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Archie Lang and NDP Leader Liz Hanson

Archie Lang sought to ‘help’ club: NDP

The previous Yukon Party government paid $750,000 to buy back its own land — leased by the Mountain View Golf Club — claiming it wanted the riverside property for possible lot development in the Whistle Bend subdivision and had the support of the city.

By Christopher Reynolds on November 27, 2014

The previous Yukon Party government paid $750,000 to buy back its own land — leased by the Mountain View Golf Club — claiming it wanted the riverside property for possible lot development in the Whistle Bend subdivision and had the support of the city.

The deal allowed the non-profit golf club to eliminate its debt.

It went through quietly in 2011 despite city officials’ express disinterest in expanding Whistle Bend to include those lands and a feasibility study that noted much of the 51-hectare parcel was unsuitable for development.

“Why did the Yukon government spend $750,000 of Yukoners’ money to buy back its own land?” NDP Leader Liz Hanson asked in the legislature Wednesday.

“Correspondence shows that the premise of the transaction was to help in paying off the golf course’s debt load.”

An agreement signed by the government and Mountain View on Feb. 8, 2011, specifies that $500,000 of the buyback money must be used “to pay out and discharge” the club’s debt.

“Nobody questions the need for the government to support recreational organizations,” Hanson said in question period. “What is not OK is to do it behind closed doors and under false pretenses.

“It reaffirms that notion that this government prefers to deal on a crony basis as opposed to, let’s keep it in the open,” she added in an interview Wednesday.

Community Services Minister Brad Cathers responded in the house: “My understanding is that the land in question was required to install a perimeter trail and a storm water management system for the Whistle Bend subdivision.

“That is about the extent of my knowledge on this subject because this is a matter than I have not dealt with directly,” he said.

The government-Mountain View agreement claims that the territory was “interested in acquiring the land ... to support potential future development in the area” due to a “shortage of land within the Whistle Bend area.”

But government correspondence suggests future housing lots were not the main goal after all, according to the NDP.

Ray Hayes — a now-retired senior civil servant — wrote to Angus Robertson and Lyle Henderson — then the deputy minister of Energy, Mines and Resources (EMR) and the assistant deputy minister of sustainable resources at EMR, respectively — that then-Community Services minister Archie Lang was looking to “help” Mountain View.

“I should add that I just had a call from Minister Lang’s office inquiring about ... the issue of how we could help the Golf Course,” Hayes wrote.

“The premise here is to deal with the MVGC (Mountain View Golf Club) debt load which was the basis for the initial approach by MVGC to YG,” confirmed John Cole, then the planning and development manager at EMR, in a July 2010 letter to Henderson.

That “premise” is not the one that would be presented to the public, however.

An EMR “alert” from Oct. 8, 2013 — prompted by a citizen’s questions and approved by the deputy minister — states that “suggested responses” to “public or media inquiry” should state that “this land was a prime location for the future expansion of the Whistle Bend residential project” and the buyback had “support from the City of Whitehorse.”

Both those assertions go against the grain of the above correspondence as well as a July 2010 email from a high-ranking Community Services administrator.

Dan Boyd, then an assistant deputy minister, wrote to Henderson that another senior civil servant “doesn’t think the City will be interested in the 51 ha. that’s been set aside for future expansion ... the land is probably not good for residential development.

“I told him to keep it confidential.”

Indeed, a city official stated moves to bail out the golf course and change the Whistle Bend subdivision plan seemed to “accommodate the Golf Course at the expense of the development.

“I have heard various reasons but one is clear in that it is coming from the top down,” according to a June 2010 email from a municipal representative to then- Community Services deputy minister Jeff O’Farrell.

“The whole thing does not make a lot of sense to me. What we have said is if changes are requested then YG should request them through City Council.”

At least one top territorial administrator — Robertson, the EMR deputy minister — appeared to agree with the city.

