Mr. Speaker, with regard to (a), the following buildings were selected for targeted divestment: Area Support Unit Chilliwack, British Columbia, building B1041; Area Support Unit Calgary, Alberta, Northeast Armoury; Area Support Unit London, Ontario, buildings B53, B55, B56, B57, B91, B92, B130, O Block and P Block; Area Support Unit Northern Ontario, North Bay, Ontario, building B45 and Timmins Garage; Area Support Group Detachment Moncton, New Brunswick, buildings B1, B2, B35, B41, B42, B60, B60A, B66 and B70, and 70 residential housing units.
With regard to (b), this divestment is linked to the transfer of functions from the area support units in Chilliwack, Calgary, London and northern Ontario and Area Support Group Detachment Moncton to major bases. This will allow the Canadian Army to reduce administrative overhead. This will also increase overall efficiency and allow investment in key priorities, such as training and equipment.
With regard to (c), the preliminary estimated disposal costs are provided below. These costs include demolitions, renovations, environmental assessments and appraisals, as well as any activities required to address the findings of these assessments and appraisals, such as the removal of contaminants. These estimates are subject to service cost fluctuations.
In the case of Area Support Unit Chilliwack in British Columbia, the potential transfer of building B1041 to the Royal Canadian Mounted Police is under consideration. This transfer is estimated to cost approximately $300,000.
In the case of Area Support Unit Calgary in Alberta, the Mewata Armouries and Currie Barracks will be renovated to accommodate units. These renovations are expected to cost approximately $500,000. The disposal of the facility is expected to cost approximately $500,000. In addition, moving these units is expected to cost approximately $161,000.
In the case of Area Support Unit London in Ontario and Area Support Unit Northern Ontario in North Bay, Ontario, the targeted divestments of Area Support Unit London and Area Support Unit Northern Ontario are expected to have a combined cost of approximately $3.12 million.
In the case of Area Support Group Detachment Moncton in New Brunswick, the targeted divestment of these buildings and residential housing units is expected to cost approximately $9.6 million.
With regard to (d), the expected savings of these targeted divestments are as follows:
In the case of Area Support Unit Chilliwack in British Columbia, the divestment of building B1041 is expected to generate savings of approximately $62,000 annually.
In the case of Area Support Unit Calgary in Alberta, the targeted divestment of the Northeast Armoury is expected to generate savings of approximately $631,000 annually. The sale of the building is also expected to generate revenue. The building does not currently have an estimated value, as an appraisal of its value has not been conducted yet.
In the case of Area Support Unit London in Ontario and Area Support Unit Northern Ontario in North Bay, Ontario, the targeted divestments of Area Support Unit London and Area Support Unit Northern Ontario are expected to generate savings of approximately $500,000 annually.
In the case of Area Support Group Detachment Moncton in New Brunswick, the targeted divestment of these buildings and residential housing units is expected to generate approximately $1.16 million annually.
With regard to (e), the expected savings are calculated by using payment in lieu of taxes, utilities costs and operations and maintenance costs, and facilities maintenance costs. The expected costs are calculated by using management fees until disposal, as well as payments to other government departments.
With regard to (f), as a result of targeted divestments, lines of communication between the remaining supported dependencies and their new support bases will be longer. However, the savings generated by reducing infrastructure holdings will be used to support operational readiness or other areas of higher priority.
With regard to (g), the Department of National Defence and the Canadian Armed Forces are not in a position to determine the impact of these targeted divestments on local communities.