Marine Security – Frequently Asked Questions

Roles and Responsibilities
Vessel and Port Facility Security
Marine Security Contribution Program
Marine Transportation Security Clearance Program (MTSCP)

Roles and Responsibilities

Q. What is the Government of Canada doing to improve coordination among federal departments?

A. On April 27, 2004, the Government of Canada tabled Securing An Open Society: Canada's National Security Policy. The National Security Policy (NSP) sets out an integrated strategy and action plan designed to address current and future threats.

The NSP includes a six-point plan to enhance marine security. Transport Canada, National Defence, Public Safety and Emergency Preparedness Canada, RCMP and Fisheries and Oceans will be allocated funding of up to $432 million to implement key elements of this plan, which:

• clarifies and strengthens accountability for marine security;
• establishes Marine Security Operations Centres;
• increases the on-water presence of the Coast Guard, RCMPP and the Canadian Forces Maritime Command and increases the Department of Fisheries and Oceans aerial surveillance activities;
• provides secure fleet communications;
• pursues closer cooperation with the United States to enhance our collective marine defence and security; and
• strengthens security at ports and other marine facilities, such as our Seaway Locks.

Q. What is Transport Canada doing to improve coordination among federal departments?

A. Falling under the National Security Policy's six-point plan to enhance marine security, the Minister of Transport has lead responsibility for marine safety and security policy co-ordination and regulation.

As part of that leadership role, Transport Canada continues to chair the Interdepartmental Marine Security Working Group (IMSWG), which was established in October 2001 to identify and coordinate the Government of Canada's actions in support of enhancing the security of Canada's marine transportation system.

Q. What could Transport Canada do to improve marine security in the case of a major incident?

A. If a threat to the Canadian marine transportation system is identified, the Minister of Transport has the authority to require enhanced security measures by the marine transportation sector to address the threat.

In addition, under the Canadian Marine Transportation Security Regulations, Transport Canada is required to set marine security levels, and recommend the measures to be implemented for each of three, progressively higher-threat levels.

Q. Is Transport Canada responsible for conducting training or for approving courses for security officers?

A. No, although the International Maritime Organization has developed model courses for security officers, Transport Canada is working with interested Canadian training institutes to establish courses that follow the guidelines provided in the International Ship and Port Facility Security (ISPS) Code, and is prepared to recognize training certificates issued by these educational institutions as meeting international standards for ISPS-related training.

Q. What is Transport Canada's role in waterside security?

A. Transport Canada has the legislative and regulatory capacity to regulate waterside security requirements, however, the department currently has no direct role in enforcing waterside security.

In general, the police of local jurisdiction are responsible for providing waterside and landside security. The RCMP, and even the Canadian Armed Forces, can be activated when a counter-terrorism response is required.

Transport Canada is working with the RCMP to review the responsibilities for waterside security in Canada. In addition, the member departments and agencies of the Interdepartmental Marine Security Working Group (IMSWG) work together to coordinate all aspects of waterside security, planning, regulation and response.

Vessel and Port Facility Security

Q. Is a list of all the Canadian marine facilities compliant with the International Ship and Port Facility Security (ISPS) Code available?

A. To view the International Maritime Organization's (IMO) official list of marine facilities that are now compliant with the International Ship and Port Facility (ISPS) Code, visit the IMO website.

Q. Will there be funding provided to Canada's ports to help defray the costs of implementing the International Ship and Port Facility Security (ISPS) Code?

A. The Government of Canada announced on May 7, 2004, that it would assist Canada's ports with the cost of modernizing and strengthening their security systems and programs.

The Marine Security Contribution Program began as a three-year, $115 million commitment to assist ports and port facilities with security enhancements. In June 2006, the Government announced that the program would be expanded to include domestic ferry operators and would also be extended by two years for facilities, other than Canada Port Authorities.

The program is application-based and provides funding on a cost-shared basis for a number of clearly identified eligible expenses.

Under the program, ports, marine facilities, domestic ferry terminal operators and domestic ferry vessel operators are able to apply for funds to assist with security enhancements called for under their Transport Canada approved Port /Marine Facilities Security Plans or in the case of domestic ferries, Transport Canada reviewed Security Plans. These funds not only assist by helping to offset the costs borne by participants in finalizing their initial work to meet the basic requirements of their plans, they also help them to extend and build on these security enhancements in the future.

The program allows for the reimbursement of eligible expenses. For all recipients other than domestic ferries, eligible expenses are retroactive to April 1, 2004; for domestic ferries, eligible expenses are retroactive to June 22, 2006, which is the effective date of the program expansion. The program is subject to all expenditure controls applicable to contribution programs.

