'Trust has left the room,' says head of Winnipeg's property, planning and development department

The head of Winnipeg's planningdepartment admits a video showing city inspectors pursuing personal business on city time has damaged itscredibility and shaken managers' confidence in their staff.

"Trust has left the room," John Kiernan told councillors on the committee overseeing the property, planning and development department.

"To be blunt, the concern was there was individual behaviour, but was there also cultural behaviour?"Kiernan said.

Until the city purchased the video and began an investigation, he said hedidn't know the depths of the problems.

"I had no clue of this matter and the damage these individuals were doing," Kiernan said.

The city's acting CAO will get a copy of the investigation and consequences for staff on Friday and parts could be made public after that or released to city council in the fall.

Some councillors aren't so sure the report will shine a light into every corner of the department.

"Something will come out. How whitewashed will it be? I don't know. We'll see I guess," said Waverley West Coun.Janice Lukes.

'Heavy-handed and aggressive'

Robert McDonald was at city hall on Monday appealing an order to vacate his building on MainStreet.

His liquidation company, Surplus Direct,buys stale-dated goods from major retailers and re-sells the products at a discount.

McDonald has been fighting an order to close his building since 2014.

He was orderedto do aparking plan for the building and a fire protection plan for a mezzanine level of the building.The city had also ordered upgradesto the building's ventilation system.

The changes were ordered based on the city's view the building has been changed from a warehouse to a retail outlet.

McDonald and his lawyer, John Prystanski, say the city has it wrong. The previous business was an upholstery repair store that had an occupancy permit and was not a warehouse.

Prystanski coincidentally also represents an unnamed group that paid private investigators to follow city inspectors during work hours.

McDonald told city councillors on the planning committee that the department created a horriblebusiness environment with "aggressive enforcement."

"How common is it to shut down a flourishing business [that is] paying taxes and everything?" McDonald said, noting he employs a dozen people at his company.

Even senior managers at the planning department appeared to acknowledge the dispute over McDonald's property had taken far too long.

"This is not far from resolution. I just don't know why it's taking four-and-a-half years," said Stan Dueck, manager of development and inspections.

The committee voted to hold the matter over until September, effectively suspending the order to vacate the building, as both sides work out a compromise.

McDonald says he's relieved some common sense is being injected into the matter, but is still frustrated it has been going on for years.

The North End business owner says he may not agree with the undercover methods used to uncover the misuse of city time by inspectors, but he thinks the accountability coming with revelations in the video is overdue.

"The workers the inspectors have to be responsible for their positions. They have a job to do, they have to do it. This [in my case] has gone on for four-and-a-half years and we've had two people come by thebuilding in four-and-a-half years. So it is somewhat due," McDonald said.