Details leak on secret LRT settlement

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Good morning!

We’ve gone way past the record for the latest-ever Canal opening, and still it sits closed. It’s odd, I don’t usually spend a lot of time on the skateway, but even just knowing it’s closed is strange. The NCC is still hopeful it will open this season, they told CTV the recent dip in temperatures let them flood the ice. But cold as it was, the ice isn’t ready yet. 

Let’s hope it doesn’t take much longer.

By the way, now’s a great time to sign up for our City Hall Insider. You can get 25 percent off of a yearly or monthly membership. This offer is only good until Feb. 10, so don’t sit on it.

Why don’t we get to it.

— Robert Hiltz, managing editor

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Weather Report

Special weather statement

Wednesday: +2 🌡️ -7 | 🌤/❄️

Thursday: +1 🌡️ +2 | 🌧/🧊

Friday: +4 🌡️ -7 | ❄️/🌧️

TRANSIT

Leaks on a settlement, leaks in the tunnel

What happened: The private consortium that built and operates the LRT will get millions in back pay as part of the secret settlement between Rideau Transit Group and the city, according to CBC. The exact amount isn’t known, and neither the city nor RTG will disclose the terms of the agreement to end a lawsuit.

The city had withheld about $65 million in maintenance fees because of the various derailments and other issues with the LRT. The mayor’s office told CBC a “limited portion” of that money would be paid out.

The other side: Sources told CBC that in return, RTG would hire about 12 more people by the spring to provide better service. In a public statement last week, RTG acknowledged it had been in default of its obligations, but the city had accepted its plan to move forward.

• The actual statement is bordering on inscrutable because it is so heavily lawyered, but here’s the relevant sentence: “[The settlement] resolves the notice of default that arose following the Aug. 8 and Sept. 19, 2021 derailments through RTG’s acknowledgement of the default and the city’s confirmation of the immediate cure based on RTG’s rigorous plan to address the issues that led to the derailments and come to a sustainable resolution of the axle bearing assembly issue.”

The upshot: RTG admits it wasn’t doing what it should, and the city agrees to drop its legal action. As CBC said, it ends the possibility the city will get out of the contract, worth $1 billion, for RTG to continue maintaining the LRT system.

Approved: The deal was unanimously approved by council, after they received a briefing behind closed doors about the details of the settlement. Members of council are forbidden from revealing the details, monetary or otherwise, about what the legal agreement contains.

What we don’t know: The city would not say if the maintenance agreement with RTG had changed, nor would they say what previous invoices for what amounts would be approved. The city also wouldn’t tell CBC how much RTG had been paid for maintenance, even if the city omitted the amount related to the settlement. RTG is typically paid about $4.5 million per month.

Meanwhile…

Yes, again: Another day, another issue with the LRT. The downtown Rideau Station had to close for about 40 minutes because of a major leak that saw litres of water fill the tracks. Platforms in both directions were closed, but trains still ran through the station without stopping. 

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OTTAWA BY THE NUMBERS

💰 $8,000: The amount a Smiths Falls couple lost to the "grandparent scam." [CTV]

🚨 125 km/h: The speed police caught a 16-year-old driving on Limebank Road in an 80 km/h zone. [CityNews]

OUTSIDE DOWNTOWN

🏚️ Orléans firm Highbridge Construction abruptly closed, leaving prospective homeowners with half-finished homes and out of hundreds of thousands of dollars. On top of all that, the company owes $106,000 in rent for its office. [CTV]

🚒 A family in Stittsville is sharing their harrowing story of escaping their burning home in bare feet in the bitter cold. [CTV]

⛸️ Skate the Lake on Big Rideau Lake southwest of the city has been cancelled this year because ice conditions are too poor. [Ottawa Citizen]

🚨 A 58-year-old man was killed in a snowmobile crash near Almonte. Police are investigating the cause. [CTV]

🍜 Asian supermarket Kowloon Market on Somerset is going to be opening a second location in Kanata. [CBC]

📚 The library in Port Coulonge, Que. closed in December, and now the last 1,000 books are being given away to residents. [CTV]

🩺 A closed medical clinic in Mallorytown could reopen if they’re able to find a nurse practitioner. [CTV]

CRIME

Jewellery store robbed through wall of BBQ restaurant

What happened: Moe’s BBQ owner Moe Hussain arrived to work to find his kitchen turned upside down, and a giant hole in the wall of his dining room. It turns out his restaurant had been used as a staging area for a heist of the jewellery store next door, CBC reported.