Applicants must ensure that their proposed projects are included in their Transport Canada reviewed Security Plan. A list of the projects should, therefore, be submitted separately to the Regional Security Inspector to ensure that the Security Plan either already includes the projects or is amended and updated to include them. Projects that are not clearly identified in a Security Plan will not be considered.

Projects eligible for funding include:

• surveillance equipment, including cameras and closed-circuit TV systems;
• improvements to dockside and perimeter security and access control, such as fencing, gates, signage and lighting;
• command, control and communications equipment, such as portable and vessel-to-shore radios; and
• infrastructure security protective measures, such as security guards

Q. Will a program similar to the Marine Security Contribution Program be established in order to assist Canadian vessel owners and operators with their security costs?

A. There are currently no federal programs under which funds could be made available to Canada's vessel owners and operators to cover the cost of security enhancements. This approach is consistent with that of the United States, which is only providing funding to American port facility operators and has made no plans to extend funding to commercial vessel owners and operators. Transport Canada is aware of the concerns of Canadian ship owners and operators with respect to this matter, and the department will continue to monitor developments and take appropriate action if warranted.

Marine Security Contribution Program - Round 5

Q. Why is the Government of Canada providing security-related funding to ports and marine facilities?

A. This contribution program recognizes the significant costs for marine facilities (including ports and the St. Lawrence Seaway) that are affected by the Marine Transportation Security Regulations (MTSRs).

The financial assistance being provided to the marine sector through this contribution program underscores the Government of Canada's understanding that a strong and secure marine industry is vital to our economy.

The program was expanded in 2006 to allow the participation of domestic ferry operators, recognizing the high volume of passengers carried by domestic ferries every year and the unique security challenges they face as a result of their extensive, open systems.

By providing significant assistance to affected ports and marine facilities and domestic ferries, the Government of Canada is both meeting international security obligations and helping to ensure the continued competitiveness of a major contributor to the Canadian economy.

The volume of marine trade is significant. Canadian port authorities have an estimated annual economic impact of more than $20 billion, generate more than 250,000 direct and indirect jobs and handle more than $100 billion worth of goods – one quarter of all Canadian trade.

Q. What are the details of the Marine Security Contribution Program (MSCP)?

A. The Marine Security Contribution Program is a five-year, $115-million commitment to assist ports and other marine facilities with security enhancements.

The program is managed through funding rounds.

The program is application-based and provides funding on a cost-shared basis – i.e., 75% government / 25% recipient, for a number of clearly identified eligible expenses. Eligible expenses for domestic ferry operators are retroactive to June 22, 2006, which is the date that the program expansion was effected to include their participation. The program is subject to all expenditure controls applicable to contribution programs.

Under the program, ports, marine facilities, domestic ferry terminal operators and domestic ferry vessel operators are able to apply for funds to assist with security enhancements called for under their Transport Canada approved Port/Marine Facilities Security Plans or in the case of domestic ferries, Transport Canada reviewed Security Plans.

Categories of eligible recipients for the first three rounds were:

• Canadian Port Authorities (CPA);
• Harbour commissions;
• Private ports;
• Port terminal operators;
• Marine facility operators;
• St. Lawrence Seaway Management Corporation;
• Commercial and private international ferry terminals;
• Municipalities; and
• Provinces.

While marine facilities owned and operated by Transport Canada are not eligible to receive a contribution under this program, individual private-sector operators operating at these facilities may be eligible.

The fourth funding round was open only to Canada Port Authorities and selected domestic ferries.

In the fifth round of funding, only domestic ferry operators mentioned specifically below are eligible:

• BC Ferries
• Translink
• Municipality of Metropolitan Toronto – Toronto Island Ferry
• Société des Traversiers du Québec
• Halifax Regional Municipality –Metro Transit

Q. Are service providers at a port eligible to receive funding?

A. For Round 5, only the following selected domestic ferry operators are eligible, and they must have a security plan that has been reviewed by Transport Canada:

• BC Ferries
• Translink
• Municipality of Metropolitan Toronto – Toronto Island Ferry
• Société des Traversiers du Québec
• Halifax Regional Municipality – Metro Transit

Eligible projects proposed by service providers identified in the Security Plan must be submitted by the holder of the security plan.

What types of security improvements does the contribution program cover?

A. For Round 5, only projects that are identified in a Domestic Ferry Security Plan that has been reviewed by Transport Canada, will be eligible. These could include:

• Surveillance equipment, such as closed-circuit TV systems;
• Improvements to dockside and perimeter security and access controls, such as fencing, gates, signage and lighting;
• Command, control and communications equipment; such as portable radios and vessel-to-shore radios; and
• Infrastructure security protective measures, such as security training.

