Southlake Regional Health Centre insists it has no records relating to the key meeting on 1 November 2022 when landowner and developer Michael Rice promised hospital chief executive Arden Krystal land in the Greenbelt for a new hospital “for a nominal fee”. 

The commitment to land in King, west of Bathurst and south of Miller’s Side Road and next door to Newmarket, was given three days before the Government announced that certain lands in the Greenbelt – including those purchased by Michael Rice on 15 September 2022 – would be opened up for development.

Hospital Expansion

The 1 November 2022 meeting on “hospital expansion” at King Municipal Centre was scheduled to run from 9.30am until 11am. It was organised by King Township’s Chief Administrative Officer Daniel Kostopoulos.

Apart from Michael Rice and Arden Krystal those present included the Township’s Mayor, Steve Pellegrini, its Director of Growth Management, Stephen Naylor, and Southlake’s Vice President Capital Facilities and Business Development, John Marshman.

On 25 January 2023 I asked Southlake for sight of all records held by them:

“(including emails, phone calls and meeting records) relating to the in-person meeting on 1 November 2022, involving Mayor Pellegrini of King, the Rice Group and Representatives of Southlake in which a commitment was given that lands in King would be provided to Southlake for a nominal fee.”

Sanitized

On 3 March 2023 Southlake tells me they have no records - other than a sanitized invitation to the 1 November meeting which, astonishingly, does not show (a) when it was sent or (b) the names of the recipients. (shown right) This is simply not good enough.

Personally, I don’t think Southlake’s response is remotely credible. 

If I were Chief Executive on $530,878 a year, responsible for running one of Ontario’s multi-million dollar flagship hospitals, and I had been offered land for a new Southlake for $5 I would want to take a note of who said what at the meeting. I’d jot something down. With follow-up points.

But no. After this hugely consequential meeting, we are told there is absolutely nothing. As with the Municipality of King, there are no records which show me the process or mechanism used to identify lands which may be suitable.

Record Keeping

We are not talking patient confidentiality here. This is about standard public administration and the importance of keeping records. This was a scheduled 90-minute meeting on a matter of great consequence. Was there nothing worth recording?

The Information and Privacy Commissioner of Ontario requires public institutions – including hospitals - to conduct a reasonable search for so-called “responsive records” when they receive Freedom of Information requests. It is the law of the land. The IPC says:

“A reasonable search occurs when an experienced employee who is knowledgeable in the subject matter of the request makes a reasonable effort to locate records related to the request.”

“A reasonable effort is the level of effort you would expect of any fair, sensible person searching areas where records are likely to be stored. What is reasonable depends on the request and related circumstances.”

In the light of this I’ve asked Southlake to look at the files held by Arden Krystal’s office and John Marshman’s office. At the very least I would expect some communication with senior staff on this dramatic offer of land, essentially for free.

Making the Case

Southlake has been making the case for a new site for a few years. 

Newmarket Today reported in August 2021:

“The hospital is planning to expand to a nearby area, but has yet to find a suitable location.”

The Chief Executive, Arden Krystal, said she hoped some land could be gifted by benefactors

Almost a year ago, on 8 April 2022, the Province gave Southlake $5M to help plan for a new hospital:

This funding will support planning to build a new state-of-the-art hospital and redevelop the existing site to meet the growing demand for services and improve access to high-quality health care for residents of York Region and Simcoe County.”

How was planning grant spent?

How was this $5M planning grant spent? Was any of it earmarked to search for a suitable location? if not, why not? Would a Greenbelt location outside a settlement area be permitted? Would it be suitable? What constraints on development might apply? What about medical and ancillary businesses which are not part of the hospital but support its work? Could they locate next door to the hospital campus, also on Greenbelt lands?

Who was advising the Chief Executive on possible sites? Was it John Dunlap? Was it the Province? We are told the Province was working with Southlake on the early stages of the planning process. Who had responsibility for scouting for a suitable second site?

What were the drawbacks, if any, to the offer of an estimated 60-80 acres of the Rice Greenbelt lands? Where were the offered lands (the Rice lands cover 2.7 sq km)? Was the location acceptable? Was there any negotiation?  Were the remaining Rice lands going to continue in agricultural use? Was there any suggestion or hint that the Greenbelt designation could be changed – if not immediately then at some point in the future?

Process

What was the process employed by Southlake to identify a suitable location within 10km of the Davis Drive site? (Graphic right shows area within 10km radius of Southlake)

We know King’s Mayor, Steve Pellegrini, had been scouring the municipality for a suitable site for a new hospital for years – because he said so.

“I have been moving this idea forward since 2019 – on different lands, with different landowners.” 

He told the press a “different landowner” had offered land in the vicinity.