At least half a million dollars of merchandise was stolen from Le’s Jewellery, dragged away in a 2,000-pound safe the size of a fridge, through the hole, and out the back entrance. The thieves also emptied out the cash in Moe’s till.

Plenty of damage: Both stores are in rough shape. The owner of the jewellery store Lan Le told CBC there wasn’t enough left in merchandise to sell even if it weren’t for the whole. Hussain had several contractors in to start repairing the damage.

He said he wasn’t sure if it was worth going through insurance and taking the hit of higher premiums or paying for the repairs out of his savings.

Police response: “Initial observations are that the break and enter occurred at a restaurant to gain access to an adjoining commercial unit, a jewellery store. This investigation is in its early stages. There is a significant amount of property damage to the jewellery store." Ottawa police told CTV.

Getting back on their feet: Hopefully Moe’s BBQ is able to get back on their feet quickly. As Capital Eats readers know, it’s a restaurant with a great atmosphere and great food. Hussain told CBC he hoped to have his restaurant back open today.

HOUSE OF THE WEEK

We’ve shown a unit in this building before. That one was a bit small, but had a heck of a view. This one, though. This one is something. The kitchen, for starters, is a custom-designed chef’s kitchen with plenty of amenities. You can even choose your own countertops and flooring throughout. 

There are plenty more features where that came from, as you can see in the listing.

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THE AGENDA

🚔 The province stopped mailing out reminders to renew licence plates, and Ottawa police are handing out more expired-licence tickets than ever. [CBC]

🏥 It took months of waiting for a six-year-old to get an appointment at CHEO’s sleep clinic, and she was taken directly to the ICU. [Ottawa Citizen]

⚖️ A mistrial was declared in the murder trial of a man accused of shooting dead a man at a 2018 BBQ. The jury could not come to a verdict, and prosecutors can either attempt a retrial or come to a plea deal with the accused. [CBC]

🚼 The province is still looking to add about 50,000 daycare spaces as part of its funding agreement with the federal government. [CBC]

⚠️ The federal union representing CRA employees filed a complaint against the department over the issue of working from home. [CTV]

🏛️ Mayor Mark Sutcliffe and Premier Doug Ford met for the first time since the municipal election. They spoke about housing, the economy, and the construction of the new Civic Hospital campus. [CTV]

COMMUNITY HIGHLIGHTS

• Police are warning drivers to watch out for snow removed from a windshield overnight, it could be a sign of thieves. [CTV]

• If you’re looking for some fine German beers brewed locally, head to this west-end brewery.

• Don’t just stop for the beer, their in-house restaurant has some great Vietnamese fare.

• Up for 11 Oscars, Everything Everywhere All At Once is one of several films playing at the local indie theatres. [Apt613]

• The Shepherds of Good Hope are celebrating 40 years of helping the city’s vulnerable. [CityNews]

• Want to have your announcement featured? Contact our partnership team for more info. 

HOUSING

Burst pipe forces residents out of affordable housing complex

What happened: In Westboro, 42 residents in an affordable housing complex had to leave because of a burst pipe. Four floors of the building were flooded by the pipe, CBC reported. 

The water was on for about 20 minutes, and spilled nearly 20,000 litres of water, the building manager told the broadcaster. About two inches of water filled the basement. It could be weeks before tenants are able to move back in. 

How it happened: It doesn’t seem like the pipe burst because of the weekend’s cold. The failure appeared to be mechanical, and the tenant whose unit had the burst pipe had the heat on. The pipe was part of the building’s sprinkler system.

You can help: The displaced tenants are often in precarious living situations and are right now living in hotels and with family. The building is run by the Ottawa Salus Corporation, a not-for-profit that provides affordable units across the city. You can help the residents by donating here.

SPORTS

🏒 Sens captain Brady Tkachuk suited up next to his brother Matthew at the All-Star game over the weekend. [Ottawa Sun]

🏟️ Defensive backs Brandin Dandridge and Damon Webb re-signed with the Redblacks on one-year contracts. [Ottawa Sun]

🏈 Rough Riders legends Kaye Vaughn and Joe Moss died in the last week, at the ages of 91 and 92. [Ottawa Sun]

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OTTAWA GAMES

Tough luck to many of you who came in with good guesses, but didn’t quite get Monday’s quiz. Congrats go to Adam who knew the longest stretch of windchill below -40 was Jan. 15-16 1994, when the wind made it feel that cold for 34 hours straight. 

For this week we’d like to know where in the city this is. The first five people to respond get their names mentioned in the newsletter.

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