| ENERSOURCE: Citizenography |
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This is a tracking article. Latest items are in reverse chronological order. The JUDICIAL INQUIRY into ENERSOURCE began on May 25, 2010 Click to view the Borealis Shareholder Agreement with Enersource, dated December 6, 2000, as obtained by MIRANET. This is a public document. Click for the Judicial Inquiry website. ---------------------------------------------------------------------------------------------------- Mississauga News article (May 25, 2010): Enersource powers 'changed'. Excerpt: "The City of Mississauga had full control over corporate decisions at Enersource in a proposed deal before the final draft was somehow changed to give a private company key powers over the City-owned utility, a judicial inquiry heard today. The final deal in 2000 between the City and Borealis Energy Corp., a subsidiary of the Ontario Municipal Employees Retirement System (OMERS), made OMERS a 10 per cent shareholder in Enersource, with the City owning the remaining 90 per cent. It also gave OMERS unusual control over major corporate decisions at Enersource, and the City the option to sell its stake in the hydro utility to OMERS for $360 million in 2004, commission counsel William McDowell said." Mississauga News article (May 25, 2010): Hydro deal took years to probe, inquiry hears. Excerpt: "A deal that made a private company a 10 per cent shareholder in the City of Mississauga's hydro utility and granted the firm unusual veto power wasn't considered controversial until seven years later, a judicial inquiry heard this morning." Mississauga News (TorStar) article (May 24, 2010): Inquiry starts tomorrow. Excerpt: "The Issues: ... Questions about a veto OMERS quietly got inserted into its shareholder agreement [Borealis Shareholder Agreement with Enersource] with Mississauga as a 10 percent partner in the local utility Enersource. This is expected to be dealt with in the first couple of weeks." Mississauga News article (Jan. 15, 2010): Inquiry probe 'going well'. Excerpt: "Commissioner Doug Cunningham, a Superior Court judge ... framed the two broad areas to be investigated [including] ... the circumstances surrounding an agreement that gave OMERS, a 10 per cent shareholder in Enersource, a controversial veto. It gave OMERS the unusual right to veto actions by the City, which owns 90 per cent of the hydro utility. The inquiry will cost an estimated $2.5 million and could last 40 days." December 14, 2009: OMERS made a request for and was granted standing at the Judicial Inquiry, per its Letter of Dec. 10, 2009. November 11, 2009: Enersource is referenced in Council Resolution 0271-2009 regarding the Judicial Inquiry (click for website) which has been initiated on the basis of the following recitation among others in the Resolution: "AND WHEREAS at its meeting of September 30, 2009 Council enacted Resolution Number 0222-2009 asking for a judicial inquiry with respect to the matters discussed in the City Solicitor's Report dated September 24, 2009 entitled "Response to Issues Raised by Council – Proposed or Pending Acquisition or Disposition by the Municipality or a Local Board – Agreement of Purchase and Sale – Lands within the City Centre" and other related matters including the events leading up to the sale of ten (10) percent of Enersource Corporation to an OMERS affiliated corporation (Borealis Energy Corporation) and directed the City Solicitor to report back on the parameters as soon as possible;" October 27, 2009: In response to Corporate Reports dated September 24, 2009 (per above) and Oct. 13, 2009, Michael Nobrega, President and CEO of OMERS, wrote a Letter to the City Clerk stating: "With respect to Enersource, a decision to proceed based on this third proposed term of reference could potentially jeopardize an imminent transaction involving OMERS, Enersource and the City. Since January 22, 2009, OMERS has indicated a willingness, as requested by the City, to negotiate amendments to Enersource's shareholders' agreement ... If the OMERS/Enersource transaction is to be a subject of the judicial inquiry then it would not seem appropriate for OMERS to enter into the New Agreement at this time, pending the outcome of the judicial inquiry." ---------------------------------------------------------------------------------------------------- MIRANET DEPUTATION: On December 10, 2008, MIRANET made a Statement to Council concerning the Enersource issue and the request for a Public Meeting to be held. At this Council meeting, a Motion was passed directing Council to negotiate the purchase of the 10% stake held by Borealis in Enersource. Click here for the Motion (on p17 of the Council Minutes). Mississauga News syndicated article (Dec. 11, 2008): City wants total control of Enersource. Excerpt: "After mulling, for the better part of the year, over whether to sell its 90 per cent share in Enersource — and spending $422,000 on consultants’ fees in the process — councillors finally shelved the idea." January 9, 2009: Mississauga News article: Battle line drawn over Enersource. January 22, 2009: At the request of MIRANET and the Mississauga Board of Trade, Mayor Hazel McCallion held a Public Meeting on the Ownership of Enersource and the City's 2009 Operating & Capital Budgets in the Council Chamber at City Hall. Click here for Press Release. NOTE: All the questions and answers from the January 22, 2009 public meeting were to be published on the City's website, including the Borealis Shareholder Agreement with Enersource (click to view now). Once available, the link to the City's documentation will be provided here, but the information has not yet been posted. January 23, 2009: Mississauga News article: Sparks fly again on Enersource. Council subsequently decided to hold a Special Meeting on Jan. 28, 2009 to consider new information that was presented by OMERS (the owner of Borealis) CEO and President Michael Nobrega at the Jan. 22, 2009 Public Meeting on Enersource. Click here for the Agenda of the Special Meeting of Council, including a Motion to renegotiate the Shareholders' Agreement with Borealis. Click here for the Press Release from the City of Mississauga dated Jan. 28, 2009: City of Mississauga Council Agrees to Negotiate Amendments to Shareholder Agreement with Borealis. April 8, 2009: At today's Council meeting it was confirmed that nothing has happened since the Jan. 28 Special Council Meeting regarding the re-negotiation of the Agreement with Borealis. All action is deferred until an in camera meeting of Council scheduled for April 15, 2009. Mississauga News article (April 8, 2009): Mayor, Parrish feud over Enersource.
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