:
I call this meeting to order.
[Translation]
Welcome to meeting No. 39 of the House of Commons Standing Committee on Access to Information, Privacy and Ethics.
[English]
Today's meeting is taking place in a hybrid format, pursuant to the House order of June 23, 2022, and therefore members can attend in person in the room and remotely by using the Zoom application.
We're running two panels today. We're having to start late due to votes. I will probably run this panel a little longer than the second one just because we have more witnesses in the first one. I'll probably be pretty merciless on the clock. We'll get through two full rounds and opening statements on the first hour and then we will try to transition as quickly as possible to the second panel.
I would like to welcome our witnesses now for the first hour.
From the Department of Public Works and Government Services, we have Françoys Bernier, Stéphan Déry, Lorenzo Ieraci, Teresa Maioni and Lyne Roy. We also have, from the Canada Border Services Agency, Scott Millar, Jonathan Moor and Dan Proulx.
I hope that I have identified all of our witnesses today. With that, I would like to get started.
Mr. Déry, the floor is yours for up to five minutes.
:
Good afternoon, Mr. Chair and committee members. Thank you for inviting Public Services and Procurement Canada to appear before you today to discuss the topic of the Saint-Bernard-de-Lacolle border crossing.
I'm joined today by Françoys Bernier, director general for the Quebec region, and Lorenzo Ieraci, assistant deputy minister, policy, planning and communications branch. At the request of the committee, also present today are Lyne Roy, senior director of our access to information and privacy team, and Teresa Maioni, also of our access to information and privacy team.
Before we begin, I would like to acknowledge that the land on which we gather is the traditional land and unceded territory of the Algonquin Anishinabe people.
Public Services and Procurement Canada, or PSPC, procures goods and services on behalf of departments and agencies throughout government. Each year, the department buys some $22 billion worth of goods and services, including construction, from nearly 10,000 suppliers. In addition to this and other roles, the department manages one of the largest and most diverse portfolios of real estate in the country. We are the Government of Canada's real estate expert.
The Canada Border Services Agency, or CBSA, is responsible for providing integrated services that support national security and public safety priorities and facilitate the flow of persons and goods at federal border crossings.
As this committee is aware, since the summer of 2017, a very high number of asylum seekers have arrived at the Saint-Bernard-de-Lacolle crossing. This has resulted in the need for the CBSA, along with its partners the Royal Canadian Mounted Police and Immigration, Refugee and Citizenship Canada, to increase their infrastructure to process claims and provide services to those seeking asylum.
On top of this, the COVID-19 pandemic added increased pressure on infrastructure and service delivery. On behalf of the CBSA and IRCC, to date PSPC has awarded some 30 contracts for goods and services to manage an increase in asylum seekers at the crossing. All contracts related to the crossing have been publicly disclosed. The majority of these contracts were competitively awarded for an approximate total value of $108,560,000.
The department has also negotiated several land and service lease agreements in the immediate vicinity of the Saint-Bernard-de-Lacolle port of entry, as required by CBSA and IRCC. These lease agreements are used for a range of activities, including a triage centre, dorms, office space and parking, as well as for the hotel adjacent to the border crossing. The approximate total value of these land and service leases is approximately $28 million.
The location and requirement for leases were determined by our clients, CBSA and IRCC, to meet their operational requirements for facilities close to the border to deal with the influx of asylum seekers. All leases for the program in Saint-Bernard-de-Lacolle have been disclosed. However, in accordance with market practices, the specific value of the leases has not been disclosed, given the commercially sensitive nature of this information.
Nonetheless, we have noted the value of the leases at $28 million. We have provided this committee, through the clerk, with the document that breaks down the value of the leases by client. This information also breaks down the value of the leases as well as the lease improvements that were made to the property at the request of our client.