“Ultimately we will need to develop some options for Min. Lang to consider re assistance for the golf course. Some of the options kicked around some time back make me a bit apprehensive to be sure, but need to think everything through,” he wrote to Henderson and O’Farrell.

“Everyone agrees to complete confidentiality while negotiating,” Henderson — EMR’s assistant deputy minister — wrote on Dec. 29, 2010, shortly before the deal went through.

Hanson saw cronyism, transparency and “political interference” as the key issues at play.

“It simply appears that the minister of the day (Archie Lang) had some friends who were in a pinch and the minister said, as you can see from the documentation, ‘Fix it,’” she told the Star.

“Public servants were stretched to try to do it within the bounds of public policy and really were pushing back at various stages.

“This notion of clandestine arrangements is just too prevalent,” Hanson added.

A feasibility study stated less than 60 per cent of the 51-hectare parcel was suitable for development.

Even within the available 30-hectare area, “limitations” like “site servicing” via well and septic systems, among other obstacles, were noted.

The study, completed in December 2010 by Inukshuk Planning and Development, stated upwards of 200 lots could potentially be established in the area north of downtown between Whistle Bend and the Yukon River.

“Whether this is technically feasible or affordable requires a detailed engineering evaluation,” the report states.

The government responded to accusations around the lease buyback with a brief statement this morning.

“This issue dates back to a previous government, with different ministers in charge, and we are still working with department officials to gather the details of what transpired and why,” said cabinet spokeswoman Elaine Schiman.

The government will reply more thoroughly later today, Schiman added.

The October 2013 EMR alert quoted as well as a Community Services alert suggest the current government — which took office in October 2011 — was tuned into the deal.

The Star’s calls to Lang and Thomas Amson, the Mountain View president at the time, were not returned by press time this afternoon.

Comments (33)

Up 2 Down 1

Traffic Fairy on Dec 3, 2014 at 1:21 pm

The Traffic Fairy wants drivers to remember that when you're in the outside lane of the double left turning lane on Quartz and Second, take a WIDE corner so as not to cut the driver off in the inside lane. As quoted from the Yukon Driver's Handbook, "If you are turning from the far-left lane, turn into the far-left lane."

Up 6 Down 0

Julius Caesar on Dec 2, 2014 at 9:01 pm

Canadians are so quick to talk about corruption in the "Third World". This is worse, because in the Third World you expect the corruption.

Up 18 Down 1

MR on Nov 30, 2014 at 2:25 pm

MVGC paid $125.00 per year ! That's per year ??? $125.00 !!!!
For 51 hectares ! Based on this evaluation I should be able to get 5 hectares for a cool $10.00 per year!

Up 25 Down 5

Yukoner on Nov 30, 2014 at 9:05 am

JWhite
Good info, however, the land Meadow Lakes leased was for a golf course expansion, not for a subdivision. During the reasoning application process, many people did not agree with Meadow Lakes being allowed to change use. If it was not going to be used for its original purpose, it should have gone back to the city, then others could have made application. At the time, this seemed questionable.

Up 22 Down 4

Doug Kerley on Nov 30, 2014 at 6:54 am

Welcome to the Yukon. There is nothing new here, it is business as usual within the City and Territory.

Up 30 Down 5

Alex on Nov 29, 2014 at 8:51 am

While people consistently persecute First Nations for transparency and these colonial systems are suppose to be our role model. Its laughable.

Up 21 Down 3

BnR on Nov 28, 2014 at 8:07 pm

"Stick a fork in their a$$, turn 'em over, they're done"
Any Lou Reed fans out there?

Up 33 Down 3

If ... on Nov 28, 2014 at 5:13 pm

If Cathers and his puppet Spazman feel everything was above board then ask the Auditor General to investigate. Nothing to hide right? No one benefited personally - right? So I challenge the Yukon Party to ask the AG to investigate!

Up 32 Down 5

north on Nov 28, 2014 at 4:45 pm

It strange that anyone would think this was unusual as this is standard practice.

