I do have a question about B.C. Ferries and a partnership
agreement they’re entering, a fi ve-year partnership
agreement. Again, maybe the minister knows about this.
Hopefully, the staff have been versed on this. It is with
SNC-Lavalin. It’s a fi ve-year partnership agreement for
“the management of all master planning, engineering,
maintenance and…construction of new…ferries and
I’m just wondering if
the minister or the staff have any input on this fi ve-year
partnership agreement with SNC-Lavalin
The last question you asked: do we have input into the
issue with B.C. Ferries and SNC-Lavalin? No, that’s an
operational question. B.C. Ferries will make those determinations
On that note, getting back to the SNC-Lavalin. Again,
I guess the minister sort of put it off , saying that there’s
a ferry commissioner who will regulate it and that it’s an
But when we start looking at what’s happening with
B.C. Ferries and this fi ve-year partnership agreement….
I put in an FOI, so that’s the only way I can try to get
the amount of it. Right now the agreement is for the engineering,
maintenance, construction, new ferries and
terminal facilities, and right now B.C. Ferries has a minimum
of 46 management positions dealing with terminal
operations and engineering.
I would think that it must astound ferry users and
those watching this, that they’ve signed a multi-year
contract to deal with this, and we have 46 management
positions within B.C. Ferries who deal with terminal
operations and engineering.
So, here we have a contract, a multi- year, big dollar contract signed with a company that have snagged big $$ contracts with the BC Liberal government time and time again…and there seems to be very little anyone knows about it ..
Gary Coons tried to find out more about it, Blair Lekstrom confirmed the government had no input into this contract, certainly the good people of B.C. getting bilked every time they have to take a ferry anywhere didn’t know anything about this contract…
SNC Lavalin, on the other hand, has been lauding this ‘strategic partnership’ all over the web…
BC FERRIES TERMINAL ASSET MANAGEMENT, BC, CANADA
BC Ferry Services Inc., a newly independent company responsible for the management of British Columbia’s provincial ferry system, has engaged SNC-Lavalin to manage the construction and maintenance of all 47 of its terminals in British Columbia. The partnership arrangement between BCFS and SNC-Lavalin involves the formation of a new business unit, known as Terminal Asset Management (TAM), consisting of both BC Ferries and SNC-Lavalin personnel.
The TAM group manages an annual program of $40 million in capital construction and $15 million in annual maintenance. By bringing efficiencies and best practices to the BC Ferries Maintenance Group, the TAM team is establishing a comprehensive preventative maintenance program that provides best use of assets. The TAM team is also looking at third-party opportunities for asset management outside of the BC Ferries organization.
Ah… a contract renewal…. ( Seriously SNC Lavalin must really be worried about the Liberals reign coming to an end)
.. which takes us back to the very beginning of this ‘strategic partnership’ .. which occurred way back in 2003- 2004…. the very beginning of the contracting out era the Liberals have become known for :
This left me with more than a few questions.
How much is this “strategic partnership” costing BC Ferries every year?
Is there a review of what appears to be an ongoing contract every 4 years?
Is there any consideration given to putting another request for proposals out to see if there are worthy competitors?
And most importantly, since BC Ferries keeps insisting on fare increases on the backs of the good people of British Columbia who are having a hard enough time keeping up with insurance rates, tolls on bridges that dump ice bombs on them, and the price of gas in a province who has the highest gas taxes around…..
Would BC Ferries share with us the total cost to British Columbians that SNC Lavalin receives for such a strategic partnership that boasts a capital plan of around $60 million dollars annually?
Following the posting of this, I spoke with Erik Andersen, a retired economist who practiced as a transportation economist with the Canadian Transport Commission; with Airports Branch, Transport Canada; with ICAO and at private corporations.
Erik had this comment on the renewal of the contract between BC Ferries and SNC Lavalin :
“Extending a service contract by 5 years just when there is unfinished Ministry of Transport business regarding BC Ferries’ future has to be so wrong it forces the question as to just who the BCF Board of Directors is working for. Certainly not those BCF captive customers in ferry dependent communities. More probably for free-riding political insiders.
In recent times it has been convenient to characterize ferry dependent Islanders as undeserving of any sympathy or financial support such as a simple cost of living clause, exactly like those contained in every provincial road maintenance contract.
BCF expense allocation to minor routes is arbitrary and not service specific. BCF cost allocation practices are exactly what one expects from an insensitive monopoly service provider.
This is exactly when Minister Polak should use her discretion and over rule the BCF Board; at least until the discussion she launched has been given a thorough examination and we all think we have settled on a BCF future that may or may not include the participation of SNC Lavalin.. “