In supporting our colleagues at CBSA and IRCC, we worked to meet their operational requirements at the time when the number of asylum seekers was increasing. In this regard, we worked closely with the CBSA, IRCC, and other federal partners to find space in the immediate vicinity of the border crossing and to complete the necessary lease improvements to ensure that the needs of our client departments—in this case, CBSA and IRCC—were met so that they could properly serve and protect Canadians.
Through our activities, we strive to meet our clients' operational requirements while ensuring value for money for Canadian taxpayers. We also strive to undertake our activity in a fair and transparent manner, while ensuring we meet obligations under the Access to Information Act and Privacy Act.
Public Services and Procurement Canada will continue to work with federal partners to support their needs in relation to the Saint-Bernard-de-Lacolle border crossing.
My colleagues and I will be pleased to answer your questions regarding our support to federal partners.
:
Good afternoon, Mr. Chair and committee members.
I'm very pleased to speak to you today and provide some information on the roles and responsibilities of the Canada Border Services Agency with regard to refugee asylum seekers and to discuss more specifically the agency's operations at the Roxham Road crossing.
My name is Jonathan Moor. I am the vice-president of the finance and corporate management branch and the CBSA's chief financial officer. I am joined today by my colleagues Scott Millar, vice-president of the strategic policy branch, and Dan Proulx, executive director of information sharing, access to information and the chief privacy office.
As you are aware, the number of refugee asylum claimants has grown significantly in recent years. The CBSA has needed to mobilize resources from across Canada to help address these increases, in particular since 2017 with the arrival of large numbers of claimants at Roxham Road.
Border security and integrity is a shared mandate between the CBSA and the RCMP. The CBSA is responsible for enforcing legislation at designated ports of entry. The RCMP is responsible for enforcing the law between those ports of entry. It is important to note that the CBSA encourages all refugee asylum claimants to apply to enter to Canada at a designated port of entry.
However, the number of between-the-ports arrivals, sometimes referred to as “irregular arrivals”, has continued to increase. Since January 1, 2022, the CBSA has already processed over 26,500 irregular arrivals in Quebec, mostly at the Roxham Road crossing.
Those who enter in between designated ports of entry—in this case, at Roxham Road—are intercepted by the RCMP and brought to the nearest CBSA port of entry, which is at Saint-Bernard-de-Lacolle. Then they are processed by CBSA officers and they make a claim for asylum. The role of the CBSA is to determine the admissibility of a person and the eligibility of the claim under the Immigration and Refugee Protection Act.
All refugee claimants, whether they arrive at a designated port of entry or between the ports of entry, undergo a health and security screening. The security screening is a crucial part of the overall assessment of whether a person is admissible to Canada. The process ensures that anyone who wants to come to Canada has not committed serious crimes and does not pose a health or safety risk to Canadians. We have the appropriate resources in place to ensure that no one leaves the port of entry until the security screening has been completed.
Our border services officers work closely with other law enforcement agencies, both nationally and internationally, to help identify and investigate persons who may be inadmissible to Canada. In some cases, officers may arrest, detain and remove persons who are inadmissible. Since 2017, there have been over 18,800 irregular arrivals in Quebec, and so the numbers were too high to process at the agency's existing port of entry facilities. Therefore, to ensure proper screening and to accommodate the large number of refugee claimants at Roxham Road, it was necessary for the CBSA to invest in additional processing and accommodation infrastructure in partnership with our colleagues at PSPC.
Since 2017 this infrastructure has been provided through a number of temporary structures, mainly by using mobile trailers for both accommodation and processing facilities. The leases on these mobile facilities are due to expire at the end of the year, so a decision was taken to consolidate the operations into two existing buildings to house all the functions of the regional processing centre.
In October 2021, the agency announced a contract to retrofit these buildings situated at the Saint-Bernard-de-Lacolle port of entry. The work is due to be completed shortly and will help to ensure adequate waiting space and humanitarian assistance while refugee asylum claimants are being processed at the border. Once the CBSA has completed its processing, the claimants' longer-term accommodation requirements fall under the responsibility of the IRCC and the provinces.
