The contract was signed on June 23, but came into effect on May 5, 2020. The contract was then cancelled on July 3 amidst conflict of interest accusations against Prime Minister Justin Trudeau

The contract was signed on June 23, but came into effect on May 5, 2020. The contract was then cancelled on July 3 amidst conflict of interest accusations against Prime Minister Justin Trudeau

Marc, left, and Craig Kielburger, co-founders of the charity Free the Children, speak at the charity’s We Day celebrations in Kitchener, Ont., Thursday, Feb. 17, 2011.
GEOFF ROBINS/The Canadian Press
The deal that WE Charity struck with the federal government allowed it to collect most of the fee for administering the Canada Student Service Grant within one week of the Trudeau Liberals announcing the group would run the new program.
The contract, which was first announced on June 25, but cancelled on July 3 amidst conflict of interest accusations against Prime Minister Justin Trudeau, would allow the charity to collect $33-million in fees by July 2.
It was publicly released Monday through the House of Commons finance committee which is studying the controversy around the governments decision to award the charity the contract despite multiple financial ties that the families of Mr. Trudeau and Finance Minister Bill Morneau have with WE.
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The Conflict of Interest and Ethics Commissioner is investigating whether Mr. Trudeau and Mr. Morneau broke federal ethics laws.
The contract was signed on June 23, but came into effect on May 5, 2020.
Prime Minister Trudeau and WE Charity: The story so far
The arrangement, called a contribution agreement, also plans for much less total spending that the government publicly announced for the program when it was first mentioned by Mr. Trudeau on April 22 and which is published on the federal governments website.
According to Ottawas published figures, the government planned to spend up to $912-million on the program. But the agreement with WE only details plans to spend $543.5-million.
The total WE Charity stood to be paid for running the program was $43.5-million. That payment was based on the organization registering up to 100,000 participants.
The government did not immediately respond to requests for comment about the contract.
In a statement on July 3 announcing the cancelled contract the group said WE Charity waives all costs associated with the creation and administration of the program. To be clear, any funds earmarked for WE Charity staff or WE Charity administration will be returned in full to the government.
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On Monday it said the waiving of fees also applied to all of its affiliate entities.
The WE organization is not taking any funds from the pre-work for the administration of this program, the statement said.
The government broke the project into two cohorts of 20,000 participants each, plus a supplementary cohort of 60,000 participants. The government planned to spend $100 million per 20,000 participants, or $500 million.
The deal was structured so that WE would receive more money earlier in the programs life, as it bore the startup costs. WE was to receive up to $19.5 million for the first 20,000, up to $13.5 million for the second 20,000, and $10.5 million for the final 60,000.
The government was to pay We the $19.5 million for the first group of participants as soon as it signed the agreement and the $13.5 million payment for the second group on July 2.
On Tuesday WE Charity co-founders Craig and Marc Kielburger will speak at the finance committee about their groups role in the program. Through it the federal government had planned to pay students for volunteer work in an effort to support them during the COVID-19 pandemic.
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The federal government has said it will continue with the program but has not yet said how it will work now that WE Charity wont administer it.
Questions about the connections between the charity and senior Liberals prompted revelations that Mr. Trudeaus wife, mother and brother have been paid for their participation in the charitys events. The Prime Ministers mother, Margaret Trudeau, was paid the most. The charity confirmed on July 9 that since 2016, Margaret Trudeau has been paid about $312,000 in speaking fees, which includes a commission to the speaking agency that represents her.
It was then revealed that Mr. Morneaus daughter works for the organization. And last week Mr. Morneau also revealed that he reimbursed the WE Charity $41,366 on Wednesday for expenses related to his familys 2017 travel with the organization.
At the same time the controversy has prompted questions about WEs governance and the relationship between the charity and its for-profit affiliate called ME to WE. In July the WE organization announced a review of its organizational structure and governance and a plan to refocus its efforts on international work. On Monday, The Globe and Mail reported that the charitys former chair, Michelle Douglas, resigned due to concerning developments and that she did not resign in the ordinary course of matters.
Ms. Douglas resigned from the charity on March 27 and will also testify at the finance committee on Tuesday.
More to come.
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