:
I will be the spokesperson.
Thank you very much, Mr. Chairman, and thank you, committee, for inviting us to come before you today.
My name is Stephen Cheasley. I am president of the Canadian Railroad Historical Association.
[Translation]
I am here today with Exporail's Director General, Ms. Marie-Claude Reid, and our administrator and secretary, Mr. Daniel Laurendeau.
[English]
I would like to start off by talking about the Canadian Railroad Historical Association. It is a non-profit, federally incorporated organization founded in 1932 that owns and operates Exporail, the Canadian Railway Museum, in Delson—Saint-Constant, Quebec. The CRHA has 1,000 members and 14 divisions across Canada and publishes a bimonthly magazine on railway history, Canadian Rail--which I have a copy of here--and publishes books as well. We have just published a recent book on Ottawa streetcars, which I thought was appropriate.
Exporail, established in 1961, is Canada's largest railway museum and is considered by museum experts as one of the best railway museums in the world. Exporail is situated on 50 acres of land containing three display buildings, with a total of 125,000 square feet of exhibition space, a 25,000-square-foot reserve building, an 1882 country station, a restoration shop, and a turntable. Exporail features rides on a one-mile tramway line, a two-mile railway line, and an outdoor miniature railway. It also has an extensive HO-gauge model railway installation.
The facility also includes a library, an archives centre, temporary exhibit spaces, a multi-purpose hall, and food and retail spaces. It is designed to appeal to Canadians of all ages.
The Exporail collection is composed of 168 locomotives, tramways, and other pieces of rolling stock, and over 250,000 small objects, models, books, plans, photographs, pieces of railway art, and archival items.
In a recent report by Lord Cultural Resources Planning & Management Inc., a leading museum consulting firm, the collection is deemed to be a national collection rated as world-class. Indeed, in 1978 the museum was designated as a specialized museum for railways by the federal government, a role it continues to fulfill today.
The Exporail collection has items from the first railway in Canada, the Champlain and Saint Lawrence Railroad, built in 1836 between La Prairie and Saint-Jean, Quebec, and from Canada's entire subsequent railway history up to the prototype of a hybrid switching locomotive recently invented in Canada. It is the most comprehensive collection of Canadian railway historical material in existence.
Since the design of Exporail permits pieces of rolling stock to be moved on their own wheels, some of the rolling stock from the Exporail collection is lent from time to time to other railway museums across Canada for exhibition. In addition, travelling displays about Canadian railways are prepared and sent to other museums. The Revelstoke Railway Museum currently houses CPR steam locomotive 5468 on loan from the Exporail collection and has recently shown our travelling exhibit on women in the railways.
For the last 170 years railways have played an important role in the development of this vast country. Due to the size of the country, Canadians have had to develop world-class transportation systems, and today Canadian railroads are certainly world-class. Indeed, two years ago the U.S. magazine Trains named CN as the number one railroad in the world.
The Canadian railways, with their twin ribbons of steel, opened Canada for settlement and framed its infrastructure. Many towns and cities in Canada owe their origin to the coming of the railway. Many a Canadian family has a proud railroader in its background. The railways were and still are the lifeblood of Canada, moving a large percentage of Canada's goods and materials. Indeed, I was told last week by the Railway Association of Canada that no fewer than 63 million passengers were moved by trains last year, and over 65% of the material that moved by surface was moved by trains.
From a political standpoint, the completion of the CPR on November 7, 1885, provided the basis for the Canadian Confederation as we know it today. Canada, more than most countries, was dependent on the development of the railways for its very existence, and that is why it is so important that this part of Canada's heritage be properly preserved for future generations. Railway history is a major part of the story of Canada, and it must be cherished, nurtured, and retold to all Canadians.
Here's a quote from the Lord report:
Exporail is the only museum in Canada that tells this story in any depth and in fact is the only one with the mandate, expertise, and collection base to do so effectively. This outstanding Canadian collection is a unique resource that offers Canadians the opportunity to tell this story with the original material culture that made it possible.
However, the Canadian railways are always improving and changing with the result that preserving the railway heritage presents the ongoing challenge of rescuing items of historical importance before they are lost to the scrapyard or to other countries like the U.S.
The non-rolling-stock part of the collection is now housed in adequate environmental conditions, thanks to our new $12 million pavilion. One-third of the rolling stock in our collection, as distinct from the non-rolling stock, is now in adequate environmental conditions. One-third of the rolling stock is sheltered from the elements, but not in adequate environmental conditions, and the remaining third is totally exposed to the elements. The items of rolling stock that are not in adequate environmental conditions or are totally exposed to the elements are slowly but surely deteriorating, and will be lost if not properly conserved. This matter is urgent.
