Poison in Paradise
Ron Bolin: March 4, 2013
There is a lot to like about Nanaimo: it’s a beautiful site on the coast of Vancouver Island which is world renowned for its beauty and known all over Canada for its mild climate; it is strategically located at the hub of the island on the Salish Sea facing the mainland and the City of Vancouver; it is a mid-size City, neither too big nor too small to offer full amenities without presumption; it is home to a downtown port, a railway line, an airport, and a cruise ship terminal; a conference centre; a well-developed parks and rec system; clean water flows to homes and sewers lead the waste away; the roads are in passable shape and in general the population is friendly and accepting; and politics are, in general, ignored.
It is this latter circumstance which threatens the tranquility of the community. For some years now –I would put it since the passage of the Local Government Act in 2004 when BC’s municipalities were turned into corporations, i.e. legal persons with powers far exceeding those of any of their constituents. Since that time and as Council and Staff have come to more fully recognize the power of their new status, the corporation of the City of Nanaimo has gradually turned itself away from functioning as a government and increasingly into functioning as a corporation with all of the things that go with it. The city’s residents and taxpayers are increasingly looked upon not only as customers, but customers trapped in a monopoly franchise rather than citizens in a democratic process. The difference between an elected government and a corporation is that in the former, all residents are members. In a corporation members are defined by the shares which they purchase in it. There is a world of difference between these two approaches to membership and to their attitude toward operation.
Under current conditions, the percentage of those voting in our municipal elections has seriously declined and our Council is now elected by less than 15% of Nanaimo’s eligible voters. At the same time, while general citizen participation has waned, an examination of the financial support provided at elections is indicative of bipolar corporate participation as candidate support tends to come from the two poles of corporate interests, the developer/chamber group on the one side and the union group on the other while there is very, very little grass roots participation. While they may differ on method, both of these groups have a clear motive for the promotion of the maximization of growth in the community and moreover are active in directing public, as well as their own funds, to that end. This shows up in the City’s Mission statement: “Preserving and enhancing quality of life in Nanaimo through efficient, effective, affordable delivery and facilitation of municipal services.” The addition of the term “facilitation” goes far beyond the “efficient, effective, affordable delivery …of municipal services.” For myself, I am led to question why the Mission Statement goes at all beyond “Preserving and enhancing quality of life in Nanaimo”.
Over the years this has led to the expenditure of large amounts of public money as what amount to bribes to bring business to Nanaimo by using public funds to give tax incentives, eliminate taxes by providing public land to private endeavours, building facilities oriented to growth at public expense and not fully collecting that subsidy back to the originators of that growth, ignoring obligations due from private developers and creating value for developers without collecting a reasonable value for the City which has created that value. The City has agreed on more than one occasion that growth costs its taxpayers money rather than increasing its income –at least for most of our taxpayers.
After nearly ten years we are still trapped in the classic example of the corporate mind set which has taken hold at City Hall. In 2004, Council provided the public with a referendum on the development of a Conference Centre. This referendum, though found to be bogus as it was mishandled and then later approved anyway by the Provincial legislature in protecting its child, promised to citizens that a) no more than $30 million would be borrowed for the project, and b) that the terms would be those then extant between the City and a U.S. development company which promised to simultaneously build a hotel. This deal also set the total cost to the City for the conference centre at $52.5 million. This deal was never consummated and so one would think that the matter would have died and any new plans would require new approval: but not so.
Council proceeded, corporate moguls that they are and thus not needing further public involvement, to add an additional $20 million to the taxpayer cost of the conference centre and to dither on the developer’s hotel obligation. In all this dithering we lost a lot of our history: part of our industrial heritage as well as perfectly good Arena which could, by the city’s own figures, been renovated at a cost of a few millions and continued to provide a needed ice sheet with lots of seating, as well a downtown gathering place for ordinary events. Instead we rushed to demolish them, as it turns out, to no particular avail. Additionally we paid over $3 million to a developer who did not perform the tasks for which they were being paid. (Incidentally, to my knowledge there has never been a forensic audit of the total cost of the fiasco to date, but one should be demanded.)
And now we apparently stand on the threshold of a new hotel deal without a clear accounting of neither its cost nor any public involvement in the process. It’s time to put the public back in the public service.
Fool me once shame on you. Fool me twice, shame on me.
