Evidence of meeting #6 for Special Committee on Cooperatives in the 41st Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was co-ops.
A video is available from Parliament.
Chief Financial Officer, Vancouver City Savings Credit Union
—Canadian Asset-Liability Management Committee. The purpose is to get practices. I try to emphasize that.
We've got great advantage by our bank being regulated by OSFI, in terms of understanding practices. We bring those to the system. That's another way we support the system.
Conservative
The Chair Conservative Blake Richards
I think you made a mistake there: you made eye contact. Remember, you don't make eye contact.
Conservative
Conservative
The Chair Conservative Blake Richards
Your time has expired.
We'll move to Mr. Bélanger now for five minutes.
Liberal
Mauril Bélanger Liberal Ottawa—Vanier, ON
Thank you.
Mr. Carlson, has the board of FCC met since July 10?
Senior Vice-President, Marketing, Farm Credit Canada
No, they have not. We have a board meeting coming up in the first week of August.
Liberal
Mauril Bélanger Liberal Ottawa—Vanier, ON
I know that.
So the position you gave us this morning, that you're opposed to a review of the act, is not a board position; it's a staff position. Correct?
Senior Vice-President, Marketing, Farm Credit Canada
I do not know if the board has discussed it, actually.
Liberal
Mauril Bélanger Liberal Ottawa—Vanier, ON
You're responding to the July 10 position given by the credit union. So if the board hasn't met, it has to be a staff position.
Senior Vice-President, Marketing, Farm Credit Canada
Oh, for sure. These notes were prepared by management.
Liberal
Mauril Bélanger Liberal Ottawa—Vanier, ON
Okay.
I'm very surprised at that, because any self-assured organization usually welcomes reviews. Why wouldn't you welcome a review?
Senior Vice-President, Marketing, Farm Credit Canada
I guess what we looked at is that since 1959 we've had numerous reviews and legislative changes.
Senior Vice-President, Marketing, Farm Credit Canada
That's correct. In 2001 we received—
Senior Vice-President, Marketing, Farm Credit Canada
In 2001 we received a mandate that we think serves our needs and the needs of our customers very, very well.
Liberal
Mauril Bélanger Liberal Ottawa—Vanier, ON
I was around then, and I understand that, sir, but I'm surprised that you would be opposed to a review. Why?
Senior Vice-President, Marketing, Farm Credit Canada
Only because we're not really looking for additional powers. We think we've got a mandate that has allowed us to grow both primary producers and the agribusiness and agrifood industry.
Liberal
Mauril Bélanger Liberal Ottawa—Vanier, ON
You said you've made adjustments, but you did not provide examples of those. I would appreciate it if you could—not now—send it to the clerk of the committee so we can see examples of adjustments you claim FCC has made in order to accommodate co-ops.
The other thing you said, and I haven't seen your notes and I would have liked to, is “unlike other agencies...”. Which other agencies were you referring to, federal agencies or non-governmental agencies?
Senior Vice-President, Marketing, Farm Credit Canada
We were talking about non-governmental agencies.
Liberal
Mauril Bélanger Liberal Ottawa—Vanier, ON
Okay. I would have been able to ascertain that had I seen your notes.
Anyhow, I'm a little perplexed with the obstinance of not having a review. It shouldn't be your call.
Mr. Mali, you referred to the pre-publication of regulations for co-op banks, or federal co-ops I guess is what you call them, yet you've owned a bank—not you, but Vancity—since 1997. Am I hearing that Vancity would rather be going to the credit union model, but on a national basis, as opposed to a banking model?
Chief Financial Officer, Vancouver City Savings Credit Union
What I'm saying is that right now we do have the powers, by owning a bank as well as a credit union and other entities, to operate across Canada, and we do use it. We use it in commercial lending, in the VISA business, and the foreign exchange business.
We've learned through experience that we are focused on what makes us strong and stronger, and that's our connection to community. We can't lose that. We're not looking to take the national legislation that allows us to be a national credit union at any cost. That's where we're really strong in our position.
Liberal
Mauril Bélanger Liberal Ottawa—Vanier, ON
Fair enough.
So if I read between the lines, you're maybe wanting to see some changes to the proposed regulations.
Liberal
Mauril Bélanger Liberal Ottawa—Vanier, ON
Would you care to specify any? Or will that come later? You've got 30 days from July 6, I take it.
That was a nice coincidence, by the way, that those were pre-published just before our first public meeting.
