The Pan Am games are slated to be held in Toronto, Hamilton and other venues in southern Ontario from July 10-16, in 2015. However, almost from their announcement, they have been dogged by controversy.
In 2012 for example, there were questions about a $250,000 plan to spread pianos around city parks. It was “to encourage people to play and talk about the games” said the organizing committee, although the connection between pianos, music and the games remains unclear.
There was more controversy when the Sports Minister revealed in November 2013 that the presumed budget of $1.4 Billion for the Games was really more like $2.5 Billion to be paid by federal, provincial and municipal taxpayers, with Ontario taxpayers footing the bill for any cost overruns.
The latest controversy concerns the awarding of a security contract to an American firm, instead of a Canadian one.
To add insult to injury, the American bid at $81 million was $14 million dollars higher than the next bid from a Canadian firm.
The Ontario government is trying to distance itself from this latest issue by saying the decision was made by the Ontario Provincial Police (OPP) who spearhead security for the games. Community Safety Minister Yasir Naqvi told reporters at the provincial parliament, “It is our commitment to make sure these games are the safest in the world, that’s why we are relying on the Ontario Provincial Police to do all the security logistics, that’s why they are responsible for doing all the tendering and the contracting for security services,”
The Toronto Star newspaper reports that OPP Inspector Mike McDonell, of the Pan/Parapan Am Games Integrated Security Unit has a different story. He said procurement staff from the Ministry of Community Safety and from Correctional Services were also involved all along “and then it went off to the ministry for the final bid and the last bit of vetting if you will.”
Meanwhile, prior to this lates controversy, it was revealed in November of 2013, that the cost for security at that time was estimated at more than double the original estimate at $230 million, compared to the $113 million that taxpayers were originally told.
Last week, more eyebrows were raised at the announcement of two top executives leaving the organizing committee in what’s being called “streamlining”.
Elaine Roper, TO 2015’s senior vice president of human resources, and Louise Lutgens, senior vice president of community and cultural affairs, were dismissed Thursday.
“This was not a performance issue,” said Saad Rafi, the committee’s CEO adding that as the committee transitions from the planning stage into the “operational and delivery aspects” of the Games, it needed to become “a little smaller.”
He said the women’s duties will be absorbed into other positions.
Ms. Roper received $292,774 in 2012 with $17,565 in taxable benefits. Ms. Lutgens netted $232,845 with $14,557 in taxable benefits.
Mr. Rafi said he doesn’t yet know what severance negotiations will cost taxpayers.
They were the second and third top executives to leave the PanAm organizing committee.
Saad Rafi himself replaced Ian Troop the original CEO of the games who departed suddenly in December. This too was considered odd as the organizing committee had offered to pay Troop and other senior executives hundreds of thousands of dollars in performance bonuses, in addition to their salaries, if they stayed to the end of the games and brought them in on budget. Troop’s base salary was $390,000 last year plus an $87,000 bonus. He would have been eligible for a $780,000 bonus if he had stayed and brought the Games in on budget and on time.
Troop had been severely criticized for allegedly billing taxpayers for personal affairs including dubious travel claims and lavis meals and parties. He nonetheless will receive severance of about $500,000.
The Toronto Sun newspaper reported that the package includes a cash payout of $478,000, legal fees of $3,500, payments for outplacement of $10,000 and health benefits for the severance period of $15,800. He will also get a deferred RRSP payment of $27,300.
Mr Saad’s base salary as the new CEO is the same he was earning at his former position in the Ministry of Health at $428,000, the highest paid civil servant in Ontario.
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