Posts and Comments on Nanaimo Governance 
Ron, thanqu for keeping us up to date on council’s obedience to its sponsors: developers and unions. To that I would add staff.
In the thirteen years I have voted here the election talk has always been to rejuvenate downtown, yet we have lost stores (Home Hardware, the Bakery etc) and indeed opening the south to more sprawl has made things worse (How much longer will isolated Rona survive?).
Ten years sailing out of the boast basin convinces me Nanaimo Harbour has untapped potential as a great boost to downtown yet it is in process of being sold to a American company. I realize the boat basin is Harbour Commission but there appears to be little co-ordination between it and the city (and vv). Does the city know it has a harbour?
As for a new conference hotel. Will it go the route of its raison d’ etre?
Yes Nan pop is essentially OAP’s-from-aways who’s only interest is mowing the lawn in summer and Regina-snow-removal in winter: but what an inditement on all us OAPs.
But worse, what an inditement on staff who, apparently cannot be bothered unless it is new and earth-quake proof!
[audio src="http://www.theyorkshirelad.ca/music/numb.mp3" /]
Excellent Ron. Folk should be e-mailing or calling those on council and demanding they tell the Citizens of Nanaimo just how far each as an individual, representing we the citizens, is willing to go to acquire a Hotel.
As I did last night at the COW meeting folk could come down and ask these things as long as they tie it into the Financial Plan which will be on every council agenda until the plan receives final adoption.
I’ve started two petitions, one to council and one to senior government. They are at http://www.NanaimoPettion.com.
Ooopppps too early that should be http://www.NanaimoPetition.com.
While I am sympathy with Jim Taylor’s motives in these petitions, I find that I cannot add my name as it accepts the right of Council and Staff to give away our public land and to give tax exemptions to private businesses, even though it goes against giving more. There was no public agreement approving giving away either land or exemptions and thus these rights were, to my way of thinking, stolen from the public rather than legitimately transacted.
The city does have the right to dispose of lands within the city. Before doing they will have to publicly post. The tax exemption was a duly passed bylaw approved by council. I don’t agree with either, but see nothing that is not legal, neither has there been any objection since both of these came into the public realm a long time ago.
I don’t disagree with you about the “legal” question. The question I ask is, is it ethical. I think not. There is a difference in my mind between between democracy and the chance to elect rulers once every three years. Take a look at many regimes in the world today and in history and judge whether “legality” is always acceptable as a reason.
So then you would ignore the rule of law and establish the rule of morality according to Ron Bolin? Let me know how that turns out, the next time you run for office. As for looking at many regimes in the world ….. what does that have to do with this city issue?
Silence on a matter is always interpreted as consent by those in power.
“(Let’s) remember, there is a public opportunity, this will appear before . . . an open council session . . . and at that point it will be debated by council and a decision will be made, but until that happens, it’s rather difficult to speculate,” Ruttan said.
“Kenning said staff are having ongoing discussions with the developer, but declined to elaborate further.” “If a preliminary agreement can be reached in the short-term, Kenning said the next step would be to go to an open council meeting and move from there. Under the Community Charter, the proposed agreement must be posted and published to the public. Assent of the electors is not required, assuming no long-term city debt is involved, Kenning said.”
Very telling comments from this story in the D/N http://www2.canada.com/nanaimodailynews/news/story.html?id=8aa9a48f-c061-4035-90f5-870e03959b9f&p=1
As we have seen before council and staff can make the decision behind closed doors and as a formality bring it to the public. The really sad thing about the ‘In Camera’ meetings is that we do not know who is voting for or against.
As Kenning says there is no assent needed by electors which will also go further to making the decision behind closed doors.
This has, as others have before, come back and hit them in the face with the uproar from the community. People should be at every Council meeting and speaking to this issue tieing it to the Financial Plan. It is extremely important that we get members of council to respond and if they choose not to that in and of itself is a response.
I have to agree with you general analysis of the problem of laws vs ethics, even if I disagree with your specific reference. I will note, however, that in my experience and in the long run, it is easier to circumvent the law than it is to circumvent ethics. Revolutions are fought by those for whom ethics are superior to existing laws. And revolutions are necessary from time to time to clear the underbrush.
Jim: For me, at the bottom of it all is the problem posed in your petition questions by adding, rather than ignoring, the caveats about the “legality” of the City giving away our land or our taxes due. If you had simply stated opposition, I would have happily signed. I don’t understand why you gave away the store, even though there may have been a claim against it.
