Whitehorse Daily Star

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Rod Taylor

Ski society digesting $400,000 demand from WildPlay

WildPlay is demanding more than $400,000 from the Great Northern Ski Society (GNSS).

By Stephanie Waddell on September 17, 2013

WildPlay is demanding more than $400,000 from the Great Northern Ski Society (GNSS).

The company offers outdoor adventure parks. It had a deal with the GNSS for the Mount Sima area, which the society operates, prior to its closure on July 2.

The GNSS, which has operated the hill since its inception, closed Sima due to significant financial problems.

The GNSS is dissolving, and is focused on paying off its debts. A new group – the Friends of Mount Sima – has taken up the cause to reopen the hill at least for the winter season.

At Monday evening's city council meeting, Mayor Dan Curtis referenced the "demand letter” numerous times as delegate after delegate approached council.

Each person encouraged the city to fund the hill to the tune of $200,000 so it can open this winter and continue operations.

Curtis questioned a number of delegates about whether they were aware of the letter, repeatedly stating the amounts WildPlay is seeking.

It wants $157,000, along with another $30,000 in business licence fees for each of the remaining nine years of the 10-year lease.

It was pointed out that issue is with the GNSS, which will fold once its debts are paid off. Curtis, however, voiced his concern of the possibility WildPlay could go after assets at the hill.

Rob Fendrick, the city's director of corporate services, has also served as one of the city's representatives on the GNSS board. He noted the GNSS is negotiating with WildPlay and has 30 days to respond to the letter.

He went on to point out that a total of $85,000 will be available through the sale of a groomer at the hill, which the territorial government has agreed to purchase for the city for $55,000, and another piece of equipment that's being bought by the Hougen Group for $30,000. (Council will vote next week on the budget amendment for the groomer purchase.)

There's also the possibility of WildPlay taking the moveable equipment for the adventure park, which would also have an impact on the amount the company would be looking for from the GNSS.

Fendrick acknowleged that while it's unknown what will come from the negotiations with WildPlay, there is the eventual possibility of it petitioning for assets at the hill.

He pointed out however that those assets would have to be owned by the ski society, as that is who their agreement is with.

The city owns the chairlift (after voting earlier this summer to pay off the nearly $200,000 debt on the chair and taking over title to secure it).

The city's still the owner of the chalet at the hill under a federal Municipal Rural Infrastructure Fund deal that was signed when the chalet was built for the 2007 Canada Winter Games.

Rod Taylor, who's part of the Friends of Mount Sima group, told council as well that while his organization is focused on reopening Sima, he has heard that WildPlay is willing to talk and negotiate with the GNSS.

Along with the city paying off the chairlift, and the territory's purchase of the groomer, the Yukon government has provided funding to the tune of $198,000 to pay off local creditors.

That money is being funneled through the city.

Fendrick told council Monday evening that the city has received the updated list of creditors and will be verifying the amounts owing in the coming days.

It's expected cheques will then be issued either Thursday or next week.

Comments (9)

Up 12 Down 2

Volunteer needed on Sep 20, 2013 at 11:30 pm

Wow! You folks ever wonder what we, in the communities feel about the whole thing? This hill has to be manned by volunteers.

Here, I can't even see the same doctor twice, and they never bother opening up your file. When they do, they find request for blood test by a previous doctor that is 4 months old and no one ever told you to come in. Then you are being told by the head nurse that it is normal practice. Can't the government fix our healthcare system before pouring money into a sinking ship?

Really you folks from Whitehorse are so spoiled you can think straight. Get your heads out of the Government's arse.

Up 6 Down 2

melba on Sep 20, 2013 at 5:07 am

The whole Mt. Sima debacle reeks of greed and rotten pork. The entire budgets and expenditures of the past 6 years need to be thoroughly aired, in detail. Who got what, for what. Likewise the current plan for moving forward.

This poor hill has been used and ridden to funnel millions of dollars and I want to know where the money went and I'm not just talking about the $200 thousand plus 'surprises' to outside businesses, but where ALL the money went. Where can we see the invoices? The payroll? The local contractors who got paid for projects accomplishing what?

