Contractor issues statement on termination of Parry Sound school project

Van Horne Construction has issued a statement through its legal counsel saying it ‘strongly disagrees’ with the decision by Ontario’s Education Minister to direct the termination of their contract on the Parry Sound JK-12 school project.

The company says the decision is ‘unjustified, unsupported by the facts, and fundamentally unfair, given the extensive and well-documented governance and oversight failures by the Board already identified in the administration of this project.’

They say from the outset, they’ve met their contractual obligations and acted in good faith, raising concerns early and repeatedly about issues beyond the contractor’s control.  Van Horne categorically rejects any suggestion that its work, conduct, or capability warranted termination.

They also note by the end of 2025, construction was substantially complete and despite having advanced the school towards occupancy it has not received payment from the Board since September.

The company says the termination risks further delay in student occupancy, and further disruption for families and the Parry Sound community, while diverting attention from the documented governance and oversight failures by the Board.

Legal proceedings have also been started.

Below is the full statement from Van Horne Construction Ltd:

Van Horne Construction Ltd. strongly disagrees with the decision by Ontario’s Minister of Education, Paul Calandra, to direct the termination of our contract on the Parry Sound JK-12 school project. This decision is unjustified, unsupported by the facts, and fundamentally unfair, given the extensive and well-documented governance and oversight failures by the Board already identified in the administration of this project.

Van Horne has served Ontario communities for more than 53 years. Since 1973, we have delivered complex public, institutional, and community infrastructure projects with professionalism, accountability, and care. Our reputation has been built on doing the work properly, standing behind our commitments, and working constructively with owners, consultants, and public authorities, even under challenging conditions.

From the outset of the Parry Sound project, Van Horne met its contractual obligations and acted in good faith. We raised concerns early and repeatedly about issues beyond the contractor’s control, including permitting challenges, governance breakdowns, decision-making delays, and structural problems within the project’s oversight and approval process. These issues were well documented and predated any claims now being made regarding contractor performance.

Multiple independent reviews and public reporting have established that this project suffered from serious administrative and governance failures at the Board level. Against that backdrop, the Province’s decision to single out the contractor is inaccurate and misrepresents the root causes of delay and dysfunction on this project.

Van Horne categorically rejects any suggestion that our work, conduct, or capability warranted termination. We stand behind the quality of the work completed to date and the professionalism of our project team. By the end of 2025, construction was substantially complete, having received the required regulatory approvals necessary to advance towards occupancy.

Despite Van Horne having completed the approved work necessary to advance the school towards occupancy, it has not received payment from the Board since September, a matter that forms part of the broader contractual and legal issues now under review.

The termination of Van Horne at this late stage risks further delay in student occupancy and return to the classroom, and further disruption for families and the Parry Sound community, while diverting attention from the documented governance and oversight failures by the Board that have already been identified.

As a result of the Province’s actions, Van Horne will be pursuing legal remedies to protect the company’s reputation, its contractual rights, and the interests of its employees and partners. We will not allow more than five decades of trusted public service and construction excellence to be undermined by a decision that fails to reflect the full and accurate record of this project.

We recognize the frustration felt by families, educators, and the Parry Sound community. Van Horne shares the community’s desire to see the final stages of the school’s construction completed and have the students back in their classrooms, where they belong. Accountability matters. Accuracy matters. And fairness matters.

Richard Coffin
Richard Coffinhttps://www.mynorthbaynow.com/
Richard Coffin has been a reporter and news anchor on the radio in North Bay for over 25 years.  From premiers to people in the neighbourhood, he enjoys connecting with newsmakers and writing stories that matter to area listeners on a variety of topics including healthcare, education, politics, sports and more. 

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