Railway rolling stock, by its nature, is very big, but also very fragile and requires big buildings to house it, with sophisticated environmental systems to protect the items from deterioration. Due to these requirements, such buildings are costly to construct and operate.
In addition to the Exporail collection, there are some other historically significant items of rolling stock scattered among other railway museums across Canada, but very few are well conserved, due to the lack of financial resources.
In England and Europe, most national railway museums and their collections are funded entirely by national governments. The railway museum considered to be the best in the world is located in York, England, and is entirely funded by the British government. Moreover, admission is free, as in all the state museums in England under the new admissions policy introduced in 2000. The National Railway Museum in York has over 850,000 visitors per year. Steamtown in the United States is funded by the U.S. federal government through the National Parks Service, which operates that museum. The Danish Railway Museum in Odense is owned and operated by the Danish State Railways, and the Swedish Railway Museum in Galve is operated by Sweden's state authority for railways.
Over the past 45 years, Exporail has received capital grants for certain infrastructure and project grants from the museum assistance program of the federal government, but no operating grants for the preservation, conservation, and interpretation of this important Canadian collection. The existing federal policy is not to provide operating grants to non-federal government museums. As a result, Exporail's operating funds have been largely self-generated, with additional support for the last 27 years from operating grants from the Quebec government.
In essence, for 45 years Exporail has played the role of Canada's national railway museum with operating support from the railway industry, the Quebec government, local municipalities and private companies and individuals, but not from the federal government. In reality, Exporail, the Canadian Railway Museum, has been a national public-private partnership, which owns and operates the national railway collection, but without the national level of government as a full participant.
A public-private partnership is a cost efficient and effective way for the federal government to assure all Canadians that their Canadian railway heritage is being properly preserved and conserved for future generations of Canadians.
In contrast, the federal government now fully funds, through the existing national museums, institutions dedicated to aviation, agriculture, nature, mail, science and civilization. Surely the heritage of the Canadian railways, railways that built and are still building this great country of ours, deserves equal treatment.
We would now like to make two recommendations. The first recommendation is that the federal government should acknowledge and assume its responsibility to provide adequate funding for the preservation, conservation, interpretation and display of Canada's proud railway heritage. Secondly, the federal government should become a full partner in Exporail's national public-private partnership as soon as possible, and contribute funding for the preservation, conservation, interpretation and display of the Exporail collection in adequate environmental conditions for all to enjoy.
Mr. Chairman, that's the end of the statement we'd like to make.
:
That may have been because in the fifties, when the railways were going through a major technological change, the governments of the day did not move to save any of this equipment. Our association moved and was able to save the equipment.
In the technological development of railways, from 1836 until 1870, Canada had a railway system that was.... The gauge was the same size as it is today, but in 1850 we thought we were going to be attacked by the U.S., so we changed the gauge and made it broad gauge. Then by 1870 we realized the U.S. was not going to do that, and it would be in our economic interest to put the gauge back together so we could trade back and forth. As a result, just about everything in the way of historic railway equipment was destroyed.
The next major change was in the 1950s, when steam was replaced by diesel and passenger cars were replaced and tramways were replaced. At that point the government didn't make any move. Maybe this was too early for the heritage movement; the heritage movement came later on. Our group, which had been started in 1932, had already saved a streetcar in 1950, and in 1955 we were able to save Sir William Van Horne's private railway car.
Sir William Van Horne's car was built in 1881, was used by Sir William Van Horne as his office, as his home for five years while he built the railway across Canada. In 1955 it ended up on a scrap line in Toronto, ready to be burned--a car that is mahogany inside and out. Fortunately, one of our members saw it, we were able to save it, and that is in the collection today. It's probably one of the most valuable pieces we have.
So to give you an answer, yes, we moved, and maybe the government felt that since we had moved and done it, they didn't have to do it.
:
That's a very interesting question. And by the way, we would certainly be pleased to be involved in any kind of development of a policy. As you can see, we've been in this business for a long time, for 75 years as of next year.
I think one of the things the committee should be aware of is that the word “railway museum” is a word that's used to cover a whole lot of things. You have locomotives in parks that have been there for 40 years and are rusting away, and yet there'll be a railway museum sign beside them. You have railway stations with a caboose, and maybe a car beside it, called a railway museum. You have what they call tourist lines, where people get together and have a locomotive and run it up and down a line, and that would be called a railway museum. Then you have museums like the two in your riding—and this one—which in fact, in my view, are museums, in the sense that they are preserving, conserving, displaying and interpreting, and which have archives and what you would call a normal museum look about them.
