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Injunction denied, lawsuit can proceed in B.C. air ambulance dispute: judge

Case involves procurement issues tied to service in Prince George, Prince Rupert, Qualicum Beach, Kamloops and Vancouver
helicopter
Ascent Helicopters owner Trent Lemke with one of the company's choppers following Emergency Health Services' 2023 decision to award Ascent a $544 million contract.

A BC Supreme Court judge refused on May 21 to grant an air ambulance company an injunction to continue working out of its Kamloops base and to pause a contract given to a competitor.

But Justice Bruce Elwood did not dismiss the underlying action filed by Summit Helicopters Ltd. due to a tainted procurement process.

BC Emergency Health Services (BCEHS) and its parent, the Public Health Services Authority (PHSA), decided in early 2023 that Ascent Helicopters Ltd. would service five areas: Vancouver, Qualicum Beach, Prince George, Prince Rupert and Kamloops.

Ascent is now operating out of Prince George and Qualicum Beach, while incumbent Helijet is still operating in Vancouver and Prince Rupert.

Summit鈥檚 contract was set to expire May 22, the day after Elwood鈥檚 decision.

PHSA and BCEHS sought bidders in November 2021 for air ambulance services. Summit and Ascent were among the incumbent contractors, who used seven different helicopter variants from three manufacturers. The province wanted to move to a single air carrier, using a single helicopter model, compatible with a model of power stretchers used in hospitals.

BCEHS entered a 10-year, $544.5 million contract with Ascent in February 2023 to use the Leonardo AW169 for all service deliveries.

Summit鈥檚 June 2023 procurement complaints were rejected, but then referred by PHSA to a review committee. Last November, it found merit on two grounds. Evaluation committee member Tammy Schiere鈥檚 husband had a consulting contract with Ascent, Also, the evaluation committee wrongly excluded Summit鈥檚 proposals that scored less than 60 per cent at the first stage, contrary to the goal of obtaining value for money.

After the November 2024 review committee鈥檚 decision, PHSA agreed to improve conflict of interest assessment training for evaluation committees and staff. It had yet to strike a new committee to re-evaluate proposals and appoint an independent third-party monitor, but has since committed to do so.

Elwood decided that the transition to Ascent should carry on concurrently with the re-evaluation process. However, Elwood said PHSA was unable to provide a timeline or details of the process.

鈥淎ccordingly, in my view, it would be appropriate for the court to retain jurisdiction and not dismiss the underlying action,鈥 Elwood said. 鈥淚 am not seized of the action, but the parties may request to appear before me for directions or any further applications.鈥

Elwood said PHSA, BCEHS and Ascent sought reimbursement for their legal costs, but he decided that all parties should bear their own costs.

鈥淚n my view, the application by Summit was a matter of significant importance to the parties and the public at large, based on a finding of a reasonable apprehension of bias in a major procurement award,鈥 Elwood decided.