Q. Will funding be provided to cover ongoing maintenance costs of security enhancements?

A. No. Applicants must demonstrate that they have the capacity to maintain the continuity of the security enhancement outside of the program funding. Funds are only being provided to help offset the initial cost of implementing security enhancements.

Q. Can the funds be used to pay for work already done?

A. Eligible expenses incurred after June 22, 2006, will be covered. Those incurred prior to that date – as well as costs covered under other Government of Canada programs, research and development (R&D) costs and ship security costs – are not eligible for funding under this contribution program.

Q. When can applicants start applying for funding?

A. Applications can be submitted beginning June 23, 2008, and will be accepted up to the closing date of July 25, 2008. Application kits were provided to all eligible domestic ferry operators.

When will funding begin to be distributed?

A. The first contribution agreements for Round 5 are expected to be signed, and initial funds distributed, starting in the fall of 2008.

Q. Can I receive advance payments for my approved project?

A. Generally, contributions will be paid out as a reimbursement of actual eligible expenditures made by a recipient. In exceptional cases, consideration may be given to providing advance payments. In such instances, the amount will be determined in accordance with the Policy on Transfer Payments.

Q. Can I include more than one project in my application?

A. Applicants may submit one application containing multiple projects that are described individually in the application's annex (the maximum amount payable over the 5-year life of the program has been $10 million per project and $20 million per recipient).

Q. Can the recipient of a contribution be different from the applicant for the contribution?

A. No. Recipients are applicants who have signed contribution agreements for projects that have been selected for funding.

Q. If my proposal is not selected for funding, can I resubmit my application for consideration at the next round?

A. No, this is the final round of funding.

Q. Why are you dedicating the fifth round of funding only to domestic ferries?

A. With limited remaining funding, and the fact that domestic ferry operators have only had one previous funding opportunity, it was decided that a funding round directed at domestic ferry operators would deliver the most effective security benefit.

Q. What is the rationale for marine facilities paying 25% and the government paying 75% of eligible expenses?

A. The objective of this ratio is to accelerate investments, which is why the Government of Canada will provide 75% of the eligible expense.

At the same time, in order to ensure there is business discipline on those investments, applicable marine facilities would be responsible for 25% of the eligible expenses.

Q. How many domestic ferry operators are expected to be eligible for funding?

A. In the fifth round of funding, only domestic ferry operators mentioned specifically below are eligible:

• BC Ferries
• Translink
• Municipality of Metropolitan Toronto – Toronto Island Ferry
• Société des Traversiers du Québec
• Halifax Regional Municipality – Metro Transit

These selected domestic ferry operators have been specifically identified in the highest risk category amendments to the Marine Transportation Security Regulations that are currently being drafted.

Q. How does this program compare to assistance given to U.S. ports by their federal government?

A. This risk-based program compares favourably with the approach to funding of U.S. ports by their federal government. The American program also requires a 25% contribution by industry.

However, to date, the U.S. government has provided nearly $1.5 billion (U.S.) in direct security assistance to its port industry sector.

Q. Do other G7 countries have contribution programs for ports?

A. Other than the grant program established by the United States for its ports, none of Canada's other G7 partners are providing a similar government grant program to support private-sector investment in port security.

Q. The $115-million contribution program includes $3 million for administration costs by Transport Canada. Why is TC not absorbing the $3 million administration costs, allowing 100% of the funding announced to go towards affected ports and port facilities?

A. The management of such a large project imposes a significant burden on human and other resources. Without this allocation, Transport Canada would not be able to manage this project efficiently or effectively.

The $3 million in administrative costs ($1 million a year for three years, roughly 2.5% of the contribution costs) is the minimum appropriate level to ensure sound management of such a program.

Q. How important is the marine sector to Canada's economy?

A. The volume of Canadian marine trade is significant. Canadian port authorities have an estimated annual economic impact of more than $20 billion, generate more than 250,000 direct and indirect jobs and handle more than $100 billion worth of goods – one quarter of all Canadian trade.

The financial assistance being provided to the marine sector through this contribution program underscores the Government of Canada's understanding that a strong and secure marine industry is vital to our economy.

It is also a recognition that without a federal contribution program, marine stakeholders affected by the ISPS Code may have been obliged to pass on much more of the costs associated with meeting this internationally mandated requirement. This could have had negative competitive impacts on this industry.

By providing significant assistance to affected ports and port facilities, the Government of Canada is both meeting our security obligations – and helping to ensure the continued competitiveness of a major contributor to the Canadian economy.

