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'That's the end of it! Knox saga completed. The taxpayers lost,' says citizen who held council's feet to the fire

'I think that the Municipal Act in Ontario needs a major overhaul to ensure our elected officials are held to a higher standard of transparency and accountability'

A concerned citizen that has fought for over three years to shed light on a secret deal made with a former CAO to become a "Corporate Advisor" to the City of North Bay is calling for more transparency after receiving heavily redacted documents relating to a meeting that was held to seal the deal.

Kevin Ferris also wants the Province to pass stronger legislation.

"I think that the Municipal Act in Ontario needs a major overhaul to ensure our elected officials are held to a higher standard of transparency and accountability.  The Province should also seriously consider passing recall legislation as has been done in some other jurisdictions," Ferris told BayToday.

After not getting the transparency he felt the issues deserved from the City, Ferris filed a pair of appeals to the Privacy Commissioner.

The first appeal asked for additional documents from the City, which they found, but refused to turn over.

"The City said I couldn't have them, using the solicitor-client argument. The important thing is they got caught doing an improper search originally, and they actually narrowed the scope of the search and so had to do an additional search with sworn affidavits. It goes to transparency. They were forced to do a new search and lo and behold they found them."

The second appeal concerned an in-camera meeting of council on Dec. 8, 2015.

"We're not even permitted to see the motion (to approve the deal) because it's all redacted along with the vote. It's very troubling that the privacy commissioner refused to interview any of the councillors that were at the meeting, as I requested them to do, and they (City) won't even provide the simplest of documents to show who supported this thing."

That has led to a high level of frustration for Ferris.

"Overall there is a real abuse of process of the use of in-camera meetings and at very least we should be able to see how our councillors are voting on a given issue and we're not even permitted to see who voted to support this or how the motion was worded. They (Commission) won't even do a proper investigation so I'm stuck.

"The taxpayers lost the two final rulings to get the documents and see the in-camera motion and vote.

"Obviously, I'm disappointed with the outcomes of these two decisions after these lengthy battles with the City. All was not lost, however, and along the way, I was successful in getting the Knox contract released which the public deserved to see. "

The Employment Agreement states that on December 8, 2015, City Council held a special in-camera meeting of City Council, and says "City Council supported and approved the transition plan as outlined in the letter December 7, 2015, and directed an agreement be developed by the Managing Director of Corporate Services and City Clerk with Knox to formally document the terms of the transition plan."

Although there is documentation of that meeting with all councillors present, there is no evidence a vote took place to direct city staff to do so. 

Council members present included Mayor Al McDonald, Deputy Mayor Sheldon Forgette and councillors Mike Anthony, Mac Bain,  Mark King,  George Maroosis, Chris Mayne, Jeff Serran, Derek Shogren, Daryl Vaillancourt,  and Tanya Vrebosch.

Read the final contract here

"By the City's own admission, Council voted to provide direction to staff to prepare an agreement between the Corporation of the City of North Bay and Knox on the basis of the confidential deliberations held in the closed session of Council," says Ferris. 

"Yet as taxpayers, we are not permitted to see the wording of the motion or the record of the vote."

(See the heavily redacted documents in our photo gallery above)

"This was a decision that cost the taxpayers over $406,000, all done in secret and don't worry about the details folks, Big Brother knows best and doesn't need to show any transparency. It's sad that none of the councillors involved had the courage to fight for the taxpayers in this matter," added Ferris.

The confidential employment agreement, obtained under the Freedom of  Information Act, shows that the City secretly agreed to give its CAO Jerry Knox a $200,000 plus job as "Corporate Advisor" the day after his last day on the job as CAO.

Knox suddenly, and publicly, announced his resignation at a news conference on Dec 9, 2015. No mention was made at the time that Knox would continue on as a Corporate Advisor, and receive his CAO salary and benefits. Knox had been the CAO for only four years, although he had worked for the city for 14 years,

At the time former councillor Jeff Serran told BayToday that he was "shocked" by the announcement and councillor Mark King called it "a bit of a surprise."

See: North Bay CAO retiring

The City has never produced any evidence that Knox provided any "advisory assistance" nor has a job posting or list of duties ever been produced.

In addition, the agreement allowed Knox to find another job while still being paid by the City.

The document was obtained by Ferris. 

See: City ordered to disclose Confidential Employment Agreement for phantom 'Corporate Advisor'

It's one of a number of documents Ferris obtained, although most are heavily redacted with the City using solicitor-client privilege and the Privacy Act to keep large portions of the documents secret.

Knox and the City reached the agreement on April 13, 2016, after Knox pitched a transition plan which the City accepted. It releases the city, mayor and councillors from any claims of wrongful dismissal or constructive dismissal.

Knox retired effective June 3, 2016, and accepted the position of Corporate Advisor the next day with a full benefit plan and pension plan. He also started vacation on his first day.

No announcement ever came from the City or Mayor Al McDonald. The agreement only came to light after the Province published its Sunshine List, showing Knox's position and salary.

See: Knox resigned in June, still ranked second on Sunshine List in 2016

And: Mayor stands by comments regarding former CAO Jerry Knox, but questions remain about transparency

And: FOI documents show McDonald heavily involved in Phantom Corporate Advisor payment

The public was outraged, but McDonald has always refused to explain it, citing privacy reasons and laws preventing him from discussing it.

BayToday reached out to Mr. McDonald for his perspective but received no response.

The document stands in stark contrast to the mayor's claim that he didn't have anything to do with "hiring and firing" and didn't know anything about Knox being hired as a Corporate Advisor.

 


Jeff Turl

About the Author: Jeff Turl

Jeff is a veteran of the news biz. He's spent a lengthy career in TV, radio, print and online, covering both news and sports. He enjoys free time riding motorcycles and spoiling grandchildren.
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