The health of our federal system, the fairness and transparency of its processes, and the legitimacy of its outcomes, are more important to Canada today than they have ever been before.

There was a time when Canadians were prepared to trust the machinery of government with an elite group of individuals, elected and unelected. For at least the first century of our existence, the Canadian system was characterized by a structure known as "executive" or "cooperative" federalism, within which federal-provincial relations were negotiated through informal networks. Some of Canada's most significant decisions, and the most dramatic shifts in the balance of power, were made during informal, closed-door meetings with minimal public input. What this system possessed in terms of efficiency and flexibility, it paid for in terms of transparency, accountability, and legitimacy.

This may have been acceptable in the early stages of nation-building in the interests of efficiency and unity, but it is clearly unacceptable today. More importantly, effective executive federalism is already dead: as Michael Ignatieff eloquently noted, the "high priests of federalism" utterly lost control by the time of the 1995 Quebec referendum.

Today, we are a rights-based country that is increasingly democratic, with citizens consistently pushing for greater access to public decision-making. We also understand something now that we did not before: nations are not held together, and minorities are not "appeased", through secret political machinations and pie-dividing exercises. Rather, nations are built on mutual respect, the recognition of rights, sincere openness, and inclusive dialogue.

Canada's federal structure is a crucial foundation of national unity. As the Supreme Court acknowledged, it is the "political mechanism by which diversity could be reconciled with unity." Our federation, like many others around the world, is ambitiously aspirational. It represents some of the most deeply held beliefs of what being Canadian means. It is characteristically flexible, and has become a tool through which we negotiate our way forward as a pluralistic, enlightened, modern society. The way our public representatives work together must fit with the larger purposes of federalism if our national dreams are to be accomplished.

Canadian governments have started to recognize that the nature of the federation is changing, and that the public sector needs to be more inclusive and transparent. For example, the Social Union Framework Agreement (SUFA), whose initial three year term expired February 4, 2002, expressed for the first time in the context of an official document on federal-provincial relations the principles that:

1. Canada's social union should reflect and give expression to the fundamental values of Canadians - equality, respect for diversity, fairness, individual dignity and responsibility, and mutual aid and our responsibilities for one another;
2. Canada's Social Union can be strengthened by enhancing each government's transparency and accountability to its constituents by:
      Achieving and Measuring Results
      Involvement of Canadians
      Ensuring fair and transparent practices

The SUFA is now under review; its future, and the future of initiatives like it, is unclear. We need to support this important first step towards transforming our federal system into a more democratic and accountable system. In federal-provincial relations this entails:

1. a demonstrated adherence to the Canadian values that federalism represents, as expressed in the Secession Reference;
2. transparency in intergovernmental relations, so the public knows what is being traded and it is not simply a backroom bargain beyond public scrutiny;
3. genuine opportunities for genuine public input, mandatory and before the fact, not after a fait accompli, both for accountability and to enhance the environment of informed decision-making;
4. measures of the concrete outcomes governments are achieving;
5. a means to hold public representatives accountable when they choose not to act inclusively in a transparent and accountable manner, and when they are deliberately uncooperative in a manner harmful to the stability and vibrancy of the federal system.

As part of our participation in the re-evaluation of the SUFA, and as part of a larger review of federal-provincial relations generally, uni.ca calls for:

1. Canadian Federation Audit

   This would essentially be a series of report cards evaluating the conduct of federal-provincial and interprovincial relations. These reports would be publicly accessible and widely distributed.

   The subjects of evaluation would include:
      The Prime Minister;
      Provincial and Territorial Premiers;
      Federal, Provincial, and Territorial Cabinet Ministers;
      Federal, Provincial, and Territorial Deputy Ministers.

   The criteria of evaluation would include:
      Adherence to pillars of the Canadian constitution;
      Transparency in intergovernmental relations;
      Accountability to the electorate and opportunities for input;
      Effectiveness - avoiding the "joint decision trap";
      Concrete outcome measures for policy evaluation;

2. Ombudsman of the Canadian Federation

   The establishment of an independent body responsible for the Canadian Federation Audit would be a necessary complement. The Ombudsman would also be uniquely focused to monitor Canadian federalism generally, providing informed analyses on an on-going basis.

   The mode of identification of persons involved with this body would be carefully constructed to maximize legitimacy and efficacy. Submissions and consultations drawn from the Canadian public and from experts would figure prominently in daily operations.