News release

July 12, 2007

Protests Move to Montreal,
PSAC Members Say No to Building Sale

MONTREAL – Demonstrations against the Conservative government's plans to sell off federal buildings are moving to Montreal. PSAC members will gather July 12 between 11:30 a.m. and 1:00 p.m. at 305 Rene-Levesque Ouest to protest against the proposed sale of that building.

Expected to attend are Patty Ducharme, national executive vice-president, Jerome Turcq, regional executive vice-president Quebec and Betty Bannon, president of the Union of Taxation Employees. Also in attendance and speaking at the event will be Pierre W. Landry, president of PSAC's Montreal Area Council. They will be joined by Member of Parliament Diane Bourgeois who represents the riding of Terrebonne-Blainville for the Bloc Quebecois.

The building at 305 Rene-Levesque Ouest is one of nine federal buildings the government is proposing to sell and then lease back for 25 years. Other buildings the government is hoping to put on the block are located in Vancouver, Edmonton, Calgary, Toronto and Ottawa. PSAC cautions that the proposed sale is simply a bad deal that will leave taxpayers on the hook, paying $2 in leasing costs for every $1 derived from the sale of the buildings. “The Conservatives are willing to trade short-term cash gain for long-term taxpayer pain,” says PSAC National President John Gordon.  “Rent payments over the life of the leases will be double the sale price.”

Given the poor optics associated with the proposed sell-off, it's no wonder the whole business is being conducted under a veil of secrecy.  All documents are confidential.  The asking price is secret.  The identity of the independent third-party assessor brought in to judge the fairness of the sale is secret.  And, questions aimed at discovering why the same bankers who recommended the sale are acting as the government's real estate agents are left unanswered.

This lack of transparency has prompted the House of Commons Standing Committee on Government Operations and Estimates to request a moratorium on the proposed sale of the buildings until the Committee is furnished with the relevant impact studies and information.

“The Conservatives continue to insult Canadians and abuse the Parliamentary Committee process by refusing to come clean about the sale and lease-back of these buildings,” says Gordon.  “They're not interested in hearing from anyone who might challenge their plan.”

PSAC is calling for more than a moratorium.  “We believe this is a bad deal for Canadians and we're calling on the Conservative government to stop the sale once and for all,” says Gordon.  “Canadians will not be well-served by this sale.  Maintaining ownership makes economic sense and preserves and protects public assets.”

For information:
Pierre W. Landry, President Conseil régional Montreal - 514-576-3906