The past MinIster of the Community Services gave direction to pay a contractor $250,000 for work that was not completed for a river bank protection project. The contractor who didn't complete the work was a larger supporter of the party.

Look at the Dawson wastewater project, the political leader of the day gave direction to pursue a mechanical treatment plant. Now there is a $32 million plant with a $850,000/year operations. The plant still needs upgrades. The cost of the lagoon was $19 million with a $250,000/year operations.

Look at the Mayo dam, the worst cost benefit based hydro-electric project in north and south America.

When Ingram Subdivision was built, the political powers loosen their hold for the first time and allowed Community Services to have the tender for deep service released in Alberta. An Alberta company was successful over local contractor's. To put this context, the Alberta company's bid was $750,000 less than a local contractors which reduced each lot price by $7,000 dollars for each home owner. How can a local contractor who does not have to mobilize their equipment from Edmonton and put their staff in hotels not bid lower than the EDMONTON CONTRACOR????? How can a government say they are trying to make affordable housing when they refuse to allow outside competition for this work. Easy, they want the to load the pockets of the contractors who support them.

I could go on forever with these examples. What does the one expect with questionable ethics and leadership of politics in the Yukon and senior managers who don't buck the system as not to ruin their pay checks and pensions.

This is behaviour is standard practice.

Up 22 Down 2

jwhite on Nov 28, 2014 at 4:33 pm

BnR and Joe Golfer: in the interests of accuracy, it should be noted that, according to the Yukon News at the time, Meadowlakes Golf Club acquired the land for the housing development by paying market price for land that they had under lease. The common element is that both Meadowlakes and Mountainview leased land from GY. Meadowlakes chose not to continue the lease, and instead bought that land, at market value, and the rezoning was open and transparent. Mountainview gave up their $125/year lease, which was soon to expire, and GY handed them $750,000 for doing that. Those are the facts according this newspaper.

Up 41 Down 6

Mr Wrong and Mr Right on Nov 28, 2014 at 3:40 pm

The truth always comes out. He did the same thing with the purchase of the hotels in WL from LFN. All of the housing money from LFN was given directly to Archie, so go figure......where there is smoke there is fire.

Up 26 Down 3

Micheal Robertson on Nov 28, 2014 at 3:26 pm

Allegations CBC management attempted to cover up and not act appropriately in the Ghomeshi sexual harassment case, and now back room deals by YTG employees , what is it that gives these elected or appointed Officials a sense of entitlement where by they are not held accountable for their fraudulent and unacceptable actions .

Up 27 Down 3

Micheal Robinson on Nov 28, 2014 at 3:02 pm

Is it the mandate of non-profit to be in competition with private enterprise ! My understanding is NO!

Up 30 Down 2

billybob on Nov 28, 2014 at 2:59 pm

Consider the timeline???? Deal signed feb 2011. Pasloski was sworn in as Finance Minister / Premier June 2011. Given the time it takes for YTG to pay bills............who signed the cheque??

Up 37 Down 2

Dear Joe Golfer on Nov 28, 2014 at 2:38 pm

The only reason JL found out was because a Yukon Government Employee said ... "you need to look over here" It was not transparent it was masked as something else. There are other elements to this that have yet to come out ... but they will.

Up 42 Down 5

bill on Nov 28, 2014 at 2:27 pm

What a dishonest bunch of crooks , the Lang's being the worst .Using the guise of what is best for the community they line their own pockets .Entitled bunch of greaseballs .

Up 23 Down 3

Michael Robinson on Nov 28, 2014 at 2:08 pm

@Joe Golfer The fact that Jeff L uncovered the information is transparent . You can twist the facts to benefit your agenda all you want . The attention given to this story tells me it wasn't in the know, unless you were part of the process .

Up 14 Down 4

Michael Robinson on Nov 28, 2014 at 1:57 pm

@ Joe Golfer How come you knew so much and for so long?What was your role in this transaction.

