Question Period Note: Auditor General’s Report on Real Property Management

The Auditor General of Canada has concluded its audit on Federal Real Property Management and has put forth her recommendations.

• My department's objective is to reduce PSPC-administered office portfolio by 50% over the next 10 years, which will assist in reducing operating costs and lowering greenhouse gas emissions
  • Public Services and Procurement Canada accepts the Auditor General’s recommendations and will continue to work closely with other implicated departments to address them
  • Public Services and Procurement Canada has already taken action on the recommendations including committing to annual reporting on progress, improved data collection on office space and further encouraging other departments and agencies to reduce their office footprint by 50% space by 2034

This audit was launched April 2024 and involved Public Services and Procurement Canada (PSPC), Treasury Board Secretariat (TBS) and Canada Mortgage and Housing Corporation (CMHC).

The audit examined whether PSPC managed the government’s office-space portfolio efficiently to minimize costs and meet policy goals and whether the CMHC managed the Federal Lands Initiative in a manner that enables it to achieve the aims of Federal Lands Initiative under Canada’s National Housing Strategy, with the support of Housing, Infrastructure and Communities Canada (HICC).

The findings and recommendations offered by the report support accountability and transparency and will strengthen the ongoing work to reduce our office portfolio by 50% by 2034, accelerate the disposal of surplus properties, and reduce operating costs.

In response to the audit recommendations, PSPC is:

• establishing a standardized and reliable method for collecting data on office space use;
• committing to annual public reporting on the progress toward achieving the 50% reduction our office portfolio by 2034;
• updating the annual reduction plan to include increased deferred maintenance and operation costs of surplus properties not prioritized for housing and;
• working closely with federal departments and agencies to further encourage and incentivize them to reduce their office space.

In addition, PSPC will continue to work closely with TBS, HICC and CMHC to address the Auditor General’s recommendations.

PSPC will also continue to work with departments and agencies to understand their accommodation needs so that office space can be allocated optimally to meet the targeted portfolio reduction.

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