A veteran city councilor says he “screwed up” and will apologize to Calgarians for not communicating his interest in a property in his area.
The city’s integrity commissioner, Ellen-Ann O’Donnell, investigated following a 2021 complaint against Cone. Gian-Carlo Cara’s property investment.
She found Cara breached the council’s code of conduct by failing to add this property to his publicly available disclosure form, which must be submitted by all council members.
In a report dated June 20, 2022, O’Donnell said there were five instances between 2016 and 2021 where Cara should have updated his disclosure form, but he failed to do so.
Count. Cara, left, attends the 2018 Avli Inglewood Opening Ceremony with businessman Brian Kernick, right. (Submitted by Mustard Productions)
This update didn’t happen until the spring of 2022 when Cara and his wife bought the entire lot and the title changed hands.
Council voted in early July to sanction Kara, requiring him to apologize to Calgarians and undergo ethics and records management training.
Kara told the commissioner he had a handshake agreement with a businessman for the riverfront property at 66 New Street SE and put down a $300,000 down payment.
Two houses planned
The landowner plans to tear down the 1970s duplex on the property, subdivide the lot and build two new houses — one of which Kara and his wife will buy.
The City of Calgary has approved building permits for two houses to be built on the property Kara owns in Inglewood. (Submitted by the Land and Property Rights Tribunal)
CBC News first reported Cara’s property interest in 2016, but at the time he did not mention that he had paid a $300,000 down payment.
When asked why he failed to document the transaction as required, Cara took full responsibility.
“I screwed up,” he said of not reporting ownership on his disclosure form. “I absolutely should have. I’m literally kicking myself for not doing it.”
Council members are required to complete this form within 30 days of the election and within 30 days of any changes in their holdings.
“The only answer I can give is that it was clearly not my intention to hide my ownership in it,” Cara said.
In fact, Cara has declared his interest in the property during council meetings, in media interviews, and during a hearing by the Alberta Land and Titles Tribunal.
Verified permits
Some Inglewood residents asked the tribunal to overturn the City of Calgary’s decision to approve a building permit for two new homes on the property.
In its January 2022 decision, the tribunal determined that the city’s approvals were legal. The Alberta Court of Appeal later dismissed an appeal.
All dealings with the city regarding the development permit were not handled by Kara, but rather by staff in then-Mayor Nahid Nenshi’s office.
Cara said he understands his initial handshake agreement with businessman Brian Kernick may raise questions for some.
He described Kernick as a family friend and business acquaintance from the past.
“I fully understand that this may seem shady and so I have discussed everything with the (Council’s) ethics adviser.”
The integrity commissioner concluded that the breach of the code of ethics was of “moderate severity”.
An apology is coming
Kara plans to apologize to her colleagues and Calgarians at the July 26 council meeting for breaking the rules.
Mount Royal University political science professor Dwayne Bratt said Cara had gotten himself into trouble by not following council policy.
Count. Carra now owns that property in Inglewood, but the site’s future is unclear. (Scott Dippel/CBC)
He said rules like real estate disclosure are in place because of public concerns about elected officials who make land rules and their relationships with developers, as well as the need to be transparent about their own finances and properties.
“This is always an issue in municipal politics, and it underscores why we need accurate disclosure forms, not handshake agreements,” Bratt said.
“Admitting a mistake is one thing. Admitting a mistake that has been repeated for several years, that’s a political problem.”
The next municipal elections are not until October 2025.
Cara said he wasn’t sure if the incident would hurt his relationship with council members. But he is unequivocal when asked if it will hurt him politically. “No,” said the councillor, who was first elected in 2010.
As for the property he now owns on New Street, the empty, outdated duplex is still there.
Kara isn’t sure what the future holds for the riverfront property, which has an assessed value of $1.2 million.
He said he and his wife will be looking for potential investors for one of the two houses that may be built there, or they may sell it.
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