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A press release from Caledon residents’ group Democracy Caledon
Democracy Caledon Raises Alarm Over Council’s Proposal to Give Town’s CAO Blank Cheques for Spending up to $500,000 per Contract
Democracy Caledon expresses grave concern over Caledon Council’s recent decision to dramatically increase the Chief Administrative Officer’s (CAO) spending limit from $50,000 to as much as $500,000 without Council approval.
This move, proposed in an amendment to a Purchasing Bylaw and set for ratification by Council on February 25, 2025, represents yet another example of the significant erosion of democratic controls and fiscal accountability in the Town of Caledon.
Democracy Caledon calls on Caledon residents to voice their concerns to Council members before and at the February 25 (7:00 pm) meeting. The non-profit community organization warns that this decision, if ratified, sets a dangerous precedent for unchecked spending and reduced Council oversight in Caledon’s future and other Ontario communities.
“This is an alarming surrender of Council’s fiscal management responsibilities to staff” said DebbeCrandall, President of Democracy Caledon. “Council allowing the CAO to approve procurements up to half a million dollars without Council review is a dangerous concentration of power that undermines transparency and accountability to Caledon taxpayers”.
The proposed amendment to the Purchasing By-law was initially tabled with a $1 million limit. This was reduced to $500,000 after numerous questions and concerns were raised by Councillors DeBoer, Early, Kiernan and Sheen, which resulted in an amendment at the General Committee of Council meeting on February 4. Democracy Caledon maintains this permission for procurement spending by staff is still excessive, especially when compared to neighbouring municipalities. The Region of Peel, with a population of 1.5 million, caps such spending at $250,000, while King Township requires Council approval for contracts over $100,000.
Democracy Caledon contends that this move contravenes the Municipal Act, which lays out Council’s role in ensuring accountability and maintaining financial integrity. The group recommends a more reasonable limit of $100,000 for CAO-approved non-standard procurements.
Democracy Caledon also questions the justification provided for this change, citing insufficient background information and analysis provided to Council before the Feb. 4 vote. The community group asks why Caledon’s CAO Nathan Hyde needs up to $500K of taxpayers’ money available to him to spend without oversight. Mayor Annette Groves’ unsubstantiated claims of staff frugality and savings are not enough to warrant such a dramatic increase in staff’s spending authority.
“Council is abdicating and outsourcing its responsibility to oversee significant expenditures of taxpayer money” Crandall concluded. “This decision, along with the lack of transparency regarding the CAO’s employment contract and performance review process, raises serious concerns about governance in Caledon.”
About Democracy Caledon
Democracy Caledon is a collective of proactive people deeply committed to restoring good governance in the Town of Caledon. We believe that strong communities are built on a foundation of transparency, accountability, and engaged citizenry. Our focus is on advocating for responsible local and regional governance that serves the best interests of all residents.
