The Opposition Tories laid into the government Wednesday, alleging only companies with Liberal connections are getting the big contracts.
Specifically, the PCs cited a report by the news outlet allNewfoundlandLabrador regarding the replacement for HMP.
It noted two of the three bidders have backed out, leaving only Marco, which is also the lead on other major projects such as the new Corner Brook hospital.
Government says all submissions must still meet the requirements of the request for proposals. But infrastructure critic Barry Petten says sole-source bids cost the public more money, noting a recent contract was awarded to a Liberal donor for $40 million more than the lowest bid.
Petten says it’s also blatant cronyism and will deter companies from doing business here.
He says it comes down to what kind of message that kind of behaviour sends to other firms that might consider bidding on contracts under the P3s model, adding it’s a terrible message to send.
Petten says he’s not opposed to public-private partnerships — only the management of them by the current government. He’s calling for a re-tendering of bids for the new prison. But the province says that’s not on, noting the continued critical need for the new facility without delay.
Government Response
The provincial government meanwhile says the need for a new correctional facility has not changed and they intend to proceed with the project as a public-private partnership as was previously announced.
The submission will still need to meet the requirements of the RFP says government.
The Department of Transportation and Infrastructure says it will not be communicating publicly until it has discussed the process with participating companies.






















