Mayor returns to tackle political crises

Back from vacation, Chiarelli talks about family business troubles, bus security, crime solving

Tuesday, January 13, 2004

Mayor Bob Chiarelli returned to City Hall yesterday to face several crises that could have him wishing he were back in the Dominican Republic.

In a wide-ranging interview with the Citizen, the mayor
spoke about three pressing public relations nightmares that erupted in his absence. At issue is the notion, real or perceived, that this city's police force isn't doing enough to solve crime; OC Transpo buses are unsafe; and the mayor himself is a deadbeat taxpayer.

Mr. Chiarelli painted a picture of a family business in financial trouble as he spoke for the first time about the nearly $127,000 in property taxes Cedarhill Golf Enterprise Inc. owes the city for 2002 and 2003.

"That's why it is being sold," the mayor said of the company that operates the Cedarhill Golf and Country Club just north of Barrhaven.

Mr. Chiarelli is a director of the firm while his brothers,
Richard and Patrick, are president and secretary-treasurer respectively.

The mayor said he has an indirect interest in the firm. He would not go into further details of the financial situation out of "respect for the family."

The lands have been owned by the Chiarelli clan for about 40 years.

The golf club has had "a difficult time" for the past three or four years, the mayor said. He declined to comment on the selling price for the club.

Cedarhill has an agreement to sell the club to 2032788 Ont. Inc. -- a company that is running the operation and has pledged to pay the outstanding property taxes.

The deal was supposed to be completed on Nov. 15, but has been delayed because the numbered company is having financing problems.

The mayor said he has not had many direct dealings with Cedarhill for the past six or seven years, and that the family wanted to get out of the business because its members had other professional commitments.

Because of his lack of involvement, the mayor said he did not know why the taxes were not paid.

City councillors say the tax problems are an embarrassment to the mayor and should be settled equitably and quickly.

"He is in the rough on this one," said Innes Councillor Rainer Bloess.

"I feel for him," Mr. Bloess said yesterday. "It is a business venture that has had some difficult times. If he weren't the mayor, this wouldn't be an issue. He needs to be more careful than the average Joe."

Bay Councillor Alex Cullen called the situation an "embarrassment" for the mayor.

"He is a citizen like anyone; he has to follow the law like anyone else," Mr. Cullen said.

The councillor said the city should take great care that the municipality receives the money for the taxes.

"I am confident the taxes will be paid," Mr. Cullen said.

In fact, the city has stringent rules about the payment of property taxes. Interest is charged at a rate of 1.25 per cent per month on unpaid bills. After three years in arrears, the city can put a lien on the title and the property can be sold by the city to obtain the tax money in year four.

"The city will get the taxes on the property, one way or the other," Knoxdale-Merivale Councillor Gord Hunter said.

Alta Vista Councillor Peter Hume said it is critical the mayor's company is treated no differently than other companies or persons in arrears.

Mr. Chiarelli's company is just one of 17,000 people and firms in arrears, Mr. Hume said. "It is certainly not something you want to see. This type of thing happens to the best of people."

Bell-South Nepean Councillor Jan Harder advised the mayor to be forthright.

"Tell the truth and do the right thing," Ms. Harder said. Then she added: "I think we have to give him the benefit of the doubt."

Ms. Harder said the mayor should excuse himself from any discussions on the city-owned Pineview Golf Club given his position as a director at Cedarhill.

Mr. Chiarelli said he would meet police Chief Vince Bevan and Police Services Board chairman Herb Kreling today to find out what the department is doing to shore up public confidence that the city's transit system and streets are safe.

"We're going to have a conversation about the level of violence," he said, "whether it's on OC Transpo or whether it's in different areas."

Mr. Chiarelli said that after a series of high-profile swarming incidents on OC Transpo buses, the public needs to be assured that the city and its police force are giving the transit company the support it needs.

"There needs to be some sense of awareness on the part of the public that there is attention to security and that if incidents occur -- particularly more serious incidents -- that there will be some very significant follow up," he said.

The mayor said he wants to know more about the police plan to shift resources to provide more security for transit riders.

"Certainly, they've done some of that over the weekend on OC Transpo," he said. "And it may be a good idea to do that for an indefinite period of time until the situation is stabilized, and until there's a little more confidence on the part of the residents."

The mayor said he would also talk to Chief Bevan and Mr. Kreling about public confidence in the way police investigate crimes like violent robberies. In mid-December, the mayor asked police to make sure they followed up with the investigation of the violent mugging of Ottawa lawyer Robin Ritchie, who is a friend of Mr. Chiarelli's and who told the mayor that he didn't think police were doing enough.

"I would have done it for any person -- constituent -- who called with a similar type of situation, but I knew Robin personally and I called him and I had a very extensive discussion with him," Mr. Chiarelli said.

"I think there should be sufficient followup that people have confidence in the system," he said.

On another matter, the mayor said he is not planning to follow up any time soon on a proposal from Councillor Diane Holmes to ban plastic grocery bags.

"I wouldn't support a ban on plastics. If we're going to do any more policing of activities, it's not going to be having people stand outside of Loblaws," Mr. Chiarelli said.

He said the practice of shipping the bags to China, something that costs the city $1.2 million a year, should be examined, but a ban or a heavy tax on the bags, as is done in Ireland, is not in his plans.

"I don't see that as a priority for city council or for myself right now," he said. "I would put the question of plastic bags on the back burner for quite a while."

© The Ottawa Citizen 2004