Statement for the Judicial Inquiry

NB: This is the statement I read aloud at the public meeting for the Judicial Inquiry, Monday, Aug. 13, 2018. It is a much-abbreviated version of a statement I have made in my written submission to the inquiry.

Thank you, your honour, for letting me speak tonight. My name is Ian Chadwick. I was a member of the previous council.

This inquiry is about two of the many challenges council faced and overcame last term.

First was the changing nature of Ontario’s energy sector. Prior to the provincial election, all three political parties vowed to reduce the number of Local Distribution Companies across the province. The town expected legislation to force amalgamations after the election.

Council chose to be proactive.

Council listened to our utility board, to our utility and town staff, and to a consultant from the world-renowned firm KPMG. We created a Strategic Planning Team tasked with the responsibility of finding the best option and then guiding us along that path through an open public process.

Our decision to engage in a strategic partnership was lauded around the province as a model of cooperation and collaboration.
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Timeline of the original Collus share sale

VindictiveWith the pending yet pointlessly vindictive Saunderson judicial inquiry – a punitive, self-serving exercise expected to cost local taxpayers of between $2 and $6 million (and potentially much more!) – I thought it might be useful to reprint in one post the timeline of the sale of half the share of Collus to PowerStream in 2011-12. I’ve posted much of this previously, in separate posts, but I also spent several days combing through online sources and archived documents to ensure I had a comprehensive timeline.

There are a few related notes included that underscore the electricity market in flux in 2011, the reasons for the sale (and for a strategic partnership versus a full sale) and the criteria used to determine the best partner. Some of the links in the timeline may no longer be valid (the Enterprise Bulletin, for example, folded, although some pages are archived on the Internet Wayback Archive), but the majority remain active.

This is a long read, because it is very detaiiled. Keep in mind a few things as you read this:

  • The process last term was fully open, and included public consultation and considerable media coverage and our neighbours in Clearview kept informed – the very opposite of this term’s secretive and deceptive privatization of our once-publicly-owned electricity utility;
  • During the process last term, the public was made aware that the town intended to sell up to but no more than 50% of the utility in order not to lose local control over rates and service. There was no public outcry or comments in the media opposed to this, no demands to sell 100%. None of the bids came in at lower than 50%. There was no opposition to the sale filed through the Ontario Energy Board (OEB) over the sale or the process, even after the winning bid of 50% was announced. This term there have been numerous complaints filed to the OEB over the sale and the secretive process;
  • No sole-sourced consultants or lawyers were hired by council last term; quite the opposite of this term where sole-source contracts have been handed out like party favours to buddies without even the pretense of an RFP;
  • Our two utilities (electricity and water) were both active and respected partners in the process; consulted, but never once harassed, confronted or bullied by the council or the administration; quite the opposite of the way they have been treated this term;
  • The goal of the sale last term was to engage a PARTNER who would work cooperatively and collaboratively with the town and the utility for the benefit of our residents, not just to grab the cash; quite the opposite of the backroom cash deal arranged this term with a for-profit, out-of-province corporation that benefits only the sole-sourced lawyer who arranged it (the same sole-sourced lawyer who was hired to provide the ‘market analysis’ and then recommended the sale of the utility);
  • The entire process, including all financials and agreements, was overseen and approved by dozens of people, including the lawyers, accountants, auditors, CAOs, clerks, treasurers, mayors, councillors, board members, CEOs, CFOs and managers of four municipalities, two utilities, KPMG, PLUS those at the Ontario Energy Board and Energy Probe. The process to privatize the utility this term was all done behind closed-door using one sole-sourced lawyer, without anything close to that level of scrutiny;
  • The administration and some council members have said publicly that they don’t have all the documents about the sale. Yet I was able to find all of this documentation with no problem. Did any of them even look? As for SPTT meetings – those were the TOWN’s responsibility, not the utility’s. If those minutes are missing, ask the clerk where they got to: it was her job to record the minutes and store them.

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Volte-face on water

janus facedOn Tuesday, Simcoe County Council voted to “… begin negotiations with the 16 municipalities regarding a “future role” for the upper tier in water and wastewater operations – a municipal domain.” The county wants to bring water and wastewater under its wing to standardize services and improve operating efficiencies much the same way it has done with housing and emergency services. Our deputy mayor voted in favour.

The only story so far on this appears in the New Tecumseth Free Press.*

Not a bad idea to explore, for public discussion and input, weigh the pros and cons. But the problem is that the issue of giving up control of the municipal service to an upper tier has not been given any attention in the local media. Nor have our county representatives – the mayor and deputy mayor – brought it to public attention, nor have they asked for public input or consultation on the issue.

And who gives the county report at the council table? That’s right: Deputy Mayor Saunderson.

Well, that doesn’t surprise you, of course. The Most Secretive Council Ever is always reluctant to tell the public anything. And public input? So far there has been absolutely NONE allowed this term on major issues such as selling our airport, privatizing our water and wastewater, selling our share of the electrical utility, Block 9, taking over water and IT services, the hospital redevelopment – so why would The Block want it now? Your opinion has never mattered to them.

But while the town is getting under the covers with the for-profit corporation EPCOR in a snug deal to privatize our water and wastewater services (in a 99-year lease?), our deputy mayor seems to have made an about-face. He voted in favour of the motion for the county to start the process to take over those services.

Without public input, of course. The best interests of this community? Not even a hint that that might be under consideration.

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