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The Year’s Achievements

MSDS Compliance

The MSDS Compliance business line is the Commission’s “scientific arm.” We help ensure that workers know about the hazards of exposure to chemicals found in products associated with claims for exemption.

We review the related material safety data sheets and, in some cases, labels, to make certain that they provide appropriate health and safety information and guidance to comply with WHMIS requirements, based on the Hazardous Products Act, the Canada Labour Code, and provincial and territorial occupational health and safety legislation. In each case, scientific evaluators review the most recent scientific information relevant to each of the products and/or its ingredients, and their known health and safety hazards. They provide advice to screening officers, who decide whether the MSDS complies with regulations. If the MSDS does not meet requirements, the screening officer issues a formal order for its revision and follows up to ensure compliance. Since the Commission first began this activity in 1990–1991, some 95% of the material safety data sheets reviewed have been found non-compliant with the WHMIS requirements to some degree.

Objectives and Achievements

The Blueprint and Workplan laid out objectives for this business line in a number of areas, including stakeholder consultation, streamlined and improved claim review procedures, service standards and staff development. Significant progress has been made in all areas.

Improving the Screening Process

We are nearing completion on the design of a voluntary MSDS pre-assessment program for claimants, to speed up the screening process, reduce the number of orders issued by screening officers, and potentially also the number of appeals. The program introduces a new MSDS pre-assessment stage. Immediately after registration of a claim and before the formal review begins, we will examine the claimant’s MSDS for obvious technical violations and advise the claimant on how the MSDS might be improved with minimum effort.

In addition, the screening process now incorporates what was previously a successful pilot project, in which claimants and affected parties have an opportunity to review and comment on the health and safety advice prepared by our scientific evaluators. After reviewing our information, the claimant may seek clarification and provide additional information. We are starting to develop proposals which could lead to changes to the legislation allowing claimants to enter into compliance measures agreements, as an alternative to a formal order, with the hope of implementing the program during the coming year.

MSDS Violation and Claims Statistics

Another factor affecting the speed of the screening process is the availability of complete information about a controlled product’s formulation. Although this information is essential to MSDS review, in some cases obtaining it from a claimant after the claim has been registered is difficult and time-consuming. We are preparing a policy proposal that would require provision of the full formulation before a claim can be registered.

Dealing with the Increase in Claims and Setting Service Standards

In the five-year period beginning in 1994–1995, the Commission received an average of about 185 claims annually. In 1999–2000, however, we received over twice that number of claims (394), and another 305 claims were received in 2000–2001, more than a third higher than the average for the previous five years. This unprecedented increase in workload created a backlog of 725 claims. The Commission’s screening officers handed down 155 decisions in the past year, an 82% increase over 1999–2000.

In the fall of 2000, the Commission received funding for additional staff to handle the continued increase in workload and to reduce the backlog over five years. With additional screening officers and evaluators, and as modernized and more efficient procedures are implemented, we expect to increase the number of claims processed annually to more than 400. We will continue to use the services of the Canadian Centre for Occupational Health and Safety (CCOHS) to supplement the work of our own staff, where possible.

Given the need to train new employees and to meet the service standard established under the renewal Workplan, we have developed a standardized script describing the various steps in the claim/MSDS review process. It covers all necessary activities, and outlines the information that must be communicated to claimants at each scheduled point of contact.

Client Services

The Client Services business line assists suppliers and employers in protecting their confidential business information, while still meeting their disclosure obligations under the WHMIS. We formally register claims for exemption, issue registry numbers, and ensure the security of claim-related information. Screening officers rule on claim validity pursuant to the Hazardous Materials Information Review Act. In addition, Client Services provide general advice and guidance to claimants and monitor levels of client satisfaction. Client Services collaborate closely with MSDS Compliance, both in its ongoing work and on special projects, such as the revised screening process.

Ongoing Services

Client Services staff provide front-end assistance and information about the claims process and the role of the Commission to claimants, whether they are suppliers, producers, distributors or employers. Telephone enquiries are normally answered within 48 hours, and replies are sent out no later than a week after we receive a written enquiry. We dealt with some 100 enquiries during the past year.

Once a claim is submitted, we carry out a pre-registration check. The claim is then registered, and we issue a registry number within seven days of receipt, if the supporting documentation is complete. When there is an express request from a claimant, the Commission can and has registered claims within a few hours of receipt. Claim registration allows the company to import or sell their product while the decision making process is carried out at the Commission. We registered 305 claims in the past year.

Based on their assessment of the information submitted by the claimant, screening officers then issue a decision to grant or deny the validity of the claim for protection of confidential business information.

Objectives and Achievements

The Blueprint and Workplan laid out objectives for this business line in a number of areas, including outreach to develop partnerships; ongoing initiatives to inform clients, stakeholders and partners; procedures to reduce the burden of proof for confidentiality claims; and an improved and modernized administrative process.

