BREAKING NEWS: Vancouver City Manager Lied About Reasons for Firing Chief Electrical Inspector–Making Vancouver Less Safe: Dr. Penny Ballem Must Immediately Resign
The controversy over the January 21st firing of the city’s Chief Electrical Inspector has now hit a crisis point.
I can confirm today that, last month, when Dr. Ballem was asked by local reporters why Ark Tsisserev, a nationally recognized life safety expert was fired after a stellar career at the City of Vancouver, her response, “budgetary reasons and restructuring” was a bald-face lie.
Let me repeat that: Penny Ballem lied.
Provided to your scribe last week were confidential documents from City Hall (that I have since authenticated) that confirm not only was there no budgetary constraint, but the electrical branch (through permit applications and service fees) was actually generating a PROFIT for at least a decade, including through two labour disputes in 2000 and 2004. In fact, more revealing is that the net revenue from fiscal year 2009 alone was a whopping $1.9 million (from a $3.4 million gross). That’s a staggering amount of money to be taking in from any department or branch of the City of Vancouver. So, Mr. Tsisserev’s department was doing better than any other in the city, I’m told–first place. Additionally, from 2005 onwards, the revenue generated by the electrical department, that Mr. Tsisserev oversaw, NEVER fell below a revenue of $3,000,000 dollars. There were almost two-dozen electrical inspectors employed through this period. If you factor in Mr. Tsisserev’s salary as well, and account for any other reasonable, miscellaneous overhead, you are still looking at a massive profit (particularly in 2008 and 2009, when the electrical branch generated revenues of $4,100,000 dollars and $3,400,000 dollars respectively).
Tell us again Dr. Ballem, what did you mean by “budgetary reasons”? Which budget were you referring to?
The numbers don’t lie. Why would anyone fire a man who was overseeing the city department delivering an almost 50% return?
One city source, who spoke to me on condition of anonymity said:
“Alex, information from both outside and inside sources confirms that “budget” reasoning for electrical staff cuts, which was also the reason given for Ark’s dismissal is utterly, blatantly false. A lie concocted to convince council to approve selective targeted position elimination. References from these sources indicate that fees from electrical permits over the past several years have provided for ample department funds. So much so that close to fifty percent would be considered more than sufficient to cover the electrical department’s salary needs. A clarification must be made where one would expect most accountants to acknowledge that unusual activity, such as an Olympic Games construction boom, would alter a general trend.
But that trend is that the electrical department has steadily garnered fees on an increasing yearly basis and, this is the point to take note of, they have seen massive profits from at least 2005 0n–2009 included! Management though, prefers to use scare tactics by quoting selective numbers by referencing that last year was significantly less than the previous. Well, hello!!! Duh??? Are they spending as if the Olympic boom would have continued? How careless have these expenditures been? It is a clear message to…that the electrical department has been targeted to shoulder an unwarranted staff reduction. If this is an example of how the city does its accounting you might wonder what the real numbers are for other departments and where their past surpluses have been spent”
To make matters worse, I can also confirm that the man hired to replace Arkady Tsisserev, is having his qualifications as (Chief) City Electrician questioned by fellow electrical inspectors and respected life safety experts. One such expert is Frank Kurz, who runs the Fire Technicians Network. Mr. Kurz has been following the brewing storm over Mr. Tsisserev’s firing, and has provided his perspective, here, on his own website.
As Mr. Kurz states:
“Sources within the City have told this writer that morale in the Department is at an all-time low with the leadership, professionalism, and knowledge which Ark Tsisserev brought to the position of City Electrician and Chief Electrical Inspector noticeably absent. As previously reported, Will Johnston (a structural engineer) has been appointed to fill the void. This leaves the City with an electrical department head who has no formal knowledge of the Canadian Electrical Code and whose ability is severely handicapped when it comes to making informed judgements on applications for variances and deviations. So much so that any such decisions made by Mr. Johnston would, in opinions expressed by concerned industry stakeholders and the engineering community put the public at grave risk. His appointment would also seem to conflict directly with APEGBC’s code of ethics and professional conduct. While he may not appear to be signing off in a professional capacity (in other words misusing his professional seal), the fact remains that as a member in good standing he has sworn to protect the safety of the public. How, you might ask, can he do so when he has no formal electrical training and wouldn’t know a three-phase converter from a GFI breaker if he saw both on the counter side-by-side?” (Frank Kurz, Fire Technicians Network, March 8, 2010)
I’m still waiting for Mr. Johnston to call me back and explain his position. That message is now a month old–and you know as well as I do that he won’t be calling.
