City of Ottawa escalates legal pressure on LRT contractor
The city of Ottawa is ratcheting up the pressure on its LRT contractor, with a key committee voting to issue a notice of default to Rideau Transit Group after two derailments in six weeks.
In addition, the city’s finance committee voted to deliver a ‘notice of dispute,’ which could result in more legal fighting.
Councillors voted after more than three hours meeting behind closed doors with legal counsel.
The Confederation Line has been shut down since the second derailment on Sept. 19. The city issued the notice of default on Sept. 24, but it was only made public today.
"This should set off a bunch of alarm bells for them because it's no longer a dispute just between us," transit commission chair Allan Hubley told Newstalk 580 CFRA. "If this ends up in court that means a judge is going to make a ruling, and hopefully rule in favour of the city and our ridership. And say that we deserve better, we paid for better, we should be getting better."
The ‘notice of dispute’ is essentially the city signaling it’s not satisfied with RTG’s response, and could take more legal action.
"This is RTG's problem to solve and if RTG continues to abdicate its responsibilities the City will need to take the strongest possible actions under the Project Agreement and at law," said a Sept. 24 letter from the city to RTG released Tuesday.
RTG is also replacing its vehicle maintenance manager, according to a memo to council. The scathing seven-page letter details the city's problems with the maintenance of the vehicles, rather than the vehicles themselves.
"The city's confidence in RTG's ability to deliver the maintenance services has been seriously eroded."
This is not the first notice of default the city has issued RTG a default notice. It issued one in March 2020 after myriad problems with the train in its first year of service. Millions of dollars have been spent on that legal fight.
Council will still need to approve the moves at its next meeting on Oct. 13.
The moves on Tuesday fall short of the actions some other councillors are calling for, also scheduled to be discussed at council next week.
Coun. Diane Deans is asking city staff to report on the cost of scrapping the 30-year maintenance contract with Rideau Transit Maintenance, RTG’s maintenance arm.
And Coun. Catherine McKenney is pushing for a public judicial inquiry into the LRT procurement process.
“Taxpayers paid $2.1 billion for this system, and they want to know what went wrong,” McKenney told CTV Morning Live on Tuesday. “What was in that contract, and what were the decsions made between then and today that have led us to a place where we don’t have a functioning rail system?”
McKenney estimated an inquiry could cost up to one million dollars, but in the context of the $2.1 billion project, said it’s worth it.
“At this point, the public certainly doesn’t have the confidence that they need in our transit system to continue to support it,” they said. “We have a system that is dysfunctional, that simply in two years has never worked consistently, and the issues are only getting worse.”
There is still no timeline on when LRT service will resume.
CTVNews.ca Top Stories
NDP calls out Conservatives for effort to squash pharmacare legislation
The federal New Democrats are calling out Conservative Leader Pierre Poilievre and his party for trying to block the bill that could pave the way for millions of Canadians to access birth control and diabetes coverage.
Stamp prices rise for the third time in five years amid financial woes for Canada Post
Canada Post is increasing stamp prices for the third time since 2019, a move the Crown corporation says is a "reality" of its sales-based revenue structure.
Winnipeg man admits to killing four women, argues he's not criminally responsible
Defence lawyers of Jeremy Skibicki have admitted in court the accused killed four Indigenous women, but argues he is not criminally responsible for the deaths by way of mental disorder – this latest development has triggered a judge-alone trial rather than a jury trial.
An El Nino-less summer is coming. Here's what that could mean for Canada
As Canadians brace themselves for summer temperatures, forecasters say a weakening El Nino cycle doesn’t mean relief from the heat.
Mediterranean staple may lower your risk of death from dementia, study finds
A daily spoonful of olive oil could lower your risk of dying from dementia, according to a new study by Harvard scientists.
A subset of Alzheimer's cases may be caused by two copies of a single gene, new research shows
For the first time, researchers have identified a genetic form of late-in-life Alzheimer’s disease — in people who inherit two copies of a worrisome gene.
Ontario MPP asked again to leave Ontario legislature over keffiyeh, Speaker loosens ban
An Ontario MPP was asked again to leave the Ontario legislature on Monday for wearing a keffiyeh, a garment that was banned by the Speaker last month due to its political symbolism.
WATCH Avian flu: Risk to humans grows as outbreaks spread, warns expert
H5N1 or avian flu is decimating wildlife around the world and is now spreading among cattle in the United States, sparking concerns about 'pandemic potential' for humans. Now a health expert is urging Canada to scale up surveillance north of the border.
Trudeau Liberals to unveil new bill Monday aimed at countering foreign interference
Democratic Institutions Minister Dominic LeBlanc will be tabling legislation on Monday aimed at countering foreign interference in Canada. Federal officials have scheduled a technical briefing on the incoming bill for Monday afternoon.