The CBSA is committed to treating all people who are seeking asylum in Canada with compassion and ensuring they are afforded a due and fair process under the law. We will also continue to ensure the security and the safety of all Canadians by following public health guidelines at the border.
I hope this information has been helpful to you. I will now make myself and my colleagues available to answer any of your questions.
Thank you.
Good afternoon, ladies and gentlemen. I will be brief.
On your screen, you should see the map of the land that I am holding here. I am showing it to you so that no one will get mixed up. You can see where the Roxham Road port of entry is, where migrants seeking asylum arrive and are then driven to the camp set up beside the official Saint-Bernard‑de‑Lacolle border crossing.
In the camp, there are sites, trailers, infrastructure, and Mr. Guay's hotel that we are familiar with. I have been on the land at least three times, on both the American and Canadian sides, so I understand quite well how it works. Mr. Guay's land is located right beside the official Saint-Bernard‑de‑Lacolle border crossing, so it is easy for everyone to install the facilities and accommodate asylum seekers.
There is a problem, however. I wonder how a contract can be negotiated when the landowner can ask for any price he likes. It is hard to understand the rules for negotiating the contract in question. How can a fair and equitable price be established when we are told there is no other location available?
If we look at the map, though, we can see that there is other land where certain things could have been installed, like trailers or other facilities, for less money.
First, how can the price asked be explained?
Second, you say there is sensitive information concerning this land, information that cannot be explained publicly. What is it about that information that is so sensitive?
:
That is a very good question.
For either buildings or land, Treasury Board policy always requires that they be leased at a price that corresponds to the market value. We therefore have an entire team that assesses the market value in a particular location. Then we negotiate, particularly when there is a single owner or there is not a lot of space.
Some of our commercial leases are negotiated by mutual agreement, directly with the owners. It is commonly the case that for the kind of space required and the market where the desired buildings are located, there are not enough owners and so there is no competition. However, we always produce a market analysis report and retain third parties in the private sector to determine the market value.
:
I understand that you negotiate on a mutual agreement basis. However, I would like you to confirm one thing. According to my information, the St‑Bernard hotel with which we are all familiar, adjacent to the border crossing, has been leased full-time by the Government of Canada since 2017.
I am told that from 2017 to 2020, it cost $15 million, or about $5 million per year, to rent the rooms. I imagine it is still being leased today. Is that correct?
As well, has the hotel been used? When I visited, there were never any refugees there. There were 500 spaces in the trailers being used as dormitories. In the summer, the government had even set up tents for 3,000 people that were never used.
Has the hotel ever been used, and is the price I cited correct?
I would first like to thank our witnesses, both those who are with us in person and those who are appearing virtually.
I would like to thank you for the work you are doing as public servants. I know your work is difficult because of the speed with which the situation changes, but you are doing it well. It is important that Canadians be satisfied of that.
Mr. Déry and Mr. Bernier, you talked about the market value of the land leased from Mr. Guay. Without disclosing details of a commercial nature, did your consultants tell you that the costs of leasing that were negotiated corresponded completely to the market value of the land?
:
Thank you for the question.
As my colleague said, we offer an optional service. Our clients tell us their needs, we analyze them, and we look at what is offered on the market. We then ask experts in the department and outside experts to look at all the options. In this case, it was Mr. Guay's properties, near Saint-Bernard‑de‑Lacolle, that met the client's requirements, so we negotiated with him on a mutual agreement basis.
For the Saint-Bernard‑de‑Lacolle site, given the time frame, the location of the infrastructure and the leasehold improvements that had to be made, in particular the connection to the electrical grid and the construction of dormitories, for which Mr. Guay and his companies put in bids, we are satisfied that we got a reasonable price and got Canadians value for their money.
:
There is no correlation between the emergency in Lacolle and the access to information request. It is incorrect to think that we did not respond to the access to information request. A request has to be processed properly, and that takes the time it needs.
