Sunday, July 7, 2019

Was public trust compromised?

Mega-hospital site selection:
Was public trust compromised?
Did the $6M new Windsor-Essex hospital site deal
close by its July 2017 deadline?

Is there still a valid contract?
The County Road 42 site for Windsor Essex’s proposed new hospital, along with the development of Sandwich South, was announced to the public as a done deal in July 2015. However, now, four years later, it’s clear the deal has yet to be done.
Copy of Agreement of Purchase and Sale
Has anything changed since 2015?
The land registry record shows that, as of July 2019, four years after the initial announcement, the legal owner of the irregularly shaped 60 acre property, with an assessed value of $400k, is still Michael O’Keefe Farms Inc.
Extract from Land Registry
Image of O'Keefe property
On July 17, 2015, CTV News reported that “The 60 acres required for the hospital will be purchased for roughly $100,000 an acre, pending approval from the province.

So, has the province approved the $6M O’Keefe farm purchase yet?
There is no evidence that approval for the purchase of this 60 acre (24 ha.) parcel of unserviced farmland -- with an assessed value of just $6,817/acre today -- has been granted.

Was the Agreement of Purchase and Sale quietly extended?
According to the terms of the Agreement of Purchase and Sale, the property should have been transferred to Windsor Regional Hospital by July 21, 2017.

Buried in the small print, the contract provides for the possibility of a one-time extension of 180 days (January 17, 2018):
Extract from Purchase Agreement that allows 180 day contract extension
It’s now July 2019. Was a 180-day extension duly requested as required under the terms of the purchase agreement? If so, what happened after the January 17, 2018 deadline?

Is there still a valid contract? Is this procurement process open, fair and transparent?

Two years after the original completion date provided in the agreement, it’s completely unclear whether the purchase agreement is still valid.

Was a clandestine postponement of the deal negotiated beyond the one-time 6-month extension provided in the contract?

If so, is this in compliance with the language (and spirit) of the Broader Public Sector Procurement Directive? It applies to organizations receiving more than $10M in Ontario government funding, including hospitals. The Directive is based on five key principles that allow organizations to achieve value for money while following a procurement process that is fair and transparent to all stakeholders:
5 principles for Public Service procurement
Back in 2015, during the first phase of the controversial site selection process, the GEM site -- the only other short-listed site -- scored higher than the County Road 42 site:
Scoring for the two shortlisted hospital sites
Map showing where the two shortlisted hospital sites are located
The data (made available only after CAMPP filed a Freedom of Information request) overwhelmingly indicated the GEM site was superior to the O'Keefe site on County Road 42.

However, GEM lost the bid process because of a $1.8M difference in land price. Yet the calculation excluded tens of millions of dollars in multiple necessary infrastructure upgrades on County Road 42.

As the Windsor Star’s Anne Jarvis wrote in her January 7, 2016 column: “So for a [land price] difference of 0.1 per cent, the second-best site catapulted into first place.”

A very significant question remains to be answered
Was a competitive procurement process ever conducted? Were the owners of the GEM consortium -- with full knowledge that the County Road 42 deal was priced at $100k/acre -- ever invited to submit a new competitive bid after the contract’s original July 21, 2017 expiry date?

We all want this provincial healthcare investment in our community
There’s no debate that we need new healthcare infrastructure. However the process must be managed transparently and with the best interests of all residents in mind.

This issue goes far beyond whatever opinion you may have about the best location for the new hospital. It’s a more fundamental matter of accountability and public trust.

What can you do?
In the absence of an accountable and transparent process, we have every right to doubt whether the public interest is being properly served.

Please reach out to your elected municipal and provincial leaders. Demand proper oversight over this $2 billion investment. These decisions will affect the stability and health of our community for generations to come.

Windsor-Essex residents deserve better. We need to demand better.

Wondering who to write to? 
Follow these links to contact your elected representatives:
In their own words:
Weekly round-up of comments from our friends and neighbours
"Totally agree with everything you have said. Before last August 13th’s meeting, we emailed our city councillor, E. Sleiman, to vote against the proposal of the zoning of land on the outskirts of Windsor for a hospital. We said he should be fighting to have a new hospital built closer to his constituents. He did not answer."
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"Drew Dilkins wants to throw the BIAs under a bus for giving money to a cause to keep businesses in their neighborhoods, yet doesn't think twice about taking half his campaign money from the county - folks he is not elected to serve."
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"Small group???. I think not."
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"Thank you  for this work.... Taxpayers left  holding the bag so to speak. Why is an auditor not required by provincial legislation? There is no credible  oversight of city activities. The federal government should be stepping in when things are so clearly rife with corruption. As well, this all  goes way back. Keep up the excellent work!"
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"The pretense that the plan is not flawed is bad acting, pure and simple. throwing political weight around does not make it any more true."
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"I liked your eblast. It was so insightful. I’ve been concerned about this all along, but didn’t know how to express it."
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"From what I have been reading lately, so many people are finally realizing what is at stake."
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"The issue is getting tired, much like our downtown" 
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"Take care. You and your team are drilling the message home."

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