I don’t understand your attitude on this issue when I remember that you were not willing to quietly acquiesce to the water treatment plant… After all, the legal authorities demanded it… Why the change of heart.
Ron, the principle is that the free land and tax exemptions (which I disagree with) have been in place for ages without any apparent public opposition. On that basis they have informed the public of their intentions and I don’t recall anyone leading a charge to change that, yourself included. For that reason, I have no problem with allowing both of these conditions becoming a part of the deal.
However, to allow them to sweeten that pot, with undisclosed millions in concessions is something I have a serious problem with.
What they are potentially giving away will make the land and tax exemption look like chump change. That has not yet been decided and making people aware and getting them involved BEFORE we have another disastrous deal seems far more productive than sitting by and bitching about it after it is a done deal.
As for the water treatment plant,,,,,,, got anymore red herrings up your sleeve????
The City should leave business to business.
Sell the building, even at a loss, to whoever can make a viable concern of it.
The other alternative is to see it used by VIU with the hotel land being used for accomodation.
As long as the Conference Centre & the adjacent land is in the hands of the City it is doomed to failure.
Dear Council & Staff, Get the hell out.
You will never get anywhere in politics arguing ethics over legality. Ron, you are taking far too elliptical an approach to the problem presented to us. We have a worthless building, in the wrong location, bleeding money. That is how city hall sees the problem. Their ethics is tied to finding a solution to that problem. They are not trying to pull a fast one over on us, they are not committing a crime, they are just doing what they are suppose to do in an effort to solve the problem. Sadly, their limitations as leaders, managers and planners stymies their good intentions. These people lack imagination, intelligence, wit, courage, foresight, sophistication, design sensibilities and every other human quality that is required to solve this problem, but what they do have is a compelling (even ethical) desire to solve the problem. We, either have to solve the problem for them, or live with the consequences they create for us, but arguing wether this or that action is legal or ethical means we will end up with the consequences they create for us. And we just look like whiners and losers. Get off your high horse, the battle is to done in the mud.
Dan:
You don’t get it. I am not arguing, I stated a personal point of view. That point of view led to my being unable to sign the petitions as given. If I choose to be an advocate for the prosecution, I do not feel that I am required to state the case for the defense. Is this unreasonable?
Please tell me about the mud in which you propose to fight?
Straining out gnats, while swallowing camels, comes to mind.
’nuff said, this is a silly argument. Unless we are going to kick out two incentives that have been agreed to for months, I won’t oppose a potential future deal that could cost multiple millions of dollars for decades!
Just don’t know how to answer that logic, so will no longer try.
Politics is mud.
The point I’m trying to make is that these people did a stupid thing, they made a mistake, not because of the system. Well, perhaps the system could have more checks in it. But even then as Douglas Adam’s said, “engineers trying to make systems foolproof always underestimate the ingenuity of fools.” Whether they did this illegally, ethically, openly or in a closet, they would still have made the mistake. The problem is not how do correct this so that next time they won’t make the same mistake. The problem is how do we correct the mistake they are making this time?
Agreed.
Can anyone refer me to a public policy statement which would grant authority to elected officials (Nanaimo City Council) to speculate with tax payer money on for profit land development projects?
The principle is simple: If it is not in the public interest then it is not public policy!
It was not in the interests of the public to build a convention centre or a cruise ship terminal, but it was in the interests of businessmen to build one with public funds.
It is not in the interests of the public to build a convention centre hotel or develop waterfront lands, but it is the interests of businessmen to do so with public funds.
It apparently is not in the interest of the public to protect public ownership of the harbour docks, to realize revenue from the sale of the old annex, or to seek open tenders for public buildings such as the new City Administration Building.
Land for free? Tax holiday? These items have value and are owned by taxpayers. What is the public policy that supports subsidies to for profit business?
http://www2.canada.com/nanaimodailynews/news/story.html?id=60da2b06-c2c0-4603-a195-fad05ded0a52
Even the Daily News has noticed that the self serving Nanaimo business community will not take up the challenge of either the Hotel or Harbour.
Considering the largess that they recieve it’s shameful.
Perhaps the possibility of future appointmnets to one of the taxpayer funded “Commissions” prevents them from rocking the boat?
