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Big Contracts for BC Liberals' Favorite Image Polisher
Despite party promise, Western Pro Show won first government deals without competing.
Back in 2001 when the BC Liberals were running for their first term in office, they promised to take firm steps to eliminate cronyism in the awarding of government contracts.
BC Liberal leader Gordon Campbell had been infuriated when, after Ujjal Dosanjh became premier in February of 2000, some of his leadership campaign supporters got jobs in the premier's office.
"I was wondering why the premier felt it was appropriate to hire people into his office who worked on his leadership campaign . . ." Campbell asked during estimates debates on June 29, 2000.
"I think what the premier doesn't understand is that this is about leading by example," Campbell added. "The example the premier sets to his cabinet colleagues is that it's all right for him to appoint his leadership supporters to $100,000-a-year jobs or $90,000-a-year jobs."
Running in 2001, the Campbell's party's "A New Era for British Columbia" document promised to "act to initiate" to "[r]estore open tendering on government contracts to allow fair competition for businesses and provide better value for taxpayers." And to do it within 90 days of being elected.
But contracts awarded to a media and events production company with long ties to Campbell's party raises questions about how serious the BC Liberals have been about following through on that promise.
After the BC Liberals were elected in 2001, even before the new cabinet was sworn in, Campbell's Liberals awarded a government contract to a company called Western Pro Show Rentals Ltd., a Vancouver firm that was very close to the BC Liberal party.
The contract was awarded directly, without going to tender.
Over the next four years, Pro Show, headed by Tim Lewis, was to pick up an estimated $2 million in public funds from the BC Liberal government, and its first few contracts were all awarded without competitive bidding.
Just weeks before winning the contract to produce and televise the cabinet swearing-in ceremony, Pro Show had been busy with another important job: Organizing Campbell's leader's tour for the successful 2001 campaign. That job, of course, was paid for by the party.
In other words, one of the first contracts awarded, without tender, by the newly elected BC Liberals was to a BC Liberal insider.
Rules for untendered contracts
According to the B.C. government's Core Policy and Procedures Manual, there are four "exceptional conditions" under which a ministry may award a contract to a company without competitive bidding. They are: when the ministry can "strictly prove" that only one contractor is qualified; when an "unforeseeable emergency" exists and the service could not be obtained in time by a competitive process; when open tendering would interfere with security or health; and when open bidding would compromise government confidentiality, cause economic disruption or be "contrary to the public interest."
In the case of the swearing-in ceremony, the justification for not going to tender was that it amounted to an "unforeseeable emergency." There simply wasn't time to carry out the lengthy process of open competition; the fact that the winner just happened to be a Liberal favourite was a complete coincidence.
However, soon afterwards, Pro Show was given additional contracts, also by direct award.
Just six weeks after the election, Pro Show won a $57,500 contract to produce the first two so-called "open cabinet" meetings, held on June 27 and July 18, 2001. That contract too was untendered, the justification being that it was also an "emergency."
A confidential briefing note prepared for Campbell shows they were prepared for some flak.
"It's no secret that Tim Lewis and Pro Show provided excellent service to myself and my campaign organization during the last election," said the briefing note, obtained by The Tyee under a freedom-of-information request.
The note went on to observe that Lewis had provided equipment and expertise for Bill Gates' wedding.
"The fact is that they are successful," continued the note, dated August 15, 2001. "And they are successful because they are very good at what they do."
There is no question about Pro Show's competence. But the way in which they were hired contrasts with the campaigning BC Liberals' stated aims. Why make such an issue out of governments hiring party insiders, particularly without tendering, if they were to do the same thing before the ink on the 2001 election returns was barely dry?
Long term contracts
In June, 2001, the work of producing the "open cabinet" meetings was indeed put out to tender. Four companies bid, one of them Pro Show. Two, according to the government, failed to meet the basic requirements. The two-name shortlist was then evaluated by a team, including senior, non-political officials. Western Pro Show did well by all criteria.
In addition, according to an official summary of the contract process: "Finally, they presented an impressive resume of comparable big-ticket events."
It is not clear whether the official summary, in mentioning "comparable" events, was including the two cabinet meetings Pro Show had already produced, via the untendered contract.
On August 30, 2001, the winner was announced. Western Pro Show Rentals Ltd. was the successful tenderer.
