Thank you for the question.
Sometimes, I am amused to think that universities have been around for a thousand years and colleges have only been around for 50 years, or so, in their present roles. College research has existed for only a few decades, from 20 to 50 years depending on the college. Quebec, with its CEGEPs and Centres collégiaux de transfert de technologie, is a little ahead of the rest of Canada. However, college research is a fairly recent phenomenon, which has not yet penetrated the general consciousness of the population and the people who make decisions.
I think there's a way to show the good things about college research a little more convincingly. It's good to have all kinds of places to do research, such as national labs, universities, colleges and industry. However, we should first determine the results we want to achieve, and then determine the optimal distribution of grants based on the desired results.
I think colleges could produce more, because they have more capacity, but they are limited by their financial resources. Colleges are there primarily to teach. Research is something they do for society. On the other hand, research is woven into the very definition of universities, and for them, research is a recognized function. Colleges could do a lot, but they need a little more help.