Q. How important are Canada's domestic ferries to Canadians?

A. Canadian domestic ferries carry over 38 million passengers each year and face unique security challenges as a result of their extensive, open system and high passenger volumes.

Marine Transportation Security Clearance Program

Q. What is the purpose of the MTSCP?

A. The purpose of the MTSCP is to reduce the risk of security threats by preventing unlawful interference with the marine transportation system, by conducting background checks on marine workers who perform certain duties or who have access to certain restricted areas and others, such as marine pilots, security personnel, and seafarers who have a Seafarer's Identity Document.

The MTSCP would enhance the security of the marine transportation system, benefiting the public, passengers, marine workers, and operators of vessels, ports and marine facilities.

This program would provide an additional layer of security needed to enhance the security of the marine transportation system by ensuring those who work in the ports or are responsible for security at the ports are not a risk themselves to the marine transportation security system. An effective security system relies on the people who are involved, and the background checks will confirm marine workers as an important, and reliable, part of the marine transportation security system.

The MTSCP is not a new program. Rather, it is an expansion of the existing Transportation Security Clearance Program, which has been in place at Canada's airports since 1985.

Q. Which ports and marine facilities would be covered by the MTSCP?

A. After the proposed regulations are finalized, a phased-in implementation would be undertaken. Phase I of the implementation strategy would include container facilities and cruise ship terminals at the ports of Vancouver, Montreal, and Halifax, as well as the control centres and operation centres of the St. Lawrence Seaway Management Corporation, by December 15, 2007.

Phase II of implementation would include the ports of Prince Rupert, Victoria, Fraser River, Québec, Saint John, and St. John's, Newfoundland and Labrador, by December 15, 2008.

Additional ports and types of facilities could be added in later phases

Q. Will the MTSCP apply to all workers at ports?

A. Under the proposed regulations, the MTSCP would apply to persons who work in certain restricted areas, persons performing designated duties, and others, such as marine pilots, security personnel, and seafarers who have a Seafarer's Identity Document. These individuals would require a transportation security clearance.

Q. What positions will require a transportation security clearance under the MTSCP?

A. Persons who work in certain restricted areas, and persons performing designated duties, at ports would require a clearance. The duties that would be designated have been identified through an examination of the functions at marine facilities and ports, and could include:

• security responsibilities, including authorized screening and security guard functions;
• the taking of applications for security clearances;
• access to security information at the marine facility or port;
• the supervision of marine facility operations;
• the creation, alteration, control or maintenance of cargo documentation, crew lists, or passenger lists; and
• the planning or directing of cargo or container movement.

In addition, marine pilots, wharfingers, security personnel and seafarers who have a Seafarer's Identity Document would require a transportation security clearance.

Q. To which restricted areas will the MTSCP apply?

A. Under the proposed regulations, restricted areas to which the MTSCP would apply include: areas in the marine facilities that contain the central controls for security and surveillance equipment; areas that contain the central lighting system controls; areas that are designated for the loading or unloading of cargo and ships' stores at cruise ship terminals; and, land areas adjacent to vessels interfacing with cruise ship terminals. This means that persons working in these restricted areas would require a transportation security clearance.
Areas at cruise ship terminals where baggage and ship's stores are loaded or unloaded would also require a transportation security clearance for access.

Q. What background checks will be conducted as a part of the transportation security clearance?

A. The proposed program builds on the experience gained from Transport Canada's program of background security checks for airport personnel, which has been in place since October 1985. On receipt of a completed application the following checks would be conducted for the purposes of granting a transportation security clearance:

• a criminal record check;
• a check of the relevant files of law enforcement agencies, including intelligence gathered for law enforcement purposes;
• a Canadian Security Intelligence Service (CSIS) indices check and, if necessary, a CSIS security assessment; and
• a check of the applicant's immigration and citizenship status, if applicable.

Q. Why are fingerprints taken for every application for a transportation security clearance?

A. The Royal Canadian Mounted Police (RCMP), which is the holder of criminal records, requires fingerprints to confirm the existence of a criminal record check. This is to ensure accuracy in order to avoid confusion between persons with the same names and other similar information.

Q. What information would be collected on marine workers by Transport Canada for an application for a transportation security clearance?

A. Personal information collected for an application for a transportation security clearance would include:

• fingerprints and facial image;
• full name used, and details of any name changes;
• date and place of birth, information confirming place of birth;
• gender, height, weight, eye and hair colour;
• passport information;
• post secondary school education;
• residential and employment history for the last five years;
• extended travel (more than 90 days) outside Canada for personal or non-governmental business, other than to USA and Mexico; and
• limited information on the applicant's spouse or common-law partner.