The contract handed Pro Show up to $220,000, plus $60,000 in expenses, to produce the open cabinet shows from August 30 till the end of the fiscal year, on March 31, 2002. (For more on these shows, see Will McMartin's analysis )
While the tendering process was under way, the BC Liberals took another step that they'd chastised the New Democrats for doing while in office: On July 19, they extended Pro Show's original untendered contract, adding another cabinet meeting and $23,150 to the original $57,500 contract.
Pro Show was to go on to produce every one of the 34 open cabinet shows, at around $20,000 a piece.
More work for Pro Show
Tim Lewis and his company do more than produce the open cabinet shows. The names of Lewis, or those of his staff, pop up on many of the passenger lists for premier Gordon Campbell's chartered flights around the province. Copies of the invoices were obtained under additional Tyee freedom-of-information requests.
For instance, when Campbell and crew flew from Vancouver to 100 Mile House, Revelstoke and then to Kamloops in June of 2002, Pro Show's Mark Fisher and Chuck Davidson were among those in the entourage.
In the nine-month period from April 1, 2003 till December 31, 2003, taxpayers shelled out almost $48,000 for private planes premier Gordon Campbell chartered from Pacific Coastal Airlines to travel around the province, according to the invoices. The premier's office has previously justified these charters as being cheaper than commercial flights, though security has also been a motivating factor. On almost every trip, Lewis of Pro Show. is there, too, accompanied by 350 lbs of equipment.
When an MLA goes along for the ride, his or her fare is covered by the MLA's own travel budget. But to judge from the invoices, the cost of carrying Lewis is, without exception, billed to the government's propaganda wing, the public affairs bureau .
Given that the premier had already hired the plane, this setup might well be the cheapest way of doing things. But it's highly unusual for a government contractor to move about like this.
Hired again
This spring, when it came time to organize Gordon Campbell's campaign tour, it was Pro Show that the BC Liberal Party chose.
According to an April 27 story in the Vancouver Sun, Pro Show provided and operated sound equipment for each of the premier's staged events, as well as organizing the tour itself. Political parties, of course, are free to hire whomever they want to do their work, and need not report the size of any contracts they award.
During the 2003-2004 fiscal year (the latest for which figures are available), Pro Show earned $508,000 from the BC government, according to the province's public accounts.
In the 2002-03 fiscal year Pro Show picked up $530,000 from Victoria. In 2001-02, during which the Liberals were in power for just 10 months, Pro Show collected $441,000.
Assuming that Pro Show earned similar government cheques in 2004-05, the company will have been paid more than $2 million in taxpayers' funds over the last four years.
When the BC Liberals were in opposition during the most recent NDP government era in BC, they complained bitterly about a range of government contracts handed to NDP-linked NOW Communications Ltd.
Running for re-election this spring, the BC Liberals campaign document "A Proven Plan for a Golden Decade" includes the phrase "open tendering" just once. Their 2005 platform promises to support BC Ferries' plan to build new ferries through "open tendering" - a process that so far has led to sending the work overseas.
Veteran Victoria Legislative reporter Russ Francis writes for Monday Magazine and regularly contributes to The Tyee. ![]()



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Chris H
6 years ago
Comments on "Big Contracts for BC Liberals' Favorite Image
"After the BC Liberals were elected in 20001 ...." Wow! I bet the BC Liberals will be happy to see that they have such longevity. LOL!
Davey-boy
6 years ago
This sort of thing surprises no one, and it seems to me that rewarding friends is a disease that crosses all party lines. What was it Mulroney once said in his own defence? Oh yes... "Ya dance with the lady what brung ya."
What interests me is the fact that no political party has ever been able to live up to its promise to rid government of the nepotism bug. Having never been a political official, I cannot say why this is so. But I'd sure like to know why maintaining such a commitment is so damned impossible. Anyone out there have an insider's perspective on this? Are you reading this, Rafe?
verso
6 years ago
More of the liberals, "Govern as we say, not as we do" routine.
Peter F Hammond
6 years ago
Let's cut to the chase:
Did the Liberal Party pay to have Pro Show crews produce (and capture for posterity) Campbell's trips?
Or was there an invoice paid by the government for these services, separate from those for the "open cabinet" meetings?
If neither, then Pro-Show seems to have been providing the premier or the party with free services in exchange for untendered contracts.
Seems like a lot more work is involved here than, say, building a new back porch for your neighbor. Again, no casino licence was issued, but in this case the porch-builder seems to have won a pretty big jackpot.
Also: If the our taxes paid for these trips, there should be no film or images from Pro-Show among Liberal campaing materials.