To explain the situation we were in from 2020 to 2022, coming out of a global pandemic, the number of access to information requests sent to the Canada Border Services Agency rose by 51%, for a total of 11,457 requests. Every day, I handle 6,000 access to information and privacy requests and I resolve over 100.
In the case you have raised, processing the request is independent of the emergency in Lacolle. That is why initially I did not understand your question correctly, and I apologize for that. The request is processed properly and takes its normal course, having regard to the consultations that are required.
:
I'm going to go ahead, Mr. Chair, and pick up on this line of questioning.
I'm very interested in a September 27, 2022, Radio Canada article. Public Services and Procurement Canada stated that it entered into non-competitive contracts, given the national emergency due to the irregular arrival of a large number of asylum seekers. According to the Treasury Board's contracting policy notice 2007-4 on non-competitive contracting, a pressing emergency may involve the following:
a. an actual or imminent life-threatening situation
b. a disaster that endangers quality of life or safety of Canadians
c. a disaster that results in the loss of life
d. a disaster that results in significant loss or damage to Crown property
Which of these situations does the situation at Roxham Road fit into?
Lorenzo, if you could answer this, it would be great.
Mr. Chair, I would just state that some of the ambiguity around, obviously, this process....
I'll close by stating that I'm coming to this with an open mind. I want to get to the facts. If we don't have the facts in terms of what the potential breaches were....
I'm not interested in doing this for a long time, but I'm really keenly interested in making sure we have a clear understanding of what took place.
:
Thank you very much, Mr. Chair.
I think that in the debate that led up to the adoption of this motion, a significant amount of time was spent on the differences between what we're trying to nail down at this committee—and that has to do with the situation surrounding contracts—and what others wanted to make it about, which was the immigration situation. There is a big difference here. That certainly is an important subject, and I note Mr. Moor's comments about encouraging legal entry to the country. It's unfortunate that our has suggested otherwise at different points in time.
However, we're digging down here to the integrity of contracts. When $28 million has been awarded, it is a significant sum of taxpayers' dollars that have been spent, largely without competitive contracting.
To those at Public Works, was there ever a request made by someone outside of the evaluators to suggest that the emergency exemption should be applied?
:
Thank you for your question.
Regarding putting the leases into effect,
[English]
there is no notion of emergency per se. That applies only to contracts, as my colleague Lorenzo pointed out earlier, but for
[Translation]
the lease signings and the lease improvements included in the leases, there was no notion of emergency.
[English]
The only notion we operated on was the context in which our clients were asking us to put these leases in place. The main criteria were location
[Translation]
and the speed with which they could be put in place, given our clients' operational context at that time.
:
I'm happy to give some information on this point.
When somebody crosses the border between the ports of entry, the RCMP intercepts those individuals and they do their own criminal record checks, and then they deliver the individuals to the port of entry to do an admissibility check.
In this case, at Roxham Road in 2017, it was not possible to process that number of individuals at the existing port of entry at Saint-Bernard‑de‑Lacolle. Therefore, additional accommodation was required on an urgent basis.
The combination was required for a number of different functions. The first function was to do intake of the individuals and have a waiting area for them. The second function was around processing those individuals, initially to check identity but then to also consider admissibility, to provide humanitarian aid, canteens, washrooms and shower facilities, and also in some cases to provide sleeping accommodation if there were too many individuals to process at the same time.
This is still a requirement today. Up until now, all of these facilities have been provided through temporary mobile accommodation, and in 2021, a leasehold improvement was agreed to using PSPC as our lease arranger with Monsieur Guay to actually retrofit two of his own buildings, which would allow us to consolidate these functions. These were the functions that were required. Clearly in 2017 there was an urgent requirement, because on one day I think we had up to 400 asylum seekers coming across the border.
My question is for the witnesses from the department.
From what I understand, the fact that Mr. Guay's land is really very close to the Saint-Bernard-de-Lacolle border crossing suits everyone. It is the simplest way to handle the situation, for everyone. We might say that Mr. Guay won the lottery: he demands the price he wants and the government pays, just like that.
