A City of Toronto report has revealed the Leaside Arena board’s mishandling of an advertising deal and problems of governance.

Ombudsman Fiona Crean outlined the results of an investigation to Toronto City Council Nov. 14, which examines the board’s awarding of an advertising contract, a process she said lacked fairness and transparency. Her report revealed an advertiser’s contract was cancelled after he did not match an offer that was misrepresented to be firm.

Crean told council the board had no advertising policy, members had been asked to vote over email and a committee did not keep records.

“This investigation is about the treatment of an individual, but it takes place in the context of larger governance issues,” Crean said.

The governance relationship needs revisiting, she said. “To call the presence of one city staff employee and a councillor the ‘essential link’ to ensuring that good governance happens, is, respectfully, not happening. I only looked at one arena board, but I’m sure that one can extrapolate.”

After the meeting, Coun. John Parker, who sits on the arena board, said this issue points to the lack of training for new board members, and the city should have a formal process.

Training for the board is one of the 18 recommendations made by Crean, which council adopted.

“I fully believe that the board member that was identified in the episode highlighted in the ombudsman report was functioning with a pure heart in the best interests of the arena,” Parker said, “but I think he got a little involved in the negotiations and lost sight of the larger picture.