You wouldn’t believe how complicated distributing public money can get

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Veteran Affairs: the Big Picture

While researching posts for The Audit, I’ll often confront massive datasets representing the operations of agencies with which I’m not in the least familiar. Getting to the point where all the raw numbers turn into a useful picture can take considerable effort, but it’s a satisfying process.

But my first attempts to understand Veteran Affairs Canada (VAC) felt a bit different. I wasn’t just looking at funding and costs, but at the frustrations and suffering of people who, to a greater or lesser degree, were harmed through their service to the country. Here, I hope, is part of their story.

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Veterans Affairs Funding

There are currently more than 460,000 living veterans of the Canadian military. The estimated 2024-25 spending allocation for Veteran Affairs Canada – whose mandate is to serve that population – is around $4.8 billion. The department employs less than four thousand people, which is actually around eight percent fewer than in 2010. Having said that, employment at the distinct Veterans Review and Appeal Board has grown from zero to 161 since 2017.

Besides VAC, the Office of Infrastructure of Canada will spend around $16.5 million on their Veteran Homelessness Program, and Department of National Defence has another $1.6 million budgeted for Community Support for Sexual Misconduct Survivors Program – something for which veterans will also be eligible.

In addition, nearly $2.5 million in grants from various government agencies (including Canada Mortgage and Housing Corporation) was given in 2023 to the Homes for Heroes Foundation, which provides housing and support for at-risk veterans.

Non-government agencies also work to support veterans. In 2023, for instance, the War Amps reported spending $2.7 million on “Service Bureau and Advocacy” and around $700,000 on “Veterans Issues – Special”. The Royal Canadian Legion Dominion Command spent around $1.15 million on veterans services in 2022.

The True Patriot Love Foundation is also a big player in this area, channeling nearly $2.7 million in 2024 to other charities working for veterans. At the same time, more than 30 percent of their own budget came from government sources.

One example of such flow-through funding was the $360,000 given by True Patriot Love to Veterans Transition Network in 2024. In 2023, Veterans Transition Network themselves received another $2.2 million from government along with a total of $1.7 million from other charities.

These kinds of ultra-complex relationships are common in Canada’s charitable sector. The complexity may provide benefits that outsiders can’t easily see. At the same time, knowing whether moving funds through multiple organizations leads to unnecessary inefficiencies and waste is something that would probably require a serious forensic audit.

Veterans Affairs Spending

The largest line items in this year’s VAC spending include $1.6 billion for pain and suffering compensation, $1.34 billion for the Income Replacement Benefit, and $990 million for pensions for disability and death.

In 2023, VAC awarded $41.6 million in external contracts. The largest of those was worth $13.8 million and went to 674725 ONTARIO LTD for “Other Business services not Elsewhere Specified”. 674725 Ontario Ltd. appears to be closely associated with a company called Agilec which, in turn, is a part of Excellence Canada. Here’s how Excellence Canada describes itself:

“Founded in 1992 by Industry Canada as the National Quality Institute (NQI), then rebranded as Excellence Canada in 2011, we are an independent, not-for-profit corporation that is dedicated to advancing organizational performance across Canada.”

In that context, it’s interesting that in 2022, VAC awarded a $159 million contract to a joint venture between WCG International Consultants Ltd. and March of Dimes Canada for “Other Health Services not Specified Elsewhere”.

What makes that interesting? Well, WCG also shows up on an Innovation, Science and Economic Development Canada (ISED) page related to compliance with the Investment Canada Act (ICA). The ICA exists to provide transparency relating to foreign investments in the interest of maintaining a fair and competitive marketplace

This particular page identifies a “U.S.” company called Ancora BidCo Pty Ltd as the new owners of a number of businesses under contract with the federal government. Those businesses include 674725 Ontario Ltd. and WCG International Consultants Ltd.

In fact, Ancora isn’t really a U.S. company at all. They’re actually Australian (as the Pty designation suggests). But their parent company – the private equity firm Madison Dearborn Partners, LLC – indeed operates in Chicago.

There’s no direct evidence to suggest there’s anything dark and nefarious happening here. But it is strange that so many discrete contracts turn out to be awarded to what now amounts to a single foreign for-profit company.

External Contracting Patterns

Has VAC been increasing their reliance on external contracts in recent years? Well, as you can see from this graphic, it’s complicated:

I don’t know what policy changes drove those two huge spikes in 2014 ($933 million) and 2021 ($2.25 billion). But I can tell you which specific vendors are responsible for most of the increase.

