In a surprise move, Mayor Brian Bowman has suspended acting City of Winnipeg CAO Deepak Joshi.
Bowman would not say specifically why he made the move.
"I've lost confidence in him serving in that role and had to make a very difficult decision today,” said Bowman.
Joshi was named acting CAO after Phil Sheegl resigned in 2013 during the fire hall scandal and after councillors realized the new police headquarters went way over budget.
Bowman gave the news of Joshi’s suspension in a closed-door seminar, where they also were advised of another project that’s having difficulties, namely the expansion of Winnipeg’s convention centre, and that some of those difficulties may have been hidden from council.
"I have concerns whether or not council had all of the information that they needed to make decisions about the monies that flowed out of city hall,” said Bowman.
Councillors learned Stuart Olson Dominion will not be able to secure a new hotel on the old Carlton Inn site, part of the deal to expand the convention centre.
The firm will pay a $3.75 million settlement to get out of the hotel agreement. In turn, CentreVenture will use that money to pay some of the $6.6 million it borrowed from the city to buy the Carlton Inn hotel site in the first place.
"There's been a whole multitude of issues that I don’t think we were given as much as elected officials of what was coming before us,” said Coun. Jeff Browaty (North Kildonan).
CentreVenture now has six months to develop a hotel on the site or it will be put out to a new public bid process.
Joshi is suspended for three days. According to city rules, the mayor’s executive policy committee has the power to extend that to 30 days at the next EPC meeting.
Chief Operating Officer Michael Jack will take on acting CAO duties until EPC determines next steps.
- with a report from Jeff Keele