The people arrive by Roxham Road, but a little farther away there is another border crossing, which is obviously smaller, and a campground. Were there negotiations with other people? You mentioned farmland earlier, but facilities could have been set up on the campground, probably at a lower cost.
However, Mr. Guay and his land are there, the high price is paid, and no one asks questions. We are talking about several tens of millions of dollars.
The hotel we are all familiar with, that I referred to earlier, has not been used. We know that there is enough space in the trailers for approximately 500 people to sleep there. You mentioned 400 people, but that was in 2017, when the phenomenon first began. The current average is 100 people a day. After 24 hours or 48 hours, at most, those people are sent to Montreal or Toronto.
You say that dormitories are going to be built in Mr. Guay's buildings. There are already 500 people being housed in the trailers. The space available is therefore entirely sufficient. As well, in summer, tents have been provided to accommodate 3,000 people.
The hotel is not being used. You told me earlier that it may have been used a bit, but I do not know for whom. Why is the government continuing to spend money on this hotel?
:
Welcome back, everyone.
We're resuming our study of the use of public funds in relation to the Roxham Road crossing.
I would like to welcome our witness for the second hour.
[Translation]
He is Pierre Guay, the president of Importations Guay ltée.
[English]
Before we begin, I will inform the committee that Mr. Guay asked that he be assisted by counsel. As specified by the rules of the House of Commons, is there consent that he may have counsel present?
An hon. member: Yes.
The Chair: Nobody is objecting. Okay, that's fine. He will be assisted by counsel.
The witness asked for a bit beyond the five minutes.
We're really short on time, so, Monsieur Guay, could you—
Go ahead, Mr. Barrett.
:
Okay. Thank you, Mr. Chair, for the time you're allowing me to speak today.
[Translation]
Good afternoon, Mr. Chair and members of the committee.
Thank you for inviting me today to this meeting of the House of Commons Standing Committee on Access to Information, Privacy and Ethics.
As a citizen and member of our community, I consider it my responsibility to appear before you today, to cooperate fully with the committee, and to answer its questions, to the best of my ability, in connection with its study of the use of public funds in relation to crossing by asylum seekers at Roxham Road.
Like most of you, I have carefully read the many articles published in the newspapers and other publications in recent months and recent years concerning the challenges that the Canadian government has had to meet and that it is still facing in connection with asylum seekers entering the country and regarding the rental contracts signed by the Canadian government with my companies for placing and temporarily housing these asylum seekers.
Of course, I have also noted that in some of those articles, reference was made to the fact that in recent years I have donated to the Liberal Party of Canada and the Conservative Party of Canada. They insinuated that these donations might have been made with the aim of receiving preferential treatment, several years later, from whatever federal government might be in office.
I would like to take the opportunity you are offering me today to clarify the facts.
As a citizen of this country, I believe it is the duty of us all to promote and participate in our democratic system, each of us according to our choice. In recent years, therefore, I have donated to the Liberal Party of Canada and to the Conservative Party, depending on the years.
The donations to the Liberal Party of Canada total approximately $20,000.00 and were made over the course of some 20 non-consecutive years. The donations to the Conservative Party of Canada come to about $11,500 in total and were made over the course of more than 30 non-consecutive years. None of those donations was made with the aim or in the hope of signing, several years later, or in exchange for, a contract of some sort with whatever federal government might be in office, let alone of receiving any favourable treatment from it.
Moreover, I would like to state that I am not a member of or activist for any political party. I maintain no relationship with any politician, of any party, in either the federal government or the provincial government. I have never solicited any politician or other government representative in order to enter into contracts for the rental of my land and buildings in Saint-Bernard‑de‑Lacolle that I have acquired throughout my career.
In 2017, it was actually officials and other representatives of the federal government who solicited me to inform me of their interest in renting some of my land and buildings along autoroute 15 in Saint-Bernard‑de‑Lacolle so that they could, very urgently, manage and house thousands of asylum seekers. No approach was made by me.
