Evidence of meeting #85 for Public Accounts in the 44th Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was ncc.

A video is available from Parliament.

On the agenda

MPs speaking

Also speaking

Tobi Nussbaum  Chief Executive Officer, National Capital Commission
Alexis Michaud  Director, Official Residences, National Capital Commission

11:45 a.m.

Bloc

Julie Vignola Bloc Beauport—Limoilou, QC

At this point, what is the estimated cost of renovating all those buildings in the next five years?

11:45 a.m.

Director, Official Residences, National Capital Commission

Alexis Michaud

In the next five years, the deferred maintenance cost for Rideau Hall alone is $31 million.

11:45 a.m.

Bloc

Julie Vignola Bloc Beauport—Limoilou, QC

Thank you.

That amount is for Rideau Hall alone and includes none of the other buildings.

Is that right?

11:45 a.m.

Director, Official Residences, National Capital Commission

Alexis Michaud

That's right.

11:45 a.m.

Bloc

Julie Vignola Bloc Beauport—Limoilou, QC

Thank you.

In your remarks, Mr. Nussbaum, you talked about restoring the site to optimum functionality. My next question ties into my first comment.

Did building optimization include heritage considerations?

11:45 a.m.

Chief Executive Officer, National Capital Commission

Tobi Nussbaum

Yes.

That's in the sense that, as a national historic site, even though the operation zone is separate and, as you've seen from the handout, is not next to Rideau Hall, we still have to honour and respect the regulations and policies that govern national historic sites. For instance, the construction of the service, maintenance and storage building was subject to review and approval by the Federal Heritage Buildings Review Office.

11:45 a.m.

Bloc

Julie Vignola Bloc Beauport—Limoilou, QC

You said that the exterior of the garage in embossed sheet metal and concrete was reviewed by Canadian Heritage, which deemed it to be an acceptable heritage appearance.

I have to say I find that surprising. That's what pretty much every industrial zone in pretty much every city looks like now. It's not a very heritage look.

11:45 a.m.

Chief Executive Officer, National Capital Commission

Tobi Nussbaum

Mr. Chair, I think it's important to make a distinction. The entire site is a national historic site, and by virtue of the service, maintenance and storage building's being constructed on a national historic site, it is subject to approval by the Federal Heritage Buildings Review Office.

All of us accept that this is not a heritage building. I just want to agree with the member on that, Mr. Chair.

11:45 a.m.

Conservative

The Chair Conservative John Williamson

Thank you.

Mr. Desjarlais, you have the floor for two and a half minutes. Go ahead, please.

11:45 a.m.

NDP

Blake Desjarlais NDP Edmonton Griesbach, AB

Thank you, Mr. Chair.

I do want to get back to what I and, I believe, my party believe to be the crux of the issue, which is subcontracting and this creation of a shadow public service. It's been in the works since 2006, and we're seeing these private profits from public contracts starting to build. We don't have an ability, in public accounts, to monitor precisely the costs of private profit in the work of public contracts, but this is a good example of that.

I think it's important that Canadians understand that this is a serious problem and that we're going to see continued escalation of project costs should we continue to see private corporations bid on this work. They don't do it for free, and you know that, so how much profit did the contractor Pomerleau make from the public service?

11:45 a.m.

Chief Executive Officer, National Capital Commission

Tobi Nussbaum

Mr. Chair, I don't have the number for what Pomerleau made from the public service, but—

11:45 a.m.

NDP

Blake Desjarlais NDP Edmonton Griesbach, AB

Could you provide that number to us in writing?

11:45 a.m.

Chief Executive Officer, National Capital Commission

Tobi Nussbaum

I can speak only about the NCC and the work the NCC has done with Pomerleau.

11:45 a.m.

NDP

Blake Desjarlais NDP Edmonton Griesbach, AB

Who came into a contract with Pomerleau?

11:45 a.m.

Chief Executive Officer, National Capital Commission

Tobi Nussbaum

Just to clarify, Mr. Chair, what I'm saying is that we absolutely have numbers for our relationship with Pomerleau, but the question—

11:45 a.m.

NDP

Blake Desjarlais NDP Edmonton Griesbach, AB

Who signed the contract between the NCC and the contractor?

11:45 a.m.

Chief Executive Officer, National Capital Commission

Tobi Nussbaum

That would have probably been my predecessor in the first case, and after the second request for proposals, that would have been me.

11:45 a.m.

NDP

Blake Desjarlais NDP Edmonton Griesbach, AB

So that means you have to agree that this company will get profit from our taxes.

11:45 a.m.

Chief Executive Officer, National Capital Commission

Tobi Nussbaum

Mr. Chair, it's really important—

11:45 a.m.

NDP

Blake Desjarlais NDP Edmonton Griesbach, AB

I feel as though these are simple questions.

11:45 a.m.

Chief Executive Officer, National Capital Commission

Tobi Nussbaum

I'm trying to answer the question by saying that, yes, there are—

11:50 a.m.

NDP

Blake Desjarlais NDP Edmonton Griesbach, AB

There is profit being made through public contracts.

11:50 a.m.

Chief Executive Officer, National Capital Commission

Tobi Nussbaum

Pomerleau was charging—

11:50 a.m.

Liberal

Kody Blois Liberal Kings—Hants, NS

I have a point of order, Mr. Chair.

11:50 a.m.

Chief Executive Officer, National Capital Commission

Tobi Nussbaum

—the NCC a fee for acting as construction manager. Absolutely the answer is yes.