Evidence of meeting #142 for Transport, Infrastructure and Communities in the 42nd Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was border.
A video is available from Parliament.
12:45 p.m.
Liberal
David Graham Liberal Laurentides—Labelle, QC
It gets to be pretty expensive milk. All right, thanks.
Can a vehicle have dual registration? Can it be registered in both countries at the same time? Is that possible?
12:45 p.m.
Chief, Importation and Audit Inspection, Department of Transport
I do not believe so. The U.S. and Canada have different standards. As such, they reciprocate exactly what we do. When you're permanently importing a vehicle into Canada, you have to make certain modifications to make it Canadian-compliant, including modified daytime running lights, clutch interlock, etc. Depending on the class of the vehicle, it can be different things. Likewise, the U.S. has slightly different things. So when you're importing a vehicle into the States, there is also a similar registrar of imported vehicle program there, where you have to bring your vehicle and pay fees to have the vehicle modified, then inspected and recertified to the U.S. safety standards.
12:45 p.m.
Liberal
David Graham Liberal Laurentides—Labelle, QC
The North American road network doesn't end in the U.S. It goes all the way to the Darien Gap in Panama to Colombia. How do our rules apply to other North American and Central American vehicles that are not American or Canadian?
12:45 p.m.
Chief, Importation and Audit Inspection, Department of Transport
Basically, the Motor Vehicle Safety Act currently ensures that vehicles coming into Canada are Canadian-compliant. With NAFTA, or whatever it's called now, Mexican and U.S. vehicles are allowed into Canada under certain conditions, to be modified and inspected, because the safety standards are very similar between the U.S. and Canada. As part of this implementation package, the Mexican vehicles, I believe, will be reviewed and gazetted, too, at the end of this year just to expand that and allow Mexican vehicles to also come in. Beyond that, the vehicles cannot come in. The Motor Vehicle Safety Act says that the vehicles have to be Canadian-compliant. The exception under the act—subsection 7(2)—talks about vehicles purchased at the retail level in the United States that have no open recalls and can be modified to our Canadian standards. They are allowed entry and they have to do all of this—the modifications and the vehicle inspection—prior to licensing and registering in a province, and within 45 days. But, again, that's for permanent importation.
12:45 p.m.
Liberal
David Graham Liberal Laurentides—Labelle, QC
Okay. It's all as clear as mud to me. I appreciate that.
Mr. Rachkovsky, there's a discussion of having snowbirds across the southern U.S. register their vehicles in the U.S., which is where this comes from in the first place. Why don't snowbirds want to have Canadian-registered plates for their Canadian addresses while they're in the U.S.? Why wouldn't they just register it back at home?
12:45 p.m.
Director, Research and Communication, Canadian Snowbird Association
There are a couple of instances. One example is that most Canadian insurance providers limit the amount of time your Canadian-registered vehicle can be outside of Canada to six months. In order to combat that, if you had the U.S.-registered vehicle, you'd be able to use that beyond that time frame and be able to drive it in Canada with, again, these regulatory changes, which are pending. Again, because of those limitations, the only one that comes to mind for me is SGI in Saskatchewan, which would allow a Canadian-registered vehicle to be in the U.S. for a prolonged period of time—beyond the six-month period. Other than for them, most private insurers in Canada limit the amount of time that you can have the vehicle outside the country to six months. That's why, again, people will purchase U.S.-plated vehicles. It's a way to get around that.
12:45 p.m.
Liberal
David Graham Liberal Laurentides—Labelle, QC
One of the other questions—albeit I forget who asked it—
12:45 p.m.
Liberal
12:45 p.m.
Liberal
Ken Hardie Liberal Fleetwood—Port Kells, BC
Actually, I want to build on that because I believe this might be some good communication material for Mr. Kmiec and other interested people to develop for people who might want to take advantage of this new regime. What requirements might U.S. insurers have on those vehicles crossing into Canada? I used to work for the public auto insurer in B.C. and I believe we had about the same rules as SGI did, but there were also mandatory minimum coverage limits that had to apply to a vehicle, a certain amount of third party liability, etc. In communicating this new regime, I think it would be very wise to make sure that Canadians bringing back those U.S.-plated cars check with their insurance provider down there, because there could be some difficulties if a crash occurred and they were liable.
I don't know if anybody has any knowledge of that or can comment on it.
12:50 p.m.
Conservative
12:50 p.m.
As an Individual
I have a bit of personal knowledge with that—not that I have attempted to bring a U.S.-plated vehicle into Canada that we own, given the restrictions.
This is anecdotal because it applies to me. I had discussed this with our own insurance company—Farmers Insurance, in case you are interested—and their conditions would be the same. They would allow the vehicle in Canada and continue to insure the vehicle for, I believe it was six months. There is a different restriction going into Mexico, and I presume farther south, but Canada was fine.
12:50 p.m.
Liberal
12:50 p.m.
Conservative
Tom Kmiec Conservative Calgary Shepard, AB
Tim, based on everything you've heard from the officials so far, are you comfortable with the way the government officials are handling this importation permit and the changes and amendments to the regulation?
12:50 p.m.
As an Individual
Thanks, Mr. Kmiec.
One concern in the back of my mind here is that I was continually advised by Department of Transport officials that this could not be handled by regulatory changes, that it had to require a change in legislation to accommodate it.
I'm sorry for not being familiar with the process through legislation and regulations, but it sounded to me as if these were regulatory changes that were coming and very much welcomed. I'm just concerned that this would require legislative changes as well.
Perhaps officials from the Department of Transport can comment on that.
12:50 p.m.
Director General, Multimodal Strategies and Program Integration, Department of Transport
Absolutely.
To confirm, the proposed regulatory change is available online. There is a specific reference in the regulatory change, done pursuant to the Motor Vehicle Safety Act, the applicable legislation, to Canadian residents entering Canadian with their U.S. registered vehicle. They would not have to pay any RIV fees.
12:50 p.m.
Conservative
12:50 p.m.
Conservative
Jim Eglinski Conservative Yellowhead, AB
Thank you.
This temporary importation permit will not change the standard that you can only drive it to point A and leave it there and then return to the port of entry.
12:50 p.m.
Chief, Importation and Audit Inspection, Department of Transport
No.
With Transport Canada's temporary importation program, I believe that when our colleagues from the CBSA they talk about a 30-day limit and limitations on driving, that's for something coming in for Transport Canada approval. Once you are coming in with a Transport Canada approval for temporary importation....
Basically, as mentioned, we have expanded the rights. Currently it's testing, evaluation, demonstration and so on. We have expanded these rights, but there are no restrictions on where the vehicle is used.
12:50 p.m.
Conservative
Jim Eglinski Conservative Yellowhead, AB
Have you checked with the provincial legislation in the provinces of B.C. and Alberta for instance? Some have 30-day restrictions that you can't operate a vehicle with a foreign plate.
If you are a resident of the province, will that not contradict—?
12:50 p.m.
Chief, Importation and Audit Inspection, Department of Transport
We can only address it from the federal level. The provinces retain—