J Pular
6 years ago
For a Premier who lied with such ease about privatization of BC Rail and Hydro? And who promised an open government but is running one of the most closed politburos, this stuff is chicken little!
Ron Erwin
6 years ago
J. Pular
I didn't know BC Hydro had been privatized. My bill still comes from BC Hydro. I realize they sold BC Rail ( thank god ) but all I heard about BC Hydro is their billing dept. is now private. Is this what you are referring to ? Or do you have some inside information that they have been sold ?
ursus
6 years ago
erwin why do you say thank god b.c. rail was sold knowing they are making windfall profits from coal and more to come, it is my opinion we have been burned by a drunken liar!!! One who knew dam well coal would be moving and profits would be made. The cynic in me wonders how much went into the cayman account for that little deal.Eight billion dollars went into off shore accounts last year alone!
Bobb999
6 years ago
Davey-boy's post reminds me of one of my fave pork barrel stories:
Mulroney's knock out TV debate blow over John Turner, came when Mulroney attacked Turner for rubber stamping a long laundry list of partronage appointments Trudeau had put together after his walk in the snow. Mulroney: "You had a choice, sir!"
Turner: "I had to, I had no choice".
Mul. : "You had a choice!".
Mulroney quickly proceeded to try to out do all prior gov'ts in his granting of patronage appointments to Conservatives and supporters. He even made an anapologetic joke about it, when some reporter asked if he might open up appointments to non Tory partisans.
Mul: "Not while there's still any living breathing Conservatives out there !"
(My quotes may not be verbatim).
I agree with Davey that patronage has always been part of our politics and will be very hard to eradicate.
When politicians become loudly indignant about patronage, it's not patronage they oppose, it's that the patronage is benefitting the wrong side, the enemy!There's "good" and "bad" pork barreling.
chuckstraight
6 years ago
Accenture has the nasty part of handling the money at Hydro, Ron. They are based in Bermuda according to rumour, and were donors to Campbell as well.
Bobb999
6 years ago
I believe Accenture also handles the books and records for the BC Medical Services Plan. There is concern that new US homeland security laws mean the US gov't can demand YOUR medical history from Accenture!
Here's Yahoo Finance's Profile on Accenture, which also gives their address, as on "Canons Court, Hamilton". http://finance.yahoo.com/q/pr?s=ACN The co. apparently likes to keep a low profile on their Bermuda head office location. They give a postal code, but never mention it's Bermuda! (By the way, Bermuda is the flag Paul Martin's Canada Steamship Lines flies to avoid Cdn. taxes).
I googled their street and city and found other businesses also there less shy about advertising they're Bermudan.
Even if their head office is in Bermuda, the company likely originally incorporated in the US, making US security laws still applicable.
Bailey
6 years ago
Accenture is also the firm that, under the name Arthur Anderson, oversaw the Enron Corporation's criminal activities in what may be the largest fraud in history.
They got a New Jersey court to declare that they were no longer Arthur Anderson, and thus avoided criminal charges. They were hired apparently by Gordon Campbell personally, who flew to New York as soon as they were loose from Enron.
The letter he wrote to confirm was sycophantic and hero-worshipping, as though these people were his absolute ideal date. Maybe because they got away with it, and kept most of the money too. The letter was posted on the HEU website at the time, which might explain why he hates the HEU with such a personal hatred.
Interestingly, the Enron fraud involved buying up privatized power systems and wrecking them, then tripling and retripling the price of power until the State of California was near bankruptcy on the grounds that there was now a power shortage.
California has sued BC Hydro over their part in the affair. They claimed that BC Hydro was instrumental in sucking all those Californians dry during the manufactured brownouts by charging many times the regular price on the spot power market, knowing that California was desperate, and knowing why.
Bobb999
6 years ago
Surprisingly, the US Supreme Court recently overturned all criminal convictions of Arthur Andersen over the Enron affair. They're now innocent of all charges.
Accenture is a mere ghost of its former self, A.A. The criminal charges caused clients to flee from AA like rats from a sinking ship. I believe AA declared bankruptcy and resurrected in runt form as Accenture.
Even if the Supreme Ct. decision sticks (it's appealable in this case), still, the co. was punished by being pretty much wrecked from the fallout.But I fear executives involved may have landed on their feet.