Consultation with Stakeholders and Outreach Efforts

In accordance with the Blueprint objective of establishing a mechanism for full consultation on program review and modification, we organized the Commission’s first-ever workshop for stakeholders in Ottawa on June 15, 2000. The event, dubbed “Dialogue 2000,” was designed to inform stakeholders more fully about regulatory requirements and thereby improve the quality of claim submissions. The agenda included an update on the renewal program, a guided tour of our new Web site, and presentations by staff on a variety of topics related to the Commission’s operations. For each topic, presenters explained the current process, outlined proposed changes, and answered questions from participants. All of the 25 representatives of industry and governments in attendance gave the workshop high marks for quality, relevance and usefulness in the written evaluations submitted at the end of the day-long event. We plan to hold more workshops as one of the means by which we can continue to keep in close touch with our stakeholders and WHMIS partners.

Early in 2001 we also carried out the Commission’s first client service survey. The returns show high levels of claimant satisfaction, with a number of supportive write-in comments.

In the past year, we have also given some priority to exploring partnership and educational opportunities with organizations that have similar interests and objectives related to the WHMIS. These range from the possible distribution of toxicity profile summaries, which have been prepared for certain chemical substances, to an overall strategic outreach effort to communicate our mandate and services more widely to interested parties, including the U.S. chemical industry. We are also working with provincial/ territorial occupational safety and health (OSH) agencies to develop operational relationships. In the course of their regular workplace inspections, the OSH agencies may be able to assist in identifying unfiled claims for products already being sold; we are also gauging the OSH agency demand for various WHMIS-related services we might be able to provide in return.

On the international scene, we have worked to support the Canadian delegation involved in international discussions on the global harmonization of requirements for communicating chemical hazards.

Proposals for Legislative Amendments

We are working on proposals which could result in amendments to the Hazardous Materials Information Review Regulations, making it easier for claimants to demonstrate that certain information pertaining to their products is, in fact, a legitimate trade secret that should remain confidential.

In addition, we are exploring a framework that would permit filing of claims related to controlled products that are to be test marketed in Canada. The Council of Governors has mandated a tripartite working group to develop a proposal for consideration. This addition to our services may require a legislative amendment.

Modernizing Our Tools

Over the past year, work was completed on a more modern, efficient and user-friendly software program for the system that records, registers, tracks and manages claims.

Dispute Resolution

The Dispute Resolution business line provides all parties involved in a claim with a range of options, including facilitated discussion, for dealing with any issues that may arise from decisions and orders of the Commission. We supplement and work in conjunction with the appeals process by identifying and resolving problems and complaints, where possible, before an appeal becomes necessary. Our less formal dispute resolution process is frequently more expeditious and effective in satisfying all parties, and is less costly than an appeal. We take care to provide impartial, unbiased service that encourages consensus agreements.

When necessary, we convene independent tripartite boards (with members from industry, labour and government) to address appeals or disputes from claimants or affected parties as early and effectively as possible. An appeal may relate to the compliance of a MSDS, the rejection of a claim, or to a request that confidential business information be disclosed in confidence to an affected party for occupational safety and health reasons. Claimants have 45 days to launch an appeal from the date that the Commission’s decision on a claim is published in the Canada Gazette; the length of the appeal process varies with the complexity of the case. We plan to identify some benchmarks for timing as part of our review of the dispute resolution process.

Historically, one percent of claims decisions has resulted in an appeal. There have been 16 to date, nine of which were completed and seven withdrawn by the claimant before the appeal board issued its final decision. One appeal was heard during the past year.

Objectives and Achievements

New Dispute Resolution Framework

The major renewal commitment for this business line was to redesign the Commission’s approach to handling disputes with its clients. Throughout the spring and summer of 2000, we worked with our partners and stakeholders to analyze our practices and to develop ideas for a comprehensive dispute resolution process. As well as improving the appeal process—the end stage of disagreements—we decided also to examine the screening process, since it is here that differences of opinion may arise respecting the compliance of the MSDS associated with a claim for exemption.

In October 2000, the Commission’s Council of Governors approved the resulting conceptual framework for resolving disputes, which simplifies our screening and appeal processes, making them more transparent, cost-effective, fair and participatory—in short, more client-oriented. We have already started to implement the general approach where possible, and are preparing proposals for the administrative and legislative changes, guidelines and training programs needed to put the new concepts fully into practice.

The new dispute resolution process focuses as much on preventing disputes from arising as on resolving disputes through an effective appeal procedure. It includes tools for identifying problems early in the claims process, and for resolving them fairly, quickly and cost-effectively. The keys are openness and communication. The remodelled screening and appeal processes both involve more frequent contacts with claimants and appellants, through phone calls and conferences—particularly in early stages—to brief them on policies, roles and procedures, to answer questions, and to create opportunities for interaction that promotes understanding and trust. Both processes emphasize the need to share information, to encourage client participation and to identify problems early, before they become serious. We will work to provide all parties with options for resolving a dispute in a non-adversarial, collaborative and informal manner.

Corporate Services

The Corporate Services division is the Commission’s behind-the-scenes “fourth business line”—not highly visible to the outside world, but essential both to the renewal process and the Commission’s everyday work.