But maybe the below quote, also from Mr. Kurz’s editorial explains why Mr. Johnston is hiding:
“Ark Tsisserev’s dismissal wasn’t about budgetary restructuring but had everything to do with removing an individual who had demonstrated he was not going to be dazzled or pressured by political imperatives related to Olympic venues where there was a risk to public (or athlete) safety. He didn’t receive the benefit of sixty days’ notice because that would have left him in a position that may have continued to threaten VANOC’s (and the Mayor’s) objectives. His replacement, Will Johnston, who is obviously far more politically astute, understood this and apparently has provided the path of lesser resistance (for Mr. Johnston’s benefit, that’s an electrical term too). Projects were finalized with what amounted to nothing more than a cursory review and this obviously done while crossing his fingers behind his back. It is termed fast tracking in a building permitting policy statement he authored and for which he has now been suitably rewarded at a cost that will eventually (and unfortunately) be paid in blood if allowed to continue (emphasis added).” (Frank Kurz, Fire Technicians Network, March 8. 2010)
But where does this all leave Dr. Ballem, who is responsible for this royal mess?
Ark Tsisserev was wrongly dismissed. His position could only be terminated by council, yet David McLellan, the City of Vancouver’s General Manager, who reports directly to Dr. Ballem, fired Mr. Tsisserev on January 21st, 2010, in contravention of the city charter.
Also, as a result of my reporting that union bosses were getting upset at Vision Vancouver and Gregor Robertson for the firings of members at City Hall, I’m assuming that Dr. Ballem took matters into her own hands to make sure that, Mayor Gregor Robertson, the man who hired her without a tendering process, and his party Vision Vancouver would be saved harmless from union wrath.
I exclusively obtained the following memo sent from the desk of the good doctor herself:
From: COV Broadcast Server
Sent: Friday, March 05, 2010 8:46 AM
To: All Staff
Subject: CoV Broadcast: Memo To All City of Vancouver staff
Memo To All City of Vancouver staff
I would like to start off by recapping what has transpired since the last communication to you in January with respect to the impact on staff as a result of the recent budget reductions.
In December, we estimated 109 positions would be impacted through the service level adjustments as a result of the 2010 Budget approved December 18, 2009 by Council. We also announced that an additional 14 impacted positions had been identified within Engineering Services, Equipment Services Branch and Mountain View Cemetery due to a decrease in work load within these areas. Thus, a total of 123 positions could potentially be impacted out of our 10,000 member workforce.
CMT established a committee with membership across the City to work to reduce the impact on staff. As a result, in January, we announced that there would be only 44 employees covered under the group notice issued under Section 64 of the Employment Standards Act. Shortly following the communication, an additional 3 positions within Equipment Services were identified, bringing our total number of employees covered under the group notice to 47 out of a total of 126 potentially impacted employees. Since then, we have been hard at work, meeting with the Unions and managers of impacted staff, looking for ways to reduce the impact of potential layoffs.
Over the last weeks, we have also been participating in Section 54 discussions with each of the Unions to jointly develop a labour adjustment plan that will help with this process. We have come to an agreement with CUPE 15 that identifies several placement mechanisms intended to lessen the impact on staff who are being placed in different positions across the organization. A joint communication from Paul Faoro and me, outlining the details of the agreement, has been sent out to all affected employees represented by CUPE 15. Section 54 discussions with CUPE 1004 and IBEW are continuing, and we hope to have more to communicate to you on this soon.
The very encouraging news is that as a result of a lot of hard work on the part of our city-wide committee, managers, and our Unions, we have been able to find placements through retirements or vacancies for a total of 112 employees, meaning that at this point in time, only 14 employees our of the original 126 will receive actual layoff notice (emphasis added).
We continue to meet with the Union leaders to give them an overview of the status of the VSR projects. As detailed plans become available, we will assess and evaluate the impact that these projects may have on staff. At this point, more information specifically relating to the IT Shared Services project, as well as the Supply Chain project will be communicated later this month.
As we move into the next few months I would ask all of us to be sensitive to those individuals being impacted by these changes. There will be a number of staff moving to new positions within the organization. I know I can count on all of you to welcome them into their new workplace. For the 14 receiving layoff notice this week, the support of colleagues and managers will be key, helping them work through this change. We will be providing them with all the appropriate supports through Human Resources and Employee Assistance Programs.
I want to thank all of you for your patience, understanding and commitment to minimizing any unnecessary impact on our staff as we move through these changes.
