Liberal Party of Newfoundland and Labrador
 
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News Release
Office of the Official Opposition

   

 

Is the Bull Arm Site Corporation circumventing the Public Tendering Act to benefit political cronies

November 28, 2006

 

Kelvin Parsons, Opposition Natural Resources Critic and MHA for the District of Burgeo-Lapoile, is asking Natural Resources Minister Kathy Dunderdale to clarify the process used to award a contract to the former campaign manager of Joan Cleary, President and CEO of the Bull Arm Site Corporation (BASC) and defeated PC candidate in the last provincial election. 

In September of this year, the BASC called for public tenders to construct a security building on the site. Four companies bid, but the tender was cancelled for what was described as budgetary reasons. Three weeks later, the Bull Arm Site Corporation solicited bids for the labour portion of the same project without going to public tender. One of the principals of the company awarded the contract was the  campaign manager for Joan Cleary. 

AIt is very interesting that the campaign manager of Joan Cleary mysteriously got a contract that was tendered three weeks previous, but cancelled,@ said Mr. Parsons. AIt is our understanding that the company involved was not eligible to bid the first time round when public tenders were called because it wasn=t core certified. Suddenly, the BASC changed the scope of the contract and decided not call for public tenders. Is it a coincidence that Joan Cleary=s campaign manager then got the contract with no public tender? 

AThis appears to be another example of government trying to help their friends. It appears the BASC scrapped the requirements of the Public Tendering Act to help their political cronies. This unfair process  should be investigated by the minister and these sort of underhanded actions should be stopped immediately. 

AThe spirit and intent of the Public Tendering Act is to give government contracts to the most qualified companies, with the most competitive bids. It is not to be used to reward political cronies for their past efforts. Unfortunately, it certainly appears that the BASC is becoming a feeding trough for friends of the PC Party.@

 

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