Buy American battle goes national

Mayor Victor Fedeli
News Release

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Mayors across the country are being asked to take the Buy American battle directly to their U.S. counterparts.

The Government of the United States, in its effort to provide an infrastructure stimulus package, has placed Buy American requirements for contracts using stimulus funds, which undermines the intent and spirit of free trade that has existed between Canada and the United States for decades.

Last week, North Bay Mayor Victor Fedeli made a direct plea to Mayors of U.S. cities where his City made large purchases. The thrust of the campaign was to remind U.S. Mayors that the purchases made by Canadian municipalities have helped their cities survive through the recession. Unfortunately, the same U.S. cities can’t purchase Canadian good and services with their stimulus money, due to the Buy American provision.

The Federation of Canadian Municipalities has sent an Advisory to all their members encouraging Canadian Mayors to follow North Bay’s lead and remind the Mayors of U.S. municipalities of the impact of Canadian spending in their respective communities.

“The Canadian Embassy in Washington really liked our approach and asked for letters from 100 more Mayors”, stated Mayor Fedeli. “I’m pleased the FCM has encouraged all Canadian Mayors to do the same; this may be the impetus needed to resolve the issue”, he added.

Mayor Fedeli will be a guest on CBC Newsworld today between 5:00 and 5:30 p.m. Host Harry Forestell will talk to the Mayor about his unique Buy American campaign.


For information please contact Mayor Victor Fedeli at 1-705-845-1088 or email [email protected]

Backgounder

Mayor Victor Fedeli wrote to several Mayors with a version of the following letter:

I am writing to you today as a fellow Mayor of a small community, continuing to make our respective cities thrive through these tough economic times.

Your website states that one of your goals is “continued growth of the business climate.” Mayor, something is happening between our two countries that could jeopardize that goal, and that is the ‘Buy American’ initiative.

It’s important you know that this year my City purchased two fire pumpers manufactured by Crimson Fire Truck for $850,000. These trucks were manufactured in your city – a community of 5,693 people. Can you imagine if my country had restricted us with a similar policy? One of your leading manufacturers, an integral employer in your community, would not have received that order, and may have been forced to lay people off for that period.

Naturally, we love to support our Canadian manufacturers, but we shop for the best value for our taxpayers. In this case, Dependable Tank & Trucks, the Brampton, Ontario dealer for Crimson, was the low bidder. There are no restrictions attached to our stimulus money or other local capital funds, as there are with your stimulus ‘Buy American’ provision. If Canada were to adopt a similar restrictive policy, can you imagine the number of U.S. companies that would not be receiving daily orders for equipment and supplies from their largest trading partner?

I had thought about adding several paragraphs to this letter listing the many geo-political reasons why trade barriers are bad for our economies. I also considered listing the countless media stories detailing how U.S. municipal spending has been paralyzed while cities ensure the nuts and bolts didn’t come from Canada. In the end, those issues are best discussed at other levels of government. What’s important for us Mayors of small communities, who see the day-to-day consequences of these decisions, is to let the other levels of government know the local ramifications. Simply put, if Canada adopted similar measures, no other Canadian municipality could order a fire truck from Crimson.

I do not support protectionism and I do not support retaliation; it’s bad for everybody. That’s why it’s so hard to comprehend this provision. We buy fire trucks made in your city, but you can’t buy engineering services or manufactured products from our city. I ask you, Mayor to Mayor – does that sound right?

Will you and your Council request your government drop the Buy American provision for the reasons stated?

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