Managers with staff who do not have email or computer access, please click here to print this information and post in your common areas
Penny Ballem, MD FRCP
City Manager
Notice how the word “unions” is capitalized. Notice how much concern there is for the “Unions”, who gave Vision Vancouver tremendous support in getting elected.
Sorry, someone tell me again how Penny Ballem hasn’t politicized the city bureaucracy to an unprecedented and crisis level?
And if you were wondering how much Dr. Ballem, Mr. McLellan and others would like this whole matter to go away, let me seal the clear case for Dr. Ballem to either resign in disgrace or be fired with cause (she lied):
Ark Tsisserev has finally settled with the City of Vancouver, and while confidentiality agreements are commonplace in matters such as these, the city demanded one step further: Mr. Tsisserev was made to sign an agreement that he would never speak to anyone in the media about his firing or settlement.
This all but secures that we will never know how much this sheer political move by non-political staff cost the taxpayers of Vancouver. We know that it’s made Vancouver less safe, but what did we pay for Dr. Ballem’s heavy-handedness?
And the following from yet another City Hall staffer, who swears that she will never vote for Vision Vancouver ever again, not just for the way they ruined the career of an innocent man, but too, because Dr. Ballem has made the work milieu at City Hall “absolutely toxic…she’s playing political games that have killed off any hope for us. We’re all looking for jobs, if we can…”
Nevertheless, do you see the picture? Ark Tsisserev raised life safety issues about the Olympic Village in the fall of last year. He continued to raise concerns about some of the Olympic venues and their safety. The reason he couldn’t be given a sixty day notice, like others fired with him, is that such a notice would have left Mr. Tsisserev in place through the Olympics–and the potential for Canada’s most respected life safety expert speak out on legitimate life and death concerns, could not be capped any other way. So they wrongfully dismissed him, lied about the reasons and were lucky no athlete of citizen suffered any injury or died during the Games. That’s incredible recklessness.
Last word goes to my original source for this story, who put is best:
“The more I delve into this, Alex and think about what happened to Ark on that fateful morning, leads me to one conclusion. I finally understand why Ark was released the way he was. They couldn’t give him sixty days notice because it would have left him in a position to continue to raise legitimate flags and block applications for permits and special permissions which VANOC needed to meet their deadlines and no one at the city really cared about any life safety issues, they just had to get this guy right out the door.”
Dr. Penny Ballem, the current City Manager, if she has even a kernel of integrity, will resign immediately. She lied to the people about why her staff made Vancouver much less safe and has put people’s lives at risk.
And destroyed the career of an innocent man by firing him in clear violation of the city charter–only to have Vancouver taxpayers pay for her careless, irresponsible ham-fistedness.
Yes, Mayor Robertson, “compassion and fairness”, that’s what you promised during the election–verbatim.
Yet another lie.

Excellent piece of work Alex – hope you sent copies directly to:
Gordon Campbell – not that he cares since it doesn’t pay him money personally.
Gregor Robertson – help wake him up ?
Dr. Penny Ballem – as a reminder she is on notice
Great work – please keep on doing it.
Thx
workforfun
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Thx Work: No I didn’t but I gather a few of them may have seen this already
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Alex, this is really excellent investigative reporting. You deserve a Webster for this one for sure. What a bunch of liars they are over at the hall. By the way how come nobody in the mainstream media is touching this? Are they worried about their jobs? Thank goodness for you and your fearlessness otherwise this story would get buried by the mayor and Penny Ballem. Kudos I say!
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Thx Kits. I’m not sure why they aren’t following up now. Prior to this they ha the Olympics as an excuse, but no excuses now. The City of Vancouver is far less safe than it should be. You’d think that would matter. Oh well. I’ve got even more coming, so stay tuned. Much appreciation for your kind words. Pls visit again soon.
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I can not commend you enough for your reporting on this issue.
From Temporary Foreign Workers earning less than minimum wage on Olympic projcts to this blatent cover up of 2 of the City’s finest Electrical Dept. employees, the City of Vancouver’s hands are most certainly dirty.
While the termination of Ark T & Bob C are disgusting, let’s not forget the VANOC refuesed access to Olympic venues by the City of Vancouver Inspectors. The City Charter (323) clearly indicates the “Powers of Inspection” afforded the City’s inspectors, but it appears these rules did not apply to VANOC. Hence the cover up of the electrical fire at the Lam Park site & the uncertified electrical equipment brought into our city for the Olympics. Did VANOC pull the trigger on Ark & Bob C’s dismissal? They most certainly put the bullet in Dr. Penny’s gun.