In 2014, three contracts worth a total of $803 million went to Medavie Inc for “Other Business services not Elsewhere Specified”. That was 86 percent of the sum of all VAC contracts from that year.

An eye-popping 98 percent of 2021’s external spending went to just six contracts worth $2.2 billion. Medavie Inc received one of those contracts – worth $228 million. But the other five (worth a total of $1.99 billion) were all joint ventures involving WCG International Consultants Ltd.

Lifemark Health Corp. (currently owned by Loblaw) partnered with WCG for three of those contracts, and March of Dimes Canada had the other two dance slots.

What Is Medavie?

Medavie Inc. is the owner of:

Medavie Blue Cross
Medavie EMS Inc.
Medavie health Services New Brunswick Inc.
Emergency Medical Care Inc.

Between them, those companies provide health insurance, healthcare training, and emergency management services. They also provide public health program administration – which would probably account for the majority of those contract amounts.

What’s not clear to me is why there’s no record of Medavie receiving any federal contracts of any sort since 2021 – despite the fact that the VAC website tells us that they’re still actively engaged in service provision through Partners in Canadian Veterans Rehabilitation Services (PCVRS).

What Is WCG International Consultants Ltd?

As we’ve seen, WCG is now owned by an American private equity firm and is most certainly no longer not-for-profit. Their website tells us that they’re part of the APM Group, which is an Australian company providing “services in early childhood, youth, employment, insurance, justice, veterans, health, disability, and aged care”.

You’re correct to assume the APM Group is more or less synonymous with Ancora BidCo Pty Ltd. More specifically: all of APM’s publicly-traded shares were bought out in the past couple of months on behalf of Madison Dearborn Partners.

Just one more detail: according to WCG’s website, they’re:

“Partners in Canadian Veterans Rehabilitation Services (PCVRS) coordinates and administers the Rehabilitation Services and Vocational Assistance Program on behalf of Veterans Affairs Canada (VAC).”

Curious about PCVRS? Since late 2022, they’ve been tasked with administering all medical, psycho-social and vocational assistance services on behalf of VAC. However, reports suggest that not everyone has been happy with either accessibility or responsiveness under the new system.

None of this is necessarily inappropriate. And if you’re willing to work at it, you’ll be able to use public information sources to uncover a wealth of related relationships and details. But the vast amounts of money involved, along with the operational complexity make abuse possible. Which means external oversight is a good thing.

Besides all that logistical stuff, what really matters is whether veterans themselves are receiving the support and services they deserve. And that’s a question only they can answer.

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Trump rebuilds the ranks: Army crushes 2025 recruitment goal early

Published on June 3, 2025

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MxM News

Quick Hit:

The Army has already exceeded its 2025 recruiting goal of 61,000 troops—four months ahead of schedule—as the Trump administration’s rollback of woke policies draws thousands back to military service.

Key Details:

The Army’s 2025 recruiting goal was 61,000—higher than last year’s 55,000—and has already been met with more than four months remaining in the fiscal year. Officials report a 56% increase in average daily enlistment rates over last year.
Army Secretary Daniel Driscoll thanked Trump and Hegseth, saying their “decisive leadership” and “putting soldiers first” contributed to the record-breaking numbers.
Hegseth has aggressively pushed to eliminate leftist cultural initiatives in the military, including moves to administratively separate transgender troops and rename a Navy ship previously dedicated to gay rights icon Harvey Milk.

Diving Deeper:

The U.S. Army has reached a major milestone ahead of schedule—signing up 61,000 new recruits in fiscal year 2025, effectively smashing its annual goal months before the September 30th deadline. The achievement marks a dramatic shift after years of underperformance and is being touted as a vindication of the Trump administration’s efforts to reorient the military away from progressive social engineering and back toward warfighting readiness.

In a Wall Street Journal op-ed Tuesday, Army Secretary Daniel Driscoll praised the recruiting corps, attributing their success to both boots-on-the-ground determination and high-level support. “I’m incredibly proud of our U.S. Army recruiters and drill sergeants,” he said. “Their colossal efforts and dedication to duty helped the U.S. Army accomplish our FY25 annual recruiting goal a full four months ahead of schedule.” Driscoll continued, “I want to thank the commander in chief, President Trump, and Secretary of Defense Hegseth for their decisive leadership and support.”

The Army’s target of 61,000 recruits was a notable jump from last year’s 55,000 goal. Officials say that as of this month, daily enlistment figures are tracking 56% higher than the previous year.

