Invest Ottawa approach murky
Questions arise over studio RFP process
The short-lived Tomahawks aren’t the only ones who need a doover this week. Invest Ottawa could use one too, after the company that it chose to build our new film and TV studio backed out of the deal.
And yet, the city’s economic development agency is sticking to its story that the entire tendering process is going swimmingly.
Asked whether Invest Ottawa, in hindsight, should have handled the request for proposals (or RFP) differently, Blair Patacairk insisted that “the RFP that we put out was actually well-crafted. And it still is.”
Well, that’s a matter of opinion.
It’s true that negotiations sometimes don’t work out. As the Citizen’s Tony Lofaro reported this week, Toronto-based Cinespace walked away from talks with Invest Ottawa after it became apparent that the studio company would not be able to build as big a sound stage as it wanted at the city-owned Bayview Garage. These things happen. But much of the brouhaha with Cinespace could have been avoided with a more specific RFP, one that, for example, gave an approximate range as to the size of studio that Ottawa is looking for.
According to Invest Ottawa, however, spelling out any sort of parameters for what this city might need is a crazy idea.
“The RFP was put in place specifically because we needed industry leadership to tell us what we should be doing,” said Patacairk.
Since when is a competitive bidding process a fishing expedition for research?
If it was information that Invest Ottawa was after, then it should have put out an RFI — or request for information.
An RFI is exactly what it sounds like: a process to gather information that helps an organization decide what to do next.
Why didn’t Invest Ottawa try that?
They certainly could have used more direction before launching the bid for the studio.
Consider that Patacairk points out that “we can’t build something large-scale that stays empty” and that “one of the things we realize is that we need to build an appropriate-size studio for our region.”
Sounds reasonable. So what is the appropriate size for Ottawa?
“It’s for those guys to come back and say.”
Which is it? Sorry Invest Ottawa, you can’t have it both ways.
There’s also some doubletalk about what happens next with the studio deal.
It appears Invest Ottawa isn’t even following its own procedures spelled out in the apparently “well-crafted” RFP.
Now that Cinespace is out, Invest Ottawa has said that it will meet next week with the other two companies that put in bids for the studio because, as Patacairk first said, “it’s just a matter of being fair.”
Except that the RFP specifically states that if the negotiations with the preferred proponent fail, Invest Ottawa is supposed to move to “the next highest ranked proponent.”
When this clause was pointed out to Patacairk (who, to be fair, is not usually in charge of answering questions on the RFP), he came back with the response that “there wasn’t any proposal that would win out. They both were sort of about in the same spot in terms of ranking.”
What kind of RFP process doesn’t formally score the bidders?
Surely the other two firms weren’t exactly tied for second? It all seems a bit vague.
Invest Ottawa is, in part, the successor to OCRI, the organization that concentrated on helping to build the hightech sector.
‘I’ve been travelling back and forth to Hollywood and other places, just looking around, and knowing what’s out there.’
BLAIR PATACAIRK
Invest Ottawa
The new agency was supposed to expand that economic development expertise to other business sectors that could be economic drivers for the city.
Like a television and film recording studio. Done right, it could bring companies to Ottawa that wouldn’t have otherwise visited, who then spend their money in our hotels and restaurants. And hire our production crews.
But while Invest Ottawa has a deep bench when it comes to high-tech, it’s not as clear how much they know about the TV and film industry.
Does anyone, for example, on Invest Ottawa’s negotiating team or decision-making panel have any experience in the television and film industry?
“I don’t know their resumés,” said Patacairk.
Doesn’t exactly fill taxpayers with confidence.
And make no mistake, taxpayers are on the hook for what happens at Invest Ottawa.
The agency is partly funded by the city, and the studio contract includes a $1.5-million grant from we taxpayers. And that means Invest Ottawa has to be accountable to those citizens.
Now, Patacairk said the economic agency did its due diligence on this file.
“In fact, over the last few years I’ve been travelling back and forth to Hollywood and other places, just looking around, and knowing what’s out there,” he said, adding that many industry leaders and local players were consulted about what we need in terms of a new studio.
So where’s Invest Ottawa’s detailed market analysis that shows that Ottawa can support a TV and film sound stage, let alone address the size of studio the local industry can support?
There isn’t one, per se, at least not that’s available for public consumption.
“Really, the way Invest Ottawa works — we’re the business leaders.
“We go out and we do these things and filing a report with the city or not, we cross our T’s and dot the I’s when we do all this stuff,” said Patacairk.
That may well be, but that’s not good enough.
Invest Ottawa is part of the city government structure. It’s time it falls under the same rules.