Chamber of Commerce, NEDCorp and the DNBIA are all just glorified social clubs used to meet the needs of those who choose to sit on the Board or Committees.
It is against the interests of local hoteliers to support a Convention Centre Hotel! It is not fair for government to compete with private enterprise, offering huge subsidies to fast talkers and scraps to those playing by the rules and paying their taxes.
It is also not fair to the average taxpayer to speculate in for profit land developments with monies intended to pay for services that the population requires.
It is against the interests of local hoteliers to support a Convention Centre Hotel! It is not fair for government to compete with private enterprise, offering huge subsidies to fast talkers and scraps to those playing by the rules and paying their taxes.
Very true.
Just where does the, mute, taxpayer subsidised Nanaimo Tourism stand on the hotel & harbour problems?
It would seem that the interested parties that promoted the hotel & tourism etc had their wishes fulfilled.
We have the Convention Centre & the Cruise ship terminal , both failures.
These groups are hardly in a position to castigate Council for the failure of these enterprises hence the silence!
Yet these are the groups that will suffer from a failing policy that floods the market with too many hotel rooms & another policy that decimates the ONLY tourist attraction we have ( the Harbour)
Be careful what you wish for because you may get it!
The symbiotic relationship between Council & the special interest groups ( down town business ass ,tourism nanaimo etc etc ) is falling apart & being exposed as a taxpayer funded sham.
Is it not time to ask; who benefits??
Great post,
The entrepeneurs under 40 is interesting,as are some of the other “awards” given out.You do not qualify for these business awards unless your business contributes to the awards by donation or by paying set fees. this is a total scam.I know a young businessman under 40 who employs more than 60 people, made his first million at 23, and is putting millions into his business, buying properties and renovating them,with his own money;who will never be nominated for any of the “high Tech” innovation awards, or the young entrepeneur awards.Why not? He doesnt play the game, doesnt kowtow to the Chamber of Commerce, and refuses to become a part of The Young Professionals of Nanaimo which is essentially the next “Old Boys Club”.
The incestous relationship between Council and The NPA has been going on for at least 2 decades. Give us what we want and we will fund this or that, with the tapayers own money. Mayor Ruttan played Santa Claus a few times when he was the Chairman of the Board.
The DNBIA is a clone of The Downtown Nanaimo Partnership,. George Hanson got some plum gigs out of that deal.
DTZ (alias Bob moss et al) controls much of the rental business space and affected many decisions at the Downtown naanimo Partnership,as did our current MLA and past realtor,Ron Cantelon.
Te President of the DNBIA is a realtor. hopefully he does not represent any of the businesses that will benefit from the ‘trench” activities.
Mayor Ruttan is an old NPA hand. he benefits most from Cruise ship terminals, convention Centres and “his” upcoming Hotel.
If you note who gets what grants, you will always find the same people who are part of a little clique. I have seen one group get money year after year ,even though they are in the red to the tune of thousands, while other groups are given a paltry amount, after they have raised thousands on their own. We are told that a group must be a registered Society in order to get grants, but if you look at the history of Parks Rec and cultural minutes, some are, some are ‘pending”. Tow the line and bend over and you will likely get funding.
Where is the accountabilty?
I am appalled at the incamera meetings, the lack of transparency and the blatant disregard for the wishes of taxpayers. 72% said they did not want to fund the black hole that is The Old Witchita. Special interest groups that do not represent many artists win again.
Why dont those Hoteliers who stand to lose their shirts stand up?
Why are our newspapers not doing investigative reporting.? My rant for the month.
Wonderful post & an eye opener.
I won’t feel too bad when next I blow an on line fuse!
I have often suspected what you say but have never been able to join
the dots.
May I add that the lack of respose by Tourism Nanaimo to the Harbour issue can be summed up by a newspaper article that states that the NPA & Tourism Nanaimo are working together at a cruise ship circle screw in Florida.
The builders of the hotel get the conference centre. They get to the business the conference centre generates and they get to skim business from established hotels as well. We get to pay for any losses associated with the conference centre. Whatever money goes into the hotel and conference centre leaves the country. We pay the bills. We do this because we want a hotel and conference centre at any price. There is nothing reasonable about this, nothing intelligent and nothing in it for us.
That this deal has progressed this far suggests an irresponsible and incompetent leadership. Let’s hope the electorate is paying attention to this.