Corporate Services looks after the Commission’s human resources needs, and provides administrative support, records management and facilities management services. We manage the comprehensive safety and security program that safeguards the trade secret information of claimants on Commission premises. And we manage the Commission’s finances and provide the information technology services our colleagues rely on.

Corporate Services is responsible for strategic planning at the Commission, putting the division front and centre in the renewal process. We also look after the Commission’s internal and external communications. This includes maintaining the Commission’s newly launched Web site, one of our primary vehicles for communicating with stakeholders and the general public.

Objectives and Achievements

New Cost Recovery Policy

One important objective of the Commission’s strategic renewal initiative was to update our cost recovery structure to bring it into line with the Treasury Board of Canada’s current Cost Recovery and Charging Policy. A key feature of this federal policy is the distinction it draws between public and private good. A private good is one that primarily benefits an identifiable individual or organization, whereas a public good accrues to Canadians in general. Federal departments and agencies may charge for services that confer a private—but not a public—good. In particular, there should not be a charge for services that provide Canadians with information about dangers to health, public safety or protection of the environment. Departments must work with their clients to determine an appropriate division between public and private benefits.

Over the past year, we reviewed our cost recovery policy, examining the records of more than 1000 claims to determine grouping characteristics, fee profiles and related factors. After conferring with clients, we drafted a proposed new fee schedule that would meet our goals. We propose to charge user fees for services rendered through our Client Services business line (which generally provide a private benefit to industry), while eliminating fees for services related to MSDS Compliance (which are performed in the public interest). The revised fee schedule will protect program integrity, minimize the costs charged to clients, and make cost recovery practices as fair, consistent and transparent as possible. It is also simpler to administer and more flexible.

Web site and Other Communications Initiatives

Many of the strategic initiatives of our renewal plan foresaw using the Internet to deliver the Commission’s programs and services more efficiently and effectively. Accordingly, the Blueprint gave Corporate Services a mandate to develop a Web site for the Commission, in consultation with our clients. The site came on-line in March 2000.

As well as client needs and preferences, the site was designed to comply with Treasury Board guidelines and the Official Languages Act, and to facilitate use by persons with disabilities. We were one of three government organizations to participate in a Web site accessibility pilot project initiated by Treasury Board and sponsored by Industry Canada, and the review of our site was very favourable. The Office of the Commissioner of Official Languages has also commended us for language accessibility and visual equality. In fact, our Web site achieves so much with limited resources that it has been cited as a model for other departments and agencies to follow and was showcased at several government workshops.

Plans are underway to build in capacity for on-line filing of claims and fee payments on the Commission’s site. Also on the drawing board are advanced security and search capabilities, Internet forums, a databank of toxicity profile summaries, a list of common MSDS errors, and templates and standard wording for MSDSs. To further increase our accountability and transparency as a public service organization, and to encourage comment and participation by its WHMIS partners and stakeholders, we are now posting all our new policies, regulations and procedures on our Web site.

Among other communications initiatives, we are developing a corporate e-newsletter. We also provide communications support for Client Services in their outreach efforts, and have established quality standards for all Commission publications intended for external distribution.

Staff Development

The renewal process requires each business line to invest in staff development to maximize the Commission’s productivity and performance. By March 2001, Corporate Services had developed and implemented a new corporate training policy and procedures to assist managers and employees in establishing training and development plans. Also completed by March 2001 was an ergonomics review that will ensure staff are provided with the optimum working tools and a safe environment.

A New, Secure Home for the Commission

Since our current office space is insufficient for the Commission’s long-term needs, we have obtained new premises at 427 Laurier Avenue West, in Ottawa, and plans are underway for a move in mid-summer 2001. We consulted with the RCMP Technical Security Branch to ensure that our new premises would conform to the Government of Canada Security Policy. In keeping with their recommendations, up-to-date security measures are being incorporated into the design of the new facilities, so we can continue to protect trade secrets entrusted to us, and detect and respond to any unauthorized activity.

Financial Matters

Working with Health Canada’s finance community and the Small Agency Financial Action Group that support our finance operations, we completed preparations to change to accrual accounting as part of the federal government’s financial information strategy. Through the Partnership Agreement for Corporate Services, the Commission receives substantial support and guidance from Health Canada, providing us with added expertise, more efficient provision of corporate services, and a means to maximize the use of public funds.

In the past year, we have obtained funding for additional staff, both to deal with the Commission’s backlog of claims and to create the positions of financial officer and informatics officer. We have also modernized our financial and project reporting systems.

Information Technology

We have completed a line speed upgrade to facilitate faster document retrieval from Health Canada’s databases, and are working to ensure that up-to-date IM/IT standards are factored into the design of our new offices.

Strategic Planning and Policy Development

As managers of all the renewal projects, we have put in place monitoring systems so that we can actively track and report on the progress of Workplan projects. We have defined all reporting requirements (both internal and for central agencies), responsibility centres and deadlines for the Commission, and carry out regular assessments to ensure high performance and continued program integrity. We also ensure that the Commission has the appropriate capacity to address significant policy issues emerging from the implementation of renewal initiatives.