Kelowna city staff reject idea of buying Canadian only, recommend no changes to procurement
Despite a 'buy Canadian only movement' amid a trade war with the U.S., staff at Kelowna City Hall are recommending council not amend its procurement bylaw to make it happen.
Possible amendments were first brought up by city councillor Ron Cannan in March.
But after a review of its procurement policy, a staff report recommends council stay with the status quo given the majority of its contracts are already being awarded to Canadian companies, many of them Okanagan-based including about 45 per cent in Kelowna.
According to the report, which will be presented to council on Monday, 97.529 per cent of the city's purchases are Canadian and only 2.359 per cent are from the Unites States.
The report also outlines that if procurement changes were made, it could limit access to specialized services and goods that can't be provided by Canadian firms.
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In addition, the report states that excluding U.S. companies could drive up costs with fewer competing bids
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The Taxpayers Federation agrees with staff recommending the city stick with its current policy.
'Politicians need to be laser focused right now on providing the best possible value for taxpayer money and when most of what Kelowna buys is already Canadian, roughly 98 per cent, it doesn't make sense blowing the city's budget to try to find Canadian options,' said Carson Binda, B.C. director with the federation.
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Kelowna councillor calls for pro-Canadian update to city procurement policy
Cannan would not comment on the staff recommendation Friday, saying mayor Tom Dyas is the spokesperson.
However, in a statement to Global News, Kevin Franceschini, communications consultant for the mayor's office, stated, 'The Mayor does not comment on items before they are formally presented to Council. It is important that Council has the opportunity to review all relevant facts, receive legal and procedural clarity, and debate the matter at the Council table before any public comments are made.'
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'I think I would prefer if we paid a little bit more and shopped Canadian,' said Kelowna resident Heather Muir.
'I wish we could buy all Canadian, but I don't think we can actually,' said Michael Karabelas, another Kelowna resident.
The staff report will go before council on Monday.
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NATO figures from last June suggest Canada spent just 1.37 per cent of its GDP on defence in 2024. The Liberals have said they expect it to reach two per cent by 2030 'at the latest.' This advertisement has not loaded yet, but your article continues below. But that's not fast enough for Trump, who has complained repeatedly about Canada piggybacking on the U.S. for military protection. 'While I don't like what he's saying, I see this as an opportunity to get ourselves going,' Reed said. 'We have not done our job in a long time. We've not fulfilled our commitments, and this a kick in the pants to say who are we, and what do we stand for?' Later this month, Reed expects NATO countries to accept a new spending minimum of 3.5 per cent of GDP for defence and 1.5 per cent for border security. 'To go from our base today … it's another $100-110 billion a year to ramp up to that,' he said of Canada. 'And that's not in future dollars. That's in last year's dollars. So, any available mechanism that can help grow the industrial base and get them towards those NATO soon-to-be targets is going to be well received.' This advertisement has not loaded yet, but your article continues below. Founding members of the bank will start meeting in the fall to hammer out details. Reed anticipates standing up the bank next year. 'I like the idea of another mechanism, and a very powerful and large one, and I think a very influential one, that can help us do more in the defence and security domain in Western democracies,' said retired general Rick Hillier, Canada's former top soldier, who has joined the Defence, Security and Resilience Bank's board of directors. Canada's former top soldier, general Rick Hillier, when he was still in uniform. Photo by SHAH MARAI / AFP/Getty Images He predicts Canada is going to need 'a revolution in defence and security procurement' to solve the Canadian Forces' equipment woes. More money could accelerate the acquisition of new aircraft, warships and submarines, he said. 'The component I'm most worried about is the army,' Hillier said. 'The army is broken. We're down people. Our bases and our infrastructure are in very sad condition. And we lack every kind of capability that a force needs in the kind of areas where we would find ourselves fighting right now. If things go south in Eastern Europe and (Vladimir) Putin and Russia get into some kind of thing they can't extract themselves from and start heading into Lithuania and Latvia, where there are several thousand Canadians, our sons and daughters, we are ill-prepared to insure that they're ready to look after themselves.' This advertisement has not loaded yet, but your article continues below. The army lacks self-propelled artillery pieces, air defence systems, technology that can detect, track, and neutralize drones, and equipment to remove minefields, Hillier said. 'We need to focus a huge amount of that defence spend on the army.' Canada has also been lagging in spending to defend our north, he said. 'We've got to know what's going on in the Arctic, to be able to see what's going on specifically, to be able to communicate what's going on and then to be able to respond to what's going, whether its air, land, or depending on the time of year, sea forces. Right now, we can only do a very small part of that.' The country needs satellites and ultra-long endurance drones to cover the north, Hillier said. Bases should be built in Inuvik, Rankin Inlet, and Iqaluit, he said. 'Then you have to connect … those spots by upgrading the airfields across the north.' This advertisement has not loaded yet, but your article continues below. The military also needs billions of dollars to repair and replace old buildings, Hillier said. Canada's military has a shortfall of about 15,000 people right now, Hillier said. 'You do not attract first rate people with third rate infrastructure. And right now, you go to any garrison, any base, any wing across Canada and the infrastructure is crumbling.' At CFB Trenton, the military's hub for air transport operations in Canada and abroad, people can't even drink the water on the base 'because it's contaminated,' Hillier said. At CFB Petawawa, 'the fire hall they've been trying to replace for years floods in any kind of a rainstorm,' he said. 'As soon as it shuts down, you shut down operations in that training area, in that garrison, for the brigade, for the helicopter squadron and for the special forces training centre.' This advertisement has not loaded yet, but your article continues below. Hillier believes the Defence, Security and Resilience Bank could help alleviate all of these problems. 'There's an enormous amount of momentum because the inherent good in it is evident to most people as soon as they sit and think about what it could achieve,' he said. 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