The municipality tells me:

“The idea of providing land in the vicinity for a new hospital came from a landowner to Mayor Pellegrini several years ago.”

Despite these statements from the Mayor, the municipality has been unable to show me any records relating to the process or mechanism in place to identify lands in King which might be suitable for a new hospital.

Clear Blue Sky

We are expected to believe the offer of free land in the Greenbelt for a new Southlake just dropped out of a clear blue sky.

I don't think so.

I want an assurance that Southlake has conducted a reasonable search for the records I have requested. That's why I have today lodged an appeal with the Information and Privacy Commissioner.

If there are genuinely no records about that key meeting on 1 November 2022 that raises a whole new set of questions.

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 12 March 2023: From the Toronto Star - a backgrounder on how Ontario's hospitals are managed. "Break down the silos running our hospitals"

Tomorrow, 4 March 2023, marks the first anniversary of Dawn Gallagher Murphy’s appointment as the Official Progressive Conservative candidate for Newmarket-Aurora. 

Our Progressive Conservative MPP was never chosen by Party members in Newmarket-Aurora. She was foisted on them.

After repeatedly assuring people that she was going to run again for a second term Christine Elliott abruptly announced her retirement on 4 March 2022.  And, without missing a beat, Doug Ford immediately installed her Office Manager, Dawn Gallagher Murphy, as the official PC candidate.

Definitely running

Christine Elliott had previously told The Agenda’s Steve Paikin - and others - she was definitely running for re-election.

Steve Paikin:  Are there any circumstances under which you could imagine that not happening?

Christine Elliott: Well, there’s lots of circumstances but I hope none of them happen to me. There’s illness, I hope not. But other than that, no, I don’t expect that.

As late as 17 February 2022 the Newmarket Aurora Riding Association was still telling the world Christine Elliott would be their candidate in the June 2022 Provincial election. 

Bombshell

Then came the bombshell on 4 March 2022. Newmarket Today reported: 

“The Ontario Progressive Conservatives announced March 4 that Dawn Gallagher Murphy would take over the nomination from Newmarket-Aurora MPP and Minister of Health Christine Elliott. The long-time official had announced she would not run for re-election that same day.”

The local Party was completely blindsided. They were cut out of having any say in who should be their candidate in the June Provincial election. Instead, Doug Ford brazenly told them who their candidate would be. It would be his choice, not theirs. A fait accomplis.

A deal had been done between Elliott, Ford and Gallagher Murphy to stitch up the candidacy. And Party members of the Newmarket-Auroral PC Riding Association were left looking on, as hapless bystanders.

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Newmarket-Aurora MPP, Dawn Gallagher Murphy, spent more than $8,000 providing free meals to voters in the run up to last June’s provincial election.

Dawn Gallagher Murphy’s financial statement (or CR-1) was filed with Elections Ontario on 30 November 2022.

It itemises her election income and expenditure.

The Hostess with the Mostess

Her Statement of Expenses tells us she forked out $5,228.60 to feed voters at meetings she hosted.

But, intriguingly, in Schedule 6 (List of Suppliers) the following are listed under the expense heading “Meetings Hosted”.

Meetings Hosted

Description of Expense   Supplier                                          Amount

Food                             Molisana Bakery                               $367.25

Food                             Wicked Eats                                     $947.72

Food                             MrCorn Ltd                                      $1,356.00    

Food                             180 Drinks                                       $2,397.86

Food                             A Million Mouthfuls                         $3,159.28

This list totals $8,228.11 for food for "Meetings Hosted".

I’ve asked Dawn Gallagher Murphy to explain why there is a difference between the two figures - $5,228.60 and $8,228.11.

Meeting and Eating

Curiously, Gallagher Murphy gives no other information about the meetings she hosted other than the cost of the mountains of food the voters consumed. She says they were not fundraising events.

There are no other costs associated with the meetings such as hall rental. Were they street parties?

We are not told how many meetings she hosted, nor the venues nor when they took place. (Photo right: Dawn Gallagher Murphy at her victory party)

And because these were not fundraising events Elections Ontario says there is no requirement to give this information.

Wining and Dining

Dawn Gallagher Murphy was absent from all the election debates. She said the first one she missed was due to a “family emergency” but then she boycotted all the others without giving reasons. It was as if the debates were a huge inconvenience when she could be spending her time more profitably wining and dining her future constituents.

I emailed DGM on 14 February 2023 asking her to tell me more about these meetings she hosted. Where and when did these meetings take place? It's radio silence. I hear nothing.

Corn-Roast

Last October, after she had won the election, DGM hosted a free barbecue and corn roast at the Riverwalk Commons in Newmarket. 

Newmarket Today reported:

“The event is a celebration of the season and a thank you for the support the community has given her.”

Dawn Gallagher Murphy clearly has a passion for food. She says the free corn roast is to become an annual event.

