NDP calls for auditor general to probe 2022 PC daycare project

Winnipeg Free Press

25-04-2025

The NDP has called on the auditor general to investigate a mega-contract to build daycares that it says allowed the previous government to funnel $2.8 million to a Progressive Conservative campaign manager's firm.
'We cannot in good faith ignore the political overlap,' Education Minister Tracy Schmidt told the legislative assembly on Thursday.
Schmidt tabled a letter deputy minister Brian O'Leary wrote to Auditor General Tyson Shtykalo requesting his office look into a procurement process that began in 2022.
MIKAELA MACKENZIE / FREE PRESS Files
Education Minister Tracy Schmidt questions whether a Tory daycare contract violated ethics rules.
MIKAELA MACKENZIE WINNIPEG FREE PRESS ARCHIVES MLA Tracy Schmidt, shown at a school nutrition program funding announcement on Oct. 18, 2024, confirmed the new school planned for Ste Anne will have vocational programming.
The April 16 memo suggests a construction project, valued at nearly $100 million, 'may not have followed normal provincial or municipal procurement practices.'
The Education Department has questions about whether the contract was a good investment and how child-care sites were selected, O'Leary wrote.
He noted none of the sites selected are located in Winnipeg.
The province partnered with 'John Q,' an affiliate of capital region municipalities, to build 22 standalone child-care facilities under the Canada-Wide Early Learning and Child Care Agreement.
John Q subcontracted Boom Done Next, a sales and event management company owned by Marni Larkin. Larkin oversaw the Progressive Conservatives' 2023 election campaign.
Schmidt said she wants answers because Larkin's company ultimately received $2.8 million through the PC government-approved project.
Larkin did not respond to a request for comment Thursday.
Company president Joe Leuzzi confirmed Boom Done Next worked with John Q, which he described as 'a longtime and valued client,' and helped build more than 1,700 new child-care spots.
'Marni Larkin recused herself from this work entirely and played no role in the project. I am writing to you as the sole manager of this initiative,' Leuzzi said in an email.
He accused the province of unfairly drawing the auditor general's office 'into a political narrative to generate headlines' and doing a disservice to families who are benefiting from the daycares.
Wayne Ewasko, who was the PC education minister in 2022, questioned the timing of the NDP releasing the letter.
Thursday marked Ewasko's final day in the house as interim leader of the Progressive Conservatives. A new party leader will be announced Saturday.
'If the education minister's throwing shade on me on this, I've got no problems having a chat with the auditor general if the auditor general's office sees fit to question me on anything,' he said.
Ewasko indicated he was unaware of Boom Done Next's connection to the larger construction project until Thursday.
Schmidt said she was first alerted of 'irregularities' in November when she took over the file when her predecessor, the late Nello Altomare, went on medical leave.
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Delays related to the construction of a child-care facility in the Meadowlands development in the Rural Municipality of West St. Paul initially led to the discovery, she said.
She indicated there have been issues related to administering that contract.
'That begged the question of what was going on,' she said.
The auditor general's office did not immediately provide comment on the matter.
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Maggie MacintoshEducation reporter
Maggie Macintosh reports on education for the Free Press. Originally from Hamilton, Ont., she first reported for the Free Press in 2017. Read more about Maggie.
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