I'd like to read that Gordo letter. Sounds entertaining.
lynn
6 years ago
I never knew about the letter posted on the HEU website, Bailey, thanks... that does seem to explain a lot of Campbell's personal venom towards them. (Besides them being a big bad union, of course).
It's amazing what a change of name allows you to get away with, an absolution of all past sins, for awhile at least... from Arthur Anderson to Accenture... from Reform to Alliance to Conservative... from Social Credit to ReformBC to BS Liberal.
redrivergirl
6 years ago
Ontario's auditor general slamed Accenture for the terribe job they did with Ontario welfare. And, I think New Brunswick fired them mid contract.
They also are getting slammed for poor work all over the US, including their performance running elections!
They are doing really financially well, as they vulture-like attack public services. They will take over any public service work. Google them and poor performance,or terms like that and there is a lot to be found.
This article deals with matters more serious than patronage and only scratches the surface. One day the chickens will come home to roost for Cambell etal.
redrivergirl
6 years ago
Oops, I didn't mean the article wasnt' in depth. It was a good investigative article. I meant this incidence is one among many with this crew.
Fiat lux
6 years ago
To the best of my knowledge, Accenture has been banned from doing business in California and in other Sates, although this may have been changed under Arnie.
We have to understand that one of the main reasons Gordo is selling BC's infrastructure to Americans, apart from his undying admiration of the so called "free enterprise" system, is that under NAFTA and WTO rules, services sold to foreigners can no longer be put back under public control. E.g. If any future government wanted to cancel the BC Rail deal, under Chapter 11 of NAFTA, CN could sue Canada for 99, or 990 years of "lost profits" and win. This is what so called "free trade" is all about. Ed Deak, Big Lake
redrivergirl
6 years ago
http://www.polarisinstitute.org/corp_profiles/public_service_gats/corp_profile_ps_accenture.html
redrivergirl
6 years ago
Yes, Ed, New Brunswick had to pay them off too, when they cancelled, even though they were cancelled because they couldn't deliver on the terms agreed.
What can I say. One day, it'll all come out and there will be accountability. Tides turn and they are starting to turn in the US, which is the writing on the wall for us. The free ride these people have been enjoying will come to an end, just as it is in Ottawa with Gomery
lynn
6 years ago
It's infuriating, isn'it?! These neo-cons and their governmments are just business agents that are brokering for the US, literally stealing all the that is best of Canada from out of Canadian public hands. It really is treason and I hope one day the punishment fits the crime for this band of quislings.
Bailey
6 years ago
It's a nice thought that all will be revealed and the bad behaviour will be punished and all, but how will that happen, exactly?
All the suspicious circumstances surrounding recent governmental activities seem to center around two things; secrecy and money.
That is a very telling fact. When the trustees of your funds hinder the auditor and prevent him from doing what auditors are supposed to do, it can only be because there is something discreditable to find in the books. Something very fishy there.
If you want to know what's going on, you must restore and increase the auditor's ability to audit. Get a thorough look at the books of the Ministries, various officials offices and aides, programs and their outcomes, value returned for payments received.
I doubt if treason could be shown in peacetime, but we really need very badly to know in no uncertain terms exactly where the money is going, and what we get for it. And what political parties and candidates get for it too.
Not to mention what is happening to our resources while we languish in the dark here.
Dave A
6 years ago
yes, Fiat Lux, you're right with the above quote, however, perhaps we should take a page from the South American democracies....(peoples' power; and, although they are not saddled yet with these Pacts ,i somehow think they ain't gonna buy the farm, either)...and tell the Nafta's and WTO's to shove it and sue.
Fidel knew how to handle these turkeys!
crh
6 years ago
Yes Accenture and their type of ultra neo cons really are modern day pirates. Take all ye can get, and give nuthin' back.
freebear
6 years ago
To the best of my knowledge, Accenture has been banned from doing business in California and in other Sates, although this may have been changed under Arnie.
"We have to understand that one of the main reasons Gordo is selling BC's infrastructure to Americans, apart from his undying admiration of the so called "free enterprise" system, is that under NAFTA and WTO rules, services sold to foreigners can no longer be put back under public control. E.g. If any future government wanted to cancel the BC Rail deal, under Chapter 11 of NAFTA, CN could sue Canada for 99, or 990 years of "lost profits" and win. This is what so called "free trade" is all about." Ed Deak, Big Lake
I agree with Ed (above). Its all about a fire sale (short term profit)
Name
6 years ago
This is exactly the same way they got into trouble with Doug Walls -- untendered contracts to Liberal/Campbell cronies, no matter how questionable, with the key criterion for hiring being loyalty (to the party in power, that is, not loyalty to the people they were actually hired to serve). This is they way they do business throughout government, especially if it's in any way politically sensitive.
