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MLA Johnson 'quite concerned' about possible perceived conflict of interest

While a proposed new school near the Athabasca Regional Multiplex would be a positive addition to his constituency, Athabasca-Sturgeon-Redwater MLA Jeff Johnson has acknowledged that the creation of such a school could put him in a tricky situation.
Athabasca-Sturgeon-Redwater MLA Jeff Johnson’s wife and two of his political associates are directors of the numbered company (1312735 Alberta Ltd.) that owns 80 acres
Athabasca-Sturgeon-Redwater MLA Jeff Johnson’s wife and two of his political associates are directors of the numbered company (1312735 Alberta Ltd.) that owns 80 acres of land west of the Athabasca Regional Multiplex (furthest south building outlined on map above). They purchased the property approximately seven years ago from former MLA Frank Appleby, who still owns the quarter section to the south.

While a proposed new school near the Athabasca Regional Multiplex would be a positive addition to his constituency, Athabasca-Sturgeon-Redwater MLA Jeff Johnson has acknowledged that the creation of such a school could put him in a tricky situation.

Johnson has ties to 80 acres of property just west of the proposed site of a new Athabasca junior/senior high school -property that could potentially go up in value should the school's construction be approved.

As Education Minister, Johnson has a say in which school capital projects get approval.

"It's something that I'm quite concerned about," said Johnson. "…The point of a 'perceived' conflict of interest (is) I think where my concerns lie."

He noted that his annual meetings with the ethics commissioner have ensured there is no direct conflict of interest.

Johnson jointly purchased the property between 2005 and 2006 from former MLA Frank Appleby, who still owns a quarter section of land just southwest of the multiplex.

Among the stakeholders in the original land acquisition were Johnson, Noel Major (currently secretary of the local Progressive Conservative constituency association), Major's spouse, and Johnson's constituency assistant, Dawn Minns.

Johnson was first elected as MLA in 2008, but was required to divest himself of the property when he was appointed to cabinet in October of 2011, because members of cabinet are not allowed to be part of a business or own stock. The directorship of his numbered company (all stakeholders in the property have numbered companies) was switched to his wife, Kim Johnson.

Kim recently won an appeal to develop a small subsection of that land where she and Jeff will build a home.

Johnson said his family plans to build there largely because of the land's proximity to the multiplex.

"I built my house up there because the community decided to put the recreation facilities up there, not me," said Johnson. "I think the value of the property is going to be affected just by the value of the multiplex."

As far as the new school proposal goes, Johnson said he is certain no conflict of interest exists because he does not control school placement.

"I don't decide where the school goes; the school board does, and the local community does," maintained Johnson. "…It's not possible for the minister to create a real conflict because the minister doesn't approve the local priorities, and he does not approve the local (site).

"The minister is only responsible for the final funding decisions," he said.

As well, Johnson said he does not unilaterally decide which school projects get funding: the Minister of Infrastructure and Treasury Board also have input.

"There is a request for a couple thousand school projects around the province, and we're only going to fund a hundred of them, so which hundred get funded?" he asked. "And that's where I have some significant input."

He said the reality of his ministerial role, and where he builds his home, should have no bearing on his ability to oversee the creation of a quality educational facility for his constituency.

"Should our kids in Athabasca get any less consideration because I'm the Education Minister? Are they less important than kids in other communities just because I'm the Education Minister? I don't create the capital lists; I don't create the priorities; I don't decide where schools will go. The only thing I get input on is which school projects get funding," said Johnson.

Aspen View Schools superintendent Brian LeMessurier confirmed that a new junior/senior high school located at the multiplex is at the top of the school board's capital projects list.

"It has nothing to do with the minister," said LeMessurier. "We started pursuing a new school up on or near the multiplex a long time before I ever found out that the minister had property in that area, or I just found out that he is building a home in that area."

LeMessurier confirmed the new school has been proposed to Alberta Education, but no decision has been received.

LeMessurier was Johnson's campaign manager in the last provincial election. Asked if this association might add to any perceived conflict of interest, LeMessurier said, "I guess people can perceive whatever they wish. My conscience is clear."

LeMessurier said there is "absolutely not" any direct conflict of interest as Johnson was not part of the school board's decision-making process. He said the school board determines Aspen View's capital plan, and coupled with the recommendations from an Alberta Education-facilitated value scoping exercise, "directed me to complete the necessary documentation to apply for the necessary capital funds to build a new Grade 7-12 secondary school."

The superintendent said the value scoping exercise involved members of the multiplex committee, including multiplex manager Rob Balay, senior administration from the school board, consultants from independent engineering and architectural firms that led the process, as well as representatives from Alberta Education and Alberta Infrastructure.

"The value scoping team recommended only one site in Athabasca for a proposed new secondary school," said LeMessurier, pointing to the "many advantages the community would realize if a new secondary school were built onto or near the (Athabasca Regional Multiplex)."

Funding for a new school has not yet been approved, but LeMessurier said the school board "remains hopeful that it will be successful in acquiring the necessary capital funds to either build a new school or renovate (an) existing facility."

LeMessurier said, "There is no conflict, and any such discussion jeopardizes Aspen View's case to secure provincial funds for a necessary school."

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