Did Dr. Ballem lie? After overhearing a discussion I was having with friends this past weekend, my 11 year old daughter is convinced that she is “…a very bad woman.”
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Thx Harry. One does what one can. I’m working on yet another follow-up. This story has legs for miles! Thx for stopping by.
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You have raised a wonderful, observant, caring and compassionate daughter.. children, with their innocence, speak so honestly…. let her know that her comments were appreciated, and agreed with.
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I am aware that personnel issues are subject to different and more restrictive “transparency” criteria, but is there no hope the amount of the settlement will ever be made public? It would be interesting to see how the amount of the settlement relates to Mr. Tsisserev’s salary. This wrongful dismissal is a shameful example of damage to the civil service we all pay for, but I appreciate the issue being highlighted through Alex’s blog.
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Thx Disillusioned: No, I don’t believe that we will ever find out how much of a settlement Arkady Tsisserev was paid. It’s sealed. But it is telling of the way the City now does business under Ballem and Robertson. And let there be no question: there has been significant damage to the civil service under the current administration. Much appreciation for your pithy comments. I appreciate your questions, but cannot give you the answers you deserve as a taxpayer. However, maybe I’ll do some more digging… Stay tuned.
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And what, pray tell, was Penny Ballem’s role in the eHealth boondoggle? Vaughn Palmer has made hay with the Auditor-General’s report on this ill-fated plan to digitize medical records. The A-G revealed how the project was launched with no parameters, measuring posts or public consultation. (Remind anyone of the Fast Ferries?)
I do believe Dr. B was deputy minister of health during the early years of eHealth until her departure (resignation? firing?) about two years ago. At the time, the media portrayed her as a victim of micro-managing by the Premier via his officious right-hand woman, Jessica MacDonald.
While loathe to credit Campbell with much, I now wonder if the fair Jessica was sicced on Penny to ascertain what the heck was happening with the money-gobbling electronics initiative. Then again, maybe the good doctor was the one trying to rein in this politically sexy file, this offending Cambell & Co.
This much is certain: Penny Ballem was deemed a sufficient expert to earn giant coin as a consultant for Ontario’s equally jinxed eHealth plan. (Her consultancy was supposedly completed before she was appointed city manager.)
Until more clarity comes on why she left the Health Ministry, I fear Vancouver may now be managed by someone who is not averse to spending millions of taxpayer dollars with little or no pre-planning.
Keep shining a light on this, Alex.
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Thx Rich, I will. Yeah, I saw Vaughn’s piece. Interesting stuff. Stay tuned…I have more breaking news…
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Hi Alex, Great column, you uncovered one of the Olympic politics “dirty secrets”, I wonder how many more will follow. These people are extremely well payed to run the City beyond partisan politics, meanwhile they are not even qualified to sell “Baby Strollers” at the Maternity Ward.
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Great line! I loved that. Yes, they are hardly full of the business acumen one would expect would be a prerequisite. Dr. Ballem, in particular, is not really a finesse kinda gal… LOL!
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So I was just over on that City Caucus web site and just read a post that despite these “budgetary cutbacks” that Penny Ballum sited when firing this chap, the mayor’s staff has expanded yet again.
Apparently they’ve gone multi-cultural yet again to pander to the immigrant crowd they hope will re-elect them despite their antics.
Oh and don’t let me forget that she is also American. Yes, another American hired for city hall.
Another do-gooder from the Hollyhock clan that campaigned for Obama back in 2008.
Just what we need at city hall………..more politicization and more people from other places to tell us how to live.
At least when they all get fired by the new administration in Jan 2012, the severance will not be very much compared to the long-tenured staff being purged now.
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From your mouth to the Lord’s ears…
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Oh, Alex, I was wondering if you would do a piece one day adding up the possible severances paid out by Gregor and company by all the people they’ve let go starting with Judy Rogers?
I’d like to know how much these jerks have cost us taxpayers unnecessarily.
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Hang on to your hat. There maybe one more very large severance coming.
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We know Alex,
You are bitter because you blew your political capital on Sam and you lost. Your ongoing crusade against Vision is a joke that even the NPA now laughs about. You are insignificant. A fart in the wind. Even St.George’s alumni are embarrassed for you. Gregor is the real deal and you my fine friend are a flake. And you know it. I fart in your general direction.
