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Canceled Contract Results in Tok Threatening to Take Action Against RMWB

RMWB, Tok, contract

Tok is upset over a move by RMWB to cancel a contract, and the company is threatening to take legal action over the move by the municipality. The contract was canceled on February 19, 2015 after a transit audit in October 2014 showed poor results, with the results being the reason given for terminating the contract with Tok and moving transit services in house. Tok contends that the RMWB made the move for their own convenience, and that the performance by the company has bee depicted inaccurately. According to a release from Ajay Mehra, the COO of Tok, “This termination attempt is part of a planned strategic effort to replace (Tok’s) extensive value added investments … all of which took immense financial resources, time and effort. We are very concerned that the municipality did not support or manage the contract fairly and that RMWB management is making inaccurate and incomplete statements about our operations.”

The Tok contract cancellation by RMWB came as a surprise to the company. The October audit identified numerous targets and commitments covered by the contract that had been previously missed. These included thresholds for complaints and delays, appropriate staffing levels, technology implementation timelines, and even temporary bus shelter construction standards. The municipality started to review various options once the audit results were complete, and decided that the in house option was the way to go for the best possible service to residents. Robert Kirby, the director of operations for RMWB, said “I’m certainly not going to debate him in the press, but our position is we’re doing this for … better quality of service, customer service, the safety.”

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