Evidence of meeting #151 for Government Operations and Estimates in the 44th Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was know.
A video is available from Parliament.
Conservative
Michael Barrett Conservative Leeds—Grenville—Thousand Islands and Rideau Lakes, ON
—you haven't received a cheque—
Conservative
Michael Barrett Conservative Leeds—Grenville—Thousand Islands and Rideau Lakes, ON
Canadians are out of pocket millions of dollars.
Liberal
Irek Kusmierczyk Liberal Windsor—Tecumseh, ON
Thank you, Mr. Chair.
Thank you so much, Minister, for being here today. Welcome to the mighty OGGO committee.
This transaction saves Canadian taxpayers $7.4 million. I want to repeat that. This transaction saves Canadian taxpayers $7.4 million. The process that led us here is independent, and it is rigorous. There were 21 properties appraised. A 100-page analysis was written on this transaction, but I want to focus on the third point. This is an investment in the most important relationship for Canada, and that is the relationship with the United States.
In my community of Windsor—Tecumseh and Windsor—Essex, there's no more important relationship for cross-border communities like mine. We have the EV battery plant that's creating 2,500 permanent jobs for local workers. We have the largest greenhouse sector in all of North America. Our number one export destination is the United States, so you better believe that we pay very close attention to the U.S.-Canada relationship, and we are absolutely for strengthening that relationship.
Minister, in your role as the Minister of Foreign Affairs, can you talk to us about the importance of investing in that relationship between Canada and the United States?
Liberal
Mélanie Joly Liberal Ahuntsic-Cartierville, QC
Thank you, Irek. I think it's a very relevant question.
I know that Canadians are all watching what's going on south of the border today, and I must say that not only is it the most important relationship we have with a country in the world but it's existential to us—and I mentioned it in my speech—geopolitically, economically, at the security level and in every single way. That relationship with the U.S. is my number one priority. As Minister of Foreign Affairs I am the steward of that relationship, of course, with the Prime Minister, and we decided to make a key investment because we know that all countries of the world are in the U.S., and particularly, in New York, so we wanted to make sure we were going through the right investments. I expect, of course, at all times, that my public servants follow the rules well, knowing that our priority is to make sure we invest in the relationship. I think that, when you believe in a relationship, you actually invest in it. That's why it is really important that we are well-represented in the U.S. at the consulate level.
I also mentioned in my speech that this is the oldest consulate we have in the world. It's the first one we opened at the time, more than 100 years ago. Also, it is one of the most important. We know there are so many jobs that are linked to it, definitely in Windsor—Tecumseh, which I had the chance to visit—and to see you, Irek. This is the case in Michael Barrett's riding also, and in all of our ridings because, at the end of the day, we know that it's a market that's $6 trillion. If we're not there, well, others will be, and we'll lose either opportunities or the possibility of defending our jobs back home
November 5th, 2024 / 11:15 a.m.
Liberal
Irek Kusmierczyk Liberal Windsor—Tecumseh, ON
Thank you, Minister, for that.
There's a stark difference here. The Conservatives want to do foreign policy and foreign affairs on the cheap. My Conservative colleague, in one of the previous meetings, suggested that we should look at locating the consulate not in New York but in New Jersey. Can you respond to that?
Liberal
Mélanie Joly Liberal Ahuntsic-Cartierville, QC
Well, you know, there are only two countries in New York that are not in Manhattan. It is either Afghanistan or Bangladesh. We think we should have an official residence in Manhattan.
Just to give you an idea, in 2019 the U.K. purchased an official residence, which cost $20 million. New Zealand purchased one in 2015, and that's some time ago, worth $11 million. It's worth more now. Even if you look at G7 countries, France, for example, purchased a $19-million official residence in 2015. Italy recently purchased a $35-million official residence in Manhattan; the EU, $16 million; and, finally, Japan paid $44.3 million for their official residence. We need to be there because our like-minded partners, the Five Eyes and also the G7, are there.
I'm not even giving you the numbers for other countries, including, of course, China, and countries that are trying to push for their interests in the U.S.
Liberal
Irek Kusmierczyk Liberal Windsor—Tecumseh, ON
Minister, this Liberal government attracted $50 billion of automotive investment in just the last three years alone. We beat out so many countries for that investment. How important is it that we locate in New York so that we can strengthen that relationship and we're able to compete against Japan, Italy, the U.K. and the European Union? As you mentioned, they paid $44 million, $19 million and $16 million for their consulates. Canada paid $9 million. That's pragmatic, and we're punching above our weight.
Conservative
Liberal
Conservative
The Chair Conservative Kelly McCauley
It's okay. You're welcome to respond, but it's going to keep you here later than I think you had planned.
Bloc
Julie Vignola Bloc Beauport—Limoilou, QC
Thank you, Mr. Chair.
Ms. Joly, Ms. McCardell and Mr. Dubeau, thank you for being here with us today. I strongly suspect that global affairs keep you very busy.
The real property directory lists 2,300 properties. That is what we were told on August 21. I am wondering if there are properties not listed in the directory. If so, how many are there and why are they not listed?
Liberal
Mélanie Joly Liberal Ahuntsic-Cartierville, QC
I will ask the officials with me to answer that question.
Sandra McCardell Associate Deputy Minister of Foreign Affairs, Department of Foreign Affairs, Trade and Development
Thank you.
I will let the associate assistant deputy minister, who is responsible for real estate, answer your question.
Robin Dubeau Acting Associate Assistant Deputy Minister, Real Property and Infrastructure Solutions, Department of Foreign Affairs, Trade and Development
Mr. Chair, I understand that all of the assets we have must be declared and registered in the directory.
Bloc
Julie Vignola Bloc Beauport—Limoilou, QC
What was the cost of the space shared by the Consulate General and the Permanent Mission to the United States? It was purchased on Lexington Avenue in 2018.
Liberal
Acting Associate Assistant Deputy Minister, Real Property and Infrastructure Solutions, Department of Foreign Affairs, Trade and Development
Mr. Chair, I will have to answer you in writing after the meeting, since I don’t have the numbers in front of me. However, that information exists and is easy to find.
Bloc
Julie Vignola Bloc Beauport—Limoilou, QC
That question was put to you on August 21 and we received exactly the same answer.
Currently, there are no taxes to pay for the new residence thanks to the Vienna Convention on Diplomatic Relations. When was this convention implemented? Why did the tax exemption provided for in the convention not apply to the former residence, and why does it apply to the new one?
Liberal
Mélanie Joly Liberal Ahuntsic-Cartierville, QC
Since the question is technical in nature, I will ask my colleagues to answer it.
Acting Associate Assistant Deputy Minister, Real Property and Infrastructure Solutions, Department of Foreign Affairs, Trade and Development
When it comes to the tax exemption, the Vienna Convention does not apply to co‑operatives. Canada was therefore not tax exempt. In the case of a condominium, Canada can be exempted from taxes. For that reason, a transaction is more advantageous for the government when it is a condominium, rather than a co‑operative.