I did not ask whether or not those officials and other representatives of the federal government had issued a request for bids, or whether such a request for bids was required in the circumstances. I was asked to help and to accommodate the government in its management of the asylum seekers, by renting certain of my land and buildings, which I was in a position to do.
I understand that you want to ask me questions today concerning the rental contracts that were signed by my companies with the federal government. On that subject, I understand that the committee has broad powers, but I would nonetheless like to point out that it is my understanding that certain information in those contracts might be confidential.
As a result, I would respectfully ask that you not put me in a position where I would be asked to provide such confidential information, insofar as the committee is able to obtain that information from other sources, and specifically the various branches of the government.
[English]
With this said, I wish to mention once more that I am before the committee today on a voluntary basis with the intention to fully co-operate with it and to answer its questions to the best of my knowledge.
Thank you.
Thank you for being with us, Mr. Guay.
I know you are a businessman, and that is fine. However, we do not understand how the government went about things in this case.
Your land is indeed well situated in relation to the Saint-Bernard‑de‑Lacolle border crossing, but it would have been possible to go elsewhere. Initially, that might not have been possible, but today, when the contracts are being renewed for 10 years at the cost of tens of millions of dollars, it raises questions.
One might think you have won the lottery. You may not have asked for it, but you won it. Now, we have to ask whether there was impropriety. We cannot obtain precise information about the costs from the officials.
You say you were contacted by officials or other people. Who negotiated with you at the start? Are you still dealing with the same people or have they changed since then?
:
No. I am going to correct you. The hotel has been occupied for a majority of the time. The Border Services Agency sent asylum seekers to the hotel when it opened. That was done in collaboration with Immigration, Refugees and Citizenship Canada and with health services.
A lot of asylum seekers stayed in the hotel for several weeks, particularly in quarantine during the pandemic. In fact, some had contracted COVID‑19. Some were vaccinated while others were not.
At present, the hotel has an occupancy rate of 75% to 80%. All its facilities, whether it be the restaurant, the bar or the conference room, are 100% occupied by asylum seekers. It has even become a bus terminal.
I want to welcome Mr. Guay here.
I know that reports in the media probably weren't welcome on your behalf, just in terms of the way things were framed. Myself, I'm trying to get to the bottom of the facts in this particular situation. I recognize that you may have some support with you in terms of what you can and can't say pertaining to the matters around your property.
I'm going to ask a couple of general questions, and then I'm going to allow you to reflect on some of the other lines of questions that have come your way and that maybe with more time you would have answered more fully.
First, could you describe, to the best of your ability, using your own words, what the facilities would be like on your commercial properties that are housing these migrants?
:
There's been a material impact on your business. I can appreciate that.
Again, I note the multi-generational nature of the holding. I note that if you had a crystal ball that could have predicted this, perhaps this future contract or whatever donations, perhaps you'd be living in Bermuda and not where you are now, because you'd have answers to a whole bunch of other questions, I'm sure, that would be profitable, so I appreciate that.
I want to give you the last two minutes here to expand on anything. Given the fact that your name's come up publicly, I want to give you the chance to speak off the cuff here and share any final thoughts that you might have around this scenario that you found yourself in and what impacts it might have on you.
Thank you for your testimony today, Mr. Guay, which has been crystal clear. I am sorry that you find yourself in this situation, because in my view there was nothing problematic.
I would like to ask you the same series of questions as my colleague Ms. Saks asked you in English, so it is crystal clear in both official languages.
In your negotiations in this case, did you have any interactions with a minister of the government?
It's an important procedural question, and I would suggest that there was material information here. From my perspective, there are some gaps in the process that I'd like more information on. They're going to provide us with that information.
My intention in adjourning the study was to wrap up the witnesses, the scheduling, get back to our business, allow that information to come in and then draft a brief report or a debrief on what we think happened based on the testimony that has been provided today.