Whitehorse does deserve a ski hill and should have one for all we have paid. What happened?! I have read every article and am not seeing the answers. I am with Josey and June with thinking this reeks to high heaven.

Up 9 Down 2

Josey Wales on Sep 19, 2013 at 12:35 pm

Folks with all the cash that has been laundered at Sima through special interest groups over the years...I really do wonder why someone in this web is not "digesting" prison food.

When does the Marsh Lake Monorail Society start?

I know...don't give the nimby ideas.

Up 21 Down 2

Clive Wailing on Sep 17, 2013 at 10:01 am

I'd like to know what equipment the Hougens are buying for $30K. Is that market price? Is anybody allowed to buy things off the hill? GNSS stinks more and more with every move it makes. If Fendrick was on GNSS board, why was the city not aware of this deal with WildPlay costing $200K/year?!?

I feel sorry for Friends of Sima b/c they are battling not just fundraising (btw storming city council is not fundraising) but also GNSS bad PR and bad management as evidenced by this WildPlay disaster. Who (on a volunteer board) signed off on that contract?!? My 5 year old could broker a better deal.

CoW should stay away and if YTG wasn't pandering to the old boys's club, they would steer clear too. Why would WildPlay go after a volunteer society when municipal and territorial governments have money to throw at this ski hill???

Up 14 Down 1

Wolfe on Sep 17, 2013 at 9:54 am

What other little "hidden costs" have yet to be revealed? Do tell ! On CBC it is reported that 800 folks have ventured forth with a commitment to purchase a seasons pass. A golf membership runs in the range of $950 bucks or so.

If the ski hill charged only 1/2 that amount, say 500 bucks, then there is your $400K.

Who doesn't think that this fiasco will go on and on and on .....

Up 19 Down 1

Just Say'in on Sep 17, 2013 at 8:37 am

Really. Do these guys think you can just change the structure of your organization have new guys in control and walk from your debt and contracts you signed? This is why this should not be opened again there is no one there with a lick of business knowledge. First they never should have considered the zip line thing and now that they have they are going to be in court sorting it out. As a Society why are these guys not being held to the same standard as the Humane Society was? Maybe they should be in court for their mismanagement of public money. People who sit on these boards and administer public moneys must know that they can be held accountable.

Up 18 Down 2

What the ... on Sep 17, 2013 at 7:47 am

OMG ... every time you turn around there is another issue ... it is obvious that the "Wild Play" idea was probably the dumbest thing the GNSS did and that is saying something. The only way for this to work is for the Board be allowed to close shop pay off the debts THEY incurred and then die never to be allowed to be on a Board ever again. ... YG has TO STOP bailing out these people. Then allow someone to start clean and run the Hill at a level that is sustainable ... this "Friends of Sima" is a joke. They have no official standing, they have only promises of money but no real money ... you can not make a silk purse out this sow's ear.

Up 17 Down 2

June Jackson on Sep 17, 2013 at 7:33 am

I do not understand how a Society, which can not have 'assets' was able to accrue so much debt. Was there no law in place to prevent a million dollars of debt? Did the City, behind taxpayers backs, guarantee these agreements in some way that creditors were somehow assured that they would receive payment? Did Council tell SIMA under the table that they would guarantee payment on a 10 year agreement? Did Government? SIMA crap just keeps going on and on. They are like an STD.

Again, my personal opinion is, someone approached WildPlay and said, if you threaten to sue, if you threaten to take ski hill items..we're pretty sure the City will cough up the money.. I think if WildPlay is going to sue they should sue every single person on the GNSS board that was sitting when a 10 year lease was signed. Anyway, how did that work? if the City owns the land, that some 3rd party, GNSS could lease or sublease the land to put an AdventurePark on?

This whole SIMA business is so rotten..

Up 13 Down 1

Joel on Sep 17, 2013 at 7:23 am

Correct me if I am misunderstanding. GNSS can't fold until its debts are paid off. Its debts can't be paid off until it knows all of its debts. They currently don't know all of their debts due to their failed agreement with Wildplay. So does this mean GNSS can't fold and therefore Friends of Sima can't take over the operation?

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