Whitehorse Daily Star

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Mark Evans and Mike Nugent

Curling club's lease issue remains on ice

A question mark is hanging over the upcoming local curling season after Monday evening's city council meeting.

By Stephanie Waddell on August 28, 2012

A question mark is hanging over the upcoming local curling season after Monday evening's city council meeting.

Once again, council members put off a decision on the Whitehorse Curling Club's lease in the city-owned Mount McIntyre Recreation Centre.

After passing first reading on the proposed terms, council deferred second reading of the bylaw for two weeks.

After the vote, curling club president Mark Evans said he's "slightly unclear” as to where negotiations will go now and what it might mean for the curling season set to start next month.

"I'm optimistic that we can have future discussions with the city,” he added.

The decision comes after members initially voted in June to put off a decision on the matter.

The curling club said then it couldn't agree to the increases proposed in the suggested 10-year lease. It would see the city recoup 50 per cent of the cost of running the centre's curling rink portion.

The hike would have seen the club's lease rise from $30,000 in the first year to $63,929 in the final 10th year as the city implemented its policy of recouping half the cost of operating its facilities.

After deferring the lease in June, the city proposed a lease that would see the club pay less by giving up the dry-ice surface during the four summer months, when there are no curling programs.

As Evans explained in a presentation to council last night, the club couldn't agree to that option either.

That's because it makes about $20,000 renting out that space through the summer.

In turning down that offer, the club said it would be willing to pay an additional $5,000 to the existing $30,000 annual lease for five years.

However, Brian Crist, the city's director of operations, stated in his report to council last night: "As the curling club's most recent proposal does not adequately address the city's 50 per cent cost-recovery policy, the original draft lease agreement is being brought back to council at the regular meeting....”

Evans noted that in the past year, when the curling club has been operating under the terms of the past lease agreement, there seemed to be goodwill extended on the city's part to keep the rink operating.

That goodwill doesn't appear to be there for the upcoming season, set to start in late September.

And that could impact the club's ability to sell liquor. Evans noted if the club is not seen as the lease holder for the space, it's unlikely to get its liquor licence.

After the meeting, Evans said the club will need to know what's happening with its lease by the time club registration happens next month.

He proposed the city extend the lease it's been operating under for another year. That would give the club and the city time to work out a new arrangement, he said.

Face-to-face communication between the city and the club needs to happen, rather than the largely email correspondences that have been going back and forth between the two, Evans added.

Reiterating his points under questioning by council, Evans noted that while the city's policy to recoup 50 per cent of its operating costs on facilities may look good on paper, it's creating a hardship for non-profit community groups like the curling club.

While Evans pleaded the case on behalf of the curling club, Mike Nugent spoke as a member of the club.

He argued the city is, essentially, penalizing the club for prudent financial management.

In June, numerous council members pointed to the $250,000 surplus the club appeared to have in arguing it's not in financial trouble and can handle the lease increases.

As Evans explained at last night's meeting though, that cash represents funds the club has to have in order to pay out winnings from bingo and cash calendar fund-raisers.

It also represents assets the club has in the form of rink equipment, as well as a contingency should the group need money for urgent matters such as the ice maker breaking down.

"It's just not fair,” Nugent said.

The proposed lease hikes will mean higher fees to curlers, and that would likely see membership drop, having a negative effect on the community overall.

"Curling has a broad spectrum of appeal,” Nugent said. He pointed out it's one of the few winter sports anyone of any age can take part in.

When the lease came up for discussion among council, both councillors Betty Irwin and Kirk Cameron said they would support the one-year extension proposed by Evans.

As Irwin noted, the city has relaxed its policies and bylaws in other areas. Zoning variances and others are not unheard of, she pointed out.

If the city is to insist on strictly enforcing the 50 per cent cost recovery policy with the curling club, Irwin said, it had better look at all its facilities in applying the policy.

While the city prides itself on its recreational facilities, Irwin argued it seems to favour the Mount Sima ski area and the local softball diamonds, putting more cash into those facilities than others.

Saying there needs to be further discussion with the club, Irwin offered her support for the extension.

Cameron echoed Irwin's thoughts, stating there doesn't seem to be a lot of dialogue happening between the club and city.

A one-year extension, he said, "makes an awful lot of sense.”

The arguments in favour of the club were enough to convince Coun. Dave Stockdale too that there needs to be more discussion.

When the lease first came forward in June, Stockdale argued the club was getting a good deal on the facility.

Last night, however, he noted the club has raised issues that do need to be looked at.

"I think we have to do some more discussions,” he said.

Coun. Florence Roberts was the lone council member to argue the city should stand by its policy when it comes to the lease.

The "giving” has to stop somewhere, she said.

Roberts also pointed to sections of the proposed lease that allow for it to be changed or terminated by either side if need be.

"You can reopen the lease,” she said, looking at curling club officials attending last night's meeting.

Crist and city manager Stan Westby told council members that whatever direction the city takes on thie issue is entirely up to council.

That statement was greeted by some laughter and applause from curling club members.

"Really, it's council's decision,” Westby said.

Council could approve first reading of the bylaw, he suggested, then defer second reading. That would give staff direction to pursue the matter further with the curling club.

If it was deferred for two weeks, Westby said, at the very least, staff could come back with an update on any progress made on the lease.

With that, council unanimously supported both first reading of the bylaw and the deferral of second reading.

Council also passed first and second readings of the lease for the Whitehorse Cross Country Ski Club at the recreation centre.

The ski club hasn't brought any issues forward on the separate, proposed agreement for the space it uses at the centre.

Its lease rates are proposed to rise from $27,790 in the first year of the lease to $36,260 in the final 10th year of the agreement.

Third reading still has to pass before the lease is adopted.

Councillors Dave Austin and Ranj Pillai were not at last night's meeting.

Comments (2)

Up 0 Down 0

CMZ on Aug 28, 2012 at 9:28 am

What kind of northern city with that quality of facility can't keep a curling club on board. And what is the city's end game anyway? Get rid of long-term tenants same as they did the dog club, this time in the name of a blue-sky policy that probably was written behind closed doors?

I hope the curling club hangs tough on this one. It's probably the long-term tenure of such a group that made that facility look viable in the first place.

Up 0 Down 0

When is enough, enough? on Aug 28, 2012 at 8:10 am

"Coun. Florence Roberts was the lone council member to argue the city should stand by its policy when it comes to the lease.

The "giving” has to stop somewhere, she said."

I agree Florence....but then don't as a Council say no to Mt Mac and then turn around and continue to award funding to keep bailing out Mt. Sima.

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