Madam Speaker, in 2008, the federal government awarded contracts for goods and services worth $3 billion to suppliers in the national capital region.
Only $38 million, or 1.4%, was awarded to Gatineau companies, whereas 98.6% was awarded to Ottawa companies. This situation is unacceptable and scandalous. It is unfair.
Gatineau companies are even opening offices in Ottawa so that they show up on the federal radar. It works for some.
When I reported this problem to the Minister of Public Works, Michael Fortier, at the Standing Committee on Government Operations and Estimates on April 24, 2007, he could not believe it and said, “In fact, it would be unacceptable to force people to move, to change postal codes, in order to be taken into consideration.” And yet, the situation has not changed.
In 2005, Gatineau received only 0.9% of these contracts; in 2006, only 1.8%; in 2007, 2.1%; and in 2008, 1.4%. And yet Gatineau and Ottawa are separated by only a river, not an ocean or a continent.
The Mayor of Gatineau, Marc Bureau, finds this situation unacceptable. Speaking to a coalition of businesspeople on February 6, 2008, he said, “This situation is not normal...Our companies are getting only 2% of $2 billion in total spending. Something must be done.”
Even worse, the federal government itself is competing with contractors from Gatineau. I am thinking of Traduction Houle inc., a Gatineau company that employs 40 people. This company, which was created in 1981, has seen its sales to the federal government decline every year since 2004. Traduction Houle cannot understand why the government's Translation Bureau is competing unfairly with private enterprise.
The federal government takes the vast majority of translation contracts, without a competitive process, and goes to small and medium-sized translation firms for its human resources.
What is more, these small and medium-sized companies have to go through a long and complicated contracting process that adds considerably to their administrative burden. For example, here are some data for 2007-08 on money that went to the Translation Bureau compared to the private sector.
The Department of Transport paid the Translation Bureau $5 million for translation services, compared to $700,000 to the private sector; the Canadian Food Inspection Agency paid $4 million to the Translation Bureau, compared to $300,000 to the private sector; and Foreign Affairs and International Trade paid $7 million to the Translation Bureau, compared to $700,000 to the private sector.
But there are solutions, such as informing suppliers of all the officials who have the authority to award goods and services contracts valued at less than $25,000 and construction contracts valued at less than $100,000; using the agreement on internal trade, which allows a specific policy for a region; or supporting not-for-profit organizations with an economic mandate, in order to help SMEs win federal contracts. Consider Solutions Antenne in Gatineau.
What is the federal government doing to address this situation? It is moving its office to help SMEs from the sixth floor to the ground floor—