For the complete list, please refer to section 506 of the proposed amendments.

Q. Why is personal information concerning an applicant's spouse or common-law partner collected for an application for a transportation security clearance?

A. This information is required in order for CSIS to conduct its indices check and security assessment. However, information is not required of former spouses if the relationship ended more than five years prior to the application for a transportation security clearance.

Q. What is Transport Canada doing to ensure that an applicant's privacy rights are protected?

A. The Government of Canada is bound by the Privacy Act, which protects the privacy rights of individuals.

The Privacy Act regulates the collection and use of personal information by the federal government and agencies. As such, the Privacy Act governs Transport Canada's programs. An applicant's personal information would be used only for assessment purposes within the context of the program.

In addition, Treasury Board guidelines require that a Privacy Impact Assessment be conducted to examine how personal information is collected, used, retained, and shared whenever a government program gathers personal information. Transport Canada has conducted a Privacy Impact Assessment on the collection of personal information under the Marine Transportation Security Clearance Program.

Q. Will personal information collected for an application for a transportation security clearance be used for another purpose, such as for criminal investigations?

A. The information will not be used for any other purpose. The Privacy Act regulates the collection and use of personal information by the federal government and agencies. In accordance with the Privacy Act, an applicant's personal information would be used only for assessment purposes within the context of the program.

Q. Will personal information collected for an application for a transportation security clearance be shared with other foreign governments?

A. An applicant's personal information is used only for assessment purposes within the context of the program, and is not shared with outside agencies or foreign governments without the written consent of the applicant.

The only two circumstances in which an individual's information would be shared with a foreign government are: (1) where, in the opinion of the Minister, the public interest in disclosure clearly outweighs any invasion of privacy that could result from the disclosure; or (2) for the purpose of complying with a subpoena or warrant issued or order made by a court, person or body with jurisdiction to compel the production of information or for the purpose of complying with rules of court relating to the production of information.

Q. What criteria are looked at for granting, refusing, or canceling a transportation security clearance?

A. The assessment of whether to grant, refuse, or cancel a transportation security clearance is based on a global evaluation of the information obtained from the background checks and the information provided on the application to determine if a person poses a risk to transportation security. When all the required checks are successfully completed, the applicant could be granted the transportation security clearance.

Q. Can a transportation security clearance be refused or cancelled if an applicant or clearance holder has a criminal record?

A. Having a criminal record does not automatically mean that a person would be refused a transportation security clearance (or cancelled if they are a clearance holder). The recommendation whether to grant a security clearance is based on a global evaluation of the information obtained from the applicant and from the background checks, as to whether he/she poses a risk to transportation security.

Q. What review or appeal mechanisms exist if an applicant is refused a transportation security clearance (or if a clearance holder has had their clearance cancelled)?

A. If an application for a transportation security clearance is refused, or an existing transportation security clearance is cancelled, the applicant or clearance holder would be informed of the decision and provided with a summary of the reasons supporting the refusal or cancellation. The applicant would have several recourse options.

The proposed amendments to the Marine Transportation Security Regulations (MTSRs) include a reconsideration process. The Minister of Transport, Infrastructure and Communities is committed to establishing an independent Office of Reconsideration (OOR).

The OOR would be responsible for the transportation security clearance reconsideration process and would be independent of the office making the initial evaluation.

An applicant would also be able to reapply for a transportation security clearance where there has been a material change in the applicant's circumstances, which led to the initial refusal or cancellation.

In some circumstances, the applicant may be able to file a complaint with the Security Intelligence Review Committee (SIRC) if the transportation security clearance is refused or cancelled based on information collected from CSIS.

In addition to these mechanisms, an applicant whose transportation security clearance has been refused or cancelled can request a judicial review by the Federal Court of Canada.

Q. How is “reasonable grounds to suspect” defined?

A. Some have questioned whether the appropriate threshold for refusing or cancelling a transportation security clearance is at “known or reasonable grounds to suspect”, or whether it should be at “reasonable cause to conclude”.

Sec. 5 (1)(a) of the Marine Transportation Security Act states that regulations may be made to prevent interference that “could occur” with the marine transportation system. This preventative intent of the Act must be upheld, and using “reasonable grounds to suspect” as a threshold for granting, refusing or cancelling a transportation security clearance is consistent with our legislation.

It is important to note that the “reasonable grounds to suspect” criterion is used in other Canadian legislation, including the Canadian Security Intelligence Service Act, the Proceeds of Crime (Money Laundering) and Terrorist Financing Act, and, the Immigration and Refugee Protection Act. Therefore, “the reasonable grounds to suspect” criterion is appropriate for assessing eligibility for a transportation security clearance.