Up 21 Down 4

Michael Robinson on Nov 28, 2014 at 1:50 pm

@Joe Golfer ... Quite obvious your part of the old boys club . If this transaction was as transparent as you say it was , why all the attempts at covering it up , and how come Access to information took somewhere in the neighbourhood of a year plus It's out now , and based on the media coverage and interest only a hand full of individuals knew about this . Your attempt at discrediting Jeff is laughable at best !

Up 39 Down 30

Joe Golfer on Nov 28, 2014 at 12:44 pm

Why doesn't the article report to where the NDP got the information? If your going to write a story then tell the whole story, not just the pieces that you want to tell.......do your job!!!!! NDP didn't find this, Jeff L from Meadow Lakes brought this forward to the NDP. This deal was not hidden and was not done secretly, it was always above board, anyone that wanted the information just had to ask for it. MVGC finances are open to the public as an NGO, all someone had to do was ask. However the question has to be asked why did Jeff L bring this up now? He claims he didn't know about it till now, when it has been very public knowledge and almost all of the golfing public knew about the deal. If he didn't know about the deal makes someone wonder how much he really cares about what goes on in the golfing world. You can't tell me with the 100's if not 1000's of the public that knew about the deal he wasn't told it once in the past 3 years. What does he hope to gain by bringing this 3 year old deal up? Does he want to rip off his lifetime members more by turning his golf course into more housing development? Remember Jeff L got that land from YTG on the basis he was putting an 18 hole golf course out there. He also sold lifetime memberships on the premise of a 18 hole golf course. However he abandoned that idea and developed the land that was supposed to be for the back 9 of his course. And if I recall YTG had to rezone that land for him so that he could do that, something that they didn't have to do. So YTG might not have helped Jeff L line his golf course pockets with money, however they sure did a favor for him personally and let him line his own pockets with a boat load of money. The only end game I can see for Jeff L in doing this, is he will want more help from YTG when he goes to them to get the rest of his land rezoned so he can develop it as well. However it seems as though he played his hand a little early.

Up 34 Down 21

Mike Smyth on Nov 28, 2014 at 12:38 pm

Were there other forms of impropriety associated with this gift to the golf course? It seems like the Yukon Party has got caught with their fingers in the cookie jar and maybe the RCMP should investigate to see who really ate the many cookies which $750,000 would buy.

Did upper level party members get financial benefits such as free or reduced golf memberships, free meals or drinks on the house for a year or so. When shady deals go down the rules of probability apply and we have to ask what else is there to this story.

Thanks to Jeff for bringing this to the NDP and the public. Jeff has now exposed the shady golf course gift and shown people he cared about and provided for beavers on his golf course. Those two things resonate with people like me and I wonder if he should throw his hat into the next civic or territorial election.

Up 35 Down 24

Proscience Greenie on Nov 28, 2014 at 11:22 am

If you think the YP's Old Boys and Girls Club is bad just wait until you see the NDP's Old Boys and Girls Club in action if Liz and friends get elected.

Up 24 Down 5

Michel Dupont on Nov 28, 2014 at 7:47 am

Faro has a couple of leased lots from YG. Mainly green spaces that the town maintain with the taxpayers money. "Green space" in the middle of wilderness.
I wonder if Mr. Lang can finesse some intricate deal on Faro's behalf so Faro could sell those lots back to YG?

Up 28 Down 4

Don on Nov 27, 2014 at 10:57 pm

Let's ask the media to put on their shoes, dust off their note pads, and take a lesson from their predecessor's ..... Follow the money.

Up 29 Down 9

June Jackson on Nov 27, 2014 at 10:32 pm

Why is every one surprised? Everyone knew the Fenti government was less than stellar..the current sitting government is worse..I'd like to think they won't get in again..but...I don't have any faith that any government won't be the same self serving back patting arrogant people we have in government now..running around spending other people's money, making staff call you sir, etc., does something to people..corrupts them in some way..leads them to a false sense of entitlement, makes them think they are overly important..that odd thing that happens when one person has power over another person..

