being issued to an individual subject to travel restrictions, an Entitlement-to-Travel questionnaire was developed that includes a declaration by the applicant that she/he is not subject to travel restrictions. Since the effectiveness of this strategy relies on the honesty of the applicant, provincial staff was trained by the CBSA in interview techniques to detect misrepresentation. 41 The evaluation did not find any reports of applicants subject to travel restrictions having been issued an EDL/EIC. With respect to the border-crossing version of the SCIS, INAC has a letter of agreement with Passport Canada to check for travel restrictions prior to the issuance of a SCIS. Are measures in place to safeguard the privacy of Canadians? Privacy safeguards were put in place which included document security features, secure storage and transmission of data, and agreements stipulating the acceptable use of personal information. 39 Source: Sections 9 and 10. Backgrounder 40 Source: National Parole Board and Passport Canada 41 It is a prosecutable offense to supply misleading information on an EDL/EIC application. Provisions to this effect are included in the Drivers and Vehicles Act (Manitoba), the 2008 Photo Card Act (Ontario), the British Columbia Motor Vehicle Act, and The Act respecting access to documents held by public bodies and the protection of personal information (Quebec). 13