For reasons I cannot fathom the link, escarpments, on my Nanaimo web page . . .
http://theyorkshirelad.ca/2renewnan/escarpments.html
. . . receives hundreds of visits monthly, and if I were to count up the numbers over the years it has been posted, maybe thousands.
Needless to say it is not in the same league as Lady Gaga’s millions.
And yet, I conjecture, if I had access to Lady Gaga’s stats I could well find thousands, if not millions, of repeat visits from Nanaimo every month.
And there’s the rub!
Nanaimo may well have a heritage steeped in coal mining but its only of interest to a few dozen zapped out OAP’s who obviously don’t give a shit about anything other than their yesterday’s never was nostalgia!
“Now is the winter of our discontent!”
Don’t forget Ruttan was in the travel business and brings to the mayor’s job his small town bias. How well I remember cursing the man waiting endlessly in those travel cesspools, blighted O’Hare and Houston for connecting flights to . . .
http://members.shaw.ca/rogerkemblesnr/curitiba/curitiba.html
. . . then coming back to hear that revolting little man Bill Holdom sneer about his grated drainage network.
What else did he say, “re-zoning the south end is not a zero sum game.“. Well, huh, evidently it is!
There just does not exist the humanoid quality here to make this town tick to its full potential!
“That this deal has progressed this far suggests an irresponsible and incompetent leadership.” Amen to that Dan . ..
KEEP TRYING NEVERTHELESS (and run for council next: evidently there;s money in it!).
Nanaimo’s next civic election will be little over a year away: time to rally the votes.
Other than gossip on Nanaimo Governance blog things appear quiet although those, whom I refer to as the scum of the community, (yes, yes, I know name calling is considered impolite, as you leisurely drive the Parkway to Woodgrove sprawl {i.e. thereby giving tacit approval to the status quo}), will be in hyper-hysterical action behind closed doors.
I am referring to the current City council (who have not the slightest intention of fulfilling their election promises and commitments), Nanaimo Chamber of Commerce, City Hall staff, the Nanaimo Home Builder’s Association and its concomitant unions and throw in the clearly ineffectual tourist promotion people who are are busy conspiring to sucker-punch the, oh so willing, DOA Nanaimo voter.
So, despite the evidence spitting us in the face, we can safely assume, after the whoop-la, 2015 and forward will be business as usual.
Unless . . . and I leave the rest up to Dan Appell and his people whom I will gladly vote for if he throws his hat in the ring . . .
Politeness . . . yerrr . . . and were has it got us?
The time for politeness has long passed. This bunch doesn’t listen to anything.
PS The usual dirge, “keep the conversation polite or we wont listen to you!”
And the obvious long suffering response, “you don’t listen to us anyway!“
@ Roger Kemble
Nanaimo’s next civic election will be little over a year away: time to rally the votes.
The electioneering has already started with regular remarks by the Nanaimo Daily News to the abilities of Roger McKinnon.
Next stop, the Multiplex.
A gentleman spearheading a ratepayers association which was published here and in the local daily, managed to get three people out to an initial meeting to see what kind of support there might be for such an enterprise.
As usual, most of Nanaimo is sound asleep and those who are maybe paying attention seem to think, that bitching on blogs, and writing the occasional letter to the editor fulfills their civic duty.
As much as I find it distasteful, I am having to agree with the stance taken at city hall, which is they can pretty much do as they damn well please as there is no meaningful consequence for their actions.
Unless, there is an organized, funded lobby group with the general taxpayers interests at heart, special interest groups like Ms Tangs arts group will always get that grease. I presume they will get more money thrown at the building on Victoria Rd.
Ratepayers Association, Political Party or whatever else you want to call it seems to have zero support in Nanaimo.
Hence, the taxpayer gets exactly the kind of governance we deserve.
Jim: While you may be correct about public apathy and whether we get the kind of government we deserve, it should be pointed out that the turnout at the recent meeting reflected the fact that it was being held by invitation only and most of the invitees were there. Whether it will be followed by a public meeting remains to be seen.
I had a prior commitment that night, actually a few and chose the one I chose:).
It was the lack luster response to the article in the paper that reflects the apathy that is pretty much rampant in Nanaimo. I’m beginning to think 90% of the population simply has no idea what goes on, outside their own little universe.
It doesn’t take a village to bring down a house of cards; a simple lawsuit will often do the trick.