Concerns are emerging regarding a significant construction contract linked to Ontario's largest hospital project after the awarding of a $140 million contract to a U.S.-owned company. The contract is part of the Peter Gilgan Mississauga Hospital, a massive 2.8-million-square-foot facility being constructed by Trillium Health Partners. This project is one of the largest healthcare infrastructure undertakings in Canadian history, aiming to replace the existing hospital with a building that will be three times its size. The new hospital will feature a 22-storey patient care tower, more than 350 beds, nine new and 14 enhanced operating rooms, a substantial neonatal intensive care unit, and one of the most extensive emergency departments in Ontario.
The Ontario Glass and Metal Association is raising alarm bells about what it claims is a costly mistake made by the province regarding the contract. In a letter addressed to Premier Doug Ford, the Association asserts that the facade contract, worth approximately $140 million, was granted to a U.S.-owned company that intends to outsource fabrication work to Mexico. They advocate that such significant contracts should be awarded to Ontario-based firms to preserve local jobs and keep tax revenues within the province, particularly in light of looming economic uncertainty.
Blake Sanders, president of the Ontario Glass and Metal Association, emphasized the ill-timing of awarding the contract to an American firm, especially considering the volatile American tariff situation. This concern has intensified following the recent increase of U.S. tariffs on Canadian goods, which rose to 35 percent on July 31. Sanders criticized the absence of a Canadian equivalent to the "Build America, Buy America" (BABA) clause, which is a common requirement in U.S. government contracts. He argued that Canada should implement a similar policy to prioritize local business and jobs.
The Ontario New Democratic Party (NDP) has also condemned the decision to allocate $140 million to an American company. They contend that it is unacceptable to divert public funds away from local businesses when the focus should be on supporting Ontario’s workforce and economy. A statement from the party called for a "Build It Here, Buy It Here" strategy to ensure that public investments bolster local employment and strengthen the provincial economy.
Ontario Liberal Leader Bonnie Crombie echoed these sentiments, expressing her disapproval of the Ford government's decision to award a crucial contract to a U.S.-based firm amidst a backdrop of increasing tariffs from the United States. Crombie stated that the contract in question should be generating Canadian jobs, offering Canadian wages, and reinforcing the local supply chain. She emphasized the importance of building and buying locally, particularly during ongoing trade tensions.
This situation follows Premier Ford’s recent announcement regarding the termination of a $100 million contract with SpaceX for Starlink internet services, marking another significant shift in the province’s contracting strategies. As concerns continue to mount regarding the awarding of the facade contract to a U.S. entity, the Ontario Glass and Metal Association insists that this issue extends beyond just materials like glass and metal; it fundamentally revolves around the necessity of maintaining Ontario jobs within Ontario.