Of course, what she does with her own money between elections is a matter entirely for her.

Treating the voters

But wining and dining voters in the run up to voting is quite another matter.

Or at least it should be.

Why stop at $8,228.11 for free meals for the voters?

Why not spend $18,228.11 or $28,228.11? Or more.

Is there a limit? And if not why not?

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Contributors to DGM's campaign are here.

The Mayor of King, Steve Pellegrini, today revealed that the Township facilitated the in-person meeting on 1 November 2022 between Michael Rice and Southlake Hospital which resulted in Greenbelt land being offered to Southlake for a nominal fee.

This was three days before the Government first publicly announced that certain lands in the Greenbelt (including the Rice lands) were to be opened up for development.

Mayor Pellegrini told me earlier today: 

“Rice Group reached out to the Township initially to meet regarding their lands in King. Subsequently, the Township facilitated a meeting with the Rice Group and Southlake Hospital.” 

Mayor Pellegrini is sticking to his story that the Province can build a hospital anywhere it likes. He insists:

“The Province does not require removal of land from the Greenbelt to build a hospital. They may build provincial infrastructure on any land that they deem suitable.”

If he is following the advice of professional planning staff in his own municipality then it puts them at odds with the Region’s Chief Planner, Paul Freeman, who says:

“a hospital would be considered institutional and directed to settlement areas given the agricultural designation on the subject lands.” 

On 1 February 2023, Mayor Pellegrini told Newmarket Today they had been looking for a new site for a hospital since 2019 and had explored the area for that reason. He said a different landowner had offered land in that vicinity.

I am waiting to hear from the Municipality how they went about looking for a suitable site in King.  How did they “explore the area” and who was involved in the search? The Mayor says a different landowner had offered land in the vicinity? Who was that landowner and was he or she prepared to gift Greenbelt land to Southlake? Will he tell the Integrity Commissioner even if he won’t tell me?

Although King does not have any records relating to the 1 November 2022 meeting Southlake does.

We wait to hear more.

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Tom Vegh, the politician who supped at the developers’ trough for years, yesterday turned on his former paymasters. 

Speaking in yesterday's debate at York Region on the impact of Bill 23 (More Homes Built Faster Act 2022), Vegh accused the Ford Government of bringing in legislation which would mean taxpayers subsidising developers.

“We also talk about the taxpayers subsidizing growth. This is really a case of taxpayers subsidizing developers.”

These are very same developers who have subsidized Vegh for years. Bailing him out. Saving him from disqualification for overspending on his election campaigns. Now he has the nerve to bite the hand that feeds him.

The "Ford Tax" impact

Vegh’s three-minute contribution was noteworthy as he rarely speaks in debates at the Region. He is mostly invisible. Comfortable when keeping his thoughts to himself.

Vegh also argued that any property tax increases resulting from Ford’s More Homes Built Faster legislation (Bill 23) should be dubbed “the Ford tax”.

“We keep talking about the property tax impact. This is just a comment about language. This is really the Ford tax impact and I think we should just just start calling it the Ford tax. Quite frankly, let him own it.”

With this statement Vegh has now burned his bridges with the Provincial Progressive Conservatives. For years he harboured the ambition of going to Queen’s Park himself. 

Tom Vegh MPP.  

On 5 December 2016 Vegh told residents in Ward 1 that he was ready for a bigger challenge. In his Community e-letter he confessed he really wanted to be an MPP and he was up to it:

"If I am successful in the nomination and am given the opportunity to be your Newmarket-Aurora PC candidate, I promise to represent your interests at Queen's Park with the same vigor (sic) and professionalism as I have as your Ward 1 Newmarket councillor."

Impertinently, Vegh also suggested the projected tax rises presented by the highly competent Regional Treasurer, Laura Mirabella, should be vetted by an outside third party to give them more credibility. He said that third party would defend themselves:

“in a way that perhaps carries a bit more credibility than how we defend ourselves because of how people feel about government, politicians etc.”

Vetting Vegh

Vegh should know why people are skeptical of politicians and the promises they make. He is the man who solemnly promised a new public library in Newmarket. And a new Seniors' Centre. Neither materialised. We could have done with some independent third party vetting of Tom Vegh back then. 

In her comments the Regional Treasurer referred to Hemson Consulting.

And, no, Tom it’s not “Hempen Consulting” or “Hempton Consulting”.

It’s Hemson.

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Update on 24 February 2023 from Newmarklet Today: The "Doug Ford Tax": York Region faces a 2% - 7% tax increase due to Bill 23

Update on 7 March 2023: From Newmarket Today: Deputy Mayor declares campaign deficit

Click “Read more” below to read Tom Vegh’s very rare contribution to the debate at York Region.