Driving the increase, many believe, is the sweeping overhaul of military culture underway under Defense Secretary Pete Hegseth. Hegseth has made no secret of his intent to steer the armed forces away from what he calls “woke and weak” policies. That includes the Pentagon’s past focus on gender identity politics, climate initiatives, and mandatory diversity training—priorities Hegseth sees as incompatible with combat readiness.

“We are leaving wokeness and weakness behind,” Hegseth declared during remarks last month at the Special Operations Forces Week convention in Tampa. “No more pronouns, no more climate change obsession, no more emergency vaccine mandates. No more dudes in dresses. We’re done with that s***.”

Hegseth emphasized a military rooted in “lethality, meritocracy, accountability, standards and readiness,” and added pointedly, “Our combat formations don’t need to look like Harvard University—they need to look like killers.”

In line with that shift, Hegseth also this week ordered the Navy to remove Harvey Milk’s name from a replenishment ship. The vessel had been named in honor of Milk, a gay rights activist and former Navy officer who was elected to the San Francisco Board of Supervisors in 1977 before being assassinated a year later.

The directive aligns with what Hegseth calls “warrior culture” and the broader mission to reflect Trump administration priorities across the military’s assets and institutions. The Pentagon has yet to confirm a new name for the USNS Harvey Milk, and a spokesperson said reviews are ongoing.

The Army is set to mark its 250th anniversary on June 14th—a symbolic moment, officials say, as it reclaims its footing and begins to rebuild the force from a position of strength.

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New Trump-Pentagon ad resets mission: end wokeness, win wars

Published on May 26, 2025

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Quick Hit:

The Pentagon released a dramatic new ad Sunday featuring President Trump and Defense Secretary Pete Hegseth, highlighting the end of woke policies in the military and a renewed focus on strength, discipline, and warfighting.

Key Details:

The ad, titled Peace through Strength, features intense training and combat scenes, underscored by speeches from Trump and Hegseth.
“No more distraction, no more electric tanks, no more gender confusion, no more climate change worship,” Hegseth proclaims, signaling a sharp pivot from recent Pentagon policies.
Trump promises that under his leadership, U.S. military success will be defined “not only by the battles we win, but also by the wars we end,” calling for peace built on American strength.

NEW U.S. MILITARY AD HITS HARD🇺🇸

"We are laser focused on our mission of warfighting… Our friends will respect us, our enemies will fear us, and the whole world will admire the unrivaled greatness of the United States Military" pic.twitter.com/jdm3MikswO

— The White House (@WhiteHouse) May 27, 2025

Diving Deeper:

The Pentagon launched a forceful new recruitment and branding campaign over Memorial Day weekend, spotlighting the military’s return to fundamentals under the leadership of Defense Secretary Pete Hegseth and President Donald Trump. The minute-long ad, titled Peace through Strength, premiered Sunday at the Coca-Cola 600 NASCAR event and was simultaneously posted to the Department of Defense’s social media accounts.

Using fast-paced training footage and dramatic music, the ad showcases troops in battlefield simulations and highlights a no-nonsense message from the Trump administration. Hegseth opens with a clear declaration: “No more distraction, no more electric tanks, no more gender confusion, no more climate change worship. We are laser-focused on our mission of warfighting.”

The video includes remarks from Trump affirming his vision for a military built on discipline and deterrence. “Through our power and might, we will lead the world to peace,” he says. “Our friends will respect us. Our enemies will fear us. And the whole world will admire the unrivaled greatness of the United States military.”

The ad was produced using previously recorded training footage, according to a Pentagon spokesperson who spoke to The New York Post.

Hegseth also makes a direct appeal to America’s youth, praising “incredible” young men and women “giving up the best years of their lives” to defend the country. He closes the ad with a quote that underscores the values behind the mission: “We don’t fight because we hate what’s in front of us. We fight because we love what’s behind us.”

The backdrop to the ad is a recruiting crisis that had plagued the military under Biden. In fiscal year 2022, the U.S. Army fell short by roughly 25% of its enlistment target. Similar gaps were recorded across other branches in 2023, with both the Navy and Air Force reporting thousands fewer recruits than needed.

Reversing that trend has been a key objective for Hegseth. He has made it clear that returning to a warrior culture—and scrapping the distractions of social experimentation—is central to solving the problem.

The ad’s release comes just days after the House passed the One Big Beautiful Bill Act, which adds $150 billion in new military funding. That package includes investments in shipbuilding, defense modernization, and Trump’s space-based Golden Dome missile defense initiative.

Together, the new ad and the legislation serve as a one-two punch from the Trump administration, signaling a full-spectrum push to rebuild, rearm, and reinspire the U.S. Armed Forces.