Hon. Romeo LeBlanc (Minister of Public Works):
1. Yes, Public Works Canada does hold a lease at 559 Richmond Street, London, Ontario for the sole use by the Department of Agriculture, (a) Total annual rate-$163,000. In addition, the Crown is responsible for all operating and maintenance costs estimated at $85,000 per annum, (b) Current lease term began on November 1, 1983 and terminates on October 31, 1987.
2. The previous lease was held on a net lease until October 31, 1983, at an annual rental of $26,400. The operating and maintenance costs for 1982-1983 amounted to approximately $80,260 per annum.
Order Paper Questions
3. Public Works Canada has had the subject premises under lease since 1966. (a) Renovation and general improvements to electrical and structural elements amounted to an estimated $200,000 from 1966-1983. (b) All expenditures were made under the authority of the lease agreement in which the Crown was responsible for all repairs.
4. Public Works Canada conducted a search by means of a public advertisement on May 25, 1983 for existing office space to be used for laboratory purposes for occupancy by Agriculture Canada.
(a) As a result of the tender, four bids were received and each was evaluated on the basis of: cost; delivery time. Based on client laboratory requirements and the nature of the experiments, the estimated cost of relocation to alternative premises would exceed $2 million for fit-ups alone (not including rent). Further, Agriculture Canada had estimated a cost of an additional $700,000 per year for lost research time.
Although Public Works Canada negotiated at a higher rate for the existing space, a new temporary relocation to alternative leased space until a new facility is constructed, was not technically or economically feasible.
(b) Not applicable.
Topic: ROUTINE PROCEEDINGS
Subtopic: QUESTIONS ON THE ORDER PAPER