That takes you into a very interesting debate, because a lot of people across Canada will say our particular small station should be financed, and so on. Then you have to back up into looking at what is in the national interest, what is nationally significant, and what you should be saving. I'm told there are 250 cabooses saved in the province of Alberta alone. I don't think we need to worry too much about the preservation of cabooses, because that's been taken care of.
So you have to develop what is important for our national heritage, and then decide where that's going to be displayed and how that's going to be done. It needs long-term protection. You've seen it, and it makes you want to cry, because back in the sixties, when they changed over from steam engines to diesel, there were tons of steam engines that went out into parks, and they're mainly gone today because they just rusted away. That's how fragile these things are. So you have to put them in a proper environmental condition.
I don't know if that helps you or not, but certainly we'd be glad to work with you to develop a policy.
I think those are your two big elements.
:
I wonder if I could request those statements for the last two or three years. If you could get them to the clerk, it would be exceptionally helpful to us on this question of funding.
I'd like to go back to page 51. I apologize to the people at Lord Cultural Resources Planning & Management, because I'm not familiar with them, but I have some serious questions about their recommendations to you.
I'm looking at where we're talking about fundraising, retail and food service preparations, marketing, public relations, publications, donations, education, programs and events. It goes from approximately $1 million to $1.1 million to $1.2 million in expenses. That's combining the two sets of numbers. Then I take a look at your actual revenue side, or at least the projected revenue side, of $546,000, $723,000, and $900,000. I'm keying on the places where they are advising you to spend money. If I ignore the management and special projects and administration, I don't understand the advice to your museum that for 2005-06 your fundraising would be an expense that would realize only $31,500; retail food and service operations, only $43,700; marketing, public relations, publications, and donations, also only very low amount; educational programs and events....
I have a lack of respect for this kind of advice to your museum. Those are discretionary amounts that they are suggesting you should be spending, and yet they're projecting that you're only going to cover 50¢ on the dollar for those activities. I just don't understand that. That would be like you're creating a hamburger for $10 and charging $5. It doesn't make any sense to me.
I must say, by comparison, I have taken a hard look at the numbers from the museums in my constituency, where a hamburger that's going to retail for $5 probably costs about $2. So I'm familiar with the difference between the cost of discretionary spending, those costs and the revenue side, and how to generate revenue. It appears to me that this company is advising the management to spend a dollar and hope for fifty cents back. I don't understand that.
:
I think the federal government has a scale from zero to 100. In certain areas the federal government has assumed 100% of the costs of museums, which we outline here. That decision was made in the past, and you live with it. These numbers here are nothing compared to the numbers it takes to run a major national museum.
To talk about quantifying the role of the federal government, the first way to quantify it is to share the costs with other people. I think everybody now wants to find new creative ways for the government to do things, how they can spend less and get more--this is the old saying.
I've had the privilege of being involved with a PPP, a public-private partnership, in Montreal for 18 years. We formed Montréal International 18 years ago, which is a public-private partnership with the federal government, the provincial government, the municipal government, and the public sector, and it has worked like a charm. We have two mandates: one is to get international organizations to set up their headquarters in Montreal--we now have 70 of them in Montreal; the other mandate is to get international investors to invest, and we've been doing very well with that.
It works fine, but every one of the governments is not picking up the whole cost of this, and it's also sharing with the private sector. This is the model. We think this is a good model for the federal government to carry out its obligation to look after the heritage, the railway heritage. It's cheap. I'm going to be blunt about it: it's a cheap way to get into this. Even paying $4 million a year is peanuts in comparison to what they're paying for the Canada Aviation Museum or anything else. So this is a relatively easy way for the federal government to get involved, preserve the railway heritage, and yet not have to pay a fortune to do it.
Now, quantifying that, the way it really works when you have a partnership is each year you sit down around the table and look at what you're going to do and what it's going to cost. In the Montréal International example, we do three-year contracts with the three levels of government. We sit down, we work out our budget, then they sign up and commit to put money in over a three-year period, then we'll look at the next three-year period and so on, and that's how that works. So nobody's getting stuck forever on a sum of money, and they sit around the table on the board so they can see what's going on; they get the reports. They know what's happening, so they know we're not spending money improperly or what have you.
