News Release
Office of the Official Opposition

Reid says fibre-optic expenditure should be put on hold until Auditor General's report completed

Opposition Leader Gerry Reid says no public money should be invested in the recently announced fibre-optic project until the Auditor General has an opportunity to review and report on all details related to this deal.

Last month, government announced a $15 million investment into a consortium of companies including Persona Communications and Rogers. Representatives of those companies involved in this contract have close personal and business ties to the premier. No tender or request for proposals was ever called and government refuses to provide any answers to questions posed in the House of Assembly.

"I was very disappointed that Minister Taylor refused to put funding for this project on hold until the Auditor General’s report is concluded," said Mr. Reid. "The Auditor General has confirmed that he is preparing to move forward with his investigation. In light of the fact that so many concerns have been raised; the fact that we don’t know how many fibre strands we will be getting; the fact that we don’t know how much money the individual companies are investing; the fact that we don’t know why government policy wasn’t followed; and the fact that we don’t know what was contained in an analysis by the Department of Finance are reason enough to await the results of this report.

"It makes no sense to have the Auditor General do a report if the money is already spent. How do we know that this will pass the smell test after an examination of the details? This is unacceptable and the minister and premier should put this project on hold immediately. If this deal is so squeaky clean, why not wait a couple of extra months until the report is finalized. The Auditor General says he can and will have the review done by October or earlier, then the people of the province will have the truth one way or another.

If the premier is committed to openness, transparency and accountability, I call upon him to give his commitment that no money will be invested into this project until the Auditor General completes his report and gives his determination as to whether this deal passes the smell test. Rushing forward with this project will again demonstrate that something is being hidden in this entire process."

Media Contact:
Darrell Mercer
Director of Communications
Office of the Official Opposition
709-729-6151 or 709-687-0477