Up 31 Down 5

44 blackpowder on Nov 27, 2014 at 8:15 pm

"the issue dates back to a previous Gov." Well, no, it does not. Many of the staff that facilitated this are still there, such as the Director of Finance C-3 who should have at least noticed something was not quite right. She's still in the same job now, or how about the Comms. staff? Ready to spin the news to us taxpayers about how the money was to be "well spent", still working,? Yep. There is still a DM working in that capacity in the "new" government (former DM, Community services, who knew). What do they say "just following orders? Really?, That simply does not wash when you are entrusted with public money.

I can hardly wait until the details of the 180,000.00$ " transfer" from within Community Services for a playground in Dawson City (right before an election...) comes to light, there's another one worth running down

Up 32 Down 3

Michael Robinson on Nov 27, 2014 at 7:57 pm

Smells of the " the old boys club" I wonder how many Civil Servants are on the board of directors at MVGC and how many government employees are members ! At $1000.00 a year for an adult membership maybe it's time memberships are increased substantially, as Tony Hill reported to the Whitehorse Star in the fall MVGC lost money again this past season. Should taxpayers money fund the old boys club memberships ?

Up 30 Down 3

ralpH on Nov 27, 2014 at 5:50 pm

All expenditures have to be cleared by the management board. Look on YTG's web site under boards and committees on who sits on that board. One is the premier and the other is?? Just two people clearing everything they desire.

Up 44 Down 4

BnR on Nov 27, 2014 at 5:33 pm

Disgusted Citizen, don't blame the bureaucrats, this sort of deal is ministerial level, as has been illuminated. Movers and shakers indeed, Archie's on the board of directors at Western Copper now.
I just noticed on the CBC North site that Jeff Leuhmann who owns Meadow Lakes is making noise about this. Pretty much a case of the pot calling the kettle Black. He was allowed to keep all the land he was going to use for golf course expansion, and developed a high end subdivision on it.
I just love my home town.

Up 88 Down 13

Frank Greentree on Nov 27, 2014 at 4:36 pm

Seems like a bit of a scandal. There must have been other funding accessible that would have involved a transparent process.

Think about the government sitting on all that housing money that could have been used for low income people. It seems low income housing was a low priority back in the day as it is now but a golf club in trouble was given $750,000 and there was a conspiracy to hide how the slush money was doled out to them.

Thanks to the NDP for exposing this.

Up 87 Down 11

hmmm on Nov 27, 2014 at 4:06 pm

Wow, how much of this government can we handle. The political appointments to key positions, purchase of YG owned land to offset a debt... who got paid and where did the rest of the money go?

Up 77 Down 12

Follow the money on Nov 27, 2014 at 3:20 pm

... you have to wonder how many YP senior mover and shakers were on the Board of the Golf Club at the time ... who were they? I think there is more to this deal and someone needs to follow the money. This has all the appearance of something bad and the RCMP should be asked to investigate.

Up 91 Down 16

disgusted citizen on Nov 27, 2014 at 3:10 pm

What a bunch of worms. All crawling around in the dirt, keeping each other's secrets. Most of them paid civil servants, plus a politician who thinks it's all a big joke to take money from the public and give it to his golfing friends.

I am very glad the NDP unveiled the big fat secret that all these Deputy Ministers, the Yukon Party, and various civil servants were so dilligently keeping quiet about. Their loyalty is very obviously to each other and to the Yukon Party, not to the public. Reading those names, I feel a lot of scorn toward them for what they have become. As for Archie Lang, it is in line with his normal behaviour and his sense of entitlement. Now he is sitting on the board of a mining company in the Yukon that will benefit from his brother Dan Lang's support of gutting the YESSA process.

We seriously need to get rid of the Yukon Party and do a thorough house cleaning. They have been in power far too long, and the structure of rot has become dangerously ingrained.

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