Question Period Note: Rehabilitation of the National Capital Commission assets including 24 Sussex, Rideau Hall, and Stornoway

The Official Residences of Canada: Asset Portfolio Condition Report, identified required rehabilitation work required to address the deferred maintenance for all 6 official residences.

Note: The numbers in the asset condition report represent recommended and projected investments based on 2017 asset values, not actual expenditures/commitments/planned spending by the National Capital Commission (NCC). The NCC is working to have this report refreshed to reflect 2020 values.

• The NCC is an independent Crown Corporation and is responsible for year-round maintenance and operations for the 6 official residences in Canada’s National Capital Region (NCR)
  • The NCC is developing a vision and planning framework that will demonstrate responsible stewardship of these significant national assets for the current and future benefit of all Canadians, and is committed to working with its partners to ensure that issues related to security, heritage preservation, sustainability, and accessibility are addressed
  • The NCC is working with federal partners to develop a plan for the future of 24 Sussex to enable the Government to make a prudent and informed decision
  • Our goal is to ensure that all aspects of the rehabilitation are taken into consideration, including health and safety (e.g. removal of hazardous materials, including asbestos), security, functionality, accessibility, design excellence and heritage preservation
  • The NCC is committed to full transparency and reports annually on capital expenditures incurred at the Official Residences

If pressed on Rideau Hall:

• All NCC projects that are planned or underway at an official residence are important to ensure its continued operation and to safeguard its national heritage
• As an independent Crown Corporation led by its Board of Directors, the NCC plans, initiates and implements the works and investments related to Rideau Hall
• The NCC works in close collaboration with the Office of the Secretary to the Governor General to ensure the effective implementation of planned projects

If pressed on an ATIP release by the NCC regarding cost overruns on a bathroom fit-up project:

• This particular project ended up costing more than planned because additional work was required to address increased water damage and the existence of hazardous substances, which were only discovered after the project began

If pressed on Stornoway:

• In addition to the usual fit-up required for official residences between occupants, the NCC took advantage of the vacancy of Stornoway to complete some required life-cycle and maintenance work

If pressed on the NCC’s Asset Portfolio Condition Report:

• Both the Government of Canada and the NCC recognize the importance of official residences of Canada, their heritage and cultural value
• That is why the NCC commissioned the 2018 report entitled Official Residences of Canada: Asset Portfolio Condition Report, detailing the investment required for the restoration of several of Canada’s official residences
• The NCC released this report in 2018 to remain transparent and open with both the Government of Canada and the Canadian public. The NCC is working to have this report refreshed to reflect 2020 values
• The NCC is committed to working with its partners to ensure that issues related to security, heritage preservation, sustainability, and accessibility are addressed

Official Residences of Canada Asset Portfolio Condition Report

In 2017, the NCC commissioned in-depth building condition reports for the largest and most complex buildings in the official residences portfolio. These reports found that 58% of the assets in the official residences portfolio were considered to be in ‘poor’ to ‘critical’ condition, including half of the main official residences (24 Sussex and Harrington Lake main cottage are in critical condition while the Farm is in poor condition). The report reflects an in-depth analysis of the official residences asset portfolio and highlights the shortfall in funding required to restore and maintain these heritage buildings.

The complete report, Official Residences of Canada Asset Portfolio Condition Report, was endorsed by the NCC Board of Directors in April 2018 and publicly released in October 2018.

24 Sussex

On October 16, 2018, the NCC released the Official Residences of Canada: Asset Portfolio Condition Report, which found that 24 Sussex Drive was in “critical” condition. The report identified required rehabilitation work to address the deferred maintenance for all 6 official residences, and for ongoing maintenance, repairs and renovations. The implementation of an eventual plan in the future would also need to consider the investment required to ensure that the official residences meet universal accessibility and sustainability requirements, as well as escalation.

Over the last decade, the NCC has completed significant work at 24 Sussex including the rehabilitation of chimneys and fireplaces, fire compartmentalization, stabilization of the escarpment at the back and west sides of the property and the removal of hazardous materials, including asbestos, from the main building. However, it has not been able to proceed with the extensive rehabilitation of the residence and has been limited to completing work on the repairs relating to health and safety that were urgently required.

As 24 Sussex Drive has not seen significant investment in over 60 years, the additional work required would include the rehabilitation of the building envelope, mechanical and electrical systems, all buildings on the site would require extensive recapitalization and NCC would need prolonged access to the residence. The NCC is working with its federal partners to develop a plan for the future of 24 Sussex Drive and is ensuring that issues related to security, functionality, environmental sustainability, universal accessibility, design excellence and heritage preservation are taken into consideration in our preparations.

As part of its duties as steward of the Official Residences, the NCC is renewing various studies, including functional program options for the building, site surveys of the grounds, the main building and the 4 ancillary buildings, asbestos testing and other life cycle evaluations.

Rideau Hall

Since 1986 the buildings and grounds of Rideau Hall have been managed by the NCC, which is implementing a long-term rehabilitation project to ensure that the valuable heritage buildings on the estate remain in optimal condition.

The NCC assists the Office of the Secretary of the Governor General of Canada (OSGG) in delivering their program of work at Rideau Hall, recognizing that it is an official residence, a public destination, and a workplace for over 200 federal public servants, including employees of the OSGG and the NCC, the RCMP and other agencies.

The NCC also completes projects on behalf of the OSGG in support of its programming at Rideau Hall. Some projects undertaken at Rideau Hall fall outside NCC’s scope to furnish, maintain and rehabilitate the property. These are commissioned and paid for by the OSGG, including the current feasibility study examining multimedia options for the Ballroom and installing an access control gate in the Monck Wing.

All NCC projects that are planned or underway at Rideau Hall are communicated with the OSGG in order to ensure effective implementation.

Stornoway

Originally built in 1913 to 1914, Stornoway holds a “recognized” heritage designation. The Main Residence functions primarily as a private residence for the Leader of the Opposition and their family. It also hosts occasional official events. It is not open to the public. The property comprises 0.42 hectares of grounds, a Main Residence, and a garage.

Since 1988, development plans, supported by asset condition reports for both the

building and grounds, have been completed and several upgrades have been made. There are a number of building systems that need to be replaced or upgraded (e.g. plumbing, heating and cooling equipment), the presence of asbestos complicates any interior work, and aspects of the residence need to be renovated to permit universal accessibility. Overall, Stornoway was determined to be in good condition in the NCC’s 2018 Official Residences of Canada: Asset Portfolio Condition Report (see pages 44 to 49).

Transition periods between residents provide the NCC with an opportunity to complete required life-cycle work and maintenance that is unrelated to the previous or incoming resident. As such, the NCC is using the current transition period at Stornoway to complete required life-cycle maintenance and repairs, including work in the kitchen (new dishwasher, countertop and backsplash, replacing end-of-life wood flooring with ceramic), the basement (insulation, heating pipe repairs), bathrooms (plumbing repairs, replace exhaust fans), general décor (refresh paint and upholstery, replace mattresses), and some exterior repairs (repairs to rot in veranda and main entrance wood trim, gutter repairs, replace garage roof).

Additional investments are required to address major lifecycle updates such as Universal Accessibility studies and upgrades, electrical system replacements, and fire alarm system upgrades.

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