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Municipal Affairs hands down report

It's a rare thing to read the words “little b**** ” in an official government document.
Strategic Steps associate Shari-Anne Doolaege presents the governance portion of the municipal inspection report that investigated the Town of Athabasca.
Strategic Steps associate Shari-Anne Doolaege presents the governance portion of the municipal inspection report that investigated the Town of Athabasca.

It's a rare thing to read the words “little b**** ” in an official government document.

But the province's municipal inspection into the Town of Athabasca pulled all sorts of old stories off their dusty shelves and back into the spotlight, presenting them squarely in a 95-page report.

Almost 100 people sat in silence as Municipal Affairs representatives presented the report Aug. 28 at the Athabasca Regional Multiplex, reading off recommendations that dealt with what the inspectors called a lack of professionalism among various councillors, improper conduct, policy weaknesses and irregular handling of pecuniary interest matters.

President of the consulting company Strategic Steps Ian McCormack and associate Shari-Anne Doolaege led the presentation, listing 29 recommendations that council must address within 45 days, or the minister of Municipal Affairs may administer directives.

“We found that council leadership was fractured with a divided and often dysfunctional council during most of the council term, ” Doolaege said. “A great deal of time and energy was spent on attacking and defending each other rather than working to govern this remarkable community with steadfast leadership. ”

She said there was some improvement in council conduct in early 2017, and though commendable, it was quite late into council's term.

Municipal Affairs public affairs officer Jerry Ward stated in an email that the minister accepted the inspectors' conclusion that the town is managed in an “improper, irregular, or improvident manner. ”

“Council has 45 days from the date the report (August 28, 2017) was presented to the public to submit the plan (October 12, 2017), ” he wrote. “The Minister may issue directives if council's plan does not adequately address matters identified in the inspection report. ”

During the presentation, Doolaege also said the report confirmed that Coun. Tim Verhaeghe and Mayor Roger Morrill met the residence requirements of their positions, called council conduct “very unprofessional at times, with some outrageous name calling, ” and also recommended a fire services bylaw and operational policy review. On a positive note, the report also notes the town's finances are “fairly good ” overall.

The report is divided into three main sections - governance, administration and finance - and states that approximately 80 stakeholder interviews were conducted to gather data.

Notes about how council could not work together are peppered through the municipal inspection report.

“Unfortunately, council dysfunction consumed a large amount of time, energy and public resources during the 2013-2017 council term, ” the report's conclusion reads.

It also notes several instances of councillors expressing concern after receiving aggressive comments. The report refers to one instance where Coun. Joanne Peckham called Coun. Tim Verhaeghe a “little bitch ” outside the town office.

“First off, I will say that I am held accountable to my actions, and held in a higher regard from the community, ” Peckham said in an interview.

“I have never sworn or lost composure in council or at a special meeting as this one was. This was a human, honest error on my part and I should have just walked away. I apologize to the community for this one and only moment that I lost composure. ”

The report also states that “council dysfunction greatly impacted the CAO hiring process at various times throughout the council term. ”

The report states that “a division on council was evident with a 4-3 voting split present on many issues in the current council term. ”

It specifically references a motion to create a hiring committee with three members, noting that the 4-3 vote that created it was “to the dismay of certain councillors who were strategically excluded and apparently wanted to be involved in this important process. ”

“The back and forth actions between this divided council resembled offensive strikes between opposing camps, ” the report reads.

Verhaeghe said the attacks against he and Mayor Roger Morrill appeared to be personal in nature.

“If there is any indication that perhaps I went on the attack against other members of council, it certainly was not personal, ” he said.

The report suggests a few fixes, like rotating councillors' actual, physical seating locations around the council table and updating the Council Code of Conduct.

“I think that is a good idea, ” Verhaeghe said with respect to the Council Code of Conduct.

Under governance, report recommendations include councillor training, a code of conduct review, performance evaluations for the chief administrative officer, an updated procedural bylaw, more community engagement, a policy review and that councillors physically switch seats around the table.

As for the policy review, Coun. Tanu Evans said he agreed that the town's policies and bylaws needed an overhaul.

“If you look at most of our bylaws and policies, they need to be reviewed, ” he said. “Council was trying to do that, but you go through four CAOs and you just sort of lose track. And there was no leadership or direction on the issue, and it sort of fell short, which I mean, I take responsibility for as well. ”

The report states that although the policy format into categories is succinct and clear, there was only one policy posted online at the time of the report.

The report calls for the dissolution of the town's administration committee.

“The administration committee for the town is counterproductive, poorly designed and should be discontinued, ” it states.

The report reads that “council members established an improper use of an administration committee, ” noting that responsibilities and roles blurred between the CAO and select councillors appointed to this committee.

Mayor Roger Morrill said in its present mandate, dissolution of the committee seems responsible.

“But historically, the historical mandate seems reasonable, ” he said. “Historically, the admin committee would meet annually, at most semi-annually, to discuss matters of CAO. ”

Former CAO Josh Pyrcz is mentioned in the report several times.

The section on policies lists the town's credit card policy, and notes that an “irregular matter ” was found where former CAO Josh Pyrcz used the town credit card for a personal transaction, putting a $480 deposit on a temporary car loan in August 2015.

“Records show that the amount was paid back in full by CAO Josh Pyrcz on February 23, 2016, ” the report states. “There was no authorization for the CAO or any staff member to use the town credit card for personal use. ”

When asked in an interview in April 2016 about this loan, Pyrcz pointed out that it had been approved by former assistant CAO Melody Wolansky. When asked whether there was a policy that allowed the ACAO to approve a loan, he said, “Policies are great for guidelines. ”

“There has to be some aspect of common sense, ” he said. “That if it's necessary and is going to be repaid, discretion is appropriate. ”

This section of the report also states that “Concerns were shared that former CAO Josh Pyrcz amended the Hours of Work Policy 300-002 in July 2015, without council approval. ” The report states that a change had been made to the policy to read “straight time ” rather than “time and a half ” with respect to overtime. The report also states that records do not show a council resolution authorizing the amendment to the policy.

The inspection report then reads that records provided to the inspectors show that Pyrcz sent an email to an office staff member on July 27, 2015 referring to an overtime agreement as per policy 300-002: “That's the magic of leaving policies in word format. I already made the change! I'll send an announcement around 4:25 right before I leave haha. Cheers, Josh Pyrcz, Chief Administrative Officer ”

Speaking to the Advocate in April 2016, when Pyrcz was asked if he had ever changed a bylaw or a policy without council approval, he laughed and said, “No. ”

Coun. Steve Schafer was unavailable to comment. Coun. Shelly Gurba said the report did not surprise her, and she would not comment much until after council discussed the report at their next meeting Sept. 5.


See the full-screen presentation here

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