Manitoba

'Trust has left the room,' says head of Winnipeg's property, planning and development department

In the wake of a damning video showing city inspectors using work time for personal reasons, the department head acknowledges the scandal has shaken confidence in city staff.

Scandal over inspector caught wasting work time 'damaged organizational credibility'

Winnipeg's property and planning director says he was 'shocked' by the contents of a secretly shot video. (Submitted)

The head of Winnipeg's planning department admits a video showing city inspectors pursuing personal business on city time has damaged its credibility and shaken managers' confidence in their staff.

"Trust has left the room," John Kiernan told councillors on the committee overseeing the property, planning and development department.

"To be blunt, the concern was there was individual behaviour, but was there also cultural behaviour?" Kiernan said.

Until the city purchased the video and began an investigation, he said he didn't know the depths of the problems. 

John Kiernan says he had 'no clue of this matter and the damage these individuals were doing.' (John Einarson CBC)

"I had no clue of this matter and the damage these individuals were doing," Kiernan said.

The city's acting CAO will get a copy of the investigation and consequences for staff on Friday and parts could be made public after that or released to city council in the fall.

Some councillors aren't so sure the report will shine a light into every corner of the department.

"Something will come out. How whitewashed will it be? I don't know. We'll see I guess," said Waverley West Coun. Janice Lukes.

'Heavy-handed and aggressive'

Robert McDonald was at city hall on Monday appealing an order to vacate his building on Main Street. 

His liquidation company, Surplus Direct, buys stale-dated goods from major retailers and re-sells the products at a discount.

McDonald has been fighting an order to close his building since 2014.

The owner of Surplus Direct says he fought the city for four-and-a-half years over whether his building was a warehouse or a retail outlet. (John Einarson CBC )

He was ordered to do a parking plan for the building and a fire protection plan for a mezzanine level of the building. The city had also ordered upgrades to the building's ventilation system. 

The changes were ordered based on the city's view the building has been changed from a warehouse to a retail outlet.

McDonald and his lawyer, John Prystanski, say the city has it wrong. The previous business was an upholstery repair store that had an occupancy permit and was not a warehouse. 

Prystanski coincidentally also represents an unnamed group that paid private investigators to follow city inspectors during work hours.

McDonald told city councillors on the planning committee that the department created a horrible business environment with "aggressive enforcement."

"How common is it to shut down a flourishing business [that is] paying taxes and everything?" McDonald said, noting he employs a dozen people at his company.

Even senior managers at the planning department appeared to acknowledge the dispute over McDonald's property had taken far too long.

"This is not far from resolution. I just don't know why it's taking four-and-a-half years," said Stan Dueck, manager of development and inspections.

Surplus Direct owner Robert McDonald and his lawyer John Prystanski say they tried to get along with the property, planning and development department, 'but haven't been treated fairly.' (Sean Kavanagh CBC)

The committee voted to hold the matter over until September, effectively suspending the order to vacate the building, as both sides work out a compromise.

McDonald says he's relieved some common sense is being injected into the matter, but is still frustrated it has been going on for years.

The North End business owner says he may not agree with the undercover methods used to uncover the misuse of city time by inspectors, but he thinks the accountability coming with revelations in the video is overdue.

"The workers — the inspectors — have to be responsible for their positions. They have a job to do, they have to do it. This [in my case] has gone on for four-and-a-half years and we've had two people come by the building in four-and-a-half years. So it is somewhat due," McDonald said.