Yes, all parties do it, but that doesn't excuse it for a minute, as Mr. Campbell took pains to point out in Opposition. What a hypocrite!
This goes to the very core of sound fiscal management--which was supposed to be the main reason why people elected Mr. Campbell and the reason why we're supposed to overlook all his other faults.
RossK
6 years ago
More on Accenture's neandercon-assisted tentacular spread into B.C. can be found below...
http://tinyurl.com/aq2ff
Bobb999
6 years ago
Accenture is a public company. If they wanted to,concerned citizens could buy a share, go to the Annual General Meeting and raise coordinated sh*t,a strategy used by environmentalists wanting to raise issues with forest companies.
In reality, large shareholders have the most clout. Ontario Teachers Pension Fund, for one, is activist in pressuring co. boards to alter policies deemed unfair or unethical,(granted, it's usually in regards to treatment of shareholders rather than concern about the greater public interest).
Bailey
6 years ago
Good plan Bobb999. I could use a nice holiday in Bermuda.
It's not just a tax haven. It also isolates them inside a really big moat.
Vera Kristiansen
6 years ago
There are two separate issues here: 1) hiring someone to work directly with the premier and 2) letting out contracts without tender.
The first, a premier should in fact appoint people working closely with him that he has trust and faith in. That should never be in doubt. Imagine tendering those positions out to anyone. They are not even in a union, because they live or die with the premier.
2) Going to tender with government contracts is one way, and probably the only way, to keep government monies available to the best, and to the most economical. This is where Campbell falls. The companies that run his elections may, in fact, not be paid for this service, but are promised hefty contracts after the election which pay off these obligations. This is what has been going on with the Liberals federally, by my estimation.
The Socreds, and especially Gaglardi, were notorious for siphoning government monies into private hands. It doesn't take a genius to see how this works.
This is not something the NDP was accused of. So much was made of the fast ferries, but at no time was there ever accusations that money was being siphoned off into private hands, or that unqualified friends and family were hired and thus added to cost. There is a difference.
Budd Campbell
6 years ago
I am afraid that Vera Kristiansen is quite wrong to say that "This is not something the NDP was accused of. So much was made of the fast ferries, but at no time was there ever accusations that money was being siphoned off into private hands, or that unqualified friends and family were hired and thus added to cost. There is a difference."
As the article points out Mike Harcourt was criticized for spending way too much on "communiciations" contracts with Ron Johnson's Now Communications company. Reporters and pundits were furious, as they regarded the NDP's spinmeitsters as not only favoured insiders, but kind of amateurish as well. And there was also Carl Strubble, the UD Democratic Consultant who was always doing work for the NDP when Harcourt was Premier, though I don't think he was around when Glen Clark was in office.
Finally there is the little matter of Patron of Patronage John Pollard and his little black rolodex choc-a-bloc full of names of once-upon-a-time NDP lawn sign coordinators or convention delegates or what have you. Mike Harcourt's Premiership was essentially sunk on the rock of Pollard's appointment, and the subsequent appointments he made to boards, commissions, agencies etc. Pollard was intellectually incapable of making rational, acceptable choices, and when he screwed up, which he did all the time, Harcourt took the blame. By the time Harcourt left office, it was leave or be crushed in the ensuing election.
Much has been written in recent weeks about Carole James biggest potetntial headaches and challenges in her new 33 seat caucus. Some have mentioned Krog, some Chudnovsky, etc. In reality, the biggest potential headaches is that Sue Hammell (aka Mrs John Pollard) is back from Surrey Green Timbers. This is not exactly a cause for celebration.
Vera Kristiansen
6 years ago
Yes, Bud Campbell, the NDP screwed up time and again. However, when the NDP awarded contracts to Ron Johnson, it was under public tender. The opposition made great headlines out of it, but the advertising industry said very clearly that these were public tenders and the appointments were reasonable. I think Johnson got something like 5% of the government's advertising contracts. However, this was not reported in headline form so you probably missed it.
Of course the NDP did and will make mistakes. I just wanted to impress the difference between public tender which is there to insure some reasonable access for all companies wanting to do business and reasonable costs to the government, and appointments of people in the premier's office with whom he has to work closely and intimately.