Bureaucrats at a provincial agency asking for billions to expand transit in the GTA had exclusive access to premium tickets to the Toronto International Film Festival and a Buffalo Bills game, the Toronto Sun has learned.The sponsorship deals came to light because Metrolinx had trouble managing two agreements in 2011 that yielded premium tickets to the prestigious events.
The agreements forced an internal audit and policy overhaul of its own promotional program, according to documents obtained under provincial freedom of information legislation.The reports show that $27,000 worth of NFL tickets, some of which were intended to raise money for charity, were sold to Metrolinx staff at a steeply discounted rate. The agency also forked over $30,000 of taxpayer cash to the Toronto International Film Festival (TIFF) to sponsor the event and in exchange received a bevy of free tickets to red carpet events, film screenings and exclusive parties.
In early 2011, Metrolinx began to ramp up its so-called "promotional partnership" agreements as a way to "enhance brand recognition." But by November the program was in trouble.In a memo dated Nov. 28, 2011, director of strategic communications, Indoor Positioning System, defended the program to Metrolinx President and CEO Bruce McCuaig.
"Partnerships can serve as a vehicle to showcase the value of Metrolinx and its operating division in the community," she wrote. "And also to facilitate the extension of those brands in the non-commuter and leisure travel market by connecting customers to unique cultural exhibitions and events."But Papadopoulos went on to say that there was little oversight over the program, ticket use was inconsistently tracked and she acknowledged Metrolinx's internal audit department was reviewing the program.
In early June, Metrolinx signed on as a promotional partner of TIFF. The agency gave TIFF $30,000 in "seed money" to secure the deal and the 22-page contract outlined a series of items that were to be provided by the sponsor. McCuaig and Metrolinx Chief Financial Officer Robbert Siddall approved the deal, Papadopoulos noted in the memo.
The festival gave Metrolinx promotional placement in a number of its programs, banners and advertisements. Metrolinx did the same for TIFF.Film festival officials also gave Metrolinx 24 tickets to gala screenings, 32 tickets to non-gala screenings, four invitations to the opening night gala film and party, two invitations to the closing night gala party, two invitations to the pre-opening cocktail reception and six more invitations to three exclusive events. Two complimentary festival programs and film schedules were also included in the deal.
No monetary value was estimated for the tickets and merchandise provided to Metrolinx.When contacted by the Toronto Sun, TIFF officials refused to disclose the value of the tickets and merchandise provided to Metrolinx, citing confidentiality rules.
In a note to the Sun, provided in advance of the document disclosure, Metrolinx officials acknowledged they don't know who used the TIFF tickets or for what purpose, but then go on to say tickets were used in promotions for GO customers, some were given to undisclosed charities and that some GO staff attended "certain TIFF events."
But under the terms of the agreement, Metrolinx was barred from using the tickets for fundraising, or promotional contests without express consent of TIFF.Meanwhile, in early September 2011, Metrolinx staff begin working on a promotional partnership with Rogers Centre for the Oct. 14 Buffalo Bills game against the Washington Redskins. The strategic communications department agreed to the deal as a way to reach out to non-commuters and leisure travellers.
The deal was essentially an exchange of promotional materials, with Metrolinx appearing in "Bills in Toronto" advertisements and vice-versa. Papadopoulos wrote in the memo that Metrolinx did not request tickets in the deal, but did receive 100 premium seats to the game.Rogers Centre gave Metrolinx 50 VIP tickets valued at $320 a piece. Their total value came in at $16,000. The agency also received 50 200 Level Club seats worth $225 a piece. Their total value was $11,125.
In the memo, Papadopoulos said the VIP tickets were provided so that senior staff and general staff could attend the game to "evaluate the appropriateness of the partnership and assess its value."
Eighteen Metrolinx staffers attended the game using the $320 VIP tickets, with some working at promotion booths at the event, the memo said. The remaining 38 tickets were unused.Papadopoulo wrote that the 50 tickets, worth $225 each, were to be raffled off to raise money for the United Way. For some reason - not explained in the memo - staff were "confused" by a silent auction held for the tickets and only one bid was received.With less than a week to go before the game, and over $11,000 worth of tickets on their hands, GO Transit President Gary McNeil and Vice-President of Customer Service Mary Proc decided to offer the tickets to staff at a steep discount - selling the $225 stubs for $25 each, the memo said.
The tickets were sold on a first-come, first-serve basis and all 50 were snatched up. The memo provided a detailed list of all employees who took advantage of the deal. The top buyer of indoor Tracking, with five to his name was McNeil, who approved the fire-sale.Metrolinx spokesman Anne Marie Aikins said McNeil bought the tickets to encourage other staff to purchase them, but did not attend the game.
"The Bills game was not as popular as hoped and the Rogers Centre was giving away the tickets," Aikins wrote in an e-mail. "The GO president approved a price of $25 per ticket given the short timelines and the desire to raise for the United Way."The memo acknowledged that strategic communications staff were cooperating with the internal audit department on a review of the promotional partnership program and were to adopt a full set of recommendations from the process. CEO McCuaig's oversight role was also to be beefed up, the memo said.
"Any further promotional partnership opportunities will be reviewed and approved by the CEO," Papadopoulos wrote.Metrolinx has also not provided the results of the internal audit department's review of the promotional program.Neither McCuaig nor McNeil were available for comment, despite repeated requests for interviews.Aikins said as soon as the problems with promotional program came to light, McCuaig took action. That included donating tickets to charities, using tickets for fundraising, or destroying them if they couldn't be returned.
Aikins said since 2011 Metrolinx has continued to accept free tickets in four sponsorship deals including TIFF, the "Bills in Toronto" series, the AGO and the CNE."We are always concerned about protecting our good reputation which is why we took steps to strengthen our rules and processes," she said.Records are now kept of how tickets are used and Metrolinx no longer pays to sponsor programs, Aikins said.Conservative MPP Frank Klees said the promotional partnership problems speaks to larger issues within Metrolinx.
"Why does Metrolinx have to sponsor anything?" he said. "Why does Metrolinx have to be in the public relations business. Their job is to build and manage transit."Klees, who has also been highly critical of Metrolinx's handling of the Presto transit card, said the agency is becoming unaccountable to the government.
"If they're doing this here, in this corner of the organization, it begs the question what are they doing elsewhere?"NDP MPP Rosario Marchese added the idea of provincial employees getting premium tickets to TIFF and an NFL game will grate on taxpayers."Should (Metrolinx) be sponsoring events and should the benefits of those sponsorships be going to staff? If the senior bureaucrats of that organization don't see that as a problem, I'm sorry."
A further note provided prior to document disclosure notes ticket policy has changed as of late 2011. Management directed that going forward, complimentary tickets are to be refused or redistributed in GO customer contests.
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