Question Period Note: Leases and contracts related to Guay Road

About

Reference number:
PSPC-2021-QP-00070
Date received:
Dec 20, 2021
Organization:
Public Services and Procurement Canada
Name of Minister:
Tassi, Filomena (Hon.)
Title of Minister:
Minister of Public Services and Procurement

Issue/Question:

In 2017, with Public Services and Procurement Canada’s (PSPC) support, the Canada Border Services Agency (CBSA) put in place a sole sourced lease with Pierre Guay, due to the location of the property, to help accommodate an increase in asylum seekers at the St-Bernard-de-Lacolle border crossing. When asked by La Presse in a media call received in October 2021, CBSA did not disclose the value of the lease, citing confidentiality reasons. Mr. Guay is characterised in a recent La Presse article as a supporter of the Liberal Party of Canada.

Though a number of agreements have been concluded with Mr. Guay (e.g., lease for office space, land lease, contracts for use of the hotel adjacent to the border crossing), the current media request pertains only to CBSA’s land lease. As PSPC negotiated the lease on behalf of the CBSA, it responded to the reporter’s queries.

Suggested Response:

  • As the Government of Canada’s central purchasing agent and real property expert, Public Services and Procurement Canada supports federal departments and agencies in their response to those seeking asylum in Canada
    • On behalf of the Canada Border Services Agency, Public Services and Procurement Canada negotiated leases for temporary space to receive refugee claimants and process their claims in Lacolle, Quebec
    • Given the location of the property and its proximity to the border, this was an ideal location for this purpose

If Pressed

  • Generally, Public Services and Procurement Canada is not able to unilaterally disclose certain details of lease agreements given that some information may be commercially confidential

Background:

In March 2017, CBSA mandated PSPC to negotiate a lease for office space in a building owned by Les Industries Guay in Lacolle, Québec. Due to the urgency of the situation, PSPC negotiated directly with the lessor and concluded an agreement for execution by the CBSA. This agreement has been renewed until March 31, 2022.

In 2020, the CBSA indicated that they would also like to be able to use the warehouse located on property adjacent to the office to receive refugee claimants Two new lease agreements were put in place, both running from April 1, 2022, to March 31, 2027.

On October 12, 2021, following a news release, CBSA received a media request regarding the value of the lease between the Government of Canada and Guay Enterprises for the offices located in Saint-Bernard-de-Lacolle. This request was denied on the basis on confidentiality and contractual clauses.

On December 7, 2021, PSPC received a media request from La Presse requesting the value of the lease. PSPC did not disclose the value of the lease due to reasons of commercial confidentiality. On December 7, 2021, PSPC also received an access to information request concerning the lease between the Government of Canada and Guay Enterprises in Saint-Bernard-de-Lacolle and all related information, citing a 2004 Federal Appeal Court decision arguing the Department must make the value of the lease public.

PSPC is processing this access to information request with the assistance of Legal Services and the Access to Information Directorate.

Additional Information:

None