Catholic school board, beset by conflicts of interest, passes $312M budget

While six of the eight London District Catholic school board trustees declared a conflict of interest Monday amid an ongoing deadlock that’s led to court intervention, they were all able to vote and unanimously approved a $312-million budget.

Their ability to vote Monday on the budget – possible only because of a ruling by Justice Spencer Nicholson – partially ended a near-unprecedented “governance crisis” that had stalled decision-making on key issues since the term began in November.

Nicholson ruled the trustee may rule on “two pressing matters” – the CUPE union collective agreement, and subsequent collective agreements, and the 2022-2023 budget, and subsequent budgets. “The ruling only applies to the current board and trustees still need to state their conflict of interest,” Nicholson has said.

The Catholic board sought legal relief from Ontario conflict-of-interest laws because all but one of its elected members are related to board employees, creating for each a conflict that threatened to completely paralyze its work over the four-year term that began mere months ago.

Of the eight trustees, previously seven declared a potential conflict of interest in matters such as the budget, collective agreements and other board business due to having a family member employed by the board, according to an application submitted in a London Superior Court last month.

To be able to make decisions, the school board needs at least two members with voting rights.

The Municipal Conflict of Interest Act came into effect in 1983 and ensures public officials do not take advantage of their positions for personal gain.

Since November, the seven trustees have recused themselves from voting on matters relating to the budget, allocation of resources, and labor agreements due to conflicts of interest. The group declared their conflicts after listening to a presentation on the issue at a board meeting last fall.

The seven trustees who have reported conflicts are Gabe Pizzuti, his son Matt Pizzuti, Sandra Cruz, Bill Hall, Mary Holmes, John Jevnikar and Josh Lamb.

Cruz, Hall, Holmes and Jevnikar have children who work full-time or occasionally for the board and Lamb has a sister. All are members of the Ontario English Catholic Teachers’ Association except for Hall’s daughter, who is a member of CUPE.

The elder Pizzuti has a son, the younger Pizzuti’s brother, who works as a teacher for the board and their wife and mother works as an occasional teacher.

Only board chair Linda Steele doesn’t have any conflict of interest.

The file was reviewed by a Superior Court Justice on March 10.

Paula Lombardi, the board’s counsel, said in its application the school board was in a “governance crisis” and unable to move forward on its $312-million budget and labor agreements with teachers and other staff.

On March 13, the judge said he was not prepared to grant a sweeping order that would lift the conflict-of-interest rules that have gridlocked school board trustees, and requested more information. He asked trustees to make a list of financial or pecuniary decisions they have to make as a board during the next 60 days for his review to pinpoint where exemptions may apply.

“It is my desire, however, to create a situation in which this board can fulfill its duties,” he said.

Nicholson said if Lamb’s only reason for his recusal is his sister’s place of work, he “is not required to recuse himself.” So with Lamb able to make decisions again, the board can achieve quorum, Nicholson said.

He also acknowledged a person seeking election to the board of trustees “is very likely to have a significant interest in matters concerning education.”

“It, therefore, comes as no surprise that so many of the trustees have family members who are educators,” he said.

Nicholson also invited the board’s lawyer, Lombardi, to appear before him again. Monday a spokesperson for the board, Mark Adkinson, said there were no updates in their legal battle to gain a 100 per cent exemption.

The London District Catholic school board has roughly 23,000 students at its elementary and high schools across a region stretching from Woodstock to Strathroy and St. Thomas to Parkhill.

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