It's a way to make sure people are getting value for their dollar, which is I think what the governments want to see these days. So that's our proposal. If we can work that out, bring in the governments and work that, I think we have a way to find a new way of dealing with the preservation of Canadian heritage, which keeps everybody involved. And it's not expensive; individually it's not expensive.
I want to follow a bit on that, but before that I need to understand where we're going here, Mr. Chairman. This question may be directed to you more than to our witnesses.
Before we continue, there's a French expression, and I'm going to translate it literally “tripping on the flowers of the carpet”--s'enfarger dans les fleurs du tapis. I need to understand the framework, what it is we're doing here, because, indeed, the discussion we've just heard is very relevant.
We've had this exercise. The previous government had a policy. There was extensive consultation. The museums associations have even arrived at a number, un chiffre, that they would be very happy to see the museum assistance program grow to, yet I've heard that the government has said we're not going to have such a policy for at least a couple of years.
I need to know if this exercise is part of a framework in which we are going to drive policy, as a committee. I'm quite prepared to do that, but I need to know if indeed the government is prepared to cooperate. Maybe it's you or maybe it's Mr. Abbott who has to answer that. In fairness to us and to our witnesses and to the people who may be following these meetings, I think it's important that we have a sense of where we're going with this, because looking at the numbers, as we have been, may be a valid exercise in and of itself, but doing so may not be relevant to establishing a policy.
And we need to look at that policy. If we're going to be doing this exercise, my sense is that we need to look at criteria such as what the museum assistance program would involve, and whether it would involve national or regional collections. We need to know if we're talking about unique events or many, and how often we're prepared to duplicate them in the country if we're going to be supporting them. We need to talk about ownership and how it has an impact on support or non-support. Accreditation and all of the rest are the principles that have to be contained in a policy. Otherwise, we're just spinning our wheels here. I'm not fond of doing that or of using the twelve-step approach to doing nothing.
So that's a consideration I'm asking for, in order that we have a sense, if any, of where we're going with this.
[Translation]
I would also like to ask Ms. Reid a question.
[English]
or any of the gentlemen there.
[Translation]
Earlier, you said that you agree with the overall results of the consultations held with the museums associations of Canada.
Do you also agree with the figures which appear in the conclusion? If I am not mistaken, the associations said that they would be quite delighted to see the Museums Assistance Program receive funding in the order of $75 million annually.
:
There was a question put to the chair. Number one, let's get to a couple of inaccuracies that have been floated around here today. It was just mentioned that if you take $11 million, you take off $4.6 million. Again, I have to go back to the fact that everyone received this today, and this has been on the website of the small museums of Canada. This is our parliamentary thing, and it says:
According to the Estimates, MAP spending is forecast to be $9.4 million in 2005-2006. However, in September 2006 the government announced that $4.6 million would be cut from the program over the next two years.
That's over the next two years. It is $2.3 million, and it's forecasted to be $9.4 million. It's my understanding, it's my belief, that there will be $9.5 million in the MAP program in the upcoming year.
It was mentioned that there was $11.8 million in the fund per year, and there will be $2.3 million less next time. So there will be, in the coming year, $9.5 million. That is my understanding. To be clear on this, there will be no cut to the program as it was proposed in 2005-06. As far as actual spending is concerned, it will be the same.
A voice: [Inaudible—Editor].
The Chair: Just a minute. I am the chair, sitting here, and I will take the responsibility.
We are interested in a new museum policy, a policy that works for all museums, big and small. I know I have gone over some of the MAP programs over the last while, and I see nothing small in those particular estimates.
I do have a rail museum in my riding. It's a very small museum and it has gotten no government funding over the years. It does have a caboose and it does have a station. They work very hard, as you do, and I give you those accolades.
I come from a little place called Sebringville, just outside of Stratford, Ontario, and one of our biggest nemeses is the old CN shops that are still there. They are in the downtown heart of the city and they've been just a pain in the rear for everybody. A person bought them and they're still there, half torn down and half not torn down. I think your rail museum is super. It's special, because these things do have to be preserved.
We are looking forward to a museum policy that will be good for all museums, big or small. But again, we have some questions, and some of those questions have been asked here today in regard to where the government should go. I must say that I have sat on this committee for the last two years, and I was one of the first people who brought up small museums three years ago. I was told by the president at that time when he was here that it was the first time he had heard small museums mentioned in a heritage committee meeting in the last ten years.
So yes, we as a government are very interested in small museums and in a small museum policy, but policy that is not only talking in dollars that can't be accessed. We want to have good policy that can be accessed somewhere down the road.
We're going to finish with someone over on this side, because we have to complete here quickly.
Mr. Angus has a point of order.