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Okay….for the uninitiated, that are unaware of the tactics employed by the Mayor’s henchmen and Vision’s poodle, this comment came in with the email: gregor@fu(fuck you).alex.com…
In order to Happy Planet:
1) I’m not sure if you’re aware, in fact, from your comments it appears you’re not, I “blew” no capital on Sam Sullivan and didn’t “lose”. In fact, we elected Sam and then the city lost because he went off on causes and initiatives that made no sense and were irrelevant. I was neither interested in “investing” capital of mine or anyone else’s. I’m not sure what you are trying to say here other than attempting to be smart/witty/effective–didn’t work. Try again.
2) I have no “ongoing crusade” against Vision or anyone else. I call it the way it is. Vision are not governing this city as they should. And this matter over making Vancouver less safe, is a classic example of the kind of nothingness and mismanagement that Gregor railed against. But, I forgot, I have no “political capital” that’s why Gregor announced in my column and his people gave me endless exclusives. Did you think I could be bought? I’m not like the others. As you can see from this story on Ark Tsisserev, I can get the big fish without having to barter with anyone. The poor, honest workers, union guys and gals at City Hall know they have a friend in me. That’s why they came to me with this.
3) The NPA are laughing? That’s a HUGE compliment considering they are in self-imposed exile. But I assume as Vision’s lapdog, you know everything. LOL!
4) Like clockwork, when faced with nothing to criticize, out comes where I went to school. I was President of the Saints alumni association from 2006-2008–their two most successful years–EVER, and I continue to maintain a position on the Board. Can you name the Saints alums? OF course not–because they don’t exist. You really are pathetic.
5) “Gregor is the real deal.” Is that what you were told to say? Who pays for your bills? Your website? IS that what you learned running your “countryman’s” campaign into the ground?
6) Maybe you should try to not read my next post. If you think you’re stomach is upset now, just wait.
7) What are you doing in Kamloops? In concert with two tin ears and that swollen pea?
C’mon. Grow a pair at least.
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A Real Boy Wannabe thinks he is the Mayor. Mangiafuoco from Gran Teatro dei Burattini begs to differ.
A bunch of Tired Amateurs are calling themselves Councillors. Drinking organic juices and coffee, playing Terminator lines in the bathroom mirrors during breaks and faking paying attention to late night Speakers, still won’t make them respectable.
A “Homo Sapiens Resources Proctologist” is the City Manager. “Lasciate ogni speranza, voi ch’entrate.” is rumoured to be engraved on the frame above the entrance to her Tower. I take it, bad times to be a City Hell Servant.
An Accidental Tourist is the Deputy. Call him Pimples and pay him 200 Grand. Quid pro quo.
A Realtor is the Park Board Chair. He is in it for the Free Parking, for the occasional interviews and for the “Gone with the Wind” look pictures, in the local paper!
A Structural Engineer is the Chief Electrical Engineer…You say tomato, I say tomahto! You say potato, I say potahto!
The Chief Security Detail is the Night Shift Cookie Baker. Actually, he always wanted to be a Ballet Dancer.
Some pumped up, side burned Equalizer is leading the Planning Efforts. God said “Let him be. He is innocent! That I know of. I’m God!”
Instead of keeping busy catching mice, the City Cat is debating the apartment dog proliferation in the West End. Now she wants a designated Fe-lane over the Burrard Bridge!
And it could go on and on and on…
No wonder my “Beer” dealer is pissed off. He told me that if he knew the City Hall racket was so industrious he would have never chosen the path of crime that he chose. He could have been a contender!
Now really, thinking about it, Mark Emery does look like the victim here, doesn’t it?
So, to this end, Alex, my friend, WTF? Are we in some newly found, unpublished Orwell manuscript here? Because it is not funny anymore! Then I remember that, oh, wait…
We live in Vancouver and this keeps us busy.
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I must tell you….that one day I will take great pleasure in meeting you. What an incredible mind you have. The references are as fast as the colourtinis as they fly through the air… Great stuff my friend. But, alas, there is more! Stop by in about an hour…
I have, in fact, discovered… the smoking gun….
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The “outside” political staff is really getting on the nerves of the “inside” political staff at CoV.
And the plain old City Hall staff–who do the actual work—not the running-around-setting your hair on fire communications stuff—, are bearing the brunt of a very, very nasty internecine battle between the Queen (“Staff—Off With Your heads!), the Knave, and Mayor Chance, The Gardener.
Being There. Done that.
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Yes, good points all the way around. I love the Mayor Chance line–how true!
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People of Vancouver are fead up with ongoing coruption taking place in groops of people we trusted. Enough is enough. Those who are using their position to lie,take advantage of working people should be panished. Let put them in jail where they do belong. We need honest,thrusfull people Mr. Robertson. And we need it now.
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